Speaker 1: Bloomberg Audio Studios, podcasts, radio news. Bloomberg Tech is alive
Speaker 1: from coast to coast with Caroline Hide in New York
Speaker 1: and Eva Low in San Francisco.
Speaker 2: This is Bloomberg Tech coming up.
Speaker 3: Tech stocks rebound is investors see clarity around the war
Speaker 3: in Iran.
Speaker 2: Five days into the conflict.
Speaker 4: Plasanthropic is on track to generate annual revenue of almost
Speaker 4: twenty billion dollars, more than doubling in a few months.
Speaker 4: This admitted clash with the Pentagon over AI safeguards.
Speaker 3: And Apple comes after the PC market and budget minded
Speaker 3: shoppers of its new MacBook Neo. We have the details.
Speaker 3: Interesting day to launch a product. There's volatility around the
Speaker 3: world when it comes to tech because we want some
Speaker 3: certainty around the war in Iran and Ceranti is.
Speaker 5: Not what the market is getting at the moment.
Speaker 4: And it's an extraordinary day once again when you think
Speaker 4: about also the economic data coming in strong for the
Speaker 4: services sector, inflational pressure actually dialing back. But now the
Speaker 4: market tries to understand where the tuck moves and a's
Speaker 4: that one hundred as you say, big tech in charge
Speaker 4: today we're up one and a half percent. Bitcoin also
Speaker 4: seeing a risk asset move into that.
Speaker 5: We're up almost eight percent.
Speaker 4: Seventy three thousand is where we trade crude down, and
Speaker 4: that's maybe alleviating some of the pressure on stocks.
Speaker 3: We'll get that update from at least the Pentagon's perspective
Speaker 3: and the US perspective.
Speaker 2: What's happening in Iran.
Speaker 3: Overnight in Korea, the costs be the main benchmark index
Speaker 3: dropped twelve percent, the most on record.
Speaker 2: There was a halt very early.
Speaker 3: In the Korean session for volatility, and it was those
Speaker 3: two names that we talked about twenty four hours ago
Speaker 3: that provided about volatility, Samsung and sk Heinix. Part of
Speaker 3: this is what's happening with Iran. Part of it is
Speaker 3: that Korean inequities were massive outperformers. But it's just a
Speaker 3: moment in time. I'm looking backwards. But my goodness, that
Speaker 3: was a market check that maybe we didn't expect this morning.
Speaker 5: And again it's based on leverage.
Speaker 4: But let's talk about the leverage that US Event Secretary
Speaker 4: Pete Hegseth has at the moment, delivering a briefing this
Speaker 4: morning on the situation in the Middle East, saying military
Speaker 4: operations in Iran will accelerate.
Speaker 6: This is not a mission accomplished situation. This is simply
Speaker 6: a reality check. The combination of US and Israeli intelligence
Speaker 6: and combat power will control Iran and will control it soon.
Speaker 4: Blumergs Tyler Kendall is at the White House with the
Speaker 4: latest and he made reference to the Iraq War there
Speaker 4: by saying, this is not mission accomplished. But where are
Speaker 4: we in terms of the clash with Iran?
Speaker 7: Hey, Caroline, Well, as you heard the Secretary Pete Hegseth
Speaker 7: there is reiterating that the US has no plans to
Speaker 7: let up its military campaign in Iran and maintained that
Speaker 7: the US has enough weapons stockpiles to keep this going
Speaker 7: until the country's full objectives are achieved. Secretary Heagseth did
Speaker 7: outline that the US and Israel now have what's being
Speaker 7: called uncontested control of Iran's airspace and that we should
Speaker 7: expect this mission to move into a second phase where
Speaker 7: we will see more strikes deeper inside the country. We
Speaker 7: also heard from the Chair of the Joint Chiefs of Staff,
Speaker 7: Dan Kine, that said the US and Israel have hit
Speaker 7: over two thousand targets inside of Iran and confirmed that
Speaker 7: a US submarine sunk an Iranian naval vessel for the
Speaker 7: first time in international.
Speaker 2: Waters since World War Two.
Speaker 7: Now, there's a lot that we're paying attention to here,
Speaker 7: but it does not appear that diplomatic talks or a
Speaker 7: viable off ramp at the moment, even as The New
Speaker 7: York Times reported this morning that Iranian operatives reached out
Speaker 7: to the CIA through a third party country to talk
Speaker 7: about potential negotiations the day after the attack started. However,
Speaker 7: Ed and Caroline, we heard from President Trump just yesterday
Speaker 7: saying that the time has passed for talks. As US
Speaker 7: officials make clear that they are accelerating, not decelerating, as
Speaker 7: this Defense secretary said earlier.
Speaker 3: Today, lots of headlines on the Blouebg turn constantly about
Speaker 3: what's happening in Iran. Buried also in the news cycle
Speaker 3: is the latest on tariffs? What do we need to know?
Speaker 2: Tyler Well And we.
Speaker 7: Heard from the Treasury Secretary in an interview earlier today
Speaker 7: who said that we should expect the global baseline tariff,
Speaker 7: currently at ten percent, to go up to fifteen percent
Speaker 7: as soon as this week. We also heard from the
Speaker 7: European Union, according to people familiar with the matter, telling
Speaker 7: Bloomberg News that that trading partner does not expect their
Speaker 7: rate to go up to fifteen percent. Now keep in
Speaker 7: mind President Trump put this new baseline tariff on the
Speaker 7: table after the Supreme Court struck down his tariffs imposed
Speaker 7: under IEPA, the International Emergency Economic Powers Act, and now
Speaker 7: he's using this different authority. But that will run out
Speaker 7: after one hundred and fifty days without congressional approval. But
Speaker 7: I was in the Oval Office yesterday when the USTR
Speaker 7: Jamison Grier, announced that we should expect the administration to
Speaker 7: wrap up some of their other trade probs that would
Speaker 7: put tariffs in place in a more durable sense within
Speaker 7: the next five months. Section three h one investigations into
Speaker 7: alleged unfair trade practices.
Speaker 2: We already have those.
Speaker 7: Investigations ongoing against China and Brazil. But Ed and Carolina,
Speaker 7: a senior Administration official, tells me that we should expect
Speaker 7: more investigations to be announced in the weeks ahead.
Speaker 3: Blimberg, Tightler, Kendall, thank you very much. Let's get latest
Speaker 3: on markets, technology, markets and sentiment with Todd Elstein, Panassa's
Speaker 3: investment CEO and portfolio manager. I'm just looking down on
Speaker 3: my Bloomberg. You know, the NAZA one hundred is now
Speaker 3: modestly higher on the week. Things change very quickly. How
Speaker 3: much of a shock, particularly to the technology sector and
Speaker 3: the view of the technology sector has the war in
Speaker 3: Iran bin?
