WEBVTT - Twitter vs. Threads and Alibaba Surges 0:00:01.440 --> 0:00:05.120 From the heart where Innovation, money and power Collie in 0:00:05.240 --> 0:00:10.160 Silicon Valley, NBN. This is Bloomberg Technology with Caroline Hide 0:00:10.200 --> 0:00:23.240 and Ed Ludlow. 0:00:24.880 --> 0:00:27.000 I'm Caroline Hyde at Bloomberg's Wheldo quarters in. 0:00:27.000 --> 0:00:29.639 New York, and I'm Ed Ludlow out here in San Francisco. 0:00:29.760 --> 0:00:31.120 This is Bloomberg Technology. 0:00:31.200 --> 0:00:31.600 Coming up. 0:00:31.640 --> 0:00:34.360 We'll break down the battle between Twitter and Threads. Is 0:00:34.400 --> 0:00:38.280 the new platform hits seventeen million users like Elon Musk's 0:00:38.280 --> 0:00:39.919 company threatens legal action. 0:00:39.920 --> 0:00:44.319 Against Meta Plus, Ali Barber surges as China finds Ang 0:00:44.400 --> 0:00:47.640 Group and ten Cent, signaling the end of a regulatory 0:00:47.640 --> 0:00:49.919 crackdown could be near. We'll have more details. 0:00:49.560 --> 0:00:52.600 Ahead, and we'll get inside into Apple's vision pro plans 0:00:52.840 --> 0:00:55.040 as it read is a slow rollout of the three 0:00:55.040 --> 0:00:57.920 and a half thousand dollars headset. All that so much 0:00:57.920 --> 0:00:59.640 more to calm. Let's stick with threads and pieces, say 0:00:59.640 --> 0:01:02.560 Bloomg opinion columnists Davely has been writing all about it. 0:01:02.560 --> 0:01:04.360 It talks about how it was like run into a 0:01:04.400 --> 0:01:08.479 destination wedding with familiar faces but a pretty unfamiliar setting. Eventually, 0:01:08.520 --> 0:01:11.560 someone might be brave enough to quietly mutter, So do 0:01:11.560 --> 0:01:12.440 you think it'll last. 0:01:12.680 --> 0:01:13.120 That's Ring M. 0:01:13.120 --> 0:01:15.800 Blomberg, opinion tech columnist Daily. With all the analogies, it 0:01:15.800 --> 0:01:18.760 was a beautiful analogy of a destination wedding. Before I 0:01:18.800 --> 0:01:20.679 get into the wedding gifts that we're giving them of 0:01:20.720 --> 0:01:22.480 our privacy data and the money that they might be 0:01:22.480 --> 0:01:24.280 able to reap off the back of it, I want 0:01:24.280 --> 0:01:26.840 to ask just how this day too, of the destination 0:01:26.920 --> 0:01:28.760 wedding is going. Is the party still there is at 0:01:28.760 --> 0:01:30.319 hot people remaining dedicated? 0:01:30.440 --> 0:01:31.199 Well, I think day. 0:01:31.080 --> 0:01:33.560 Two may be the wedding itself. Right, everyone's here, The 0:01:33.600 --> 0:01:36.400 people who perhaps slow from other places have arrived. 0:01:37.800 --> 0:01:38.080 Soon. 0:01:38.200 --> 0:01:40.280 I guess we're going to start having questions about what 0:01:40.360 --> 0:01:43.399 exactly the staying power of this network is. And I 0:01:43.400 --> 0:01:46.240 think already you're starting to see people sort of pick 0:01:46.280 --> 0:01:49.880 apart what the future of Threads might be depending on 0:01:50.040 --> 0:01:52.120 what they're going to be allowed to do on the platform, 0:01:52.120 --> 0:01:54.440 allowed to say on the platform. There's been some unease 0:01:54.480 --> 0:01:57.200 about how tightly linked it is to Instagram, for example, 0:01:57.480 --> 0:01:59.600 and also people have been saying, well, where are all 0:01:59.600 --> 0:02:02.360 the feat If you go on Twitter, you can do spaces, 0:02:02.400 --> 0:02:04.760 you can do direct messages, you can do many other 0:02:04.800 --> 0:02:08.600 things that right now threads can't do. Adam Musseeri, the 0:02:08.600 --> 0:02:11.679 CEO of Instagram, he's there saying, don't worry, we're working 0:02:11.760 --> 0:02:11.920 on it. 0:02:11.960 --> 0:02:13.280 We're going to get to that. 0:02:14.040 --> 0:02:15.919 You just have to be patient, because what, of course 0:02:15.960 --> 0:02:19.160 they did was because Elon Musk was having such trouble 0:02:19.200 --> 0:02:22.480 with Twitter. They moved it forward so they could capitalize 0:02:22.480 --> 0:02:25.000 on that trouble. And so it's not perhaps quite as 0:02:25.040 --> 0:02:27.080 ready as they might have wanted it to be at 0:02:27.080 --> 0:02:28.840 the point that they brought it onto the market. But 0:02:28.880 --> 0:02:33.760 that initial reaction seventy million people, even though it's Facebook 0:02:33.760 --> 0:02:36.160 and they have this big head start with Instagram obviously, 0:02:36.720 --> 0:02:39.760 getting seventy million people to download a new app in 0:02:39.800 --> 0:02:41.440 the space of a couple of days, I mean, it's 0:02:41.440 --> 0:02:43.320 a remarkable feat of onboarding. 0:02:43.360 --> 0:02:43.600 Really. 0:02:43.960 --> 0:02:47.280 Now you're mentioning your musk in a wedding, there's always 0:02:47.360 --> 0:02:51.120 that moment where you can say, does anyone here perhaps speak 0:02:51.160 --> 0:02:54.200 against this nutal? And I feel like Elil Musk's that 0:02:54.240 --> 0:02:56.760 guy who's just walked into the church and saying, I 0:02:56.919 --> 0:02:58.400 protest you cannot get married. 0:02:58.639 --> 0:02:59.360 What is going on? 0:02:59.440 --> 0:03:02.920 What is and what is the realism of this legal letter? 0:03:03.000 --> 0:03:06.200 Because he sends a few around as the mistership prop. 0:03:06.160 --> 0:03:08.840 He does, he does, and the particular lawyer that sent 0:03:08.919 --> 0:03:12.080 the letter has been Elon Musk's right hand man in 0:03:12.120 --> 0:03:14.320 all of his legal battles, and you know, I've been 0:03:14.320 --> 0:03:17.000 in the court room for many of them. I mean, look, 0:03:17.080 --> 0:03:19.280 until we see the substance of any complaint, I think 0:03:19.280 --> 0:03:20.240 it's really hard to note, right. 0:03:20.240 --> 0:03:21.280 I mean, because the. 0:03:21.360 --> 0:03:24.520 Letter made some claims that there was people at Meta 0:03:24.639 --> 0:03:28.519 that had been taken from Twitter purposely to build threads, even. 0:03:28.400 --> 0:03:30.959 Though Twitter have lost so many employing white. 0:03:31.040 --> 0:03:34.680 I mean, they let them go themselves and perhaps they've 0:03:34.680 --> 0:03:37.760 gone on to new jobs at Meta. They've said no 0:03:38.040 --> 0:03:40.920 form of Twitter employees were involved in the creation of threads, 0:03:41.080 --> 0:03:43.320 and so I think it's really up to Elon Musk 0:03:43.360 --> 0:03:47.240 and his lawyer to bring that evidence and say here's 0:03:47.280 --> 0:03:49.880 why we think we have a complaint. There's a big 0:03:49.960 --> 0:03:53.000 jump between threatening to take legal action and actually taking 0:03:53.120 --> 0:03:55.360 legal action, and so I think until we see that moment, 0:03:55.680 --> 0:03:59.160 that's when we really know how serious Elon Musk feels 0:03:59.160 --> 0:04:02.040 about being copied by Meta. 0:04:04.040 --> 0:04:06.960 Just a quick point, Karen Dave, I read that letter 0:04:07.760 --> 0:04:11.120 that was sent on must behalf to Zuckerberg and Meta's 0:04:11.200 --> 0:04:11.960 legal counsel. 0:04:12.360 --> 0:04:13.080 So what's funny. 0:04:13.760 --> 0:04:16.960 Linda Yakarino, the CEO of Twitter, is not one of 0:04:16.960 --> 0:04:19.839 the co signatories, and she's not in copy either. It 0:04:19.920 --> 0:04:24.120 is sent on Elon Musks behalf to Meta Dave. 0:04:24.200 --> 0:04:24.800 What do you make of that? 0:04:25.400 --> 0:04:28.200 Well, I think this is another question, isn't it of 0:04:28.240 --> 0:04:31.200 the degree to which Linda Yakarino is in charge of 0:04:31.240 --> 0:04:34.280 Twitter at all? I mean, when Twitter was having its 0:04:34.279 --> 0:04:37.800 issues last weekend with the big rape limiting problems where 0:04:37.839 --> 0:04:40.240 you could only see a certain number of tweets, the 0:04:40.279 --> 0:04:43.960 CEO of the company didn't say anything for several days, 