WEBVTT - Broadcasting Live from Bloomberg Screentime 0:00:02.960 --> 0:00:10.720 Bloomberg Audio Studios, podcasts, radio news. This is Bloomberg Business 0:00:10.760 --> 0:00:13.960 Wait inside from the reporters and editors who bring you 0:00:14.040 --> 0:00:18.360 America's most trusted business magazine, plus global business, finance and 0:00:18.440 --> 0:00:22.680 tech news. The Bloomberg Business Week podcast with Carol Messer 0:00:23.040 --> 0:00:25.800 and Tim Stenebeck from Bloomberg Radio. 0:00:27.240 --> 0:00:29.200 Many are live at boom Spree time. 0:00:29.240 --> 0:00:31.600 We are here in Hollywood, and I gotta say, before 0:00:31.600 --> 0:00:34.159 the time of my Space and Facebook, there was. 0:00:34.159 --> 0:00:36.840 A time before Land, before. 0:00:36.600 --> 0:00:38.000 Time the Internet. 0:00:38.200 --> 0:00:40.280 The Internet was full of message boards. There really was 0:00:40.320 --> 0:00:43.080 a time before with like minded communities. That's what it 0:00:43.120 --> 0:00:45.640 was all about. They would discuss their niche interest together 0:00:45.920 --> 0:00:48.120 from all corners of the world, bring together. 0:00:47.960 --> 0:00:50.600 Like minded individual Honestly, I feel like that's actually coming 0:00:50.640 --> 0:00:54.040 back right now. Increasingly, affinity A based platforms have been 0:00:54.040 --> 0:00:57.440 making a comeback. They're often kinder and gentler places where 0:00:57.520 --> 0:01:01.160 enthusiastics can just go and engage over common interests. I 0:01:01.200 --> 0:01:04.080 got Strava, for example, said I've been like all over 0:01:04.120 --> 0:01:06.520 read it lately. I'm the oldest person. 0:01:07.040 --> 0:01:07.800 It's the parent thing. 0:01:07.840 --> 0:01:10.600 Yeah, I'm like forty years late on Reddit, but it's 0:01:10.640 --> 0:01:13.280 working out for me. And yourew letterbox though. It's a 0:01:13.319 --> 0:01:15.360 place for movie boffs and they can catalog the movies 0:01:15.400 --> 0:01:17.600 and discuss the ones that they've seen. We got with 0:01:17.680 --> 0:01:19.920 us jemmac grace, which she's the editor in chief of Letterbox. 0:01:20.200 --> 0:01:21.759 She's here with us at screen time. 0:01:22.080 --> 0:01:22.480 Welcome. 0:01:22.640 --> 0:01:26.240 Understand what things look like right now because a lot 0:01:26.280 --> 0:01:29.320 of these platforms saw a huge search during the pandemic. 0:01:29.760 --> 0:01:32.480 Well we were all at home. Now we're all back 0:01:32.520 --> 0:01:33.520 out doing stuff. 0:01:33.640 --> 0:01:33.840 Yeah. 0:01:33.920 --> 0:01:36.440 Are you still seeing growth on the platform? 0:01:36.480 --> 0:01:37.920 Oh? Even more so. 0:01:38.160 --> 0:01:41.080 I mean we had pretty insane growth during the pandemic. 0:01:41.160 --> 0:01:43.840 We went into it with one point eight million members. 0:01:43.880 --> 0:01:46.200 We came out, not that it's over, but you know, 0:01:46.240 --> 0:01:48.520 a couple of years later we had six million members 0:01:48.680 --> 0:01:52.800 and we're now at sixteen million, like close to sixteen 0:01:52.840 --> 0:01:53.440 million in. 0:01:53.400 --> 0:01:54.720 The last couple of years. 0:01:54.760 --> 0:01:58.720 So Yeah, people just keep coming to write their thoughts 0:01:58.760 --> 0:01:59.360 about movies. 0:02:00.160 --> 0:02:02.760 That is because I get it. During the pandemic, Yeah, stuck. 0:02:02.600 --> 0:02:05.720 At home, we were looking for communities and to feel connected. 0:02:05.760 --> 0:02:07.160 Why do you think it continues to grow? 0:02:07.440 --> 0:02:09.880 Yeah, and to feel connected and also to feel maybe 0:02:09.880 --> 0:02:13.400 a sense of achievement in our days when there was 0:02:13.440 --> 0:02:14.959 sort of no shape to those. 