Speaker 8: Well, you know, it's a great question. Great to be
Speaker 8: here today, and I think when you think long term,
Speaker 8: when the S and P five hundred was down twenty
Speaker 8: four basis points coming into today, you're today. So I
Speaker 8: think this is really when you talk AI, this is
Speaker 8: a generational investment where the demand for compute as the
Speaker 8: economy goes agentic. It's just a very durable growth that
Speaker 8: the war is clearly from a human standpoint, you know,
Speaker 8: we hope and pray for a de escalation, but I
Speaker 8: think the overarching investment wave is just going to be
Speaker 8: very large over the next several years, and that's going
Speaker 8: to be a durable trend to invest behind. Despite some
Speaker 8: of the headlines and supply shocks we're seeing.
Speaker 3: Today, we saw equities and creer the costs b drop
Speaker 3: the most on record. As Caroline quite rarely points out,
Speaker 3: you know, that's an issue of leverage as much as
Speaker 3: anything else. What do you do in this situation? Where
Speaker 3: you have a war in the Middle East, in Iran,
Speaker 3: you have a fluids tariff policy, let's say, and again
Speaker 3: you know we are looking in particular at the energy
Speaker 3: sector in the context of Iran. What are you doing
Speaker 3: right now, Todd?
Speaker 8: Well, so, thirty first year at Parnassas, twenty five years
Speaker 8: managing in the Parnassas core equity strategy. We haven't put
Speaker 8: in a trade since this conflict began. We're focused on
Speaker 8: great American companies, durable franchises, the AI investment wave and
Speaker 8: just quality companies, quality compounders. So for us, our clients
Speaker 8: really come to us during these times to invest in
Speaker 8: durable businesses. So again the headlines can be emotionally jarring,
Speaker 8: but we're not here to predict the price oil for
Speaker 8: the next three weeks or some of the short term
Speaker 8: supply shocks. It's really invest in durable earnings. Tech regime changes,
Speaker 8: quality American companies, so it's the applied materials, the costcos,
Speaker 8: the master cards, the Microsoft's and keep it low turnover.
Speaker 8: And that's why our clients come to us during these
Speaker 8: times for that long term perspective.
Speaker 4: Ton is the long term perspective still one where you
Speaker 4: build out an AI infrastructure or the winning trades of
Speaker 4: twenty four twenty five, the in video is still the
Speaker 4: way to go or is it shifting?
Speaker 8: Well, I think there's a durable investment behind the infrastructure,
Speaker 8: So we like to look for the bottlenecks and AI
Speaker 8: and we think the compute demand is going to exceed
Speaker 8: supply for quite some time, so we're looking to invest
Speaker 8: in the building blocks of that AI infrastructure that are
Speaker 8: increasingly valuable. So think about applied materials building the equipment
Speaker 8: that builds the chips that are bending the laws of
Speaker 8: physics and almost making impossible possible. Companies like Synopsis, which
Speaker 8: sells the software that designs the chips, just think about
Speaker 8: chips being thirty times more complex to design over the
Speaker 8: next five years, going from two hundred billion transistors to
Speaker 8: a trillion on a chip. More power, more performance, more workloads,
Speaker 8: more augentic. So we're looking at those areas of the
Speaker 8: AI value stream that are durable, again, designing the chips,
Speaker 8: building the chips, and then that ecosystem. Clearly, companies like Amazon, Google,
Speaker 8: Microsoft have scale. Companies Broadcom and custom Silicon, we think
Speaker 8: they have a long run way of growth. So we're
Speaker 8: looking for those value streams that are going to help
Speaker 8: supply the compute needed for this economy long term, to
Speaker 8: go agentic, which is more inference, which is more adoption.
Speaker 4: Going agentic that has upended some trades when it comes
Speaker 4: to software. I was lucky enough to speak with Paige Duty,
Speaker 4: CEO and chair Jennifer Tohada yesterday, and she was talking
Speaker 4: about how she sees the stickiness of certain software companies
Speaker 4: such as Hers.
Speaker 5: Just take a listen to what she said, Todd.
Speaker 9: Somebody once told me that software, enterprise software is a
Speaker 9: little bit like a tattoo. You can take it off,
Speaker 9: but it's really painful and it leaves a mark. I
Speaker 9: just think that our customers are going to make very
Speaker 9: intentional choices about where they're going to invest in using
Speaker 9: AI to build something themselves, and where they're going to
Speaker 9: trust an expert.
Speaker 4: Page Duty is about digital resilience Todd. But her argument
Speaker 4: is that their moat is the infrastructure that they've spent
Speaker 4: a lot of money building out and the trust that
Speaker 4: they have with their customers. Where are you seeing opportunity
Speaker 4: in software? Where are you concerned about in software?
Speaker 8: Well, where we have some concerns is we recently exited
Speaker 8: investments in service now and workday. Again good companies, just
Speaker 8: the forward range of outcomes got too wide for us,
Speaker 8: so we have backed away from those where we're invested
Speaker 8: in software. Clearly, a Microsoft, we think is a dining
Speaker 8: room table long term asset that they have in the
Speaker 8: value chain. We also, again as we talked about a
Speaker 8: moment ago like company Synopsis embedded in AI chip design
Speaker 8: where we have silicon go into systems more complex transistors
Speaker 8: and then infrastructure AI and robotics, we think a company
Speaker 8: like Synopsis is embedded in workloads to unlock productivity of
Speaker 8: chip designers. And so those are the areas that we
Speaker 8: think are mody durable in workloads, and we think our
Speaker 8: long term investments to make where the range of outcomes
Speaker 8: we think is skewed more positive. So again a Microsoft,
Speaker 8: a Synopsis a bit more concern around a workday and
Speaker 8: a service now, and we remain invested in SALESFA Worse,
Speaker 8: which we think is working hard to have an agentic platform,
Speaker 8: and the valuation of salesforces relatively compelling if you look
Speaker 8: at the forward embedded expectations.
Speaker 4: Right now, certainly after a more than forty percent sell
Speaker 4: off that we've seen in the last twelve months.
Speaker 5: Todd, It's always great to catch up with you.
Speaker 4: Thank you for your time today, Todd Olsen of Finass Investments.
Speaker 5: Now coming up, we speaking with the Tato Institute.
Speaker 4: Jennifer huddleson about the implications of the feud between the
Speaker 4: Pentagon and Anthropic.
Speaker 5: And what are you watching.
