WEBVTT - Bitcoin's Fall and Bro Culture in Tech 0:00:02.240 --> 0:00:05.480 From the heart of where innovation, money and power COLLI 0:00:06.360 --> 0:00:10.879 in Silicon Valley and beyond. This is Bloomberg Technology with 0:00:10.960 --> 0:00:26.520 Emily jay My Emily Check in San Francisco, and this 0:00:26.520 --> 0:00:29.400 is Bloomberg Technology. Coming up in the next hour. Bitcoin 0:00:29.480 --> 0:00:32.479 set for its worst quarter in more than a decade, 0:00:32.560 --> 0:00:35.360 sliding more than six percent of a low nineteen thousand 0:00:35.360 --> 0:00:38.640 dollars for the second time in two weeks. What it 0:00:38.760 --> 0:00:42.720 means and how low can it go? We'll discuss. Plus 0:00:42.760 --> 0:00:47.040 Washington is finally taking note of sexism. That's one rampant 0:00:47.120 --> 0:00:50.520 in the tech industry where women have been long underrepresented. 0:00:50.880 --> 0:00:53.120 I'll be joined by Congressman Stephen Lynch on the heels 0:00:53.159 --> 0:00:57.200 of a hearing he chaired on quote combating tech gro culture. 0:00:57.560 --> 0:01:02.000 What he thinks Congress can do to help fix the problem. 0:01:02.040 --> 0:01:04.759 And airlines are canceling flights up and down the board 0:01:04.800 --> 0:01:07.320 as they struggle to keep up with rising demand. We'll 0:01:07.360 --> 0:01:09.399 talk about what's ahead for the busy fourth of July 0:01:09.480 --> 0:01:12.000 travel week and the future of travel in a post 0:01:12.080 --> 0:01:15.040 pandemic world. All of that in a moment, But first 0:01:15.040 --> 0:01:17.520 I want to stick with the current market moves, market turmoil, 0:01:17.520 --> 0:01:20.480 bringing upholdings Robert kentwell to talk about the pain that 0:01:20.640 --> 0:01:23.319 most investors are feeling. The S and B suffering its 0:01:23.360 --> 0:01:28.080 cruelest first half since Richard Nixon's presidency. Ouch, that is 0:01:28.120 --> 0:01:31.640 a dismal statistic, Robert. Look, we talked last about a 0:01:31.680 --> 0:01:35.080 month ago. Have your feelings changed given that we're continuing 0:01:35.120 --> 0:01:38.760 to see red on the screen? Well, it's gone up 0:01:38.800 --> 0:01:42.040 and down since we last spoke, but we're basically exactly 0:01:42.040 --> 0:01:44.920 where we were about a month ago. And as you mentioned, 0:01:45.040 --> 0:01:47.040 is the worst quarter for the SMP since the first 0:01:47.120 --> 0:01:50.520 quarter that we saw uh, and it's been it's been 0:01:50.560 --> 0:01:53.880 particularly painful for investors. One of the things we were 0:01:53.880 --> 0:01:57.800 talking about before was this revaluation of tech companies and 0:01:58.280 --> 0:02:00.040 are some of these still going to be consider the 0:02:00.200 --> 0:02:04.040 tech companies Netflix or Facebook. And one of the things 0:02:04.040 --> 0:02:06.160 that we think is happening right now is really this 0:02:06.240 --> 0:02:09.480 is the end of the consumer Internet boom and meta 0:02:09.560 --> 0:02:13.040 being relegated into the value bucket is probably one of 0:02:13.080 --> 0:02:17.280 the crowning signals of that. And there's that's perfectly fine, 0:02:17.320 --> 0:02:18.960 But then where is the growth going to come from 0:02:18.960 --> 0:02:21.639 in technology? And where we see it coming from is 0:02:21.680 --> 0:02:24.840 an enterprise cloud and the data that we're seeing today 0:02:24.960 --> 0:02:27.639 tells us that where the digital advertising industry was back 0:02:27.680 --> 0:02:30.760 in two thousand and seventeen is very similar to where 0:02:30.760 --> 0:02:35.000 the cloud enterprise software industry is today. So do you 0:02:35.040 --> 0:02:38.000 put Meta in the value bucket? Is the growth era 0:02:38.600 --> 0:02:42.400 for that company over? Well, it might actually be a 0:02:42.400 --> 0:02:45.760 great thing for investors. Uh, if people really do value 0:02:45.760 --> 0:02:48.200 it is a value stock, because there's very few value 0:02:48.240 --> 0:02:51.560 stocks with that type of margins and growth rates going forward. 