Speaker 1: From the heart of where innovation, money and power collive
Speaker 1: in Silicon Valley and beyond. This is Bloomberg Technology with
Speaker 1: Emily jay I'm Emily Jang at Apple headquarters in Cupertino, California.
Speaker 1: This is Bloomberg Technology. We are coming to you live
Speaker 1: from the Worldwide Developers Conference, the much anticipated gathering of
Speaker 1: developers which kicks off today. The tech giant announcing new software,
Speaker 1: new chips, and even a couple of new math books.
Speaker 1: We're going to talk to analyst and developers about the
Speaker 1: key updates throughout the hour. Plus. Elon Musk threatens to
Speaker 1: end his deal to buy Twitter while he says the
Speaker 1: social network is quote awarding his information rights. Can Twitter
Speaker 1: actually seal the deal? We will discuss and Apple beats
Speaker 1: Twitter to an edit button. Back to Apple's Worldwide Developers Conference,
Speaker 1: where the company announced a slew of software updates, as
Speaker 1: well as that new M two chip which will power
Speaker 1: a new MacBook Air and MacBook Pro. Or Mark German,
Speaker 1: who of course covers Apple for US, has been across
Speaker 1: at all and of course, Mark, much of this you
Speaker 1: already reported, but I think there were a few new things.
Speaker 1: Let's start with this M to chip just how transformational
Speaker 1: will this chip actually be? So the M two chip
Speaker 1: is not a major leap. It is not very transformational Apple,
Speaker 1: since it's about eighteen percent faster than the M one. Now,
Speaker 1: this is the base model of the M two chip, right,
Speaker 1: so you'll see over time, you'll see an M two Ultra,
Speaker 1: You'll see an M two Pro and M two Max,
Speaker 1: maybe an M to Extreme at the very high end
Speaker 1: for a Mac Pro eventually. So this is just the
Speaker 1: beginning of the M two roadmap. They have to start somewhere.
Speaker 1: If you remember when they introduced the original M one November,
Speaker 1: that appeared first in the Mac Mini, the MacBook Air,
Speaker 1: in the thirteen inch MacBook Pro, which was also updated
Speaker 1: today with the M to chip. Well, what is transformational
Speaker 1: about today? Let's start with the software. Where do you
Speaker 1: think the most significant updates there are In terms of
Speaker 1: the software Two things really stood out. The lock screen
Speaker 1: on Io six teen. People have been asking iPhone user
Speaker 1: has been asking for years for this customized ability, the
Speaker 1: ability to personalize your iPhone right the iPhone very much
Speaker 1: from the very beginning. If you get these wallpapers, you
Speaker 1: can set an image, your font is gonna look like this,
Speaker 1: your home screen is gonna look like this, but they
Speaker 1: really have moved away from that, letting people really customize
Speaker 1: the day to day iPhone experience. So you're seeing that now.
Speaker 1: You saw a little bit of that with widgets over
Speaker 1: the last two years. Now you're seeing widgets on the
Speaker 1: lock screen, your ability to change the font, make more
Speaker 1: dynamic picture, different filters, and such. So that's very cool.
Speaker 1: The second thing on the iPad, you're getting this new
Speaker 1: feature called Stage Manager, which is a new multitasking interface
Speaker 1: for pro users, and it very much looks like what
Speaker 1: you would get when multitesting on a Mac. So window resizing,
Speaker 1: the ability to move windows around, operate four or five
Speaker 1: different applications at once. So that's a big deal there
Speaker 1: as well, and I'm looking forward to trying both of
Speaker 1: those new enhancements out. Well. I'm gonna tell you what
Speaker 1: I thought was the most transformational visability to edit text messages,
Speaker 1: even unsend text messages. I was pretty excited about this mark.
Speaker 1: Before we talk about it, I want to take a
Speaker 1: listen to Craig Federighi, the architect of Apple Software, what
Speaker 1: he had to say about this development. Have you ever
Speaker 1: sent a message only to immediately realize you didn't quite
Speaker 1: say what you intended. Well, no worries, because now you
Speaker 1: can edit any message you just sent, so embarrassing typos
Speaker 1: can be a thing of the past. Second, have you
Speaker 1: ever wished you'd never sent that message at all? Well,
Speaker 1: good news. Now you have undo send so you can
Speaker 1: immediately recall a recent misfire. That one got a lot
Speaker 1: of laughs Mark here at appold Park. But seriously, you
Speaker 1: made the point that Apple got to an edit button
Speaker 1: before Twitter. Did you know with the edit button? I
Speaker 1: think Twitter has been overthinking it for years. It's not
Speaker 1: a complex thing. Maybe in the engineering side it's complex,
Speaker 1: but I think Twitter's issues were more fundamental, and I
Speaker 1: think Apple basically just ignore, ignored the noise around it,
Speaker 1: and just did something simple. Right, you send a message,
Speaker 1: you call gabe babe, or you call the wrong person
Speaker 1: Lamb chops to use their examples. Right, You're able to
Speaker 1: just tweak that and you get a little bubble there
Speaker 1: that says it was edited and you move on. No biggie. Right.
Speaker 1: But these features have been long requested. Actually, I think
Speaker 1: there's one feature that people have been clamoring for more
Speaker 1: than an on sender and edit button, and that's the
Speaker 1: ability to mark a message as on red. You know
Speaker 1: how you can in your email if you want to
Speaker 1: deal with the message later if you're ready read, you
Speaker 1: just tag it as unread. Well, now you can finally
Speaker 1: do that in your messages list. So I'm looking forward
Speaker 1: to that. It's gonna help me reply to people more quickly. Absolutely,
Speaker 1: I'm excited about that one too. Okay, Bloomberg's marker man Um.
