1 00:00:02,320 --> 00:00:05,680 Speaker 1: From the heart of where innovation, money and power collive 2 00:00:06,440 --> 00:00:10,959 Speaker 1: in Silicon Valley and beyond. This is Bloomberg Technology with 3 00:00:11,039 --> 00:00:27,400 Speaker 1: Emily Jay I'm Emily taking San Francisco and this is 4 00:00:27,400 --> 00:00:31,400 Speaker 1: Bloomberg Technology. Coming up in the next hour, new information 5 00:00:31,520 --> 00:00:35,320 Speaker 1: on Musk's big backards in his bid to take over Twitter. 6 00:00:36,080 --> 00:00:38,200 Speaker 1: High on the list and who buy based investment firm 7 00:00:38,240 --> 00:00:40,479 Speaker 1: with a secretive founder. We will tell you what you 8 00:00:40,520 --> 00:00:43,720 Speaker 1: need to know. Whilst I'm joined by Clarinas CEO, Sebastian 9 00:00:43,760 --> 00:00:48,440 Speaker 1: Simiatkowski is he ain't worried about Apple moving into Kliners, 10 00:00:48,520 --> 00:00:53,360 Speaker 1: Clarinas buying out pay Later territory, and Arianna Huffington joins 11 00:00:53,400 --> 00:00:54,840 Speaker 1: me to talk about how she got some of the 12 00:00:54,840 --> 00:00:58,320 Speaker 1: biggest companies in the world to sign Thrives mental health 13 00:00:58,360 --> 00:01:01,840 Speaker 1: pledge covering mill and of workers. We're gonna get to 14 00:01:01,880 --> 00:01:03,920 Speaker 1: all of that in a moment, but first, A secretive 15 00:01:04,200 --> 00:01:07,600 Speaker 1: five billion dollar fund is helping elon Musk's bid to 16 00:01:07,800 --> 00:01:12,120 Speaker 1: buy Twitter. By Capital has committed seven hundred million dollars 17 00:01:12,120 --> 00:01:16,240 Speaker 1: to finance Musk's billion dollar deal. The firm is based 18 00:01:16,400 --> 00:01:20,280 Speaker 1: in Dubai and was founded by Alexander Tamas, a German 19 00:01:20,319 --> 00:01:24,400 Speaker 1: investor who previously worked with Russian billionaire Eurie Millner Bloombers. 20 00:01:24,440 --> 00:01:27,080 Speaker 1: Kurt Wagner joins us to discuss. So tell us more 21 00:01:27,080 --> 00:01:31,720 Speaker 1: about the significance, Kurt, of this fund's involvement. Well, I 22 00:01:31,720 --> 00:01:34,720 Speaker 1: think it just goes to show exactly how far reaching 23 00:01:35,319 --> 00:01:38,440 Speaker 1: Elon has had to go in order to get funding 24 00:01:38,520 --> 00:01:41,119 Speaker 1: for this deal. It also kind of goes to show 25 00:01:41,959 --> 00:01:45,840 Speaker 1: how international I think this there is interest in Twitter 26 00:01:46,080 --> 00:01:49,080 Speaker 1: right now and mostly in funding a project that Elon 27 00:01:49,160 --> 00:01:53,120 Speaker 1: Musk cares about. Right Vy has a history of kind 28 00:01:53,120 --> 00:01:58,520 Speaker 1: of connecting itself with these big named tech backers like Elon. 29 00:01:58,840 --> 00:02:01,880 Speaker 1: I think they're also in the boring company which Zilon. Uh. 30 00:02:02,040 --> 00:02:06,120 Speaker 1: They've done some investments um in SpaceX before. So I 31 00:02:06,160 --> 00:02:08,280 Speaker 1: just think there's you know, it kind of gives a 32 00:02:08,280 --> 00:02:10,360 Speaker 1: bit of an international flare to this whole thing, but 33 00:02:10,400 --> 00:02:13,160 Speaker 1: also just goes to show exactly how far Ellen is 34 00:02:13,200 --> 00:02:15,160 Speaker 1: having to go in order to to find funding for 35 00:02:15,160 --> 00:02:19,280 Speaker 1: this thing. And they are the third largest outside equity 36 00:02:19,400 --> 00:02:21,560 Speaker 1: investor in the deal, so that's they're they're getting a 37 00:02:21,560 --> 00:02:24,079 Speaker 1: big chunk of this deal. Talk to us about where 38 00:02:24,080 --> 00:02:27,480 Speaker 1: the discussions between Musk and Twitter stand on bots. There's 39 00:02:27,520 --> 00:02:30,400 Speaker 1: been a lot of back and forth. Right, Yeah, So 40 00:02:30,440 --> 00:02:33,440 Speaker 1: the latest this week was that Elon came forward. He 41 00:02:33,960 --> 00:02:37,720 Speaker 1: formally filed a letter with the SEC saying again, you know, hey, 42 00:02:37,760 --> 00:02:39,880 Speaker 1: I may walk away from this deal if I don't 43 00:02:39,919 --> 00:02:43,360 Speaker 1: start getting information to prove that the Botto number Twitter 44 00:02:43,400 --> 00:02:46,120 Speaker 1: claims is the Botto number is legit. And now what 45 00:02:46,280 --> 00:02:48,720 Speaker 1: we heard from yesterday was that Twitter is going to 46 00:02:48,760 --> 00:02:50,920 Speaker 1: give him access to the A p I, which is 47 00:02:50,960 --> 00:02:54,799 Speaker 1: known colloquially as the fire hose of tweets. Right, so 48 00:02:54,960 --> 00:02:57,799 Speaker 1: every public tweet on Twitter is now going to be 49 00:02:57,880 --> 00:03:00,200 Speaker 1: accessible to Ellen and his team. They can do with 50 00:03:00,240 --> 00:03:02,440 Speaker 1: that what they wish. I'm not exactly sure if that's 51 00:03:02,440 --> 00:03:05,000 Speaker 1: going to answer the box question for him, but it 52 00:03:05,040 --> 00:03:07,200 Speaker 1: does show that they're trying to figure out a middle 53 00:03:07,200 --> 00:03:09,120 Speaker 1: ground here where he can get the answers he needs 54 00:03:09,120 --> 00:03:11,880 Speaker 1: and they can move this thing forward. Meantime, we've also 55 00:03:11,919 --> 00:03:15,320 Speaker 1: been coming another story. Meta had been working on a 56 00:03:15,440 --> 00:03:17,840 Speaker 1: watch that we imagine would have been a competitor to 57 00:03:18,400 --> 00:03:24,120 Speaker 1: the Apple Watch. They've now stopped those plans. What happened here, Yeah, 58 00:03:24,200 --> 00:03:25,959 Speaker 1: so they're still working on a smart watch. I do 59 00:03:26,080 --> 00:03:27,680 Speaker 1: want to be clear about that. But the one that 60 00:03:27,720 --> 00:03:29,360 Speaker 1: we have been talking about and that you may have 61 00:03:29,440 --> 00:03:32,200 Speaker 1: seen written up in the press is no longer going 62 00:03:32,240 --> 00:03:34,400 Speaker 1: to be developed. And that one had two cameras. That 63 00:03:34,480 --> 00:03:35,840 Speaker 1: was kind of what made it unique. It at a 64 00:03:35,880 --> 00:03:38,200 Speaker 1: front facing camera, but also a camera on the back, 65 00:03:38,240 --> 00:03:40,480 Speaker 1: and you could take the watch off of the strap 66 00:03:40,760 --> 00:03:43,080 Speaker 1: and kind of hold it up to take pictures. And 67 00:03:43,120 --> 00:03:45,640 Speaker 1: what happened was that back camera that was against your 68 00:03:45,640 --> 00:03:50,280 Speaker 1: wrist that was interfering with the company's ability to um 69 00:03:50,600 --> 00:03:53,720 Speaker 1: use the watch as a controller. Right, So one of 70 00:03:53,760 --> 00:03:56,000 Speaker 1: the things they want to do with wrist wearables is 71 00:03:56,000 --> 00:03:58,200 Speaker 1: they want to be able to determine when you're moving 72 00:03:58,240 --> 00:04:00,680 Speaker 1: your hand or your fingers so that you can use 73 00:04:00,720 --> 00:04:04,440 Speaker 1: that as a controller for example augmented reality glasses. And 74 00:04:04,480 --> 00:04:06,960 Speaker 1: the camera was interfering there. So they're gonna get rid 75 00:04:07,000 --> 00:04:09,240 Speaker 1: of this prototype and they're gonna do something else with 76 00:04:09,280 --> 00:04:11,400 Speaker 1: the watch. But again, as you pointed out, this was 77 00:04:11,480 --> 00:04:13,800 Speaker 1: kind of considered something that maybe they were doing to 78 00:04:13,920 --> 00:04:15,880 Speaker 1: compete with the Apple Watch. So the fact that they're 79 00:04:15,920 --> 00:04:20,799 Speaker 1: moving to something else UM obviously is notable. Alright, Bloomber, 80 00:04:20,920 --> 00:04:23,400 Speaker 1: Kurt Wagner, thank you for your reporting on this. Now 81 00:04:23,440 --> 00:04:26,400 Speaker 1: back to that Musk Twitter deal. Another backer of that deal, 82 00:04:26,400 --> 00:04:29,640 Speaker 1: of course, is Larry Ellison, the Oracle founder, is the 83 00:04:29,680 --> 00:04:33,120 Speaker 1: world's eleventh richest person, with a net worth of eighty 84 00:04:33,120 --> 00:04:36,520 Speaker 1: eight point nine billion dollars. In two thousand twelve, he 85 00:04:36,560 --> 00:04:40,240 Speaker 1: bought of the Hawaiian island of lan I for three 86 00:04:40,360 --> 00:04:44,760 Speaker 1: hundred million dollars. That purchase came with two four seasons resorts, 87 00:04:44,760 --> 00:04:48,440 Speaker 1: a significant chunk of its homes, and practically all of 88 00:04:48,440 --> 00:04:54,159 Speaker 1: its commercial properties. Overnight, Ellison became almost everyone's boss, landlord, 89 00:04:54,720 --> 00:04:58,960 Speaker 1: or both. In today's Big Take Blue, Sophie Alexander took 90 00:04:59,000 --> 00:05:01,320 Speaker 1: a deep dive on the impact this has had on 91 00:05:01,360 --> 00:05:04,960 Speaker 1: the people of Lenin and Sophie, I'm from Hawaii. We 92 00:05:05,080 --> 00:05:07,279 Speaker 1: call it La Nutty there talked to us about the 93 00:05:07,320 --> 00:05:10,440 Speaker 1: history of this island. I'm very familiar with it. How 94 00:05:10,560 --> 00:05:13,640 Speaker 1: is it that one person was able to buy almost 95 00:05:13,680 --> 00:05:17,200 Speaker 1: the entire island. Yeah, it's unique because you think of 96 00:05:17,240 --> 00:05:19,600 Speaker 1: billionaires buying private islands and it's not that big of 97 00:05:19,640 --> 00:05:21,600 Speaker 1: a deal. But this one is different because it has 98 00:05:21,680 --> 00:05:25,159 Speaker 1: three thousand people who live there. Uh So, Lena's history 99 00:05:25,279 --> 00:05:28,280 Speaker 1: goes back into the eighteen hundreds when one person came 100 00:05:28,320 --> 00:05:31,240 Speaker 1: over and started buying up chunks of the land. And 101 00:05:31,400 --> 00:05:35,160 Speaker 1: slowly accumulated pretty much the entire island, like of it, 102 00:05:35,440 --> 00:05:37,800 Speaker 1: and that passed from one family to another until in 103 00:05:39,160 --> 00:05:41,920 Speaker 1: James Dole bought it and he started turning it into 104 00:05:42,000 --> 00:05:45,839 Speaker 1: the world's largest pineapple plantation, which it was for seven decades. 