Speaker 1: From Marhart.
Speaker 2: We're Innovation, Money and Power Collie in Silicon Valley, NBN.
Speaker 1: This is Bloomberg Technology with Caroline Hyde and Ed Love Love.
Speaker 3: I'm Caroline Hyde back at Bloomberg's World headquarters in New York.
Speaker 4: This is Bloomberg Technology Today Tech. It's on top. We
Speaker 4: are diving into the AI rally.
Speaker 3: He's looking at you, Marvell and Nvidia Hype versus Reality.
Speaker 3: And later we have arts Kathy Wood joining to discuss
Speaker 3: that rally.
Speaker 4: Why she sold out of Nvidia in her flagship fund
Speaker 4: at the start of the year.
Speaker 3: And as we approach Memorial Day weekend, how is AI
Speaker 3: changing how we travel? Choice Hotel cio. That's Brian Kirkland
Speaker 3: is going to join to explain more on what to expect.
Speaker 3: But first let's just have a look at the macro picture.
Speaker 3: You know what is weighing over this market over the
Speaker 3: last few trading days. It has been the debt ceiling demarcle.
Speaker 3: It continues, still no answer, but there is hope is
Speaker 3: driving the Nasdaq up one point eight percent As we
Speaker 3: head towards the weekend, Volumes just a little bit thinner
Speaker 3: ahead of the Memorial On weekend here in the United States,
Speaker 3: two year yield actually seeing a reversal right there, you're
Speaker 3: seeing seven basis points, almost eight basis points, still pushing high.
Speaker 3: Is that on the flationary read that we see the
Speaker 3: macro data coming in just showing that the Federal Reserve
Speaker 3: still needs to tamp down on that all important price.
Speaker 3: The PCE data that they can particularly look at more
Speaker 3: four point four percent year on year growth. Bitcoin no
Speaker 3: managing to get a bed as the US dollar.
Speaker 4: Coming calms down a little.
Speaker 3: Maybe we're not searching for such safety from the US
Speaker 3: dollar today. Let's get the latest though on this debt sealing,
Speaker 3: the negotiations, because it.
Speaker 4: Is fast moving.
Speaker 3: Bloomberg's Balance and Power co host Joe Matthew and Policea
Speaker 3: says with us in Washington and just is it going
Speaker 3: to be a busy weekend for future It's a great question.
Speaker 5: It will be a working weekend for somebody. Even if
Speaker 5: they come to a deal today, staffords are going to
Speaker 5: have to work the weekend on Capitol Hill to actually
Speaker 5: write legislation. Keep in mind, we're just talking really about
Speaker 5: bullets here, top line points that would go into a
Speaker 5: potential deal, and then that would start the clock ticking.
Speaker 5: I will tell you that folks I talked to over
Speaker 5: the course of the week on Capitol Hill were really
Speaker 5: hoping Democrats and Republicans to have something done before the
Speaker 5: weekend so investors wouldn't have a lot of fear going
Speaker 5: long into a long weekend, and it's really unclear if
Speaker 5: that's going to happen. There is a sense that something
Speaker 5: may come about here today as they start to narrow differences,
Speaker 5: And it's interesting here some of the more significant budget
Speaker 5: cuts that had been demanded by Republicans appear to not
Speaker 5: actually be happening here. This actually could be a bit
Speaker 5: of a wash with what we're seeing, and I do
Speaker 5: want to stress there's a lot we don't know. Even
Speaker 5: some of the things we're hearing could change over the
Speaker 5: course of this day as negotiators continue their work. What
Speaker 5: we do have, though, is a likely two year raise
Speaker 5: in the debt ceiling, two years in capping discretionary spending
Speaker 5: for that period of time except the Pentagon. Defense spending
Speaker 5: as we understand, would rise three percent next year, which
Speaker 5: is in line in fact with President Biden's budget proposals.
Speaker 5: Here would cut about ten billion dollars as well from
Speaker 5: an eighty billion dollar chunk that was going to go
Speaker 5: to the IRS as part of the Inflation Reduction Act.
Speaker 5: There are some things we don't know about in terms
Speaker 5: of what would happen to unspend COVID funding or for
Speaker 5: that matter, permitting reform, which we've been hearing a lot about.
Speaker 5: So it's really a critical moment here. It's very quiet
Speaker 5: in Washington, and things are getting quiet around the negotiating
Speaker 5: table as well at Caroline, which might in fact mean
Speaker 5: that we are close to a deal.
Speaker 3: Calm before the storm, bringingmo bouncer Power co host Joe Matthew,
Speaker 3: We thank you so much. Let's dive into some of
Speaker 3: your tech movizo on the day, because aside from politics,
Speaker 3: we are front and center artificial intelligence on the day.
Speaker 3: Just look at how some of these companies are being powered.
Speaker 3: I want to first though, check in on what's happening
Speaker 3: with Tesla because actually getting a nice rally here. Interestingly,
Speaker 3: frenemies for the day forward plus Tesla maybe sharing some
Speaker 3: of that charging infrastructure they do this deal, they go
Speaker 3: on guess where Twitter spaces to discuss it. Tesla currently
Speaker 3: riding high app amost six percent on the day in video,
Speaker 3: though at one point eight percent after that enormous rally
Speaker 3: the previous day their earnings, really adding what one hundred
Speaker 3: and eighty billion in one day to the market capitalization.
Speaker 4: We haven't really seen that.
Speaker 3: Only three times in history have we've seen that sort
Speaker 3: of market cap ad on one single day. Marvel playing
Speaker 3: some catch up to look, this is a fifty billion
Speaker 3: dollar overall market cap for this company, so nowhere near
Speaker 3: the near trillion in video is coming upon. But Marvel
Speaker 3: Technology also showing that artificial intelligence is the way for
Speaker 3: chip makers at the moment, twenty seven percent rally as
Speaker 3: their numbers show that official intelligence is going to be
Speaker 3: driving their future revenue growth. Let's stick into that AI rally.
Speaker 3: Let's go to a Wooloomberg. Intelligence is man deep singing
Speaker 3: manded two hundred million dollars is there or thereabouts they
Speaker 3: get from AI powered silicon, and it's going to grow,
Speaker 3: if not double. They think, what four hundred million in
Speaker 3: the fiscal twenty twenty.
Speaker 6: Four, Yeah, and they're talking about eight hundred million now.
Speaker 6: So that is what I think got the market excited.
