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Speaker 1: Bloomberg Audio Studios, Podcasts, radio news. Bloomberg Tech is alive

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Speaker 1: from coast to coast with Caroline Hyde in New York

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Speaker 1: and vow In sent Francisco.

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Speaker 2: This is Bloomberg Tech coming up.

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Speaker 3: Concerns keep rising around anthropics new AI model mythos as

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Speaker 3: US officials won Wall Street that the tool could usher

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Speaker 3: in an era of cyber risk.

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Speaker 4: Plus, we speak with Roblox CEO David Zooki as the

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Speaker 4: company introduces special accounts for younger children and teens.

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Speaker 3: And we recap the historic trip around the Moon and

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Speaker 3: back after the Artemis two cruise splashed down safely on

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Speaker 3: Friday evening.

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Speaker 4: And ed on Friday evening, we were wrapping up a

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Speaker 4: week for the stock market that was the best. That's

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Speaker 4: November on the NaSTA one hundred, and some of that

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Speaker 4: cautious risk on attitude still sits with us on the

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Speaker 4: NAST one hundred today. As we see the oil is

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Speaker 4: thrusting higher. Why then the optimism in markets when the

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Speaker 4: inflatory pressure is clear, and that very sensitive view on

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Speaker 4: a CEASFI just clings in the balance. As we understand,

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Speaker 4: the US does move to blockade and the straight off

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Speaker 4: hor moos I'm looking at oil as we see just

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Speaker 4: another five percent on the day.

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Speaker 5: Ed.

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Speaker 3: Okay, let's get the latest details on Iran and the

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Speaker 3: administration Frolomber Washington correspondent Tyler Kendall. Tyler go through the

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Speaker 3: content of the president's true Social post that came just

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Speaker 3: after ten am Eastern time and give us the latest

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Speaker 3: of the situation, particularly with the straight of horror moves

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Speaker 3: and with Iran.

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Speaker 6: Hey and well at this point, this new threat coming

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Speaker 6: from President Trump aren't True Social saying that if any

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Speaker 6: of Iran's attack ships come near the US IS blockade,

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Speaker 6: then they will be quote immediately eliminated. This comes after

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Speaker 6: a flurry of comments from Iranian officials this morning saying

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Speaker 6: that the country is preparing to take action if it's

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Speaker 6: shipping is threatened, including threatening to hit ports in the

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Speaker 6: Persian Gulf. Pair that with a statement last night from

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Speaker 6: the IRGC saying that if any US military vessels enter

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Speaker 6: into the Strait of Hermus, Iran would view that as

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Speaker 6: violation of the ceasefire agreement. Now we have gotten a

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Speaker 6: few more details from the administration about this blockade, including

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Speaker 6: in a notice scene by Bloomberg News saying that if

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Speaker 6: any of Ran. If any ship is left in Iranian waters,

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Speaker 6: they could be subject to quote interception, diversion, and capture.

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Speaker 6: US Central Command had outlined that this blockade will extend

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Speaker 6: to all Iranian ports up and down the coast, including

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Speaker 6: to the east of the Strait of Hermus. However, those

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Speaker 6: vessels that are not going to or from Iranian ports

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Speaker 6: will ultimately not be part of this. However, we should

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Speaker 6: mention that they may still be subject for search of

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Speaker 6: the presence of contraband cargo. And this comes amid of

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Speaker 6: course a massive military build up by the US and

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Speaker 6: the region. The US currently has about twenty warships that

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Speaker 6: they could deploy for this operation. But as you were

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Speaker 6: alluding to at the top of this program, there does

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Speaker 6: seem to still be hope that negotiates could be ongoing.

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Speaker 6: President Trump did say in an interview yesterday that he

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Speaker 6: felt that Roan would come to the negotiating table when

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Speaker 6: it comes to the US's top issue of dismantling its

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Speaker 6: nuclear program, And we heard from the Pakistani leader earlier

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Speaker 6: today saying that those efforts to keep the dialogue up

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Speaker 6: are still ongoing.

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Speaker 4: Many a headline Tyler Kendall reads through it all for US,

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Speaker 4: we so appreciate it. Look, with oil back above one

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Speaker 4: hundred dollars, stocks while they've been wavering today still managing

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Speaker 4: to cling onto gains. But President Trump is of course

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Speaker 4: ordering that blockade of the straight Orf forward moves, and

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Speaker 4: we want to give you the macro picture darkening, but

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Speaker 4: also focus on some microews. Intel has managed to stage

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Speaker 4: a record breaking comeback. For example, renumex Common Rhyinikey is

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Speaker 4: here with a detail of what manages to outperform when

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Speaker 4: the macrohead wind bloom large Intel extraordinary moves. I mean,

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Speaker 4: it's hard to discuss war and conflict to one side

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Speaker 4: and individual stocks, but we have to win the show.

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Speaker 7: What you see, Yeah, well this stock has had really

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Speaker 7: an incredible run. So it's up today for the ninth

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Speaker 7: day in a row. This is more than fifty percent

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Speaker 7: gain in that time.

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Speaker 2: And it's had really.

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Speaker 7: A spate of good news that's just gotten investor momentum

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Speaker 7: back into shares.

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Speaker 6: Here.

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Speaker 7: So you had the news that they're buying back half

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Speaker 7: of a plan in Ireland from a public global management.

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Speaker 7: Then you go into the announcement that they're going to

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Speaker 7: be with Terrifab, you know, to develop semiconductors for Tesla

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Speaker 7: SpaceX and then they also announced a commitment for Alphabet's

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Speaker 7: Google to use future generations of some of their processors

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Speaker 7: in data centers. So these are all great things that

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Speaker 7: investors are really looking for. They want more coming out

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Speaker 7: of this company. They want to see sort of the

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Speaker 7: turnaround taking place. And this is interesting because Intel's come

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Speaker 7: off of a very choppy few years. It was up

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Speaker 7: eighty percent last year, but down sixty percent the year before,

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Speaker 7: and there's been just a lot of like an overhang.

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Speaker 7: As you know, they got a new CEO and they're

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Speaker 7: coming into this turnaround and we're starting to see some

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Speaker 7: glimmers of hope there come.

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Speaker 3: And it's data that I had to double check on

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Speaker 3: the Bloomberg Tunnel, not because.

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Speaker 2: I don't believe you. I do.

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Speaker 3: It's unbelievable of itself, right, that level of gain over

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Speaker 3: nine sessions, fifty three percent gain. But you make the

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Speaker 3: point just building what you just said that actually last

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Speaker 3: year was pretty good as well, and so there's a

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Speaker 3: broader recovery story with Intel. What is the market saying

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Speaker 3: about how they feel on the turnaround?

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Speaker 7: Yeah, I mean, I think investors are really voting with

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Speaker 7: their dollars here. They're feeling good, they're feeling like there's

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Speaker 7: a progress being made, and they're looking really long term

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Speaker 7: for this company going forward. I mean, I think it's

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Speaker 7: important to point out that it does report results in

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Speaker 7: two weeks, but investors are looking even more long term

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Speaker 7: for progress in their foundry. They want to see more

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Speaker 7: customers there and seeing that, you know, there really could

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Speaker 7: be a lot of gains ahead. You know, one analyst

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Speaker 7: that I spoke to you said there's more upside here

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Speaker 7: potentially than in Vidia, just because we've seen such an

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Speaker 7: incredible run for Nvidia. Intel's had an incredible run here,

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Speaker 7: but there could be more to come. You know, it's

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Speaker 7: still be below dot com era peak, So an interesting

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Speaker 7: another milestone that we're watching.

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Speaker 4: Isn't it funny that it was Jay Goldberg of Seaport

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Speaker 4: who gave you that view, and he's the only cell

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Speaker 4: rating really everyone in video, so that sort of supports

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Speaker 4: is his bearish take on that company as well as

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Speaker 4: bullish on Intel. But the rest of the ANAS community

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Speaker 4: are a bit more mixed. So you paint a picture

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Speaker 4: of this stock getting expensive.

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Speaker 7: They yes, So the evaluation is actually quite high. It's

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Speaker 7: trading let me say why I get this right. More

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Speaker 7: than ninety times estimated earnings over the next twelve months.

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Speaker 7: That's very high, especially when you think about the rest

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Speaker 7: of sort of the semi space, and you know in Vidia,

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Speaker 7: I think in Video is at about twenty one times

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Speaker 7: forward earnings. The thing that I hear though from investors

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Speaker 7: in analysts is that maybe it's not the right way

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Speaker 7: to be looking at this stock right now. There are

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Speaker 7: other things that make more sense if you're looking to

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Speaker 7: invest than just this one measure of valuation.

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Speaker 2: And for what it's worth.