105 00:05:46,080 --> 00:05:48,640 Speaker 1: Then it passes to another billionaire, David Murdoch, whom as 106 00:05:48,680 --> 00:05:51,320 Speaker 1: chairman of Dole, and then in two thousand twelve Larry 107 00:05:51,320 --> 00:05:54,640 Speaker 1: Ellison bought it. And of course there are still thousands 108 00:05:54,720 --> 00:05:59,000 Speaker 1: of regular people who live there. How exactly are they 109 00:05:59,080 --> 00:06:03,480 Speaker 1: being impacted by Larry Allison now owning it? Yeah, this 110 00:06:03,560 --> 00:06:06,480 Speaker 1: is interesting because, like I said, the people who live 111 00:06:06,520 --> 00:06:09,039 Speaker 1: there and have lived there for generations are used to 112 00:06:09,200 --> 00:06:11,800 Speaker 1: being under the control of a single company or a 113 00:06:11,839 --> 00:06:15,080 Speaker 1: single person or family. But Larry Ellison is a whole 114 00:06:15,120 --> 00:06:17,520 Speaker 1: different animal. As one person put it, you know, he's 115 00:06:17,520 --> 00:06:20,320 Speaker 1: got ninety billion dollars. That's a lot of money. I mean, 116 00:06:20,360 --> 00:06:22,880 Speaker 1: it's nearly double what you have before the pandemic started. 117 00:06:23,120 --> 00:06:25,360 Speaker 1: The last billionaire, David Murdoch, he only had like two 118 00:06:25,400 --> 00:06:28,680 Speaker 1: billion dollars. They call him the poor billionaire. Um, so 119 00:06:28,920 --> 00:06:31,080 Speaker 1: Larry can really do whatever he wants. And it's it's 120 00:06:31,080 --> 00:06:34,760 Speaker 1: starting to show and what exactly is he doing? I 121 00:06:34,760 --> 00:06:36,920 Speaker 1: mean this tell us the stories in your article are 122 00:06:37,120 --> 00:06:41,200 Speaker 1: just absolutely fascinating, right, so true billionaire form. You know, 123 00:06:41,240 --> 00:06:43,240 Speaker 1: as soon as Larry gets there, he decides he doesn't 124 00:06:43,240 --> 00:06:45,799 Speaker 1: like the food, so he builds one nobu. Now there's 125 00:06:46,120 --> 00:06:49,320 Speaker 1: another sense a buy nobu. He renovates the two fours 126 00:06:49,320 --> 00:06:52,440 Speaker 1: and seasons resorts and so now they're fancier than ever 127 00:06:52,680 --> 00:06:55,240 Speaker 1: for you know, thousands of dollars tens of thousands of 128 00:06:55,279 --> 00:06:57,800 Speaker 1: dollars a night, um. And he's also doing things for 129 00:06:57,800 --> 00:07:00,760 Speaker 1: the community. You know, he bought the tree store and 130 00:07:00,839 --> 00:07:03,560 Speaker 1: he renovated it um. But that is the main concern 131 00:07:03,640 --> 00:07:06,520 Speaker 1: is that he's buying up a lot of the small businesses. 132 00:07:06,560 --> 00:07:09,320 Speaker 1: He's buying up some more houses, and people are nervous. 133 00:07:09,880 --> 00:07:13,160 Speaker 1: So generally are people you know, you use the word nervous. 134 00:07:13,160 --> 00:07:16,240 Speaker 1: They're they're not happy with this, I think, even though 135 00:07:16,280 --> 00:07:18,880 Speaker 1: they're getting a new grocery store for example. Sure, I 136 00:07:18,920 --> 00:07:20,760 Speaker 1: mean it depends who you ask, but I think it's 137 00:07:20,760 --> 00:07:23,480 Speaker 1: more of an anxiety because the big problem is a 138 00:07:23,560 --> 00:07:27,240 Speaker 1: lack of communication. People don't know what ultimately Larry's plans are, 139 00:07:27,760 --> 00:07:30,160 Speaker 1: and so they just don't know what their future is 140 00:07:30,200 --> 00:07:32,320 Speaker 1: going to look like here, and so more and more 141 00:07:32,360 --> 00:07:34,280 Speaker 1: of them feel like there's not a place for them 142 00:07:34,320 --> 00:07:36,920 Speaker 1: on the island. There it's being catered to the uber, 143 00:07:37,040 --> 00:07:40,040 Speaker 1: uber wealthy, not for for locals. Well, and a lot 144 00:07:40,080 --> 00:07:43,760 Speaker 1: of these people, you know, their livelihoods, they service the resorts, 145 00:07:43,760 --> 00:07:46,480 Speaker 1: they work at these resorts. Is Larry Ellison's spending a 146 00:07:46,520 --> 00:07:49,160 Speaker 1: lot of time there personally. Do we know anything about 147 00:07:49,200 --> 00:07:52,200 Speaker 1: his endgame? Yes, So he moved there during the pandemic 148 00:07:52,280 --> 00:07:54,360 Speaker 1: and that's been key because you know, it's kind of 149 00:07:54,400 --> 00:07:56,880 Speaker 1: like out of place, out of mind. Now that he's there, 150 00:07:57,080 --> 00:07:59,679 Speaker 1: all of his plans are picking up. So he's building 151 00:07:59,680 --> 00:08:02,560 Speaker 1: a monk story school, He's building a five home complex 152 00:08:02,640 --> 00:08:05,400 Speaker 1: for himself. Um, you know, he's building a new housing 153 00:08:05,400 --> 00:08:08,080 Speaker 1: project to house all of his construction workers because housing 154 00:08:08,160 --> 00:08:10,440 Speaker 1: is a huge issue on the island. He's shut down 155 00:08:10,440 --> 00:08:13,280 Speaker 1: his third hotel for workforce housing for the entire year. 156 00:08:13,600 --> 00:08:15,520 Speaker 1: And a lot of this is happening with very little 157 00:08:15,520 --> 00:08:20,000 Speaker 1: communication or no communication with community. M interesting. Well, it's 158 00:08:20,000 --> 00:08:22,040 Speaker 1: a fascinating read. You can check it out this week's 159 00:08:22,040 --> 00:08:26,240 Speaker 1: Bloomberg Big Take. Socie Alexander, thank you. Check out the 160 00:08:26,360 --> 00:08:31,200 Speaker 1: article in Bloomberg Business week, while more musical chairs at Disney, 161 00:08:31,200 --> 00:08:34,600 Speaker 1: CEO Bob Chpeck has abruptly fired the head of Television, 162 00:08:34,840 --> 00:08:38,400 Speaker 1: Peter Rice, for not being a team player. According to 163 00:08:38,400 --> 00:08:42,600 Speaker 1: Bloomberg sources, Rice was chair of General Entertainment Content and 164 00:08:42,679 --> 00:08:47,400 Speaker 1: oversaw a vast swath of shows carried across Disney Networks. 165 00:08:47,600 --> 00:08:50,200 Speaker 1: The sudden firing is the latest twist and a tumultuous 166 00:08:50,200 --> 00:08:53,320 Speaker 1: stretch for tape Chpeck. His leadership has come under scrutiny 167 00:08:53,360 --> 00:08:55,680 Speaker 1: over the last year as he wrestled with challenges that 168 00:08:55,720 --> 00:08:58,960 Speaker 1: included a high profile dust stop with Florida Governor Rohnda 169 00:08:59,040 --> 00:09:03,319 Speaker 1: Santis over a new law limiting discussion of sexual identity 170 00:09:03,679 --> 00:09:15,640 Speaker 1: in classrooms. We're learning more about Apple's jump into the 171 00:09:15,679 --> 00:09:18,559 Speaker 1: buy now, pay later business. The company will actually handle lending, 172 00:09:18,600 --> 00:09:21,599 Speaker 1: including credit checks, with a new business called Apple Financing, 173 00:09:21,679 --> 00:09:26,360 Speaker 1: marking a significant further push into financial services. Some see 174 00:09:26,360 --> 00:09:28,680 Speaker 1: this push as a threat to the more established players, 175 00:09:28,720 --> 00:09:32,360 Speaker 1: including a firm and Clarina. But is it joining me now? 176 00:09:32,440 --> 00:09:36,240 Speaker 1: Sebastian Schimakowsky, CEO and co founder of Clarina and Sebastian 177 00:09:36,280 --> 00:09:38,480 Speaker 1: I was at Apple when they were unveiling this and 178 00:09:38,520 --> 00:09:43,360 Speaker 1: everyone immediately thought about companies like Clarina and a firm 179 00:09:43,400 --> 00:09:47,599 Speaker 1: you tweeted that plagiarism is the highest form of flattery. 180 00:09:47,640 --> 00:09:52,760 Speaker 1: But are you worried that this could hurt your business? Not? Right? 