Speaker 1: Bloomberg Audio Studios, podcasts, radio news.
Speaker 2: This is how you roll when you're a gentleman on
Speaker 2: a certain agent on Wall Street Friday, blue jeans, popper shirt,
Speaker 2: blue blazer, solid I love it. And this guy comes
Speaker 2: in and blows up the entire studio. I mean, there
Speaker 2: were clashing in so many different directions. I don't even
Speaker 2: know where to go. But Dan Ives is here. He
Speaker 2: does all the tech stuff for wet Bush Securities. Dan,
Speaker 2: you've been busy this week. We've had a ton of
Speaker 2: tech earnings. I just want to start with Apple last night.
Speaker 2: The iPhone seventeen is a thing, isn't it.
Speaker 1: Look it's a surprise upgrade cycle. I mean that's the reality.
Speaker 1: And for so long we've always talked about, you know,
Speaker 1: these upgrade cycles, a potential supercycle, and this is a
Speaker 1: surprise upgrade cycle. And I think especially what we're seeing
Speaker 1: in China, well, China was a decliner. Now you start
Speaker 1: to see that increasing year of a year. That's something
Speaker 1: streets coming up in terms of numbers. The New York
Speaker 1: City cab driver's embarrassment Apple six to nine months, So
Speaker 1: that's this is a bullish scenario, especially leading into what
Speaker 1: I believe now will be the year of AI. Ultimately
Speaker 1: Google partnership for Apple seventy five hundred dollars.
Speaker 2: Let's go back to that. What is Apple's AI strategy
Speaker 2: going to be or should be?
Speaker 1: Do you think today it's invisible? Right today? In the
Speaker 1: AI party that started at nine pm, it's now ten
Speaker 1: thirty pm. That party goes to four am, cook an Apple.
Speaker 1: They're on the outside, looking behind the velvet ropes. They're
Speaker 1: looking through the party through the window. But what I
Speaker 1: believe they're going to do now once Google won that
Speaker 1: DOJ suit, that clears the road for them to do
Speaker 1: a significant Gemini partnership where ultimately the consumer AI revolution
Speaker 1: goes through Cooper Tino.
Speaker 3: Well, look, we're talking AI spend. We've got to talk
Speaker 3: Meta because they're the complete opposite of Apple. Right, they're
Speaker 3: just throwing the kitchen sink at AI right now? But
Speaker 3: Wall Street are they approving of the spending Meta is
Speaker 3: doing in that space?
Speaker 1: Look, in my opinion, it's a table pounder when that
Speaker 1: stocks sold off. Yes, because my whole view is this
Speaker 1: is an AI arms race. You want companies to spend now, Look,
Speaker 1: free cash for earnings obviously gets hit. But the reality
Speaker 1: is is that this is a fourth Industrial Revolution. And
Speaker 1: you want all these coming from Microsoft to Google to
Speaker 1: Meta to what we see with Amazon. But guess what
Speaker 1: they're fueling the AI revolution. That's obviously bullish for Nvidia,
Speaker 1: AMD and others. I love what Meta's doing. I think
Speaker 1: it's a four digit stock, and I think what you're
Speaker 1: seeing now it's spreading. Look at Amazon. Finally, Jassey saying,
Speaker 1: don't forget about us. It just shows in street continues
Speaker 1: to underestimate the scope and scale of this fourth Industrial Revolution.
Speaker 2: So and Alexa saw yesterday Meta the stock did sell off.
Speaker 2: They went out and I sold thirty billion dollars worth
Speaker 2: of bonds, had one hundred and twenty five billion dollars
Speaker 2: demand what I was doing? That business a five or
Speaker 2: ten billion dollar deals were monster?
Speaker 1: Right?
Speaker 2: Thirty billion and I bet you had made five phone
Speaker 2: calls last night and sold that deal.
Speaker 1: I bent you.
Speaker 2: That's what happened. Dan, Talk to us about Amazon. Boy,
Speaker 2: that stock's up twelve percent pre market trading. Here. Talk
Speaker 2: to us about where they are with their cloud business
Speaker 2: Visa v Microsoft, Visa v.