0:02:51.600 --> 0:02:54.000 So Meta is far from a from a dead you 0:02:54.000 --> 0:02:56.519 know company as far as we're concerned. I think the 0:02:56.919 --> 0:02:59.520 inability of the business to make acquisitions over the past 0:02:59.560 --> 0:03:02.320 few years has really heard it and I think that's 0:03:02.320 --> 0:03:04.280 gonna be one of the biggest questions going forward is 0:03:04.320 --> 0:03:09.080 that the regulatory environment for Meta has quietly improved, and 0:03:09.200 --> 0:03:11.960 if that is a sign of things to come, we 0:03:12.040 --> 0:03:14.160 think that will continue to help the stock, in addition 0:03:14.200 --> 0:03:16.880 to the fact that it's just so darn cheap. Interesting. 0:03:16.880 --> 0:03:19.280 But don't you want growth to come from innovation and 0:03:19.320 --> 0:03:26.000 not acquisition. Well, you know, you can't fight capitalism. Uh. 0:03:26.080 --> 0:03:29.280 They sure Met is going to develop plenty of products 0:03:29.280 --> 0:03:31.280 that some are gonna work, some aren't. You know, their 0:03:31.360 --> 0:03:34.000 their their marketplace business generates a little bit of money 0:03:34.000 --> 0:03:36.760 from them. Today they're finding new ways of onboarding advertisers 0:03:36.760 --> 0:03:39.880 through that and as long term investors. Yeah, of course 0:03:39.920 --> 0:03:42.360 you want the products to be built. There's just there's 0:03:42.400 --> 0:03:45.480 too many you can. You know, we talked about, you know, 0:03:45.520 --> 0:03:48.760 Pinterest being such a such an attractive takeout Canada, the 0:03:48.760 --> 0:03:52.240 amount of time and investment that would take to recreate Twitter, 0:03:52.360 --> 0:03:55.360 to recreate Pinterest, to recreate you know what you saw, 0:03:55.520 --> 0:03:57.960 you know, with the LinkedIn acquisition of Microsoft. We think 0:03:57.960 --> 0:04:00.680 there's just too many attractive assets in the right now 0:04:00.880 --> 0:04:03.520 to justify having to build things from scratch when you 0:04:03.520 --> 0:04:06.160 can just bolt them together and make a stronger company. 0:04:06.200 --> 0:04:10.400 So how are you parsing out the enterprise software category. 0:04:10.520 --> 0:04:13.880 It's really easy to understand what meta is, you you know, 0:04:13.920 --> 0:04:17.640 it's easy to see Instagram and What'sapp and the blue app, 0:04:17.760 --> 0:04:20.240 and you know how all of those things fit together. 0:04:20.279 --> 0:04:22.400 But when it comes to enterprise software, it's a lot 0:04:22.440 --> 0:04:26.080 more confusing. How do you distinguish between what's a good 0:04:26.120 --> 0:04:29.919 play and what's not. It is a lot more work 0:04:30.520 --> 0:04:32.719 because you don't get to just use the products yourselves. 0:04:32.760 --> 0:04:34.479 You've got to you've got to talk to the executives 0:04:34.480 --> 0:04:36.840 and the companies that are using them. One of the 0:04:37.240 --> 0:04:41.000 biggest trends and enterprise technology has been this move from 0:04:41.040 --> 0:04:44.120 systems of record so or cole and salesforce that are 0:04:44.360 --> 0:04:49.039 basically complex databases into systems of action. And so this 0:04:49.120 --> 0:04:50.919 is the service now is of the world. This is 0:04:51.040 --> 0:04:53.960 data happens in the company, That data runs through some 0:04:54.080 --> 0:04:56.760 system and then that system tells an employee or another 0:04:56.800 --> 0:04:59.359 piece of software what to do. So these systems of 0:04:59.400 --> 0:05:01.800 action are in audibly powerful, there's a lot of lock in, 0:05:02.200 --> 0:05:05.000 and we're still relatively early in the curve. You know, 0:05:05.560 --> 0:05:09.440 you had a great interview with Blake Lemoyne um you know, 0:05:09.520 --> 0:05:11.880 the last week, and you know, one of the things 0:05:11.880 --> 0:05:14.120 I can't help but think about, you know, is that 0:05:14.279 --> 0:05:17.240 a lot of people already work for software. Uh, you know, 0:05:17.600 --> 0:05:20.400 our software is telling us what to do. And it's 0:05:20.440 --> 0:05:22.800 been this evolution of these systems of action that are 0:05:22.880 --> 0:05:25.440 driving it. But that's a productivity and it's an efficiency thing, 0:05:25.480 --> 0:05:26.720 and I think it's one of these things that is 0:05:26.760 --> 0:05:29.840 inevitable and it will certainly go too far, like we've 0:05:29.880 --> 0:05:33.520 seen with some of the data capture on the digital advertisers. 