Speaker 1: This is Bloomberg business Week inside from the reporters and
Speaker 1: editors who bring you America's most trusted business magazine, plus
Speaker 1: global business finance and tech news. The Bloomberg Business Week
Speaker 1: Podcast with Carol Messer and Tim Stenebeck from Bloomberg Radio.
Speaker 2: Hi, everyone, Welcome to the weekend edition of Bloomberg Business Week.
Speaker 2: We're gonna just kind of cut to the chase here
Speaker 2: because this week has really been so much about what
Speaker 2: is one of the world's largest market cap companies. It's
Speaker 2: the chip maker at the heart of the artificial intelligence boom.
Speaker 2: We are talking about Nvidia, which wrapped up earning season
Speaker 2: for US and gave a revenue forecast that fell short
Speaker 2: of some of the most optimistic estimates, stoking concerns that
Speaker 2: its explosive growth is waning more in the report as
Speaker 2: it was coming out.
Speaker 3: In just a moment, also this hour, Dell and AI,
Speaker 3: we speak to the CTO and chief AI officer at
Speaker 3: the Computer Giant about what's coming.
Speaker 2: Up and later on. Rather than large language models of
Speaker 2: AI h, we talked simply about learning another language with
Speaker 2: the CEO of Babbel. All of that to come. We
Speaker 2: begin with the most anticipated earnings report from this past week,
Speaker 2: and Vidia, the chip maker, failed to live up to
Speaker 2: investor hopes with its latest results this past Wednesday, despite
Speaker 2: beating for the past quarter, but nonetheless, it delivered an
Speaker 2: underwhelming forecast in news of production snags with its hyped
Speaker 2: Blackwell chips.
Speaker 3: The company's quarterly report met or beat analyst estimates on
Speaker 3: nearly every measure, but in Vidia investors have grown accustomed
Speaker 3: to blowout quarters and the latest numbers didn't qualify. After
Speaker 3: the company's earnings call, CEO Jensen Wong sat down exclusively
Speaker 3: with Bloomberg TV's Ed Lovelow to talk about the results
Speaker 3: and how AI is impacting how every layer of computing
Speaker 3: is done.
Speaker 4: I think the market wanted more on Blackwell. They wanted
Speaker 4: more specifics, and I'm trying to go through all of
Speaker 4: the call and the transcript, it seems like a very
Speaker 4: clearly this was a production issue and not a fundamental
Speaker 4: design issue with Blackwell. But the deployment in the real world,
Speaker 4: what does that look like tangibly and is there sort
Speaker 4: of delay in the timeline of that deployment and thus
Speaker 4: revenue from that product.
Speaker 5: I let's see, that's just the fact that I was
Speaker 5: so clear and it wasn't clear enough.
Speaker 6: Kind of tripped me up there right away.
Speaker 5: And so so let's see, we made a mass change
Speaker 5: to improve the yield. Functionality of Blackwell is wonderful. We're
Speaker 5: sampling Blackwell all over the world today. We show people
Speaker 5: giving tours to people of the Blackwall systems that we
Speaker 5: have up and running.
Speaker 6: You could find.
Speaker 5: Pictures of Blackwall systems all over the web. We have
Speaker 5: started volume production. Volume production will ship in Q four.
Speaker 5: Q four, we will have billions of dollars of Blackwell revenues, and.
Speaker 6: We were ramped from there. We were ramped from there.
Speaker 5: The demand for Blackwell far exceeds its supply, of course
Speaker 5: in the beginning, because the demand is so great. But
Speaker 5: we're going to have lots and lots of supply and
Speaker 5: we will be able to ramp. Starting in Q four,
Speaker 5: we have billions of dollars of revenues, and we'll ramp
Speaker 5: from there into Q one, into Q two and two
Speaker 5: next year. We're going to have a great next year
Speaker 5: as well.
Speaker 4: Jensen, what is the demand for accelerated computing beyond the
Speaker 4: hyperscalers and meta.
Speaker 5: Hyperscalers represent about forty five percent of our total data
Speaker 5: center business.
Speaker 6: We're relatively diversified today.
Speaker 5: We have Hyperscalers, we have Internet service providers, we have
Speaker 5: Sovereign AIS, we have industries enterprises, so it's fairly fairly diversified.
Speaker 5: A site outside of Hyperscalers is the other fifty five percent.
Speaker 6: Now, the application.
Speaker 5: Use across all of that, all of that data center
Speaker 5: starts with accelerated computing. Accelerated computing does everything, of course,
Speaker 5: from well the models the things that we know about,
Speaker 5: which is generative AI, and that gets most of the attention.
Speaker 6: But at the core we also.
Speaker 5: Do database processing, pre and post processing of data before
Speaker 5: you use it for generative AI, trans coding, scientific simulations,
Speaker 5: computer graphics of course, image processing of course. And so
Speaker 5: there's tons of applications that people use are accelerated computing for,
Speaker 5: and one of them is generative AI.
Speaker 6: And so let's see what else can I say? I
Speaker 6: think that's the.
Speaker 4: Lever jump in Jensen. Please on Sovereign AI. You and
Speaker 4: I've talked about that before, and it was so interesting
Speaker 4: to hear something behind it. In this fiscal year there
Speaker 4: will be low double digit I think you said billions
Speaker 4: of dollars in Sovereign AI sales. But to the lay person.
Speaker 4: What does that mean. It means deals with specific governments,
Speaker 4: if so, where.
Speaker 5: It's not necessarily sometimes it deals with particular regional service
Speaker 5: provider that's been funded by the government. And oftentimes that's
Speaker 5: the case in a case of in the case of Japan,
Speaker 5: for example, the Japanese government came out and offered.
Speaker 6: Subsidies of a.
Speaker 5: Couple of billion dollars I think for several different internet
Speaker 5: companies and telcos to be able to fund their AI infrastructure.
Speaker 5: India has a sovereign AI initiative going and they're building
Speaker 5: their AI infrastructure. Canada, the UK, France, Italy, I'm missing
Speaker 5: some body, Singapore, Malaysia. You know, a large number of
Speaker 5: countries are subsidizing their regional data centers so that they
Speaker 5: could become able to build out their AI infrastructure. They
Speaker 5: recognize that their countries knowledge, their countries data digital data
Speaker 5: is also their natural resource, not just the land they're
Speaker 5: sitting on, not just the air above them.
Speaker 6: But they realize now that their their digital knowledge is
Speaker 6: part of their.
Speaker 5: Natural and national resource and they had to harvest that
Speaker 5: and process that and transform it into their national digital intelligence.
Speaker 5: And so this is a this is what we call
Speaker 5: sovereign AI. You could imagine almost every single country in
Speaker 5: the world will eventually recognize this and build out their
Speaker 5: AI infrastructure.
Speaker 4: Benson, you use the word resource, and that makes me
Speaker 4: think about the energy requirements here. I think the cool
Speaker 4: it's about how the next generation models will have many
Speaker 4: orders of magnitude greater compute needs. But how will the
Speaker 4: energy needs increase And what is the advantage you feel
Speaker 4: in Nvidia has in that sense, Well.
Speaker 5: The most important thing that we do is increase the
Speaker 5: performance of and increase the performance and efficiency of our
Speaker 5: next generation. So Blackwell is many times more performance than
Speaker 5: Hopper at the same level of power used, and so
Speaker 5: that's energy efficiency, more performance with the same amount of
Speaker 5: power or same performance at a lower power And that's
Speaker 5: number one. And the second is using luca cooling. We
Speaker 5: support air cool we support air cooling, we support liquor cooling,
Speaker 5: but liqual cooling is a lot more energy efficient, and
Speaker 5: so so the combination of that, all of that, you're
Speaker 5: going to get.
Speaker 6: A pretty large, pretty large step up.
Speaker 5: But the important thing to also realize is that AI
Speaker 5: doesn't really care where it goes to school, and so
Speaker 5: increasingly going to see AI be trained somewhere else, have
Speaker 5: that model come back and be used near the population
Speaker 5: or even running on your PC or your phone. And
Speaker 5: so we're going to train large models, but the goal
Speaker 5: is not to run the large models necessarily all the time.
Speaker 5: You can, you can surely do that for some of
Speaker 5: the premium services and the very high value AIS, but
Speaker 5: it's very likely that these large models would then help
Speaker 5: to train and teach smaller models.
Speaker 6: And what we'll end up doing is have one.
Speaker 5: Large, few large models that are able to train a
Speaker 5: whole bunch of small models and they run everywhere.
Speaker 4: Jensen, you explain clearly that demand to build generative AI
Speaker 4: product on models or even at the GPU level is
Speaker 4: greater than current supply in black Vel's case in particular,
Speaker 4: explain the supply dynamics to me for your products and
Speaker 4: whether you see an improvement sequentially quarter on quarter or
Speaker 4: at some point by the end of fiscal year into
Speaker 4: next year.
Speaker 6: Well, the fact that.
Speaker 5: We're growing would suggest that our supply is improving, and
Speaker 5: our supply chain is quite large, one of the largest
Speaker 5: supply chains in the world. We have incredible partners and
Speaker 5: they're doing a great job supporting us in our growth.
Speaker 5: As you know, We're one of the fastest growing technology
Speaker 5: companies in history, and none of that would have been
Speaker 5: possible without very strong demand but also very strong supply.
Speaker 5: We're expecting Q three to have more supply than Q two,
Speaker 5: We're expecting Q four to have more supply than Q three,
Speaker 5: and we're expecting Q one to have more supply than
Speaker 5: Q four. And so I think our supply, our supply
Speaker 5: condition going into next year will be in will be
Speaker 5: a large improvement over this last year with respect to demand.
Speaker 5: Blackwell is just such a leap and there's several things
Speaker 5: that are happening, you know, just the Foundation model makers themselves.
Speaker 5: The size of the Foundation models are growing from hundreds
Speaker 5: of billions parameters to trillions of parameters. They're also learning
Speaker 5: more languages. Instead of just learning human language, they're learning
Speaker 5: the language of images and sounds and videos, and they're
Speaker 5: even learning the language of three D graphics. And whenever
Speaker 5: they are able to learn these languages, they can understand
Speaker 5: what they see, but they can also generate what they're
Speaker 5: asked to generate. And so they're learning the language of
Speaker 5: proteins and chemicals and physics. You know, it could be fluids,
Speaker 5: and it could be particle physics, and so they're learning
Speaker 5: all kinds of different languages. They learn the meaning of
Speaker 5: what we call modalities, but basically learning the languages.
Speaker 6: And so these models are.
Speaker 5: Growing in size, they're learning from more data, and there
Speaker 5: are more model makers then there was a year ago.
Speaker 5: And so the number of model makers have grown substantially
Speaker 5: because of all these different modalities. And so that's just one,
Speaker 5: just the frontier model. The foundation model makers themselves haven't
Speaker 5: really grown tremendously. And then the generative AI mark it
Speaker 5: has really diversified, you know, beyond the Internet service makers
Speaker 5: to startups and now enterprises are jumping in. Different countries
Speaker 5: are jumping in, so the demand has really grown.
Speaker 4: Jensen, I'm sorry to cut you off. I will lose
Speaker 4: your time soon. You've also diversified. And when I said
Speaker 4: to our audience you were coming on, I got so
Speaker 4: many questions. Probably the most common one is what is
Speaker 4: in Nvidia. We talked about you as a systems vendor,
Speaker 4: but so many points on in Nvidia GPU cloud, and
Speaker 4: I want to ask, finally, do you have plans to
Speaker 4: become literally a cloud compute provider?
Speaker 2: No.
Speaker 5: Our GPU cloud was designed to be the best version
Speaker 5: of Nvidia cloud that's built within each cloud. Nvidio DGX
Speaker 5: cloud is built inside GCP, inside Azure, inside AWS, inside OCI,
Speaker 5: and so we build our clouds within theirs so that
Speaker 5: we can implement.
Speaker 6: Our best version of our cloud.
Speaker 5: Work with them to make that cloud, that infrastructure, that
Speaker 5: AI infrastructure and video infrastructure has performance as great TCO
Speaker 5: as possible, and so that strategy has worked incredibly well.
Speaker 3: That's in Nvidia CEO Jensen Wong speaking exclusively with Bloomberg
Speaker 3: Technology co host ed Ludbow. Here The full conversation on
Speaker 3: the Bloomberg Talks podcast feed, available everywhere you download your podcasts.
Speaker 2: Coming up, another tech company writing the AI wave, Dell
Speaker 2: recheck in with the CTO and Chief AI Officer at
Speaker 2: Dell Technologies. Is that on the other side, you're.
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Speaker 2: So a few weeks ago, Dell announced they are getting
Speaker 2: leaner cutting jobs as part of a reorganization of its
Speaker 2: sales team to focus on a new group centered on
Speaker 2: AI products and services. You may recall earlier this year
Speaker 2: that CEO Michael Dell talked about aipcs being pretty standard
Speaker 2: in twenty twenty five.
