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Speaker 1: News when you wanted with Bloomberg News Now, I'm Doug Krisner.

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Speaker 1: Microsoft and open ai are investigating whether a group linked

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Speaker 1: to the Chinese AI startup deep Seek obtained data from

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Speaker 1: open ais technology without authorization. We are told the group

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Speaker 1: allegedly used open AI's API to exfiltrate a large amount

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Speaker 1: of data. Earlier today, White House AI Zar David Sachs

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Speaker 1: told Fox News there is substantial evidence that deep Seek

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Speaker 1: distilled knowledge from open AI's models.

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Speaker 2: Deep Seek now as a model that's comparable to open ai.

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Speaker 2: Open ai is on the next model, but again they're

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Speaker 2: only maybe three or four months ahead. We just can't

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Speaker 2: afford to get distracted by things that don't matter, and

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Speaker 2: I think there's going to be a refocusing by OURI industry.

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Speaker 1: That's AISR David Sachs. Apple is secretly working with SpaceX

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Speaker 1: and T Mobile to add support for the Starlink network

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Speaker 1: to the latest iPhone software. Now, Starlink allows users to

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Speaker 1: send text via satellite when out of cellular range. We

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Speaker 1: are told the companies have been testing iPhones with the

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Speaker 1: Starlink service, and T Mobile has begun allowing customers to

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Speaker 1: sign up for an early version of the service. We

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Speaker 1: go to Washington next, where the White House began offering

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Speaker 1: buyouts worth seven months of salary to all federal employees

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Speaker 1: who opt to leave their jobs by February sixth. This

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Speaker 1: is all part of President Trump's overhaul of the federal government. Separately, today,

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Speaker 1: a federal judge temporarily halted the President's order to freeze

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Speaker 1: federal grant funding. This was issued after a lawsuit filed

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Speaker 1: by a coalition of nonprofit organizations. New York Senator Chuck

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Speaker 1: Schumer was highly critical of the freeze.

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Speaker 3: In an instant with no precedent, no justification, no legal grounds,

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Speaker 3: Donald Trump has shut off billions, perhaps trillions of dollars

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Speaker 3: that help American families every single day.

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Speaker 1: That is New York Senate Chuck Schumer.

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Speaker 4: Now.

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Speaker 1: The original White House memo sparked widespread confusion and panic

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Speaker 1: about its broad scope. It said direct assistance payments to

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Speaker 1: individuals would continue and that Medicare and Social Security benefits

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Speaker 1: would not be affected. However, it did not list other

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Speaker 1: specific carve outs, and at the same time, US universities

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Speaker 1: are trying to interpret the directive. It could disrupt higher

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Speaker 1: education funding, especially for scientific research. Now, some universities like

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Speaker 1: The University of Chicago and Harvard have already started to

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Speaker 1: prepare by cautioning faculty about purchasing equipment or starting new experiments. Others,

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Speaker 1: like the University of Texas at Austin, are not pausing research. Tomorrow,

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Speaker 1: the FED will issue its first policy decision of the year,

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Speaker 1: and Bloomberg Economics is expecting the committee to hold the

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Speaker 1: FED Fund's rate steady in a target range of four

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Speaker 1: and a quarter to four and a half percent. Steve

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Speaker 1: Skanke is chief investment strategist at Keel Point. He says

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Speaker 1: policy makers may also need to address the pressures of AI.

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Speaker 4: What's remarkable is, almost without exception, and irrespective of industry

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Speaker 4: or sector that our clients are working in or investing

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Speaker 4: in otherwise or where they have their own businesses, they

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Speaker 4: are using AI in increasing increasingly different ways. And some

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Speaker 4: of it they're not spending very much on. But as

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Speaker 4: they get into it, try and see how it works,

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Speaker 4: see what a different it makes in their work, planning, processing,

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Speaker 4: customer outreach.

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Speaker 1: Keel Points Steve Skanky There you can stay with Bloomberg

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Speaker 1: for our special coverage of tomorrow's FED decision. It kicks

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Speaker 1: off at one thirty pm Wall Street time on both

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Speaker 1: Bloomberg Radio and TV. Earnings will be coming in tomorrow

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Speaker 1: after the closing bell from a couple of the big

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Speaker 1: Mac seven companies. We have a preview from Bloomberg's tom Busby.

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Speaker 5: Microsoft, Meta, and Tesla all reporting their latest quarterly results.

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Speaker 5: Revenue at Microsoft expected to grow eleven percent, its lowest

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Speaker 5: increase in a year and a half. Meta expected to

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Speaker 5: post a seventeen percent spike in revenue. Want to boost

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Speaker 5: in advertising, investors will want to know more about its

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Speaker 5: plans to spend sixty five billion to grow out its

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Speaker 5: AI strategy. And Tesla expected to report weaker gross margins

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Speaker 5: after slashing prices on vehicles and because of unfavorable exchange rates,

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Speaker 5: but investors eager to hear a timeline for its long

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Speaker 5: awaited lower priced vehicle. Tom busby Bloomberg Radio.

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Speaker 1: Robert F. Kennedy Junior will face his confirmation hearing tomorrow

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Speaker 1: as designee for Health and Human Services Secretary. We have

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Speaker 1: a preview from Bloomberg Sammy Morris in Washington.

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Speaker 6: In prepared testimony for the Senate Committee seen by Bloomberg News,

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Speaker 6: Kennedy says he's neither anti vaccine nor anti industry and

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Speaker 6: he says all of his children are vaccinated. Back in

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Speaker 6: twenty twenty three, though he linked vaccines to autism, something

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Speaker 6: scientists dispute.

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Speaker 4: Do believe that autism does come from.

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Speaker 6: Vaccines, but today he says he believes vaccines should be

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Speaker 6: left up to the parent, not mandated. His cousin, Caroline

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Speaker 6: Kennedy has a plea for Senators, something her son posted

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Speaker 6: on x I urge the Senate to reject his nomination.

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Speaker 6: RFK Junior also changed his stance on abortion after former

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Speaker 6: Vice President Mike Pence opposed his nomination. In Washington, Amy

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Speaker 6: Morris Bloomberg Radio, and.

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Speaker 1: That is news when you want it with Bloomberg News. Now,

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Speaker 1: I'm Doug Chrisner, and this is Bloomberg