WEBVTT - Raspberry Pi’s ‘Once in a Lifetime’ Chip Disruption 0:00:03.120 --> 0:00:09.240 Bloomberg Audio Studios, Podcasts, radio News. 0:00:19.960 --> 0:00:22.840 Hello in the City listeners, I'm Francis Lacua and I 0:00:22.920 --> 0:00:25.280 wanted to give you a heads up. This week's show 0:00:25.440 --> 0:00:41.560 is a little bit different. Firstly, this episode is hosted 0:00:41.600 --> 0:00:45.040 by Stephen Carroll, our amazing colleaguen host of Bloomberg Radio's 0:00:45.159 --> 0:00:49.440 Daybreak Euroup. And Secondly, the podcast episode was recorded in 0:00:49.479 --> 0:00:52.280 front of an audience at an event held recently in 0:00:52.320 --> 0:00:54.040 London called gross Summit. 0:00:54.520 --> 0:00:54.720 Now. 0:00:54.760 --> 0:00:58.120 Gros Summit brings together UK tech scale up entrepreneurs and 0:00:58.160 --> 0:01:02.160 investors to share ideas and connect, and part of this 0:01:02.240 --> 0:01:06.240 year's event included a conversation between Stephen and two outstanding 0:01:06.319 --> 0:01:09.839 voices from the tech scene, Eben Upton, CEO of Raspberry 0:01:09.840 --> 0:01:14.280 Pie and Cherry Cutu, serial entrepreneur and angel investor. They 0:01:14.280 --> 0:01:17.520 discussed the success of Raspberry Pie, London as a place 0:01:17.560 --> 0:01:21.000 to list and whether the UK is leading on AI literacy. 0:01:21.520 --> 0:01:26.440 Enjoy Welcome to the City of London, the. 0:01:26.400 --> 0:01:28.480 City of the City of London. 0:01:31.120 --> 0:01:32.520 Please mind the gap. 0:01:32.560 --> 0:01:37.280 Between the tree and the financial hearts of the country, 0:01:41.480 --> 0:01:42.760 the city, the city. 0:01:43.160 --> 0:01:44.560 Welcome to in the city. 0:01:46.640 --> 0:01:48.600 Stand clear of the doors. 0:01:49.040 --> 0:01:53.040 Pea Welcome to in the City a podcast from Bloomberg 0:01:53.080 --> 0:01:55.480 where the story is important to the city of London. 0:01:55.560 --> 0:01:57.400 I'm Stephen Carrol. We're here in front of a live 0:01:57.440 --> 0:01:59.840 audience at the Grow some of It's Future Horizons of 0:02:00.160 --> 0:02:02.880 in London. This is a gathering of founders, investors and 0:02:02.960 --> 0:02:05.640 others focused on the next generation of technologies and how 0:02:05.640 --> 0:02:08.720 they might change our lives. Today we're talking about a 0:02:08.800 --> 0:02:12.000 UK success story in this sector. Raspberry Pie is the 0:02:12.000 --> 0:02:14.040 world's largest single board computer company. 0:02:14.200 --> 0:02:14.600 Cambridge. 0:02:14.639 --> 0:02:17.560 Firm is also a bright star in the gloomy London 0:02:17.600 --> 0:02:20.960 listing's landscape, having held its IPO in June last month, 0:02:21.000 --> 0:02:23.960 the company reported more than sixty percent jump in revenues 0:02:23.960 --> 0:02:25.360 in the first half of this year, and we have 0:02:25.360 --> 0:02:28.080 two of its leading lights with us today. Evan Upton 0:02:28.120 --> 0:02:30.880 is the founder and CEO of Raspberry Pie. Cherry Cootu, 0:02:31.000 --> 0:02:34.720 a serial entrepreneur investor in her own right, founded Interactive Investor, 0:02:34.760 --> 0:02:36.480 brought back to IPO as well and as a board 0:02:36.520 --> 0:02:38.480 member of Raspberry Pie as well. Great to have you 0:02:38.520 --> 0:02:42.160 both with us here at the Future Horizon's event. So Evan, 0:02:42.280 --> 0:02:45.000 let's bring us back a little bit. First, you founded 0:02:45.080 --> 0:02:48.200 raspberry Pie, or rather the company started in twenty twelve. 