Speaker 1: We'll have to Bloomberg dot com to check out more
Speaker 1: of MARS reporting. Thank you. I want to talk more
Speaker 1: about these big announcements. There were so much more. Caroline
Speaker 1: and milanais now of creative strategies joining me here on
Speaker 1: the set here at Apple Park. Um, let's talk a
Speaker 1: little bit about the Apple Pay Later feature, because this
Speaker 1: could be pretty disruptive in the world of fintech and
Speaker 1: this movement from the physical wallet to an Apple wallet.
Speaker 1: What did you make of the significance of this announcement.
Speaker 1: I think the core of it is that is going
Speaker 1: to be so much easier for people that use Apple
Speaker 1: Pay to just use that as a default versus using
Speaker 1: the plethora of other options that you have in the market.
Speaker 1: It's about integration, is about taking away every little bit
Speaker 1: of friction that you have in the experience. And to
Speaker 1: be honest with you, something that I was expecting Apple
Speaker 1: to do sooner or later is you know, we've seen
Speaker 1: it with Apple Card than Apple Pay, uh, developing more
Speaker 1: and more in becoming useful for small businesses and more
Speaker 1: way to use it for consumers. And it's something that
Speaker 1: you know, Mark German had actually reported was coming, and
Speaker 1: today of course wasn't big unveiled. But isn't it kind
Speaker 1: of a big deal if anywhere they take Apple Pay
Speaker 1: you can pay for it later. It is you don't
Speaker 1: have to put all the money down right away. Absolutely,
Speaker 1: and even if it's just a six weeks window, so
Speaker 1: it's not really a Lumpiers is roughly what you do
Speaker 1: with the credit card payment, and so for people that
Speaker 1: maybe have more problems getting credit checked for credit card,
Speaker 1: this could be a better way to do it. Now.
Speaker 1: One thing we didn't see today it was really any
Speaker 1: clues about augmented and virtual reality. And of course Bloomberg
Speaker 1: Mark has reported this big a RVR headset is coming.
Speaker 1: There was a thought we might get some clues as
Speaker 1: to what Apple's vision here is really going to be.
Speaker 1: And I was kind of stretching forward and some of
Speaker 1: those videos, I was like, is that a sign um?
Speaker 1: But we didn't really see that. I mean, what do
Speaker 1: you make of the fact that they're just not ready
Speaker 1: to show us. I think there are a couple of things.
Speaker 1: One is that nobody's really rushing to get you know,
Speaker 1: hands and experiences on are from a consumer perspective, so
Speaker 1: the market isn't really screaming for one. And the other
Speaker 1: one is that for Apple, there's a lot of opportunity
Speaker 1: in the market today on the map and the iPod
Speaker 1: as it is, and so I think that it's taking
Speaker 1: advantage of what the really the longing fruit of now
Speaker 1: are versus trying to maybe get out there too early.
Speaker 1: So um, you know, Mark Arman just said that he
Speaker 1: didn't he doesn't think the chip is necessarily going to
Speaker 1: be that transformation on when it comes to the hardware.
Speaker 1: What do you think? I think what the silicon does
Speaker 1: showing that Apple is way more in control of their
Speaker 1: own destiny than they were before. And so even the
Speaker 1: fact that we've seen the math Book pro uh thirteen
Speaker 1: inch coming out now so quickly with d M two,
Speaker 1: after we've seen a release of d M one not
Speaker 1: just a few months ago, shows that the ace of
Speaker 1: the innovation broke. From a hardware perspective, and software can
Speaker 1: be more rapid than it was before. And isn't it
Speaker 1: kind of a shot across the bow and Intel and
Speaker 1: and and d It's putting more pressure in the market,
Speaker 1: and I think that's good at the end of the
Speaker 1: day for consumers. So here's a good question. We are
Speaker 1: going into very tough economic times. You just you know,
Speaker 1: Elon Musk saying he has a super bad feeling about
Speaker 1: the economy, you know, laying off ten percent of staff,
Speaker 1: Jamie Diamonds saying we're in for an economic hurricane. Are
Speaker 1: people going to be spending on new devices right now?
Speaker 1: And we're expecting a slew of new Apple devices in
Speaker 1: the fall when they can't afford gas and groceries. So,
Speaker 1: from from an iPhone perspective, you've always seen across all
Speaker 1: the recessions that we've had, the mobile piece always staying
Speaker 1: strong because it's so critical to what consumers do throughout
Speaker 1: their day. And I think that isn't more so today
Speaker 1: than it was maybe in the recession of two thousand,
Speaker 1: two thousand and eight. So the phone part, I think
Speaker 1: is pretty considered extent for other devices, and maybe that's
Speaker 1: where the reality has you know, the R said, would
Speaker 1: it be more of a stretch because we still don't
Speaker 1: know what we want to do with those kind of
Speaker 1: devices or the return of investment in At the end
Speaker 1: of the day, our life is more digital today than
Speaker 1: he has ever been. And if there's something that we've
Speaker 1: seen during COVID is the need for more computing power.