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Speaker 3: Intel up almost three percent in the session, ninth straight

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Speaker 3: day of gains, longest streak of gains since September of

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Speaker 3: twenty twenty three. Bloombers come and Ryani Key with the

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Speaker 3: must read on the Bloomberg terminon dot com. Now coming

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Speaker 3: up a conversation with Caris Fragg Hacker one CEO and

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Speaker 3: Peter Singlehurst to Bailey Gifford on Anthropics' latest model mythos

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Speaker 3: and in part it's soaring valuation that's next.

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Speaker 2: This is Bloomberg Tech.

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Speaker 3: Wall Street banks including JP Morgan, Goldman, Sachs, and Morgan

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Speaker 3: Stanley are part of a small closed group with access

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Speaker 3: to anthropics Mythos. They're testing the powerful new AI model

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Speaker 3: to identify vulnerabilities and strengthen defenses. After Bloomberg reported the

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Speaker 3: US officials warned Wall Street the myphos kudosher in a

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Speaker 3: new era of cyber risk. Other global regulators are watching closely.

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Speaker 3: Over the weekend, Bloomberg reported the Bank of England is

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Speaker 3: preparing for its own talks on the potential dangers.

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Speaker 2: Joining us to.

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Speaker 3: Discuss is Cars Spragg's CEO of the cybersecurity firm Hacker one.

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Speaker 3: And there is a great reason to have you onto

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Speaker 3: the program to talk about mythos and the cybersecurity context

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Speaker 3: because what Hacker one does, it's the biggest offer of

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Speaker 3: bug bounties.

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Speaker 8: Right.

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Speaker 3: You pair companies all sorts with someone that can identify

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Speaker 3: vulnerability and then in some cases suggests how to patch it.

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Speaker 3: That's exactly how the banks are supposed to be using methos.

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Speaker 3: And I wonder just initially your take on the model

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Speaker 3: and what you know about it.

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Speaker 9: Well, I think it's very exciting that we are starting

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Speaker 9: to see capabilities where we can at scale identify vulnerabilities

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Speaker 9: more quickly and use them in a defensive capability to

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Speaker 9: eliminate that risk, and so this is a very great

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Speaker 9: compliment to what we have in doing for decades, which

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Speaker 9: is human driven vulnerability discovery. Where the bottleneck truly is

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Speaker 9: though these days is no longer really with the vulnerability discovery,

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Speaker 9: but it's much more in the back part of the

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Speaker 9: find to fix cycle. It's how quickly can you validate

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Speaker 9: that those vulnerabilities are truly exploitable and how quickly can

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Speaker 9: you get them remediated?

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Speaker 2: Kara.

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Speaker 3: Last week I spoke to Mike Krieger, who co leads

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Speaker 3: Anthropics Labs, and I tried to get him to just

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Speaker 3: be succinct about why mythos is good in a cybersecurity context.

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Speaker 2: Listen to what he had to say.

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Speaker 10: You can't isolate a capability. I mean you probably could,

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Speaker 10: you know, with enough effort, but that's typically these things

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Speaker 10: kind of emerge. The fact that it is very good

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Speaker 10: at solving general purpose coding problems and debugging and doing

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Speaker 10: all the things that you'd want it to do in

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Speaker 10: the ordinary course of practice also makes it really good

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Speaker 10: for cybersecurity. It's really fascinating to actually watch it in

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Speaker 10: practice in a moment like this one where you know

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Speaker 10: it's not the revenue optimizing move in the short run,

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Speaker 10: but I think it's absolutely the right one.

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Speaker 3: If you can't isolate a model single capability in this

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Speaker 3: case cyber, why is it so good in that domain?

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Speaker 9: Well, I think about it as coding and building is

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Speaker 9: one side of a coin and breaking is the other side,

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Speaker 9: and they kind of go hand in hand.

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Speaker 2: And one of the truly.

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Speaker 9: Big advancements that Mythos has is this ability to chain

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Speaker 9: together exploits and basically turn what could be multiple vulnerabilities

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Speaker 9: into a much more critical or severe issue. And that

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Speaker 9: is fundamentally building and putting something together across a number

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Speaker 9: of building blocks.

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Speaker 4: Can you, Kara just push back against pats some cynicism

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Speaker 4: that's been building into the market about the power of Mythos,

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Speaker 4: some saying look at benefits anthropic to make out that

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Speaker 4: it's quite so powerful and actually it's not doing all

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Speaker 4: that much new than was already out there, or indeed

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Speaker 4: it's just more compute issue than actual shared terror. As

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Speaker 4: to why they put it into the hands of a

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Speaker 4: small amount of players articulate just how powerful this is.

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Speaker 9: Well, I think the capabilities that are explained in the

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Speaker 9: Mythos release are are quite good, and they're definitely in

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Speaker 9: an advancement. The frontiers is certainly moving, and yes, some

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Speaker 9: of those capabilities can be achieved with other models out there,

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Speaker 9: perhaps through a more complicated workflow. But what we're seeing

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Speaker 9: here is a general advancement and the ability of AI

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Speaker 9: to really play a powerful force in the cyber security space.

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Speaker 9: And so I would put less emphasis specifically on this

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Speaker 9: release of Mythos, but really acknowledge that the frontier is moving,

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Speaker 9: and it's moving much more quickly than security teams are

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Speaker 9: able to keep.

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Speaker 4: Up, and that frontier is being moved by other players

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Speaker 4: as well, and we know the opening. I's been trying

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Speaker 4: to work with a cyber community as well. Just we

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Speaker 4: had Fortealiss join the show last week and their idea is, look,

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Speaker 4: smaller companies should be able to have access to Methos

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Speaker 4: to be able to drive forward this vision to make

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Speaker 4: sure we're safe. Is that something hacker one wants? Would

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Speaker 4: you like to be on this small amount of group

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Speaker 4: through without their testing vulnerabilities?

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Speaker 9: Well, certainly we would like to have access to this.

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Speaker 2: Now.

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Speaker 9: I recognize the risk equation that the Anthropic has taken

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Speaker 9: here in terms of a smaller release to a limited

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Speaker 9: number of organizations, but look at Hacker one, for example,

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Speaker 9: last week alone, we automatically validated four thousand vulnerabilities that

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Speaker 9: came in through our various vulnerability discovery programs. And that

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Speaker 9: kind of capability and Mythos that would help us supercharge

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Speaker 9: our validation capabilities would be greatly appreciated.

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Speaker 3: The access to Mythos is clearly being closely controlled. It

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Speaker 3: seems strange to not bring up the war in Iran

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Speaker 3: and the competence that Iran has in as a cyber

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Speaker 3: bad actor. You know, put two and two together. What

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Speaker 3: is the likelihood that the malicious actor from Iran or

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Speaker 3: elsewhere would have access to that level of technology and

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Speaker 3: pose a threat.

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Speaker 9: Therefore, I'll put it this way, ed, I think this year,

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Speaker 9: in twenty twenty six, civilians, businesses, and organizations are markedly

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Speaker 9: less safe than we were just even last year. From

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Speaker 9: a cybersecurity perspective.

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Speaker 2: We now have much more.

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Speaker 9: Capable AI models. Those models are rapidly proliferating, even if

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Speaker 9: Mythos itself is still within limited release, and we now

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Speaker 9: have a number of sophisticated thread actors that can put

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Speaker 9: those capabilities to use, and we're seeing an increasing number

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Speaker 9: of breaches and supply chain issues across the open source

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Speaker 9: ecosystem and across corporations.

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Speaker 4: Kara, it's been great having your expertise today. Thank you, Krstig,

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Speaker 4: CEO of Hackle One. Now let's stick with Anthropic It's

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Speaker 4: power and also as investors way the powerful private market

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Speaker 4: valuations across all of AI. Let's bring in Peter Singlehurst's

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Speaker 4: head of private companies at Bailey Gifford, and you have,

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Speaker 4: of course an investment in Anthropic. Just the moon music

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Speaker 4: around Anthropic, the power that it has, the use of claud,

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Speaker 4: the enterprise adoption, it all seems to be very strong

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Speaker 4: right now, Peter, are there any concerns that you have?

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Speaker 11: I think when you own a business and when you're

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Speaker 11: investor in any company, you always have concerns around companies.

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Speaker 11: It's hard job to worry about the holdings that we have.

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Speaker 11: But I think that what we're seeing at Anthropic at

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Speaker 11: the moment is unprecedented. In fifteen years of investing, I've

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Speaker 11: never seen a company of this scale grow this quickly,

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Speaker 11: And I think what we're seeing is a company that

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Speaker 11: is really pushing the edges of the boundaries of where

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Speaker 11: AI can be brought to bear in real world applications,

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Speaker 11: initially encoding, which really broke out last year, and with

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Speaker 11: the Mythos models, we're starting to see how it can

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Speaker 11: really impact cybersecurity as well.