0:02:48.280 --> 0:02:50.679 Did you ever think that twelve years later he'd be 0:02:50.680 --> 0:02:51.760 where you are now? 0:02:51.800 --> 0:02:54.520 Absolutely not, we had I think the interesting thing when 0:02:54.560 --> 0:02:57.360 you look back on twenty twelve is how how small 0:02:57.400 --> 0:02:59.400 the dreams were. Right, you know, we were a group 0:02:59.440 --> 0:03:02.679 of us in Camege concerned about the dearth of young 0:03:02.680 --> 0:03:05.919 people applying to study commuter science at the university. We 0:03:05.919 --> 0:03:09.760 were down to a non actionable advice in two thousand 0:03:09.760 --> 0:03:10.920 and eight. If you wanted to get your child in 0:03:10.960 --> 0:03:13.399 to study any quantitative subject of the University of Cambridge, 0:03:13.480 --> 0:03:14.840 the best way for them to do that was to 0:03:14.840 --> 0:03:17.120 apply to computer science and then switch once they were there. 0:03:17.280 --> 0:03:19.800 We were down to something like two applicants for every place, 0:03:19.840 --> 0:03:22.399 which is just you know, a terrible ratio. And really 0:03:22.440 --> 0:03:24.360 the dream for raspberry Pie is, well, suppose we could 0:03:24.360 --> 0:03:27.080 get build a thousand raspberry pies, get them into the 0:03:27.080 --> 0:03:28.760 hands of a thousand young people at the right put 0:03:28.800 --> 0:03:30.480 in their lives, and then if one in ten of 0:03:30.480 --> 0:03:33.160 them applies to Cambridge, then that's a fifty percent increase 0:03:33.200 --> 0:03:35.480 in a number of applicants. So this is an organization 0:03:35.840 --> 0:03:38.560 which is now we're closing in what is that? That's 0:03:38.680 --> 0:03:41.800 four orders of magnitude, you know, between four and five 0:03:41.880 --> 0:03:44.080 orders of magnitude large. We sold over sixty million Raspberry 0:03:44.120 --> 0:03:47.120 pies and the twelve years they've been on sale. So yeah, 0:03:46.520 --> 0:03:49.200 it's an organization which is operating in all sorts of 0:03:49.200 --> 0:03:51.800 ways of the scale vastly beyond what we could have imagined. 0:03:52.000 --> 0:03:53.760 A Sarry, tell us about how you got involved in 0:03:53.800 --> 0:03:56.640 the Raspberry Paie, you've been on board since the early days. 0:03:57.240 --> 0:04:00.400 Yes, well, amazingly there is a link to to this 0:04:00.480 --> 0:04:04.680 summit in that we were having an exhibition of you know, 0:04:04.840 --> 0:04:08.160 companies in Cambridge and one of the speakers that we 0:04:08.200 --> 0:04:10.839 had over from Silicon Valley came to me and said, 0:04:11.120 --> 0:04:14.880 I've just met a really interesting person over there doing 0:04:14.960 --> 0:04:18.640 something you need to know about. He grabbed me and 0:04:18.680 --> 0:04:20.760 he walked me over to you know, to Eban and 0:04:20.800 --> 0:04:24.800 also at that point Jack Lang and you showed me, 0:04:25.000 --> 0:04:26.880 well it was, and that's what piqued my interest. So 0:04:27.000 --> 0:04:29.239 you know, you never know what happens at these summits 0:04:29.240 --> 0:04:31.680 and these exhibitions, but that that was the memory, and 0:04:32.000 --> 0:04:36.200 you know, I loved you know, again the network effects. 0:04:36.240 --> 0:04:39.240 Someone's saying to me, you should be interested in that. 0:04:39.320 --> 0:04:42.440 It's going to change the world and so far so and. 0:04:42.400 --> 0:04:45.520 You've been a director of the Commercial Bit, the trading 0:04:45.640 --> 0:04:48.000 entity since it was founded at the end of twenty 0:04:48.040 --> 0:04:50.320 twelve and even and you did six years tour of 0:04:50.400 --> 0:04:52.280 duty as a trustee of the foundation as well. 0:04:52.640 --> 0:04:55.480 Yep, so yeah, joined immediately and then we kept on 0:04:55.560 --> 0:04:57.760 giving you know, like a huge amount of money to 0:04:57.800 --> 0:05:00.200 the foundation. It was like, I'd really like to join 0:05:00.240 --> 0:05:01.960 them as a trustee and find out how they're spending 0:05:01.960 --> 0:05:04.800 this money and just sort of make sure it's okay. 0:05:05.000 --> 0:05:07.840 And did that and then timed out after six years 0:05:07.839 --> 0:05:11.320 and then came back, you know, solely to the Training Foundation. 