Speaker 1: All right, Kylie Milani see creative strategy. Is good to
Speaker 1: see you here in person, same here, Thank you so much,
Speaker 1: Thank you for joining us. All right, Coming up, Elon
Speaker 1: Musk threatening the deal could be off with Twitter. He
Speaker 1: says a social networking service isn't serving up enough information
Speaker 1: on spam and fake accounts. Will have the very latest next,
Speaker 1: this is Bloomberg. Elon Musk has introduced another twist into
Speaker 1: the Twitter takeover saga. Musk says he believes Twitter is
Speaker 1: breaching its Murderer agreement by not needing his demands for
Speaker 1: information about spam and fake accounts. Bloomberg Sarah Fryer joins
Speaker 1: us now. Sarah. Of course, Twitter responded today saying they
Speaker 1: are providing that information. What's the real story here? I mean,
Speaker 1: I think the real stories. You take a step back,
Speaker 1: and it looks like Elon Musk is having the worst
Speaker 1: case of buyer's remorse on this Twitter deal. And that's
Speaker 1: certainly something that you can have, right. Um, you know,
Speaker 1: these M and A deals are are pretty iron clad
Speaker 1: at how they work out, and and Elon Must can't
Speaker 1: simply no walk away or renegotiated now that the deal
Speaker 1: has been aked, And so I think he's he's trying
Speaker 1: to figure out a path here. Um. You know, I
Speaker 1: can't speak for him, right Nobody knows what exactly is
Speaker 1: going on in Elon Must's head um, but he certainly
Speaker 1: seems to be creating a paper trail of some sorts
Speaker 1: about the the concern he has over the bot numbers
Speaker 1: as the a way to try to maybe even bring
Speaker 1: Twitter back to the negotiating table. Maybe he wants a
Speaker 1: lower price, maybe he wants to get out of it entirely.
Speaker 1: But you know, Twitter is holding firm and saying we
Speaker 1: think that feels the best thing for our shareholders and
Speaker 1: we're going to see it through. So where was the
Speaker 1: actually cost? What would the cost of walking away from
Speaker 1: the dealb for Elon Musk isn't it just a one
Speaker 1: billion dollar breakup fee, and then he can sort of,
Speaker 1: you know, make you know, bad feelings about the deal
Speaker 1: go away with an emoji filled tweet. I don't think
Speaker 1: it's as simple as that, No, I mean, I think
Speaker 1: that he needs in order to do the breakup, see,
Speaker 1: it has to prove that there is there's something matually
Speaker 1: wrong here. And and I think that it's gonna be
Speaker 1: hard to say that this this box issue is it.
Speaker 1: Because Elon Musk has been aware of this issue. He
Speaker 1: even spoke about it initially as a way he would
Speaker 1: add value to Twitter is by getting rid of the box.
Speaker 1: Twitter has been consistent in reporting its percentage of bots
Speaker 1: for years, and so it's going to it's gonna take
Speaker 1: a lot for prim to be able to claim that
Speaker 1: this is the thing that I mean, certainly you can claim,
Speaker 1: but to prove that this is the thing that that
Speaker 1: is not um, you know, making the steal everything that
Speaker 1: he thought it was in the beginning. Interesting. Well, I'm
Speaker 1: sure there are more twist and terms to come. Sarah,
Speaker 1: thank you. I want to stick with this story and
Speaker 1: bring in Dan Ives of web Bush, Securities of corst
Speaker 1: covers Twitter and also Apple um which we're gonna talk
Speaker 1: about in a moment, but first on this Twitter thing, Dan,
Speaker 1: do you think this is just a very public case
Speaker 1: of buyer's remorse here for Elon Musk. Okay, damn, we've
Speaker 1: talked about. I think he got cold feet. You know,
Speaker 1: the body issue clearly is almost create a story of
Speaker 1: its own, and this is him trying to walk away
Speaker 1: from the deal or read the goo sheet a much
Speaker 1: lower price. And I think the the Twitter's board backs
Speaker 1: again the wall because ultimately they could fight this in court,
Speaker 1: which will be very long and drawn out. At the
Speaker 1: same time, there'll be a standalone company, but obviously a
Speaker 1: bot issue that would really be a black cloud over
Speaker 1: the stock. And I think that that's really right now
Speaker 1: the quagmire for the board, and I think for Musk
Speaker 1: it's really the sort of a poker move. What the
Speaker 1: next step is. How big do you think the bot
Speaker 1: issue really is for Twitter? I mean, we had a
Speaker 1: former Twitter executive on the show here who said, it's
Speaker 1: really not that big a problem at all. Well, I
Speaker 1: think that's the the bean, right is a five is
Speaker 1: in more than twenty, but whatever the number is, And
Speaker 1: I think, look, the reality is is that Musk just
Speaker 1: given the situation, I think it definitely changes tune, right,
Speaker 1: I mean he's looking, you know, for I want to
Speaker 1: be calling this side this being the steepgoat, but I
Speaker 1: think obviously it's cascade into something. Either he doesn't want
Speaker 1: to do the deal or just given the market dynamics
Speaker 1: what we've seen, especially with Tesla stock and now you know,
Speaker 1: we this really starts to become a spider web. How
Speaker 1: does he get out of it? This is clearly the
Speaker 1: first step shot across the bout Twitter's board. Is Kno
Speaker 1: going to back down? Then? Is this the renegotiations behind
Speaker 1: closed doors, you know? Or do they somehow come out
Speaker 1: with some sort of due diligence that would really deem
Speaker 1: this in terms of the body issue, you know, one
Speaker 1: way or another. Who's correct? Now? What do you make
Speaker 1: of Apple getting to an edit button before Twitter? Look,
Speaker 1: I think mustard made me taken notice now, but look realistic,
Speaker 1: I think it, she pointed out. I think it just
Speaker 1: also shows apples listen to developers, and I think from
Speaker 1: a developer perspective what we saw with the iOS sixteen,
Speaker 1: they're they're listening to what the developers listened to what