Speaker 3: We wanted an update about what Dell is doing for that,
Speaker 3: Bloomberg News reporter Katie Graifeld and I turned to John Rose.
Speaker 3: He's CTO and Chief AI Officer at Dell Technologies. We
Speaker 3: spoke to him before the release of Dell's latest earnings report.
Speaker 7: CTOs have been around forever, but chief AI officers, at
Speaker 7: least at Dell and really in federal government and a
Speaker 7: few other places started about a year ago.
Speaker 1: You know.
Speaker 7: It was a recognition that this is complex, it's bigger
Speaker 7: than an IT project. It has to have somebody caring
Speaker 7: and feeding it because it was a lot of governance
Speaker 7: and technology coming together. So, you know, for us, it
Speaker 7: was a year ago that we put the position in place.
Speaker 3: We've talked about the Chief AI Officer in the context
Speaker 3: of the federal government and the new regulations around federal
Speaker 3: agencies needing a chief AI officer. Do you think that
Speaker 3: every company needs a Chief AI Officer?
Speaker 7: I don't I think some companies need chief AI officers
Speaker 7: if you're doing an at scale kind of AI transformation
Speaker 7: of a large organization, But if if you're a smaller organization,
Speaker 7: you need someone who's driving it. But do you need
Speaker 7: to change your organizational structure? For a company like Dell,
Speaker 7: we have literally hundreds of not thousands, of projects that
Speaker 7: are going to happen, and a thirty percent of our
Speaker 7: work is probably going to shift below.
Speaker 8: The machine line.
Speaker 7: That is a gigantic effort, and having someone in the
Speaker 7: position from an executive perspective is necessary. But smaller companies
Speaker 7: are going to depend on companies helping them navigate this
Speaker 7: rather than creating organizational structures.
Speaker 9: Well, I'm curious in your role how you juggle timelines
Speaker 9: because you think about the here and now feels like
Speaker 9: AI has to be in every single conversation. You have
Speaker 9: a ton of companies trying to gain a foothold or
Speaker 9: get up to speed or play catch up. But then
Speaker 9: you also have this fantastic long term opportunity that we
Speaker 9: talk about all the time that no one really knows
Speaker 9: what that holds. So I mean, in your day to day,
Speaker 9: what does it look like trying to juggle those two.
Speaker 1: Yeah.
Speaker 7: You know, as a CTO, my job is to make
Speaker 7: sure we never miss a technology inflection. So things like
Speaker 7: quantum live under me, and these are long term places.
Speaker 7: One of the interesting things about AI, though, is that
Speaker 7: the future is happening now. There is no five year
Speaker 7: journey that you're going to get to eventually. The disruptions
Speaker 7: are happening almost weekly, and so this intersection between execution
Speaker 7: and vision is more pronounced than any other technology I
Speaker 7: have ever seen. So, you know, good chief AI officer
Speaker 7: is not just an operational manager. They actually have to
Speaker 7: be extremely current with the technology and what is emerging
Speaker 7: so that they don't miss an inflection which could happen
Speaker 7: in the span of like a matter of weeks.
Speaker 3: I'm trying to figure out the way to ask this,
Speaker 3: to contextualize it in the right way. But when we
Speaker 3: talk to people about AI, John, we oftentimes hear them
Speaker 3: say it's just like the Internet in the nineteen nineties.
Speaker 3: You're saying no, no, on the scale of impact it is.
Speaker 8: But I was in creating that that year.
Speaker 7: I was the CTL a bunch of networking companies in
Speaker 7: the nineties, and we had a decade and a half
Speaker 7: to kind of get there, and it happened slowly over time,
Speaker 7: it did have a profound impact. I think from a
Speaker 7: scale perspective it's similar. But the speed in which this
Speaker 7: is happening, think about it, you know, let me give
Speaker 7: you an example. It would be technical for a second.
Speaker 7: There's a term out there called retrieval augmented generation RAT,
Speaker 7: which now is in the normal of vernaculars.
Speaker 3: Adie and Univer say that to me. I say it
Speaker 3: all the time.
Speaker 9: Yeah, we were just talking about.
Speaker 8: In the commercial ok so common term very important.
Speaker 7: Technology allows you to take your external data and use
Speaker 7: it with a large language model without the large language
Speaker 7: model absorbing it.
Speaker 8: That's pretty important, right.
Speaker 7: That term, as a discussion in our industry is about
Speaker 7: a year old. It's foundational to almost every enterprise AI
Speaker 7: story that you can imagine. The technology didn't exists three
Speaker 7: years ago. So the speed in which these things are happening,
Speaker 7: you know, it's not like we've developed the Internet, then
Speaker 7: we have ten years to figure it out and mature
Speaker 7: it and then scale it and twenty years later everybody
Speaker 7: has to be there. This is if you're not there now,
Speaker 7: or if you're not moving towards getting there, you're already late.
Speaker 7: And I haven't seen that happen in any other big
Speaker 7: technology and FI is it.
Speaker 3: More steam engine like Jamie Diamond talks about Industrial revolution.
Speaker 7: Yeah, it's after the steam engine existed and was commercially available.
Speaker 7: What you saw was this massive uptick you had. And
Speaker 7: it's actually a good analogy because the steam engine was
Speaker 7: a way to transfer energy, and you need to transfer
Speaker 7: energy to do all kinds of things, from producing goods
Speaker 7: and services to doing transportation, and so it became incredibly pervasive.
Speaker 8: AI is very similar.
Speaker 7: Anybody who tries to piginol that it only does chatbots for,
Speaker 7: you know, searching staff for it only does enterprise applications X, Y,
Speaker 7: and Z is wrong because it's a foundational technology. It's
Speaker 7: a different way to distill information into knowledge and wisdom,
Speaker 7: and you're going to apply it everywhere, much like we
Speaker 7: did when we moved to the internal combustion engine.
Speaker 9: Well, let's talk about AI as it relates to Dell's business,
Speaker 9: because of course you've made an aggressive pivot when it
Speaker 9: comes to the AI server space. How different is the
Speaker 9: manufacturing and sales versus the traditional server manufacturing.
Speaker 7: Yeah, first thing, maybe to Dispelomith, we didn't actually do
Speaker 7: an aggressive pivot, meaning about four or five years ago,
Speaker 7: we built our first AI service Wait before Jenai, and
Speaker 7: the reason for it was that there were deep neural networks,
Speaker 7: there were early AI systems. Nobody understood them except maybe
Speaker 7: one hundred thousand people or smart enough, and so we
Speaker 7: had been building these systems for quite a while and
Speaker 7: predicting that there would be a time where this would explode,
Speaker 7: this would be something that would be bigger. So when
Speaker 7: CHATGPD happened and suddenly Jennai was available, we had this
Speaker 7: large language model explosion. We actually already had products that
Speaker 7: were ready to go into the market, and that's one
Speaker 7: of the advantages we had as this market formed. We
Speaker 7: were actually already there. And then what we had to
Speaker 7: do is adapt a little bit. But our supply chain
Speaker 7: was in place, our service organization was in place. We
Speaker 7: had to kind of optimize who we were selling to
Speaker 7: because it was new customers, but it wasn't really a
Speaker 7: gigantic surprise. The other thing that we have now included
Speaker 7: is that there isn't significant difference between the two markets
Speaker 7: in AI that we participate in.
Speaker 8: The first is the training market.
Speaker 7: These large scale deals that we tend to be winning
Speaker 7: a lot of and are very interesting. And then the enterprise,
Speaker 7: which is actually not a training business, it's more of
Speaker 7: an inference business. It turns out that the products that
Speaker 7: we're building in the training site at scale transfer almost
Speaker 7: literally into the enterprise unmodified, which is a very good
Speaker 7: thing because we can address two markets with a portfolio.
Speaker 3: Hey, John, one thing that we're really interested in is
Speaker 3: understanding who your AI server customers are today. We did
Speaker 3: see Michael Dell's tweet on shipping too Musk's XAI initiative.
Speaker 3: How would you define your AI server customers? Is its
Speaker 3: second tier cloud that's accounting for the growth. Where are
Speaker 3: the traditional enterprise when it's coming to AI adoption.
Speaker 7: Well, first, there's two very distinct markets. There is the
Speaker 7: traditional enterprise, which is still an early market. It's mostly experimentation.
Speaker 7: Those experiments are now graduating and giving an example internally,
Speaker 7: we have a project that was first an experiment around
Speaker 7: our service organization, creating some that would allow people to
Speaker 7: make intelligent choices about troubleshooting a problem. We then very
Speaker 7: quickly move from a prototype to thousands of people, and
Speaker 7: we're on a path the potentially forty thousand of our
Speaker 7: service technicians using this technology and a span of literally
Speaker 7: measured in six.
Speaker 8: Months or so. So the enterprise is on that journey.
Speaker 7: We haven't really hit scale in any meaningful way, but
Speaker 7: we have a lot of things in the pipeline as
Speaker 7: people are figuring it out. That market, i would say,
Speaker 7: is my view, is a bigger market because there are
Speaker 7: millions of enterprises and every process and every enterprise is
Speaker 7: a target for this technology. But it takes time to
Speaker 7: get to a point of stability, to transfer the knowledge
Speaker 7: and too basically get moving great future. The today market
Speaker 7: is mostly characterized by the ones you mentioned. It's companies
Speaker 7: that are building their own foundation models. They are training
Speaker 7: large scale models. That's not what enterprises do. Enterprises, you
Speaker 7: use those models to do inference tasks. The training business
Speaker 7: is growing dramatically because quite frankly, that's the underlying engine
Speaker 7: of all layout.
Speaker 3: But is it only a handful of companies that are
Speaker 3: doing it.
Speaker 7: It's not a very big market in terms of compared
Speaker 7: to the tens of millions of enterprises that are going
Speaker 7: to use size that are going to use it. The
Speaker 7: people that are going to produce these models is not
Speaker 7: anywhere near that number. There's more than a handful of them.
Speaker 7: There are certain tiers of them, as you mentioned, there
Speaker 7: are even certain enterprise, very large enterprises, Xtra being a
Speaker 7: good example. You're talking about the Yeah, they're also training
Speaker 7: their own models. But the thing that makes them all
Speaker 7: the same is every one of those companies is building
Speaker 7: infrastructure to train large scale foundation models. Enterprises aren't. Enterprises
Speaker 7: are using those models, putting them into production, maybe fine
Speaker 7: tuning them, and so there's a very different market forming,
Speaker 7: but they're happening kind of a little out of phase,
Speaker 7: but in parallel.
Speaker 9: When it comes to competitive landscape, what does Dell offer
Speaker 9: that a super micro or even in Nvidia doesn't.
Speaker 7: Yeah, first of all, AI is not just a server transaction.
Speaker 7: There is storage networking, but more importantly, it's especially when
Speaker 7: you go to the enterprise, it's end to end. When
Speaker 7: you're talking about deploying enterprise AI, you have to put
Speaker 7: it where your people in data are, which includes the AIPC, edges,
Speaker 7: distributed architectures. And that's why you know when training may
Speaker 7: be able to consume servers, just as a standard component,
Speaker 7: enterprise has to consume systems and more and more the
Speaker 7: training infrastructures are consuming systems and that's why our expertise
Speaker 7: and networking and storage and data center design, power cooling,
Speaker 7: all the things that we do because we're very broad
Speaker 7: come together and give us an advantage in both of
Speaker 7: those markets. More pronounced in the enterprise side.
Speaker 3: We talk a lot about power consumption and with power
Speaker 3: consumption comes great responsibility. But actually that's not really the
Speaker 3: quote heat generation. That's what comes with power consumption. What
Speaker 3: does Dell offer to help lessen AI's power.
Speaker 7: Use, Well, well, the first thing is, you know, okay,
Speaker 7: first fact is when you add a whole pile of compute,
Speaker 7: you have to use energy to do that. And yes,
Speaker 7: AI is a significant increase in the overall power consumption
Speaker 7: because we've increased the compute capacity of the world by
Speaker 7: potentially orders of magnitude. The levers we have to deal
Speaker 7: with that are quite numerous. The biggest one that's going
Speaker 7: on right now is we're moving to directly with cooling
Speaker 7: in a more pervasive way, and that is a much
Speaker 7: more efficient way of getting the energy out of these
Speaker 7: systems and basically dealing with cooling. But that requires a
Speaker 7: retrofitive infrastructure and investment, but it turns out it does
Speaker 7: work quite well. We've been doing direct liquid cooling for
Speaker 7: I think twenty years or alienware products and the gaming
Speaker 7: side have been doing this for it. You know, you
Speaker 7: can't buy one now that doesn't have direct liquid cooling.
Speaker 7: So it's a space that's important. But beyond that, there
Speaker 7: are other decisions you make.
Speaker 3: You know.