0:05:11.480 --> 0:05:15.080 And then really that was the ride up to what 0:05:15.160 --> 0:05:18.039 would be brilliant in you know, how can we grow 0:05:18.040 --> 0:05:20.960 this bigger, faster, better and how big can we actually 0:05:21.000 --> 0:05:21.320 get it? 0:05:21.400 --> 0:05:23.560 And well, I mean that's where I suppose where we 0:05:23.600 --> 0:05:25.000 go from here as part of the story. But I 0:05:25.040 --> 0:05:27.039 do wonder. I mean, the world was arguably a very 0:05:27.080 --> 0:05:30.400 different place than twenty twelve. You know, we were before Brexit, 0:05:30.440 --> 0:05:32.600 we were, you know, before all of the changes we've 0:05:32.640 --> 0:05:34.599 seen in the politics in the US. Arguably a more 0:05:34.640 --> 0:05:37.239 stable world at that time as well. Do you think 0:05:37.279 --> 0:05:39.800 that it's possible to have done what you've done with 0:05:40.000 --> 0:05:42.360 Raspberry Pie in twenty twenty four. 0:05:42.800 --> 0:05:45.800 I think the interesting thing is there aren't many places 0:05:45.800 --> 0:05:47.800 in the world where you could I think you could 0:05:47.800 --> 0:05:50.080 definitely still do it, but there were not many places 0:05:50.120 --> 0:05:52.480 in the world where you could have done it. Then 0:05:52.600 --> 0:05:54.919 obviously you could presumably have done it in Silicon Valley. 0:05:55.279 --> 0:05:57.719 You could do it in Cambridge or in London. We 0:05:57.800 --> 0:06:00.360 are very privileged here that we are located in one 0:06:00.360 --> 0:06:02.720 of the world's pre eminent turk clusters, probably the pre 0:06:02.760 --> 0:06:06.279 eminent tech cluster outside North America. I don't think things 0:06:06.279 --> 0:06:09.880 have got harder. I think they've got different. But you know, 0:06:09.920 --> 0:06:11.680 certainly we were glad that we did it. We're glad 0:06:11.680 --> 0:06:13.440 we did it when we did it, because, of course 0:06:13.440 --> 0:06:15.320 we found a This was one of these kind of 0:06:15.320 --> 0:06:18.080 blue ocean stories. What did we discover when we launched 0:06:18.160 --> 0:06:21.520 Rosberry Pie? That there was an enormous pool This happens sometimes, 0:06:21.920 --> 0:06:24.240 that there is a pool of latent demand for a 0:06:24.240 --> 0:06:27.440 particular object that doesn't exist. And then when you we 0:06:27.440 --> 0:06:29.280 saw one hundred thousand Rosby Pies on our first day, 0:06:29.320 --> 0:06:31.800 didn't we In the twenty ninth of February, the rather 0:06:31.880 --> 0:06:34.040 quixotic twenty ninth of Febry Lunge. Dight we have terrible 0:06:34.040 --> 0:06:36.320 birthday party. We have amazing birthday parties, we just don't 0:06:36.320 --> 0:06:39.520 have them very I hope every year. We spent a 0:06:39.920 --> 0:06:42.000 few thousand hounds on fireworks every four years, don't we? 0:06:43.040 --> 0:06:45.600 And but you know, there was a huge pool of 0:06:45.640 --> 0:06:47.960 latent demand just sitting there waiting for rasbary Pie, and 0:06:48.000 --> 0:06:50.960 it crystallized when we dropped the first little crystal into 0:06:50.960 --> 0:06:53.400 the solution. I'm not sure we could have relied on 0:06:53.440 --> 0:06:57.160 that that pool of demand remaining unsatisfied if we'd waited 0:06:57.160 --> 0:06:58.880 twelve years to try and satisfy. 0:06:59.360 --> 0:07:02.920 And from a broader investment landscape as well, I mean, 0:07:03.160 --> 0:07:06.200 is is the UK still as vibrant a place? Do 0:07:06.240 --> 0:07:08.480 you still? Can you still attract and find and attract 0:07:08.480 --> 0:07:13.000 attention of investors in twenty twenty four versus in twenty twelve. 