Speaker 1: consumers want and I think from a software perspective, it
Speaker 1: shows that's the hearts and lungs of the Apple story
Speaker 1: and it's a big part along with obviously that the
Speaker 1: golden install base and what we see on iPhones as
Speaker 1: well as the overall ecosystem. That's why Apple is where
Speaker 1: it is. The other thing I would just point out
Speaker 1: they're introducing products at a point of supply change, just
Speaker 1: navigate massive headwinds. Just shows that distribution as well as
Speaker 1: or in his own chips. Absolutely, we weren't quite sure
Speaker 1: we'd see this m to chip and new MacBook airmac
Speaker 1: Book Pro because of some of those supply chain issues,
Speaker 1: but indeed we did. I actually got to to check
Speaker 1: out the new products myself. UM. I want to talk
Speaker 1: about another development here and that is with family Sharing,
Speaker 1: And as always with these Apple updates at WWDC, it's
Speaker 1: Apple sort of nudging us and trying to move us, um,
Speaker 1: you know, towards the technology they believe is going to
Speaker 1: be the future. Take a listen to this on stage
Speaker 1: about this new ability to share, for example, your I
Speaker 1: photo library with someone else. With family Sharing, you can
Speaker 1: share your favorite purchases and subscriptions with up to five
Speaker 1: of your family members including Apple Music, iCloud plus Apple
Speaker 1: One and much more. Everyone gets personalized access to their
Speaker 1: favorite content without having to buy their own subscriptions or
Speaker 1: share an account. It's interesting down we're not just seeing
Speaker 1: Apple trying to make all of our own devices more
Speaker 1: connected to each other, but our device is more connected
Speaker 1: to the devices of other people, for example, in our family.
Speaker 1: What's the significance of that. I think it just speaks
Speaker 1: to an unparalleled ecosystem, and they're just trying to get
Speaker 1: further and further into that from both the services as
Speaker 1: well as device perspectively. And I think that's what's really
Speaker 1: happening here is they're doubling down on privacy, and I
Speaker 1: think you show that across the board in terms of
Speaker 1: the presentations, but just more interconnected, more services, more ultimately
Speaker 1: family sharing from pictures to services to others, and I
Speaker 1: think that's really the goal here because Apples right now
Speaker 1: put an iron fence around their installed base, and I
Speaker 1: think that's what this really speaks to as they continue
Speaker 1: introduced new products. And the one thing I just point
Speaker 1: out to five million of a billion iPhones have not
Speaker 1: upgrade their phones in the last three and a half year,
Speaker 1: so I think it just shows the drum roll di
Speaker 1: iPhone for two. Now. Apple shares did take a leg
Speaker 1: down last week on the back of that Morgan Stanley
Speaker 1: report about a potential slowing of app store sales growth.
Speaker 1: How concerned are you about that? And just how how
Speaker 1: many consumers are really going to upgrade their devices right
Speaker 1: now in a difficult macroeconomic environment. Look, I mean I
Speaker 1: just saw with with that report, as well as Snap
Speaker 1: news or any sort of Microsoft ffex, the knee jerk reaction,
Speaker 1: any negative news is going to be exacerbating this market.
Speaker 1: When it comes to Apple, if I read one month
Speaker 1: of the App Store, I mean I think that sometimes
Speaker 1: that's not as good a BRAM. And when I look
Speaker 1: at the broader services, which is on pace to be
Speaker 1: a hundred billion year as we go into next year,
Speaker 1: and I think it's as far as to the trees
Speaker 1: that they could have some softness here and there, but overall,
Speaker 1: I think that's worth one point you one point five trillion,
Speaker 1: And to your point terms just a broader mac or
Speaker 1: what we're seeing here around the edges, they'll clearly see
Speaker 1: it softening. But what's beaked into the stock. And I
Speaker 1: think most investors believe numbers are are coming down for
Speaker 1: next year. So I think what starts to happen is
Speaker 1: stock beats in more and more bad news. But I
Speaker 1: still believe it's an underestimated upgrade cycle. All right, Dannys
Speaker 1: web Bush Security is always good to have you, Dan,
Speaker 1: Thank you. Another story we continue to watch. According to
Speaker 1: Wall Street Journal, Chinese regulators are preparing to wrap up
Speaker 1: their investigation of Deity and restore its main apps to
Speaker 1: mobile store as a report also saying the right healing
Speaker 1: Giant will face a relatively large five Welcome back to
Speaker 1: Boomore Technology and Emily Chang in Cupertino, California, live from
Speaker 1: Apple's wide Developers Conference and the keyword being developer. Hundreds
Speaker 1: of them here this week to learn more about Apple
Speaker 1: key updates and of course, millions taking part in this event.
Speaker 1: Around the world, we saw a redesigned MacBook Air, MacBook
Speaker 1: Pro with the m to chip, along with upgrades to
Speaker 1: the iPad and Apple Watch, as well a Safari and
Speaker 1: a shift away from passwords. I'm joined now by Jess Wulf.
Speaker 1: She is the CEO and chairwoman of Rebble Girls, a
Speaker 1: multi platform empowerment brand with the mission of inspiring the
Speaker 1: next generation of girls, and you guys are actually finalists
Speaker 1: for the Apple Design Award. What exactly does that mean?
Speaker 1: We are, We're thrilled, congratulations. You know, what do you
Speaker 1: think Apple sees in the design? So so our app,
Speaker 1: Throuble Girls app is a finalist for the Apple Design
Speaker 1: Word and Social Impact. There are six categories of awards
Speaker 1: and we are one of the finalists for them, and
Speaker 1: it's really around the design, the intentionality behind the app
Speaker 1: and what we're doing. We are an empowerment brand for girls.
