WEBVTT - Musk's Twitter Deal and Amazon's $13B Bet on NFL 0:00:02.240 --> 0:00:05.520 From the heart of where innovation, money and power colli 0:00:06.360 --> 0:00:10.800 in Silicon Valley and beyond. This is Bloomberg Technology with 0:00:10.920 --> 0:00:28.320 Emily Jay I'm Emily changing San Francisco in this Bloomberg 0:00:28.320 --> 0:00:32.200 Technology coming up in the next hour. Elon Musk tries 0:00:32.240 --> 0:00:35.800 to back out of the billion dollar Twitter deal again. 0:00:36.120 --> 0:00:39.120 Turner projects him again. All this a day before the 0:00:39.120 --> 0:00:43.040 whistleblower is scheduled to testify on Capitol Hill. How could 0:00:43.040 --> 0:00:47.920 that change? The trial will discuss claus streaming platforms going 0:00:48.040 --> 0:00:51.600 all out for sports broadcast rights, a conversation with Amazon's 0:00:51.600 --> 0:00:55.360 global sports video vice president on its big ticket deal 0:00:55.640 --> 0:01:00.840 for Thursday Night football, and Morley some making bets on 0:01:00.880 --> 0:01:03.400 the blockchain and n f E t startup backed by 0:01:03.400 --> 0:01:06.279 Serena Williams just got a big deal with the NBA. 0:01:06.400 --> 0:01:08.399 We're going to talk to a top execut at so 0:01:08.680 --> 0:01:12.600 rare later this hour. All of that in a moment, 0:01:12.640 --> 0:01:14.520 but first, let's talk a little bit more about Twitter. 0:01:14.600 --> 0:01:18.319 Musk now Twitter rejecting that latest effort to cancel the 0:01:18.440 --> 0:01:23.120 deal yet again, saying it's quote invalid and wrongful. His 0:01:23.240 --> 0:01:26.360 third attempt to walk away from this deal and third 0:01:26.360 --> 0:01:29.960 times not the charm that whistleblower former Twitter employee Peter 0:01:30.040 --> 0:01:33.119 zat co A K A. Mudge, testifies before the Senate 0:01:33.200 --> 0:01:38.920 Judiciary Committee Tuesday. Here discuss s Bloomberg's Jeff Feely in Wilmington, Delaware, 0:01:38.959 --> 0:01:42.680 and Alex Barnka in San Francisco. So, Alex, first of all, 0:01:42.720 --> 0:01:45.080 what are we expecting to hear from Peter zat COO 0:01:45.240 --> 0:01:50.080 on Capitol Hill tomorrow? Yeah, so I think that that 0:01:50.160 --> 0:01:53.480 the hearing tomorrow will probably follow two lanes of conversation. 0:01:53.920 --> 0:01:58.480 There'll be questions around the data privacy concerns, around the 0:01:59.000 --> 0:02:02.120 bots and fake at counts that Zacho has alleged that 0:02:02.200 --> 0:02:04.960 the company either ignored or didn't disclose. But I also 0:02:05.000 --> 0:02:07.800 expect the Senate Judiciary Committee to focus on some more 0:02:07.840 --> 0:02:11.280 of the data privacy issues that legislators care about. Um 0:02:11.360 --> 0:02:14.119 that might be a little less relevant to the acquisition, 0:02:14.280 --> 0:02:17.679 but increasingly relevant as d C has been able to 0:02:17.720 --> 0:02:20.680 push through antitrust legislation but has not gotten a lot 0:02:20.720 --> 0:02:23.520 of traction on data privacy, So they might take this 0:02:23.639 --> 0:02:28.440 opportunity to lean into some of those themes as well. Now, 0:02:28.600 --> 0:02:33.480 Jeff Elon Musk is trying to use new information that 0:02:33.560 --> 0:02:38.320 Twitter signed a seven million dollar separation agreement with Peter 0:02:38.440 --> 0:02:41.960 zach Co back in June. Must trying to use that 0:02:42.040 --> 0:02:45.200 as a reason to cancel the deal. You know what 0:02:45.320 --> 0:02:49.079 exactly is he trying to say here, Well, he's basically 0:02:49.120 --> 0:02:54.320 saying that that payment constituted something outside the ordinary course 0:02:54.360 --> 0:02:57.480 of business. When you have these buyout agreements going on, 0:02:57.480 --> 0:03:00.440 one of the provisions it's often in there says that 0:03:00.480 --> 0:03:03.560 the seller has to continue to run the business in 0:03:03.600 --> 0:03:08.000 the ordinary course. Mr musk contention is this seven million 0:03:08.040 --> 0:03:13.600 dollar severance payment was somehow tied to silencing Mr Zacho 0:03:13.880 --> 0:03:18.040 so that he would not bring forth his his complaints publicly, 0:03:18.639 --> 0:03:22.000 so