0:05:33.560 --> 0:05:36.080 But I still think We're relatively early in the adoption 0:05:36.120 --> 0:05:38.640 of these systems and it's been a pretty exciting place 0:05:38.680 --> 0:05:42.159 to invest, all right, Probert can't well. Upholding is always 0:05:42.160 --> 0:05:43.960 good to have you with us. Thank you, Robert for 0:05:43.960 --> 0:05:48.320 stopping by meantime, TikTok rival Triller still going public, but 0:05:48.680 --> 0:05:51.360 on its own. The US video sharing at file paperwork 0:05:51.440 --> 0:05:54.680 for an initial public offering of its class A common 0:05:54.720 --> 0:05:58.240 stock with the SEC. This after ending it's five billion 0:05:58.240 --> 0:06:02.360 dollar murder with the video software provider see Change International. 0:06:02.680 --> 0:06:07.160 The merger termination is effective immediately with Nazdak. The NASDAK 0:06:07.279 --> 0:06:19.720 listing expected September. We've been you know, you know, guided 0:06:19.760 --> 0:06:21.960 to believe that it could be called it nine to 0:06:22.040 --> 0:06:24.360 twelve months on that decision. It could be a little 0:06:24.360 --> 0:06:26.720 bit longer, could be a little bit shorter, but we 0:06:26.800 --> 0:06:30.040 hold strong in our common sense arguments around the E 0:06:30.160 --> 0:06:33.679 t F conversion um and have a fantastic legal bench 0:06:33.720 --> 0:06:36.680 that will be arguing this case on behalf of investors. 0:06:38.680 --> 0:06:42.760 Grays Gale CEO Michael Shawnenstein there with Bloomberg earlier. The 0:06:42.760 --> 0:06:45.719 crypto investment firm says it has sued the SEC after 0:06:45.760 --> 0:06:49.000 the agency rejected a bid to convert its Bitcoin trust 0:06:49.120 --> 0:06:52.159 into an e t F. Our own Sali Bossik here 0:06:52.240 --> 0:06:56.400 with more on this Shanali not necessarily unexpected, but what's next. Yeah, 0:06:56.440 --> 0:06:58.640 what's really interesting here, Emily is that this is not 0:06:58.680 --> 0:07:01.960 only a big deal for ray Scale, where there was 0:07:02.200 --> 0:07:04.919 a huge demand from clients and customers to have this 0:07:04.960 --> 0:07:07.280 trust converted into an et F, but a lot of 0:07:07.320 --> 0:07:10.920 frustration here that there bitcoin futures ets being approved when 0:07:10.960 --> 0:07:13.920 spot bitcoin ets are not being approved at large. Of course, 0:07:13.960 --> 0:07:16.440 we know there are many of them that are waiting 0:07:16.760 --> 0:07:20.240 for approval, planning on filing again. You know, I think 0:07:20.280 --> 0:07:22.520 back to a conversation I had, for example, with Anthony 0:07:22.560 --> 0:07:26.320 Scaramucci that really had talked a lot about how an 0:07:26.320 --> 0:07:28.920 approval of an e t F like this could really 0:07:28.960 --> 0:07:31.760 start to have a huge inflow of more institutional money, 0:07:31.760 --> 0:07:35.000 for example into bitcoin. And of course, uh, this is 0:07:35.040 --> 0:07:38.320 a huge roadblock not just for the crypto community, but 0:07:38.480 --> 0:07:41.640 for gray Scale itself that now has a trust that's 0:07:41.680 --> 0:07:44.720 trading well below it's net asset value, a thirty percent 0:07:44.840 --> 0:07:47.040 or more below it's net asset value. It had a 0:07:47.040 --> 0:07:49.280 big drop off today as well, and this will be 0:07:49.320 --> 0:07:53.240 for gray Scale along road ahead another twelve months or 0:07:53.240 --> 0:07:56.040 so to work through a loss lawsuit, according to both 0:07:56.080 --> 0:07:59.760 Bloomberg Intelligence. In the company itself, also some not good 0:07:59.760 --> 0:08:02.640 news for coin Flex. You and I interviewed the CEO 0:08:02.720 --> 0:08:07.400 Mark Lamb exclusively earlier this week about their withdrawal transaction issues, 0:08:07.440 --> 0:08:10.760 said that those would be over by today and that 0:08:10.840 --> 0:08:13.440 he was very confident that he'd be able to get 0:08:13.440 --> 0:08:15.240 that done. Take a listen to what he had to 0:08:15.280 --> 0:08:19.840 tell us back on Monday. Yeah, I'm highly confident. We 0:08:19.920 --> 0:08:24.040 have UH. We've spoken to people NonStop on on phone 0:08:24.040 --> 0:08:27.680 calls and in person meetings UH since this issue arose, 0:08:28.320 --> 0:08:34.320 and UM, we have more than half of the UH 0:08:34.440 --> 0:08:38.920 the amount needed in soft commitments to UH to get 0:08:38.920 --> 0:08:43.560 this done. Well, Today'sonale, coin Flex came out and said 0:08:43.559 --> 0:08:45.520 they aren't going to be able to make the deadline. 