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Speaker 4: What has been notable apart from Mythos has been the

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Speaker 4: adoption the arr that they're managing to post thirty billion

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Speaker 4: dollars and the amount of enterprises that are now using it,

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Speaker 4: even in the face of concern that they are well

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Speaker 4: sewing the government because of the current blacklisting single out

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Speaker 4: by the Pentagon. How is that narrative driving what you

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Speaker 4: think about Anthropic at the moment.

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Speaker 11: When we invested in Anthropic, one of the reasons we

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Speaker 11: liked the business was the principal approach they took to

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Speaker 11: safety now that I think has informed how they're approaching

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Speaker 11: the Mythos models, and it's informed the approach that they've

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Speaker 11: had with the Department of War.

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Speaker 8: So whilst we would of course rather not.

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Speaker 11: See them in this disagreement with the Department of War,

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Speaker 11: I think and the company have said that there's more

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Speaker 11: that unites them than divides them with the Department of War,

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Speaker 11: and I think it's important to us to see a

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Speaker 11: company standing by the underlying principles which enables them to

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Speaker 11: flourish and enables them to attract and retain key talent.

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Speaker 3: What has been so interesting about the headline generation from

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Speaker 3: Mythos is that people are looking at the model itself.

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Speaker 3: You know, Caroline's absolutely right, the revenue run rate, all

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Speaker 3: those kind of classic measures for late stage startups, but

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Speaker 3: just your sort of response to the model's capability. Anthropics

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Speaker 3: place in a group of five or six frontier labs

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Speaker 3: that are trying to do exactly that very big model

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Speaker 3: with great capability.

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Speaker 2: Yeah.

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Speaker 11: I mean, what we've seen with these lms is that

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Speaker 11: the capabilities of the leading edge models will quickly become

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Speaker 11: available to the trailing edge models. And then what separates

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Speaker 11: the likes of Anthropic or open AI is their ability

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Speaker 11: to continuously stay at the leading edge. And so, as

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Speaker 11: you know, as a citizen, it does concern me that

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Speaker 11: there will be these capabilities which today are in the

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Speaker 11: hands of Anthropic who who will we trust? But I

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Speaker 11: think it is inevitable that these tools, whether in the

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Speaker 11: Mythos model or developed by other foundational models, will become

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Speaker 11: more widely available. And I think that leads a lot

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Speaker 11: of enterprises, a lot of governments, a lot of economic

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Speaker 11: systems vulnerable to attacks.

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Speaker 3: A lot of focus in the United States on anthropic

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Speaker 3: There was a headline this morning that open AI, which

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Speaker 3: you are not an investor in, is open a a

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Speaker 3: permanent London office having wound down the Stargate project in

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Speaker 3: the UK. I ask you all that basically to push

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Speaker 3: on whether people outside of the United States see that

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Speaker 3: same level of battle that's going on between the frontier labs,

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Speaker 3: and whether the release of a model like Netho's impacts

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Speaker 3: everyday people in the United Kingdom or in Europe.

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Speaker 11: I think in the very short term, the everyday person

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Speaker 11: on the street is not impacted this week or next week.

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Speaker 11: But are these models going to impact all of our

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Speaker 11: lives in the months and years to come? Like yes, absolutely.

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Speaker 11: I think that here in the UK, those that are

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Speaker 11: in the industry, those that follow this are just as

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Speaker 11: outware and on top of what's going on as his

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Speaker 11: in the US. But I think that within the UK

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Speaker 11: there isn't such a sort of cultural resonance of developments

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Speaker 11: in technology as perhaps there is in the US by

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Speaker 11: virtue of the fact that it's such a large and

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Speaker 11: important part of the US economy, and in the UK

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Speaker 11: sadly it is not such a dominant part of our economy.

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Speaker 4: I mean, Peter, what hasn't been notable is while we're

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Speaker 4: all spell bound by AI, the whole world has been

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Speaker 4: spell bound by space over the course of the weekend.

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Speaker 4: And I'm interested, therefore in your exposure to SpaceX and

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Speaker 4: exposure to XAI in many ways, how are you thinking

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Speaker 4: about this moment that everyone's world changes if they get

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Speaker 4: access to some of these big companies not just being private,

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Speaker 4: but potential to be public as well.

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Speaker 11: I think it's important that every day investors are able

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Speaker 11: to access these kinds of companies, and so I think

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Speaker 11: these companies coming to the public markets is overall a

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Speaker 11: good thing. I think what is in many ways a

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Speaker 11: shame for the everyday investor is that there is so

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Speaker 11: much growth that has already happened before these companies come

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Speaker 11: to the public markets. And it's not just anthropic. It's

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Speaker 11: not just SpaceX. You could look at Byte Dance, for instance,

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Speaker 11: in China. The owner of TikTok Byte Dance today is

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Speaker 11: forty to fifty times larger in revenue and profit then

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Speaker 11: Facebook was when it listed. That's a leg of growth,

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Speaker 11: an enormous amount of growth, which is a crue to

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Speaker 11: private market investors which is foregone by public markets investors.

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Speaker 11: And so this is why we invest in these companies.

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Speaker 11: It's to be able to give our clients access to

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Speaker 11: this growth that's happening privately. Historically that happen in the

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Speaker 11: public markets. But where you can only really do growth

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Speaker 11: investing properly today if you're doing it in both the

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Speaker 11: private and the public markets.

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Speaker 3: Peter, I know we've had the opportunity to speak to

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Speaker 3: you a lot recently, just very quickly. At this point,

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Speaker 3: does the market understand the economics of orbital data center

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Speaker 3: ahead of this space X ipo.

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Speaker 11: No, I don't think the market does understand the economics

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Speaker 11: of orbital data centers. I think that this is a

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Speaker 11: very nascent idea in Nason technology, and where that value

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Speaker 11: can potentially accrue I think is through the vertical integration

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Speaker 11: with the models. If we get to this place where

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Speaker 11: power for computing AI models is existential pinch point for

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Speaker 11: these businesses. So in short, no, I think it's not

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Speaker 11: yet well understood. It doesn't in a sense exist yet.

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Speaker 11: But I think what is well understood at SpaceX is

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Speaker 11: the incredible launch business they have and the incredible economics

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Speaker 11: of Starlink.

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Speaker 3: Peter Singlehurst of Bailey Gifford, thank you very much. Now

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Speaker 3: coming up, a Trump family crypto venture. It's facing some

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Speaker 3: investor backlash. We got more on that next, this is

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Speaker 3: Bloomberg Tech.

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Speaker 4: It's time now for Talking Tech and first up, World

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Speaker 4: Liberty Financial. It's a Trump family crypto venture and it's

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Speaker 4: facing an investor revolt that includes billionaire backer Justin's Sun,

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Speaker 4: who says the project is secretly building controls that len insiders,

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Speaker 4: freeze tokenholders funds and extract cash before a wave of

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Speaker 4: tokens are then unlocked.

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Speaker 2: Look.

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Speaker 4: World Liberty has roundly rejected the criticism the token trays.

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Speaker 4: They're a record low, according to Quinn Gecko. Plus, the

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Speaker 4: federal government is movie to settle in case over Amazon's

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Speaker 4: treatment of a group of contract delivery drivers, and the

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Speaker 4: National Labor Real Nations Board argued Amazon was the driver's

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Speaker 4: joint employer was therefore liable for their treatment, but the

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Speaker 4: proposed settlement would provide two weeks paid dozens of workers

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Speaker 4: without finding Amazon leavel and many college graduates are working

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Speaker 4: jobs that high schoolers could land, with almost forty three

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Speaker 4: percent of US graduates age twenty two to twenty some

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Speaker 4: underemployed as of December twenty twenty five, the worst rate

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Speaker 4: since the pandemic. Why many are blaming the rise of

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Speaker 4: AI as well as an imbalance in supply and demand

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Speaker 4: ed this is a question of AI washing. How much

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Speaker 4: is this to do with AI and companies slowing hiring

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Speaker 4: or firing. How much is it actually just that too

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Speaker 4: many people are getting degrees now for the amount of jobs.

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Speaker 2: That are out there.

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Speaker 3: It's very specific data, but it speaks to one clear thing,

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Speaker 3: which is AI is shrinking the market for white collar

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Speaker 3: entry level jobs. Data input, basic coding are the graduate

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Speaker 3: level jobs that.

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Speaker 2: You would bank on.

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Speaker 3: Now those people that have degrees can't get them. So

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Speaker 3: they're going into restaurant, retail service industries to find employment.