0:04:43.960 --> 0:04:46.240 and her interactions were only to like the tweets that 0:04:46.240 --> 0:04:49.040 Elon Musk had been posting. And even when she was 0:04:49.360 --> 0:04:52.520 first put into that job, I wrote at the time, 0:04:52.560 --> 0:04:55.040 and many others did, that there's only ever really going 0:04:55.080 --> 0:04:56.920 to be one person in charge of Twitter, and that's 0:04:56.920 --> 0:04:59.400 Elon Musk. And we've just seen that yet again with 0:04:59.560 --> 0:05:02.640 like you say this letter. One of the things I 0:05:02.640 --> 0:05:06.400 think is striking about the lawyer in particular is that 0:05:06.440 --> 0:05:08.800 it wasn't that long ago that he was describing his 0:05:08.920 --> 0:05:10.719 role as no longer being at Twitter, and that he 0:05:10.839 --> 0:05:14.839 was still Elon Musk's personal lawyer, but his business with 0:05:14.920 --> 0:05:17.680 Twitter had taken a backseat and the company was dealing 0:05:17.720 --> 0:05:18.279 with itself. 0:05:18.320 --> 0:05:21.279 And so this may be an instance. 0:05:20.960 --> 0:05:22.719 And we've seen it from Elon Musk in the past, 0:05:23.000 --> 0:05:25.880 this maybe an instance where he's just incensed personally and 0:05:26.360 --> 0:05:28.839 wants to go after this. But again, until we see 0:05:28.880 --> 0:05:31.520 exactly what he thinks his case is, it's very hard 0:05:31.920 --> 0:05:32.440 to address. 0:05:32.520 --> 0:05:34.120 You know what the merits are of that. 0:05:35.320 --> 0:05:38.279 Let's get back to the technology and the platform, right 0:05:39.400 --> 0:05:42.719 You point out in the Bloomberg opinion column that the 0:05:42.800 --> 0:05:46.080 onboarding is a big part of this. You can just 0:05:46.240 --> 0:05:50.279 simply take your Instagram following convert it over to threads. 0:05:50.320 --> 0:05:52.400 And you know, Caroline's heard me say this a few 0:05:52.440 --> 0:05:54.479 times in the last few days. I went back and 0:05:54.520 --> 0:05:57.279 looked at Twitter's s one. It took them a year 0:05:57.520 --> 0:06:01.200 to get from thirty million users to seventy million between 0:06:01.200 --> 0:06:03.800 March or twenty ten and March twenty eleven. Met has 0:06:03.800 --> 0:06:05.240 done it in forty eight hours. 0:06:06.920 --> 0:06:11.039 I mean, it's clearly a huge competitive advantage to have 0:06:11.240 --> 0:06:14.919 Instagram in your back pocket to launch a new social network. 0:06:15.080 --> 0:06:17.279 I think one of the interesting comparisons that I've seen 0:06:17.320 --> 0:06:21.640 recently is Facebook Meta has only managed to get two 0:06:21.760 --> 0:06:24.760 hundred thousand people into the metaverse, right, so this has 0:06:24.800 --> 0:06:28.400 already been vastly more successful than what their big strategy 0:06:29.040 --> 0:06:33.440 was meant to have been. I mean, look, it's being 0:06:33.440 --> 0:06:36.599 able to bring those Instagram followers over is obviously a 0:06:36.600 --> 0:06:37.360 great benefit. 0:06:37.600 --> 0:06:39.240 What I do think would be an issue. 0:06:38.920 --> 0:06:40.840 And something that I've heard people sort of talking about, 0:06:40.880 --> 0:06:42.680 is you know, what does that say about the nature 0:06:42.720 --> 0:06:45.120 of what Threads is going to be Because Twitter was 0:06:45.120 --> 0:06:49.440 a very diverse grouping of people on the Internet, whereas 0:06:49.480 --> 0:06:53.880 Instagram was particularly popular with influencers and creators and some 0:06:53.880 --> 0:06:56.599 of the more sort of celebrity culture online. And I 0:06:56.600 --> 0:07:00.480 think one of the risks might be that while Threads 0:07:00.520 --> 0:07:03.000 may be a Twitter killer, so to speak, it may 0:07:03.000 --> 0:07:05.599 not eventually be a Twitter replacement. You know, there could 0:07:05.640 --> 0:07:07.719 be a shift of people going from one platform to 0:07:07.800 --> 0:07:10.840 