181 00:09:52,800 --> 00:09:55,000 Speaker 1: For first of almost like, I think it's a great 182 00:09:55,040 --> 00:09:57,800 Speaker 1: win for consumers world one that Apple is now embracing 183 00:09:57,880 --> 00:10:01,280 Speaker 1: a better form of consuming credit. Um, we're looking at 184 00:10:01,320 --> 00:10:05,160 Speaker 1: an industry of retail banking payments that you know has 185 00:10:05,160 --> 00:10:08,359 Speaker 1: an addressable market of four hundred forty billion dollars worldwide, 186 00:10:08,720 --> 00:10:11,520 Speaker 1: and it has been constructed in a way traditionally where 187 00:10:11,600 --> 00:10:14,440 Speaker 1: credit cards have been making it fortune by trying to 188 00:10:14,480 --> 00:10:17,360 Speaker 1: get us to revolve at high interest rates once we 189 00:10:17,440 --> 00:10:20,160 Speaker 1: get that prayer card statement every month. And this form 190 00:10:20,200 --> 00:10:23,360 Speaker 1: of credit is better for consumers. So I think it's 191 00:10:23,440 --> 00:10:26,080 Speaker 1: it's it's fantastic, And Plana has been offering this form 192 00:10:26,080 --> 00:10:28,880 Speaker 1: of credit for a while. I actually would be mostly 193 00:10:28,880 --> 00:10:31,240 Speaker 1: worried if I was one of those predre card banks 194 00:10:31,520 --> 00:10:34,120 Speaker 1: who embraced Apple Pay. Was so happy to embrace this 195 00:10:34,160 --> 00:10:38,400 Speaker 1: new technology and now suddenly find myself having this company 196 00:10:38,720 --> 00:10:42,160 Speaker 1: in front of my credit card promoting an interest free 197 00:10:42,200 --> 00:10:45,640 Speaker 1: credit instead of my forty percent revolving credit one and 198 00:10:45,679 --> 00:10:50,679 Speaker 1: then pushing the customer to another provider. I that that's 199 00:10:50,720 --> 00:10:52,840 Speaker 1: the that to be should be the big headline of 200 00:10:52,880 --> 00:10:55,240 Speaker 1: this news for US. I mean, Flana has a hundred 201 00:10:55,280 --> 00:10:58,640 Speaker 1: fifty million users worldwide, where one of the largest third 202 00:10:58,640 --> 00:11:01,520 Speaker 1: party globe and payment networks in the world. Paying for 203 00:11:01,679 --> 00:11:04,800 Speaker 1: is a fantastic product. It has done tremendously well for 204 00:11:04,880 --> 00:11:06,360 Speaker 1: us in the US and helped us a lot to 205 00:11:06,440 --> 00:11:09,320 Speaker 1: gain recognition and so forth. But people are using us 206 00:11:09,640 --> 00:11:12,520 Speaker 1: for a lot of reasons, one not the least being 207 00:11:12,559 --> 00:11:15,200 Speaker 1: the fact that we're the richest data payments networks in 208 00:11:15,200 --> 00:11:17,160 Speaker 1: the world because we have skew level data and digital 209 00:11:17,160 --> 00:11:20,160 Speaker 1: receipts on every transaction, allowing us to create a much 210 00:11:20,559 --> 00:11:24,440 Speaker 1: richard consumer experience. Transactions are debit, not even credit. People 211 00:11:24,480 --> 00:11:27,280 Speaker 1: don't know that um and so forth. So so I mean, 212 00:11:27,440 --> 00:11:30,439 Speaker 1: I'm working. I always think competition is nice, and I'm 213 00:11:30,520 --> 00:11:33,120 Speaker 1: I'm also fortunate to have a neighbor here in Daniel X, 214 00:11:33,240 --> 00:11:35,720 Speaker 1: the founder of Spotify, who has has can give me 215 00:11:35,760 --> 00:11:40,120 Speaker 1: some tips on how to compete with Apple successfully. Obviously good. 216 00:11:40,400 --> 00:11:44,080 Speaker 1: Good to know that you and Eck are friendly. I 217 00:11:44,120 --> 00:11:48,120 Speaker 1: also spoke with a firm CEO, Max Election he similarly, 218 00:11:48,520 --> 00:11:50,120 Speaker 1: you know, said it was a win for consumers, but 219 00:11:50,120 --> 00:11:53,800 Speaker 1: he also said something else. Take a listen why I'm 220 00:11:53,800 --> 00:11:57,720 Speaker 1: not particually worried about Apple pay entering the bioppulator space. 221 00:11:58,520 --> 00:12:01,319 Speaker 1: They're focused on the can into the six week product, 222 00:12:01,480 --> 00:12:04,000 Speaker 1: which I think is great and display of competitors, and 223 00:12:04,040 --> 00:12:07,319 Speaker 1: they should be worried. I think this spells a certain 224 00:12:07,400 --> 00:12:09,680 Speaker 1: level of concern for folks that are really specialized in 225 00:12:09,679 --> 00:12:14,040 Speaker 1: this really short term product. That's not calling out Klina. 226 00:12:15,720 --> 00:12:18,760 Speaker 1: He might, you know, it's funny me and act of 227 00:12:18,800 --> 00:12:22,800 Speaker 1: a long history. I remember presenting Clana at depth, trying 228 00:12:22,800 --> 00:12:24,559 Speaker 1: to recruit him as a board member, and then being 229 00:12:24,559 --> 00:12:28,040 Speaker 1: surprised by him announcing a firm six months later. Um, 230 00:12:28,200 --> 00:12:30,720 Speaker 1: so we have if we have a we have a 231 00:12:30,720 --> 00:12:34,559 Speaker 1: fun history me and Max. But look, I think, look, 232 00:12:35,320 --> 00:12:38,559 Speaker 1: they're very distinctly He's He's very accurate about one thing, 233 00:12:38,559 --> 00:12:40,720 Speaker 1: and that is that Clana and a firm are distinctly 234 00:12:40,760 --> 00:12:46,280 Speaker 1: different businesses. If I've understood the firm's reporting correct, their 235 00:12:46,280 --> 00:12:52,679 Speaker 1: businesses is um is financing, long term financing. If I 236 00:12:52,720 --> 00:12:57,640 Speaker 1: understand correct reports online, fifty of their UM of their 237 00:12:57,800 --> 00:13:02,160 Speaker 1: balance credit is priced at only five to interest rate 238 00:13:02,600 --> 00:13:04,800 Speaker 1: rates that we don't even go up to Plana max. 239 00:13:04,920 --> 00:13:07,600 Speaker 1: My maxisized at twenty five. So it's a very different 240 00:13:07,600 --> 00:13:12,720 Speaker 1: businesses lending high ticket items to people that think interest 241 00:13:12,800 --> 00:13:15,880 Speaker 1: rate is attracted. Clina is that pay interest free product. 242 00:13:16,120 --> 00:13:18,760 Speaker 1: It's a payments product. We have the largest account to 243 00:13:18,760 --> 00:13:21,280 Speaker 1: account based payments network in the world. So these these 244 00:13:21,320 --> 00:13:25,280 Speaker 1: are distinct different businesses and and and so yes, I 245 00:13:25,280 --> 00:13:27,160 Speaker 1: think that in that I agree with him, and I 246 00:13:27,200 --> 00:13:30,200 Speaker 1: don't think it's accuracy. So some some shots fired there. 247 00:13:30,200 --> 00:13:32,240 Speaker 1: I'm gonna have to get Max to respond to that. 248 00:13:32,320 --> 00:13:34,560 Speaker 1: You know. He also talked about how a firm. He 249 00:13:34,600 --> 00:13:36,640 Speaker 1: also talked about how a firm is hiring and Clarina 250 00:13:36,760 --> 00:13:39,520 Speaker 1: did have some layoffs recently. I believe you and I 251 00:13:39,600 --> 00:13:41,679 Speaker 1: was planned to lay off ten percent of your workforce. 252 00:13:42,080 --> 00:13:44,440 Speaker 1: When you look back, do you see any mistakes in 253 00:13:44,480 --> 00:13:48,559 Speaker 1: your execution? And you know, does this mean that you're 254 00:13:48,640 --> 00:13:52,640 Speaker 1: kind of slightly less optimistic about how big the market 255 00:13:52,679 --> 00:13:56,080 Speaker 1: can be for Klina than you work? No, I think 256 00:13:56,080 --> 00:13:58,680 Speaker 1: look for us, there's a long term opportunity in this 257 00:13:58,960 --> 00:14:01,440 Speaker 1: which has been that I believe we're going through a 258 00:14:01,520 --> 00:14:05,440 Speaker 1: similar revolution in retail banking and payments that retail went 259 00:14:05,480 --> 00:14:07,800 Speaker 1: through ten years ago. You remember, I've been running Plan 260 00:14:07,880 --> 00:14:11,840 Speaker 1: Up for fourteen seventeen years now, where of the fourteen 261 00:14:11,960 --> 00:14:16,440 Speaker 1: first year we're profitable um and and I went through 262 00:14:16,440 --> 00:14:18,640 Speaker 1: the financial crisis with this company two thousand seven and 263 00:14:18,679 --> 00:14:22,200 Speaker 1: two thousand a. So, but what happened in the last 264 00:14:22,240 --> 00:14:24,600 Speaker 1: two years is that we've been very focused on establishing 265 00:14:24,600 --> 00:14:26,600 Speaker 1: yourselves in the US. We're proudly we have twenty five 266 00:14:26,640 --> 00:14:29,360 Speaker 1: million users that we see, you know, Macy's and Support 267 00:14:29,440 --> 00:14:32,280 Speaker 1: and big fantastic brands in the U S adopted Klan 268 00:14:32,400 --> 00:14:34,800 Speaker 1: and it is offering Klan Up today. So it's been 269 00:14:34,800 --> 00:14:37,880 Speaker 1: a very very um a time where we've been investing 270 00:14:37,920 --> 00:14:40,080 Speaker 1: a lot, and it's been very clear, as I think 271 00:14:40,120 --> 00:14:42,280 Speaker 1: a lot of other companies in the US have understood 272 00:14:42,280 --> 00:14:44,800 Speaker 1: now as well, that there is a shift in investors. 