0:08:45.600 --> 0:08:48.000 What happened. Yeah, I think it's really interesting, Emily, both 0:08:48.040 --> 0:08:50.120 for coin Flex and also for an entire industry that 0:08:50.240 --> 0:08:53.640 is suffering through liquidity issues other companies as well. Remember 0:08:53.640 --> 0:08:56.319 when it comes to coin flex itself, since that interview 0:08:56.360 --> 0:08:59.320 that we did on Monday, we have Roger Vera coming 0:08:59.320 --> 0:09:01.320 out and saying that he has no debt to coin 0:09:01.360 --> 0:09:05.120 Flex and being reported as the big customer that we've 0:09:05.160 --> 0:09:07.440 been talking about that had a margin call when it 0:09:07.480 --> 0:09:10.800 came to coin Flex. So this dispute between Roger Vera 0:09:10.840 --> 0:09:14.080 and coin Flex itself made this token offering, which was 0:09:14.080 --> 0:09:17.040 supposed to make that kind of margin call issue whole 0:09:17.080 --> 0:09:20.360 again difficult in terms of both raising money and making 0:09:20.520 --> 0:09:24.280 other customers whole and restarting withdrawals. Again, let's move over 0:09:24.360 --> 0:09:26.800 just really quickly here to talk about another company, Celsius, 0:09:26.800 --> 0:09:29.959 which also paused withdrawals about two weeks ago. How all 0:09:30.000 --> 0:09:32.520 these companies are restructuring is fascinating. They've came out with 0:09:32.520 --> 0:09:36.600 a blog post today also saying that they're discussing both 0:09:36.640 --> 0:09:41.000 strategic transactions as well as restructuring uh their liabilities, but 0:09:41.080 --> 0:09:42.760 not a lot of detail there on what that could 0:09:42.800 --> 0:09:45.880 necessarily look like. Of course, there's a third firm. There's 0:09:45.920 --> 0:09:49.319 block Fly as well, and a lot of news around 0:09:49.400 --> 0:09:52.960 Sam Bankman Freedom f TX nearing a deal to acquire 0:09:53.000 --> 0:09:56.520 it as this industry starts to get out of the slump. Indeed, 0:09:56.520 --> 0:09:59.640 all stories we're going to continue to follow. Bloom Visionnelly Bostick, 0:09:59.720 --> 0:10:02.840 thank you as always. All right, more now on the 0:10:02.880 --> 0:10:06.320 impact of the crypto plunge on the world of chips, 0:10:06.360 --> 0:10:09.800 and especially one chip maker in particular, that is in video. 0:10:09.840 --> 0:10:12.920 I want to bring in Bloomberg Cecilia Donastasio on this, 0:10:13.040 --> 0:10:16.160 and of course we've seen Bitcoin fall below dollars a 0:10:16.160 --> 0:10:18.720 couple of times all the last two weeks. This is 0:10:18.760 --> 0:10:22.080 not just not good for crypto investors, but also in Vidia, 0:10:22.400 --> 0:10:25.120 which made a big bet on this technology. Tell us 0:10:25.160 --> 0:10:28.679 what's happening? Sure, So, the crypto boom generated a lot 0:10:28.720 --> 0:10:32.880 of interest in Vidia's UM game cards, which typically gamers 0:10:33.120 --> 0:10:37.240 used to play really like high resolution video games on 0:10:37.280 --> 0:10:43.760 their computers. Crypto minors, however, do create cryptocurrencies, particularly ethereum, 0:10:43.920 --> 0:10:46.400 through use of the game cards themselves, so there was 0:10:46.400 --> 0:10:49.080 a huge rush on the cards in along with the 0:10:49.080 --> 0:10:53.800 boom and crypto UM. Unfortunately, now that crypto has crash 0:10:53.840 --> 0:10:57.880 and video itself has experienced some of that sort of 0:10:58.000 --> 0:11:03.640 UM hangover. So what's next for in video? Yeah, we'll 0:11:03.640 --> 0:11:06.960 just stage. Their strategy in video has danced back and 0:11:07.040 --> 0:11:11.840 forth between kind of UM working with crypto and sort 0:11:11.840 --> 