the other, but we might still lose what made Twitter 0:07:11.120 --> 0:07:13.280 a worthwhile place to be on the Internet, which is why, 0:07:13.400 --> 0:07:15.480 you know, when you look at some of these new alternatives, 0:07:15.520 --> 0:07:18.440 the smaller alternatives like blue Sky and T two and 0:07:18.560 --> 0:07:20.640 spill and we don't have time to say them all, 0:07:21.120 --> 0:07:24.760 I suspect they might be feeling quite downheartened by the 0:07:24.800 --> 0:07:26.960 fact that Meta have done this, But actually I think 0:07:27.000 --> 0:07:29.400 in time there will still be space for these, for 0:07:29.440 --> 0:07:30.520 these smaller alternatives. 0:07:30.520 --> 0:07:32.880 And to that point you mentioned their Marsterden. There's also 0:07:33.040 --> 0:07:37.800 Blue Sky. These are decentralized. And what's been interesting is 0:07:37.800 --> 0:07:40.040 this talk of a fediverse and the fact that eventually 0:07:40.440 --> 0:07:43.880 Threads could be built upon, you know, one of these 0:07:44.760 --> 0:07:48.160 overall protocols where you could take your people, your followers 0:07:48.200 --> 0:07:50.520 with you and share them amongst all these sorts of 0:07:50.560 --> 0:07:53.920 social media platforms. When do you think that might happen? 0:07:54.000 --> 0:07:56.360 Because we got teased it and then it didn't go live, 0:07:56.440 --> 0:07:58.120 of course, because they sort of pushed forward the outlet. 0:07:58.200 --> 0:08:01.760 Yeah, I mean, it's certainly something they've committed to. I'd 0:08:01.840 --> 0:08:04.320 like to see it quite soon. I think that would 0:08:04.360 --> 0:08:07.840 be one thing that could convince me that Meta is 0:08:08.000 --> 0:08:10.160 serious about being more open with the Internet. 0:08:10.400 --> 0:08:11.640 This is them. 0:08:12.560 --> 0:08:15.120 I think it depends what they see the value of 0:08:15.160 --> 0:08:17.720 threads being right, if Threads is a way to bring 0:08:17.760 --> 0:08:21.760 people into the Facebook family of apps as they call them, 0:08:22.680 --> 0:08:25.480 with the view of having more engagement on Instagram, more 0:08:25.480 --> 0:08:27.640 engagement on the Facebook Blue app, the main app, which 0:08:27.680 --> 0:08:30.720 is really not the place where things happen anymore, then 0:08:30.760 --> 0:08:32.000 it could potentially be useful. 0:08:32.000 --> 0:08:35.120 But yes, you're right, they could lose the ability. 0:08:34.320 --> 0:08:37.720 To own this entire community, put their ads in there, 0:08:37.920 --> 0:08:40.440 monetize it as much as possible. And that's where I 0:08:40.440 --> 0:08:42.640 think the most difficult thing for Threads is going to 0:08:42.640 --> 0:08:46.520 be almost fighting against the instincts of Meta the company. 0:08:46.720 --> 0:08:49.000 They want to have the control, they want to eventually 0:08:49.040 --> 0:08:51.880 monetize it. You'd think, if history is to go by, 0:08:51.960 --> 0:08:56.080 monetize it within an inch of its life, basically, and 0:08:56.200 --> 0:08:58.720 yet that might be the death knel for it. So 0:08:59.080 --> 0:09:00.920 the degree to which it will be open with these 0:09:00.960 --> 0:09:04.520 other with the rest of the fediverse, that feels like 0:09:04.559 --> 0:09:08.240 a very interesting experiment. Whether Metro is going to be 0:09:08.520 --> 0:09:11.400 corporately comfortable with that, I think that's a big test. 0:09:12.679 --> 0:09:15.280 What was it that Jack Dorsey said, Caro, we wanted 0:09:15.320 --> 0:09:19.800 flying cars and instead we got seven Twitter clones debate 0:09:19.880 --> 0:09:22.719 for another program, I think Dave Lee Bloomberg Opinion check 0:09:22.760 --> 0:09:25.600 out his latest opinion column on bloombog dot com. Thank 0:09:25.600 --> 0:09:28.480 you very much, all right, the show continues coming up. 0:09:28.520 --> 0:09:31.760 Today's June jobs report showed relatively strong gains in the 0:09:31.840 --> 0:09:34.400 labor market We're going to talk to Kara Brennan, Chief 0:09:34.440 --> 0:09:37.960 People OFFICO officer over at Lattice about the trends that 0:09:38.080 --> 0:09:42.240 she's seeing in the technology sector. This is Bloomberg Technology. 