Speaker 1: Where a storytelling company. We tell the stories of six
Speaker 1: hundred and fifty women so far across history, geography, field
Speaker 1: of excellence, all about inspiring the next generation of girls.
Speaker 1: And so when Apple is talking to you you know about
Speaker 1: apps and what apps make impact, the impact that we're
Speaker 1: having on girls lives and our commitment to diversity and
Speaker 1: representation and authentic storytelling Israeli front and center. How can
Speaker 1: technology help you tell the I mean, you know, tell
Speaker 1: that story. I mean, gosh, we've been trying to inspire
Speaker 1: girls for for generations and you know we still face
Speaker 1: um a lot of challenges. What is it about technology
Speaker 1: that can help well? Storytelling? Is what matters. So girls
Speaker 1: starting at the age of six start losing confidence and
Speaker 1: they start thinking they're less smart and less capable than boys.
Speaker 1: So how do we tell girls more stories that increase
Speaker 1: their confidence. So we started in books, we sold eight
Speaker 1: million books, but then we went to audio and we
Speaker 1: went to digital, and so technology can increase access to
Speaker 1: stories and all kinds of stories, and we can inspire
Speaker 1: more girls that way. Now, when it comes to your
Speaker 1: company and obviously the developers at your company, what is
Speaker 1: it about a w W d C that's so significant?
Speaker 1: I mean, I'm sure you know. Are you looking here
Speaker 1: to see what Apple to you of the future is
Speaker 1: and trying to figure out how you can capitalize on that. Well,
Speaker 1: Apple has an amazingly huge ecosystem of audience and developers,
Speaker 1: and we've had a wonderful relationship both on the podcast
Speaker 1: side of things and the app side of things with Apple.
Speaker 1: So we're here today for the awards ceremony and to
Speaker 1: see what the future is and how we can be,
Speaker 1: you know, at the front of the future for storytelling
Speaker 1: for girls. So we were hoping to hear some a
Speaker 1: r VR updates, which we didn't get there. We thought
Speaker 1: there might be some clues. You know, we believe there's
Speaker 1: a headset coming and that could be the next big thing.
Speaker 1: Is that something that you were hoping for? I mean,
Speaker 1: I imagine the ability to tell some of those stories
Speaker 1: and augmented in virtual reality could potentially be very powerful.
Speaker 1: Absolutely so. Right now we're building an immersive online offline
Speaker 1: an ecosystem for girls who are integrating our books and
Speaker 1: our audio stories with our apps. So you can scan
Speaker 1: a QR code on a book and it takes you
Speaker 1: to the expanded audio story on the app. At some
Speaker 1: point in the future, you can imagine also living and
Speaker 1: seeing these stories in a R and B R. What's
Speaker 1: your take on the controversy around the App store the
Speaker 1: commissions that it takes. Do you believe that it's fair? Well,
Speaker 1: as a small business, less is more for us, But really,
Speaker 1: I mean, there is a huge controversy around that, and
Speaker 1: I don't I wonder if does that at all, you know,
Speaker 1: make you want to develop for other platforms or no.
Speaker 1: The Apple platform is so valuable and it's worth the
Speaker 1: rent essentially that you pay to use it. The Apple
Speaker 1: platform is incredibly valuable and they bring an audience and
Speaker 1: they support their developers and that is worth paying a
Speaker 1: premium for bigger picture. Back to your mission, there's been
Speaker 1: this concern about women and girls potentially backsliding in the pandemic.
Speaker 1: What's your view on that. Have we lost progress over
Speaker 1: the last couple of years? Absolutely? Absolutely. You see it
Speaker 1: across the board. You see it what's happening in schools
Speaker 1: with kids being behind. You see women dropping out of
Speaker 1: the workforce. Last year, only two ad venture funding went
Speaker 1: to women, which was even lower than the year before.
Speaker 1: I think it's absolutely time for us to step up
Speaker 1: and do more for girls, for women to advance society.
Speaker 1: What's the emma, mom? What's the secret when my daughter
Speaker 1: turns six? What should I do differently? Well, you should
Speaker 1: read a Rebel Girls stories for one. I have a
Speaker 1: few I have I love to hear that I love that.
Speaker 1: Help her develop her confidence. Find the thing that makes
Speaker 1: her really tick and lean into that, right, the thing
Speaker 1: that makes her smile, whether it's sports or music or
Speaker 1: math or bugs or whatever. Bring that out in her,
Speaker 1: Encourage that, encourage her to build her confidence in that,
Speaker 1: and from there she can go on and become an
Speaker 1: amazing human. Right Chess Well, CEO of Rebel Girls, thank
Speaker 1: you so much for for blazing that trail and helping
Speaker 1: to tell those stories. Thanks, thank you for joining us.
Speaker 1: All right, big updates to the Apple wallet and the
Speaker 1: ability to buy anything anywhere they accept Apple Pay in
Speaker 1: four supposedly very easy installments. How much could this shake
Speaker 1: up the fintech world? That is next? This is Bloomberg.
Speaker 1: It is time now for our crypto report and Bloomer
Speaker 1: Shanelli Bossick with me. Now, Shanelli, we're seeing a bit
Speaker 1: of a rebound in bitcoin. What's driving that? Yeah, something
Speaker 1: that's interesting is it's not just a little rebound. It's
Speaker 1: more than a five cent rebound that you saw over
Speaker 1: the twenty four hour period. Bitcoin has been rising since
Speaker 1: a drop off late last week, back now over that level.