0:02:14.840 --> 0:02:16.119 Long lockdown days. 0:02:16.480 --> 0:02:19.560 I think it's continued to grow because something that happened 0:02:19.639 --> 0:02:21.760 during that time was a lot of people coming to 0:02:22.880 --> 0:02:25.200 write their thoughts about the Twilight series and then go, 0:02:25.320 --> 0:02:28.040 what else has Robert Pattinson done? He's oh good time, 0:02:28.200 --> 0:02:29.880 Oh the Lighthouse with Willem Dafoe. 0:02:29.880 --> 0:02:30.680 This is interesting. 0:02:30.919 --> 0:02:32.880 This is a cinema I've never seen before, and then 0:02:33.320 --> 0:02:37.079 started a cinephile journey that coming out of the pandemic 0:02:37.120 --> 0:02:39.880 has taken them into art house cinemas to see a 0:02:39.919 --> 0:02:41.920 lot of films that they never got to see on 0:02:41.919 --> 0:02:44.079 the big screen the first time around. And they're finding 0:02:44.160 --> 0:02:47.520 community literally in cinema. Four years now, we see a 0:02:47.600 --> 0:02:51.960 lot of under thirty five year old engagement in the cinema. 0:02:52.120 --> 0:02:55.839 Is it actually a safe place that stays on top 0:02:55.919 --> 0:02:58.480 of it? Because you see on Twitter, you see on Instagram, 0:02:58.520 --> 0:03:01.920 you see on Facebook. Yeah, it just evolves right away. 0:03:01.919 --> 0:03:05.840 It gets political. Democrats control the weather comment such a close. 0:03:07.240 --> 0:03:08.440 Is letterbox free of that? 0:03:09.240 --> 0:03:09.320 No? 0:03:10.040 --> 0:03:12.359 You know, every part of the Internet has its can 0:03:12.400 --> 0:03:14.600 I say douchebags on Bloomberg. 0:03:15.080 --> 0:03:16.320 Just tad, I'm so sorry about it. 0:03:16.800 --> 0:03:19.440 Every part of the Internet has pilons. But I think 0:03:19.520 --> 0:03:23.320 the benefit and the beauty of a place like Letterbox 0:03:23.360 --> 0:03:27.920 and Strava is that the conversation happens specific to the 0:03:27.960 --> 0:03:30.720 film that a member is reviewing. 0:03:30.440 --> 0:03:32.600 Or specific to a list that they put together of. 0:03:32.639 --> 0:03:36.320 Movies they love or William Defoe movie is ranked. And 0:03:36.400 --> 0:03:40.280 so there's no kind of central town square on Letterbox 0:03:40.280 --> 0:03:43.320 for everybody to pile it on soon. And we also 0:03:43.400 --> 0:03:46.520 give our members tools like comment moderation, tools of their 0:03:46.520 --> 0:03:49.080 own so they can curate their own spaces. So the 0:03:49.120 --> 0:03:53.440 conversation happens around a movie or around a movie list, 0:03:53.880 --> 0:03:58.360 and that's generally what keeps it kind, but also it's 0:03:58.400 --> 0:03:59.640 in our community policy. 0:04:00.200 --> 0:04:01.000 Two words be. 0:04:01.000 --> 0:04:04.520 Cool Heimer, Barbie Heimer, Borbenheimer. 0:04:04.560 --> 0:04:07.120 However you want to say Barbie and Appenheimer. Yeah, what 0:04:07.160 --> 0:04:09.000 did that do for your platform? Did he give it 0:04:09.040 --> 0:04:11.480 a musler? Did you see anything significant. 0:04:10.960 --> 0:04:11.240 On for that? 0:04:11.440 --> 0:04:15.680 We definitely saw a massive mon of growth around a 0:04:15.680 --> 0:04:18.200 lot of editorial we did with Greta Gerwig at Barbie 0:04:18.200 --> 0:04:21.120 Time and with Martin Scott Sez at Killers at the 0:04:21.120 --> 0:04:22.280 Flower Moontime like. 0:04:22.279 --> 0:04:24.359 Where there are spikes there. 