Speaker 7: One of the most interesting ones that we're exploring, and
Speaker 7: this is more for the enterprise side, is once you
Speaker 7: choose to put your AI into production, there are two
Speaker 7: places and an enterprise that you can run it. You
Speaker 7: could run it in a data center, which is what
Speaker 7: people are starting with. Or there's this little thing called
Speaker 7: an AIPC emerging, which says, what if I take that model,
Speaker 7: I re quantize it. I basically make it small enough
Speaker 7: to run locally, and I move it out to the
Speaker 7: computing device onto the PC itself.
Speaker 3: Doesn't that still use the energy, but it just uses
Speaker 3: it locally rather than the energy is still.
Speaker 7: Being use but the energy was going to be used anyway.
Speaker 7: Those PCs one, they're distributed, so they're not sitting at
Speaker 7: one choke point on the grid. I don't need to
Speaker 7: put megawatts to a PIEC. I have AC outlets everywhere.
Speaker 7: I have batteries on them, and in fact, the total
Speaker 7: number of mips in the world sitting on PCs is
Speaker 7: probably bigger than the total amount of mips in a
Speaker 7: data center MIPS million instructions per second, the measure of
Speaker 7: compute performance. And so the reality is, you know, look
Speaker 7: at a typical AIPC today and it's a relatively small
Speaker 7: amount of NPU capacity neural processing unit capacity, but if
Speaker 7: you multiply it by a billion PCs, it's a pretty
Speaker 7: big footprint to go after.
Speaker 3: That was John Rose, chief technology officer and also chief
Speaker 3: AI officer at Dell Technologies. Bloomberg's Katy Greifeld joining there
Speaker 3: as well.
Speaker 2: When we come back more of that conversation with Dell's
Speaker 2: John Rose, including what makes a PC an AI PC?
Speaker 7: A few years ago we started looking and saying, well,
Speaker 7: could we build an optimized processor that was really very
Speaker 7: power efficient to do AI task that's called a neural
Speaker 7: processing unit. And so when we just announced whole bunch
Speaker 7: of Qualcom based aipcs, and we have Intel based aipcs,
Speaker 7: and the thing that makes them an AIPC in most
Speaker 7: cases is it has all three of those processors, and.
Speaker 3: Well, I learns to speak more like humans. Quite a
Speaker 3: few humans are using AI to speak to other humans.
Speaker 10: Nice in our US product or English speakers learning Spanish.
Speaker 10: We have rolled that out already and people are very
Speaker 10: engaged with it. It doesn't judge you. I mean, it
Speaker 10: gives you feedback, but you're not embarrassed in front of
Speaker 10: the AI.
Speaker 11: You know, it's very effective.
Speaker 3: The CEO of the Language learning at Babble. On the
Speaker 3: other side, this is Boom.
Speaker 1: You're listening to the Bloomberg Business Week podcast. Listen live
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Speaker 2: A couple of companies are betting that we're going to
Speaker 2: need more powerful computers to run programs at home AI.
Speaker 2: That kind of makes sense. Dell is one of those companies.
Speaker 2: As we mentioned earlier, CEO Michael Dell has talked about
Speaker 2: aipcs being pretty standard in twenty twenty five, but I
Speaker 2: feel like Tim, we're still trying to figure out what
Speaker 2: exactly does that mean exactly?
Speaker 3: So what makes a PC an AIPC. It's a question
Speaker 3: that I posed to John Rose, chief technology and chief
Speaker 3: AI officer at Dell Technologies. Here's the rest of our
Speaker 3: conversation along with Bloomberg's Katie Creifeld.
Speaker 7: Today, the definition is that it has a neural processing unit.
Speaker 7: So technical for a second. You know, all PCs have
Speaker 7: central processing units X eighty six processors. That's what most
Speaker 7: of us run our stuff on. And then years ago
Speaker 7: we put graphic processing units GPUs, which now in video
Speaker 7: is quite popular with the in the data center. Same
Speaker 7: architecture sits on almost every PC, just smaller scale. And
Speaker 7: then a few years ago we started looking and saying, well,
Speaker 7: could we build an optimized processor that was really very
Speaker 7: power efficient to do AI task. That's called a neural
Speaker 7: processing unit. And so the latest you know, Intel processors,
Speaker 7: Qualcom processers actually have all three on the system. And
Speaker 7: we just announced whole bunch of Qualcom based aipcs, and
Speaker 7: we have Intel based aipcs, and the thing that makes
Speaker 7: them an AIPC in most cases is it has all
Speaker 7: three of those processers.
Speaker 8: You put them all.
Speaker 7: Together and you end up with an actually pretty beefy
Speaker 7: system that still is low power runs on a battery
Speaker 7: can take away with you. The trick is which we
Speaker 7: haven't done as an industry yet, is when we put
Speaker 7: the AIS into production, moving more of those workloads out
Speaker 7: onto those PCs moves them out of the data center.
Speaker 7: You've shifted the work, you've shifted the power and cooling,
Speaker 7: You've distributed it into a place that's ready for it,
Speaker 7: and that buys us a significant amount of capacity for
Speaker 7: the things that truly belong in.
Speaker 8: A data center.
Speaker 7: We're going to do both, but today most people only
Speaker 7: do one of them, and they're not taking advantage of
Speaker 7: the billion PCs out there that could in fact be
Speaker 7: doing this work instead of.
Speaker 8: In the data center.
Speaker 9: Well, I'm glad you brought us to aipcs because that's
Speaker 9: where I wanted to go, because Dell has been out
Speaker 9: front talking about aipcs really starting helping to start the
Speaker 9: conversation there. I think there's some stat out there that
Speaker 9: says that forty percent of new PCs shipped in twenty
Speaker 9: twenty five will be aipcs. Does that sound realistic to you?
Speaker 9: What are you modeling?
Speaker 7: I mean, if you look at the roadmap from Intel
Speaker 7: and definitely Qualcomm and others, they're all moving in this direction.
Speaker 7: You know, most of the latest Intel chips are absolutely
Speaker 7: you know the ones that are coming in, the ones
Speaker 7: they're in the market are qualified as AAIPC is the
Speaker 7: new Qualcom chip sets that are now in the market
Speaker 7: on our products and starting to roll out definitely AI.
Speaker 7: So it's not a function of you know, wanting to
Speaker 7: do something special. It's actually becoming mainstream. There will be
Speaker 7: non AIPC chipsets out there because not everybody needs this.
Speaker 7: But in the business context, if you're going to put
Speaker 7: a copilot out on a PC, if you're going to
Speaker 7: run that troubleshooting tool for your support group, if I
Speaker 7: can do that on an AIPC, the net impact is
Speaker 7: that it will be able to do it more efficiently.
Speaker 7: The NPU just uses less power for the same task,
Speaker 7: and so you end up with a much more efficient,
Speaker 7: much more performance system. Microsoft has released a whole pile
Speaker 7: of copilot stuff that runs locally on It's called Copilot
Speaker 7: Plus and includes image replacement and prediction summarization. And they
Speaker 7: realize a long time ago that pushing a bunch of
Speaker 7: this stuff to be processed locally has a net effect
Speaker 7: from a sustainability environmental impact of getting things into a
Speaker 7: place that already has the power to eliminate the burden
Speaker 7: on some of the data center architectures.
Speaker 3: Okay, so what is a real use case for an AIPC. Yeah, well,
Speaker 3: I mean there's customers figured it out.
Speaker 8: They are figuring it out.
Speaker 7: The biggest one that's very visible right now is if
Speaker 7: you run the copilot plus technologies from Microsoft, which it's
Speaker 7: their kind of end to end stack, when you move
Speaker 7: them out onto the PC one, it always works with
Speaker 7: you too. It generally tends to be more private data
Speaker 7: because the data doesn't move out into a cloud. And
Speaker 7: number three, the biggest impact is just runs more efficiently.
Speaker 7: The non Microsoft examples are already emerging. You have people
Speaker 7: like Adobe and others that are starting to think about
Speaker 7: how can I run my web app so that the
Speaker 7: processing is done locally to do background insertion. We have
Speaker 7: stuff that we built internally for our own uses around
Speaker 7: this troubleshooting tool and technology to help get a large
Speaker 7: language model powered AI engine underneath all my support technicians.
Speaker 7: Guess what, Dell support technicians rarely spend time in our
Speaker 7: data center. They're out in your data center, and they
Speaker 7: got to bring those tools with them, and they might
Speaker 7: not have network access there because of security reasons. If
Speaker 7: I can bring the AI with me, then I guarantee
Speaker 7: a high quality of service. There's a lot of those,
Speaker 7: and on and on. Member AI is horizontal. We haven't
Speaker 7: figured out all the use cases. Just ask yourself, where
Speaker 7: do you want to bring intelligence that augments a human
Speaker 7: being in real time efficiently? And that's where you need
Speaker 7: an AIPC shoulder.
Speaker 12: Yeah, just telling me what to do.
Speaker 9: Can we talk about pricing here though?
Speaker 1: When it comes to.
Speaker 9: An AI PC, how do you price that relative to
Speaker 9: a normal PC?
Speaker 6: Yeah?
Speaker 7: I'm not a pricing guy, so I have no idea
Speaker 7: what the you know, where the market will land. What
Speaker 7: we do believe is there's more value in an AIPC
Speaker 7: if you have this ability to do these tasks in
Speaker 7: a more efficient way and are performant way, and you
Speaker 7: can't do them on an alternative PC, Clearly that has value.
Speaker 7: And we already have lots of pricing bands within our industry.
Speaker 7: You know, there's a huge difference between an alienware you know,
Speaker 7: gaming machine and a chromebook. They are both technically PCs.
Speaker 7: One of them you can run high performance gaming and
Speaker 7: the other one you can't. And so we'll see that
Speaker 7: kind of stratification occur, but these are not things that
Speaker 7: are exotic and out of the realm. In fact, our
Speaker 7: newest products of the qualcom ones were just released. If
Speaker 7: you look at them, they're pretty mainstream pricing. These are
Speaker 7: not the old days of you spend five thousand dollars
Speaker 7: for a laptop to do something special. It's kind of
Speaker 7: within the realm of normal pricing, if you will. But
Speaker 7: it is a value play in the sense that does
Speaker 7: something that quite frankly, you know, is better than if
Speaker 7: it wasn't there.
Speaker 3: Hey, John, very very briefly, when you're thinking about money
Speaker 3: you're spending, where's the investment going thirty seconds?
Speaker 7: Investment in aim? Well, well, I mean significantly two things. One, obviously,
Speaker 7: from a product line perspective, we are investing heavily on
Speaker 7: building out the products and services and technologies and to
Speaker 7: enable our customers to build out their AI environment. And
Speaker 7: that's AI enabling and evolving our entire portfolio.
Speaker 3: That was John Rose, chief Technology Officer and Chief AI
Speaker 3: Officer at Dell Technology. It's a big thank you to
Speaker 3: to Katie Greifeld of Bloomberg TV and Bloomberg News for
Speaker 3: joining me for that conversation. Are you ready for your
Speaker 3: PC to be an AI PC?
Speaker 2: I'm still not sure. I feel like there's still so
Speaker 2: much I need to learn. I will say, I think
Speaker 2: a lot of stuff we're gonna be doing is on
Speaker 2: our phones.
Speaker 12: But I don't know.
Speaker 2: Maybe we'll see I don't know. I think about like
Speaker 2: schools too, Like when will they adopt AIPCS in schools?
Speaker 3: Yeah, many kids across the country already back in school
Speaker 3: after summer break. Can you believe it?
Speaker 2: That is crazy? Like I just I don't know. I
Speaker 2: can feel it though, and like this city's winding down,
Speaker 2: the city's winding on.
Speaker 3: We do it a little differently during New York. Yeah,
Speaker 3: we start later after Labor Day New Jersey to.
Speaker 2: Wait, California, Did you grow up that way?
Speaker 3: I don't even remember, Okay we didn't.
Speaker 2: We were after Labor Day?
Speaker 3: Well in New Jerseys.
Speaker 13: Yeah.
Speaker 3: Yeah. Many of the kids, when they go back to school,
Speaker 3: or maybe they're back in school, they'll take language classes.
Speaker 3: Maybe they'll learn Spanish, Mandarin, French, or they'll do what
Speaker 3: I did. What's that?
Speaker 12: Nothing?
Speaker 3: Take Latin? Yeah, not the most practical of languages when
Speaker 3: it comes to world Just saying, well you don't have
Speaker 3: to be in school to learn a new language. There's
Speaker 3: no shortage of apps and services out there to help
Speaker 3: you do that. Do a lingo or is that a stone?