Speaker 6: But look, I think one thing is clear is inventory
Speaker 6: bottoming is playing out for all or most of the
Speaker 6: chip makers. I wouldn't say that for memory yet, but
Speaker 6: for the fabulous chip makers, we saw that with Nvidia.
Speaker 6: You know, they've raised their guidance by almost forty percent,
Speaker 6: so we didn't see that kind of a guidance race.
Speaker 6: But I think the bottoming part is almost certain given
Speaker 6: what bea hearing from everybody.
Speaker 4: Just remind us where Marvel has leaned in.
Speaker 3: What are the in particular offering in terms of networking,
Speaker 3: in terms of the ability to service what basically is
Speaker 3: a huge compute need by nearly everyone right now.
Speaker 6: Yeah, and the big change right now is things are
Speaker 6: moving from CPUs towards these custom accelerators and that's what
Speaker 6: you need for running large language models and doing generative AI.
Speaker 6: And that's where Marvel, even though it's a niche player
Speaker 6: when it comes to networking and storage, but that's how
Speaker 6: you design those custom chips for you know, working as accelerators,
Speaker 6: and you can do that with CPUs. Every hyperscaler is
Speaker 6: kind of doing a combination of in Vidia GPU and
Speaker 6: custom chips on the networking side, and that's where you
Speaker 6: see the demand when it comes to a small chip
Speaker 6: maker like Marvell.
Speaker 3: Well, we can see the public market impact on the
Speaker 3: day Bluemmeg intelligences mandats saying thank you so much for
Speaker 3: breaking it down, and let's just think about how this
Speaker 3: affects publicly traded companies, how it affects of course those
Speaker 3: been raising capital in the private markets as well.
Speaker 4: We're going to get the VC angle with Sarah.
Speaker 3: Counstg's Clear Capital managing director and founder, and Sarah, you
Speaker 3: hit me up on Instagram in fact, saying this in
Speaker 3: Nvidia price point, the level that they're training at the
Speaker 3: overall price, this is really hefty stuff. Where are you
Speaker 3: starting to see the value in AI play, particularly on
Speaker 3: the chip side of the equation.
Speaker 7: I like Taiwan semi Conductors, right, you know, not only
Speaker 7: are they a contract manufacturer who's providing services, you know
Speaker 7: to messive companies like the Apples of the world, they
Speaker 7: actually help in Nvidia, you know, do their chip manufacturing.
Speaker 7: And so in Vidia is a good company. It has
Speaker 7: done a great job of being relevant, you know, through crypto,
Speaker 7: through AI, you know, through gaming over the last couple
Speaker 7: of years. But the reality is that like it's getting
Speaker 7: way too much credit for where it's real earnings are
Speaker 7: and where the revenue is, and I think that that's
Speaker 7: dangerous to keep buying into that kind of rally when
Speaker 7: it's not clear.
Speaker 2: That they're going to grow into those shoes Versus a
Speaker 2: Taiwan semiconductor that candidly I think is close to undervalued
Speaker 2: for all of the actual you know, amounts of chips
Speaker 2: it's manufacturing and the technology there.
Speaker 7: This technology is not something that's easy to build, but
Speaker 7: it's something that there are several companies that do it.
Speaker 7: And the reality right now one of those companies is
Speaker 7: getting crazy credit and all the other companies are sort
Speaker 7: of not feeling the loves.
Speaker 3: Yeah, when I'm looking at what twenty times future earnings
Speaker 3: is why we're currently trading at for TSMC. When you're
Speaker 3: looking over that's what a price point is for in video,
Speaker 3: we are fifty five times future earnings. Putting on your
Speaker 3: hat and thinking about the companies within your portfolio. Have
Speaker 3: you lent in in any way to some of the
Speaker 3: under a lying infrastructure to help power the AI boom
Speaker 3: that we're seeing. Is it more that you're having to
Speaker 3: ready your portfolio companies for the disruption that AI and
Speaker 3: indeed large language models and generative AI might have on them.
Speaker 8: You know, it's a little bit of both.
Speaker 7: I'm an investor in groc which is a TPU company.
Speaker 7: You know, it spun out of Google and it's definitely
Speaker 7: an interesting company in the space in the private sector
Speaker 7: working on these chips started for autonomous vehicles, but a
Speaker 7: lot of that you know, same technology and compute power
Speaker 7: needed is incredibly relevant for AI in some of the
Speaker 7: LLLMAI that we're seeing. And then you know, the reality
Speaker 7: is that there's a lot of great software companies being
Speaker 7: built around this as well. I'm an investor in Forethought,
Speaker 7: which is a customer service AI company that's been doing
Speaker 7: incredibly well for a few years. I'm an investor in
Speaker 7: in Global Metals, which is a rare earth mineral mining
Speaker 7: company that actually uses AI to figure out, you know,
Speaker 7: where can we get more lithium, Where can we get
Speaker 7: more of these rare materials that we need to make
Speaker 7: our batteries for everything from you know, our tesla is
Speaker 7: to our iPhones because right now it's just incredibly hard.
Speaker 8: And expensive to source that material.
Speaker 7: So, you know, if software was eating the world fifteen
Speaker 7: years ago, I think it's reasonable to say now that.
Speaker 4: AI is it is.
Speaker 3: And yet Sarah must be inundated with emails that suddenly
Speaker 3: have companies vaguely reworking themselves, repivoting themselves to seemingly be
Speaker 3: adopting this new sea change. How easy is it and
Speaker 3: understandable is it to ensure that you're getting the right
Speaker 3: founder and indeed the right business model built upon it.
Speaker 8: Yeah? Absolutely.
Speaker 7: You know, the reality is that a lot of people
Speaker 7: who were Web three companies a year ago, and you know,
Speaker 7: big data companies three years before that, are now suddenly
Speaker 7: AI companies. And they either have the smartest, most you know,
Speaker 7: visionary founders in the world who just can never quite
Speaker 7: get a product launch, or you know, they're hustle and
Speaker 7: they're trying to make it work. But the reality is
Speaker 7: that you know, they're they're sort.
Speaker 8: Of chasing the trend.