Speaker 1: Do you have it? Abo thirty one thousand, six hundred nearly?
Speaker 1: But listen, something interesting about this too is that it's
Speaker 1: also driving back up prices on bitcoin related stocks Bitcoin
Speaker 1: trades seven. However, the stock market being open helps some
Speaker 1: stocks regain some of the losses that they had seen
Speaker 1: last week. I think the likes of coin Base, which
Speaker 1: had risen more today, Riot blockchain micro strategy. Something I
Speaker 1: want to point out Emily, though, is that even though
Speaker 1: some of those stocks saw a bit of a boost
Speaker 1: today with that five percent rise in bitcoin, those stocks
Speaker 1: hadn't even steeper drop off on Friday. While Bitcoin dropped
Speaker 1: about two on Friday. You saw an even steeper drop
Speaker 1: in those stocks. So question here about how exposed a
Speaker 1: lot of companies are as. Some exchange volumes show much
Speaker 1: lighter volumes this year than they did the year prior. Shannali,
Speaker 1: is there still pessimism after this most recent rallying? Yeah,
Speaker 1: something interesting about that. I look at what For example,
Speaker 1: Lee Drogan over at Dark Killer Capital, I was saying
Speaker 1: on line today that he wouldn't be surprised that the
Speaker 1: cryptoconference curse continues with consensus and that the market gets
Speaker 1: slaughtered late next week for another leg down. Just earlier
Speaker 1: today I was with another fund manager that said that
Speaker 1: they are calculating how long a crypto could really last?
Speaker 1: Can it last not just another couple of months, but
Speaker 1: could it last a couple of years? That will be
Speaker 1: the discussion moving forward, and what happens should we see
Speaker 1: such a sustained downturn? All right, Shanali, thanks so much.
Speaker 1: I want to welcome Bloomberg Intelligence is Julie Shari l
Speaker 1: now to talk about some of the developments when it
Speaker 1: comes to fintech and Apple. But first of all, Julie,
Speaker 1: should we be should we be waiting for Apple's crypto play?
Speaker 1: I guess the sense of urgency is a little bit
Speaker 1: off for them now these days with the prices being down.
Speaker 1: Nobody who does hold hold crypto right now and wann't
Speaker 1: necessarily use it to buy things given how it's devalued um.
Speaker 1: But crypto payments down the road will definitely be interesting
Speaker 1: and I think fits Apple to be a player. There
Speaker 1: still a really small market about six billion dollars last
Speaker 1: year made in crypto payments to merchants from consumers, so
Speaker 1: still not a huge market. Put an opportunity down the road.
Speaker 1: So let's talk about what Apple is doing, and that
Speaker 1: is Apple pay Later announcing this ability to pay later
Speaker 1: for you know, anything you buy via Apple pay in
Speaker 1: four installments. Take a listen to what they had to
Speaker 1: say about it. Apple pay later lets you split the
Speaker 1: cost of an Apple pay purchase into four equal payments
Speaker 1: spread over six weeks, with zero interest and no fees
Speaker 1: of any kind. And Apple pay Later is available everywhere
Speaker 1: Apple Pay is accepted in apps and online so Julie,
Speaker 1: this is taking on companies like a firm and Klarna
Speaker 1: and Block which bought after pay. How big a market
Speaker 1: do you think this could be for Apple and the
Speaker 1: buying appay later mark. It is quite large, So it's
Speaker 1: a great opportunity. Lots of consumer demand for this new
Speaker 1: way to pay. The question is how many how many
Speaker 1: more players right are going to get involved? And we
Speaker 1: think that answer is a lot. We think that by
Speaker 1: now pay Later essentially is going to be table stakes
Speaker 1: when it comes to making payments. Everyone and anyone is
Speaker 1: going to offer it online and now increasingly in store,
Speaker 1: so important move for Apple. They should be there. It's
Speaker 1: what's what consumers want. Merchants like it because it helps
Speaker 1: to improve cart conversion. Um, they should be there. But
Speaker 1: pretty soon we're going to see by now pay later
Speaker 1: options on all of the credit cards, um, and all
Speaker 1: of the debit cards from our banks and so on
Speaker 1: that we're used to carrying. So it's going to be
Speaker 1: a matter of which which one do you want to choose?
Speaker 1: The all Cappa leader. How much does it matter the
Speaker 1: partnerships that Apple is able to make. I think of
Speaker 1: an affirm and the partnership they have with Spotify and
Speaker 1: an Amazon and you look got Amazon, and you wonder
Speaker 1: can too big tech companies get it together here to
Speaker 1: play nice in a field like this, do they need
Speaker 1: to strike massive partnerships to succeed. Partnerships with merchants are important,
Speaker 1: but they're especially important for those pure play, emerging buy out,
Speaker 1: pay later companies like a firm and after paying Klarna,
Speaker 1: because they had to put themselves on the map, right,
Speaker 1: they had to earn the trust of consumers, and by
Speaker 1: being on a merchants website, you helps you earn that trust.
Speaker 1: Apple I think already generally has that. They already have
Speaker 1: millions of merchants on their platform who are accepting Apple Pay.
Speaker 1: So it's not too high of a hurdle for those
Speaker 1: merchants to now um continue to offer after pay sorry
Speaker 1: Apple Pay, And if you haven't, then now you will
Speaker 1: because you want that access to buy now, pay later.
Speaker 1: What we see from merchants is they're willing to put
Speaker 1: almost any payment option on their websites um and increasingly
Speaker 1: at the point of sale to get a consumer to
Speaker 1: make that payments apples in good shape. Julia's Julie. There's
Speaker 1: been some skepticism about these buy now Pay later services.