Speaker 3: Memorize and more such as Babel. Back with us as
Speaker 3: Julie Hansen, us CEO of Babbel, she joins us from
Speaker 3: New York. Julie, good to have you with us. I
Speaker 3: mentioned a few names there, some of them publicly traded,
Speaker 3: including dual Lingo. How do you differentiate given that when
Speaker 3: you google language learning apps there's like five up there
Speaker 3: that are just sponsored results. There's a lot of competition
Speaker 3: in your space. How do you do it?
Speaker 10: It is a competitive space, but I think there really
Speaker 10: are two big players in the market, and Babel is
Speaker 10: one of them. Our differentiation is all about our pedagogy,
Speaker 10: but I can use that term or you know, the
Speaker 10: kind of the way we approach the learning, the seriousness
Speaker 10: of it and the effectiveness of it. You know, we
Speaker 10: have studies that have shown that Babel is more effective
Speaker 10: than others in actually learning a language, but a lot
Speaker 10: comes down to also your personal style, the way you learn.
Speaker 10: Everyone learns differently, so we try to make sure we
Speaker 10: reflect all the different ways of learning in the app, writing, reading, speaking,
Speaker 10: of course the most important Hey, how do.
Speaker 2: You measure success? Because I think about we talked with you,
Speaker 2: wasn't it around like the New Year? And we talked
Speaker 2: about how people in the New Year sometimes are like
Speaker 2: I want to learn to do this or that, I
Speaker 2: want to lose weight, I want.
Speaker 12: To learn a language.
Speaker 2: So I am curious, how do you guys measure success
Speaker 2: that people actually have become have learned the language and
Speaker 2: can converse and are fluent.
Speaker 10: Even, Yeah, that is a great question, and I can
Speaker 10: assure you we spend so much time on that topic.
Speaker 10: There's really two main ways to think about it. One
Speaker 10: is against the safer the common European frame of reference,
Speaker 10: which is kind of a formal way of evaluating language abilities,
Speaker 10: and that is that's very common in Europe. Everyone knows it.
Speaker 10: But even here in the US that framework is understood
Speaker 10: and used in some circles, and so we measure people's
Speaker 10: advancement against it. But at the same time, the most
Speaker 10: important thing and what we're trying to do in battle
Speaker 10: because we know will never make you fluent, No app
Speaker 10: will make you fluent, So we're trying to help you
Speaker 10: get comfortable having a conversation. So we actually ask our
Speaker 10: users to evaluate subjectively personally their view of their progress,
Speaker 10: and that's for us like their own personal learner. Success
Speaker 10: rating is our number one way of looking at it,
Speaker 10: because at the end of the day, if you're you know,
Speaker 10: a B one on the C for scale but you
Speaker 10: can't speak, then are you really making the progress you want?
Speaker 10: Or if you're a sloppy a something, but you're you're
Speaker 10: getting out there and making conversation, like, that's really more
Speaker 10: success in many ways, Julie.
Speaker 14: So those two pays you.
Speaker 3: Said that no app will will make you fluent, but
Speaker 3: can developments with AI and perhaps maybe a conversation partner
Speaker 3: that is a bot eventually make you fluent, Like, do
Speaker 3: you think that no app will ever make you fluent
Speaker 3: or are we on a sort of pace to get
Speaker 3: to that at some point in the near future.
Speaker 10: Well, fluence is a very high bar. Fluent is you know,
Speaker 10: live there, speak it like in.
Speaker 3: That language, right, Yeah, that's what they always say.
Speaker 11: Exactly exactly.
Speaker 10: And when I got to that point in college when
Speaker 10: I dreamt in French like, it was incredibly thrilling.
Speaker 8: It's long gone, by the.
Speaker 3: Way, I know a place where you can work on it.
Speaker 10: We completely agree with you that a chat bot can
Speaker 10: serve that purpose. In fact, in our US product for
Speaker 10: English speakers learning Spanish, we have rolled that out already
Speaker 10: and people are very engaged with it. It doesn't judge you.
Speaker 10: I mean, it gives you feedback, but you're not embarrassed
Speaker 10: in front of the AI. You know, it's very effective.
Speaker 10: We didn't, by the way, just throw an LLM in
Speaker 10: the app and say have at it. Like we had
Speaker 10: a kind of an expert train it for a considerable
Speaker 10: period of time and that's what makes it successful. But
Speaker 10: absolutely that is going to help more and more.
Speaker 2: What's the demographics. Is it a lot of people maybe
Speaker 2: younger starting jobs or what is it? Is there some
Speaker 2: I'm always curious about, like the folks to use in
Speaker 2: your platform.
Speaker 10: It is a mix. Honestly, it's not school kids. We
Speaker 10: are not aimed at that market for various reasons. In
Speaker 10: many ways, our best users are older, you know, over
Speaker 10: call it forty five, because they have time. You know,
Speaker 10: they have time in their lives to pursue this. But
Speaker 10: it's really all ages. Remember that in the US, you know,
Speaker 10: in grade school, only twenty percent of students ever take
Speaker 10: a language.
Speaker 3: Our thanks to Julie Hansen, us CEO of Babbel, and that.
Speaker 2: Wraps up the first hour of the weekend edition of
Speaker 2: Bloomberg Business Week from Bloomberg Radio. Ahead. In our next hour,
Speaker 2: with the US Open now underway in New York City,
Speaker 2: we talk about this year's record breaking fan week with
Speaker 2: the heads of marketing and event services over at the USTA.
Speaker 3: Plus, it's the new age of sports betting and the
Speaker 3: stakes have never been higher. Our Bloomberg BusinessWeek senior editor
Speaker 3: breaks down the forthcoming cover story of the.
Speaker 2: Magazine and escaping the real world courtesy of Bloomberg Pursuits.
Speaker 2: We'll explain this is Bloomberg Business Week.
Speaker 3: I'm Carol Masser and I'm Tim Stinebeck's stay with us.
Speaker 3: Today's top stories and global business headlines are coming up
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Speaker 3: and more, courtesy of our Bloomberg Pursuits team.
Speaker 2: First up this hour, the US Open is currently underway
Speaker 2: in New York City, with hundreds of thousands of fans
Speaker 2: descending upon Queens, New York. It's well, I think it's
Speaker 2: safe to say it's one of our favorite things to
Speaker 2: do of the year.
Speaker 3: Yeah, no question. Not only do we get the chance
Speaker 3: to watch some of tennis's biggest and best what's the drink,
Speaker 3: the rising stars of the Honey Deuce, Oh, the honey Dews.
Speaker 2: It's all about the Honeyduce.
Speaker 3: Because we're Trips to Flushing Meadows usually include a pulse
Speaker 3: check also with those who understand the growth of the sport,
Speaker 3: how to provide food and drinks to so many hungry
Speaker 3: and thirsty tennis fans, and what it takes to put
Speaker 3: together the best overall fan experience, including an Avengers inspired
Speaker 3: US Open comic book.
Speaker 2: Kirsten Corio is USTA Chief Commercial Officer. She joined US
Speaker 2: Live from the US Open to reflect on how it's
Speaker 2: already a record year for the event.
Speaker 15: We had just unprecedented demand all year. When we first
Speaker 15: went on sale the original American Express Early Early Access
Speaker 15: for the pre sale, we sold as many tickets in
Speaker 15: the first hour as we did in five days last year.
Speaker 15: So it's just double digit percentages up. The on sale
Speaker 15: a week later, double digit percentages up. The demand is nuts.
Speaker 3: There was this big concern two years ago that with
Speaker 3: Serena Williams no longer are playing, that you wouldn't see
Speaker 3: huge demand here in the US. That obviously wasn't the case.
Speaker 3: We talked to you about that last year. How do
Speaker 3: you explain the growth from last year to this year?
Speaker 10: Though?
Speaker 15: I think there are nearly a million people nine hundred
Speaker 15: and fifty seven thousand to be exact, who enjoyed the
Speaker 15: twenty twenty three US Open, who said, Man, I'm definitely
Speaker 15: coming back in twenty twenty four, and I'm going to
Speaker 15: take some more friends with me, and I'm going to
Speaker 15: tell all my friends.
Speaker 14: That's the simplest answer I can give you.
Speaker 15: But you know, beyond just the success of this event,
Speaker 15: it feels like for the past few years, tennis has
Speaker 15: been having a moment. More people in the US are
Speaker 15: playing tennis.
Speaker 2: Thanas and perhaps about tennis.
Speaker 14: And as challengers.
Speaker 15: The movies and DAYA represent representing the sport beautifully and
Speaker 15: I just have to, you know, credit the growth of
Speaker 15: tennis participation as an element in the desire for people
Speaker 15: to come out and see the top pros in the world.
Speaker 2: Kirsten, how many people are returnees? Like?
Speaker 12: How much?
Speaker 2: What percentage of folks are just coming to the Open
Speaker 2: year after year after year?
Speaker 14: Oh a lot.
Speaker 8: Yeah.
Speaker 15: More than fifty percent of our Arthur Ash tickets are
Speaker 15: sold to full series ticket subscribers who do purchase all
Speaker 15: twenty five sessions You're in, You're Out, and those were
Speaker 15: new at ninety eight ninety nine percent.
Speaker 2: Which is amazing. And what about the age demographics. I
Speaker 2: think we've talked with you about this and I think
Speaker 2: I feel like golf went through it. Maybe I don't
Speaker 2: know if tennis ever went through a little bit of
Speaker 2: a lull.
Speaker 12: Or people were worried.
Speaker 2: I don't know that that was the case, But I mean,
Speaker 2: is it continuing to attract a younger generation as well?
Speaker 12: Well?
Speaker 14: I think the short answer is yes.
Speaker 15: But fan week is which is now part of the
Speaker 15: three week and one day US Open. The main draw
Speaker 15: runs for two weeks. The qualifying tournament runs the week
Speaker 15: prior that. We've called fan Week, and we've built in
Speaker 15: all kinds of ten poll events to attract a more
Speaker 15: diverse younger audience, younger families to that. And we had
Speaker 15: a record two hundred and sixteen thousand people come through
Speaker 15: that week, that Fan Week, and so that's really the
Speaker 15: way that we can attract a younger audience, a younger demographic.
Speaker 15: We gave away ten thousand free rackets thanks to Wilson
Speaker 15: during that week, and we have Heineken Happy Hours from
Speaker 15: five to seven and every one of those days of
Speaker 15: block Party. So I think that's a factor too in
Speaker 15: trying to attract the younger audience to how cool it
Speaker 15: is to be out here.
Speaker 2: It works like and it translates into people coming to
Speaker 2: the Open.
Speaker 14: Yeah, yeah.
Speaker 3: How much more capacity do you have when we talk
Speaker 3: about the number that came on Monday, more than seventy
Speaker 3: four thousand, Can you actually fit more people here?
Speaker 14: We can't fit more people in the stadium.
Speaker 15: The stadium's capacity Arthur Ash Stadium is a fixed capacity.
Speaker 14: Louis Armstrong is a fixed capacity.
Speaker 15: But we also now are selling evening grounds passes, which
Speaker 15: is something we haven't done for a while, so we
Speaker 15: can get more people. We didn't like the concept of
Speaker 15: not allowing people to come into the grounds if there's
Speaker 15: tennis being played outside of those two stadiums, and you
Speaker 15: can go freely and watch those if you stay all
Speaker 15: day with the grounds pass. But if you only want
Speaker 15: to come for the evening and watch those matches, will
Speaker 15: sell you a grounds evening.
Speaker 3: When are those matches taking place in the first in
Speaker 3: the second week?
Speaker 15: Could you have it in the early rounds, in the
Speaker 15: first and in the first and second round. You know,
Speaker 15: every one of our courts is filled with competition, and
Speaker 15: some courts have matches that will run all the way
Speaker 15: up until midnight, depending on how long the matches are.
Speaker 14: If they're quick matches, perhaps not.
Speaker 15: But you know in our first couple nights, in our
Speaker 15: first four nights of the first two rounds, you're likely
Speaker 15: to catch some great tennis on the outer courts as
Speaker 15: well as inside the stadium.
Speaker 2: Well, I was goun say, I have to say, when
Speaker 2: I walked in, I was just blown away by the crowd,
Speaker 2: even looking bigger than last year, and I don't know
Speaker 2: if that's the case, but it really like amazes me
Speaker 2: and over the years of coming here just how it
Speaker 2: continues to grow.
Speaker 15: Yeah, and so we think we're going to get a
Speaker 15: million fans through the three weeks in one day on tsype,
Speaker 15: a record, which would be a record last year nine
Speaker 15: hundred and fifty seven thousand. This year, we're on track
Speaker 15: to meet and exceed that record. The weather's been great, yeah,
Speaker 15: and that definitely helps, definitely helps people come out. And
Speaker 15: the events that we added through fan week and into
Speaker 15: the finals weekend. We've added a finals weekend festival and
Speaker 15: watch party in Louis Armstrong Stage, as well as a
Speaker 15: finals weekend banfest after party Saturday night does after the
Speaker 15: Women's final. You know, we'll sleep a little bit on
Speaker 15: September ninth, we start all over again.