0:07:13.480 --> 0:07:17.040 I would argue it's easier because of you know, easier 0:07:17.040 --> 0:07:18.520 now than before. I mean it used to be very 0:07:18.520 --> 0:07:22.240 hard to get funding and the talent and also have 0:07:22.320 --> 0:07:24.040 the capacity in the you know, the sort of the 0:07:24.320 --> 0:07:27.880 leadership capacity as well. We've gone from you know, in 0:07:27.880 --> 0:07:31.360 twenty twelve we were thirteenth in the globe in terms 0:07:31.400 --> 0:07:33.120 of the number of scale ups per thousand, and we're 0:07:33.160 --> 0:07:36.640 now three. And in AI and some other industries number 0:07:36.720 --> 0:07:39.920 were number one. And I think we're focused on, you know, 0:07:39.960 --> 0:07:44.200 not only starting companies, but the infrastructure for scaling companies 0:07:44.480 --> 0:07:46.200 so that they can ten x and then ten x 0:07:46.240 --> 0:07:50.440 again and then ten x again is there. And creating 0:07:50.880 --> 0:07:53.800 you know, we were earlier, you know, creating decacorns and 0:07:53.880 --> 0:07:56.960 centercorns rather than just focusing on unicorns. 0:07:56.960 --> 0:07:58.720 It's absolutely possible. 0:07:59.160 --> 0:08:01.680 Part of the conversation that we've been hearing a lot 0:08:01.720 --> 0:08:03.960 particularly we're thinking about, and you huge experience in London's 0:08:04.000 --> 0:08:07.560 capital markets as well, is the journey to scale and 0:08:07.600 --> 0:08:10.600 how you get beyond a certain level. It feels like 0:08:10.640 --> 0:08:12.200 a lot of people go to the US after a 0:08:12.200 --> 0:08:16.000 certain level. Raspberry Priie hasn't. Why do you think that 0:08:16.080 --> 0:08:20.920 it's that others are choosing the US over you know, 0:08:20.920 --> 0:08:22.800 a London listing. I'll come back to the London listing 0:08:22.880 --> 0:08:23.760 choice you made in a moment. 0:08:25.240 --> 0:08:28.119 Well, well, I actually think London is a brilliant place 0:08:28.200 --> 0:08:32.400 to to float a company, and you know, and I think, well, Evan, 0:08:32.440 --> 0:08:35.280 we'll talk about the great reasons why we choose here 0:08:35.400 --> 0:08:36.439 rather than elsewhere. 0:08:37.040 --> 0:08:38.880 I have been involved in floats. 0:08:38.840 --> 0:08:43.079 On the New York and the Nasdaq markets, and in 0:08:43.120 --> 0:08:46.200 those cases that the talent was over there, the customers 0:08:46.240 --> 0:08:49.040 were over there, and we felt the liquidity would be 0:08:49.040 --> 0:08:52.200 there as as well. But that doesn't mean that it's 0:08:52.600 --> 0:08:55.160 that it's not here. I think it really is company 0:08:55.200 --> 0:09:00.240 specific on which is the right exchange to go. 0:09:00.240 --> 0:09:03.520 To count attach companies. Is London is still a good 0:09:03.520 --> 0:09:07.000 place to list absolutely? I mean, tell us about White 0:09:07.000 --> 0:09:09.199 Trovy to lift in London, because I'm sure they were, 0:09:09.360 --> 0:09:10.040 there was interest. 0:09:10.400 --> 0:09:12.400 Yeah, So so I went out to I went. I 0:09:12.440 --> 0:09:14.920 went out to New York about thirteen fourteen months ago, 0:09:15.520 --> 0:09:17.600 and I've said I think I got on the plane 0:09:18.040 --> 0:09:20.200 seventy to thirty in favor of listing in New York. 0:09:20.600 --> 0:09:22.360 I think there is a slite geist around the idea 0:09:22.360 --> 0:09:23.839 that there is some at least that there is a 0:09:24.040 --> 0:09:26.959 squad of liquidity, probably not not super relevant for a 0:09:27.000 --> 0:09:30.360 company on our scale, but that perhaps there is a 0:09:30.480 --> 0:09:33.760 multiples advantage your company would be more highly valued. I 0:09:33.760 --> 0:09:35.760 think what the London Stock Exchange people will tell you 0:09:36.000 --> 0:09:38.000 is that that is a that's a kind of a 0:09:38.040 --> 0:09:40.959 it's a data artifact that what you're really measuring there 0:09:41.040 --> 0:09:43.440 is you're measuring that there are different sorts of companies 0:09:43.440 --> 0:09:46.480 listed in New York and listed in London. Once you 0:09:46.520 --> 0:09:48.720 stratify down and compare apples to apples, you find that 0:09:48.720 --> 0:09:52.880 there's no real liquidity, no real multiples arbitrage. And of 0:09:52.920 --> 0:09:55.520 course you wouldn't expect that. It's a weird idea that 0:09:55.559 --> 0:09:59.040 there would be some long term, durable arbitrage in valuation 0:09:59.520 --> 0:10:02.640 between