0:09:52.040 --> 0:09:55.400 Looks some pretty mixed macro signals today from the US 0:09:55.559 --> 0:09:56.080 labor market. 0:09:56.120 --> 0:09:56.720 Let's go through them. 0:09:56.720 --> 0:10:00.880 Because jobs growth melling out a little bit, they're still 0:10:00.920 --> 0:10:03.600 increasing at a faster than expected pace. In the last month. 0:10:04.080 --> 0:10:06.920 US added two hundred and nine thousand non farm jobs 0:10:06.960 --> 0:10:09.440 in June, making it the smallest advance it's the end 0:10:09.440 --> 0:10:12.320 of twenty twenty, but those wage gains still show the 0:10:12.320 --> 0:10:15.400 inflationary pressure of this pretty resilient labor market, and of 0:10:15.400 --> 0:10:17.800 course unemployment rate coming in at three point six percent. 0:10:18.040 --> 0:10:19.920 We're lucky enough to be able to discuss all of this. 0:10:20.480 --> 0:10:24.120 The Cara Brennan, San Francisco based Chief People officer over 0:10:24.160 --> 0:10:27.160 atlettis great towsent time with your Caaren. What did you make? 0:10:27.200 --> 0:10:29.840 Are you glass half empty? Glass off full? We somewhere 0:10:29.840 --> 0:10:30.240 in the middle. 0:10:31.480 --> 0:10:33.720 I'd say I'm probably somewhere in the middle. What I 0:10:33.720 --> 0:10:38.400 can say is that among our five thousand customers who 0:10:38.480 --> 0:10:40.920 are chief people officers, heads of people, there's a lot 0:10:40.960 --> 0:10:43.640 of discussion about what the second half of this year 0:10:43.679 --> 0:10:46.720 looks like in preparation for next year. I do think 0:10:46.840 --> 0:10:51.000 that the medium term, people are optimistic from sitting in 0:10:51.040 --> 0:10:54.720 my seat, because we're seeing really great talent in the market, 0:10:55.640 --> 0:11:01.280 and we're seeing some softening in some of our businesses 0:11:02.200 --> 0:11:06.000 as it relates to software sales and others. Is softening 0:11:06.120 --> 0:11:09.719 of the of the really tough times that we've been 0:11:09.760 --> 0:11:12.600 through over the past six to twelve months. So we're 0:11:12.640 --> 0:11:16.000 seeing those glimmers, but I can tell you that right 0:11:16.040 --> 0:11:19.199 now we're still in a place where we're all very conservative. 0:11:20.160 --> 0:11:25.199 Headcount is really being thoughtful in terms of who we're 0:11:25.200 --> 0:11:27.560 going to hire, where we're going to hire, and we're 0:11:27.640 --> 0:11:31.720 keeping a very close eye on the compensation data because 0:11:31.720 --> 0:11:35.160 what we're seeing is reflecting what these broader trends are 0:11:35.200 --> 0:11:36.760 as well well. 0:11:36.800 --> 0:11:41.160 In the technology sector. What do wages look like? How 0:11:41.160 --> 0:11:46.040 competitive is it from it but using compensation as a proxy. 0:11:46.679 --> 0:11:51.080 Yeah, what's interesting is our data legs behind the real market. 0:11:51.160 --> 0:11:54.160 We know it does by about six months. So we're 0:11:54.200 --> 0:11:57.040 still seeing data that was from the end of last 0:11:57.120 --> 0:12:00.200 year that's still very high. And the hope is is 0:12:00.200 --> 0:12:04.000 that we will see some of those rates come down 0:12:04.559 --> 0:12:08.160 ultimately so that we can have better balance in terms 0:12:08.200 --> 0:12:11.280 of our salary spin, which, as everyone knows, is around 0:12:11.679 --> 0:12:16.760 a seventy percent of our total spin as businesses. We 0:12:16.800 --> 0:12:19.000 are starting to see that. We're starting to see that 0:12:19.160 --> 0:12:24.240 in some of those really spiky roles are top engineering roles, 0:12:25.200 --> 0:12:28.400 some of our roles on the sales side. We're seeing 0:12:28.440 --> 0:12:31.640 some of that come down, But it's not across the board. 