0:04:24.560 --> 0:04:28.480 But more than that, it's not just about getting new 0:04:28.480 --> 0:04:31.880 members to letter Box. What I loved about Barbie was 0:04:32.520 --> 0:04:36.760 Greta's generosity and sharing all of the film references that 0:04:36.880 --> 0:04:40.080 she used to make that film, everything from Pee Wee's 0:04:40.120 --> 0:04:42.279 Big Adventure to Singing in the Rain. And then we 0:04:42.360 --> 0:04:46.200 see at the back end the watch list spikes of 0:04:46.279 --> 0:04:48.440 our members going, Greta loves that film. 0:04:48.520 --> 0:04:49.080 I love Greta. 0:04:49.120 --> 0:04:50.400 I'm gonna watch that film. 0:04:50.200 --> 0:04:52.320 History in cinema, right, yeah, the Crow movie? 0:04:52.400 --> 0:04:55.760 Yeah, yeah, absolutely, And so for us, it's all about 0:04:55.760 --> 0:04:58.680 film discovery. That is that is purely what is about 0:04:59.279 --> 0:05:02.640 film discovery, enabling people to discover more films, whether they're 0:05:02.640 --> 0:05:04.719 in cinemas right now or whether they're coming out on 0:05:04.760 --> 0:05:08.359 a Criterion four K. And if someone like Greta Gerwig 0:05:08.440 --> 0:05:11.960 is saying, here are the thirty one movies that inspired Barbie, 0:05:12.040 --> 0:05:15.279 we see the activity among our members watching those movies. 0:05:15.560 --> 0:05:18.560 Are you platform agnostic in the sense of who cares 0:05:18.600 --> 0:05:20.840 if the film comes out on happy ex suited theaters? 0:05:20.880 --> 0:05:23.840 At the same time, who cares if the film was 0:05:24.200 --> 0:05:28.440 only available in theaters before VCRs. Yeah, we're even a thing. 0:05:29.800 --> 0:05:33.080 Yeah, we're shifted, absolutely, Like we want people to see 0:05:33.120 --> 0:05:36.560 films where they can see them, and I mean the 0:05:36.640 --> 0:05:39.000 state of theatrical right, is that not every film comes 0:05:39.040 --> 0:05:41.240 out in every cinema in every town around the world, 0:05:41.800 --> 0:05:44.520 and so we see a lot of members reviewing a 0:05:44.560 --> 0:05:46.640 film saying, I drove two hours to see this, and 0:05:46.680 --> 0:05:49.360 I'm so glad I did because I wanted to see 0:05:49.360 --> 0:05:51.960 it in the seventy millimeter. But also other people who 0:05:52.160 --> 0:05:54.920 you know, watching it on their streaming services, and all 0:05:54.960 --> 0:05:56.800 of it is fine because they're all watching movies. 0:05:57.480 --> 0:06:00.480 How do you just make money? How do we make money? 0:06:00.560 --> 0:06:03.960 Sorry and good quest. 0:06:04.400 --> 0:06:05.640 Yeah, we have wages to pay. 0:06:06.160 --> 0:06:08.760 The first way we did it in the early days 0:06:08.920 --> 0:06:12.680 was by inviting our members to pay an annual subscription 0:06:12.760 --> 0:06:15.040 fee to either be pro or patroon level, and for 0:06:15.200 --> 0:06:19.640 that they get yummy features like their annual stats around 0:06:19.720 --> 0:06:22.800 who you're most watched actors and a map of the 0:06:22.839 --> 0:06:25.520 world that changes color as you watch her film from 0:06:25.560 --> 0:06:29.840 each part of the world. And then we brought an 0:06:29.960 --> 0:06:33.960 advertising and if you don't want advertising with your letterbox experience, 0:06:34.040 --> 0:06:36.040 you can upgrade to prow a patron. 0:06:37.800 --> 0:06:38.000 So that. 0:06:39.800 --> 0:06:44.400 Advertise descriptions, advertising and campaigns, mainly campaigns with a. 0:06:44.320 --> 0:06:45.760 Lot of studios and distributors. 