Speaker 7: And so the nice thing about AI is that it's
Speaker 7: not an easy space, meaning that if you come in
Speaker 7: and you don't have pretty significant you know, engineering experience,
Speaker 7: you don't have some experience with AI, with you know, mL,
Speaker 7: with with large language models, all of those things, you know,
Speaker 7: it's incredibly hard to say that that you have a
Speaker 7: chance incredibly building. Now, could you build a really slight
Speaker 7: consumer application that pulls in you know, that relies on
Speaker 7: on APIs from existing AI companies absolutely, and I think
Speaker 7: we'll see a lot of those, and that's not a
Speaker 7: bad thing, but it is surprisingly somewhat easy to tell
Speaker 7: who's real and who's not because very few people have,
Speaker 7: you know, the technical background that's going to allow them
Speaker 7: to make a fundamental breakthrough in AI, and even the
Speaker 7: fundamental breakthrough is take an incredibly long time. They're in expensive,
Speaker 7: and so there's just not going.
Speaker 8: To be a ton of them.
Speaker 3: When you multi stage bench capital firms such as yourself,
Speaker 3: how do you decide what size of company you want
Speaker 3: to be getting in on at this particular level, what
Speaker 3: sort of valuation you can even be picking, because what
Speaker 3: are the comparables out there in the public market When
Speaker 3: you're seeing such enormous rallies in a place like Nvidia.
Speaker 7: I mean, I think that you have to be practical.
Speaker 7: Right right now, venture is definitely on a bit of
Speaker 7: a downturn, and the only area where you're seeing these
Speaker 7: sort of unreasonable or sky high valuations is in AI.
Speaker 7: And you know, if you think that somebody is building
Speaker 7: a company that has a real fundamental sort of intellectual
Speaker 7: property mode that could truly change the world, like you
Speaker 7: actually believe that it's the next Google.
Speaker 8: It's the next.
Speaker 7: Google, then maybe you do invest in a slightly higher valuation. However,
Speaker 7: you know, I think what a lot of people do
Speaker 7: is they're just sort of jumping on h you know,
Speaker 7: any pitch deck that looks interesting, and they're pain prices
Speaker 7: that are just completely you know, out of whack to
Speaker 7: reality and the market right now in venture and so
Speaker 7: you know, for me, I've been doing a lot of
Speaker 7: my AI investing a little bit later when it's a
Speaker 7: little bit de risk because a lot of my AI
Speaker 7: founders are doing more kind of fundamental uh you know,
Speaker 7: work where you don't know it day zero, how it's
Speaker 7: going to pan out. I think early stage AI investing
Speaker 7: right now, you know, is incredibly incredibly risky, unless again,
Speaker 7: it's something that's building you know, building a consumer enterprise
Speaker 7: interface that upfront they say, look, we're using GPT, we're
Speaker 7: using you know, these existing AI tools you know, to
Speaker 7: make it easier to do X, y Z.
Speaker 8: Great.
Speaker 7: That's an interesting business that I believe you might be
Speaker 7: able to scale much more easily than the idea that
Speaker 7: you know, two women in a garage are going to
Speaker 7: go make the next you know, AI super chip.
Speaker 3: Here so the two women, but the Clear Capital managing
Speaker 3: director and founder Sericans really great to have some time
Speaker 3: with you. Thank you. Builder AI it's an AI powered
Speaker 3: software platform. It's raised more than two hundred fifty million
Speaker 3: dollars in its Series D fundraising led by Qia the
Speaker 3: Kata Fund. I sat down with a co founder such
Speaker 3: an dev Doogle at the Cator Economic Forum, where he
Speaker 3: discussed the importance of digital innovation and in fact well
Speaker 3: the investment he received from that sovereign player and how
Speaker 3: it married with VC.
Speaker 4: Just take a listen.
Speaker 9: Our total round was two on a fifty million. The
Speaker 9: region for US is really important, not only the GCC,
Speaker 9: but also because we think between the markets here, there's
Speaker 9: so much digital innovation that's going on, so many small
Speaker 9: businesses that are now building software. But I think the
Speaker 9: second thing is, especially with the QIA, they're a very
Speaker 9: patient investor and long term capital and when you're trying
Speaker 9: to build something generational, you're going to make mistakes and
Speaker 9: you're going to learn from those mistakes. And you want
Speaker 9: someone that's not running necessarily a seven year cycle. Yeah,
Speaker 9: but they're really thinking about the.
Speaker 4: World at large.
Speaker 3: You, of course kept on some previous investors insight for example,
Speaker 3: what's interesting do vcs do you think have to be
Speaker 3: worried about basically startups now going direct to sovereign wealth funds?
Speaker 4: Is that becoming an obvious form of capital now?
Speaker 3: Not me evening to see these sort of you know,
Speaker 3: middle people who are benched capital.
Speaker 9: Look, I think it's different, right, I don't see the
Speaker 9: big sovereigns writing one million dollar checks, ten million dollar checks.
Speaker 9: I definitely think Series C and D or the early
Speaker 9: end of it. But you could easily crossover into sovereigns
Speaker 9: just like you could cross into crossover funds at that point.
Speaker 9: It really depends on what you're building. Yeah, if you're
Speaker 9: if you're building to be acquired, you're probably well suited
Speaker 9: towards a more venture style investment.
Speaker 4: If you're building where it's.
Speaker 9: Sort of a bit more generational, it's it's a bigger platform.
Speaker 4: You want to have the right mix.
Speaker 9: It's always a balance, right, So we want to have
Speaker 9: an insight, we want have an iconic, but we also
Speaker 9: want to have a QIA And what it does is
Speaker 9: it gives us a right cause but also the right connectivity.
Speaker 3: That's so interesting that you say, what you're looking to
Speaker 3: build because perhaps people might have gotten the wrong end
Speaker 3: of the stick a few weeks ago when they saw
Speaker 3: that you took money from Microsoft and you're building within
Speaker 3: their platform, offering your services on Microsoft.
Speaker 4: Why did you do that?
Speaker 3: If you're looking, I'm trying to insinuate the between the
Speaker 3: lines that you're building to be a big public company,
Speaker 3: individual and scale great heights.
Speaker 9: Look and it might sound raisen, We're looking to build
Speaker 9: a triger lot of business. We're not looking to sell
Speaker 9: for a few billions, not ourmo because it's never about
Speaker 9: the money, as much as money is important. And so
Speaker 9: when you're looking to build that big and you're looking
Speaker 9: to be that grassroot. And how suffer is used, Office
Speaker 9: is used everywhere, Windows is used everywhere. There's a lot
Speaker 9: of patterns you learn from someone that sort of solved
Speaker 9: the problem. I think the second is always again it's balanced.
Speaker 9: And so we have two corporates that have had worked
Speaker 9: with us. One we haven't disclosed yet for obvious seasons.