that that, he claims, is another reason that there's 0:03:22.040 --> 0:03:25.040 been a material adverse event and he should be able 0:03:25.080 --> 0:03:29.079 to cancel the deal. It don't sound like a lot 0:03:29.120 --> 0:03:32.520 of money, seven million dollars to get this guy to 0:03:32.560 --> 0:03:36.000 go away, Alex and then he ends up, you know, 0:03:36.200 --> 0:03:38.760 blowing the whistle. Anyway, Can you tell us a little 0:03:38.760 --> 0:03:44.360 bit more about what happened here between Zacho and Twitter? Yeah, Emily, 0:03:44.400 --> 0:03:46.080 the sticker shark that you're having might be some of 0:03:46.120 --> 0:03:48.240 the reason why Musk feels like he can lean into 0:03:48.240 --> 0:03:51.000 this as an argument that um, this type of settlement 0:03:51.080 --> 0:03:53.680 should have been brought to his camp and his outside 0:03:53.680 --> 0:03:56.720 the regular course of business. So this was a guy 0:03:56.760 --> 0:03:59.840 who was an executive on the security side, was brought 0:03:59.840 --> 0:04:03.960 in um number of years back and oversaw a lot 0:04:04.000 --> 0:04:07.120 of the important kind of security pieces and the teams 0:04:07.160 --> 0:04:11.720 that worked on those things internally at Twitter. So um, 0:04:11.760 --> 0:04:14.560 he is a person who you know, claims that he 0:04:14.600 --> 0:04:17.680 has kind of insider knowledge on this. The company says, well, look, 0:04:18.200 --> 0:04:20.280 you could have actually made some changes on these things. 0:04:20.279 --> 0:04:23.640 So there's an interesting um kind of back and forth here, Emily, 0:04:23.720 --> 0:04:26.359 I will point out, Um, it has been reported that 0:04:26.400 --> 0:04:28.680 in that settlement agreement he was still allowed to blow 0:04:28.760 --> 0:04:32.000 the whistle um to to govern to the government if 0:04:32.000 --> 0:04:35.080 there were any issues. So um, seven million dollars definitely 0:04:35.080 --> 0:04:39.039 sticker shock um definitely Uh that kind of third strike 0:04:39.120 --> 0:04:41.800 that Ellen is claiming allows him to get out of 0:04:41.839 --> 0:04:45.360 the deal. Um, but did leave that door open for 0:04:45.480 --> 0:04:50.559 us to hear from Peter Zacho tomorrow morning. Now Jeff 0:04:50.560 --> 0:04:53.920 has to judge weigh in on this latest request from 0:04:54.160 --> 0:04:58.440 Musk and this latest information about the separation agreement, and 0:04:58.480 --> 0:05:00.840 if not, what are we going to hear from her? Well, 0:05:00.880 --> 0:05:04.560 the judge has allowed Mr Musk to amend his counterclaims 0:05:04.560 --> 0:05:08.800 in the case to add the whistleblowers allegations. I want 0:05:08.800 --> 0:05:11.600 to point out that the seven million dollar payment may 0:05:11.640 --> 0:05:15.480 be contractual. We do not know if this was per 0:05:15.560 --> 0:05:19.120 a severance agreement with Mr Zach Coo, so I wouldn't 0:05:19.160 --> 0:05:23.480 automatically recoil at the seven million dollar number. We still 0:05:23.520 --> 0:05:26.680 need to find out what that's all about. I doubt 0:05:26.720 --> 0:05:30.960 we're gonna learn that tomorrow either. So how are you 0:05:31.000 --> 0:05:36.200 expecting this testimony from Zach Coo tomorrow to be folded 0:05:36.240 --> 0:05:38.400 into the case that, of course was building up to 0:05:38.440 --> 0:05:43.000 this child coming up in mid October. Jeff his his 0:05:43.120 --> 0:05:47.000 testimony tomorrow about the national security stuff and potential spies 0:05:47.080 --> 0:05:52.400 within Twitter's employee uh group are the things that the 0:05:52.440 --> 0:05:55.120 senators are gonna be focusing on. The folks that that 0:05:55.160 --> 0:05:58.159 we're concerned about is going to be his his allegation 0:05:58.240 --> 0:06:01.040 that he raised the question of at how many spam 0:06:01.080 --> 0:06:05.039 and robot accounts were embedded within the customer base and 0:06:05.360 --> 0:06:09.400 the Twitter his colleagues lack of interest in finding that out. 0:06:09.720 --> 0:06:13.640 That's the key question in the trial coming up, because 0:06:13.680 --> 0:06:16.680 that's where Mr Musk has put all his chips. In 0:06:16.760 --> 