Speaker 1: Well.
Speaker 3: You know what I noticed, I think last year when
Speaker 3: you rolled up to be interviewed by us, you had
Speaker 3: like a big energy drink with you, And I don't
Speaker 3: see the energy drink right now. So I think that's
Speaker 3: a good sign as to where we are in the tournament.
Speaker 14: Like you're feeling good, We're feeling great.
Speaker 15: Yeah, next week we might need a little bit more
Speaker 15: of the adrenaline and the energy drink. But we're feeling great.
Speaker 15: We're just energized and axhilerated.
Speaker 14: To see it all.
Speaker 3: You mentioned you mentioned the weather. Do you see a
Speaker 3: decline in the number of fans who come out when
Speaker 3: a day's so hot, I mean so hot that some
Speaker 3: of the tennis players complain about it?
Speaker 14: Yeah, I think I think that's a factor.
Speaker 15: You know, I think there are certain people, especially those
Speaker 15: that have had the privilege of being out to sessions
Speaker 15: before either this year or other years, who may make
Speaker 15: a judgment call of if they don't feel that they
Speaker 15: can handle being a ninety plus degree heat.
Speaker 2: So how do you think about year after year, like
Speaker 2: how you like you continue some of the things that
Speaker 2: are working, How you think about new ways right because
Speaker 2: you think about revenue streams and how do you continue
Speaker 2: to build out.
Speaker 14: The business So on the business side and keeping a balance.
Speaker 2: Of keeping the sport pure that people don't walk through
Speaker 2: and feel like it's too commercial.
Speaker 15: That's why Fan Week and I'm sorry, I'm gonna keep
Speaker 15: harping on it like that is such an important investment.
Speaker 14: For us, and it is free.
Speaker 15: For all fans to attend every one of those days,
Speaker 15: seven days to come in free, to go into Arthur
Speaker 15: ash Stadium and watch the top pros practicing. You can
Speaker 15: sit in the front row. A few days ago, I
Speaker 15: walked in before the main draw and saw Coco playing
Speaker 15: a practice match against Sabalanca, which is like amazing Arthur
Speaker 15: ash Stadium competitively, but it's a practice match. And I'm
Speaker 15: looking at the fans sitting around that court who got
Speaker 15: in for free, and I'm thinking they're seeing a reprise
Speaker 15: of the women's final last year for free.
Speaker 14: So that's really important. Now.
Speaker 15: Business is of course very important too, and we do
Speaker 15: know that fifty percent ish of people who attend fan
Speaker 15: Week do ultimately buy tickets for the main draw, so
Speaker 15: it is a pipeline to build future fans. Adding tent
Speaker 15: pole events during that fan week that our ticketed events
Speaker 15: is helping grow the business as well and provide more
Speaker 15: exposure for our players. And so when we think about
Speaker 15: ticket sales and hospitality and premium, which are primary revenue streams,
Speaker 15: that's that's sort of how we begin to introduce some
Speaker 15: test new ticketed products. On the premium and experience side,
Speaker 15: We've we've been adding new products to meet some of
Speaker 15: that experiential demand. This year we have a finals weekend clinic.
Speaker 15: A very limited number of clients will have the privilege
Speaker 15: of doing that, playing on a court with Andrea Agassi
Speaker 15: and Andy Rotick before the men's final, before the women's final,
Speaker 15: and sitting in the court side premiere first few rows
Speaker 15: ticketed product and so hospitality and experiences are a big
Speaker 15: part of that too.
Speaker 12: How limited, So that's a.
Speaker 15: Limited are trying to twenty empowerson twenty four for each session?
Speaker 16: Yeah?
Speaker 3: Wow, that's amazing.
Speaker 15: That's a pretty cool thing. And the women sold out first,
Speaker 15: which we also love that.
Speaker 12: Who are they working within the women?
Speaker 14: Same thing, same but the draw being the women's final.
Speaker 12: Love that.
Speaker 3: How are things looking on the sponsorship side in terms
Speaker 3: of demand? What you're hearing from companies, the appetite for
Speaker 3: them to come back and extend their agreements and partnerships
Speaker 3: with you guys, They've been great.
Speaker 15: We've got, you know, a small ish roster of partners,
Speaker 15: twenty four official sponsors, seven of which have been with
Speaker 15: us for more than thirty years.
Speaker 14: So there's a really strong renewal history and track record here.
Speaker 15: And you see our partners on the grounds activating everywhere
Speaker 15: and entertaining their own clients, but also interacting with fans
Speaker 15: and enhancing the experience for fans. The MX fan experience
Speaker 15: was open during Fan Week as well, and we added
Speaker 15: two new partners this year. We added Destination DC for
Speaker 15: Washington DC tourism and n We added Moet as our
Speaker 15: official champagne partner, which has come in handy.
Speaker 3: Are you able to reliably raise prices each year for
Speaker 3: those brand opportunities to keep the revenue growing at the
Speaker 3: USTA From that side.
Speaker 15: As long as we can demonstrate more value to the partner,
Speaker 15: you know, the market, the value of the partnership can increase,
Speaker 15: but it's all dependent on what value does the partner
Speaker 15: wish to extract from the US Open and how can
Speaker 15: we quantify and qualify, you know, the value.
Speaker 2: That we've been able to deliver to that partner over
Speaker 2: their term. What's fun about the sports world for you?
Speaker 2: Because you spent what fourteen years of the NBA. I
Speaker 2: know we always bring this up, but I think here
Speaker 2: you're doing, you know, tennis. There's so much going on.
Speaker 2: We've had a week where the NFL said okay for
Speaker 2: private equity to buy into you know firms, We have
Speaker 2: been doing a lot of stuff a business week about
Speaker 2: the explosion of gambling basically right when it comes to
Speaker 2: all things sports. But what's interesting for you to kind
Speaker 2: of watch this progression and where things.
Speaker 14: Are sports is just fun sports and live entertainment. To me,
Speaker 14: it's great.
Speaker 15: You can't predict everything, and that's what makes it really
Speaker 15: serendipitous and fun, but also sometimes stressful. Sometimes the energydrink.
Speaker 15: Energy drink is required. But we also we just announced
Speaker 15: with our partner's ESPN. Yeah, we've extended our relationship through
Speaker 15: twenty thirty seven.
Speaker 14: It will be the longest deal in.
Speaker 15: Tennis and they're a fantastic partner and we couldn't be
Speaker 15: more thrilled about that.
Speaker 14: So that's that's the big fun news.
Speaker 15: That did require a little help from our partner Moet
Speaker 15: in celebrating that one.
Speaker 14: But that makes it really.
Speaker 12: For the bottles, like a couple of courts.
Speaker 3: Maybe maybe maybe when we speak to you next year,
Speaker 3: what's going to be the biggest change.
Speaker 14: Wow for the twenty twenty five US.
Speaker 3: So yeah, we're already thinking about it.
Speaker 12: Yeah, we're about you are you will be in a week?
Speaker 15: We sure are, I mean a couple of weeks it's interesting,
Speaker 15: like day one begins and we already have a twenty
Speaker 15: twenty five list beginning of Okay, we're going to do
Speaker 15: this differently for next year. But you know, I'll say,
Speaker 15: when we look at the fan Week and the tent
Speaker 15: pole events, we love them. We want to make them bigger, better,
Speaker 15: you know, more exciting performances, and they really are a
Speaker 15: testing ground for us. You can't predict the competition on
Speaker 15: the court and the main draw, but you can plan
Speaker 15: for and create new experiences for the fans that come
Speaker 15: out and new ways to deliver that to people digitally.
Speaker 15: And when we think about digital, you may not see
Speaker 15: it here on the grounds. If you wanted to take
Speaker 15: a walk over to the Advantage Arena, you could play Fortnite,
Speaker 15: you could play US.
Speaker 14: Open, right.
Speaker 3: That was Kirsten Koreo, USTA Chief Commercial Officer.
Speaker 2: We continue our US Open coverage with a deeper look
Speaker 2: at not only the tennis event itself, but the venue
Speaker 2: that hosts its.
Speaker 13: All.
Speaker 2: I mean it is about the experience. Chris Studley is
Speaker 2: Senior director of Event Services at the USTA.
Speaker 13: We've had a great year.
Speaker 16: Of course, you kicked off with Fan Week just a
Speaker 16: little over a week ago, welcome more folks than ever
Speaker 16: before to our site. During that period, people are finding
Speaker 16: out about it. Right, we don't have tickets that week,
Speaker 16: and people are flooding out here to check out the action,
Speaker 16: get close to the player.
Speaker 3: Is all food and beverage that's available this week and
Speaker 3: next week available during fanweek.
Speaker 13: It's a great question.
Speaker 16: So years prior we've kind of opened up slowly, but
Speaker 16: we knew that we were promoting this and trying to
Speaker 16: get more fans interested in it, so we opened the
Speaker 16: entire food village. We opened a few rush ttaurants as
Speaker 16: well that wouldn't have been opened in the past, and
Speaker 16: people really responded well. I mean the fans that came
Speaker 16: out over two hundred and sixteen thousand of them. So
Speaker 16: we set all kinds of records and people realized what
Speaker 16: a deal. I can come on the site for free.
Speaker 16: I can get up close with the stars of today.
Speaker 13: It's incredible.
Speaker 2: Having said that, how do you think about the experiences
Speaker 2: that you want in terms of hospitality, because we certainly
Speaker 2: see certain things that come back every year, but then
Speaker 2: there's some new stuff, So tell us about kind of
Speaker 2: the menu that you think about.
Speaker 16: Absolutely, so we look at all the data, right, we
Speaker 16: have spreadsheets upon spadhets. I don't want to bore you
Speaker 16: with those details. It's more fun to talk about the drinks.
Speaker 13: Sure, So that's so cool.
Speaker 3: Readsheets is our language.
Speaker 16: So we can look back and look at sales over
Speaker 16: prior years. I mean I'm talking dating back to over
Speaker 16: ten years ago, and we can see the trends in everything. Right,
Speaker 16: what's the hot item, what needs to stay if you will.
Speaker 16: What are we looking at that may not move? What's
Speaker 16: not moving the needle? What are our fans asking for?
Speaker 16: Maybe they're not buying. So we go in every year
Speaker 16: with a fresh perspective of Hey, in this stand, there's
Speaker 16: three or four items.
Speaker 13: This one's on the bottom. Let's refresh that.
Speaker 16: Let's do something new with it and see if it responds.
Speaker 16: So it gives us that opportunity and just like that,
Speaker 16: over the years, when we've evaluated like this, we've gotten feedback, Hey,
Speaker 16: try this, try that, and it actually shapes.
Speaker 13: The food village a little bit every year.
Speaker 16: We piloted last year and the year before we were
Speaker 16: piloting a mobile ordering system. We realized that our event,
Speaker 16: our fans weren't really interested in it. What they wanted
Speaker 16: to do was take that walk down the food villad.
Speaker 13: You mentioned yourself.
Speaker 2: I kind of love doing it and like looking at
Speaker 2: but there are sometimes lines and I'm like, I can't
Speaker 2: I can't wait.
Speaker 3: Job is to make sure there are How do you
Speaker 3: do that?
Speaker 16: Well, you know, we we look at everything from the
Speaker 16: technology that we use to process the transactions down to
Speaker 16: how the honey duce is made in a tap system. Now,
Speaker 16: so by the way, you get the perfect ratio of
Speaker 16: vodka lemonade to raspberry, look for.
Speaker 3: Autocado. The melons have a Chipotle to make the guacamole.
Speaker 2: I like, there is there's a tap system.
Speaker 13: Yeah, well the melon ball is so interesting. Story about those.
Speaker 16: You know, we're projected and hopefully do a half a
Speaker 16: million honey duces this year. I think three million balls
Speaker 16: per honey duce. You're talking one point five million mellon balls.
Speaker 16: And we have a team that puts them on skewers.
Speaker 16: So they come in bald already, but there is a team.
Speaker 16: But they come, they come bald. Okay, they come bald.
Speaker 13: We have yes, I'm just going to.
Speaker 12: Say it could be like Chris's handing Simon. You're here
Speaker 12: to get the assignments. You're on the Mellon ball team.
Speaker 2: I'm really sorry, but you're going to be like making
Speaker 2: Mellon balls in the back of it.
Speaker 13: They're the unsung heroes for sure.
Speaker 3: You're doing.
Speaker 2: Yeah, how much revenue does the honey juice bring in?
Speaker 12: Or what can you tell us?
Speaker 13: You know, we saw some.
Speaker 12: Numbers, so I'm curious.
Speaker 13: What did you guys say?
Speaker 12: Nine million dollars in sales?
Speaker 16: That's probably fair? And were we last year? We sold
Speaker 16: about four hundred and sixty two thousand, all right?
Speaker 3: And how much are they eat?
