Speaker 1: Bloomberg Audio Studios, podcasts, radio news, joining us down.
Speaker 2: Have you hit her?
Speaker 1: Dan Ives from Scottsdale, Arizona.
Speaker 3: Dan, You've got Dodgers giants, I believe tomorrow right, Yeah.
Speaker 2: So look it's uh, we got some AI, some Nvidio
Speaker 2: and then you got some baseball.
Speaker 3: Well have to see on it translated video. We've really
Speaker 3: had a focus on the show.
Speaker 1: On it. You put out a real reaffirmation.
Speaker 3: Now how far out are you looking on Dan Ives
Speaker 3: on invidious?
Speaker 1: Excuse me?
Speaker 4: I look, these are Michael Jordan like numbers.
Speaker 2: I mean, if you look on the data center side,
Speaker 2: I mean you're talking about, you know, five to seven
Speaker 2: hundred BIPs above street whisper numbers into next quarter seventy
Speaker 2: percent growth it's seventy seven percent. I mean you talk
Speaker 2: about love of large numbers, it doesn't apply within video.
Speaker 2: And I think as it poys out, this is showing
Speaker 2: the five hundred billion they talked about with Blackwell and Rubin.
Speaker 2: It's conservative and I think his numbers look out thirty
Speaker 2: percent growth next year probably goes close to forty percent.
Speaker 4: And that's why I think there's a stock that.
Speaker 2: Should be up significantly as we look into the coming
Speaker 2: weeks and months, how.
Speaker 5: Do you put in video Visa VI AMD. These days,
Speaker 5: AMD seems to be really stepping up its cadence of announcements.
Speaker 5: Obviously they deal with meta. They made another announcement today.
Speaker 5: I know in video is the big big player there, Dan,
Speaker 5: but how do you size up just the competitive landscape?
Speaker 4: Look Liza's suit.
Speaker 2: Look if Lisa's suit is flying the plane, you're in
Speaker 2: three a drinking cabernet, watching Netflix, feeling really good. Okay,
Speaker 2: so you know she making all the right moves from
Speaker 2: narrow the gap because in video that's obviously the one
Speaker 2: chip in the world fueling the AI revolution. But AMD,
Speaker 2: you know they're going to get fifteen to twenty percent
Speaker 2: of this market over the coming years.
Speaker 1: One of the.
Speaker 3: Theme I see in the research notes this morning is
Speaker 3: most people like Dan ives lift up their price target.
Speaker 3: It's some concervatively, some with a little more aggression. Is Dan,
Speaker 3: I's the idea that they will expand beyond five or
Speaker 3: six vendors.
Speaker 1: Is that an assured thing? Or is it?
Speaker 3: Would you put that under risk factors that they can't
Speaker 3: get the rest of the world to pay up for
Speaker 3: in Vidia?
Speaker 4: Yeah, look, I think right now yeah, you don't have
Speaker 4: a choice.
Speaker 2: And that's when you look at margins, gross margins seventy
Speaker 2: five percent. Over the coming years, you will have competition.
Speaker 2: Big tech companies are gonna try building own chips, obviously AMD,
Speaker 2: you see Huawei and China and others. But the reality is,
Speaker 2: especially when it comes like physical AI autonomous robotics, you're
Speaker 2: gonna have no choice right now where in VIDIA. You're
Speaker 2: gonna ultimately have to go down that route within Vidia.
Speaker 2: But this is gonna spread five, seven, ten vendors over time,
Speaker 2: but at least the next eighteen twenty four months, probably
Speaker 2: thirty six months. If you're calling the red phone for
Speaker 2: a chip, it's the godfather of AI, black.
Speaker 4: Leather Jack of Jensen. Who's answering that phone?
Speaker 5: Dan, what's the uh, what's the conversation you're having these
Speaker 5: days with your tech clients as it relates to software
Speaker 5: and just the threat potential real? I don't know, uh,
Speaker 5: that AI may pose to some of these software vendors,
Speaker 5: because boy, those stocks have been taken out to the woodshit.
Speaker 2: Yeah, Paul, it's it's the most in my opinion, disconnected
Speaker 2: trade that I've seen in my career. Because and Jensen
Speaker 2: hit on it last night on the Earnings called software
Speaker 2: will be the hearts and lungs from a data perspective
Speaker 2: and use.
Speaker 4: Cases of AI. So the concept that Claw and.
Speaker 2: Others are going to unseat these you know when you
Speaker 2: look at sales for a service now, Microsoft, others, it's
Speaker 2: a fictional tell and I think investors trying to figure out, like,
Speaker 2: how do you play software? Right now? Everyone's running for
Speaker 2: the hills. You're owning Semi's in hardware, no one's in
Speaker 2: touch and software. But I viewed as the opportunity to
Speaker 2: own some of these core winners.
Speaker 5: I mean, what's the conversation you're having. I would think
Speaker 5: the hedge funds would be really If I'm a hedge
Speaker 5: fund manager, I'm going right to my tech ontos and saying,
Speaker 5: I think this might be once in a lifetime opportunity
Speaker 5: to buy some of these names. I mean, but you
Speaker 5: can be obviously really right or really wrong here.