273 00:14:45,160 --> 00:14:48,520 Speaker 1: You know, investors being entirely focused on asking for what 274 00:14:48,560 --> 00:14:51,360 Speaker 1: are you doing to grow faster six to nine months ago, 275 00:14:51,400 --> 00:14:54,160 Speaker 1: are now starting to ask questions about profitability and softwath 276 00:14:54,200 --> 00:14:56,000 Speaker 1: And again we have the benefit of having been a 277 00:14:56,040 --> 00:14:57,920 Speaker 1: profitable company for a lot of for a long period 278 00:14:57,920 --> 00:15:01,040 Speaker 1: of time. We now invested heavily. We we we said, look 279 00:15:01,160 --> 00:15:03,360 Speaker 1: the in goal is exactly the same that it has 280 00:15:03,400 --> 00:15:05,960 Speaker 1: always been, but it's going to be a slightly different 281 00:15:06,000 --> 00:15:08,880 Speaker 1: path towards that, and the unfortunately led us to something 282 00:15:08,920 --> 00:15:11,400 Speaker 1: that you know, I find obviously very sad that we 283 00:15:11,920 --> 00:15:14,920 Speaker 1: as a consequence of that, decided to make changes to 284 00:15:15,200 --> 00:15:17,480 Speaker 1: how the order looks and how it's set up, and 285 00:15:17,480 --> 00:15:22,720 Speaker 1: that has led us to suggest and ask people to uh, 286 00:15:22,760 --> 00:15:25,080 Speaker 1: you know, offer them severance packages and so forth, and 287 00:15:25,120 --> 00:15:27,800 Speaker 1: as some people to to leave Plana, which is abviously 288 00:15:27,840 --> 00:15:30,200 Speaker 1: very sad because I think this is all amazing talent, 289 00:15:30,280 --> 00:15:33,480 Speaker 1: amazing people that you know have have contributed to the company. 290 00:15:33,600 --> 00:15:35,600 Speaker 1: So it's a sad thing to do, but I think 291 00:15:35,600 --> 00:15:38,960 Speaker 1: it's it's the right thing considering how the marketing look nowadays, 292 00:15:39,000 --> 00:15:41,720 Speaker 1: and I think it will set up up even better 293 00:15:41,760 --> 00:15:45,600 Speaker 1: for for future success going forward. Now in this new 294 00:15:45,680 --> 00:15:48,400 Speaker 1: in this new market environment that we're in. Well, I 295 00:15:48,400 --> 00:15:49,880 Speaker 1: know you made quite a move and shared some of 296 00:15:49,920 --> 00:15:53,480 Speaker 1: their their details, which um, I hope they're getting some 297 00:15:53,560 --> 00:15:56,880 Speaker 1: inbound all of that great talent um. As you've said, 298 00:15:56,920 --> 00:15:59,040 Speaker 1: the goal is to become the world's largest retail bank. 299 00:15:59,600 --> 00:16:03,080 Speaker 1: Given regulation, given the changing competitive landscape, how far out 300 00:16:03,120 --> 00:16:07,480 Speaker 1: is that vision In the United States? And abroad. No, 301 00:16:07,640 --> 00:16:12,040 Speaker 1: we're quite far actually ahead. Right. So I to me, like, 302 00:16:12,200 --> 00:16:14,000 Speaker 1: if you look at this from a future perspective, what 303 00:16:14,040 --> 00:16:16,800 Speaker 1: I believe in, what I believe a longer time is 304 00:16:16,840 --> 00:16:19,000 Speaker 1: that like someday in the future, you wake up in 305 00:16:19,040 --> 00:16:22,479 Speaker 1: the morning, your computer says to your your financial assistant, 306 00:16:22,480 --> 00:16:24,920 Speaker 1: Digital as system says, hey have analyzed your mortgage, tonyed 307 00:16:24,960 --> 00:16:27,360 Speaker 1: I realized it, could you know, save you x amount 308 00:16:27,360 --> 00:16:29,680 Speaker 1: of the nars by shifting from supplier A to supplier B. 309 00:16:30,360 --> 00:16:32,440 Speaker 1: And the only thing you need to say yes, it's 310 00:16:32,440 --> 00:16:34,440 Speaker 1: a little bit like self driving cars. I don't know 311 00:16:34,480 --> 00:16:36,240 Speaker 1: when it's going to happen, but I do know it 312 00:16:36,280 --> 00:16:39,360 Speaker 1: will happen. So the future of banking is very different 313 00:16:39,400 --> 00:16:42,040 Speaker 1: to what we've traditionally seen, where banks have been obsessed 314 00:16:42,120 --> 00:16:45,120 Speaker 1: with what they called maximizing interest rate spread, meaning you know, 315 00:16:45,200 --> 00:16:47,360 Speaker 1: giving the positors as a little as possible and then 316 00:16:47,400 --> 00:16:50,520 Speaker 1: borrowing it out the highest possible interest rate. The true 317 00:16:50,560 --> 00:16:53,640 Speaker 1: future retail banking financial services is somebody's on the consumer 318 00:16:53,680 --> 00:16:56,560 Speaker 1: side trying to help them save time, save money, make 319 00:16:56,880 --> 00:16:59,320 Speaker 1: you the less worried about their finances. And it's been 320 00:16:59,400 --> 00:17:02,400 Speaker 1: very clear to me that that who those five or 321 00:17:02,440 --> 00:17:05,439 Speaker 1: four large companies that will dominate that space in the 322 00:17:05,480 --> 00:17:07,800 Speaker 1: next ten years on a global basis will be that 323 00:17:07,880 --> 00:17:11,080 Speaker 1: somebody's global and somebody has a banking background and it's 324 00:17:11,119 --> 00:17:13,040 Speaker 1: willing to pursue that. There will be some tech companies 325 00:17:13,040 --> 00:17:15,960 Speaker 1: pursuing that. We see Apple now pursuing some of that. 326 00:17:16,040 --> 00:17:18,040 Speaker 1: There will be some fin techs, and there will be 327 00:17:18,359 --> 00:17:20,760 Speaker 1: some traditional banks. And I think Planna would have hundred 328 00:17:20,760 --> 00:17:23,639 Speaker 1: fifty million users and with a data set that is 329 00:17:23,760 --> 00:17:25,879 Speaker 1: much richer than anyone else due to the you know 330 00:17:25,920 --> 00:17:28,119 Speaker 1: the fact that we have skew level data on all transactions. 331 00:17:28,160 --> 00:17:31,359 Speaker 1: It's giving us a tremendous opportunity to lead the game 332 00:17:31,480 --> 00:17:34,199 Speaker 1: in providing more value for consumers and really be on 333 00:17:34,240 --> 00:17:36,600 Speaker 1: the consumer side. And I'm also happy now that even 334 00:17:36,600 --> 00:17:39,000 Speaker 1: though media has questioned things like buying now, pay later, 335 00:17:39,160 --> 00:17:41,399 Speaker 1: we're seeing other people adopting and recognizing that this is 336 00:17:41,440 --> 00:17:43,080 Speaker 1: a better form of credit as well. So I think 337 00:17:43,080 --> 00:17:45,160 Speaker 1: it's verifying a lot of the assumptions that we've had, 338 00:17:45,359 --> 00:17:48,480 Speaker 1: and so I feel very excited about it. Sebastian Chimakowsky, 339 00:17:48,680 --> 00:17:52,960 Speaker 1: Corner CEO, thank you for joining us as always coming up. 340 00:17:53,080 --> 00:17:58,200 Speaker 1: Meta is now a leader in another social media trend lawsuits. 341 00:17:58,600 --> 00:18:00,840 Speaker 1: Why the company has been sued more than half a 342 00:18:00,880 --> 00:18:04,640 Speaker 1: dozen times just in the last week. That is next. 343 00:18:04,720 --> 00:18:13,800 Speaker 1: This is Bloomberg. In the last week, eight lawsuits have 344 00:18:13,840 --> 00:18:16,760 Speaker 1: been filed across the country against Meta, the suits alleging 345 00:18:16,800 --> 00:18:21,280 Speaker 1: that the company built algorithms leading young people into addiction. 346 00:18:21,359 --> 00:18:24,399 Speaker 1: For more, I'm joined now by Bloomberg's Alafi Nayak Malthy. 347 00:18:24,440 --> 00:18:25,920 Speaker 1: Thank you so much for joining us. So what kind 348 00:18:25,920 --> 00:18:28,480 Speaker 1: of addiction are you talking about here? So? The users 349 00:18:28,480 --> 00:18:31,800 Speaker 1: who suit Meta claiming that Facebook and Instagram have created 350 00:18:31,840 --> 00:18:37,680 Speaker 1: algorithms and products that keep users hooked onto um its platforms, 351 00:18:37,760 --> 00:18:41,119 Speaker 1: especially young users, and that they promote excessive use of 352 00:18:41,200 --> 00:18:45,280 Speaker 1: these platforms through these algorithms. The claiming that Meta knew 353 00:18:45,400 --> 00:18:49,000 Speaker 1: that these algorithms were problematic, that they would lead to 354 00:18:49,080 --> 00:18:52,639 Speaker 1: issues such as eating disorders a d h D, and 355 00:18:52,720 --> 00:18:57,560 Speaker 1: depression among young users, but that the company continued to 356 00:18:57,640 --> 00:19:00,720 Speaker 1: keep these products and services going to drive profit. This 357 00:19:00,960 --> 00:19:04,359 Speaker 1: echoes what the Facebook whistle blower quote unquote Francis Halgan 358 00:19:04,400 --> 00:19:09,160 Speaker 1: testified to Congress about how is Facebook responding? So Facebook 359 00:19:09,200 --> 00:19:13,679 Speaker 1: hasn't responded in court as yet, but spokesperson declined to 360 00:19:13,720 --> 00:19:17,879 Speaker 1: comment because it is active litigation. But she did point 361 00:19:17,880 --> 00:19:21,400 Speaker 1: to some efforts by Facebook recently such as having tools 362 00:19:21,640 --> 00:19:26,080 Speaker 1: um for parents to control screen time and also enough 363 00:19:26,200 --> 00:19:29,679 Speaker 1: resources like having these little pop up messages that come up. 364 00:19:29,720 --> 00:19:32,760 Speaker 1: If a user looks for information on and eating disorder, 365 00:19:32,800 --> 00:19:35,160 Speaker 1: for example, then there will be some tips and resources 366 00:19:35,240 --> 00:19:37,080 Speaker 1: that will pop up on screen to sort of help 367 00:19:37,160 --> 00:19:40,000 Speaker 1: the help the young user deal with certain issues. Are 368 00:19:40,000 --> 00:19:43,720 Speaker 1: these lawsuits coordinated so there are a bunch of firms. 