0:12:32.480 --> 0:12:36.719 I mean, AI, I can imagine prompt engineers, you name 0:12:36.760 --> 0:12:39.440 it are going to be still pretty demanded for and 0:12:39.600 --> 0:12:43.560 recompensed in light of that car up. Do you feel though, 0:12:43.600 --> 0:12:46.400 the bracing that we had in the tech sector of 0:12:46.520 --> 0:12:50.640 yet more job losses, yet larger ten twenty percent cuts, 0:12:50.800 --> 0:12:52.920 is that a thing of the past Now people right 0:12:53.000 --> 0:12:54.400 size to a certain degree. 0:12:56.320 --> 0:12:56.880 In general. 0:12:57.000 --> 0:13:01.680 Yes, that's what I'm hearing from our customers, the folks 0:13:01.679 --> 0:13:04.640 that are now focused on the people that they have 0:13:04.800 --> 0:13:07.880 in seat, knowing that the growth is slowed for the 0:13:07.920 --> 0:13:10.240 second half of this year. But I do feel like 0:13:10.280 --> 0:13:12.480 people feel like their hands are on the wheel now 0:13:12.960 --> 0:13:15.520 and they're able to look forward to the next six 0:13:15.600 --> 0:13:18.680 months with the plan that's realistic. It's very different than 0:13:18.760 --> 0:13:21.400 this time last year when nobody knew what was happening, 0:13:21.400 --> 0:13:23.040 and we were all trying to manage to it. 0:13:23.720 --> 0:13:26.240 Well, said Ed. I mean when we look at the 0:13:26.280 --> 0:13:28.760 broader labor data and on FUM payrolls, it's very hard 0:13:28.760 --> 0:13:31.760 to really discern what's happening at a tech level, and 0:13:31.800 --> 0:13:35.480 indeed how broad the tech issues are the asyncratic to 0:13:35.640 --> 0:13:38.079 that particular sector or speak more broadly to for the 0:13:38.120 --> 0:13:38.960 overall environment. 0:13:40.240 --> 0:13:42.480 Yeah, I mean, let me jump in here Carol real quick, 0:13:42.520 --> 0:13:44.880 because I think Caroline's raised a really good point that 0:13:45.000 --> 0:13:49.560 what I hear from founders, public company executives and everyone 0:13:49.640 --> 0:13:53.200 in between doesn't match the data. Think about the challenger 0:13:53.280 --> 0:13:55.719 Christmas in Gray. We put so much emphasis on that 0:13:56.120 --> 0:13:59.640 and all the layoffs that were announced, but those were announced, 0:13:59.640 --> 0:14:03.040 not necessarily enacted. And there are loads of companies I 0:14:03.080 --> 0:14:06.480 know that are scrambling to find people they're desperate to hire. 0:14:06.960 --> 0:14:09.160 Why is there some inconsistency there? 0:14:10.440 --> 0:14:13.400 Think consistency is that we had a period of time, 0:14:13.559 --> 0:14:16.280 the two years during the pandemic where we were just 0:14:16.640 --> 0:14:20.400 hiring to hire, honestly, and what we've done is gone 0:14:20.440 --> 0:14:24.880 back to what the foundation of good businesses and knowing 0:14:24.920 --> 0:14:27.640 that we have to build for the future state, and 0:14:27.680 --> 0:14:30.040 we have to have the right people in the right seats. 0:14:30.280 --> 0:14:33.480 So what has happened on the HR side is there 0:14:33.600 --> 0:14:37.000 been lots of meetups, lots of webinars, lots of discussion 0:14:37.040 --> 0:14:40.400 about org design and how to make sure that you're 0:14:40.440 --> 0:14:43.720 optimizing the performance and productivity of the people who are 0:14:43.720 --> 0:14:47.080 in the seat. We know that because that's what Lattis does. 0:14:47.120 --> 0:14:49.840 We're a talent management platform. We've seen the usage of 0:14:49.880 --> 0:14:53.880 our tool increase month over month and year every year 0:14:54.000 --> 0:14:56.720 from our customers. People want to do a better job 0:14:56.720 --> 0:14:59.120 of managing the talent they have. It's not a hiring 0:14:59.160 --> 0:14:59.920 spree anymore. 