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Speaker 4: Yeah, even babysitting. Look basically, they've got to make the money,

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Speaker 4: still work for them, But what is the job of

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Speaker 4: the future. And there's a lot of anxiety in those

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Speaker 4: that are still at university. I speaking with the NYU

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Speaker 4: Stern professor Run Sundarajan just last week and him saying

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Speaker 4: the amount of anxiety among his current tuition folks.

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Speaker 2: But they're also all.

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Speaker 4: Getting more entrepreneurial. Everyone's spinning up a business set right and.

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Speaker 3: At the same time college applications going like that.

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Speaker 2: In Congress, we're coming up.

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Speaker 3: We're going to speak with the Roblock CEO Dave Bazuki

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Speaker 3: as the company announces new age based accounts and experiented

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Speaker 3: parental controls. This is Bloomberg Tech. Welcome back to Bloomberg Tech.

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Speaker 3: It's still the war in Iran and the situation in

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Speaker 3: the Middle East that the big driver in markets.

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Speaker 2: At the index.

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Speaker 3: Technology stocks modestly higher basically flat er up two tens

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00:23:03,840 --> 00:23:06,120
Speaker 3: fve percent and then as that one hundred. But within

443
00:23:06,240 --> 00:23:10,080
Speaker 3: that index the outperformances in software names. Remember last week

444
00:23:10,240 --> 00:23:12,640
Speaker 3: we saw some pressure on software names that all kind

445
00:23:12,640 --> 00:23:15,960
Speaker 3: of related to displacement from AI. But the other big

446
00:23:15,960 --> 00:23:19,360
Speaker 3: factories also oil Brent the global benchmark for oil. You're

447
00:23:19,359 --> 00:23:22,320
Speaker 3: above one hundred dollars a barrel again on Brent, and

448
00:23:22,440 --> 00:23:24,760
Speaker 3: the situation is a blockade in the straightfor moves who

449
00:23:24,800 --> 00:23:25,920
Speaker 3: went through it earlier.

450
00:23:25,640 --> 00:23:26,480
Speaker 2: In the program.

451
00:23:27,040 --> 00:23:29,200
Speaker 3: There isn't a lot of newsflow outside of that carrier

452
00:23:29,280 --> 00:23:32,960
Speaker 3: that's impacting the index level for tech, but there is

453
00:23:33,000 --> 00:23:34,840
Speaker 3: other news that's driving single names.

454
00:23:35,000 --> 00:23:37,399
Speaker 4: There is and let's check in on Roadblocks, which are

455
00:23:37,400 --> 00:23:41,399
Speaker 4: significantly in the green today the online gaming platform introducing

456
00:23:41,440 --> 00:23:45,120
Speaker 4: new age based accounts, expanded parental controls for users under sixteen,

457
00:23:45,320 --> 00:23:47,520
Speaker 4: and it's of course the latest effort by the company

458
00:23:47,600 --> 00:23:50,320
Speaker 4: to really enhanced safety for its younger audience. The update

459
00:23:50,359 --> 00:23:52,040
Speaker 4: comes as a company prepares to roll out also a

460
00:23:52,040 --> 00:23:54,280
Speaker 4: new subscription plan later this month. Got a lot to

461
00:23:54,280 --> 00:23:56,520
Speaker 4: talk about with the Roadblock CEO David Zouki. It is

462
00:23:56,560 --> 00:23:58,480
Speaker 4: wonderful to be joined by you, Dave, and there is

463
00:23:58,520 --> 00:24:01,240
Speaker 4: a lot to digest here, and a lot about age verification,

464
00:24:01,280 --> 00:24:03,960
Speaker 4: a lot about verifying the developers of the games too. Dave,

465
00:24:04,040 --> 00:24:05,720
Speaker 4: just talk us through what changes you make.

466
00:24:07,080 --> 00:24:08,199
Speaker 5: Hey, thanks for having me on.

467
00:24:08,359 --> 00:24:10,560
Speaker 12: And you know, when we've talked in the past, we've

468
00:24:10,640 --> 00:24:14,480
Speaker 12: shared our commitment to setting what we believe is the

469
00:24:14,600 --> 00:24:20,760
Speaker 12: global gold standard for healthy, safe, age appropriate digital engagement.

470
00:24:21,280 --> 00:24:23,720
Speaker 5: We've been innovating on this for years and years.

471
00:24:23,840 --> 00:24:28,639
Speaker 12: We started with age check in January for communication.

472
00:24:29,359 --> 00:24:32,560
Speaker 5: What we're rolling out today is the next phase.

473
00:24:32,240 --> 00:24:36,280
Speaker 12: In that implementation of that global gold standard. That of

474
00:24:36,359 --> 00:24:39,040
Speaker 12: course includes all the other things we've done in the past,

475
00:24:39,119 --> 00:24:43,040
Speaker 12: including innovating on text filtering and non sharing of images.

476
00:24:43,480 --> 00:24:48,399
Speaker 12: So today we're announcing kids accounts and select accounts. We

477
00:24:48,600 --> 00:24:53,240
Speaker 12: use age estimation to automatically assign people to the right

478
00:24:53,280 --> 00:24:58,359
Speaker 12: account and we connect them with appropriate content. For kids' accounts,

479
00:24:58,640 --> 00:25:01,600
Speaker 12: they get mild content, things like grow a garden.

480
00:25:02,359 --> 00:25:04,160
Speaker 5: For our older users.

481
00:25:03,720 --> 00:25:07,520
Speaker 12: In select accounts, they get moderate content as well, things

482
00:25:07,720 --> 00:25:12,280
Speaker 12: like emergency response. And users who are over sixteen of

483
00:25:12,320 --> 00:25:15,639
Speaker 12: course get regular roadblocks accounts. So this for us is

484
00:25:15,680 --> 00:25:20,120
Speaker 12: just a continuous evolution in our commitment to this establishment

485
00:25:20,359 --> 00:25:25,040
Speaker 12: of a global gold standard for safety and healthy digital engagement.

486
00:25:25,160 --> 00:25:28,399
Speaker 4: Let's talk about the underlying technology and as you literate,

487
00:25:28,560 --> 00:25:31,280
Speaker 4: it gets better and better. But age verification is very tough.

488
00:25:31,720 --> 00:25:33,160
Speaker 2: How good has it been?

489
00:25:33,359 --> 00:25:35,400
Speaker 4: How many people's age is it getting right? How many

490
00:25:35,440 --> 00:25:37,639
Speaker 4: people push back or try to dispute.

491
00:25:38,160 --> 00:25:43,040
Speaker 12: Yeah, we started experimenting with facial age estimation middle of

492
00:25:43,160 --> 00:25:46,840
Speaker 12: last year laid of last year. We saw that it

493
00:25:46,880 --> 00:25:50,800
Speaker 12: was more than good enough to estimate age, and in

494
00:25:50,840 --> 00:25:55,960
Speaker 12: addition to that we use additional signals. We're constantly incorporating

495
00:25:56,040 --> 00:25:59,520
Speaker 12: other signals in addition to facial age estimation to put

496
00:25:59,520 --> 00:26:02,600
Speaker 12: people in the right categories. It's enabled us to do

497
00:26:02,760 --> 00:26:06,000
Speaker 12: a lot of future things that not really many other

498
00:26:06,160 --> 00:26:09,840
Speaker 12: social networking or social media apps are doing, and that

499
00:26:09,920 --> 00:26:13,520
Speaker 12: includes connecting people with people of the right age, not

500
00:26:14,200 --> 00:26:18,240
Speaker 12: connecting older people with younger people when they're chatting, and

501
00:26:18,320 --> 00:26:21,600
Speaker 12: with this new innovation today, of course doubling down on

502
00:26:21,680 --> 00:26:23,520
Speaker 12: connecting people with the right content.

503
00:26:24,840 --> 00:26:28,080
Speaker 3: Dave, the balance is between sort of codifying, taking action

504
00:26:28,680 --> 00:26:31,719
Speaker 3: on age verification, which you've done, and then the impact

505
00:26:31,800 --> 00:26:35,280
Speaker 3: on engagement daily active users. What have you and the

506
00:26:35,320 --> 00:26:38,280
Speaker 3: team modeled for on how you see daily active use

507
00:26:38,320 --> 00:26:41,800
Speaker 3: as an engagement responding to this new set of rules.

508
00:26:42,600 --> 00:26:45,560
Speaker 12: Yeah, yeah, thank you for highlighting this, and I do

509
00:26:45,600 --> 00:26:49,000
Speaker 12: want to highlight as we run this company, we're always

510
00:26:49,080 --> 00:26:52,040
Speaker 12: leaning in on doing what we believe is the right

511
00:26:52,119 --> 00:26:55,760
Speaker 12: thing for our huge community almost one hundred and fifty

512
00:26:55,760 --> 00:27:00,160
Speaker 12: million daily active users, and respecting that community and building

513
00:27:00,200 --> 00:27:04,800
Speaker 12: an innovative product with safety built in by default. We've

514
00:27:04,840 --> 00:27:10,120
Speaker 12: seen sixty five percent of our US daily users now

515
00:27:10,280 --> 00:27:14,440
Speaker 12: age check. That number continues to grow and we're optimistic

516
00:27:14,480 --> 00:27:15,000
Speaker 12: about it.