companies in London and New York. Went out to 0:10:02.679 --> 0:10:07.480 New York, really got the you know, feedback that from 0:10:07.520 --> 0:10:10.520 investors there that there wasn't an arbitrage. Maybe, I mean, 0:10:10.559 --> 0:10:13.960 you could perhaps persuade somebody to suggest US fund managers 0:10:14.000 --> 0:10:16.360 maybe a little bit more tiggerish, you might get fourteen 0:10:16.600 --> 0:10:18.719 x rather than thirteen X out of somebody, but you're 0:10:18.760 --> 0:10:21.079 not talking about twenty x us as ten x. And 0:10:21.160 --> 0:10:23.080 then said against that, there are a lot of disadvantages 0:10:23.120 --> 0:10:25.000 for companies at our scale, so they sort of kind 0:10:25.000 --> 0:10:27.760 of roughly billion dollar valuation companies. There's a noise flow 0:10:27.800 --> 0:10:29.280 in New York, and there's a risk that you would 0:10:29.320 --> 0:10:31.880 fall into this noise flaw. Struggle to get investor attention, 0:10:32.520 --> 0:10:35.440 struggle to get analyst attention, and so got back on 0:10:35.480 --> 0:10:37.720 that plane, sort of convinced that we could make it 0:10:37.760 --> 0:10:40.840 work in London, convinced that we could attract American money. 0:10:41.160 --> 0:10:42.800 You know, another piece of feedback we've got is, look, 0:10:43.040 --> 0:10:46.079 you know, if you've got a if you've got an 0:10:46.120 --> 0:10:48.840 equity story, if you're prepared to come out and educate 0:10:48.840 --> 0:10:51.400 American investors about your equity story, that money will come 0:10:51.440 --> 0:10:53.840 find you regardless of where you And when we came back, 0:10:54.280 --> 0:10:56.480 picked bankers took a round at it. We had we 0:10:56.520 --> 0:10:58.280 had a I guess, a conviction there would be a 0:10:58.320 --> 0:11:00.600 window this year. There wasn't the window and open. You 0:11:00.600 --> 0:11:02.880 know the challenge with the window It opens and closes, 0:11:03.120 --> 0:11:04.480 and if you wait for it to be open, it's 0:11:04.480 --> 0:11:05.679 going to take you six months to get to it. 0:11:05.720 --> 0:11:07.319 So if you wait for it to be open, by 0:11:07.320 --> 0:11:08.640 the time you try and jump through, it's going to 0:11:08.679 --> 0:11:10.680 slam on your fingers. So we had a conviction there 0:11:10.679 --> 0:11:12.319 would be a window in the second quarter of this year, 0:11:12.360 --> 0:11:15.000 and started running and yeah, my fingers, even my toes 0:11:15.000 --> 0:11:16.640 are intact. So you know, we did we did well. 0:11:17.440 --> 0:11:20.320 I'm thinking about people in this room who might be 0:11:20.440 --> 0:11:22.480 you know, hoping that they're they've got something in their 0:11:22.480 --> 0:11:24.760 sights they want to be listing, and you know, let's 0:11:24.800 --> 0:11:27.000 let's be optimistic and say in the next year, congratulations 0:11:27.120 --> 0:11:30.560 you are what sort of obstacles would you want to 0:11:30.720 --> 0:11:32.640 would you want to make that path easier for people 0:11:32.640 --> 0:11:33.280 that come after you. 0:11:34.559 --> 0:11:36.320 I think we had I think we had a good 0:11:36.360 --> 0:11:39.200 run of it. I think we benefited from having we 0:11:39.320 --> 0:11:41.280 benefited from having I think done the work on the 0:11:41.280 --> 0:11:45.120 board composition. So we've done the work on on on 0:11:45.160 --> 0:11:48.000 adding a few people to the board just to just 0:11:48.040 --> 0:11:50.920 to get public markets ready already. We had some great advisors, 0:11:52.000 --> 0:11:56.120 Peel Hunt and Jefferies, as are joint global coordinators link 0:11:56.160 --> 0:11:59.520 Laters for legal you know. So so I think what 0:11:59.520 --> 0:12:01.560 we've done is we took a run at it. To you, 0:12:01.559 --> 0:12:03.880 I wouldn't recommend anyone do this, but we took a 0:12:03.960 --> 0:12:07.080 run at it. Two years earlier. We'd expect notes in 0:12:07.080 --> 0:12:09.160 this audience. Yeah, we hoped that