Speaker 9: But with Microsoft, the key was alignment around mission and
Speaker 9: they want to digitally transferm the world. Aligner around values
Speaker 9: we just get along so important and it's a balance
Speaker 9: also with our cap table. Yeah, because it's not an
Speaker 9: investment because that's an exit. It's an investment because there
Speaker 9: is joint value that can be created when you bring
Speaker 9: those two platforms together.
Speaker 3: Such a dev Doogle co foundal builder AI that helps
Speaker 3: anyone be able to build websites, apps, you name it. Now,
Speaker 3: let's take a look at some of the impact of
Speaker 3: artificial intelligence on the financial sector, in particular, what differentiates
Speaker 3: companies kind of slapping on chatbots to existing tech to
Speaker 3: marketing and saying, look, this is us, this is AI.
Speaker 4: Maybe we're starting to call.
Speaker 3: It AI washing, and well those actually are on the
Speaker 3: differentiated side. Who's actually building the artificial in products of
Speaker 3: people really need? That's bring in ramse you is Eric
Speaker 3: Gyman for more.
Speaker 4: On this, because you've been coining and using this frame
Speaker 4: AI washing.
Speaker 3: Everyone doing it like who is out there at the
Speaker 3: moment sort of naming that they've got some large language
Speaker 3: of model and d got some chatbot that's going to
Speaker 3: solve all your issues.
Speaker 10: I think far more companies are marketing the use of AI,
Speaker 10: how they have a chatlot that's going to revolutionize their
Speaker 10: industry than you're truly trying to solve problems for me.
Speaker 10: I've never met a customer who said, I just wish
Speaker 10: I could chat with my bank account. I would ask
Speaker 10: a questions and learn things. Instead, they tend to ask
Speaker 10: things like I'd like to pay less for this service
Speaker 10: and paying for I'd like to automate my accounting, close
Speaker 10: my books quicker. Those are the kind of things. So
Speaker 10: I think often if you see companies claiming AI, but
Speaker 10: you can't find real customers behind it, they're not talking
Speaker 10: about how they're integrating AI truly into the workflow of
Speaker 10: their software. It's probably AI washing.
Speaker 3: Okay, So how do you ensure that what you're trying
Speaker 3: to market, what you're trying to say, doesn't come across
Speaker 3: as washing.
Speaker 10: It really starts first with starting with the customer trying
Speaker 10: to under stand their pain points. For us, our mission
Speaker 10: is to help companies spend less money in time. We
Speaker 10: help the average customer cut there since by three and
Speaker 10: a half percent per year. And so one of the
Speaker 10: first things we did is within the user interface start
Speaker 10: to show companies where upon renewal customers maybe getting quoted
Speaker 10: higher rates than the rest of the market. So if
Speaker 10: you're paying for a software vendor and another customer is
Speaker 10: getting twenty percent less integrating it into the interface. It's
Speaker 10: not creating new novel interfaces people aren't already using, like
Speaker 10: chat interfaces, but including it and where people do things
Speaker 10: next having it fade away. We automate expense reports by
Speaker 10: polling receipts when available from whether it's email, text messages,
Speaker 10: so you don't need to add additional step. I think
Speaker 10: a lot of great AI is invisible, so.
Speaker 3: It's sort of running in the background being far more efficient.
Speaker 3: You don't suddenly realize how much more productive it's actually
Speaker 3: made you. From the perspective of which companies are coming
Speaker 3: to you asking for these sorts of issues. Have you
Speaker 3: had calls saying, look, I just need to understand what
Speaker 3: artificial intelligence offering is. Or is it more that they
Speaker 3: are calling from wherever they are geographically saying I need
Speaker 3: to cut expenses in this current economic environment.
Speaker 10: It's a great question, certainly the latter. You know, we're
Speaker 10: supporting over fifteen thousand businesses, whether it's publicly traded companies
Speaker 10: like Event Rights to Sierra Nevada Brewing Company, you know,
Speaker 10: to local businesses, and often what they're trying to do
Speaker 10: is say, look, I'm spending a lot already. Whether it's
Speaker 10: thousands to millions per year. I'd like to cut expenses down.
Speaker 10: We spend a lot more time on closing our books,
Speaker 10: on our accountants manually keeping books and records, tagging transactions. Instead,
Speaker 10: often they're asking i'd like to cut that time down
Speaker 10: so controllers can be asking strategic questions about the business,
Speaker 10: not bogged down and manual work. So it tends to
Speaker 10: come from the pin point they're actually happening, not if
Speaker 10: there's this new technology, can you find some use for
Speaker 10: it for me?
Speaker 3: What about you though? As an employer, I think of
Speaker 3: what IBM came out and said. Look, ultimately, our back
Speaker 3: office in particular can be shoun by at least a third.
Speaker 3: How are you thinking about either the productivity of your
Speaker 3: labor or the fact that perhaps you don't have to
Speaker 3: beef up your own talent pool.
Speaker 4: As much as you see.
Speaker 10: You know, look, if you came to someone and said
Speaker 10: we're going to make someone on your sales team able
Speaker 10: to sell fifty percent more contracts, you'd say, I want
Speaker 10: more of that. I'd like to hire more salespeople just
Speaker 10: like that. And we think that's exactly the case. When
Speaker 10: you have members of your finance team, for example, that
Speaker 10: have a lot more time in the day, and they're
Speaker 10: able not to be tagging receipts, you know, checking on
Speaker 10: what prices are, but instaid, getting better deals, closing your
Speaker 10: books faster, and fundamentally focusing on the strategic areas you
Speaker 10: can be investing on higher return on investment. I want
Speaker 10: more folks like that. I think that's true in sales.
Speaker 10: I think it's true in finance. I think it's true
Speaker 10: in any part of an organization. And so I believe
Speaker 10: people will be more productive over time and rather than
Speaker 10: working on low value tasks, making businesses better, more profitable businesses.
Speaker 3: That's the optimism I'm CEO. Thank you, Eric Leiman. Meanwhile,
Speaker 3: stell ahead look a unique pack between Tesler and Ford.
Speaker 3: It's aimed accelerating EV adoption. I'm going to tell you
Speaker 3: more about it next time for Talking Tech.
Speaker 4: This is a pretty much in his time now for
Speaker 4: Talking Tech.
Speaker 3: First up, a rare partnership between electric car rivals Tesla
Speaker 3: and Ford.
Speaker 4: They're starting in spring twenty twenty four.