Speaker 3: Yeah, some headlines just across the Bloomberg terminal and it
Speaker 3: relates to Roadblocks. Nebraska's attorney general has filed a lawsuit
Speaker 3: against Roadblocks, alleging that they have conducted deceptive safety practices,
Speaker 3: including allegedly enabling child exploitation. That the stock still higher
Speaker 3: five percentage point, it did sort of take a leg
Speaker 3: lower in those headlines. Here will continue to track that
Speaker 3: we have been tracking Roadblocks and other platforms when it
Speaker 3: comes to safety.
Speaker 2: This is Bloomberg Tech. A surprise move.
Speaker 3: The architect of Ali Baba's main Ai platform, Quen, has
Speaker 3: left the company. Jiang Lin was one of the most
Speaker 3: influential figures behind Ali Baba's transition to AI. Linn did
Speaker 3: not give a reason for his departure, which has raised
Speaker 3: questions about the Chinese tech giants' future plans and the
Speaker 3: country's ability to catch up to US competitors Linn and
Speaker 3: Ali Baba representatives did not respond to messages seeking comment.
Speaker 4: Currently, let's stick with AI ED because Anthropic is on
Speaker 4: track to generate annual revenue of almost twenty billion dollars
Speaker 4: based on current performance. Now that would actually nearly double
Speaker 4: its run rate from late last year. As the AI
Speaker 4: company's few though with the Pentagon continues. Let's get the
Speaker 4: details of Bluemegg's editor across all Things AI, Seth Fiegerman,
Speaker 4: is notable the scale at which Anthrobert continues to grow,
Speaker 4: even though it might well be pushed out of government
Speaker 4: work if the threats hold true.
Speaker 10: Yeah, as you said, you know, it's more than double
Speaker 10: a matter of months, which reflects the coverage that we've had,
Speaker 10: you know, in the league up to the Pentagon showdown,
Speaker 10: as we've seen more mainstream awareness of Anthropics, AI agents
Speaker 10: and AI coding tools in particular. On the one handed,
Speaker 10: shows that it has been like a position of strength
Speaker 10: in the lead up to the standoff, you know, getting
Speaker 10: significant traction in the enterprise market, but it also shows
Speaker 10: what's at stake here. We're still waiting to see what
Speaker 10: happens if the Pentagon moves forward with the threat as
Speaker 10: leveled by Hagsavan Friday, and I think there's just generally
Speaker 10: a lot of uncertainty about how broad the impact will
Speaker 10: be on his business relationships.
Speaker 3: As Anthropic was labeled a supply chain risk by the
Speaker 3: US government. At the end of lost three week open
Speaker 3: Ai did its own deal with the Pentagon right, and
Speaker 3: Sam Altman, the CEO of open a I, came out
Speaker 3: publicly and talked about how that was rushed and handled
Speaker 3: in his sloppy fashion. Our latest reporting is a base one.
Speaker 3: All hands within open ai yesday afternoon. What was said?
Speaker 3: What do we need to know?
Speaker 10: Yeah, I mean peated some of that same rhetoric to
Speaker 10: employees during his real first chance to address their concerns,
Speaker 10: and reiterated the concerns that they might have been too
Speaker 10: hasty and announcing this deal on fraggy, which might have
Speaker 10: made them seem more opportunistic. He stressed that open ai
Speaker 10: and the employees there are very much empowered to kind
Speaker 10: of share their expertise about how to best use their
Speaker 10: AI models, what their limitations and opportunities are, but he
Speaker 10: also stressed that it is not Opening Eye's place to
Speaker 10: basically weigh in on operational decisions from the Pentagon, by
Speaker 10: which he meant maybe employees might disagree with what's happening
Speaker 10: in Iran or with the rage in Venezuela, or they
Speaker 10: might agree with one and not the other. It is
Speaker 10: not their place to tell the Pentagon how to behave
Speaker 10: on that matter.
Speaker 3: Bloomberg Seth Figgman, Thank you very much. Let's discuss the
Speaker 3: possible ramifications of a fallout between Anthropic and the pents.
Speaker 3: Gott On Jennifer Huddleston as a senior fellow in Technology
Speaker 3: Policy at the Cato Institute, and you wrote at length
Speaker 3: about this a moment ago said that Anthropic had been
Speaker 3: labeled a supply chain risk by the US government. You
Speaker 3: go a little bit of a step further and say
Speaker 3: that they've been blacklisted essentially, and that there will be
Speaker 3: ramifications to that. Please take it from that.
Speaker 11: So I think that there are two things to think about.
Speaker 11: There's what does this mean for Anthropics specifically, and what
Speaker 11: does this mean for the broader conversation around AI innovation
Speaker 11: and the innovators in the American AI sector. For Anthropics specifically,
Speaker 11: this could certainly have consequences, not only when it comes
Speaker 11: to their contract with the Department of War. But we
Speaker 11: saw President Trump post on True Social calling for all
Speaker 11: agencies to stop using this product. And what signal does
Speaker 11: this send to other whether it's contractors or other companies
Speaker 11: that are using Anthropic, both here in the US as
Speaker 11: well as around the world. More generally, for the AI community,
Speaker 11: there's also likely to be concerned about what does this
Speaker 11: mean that the government's willing to do in terms of
Speaker 11: stepping in if they don't like the decisions of a
Speaker 11: particular product. What does this also mean for America's AI
Speaker 11: leaders when other countries around the world want them to
Speaker 11: make changes for the government to use their products for
Speaker 11: things that go beyond what they deem ethical.
Speaker 3: In your paper, you cite the great Albus Dumbledore, and
Speaker 3: you say, as he did at the end of.
Speaker 2: The Philosopher's Stone or Sorcerer's Stone, if you're in.
Speaker 3: America, it takes a great deal of bravery to stand
Speaker 3: up to our enemies, but just as much to stand
Speaker 3: up to our friends. Why did you invoke Albus Dumbledore?
Speaker 3: And what are you trying to say that?
Speaker 11: I think when we think about American companies typically standing
Speaker 11: up to pressure from governments, we're thinking about will American
Speaker 11: companies hold true to American values when they're faced with
Speaker 11: pressure from foreign adversaries, when the Chinese or the Russian
Speaker 11: government asks them to cross right lines that violate American values,
Speaker 11: violate the ideas of civil rights or civil liberties. When
Speaker 11: Anthropic was faced with some pressure from the US government
Speaker 11: asking it to violate its ethics to make sure to
Speaker 11: remove what it felt were necessary ethical safeguards to prevent
Speaker 11: mass surveillance or the use of its AI and autonomous weapons,
Speaker 11: it also said no. And that's something that shows a
Speaker 11: great deal of courage, whether it's standing up to a
Speaker 11: foreign adversary and understanding the business laws there, but particularly
Speaker 11: when it's standing up to your own government knowing that
Speaker 11: there could, in this case be very real consequences in
Speaker 11: the market.