Speaker 13: Twenty two last year, twenty three this year?
Speaker 3: Okay? He held you sold how many last year?
Speaker 13: About four hundred and sixty two thousand? Okay?
Speaker 3: So yeah, so that's about ten point six million in revenue. Okay.
Speaker 2: Combine the men's women's tournament win winners get seven point
Speaker 2: two million in winnings, so you're making more.
Speaker 16: Well, we have to pay the whole pool of prize money,
Speaker 16: the whole bus to much more.
Speaker 13: There's a lot of other players that aren't the one.
Speaker 3: What if the winning prize money was based on just
Speaker 3: honeyduce revenue?
Speaker 2: So you take a percentage, player says, I'll have a
Speaker 2: percentage of the honeyduce.
Speaker 3: The players are like, go buy your honeyduces.
Speaker 13: Listen. It all helps the fan experience, right.
Speaker 2: Everybody in our newsroom was coming up, like you go
Speaker 2: to the us up and I wish you were there.
Speaker 12: Our Scarlet Food said to me.
Speaker 2: Wait a minute, So where did the honey deuce recipe
Speaker 2: come from?
Speaker 13: Great question?
Speaker 16: I've been asked that a couple of times recently, you know,
Speaker 16: because we keep talking.
Speaker 12: About how she always has good questions.
Speaker 16: Well, funny enough, this is the first year we actually
Speaker 16: did honey due merchandise. So you can get a honey
Speaker 16: ducee hat or T shirt with the recipe on the back.
Speaker 16: And they sold like wildfire, according to our merchandise folks.
Speaker 13: Last Yeah, it was really popular.
Speaker 12: So where did it come up from? Where?
Speaker 13: How did it come about?
Speaker 16: It came up from a Gray Goose mixologist and a
Speaker 16: few USCA folks in a kitchen here on site over
Speaker 16: fifteen years ago.
Speaker 13: Just before I joined the organization. I think I can't
Speaker 13: take any.
Speaker 14: Credit for it, but it must have been a fun kitchen, you.
Speaker 16: Know, absolutely bar They sat there and tried every different
Speaker 16: cocktail and what's the world resonated the most right, what
Speaker 16: what was the flavor of summer?
Speaker 13: So to speak?
Speaker 16: So then they even came up with the three melon
Speaker 16: balls to represent the tennis balls in a can. So
Speaker 16: not everybody realized that, but yeah, what was.
Speaker 3: That lightning in a bottle? I mean, you know the
Speaker 3: way that I talk about the US open to people,
Speaker 3: they always say, what does that drink? What does that drink?
Speaker 3: What is that drink?
Speaker 12: Ybody?
Speaker 3: Yeah, everybody knows about it.
Speaker 16: It's grown over time, right, it's just taking on its
Speaker 16: own persona. Thanks social media for that. Right as that
Speaker 16: took off, the deducee takes off, it's cool to come
Speaker 16: take your picture with the honey juice.
Speaker 12: So when are you going to do a mocktail?
Speaker 16: You know, we'd have to talk to our partners at
Speaker 16: Grey Goose and kind of figure something out if we
Speaker 16: can do that.
Speaker 13: But we do offer some mocktails a little.
Speaker 3: Bit everything without minus the d minus the keys.
Speaker 16: You can have lemonade, lemonade, and some melon balls, yes,
Speaker 16: melon balls.
Speaker 13: We do offer a few.
Speaker 3: Mocktails on the site.
Speaker 13: It is a category that's growing, totally growing.
Speaker 2: So many guests come on and it's non alcoholic beer, beers,
Speaker 2: wines like you name it.
Speaker 16: Well, we do serve the Heineken zero point zero, which
Speaker 16: is quite delicious for a non alcoholic beer.
Speaker 13: So there are a good partner of ours as well.
Speaker 3: On the food side of it. The prep time that
Speaker 3: goes into actually making sure that there are minimal lines
Speaker 3: even though there are still lines. How do you have
Speaker 3: the balance of making sure that you know that the
Speaker 3: chefs are prepping ahead of time, but also making stuff
Speaker 3: to order. You're not going to get something soggy.
Speaker 16: Yeah, so their goal is to not make you know
Speaker 16: the finished product days in advance for freading stretch.
Speaker 13: You know, they're professionals what they do.
Speaker 16: I mean, even the best restaurants in New York City
Speaker 16: do a lot of prep and they know where they
Speaker 16: can kind of cook the item too until they have
Speaker 16: to serve and then obviously finish it. So they're the
Speaker 16: pros at that. I don't claim to be. I'm not
Speaker 16: a chef at all, nor do I work in a kitchen.
Speaker 16: But you're operations guy, the operations guy through and through,
Speaker 16: so you know they know what's best. I trust them,
Speaker 16: they know what they're doing. We work with Levy Restaurants,
Speaker 16: which is a division of Compass Group they're around the world.
Speaker 13: They know what they're doing. They're pros.
Speaker 12: So do you have kitchens like all set.
Speaker 13: Up all over like all over, Oh.
Speaker 12: Yeah, and stuff's coming in off site.
Speaker 13: Yeah.
Speaker 16: We have about seven commissaries on site. I'm talking massive kitchens.
Speaker 16: We even have one underneath the grandstand. The public would
Speaker 16: have no idea where it is. Kitchens in the back
Speaker 16: of every restaurant so fresh as food possible. It's built
Speaker 16: to serve the areas that they're in.
Speaker 3: So from an operations perspective, talk to us about how
Speaker 3: you're using technology to sort of offset where people maybe
Speaker 3: add more people, where people are going add more staff there.
Speaker 3: What's the tech side of this?
Speaker 16: So on the tech side not necessarily tied to food
Speaker 16: and beverage so much, but more tied to seating our fans,
Speaker 16: especially the first week of tennis right now, with so
Speaker 16: many grounds, passes and matches going on everywhere. We actually
Speaker 16: have cameras aimed at every bleacher, so you can kind
Speaker 16: of get an idea of where you're going to go, green, yellow, red,
Speaker 16: for which has seating available to kind of point people
Speaker 16: in the right direction to catch the tennis.
Speaker 2: Love that all right, what's the most exclusive dining experience here.
Speaker 16: Exclusive Dining Aces and Champions are two signature restaurants on
Speaker 16: the club level of ASH. You either need a court
Speaker 16: side ticket or a sweet ticket to access them. Those
Speaker 16: are probably what people just die to get into. The
Speaker 16: reservations are off the charts.
Speaker 2: And what's this chicken dish with caviar?
Speaker 16: So Coco Doc by restaurant tour Simon Kim So if
Speaker 16: you've heard of it, popular restaurant in the city right now.
Speaker 12: Houser knows about art pursuits.
Speaker 16: So we have the stand on the club level of
Speaker 16: arthursh Stadium and it is just unbelievable. I mean, you
Speaker 16: can get regular chicken nuggets with dipping sauces all the
Speaker 16: way up to truffle nuggets or the caviar covered nuggets,
Speaker 16: and it's selling crazy.
Speaker 3: I'm going to ask you the same question that I
Speaker 3: asked Kirsten just in the last twenty seconds we have
Speaker 3: with you. What's the big difference that you're already planning
Speaker 3: for next year? What's something new that's coming in twenty five,
Speaker 3: What are you thinking about.
Speaker 16: We're always looking at new chefs, new restaurants, what people
Speaker 16: are craving.
Speaker 13: I'll get back to you after I look at all
Speaker 13: the data.
Speaker 3: That was Chris Studley, Senior director of Events Services at
Speaker 3: the USTA.
Speaker 2: You're listening to Bloomberg business Week. Coming up, speaking of sports,
Speaker 2: we go in depth on the new age of sports
Speaker 2: betting and how the steaks have never been higher for gamblers,
Speaker 2: sports media companies, and athletes.
Speaker 3: The cover story of Bloomberg BusinessWeek. That's next. This is Bloomberg.
Speaker 1: You're listening to the Bloomberg Business Week podcast. Listen live
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Speaker 1: York station. Just say Alexa Play Bloomberg eleven thirty.
Speaker 2: It's hard to watch sports these days without thinking about gambling.
Speaker 2: Put on your favorite game and you will instantly see
Speaker 2: an ad, either for DraftKings or Fan Duel, or even
Speaker 2: ESPN bet. Last year, Americans spent one hundred and twenty
Speaker 2: billion dollars on legal sports bets, a twenty eight percent
Speaker 2: increase from twenty twenty two. Some are even draining their
Speaker 2: stock portfolios and shoveling more money into sports betting.
Speaker 3: Not so great, Yeah, guess many people might say, no,
Speaker 3: not good. It's the new age of sports betting. And
Speaker 3: it's the cover of the forthcoming issue of BusinessWeek magazine,
Speaker 3: a no holds barred look at how betting has devoured sports.
Speaker 3: You can read it now now on the Bloomberg terminal
Speaker 3: at Bloomberg dot com slash BusinessWeek, and overseeing it all
Speaker 3: is Bloomberg BusinessWeek Senior editor Brett Began.
Speaker 17: It came about because for anyone who watches sports, like myself,
Speaker 17: you now can't really watch sports without being completely inundated
Speaker 17: with ads for as you mentioned, DraftKings fan Duel, ESPN,
Speaker 17: bet Bet three sixties. I mean, we can go on
Speaker 17: and on, but essentially every other commercial now is related
Speaker 17: to a sports betting app.
Speaker 18: And we thought, let's take a look at this.
Speaker 3: You guys have the numbers too to back this up.
Speaker 3: It's not just that you're you know, noticing more ads
Speaker 3: for this. I was pretty shocked to see this, Carol.
Speaker 3: Last year Americans spent almost one hundred and twenty billion
Speaker 3: dollars on legal sports bets. It's a twenty eight percent
Speaker 3: increase from just a couple of years ago.
Speaker 17: Yeah, that's a big bump, huge bump. I mean, that's
Speaker 17: basically we can trace this back to twenty eighteen. So
Speaker 17: twenty eighteen, the Supreme Court said that there can be
Speaker 17: sports betting outside.
Speaker 18: Of State of Nevada.
Speaker 17: We now have third D eight states set have legalized it,
Speaker 17: plus Puerto Rico and the District of Columbia. So chances
Speaker 17: are you might live in a state where this is allowed,
Speaker 17: except it is not allowed in California actually at this point.
Speaker 17: But yeah, so it's become much easier for people to
Speaker 17: do this as opposed having to go to a casino,
Speaker 17: fly on a plane, go to a casino and do
Speaker 17: it now you pick up your.
Speaker 12: Phone, you know.
Speaker 2: I feel like there's a lot of different ways we
Speaker 2: can go. But I am curious about what the impact
Speaker 2: is on the states and the revenue that comes into them.
Speaker 2: And I'm also curious about what impact we're seeing on
Speaker 2: society before we dig a little bit deeper into some
Speaker 2: of the stories you covered, like are we finding out
Speaker 2: that yay, it's all great or it's a.
Speaker 18: Little bit of a mixed bap And it depends on
Speaker 18: it depends on who you ask. I mean, the states wanted.
Speaker 17: To legalize this because of the tax revenue that it
Speaker 17: brings in. What we found is that you know, a
Speaker 17: fairly small percentage of it is going to where you
Speaker 17: might want it to go, just to help people who
Speaker 17: have problematic gambling patterns, right, A very small percentage of
Speaker 17: it goes there. A lot of it goes into state
Speaker 17: general funds things of that nature, and in some instances
Speaker 17: it goes to some odd things like aquaculture or helping
Speaker 17: in very specific programs like helping to fight cancer in Michigan,
Speaker 17: things like that.
Speaker 2: Okay, but it provides some extra revenue, it does.
Speaker 17: It is extra revenue that's coming in. This is why
Speaker 17: the states wanted to legalize it. It's not always going
Speaker 17: in exactly where you might think it's going.
Speaker 3: What about what it's done to the financial health of
Speaker 3: the folks in the states where it's legal.
Speaker 17: Yeah, I mean, in terms of the states where it's legal.
Speaker 17: There was a recent report actually pointing out that this
Speaker 17: has led to delinquencies on credit, bad debt, all the
Speaker 17: things that you can imagine happening when you have when
Speaker 17: you have access to spending all this money on your phone.
Speaker 12: Yeah, yeah, not so good.
Speaker 2: All right, So go through like some of the different
Speaker 2: stories and how you guys wanted to approach it.
Speaker 17: Yeah, So one thing we want to do is definitely
Speaker 17: get the players and years. So we talked to some
Speaker 17: current NFL players and some former NFL.
Speaker 18: Players and they love it.
Speaker 13: Well.
Speaker 18: You know, it's interesting.
Speaker 17: I was wasn't entirely sure what to expect, but in
Speaker 17: many ways they're split. They say, on the one hand,
Speaker 17: it's great for the league, and it is great for
Speaker 17: the league, right, the league has partnerships with these apps,
Speaker 17: their revenue sharing with the players involved in that. It's
Speaker 17: good for them. It keeps you engaged in the game longer.