this is this is 0:12:09.160 --> 0:12:11.160 something really something not to do unless you absolutely have to. 0:12:11.880 --> 0:12:14.320 We took a run at IPO started running at the 0:12:14.440 --> 0:12:16.240 end of twenty twenty one with a conviction that we'd 0:12:16.240 --> 0:12:18.320 be able to float in the second quarter of twenty 0:12:18.360 --> 0:12:20.640 twenty two. Obviously one or two bad things happened. Bad 0:12:20.640 --> 0:12:24.160 things happened, geopolitically, bad things happened to our company. We 0:12:24.160 --> 0:12:28.320 were quite badly affected by the global semiconductory supply chain crisis. 0:12:28.800 --> 0:12:30.240 So in that case, the window did close on the 0:12:30.240 --> 0:12:32.599 window slammed on our fingers. What it did mean was 0:12:32.640 --> 0:12:34.640 that a year ago, when we started the process, we 0:12:34.640 --> 0:12:37.760 were going in with a very mature set of collateral, 0:12:37.760 --> 0:12:41.000 so we were going with an almost complete prospectus. We 0:12:41.160 --> 0:12:43.880 were going in having gone out and spoken to investors 0:12:43.880 --> 0:12:46.839 in twenty twenty one, having made some claims about how 0:12:46.840 --> 0:12:49.040 we were going to evolve our business over the next 0:12:49.040 --> 0:12:50.320 couple of years. And then when we were going out 0:12:50.320 --> 0:12:52.520 to investors a year ago, we weren't saying, Hi, where 0:12:52.559 --> 0:12:54.480 Rasby Pie. You've never heard of us. We're saying hi, 0:12:54.520 --> 0:12:56.360 where Rasby Pie. We were told you we would do 0:12:56.400 --> 0:12:59.400 these three crazy things two years ago, and we've done 0:12:59.400 --> 0:13:01.200 two and a half of them, and here are here 0:13:01.200 --> 0:13:03.000 are two new crazy things. We had to finish that 0:13:03.040 --> 0:13:05.240 half crazy thing, and here are two more crazy things. 0:13:05.280 --> 0:13:07.400 So that made it easier. As I say, that's not 0:13:07.440 --> 0:13:09.160 an optimal way to do things, but it did work 0:13:09.200 --> 0:13:09.520 for us. 0:13:09.840 --> 0:13:13.280 You mentioned some of the supply chain issues and thinking 0:13:13.280 --> 0:13:15.000 about the events in the United States over the past 0:13:15.040 --> 0:13:17.880 few days, Donald Trump has promised to be more protectionist president. 0:13:17.920 --> 0:13:21.880 He's looking at trade tariffs. Are you concerned about supply 0:13:21.960 --> 0:13:25.440 chain disruption semming from that? How are you preparing for 0:13:26.000 --> 0:13:27.520 what the world might look like next year? 0:13:28.280 --> 0:13:30.480 I don't know. I think we talk about this a lot, 0:13:30.520 --> 0:13:36.360 don't we in board meetings? And I we had a 0:13:36.400 --> 0:13:39.160 the system. The supply chain crisis was a was a 0:13:39.240 --> 0:13:42.199 once in a lifetime, once in an industry dislocation. Right, 0:13:42.200 --> 0:13:44.319 This is nothing like what happened in the last two 0:13:44.360 --> 0:13:46.679 or three years has ever happened in history of solid 0:13:46.679 --> 0:13:50.240 state electronics? Right? And what you saw was a negative 0:13:50.240 --> 0:13:52.760 going transient. Things weren't available. Then you saw a positive 0:13:52.760 --> 0:13:55.679 going transient an overstock result of that. And I think 0:13:55.720 --> 0:13:57.400 that in a lot of people's minds, there's an assumption 0:13:57.480 --> 0:14:01.320 that the supply gym will do this and then settle down, 0:14:01.360 --> 0:14:04.400 and almost no differential equations give you that. Right. While 0:14:04.400 --> 0:14:09.880 I suspect we're going to see irrespective of the political situations, Yeah, 0:14:10.080 --> 0:14:12.520 what I suspect you you're going to see and this 0:14:12.559 --> 0:14:15.240 is irrespective of any sort of political situation in the US. 0:14:15.280 --> 0:14:18.640 It's you may well next year see sporadic shortages of 0:14:18.679 --> 0:14:21.960 components resulting from I guess an over eager return to 0:14:22.080 --> 0:14:26.400 justin time ordering behavior from customers downstream. What have we 0:14:26.400 --> 0:14:28.320 done about this? Where we raise forty million dollars of 0:14:29.000 --> 0:14:31.440 new money of primary at the IPO, invested a lot 0:14:31.440 --> 0:14:33.800 of that in supply chain. So we've invested that in 0:14:33.960 --> 0:14:37.480 component inventory, in finished goods inventory, just to give us 0:14:37.520 --> 0:14:40.360 that resilience as we go into twenty twenty five to 0:14:40.440 --> 0:14:43.280 withstand any any future shocks. 