Speaker 5: Jennifer, what caught my eye was saying, this is a kin.
Speaker 5: This behavior is a kin to something we'd expect from
Speaker 5: the Chinese government.
Speaker 4: Now, where should the agreements or not go in the future.
Speaker 4: You at the Cato Institute are all about limited government,
Speaker 4: but at this moment there are deep ethical questions about
Speaker 4: the future of generative AI and its implications for the
Speaker 4: use in the military and written large for.
Speaker 5: The labor market. How does this get decided.
Speaker 4: Should it be a Congress decision, should it be just
Speaker 4: a case by case decision.
Speaker 11: One of the things that makes the situation unique is
Speaker 11: this goes beyond just a mere dispute over a procurement
Speaker 11: contract because of those additional threats, the threats to either
Speaker 11: the Defense Production Act or to label the company a
Speaker 11: supply chain risk. But I think it does highlight some
Speaker 11: of the underlying concerns or debates over how should we
Speaker 11: think about protecting civil liberties and civil rights when it
Speaker 11: comes to AI use by the government. AI can be
Speaker 11: used for wonderfully productive ways in the government, just as
Speaker 11: it can in the private sector to help constituents find
Speaker 11: the services they need, but there are also real and
Speaker 11: legitimate concerns about the way it could be abused. Again
Speaker 11: in this particular dispute too, the issues where mass surveillance
Speaker 11: and autonomous weapons. One of the places that we need
Speaker 11: clarity when it comes from policy makers is around what
Speaker 11: the government's going to do to restrain itself in its
Speaker 11: use of AI. This will help both citizens and innovators
Speaker 11: feel more comfortable with the technology, both in the government
Speaker 11: context and beyond.
Speaker 4: Jennifer Hudelson is a fascinating blog. People should go read it.
Speaker 4: Senior fellow and the Technology policy at the Cato Institute,
Speaker 4: thanks so much for joining us today checking in on
Speaker 4: shares of Apple that are trying to hold on to
Speaker 4: gains today as they unveil yet more new products, and
Speaker 4: this week they've announced plenty, but today it's the turn
Speaker 4: of the MacBook Neo, with a starting price of just
Speaker 4: five hundred ninety nine dollars.
Speaker 5: Maybebug's Dana Wolman joins us for the details.
Speaker 4: This is about four hundred bucks cheaper than the usual
Speaker 4: price point for Apple.
Speaker 5: Who are they going against here?
Speaker 12: So this is really truly the first low end and
Speaker 12: I hesitate to call it low end, but the first
Speaker 12: low price laptop that Apple has put out, and this
Speaker 12: puts it in direct competition with all sorts of Windows
Speaker 12: PC makers that offer have long offered budget laptops, not
Speaker 12: to mention Chromebooks, machines that are sold not just to
Speaker 12: individuals who are on a budget, but also institutions like
Speaker 12: schools that are buying in bulk.
Speaker 2: The question is, well, how did they do it?
Speaker 3: And one of the ways they did it was to
Speaker 3: use the processor that has its ties to the iPhone,
Speaker 3: not the M five chip.
Speaker 2: Just explain what's going inside.
Speaker 12: Yes, absolutely so, in terms of just the internals inside,
Speaker 12: this puts the MacBook Neo about on part with an
Speaker 12: iPhone sixteen Pro released in twenty twenty four. And I
Speaker 12: think that the release of this machine really is a
Speaker 12: testament to how far mobile silicon has gone. As I said,
Speaker 12: companies have been offering lightweight, really cheap laptops for a
Speaker 12: long time now, but just because they have been available,
Speaker 12: that doesn't mean that we necessarily would have recommended them.
Speaker 2: To most people. And that is because the processors available the.
Speaker 12: Time for years were pretty low powered, and you really
Speaker 12: could feel that in the form of slow, pokey performance.
Speaker 12: And I think it is a testament to the quality
Speaker 12: of the silicon and the technical advance the technological advancements
Speaker 12: that Apple was willing to put out a machine at
Speaker 12: this price point run the mobile processor inside.
Speaker 5: Yeah.
Speaker 4: I mean John turnis in a statement he's the hardware
Speaker 4: engineering chief, talking about how from the ground up they've.
Speaker 5: Built this piece of tech to be more affordable. But
Speaker 5: this comes at a time.
Speaker 4: Where personal electronics is getting more expensive all because of memory.
Speaker 12: Yes, absolutely, it really is striking that Apple was able
Speaker 12: to announce today a machine that's about six hundred dollars
Speaker 12: at a time when we've been warned that the prices
Speaker 12: of things like laptops smartphones are about to go up
Speaker 12: precisely because of this memory crunch crisis. And I think
Speaker 12: that the price point combined with the moment where everyone
Speaker 12: is nervous about prices, about the prices of consumer electronics specifically,
Speaker 12: and also just the fact that this is a fresh
Speaker 12: new design with things like new colors, things that are
Speaker 12: things that do frankly matter to consumers who've been possibly
Speaker 12: holding off on a new purchase for a while. If
Speaker 12: I had to guess, I think this is going to
Speaker 12: be a popular seller over the coming month.
Speaker 3: Right, And those macas and Mac pros, they had the
Speaker 3: entry level lowest storage spec removed, which basically carry an
Speaker 3: effective price hike. If you read the riding from the
Speaker 3: Bloomberg News team, bloombergs day in a woman, thank you
Speaker 3: very much, Welcome back to Bloomberg Tech. The war in
Speaker 3: Iran entering its fifth day, The story inequity markets at
Speaker 3: least is technology rebounding. The Naze one hundred is off
Speaker 3: session highs, but at one point four percent now positive
Speaker 3: on the week. Things have changed very quickly. We still
Speaker 3: see movement in bonds. Looking at the US tenure yield
Speaker 3: four point zero six percent, it had at one point
Speaker 3: in the last thirty six forty eight hours gone above
Speaker 3: four point one percent. We're just kind of waiting to
Speaker 3: see the next step politically speaking, but we are tracking
Speaker 3: both public and a little bit later in the show
Speaker 3: private markets too.
Speaker 4: We certainly are, and look, big tech is leading the
Speaker 4: charge in terms of stocks. Big tech is also heading
Speaker 4: to Washington executives from Amazon, from Google, from open.
Speaker 5: Ai, and others. That's that to me.