Speaker 1: You've got regulators taking a look. Are there any negative
Speaker 1: consequences as an individual to just saying, hey, I'm gonna
Speaker 1: pay in four installments, no late phase, no interest, But
Speaker 1: is there a downside for me? So for the consumer,
Speaker 1: it is it's just a much easier way to pay
Speaker 1: because you can spread things out a little bit. But
Speaker 1: I'll spreading them out too much that you potentially lose
Speaker 1: track or fall into into into trouble getting over extended.
Speaker 1: Where the risk comes in is if you take on
Speaker 1: too many of these small loans, right, and you see
Speaker 1: that in the next two weeks, for the next four weeks,
Speaker 1: all of a sudden, you have a number of installments
Speaker 1: coming do and that gets hard to manage for the
Speaker 1: the offer. The providers of buy now Pay later, right,
Speaker 1: they have the risk. I may know how much installment
Speaker 1: credit you have with me, but I may not know
Speaker 1: how much you have with two or three other providers
Speaker 1: of of installment credit um and that's where the visibility
Speaker 1: can come into play and cause some problems. I think
Speaker 1: it's an area that where Apple is pretty well situated though,
Speaker 1: because they have experience with the Apple card right already
Speaker 1: making credit decisions. And most importantly, they have this huge
Speaker 1: base of a billion users. They see their transactions, um,
Speaker 1: they see what they're doing on a regular basis through
Speaker 1: Apple Pay. Um, they can get comfortable with their financial
Speaker 1: sort of give and take over the course of the
Speaker 1: month that way, and can make better decisions in granting
Speaker 1: installment credit to those users. All right, Julie Shariah Bloomberg Intelligence,
Speaker 1: along with our own Sinai Boss, thank you both. Welcome
Speaker 1: back to a special edition of Bloomberg Technology at Apple
Speaker 1: Park for WWDC in Cubercino, California. I'm joined out by
Speaker 1: Babo John All, the founder and chief analysts and president
Speaker 1: of Technolysis Research. So obviously a lot to talk about today.
Speaker 1: What struck you as the most significant of everything that
Speaker 1: we saw Apple unveil? You know, I think the most
Speaker 1: interesting thing was actually something that really is going to
Speaker 1: get talked about, and that is the fact that Apple
Speaker 1: is working with industry organizations for things like the Matter
Speaker 1: smart home standard as well as for password lists. And
Speaker 1: I know those things are going to impact us later,
Speaker 1: but they signal an Apple that it's willing to play
Speaker 1: with other people, and that's not something we've seen a
Speaker 1: lot of Apples. So let's talk about password list first.
Speaker 1: I can't tell you how many times I've had to
Speaker 1: change my eye Cloud passward because I forget, because I
Speaker 1: just can't go back to it that often. For example.
Speaker 1: You know what is Apple doing here and why is
Speaker 1: it so significant? Well, what they're doing is they're working
Speaker 1: with this organization called the fight A Alliance, and it
Speaker 1: happens to have Microsoft and Google and all the big
Speaker 1: players in there, and they're all working towards the ability
Speaker 1: to use biometrics uh to get into a system, but
Speaker 1: more importantly, to be able to save that and use
Speaker 1: it across multiple devices, multiple operating systems, multiple websites. So
Speaker 1: it becomes like a digital identity that you can use
Speaker 1: as a mechanism for getting in. And that's a huge
Speaker 1: step forward. And let's talk about matter and the home.
Speaker 1: I'm glad you mentioned that because we haven't really gotten
Speaker 1: to the smart home yet. You know, the criticism is
Speaker 1: that it's just taking so long to get these smart
Speaker 1: home technologies to really go mainstream. How many people are
Speaker 1: actually taking advantage of it? Well, and that's the problem,
Speaker 1: right because and you could argue, well, is this a
Speaker 1: reflection of home Kit really not really doing what people
Speaker 1: thought it would. It is a little bit, but it's
Speaker 1: again the bigger issue is when it comes to smart home,
Speaker 1: Apple recognized they needed to play with the other guys,
Speaker 1: They needed to play with Google, they needed to play
Speaker 1: with Amazon and allow all of these devices to interact.
Speaker 1: And because they're doing that, that makes things significantly easier
Speaker 1: for people to pull us all together. Again, it's going
Speaker 1: to take a little while before we get all the benefits,
Speaker 1: but the fact that Apple is willing to do that,
Speaker 1: I think is reflective of something very different from them.
Speaker 1: You also have Apple trying to take on more real
Speaker 1: estate on the dashboard in your car. Will they succeed?
Speaker 1: So Car Play again, if we're going to talk long
Speaker 1: term strategic impact, that car Play announcement is huge. The
Speaker 1: question will be, you know, how much are the car
Speaker 1: makers going to be willing to do that? And simple
Speaker 1: things like Hey, when I turn the car on, whose
Speaker 1: logo do I see? And who who do I interact with?
Speaker 1: Because this has been the concern that the car makers
Speaker 1: have had with using Google or Apple, like, Hey, we
Speaker 1: don't want to lose our identity. We want you know,
Speaker 1: we're our brand and we want that to carry through,
Speaker 1: and so there is a big question of how far
Speaker 1: that goes. But watch that one. That is going to
Speaker 1: be interesting. Now. You and I both got to see
Speaker 1: the new MacBooks, and I believe there was even an
Speaker 1: appearance from Tim Cook showed up to give a little
Speaker 1: wave to the crowd. You know, what do you think
Speaker 1: of the new devices? Well, they're beautiful machines, right, I mean,
Speaker 1: the M two is arguably, you know, incremental change, but
Speaker 1: it is a step forward. But that MacBook Air is
Speaker 1: an absolutely beautiful design and and it's sexy and a
Speaker 1: cool and it's the kind of thing people are looking
Speaker 1: for from Apple, and they want to see hardware improvements.