517
00:27:15,320 --> 00:27:17,200
Speaker 5: So we have modeled this in.

518
00:27:17,400 --> 00:27:19,679
Speaker 12: We have a lot of other things coming throughout the

519
00:27:19,760 --> 00:27:23,359
Speaker 12: year as well, and we continue to focus on doing

520
00:27:23,400 --> 00:27:25,240
Speaker 12: the right thing for our community.

521
00:27:26,480 --> 00:27:30,639
Speaker 3: How much does weather A game is addictive or not

522
00:27:31,080 --> 00:27:34,120
Speaker 3: factor into this, Dave, And as you know, the broader

523
00:27:34,200 --> 00:27:40,120
Speaker 3: question is whether games gaming platform should be talked about

524
00:27:40,160 --> 00:27:42,439
Speaker 3: in the same conversation as what we're seeing in social

525
00:27:42,520 --> 00:27:46,240
Speaker 3: media bands around the world and the conversation on social

526
00:27:46,320 --> 00:27:47,440
Speaker 3: media addiction.

527
00:27:48,920 --> 00:27:50,960
Speaker 12: I want to speak out for the gaming industry as

528
00:27:50,960 --> 00:27:54,960
Speaker 12: a whole relative to social networking and social media. There's

529
00:27:55,000 --> 00:28:00,239
Speaker 12: something really important about multiplayer gaming and experience. It's a

530
00:28:00,320 --> 00:28:06,080
Speaker 12: connection activity rather than a being alone activity. It's an

531
00:28:06,080 --> 00:28:12,480
Speaker 12: activity that typically involves creation and imagination rather than raw consumption.

532
00:28:13,160 --> 00:28:17,720
Speaker 12: So we see gaming very differently than social media and

533
00:28:17,760 --> 00:28:21,560
Speaker 12: social networking, and in many respects, gaming is the is

534
00:28:21,600 --> 00:28:23,639
Speaker 12: the future extension of what I used to do on

535
00:28:23,680 --> 00:28:25,800
Speaker 12: a rainy day, which is call my friends on the

536
00:28:25,840 --> 00:28:29,600
Speaker 12: phone and connect with them that way. So we're optimistic

537
00:28:29,680 --> 00:28:33,080
Speaker 12: going forward. Gaming is very much in a different category.

538
00:28:33,520 --> 00:28:37,199
Speaker 12: We build a platform so people can have fun and

539
00:28:37,400 --> 00:28:40,800
Speaker 12: connect more than what you're mentioning.

540
00:28:41,320 --> 00:28:45,920
Speaker 4: With a safer environment not only comes well, parents and

541
00:28:46,000 --> 00:28:49,040
Speaker 4: children more willing to use, probably advertisers even more willing

542
00:28:49,040 --> 00:28:51,560
Speaker 4: to come on. And that's an area that you've been developing,

543
00:28:51,600 --> 00:28:54,200
Speaker 4: and particularly a revenue share with ads that are going

544
00:28:54,240 --> 00:28:58,000
Speaker 4: to be based within developers' games. How is that being

545
00:28:58,760 --> 00:29:01,840
Speaker 4: taken on by the developer that you work with, and

546
00:29:01,880 --> 00:29:03,720
Speaker 4: how you think about the revenue share? What sort of

547
00:29:03,760 --> 00:29:06,480
Speaker 4: amount to me thinking, yeah.

548
00:29:06,320 --> 00:29:09,040
Speaker 12: Yeah, I want to highlight once again, we always put

549
00:29:09,160 --> 00:29:13,720
Speaker 12: building a healthy, safe and age appropriate environment first amongst

550
00:29:13,800 --> 00:29:16,720
Speaker 12: everything and once again respecting that community.

551
00:29:17,320 --> 00:29:18,360
Speaker 5: But as you.

552
00:29:18,360 --> 00:29:21,800
Speaker 12: Correctly mentioned, in immersive three D environments, if I go

553
00:29:21,960 --> 00:29:25,600
Speaker 12: to a NASCAR race, for example, I may see some

554
00:29:26,160 --> 00:29:29,440
Speaker 12: interesting products on the cars or on the billboards, and

555
00:29:29,480 --> 00:29:33,160
Speaker 12: those are typically things that are appropriate for people of

556
00:29:33,200 --> 00:29:36,840
Speaker 12: all ages. So we continue to build out that advertising

557
00:29:36,920 --> 00:29:41,160
Speaker 12: opportunity on roadblocks. In addition to those immersive types of ads,

558
00:29:41,360 --> 00:29:45,400
Speaker 12: more and more of our creators are actually buying ads

559
00:29:45,440 --> 00:29:49,160
Speaker 12: to help people recognize that they have a new creation.

560
00:29:49,280 --> 00:29:51,040
Speaker 5: So we're still early in.

561
00:29:51,040 --> 00:29:54,320
Speaker 12: The advertising opportunity, but we believe it's very large.

562
00:29:55,040 --> 00:29:58,280
Speaker 4: How large could the revenue split feed? Have you got

563
00:29:58,320 --> 00:30:00,680
Speaker 4: an idea of where that percentage WI ledge out on

564
00:30:00,760 --> 00:30:02,480
Speaker 4: particular developers.

565
00:30:02,520 --> 00:30:05,840
Speaker 12: Well, we do have kind of internal models and we're

566
00:30:06,000 --> 00:30:10,000
Speaker 12: very optimistic that. You know, for creators building games and

567
00:30:10,040 --> 00:30:15,800
Speaker 12: experiences on roadblocks, they primarily monetize right now with virtual currency,

568
00:30:15,840 --> 00:30:19,560
Speaker 12: with our Robucks system. There are millions and you know

569
00:30:20,080 --> 00:30:23,080
Speaker 12: creators on our platform, and a portion of them actually

570
00:30:23,080 --> 00:30:27,120
Speaker 12: build creations that monetize. And we've shared how this vibrant

571
00:30:27,720 --> 00:30:31,080
Speaker 12: community is really building a new place for people to

572
00:30:31,200 --> 00:30:36,480
Speaker 12: work and to build small studios and beyond advertising is

573
00:30:36,520 --> 00:30:39,120
Speaker 12: another compliment for how they may monetize.

574
00:30:40,040 --> 00:30:40,280
Speaker 8: Dave.

575
00:30:40,360 --> 00:30:43,000
Speaker 3: I'm looking at your company shares up almost five percent

576
00:30:43,080 --> 00:30:44,480
Speaker 3: in the session. I'm trying to work out what the

577
00:30:44,480 --> 00:30:48,680
Speaker 3: market's really responding to here and Friday Night, Roadblocks launched.

578
00:30:48,680 --> 00:30:51,720
Speaker 3: This new subscription plan goes live April thirtieth, I think,

579
00:30:51,920 --> 00:30:55,760
Speaker 3: but it basically replaces the premium tier. There seems to

580
00:30:55,800 --> 00:30:58,200
Speaker 3: be a lot of good vibes around that. What was

581
00:30:58,240 --> 00:31:00,760
Speaker 3: the rational and how do you see it playing out?

582
00:31:02,640 --> 00:31:05,840
Speaker 12: More and more we see two types of subscriptions on

583
00:31:05,880 --> 00:31:09,560
Speaker 12: our platform. A large number of parents, you know, the

584
00:31:09,600 --> 00:31:12,880
Speaker 12: future of what we see happening on Roadblocks. When I

585
00:31:13,080 --> 00:31:16,560
Speaker 12: was younger, I got an allowance to go buy comic

586
00:31:16,600 --> 00:31:20,880
Speaker 12: books at the local drug store. Today, a lot of

587
00:31:20,960 --> 00:31:25,320
Speaker 12: young people are learning about digital finance by getting a

588
00:31:25,440 --> 00:31:28,520
Speaker 12: Roebucks allowance from their parents. So we do have a

589
00:31:28,560 --> 00:31:33,880
Speaker 12: subscription for Roebucks so parents can give their kids recurring

590
00:31:33,960 --> 00:31:37,200
Speaker 12: roebucks and they can learn about digital finance. In addition,

591
00:31:37,720 --> 00:31:41,720
Speaker 12: we announced Roadblocks Plus, which is for those highly engaged

592
00:31:41,840 --> 00:31:46,040
Speaker 12: users that want a discount on the roebucks that they're spending,

593
00:31:46,200 --> 00:31:49,040
Speaker 12: want free digital servers, and a few other things like that.