Speaker 4: The President Trump today to formalize a pledge to protect
Speaker 4: consumers from rising energy costs, so an event that Presidents
Speaker 4: actually alluded to during his Stage of the Union address.
Speaker 2: Remember, we're telling the major tech companies that they have
Speaker 2: the obligation to provide for their own power needs.
Speaker 13: They can build their own power.
Speaker 6: Plants as part of their factory so that no one's
Speaker 6: prices will go up, and in many cases, prices of
Speaker 6: electricity will go down for the community.
Speaker 4: As kt w Berg Senior editor Mike Shepard and for
Speaker 4: many we already heard Microsoft lead the charge, but then
Speaker 4: Amazon others talk about commitments they've already made.
Speaker 5: Well, that's right, and.
Speaker 14: They're all going to step in with this pledge, the
Speaker 14: so called ratepayer pledge. Later today during an event at
Speaker 14: the White House with the President, it's set the start
Speaker 14: at three pm and they are all going to assign
Speaker 14: this agreement. It's non binding, but they will promise to
Speaker 14: try to bear some of the additional costs that their
Speaker 14: new data center build out for artificial intelligence projects and
Speaker 14: infrastructure will bring in terms of a rising electric city prices.
Speaker 14: They want to make sure that as those data centers
Speaker 14: are built, all those projects are carried out, that consumers
Speaker 14: are not forced to bear the burden of that. And
Speaker 14: now in this CARO, they will be agreeing to work
Speaker 14: with state governments and utilities on rate structures that will
Speaker 14: try to protect consumers. But that is further down the road,
Speaker 14: and all this, it's important to note, is non binding,
Speaker 14: so there's no guarantee that.
Speaker 2: All of this will be carried out.
Speaker 14: We are already seeing some states carrow take steps on
Speaker 14: their own to try to shield consumers. In New Jersey,
Speaker 14: for instance, the new governor, Democrat Mikey Cheryl, has frozen
Speaker 14: utility rate hikes in keeping in mind the vulnerability that
Speaker 14: consumers are increasingly feeling from rising electricity prices. The last
Speaker 14: Consumer Price Index report that we saw showed that energy
Speaker 14: prices are up six point three percent inutility bills, and
Speaker 14: that compares to two point four percent in year over
Speaker 14: year in overall inflation. So this is a leading indicator
Speaker 14: in terms of what the president is worried about when
Speaker 14: it comes to the affordability question, which looms large in
Speaker 14: the midterm elections. But it also looms large for these
Speaker 14: big tech companies which are worried about some of the
Speaker 14: backlash and blowback from all those investments in artificial intelligent
Speaker 14: artificial intelligence on which they have stake not only so
Speaker 14: much money, but really their entror businesses.
Speaker 3: Bloombergs Mike Shepard, thank you very much. Let's stay with
Speaker 3: data centers. We talk a lot about advanced hardware on
Speaker 3: this program for AI training and inference, but AI is
Speaker 3: also creating demand for storage hard disk drives to store
Speaker 3: the massive data sets AI generates. That's led to soaring
Speaker 3: valuations like wd's formerly Western Digital. This is a stock
Speaker 3: that has surged in the last year, up six percent
Speaker 3: or so so far. In twenty twenty six is up
Speaker 3: eight percent in the session alone. WDCO I mean ten
Speaker 3: is with us and welcome to the program.
Speaker 15: Thank you for having me.
Speaker 3: You know, I think there are loads of people that
Speaker 3: are going to watch this program and be like, I've
Speaker 3: got a WD hard disk drive HDD somewhere.
Speaker 2: In my home. I understand you have one and I
Speaker 2: have one.
Speaker 3: Right, and it protects some of my most valuable memories
Speaker 3: in terms of photos and videos. But the story is
Speaker 3: data center, and probably it's underappreciated to start with that,
Speaker 3: where HDD fits in the data center story, and then
Speaker 3: use that to contextualize what is crazy demand right now?
Speaker 15: Sure, I mean, if you look at the AI value chain,
Speaker 15: a lot of focus has been around the computer resources.
Speaker 13: Right.
Speaker 15: GPU's memory, that's a source of compute, that's generating data.
Speaker 15: But ultimately data needs to get stored. That data that's generated,
Speaker 15: that needs to be stored, right, and that's where hard
Speaker 15: drives really come to the fork. Eighty percent of data
Speaker 15: that is stored in the cloud is still on hard drives.
Speaker 15: And if if you look at where things are going
Speaker 15: with AI, what is happening is actually there's a structural
Speaker 15: change in how hyperscalers. The market really looks at the
Speaker 15: value of AI and as a result of that, as
Speaker 15: a value of data increases by association, storage increases as
Speaker 15: well because you need to stare more and more of
Speaker 15: that data. And a simple analogy to use is power generation.
Speaker 13: Right.
Speaker 15: If you think of GPUs and memory as the power generators,
Speaker 15: data is actually the fuel that powers right those power plans, right,
Speaker 15: and so really that is fundamental to enable EI going forward.
Speaker 15: So in short, if you don't have HUDs to be
Speaker 15: able to stall that data to generate that's been created, can.
Speaker 3: We can we extrapolate on that analogy a little bit.
Speaker 3: So when we think about a data center, we think
Speaker 3: of it in terms of gigawats. A giga what equates
Speaker 3: to hundreds of thousands of GPUs depending on the on
Speaker 3: the stack. Is there an equivalent that our audience can
Speaker 3: understand when it comes to storage, So you know, alike
Speaker 3: for like that that you can chew on, maybe it's
Speaker 3: impeted bites something like that.
Speaker 15: At that scale, there isn't really a rule of tumb
Speaker 15: that you could use, say, if you have a gigle
Speaker 15: out of compute, how much does that translate into storage?
Speaker 15: Because in a way, there's a bifurcation of compute from storage.
Speaker 15: If you think about AI. Every time you run an
Speaker 15: AI workload, whether it's training, it's inference, those compute resources
Speaker 15: can be recycled every time you run a training model,
Speaker 15: development or an inference worldload. But the data that's getting
Speaker 15: generated and as a result that gets stored, it doesn't
Speaker 15: get deleted.
Speaker 9: Right.
Speaker 15: So storage is actually growing because of the value of
Speaker 15: data increasing over time, and how.
Speaker 4: Much is your supply growing? How much can you ramp
Speaker 4: up to meet the first demand.
Speaker 15: So we've projected that exerby growth, which is the amount
Speaker 15: of storage just needed, is going to go at twenty
Speaker 15: five percent CAGO over the next five years. We feel
Speaker 15: very confident that with the technology enhancements they are bringing
Speaker 15: to be able to deliver higher capacity drives to the market,
Speaker 15: we're able to meet that demand going forward.