0:06:45.839 --> 0:06:49.800 So the thing we have at letterboxes people's emails and 0:06:49.839 --> 0:06:52.799 their taste in film and their film watching history. So 0:06:52.839 --> 0:06:56.200 someone might come to us with a film and we go, cool, 0:06:56.320 --> 0:06:58.360 these are ten other films that are like that film. 0:06:58.560 --> 0:07:00.479 We will find you the members and the part of 0:07:00.480 --> 0:07:02.120 the world that you want to focus on, and we 0:07:02.160 --> 0:07:05.520 will find the members who have watched and rated four 0:07:05.560 --> 0:07:08.600 stars or above these other films. So we based ou 0:07:08.720 --> 0:07:13.240 tastes rather than demographic and it's it's much more effective. 0:07:13.360 --> 0:07:16.440 We have fifty eight percent open rate in general in 0:07:16.520 --> 0:07:18.400 terms of our campaigns. 0:07:17.880 --> 0:07:19.120 That we do with studios. 0:07:19.800 --> 0:07:20.760 Yeah, amazing, and they. 0:07:20.640 --> 0:07:24.680 Go, are you getting it's interest from working with stars, 0:07:24.720 --> 0:07:27.240 working with actors and actresses who could come on and 0:07:27.280 --> 0:07:29.520 do sort of like a Reddit Asked Me Anything type thing, 0:07:29.640 --> 0:07:32.880 a live engagement to sort of see what their their 0:07:32.920 --> 0:07:34.520 fans are talking about and asking them. 0:07:34.600 --> 0:07:35.720 We would love to. 0:07:35.680 --> 0:07:39.920 Do that out the celebrities want to do that. 0:07:40.280 --> 0:07:41.400 Are you waiting out there? 0:07:41.560 --> 0:07:42.880 We've got a lot of people joining. 0:07:42.880 --> 0:07:44.920 We just had Michael Mann join, We just had them, 0:07:45.000 --> 0:07:47.920 vendors joined, Mattin Still says, who became a member last year. 0:07:49.400 --> 0:07:52.200 We could certainly run a live Q and A if 0:07:52.240 --> 0:07:53.080 they wanted to. 0:07:54.040 --> 0:07:55.560 We haven't done it so far, but we'd love to. 0:07:56.440 --> 0:07:58.840 Well, so how do you get that involvement, because that 0:07:58.880 --> 0:08:00.840 to be would sound like that makes sense right in 0:08:01.080 --> 0:08:04.560 the environment we live in, especially since you have celebrities 0:08:04.640 --> 0:08:07.800 or movie makers or actors that are part of the platform. Yeah, 0:08:08.000 --> 0:08:10.680 have you reached out, like how do you make that 0:08:10.840 --> 0:08:11.520 next out? 0:08:11.600 --> 0:08:14.280 I mean, what we've been focusing on is our four 0:08:14.320 --> 0:08:18.040 favorite Films series, actually, and so that's the great thing 0:08:18.080 --> 0:08:20.400 about that. I mean, absolutely we would love to do 0:08:20.600 --> 0:08:23.680 Live ama Q and as that will come in the future. 0:08:23.800 --> 0:08:27.320 But I think what's really taken off is the simple 0:08:27.400 --> 0:08:30.120 idea that on the app, the first thing we ask 0:08:30.200 --> 0:08:32.720 members to do is when they're setting up their account 0:08:32.800 --> 0:08:34.600 is say their four favorite films. 0:08:34.720 --> 0:08:36.079 So there's four slots, right, and. 0:08:36.040 --> 0:08:37.520 You can pick your full fair you can change them 0:08:37.600 --> 0:08:38.280 up whenever you like. 0:08:38.640 --> 0:08:39.839 It's a feature of the app. 0:08:40.440 --> 0:08:43.559 We started asking people on Red Carpet that question, and 0:08:44.000 --> 0:08:48.559 somehow it took off, and so that's I guess that's 0:08:48.600 --> 0:08:50.280 our quarterstone feature at the moment. 0:08:50.320 --> 0:08:51.560 And the wonderful thing. 0:08:51.440 --> 0:08:54.760 About it is, yeah, like fifty people have said the 0:08:54.760 --> 0:08:58.760 Godfather or the Godfather too, but then they say beautifully 0:08:58.760 --> 0:09:01.640 obscure films like just here today, here Snoop Dogg was 0:09:01.679 --> 0:09:06.880 like Superfly, the mac Dolomite and Scafface, which is so cool. 0:09:07.559 --> 0:09:10.440 So then we see when we post those four favorites, 0:09:10.520 --> 0:09:13.160 we see the watch list spikes, so members are like, interesting, 0:09:13.160 --> 0:09:13.680 I haven't seen that. 0:09:13.760 --> 0:09:15.320 I'm putting it straight on my watch list. 0:09:15.520 --> 0:09:15.679 Yeah. 0:09:15.800 --> 0:09:17.760 So like AI can be a useful tool in all 0:09:17.760 --> 0:09:19.360 of this in a big way. 0:09:19.679 --> 0:09:24.000 Maybe. Yeah. Jemma, thank you so much, really enjoyed this. 0:09:24.000 --> 0:09:25.600 Thanks for finding time Jemma Gracewood. 