369 00:19:44,200 --> 00:19:46,840 Speaker 1: There's one group in Seattle, and then there's another firm 370 00:19:46,840 --> 00:19:49,280 Speaker 1: called Beasley Allen which just filed these eight suits in 371 00:19:49,320 --> 00:19:51,920 Speaker 1: the last week. UM. So at some point they could 372 00:19:51,920 --> 00:19:55,080 Speaker 1: all get consolidated in court, but right now their separate 373 00:19:55,080 --> 00:19:59,040 Speaker 1: efforts interesting. Gos Mouth and I thank you, thank you 374 00:19:59,080 --> 00:20:10,000 Speaker 1: for that update. Welcome back to Bloomer Technology and Emily 375 00:20:10,040 --> 00:20:13,119 Speaker 1: Chang in San Francisco. We have heard so much about 376 00:20:13,280 --> 00:20:15,680 Speaker 1: mental health over the last few years as we've all 377 00:20:15,760 --> 00:20:18,639 Speaker 1: had to navigate the uncertainty of a pandemic from home 378 00:20:19,040 --> 00:20:21,960 Speaker 1: to work. This is why Thrive has partnered with the 379 00:20:22,040 --> 00:20:24,720 Speaker 1: Society for Human Resource Management to get some of the 380 00:20:24,800 --> 00:20:28,760 Speaker 1: biggest companies from Microsoft to Salesforce, Cisco, Uber, and Walmart 381 00:20:29,119 --> 00:20:32,440 Speaker 1: to make a commitment to employees mental health and well being. 382 00:20:32,640 --> 00:20:35,720 Speaker 1: Joining me right now, Founder and CEO of Thrive, Arianna 383 00:20:35,800 --> 00:20:39,200 Speaker 1: Huffington's Arianna, great to have you back with us. So 384 00:20:39,240 --> 00:20:44,919 Speaker 1: what exactly are these companies committing to do? So Basically, 385 00:20:45,000 --> 00:20:50,000 Speaker 1: they're committing during the staff economic times ahead, not to 386 00:20:50,160 --> 00:20:54,760 Speaker 1: cut mental health and well being offerings to their employees 387 00:20:54,920 --> 00:20:57,399 Speaker 1: as you know, and really offered. The last two years, 388 00:20:57,440 --> 00:21:02,280 Speaker 1: we've seen an incredible increase offered. Ninety companies have increased 389 00:21:02,280 --> 00:21:05,840 Speaker 1: their mental health and well being offerings to their employees. 390 00:21:05,960 --> 00:21:10,240 Speaker 1: Over the last two years, practically every company became also 391 00:21:10,280 --> 00:21:14,640 Speaker 1: a healthcare company. And these are amazing advances, and US 392 00:21:14,720 --> 00:21:17,920 Speaker 1: companies are making tough decisions. So we wanted to make 393 00:21:17,960 --> 00:21:21,000 Speaker 1: sure that there was a real commitment not to cut 394 00:21:21,040 --> 00:21:25,439 Speaker 1: down these fundamental services, especially at the time when the 395 00:21:25,560 --> 00:21:30,440 Speaker 1: mental health crisis is seen as the second pandemic, and 396 00:21:30,960 --> 00:21:34,199 Speaker 1: we were thrilled with a response. Within a week, we 397 00:21:34,320 --> 00:21:42,720 Speaker 1: got over eighty both Fortune ten companies and also high 398 00:21:42,760 --> 00:21:48,480 Speaker 1: growth startups to join the pledgere and sign up. Now, 399 00:21:48,520 --> 00:21:51,159 Speaker 1: we've been hearing a lot of talk about mental health lately. 400 00:21:51,359 --> 00:21:55,440 Speaker 1: It's also being blamed for gun violence. I'm curious if 401 00:21:55,480 --> 00:22:00,919 Speaker 1: you think this issue is being politicized. Well, mental um 402 00:22:01,200 --> 00:22:06,320 Speaker 1: crisis is real, and everything is being politicized today. But 403 00:22:06,440 --> 00:22:11,560 Speaker 1: the truth is that we've seen unprecedented numbers of depression 404 00:22:11,840 --> 00:22:16,120 Speaker 1: and anxiety, and that we know there is a lot 405 00:22:16,240 --> 00:22:20,159 Speaker 1: that can be done by changing our everyday habits around sleep, 406 00:22:20,640 --> 00:22:24,040 Speaker 1: around food, around the thought we hold in our heads 407 00:22:24,400 --> 00:22:27,520 Speaker 1: to change outcomes. And that's one of the things that 408 00:22:27,680 --> 00:22:33,040 Speaker 1: companies are doing. Beyond just the medical intervention if things 409 00:22:33,080 --> 00:22:35,480 Speaker 1: get really bad, there is a lot we can do 410 00:22:35,960 --> 00:22:41,879 Speaker 1: about prevention. So the question is how, and and often 411 00:22:42,080 --> 00:22:46,960 Speaker 1: how much is our own tech obsessed culture making all 412 00:22:47,000 --> 00:22:49,359 Speaker 1: of this work worse. You and I have talked about 413 00:22:49,359 --> 00:22:52,239 Speaker 1: Facebook and now Meta, which you know, as we were 414 00:22:52,280 --> 00:22:54,959 Speaker 1: just discussing in a segment earlier, is being sued across 415 00:22:55,000 --> 00:23:01,480 Speaker 1: the country for knowingly coaxing teens into different four of addiction. 416 00:23:01,600 --> 00:23:06,560 Speaker 1: What do you make of that narrative? So obviously I 417 00:23:06,600 --> 00:23:09,679 Speaker 1: don't know the details of the lawsuit, but what I 418 00:23:09,800 --> 00:23:15,200 Speaker 1: do know, and what every parent knows, is that managing 419 00:23:15,480 --> 00:23:20,879 Speaker 1: the relationship of their children to technology, to social media 420 00:23:21,080 --> 00:23:24,640 Speaker 1: is really hard. You and I were talking about your 421 00:23:24,760 --> 00:23:28,320 Speaker 1: nine year old son and how long can you wait 422 00:23:28,520 --> 00:23:33,320 Speaker 1: before he even gets a phone, and that's something that's 423 00:23:33,359 --> 00:23:39,600 Speaker 1: based on observation. At Drive. We launched a dedicated curriculum 424 00:23:39,720 --> 00:23:43,040 Speaker 1: called Thriving Kids because one of the companies who work 425 00:23:43,119 --> 00:23:47,720 Speaker 1: with Fighter saw the concern that working parents are having 426 00:23:48,440 --> 00:23:53,879 Speaker 1: over the relationship of their children to their phones, to 427 00:23:54,080 --> 00:24:00,800 Speaker 1: social media, the growing skyrocketing rates of depression and anxiety 428 00:24:00,880 --> 00:24:05,280 Speaker 1: among children and teenagers. It's a huge issue and I'm 429 00:24:05,320 --> 00:24:07,960 Speaker 1: so glad you're looking at it more closely. I also 430 00:24:08,400 --> 00:24:10,840 Speaker 1: have to ask you about Cheryl Samberg because I know 431 00:24:10,920 --> 00:24:14,520 Speaker 1: you're close friends, and we've seen this great resignation happening 432 00:24:14,520 --> 00:24:16,760 Speaker 1: across the country and around the world, and some people 433 00:24:16,800 --> 00:24:20,240 Speaker 1: didn't expect to see Cheryl Samberg be part of it. 434 00:24:20,760 --> 00:24:23,919 Speaker 1: Were you surprised how long she stayed or do you 435 00:24:23,960 --> 00:24:26,560 Speaker 1: have any more insights into why she left? And now 436 00:24:28,400 --> 00:24:33,919 Speaker 1: I am very very proud of her for taking that step. 437 00:24:34,119 --> 00:24:36,520 Speaker 1: You know, Emily here and I have talked a lot 438 00:24:36,600 --> 00:24:40,840 Speaker 1: about women, and so often I talked to friends in 439 00:24:41,040 --> 00:24:46,240 Speaker 1: big corporate jobs who have stopped really feeling that that's 440 00:24:46,240 --> 00:24:48,600 Speaker 1: what they want to be doing. But so many women 441 00:24:49,000 --> 00:24:53,320 Speaker 1: and men, but especially women become so identified with their 442 00:24:53,400 --> 00:24:57,320 Speaker 1: jobs and we know from everything Cheryl has done beyond 443 00:24:57,840 --> 00:25:01,960 Speaker 1: Facebook with a lean in circles, with her work with 444 00:25:02,040 --> 00:25:06,320 Speaker 1: Option B helping people who experienced loss to rebuild their lives, 445 00:25:07,119 --> 00:25:09,920 Speaker 1: that this is an amazing new chapter for her. And 446 00:25:10,560 --> 00:25:14,080 Speaker 1: I profoundly believe that life comes in chapters, you know. 447 00:25:14,160 --> 00:25:18,280 Speaker 1: I I've had many chapters myself, and I remember when 448 00:25:18,320 --> 00:25:23,000 Speaker 1: I was debating leaving the having done post to launch Thrive, 449 00:25:23,160 --> 00:25:26,720 Speaker 1: I actually called Cheryl and she gave me the advice 450 00:25:26,800 --> 00:25:30,439 Speaker 1: to just take a deep breath, close my eyes