Speaker 1: Google.
Speaker 2: Where's the cloud horizon for Amazon.
Speaker 1: For the last few years? Right, if you look at
Speaker 1: the top of that mountain, it's Microsoft and Theadela and
Speaker 1: then of course Google what they've been done with GCP,
Speaker 1: and that's been huge, the rerating that we've seen with Google.
Speaker 1: But if you look at Amazon outside, looking at right,
Speaker 1: I mean Jase, even though he's in AWSK, I really
Speaker 1: anthropics been the opportunity underwhelming last night. I think it's
Speaker 1: an inflection point quarter for Amazon. I think this now
Speaker 1: is going to change the view of Amazon when it
Speaker 1: comes to the cloud. Pyes, school some of the parts.
Speaker 1: That's how you get the three forty three and fifty
Speaker 1: dollars stock And this is a very very important quarter
Speaker 1: for the two mag seventy. If you think about Apple
Speaker 1: and Amazon both sort of like they're sitting at the
Speaker 1: table by the kitchen, like at the wedding, like with
Speaker 1: the random friends they get at that random table. They
Speaker 1: want to be at the cool table. Now they're there.
Speaker 3: Look, there's so much to talk about with Dan ives right,
Speaker 3: because you just I just I want to tick through
Speaker 3: some of these things we have you here in studio Tesla.
Speaker 3: Are these shareholders going to vote for this huge compensation
Speaker 3: package November six or Elon.
Speaker 1: Musk there's a better chance to me not eating chocolate
Speaker 1: sour patch kids tonight. Then this thing actually getting voted down.
Speaker 1: I mean, the point is this thing is getting one
Speaker 1: hundred percent getting voted for. The reality is that Musk
Speaker 1: is Tesla. Tesla is Musk. He's a wartime CEO. Right now,
Speaker 1: you need him in this Ai chapter. And then also
Speaker 1: I think they'll they're going to vote for the XAI
Speaker 1: ownership piece, which speaks to Tesla isn't a on it.
Speaker 1: It is an autonomous and robotics play. It is not
Speaker 1: about deliveries. In my opinion, I think that's why this
Speaker 1: is so important for shareholders when it comes to Musk.
Speaker 2: All Right, we got it before, we let you go
Speaker 2: Happy Valley. Turbulent times in Happy Valley, Penn State we
Speaker 2: have we don't have a coach, but boy is at
Speaker 2: a good seat. What do you think Penn State's going
Speaker 2: to do in terms of hiring it.
Speaker 1: Look, in my opinion, it's the number And obviously you
Speaker 1: can say bias, I think, especially after the LSU governors think,
Speaker 1: I think it's the number one coaching spin in all
Speaker 1: of college football above Florida. To me, you know, Paccraft,
Speaker 1: there's no better athletic director. I think right now in
Speaker 1: the world than him, and I think they're gonna go
Speaker 1: for Elka at Texas and m I think you go
Speaker 1: for Clark Lee at Vanderbilt, manny Da Potenti, Sha Brahm
Speaker 1: and others there. Look, this is it's obviously been a
Speaker 1: very very you know, disaster year, but it's our view
Speaker 1: we need the right person to ultimately take us to
Speaker 1: the next level.
Speaker 2: There you go, Dan I very he's a proud Penn
Speaker 2: State alum, very involved in the athletic department there at
Speaker 2: Penn State. And I think he also does some tech
Speaker 2: research on it.
Speaker 3: And he looks like Florida, the state of Florida walking
Speaker 3: badly badly.
Speaker 1: It's a total side there. Guys like Sweeney, they're the
Speaker 1: ones that give out the full chocolate bar for Halloween.
Speaker 1: So that remember that continues to be you know, obviously
Speaker 1: someone that many none of the many can you can't
Speaker 1: do you can't do many.
Speaker 2: Thanks so much for joining us. We really appreciate it.
Speaker 2: Dan I's global head of Tech Research and Web Bush
Speaker 2: Securities