594
00:31:49,400 --> 00:31:52,400
Speaker 12: It's a compliment to the allowance, but more and more.

595
00:31:52,480 --> 00:31:55,280
Speaker 12: Roadblocks is a place where young people are learning about

596
00:31:55,320 --> 00:31:56,320
Speaker 12: digital finance.

597
00:31:57,320 --> 00:32:00,280
Speaker 3: Dave a zookie of Roadblocks, important pieces, several piece of

598
00:32:00,360 --> 00:32:03,360
Speaker 3: news out of the company, Thank you very much. There's

599
00:32:03,360 --> 00:32:06,440
Speaker 3: some interesting market activity that's going on. Look at shares

600
00:32:06,480 --> 00:32:10,400
Speaker 3: of Dell and HP Inc. Both of them moved very

601
00:32:10,520 --> 00:32:14,360
Speaker 3: quickly to session highs after a report from semi Accurate,

602
00:32:15,000 --> 00:32:18,320
Speaker 3: a website which basically said that Nvidia has been in

603
00:32:18,440 --> 00:32:22,040
Speaker 3: negotiations for every year to buy a large company quote

604
00:32:22,160 --> 00:32:26,080
Speaker 3: that will reshape the PC landscape, without naming the specifics

605
00:32:26,080 --> 00:32:26,400
Speaker 3: of it.

606
00:32:27,240 --> 00:32:27,440
Speaker 2: You know.

607
00:32:27,480 --> 00:32:29,880
Speaker 3: We note in a BFW on the terminal that semi

608
00:32:29,880 --> 00:32:32,840
Speaker 3: Accurate has been reporting on this kind of ongoing story

609
00:32:32,880 --> 00:32:35,920
Speaker 3: since twenty twenty four. Late twenty four, but the stocks

610
00:32:35,960 --> 00:32:38,600
Speaker 3: both moved higher. Dell's up four and a half percent

611
00:32:38,600 --> 00:32:41,720
Speaker 3: as it stands, HPN cup two percent. Bloomberg News is

612
00:32:41,720 --> 00:32:44,000
Speaker 3: out to comment for all three of those companies and

613
00:32:44,080 --> 00:32:45,560
Speaker 3: yet to hear Backgary.

614
00:32:45,600 --> 00:32:48,400
Speaker 4: Keep an eye on it. Meanwhile, coming up that record

615
00:32:48,480 --> 00:32:51,880
Speaker 4: rating Artemis two crew back on Earth, NASA and its

616
00:32:51,880 --> 00:32:54,240
Speaker 4: partners turned their attention now. Of course, they're landing humans

617
00:32:54,240 --> 00:32:56,440
Speaker 4: on the Moon as soon as twenty twenty eight. We'll

618
00:32:56,480 --> 00:32:58,080
Speaker 4: discuss that next as bloom meb tech.

619
00:33:06,600 --> 00:33:10,040
Speaker 3: After blasting off from Earth the historic trip around the

620
00:33:10,040 --> 00:33:13,880
Speaker 3: Moon and back, the Artemis crew splashed down safely on

621
00:33:13,960 --> 00:33:17,840
Speaker 3: Friday evening in the Lockheed Martin built Oryan capsule. The

622
00:33:17,920 --> 00:33:22,160
Speaker 3: roughly thirteen minutes plunge back to Earth was expected to

623
00:33:22,200 --> 00:33:25,080
Speaker 3: be a nail bitter, not just because of the twenty

624
00:33:25,160 --> 00:33:27,920
Speaker 3: five thousand miles per hour speed o Ryan re entered

625
00:33:27,960 --> 00:33:31,480
Speaker 3: the atmosphere at but also because of concerns about the

626
00:33:31,480 --> 00:33:34,240
Speaker 3: heat shield meant to protect the crew from temperatures of

627
00:33:34,320 --> 00:33:37,000
Speaker 3: up to nearly five thousand degrees fahrenheit.

628
00:33:37,080 --> 00:33:39,000
Speaker 2: NASA administrator Jared.

629
00:33:38,720 --> 00:33:42,840
Speaker 3: Eisaman posting that the discolouration scene in pictures after Orion

630
00:33:42,960 --> 00:33:45,880
Speaker 3: was recovered was not parts of the heat shield that

631
00:33:45,920 --> 00:33:49,000
Speaker 3: have come loose or unexpected behavior in the materials as

632
00:33:49,080 --> 00:33:51,680
Speaker 3: it happened in Artemis one. NASA is now doing a

633
00:33:51,720 --> 00:33:54,480
Speaker 3: full data review of the systems along with his partners,

634
00:33:54,520 --> 00:33:59,000
Speaker 3: including Lockheed Martin, the company's head of human space exploration,

635
00:33:59,400 --> 00:34:02,760
Speaker 3: and the URON program manager. Kerk Shiman joins us now

636
00:34:02,760 --> 00:34:05,720
Speaker 3: here on Bloomberg Tech. Let's start with that point. I

637
00:34:05,720 --> 00:34:08,960
Speaker 3: think that the administrator was compelled to post on X

638
00:34:09,040 --> 00:34:14,200
Speaker 3: because people looked at at integrity of the Orion spacecraft

639
00:34:14,239 --> 00:34:16,600
Speaker 3: as it was hoisted out of the water and onto

640
00:34:16,640 --> 00:34:19,640
Speaker 3: the naval vessel. But what does the early data show

641
00:34:19,680 --> 00:34:23,719
Speaker 3: you about how the heat shield performed and basically end

642
00:34:23,719 --> 00:34:25,600
Speaker 3: to end mission success.

643
00:34:27,040 --> 00:34:31,160
Speaker 13: Absolutely, the vehicle performed exceptionally well, we're very, very pleased

644
00:34:31,200 --> 00:34:33,719
Speaker 13: with how it performed. The heat shield did exactly what

645
00:34:33,760 --> 00:34:36,319
Speaker 13: it was supposed to do. It protected the crew and

646
00:34:36,360 --> 00:34:39,720
Speaker 13: the vehicle from those very high temperatures that you mentioned.

647
00:34:41,280 --> 00:34:43,359
Speaker 8: I actually got to see some pictures that.

648
00:34:43,280 --> 00:34:47,040
Speaker 13: The divers, the Navy divers took from underwater, and they

649
00:34:47,080 --> 00:34:50,080
Speaker 13: looked all exceptionally Well. You know, when you come in

650
00:34:50,800 --> 00:34:53,120
Speaker 13: and you have that high heating and then the atmosphere,

651
00:34:53,719 --> 00:34:56,160
Speaker 13: the wind and so on, you expect to have some

652
00:34:56,680 --> 00:35:01,520
Speaker 13: discolouration from that experience. But all in all, the vehicle

653
00:35:01,560 --> 00:35:04,080
Speaker 13: performed the heat shield and the tiles on the top

654
00:35:04,160 --> 00:35:06,000
Speaker 13: of the vehicle performed exceptionally.

655
00:35:06,040 --> 00:35:07,440
Speaker 8: Well, we're very, very pleased.

656
00:35:07,440 --> 00:35:10,439
Speaker 13: We're looking forward to getting more detailed photographs right as

657
00:35:10,440 --> 00:35:12,400
Speaker 13: we have the vehicle back in San Diego and on

658
00:35:12,440 --> 00:35:12,920
Speaker 13: to Euston.

659
00:35:13,760 --> 00:35:16,680
Speaker 3: Hey, Kirk, that's just good old fashioned rocket science for

660
00:35:16,680 --> 00:35:18,799
Speaker 3: a flat bottom capsule, right, how do you slow it

661
00:35:18,840 --> 00:35:20,400
Speaker 3: down on the re entry interface?

662
00:35:20,880 --> 00:35:22,359
Speaker 2: Bang it into a wall of air?

663
00:35:22,640 --> 00:35:24,480
Speaker 3: I mean, on this program we talked about how to

664
00:35:24,560 --> 00:35:26,759
Speaker 3: fix Atomis one to Automus two.

665
00:35:26,840 --> 00:35:28,000
Speaker 2: Is actually the angle of.

666
00:35:28,000 --> 00:35:31,120
Speaker 3: Re entry rather than some kind of fundamental change to

667
00:35:31,200 --> 00:35:32,440
Speaker 3: the materials of design.

668
00:35:32,880 --> 00:35:34,840
Speaker 2: But with Automis three.

669
00:35:34,400 --> 00:35:36,560
Speaker 3: There will be some tweaks, right, what can you tell

670
00:35:36,600 --> 00:35:37,239
Speaker 3: us about that?

671
00:35:38,719 --> 00:35:38,959
Speaker 5: Sure?