Speaker 5: What's interesting is it's yourself and Seagate. Many would sort
Speaker 5: of see as yeah, the place that people come to.
Speaker 4: How are you ensuring with this first demand and perhaps
Speaker 4: anxiety coming from cloud providers and they're like that they're
Speaker 4: not double ordering, that they're not ordering from you. At
Speaker 4: the same time as Seagate make sure that they get
Speaker 4: the fastest of the speedies.
Speaker 15: Yeah, that's something we pay very close attention to, looking
Speaker 15: at the inventory levels that our customers have, working very
Speaker 15: closely with them to reassure them that we have a
Speaker 15: technology room net that's going to be able to meet
Speaker 15: their needs. And I think what they also appreciated. Storage
Speaker 15: has become a critical piece of the AIDETA center infrastructure
Speaker 15: stack and as a result, we've really shifted the partnership
Speaker 15: model with our customers. They're giving us really good insight
Speaker 15: into the applications and workloads they're bringing to market over
Speaker 15: the next few years. A lot of it's going to
Speaker 15: be multi model in nature, and what I mean by
Speaker 15: lots of it's going to be a video based because
Speaker 15: video is going to be a big driver of storage,
Speaker 15: and that's giving us a lot more confidence in terms
Speaker 15: of the demand that they're signaling to us and also
Speaker 15: ensuring that they're not creating an oversupplying the market.
Speaker 4: I mean, you talked about your innovation roadmap. Can we
Speaker 4: talk a minute about hated assisted magnetic recording For those
Speaker 4: who aren't in the lingo, but basically this is something
Speaker 4: that Seget's been pushing forward on and you too, have
Speaker 4: been bringing that sort of innovation.
Speaker 5: Where are you in.
Speaker 4: Terms of neck and neck and you're already bringing this
Speaker 4: to customers.
Speaker 5: How is it testing out?
Speaker 14: What is it?
Speaker 15: So we're already qualifying here this is a magnetic recording
Speaker 15: or HAMMER affectionately as we call it, with two customers.
Speaker 15: But we've taken a slightly different approach from our peer
Speaker 15: where we feel a dual track process. Right. We definitely
Speaker 15: are committed to HAMMER and that's required to get us
Speaker 15: to one hundred terwer bytes per drive and beyond. But
Speaker 15: in the interim, we feel that with our current EPMR
Speaker 15: technology for the next three years, we can actually get
Speaker 15: up to sixty terabytes and deliver it with more reliability,
Speaker 15: more quality, and more scalability to our customers and a
Speaker 15: hard transition to HAMMER.
Speaker 2: So I've got to go back to something earlier. Why
Speaker 2: don't you just increase capacity.
Speaker 15: We don't need to increase unit capacity. What we're actually
Speaker 15: doing is to use technology to increase the capacity per drive.
Speaker 15: So today we're shipping at the top end of our
Speaker 15: products a thirty two terrabyte hard drive. In the second
Speaker 15: half of this year will be shifting shipping a forty
Speaker 15: terrabyte drive right between now and twenty twenty six will
Speaker 15: be shipping close to a sixty tia Hart Drive. So
Speaker 15: just imagine that the capacity for drive is doubling in
Speaker 15: the next two years, so we don't actually have to
Speaker 15: increase the number of units we're producing. That's great for
Speaker 15: our customers because it means better to all the cost
Speaker 15: of ownership thru higher recdentity lower power consumption. That's something
Speaker 15: that also it is the lower power demands of the listeners.
Speaker 2: We are going to have to compress this.
Speaker 3: But WD separated sand disc right nand Flash. That has
Speaker 3: been an interesting financial transaction and hopefully we can get
Speaker 3: to it of time. But the basic conviction is that
Speaker 3: HDD is the way to go focus. But you know,
Speaker 3: the Flash guys would argue in the context of the
Speaker 3: data center in the cloud that SSD is going to
Speaker 3: have a role. What is your latest thinking on how
Speaker 3: that went and the project long term?
Speaker 15: So I think that the spin has been a very
Speaker 15: successful one. If you look at how both companies have
Speaker 15: performed since the spin, close to.
Speaker 2: A yeog astonishingly, but both have done really well.
Speaker 15: I think what has given both companies is singular focus
Speaker 15: on their specific technology road maps, specific segments of the
Speaker 15: market that they play in as well, and specifically your point.
Speaker 15: We are symbiotic, right. I mentioned eighty percent of data
Speaker 15: that gets stored in the cloud on heart drives. SSDs
Speaker 15: represent the next fifteen to twenty percent of it as well,
Speaker 15: so it's a symbiotic relationship. There are some workloads that
Speaker 15: require lower latency that are very much designed for SSDs.
Speaker 15: When it comes to long term storage, the vast majority
Speaker 15: of metadata to support training and AI inference going forward,
Speaker 15: that's going to be leveraging hahds because of the superior
Speaker 15: economics that we deliver. We've also launched a month ago
Speaker 15: at our Innovation Day some new innovations coming out over
Speaker 15: the next twelve to twenty four months that's going to
Speaker 15: improve the data throughput and performance of hard drives. There
Speaker 15: will also be able to support the needs of AI
Speaker 15: workloads coming down the pode as well.
Speaker 4: Your global company, we have a pretty global issue on
Speaker 4: a hands at the moment, how are you thinking about
Speaker 4: your supply chain? Carry thinking about ensuring that your customers
Speaker 4: get what they need and when they want. When you
Speaker 4: have manufacturing as far flung as Thailand as China.
Speaker 5: Here in the United States, as well.
Speaker 15: Yeah, we have a very global supply chain and quite
Speaker 15: a diversified one as well, and we constantly model rist
Speaker 15: scenarios like the conflict they're unfortunately seeing in the Middle
Speaker 15: East right now. From our current perspective, we're keeping a
Speaker 15: very close watch on it. I'm pleased to see us
Speaker 15: of now, none of our employees in that region are
Speaker 15: impacted and there's no material impact to our business as well.
Speaker 4: We appreciate being so candid and talking us through what
Speaker 4: is a fascinating part of the business. WD CEO there,
Speaker 4: Irving Twang, Thank you. Let's return to the conflict in
Speaker 4: the Middle East, where one of the major concerns has
Speaker 4: been cyber strike, though so far no major attacks have
Speaker 4: been reported. Let's speak with Sanaz Yahah, co founder and
Speaker 4: CEO of cybersecurity start up Zafran and a former member
Speaker 4: of the Israeli Unit eight two hundred, the country's military
Speaker 4: spy units, as has anything been occurring and it's just
Speaker 4: been protected thus far.