0:09:25.640 --> 0:09:26.200 She's the editor in. 0:09:26.240 --> 0:09:28.960 Chief of Letterbox. Right here at screen time, Gemma. 0:09:28.800 --> 0:09:34.160 Thanks, you're listening to the Bloomberg Business Week podcast. Catch 0:09:34.240 --> 0:09:37.199 us live weekday afternoons from two to five pm Eastern 0:09:37.360 --> 0:09:39.800 Listen on Apple car Play and then Broyt Auto with 0:09:39.800 --> 0:09:45.040 a Bloomberg Business app, or watch us live on YouTube. 0:09:46.120 --> 0:09:47.760 So we want to get back to Bloomberg's screen time. 0:09:47.760 --> 0:09:49.880 As you can hear a lot going on around us. 0:09:49.920 --> 0:09:51.440 It's a little loud, but. 0:09:51.400 --> 0:09:54.560 It is all about content creation, how we receive it, 0:09:54.600 --> 0:09:56.040 who's involved in it. 0:09:56.040 --> 0:09:58.679 It's being disruptive. There's a lot of innovation, there's a 0:09:58.720 --> 0:09:59.800 lot of technology in it. 0:10:00.000 --> 0:10:02.480 Our next guest has really first hand seen the impact 0:10:02.520 --> 0:10:05.719 that technology can have on creators and how we create this. 0:10:05.920 --> 0:10:09.079 She's former VP of Creative plat Experience and Engagement over 0:10:09.080 --> 0:10:09.680 at Adobe. 0:10:09.679 --> 0:10:11.559 She was involved in the building of something we. 0:10:11.600 --> 0:10:14.360 All have a lot about Photoshop and probably have used 0:10:14.679 --> 0:10:18.080 her background span such company as Flicker, Yahoo, Mail and 0:10:18.120 --> 0:10:20.319 We were Common. She's also the founder and former CEF 0:10:20.400 --> 0:10:23.640 Tom Collery, which was bought by Yahoo one decade ago. 0:10:23.720 --> 0:10:27.560 Let's bring in Kako Shrivastava. She's the CEO right now 0:10:27.679 --> 0:10:29.760 at the music creation platform. 0:10:29.760 --> 0:10:32.960 It is called Splice. Welcome, Welcome, Welcome, Hello. 0:10:32.960 --> 0:10:33.680 Thanks for having me. 0:10:33.760 --> 0:10:35.640 Well, it's great to have you here when it comes 0:10:35.640 --> 0:10:36.120 to music. 0:10:36.200 --> 0:10:39.040 You guys offer up tools when it comes to music 0:10:39.080 --> 0:10:42.160 creation to us, our audience may not so familiar what 0:10:42.280 --> 0:10:42.880 exactly you do. 0:10:43.520 --> 0:10:48.280 So Splice is the world's largest marketplace for samples, which 0:10:48.280 --> 0:10:51.640 are the lego building blocks that are of sound that 0:10:51.679 --> 0:10:56.000 are used to build modern music. Right, so you hear 0:10:56.120 --> 0:11:01.360 all those beautiful layered sounds and pop music can even 0:11:01.440 --> 0:11:05.680 country music that's built using samples like the kind. 0:11:05.440 --> 0:11:06.240 That we provide. 0:11:07.280 --> 0:11:10.440 One of the things that we've been working on is 0:11:10.520 --> 0:11:13.760 because we have this incredibly rich library of sounds that 0:11:13.800 --> 0:11:16.240 we collect from all over the world. So even now, 0:11:16.280 --> 0:11:19.240 we have a team in South Pallo really going deep 0:11:19.320 --> 0:11:22.880 on the stream culture there, understanding music, how music is 0:11:22.920 --> 0:11:25.400 being made, and capturing those sounds for our libraries. 