Speaker 1: And that's the kind of thing that someone can walk
Speaker 1: away from the show going okay, cool, I see I
Speaker 1: know what I'm going to get next. And again, during
Speaker 1: the pandemic, computers became so much more important to so
Speaker 1: many people. So having a new computer and new design,
Speaker 1: faster performance, that's exactly what Apple needed to Now we've
Speaker 1: seen Apple taking greater control of privacy, privacy first, which
Speaker 1: impacts a whole bunch of technology companies. We also saw
Speaker 1: some updates to the lock screen. You know, it's all
Speaker 1: surrounding this this idea of focus and letting you be
Speaker 1: able to like use your phone as a glance at
Speaker 1: a glance, but not get lost in it. You know,
Speaker 1: what's your take on these developments? I think they're important,
Speaker 1: and because you know, unfortunately, people are getting obsessed with
Speaker 1: their phones, and they're getting so connected to these phones
Speaker 1: that they can't pull themselves away from it. And so
Speaker 1: little steps like that to hide some of the notifications,
Speaker 1: only show them when you need them, bring in additional
Speaker 1: widgets to customize the lock screen, all those things have
Speaker 1: an influence on how people use their device. And the
Speaker 1: nice thing is, and this is why people like Apple,
Speaker 1: is I get those benefits even if I don't buy
Speaker 1: a brand new iPhone, I even if I have a
Speaker 1: three or four year old pin every And is that
Speaker 1: a little bit of hypocrisy here, because you know, Apple's
Speaker 1: making it easier to use the phone but harder to
Speaker 1: use everything else. Well, it's a fair point. I mean,
Speaker 1: obviously I want it to be genuine, right right. Well,
Speaker 1: I mean, look, what they're ultimately I think trying to
Speaker 1: do is how can they get people to get addicted
Speaker 1: but not too addicted in a weird way? Um and
Speaker 1: they want to get the ability to use their devices
Speaker 1: across all their elements. You know, for example, the ability
Speaker 1: to use your iPhone as a webcam with a Mac
Speaker 1: was really cool way of tying their devices together. They've
Speaker 1: been trying to do that for years. Figure out ways,
Speaker 1: what little technology can we do to bring this in
Speaker 1: so that people want to use more of our own devices.
Speaker 1: So you're exactly right. I mean, they're trying to get
Speaker 1: people to do it, but they also recognize, hey, in
Speaker 1: some ways we've created a problem. What can we do
Speaker 1: to sort of step that back a little bit in
Speaker 1: terms of keeping things under control and and make it
Speaker 1: more of a glancing like device. Like you said, so,
Speaker 1: what is this signal to you about what's coming in
Speaker 1: the fall? H? Well, the signal is obviously we're gonna
Speaker 1: see a new iPhone, right and uh, there'll be new
Speaker 1: devices there. My guess is, now that the M two
Speaker 1: is out of the bag, I think we'll see, you know,
Speaker 1: additional iterations of M two device based devices. We'll see
Speaker 1: a new iMac, will see probably maybe we'll finally see
Speaker 1: the Mac Pro that people have been waiting for. That's
Speaker 1: the last piece of the Mac puzzle. That doesn't have
Speaker 1: an M series chip um, And you know, I don't
Speaker 1: think we're gonna see anything on a R for a while,
Speaker 1: because that's the big question. How many years out is
Speaker 1: it's next year? My guest, you and I will sit
Speaker 1: on this stage together next year and we'll be talking
Speaker 1: about a R. That's my guest. Why not yet? If
Speaker 1: Facebook's doing it now, No, it's not doing it out
Speaker 1: because remember that meta is doing VR fully encompassed in
Speaker 1: your face cuts off the world. A R where I'm
Speaker 1: looking outside, I can see what's going on around me,
Speaker 1: but I get, you know, a little bit more information
Speaker 1: is much harder to do. So should we be thinking
Speaker 1: FaceTime in VR maps, in VR plus, Fitness Plus and VR.
Speaker 1: When I'm thinking, I'm looking around and I'm see that
Speaker 1: person and their name shows up on my on my screen,
Speaker 1: I'm like, oh, yeah, that's that person's name that I recognize.
Speaker 1: You know, at a trade where you see all these
Speaker 1: people out of context, can't remember who they are, and
Speaker 1: it does recognition because it's in your contacts and it
Speaker 1: tells you that. Or you look at a building, or
Speaker 1: you look at you know, you're traveling somewhere and you say,
Speaker 1: what is that, and you look at it and it
Speaker 1: tells you. So it's not that it necessarily gives you
Speaker 1: all of that stuff in three D, but it overlays
Speaker 1: enhances your visual experience. That's right of technolysis. We're gonna
Speaker 1: talk in the air and see if your predictions were true.
Speaker 1: Thank you so much for joining us. Good to see
Speaker 1: you here in person, and thank you all for watching
Speaker 1: a special edition of bloomber Technology Live from w w
Speaker 1: d C. We've got a great show coming up tomorrow
Speaker 1: as well. Max levchin Uh you don't see him on
Speaker 1: that graphic, but he'll be joining us to talk about
Speaker 1: this whole Apple Pay Later situation and more. This is
Speaker 1: Bloomberg