Speaker 17: You could have a total blowout in the fourth quarter.
Speaker 17: But if your particular bet is writing on something that
Speaker 17: hasn't quite happened yet or been determined, you're going to
Speaker 17: still have eyeballs on the game. Eyeballs on the game
Speaker 17: means at revenue, and that's good for the league.
Speaker 3: Yeah. And one of the stories I remember reading that's
Speaker 3: in this issue. If a fan makes a prop bet,
Speaker 3: they're twenty times more likely to watch a sporting event,
Speaker 3: not just a prop bet, any bet. That's wild.
Speaker 18: Yeah, I get it.
Speaker 3: For engagement, it's you, it is, Yeah, because you're screaming
Speaker 3: how many times is are there? How many changeovers are
Speaker 3: there going to be?
Speaker 12: How many times we see Taylor Swift?
Speaker 2: No?
Speaker 18: Yeah, it's the greatest engagement tool that there is.
Speaker 3: Okay, so let's talk a little bit about integrity here,
Speaker 3: because that's a big question that I know a lot
Speaker 3: of folks have, And that was a really interesting story
Speaker 3: by Devin Gordon in the issue. How are companies making
Speaker 3: sure that pro sports players are not involved in these
Speaker 3: prop bets?
Speaker 17: Yeah, so one of the requirements is that they hire
Speaker 17: what's called a third party monitor. And we have a story,
Speaker 17: as you mentioned by Devin Gordon about a company called
Speaker 17: US Integrity that's one of the biggest ones. Essentially, they
Speaker 17: partner with the leagues to essentially have eyes on everything.
Speaker 17: They're always watching at all times, and they're keeping an
Speaker 17: eye out for anything during a game that might seem suspicious.
Speaker 18: And I learned so much about what can.
Speaker 17: Seem suspicious where you wouldn't think just with the you know,
Speaker 17: the untrained eye, but you could have a point guard,
Speaker 17: you know, crossing center court who's sort of dribbling a
Speaker 17: lot without moving toward the basket, and they can look
Speaker 17: at that and say, well, is this guy trying to
Speaker 17: limit the amount of points that his team is scoring
Speaker 17: in order to hit the under on and over under
Speaker 17: us integrity essentially sends out signals to the leagues like, hey,
Speaker 17: something might be a miss.
Speaker 3: Doesn't it feel like AI is the perfect sort of
Speaker 3: tool to do something like this.
Speaker 17: It does, and yet it does require like a tremendous
Speaker 17: amount of touch to it as well that maybe that
Speaker 17: hasn't come to AI at this point, Like right in
Speaker 17: the Johntey Porter case, which we look at, you know, yes,
Speaker 17: conceivably AI could have spot spotted.
Speaker 3: The because there's this weird correlation about you know, these
Speaker 3: bets that were taking place on a separate platform.
Speaker 17: Well, you know, like if you were to go make
Speaker 17: a bet today, you probably would put your money on
Speaker 17: somebody like Lebron James, right, that's who people bet on.
Speaker 3: Yeah, even I've heard of him, and I'm not.
Speaker 17: Everything right, you've heard of I'm sure right, But to
Speaker 17: be placing a bet on a role player is that
Speaker 17: will immediately sound.
Speaker 18: A red get a red flag that goes up. So
Speaker 18: that's what happened that case.
Speaker 17: And they looked at it once in January and said, hmm,
Speaker 17: this is strange that all of the unders hit on
Speaker 17: all of the potential bets you could make on him.
Speaker 17: Let's keep an eye on this. And then again in
Speaker 17: March when he did the same thing, then they said, okay,
Speaker 17: something is quite phishy here. They notified the NBA. The
Speaker 17: NBA didn't investigation. They ultimately suspended him for life.
Speaker 2: But you know, in order to spot that there's something
Speaker 2: maybe awry, if you will, is I'm assuming a sharing
Speaker 2: of data from either the odds makers and so on
Speaker 2: and so forth, who I'm sure don't want to share
Speaker 2: their information.
Speaker 13: Right.
Speaker 2: So, in order for this system to stay pure and
Speaker 2: have integrity, right, like, people have to be able to
Speaker 2: make sure that they're seeing everything that's going on, right.
Speaker 17: And the odds makers are in this position where they
Speaker 17: basically have to turn over all of their information to
Speaker 17: a company like you got.
Speaker 18: A problem, right integrity?
Speaker 17: And we quote one who's like, oh, yeah, so you
Speaker 17: know who do I have to turn this over too?
Speaker 17: Oh there's only one company that I've done great, Okay,
Speaker 17: So it is a bit of a not I wouldn't
Speaker 17: call it the monopoly, but yes, they're not like thrilled
Speaker 17: about it. But they also realize that they kind of
Speaker 17: have to do it and ultimately does help them. They
Speaker 17: want a window into this as well.
Speaker 2: Yeah, exactly. I mean I do wonder you know, is
Speaker 2: someone or is the takeaway that because it's just increasingly
Speaker 2: there's more and more money, I mean throwing college athletes
Speaker 2: who can now use name, image likeness, which I think
Speaker 2: is a good thing in different way. But I just
Speaker 2: feel like the money just keeps growing in collegiate sports,
Speaker 2: professional sports, like at some point, you know, not that
Speaker 2: money ever corrupts.
Speaker 18: But never.
Speaker 2: At some point, are we going to potentially see something
Speaker 2: really bad?
Speaker 17: Well, I mean i'd say probably yes. Yeah, I mean
Speaker 17: we're already starting to see harassment of athletes right pretty
Speaker 17: directly for let's say, costing.
Speaker 18: You on and over under bed. Yeah.
Speaker 17: But I think you raise college, which is a whole
Speaker 17: whole different universe and a whole nother ball of problems
Speaker 17: for everyone, basically because the prop bets which are very
Speaker 17: very difficult to police or even harder to police in college.
Speaker 17: If you think about it, if you're an athlete in college,
Speaker 17: you're living with, eating with, going to class with other people,
Speaker 17: and they could notice, Hey, I notice you have an
Speaker 17: ankle brace on today. Does that mean you're not playing tonight. Well,
Speaker 17: if an athlete were just say yeah, I'm probably not
Speaker 17: going to well that person might say, well, I'm going
Speaker 17: to bet the under on your points tonight. It's so
Speaker 17: easy for information to see about and they're frankly terrified
Speaker 17: of it and of this happening.
Speaker 3: Well, you raise a question that at least I'm asking
Speaker 3: this question, why is it allowed in college athletics?
Speaker 17: Well, that's a really good question, because there's a lot
Speaker 17: of money to be made. Basically, I mean, there are
Speaker 17: different states that have different rules around some of this stuff,
Speaker 17: like there are certain states where.
Speaker 18: We can't bet on an in state team.
Speaker 3: There's a lot of money to be made unless there.
Speaker 17: Is a lot of money to be made unless you're
Speaker 17: a player. Although, interestingly, when we were talking to the
Speaker 17: NFL players, you know they're getting revenue sharing from the
Speaker 17: deals at the higher end, but some of them have
Speaker 17: actually said, Hey, if somebody's betting ten dollars on me
Speaker 17: to do something, shouldn't I get one dollar of that?
Speaker 18: Shouldn't I be getting a percentage of that? And I
Speaker 18: wonder if that's not going to come up in a
Speaker 18: future CBA.
Speaker 2: It's unbelievable just a lot of money. Where do you
Speaker 2: want to go next?
Speaker 18: Wherever you would like to get.
Speaker 3: I want to talk a little bit about the platforms
Speaker 3: that are done in right now, DraftKings and FanDuel over
Speaker 3: the last few.
Speaker 12: Years, get ESPN.
Speaker 3: Well they're trying. And that's the thing. And that's what's
Speaker 3: so interesting because that's a Disney owned company, and you know,
Speaker 3: it's the most magical place on earth, and I know
Speaker 3: it was such a big deal. Gosh, in the last
Speaker 3: eighteen months or so when ESPN, when Disney owned ESPN
Speaker 3: got into this because okay, it's not necessarily part of
Speaker 3: Disney's identity, we can talk about that part. But FanDuel
Speaker 3: and DraftKings were supposed to they were supposed to merge
Speaker 3: years ago and become the same company that didn't end
Speaker 3: up happening. What does the landscape look like for these platforms.
Speaker 18: Yeah, so we called a duopoly in print.
Speaker 17: You've got FanDuel and DraftKings that run about seventy five
Speaker 17: percent of this market. Really, you know, they got first
Speaker 17: mover advantage. I mean, they were huge into fantasy sports,
Speaker 17: and so they basically had their name made by doing
Speaker 17: fantasy sports. And then when sports betting became legalized, they
Speaker 17: started doing sports betting, so they're really like front and center.
Speaker 18: There's what most people use. You know, it's funny.
Speaker 17: One of the reasons that most people wind up using
Speaker 17: them is because they see other people posting wins online.
Speaker 17: They say, oh, well, where did this guy went out?
Speaker 17: FanDuel draft fans? Okay, well that's the one that I
Speaker 17: should be on. They also just tend to offer like
Speaker 17: the most number of bets, you know, if you're looking
Speaker 17: for over unders, like for instance, in the Stanley Cup
Speaker 17: last year, on one particular better night, they I think
Speaker 17: had eight and some of the other sites had three.
Speaker 18: So you know, if you.
Speaker 17: If you want to make eight over under bats versus three,
Speaker 17: they're really going to be the place to do it.
Speaker 17: They also offer a lot of customization, so they offer
Speaker 17: customized parlays at a rate that other sites don't. And
Speaker 17: you know, essentially they're like, in many ways, the Kleenex
Speaker 17: of the of this industry.
Speaker 18: They're just sort of the name brand that everybody knows.
Speaker 12: Does that mean.
Speaker 2: Disney isn't committed to getting more of this business?
Speaker 17: No, they are, I mean, and Disney would argue, like,
Speaker 17: look our our our ESPN partnership with Pen Entertainment is
Speaker 17: only a year old. Like let us let us cook here,
Speaker 17: give us give us a chance. There at about two
Speaker 17: point eight percent right now. According to them, they're where
Speaker 17: they're where they you know, expected to be at this point.
Speaker 17: But it is very hard to gain market share on
Speaker 17: these larger companies.
Speaker 3: That was Bloomberg Business Week Senior editor Brett began the
Speaker 3: September issue, now available on the Bloomberg terminal and at
Speaker 3: Bloomberg dot com. Slash business Week.
Speaker 2: Still ahead on Bloomberg Business Week as the sun sets
Speaker 2: on the month of August, how about a guide to
Speaker 2: the best things to read, movies and streaming, and art
Speaker 2: to see in theater to take in all this fall.
Speaker 3: I am and this is Bloomberg.
Speaker 1: You're listening to the Bloomberg Business Week podcast. Catch us
Speaker 1: live weekday afternoons from two to five pm Eastern Listen
Speaker 1: on Apple car Play and and Broud Auto with a
Speaker 1: Bloomberg Business app, or watch us live on YouTube.
Speaker 2: Well it means me to say it, although I'm headed
Speaker 2: on vacation, so that's.
Speaker 10: Not all that.
Speaker 2: I will miss you, But I've noticed the days are
Speaker 2: getting shorter, and yes, this weekend we will enter the
Speaker 2: month of September, which can only.
Speaker 12: Mean one thing.
Speaker 2: The summer is over.
Speaker 3: All right, she is just trolling Chris Rouser.
Speaker 2: And waiting for the steam to come out of his ears.
Speaker 3: Yeah, he and his Bloomberg Pursuits team already looking ahead
Speaker 3: to the most exciting art museum exhibits, TV and streaming's
Speaker 3: best news shows, Broadway West End, having the popcorn ready
Speaker 3: for the new movies to check out all coming this fall.
Speaker 2: Right, there's a list of now things to do. All right,
Speaker 2: let's get into it with the editor of Bloomberg Pursuits,
Speaker 2: Chris Rouser. Along with Bloomberg Pursuits are columnist James Tarmi.
Speaker 2: Do we have your title?
Speaker 3: Right?
Speaker 11: You know what? You can call me whatever you'd likes,
Speaker 11: that's right?
Speaker 14: Is that acceptable?
Speaker 2: Chris?
Speaker 3: Yes?
Speaker 2: All right, So I don't even know who to start with.
Speaker 2: So I'm going to toss it off to Chris. Chris,
Speaker 2: tell us about this escaping the real world? Why did
Speaker 2: you call it escape the real world?
Speaker 12: Is it that bad?
Speaker 3: Have you been?
Speaker 13: Where have you been?
Speaker 17: Sorry?
Speaker 11: I've been medicated.
Speaker 3: So every save some for the rest.