0:06:22.159 terms of defense arguments, well, clearly both parties are gonna 0:06:22.160 --> 0:06:26.080 be watching this, this testimony with bated breath, Uh, Alex 0:06:26.160 --> 0:06:30.480 any word from Twitter about the latest salvo or how 0:06:30.520 --> 0:06:35.960 any of this potentially changes their plans. So they basically 0:06:36.240 --> 0:06:38.520 came out and said, look, we don't buy the argument 0:06:38.680 --> 0:06:43.200 that the separation agreement um is a viable excuse. UM. 0:06:43.240 --> 0:06:45.840 I know that the Twitter camp will also be watching 0:06:45.839 --> 0:06:48.440 this very closely as well a lot of the shareholders 0:06:48.839 --> 0:06:51.560 who are potentially making their voices heard in the shareholder 0:06:51.640 --> 0:06:54.680 vote tomorrow. UM. I would think if things go really 0:06:54.720 --> 0:06:58.960 far down the line of privacy concerns, if there's a 0:06:59.000 --> 0:07:01.040 lot of kind of intra us in the data security 0:07:01.040 --> 0:07:04.479 piece that are unrelated to the acquisition, that would just 0:07:04.480 --> 0:07:07.040 be another thing to add to the list of Twitter 0:07:07.120 --> 0:07:10.200 CEO is kind of big ticket items to care about. 0:07:10.240 --> 0:07:13.120 Twitter has not been brought into d C as often 0:07:13.160 --> 0:07:16.160 as a lot of the larger social media appears. UM. 0:07:16.360 --> 0:07:18.840 So I think, uh, internally, you could argue there's a 0:07:18.880 --> 0:07:21.520 lot of distractions going on at the company right now, 0:07:21.560 --> 0:07:24.280 and if they do get some traction UM. In terms 0:07:24.320 --> 0:07:27.840 of legislators arguments that data privacy should be more important 0:07:27.960 --> 0:07:30.520 than Emily. I would add that to the list of 0:07:30.920 --> 0:07:33.560 kind of some of these ancillary concerns that are outside 0:07:33.560 --> 0:07:39.320 of just operating the business. All right, Alex Brenka Jeff Phey, 0:07:39.600 --> 0:07:43.480 continuing to cover this evolving legal drama for us. Thank 0:07:43.520 --> 0:07:47.200 you both for joining us. Meantime, a story that we 0:07:47.240 --> 0:07:50.840 continue to watch. Intel is scaling back expectations for its 0:07:50.880 --> 0:07:53.600 mobile i i p O. According to Bloomberg sources, the 0:07:53.600 --> 0:07:56.520 move could delay the share sale until next year if 0:07:57.080 --> 0:08:00.200 market conditions don't improve. Intel expects the i p about 0:08:00.200 --> 0:08:03.000 to value the self driving tech business as much as 0:08:03.040 --> 0:08:08.000 thirty billion dollars. Warders and others reported earlier potential valuations 0:08:08.040 --> 0:08:12.080 of more than fifty billion dollars. All right, coming up, 0:08:12.120 --> 0:08:16.040 how Amazon and other streaming giants are disrupting one of 0:08:16.040 --> 0:08:20.400 the bastions of traditional television, that is sports broadcasting. Right 0:08:20.480 --> 0:08:24.400 to top, Amazon executive with us next. This is Bloomberg. 0:08:34.480 --> 0:08:39.120 It is a historic week for sports broadcasting. This Thursday, 0:08:39.160 --> 0:08:42.880 Amazon Prime Video kicks off in eleven year thirteen billion 0:08:42.920 --> 0:08:45.680 dollar deal. This is the first time a streaming service 0:08:45.720 --> 0:08:49.440 has had exclusive rights to NFL games in the United States, 0:08:49.440 --> 0:08:53.920 and a big challenge to major networks. Amazon told advertisers 0:08:53.960 --> 0:08:56.600 it expects an average audience of twelve point six million 0:08:56.679 --> 0:08:58.960 viewers per game. This according to The Wall Street Journal. 0:08:59.440 --> 0:09:02.280 Vice President of Amazon Global Sports Video Marie john A. 0:09:02.360 --> 0:09:05.600 Hue is the architect of Amazon's Lives Force ambitions, and 0:09:05.679 --> 0:09:09.240 she joins us now to discuss So a huge week 0:09:09.360 --> 0:09:13.600 Marie for Amazon. Uh and for the first time, fans 0:09:13.640 --> 0:09:15.840 are gonna have to log onto Amazon Prime Video to 0:09:15.960 --> 0:09:19.720 see this big game on Thursday nights. Does this seem 0:09:19.720 --> 0:09:24.840 like a turning point to you in sports broadcasting? Absolutely? 