Speaker 16: Hello, good morning. Yes, we are seeing increased activity in
Speaker 16: scanning what we call reconnaissance in cyber of different cyber
Speaker 16: actors and cyber groups. Some of them are activists just
Speaker 16: want to make noise or denial of service.
Speaker 13: But we're still seen seeing.
Speaker 16: Like one of some of those apts trying to get access.
Speaker 13: Mainly to critically infrastructure.
Speaker 4: Thus far not to any end, but soon as what
Speaker 4: are the tactics, what deployment, what sophistication do you tend
Speaker 4: to see from Iran?
Speaker 16: It's a good question. Look, actually they are very under pressure. Look,
Speaker 16: this is the first time Iran ever launched a missile
Speaker 16: on a European country like Cyprus, so they are all out,
Speaker 16: They are using all their existing arsenals, They are using
Speaker 16: a lot of a to enable the value.
Speaker 13: But I don't see any more.
Speaker 16: Sophistication that we have seen before, just big, big volume,
Speaker 16: like they are all in all apps, and I do
Speaker 16: believe that this time also since even the cyber groups
Speaker 16: in Iran are kind of under pressure, there are being
Speaker 16: attacks on those.
Speaker 13: Places as well.
Speaker 16: So I do think we should be more proactive, not reactive,
Speaker 16: and make sure at least we have protection in place
Speaker 16: against the non tools and techniques that they're using during
Speaker 16: the last two.
Speaker 2: Years sana as.
Speaker 3: Yesterday, the Homeland Security basically briefed the Senate on the
Speaker 3: heightened domestic risk here in the United States in the
Speaker 3: context of some form of response from Iran. With that
Speaker 3: in mind, could you just help us understand Iran's cyber competence,
Speaker 3: how much of a threat nation to nation they would
Speaker 3: pose if cyber would be one of the tools or
Speaker 3: things that they pursue in response to what is happening.
Speaker 16: Yeah, for sure, cyber is a part of Iranian regimes
Speaker 16: doctrine for defense and offense, and there are at least
Speaker 16: three different entities in Iran.
Speaker 13: That are actively.
Speaker 16: Claiming and engaged with cyber offensive activities. One of them
Speaker 16: is Ministry of Defense, the other one is Ministry of Intelligence,
Speaker 16: and the last one is IRGC, which is like the
Speaker 16: revolutionary regards. Each of them has tools and techniques and
Speaker 16: a lot of people. And also there is some cyber
Speaker 16: partnership between the nation states and a cyber crime So
Speaker 16: I believe that these people are going to be still
Speaker 16: active and trying to deploy, for example, ransomware in many
Speaker 16: critical infrastructure, financial, healthcare.
Speaker 13: And at the.
Speaker 16: Same time also there is some partnership between Iran and
Speaker 16: other countries as well.
Speaker 3: Are we talking in terms of risk it being US
Speaker 3: institutions that would be on paper at risk from such
Speaker 3: an attack or is it sort of at the company
Speaker 3: in corporate level where America is most on the defense.
Speaker 16: The company and corporate ve like for the hackers, they
Speaker 16: are now looking for low hanging fruits. Look, there is
Speaker 16: something to understand about Iran. Iran main goal is to
Speaker 16: keep the government stable. There is nothing they want to
Speaker 16: achieve more than just being governing Iran, and for that
Speaker 16: they have to show impact that they are strong, right,
Speaker 16: So more of the impacts is just to show that
Speaker 16: they can impact and damage Western companies corporate level and
Speaker 16: in order to gain back like that prestige they have
Speaker 16: inside Iran.
Speaker 13: So there is no safe zone.
Speaker 16: And I think actually those that they don't have cyber
Speaker 16: practice and cyber resilience in place, they are those that
Speaker 16: they will be the first victims.
Speaker 13: Of this run.
Speaker 4: So as of course, many would say that in this
Speaker 4: era of general to AI, well, the threat level just
Speaker 4: spiked to the right in many areas of cyber You
Speaker 4: are an AI native Threat Exposure Management company. So how
Speaker 4: is AI being deployed by Iran if at all?
Speaker 13: At this moment, Iranian are using some.
Speaker 16: Public AI modules in order to scale their weapons and
Speaker 16: the way you do a cyber activity, you need to
Speaker 16: get access first, and then you need to propagate that
Speaker 16: access to get your mission. They are using it in
Speaker 16: order to get access much more like that. Scanning is
Speaker 16: being done a lot by AI. They even built new
Speaker 16: weapons by AI at the same time. Since and we
Speaker 16: know about at least some of the groups doing their
Speaker 16: own agents in.
Speaker 13: AI as well.
Speaker 16: At the same time, it looks like they are at
Speaker 16: the beginning somehow in the journey and we find some bogs,
Speaker 16: if I'm saying their tools. Last summer they tried to
Speaker 16: hack some water system in New York and they had
Speaker 16: enough books I.
Speaker 13: Created malwers that they didn't run fully.
Speaker 16: But what is important, I think for your audience there
Speaker 16: is that the I is an also great impact for protection.
Speaker 16: Like before this you had to go and learn and
Speaker 16: understand like forty different groups and watch tools they have.
Speaker 16: Now those agents can also help the enterprise level and
Speaker 16: help the market to be reducing that exposure to the
Speaker 16: risk in a very autonomous Slippon.
Speaker 3: Sanas Yesha, CEO of Zephyran, it's great to have you
Speaker 3: on the program.
Speaker 2: Thank you very much.
Speaker 3: As story we broke yesterday, Josh Chusten's five Capital and
Speaker 3: Indries and Horowitz are Co leading a fundraising round for Anderil.
Speaker 3: They can nearly double the defense deck startups valuation. That's
Speaker 3: according to sources who say they're seeing to raise four
Speaker 3: billion dollars at about sixty billion post money valuation. Carry
Speaker 3: interesting timing given what's happening in the defense sector in Iran.
Speaker 3: Interesting these two big venture firms leading this late stage.
Speaker 4: Round and again another company that remains private for as
Speaker 4: long as possible. But what's notable is we're at this
Speaker 4: moment where we're questioning autonomous great weaponry.
Speaker 5: We're at this moment of.
Speaker 4: Ethical questioning, and we wonder how much that's something that's
Speaker 4: been debated in an investment.
Speaker 3: There's no confirmation that any aerial tech has been used
Speaker 3: in Iran and no evidence or reports, but they do
Speaker 3: have deployment anti drone deployments in the Middle East with
Speaker 3: so common on US military basis. But they want to
Speaker 3: evolutionized the entire military tech stack.