Speaker 19: Of us, every year actually, so in the in the
Speaker 19: fall and spring, we always do culture previews and James
Speaker 19: heads them up and we were so we look at it.
Speaker 19: Everything sort of pretty far out in advance, so even
Speaker 19: in the summer. As you guys know, I never want
Speaker 19: to hurry summer up to the finish. But last month
Speaker 19: James and I were looking at all the culture stuff
Speaker 19: that was coming and we realized that the most fun stuff,
Speaker 19: the stuff that seemed really exciting, that we were most
Speaker 19: excited about, was real escapism, so like thriller novels, movies
Speaker 19: about space, just like a historical stuff and silly stuff.
Speaker 19: So we were like, you know what, this is a
Speaker 19: good fall where the culture is reflecting maybe a sentiment
Speaker 19: that we need to take a little break from what's
Speaker 19: going on in the real world and just escape into
Speaker 19: beautiful culture. So that was the theme of this section,
Speaker 19: and there's a lot of good stuff in it.
Speaker 3: James, this is all about getting away from the election.
Speaker 11: I didn't say it per se, but it is interesting
Speaker 11: that something was in the water where everyone decided that
Speaker 11: what the world needed now across culture was something that
Speaker 11: didn't deal with your day to day life. And so
Speaker 11: you have some extraordinary stuff here and things that really
Speaker 11: are going to take you out of the maybe hustle
Speaker 11: and bustle of more pedestrian concerns. And so you've got
Speaker 11: museum shows, you've got books, you've got all these different
Speaker 11: things that really are a departure from politics or social
Speaker 11: concerns or cultural controversy.
Speaker 2: All right, to take us to one give us a
Speaker 2: I don't know, start with the I don't know where
Speaker 2: do you want to start?
Speaker 3: Uh?
Speaker 11: You know, I would like to start with TV because
Speaker 11: there's a ton of stuff that looks really really funny.
Speaker 2: I like to call it TV when there's so much streaming.
Speaker 11: Honestly, no, probably not just saying you know, okay streaming
Speaker 11: that Well, we're told that the age, the golden age
Speaker 11: of TV is over, but it doesn't feel that way
Speaker 11: based on falls lineups. You've got some a lot of comedies.
Speaker 11: You have a Disney show that is in possibly a musical.
Speaker 11: It's called Agatha All Along. It stars Catherine Hahn. It's
Speaker 11: a sort of spin off of wand Division.
Speaker 3: And like, you know, everything about it was and I'm
Speaker 3: not even like a superheroes person, but WandaVision was. It
Speaker 3: was incredible, amazing, it was super Cathern Han.
Speaker 11: So it's from uh, people who actually did wand Division,
Speaker 11: so it's it's got the same some some of the
Speaker 11: same creative team, but it's also got Aubrey plot and
Speaker 11: Patty Lapone. So you've got you've got something. The musical
Speaker 11: and the musical. It's I think it's going to be
Speaker 11: something that a lot of people are very excited about.
Speaker 11: I am one of those people.
Speaker 19: And they tease it, I want a vision. They sort
Speaker 19: of did a preview trailer for it in the show,
Speaker 19: and it looks goofy and fun and just the tone
Speaker 19: looks incredible exactly.
Speaker 11: There's another show that stars Kristen Bell.
Speaker 5: Uh.
Speaker 11: It's called Nobody Wants This and she it's a sort
Speaker 11: of like rom com with a rabbi played by Adam Brody,
Speaker 11: who is the Seth Cohen character in the OC. If
Speaker 11: people can remember that far back, so you did not.
Speaker 3: Wow, wasn't it wasn't that long ago?
Speaker 11: It was it was like it was I think twenty years.
Speaker 3: Okay, it doesn't feel that long ago.
Speaker 19: But like Christen Bell and Adam Brody shoot this directly
Speaker 19: into my veins.
Speaker 3: What I want.
Speaker 11: Yeah, So there's a lot of stuff on TV to
Speaker 11: like a lot Chris, do you want.
Speaker 6: To do theater.
Speaker 8: Yeah.
Speaker 3: Sure.
Speaker 19: So there's also a ton of exciting theater this fall.
Speaker 19: The spring had like an avalanche of new shows. A
Speaker 19: lot of them have closed and so there's room for more.
Speaker 19: I'm most excited about two shows. One is The Transfer
Speaker 19: of Sunset Boulevard from London to New York. It stars
Speaker 19: Nicole Scherzinger, who you may know from.
Speaker 2: The pos's going to be in the one here and.
Speaker 19: She is the one here. Yeah, She's kind of the
Speaker 19: whole point of the show. Although it is a very
Speaker 19: cool production by director Jamie Lloyd. It's all black and white,
Speaker 19: very spare, there's video elements. It's unhinged. It's like you
Speaker 19: have you seen it? Yeah, I saw it in line.
Speaker 11: It was great.
Speaker 19: It was great. Well, the funny thing is that in
Speaker 19: London people don't stand up, like, they don't give standing
Speaker 19: ovations a lot. And there's this moment where she sings
Speaker 19: as if we never said goodbye, which is the big number,
Speaker 19: and she holds this note for a deranged amount of time.
Speaker 19: And I was in the audience with my American friend
Speaker 19: and we like went to leap to our feet and
Speaker 19: people were just sitting quietly, and I was like people
Speaker 19: in New York City are going to be like tearing
Speaker 19: their hair out and crying. Anyway, it's gonna be great.
Speaker 3: And then there's a.
Speaker 19: New show called The Big Gay jamborelle.
Speaker 2: Oh my god, I'm so glad you went there.
Speaker 19: Which stars Marlon Mindel, who was Celine Dion in Titanique,
Speaker 19: which is the downtown hit show here in New York.
Speaker 19: The spoof Titanic Musical is featuring the songs.
Speaker 3: I think you said Titanic wrong. Oh no, Tim, have
Speaker 3: you not seen have not seen TITANICU you got to
Speaker 3: see it? Is it awesome?
Speaker 2: I haven't seen it, but I have to tell you
Speaker 2: prepping for this segment, I stayed up twenty minutes later
Speaker 2: because I went to the site and I clipped on
Speaker 2: all the videos and was watching all the songs.
Speaker 11: You guys, it's a phenomenon.
Speaker 19: It is incredible and so Big Gay Jamboree is a
Speaker 19: show that she co created with Jonathan Ramage. She's a
Speaker 19: writer and the director is Connor Gallagher and they it's
Speaker 19: about a woman who has a big night out. She's
Speaker 19: on a bender. She wakes up and she's in an
Speaker 19: old timey musical and she has to use her theater
Speaker 19: BFA to figure out how to sing her way out
Speaker 19: of it great, and it comes. It's Margot Robbie, one
Speaker 19: of the producers. It's in a theater downtown. It's going
Speaker 19: to be huge.
Speaker 2: I was also kind of floored that there's a lot
Speaker 2: of celebrities.
Speaker 12: Right, there's Pharaoh, there's Patty Lapone.
Speaker 3: Back, Robert Tenny Junior.
Speaker 12: Right, yes, you know a lot of big.
Speaker 19: Downey Jr. Is in a show called McNeil, which is
Speaker 19: by the Pulperprize winning writer I at Oktar and it's
Speaker 19: going to be really, it's going to be big. It's
Speaker 19: at Lincoln Center. That's going to be big. And then
Speaker 19: Patty Lapone and Mia Farrow are starring in a show
Speaker 19: called The Roommate where they play roommates.
Speaker 11: They're already doing some advanced press for this and people
Speaker 11: are already sort of losing their minds about it too.
Speaker 3: Really, yeah, Carol, you said big stars, we gotta talk
Speaker 3: movies because there the cast of the movies that you
Speaker 3: guys featured in this section.
Speaker 11: It's kind of crazy.
Speaker 3: It's kind of crazy.
Speaker 13: Is it?
Speaker 3: Like this writer's strike is over, so now everyone's back
Speaker 3: doing stuff.
Speaker 11: Look, I actually cannot comment on the mechanics behind this.
Speaker 11: All I know is that the stuff coming out this
Speaker 11: fall is even the little things. The Thicket with this
Speaker 11: Western starring Peter Dinklage as a bounty hunter trying to
Speaker 11: find cut throat Bill, an outlaw played by Juliette Lewis.
Speaker 11: I mean, these things it's like it's it's like a
Speaker 11: mad libs, but the best version of mad libs. You
Speaker 11: can imagine.
Speaker 19: There's a there's a movie called Conclave, which is about
Speaker 19: electing a new pope, which stars Ray Fines as a
Speaker 19: cardinal and then also Stanley Tucci, John Lithcow and Isabella Rossolini.
Speaker 19: Ray cas Isabella ROSSLYNI for pope.
Speaker 11: I mean, I mean she of course plays a nun.
Speaker 11: You know, there's a lot of there's a lot of
Speaker 11: scheming and hissing behind closed doors. You know, it's it's
Speaker 11: it's it's going to be phenomenal. The other thing that
Speaker 11: I'm stoked about is Heredic with Hugh Grant. Hugh Grant
Speaker 11: plays a murderous sociopath.
Speaker 3: Which just gets more evil as me, He's notting Hill.
Speaker 1: This is not.
Speaker 3: Hey, what's going on with Francis Ford Coppola.
Speaker 2: That's the thing I'm curious is that going to be
Speaker 2: like a success or could that be a real big bomb?
Speaker 11: Well, first of all, it's already sorted as a bomb.
Speaker 6: You know.
Speaker 11: It premiered in Cohan and I think it costs something
Speaker 11: like one hundred and twenty million dollars self financed by Cobola.
Speaker 3: Meaning like he paid for all of that himself.
Speaker 11: I'm not sure about how much he paid for it,
Speaker 11: but he paid for a lot of himself and him.
Speaker 12: And tell us what it is.
Speaker 11: Yeah, well, you know, I wish I could tell you
Speaker 11: what it is, because even the people who I've spoken
Speaker 11: to have seen it have not really had a cogent synopsis.
Speaker 11: But it is about the kind of fall of Rome.
Speaker 11: But it's in futuristic New York and Chris, maybe you
Speaker 11: could flesh that one out.
Speaker 19: I think it's like a sci fi fable basically, and
Speaker 19: it's a vast, vast epic.
Speaker 2: And it yeah, it has I mean it's really long.
Speaker 19: I think it's I actually don't know how long it is.
Speaker 19: I think it's I think it's long. I think it's
Speaker 19: not to everyone's taste. It's very bold, and we'll see
Speaker 19: it could go down as one of those things. That's
Speaker 19: one of like the great films of all time, or
Speaker 19: like one of the great flops.
Speaker 11: But I mean, he had trouble finding a distributor, and
Speaker 11: it was unclear if it was even going to come
Speaker 11: out in the United States, and then he obviously found someone.
Speaker 11: And it is one of the most anticipated films of
Speaker 11: the year for a general public to see, just because
Speaker 11: so many people are involved in it and it's had
Speaker 11: such a tortured process to actually come to fruition.
Speaker 2: So there's one thing this fall that you're going to
Speaker 2: do off of this. It sounds like you're gonna do
Speaker 2: multiple things, but you already have. But if there's one
Speaker 2: thing that you had to pick.
Speaker 11: I have to admit that the museum shows. I'm going
Speaker 11: to do my best to go to all of them
Speaker 11: and in a lot of different countries, but I have
Speaker 11: an absurd job, so it's actually fairly feasible.
Speaker 13: There's this.
Speaker 11: Really exquisite looking show here in New York about Egon
Speaker 11: Sheila's landscapes in the in the Noia Gallery. You know,
Speaker 11: you probably know him. He does these very angular nudes
Speaker 11: and kind of very erotic but also a little grizzly.
Speaker 11: But he also has produced these exquisite landscapes and still
Speaker 11: lives that people are not familiar with. And I think
Speaker 11: that it's going to be kind of the sleeper hit
Speaker 11: of the fall.
Speaker 2: Love that, And maybe you and I should go see Titanique.
Speaker 3: Yeah, we have to play. Oh, I'll do it for work,
Speaker 3: for work, that would be really fun.
Speaker 2: All right, guys, thank you so much.
Speaker 3: That's the editor of Bloomberg Pursuits Chris Rouser and Bloomberg
Speaker 3: Pursuits arts columnist and culture dictator. That's as War dictator,
Speaker 3: Culture War Dictator James Karmi.
Speaker 2: And that wraps up the weekend edition of Bloomberg Business
Speaker 2: Week from Bloomberg Radio. Thank you so much for joining us.
Speaker 3: Be sure to tune into Bloomberg Business Week Monday through
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Speaker 3: Find our Bloomberg Business Week podcast at Bloomberg dot com, Apple,
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Speaker 3: dot com and always on the Bloomberg Terminal. I'm Tim
Speaker 3: Steneveek and.
Speaker 2: I'm Carol Masser. Have a good and safe holiday weekend. Everyone.
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