0:09:25.000 --> 0:09:27.360 I mean, I look, honestly, I think this will be 0:09:27.400 --> 0:09:29.760 as big as when the NFL went to cable back 0:09:29.800 --> 0:09:32.880 in nine seven. You know, we know how NFL games 0:09:32.960 --> 0:09:36.440 legitimized and grew the cable cable business, and we think 0:09:36.440 --> 0:09:40.920 the same thing can happen for streaming. So you lead 0:09:41.040 --> 0:09:44.640 negotiations for this thirteen billion dollar, eleven year deal. It 0:09:44.720 --> 0:09:48.040 is a massive deal. How did you convince the NFL 0:09:48.440 --> 0:09:52.480 that Amazon was the place to be, right, Well, you know, 0:09:52.520 --> 0:09:56.360 the NFL cares important, cares a lot about scale and reach, 0:09:56.480 --> 0:09:58.480 and we've got that. We've got that better than any 0:09:58.520 --> 0:10:02.640 better than any other's dreaming service. They also care about production, 0:10:03.000 --> 0:10:05.240 and they knew we we showed in Europe and we 0:10:05.440 --> 0:10:08.080 also showed by our work in the US that we 0:10:08.120 --> 0:10:11.720 can produce the best broadcast for fans. It's incredibly important 0:10:11.720 --> 0:10:14.080 to them and one of the most exciting things for 0:10:14.120 --> 0:10:16.840 me is they care about innovation. You know, the the 0:10:16.960 --> 0:10:19.679 NFL has been able to stay top of mind for 0:10:19.720 --> 0:10:23.240 sports fans for decades because they innovate and they move 0:10:23.360 --> 0:10:26.280 forward and they have that confidence and that that's the 0:10:26.320 --> 0:10:28.559 biggest That was one of the biggest tenants in our 0:10:28.600 --> 0:10:31.559 deal with the NFL. We agreed to push each other 0:10:31.600 --> 0:10:34.520 and to continue to push each other on innovating on 0:10:34.640 --> 0:10:37.360 behalf of sports fans, and it's something that's personally really 0:10:37.400 --> 0:10:42.120 exciting and and something that really excites the team. What 0:10:42.200 --> 0:10:45.040 are your goals with audience numbers? I understand we've got 0:10:45.040 --> 0:10:47.760 this Wall Street Journal number that you're expecting twelve point 0:10:47.800 --> 0:10:51.680 six million viewers. Is that correct? Um? I also understand 0:10:52.120 --> 0:10:55.240 the typical viewership is more like sixteen and a half million. 0:10:55.480 --> 0:10:57.840 Are you hoping or thinking that you can get there 0:10:58.000 --> 0:11:02.360 or bigger? Right? Well, you know, our number one focus 0:11:02.600 --> 0:11:06.240 is delivering the absolute best broadcast for fans and the 0:11:06.280 --> 0:11:08.800 trends are in our favor. Everyone knows that more and 0:11:08.880 --> 0:11:13.080 more fans, particularly sports fans, are moving to streaming. Thinks 0:11:13.240 --> 0:11:15.920 this won't happen overnight. This is an eleven year deal, 0:11:16.160 --> 0:11:19.040 but we feel really strongly that if you start with fans, 0:11:19.080 --> 0:11:22.600 you serve the fans, they will come. And so we're excited. 0:11:22.640 --> 0:11:25.400 We we had our preseason game two weeks ago and 0:11:25.480 --> 0:11:28.640 the reaction from fans was just fabulous, and we're really 0:11:28.679 --> 0:11:33.480 excited to get on the field this Thursday. Thursday, the 0:11:33.559 --> 0:11:37.480 Chargers taken on the Kansas City Chiefs. UM. Talk to 0:11:37.559 --> 0:11:41.240 us then about how this benefits Amazon more broadly. You 0:11:41.280 --> 0:11:43.960 know what what's gonna be your measure of success. Is 0:11:43.960 --> 0:11:46.920 it driving audience numbers? Is it driving more Prime memberships? 