672
00:35:39,080 --> 00:35:42,879
Speaker 13: On Arms three we use the same shape of av

673
00:35:42,960 --> 00:35:46,200
Speaker 13: coat tiles, but the formulation of av code is slightly different,

674
00:35:46,600 --> 00:35:50,960
Speaker 13: and so we're looking forward to different performance, actually better performance,

675
00:35:51,000 --> 00:35:54,400
Speaker 13: and we can basically skip out of the atmosphere shortly

676
00:35:54,760 --> 00:35:58,200
Speaker 13: and extend our downrange, which is really important for our

677
00:35:58,200 --> 00:36:03,160
Speaker 13: operational constraints. So looking forward to a more operationally friendly

678
00:36:03,600 --> 00:36:06,120
Speaker 13: heats shield on Artists three and subsequent vehicles.

679
00:36:06,400 --> 00:36:08,319
Speaker 4: I mean, Kirk, there must have been lots you're looking

680
00:36:08,320 --> 00:36:10,360
Speaker 4: forward to and getting your hands on it back in Houston,

681
00:36:10,400 --> 00:36:12,560
Speaker 4: and I'm interested in the early day and more broadly

682
00:36:12,600 --> 00:36:15,200
Speaker 4: the crude feedback. What is the most important things that

683
00:36:15,239 --> 00:36:16,719
Speaker 4: you've learned from integrity?

684
00:36:18,920 --> 00:36:20,280
Speaker 8: Well, of course everyone.

685
00:36:20,320 --> 00:36:22,720
Speaker 13: You can imagine how we engineers are interested in every

686
00:36:22,760 --> 00:36:25,000
Speaker 13: little detail that we learned along the way.

687
00:36:25,360 --> 00:36:27,200
Speaker 8: I think the beautiful thing about.

688
00:36:26,920 --> 00:36:29,000
Speaker 13: Having the crew back and talking about it is kind

689
00:36:29,000 --> 00:36:31,480
Speaker 13: of what we've learned about our planet and where we

690
00:36:31,520 --> 00:36:35,160
Speaker 13: sit in the universe. To me, it was so exciting

691
00:36:35,200 --> 00:36:38,319
Speaker 13: to hear them talk and basically see the Moon and

692
00:36:38,400 --> 00:36:40,640
Speaker 13: ultimately our Earth through their eyes.

693
00:36:40,680 --> 00:36:41,920
Speaker 8: It was just fantastic.

694
00:36:42,080 --> 00:36:44,719
Speaker 13: Hopefully you've had a chance to hear that, and if not,

695
00:36:44,800 --> 00:36:46,560
Speaker 13: you will over the coming days.

696
00:36:47,400 --> 00:36:50,680
Speaker 4: It's a joy to see so many almost get philosophical

697
00:36:50,880 --> 00:36:54,440
Speaker 4: in these moments when it comes to planetary exploration and

698
00:36:54,480 --> 00:36:56,720
Speaker 4: the moon and just how we sit within this universe,

699
00:36:56,760 --> 00:36:59,200
Speaker 4: and you too. But when you are thinking about how

700
00:36:59,239 --> 00:37:01,680
Speaker 4: the engineers get nitty gritty and some of the key

701
00:37:01,719 --> 00:37:05,280
Speaker 4: things that you're looking to confirm before Ryan flies again,

702
00:37:06,040 --> 00:37:08,920
Speaker 4: what do you think is the most detail oriented focus

703
00:37:08,960 --> 00:37:09,480
Speaker 4: you're going to have.

704
00:37:11,560 --> 00:37:15,120
Speaker 13: Sure, I think everything that didn't perform exactly as expected

705
00:37:15,160 --> 00:37:18,400
Speaker 13: on this flight, or where we'll really dig in. Lockheed

706
00:37:18,440 --> 00:37:21,920
Speaker 13: and NASA spend all their time or ninety percent of

707
00:37:21,960 --> 00:37:24,160
Speaker 13: their time looking at the things that didn't go right

708
00:37:24,600 --> 00:37:26,120
Speaker 13: as opposed to all the things that did.

709
00:37:26,640 --> 00:37:29,279
Speaker 4: They was one thing that you're writing about one other

710
00:37:29,360 --> 00:37:32,799
Speaker 4: things that perhaps didn't form exactly as you anticipated, even

711
00:37:32,800 --> 00:37:33,480
Speaker 4: if not badly.

712
00:37:34,880 --> 00:37:38,000
Speaker 13: Sure, we had a valve that didn't work right relative

713
00:37:38,080 --> 00:37:41,560
Speaker 13: to the water, the drinkable water, the potable water system.

714
00:37:41,880 --> 00:37:46,200
Speaker 13: We had a system that does introduces helium into the

715
00:37:46,280 --> 00:37:49,680
Speaker 13: propellant tanks as we deplete propellant that didn't work exactly

716
00:37:49,719 --> 00:37:50,320
Speaker 13: as expected.

717
00:37:50,400 --> 00:37:53,120
Speaker 8: So we'll definitely dive into those issues.

718
00:37:53,719 --> 00:37:57,839
Speaker 13: And then a few little features with telemetry that we'll

719
00:37:57,840 --> 00:38:00,960
Speaker 13: have to fully understand. We think that's probably aware issue,

720
00:38:00,960 --> 00:38:03,440
Speaker 13: but we'll understand it and correct it for future flights.

721
00:38:04,360 --> 00:38:08,680
Speaker 3: Christina Kirk mission specialist turned astro plumber.

722
00:38:08,840 --> 00:38:10,799
Speaker 2: I don't know how you would describe that.

723
00:38:11,200 --> 00:38:13,440
Speaker 3: You know, I appreciate the answer of the things that

724
00:38:13,480 --> 00:38:16,000
Speaker 3: didn't quite go right, and you know there's a data process,

725
00:38:16,400 --> 00:38:20,600
Speaker 3: a review process, right, but what exceeded expectations. You know,

726
00:38:20,680 --> 00:38:24,279
Speaker 3: everyone makes a lot of the idea that integrity or

727
00:38:24,400 --> 00:38:27,920
Speaker 3: ryan is a spacecraft is the size of a small bus,

728
00:38:27,920 --> 00:38:29,320
Speaker 3: a Campa van three.

729
00:38:29,239 --> 00:38:31,000
Speaker 2: Hundred and thirty cubic feet, right, you know.

730
00:38:31,120 --> 00:38:34,920
Speaker 3: But it got them two hundred and fifty thousand miles

731
00:38:34,960 --> 00:38:37,560
Speaker 3: plus from Earth, around the Moon and back, and by

732
00:38:37,640 --> 00:38:39,160
Speaker 3: all accounts, they had a great time.

733
00:38:39,239 --> 00:38:41,200
Speaker 2: What exceeded your expectations, Kirk?

734
00:38:42,480 --> 00:38:46,000
Speaker 13: Sure, Ryan has twelve million, five hundred thousand parts, so

735
00:38:46,160 --> 00:38:48,560
Speaker 13: most of those parts did exactly what they were supposed

736
00:38:48,560 --> 00:38:53,280
Speaker 13: to do. I think the big surprise, or not a surprise,

737
00:38:53,360 --> 00:38:54,480
Speaker 13: but exceedance.

738
00:38:54,040 --> 00:38:56,840
Speaker 8: Of expectation, was the systems that keep.

739
00:38:56,719 --> 00:39:00,000
Speaker 13: The crew alive and happy, that the scrub carbon dioxide

740
00:39:00,080 --> 00:39:03,360
Speaker 13: out of the atmosphere, that introduced auction in the atmosphere.

741
00:39:04,160 --> 00:39:08,240
Speaker 13: That basically all those systems that keep the crew alive

742
00:39:08,320 --> 00:39:10,719
Speaker 13: and healthy and then interfaced with the crew to the

743
00:39:10,840 --> 00:39:12,640
Speaker 13: vehicle performed flawlessly.

744
00:39:12,680 --> 00:39:15,279
Speaker 8: It was just exceptional. And that was all new for

745
00:39:15,320 --> 00:39:15,719
Speaker 8: this flight.

746
00:39:15,760 --> 00:39:18,160
Speaker 13: So we were expecting to learn things, but by and

747
00:39:18,239 --> 00:39:20,200
Speaker 13: large those exceeded our expectations.

748
00:39:21,239 --> 00:39:21,439
Speaker 2: Cok.

749
00:39:21,520 --> 00:39:24,600
Speaker 3: This was a great feat for NASA and for America.

750
00:39:24,640 --> 00:39:28,680
Speaker 3: But we should be kind to your European colleagues, the

751
00:39:28,719 --> 00:39:32,760
Speaker 3: European Space Agency and the companies involved in the service.