0:11:16.000 of distancing itself from crypto. Gamers are its primary market, 0:11:16.200 --> 0:11:19.920 and the crypto industry is extremely volatile, So right now 0:11:19.960 --> 0:11:23.280 and video is kind of trying to detach themselves from 0:11:23.280 --> 0:11:27.880 that industry and market, primarily to gamers. All right, story, 0:11:27.920 --> 0:11:31.840 We're gonna continue to follow Bloomberg Cecilia, Donastasio Cecilia as always, 0:11:31.920 --> 0:11:34.720 thanks for joining. Coming up, we're gonna take a peek 0:11:34.760 --> 0:11:37.720 at the summer season. With four of July travel about 0:11:37.760 --> 0:11:42.800 to get underway on mass Will the flight cancelation nightmares continue? 0:11:43.040 --> 0:11:45.040 We'll have that and more with Peak CEO A co 0:11:45.160 --> 0:12:04.760 founder ris Wana a Share next visits Bloomberg. Airbnb shares 0:12:04.800 --> 0:12:07.800 fell to a record low amid heavy travel disruptions in 0:12:07.840 --> 0:12:12.000 Europe as major airports asked carriers to cut capacity. Shares 0:12:12.000 --> 0:12:14.400 closed down more than five percent after data showed US 0:12:14.440 --> 0:12:17.120 consumer spending fell in May for the first time this year. 0:12:17.400 --> 0:12:20.840 Airbnb is down more than forty so far this year, 0:12:20.880 --> 0:12:27.400 despite economies reopening and leisure travel returning around the world. Meantime, 0:12:27.440 --> 0:12:30.439 the holiday travel nightmare is back with a vengeance. Flights 0:12:30.520 --> 0:12:33.480 across the board are being canceled from Europe to Canada 0:12:33.520 --> 0:12:36.959 to the United States due to this strain on global airlines, 0:12:37.400 --> 0:12:40.000 as airlines are having a tough time scaling back up 0:12:40.040 --> 0:12:44.000 to quickly meet booming demand post pandemic for more on 0:12:44.040 --> 0:12:46.640 this and trends to see ahead. Whereas one of us, Sheer, 0:12:46.720 --> 0:12:48.600 joins us. She's the CEO and co founder of the 0:12:48.600 --> 0:12:51.880 booking software and marketplace Peek. Was wanted great to have 0:12:51.920 --> 0:12:54.200 you back here on the show. So what's your take 0:12:54.280 --> 0:12:57.720 on this global travel debacle and how long this goes 0:12:57.760 --> 0:13:03.240 on for? Yeah, them, Unfortunately, we've all seen it. Flights 0:13:03.320 --> 0:13:05.560 normally get canceled at a rate of about one point 0:13:05.679 --> 0:13:09.079 three pc UM right now. They've already doubled year over 0:13:09.200 --> 0:13:12.800 year since last year, and you know, very recently we've 0:13:12.840 --> 0:13:16.400 seen that go up to about five flights being canceled 0:13:16.400 --> 0:13:18.640 in the last couple of weeks. And um, you know, 0:13:18.720 --> 0:13:20.600 and and a huge amount of delays. As you've seen 0:13:20.800 --> 0:13:23.839 there are big labor shortages going on, and about almost 0:13:23.880 --> 0:13:26.880 a quarter of flights are seeing major delays, especially in 0:13:27.000 --> 0:13:31.280 hubs like Chicago, New York, Dallas, Miami, Los Angeles, and 0:13:31.360 --> 0:13:33.120 so this is a serious thing. You know, We've got 0:13:33.200 --> 0:13:35.880 really fifty million Americans who are planning to do some 0:13:36.160 --> 0:13:38.880 both of July travel. People do not want to put 0:13:38.880 --> 0:13:41.200 that off despite some of the challenges in the economy, 0:13:41.240 --> 0:13:43.840 and so um, we will see record levels of people 0:13:44.120 --> 0:13:47.600 going out and traveling again. But the disruptions are here 0:13:48.080 --> 0:13:50.560 and pretty serious and something to bear in mind if 0:13:50.559 --> 0:13:53.280 you're planning to travel right now. So what are you 0:13:53.320 --> 0:13:57.160 expecting to happen over this holiday week trends you're spotting 0:13:57.160 --> 0:14:00.560 in particular? Yeah, you know, we are definitely least seeing 0:14:00.679 --> 0:14:04.800 that that that the the amount of international travel and 0:14:04.840 --> 0:14:07.000 flight travel is much higher than it's been in the 0:14:07.040 --> 0:14:09.800 COVID era. I would also say that, you know, local 0:14:09.840 --> 0:14:12.640 experiences are a lot and the kind of things I 