0:11:47.040 --> 0:11:52.480 Is it getting more customers to buy more Amazon products? Yeah? Absolutely, 0:11:52.559 --> 0:11:55.520 So I hate to sound repetitive, but at Amazon, we 0:11:55.640 --> 0:11:58.320 start with customers. I call them sports fans, and so 0:11:58.679 --> 0:12:01.559 number one, we think we serve sports fans better. We 0:12:01.600 --> 0:12:04.240 can serve customers better. But if we wouldn't be in this, 0:12:04.280 --> 0:12:07.200 if we didn't think we could improve the experience and 0:12:07.280 --> 0:12:10.200 make it better for fans. But absolutely, as you said, Emily, 0:12:10.240 --> 0:12:14.360 they're great business opportunities here. Number one, we're Prime. Prime 0:12:14.440 --> 0:12:17.320 Video is a membership service, so we can attract more 0:12:17.360 --> 0:12:19.800 members to Prime. There are plenty of people who have 0:12:19.920 --> 0:12:23.560 Prime who maybe have don't even haven't streamed video on 0:12:23.640 --> 0:12:26.280 Prime Video. And then there are other folks who come 0:12:26.280 --> 0:12:29.679 in for Thursday night football and find things like Lord 0:12:29.720 --> 0:12:32.880 of the Rings. So we think, particularly in the Prime 0:12:32.880 --> 0:12:38.960 membership opportunity is huge. We think that opportunity is huge 0:12:39.000 --> 0:12:42.160 for us. And you know, we haven't even talked about advertising. 0:12:42.200 --> 0:12:45.199 You know, advertising, This is a game change for advertising 0:12:45.240 --> 0:12:48.320 for at Amazon. We have a very strong business already, 0:12:48.520 --> 0:12:51.920 but you can't beat this is the most premium video 0:12:52.080 --> 0:12:55.600 advertising inventory out there. So it's a huge game changer 0:12:55.679 --> 0:13:00.280 for us in terms of advertising. So how do you 0:13:00.320 --> 0:13:04.800 plan to leverage targeted advertising and do some things differently 0:13:05.200 --> 0:13:08.400 that maybe a traditional network wouldn't be able to do 0:13:08.679 --> 0:13:11.200 given all of the data and other ways you have 0:13:11.600 --> 0:13:15.120 to reach your customers? Right, Well, I would start with 0:13:15.240 --> 0:13:17.520 you know, we've done a deal with Nielsen, so we 0:13:17.520 --> 0:13:19.840 we actually are the first streamer to do a deal 0:13:19.880 --> 0:13:23.040 with Nielsen, so we'll have ratings every week. So we 0:13:23.120 --> 0:13:26.280 think that's really important because that is what advertisers and 0:13:26.360 --> 0:13:29.560 the industry follows or Nielsen ratings. On top of that, 0:13:29.640 --> 0:13:31.760 as you say, we have first party data, and we'll 0:13:31.840 --> 0:13:35.040 use that data not only to measure our fans and 0:13:35.080 --> 0:13:37.800 to and and to serve to serve them better, but 0:13:37.880 --> 0:13:41.040 also to serve advertisers better. We can actually use that 0:13:41.120 --> 0:13:45.319 first party data to make the advertising more relevant, more targeted, 0:13:45.440 --> 0:13:50.160 more directed. So it's an incredible opportunity. Now talk to 0:13:50.240 --> 0:13:53.760 us about the experience. Is there gonna be a pregame show, 0:13:53.880 --> 0:13:57.120 a halftime show, sideline reporters. How is this going to 0:13:57.200 --> 0:14:01.400 be different than a traditional network at spirit? Right? So, 0:14:01.400 --> 0:14:04.520 so first of all, we start, we start with the basics. 0:14:04.600 --> 0:14:07.080 We have the best broadcast. We think we will have 0:14:07.160 --> 0:14:10.000 the best game broadcast in the business. I mean, well, 0:14:10.000 --> 0:14:12.439 I've been in sports twenty years and you always have 0:14:12.520 --> 0:14:15.000 to remember it starts and ends with the game. So 0:14:15.040 --> 0:14:18.600 we've got iconic broadcasters like Al Michael's and Kirk curb Street. 0:14:18.679 --> 0:14:21.360 We've got Kayleie hard Tongue on the sidelines. This will 0:14:21.400 --> 0:14:24.520 be the absolute broadcast. We've got more cameras than anybody. 0:14:24.680 --> 0:14:27.080 So when you turn on your big screen television or 0:14:27.120 --> 0:14:29.440 whatever device, were on every piece of glass. Whatever you 0:14:29.480 --> 0:14:31.960 watch the game, you can sit back and relax and 0:14:32.080 --> 0:14:35.480 enjoy that huge, big screen experience. But on top of that, 0:14:35.560 --> 0:14:38.120 as you mentioned, Emily, we're we're no t T service, 0:14:38.200 --> 0:14:40.720 so we're not satisfied with that. The bar for us 0:14:40.840 --> 0:14:42.960 is really high. We want to innovate, so we're going 0:14:43.000 --> 0:14:46.960 to offer all sorts of innovation and custom customized experience 0:14:47.000 --> 0:14:49.720 for fans. Will have alternate feeds. You can watch the game, 0:14:49.960 --> 0:14:51.840 you can sit down and watch with your family and 0:14:51.840 --> 0:14:54.880 watch the dudes Dude perfect, or you can go, you 0:14:54.920 --> 0:14:59.040 can um and you can explore our x ray experience, 0:14:59.080 --> 0:15:02.360 which is actually without ever leaving the game, you can 0:15:02.400 --> 0:15:05.760 see all sorts of data and statistics and replays. The 0:15:05.840 --> 0:15:08.960 point of Extray is actually to put the tools that 0:15:09.040 --> 0:15:11.680 normally have to wait for a producer or director to say, 0:15:11.680 --> 0:15:13.520 oh let me see that replay, let me show you 0:15:13.560 --> 0:15:15.760 some extra stats. We're going to put that in the 0:15:15.800 --> 0:15:18.240 hands of fans. And then, of course we have all 0:15:18.280 --> 0:15:21.600 the content around the game, so we have pregame, post game, 0:15:21.640 --> 0:15:23.880 we'll have a great late night show, and we've got 0:15:23.880 --> 0:15:27.280 the best the best talent in the business there. We've 0:15:27.320 --> 0:15:30.880 got Charissa Thompson we've got Hall of Famer Tony Gonzalez. 0:15:31.080 --> 0:15:33.640 We've got two guys right off the field, Richard Sherman 0:15:33.640 --> 0:15:36.760 and Ryan Fitzpatrick. They're going to be amazing the conversation 0:15:36.880 --> 0:15:38.920 these guys have. They were on the field with these 0:15:38.960 --> 0:15:42.920 guys just last year, so they'll take fans literally inside 0:15:42.960 --> 0:15:45.360 the thinking of the players on the field. And we've 0:15:45.400 --> 0:15:48.120 got a great surrounding cast. And then we've got we're 0:15:48.160 --> 0:15:50.560 also going to offer the game and the programming on Twitch. 0:15:50.640 --> 0:15:54.880 Remember we have Twitch, which is an incredibly young, incredibly young, 0:15:55.200 --> 0:15:58.480 um interactive audience, and you know, Twitch is all about 0:15:58.520 --> 0:16:01.640 watching with your community, So we're excited we're going to 0:16:01.720 --> 0:16:05.040 expand the communal nature of sports through Twitch. And then 0:16:05.040 --> 0:16:06.920 on top of it, we've got some shows during the 0:16:06.960 --> 0:16:09.400 rest of the week, so we are going to surround 0:16:09.480 --> 0:16:12.280 fans all week. And as you can tell from my excitement, 0:16:12.280 --> 0:16:16.360 we're we're just thrilled to get going. You know, I 0:16:16.720 --> 0:16:21.080 assume you've got some contingency plans, you know, are you 0:16:21.120 --> 0:16:23.000 sure all cable fans are gonna be able to find 0:16:23.040 --> 0:16:25.840 the game? Are you planning for any kind of onboarding 0:16:25.960 --> 0:16:31.520 issues or an on slot of onboarding issues? Potentially absolutely, 0:16:31.600 --> 0:16:34.200 So we were on every piece of glass, as I mentioned, 0:16:34.240 --> 0:16:37.080 and if you come to any Amazon service, you're not 0:16:37.160 --> 0:16:38.960 going to be able to miss this game, and it'll 0:16:38.960 --> 0:16:41.640 be seamless and it will be easy. But also we've 0:16:41.680 --> 0:16:44.280 got great third party marketing to to also help you. 0:16:44.480 --> 0:16:46.920 But of course we're prepared. We've done this in Europe, 0:16:46.960 --> 0:16:49.280 we've done this in other places in the US. We 0:16:49.400 --> 0:16:52.440 actually have all sorts of online tools, and we're old school. 0:16:52.520 --> 0:16:54.880 We also have phone numbers you can call, and we 0:16:54.960 --> 0:16:58.080 actually put extra people on hand because we know that 0:16:58.120 --> 0:17:00.960 it's incredibly frustrating when you call the sometimes when you 0:17:01.000 --> 0:17:03.040 call those services and you don't get an answer. We 0:17:03.080 --> 0:17:06.640 will have literally thousands of people ready to take those 0:17:06.680 --> 0:17:09.439 phone calls if needed. So we're incredibly excited. We've been 0:17:09.440 --> 0:17:12.280 preparing for this for years. This is really hard work 0:17:12.600 --> 0:17:15.199 and it's really complicated, and we've been building at it, 0:17:15.280 --> 0:17:17.879 building towards it for years. We think we're the company 0:17:17.880 --> 0:17:20.080 and the best, with no other companies in position to 0:17:20.119 --> 0:17:24.200 serve a game like this to a concurrent, concurrent audience 0:17:24.240 --> 0:17:28.160 like we're going to experience this season. So the big question, 0:17:28.200 --> 0:17:31.280 of course, then is what next is Amazon planning to 0:17:31.359 --> 0:17:34.040 bid on any of the remaining college sports rights or 0:17:34.160 --> 0:17:38.240 the NBA. What else do you have coming? Well, obviously 0:17:38.240 --> 0:17:41.080 I can't talk about specifics, but what I can tell you, 0:17:41.119 --> 0:17:44.439 Emily is we approach everything from the sports fan perspective. 