Speaker 3: Ford customers will have access to more than twelve thousand
Speaker 3: Tesla superchargers across the US and Canada. Fords evs we'll
Speaker 3: have to use a special adapter, but as later models
Speaker 3: will have the Tesla charging capability built in starting twenty
Speaker 3: twenty five. Then JP Morgan is working on a service
Speaker 3: software that's the likeness of chat GPT. CNBC reporting saying
Speaker 3: that the firm applied to trademark product called index GPT
Speaker 3: service will help customers select investments tailored to.
Speaker 4: Their specific needs. Flowers shares a Workday surging after.
Speaker 3: It narrowed its outlook for annual subscription revenue. It's a
Speaker 3: key metric for measuring the demand for workday software, which
Speaker 3: helps businesses manage HR related tasks. Workday also appointed a
Speaker 3: new CFO, Zane Raw from VMware.
Speaker 4: Coming up. How is AI impacting the travel industry?
Speaker 3: We'll talk more with more from Choice Hotels CIO Brian Kirkland.
Speaker 4: This is a Bloomberg.
Speaker 3: Welcome back to Bloomberg Technology and Caroline Hyde in New York. Now,
Speaker 3: let's talk about travel because Clear just think about the
Speaker 3: way in which you get through an airport.
Speaker 4: Well, it's fees. Are they still worth it?
Speaker 3: Now that the TSA lines are kind of getting faster themselves,
Speaker 3: That's what many customers are wandering lately. Clear's lines have
Speaker 3: been backing up themselves with some annoyed travelers citinglack of staff,
Speaker 3: some ffical computers, and at times clumsy process of escorting
Speaker 3: people to TSA checkpoints, which could all be, of course,
Speaker 3: potentially due to Clear's own success and it's explosive growth.
Speaker 3: And let's just stay in the travel industry now and
Speaker 3: take a look at how generative AI could transform it
Speaker 3: and please to say, Choice Hotels CIO Brian Kirkland joins
Speaker 3: us now to talk about, well, how have you as
Speaker 3: a business been thinking about generative artificial intelligence been able
Speaker 3: to ensure that, look, hotels are full when you want.
Speaker 4: Them to be.
Speaker 11: You know, at the end of the day, Choice is
Speaker 11: a company We've been using AI for a long time.
Speaker 11: Generative AI has the buzz right now, it's the thing
Speaker 11: that everybody's talking about, but really the Choice We've been
Speaker 11: using AI for a long time. We have a lot
Speaker 11: of systems out there, like our Choicemax system. It's a
Speaker 11: revenue management strategy and program that we rolled out that
Speaker 11: puts that decision making in front of the franchisees to
Speaker 11: be able to look at data from millions of data
Speaker 11: sets from all over the internet to figure out what
Speaker 11: is the right travel strategy when our guests going to
Speaker 11: show up, what kind of state do they want? And
Speaker 11: look at the right rate and revenue management strategy for
Speaker 11: their hotels. And they can do that from the beach
Speaker 11: if they want, on their own vacation. So it's a
Speaker 11: lot of fun for them to be able to manage
Speaker 11: their hotel that way. And we've been using AI for
Speaker 11: a long time to try to deal with just exactly
Speaker 11: what you're talking about.
Speaker 3: I hope you're not advocating people should be working well
Speaker 3: on the vacation bran, but talk to us a little
Speaker 3: bit about Okay, I understand that perhaps this weekend is going.
Speaker 4: To be a big one.
Speaker 3: I'm suddenly going to have basically ninety percent of my
Speaker 3: hotel full. Is it more about ensuring you have the
Speaker 3: right staffing? What is it that they take from these
Speaker 3: data points?
Speaker 11: It's everything, right. It goes all the way from the
Speaker 11: developers at the very beginning of the cycle to figure
Speaker 11: out what is the right hotel and where is the
Speaker 11: right hotel the franchisees managing and optimizing their staffing, looking
Speaker 11: at just the inventory they're buying, looking at the way
Speaker 11: they maximize their efficiency in the hotel, and then the
Speaker 11: consumer is putting in front of them where they want
Speaker 11: to go and what matches them for Our Choice privileges
Speaker 11: customers to be able to look at their historical trends
Speaker 11: and figure out, Okay, what's going to make you happiest
Speaker 11: in your journey in your trip and then make sure that
Speaker 11: the hotels are ready to be at full full war
Speaker 11: when you show up.
Speaker 3: You claim to be the first hotel company to create
Speaker 3: your own cloud based reservation system on AWS.
Speaker 4: Ultimately, how is that? You know?
Speaker 3: How have you thought as CIO to be ahead of
Speaker 3: the curve in that way?
Speaker 4: How heavy a lift was it?
Speaker 11: After their journey with the cloud and the journey with
Speaker 11: transformative technology started years and years ago. The first company
Speaker 11: to put a property management system in the cloud back
Speaker 11: in two thousand and five, and with Choice Edge, when
Speaker 11: we rolled that out, it was the first of its kind,
Speaker 11: and we were the first company to commit to going
Speaker 11: all in with AWS. And it really boils down to
Speaker 11: having a board and a leadership group that really understand
Speaker 11: I the end of the day, Choice is three companies
Speaker 11: in one. We're a hospitality company, we're a technology company,
Speaker 11: and we're a franchising company, and that technology arn't really
Speaker 11: does get the investment. We put the effort and energy
Speaker 11: in the building Choice Max in the middle of the pandemic.
Speaker 11: Instead of kind of worrying about that the pandemic, the
Speaker 11: energy was put into investment right in figuring out how
Speaker 11: do we make sure that we come out ahead. So
Speaker 11: we rolled it out in the middle of the pandemic
Speaker 11: and it's been a huge asset for our franchise ease.
Speaker 3: So as that board was potentially not in serious talks,
Speaker 3: but potentially in talks to be eyeing another company, there
Speaker 3: are reports that Choice Hotels have been looking at Windham
Speaker 3: for example. How easy or hard would that be to
Speaker 3: integrate another company if indeed a deal was going through.
Speaker 11: You know, I can't speculate on deals like that, But
Speaker 11: at the end of the day, generative AI or AI
Speaker 11: in general, it allows you to take data from all
Speaker 11: over the world and take millions of data sets and
Speaker 11: react quickly to information. So the things we're doing with
Speaker 11: our planning, things we're doing for guests, the things we're
Speaker 11: doing with picking the right location for a hotel, picking
Speaker 11: the right revenue management strategy, all of those things are
Speaker 11: cored in the ability to use AI, and with technology
Speaker 11: where it's at and with the cloud where it's at today,
Speaker 11: we get to do that faster, quicker, better than we
Speaker 11: ever have been able to do in the past. So
Speaker 11: all of those technologies lead to the ability to react,
Speaker 11: to make decisions better and faster.