Speaker 4: What do you think the conversation is the conversation?
Speaker 2: You'd think it's that, but it's actually I think it's
Speaker 2: almost the opposite. You're saying, everyone just run to Semis
Speaker 2: and arms.
Speaker 1: This is important, Dan.
Speaker 3: On this Thursday, you can report right now that what
Speaker 3: you what you're observing is people are still running.
Speaker 2: Running for the hills like you know they're being chased
Speaker 2: by a dinosaur.
Speaker 3: Okay, well let me let me interrupt here because you
Speaker 3: killed this in April. We were running for the hills
Speaker 3: on April, the first week of April.
Speaker 1: Last year, and you know you nailed that along with
Speaker 1: some other people. You weren't alone.
Speaker 3: Is this the same equivalent, the same analog now? Is
Speaker 3: the running there of April, you know a year ago?
Speaker 2: Generally it would be like being negative on Aaron Judge
Speaker 2: because of the way you play.
Speaker 4: Is the first week of a season.
Speaker 2: The point is if you look at this over years,
Speaker 2: right service now, salesforce, what Arvin doing at IBM, you
Speaker 2: look at Microsoft, I viewed these generational opportunities and as is,
Speaker 2: all plays out and that's why right now, like the
Speaker 2: Bears are winning the narrative in the day that's going
Speaker 2: to be short lived. That's how you ultimately, that's how
Speaker 2: you make money in this market.
Speaker 3: Okay, let's switch yours, Dan As with the stock go
Speaker 3: out of Tech Research and Webbish Security from Scottsdale, Arizona.
Speaker 1: This morning.
Speaker 3: We welcome all of you around the world and across
Speaker 3: the nation. Apple's going to do some soire right now.
Speaker 3: I see all the Apple gossip. I think they did
Speaker 3: a product refresh last year. What's the product refresh look
Speaker 3: like this year?
Speaker 2: Yeah, I mean that'll be like on when you look
Speaker 2: at different models from the iPhone, the sc You're gonna
Speaker 2: have some lower cost models that they release. And I
Speaker 2: think this is one where they start to tiptoe into iOS.
Speaker 2: We talk about twenty six four to twenty sixty five
Speaker 2: where that's gonna finally be Serie AI, which all leads
Speaker 2: into WWDC and iPhone eighteen. Look at the way, and
Speaker 2: like we obviously thought about all the time, look at
Speaker 2: the way Apple's trading.
Speaker 4: I am telling you right now, this.
Speaker 2: Is the stock Google in twenty twenty five will be
Speaker 2: Apple in twenty twenty six.
Speaker 4: Between the proc refreshers in AI.
Speaker 3: I'll listen to you, Okay, I've been using AI here
Speaker 3: and all I know is Penn State has to play
Speaker 3: Wisconsin USC and October seventeenth Michigan.
Speaker 1: I mean, Penn State State is a tough schedule.
Speaker 5: But they don't have to play Ohio State.
Speaker 4: That's big.
Speaker 3: Okay, that's we now report from State College Pennsylvania with
Speaker 3: Daniel Ives as well.
Speaker 1: Are they beyond the coaching.
Speaker 2: Tobaccle Oh and we we we got the golden ticket
Speaker 2: with Campbell's coach. Now, I told you, like we've talked
Speaker 2: about it. It's the rebuild to a Natty in the
Speaker 2: next few years. Big ten right now, I hate to
Speaker 2: say for the SEC. I mean it's a Big ten
Speaker 2: dominant league. I think Penn State is in just a
Speaker 2: phenomenal position going into twenty six and beyond.
Speaker 5: You know, tell them at Penn State football is good,
Speaker 5: but the wrestling program is it like like I went back.
Speaker 1: In kids were kids.
Speaker 5: Yeah, and people go to the matches, they go to
Speaker 5: like ends that Dane.
Speaker 3: I seriously here, You've been a huge supporter as an
Speaker 3: alumni of Penn State. You're down on the field and
Speaker 3: all their rock star stuff. If they ruined college football,
Speaker 3: is it now becomes so commercial it's just not the
Speaker 3: same that you and I and Paul new years ago.
Speaker 2: I actually I think they even the playing When I
Speaker 2: look at Nil, I mean now it actually comes down
Speaker 2: to like you're seeing more, You're seeing the ability. That's
Speaker 2: why I think Big ten is obviously started becoming dominant levers,
Speaker 2: sec look the competition and the.
Speaker 4: Athletes ultimately, you know, they deserve to get paid.
Speaker 2: And it just comes down to like, you know, it's
Speaker 2: a new world, but I think it's it's it's not
Speaker 2: going to be changing anytime soon.
Speaker 1: You got to go, what's your single best buy this morning?
Speaker 4: Oh, single best buy to me right here is Microsoft. Microsoft.
Speaker 2: The way that that stocks trading, it's it's almost the
Speaker 2: most disconnected tech stock that I've seen, probably in the
Speaker 2: last two years.
Speaker 1: Dennis, thank you so much. Tropper from Scott Still this morning,