0:17:44.520 --> 0:17:47.360 So the first thing we do is we say, how 0:17:47.400 --> 0:17:49.879 do fans consume this content? Is there a way we 0:17:49.920 --> 0:17:51.800 can do better? Is there a way we can serve 0:17:51.840 --> 0:17:54.479 those fans better? And of course then what can we 0:17:54.520 --> 0:17:57.240 do differently and does it make sense for us? So 0:17:57.280 --> 0:18:00.280 there's literally I can't really think of any sports rights 0:18:00.280 --> 0:18:02.440 we don't look at. I mean, we're in business with 0:18:02.480 --> 0:18:04.760 the NFL, We're in business with the Yankees. You know, 0:18:04.800 --> 0:18:08.720 we provide local games exclusively in New York. So we're excited. 0:18:08.760 --> 0:18:10.760 The partners who are willing to come with us are 0:18:10.800 --> 0:18:14.879 the ones who are forward focused, fan focus and really 0:18:14.920 --> 0:18:17.359 want to go as you know, the old Wayne Gretzky 0:18:17.400 --> 0:18:19.240 want to go where the puck is going, not where 0:18:19.280 --> 0:18:22.680 it's been. So last quick question, I know you used 0:18:22.680 --> 0:18:26.600 to work at ESPN. Amazon has a huge content budget. 0:18:26.800 --> 0:18:30.360 I wonder if you're also thinking about making new sports content. 0:18:30.480 --> 0:18:32.399 You know, I believe you were involved in the thirty 0:18:32.440 --> 0:18:35.720 for thirties series, um you know, and and maybe original 0:18:35.720 --> 0:18:39.080 sports documentaries and other ways that you can build out 0:18:39.160 --> 0:18:42.760 Amazon as a big player in where you go to 0:18:42.840 --> 0:18:47.119 see things about sports. Absolutely, so we've already started that. Emily. 0:18:47.160 --> 0:18:49.160 We've got a series All or Nothing that we've done 0:18:49.200 --> 0:18:52.280 in the US and Europe. We've got great, great success 0:18:52.320 --> 0:18:55.040 with that, and actually five months ago we started a 0:18:55.119 --> 0:18:58.840 separate sports group in my group. We're hiring or staffing 0:18:58.920 --> 0:19:01.080 up if anybody in a young filmmakers out there want 0:19:01.119 --> 0:19:03.440 to come work with us. So we're excited. We think 0:19:03.480 --> 0:19:07.119 when you have those that additional content, not only is 0:19:07.160 --> 0:19:09.360 it valuable on its own, we have a high bar 0:19:09.480 --> 0:19:12.320 we wanted to be excellent content, but it also engages 0:19:12.359 --> 0:19:14.600 fans more with the athletes and the teams that then 0:19:14.640 --> 0:19:17.600 we show on live events. It's a really great um 0:19:17.640 --> 0:19:20.080 ecosystem to get going. And we we we found that 0:19:20.080 --> 0:19:22.159 in Europe when we have are all or nothings on 0:19:22.200 --> 0:19:25.879 the Premier league teams, we notice that those fans understand 0:19:25.880 --> 0:19:28.880 and appreciate those players and those teams even more when 0:19:28.880 --> 0:19:31.600 they understand what they've gone through and seen behind this 0:19:31.760 --> 0:19:35.720 and and seen behind the scenes. All right, Uh, Marie Donnie, 0:19:35.720 --> 0:19:37.119 who I believe I got You've got to catch a 0:19:37.119 --> 0:19:40.120 flight to Kansas City. UM, so thank you so much 0:19:40.160 --> 0:19:44.399 for joining us. Amazon Global Sports Video Vice President and 0:19:44.440 --> 0:19:47.280 excited to see how it all shakes out. On Thursday, 0:19:49.480 --> 0:19:54.000 Early indicators suggest Apple's iPhone fourteen pre orders are stronger 0:19:54.280 --> 0:19:57.840 than expected. Pre order data showing that the iPhone fourteen 0:19:57.880 --> 0:20:00.399 Pro Max is the best selling model, and orders for 0:20:00.400 --> 0:20:03.760 the iPhone fourteen or tracking slightly ahead of the iPhone thirteen. 