0:15:01.800 --> 0:15:02.000 Carr. 0:15:02.160 --> 0:15:05.960 You know this sector. You know Silicon Valley. Elon Musk 0:15:06.000 --> 0:15:10.960 and his lawyer have threatened to sue Meta claiming abusive 0:15:11.040 --> 0:15:16.800 trade secrets and through the employment of Twitter employees. Can 0:15:16.840 --> 0:15:18.880 you enforce an NDA in Silicon Valley? What do you 0:15:18.960 --> 0:15:19.800 make of that situation? 0:15:21.320 --> 0:15:26.400 I can't speak to Elon and Meta's particular situation. What 0:15:26.440 --> 0:15:30.240 I can tell you is, in my experience, we're very 0:15:30.280 --> 0:15:34.560 clear in Silicon Valley that the state of California does 0:15:34.600 --> 0:15:37.920 not allow non competes to be enforced. For the most part, 0:15:38.360 --> 0:15:43.880 depends on the specific situation. And I've seen lots of 0:15:43.920 --> 0:15:47.440 CEOs and lots of nasty letters in the course of 0:15:47.480 --> 0:15:50.680 my career. And know that sitting in the seat that 0:15:51.040 --> 0:15:54.160 you move on, you bring your talent in and you're 0:15:54.200 --> 0:15:56.880 not as concerned about non competees as you might be 0:15:56.920 --> 0:15:57.640 in other states. 0:15:58.680 --> 0:16:01.320 Car Brennan, Chief people of Sir laddis always on the 0:16:01.360 --> 0:16:04.120 heartbeat of the tech sector. What's going on in jobs? 0:16:04.120 --> 0:16:14.520 Thank you so much for your time time for talking tech. 0:16:14.600 --> 0:16:18.280 First up, Samsung reported a forty six billion dollar decline 0:16:18.360 --> 0:16:21.280 in sales, it's worst in quarterly revenue since two thousand 0:16:21.280 --> 0:16:25.400 and nine. The tech company's operating profit plus ninety six percent, 0:16:25.680 --> 0:16:28.520 but still ahead of market expectations. Is the demand for 0:16:28.560 --> 0:16:32.680 electronics and memory chips has slowed, and US audit officials 0:16:32.680 --> 0:16:35.560 have started a new round of inspections for New York 0:16:35.640 --> 0:16:38.840 listed Chinese companies. The inspection comes there's a trade walk 0:16:38.960 --> 0:16:42.960 on technology from AI to chip manufacturing continues to mount. 0:16:43.040 --> 0:16:47.000 Tensions between the world's two largest economies. Plus China imposed 0:16:47.000 --> 0:16:49.480 more than one billion dollars in fines on tech giants 0:16:49.520 --> 0:16:52.840 and and ten cents, signaling an end to a crackdown 0:16:53.000 --> 0:16:55.520 on a sector that wiped out billions in market value 0:16:55.760 --> 0:16:58.520 and derailed the world's biggest IPO. 0:16:58.240 --> 0:17:00.600 Carol, And let's dig in on that because some policy 0:17:00.680 --> 0:17:02.800 saving mag News is Isabelle Lee is with us to 0:17:02.880 --> 0:17:05.840 just break down why the shares have popped quite so 0:17:06.000 --> 0:17:08.440 much for the likes of Ali Baba for ten cent, 0:17:09.080 --> 0:17:11.359 it's a hefty fine. But is it just relief that 0:17:11.440 --> 0:17:12.960 this over it? 0:17:13.040 --> 0:17:16.160 Definitely is? It sounds kind of counterintuitive, But then many 0:17:16.200 --> 0:17:18.920 of the analysts are saying that, okay, maybe this will 0:17:18.920 --> 0:17:20.880 put a lid to the multi year crack that we've 0:17:20.920 --> 0:17:22.760 seen in the tech sector that costs some of the 0:17:22.760 --> 0:17:25.840 Wall Street's biggest firms to call China uninvestable, and we've 0:17:25.840 --> 0:17:28.840 seen some of the biggest companies shed billions of dollars. 0:17:28.840 --> 0:17:30.800 But then now if that's going to be over and 0:17:30.840 --> 0:17:33.480 they can move on, and there are some speculations that, oh, 0:17:33.520 --> 0:17:36.560 maybe this can pave the way for another renewed attempt 0:17:36.600 --> 0:17:39.480 for ant to have an IPO. Possibly, but more people 0:17:39.520 --> 0:17:42.600 are just relieved. Even the NaSTA China Golden Dragon indexes 0:17:42.680 --> 0:17:43.560 up around three percent. 