and jump. 451 00:25:30,760 --> 00:25:35,800 Speaker 1: And these changes, these jumps require carriage. It's always easier 452 00:25:35,880 --> 00:25:39,119 Speaker 1: to stay where you are, especially when staying where you 453 00:25:39,160 --> 00:25:43,760 Speaker 1: are is a huge job. Well, that's a perfect segue 454 00:25:43,840 --> 00:25:46,080 Speaker 1: to my next question, because you know a thing or 455 00:25:46,119 --> 00:25:49,160 Speaker 1: two about owning a media company. And I'm so curious 456 00:25:49,200 --> 00:25:51,800 Speaker 1: what you think of Elon Musk and his bid to 457 00:25:51,920 --> 00:25:55,040 Speaker 1: buy Twitter. I know you gave him some advice back 458 00:25:55,080 --> 00:25:57,880 Speaker 1: in to sleep More. I'm not sure if he took it, 459 00:25:57,960 --> 00:26:00,760 Speaker 1: but any advice for him now? I mean, do you 460 00:26:00,800 --> 00:26:03,760 Speaker 1: think he's a good owner? Will he be a good 461 00:26:03,760 --> 00:26:08,200 Speaker 1: owner for Twitter if it happens? Well, first of all, Emilie, 462 00:26:08,400 --> 00:26:12,879 Speaker 1: are you surprised that a company like Twitter that thrives 463 00:26:13,000 --> 00:26:17,240 Speaker 1: on drama and conflict is engulfed in more drama and 464 00:26:17,320 --> 00:26:22,080 Speaker 1: conflict with a man who enjoys drama and conflict. I'm 465 00:26:22,119 --> 00:26:26,399 Speaker 1: actually much more interested in a learn's decision to bring 466 00:26:27,880 --> 00:26:32,120 Speaker 1: everybody back to the office full time. I think that's 467 00:26:32,119 --> 00:26:36,119 Speaker 1: going to become a very key decision for companies and 468 00:26:37,080 --> 00:26:40,040 Speaker 1: for me. What's being missed from this conversation is that 469 00:26:40,160 --> 00:26:44,000 Speaker 1: more important than where people are working is how they're working. 470 00:26:44,640 --> 00:26:48,440 Speaker 1: And again, in the same way, with a mental health pledge, 471 00:26:48,520 --> 00:26:54,560 Speaker 1: we want to avoid regressing into the pre pandemic past. 472 00:26:55,200 --> 00:26:59,320 Speaker 1: The same applies here. We need to avoid regressing into 473 00:26:59,359 --> 00:27:05,000 Speaker 1: cultures driven by burnout, and that means that whether people 474 00:27:05,160 --> 00:27:11,320 Speaker 1: work in a hybrid environment, remote or back in the office, 475 00:27:12,520 --> 00:27:16,120 Speaker 1: everybody has to be much more intentional about the new 476 00:27:16,119 --> 00:27:20,480 Speaker 1: work order. We cannot pretend and that we can unring 477 00:27:20,680 --> 00:27:24,560 Speaker 1: the bell that millions of people worked remote and did 478 00:27:24,640 --> 00:27:26,679 Speaker 1: a lot of good work. But we need to become 479 00:27:26,760 --> 00:27:32,040 Speaker 1: much more intentional about building the social capital that we 480 00:27:32,119 --> 00:27:36,000 Speaker 1: do lose when people are not physically together all the time, 481 00:27:36,800 --> 00:27:39,399 Speaker 1: and that means not having people come back to the 482 00:27:39,480 --> 00:27:43,680 Speaker 1: office to take zoom calls from their cubicles. That means 483 00:27:43,840 --> 00:27:47,240 Speaker 1: and that's a priority for us at Thrive. Being much 484 00:27:47,280 --> 00:27:52,160 Speaker 1: more intentional about onboarding, we include something called the Entry interview, 485 00:27:52,920 --> 00:27:58,159 Speaker 1: being much more intentional about hybrid rituals, like something we 486 00:27:58,280 --> 00:28:02,240 Speaker 1: call reset, where people create their own sixty second reset 487 00:28:02,320 --> 00:28:05,800 Speaker 1: of what gives them joy and share them. A teamm thinks, 488 00:28:05,880 --> 00:28:08,800 Speaker 1: so a lot of work has to be done to 489 00:28:08,920 --> 00:28:15,120 Speaker 1: navigate the new world order, and whatever Mordel a company chooses, 490 00:28:16,000 --> 00:28:19,160 Speaker 1: you cannot unring the bell. We will try to get 491 00:28:19,160 --> 00:28:23,760 Speaker 1: Ellen that advice Arianna, maybe via Twitter, since that seems 492 00:28:23,800 --> 00:28:27,000 Speaker 1: to be where he is hanging out. Arianna Huffington's founder 493 00:28:27,000 --> 00:28:29,520 Speaker 1: and CEO of Thrive. Always love having you here on 494 00:28:29,520 --> 00:28:33,879 Speaker 1: the show. Thank you for stopping by. Alright, Coming up, 495 00:28:33,920 --> 00:28:36,720 Speaker 1: the future of crypto regulation. How a Democratic and Republican 496 00:28:36,800 --> 00:28:40,400 Speaker 1: senator are taking a stab at working on this together. 497 00:28:40,600 --> 00:28:44,480 Speaker 1: Senators Kirsten Gillibrand and Cynthia Lammas joined me. Coming up, 498 00:28:44,600 --> 00:29:04,760 Speaker 1: this is Bloomberg Time now for our crypto reporting. Today 499 00:29:04,760 --> 00:29:07,320 Speaker 1: we are talking crypto regulation. A new bill that could 500 00:29:07,360 --> 00:29:10,880 Speaker 1: help clarify which digital currencies are commodities and which our 501 00:29:11,080 --> 00:29:15,080 Speaker 1: securities just got new support from the CFTC the Commodities 502 00:29:15,120 --> 00:29:18,160 Speaker 1: Futures Trading Commission, while the bill would give them more power. 503 00:29:18,560 --> 00:29:21,520 Speaker 1: I sat down earlier with Senator's Cares and Gillibrand from 504 00:29:21,560 --> 00:29:25,040 Speaker 1: New York and Cynthia Lammas from Riot, Wyoming, who wrote 505 00:29:25,080 --> 00:29:27,560 Speaker 1: the bill. Take a listen to what they had to say. 506 00:29:28,200 --> 00:29:31,520 Speaker 1: I don't think any bill can satisfy everyone, but I 507 00:29:31,520 --> 00:29:34,040 Speaker 1: think this is a really great start because our goals 508 00:29:34,040 --> 00:29:36,720 Speaker 1: are simple. We want to create safety and soundness in 509 00:29:36,760 --> 00:29:40,840 Speaker 1: the American market. We want transparency and accountability, and we 510 00:29:40,880 --> 00:29:44,640 Speaker 1: want to have consumer protections. And most industry players want 511 00:29:44,720 --> 00:29:46,440 Speaker 1: to have rules of the road so they know they 512 00:29:46,440 --> 00:29:48,239 Speaker 1: can count on it, so they know that they can 513 00:29:48,280 --> 00:29:51,120 Speaker 1: create a business plan and know that that's consistent with 514 00:29:51,120 --> 00:29:53,720 Speaker 1: what US laws are likely going to be. And so 515 00:29:53,920 --> 00:29:57,240 Speaker 1: what Sarah Loves and I worked on is a comprehensive 516 00:29:57,240 --> 00:30:00,959 Speaker 1: framework to give guidance about which digital assets will be 517 00:30:01,000 --> 00:30:04,360 Speaker 1: regulated through the CFTC, which will be regulated through the 518 00:30:04,560 --> 00:30:08,920 Speaker 1: sec UM, giving I r S jurisdiction overall, making sure 519 00:30:09,320 --> 00:30:12,000 Speaker 1: we have rules for stable coins and o c C. 520 00:30:12,560 --> 00:30:15,840 Speaker 1: So we're doing the work that it takes to create 521 00:30:15,920 --> 00:30:21,000 Speaker 1: that stability and create the essential transparency that this industry 522 00:30:21,080 --> 00:30:24,320 Speaker 1: wants and needs to thrive. Our goal is not to overregulate. 523 00:30:24,360 --> 00:30:27,840 Speaker 1: Our goal is to have exactly the right amount of 524 00:30:28,480 --> 00:30:32,000 Speaker 1: oversight so that the industry can actually thrive, grow, and 525 00:30:32,040 --> 00:30:35,240 Speaker 1: continue to innovate in the United States. On that note, 526 00:30:35,240 --> 00:30:38,120 Speaker 1: Senator Lamas, Wyoming is steeped in the history of the 527 00:30:38,160 --> 00:30:40,800 Speaker 1: wild West and a lot of investors are attracted to 528 00:30:40,800 --> 00:30:44,080 Speaker 1: crypto because it is unregulated. How do you strike the 529 00:30:44,160 --> 00:30:50,360 Speaker 1: right balance here, Well, we have decided to use the 530 00:30:50,600 --> 00:30:56,960 Speaker 1: existing regulatory structure for traditional assets UH and lay the 531 00:30:57,200 --> 00:31:01,920 Speaker 1: structure for digital assets on top of it. That's why 532 00:31:02,000 --> 00:31:06,600 Speaker 1: we're using the Commodity Futures Trading Commission UH, the SEC, 533 00:31:07,440 --> 00:31:13,200 Speaker 1: and UH the I R S UH in their traditional roles. So, 534 00:31:13,320 --> 00:31:17,440 Speaker 1: for example, bitcoin is clearly a commodity, so it will 535 00:31:17,480 --> 00:31:21,600 Speaker 1: fall under the Commodity Futures Trading Commission. So will the 536 00:31:21,640 --> 00:31:25,840 Speaker 1: spot market in the futures market, and Ethereum is almost 537 00:31:25,840 --> 00:31:29,160 Speaker 1: certainly a commodity, and there are few others that will 538 00:31:29,240 --> 00:31:33,719 Speaker 1: almost certainly be commodities, they will fall under the CFTC. 539 00:31:34,680 --> 00:31:37,800 Speaker 1: Then something that meets the Howie test, which is a 540 