Speaker 3: Do you think you said generative AI is the hot
Speaker 3: thing right now? Ultimately will that be weaved in far
Speaker 3: much more into my customer experience If you're already integrating
Speaker 3: artificial intelligence throughout from a predictive point of view, but
Speaker 3: from a generational point of view, are you able to
Speaker 3: save on your own costs on the hotel franchisees, own
Speaker 3: own customer service hires for example.
Speaker 11: Absolutely. I think one of the things that we're paying
Speaker 11: a lot of potention we're working with our partners on
Speaker 11: is generative AI has all the buzz right now. It's
Speaker 11: the thing that everybody's looking at to be commercially viable
Speaker 11: and to be something that really transforms how we do
Speaker 11: business and not just how guests and people in the
Speaker 11: world use generative AI for the great amazing things that
Speaker 11: does right now, but to commercially use it, we need
Speaker 11: to make sure that we can securely use it, so
Speaker 11: how do we get private data sets in there, how
Speaker 11: do we curate the answer to make sure that, for example,
Speaker 11: if we use that system to enable our guests to
Speaker 11: find answers fast about what they're doing in our hotels
Speaker 11: or to our franchises to figure out what's the right
Speaker 11: type of strategy or even the policies around how they
Speaker 11: run the business, to make sure that the right answer
Speaker 11: is coming back. So it's curated, it's accurate, it's not
Speaker 11: based on old data. It's based on the current set
Speaker 11: of policies that maybe changed yesterday, right, those types of things.
Speaker 11: So when we merge the power of generative AI with
Speaker 11: the ability to do it with the private data set
Speaker 11: that's curated, then you really have something. And that's something
Speaker 11: we're talking about with some of our partners and looking
Speaker 11: at I know Amazon with Bedrock recently talked about that
Speaker 11: in a Microsoft talking about that. So those things are coming.
Speaker 11: When they do, it will be transformative.
Speaker 3: Brian, great to speak with you. Go have a wonderful
Speaker 3: Memorial weekend. I'm sure you will be Choice Hotels CIO
Speaker 3: Brian Kackland. Now coming up, we've got to get back
Speaker 3: to it in video. Getting close to a one trillion
Speaker 3: dollar market valuation, So traders really feed into this AI rally.
Speaker 3: We're going to get Kathy Wood's perspective, of course, CEO,
Speaker 3: chief Investment Officer of ARC invest share her thoughts on
Speaker 3: the recent frenzy, why perhaps they dial back their overall
Speaker 3: exposure to InVideo, but she does have exposure to this
Speaker 3: one palanteer check it out shares currently at more than
Speaker 3: seven percent. Remember this is another company saying that they
Speaker 3: are all in in AI. In fact, they want the
Speaker 3: whole market from New York, this Bloomberg. I want to
Speaker 3: welcome Bloomberg television and radio listeners to Blomberg Technology. Of course,
Speaker 3: the biggest techt story of the day surrounding artificial intelligence,
Speaker 3: you know it, and of course the recent rally in
Speaker 3: the chip maker and video. I pleased to say we've
Speaker 3: got the perfect guest joining us on this now, our
Speaker 3: CEO CIO founder Kathy Would, who basically as one as
Speaker 3: our Eric belchunis a re Bloemberg intelligence put it said,
Speaker 3: you were in video.
Speaker 4: Before it was cool.
Speaker 3: You were buying it at four dollars back in twenty fourteen.
Speaker 3: You rode the wave on this particular stock. Kathy to
Speaker 3: three hundred and thirty back in twenty twenty one. But
Speaker 3: the recent rally you've missed because the flagship Arc Innovation
Speaker 3: ETF you sold out of your mainstake back in January.
Speaker 8: Why yes, So if you.
Speaker 1: Were very positive on in video, we have been very
Speaker 1: positive on Nvidio. We bought it down when it hit
Speaker 1: nearly one hundred dollars in the fourth quarter last year,
Speaker 1: and then it tripled as some of our other AI
Speaker 1: oriented stocks stood still. So you know, we're looking at
Speaker 1: believe it or not, many people do not believe this
Speaker 1: about us. We're looking at relative valuations of names in
Speaker 1: the AI space, and we were looking at Nvidia at
Speaker 1: twenty five times sales, which is where it is, and Tesla,
Speaker 1: which is probably the biggest AI story out there, is
Speaker 1: at six times earnings. UiPath yesterday, I mean not earning
Speaker 1: six times sales. UiPath yesterday reported it is a beautiful
Speaker 1: AI play.
Speaker 8: It too is at.
Speaker 1: Six times sales, and as far as in video goes,
Speaker 1: there are few reasons we take some pause. It still
Speaker 1: meets our minimum hurdle rate of return, so fifteen percent
Speaker 1: in a compound annual rate over five years, and so
Speaker 1: you'll see it in some of our more specialized portfolios.
Speaker 1: We're looking for.
Speaker 8: The better values.
Speaker 1: But the risks to in Vidia would include cyclical When
Speaker 1: I hear shortages, shortages, shortages about GPUs or anything, I
Speaker 1: begin to think about about the cyclicality of a group competition.
Speaker 1: Tesla is coming up with its own chip meta platforms,
Speaker 1: Google their own chips for more specialized large language models,
Speaker 1: and then the tech itself. We're learning from meta platforms.
Speaker 1: The Lama model is able to do with less computing power.
Speaker 8: But more data.
Speaker 1: It's able to deliver better models. So there are puts
Speaker 1: and takes here, as there always are.
Speaker 3: How many frustrated investors have got in touch with you
Speaker 3: via Twitter or the other forms in which you connect
Speaker 3: with your own purchases of the ETFs, I mean there
Speaker 3: must have been a lot of frustration that you kept
Speaker 3: it in some funds but not the main ACHTF.
Speaker 1: Well, i'll tell you what has happened mostly is people
Speaker 1: who understood the nvideo story. We were pounding the table
Speaker 1: on it on twenty fourteen, you know, really to twenty
Speaker 1: twenty one, and many people actually put it into their portfolios,
Speaker 1: their own portfolios, and they may.
Speaker 8: Have held it. We have not gotten much pushback. And
Speaker 8: the reason is people know.
Speaker 1: That we are on we are on AI, but we're
Speaker 1: doing it in a little bit of a differentiated way.