0:14:12.640 --> 0:14:15.280 think that we've seen people, uh seeing as the top 0:14:15.320 --> 0:14:18.520 fourth of July, experiences have definitely been things that might 0:14:18.559 --> 0:14:21.360 be considered a little bit more special, So shark diving 0:14:21.400 --> 0:14:25.560 in Miami, being able to go kayaking on the Chicago River. Um. 0:14:25.720 --> 0:14:29.240 There are also some really cool and interesting experiences jet 0:14:29.280 --> 0:14:31.720 skiing around the stet of Liberty, and so definitely a 0:14:31.760 --> 0:14:34.440 lot of stuff people getting outdoors on the water, making 0:14:34.480 --> 0:14:37.560 the most of the summer weather. Um. But you know, 0:14:37.760 --> 0:14:41.160 with fifty million Americans traveling, you're gonna be seen very 0:14:41.320 --> 0:14:46.359 very busy attractions and experiences as well as airports and 0:14:46.000 --> 0:14:47.640 and I think you know you're going to see it 0:14:47.760 --> 0:14:50.400 very congested highways as well. Road trips will be up 0:14:51.480 --> 0:14:55.720 shark diving in Miami. That sounds fun. Um. Look, you 0:14:56.200 --> 0:15:00.400 just won the Entrepreneur of the Year award from e Y. 0:15:00.560 --> 0:15:05.400 Congratulations on that. Peak. Also, just um launched a partnership 0:15:05.400 --> 0:15:08.560 with jeff Jet Blue. What are your priorities for the 0:15:08.680 --> 0:15:12.400 year against the context that's the backdrop of what's happening 0:15:12.400 --> 0:15:15.280 in the macro economy. Yeah, you know, I think what 0:15:15.400 --> 0:15:17.920 we've seen, you know, for us as a business, you know, 0:15:17.920 --> 0:15:20.920 we're basically shopify for experiences. We help people book fum 0:15:20.960 --> 0:15:24.280 things to do when we provide software the small businesses 0:15:24.280 --> 0:15:26.600 and large businesses to be able to get online. And 0:15:26.680 --> 0:15:29.080 so certainly the last couple of years, we saw that 0:15:29.120 --> 0:15:31.480 our businesses and the partners that we work with were 0:15:31.560 --> 0:15:33.440 hit pretty hard, right, and so we've had a lot 0:15:33.440 --> 0:15:36.200 of scale, nearly two billion dollars of experiences through the platform, 0:15:36.240 --> 0:15:38.440 and you definitely saw that over the last couple of 0:15:38.520 --> 0:15:40.760 years there were winners and losers. As we come out 0:15:41.040 --> 0:15:44.520 of the COVID pandemic, we are definitely seeing that consumers 0:15:44.560 --> 0:15:47.200 want to travel and they want to do experiences. And 0:15:47.280 --> 0:15:50.520 despite some of the things that we've seen with inflation 0:15:50.600 --> 0:15:53.280 and some of the recessionary kind of dynamics that we're 0:15:53.280 --> 0:15:56.000 seeing play out. People are still wanting to do that, 0:15:56.080 --> 0:15:58.680 and so we're not seeing that go away certainly for us. 0:15:58.720 --> 0:16:01.200 You know, a few months ago we just closed an 0:16:01.200 --> 0:16:03.840 eighty million dollar round led by west Camp and uh 0:16:03.880 --> 0:16:07.120 and Gallman Sachs Um with the former CFO Airbnb, Lawrence 0:16:07.120 --> 0:16:09.320 Toci joining our board. And so we're seeing a lot 0:16:09.320 --> 0:16:11.600 of momentum in our space, and we're seeing a lot 0:16:11.600 --> 0:16:14.200 of opportunity UM And I think as we go into 0:16:14.240 --> 0:16:17.040 this next phase um, you know, of the next year, 0:16:17.240 --> 0:16:20.920 we are definitely helping empower our operators and partners that 0:16:20.960 --> 0:16:24.240 we work with to be able to get through um. 0:16:24.280 --> 0:16:26.680 You know what will I think be some more challenging 0:16:26.680 --> 0:16:32.440 macro economic conditions. Using interesting that Lawrence Tocy, the CFO 0:16:32.480 --> 0:16:35.800 of Airbnb, of course, former CFO joined your board. You know, 0:16:35.840 --> 0:16:38.200 we just heard about the stack. They're being doubt how 0:16:38.200 --> 0:16:40.560 do you distinguished you know, peak and the future of 0:16:40.560 --> 0:16:43.800 the business from what we're seeing with the company like Airbnb, 0:16:44.120 --> 0:16:46.640 which you know can be some sort of a barometer 0:16:46.880 --> 0:16:50.240 