0:17:44.560 --> 0:17:46.000 What is moving on look like? Then? 0:17:46.119 --> 0:17:48.040 You know, we talk about the breakup of Ali Baba 0:17:48.080 --> 0:17:50.040 as an example, and what might be spun off. 0:17:50.920 --> 0:17:54.240 Yes, exactly. So we know that China has been really 0:17:54.280 --> 0:17:56.400 cracking down on the tech firms and this may look 0:17:56.480 --> 0:17:59.440 like the end of it. Like Ali Baba CEO Jack 0:17:59.520 --> 0:18:04.520 Ma came in March, there's a renewed appetite to kind 0:18:04.520 --> 0:18:07.040 of reinvigorate the tech sector and that's how many people 0:18:07.040 --> 0:18:09.960 are seeing. But this thing is an ANTIPO isn't looking 0:18:10.040 --> 0:18:13.440 like it's going to happen anytime soon because their bottom 0:18:13.440 --> 0:18:16.760 line is really not looking good. Their December earnings quarter 0:18:17.080 --> 0:18:19.480 was down fifty six percent. And if you go technically, 0:18:20.040 --> 0:18:21.879 if you want a list in China so called a 0:18:22.000 --> 0:18:24.520 share market, you shouldn't have had a change in corporate 0:18:24.600 --> 0:18:26.960 leadership in the past three years two years for the 0:18:27.080 --> 0:18:29.600 Shanghai Star market and one year for Hong Kong. But 0:18:29.640 --> 0:18:31.800 still at least hopes are there and that's probably what's 0:18:31.880 --> 0:18:32.960 buoying the market. 0:18:33.320 --> 0:18:35.920 Just take us back a little bit as well as 0:18:35.920 --> 0:18:39.640 to what's shifted in China's mindsot why have we sort 0:18:39.640 --> 0:18:41.800 of come to the end of the scrutiny we have. 0:18:41.920 --> 0:18:45.480 At least people are saying it's because when China locked 0:18:45.480 --> 0:18:49.040 down during the pandemic it really wasn't good for their economy, 0:18:49.119 --> 0:18:52.199 and when they were going to reopen, even strategists here 0:18:52.200 --> 0:18:53.840 in Wall Street thought that there would be a boom 0:18:53.840 --> 0:18:56.159 and that global growth will write on that, but that 0:18:56.320 --> 0:18:58.640 so called boom didn't quite happen. So I think they're 0:18:58.680 --> 0:19:01.879 just really trying to revive their sector, and tech is 0:19:01.880 --> 0:19:04.159 the biggest so why not try to do that? And 0:19:04.520 --> 0:19:06.359 if it will be good for China, it'll also be 0:19:06.400 --> 0:19:08.920 good for the world, like even for here in the US. 0:19:08.960 --> 0:19:11.280 So it's really just that shift in mentality and who 0:19:11.280 --> 0:19:12.720 wants to be called uninvestable? 0:19:12.720 --> 0:19:14.480 I think, so that's one. 0:19:14.680 --> 0:19:25.280 All right, Bloombergs Isabelle Lee. Welcome back to Bloomberg Technology. 0:19:25.440 --> 0:19:27.000 Ed Ludlow here in San Francisco, and. 0:19:27.000 --> 0:19:28.639 I'm Caroline heid in New York. Let's just check in 0:19:28.680 --> 0:19:30.680 on the new favorite platform for everyone to be getting 0:19:30.680 --> 0:19:32.240 to know each other a slightly different destination. 0:19:32.280 --> 0:19:33.160 We're all talking about. 0:19:33.000 --> 0:19:38.160 Threads flat on a Friday talking Threads up almost four 0:19:38.200 --> 0:19:42.160 percent over five sessions, excluding July the fourth. Let's talk 0:19:42.200 --> 0:19:45.080 more on Threads and bring in Stephen Wolf Perera, Three 0:19:45.080 --> 0:19:48.480 Parts Studios, Chief business officer. You are a multi platform 0:19:48.560 --> 0:19:52.320 entertainment company. I know you you're close to Threads and 0:19:52.359 --> 0:19:56.639 how it came about. Did what you saw on launch 0:19:56.680 --> 0:19:59.520 with Threads match what Meta told you it was going 0:19:59.600 --> 0:19:59.800 to be? 0:20:01.560 --> 0:20:02.080 Absolutely? 0:20:02.119 --> 0:20:07.080 I mean it's just been I think, exceeding everyone's expectations 0:20:07.240 --> 0:20:10.879