0:11:26.520 --> 0:11:29.920 Because we have this library, we can build this next 0:11:29.920 --> 0:11:32.439 generation of AI based tools, because. 0:11:32.200 --> 0:11:35.240 We have a very clean training set, which is essential 0:11:35.400 --> 0:11:38.960 for building AI sokay of the sample library that people 0:11:39.000 --> 0:11:41.200 can play around with. We have the sample library, but 0:11:41.240 --> 0:11:43.760 we also have creative tools that people can use that 0:11:43.800 --> 0:11:47.400 are AI powered to create their own music. So, for example, 0:11:48.320 --> 0:11:51.480 you can start on splice. You can upload a musical 0:11:51.520 --> 0:11:53.839 idea that you have a guitar riff that you've been 0:11:53.880 --> 0:11:56.959 working on, or you know, the musical, a little bit 0:11:57.040 --> 0:11:59.560 of a song that you've written, and we will help 0:11:59.600 --> 0:12:03.240 you ussemble the track around that because we have the 0:12:03.280 --> 0:12:06.360 samples and we can use our AI technology to match 0:12:06.400 --> 0:12:09.080 to listen to what you've built and match the right 0:12:09.240 --> 0:12:11.439 complimentary sounds that go a lot with them. 0:12:11.480 --> 0:12:14.760 Pretty cool, cool for us to hear. But if you're 0:12:14.760 --> 0:12:18.200 a musician, if you're a musician who yes, these her living, 0:12:19.200 --> 0:12:22.840 they're living creating music. Yeah, are you scared of tools 0:12:22.880 --> 0:12:23.480 such as these? 0:12:24.040 --> 0:12:24.439 No? 0:12:24.440 --> 0:12:28.960 No, no no, I think that's actually what makes us 0:12:28.600 --> 0:12:33.720 of a very different player in this space are target customers. 0:12:33.720 --> 0:12:36.440 The people who pay us money are musicians, and so 0:12:36.600 --> 0:12:40.480 resually focus on how do you take the toils out 0:12:40.520 --> 0:12:41.440 of their work? 0:12:41.480 --> 0:12:44.560 And if you watch people create music, especially in samples 0:12:44.640 --> 0:12:48.440 based music, you see them click through and listen to 0:12:49.880 --> 0:12:52.800 forty different drum sounds to find the right one. 0:12:53.160 --> 0:12:55.560 Because we can get you in the right ball car faster. 0:12:56.160 --> 0:12:59.000 You can just bring that into your whatever creative tool. 0:12:58.880 --> 0:13:00.840 You use to sort of get to the next level. 0:13:01.000 --> 0:13:02.160 CaCO, who owns it? 0:13:02.200 --> 0:13:02.400 Though? 0:13:02.559 --> 0:13:04.280 Like I'm thinking about all these sounds that you are 0:13:04.280 --> 0:13:07.119 pulling in from around the world, which sounds super cool. 0:13:07.080 --> 0:13:08.640 Right, But who owns it? 0:13:08.960 --> 0:13:11.800 That's a great question, that's a really and it's it's 0:13:11.800 --> 0:13:14.720 a question that people should be asking all the time, right, 0:13:14.840 --> 0:13:16.599 because creators should. 0:13:16.320 --> 0:13:19.080 Own their music, or you should. 0:13:18.800 --> 0:13:23.520 Do the right thing in compensating creators to use their music, 0:13:23.559 --> 0:13:26.360 whether it's for creating libraries or for other things. 0:13:26.440 --> 0:13:26.560 Right. 0:13:26.720 --> 0:13:32.800 So, our library entirely is built on having relationships with 0:13:32.840 --> 0:13:36.840 the artists directly. Who are the sample equators, the sound designers, 0:13:36.920 --> 0:13:39.959 the artist musicians all over the world to work with 0:13:40.040 --> 0:13:42.839 us to bring their sounds to our platform. 