0:14:44.080 --> 0:14:46.520 I want to think about some of the broader challenges 0:14:46.560 --> 0:14:49.080 identified in the UK business environment as well. We had 0:14:49.080 --> 0:14:51.280 a conversation at this event last year with Michaelane Fox. 0:14:51.280 --> 0:14:53.200 The British Chambers of Commerce have said the number one 0:14:53.240 --> 0:14:56.320 problem facing UK businesses that are growing is talent. You 0:14:56.400 --> 0:14:58.120 can't get the people they want with the skills that 0:14:58.120 --> 0:14:59.960 they want. Shar I know this is maybe you're very 0:15:00.080 --> 0:15:03.520 invested in as well. I'm keen to understand how you 0:15:03.680 --> 0:15:06.520 view the situation now from the point of view of 0:15:06.560 --> 0:15:10.560 technology and also how you can have the right people 0:15:10.560 --> 0:15:11.360 with the right skills. 0:15:12.600 --> 0:15:13.240 Great thank you. 0:15:14.000 --> 0:15:16.800 Well, just on on on talent, thinking about some of 0:15:16.840 --> 0:15:18.720 the people that you know work at work at Pie. 0:15:18.720 --> 0:15:19.360 Pretty amazing. 0:15:19.880 --> 0:15:22.040 But you talked about the secondary, which is allowing you 0:15:22.080 --> 0:15:24.120 to secure the chain to make sure that we don't 0:15:24.120 --> 0:15:28.320 have backlogs of orders for customers. But you know, just 0:15:28.360 --> 0:15:31.760 importantly that there was also a secondary for the owner 0:15:31.800 --> 0:15:34.760 of Raspberry Pie, which netted them one hundred and eighty 0:15:34.840 --> 0:15:39.520 million pounds to put into training talent and computing talent, 0:15:40.280 --> 0:15:43.320 which is you know, a pretty a pretty good gift 0:15:43.880 --> 0:15:46.760 for anyone to give to a charity and thinking about 0:15:46.800 --> 0:15:48.840 how they're going to deploy it on AI and education. 0:15:49.280 --> 0:15:52.320 And we were speaking earlier about Salcan and you know 0:15:52.400 --> 0:15:55.080 his book and you know, creating Tutors. There is an 0:15:55.200 --> 0:15:59.440 organization you know again the foundation behind behind Pie that 0:15:59.560 --> 0:16:04.240 is been given a really great legacy to deploy and 0:16:04.280 --> 0:16:08.000 I'm excited about that. I think that I'd be interested 0:16:08.000 --> 0:16:11.160 to hear what others thought. I think, you know, mass 0:16:11.320 --> 0:16:14.280 underlies a lot of what we need. But every day 0:16:14.480 --> 0:16:16.120 you guys are solving problems. You think about what does 0:16:16.120 --> 0:16:18.240 a CEO know? You're solving problems every single day you 0:16:18.320 --> 0:16:21.360 use those skills which aren't necessarily taught in class, but 0:16:21.440 --> 0:16:25.120 equipping the world so that we can run companies and 0:16:25.200 --> 0:16:29.600 work for companies and organizations is super important. And I 0:16:29.640 --> 0:16:32.280 think some of the things that raspberry Pi are doing great. 0:16:32.680 --> 0:16:35.600 There are some you know, other other organizations you know 0:16:35.640 --> 0:16:36.360 working away at that. 0:16:36.560 --> 0:16:38.720 But I know that you want to canvass the audience opinion, 0:16:38.720 --> 0:16:39.920 and I think we're a bit tight in time to 0:16:39.920 --> 0:16:41.000 be able to do that. But I want to kind 0:16:41.000 --> 0:16:43.240 of just briefly discuss how we should be thinking about 0:16:43.240 --> 0:16:45.000 this education point of view. What are the kind of 0:16:45.080 --> 0:16:46.840 key skills that we need to train the people that 0:16:46.880 --> 0:16:48.320 everyone in this room is going to be hiring. 