for consumer sentiment, like you know, how are you as 0:16:50.240 --> 0:16:53.320 an entrepreneur um and what advice are you getting from 0:16:53.360 --> 0:16:56.400 investors about how to weather uh, you know, a potentially 0:16:56.400 --> 0:16:59.920 significant downturn. Yeah, I think I think one of the 0:17:00.160 --> 0:17:02.600 it's very interesting about our business is that, you know, 0:17:02.880 --> 0:17:05.320 first we were profitable, and we raised this eighty million 0:17:05.320 --> 0:17:07.240 dollar round and so we're a rare kind of I 0:17:07.280 --> 0:17:10.359 think tech business that had taken unit economics and profitability 0:17:10.480 --> 0:17:13.440 very seriously, and so we're actually in a fantastic position 0:17:13.480 --> 0:17:16.560 today around being able to continue to invest in growing 0:17:16.560 --> 0:17:19.879 our platform and helping our businesses get through this. I 0:17:19.920 --> 0:17:22.159 think also, you know, our focus has actually been on 0:17:22.160 --> 0:17:24.760 the software side, so rather like Shopify, we're working with 0:17:24.800 --> 0:17:28.280 thousands of businesses and helping them take their their you know, 0:17:28.320 --> 0:17:31.200 their business online, allowing their own website to be able 0:17:31.200 --> 0:17:33.280 to have realtim availability and online booking, and so in 0:17:33.320 --> 0:17:35.920 doing so, the average business that partners with us sees 0:17:35.960 --> 0:17:39.480 their revenues increased by about thirty percent, and they see 0:17:39.880 --> 0:17:42.840 them saving a ton of time, hours and hours of 0:17:42.880 --> 0:17:44.960 automation that we provide. And so I think as we 0:17:44.960 --> 0:17:47.480 would go into this macro num climate, we're hearing from 0:17:47.600 --> 0:17:50.560 large businesses like museums all the way through small businesses 0:17:50.600 --> 0:17:53.240 saying we know that the bottom line really matters now, 0:17:53.280 --> 0:17:55.280 and it matters to us that we find ways to 0:17:55.359 --> 0:17:57.600 cut costs and and grow our top line in the 0:17:57.720 --> 0:18:00.600 environment where perhaps there won't be as many travelers like COVID, 0:18:00.840 --> 0:18:03.400 but there will be a local substitution effect. We think 0:18:03.400 --> 0:18:05.960 that people still need these moments of connection and enjoy 0:18:06.320 --> 0:18:09.600 and what people specializes in is everyday adventure. So the 0:18:09.640 --> 0:18:13.320 average experience on our platform costs about per ticket, and 0:18:13.359 --> 0:18:16.200 so this is an environment where we will see businesses 0:18:16.440 --> 0:18:19.359 needing to make this leap forward on automation and technology 0:18:19.359 --> 0:18:22.280 which helps them save costs, but will also be seeing 0:18:22.280 --> 0:18:25.119 I think consumers um not maybe being able to do 0:18:25.160 --> 0:18:27.040 as many of these big trips that you know this 0:18:27.119 --> 0:18:29.400 summer being a place where a lot of people were 0:18:29.440 --> 0:18:31.320 able to go out and do that, and moving to 0:18:31.600 --> 0:18:35.159 local experiences within about to be able to do fun 0:18:35.240 --> 0:18:40.160 things close to home museums, ice cream sounds great to me. Rosawana, 0:18:40.200 --> 0:18:42.840 a share CEO of Pica, to have you back with us. 0:18:42.880 --> 0:18:53.720 Thank you for stopping by the real reason that diverse 0:18:53.800 --> 0:18:56.760 fintech CEOs don't get these dollars relates to the fact 0:18:56.800 --> 0:19:00.000 that women and diverse leaders control a very small person 0:19:00.000 --> 0:19:03.680 image of the three and thirty billion venture capital dollars 0:19:03.920 --> 0:19:08.320 spent just last year, Broadly speaking, eight six percent of 0:19:08.359 --> 0:19:12.359 investment decision makers are met. Given the venture capital is 0:19:12.480 --> 0:19:16.800 very much a pattern matching business, investors often back companies 0:19:16.840 --> 0:19:21.639 and people who are most like themselves. Welcome back to 0:19:21.640 --> 0:19:24.159 Bloomberg Technology and Emily Chin in San Francisco. That was 0:19:24.200 --> 0:19:27.199 just a taste of a hearing held earlier by the 