0:13:43.320 --> 0:13:46.640 So are they are they initially compensated once or every 0:13:46.640 --> 0:13:50.000 time somebody uses it and uses it in their own composition, 0:13:50.480 --> 0:13:51.480 they get some kind of fit. 0:13:51.679 --> 0:13:56.240 Yeah. So we work with the artists themselves on the 0:13:56.679 --> 0:13:58.880 to bring the sounds in and we have different kinds 0:13:58.920 --> 0:14:01.160 of deals. Some people are like, yeah're gonna just take 0:14:01.160 --> 0:14:02.120 a flat fee right now. 0:14:02.200 --> 0:14:03.240 That's what's important to me. 0:14:03.840 --> 0:14:07.479 Other people participate in our network in some way marketplace 0:14:07.520 --> 0:14:11.959 in some way. On the other side, the customers who 0:14:12.000 --> 0:14:16.240 subscribe to the sample library, just who subscribe to Splice. 0:14:16.600 --> 0:14:20.320 The way that works is when we are loyal to 0:14:20.400 --> 0:14:23.800 free so that you know, regardless of how you use 0:14:23.880 --> 0:14:25.920 the sound, whether you use it for something for your 0:14:25.920 --> 0:14:28.520 own personal creation that never sees the light of day, 0:14:29.280 --> 0:14:31.360 or you end up having it show up in a 0:14:31.600 --> 0:14:35.120 hit track with Sabreta Carpenter or the Espresso song which 0:14:35.120 --> 0:14:40.000 happened recently with a Subsplice samples. 0:14:39.240 --> 0:14:40.360 You know, it's it's. 0:14:40.240 --> 0:14:43.200 Fine if you're totally free to do that and you 0:14:43.280 --> 0:14:44.320 use the sounds in your repreation. 0:14:44.520 --> 0:14:47.320 It's sort of related about copyright safe. 0:14:47.600 --> 0:14:48.600 Yeah. 0:14:48.600 --> 0:14:51.520 If somebody wants to use the tools to develop something 0:14:51.560 --> 0:14:54.480 that would be used for commercial purposes, how do you 0:14:54.600 --> 0:14:58.480 ensure that the sound what it was trained on is 0:14:58.560 --> 0:14:59.400 copyright saved. 0:15:00.200 --> 0:15:01.320 That's a great question. 0:15:01.480 --> 0:15:03.119 I think that's a much. 0:15:03.080 --> 0:15:07.400 More important question for people who are doing generative AIS 0:15:07.640 --> 0:15:11.040 right they're creating news sounds. All of the sounds on 0:15:11.240 --> 0:15:15.080 splice are human created, human curated, So we have those 0:15:15.120 --> 0:15:16.800 relationships with the artists directly. 0:15:16.800 --> 0:15:18.160 When do you get to the point where you are 0:15:18.200 --> 0:15:20.120 doing jenai sound, You. 0:15:20.080 --> 0:15:22.160 Know, we're looking at it really carefully. 0:15:22.600 --> 0:15:26.040 Our belief, and we feel this pretty strongly, is that 0:15:26.440 --> 0:15:29.160 the way that generic AI should be used is not 0:15:29.440 --> 0:15:34.440 actually to create content, but rather to create tools to 0:15:34.920 --> 0:15:36.480 allow human beings to create content. 0:15:36.520 --> 0:15:38.520 Okay, so explain the difference between those two things. 0:15:39.000 --> 0:15:39.280 Sure. 0:15:39.600 --> 0:15:42.560 So one is okay, I've typed in a bunch of 0:15:42.600 --> 0:15:46.280 words and proof a song comes out, and that's an 0:15:46.280 --> 0:15:47.040 interesting thing. 0:15:47.080 --> 0:15:49.840 It's interesting to something that would be. 0:15:49.800 --> 0:15:55.200 That's very a very first version Jenei experience that everyone 0:15:55.280 --> 0:15:59.400 is like they're buzzing about right now. Another example is 0:16:00.120 --> 0:16:04.160 something we actually just launched yesterday, this new integrated experience 0:16:04.720 --> 0:16:08.320 that is right inside the main creative tool that people 0:16:08.440 --> 0:16:10.800 use for We've been a partnership with the company call 0:16:10.840 --> 0:16:15.840 Studio one, and there's a splice plug in that's integrated 0:16:15.840 --> 0:16:19.120 deep into the thing, and so user is creating something 0:16:19.360 --> 0:16:22.400 and we're able to listen to what the user is creating, 0:16:22.480 --> 0:16:24.160 or the user is able to say, you know, find 0:16:24.160 --> 0:16:27.240 something that matches this sound, and by looking at what 0:16:27.320 --> 0:16:30.920 the user's sound is, we're able to assemble human created, 0:16:31.160 --> 0:16:34.120 human created sounds to help. 0:16:33.960 --> 0:16:36.920 Them come completely. That is not jen AI. 0:16:36.880 --> 0:16:39.560 But it's the kind of tool that builds on that 0:16:39.640 --> 0:16:40.600 kind of AI memor. 