00:31:37,800 --> 00:31:42,760 Speaker 1: court based test for what constitutes a security, will put 541 00:31:42,800 --> 00:31:48,320 Speaker 1: those cryptocurrencies under the SEC, and the SEC has a 542 00:31:48,480 --> 00:31:54,320 Speaker 1: strong history of being good at disclosures and consumer protection, 543 00:31:54,920 --> 00:31:59,080 Speaker 1: so we believe we've found the right balance between these 544 00:31:59,080 --> 00:32:03,000 Speaker 1: two agencies. The vast majority of these in terms of 545 00:32:03,120 --> 00:32:07,800 Speaker 1: market share, will be under the Commodity Futures Trading Commission, 546 00:32:08,080 --> 00:32:13,120 Speaker 1: but the largest number of cryptocurrencies will probably fall under 547 00:32:13,160 --> 00:32:17,400 Speaker 1: the SEC. And yet there's no real broad agreement on 548 00:32:17,480 --> 00:32:22,840 Speaker 1: whether cryptocurrencies are commodities or security. Senator Jillibrand, I'm so curious, 549 00:32:22,840 --> 00:32:25,120 Speaker 1: which do you think our commodities? Which do you think 550 00:32:25,360 --> 00:32:28,600 Speaker 1: our securities? So I think Senator love Us just answer 551 00:32:28,680 --> 00:32:32,240 Speaker 1: that question perfectly. And the way we have the structure 552 00:32:32,320 --> 00:32:35,760 Speaker 1: this oversight is by purpose. What is the purpose of 553 00:32:35,800 --> 00:32:39,600 Speaker 1: your digital asset? Do you meet the TAWI test um? 554 00:32:39,640 --> 00:32:43,040 Speaker 1: Are you like a company that's offering a stock to 555 00:32:43,160 --> 00:32:45,440 Speaker 1: raise money for your company to fund your company? If 556 00:32:45,480 --> 00:32:48,240 Speaker 1: that's what you're doing with your digital asset, you are 557 00:32:48,280 --> 00:32:51,640 Speaker 1: there for a security. And so it is there an 558 00:32:51,640 --> 00:32:54,840 Speaker 1: issuer is the issue or giving you something of value? Um? 559 00:32:54,960 --> 00:32:57,760 Speaker 1: Is it something that's based on the managerial expertise of 560 00:32:57,800 --> 00:33:03,520 Speaker 1: the issuer. Those are all characteristics of securities, and so 561 00:33:03,600 --> 00:33:06,920 Speaker 1: it depends it's not the name cryptocurrency that decides where 562 00:33:06,960 --> 00:33:10,480 Speaker 1: you go. It's the purpose of the digital asset that 563 00:33:10,600 --> 00:33:13,560 Speaker 1: you are offering to the public for sale that's going 564 00:33:13,600 --> 00:33:16,800 Speaker 1: to affect who's your regulator. You know, it's wonderful to 565 00:33:16,920 --> 00:33:21,600 Speaker 1: see two people from different ends of Congress working together 566 00:33:21,880 --> 00:33:26,120 Speaker 1: and you found common ground on this issue of crypto. 567 00:33:26,360 --> 00:33:30,160 Speaker 1: Is there space in one of the most polarizing of debates, 568 00:33:30,200 --> 00:33:33,240 Speaker 1: the gun controlled debate, in which you two could collaborate 569 00:33:33,280 --> 00:33:38,200 Speaker 1: as well. Well, there's a bipartisan working group right now 570 00:33:38,240 --> 00:33:41,080 Speaker 1: that we're not part of. But yes, there is always 571 00:33:41,120 --> 00:33:44,160 Speaker 1: common ground, and that bipartisan working group right now is 572 00:33:44,240 --> 00:33:46,520 Speaker 1: figuring out where does it lie. Does it lie in 573 00:33:46,920 --> 00:33:50,400 Speaker 1: reforming some aspect of background checks, does it lie in 574 00:33:50,480 --> 00:33:53,800 Speaker 1: some aspect of red flag laws. Gun trafficking is an 575 00:33:53,840 --> 00:33:57,880 Speaker 1: area of common ground, always bipartisan, because it's just giving 576 00:33:57,920 --> 00:34:01,400 Speaker 1: law enforcement the ability to our state lines to find 577 00:34:02,160 --> 00:34:05,920 Speaker 1: gun traffickers who are by nature criminal networks, giving guns 578 00:34:05,960 --> 00:34:09,480 Speaker 1: directly to criminals. So those are areas where I suspect 579 00:34:09,480 --> 00:34:12,200 Speaker 1: there will be some common ground, but we are not 580 00:34:12,280 --> 00:34:15,160 Speaker 1: on that committee, and if they fail, then Senator Lamas 581 00:34:15,200 --> 00:34:17,480 Speaker 1: and I will certainly take it up. Senator Lamas. You 582 00:34:17,520 --> 00:34:21,000 Speaker 1: did talk earlier this week about the volume of calls 583 00:34:21,040 --> 00:34:23,319 Speaker 1: your office has gotten on gun violence and sort of 584 00:34:23,360 --> 00:34:26,399 Speaker 1: signaled you know that you were giving this additional consideration. 585 00:34:26,440 --> 00:34:29,920 Speaker 1: And I'm wondering where you stand on this new bipartisan 586 00:34:30,000 --> 00:34:33,640 Speaker 1: legislation now, just you know where's your head at. Well, 587 00:34:33,680 --> 00:34:36,560 Speaker 1: I haven't seen the legislation. The calls that I were 588 00:34:36,640 --> 00:34:40,239 Speaker 1: getting from people who want us to do something, we're 589 00:34:40,280 --> 00:34:43,000 Speaker 1: not specific about what they want us to do. They 590 00:34:43,040 --> 00:34:46,400 Speaker 1: just said it's time to do something. The calls I 591 00:34:46,520 --> 00:34:51,920 Speaker 1: was getting from people who are opposed to doing something 592 00:34:52,160 --> 00:34:56,399 Speaker 1: are specific to guns, because my state of Wyoming has 593 00:34:56,440 --> 00:34:59,480 Speaker 1: a strong gun culture. So for me, I'm going to 594 00:34:59,560 --> 00:35:04,120 Speaker 1: be looking at issues like juvenile expungement of records for 595 00:35:04,280 --> 00:35:07,799 Speaker 1: violent juvenile offenses, and I'm going to be looking at 596 00:35:08,000 --> 00:35:12,120 Speaker 1: mental health solutions. Um. I'm worried that there are going 597 00:35:12,160 --> 00:35:16,520 Speaker 1: to be a lot of um young people coming out 598 00:35:16,560 --> 00:35:19,520 Speaker 1: of the COVID lockdowns that spent a lot of time 599 00:35:20,480 --> 00:35:28,520 Speaker 1: on the internet viewing harmful websites that may trigger them 600 00:35:28,560 --> 00:35:33,120 Speaker 1: to be UM violent or act out in ways that 601 00:35:33,520 --> 00:35:36,799 Speaker 1: probably they would not have before we went into the lockdowns. 602 00:35:37,080 --> 00:35:38,960 Speaker 1: So those are the kind of things that worry me 603 00:35:39,080 --> 00:35:41,040 Speaker 1: the most. Those are the things that keep me out 604 00:35:41,120 --> 00:35:46,279 Speaker 1: at night. Senators cars and Jilly Brown and Synthi alumnus there. 605 00:35:46,320 --> 00:35:51,760 Speaker 1: You can catch that full interview at Bloomberg dot com. 606 00:35:51,760 --> 00:35:54,239 Speaker 1: The Biden administration is taking new steps to shore up 607 00:35:54,360 --> 00:35:57,720 Speaker 1: US cyber defenses in light of Russia's ongoing war on Ukraine. 608 00:35:57,840 --> 00:36:00,360 Speaker 1: The biggest cyber threats the hot topic of the weeks 609 00:36:00,680 --> 00:36:03,040 Speaker 1: r s a conference happening right now in San Francisco. 610 00:36:03,160 --> 00:36:05,440 Speaker 1: Crowd Strikes CEO and co founder George Kurtz was just 611 00:36:05,480 --> 00:36:08,239 Speaker 1: there and joins me now here in the studio. So 612 00:36:08,280 --> 00:36:12,919 Speaker 1: what strikes you as different about this conference than years past. Well, 613 00:36:13,000 --> 00:36:15,960 Speaker 1: certainly we're in person, which I think both vendors and 614 00:36:16,040 --> 00:36:18,399 Speaker 1: customers were really excited about. I think there's a really 615 00:36:18,440 --> 00:36:21,480 Speaker 1: strong interest in security. Um It's something that I've talked 616 00:36:21,480 --> 00:36:23,560 Speaker 1: about for a while. Even if we go into a 617 00:36:23,600 --> 00:36:27,200 Speaker 1: difficult macro background, security is still going to be a 618 00:36:27,200 --> 00:36:30,799 Speaker 1: top priority for boards and a top budgeted item UH 619 00:36:30,920 --> 00:36:33,799 Speaker 1: to keep companies safe. So it's encouraging. Obviously we're in 620 00:36:33,840 --> 00:36:36,800 Speaker 1: that industry, but we're also focused on helping customers and 621 00:36:36,840 --> 00:36:39,720 Speaker 1: consolidate their spen and I think that's been a big focus. 622 00:36:39,760 --> 00:36:42,920 Speaker 1: How do you consolidate spend in an area like security. Now, 623 00:36:43,000 --> 00:36:45,600 Speaker 1: they've been conflicting reports on the actual state of the 624 00:36:45,600 --> 00:36:49,400 Speaker 1: cyber threat landscape. For example, cyber ransomware attacks. Are they 625 00:36:49,480 --> 00:36:52,200 Speaker 1: up or are they down? Well, some of the dollar 626 00:36:52,239 --> 00:36:54,759 Speaker 1: amounts are down, and I think there's two reasons for that. 627 00:36:54,800 --> 00:36:57,600 Speaker 1: You've seen some movement in bitcoin right as it's as 628 00:36:57,600 --> 00:37:00,440 Speaker 1: it's crashed, and when you calculate all the sits down 629 00:37:00,480 --> 00:37:03,319 Speaker 1: a little bit. But the other pieces, um. When you 630 00:37:03,360 --> 00:37:06,400 Speaker 1: think about Ukraine and Russia and some of the cyber 631 00:37:06,600 --> 00:37:08,759 Speaker 1: crime e crime groups they used to coordinate. Now there's 632 00:37:08,760 --> 00:37:10,520 Speaker 1: not a lot of coordination between the groups, and some 633 00:37:10,560 --> 00:37:14,279 Speaker 1: of the groups have actually splintered and uh and fractured off. 634 00:37:14,360 --> 00:37:18,160 Speaker 1: So overall it's still a really robust e crime market. 