Speaker 1: Nvidia has become a check the box stock. That's why
Speaker 1: the valuation is.
Speaker 8: Where it is.
Speaker 1: But we are looking for those plays that have not
Speaker 1: only the vision from management team point of view and
Speaker 1: broad distribution, but also proprietary data and AI expertise. So
Speaker 1: we're just pivoting to another set of plays that most
Speaker 1: people have not discovered yet, much like they did not
Speaker 1: understand that a video was an AI play really until
Speaker 1: very recently.
Speaker 3: So Palentea you mentioned, or UiPath you mentioned, Hasli you mentioned.
Speaker 3: There's actually quite a few, though it seems relatively limited
Speaker 3: overall AI focused names that you have. Am I missing
Speaker 3: something there or the far more AI exposure within your
Speaker 3: flagship fund or are you really just deciding that there
Speaker 3: are going to be a few key names that you back.
Speaker 8: No, Twilio would be another name.
Speaker 1: Almost every company except for well actually even including the
Speaker 1: multiomics companies like Exact Sciences are using their own proprietary
Speaker 1: data and their broad distribution networks to gather information and
Speaker 1: create better products and services. So I would say almost
Speaker 1: every company that we have in the portfolio is in
Speaker 1: some way, shape or form. We ask the question, how
Speaker 1: are you harnessing this powerful tool called artificial intelligence?
Speaker 8: And I would say ninety.
Speaker 1: Percent of the names in the portfolio are harnessing it
Speaker 1: and do have proprietary data we'll call my eye.
Speaker 3: And we've actually seen so much disruption already to the
Speaker 3: market capitalization of companies when they have found themselves disrupted by,
Speaker 3: for example, the chat GPT.
Speaker 4: I think of cheg the education company.
Speaker 3: But you noted that Apple, for example, it's apps platform
Speaker 3: could be disintermediated by chat GPT platforms. Is that a
Speaker 3: key company that we need to worry about being disrupted?
Speaker 3: What other names do you think that come to mind
Speaker 3: that maybe the market has it wrong on how much
Speaker 3: they could be overwhelmed by this new competitor.
Speaker 1: Well, for Google, chat GPT was either the worst thing
Speaker 1: that has ever happened to it or maybe the best thing.
Speaker 1: We tend to think it's going to be disintermediated though
Speaker 1: by chat GPT and other chat but so we're not
Speaker 1: going to need the kind of search and therefore advertising
Speaker 1: that drives Google's model, So we do worry about that one, and.
Speaker 8: As you said Apple, you know there are.
Speaker 1: Many people who think that even Amazon is going to
Speaker 1: be disrupted, not only by social commerce, so people just
Speaker 1: shopping through Instagram and other social media sites, Pinterest, but
Speaker 1: it also could be disintermediated, as if consumers use chat,
Speaker 1: GPT and other AI tools to say I want exactly
Speaker 1: this kind of item at the cheapest price anywhere in
Speaker 1: the world, and we go directly to that source. So
Speaker 1: you know, any platform that has served as an intermediary
Speaker 1: is at risk.
Speaker 3: We would say you've name checked a couple of metas
Speaker 3: things now Instagram and you mentioned Lama. Is meta something
Speaker 3: that you're doubling down on from an AI perspective, So meta.
Speaker 8: Is interesting to us. We do like what it is doing.
Speaker 1: We love its sophistication and the fact that Mark Zuckerberg
Speaker 1: is now prioritizing artificial intelligence as opposed to the metaverse,
Speaker 1: which was really what he was focused on last year.
Speaker 8: So yes, we're interested in metas play here.
Speaker 1: We don't have it in the flagship portfolio, we do
Speaker 1: have it in other portfolios.
Speaker 3: We'll speaking with Kathy Woods, CEO, chief investment officer of
Speaker 3: ARC invest just to go back to where we started
Speaker 3: in Nvidia, is there any.
Speaker 4: Entry point that gets you back in.
Speaker 3: You've actually been selling out from some of the other
Speaker 3: funds a little bit, perhaps with the profit that you've
Speaker 3: recently taken in the run up in the last couple
Speaker 3: of days. Anything that, despite its head evaluation, make you go, Okay,
Speaker 3: it's not going to be disrupted in the way that
Speaker 3: we were worrying. We're not going to see the supply
Speaker 3: chain rec have.
Speaker 1: It, you know, anything for a price. I would say
Speaker 1: if this cycle were to worry, we tend to think
Speaker 1: we're going to have a harder landing than most economists
Speaker 1: do if the cycle were to hit it. And Nvidia
Speaker 1: surprisingly gets hit very hard by cycles because the inventory
Speaker 1: builds up build ups, and I would say we're in
Speaker 1: one of those right now.
Speaker 8: Are so spectacular.
Speaker 1: If we have a combination of a correction and the
Speaker 1: recognition by the marketplace perhaps that some of these models
Speaker 1: don't have to be as large and don't need as
Speaker 1: much computing power as more companies use more specialized models,
Speaker 1: you know, you get the confluence of a reality check.
Speaker 1: You know, in Video is just a very powerful company.
Speaker 1: They are so exquisitely positioned in the space, but you're
Speaker 1: paying for it now.
Speaker 4: Having bought it at four dollars.
Speaker 3: How did it make you feel in your stomach when
Speaker 3: you saw one hundred and eighty billion added in one
Speaker 3: day like it did yesterday.
Speaker 1: Well, the frustration yesterday was another one of our AIE
Speaker 1: Playspath reported a quarter and revealed some products AI products
Speaker 1: and really opened the kimono a little bit more in
Speaker 1: terms of what it is doing on the AI friend
Speaker 1: and it's going to be one of the most interesting
Speaker 1: plays out there. I think it was down ten percent
Speaker 1: after beating numbers because it talked about the economy being
Speaker 1: somewhat variable I think is the word as using it's
Speaker 1: it was fact focused on the macros and that's what
Speaker 1: analysts focused on. Now it's having a good day. It's
Speaker 1: up about ten percent today, I think.
Speaker 4: Nine percent on the day.
Speaker 3: So you didn't feel like you didn't feel any frustration
Speaker 3: about in video.
Speaker 4: You're more focused on the iPath.
Speaker 1: Of course, of course, and we published our trades at
Speaker 1: the end of every day, and you'll see we bought
Speaker 1: UiPath in almost all of our portfolios.
Speaker 8: Aarkk Ark Wark f arkq.
Speaker 1: So you know, we use those opportunities when we feel
Speaker 1: like the market isn't seeing something that we are, especially
Speaker 1: when it relates to artificial intelligence.