0:16:40.840 --> 0:16:42.640 Cause we get into some of the business and getting ready, 0:16:42.640 --> 0:16:44.080 we have a bat a couple of minutes left here. 0:16:44.160 --> 0:16:46.400 How many users, what do they mostly use it for? 0:16:46.520 --> 0:16:49.080 What's the engagement? You know, I feel like I'm always 0:16:49.080 --> 0:16:51.440 stuck asking the question one of us is how do 0:16:51.440 --> 0:16:53.320 you guys make money? Like, how do you wear a 0:16:53.360 --> 0:16:59.200 subscription business? We have over half a million subscribers who pay. 0:16:59.120 --> 0:16:59.680 Us every month. 0:17:00.040 --> 0:17:02.040 Yeah, and they're sticky, they stay with you. 0:17:02.240 --> 0:17:03.920 Yeah, kind they do well. 0:17:03.960 --> 0:17:06.600 We still have people who've been started with Slice five 0:17:06.680 --> 0:17:11.480 years ago, six years ago, so definitely, and that comes 0:17:11.480 --> 0:17:13.399 from us focusing on people. 0:17:13.119 --> 0:17:14.760 Who are serious music creators. 0:17:14.760 --> 0:17:16.800 So we know people who are really investing in their 0:17:17.359 --> 0:17:21.680 their livelihood or their passion, their hobby, what's. 0:17:21.440 --> 0:17:22.480 The growth in users? 0:17:22.560 --> 0:17:23.480 Are you profitable? 0:17:23.600 --> 0:17:24.840 Like, we are profitable. 0:17:25.000 --> 0:17:28.560 We are profitable and we are growing. So the poor 0:17:28.600 --> 0:17:30.520 business is incredibly. 0:17:29.920 --> 0:17:31.240 Powerful and incredibly strong. 0:17:31.359 --> 0:17:34.680 Over one hundred thousand users come to our site every day. 0:17:34.880 --> 0:17:39.360 Over a million sounds are downloaded every day, so we're operating. 0:17:38.960 --> 0:17:40.280 At meaningful scale. 0:17:41.000 --> 0:17:44.000 The creator tool, the AI stuff is new and we'll 0:17:44.040 --> 0:17:45.080 all see where that goes. 0:17:45.320 --> 0:17:47.800 You're new to the business, relatively music business. I can 0:17:47.920 --> 0:17:50.280 say you are stage technology. You've just got about thirty 0:17:50.320 --> 0:17:51.399 forty seconds left here? 0:17:51.440 --> 0:17:52.360 What are you learning? 0:17:53.080 --> 0:17:53.159 Like? 0:17:53.240 --> 0:17:55.560 What's kind of surprised you? And how difference this world is? 0:17:55.560 --> 0:17:58.480 And so I've spent my entire career focused on creative people. 0:17:58.520 --> 0:18:01.840 You have to describe some of my background earlier. Musicians 0:18:02.000 --> 0:18:05.920 music creators are just like other there's like software developers, 0:18:06.320 --> 0:18:10.439 they're like graphic designers. They want the time and space 0:18:10.520 --> 0:18:13.720 to focus on their craft and they want their tools 0:18:13.720 --> 0:18:16.320 to get out of the way right because they want 0:18:16.560 --> 0:18:19.680 that idea in their head to come out in terms 0:18:19.680 --> 0:18:23.399 of vibrations that will hit our ears right, and getting 0:18:23.440 --> 0:18:25.600 out of the way is our job that just want 0:18:25.640 --> 0:18:26.800 to do this to their craft. 0:18:27.040 --> 0:18:28.800 Yes, couple, thank you so much. 0:18:28.880 --> 0:18:29.359