0:19:27.200 --> 0:19:31.440 House Financial Services Committee called Combating Tech bro Culture. It's 0:19:31.480 --> 0:19:33.760 something that I've been researching and reporting on for a 0:19:33.800 --> 0:19:35.840 few years, and I want to talk more about the 0:19:35.880 --> 0:19:38.439 ongoing issue with the person who led that hearing today, 0:19:38.720 --> 0:19:42.800 Democratic Congressman Stephen Lynch. Representative Lynch, thank you so much 0:19:43.160 --> 0:19:46.359 for joining us. I'm so curious what led you to 0:19:46.400 --> 0:19:49.800 take on this issue. What do you think Washington can 0:19:49.840 --> 0:19:53.720 do about decades of sexism in the tech industry. Well, then, 0:19:53.760 --> 0:19:55.640 first of all, thank you, Emily. I know you've done 0:19:55.640 --> 0:19:58.040 a lot of work in this area, and I've I've 0:19:58.040 --> 0:20:02.440 heard you on previous shows commenting on this issue. So uh, 0:20:02.560 --> 0:20:05.360 the numbers are stunning here, as as Sally cross Check 0:20:05.480 --> 0:20:10.080 in your earlier recording demonstrated the billions of dollars going 0:20:10.119 --> 0:20:14.080 out the door every year for from venture capital firms 0:20:14.119 --> 0:20:17.600 to fintech startups. I think it's less than two percent 0:20:17.720 --> 0:20:21.760 go to women, uh. One percent perhaps go to uh 0:20:22.080 --> 0:20:26.679 black uh entrepreneurs, uh you know, less than two percent 0:20:26.760 --> 0:20:30.440 to Latin X founders. So the numbers are just stunning 0:20:30.480 --> 0:20:34.240 to see that the bulk of this money never reaches 0:20:34.280 --> 0:20:38.800 any any minority or women uh founders. So we had 0:20:38.840 --> 0:20:41.760 this problem years ago in the banking industry. They used 0:20:41.760 --> 0:20:44.679 to have redlining, and this is sort of a redlining 0:20:44.680 --> 0:20:47.159 what they're doing here. So back in the day, a 0:20:47.240 --> 0:20:50.040 lot of banks would never invest in those red lined areas, 0:20:50.119 --> 0:20:53.160 largely there were minority areas. And so what Congress did 0:20:53.200 --> 0:20:56.760 back then was we passed the Community Reinvestment Act, and 0:20:56.800 --> 0:20:58.880 we one of the things we did was we created 0:20:58.920 --> 0:21:03.000 a score card, a report card that allowed depositors and 0:21:03.440 --> 0:21:07.280 investors to realize how that institution was doing in terms 0:21:07.280 --> 0:21:09.879 of their investment in minority areas, because that's something that 0:21:10.000 --> 0:21:13.280 socially we thought was the right thing to do. So 0:21:13.920 --> 0:21:15.800 I think what we need to do is the same 0:21:15.800 --> 0:21:17.880 thing with venture capital. I think we need to give 0:21:17.920 --> 0:21:20.399 them a score card. I think the SEC needs to 0:21:20.520 --> 0:21:25.959 track how well. Uh. You know, inclusionary measures are adopted 0:21:25.960 --> 0:21:29.159 by these VC firms so that that that women and 0:21:29.200 --> 0:21:34.840 minority founders can participate. Interesting. Uh. Sally crow Check, longtime 0:21:34.840 --> 0:21:39.280 former banking executive founder now of a company called Elvest, 0:21:39.440 --> 0:21:42.600 also testified at the hearing today. We pulled a portion 0:21:42.720 --> 0:21:45.159 of her testimony. Take a listen to what you had 0:21:45.200 --> 0:21:48.440 to say. The real issue is a few fin tech 0:21:48.600 --> 0:21:52.320 center on women's needs, a direct result of women entrepreneurs 0:21:52.320 --> 0:21:56.560 store defunding. As a result, your women constituents invest less 0:21:56.560 --> 0:21:59.199 of their money than men do, losing out on a 0:21:59.240 --> 0:22:02.800 storic market turns and costing them hundreds of thousands for 0:22:02.840 --> 0:22:05.479 some women millions of dollars over the course of their lives. 0:22:06.280 --> 0:22:09.120 And it's run one reason why the gender wealth gap 0:22:09.200 --> 0:22:11.120 is at thirty two cents to a white man's dollar 0:22:11.280 --> 0:22:14.400 and one penny for black women, and it's been widening. 0:22:16.240 --> 0:22:19.399 And hearing the personal stories of some of these founders, Congressmen, 0:22:19.680 --> 0:22:24.400