0:20:03.960 --> 0:20:06.919 Web Bush saying it's seeing strong demand trends and estimates 0:20:06.960 --> 0:20:09.840 two forty million of the one billion total I phone 0:20:09.880 --> 0:20:14.200 users haven't upgraded their phones in nearly four years. Apple 0:20:14.240 --> 0:20:18.399 shares popping on the news the most since coming up. 0:20:18.520 --> 0:20:21.679 Micron breaking ground on a new fab in Idaho. CEO 0:20:21.760 --> 0:20:33.920 San j me Rotra with us next. Welcome back to 0:20:33.960 --> 0:20:38.160 Bloomberg Technology. I'm Emily Chang in San Francisco. Trevor Milton, 0:20:38.440 --> 0:20:41.560 the founder and former executive chair of Nicola, went on 0:20:41.680 --> 0:20:45.680 trial starting this week, charged with Lyne about the company's 0:20:45.680 --> 0:20:48.240 products to mislead investors and prop at the stock Let's 0:20:48.240 --> 0:20:50.680 get back to New York and Bloomberg's at Ludlow, who 0:20:50.760 --> 0:20:54.840 was in court today for the first stages. Ed what happened? Yes, 0:20:54.880 --> 0:20:58.480 So Trevor Milton faces two counts of securities fraud, two 0:20:58.560 --> 0:21:01.639 counts of y fraud, and you're right, m that prosecutors 0:21:01.680 --> 0:21:05.359 have to prove that a Trevor Milton lied about the 0:21:05.359 --> 0:21:08.920 company's technology and its products, and that in so doing 0:21:09.240 --> 0:21:13.879 he misled investors and also therefore the investors made the 0:21:13.920 --> 0:21:17.800 choice to invest in his company, Nicola, based on the information. 0:21:17.840 --> 0:21:21.439 He arrived Monday morning Southern Districts of New York here 0:21:21.440 --> 0:21:23.919 in Manhattan for the trial, which was supposed to take 0:21:23.920 --> 0:21:28.480 place in July, but Judge Egardo Ramos granted the delay 0:21:28.560 --> 0:21:32.000 until September twelve, Monday, so that they could take on 0:21:32.080 --> 0:21:35.080 that fourth count of wire fraud. It's a five week trial, 0:21:35.119 --> 0:21:38.400 so we started Monday with jury selection. Tuesday, we expect 0:21:38.480 --> 0:21:41.760 opening arguments, with the prosecution having around three weeks present 0:21:41.800 --> 0:21:44.960 their evidence, and then the defense will come in and 0:21:45.240 --> 0:21:47.600 the burn of proof is on the prosecution here. This 0:21:47.680 --> 0:21:49.840 trial could run for around five weeks through the end 0:21:49.880 --> 0:21:52.600 of October, and as they say, the focus for the 0:21:52.600 --> 0:21:57.200 prosecution is convincing the jury that a Trevor Milton lied, 0:21:57.320 --> 0:22:01.800 misled investors. About the company's progress, it's technology, what it 0:22:01.840 --> 0:22:06.040 had actually achieved, but also the investors, retail investors in 0:22:06.080 --> 0:22:10.320 particular were moved or motivated to invest in the stock 0:22:10.440 --> 0:22:12.280 for that reason. You remember it. It's Pete. This was 0:22:12.320 --> 0:22:17.200 the poster child back wave of ev companies went public, 0:22:17.280 --> 0:22:19.760 virus back, and at one point it had a market 0:22:19.760 --> 0:22:22.119 cap rating them forward, things are very different now and 0:22:25.240 --> 0:22:27.880 all right, Ad Ludlow, thank you. Will continue to wait 0:22:27.920 --> 0:22:31.480 for your updates as the child progresses. Meantime, Micron just 0:22:31.560 --> 0:22:35.840 broke ground on a new memory manufacturing fab in Boise, Idaho, 0:22:36.160 --> 0:22:38.840 the first of its kind in the US in twenty years. 0:22:39.080 --> 0:22:42.160 The chip maker plans to invest roughly fifteen billion dollars 0:22:42.160 --> 0:22:44.240 on the plan over the next several years, making it 0:22:44.359 --> 0:22:47.800 the largest private investment ever made in the state. I 0:22:47.840 --> 0:22:50.359 caught up with Micron CEO Sandre ma Rotra in an 0:22:50.359 --> 0:22:53.600 exclusive interview earlier. Take a listen to what he had 0:22:53.600 --> 0:22:59.800 to say. We have been are research and development technology 0:23:00.040 --> 0:23:04.720 leader from Boise for decades and now being able to 0:23:04.760 --> 0:23:08.880