Speaker 3: So tell us what you're seeing with XAI or with
Speaker 3: Tazla's focus on AI. Today, Tesla getting bought because it's
Speaker 3: done to deal with ford on its electrication and indeed
Speaker 3: the way in which you charge a cause. But what
Speaker 3: are we perhaps missing when it comes to being the
Speaker 3: number one artificial play as you just.
Speaker 1: Said, Yes, the autonomous taxi network that we believe Tesla
Speaker 1: is building, it has more data, talk about proprietary data.
Speaker 1: It has more data of real world driving miles than
Speaker 1: all of the other auto companies and technology companies like
Speaker 1: WEIMO put together around the world. We would say except
Speaker 1: for perhaps China, because we don't know exactly what's going
Speaker 1: on there, and we do believe that the autonomous taxi
Speaker 1: platform opportunity is a winner.
Speaker 8: Take most opportunity.
Speaker 1: The company that gets a person in an autonomous vehicle
Speaker 1: from point A to point B as quickly and safely
Speaker 1: as possible is probably going to get the line's chair
Speaker 1: of the market, and that company will in the United States,
Speaker 1: we believe be Tesla, and we believe globally that opportunity
Speaker 1: will scale from zero today to eight to ten trillion
Speaker 1: dollars in revenues by twenty thirty. So you can see
Speaker 1: why we're so excited by Tesla. It is it is
Speaker 1: the furthest advanced from an AI point of view, and
Speaker 1: it's even becoming a manufacturer of factories using artificial intelligence
Speaker 1: and becoming more and more and more efficient in manufacturing
Speaker 1: factories and cars. We think it's the most efficient in
Speaker 1: the world right now.
Speaker 3: Land manufacturing in China, Kathy, and I'm interested in you
Speaker 3: reference this worry about maybe it's not a worry.
Speaker 4: You talk about least in the US.
Speaker 3: All you're looking at China remaining exposed to China amid
Speaker 3: the trade tensions and indeed the tech tensions.
Speaker 1: Yes, we our history with China after COVID was We
Speaker 1: plowed in during COVID because we liked what China was
Speaker 1: doing from a monetary and fiscal point of view.
Speaker 8: They were they were not overdoing it.
Speaker 1: And then of course we entered the period starting in
Speaker 1: November of twenty where you know, managements were basically banished
Speaker 1: from their companies and there we were. There was one
Speaker 1: restriction and regulation after another, and so we've pulled away
Speaker 1: quite significantly. Common prosperity, it seems means very low profit
Speaker 1: margins UH and services that reach into tier one tier
Speaker 1: two cities, So JD Logistics and JD we have some
Speaker 1: of that, but we have minimized our exposure until until
Speaker 1: China basically seems more inviting to capital.
Speaker 4: Once again, that's all politics. Closer to home, the debt ceiling.
Speaker 3: When they say debacle debate, deal still not done, default
Speaker 3: being uttered, what do you think about that?
Speaker 4: Are you worried?
Speaker 1: You know, with our five year investment time horizon and
Speaker 1: having been around this block a number of times, we
Speaker 1: know they're going to come to a deal. They are
Speaker 1: not going to deprive government employees of their paychecks Social Security,
Speaker 1: so retires of their paychecks would be politically disastrous. As
Speaker 1: we're heading into this election year and already the field
Speaker 1: has heated up so so significantly, so they're going to
Speaker 1: get through this. It's a very short term phenomenon.
Speaker 8: It might be a short.
Speaker 1: Term fix and hopefully they do get serious about this
Speaker 1: at some point in time, but we don't think now
Speaker 1: is the time.
Speaker 3: We're speaking with Kathy Woods CEO and CIO, i'll invest
Speaker 3: you of course, have been really frustrated yourself with a
Speaker 3: federal reserve. You've said, in particular, inflation is something they
Speaker 3: shouldn't be looking at. You still think that there's deflation
Speaker 3: out there. But then when we get a CPE or
Speaker 3: PC print like we did today, the personal consumption expenditure
Speaker 3: four point four percent, is that still to you the
Speaker 3: wrong day to be looking at? Or you think deflation
Speaker 3: is coming after this swiftly?
Speaker 8: Yes.
Speaker 1: I think when history books are written, we'll look back
Speaker 1: at this period and we'll see the sharp rise in inflation,
Speaker 1: which was caused by massive supply chain, really supply shocks
Speaker 1: from COVID and the war in Ukraine, and you will
Speaker 1: see so sharp increase and it feels like it's so
Speaker 1: slowly coming down.
Speaker 8: But when the charts, when.
Speaker 1: You start looking at these charts in history, this decline
Speaker 1: will be look very like it was very rapid, and
Speaker 1: we will descend into deflationary territory. Don Luswin wrote a piece,
Speaker 1: it was an editorial in the Wall Street Journal. I
Speaker 1: believe about this, and I think the FED is going
Speaker 1: to be blamed for sending us into a deflationary period.
Speaker 1: Already we're getting negative signs for guidance home Depot. It's
Speaker 1: same store sales down three to five percent for the year.
Speaker 1: Now they're expecting we got GDI, which is the other side,
Speaker 1: so global gross domestic income which is the other side
Speaker 1: of gross domestic product, and they need to equal, but
Speaker 1: they're at a record gap right now. It's been negative
Speaker 1: so in recession territory for the last two quarters, and
Speaker 1: I think many companies are going to feel a hard
Speaker 1: landing and it's going to come both from units, and
Speaker 1: I think more and more companies are reporting this on.
Speaker 8: Their earnings report.
Speaker 1: These these economic statistics that take all the oxygen out
Speaker 1: of the room are hugely lagging and they're not even
Speaker 1: getting it right. If you look at the digital world.
Speaker 1: Gross domestic product was that statistic was devised in the
Speaker 1: industrial age. We're in the digital age right now, so
Speaker 1: we paid more attention to gross domestic income, which tends
Speaker 1: to be more accurate as we're seeing these inconsistencies.
Speaker 3: Thank you for talking digital looking the world economy with
Speaker 3: us on the day ahead of the long weekend.
Speaker 4: We wish you a good one.
Speaker 3: Kathy Wood ceoc Io of ARC and Best, Thanks for
Speaker 3: joining Meanwhile, that does it for this edition of blie
Speaker 3: Bag Technology. Go have yourself a wonderful long Memorial weekend
Speaker 3: volks from New York.
Speaker 4: That's a bloebag.