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Speaker 1: Bloomberg Audio Studios, podcasts, radio news, grow regard ninety nine

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Speaker 1: Nights in the Forest, Steal a Brain, rot, three games,

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Speaker 1: propelling Roadblocks to its highest level of daily active users.

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Speaker 1: The company also posting nearly two billion dollars in bookings

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Speaker 1: in the third quarter. Still shares of the company trading

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Speaker 1: lower after the earnings. Let's talk all through all of

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Speaker 1: this with Daveazuki found a CEO of Roadblocks, and Dave,

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Speaker 1: this growth, this is real playing commitment comes at a

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Speaker 1: cost and infrastructure cost, and we see costs go up

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Speaker 1: because of safety that you're enacting, but also the cloud compute.

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Speaker 1: How do you start to monetize to make up for

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Speaker 1: some of those costs.

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Speaker 2: Yeah, thanks for noting the amazing quarter we just had.

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Speaker 2: Both bookings growth was up seventy percent year on year

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Speaker 2: at one point nine billion, and as you noted, our

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Speaker 2: daily active users passed one hundred and fifty million, which

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Speaker 2: is up seventy percent year on year. In addition to

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Speaker 2: those three games you mentioned, we had seven games on

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Speaker 2: Roadblocks in the last quarter, past ten million daily active

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Speaker 2: users and a really healthy content ecosystem. Five of those

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Speaker 2: seven experiences were created in the last year We've hit

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Speaker 2: some really peak numbers. We had forty five million concurrent

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Speaker 2: players all at the same time. What we said on

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Speaker 2: the earnings call is with all of this growth, which

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Speaker 2: is cumulatively averaging thirty seven percent over the last two years,

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Speaker 2: we are going to be spending on infra. What we

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Speaker 2: said is the continued decreases in costs for infra. We

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Speaker 2: may slow that down a bit as we spend. But

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Speaker 2: the final thing I want to generate is the cash

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Speaker 2: flow that we generated on the platform. We generated over

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Speaker 2: four hundred and forty million of free cash flow in

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Speaker 2: Q four.

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Speaker 3: DAVE. Looking forward, then how are you managing out some

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Speaker 3: of the technology plays that you made age verification technology

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Speaker 3: in a way that doesn't impact or slow the growth

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Speaker 3: of both active users in the bookings.

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Speaker 2: We've made a commitment a while back to what we

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Speaker 2: believe will be the cold standard for safety on platforms

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Speaker 2: like Roadblocks and throughout the industry. With new advances in AI,

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Speaker 2: we're going to use facial age estimation to estimate the

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Speaker 2: age of everyone on our platform. And in addition to

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Speaker 2: the text filtering we do the critical harms monitoring the

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Speaker 2: prevention of any image sharing. We're going to use that

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Speaker 2: to help gate who communicates and who they communicate with.

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Speaker 2: I was just in an executive staff meeting on Tuesday

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Speaker 2: playing with the role out of this product. It's really elegant,

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Speaker 2: and we of course want to highlight there may be

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Speaker 2: some friction, but I'm really optimistic this is the long

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Speaker 2: term good play for Roadblocks, which is really establishing the

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Speaker 2: standard of how we believe safety and civility is going

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Speaker 2: to run in the future, and that.

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Speaker 1: Your CFO made the point that's going to have long

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Speaker 1: term value for shareholders. You make it again, Dave, talk

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Speaker 1: to us there for about the new technology, not just

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Speaker 1: in safety, but also in how you build games and

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Speaker 1: high fidelity feeling of a game. But some of these

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Speaker 1: big winners that we've had, we just them at the top.

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Speaker 1: They are kind of more old school feeling in many ways,

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Speaker 1: but they're the ones breaking records, grow a garden, more

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Speaker 1: classic and blockie. How do you compromise on that.

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Speaker 2: We've highlighted our vision of getting the ten percent of

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Speaker 2: all the global gaming content market running on Roadblocks. In

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Speaker 2: this quarter we pass three percent, so there's a lot

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Speaker 2: of room to go. We have an enormous amount of

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Speaker 2: new technology coming to support more diverse experiences, to support

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Speaker 2: different types of avatars, to support competitive gaming and genres

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Speaker 2: like racing or sports, to support role playing games and

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Speaker 2: other types. And we really do have a vision for

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Speaker 2: genre expansion, but in a really future looking way, and

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Speaker 2: that when creators make experiences on Roadblocks, they run well,

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Speaker 2: either on low end Android devices like a two gigabyte

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Speaker 2: Android phone or on high end gaming pieces, and they

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Speaker 2: run around the world. So we're optimistic with the new technology,

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Speaker 2: our economics and discovery, we're going to see a diversification

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Speaker 2: of the types of experiences we see on our platform.

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Speaker 3: Dave, you want ten percent of the gaming content market?

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Speaker 3: That changed in the quarter. I saw layoffs at Amazon

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Speaker 3: and Microsoft's gaming divisions, Electronic Arts elected to go private.

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Speaker 3: The big publicly traded peer that you have private with

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Speaker 3: the SAUDIS reacts with your interpretation of what that signals

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Speaker 3: for the market you're trying to grow in well.

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Speaker 2: People estimate the global gaming market somewhere between one eighty

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Speaker 2: and two hundred billion. What we've seen on Roadblocks is

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Speaker 2: really a future forward optimistic look at gaming. We've seen

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Speaker 2: new types of genres given the the Roadblocks platform, the

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Speaker 2: ability to play with friends on different devices. Addressed to

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Speaker 2: Impress last year was a whole new type of experience.

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Speaker 2: People competing in a fashion show grow a garden. I'm

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Speaker 2: really proud of because hitting those top numbers, making new

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Speaker 2: records for over twenty million Concurrence is literally a game

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Speaker 2: you can play either while you're there or when you're

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Speaker 2: not there. Your garden keeps growing when you're not playing.

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Speaker 2: So I think the way to think about this is

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Speaker 2: not just protecting abunst the history of gaming, but looking

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Speaker 2: at whole new types of games that are going to

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Speaker 2: be built on platforms like Roadblocks and accelerated with AI

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Speaker 2: as every game starts to have access to AI as well.

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Speaker 3: David Zooki, Roebooks CEO, thank you very much