0:16:48.560 --> 0:16:51.040 Yeah, we need to train the people that everyone's going 0:16:51.080 --> 0:16:53.960 to hire. And we also need to enable teachers to 0:16:54.240 --> 0:16:57.200 get the people that are you know, the you know, 0:16:57.240 --> 0:17:00.520 people that are sort of working need and if you 0:17:00.520 --> 0:17:03.440 think about the reskilling of five hundred thousand teachers, that 0:17:03.600 --> 0:17:08.080 is not simple. And to enable our children to imagine 0:17:08.080 --> 0:17:09.840 what we actually do every day, or what all of 0:17:09.840 --> 0:17:12.600 the asach engineers do at raspberry Pie, or what you 0:17:12.680 --> 0:17:15.040 might do if you wanted to study campsig a computer 0:17:15.160 --> 0:17:16.480 you know at Cambridge University. 0:17:16.760 --> 0:17:18.040 That's a real hard thing. 0:17:18.160 --> 0:17:20.840 And you know, I would call everyone in the audience 0:17:21.080 --> 0:17:23.679 to make sure that they volunteered their time. And if 0:17:23.680 --> 0:17:27.000 you're running the organization, encourage your employees to volunteer their 0:17:27.040 --> 0:17:30.919 time in schools to help the teachers, because otherwise, you know, 0:17:31.000 --> 0:17:34.199 things are moving too rapidly for them to be able 0:17:34.400 --> 0:17:38.320 to help. But it's already a talent crisis. But there 0:17:38.359 --> 0:17:40.439 are things that every single person in this room and 0:17:40.480 --> 0:17:44.159 every single person on your audience can and please should do. 0:17:45.000 --> 0:17:47.200 And then a final thought from you as well about 0:17:47.200 --> 0:17:51.320 what's next for Raspberry Pie. Everyone I speak to in 0:17:51.320 --> 0:17:53.240 my day to day job, I talked to them about AI. 0:17:53.280 --> 0:17:55.240 I was AI coming into Raspberry Pye story. 0:17:56.160 --> 0:17:59.639 So from our perspective, Rospberry Pie is now that we 0:17:59.680 --> 0:18:02.440 have all our roots and education. From a commercial perspective, 0:18:02.440 --> 0:18:04.760 we are overwhelmingly now and the emb better than industrial business. 0:18:04.760 --> 0:18:07.120 So we sell products to people who want to perform 0:18:07.160 --> 0:18:09.040 computing at the edge of them, generally at the edge 0:18:09.040 --> 0:18:12.080 of the network, and for us, AI workloads are just 0:18:12.119 --> 0:18:14.320 another consumer of compute at the edge of the networks. 0:18:14.359 --> 0:18:17.720 We design our we design our products to be able 0:18:17.760 --> 0:18:21.000 to run many, many inference workloads, even quite heavyweight inference 0:18:21.040 --> 0:18:23.920 workloads themselves unaccelerated. We put a lot of CPU performance 0:18:23.920 --> 0:18:26.560 into our devices these days. I think what you're seeing 0:18:26.600 --> 0:18:28.400 what you've seen from us this year, and I think 0:18:28.400 --> 0:18:30.119 you'll see a little bit more of this as we 0:18:30.160 --> 0:18:33.359 go into twenty twenty five. Is us working with partners, 0:18:33.400 --> 0:18:37.840 particularly our friends at Halo in Israel, to add accelerator options, 0:18:37.880 --> 0:18:41.119 to give people whose influence workloads are beyond the native 0:18:41.119 --> 0:18:43.800 capability of the platform, to give those people a series 0:18:43.840 --> 0:18:47.560 of tiered price performance options, to add external inference capability 0:18:47.560 --> 0:18:50.439 into the platform. Very very popular with our hobbist customers 0:18:50.440 --> 0:18:52.920 at the moment. Starting to see some really interesting industrial 0:18:52.960 --> 0:18:53.520 uptake of that. 0:18:53.480 --> 0:18:56.040 As well, and that could of move into the sort 0:18:56.080 --> 0:18:58.240 of the enterprise and the industrial side of the business. 0:18:58.480 --> 0:19:01.119