635 00:37:18,320 --> 00:37:21,680 Speaker 1: Ransomware is one of the top threats of the day 636 00:37:21,920 --> 00:37:24,800 Speaker 1: and people are still paying big dollars for it. President 637 00:37:24,840 --> 00:37:29,360 Speaker 1: Biden have warned about these retaliatory potential cyber attacks from Russia, 638 00:37:29,400 --> 00:37:32,279 Speaker 1: but it doesn't seem like that has happened yet, has it. 639 00:37:33,120 --> 00:37:35,560 Speaker 1: Are we missing something? Well? I think what's important to 640 00:37:35,560 --> 00:37:38,760 Speaker 1: realize that Russia continually has access to lots of systems 641 00:37:38,760 --> 00:37:42,360 Speaker 1: around the globe. They're very capable um cyber adversary. But 642 00:37:42,400 --> 00:37:44,400 Speaker 1: it hasn't happened yet, right, I mean, it hasn't been 643 00:37:44,400 --> 00:37:46,799 Speaker 1: as bad as certainly the president well you know, and 644 00:37:46,840 --> 00:37:48,560 Speaker 1: I think that's what I'm trying to say. They have 645 00:37:48,600 --> 00:37:51,440 Speaker 1: access in lots of places, and once you start to 646 00:37:51,480 --> 00:37:55,200 Speaker 1: destroy things, then your access tends to get figured out right. 647 00:37:55,280 --> 00:37:57,680 Speaker 1: And what people have to realize that in in cyber 648 00:37:57,760 --> 00:38:00,160 Speaker 1: wards a one time you sweapon if if something it's 649 00:38:00,200 --> 00:38:02,880 Speaker 1: destructive is used, you can use it one time. The 650 00:38:02,920 --> 00:38:06,680 Speaker 1: other piece that's interesting, and it's a broader question, is 651 00:38:06,800 --> 00:38:10,319 Speaker 1: what a cyber attack, a destructive one, now constitute an 652 00:38:10,320 --> 00:38:13,040 Speaker 1: act of war? And I think just given the changing 653 00:38:13,040 --> 00:38:18,640 Speaker 1: geopolitical landscapes, it's unclear. There's also been criticisms about Biden's 654 00:38:18,719 --> 00:38:23,840 Speaker 1: approach to cybersecurity, you know, pushing more responsibility on private companies. 655 00:38:23,920 --> 00:38:26,239 Speaker 1: Kirsten Todd of SISA was also at r s A. 656 00:38:26,440 --> 00:38:28,440 Speaker 1: She was here on the show. Take a listen to 657 00:38:28,520 --> 00:38:32,360 Speaker 1: what she had to say. When we're talking about ransomware. 658 00:38:32,400 --> 00:38:34,759 Speaker 1: I think the challenge with this issue is that we've 659 00:38:34,800 --> 00:38:37,680 Speaker 1: created kind of a perverse structure. We in the United 660 00:38:37,719 --> 00:38:41,640 Speaker 1: States have actually created a market, a very thriving, strong 661 00:38:41,880 --> 00:38:45,280 Speaker 1: market in ransomware, where we now have companies that charge, 662 00:38:45,320 --> 00:38:48,160 Speaker 1: you know, six figures to go on retainer to negotiate 663 00:38:48,239 --> 00:38:52,960 Speaker 1: ransom to get information about malicious actors. What do you 664 00:38:53,000 --> 00:38:55,360 Speaker 1: make of that? Did we create our own problems? I 665 00:38:55,400 --> 00:38:58,319 Speaker 1: don't know. We created our own problems obviously when you 666 00:38:58,360 --> 00:39:01,400 Speaker 1: look at the amount of money that can be gained 667 00:39:01,440 --> 00:39:04,160 Speaker 1: from encrypting a system, I think the bad guys have 668 00:39:04,200 --> 00:39:07,120 Speaker 1: figured out that if you can make a three on 669 00:39:07,120 --> 00:39:09,080 Speaker 1: one system, you can make a lot more by taking 670 00:39:09,080 --> 00:39:11,719 Speaker 1: out an entire company. And it's just a function of 671 00:39:11,760 --> 00:39:15,759 Speaker 1: the complexity of the technology environment and the fact that 672 00:39:15,920 --> 00:39:19,160 Speaker 1: from a regulatory or maybe from a legal framework perspective, 673 00:39:19,160 --> 00:39:22,520 Speaker 1: it's very difficult to bring these thread actors to justice 674 00:39:22,560 --> 00:39:24,400 Speaker 1: because they're all over the place and a lot of 675 00:39:24,400 --> 00:39:26,200 Speaker 1: times you can't get to them. So there's big dollars 676 00:39:26,239 --> 00:39:28,279 Speaker 1: to be made in those areas. Speaking of dollars, crowd 677 00:39:28,360 --> 00:39:31,200 Speaker 1: strike share price has dropped significantly with the rest of 678 00:39:31,200 --> 00:39:35,239 Speaker 1: the market. What should investors be looking for over the 679 00:39:35,280 --> 00:39:37,319 Speaker 1: over the next six months and what do you have 680 00:39:37,360 --> 00:39:42,000 Speaker 1: to say to to folks who are maybe skeptical well, 681 00:39:42,000 --> 00:39:43,759 Speaker 1: I mean I can't forecast the market, but when you 682 00:39:43,800 --> 00:39:45,560 Speaker 1: look at our key one earnings and what we were 683 00:39:45,560 --> 00:39:49,399 Speaker 1: able to uh to display UM and we talked about 684 00:39:49,440 --> 00:39:52,480 Speaker 1: that last week. You look at the growth rate annual 685 00:39:52,520 --> 00:39:55,720 Speaker 1: recurring revenue almost two billion dollars in annual recurring revenue, 686 00:39:56,160 --> 00:39:59,400 Speaker 1: and that's combined an incredible growth rate at scale with 687 00:39:59,520 --> 00:40:02,840 Speaker 1: cash f generation, which is what investors are looking forty 688 00:40:03,480 --> 00:40:06,440 Speaker 1: free cash flow generation hundred fifty seven point five million 689 00:40:06,680 --> 00:40:09,320 Speaker 1: for the quarter. We think that's the right recipe and 690 00:40:09,400 --> 00:40:12,319 Speaker 1: that's what we're focused on executing and keeping our customers safe. 691 00:40:12,360 --> 00:40:15,120 Speaker 1: There are so many more cybersecurity companies that this year's 692 00:40:15,200 --> 00:40:17,479 Speaker 1: RSA than there were even last year, because so many 693 00:40:17,480 --> 00:40:20,960 Speaker 1: new companies have been funded. Are they all going to survive? 694 00:40:21,040 --> 00:40:24,359 Speaker 1: Are you worried about the future of some of these companies? Well, 695 00:40:24,440 --> 00:40:28,560 Speaker 1: I think security is a complicated landscape and not every company, 696 00:40:29,080 --> 00:40:32,160 Speaker 1: even ours, can handle everything in the security landscape in 697 00:40:32,239 --> 00:40:35,319 Speaker 1: terms of UM specific areas. That being said, a lot 698 00:40:35,320 --> 00:40:37,759 Speaker 1: of companies at r s A are features right, They're 699 00:40:37,760 --> 00:40:40,160 Speaker 1: not true companies or true platform companies, and a lot 700 00:40:40,160 --> 00:40:41,759 Speaker 1: of them won't be public. And when we think about 701 00:40:41,800 --> 00:40:44,400 Speaker 1: what's happening today. The public markets are locked up, so 702 00:40:44,480 --> 00:40:47,759 Speaker 1: you have a lot of private companies with high valuations 703 00:40:47,800 --> 00:40:49,839 Speaker 1: that don't really have an exit at this point. And 704 00:40:49,920 --> 00:40:52,319 Speaker 1: when you think about the public market valuations going down, 705 00:40:52,360 --> 00:40:55,520 Speaker 1: that's going to bleed off into the private markets. We've 706 00:40:55,560 --> 00:40:57,760 Speaker 1: seen layoffs at some of these companies, and in fact, 707 00:40:57,840 --> 00:40:59,960 Speaker 1: we think it's gonna be an opportunity for better hiring 708 00:41:00,160 --> 00:41:03,160 Speaker 1: because of just this lock up in the I p. 709 00:41:03,280 --> 00:41:05,640 Speaker 1: O market, And the second area is in the M 710 00:41:05,640 --> 00:41:07,160 Speaker 1: and A front. We think there's gonna be some great 711 00:41:07,160 --> 00:41:10,319 Speaker 1: opportunities out there in the future. Interesting crowd checks. CEO 712 00:41:10,400 --> 00:41:12,000 Speaker 1: and co founder George Kurt's good to see you in 713 00:41:12,120 --> 00:41:14,240 Speaker 1: here in person for the first time in a couple 714 00:41:14,280 --> 00:41:17,920 Speaker 1: of years. Thank you for stopping by. And that does 715 00:41:17,960 --> 00:41:20,200 Speaker 1: it for this edition of Bloomberg Technology. We're gonna be 716 00:41:20,200 --> 00:41:23,879 Speaker 1: back Tomorrow's got cutlerro Stockics will be with us. We'll 717 00:41:23,880 --> 00:41:26,680 Speaker 1: talk about that legal battle with Nike and a new 718 00:41:26,680 --> 00:41:29,920 Speaker 1: report about the rise of counterfeit luxury