Speaker 4: Essentially, they certainly do, and we keep a close eye
Speaker 4: on the activity of both thriving A sixteen Z and
Speaker 4: how it continues to foster some of these enormously valued
Speaker 4: companies here.
Speaker 5: In the US.
Speaker 4: Meanwhile, coming up, all eyes are on broad Coom, a
Speaker 4: publicly US trade in company.
Speaker 5: That has results after the bell, we'll discuss that. Next
Speaker 5: it's a BLUEBG Tech.
Speaker 3: We're still keeping an eye on tech earnings and next
Speaker 3: start being Broadcom. After the closing bell, Wall Street expecting
Speaker 3: the chip maker to report strong results, but based on
Speaker 3: recent trading patterns, that likely won't be enough to reverse
Speaker 3: the stocks months long. Slum Let's get out to Bluebow
Speaker 3: Tech Equities, reported Carmen rhyani Key. The expectation is they'll
Speaker 3: tell us more AI chip revenues from a six, but
Speaker 3: it will weigh on margins right because of the mix
Speaker 3: and it being lower margin against their software businesses.
Speaker 2: What are we going to wait for? What are we
Speaker 2: going to watch for?
Speaker 17: Yeah, I mean those numbers are going to be really important.
Speaker 17: I think something that investors are specifically focused on is
Speaker 17: this sev seventy three billion dollar backlog that the company
Speaker 17: talked about in its latest quarterly earnings release. So in
Speaker 17: that December release, CEO howk Tan tried to make it
Speaker 17: clear that that was a minimum that they were expecting
Speaker 17: in revenue over the coming few quarters for AI, but
Speaker 17: investors thought that that fell a little bit shorred what
Speaker 17: they were wanted. That sent shares down after that report,
Speaker 17: and they've really struggled to recover ground ever since. So
Speaker 17: that's something that's going to be really important. The other
Speaker 17: thing that I'm going to be watching is how the
Speaker 17: company talks about its software unit and the questions that
Speaker 17: analysts ask around that. So that used to sort of
Speaker 17: be a benefit, it would offset the cyclical nature of
Speaker 17: a semiconductor portion, but now it's looking like a little
Speaker 17: bit more of an anchor and is also probably something
Speaker 17: that's weighed on shares in the last few months.
Speaker 4: Yeah, SOFA has been beaten up as notable is Broadcom
Speaker 4: shares of down significantly, but they're still quite expensive in
Speaker 4: comparison to well historical numbers.
Speaker 17: Yeah, so we've seen the valuation come in a little bit,
Speaker 17: you know, in this broader slump, but they still trade
Speaker 17: at seventy twenty seven excuse me times forward earnings, and
Speaker 17: this is a premium to both the S and P
Speaker 17: and in video, and so investors are maybe looking at
Speaker 17: that and saying, you know, maybe this is too expensive.
Speaker 17: It should come down a little bit more. It's above
Speaker 17: the five year average four stocks, So definitely something that
Speaker 17: people will be watching, especially after in Vidia's earnings last week.
Speaker 17: We're so good and then the investor reaction was so muted.
Speaker 3: It's kind of funny timing in the earning cycle. We're
Speaker 3: either kind of late depending on how you look at it.
Speaker 2: And this is their fiscal first quarter.
Speaker 3: I think they have like a seventy three billion dollar
Speaker 3: backlog for the A six part or AI Chip's part.
Speaker 3: Do we look at Broadcom as like a learning for
Speaker 3: what's happening in aggregate in AI, data center demand and
Speaker 3: so on.
Speaker 17: Yeah, I think that it definitely has a little bit
Speaker 17: of that feel in the market. It you know, it
Speaker 17: also has these partnerships with Google's TPUs. That's something that
Speaker 17: investors will be looking for. They want to know that
Speaker 17: that business is sustainable going forward, especially given large orders
Speaker 17: from Inthropic and I think open Ai as well. Those
Speaker 17: orders expected to sort of ramp into twenty twenty seven.
Speaker 17: And as I sort of said before, there's also this
Speaker 17: big software part of the business, which is mostly from
Speaker 17: their acquisition of VMware. So there's a lot of places
Speaker 17: in this company that you could look for some sort
Speaker 17: of insight into how, you know, AI is going, how
Speaker 17: this trend is progressing.
Speaker 4: How have people seen it as a key competitor to
Speaker 4: in video going forward? How much No matter how many
Speaker 4: of these companies say they're developing their own I six,
Speaker 4: open AI has, Meta has in many we still just
Speaker 4: can't get away from what feels like the dominance of
Speaker 4: in video and.
Speaker 5: GPU out and OWCPU.
Speaker 17: You're totally right, and Broadcom is really I think made
Speaker 17: a name for itself. It's been able to capture some
Speaker 17: of that market share with these different kind of chips,
Speaker 17: but in Vidia is still the king maker there. It's
Speaker 17: the leader in the market, and it's expected to be
Speaker 17: able to have sort of the biggest part of the
Speaker 17: market share going forward. So most analystic investors seem to
Speaker 17: think that that pie is still big enough to mean
Speaker 17: that there's revenue to be had for a lot of
Speaker 17: different companies. But program certainly has I think a little
Speaker 17: bit more maybe to prove on those sort of specific
Speaker 17: things when they're competing with something as large as in Vidia.
Speaker 3: On any given day, calmen, you're usually responsible or partly
Speaker 3: responsible for some of the most red stuff on the terminal.
Speaker 3: And you've got a piece about chart watches, the risk
Speaker 3: of the s and P five hundred correction and what's
Speaker 3: happening in Iran. Summarize that and the data that you're
Speaker 3: seeing as best you can.
Speaker 17: Yeah, So, something that was really interesting yesterday, sort of
Speaker 17: the intra day lows in the market. It looked like
Speaker 17: the S and P was breaking out of this very
Speaker 17: narrow range that we've seen over the last few months
Speaker 17: and especially during the start of this year. It didn't
Speaker 17: quite close there, but chart watchers are definitely interested in
Speaker 17: this sixty eight hundred level and breaking to the downside
Speaker 17: as it looked like might happen yesterday, would potentially portend,
Speaker 17: you know, the future decline. So the next level people
Speaker 17: are watching would be you know, sixty seven hundred, sixty
Speaker 17: six hundred and then even going down maybe to the
Speaker 17: two hundred daily moving average. Now on the flip side,
Speaker 17: if we could break back over that seven thousand range,
Speaker 17: it could portend you know, further upside for the S
Speaker 17: and P. So we're watching that all very closely.
Speaker 5: Common Ranicky across the markets. We so appreciate it. Thank you,