752
00:39:32,840 --> 00:39:38,719
Speaker 3: Module absolutely critical for life support and other critical systems.

753
00:39:39,120 --> 00:39:42,880
Speaker 3: How did the service module perform, To the best of

754
00:39:42,920 --> 00:39:44,320
Speaker 3: Lockheed's knowledge.

755
00:39:45,640 --> 00:39:47,080
Speaker 8: It performed exceptionally well.

756
00:39:47,320 --> 00:39:49,920
Speaker 13: We have a great relationship with Airbus, which is the

757
00:39:49,920 --> 00:39:52,680
Speaker 13: industry partner in Europe that built the service module, and

758
00:39:52,760 --> 00:39:56,200
Speaker 13: the European Space Agency. They were there in the Michigan

759
00:39:56,200 --> 00:39:59,480
Speaker 13: control room sitting right next to us during the entire mission,

760
00:39:59,480 --> 00:40:03,759
Speaker 13: including splash down, and again they were extremely thrilled by

761
00:40:03,760 --> 00:40:04,960
Speaker 13: the performance of service.

762
00:40:04,719 --> 00:40:06,160
Speaker 8: Modules, as were we.

763
00:40:06,480 --> 00:40:08,320
Speaker 13: Of course, there were one or two things that didn't

764
00:40:08,320 --> 00:40:11,000
Speaker 13: work exactly as planned, and we'll get to the bottom

765
00:40:11,000 --> 00:40:15,120
Speaker 13: of those with Buy and Large. It performed better than

766
00:40:15,120 --> 00:40:17,839
Speaker 13: we better than we expected it to form.

767
00:40:18,080 --> 00:40:19,799
Speaker 8: It was exceptional well.

768
00:40:20,440 --> 00:40:22,720
Speaker 4: I think the rest of the world was highly pleased.

769
00:40:22,760 --> 00:40:24,920
Speaker 4: It went so well as well. KERK Shaman, thanks for

770
00:40:24,960 --> 00:40:28,000
Speaker 4: giving us your time. VP of Human Space Exploration and

771
00:40:28,040 --> 00:40:31,560
Speaker 4: oryan program manager for Lockie Martin. There now coming up.

772
00:40:31,920 --> 00:40:32,879
Speaker 2: Apple moves to.

773
00:40:32,800 --> 00:40:35,839
Speaker 4: Decentralize its AI leadership as it is is it's next

774
00:40:35,840 --> 00:40:38,960
Speaker 4: hardware hit on that next this is Blue Medtech.

775
00:40:48,840 --> 00:40:51,800
Speaker 3: Apple's hitting a major inflection point in its AI journey.

776
00:40:51,800 --> 00:40:55,279
Speaker 3: Apple's AI head is officially departing this week, while a

777
00:40:55,320 --> 00:40:59,239
Speaker 3: new product roadmap is coming into focus. It's all detailed

778
00:40:59,560 --> 00:41:02,439
Speaker 3: in the late this power on by Bloomberg Smart gunman

779
00:41:02,480 --> 00:41:06,719
Speaker 3: who joins us now display free smart glasses.

780
00:41:07,920 --> 00:41:10,480
Speaker 2: What do we know? Give us a little bit of

781
00:41:10,520 --> 00:41:12,719
Speaker 2: the history and really.

782
00:41:15,640 --> 00:41:19,600
Speaker 14: Yes, really smart glasses. That is Apple's next big thing.

783
00:41:20,480 --> 00:41:24,000
Speaker 14: They've grown in popularity right. Tons of people are wearing them,

784
00:41:24,000 --> 00:41:26,000
Speaker 14: not only in Silicon Valley but in all parts of

785
00:41:26,040 --> 00:41:28,919
Speaker 14: the world. Meta has done a great job with their

786
00:41:28,960 --> 00:41:31,960
Speaker 14: smart glasses. Here, I'll put them on for you. These

787
00:41:32,040 --> 00:41:35,000
Speaker 14: are the Meta ray Ban display glasses. So these have

788
00:41:35,040 --> 00:41:38,359
Speaker 14: a little heads up display in them. Apples won't, like

789
00:41:38,400 --> 00:41:41,640
Speaker 14: you said, display free. The idea is that this is

790
00:41:41,680 --> 00:41:44,360
Speaker 14: the eyes and ears for AI and the cloud for

791
00:41:44,480 --> 00:41:48,040
Speaker 14: Siri and Apple Intelligence. These will rely heavily on the

792
00:41:48,080 --> 00:41:51,879
Speaker 14: new SERI coming in iOS twenty seven later this year.

793
00:41:51,960 --> 00:41:55,759
Speaker 14: These will probably go on sale next year. Apple's going

794
00:41:55,800 --> 00:41:57,920
Speaker 14: to be differentiating here a little bit because they're not

795
00:41:57,960 --> 00:42:00,200
Speaker 14: going to be working with an outside fashion part partner.

796
00:42:00,280 --> 00:42:02,160
Speaker 14: As far as we know, They're going to bring in

797
00:42:02,200 --> 00:42:04,919
Speaker 14: their own designs in house. For the most part, they're

798
00:42:04,920 --> 00:42:09,400
Speaker 14: working on four major designs. I've been told two rectangles

799
00:42:09,440 --> 00:42:13,080
Speaker 14: and two circular stocked ovals, one on each size, So

800
00:42:13,120 --> 00:42:16,040
Speaker 14: they're trying to make something for everyone, similar to when

801
00:42:16,080 --> 00:42:18,480
Speaker 14: they launched the Apple Watch back in twenty fifteen, how

802
00:42:18,520 --> 00:42:21,440
Speaker 14: they had several different colors bands and also of course

803
00:42:21,520 --> 00:42:26,239
Speaker 14: two sizes initially for men and women, but now they

804
00:42:26,280 --> 00:42:28,680
Speaker 14: have multiple sizes as well a third size with the

805
00:42:28,680 --> 00:42:32,319
Speaker 14: Apple Watch Ultra. So definitely taking a look at what

806
00:42:32,400 --> 00:42:35,600
Speaker 14: looks best for different people. This is going to be

807
00:42:35,640 --> 00:42:38,000
Speaker 14: pretty exciting, I think, and I think Apple has the

808
00:42:38,120 --> 00:42:41,520
Speaker 14: ingredients to be a serious winner in the smart glasses arena.

809
00:42:41,600 --> 00:42:43,359
Speaker 4: Maybe we'll all look a bit more like Tim Cook

810
00:42:43,400 --> 00:42:45,680
Speaker 4: as you say, one of the slimmer rectangular designs is

811
00:42:45,760 --> 00:42:46,960
Speaker 4: sort of based on what he wears.

812
00:42:47,040 --> 00:42:47,279
Speaker 10: Mark.

813
00:42:47,360 --> 00:42:51,000
Speaker 4: But the age old idea is that Apple comes later

814
00:42:51,480 --> 00:42:53,600
Speaker 4: but wins. How much do they need to win? How

815
00:42:53,680 --> 00:42:55,080
Speaker 4: much does that need to be integrated with the new

816
00:42:55,160 --> 00:42:56,360
Speaker 4: leadership in AI quickly?

817
00:42:57,480 --> 00:43:01,000
Speaker 14: Yeah, well, smart glasses story for Apple is going to

818
00:43:01,000 --> 00:43:03,280
Speaker 14: be strong. I think the big leg up Apple has

819
00:43:03,760 --> 00:43:07,960
Speaker 14: is this thing. The metaglasses don't pair as nicely as

820
00:43:08,040 --> 00:43:11,320
Speaker 14: Meta would like with the iPhone. Any third parties for

821
00:43:11,360 --> 00:43:13,759
Speaker 14: our classes don't pair as nicely with the iPhone as

822
00:43:13,800 --> 00:43:16,120
Speaker 14: Apple in house Glass as well, and so given them

823
00:43:16,120 --> 00:43:19,880
Speaker 14: a number of iPhones in use, the attachment rate I

824
00:43:19,920 --> 00:43:23,120
Speaker 14: think will be material for the company. So I think

825
00:43:23,160 --> 00:43:25,040
Speaker 14: they're very much looking forward to getting these out the

826
00:43:25,040 --> 00:43:25,680
Speaker 14: door next year.

827
00:43:26,520 --> 00:43:29,560
Speaker 4: Mark German as always with the power on over the weekend,

828
00:43:29,560 --> 00:43:32,279
Speaker 4: which remains one of the most read stories we can

829
00:43:32,400 --> 00:43:33,719
Speaker 4: week out. We appreciate it.

830
00:43:34,160 --> 00:43:34,960
Speaker 2: Now, that does it.

831
00:43:35,000 --> 00:43:38,160
Speaker 4: For the edition of Bloomberg Tech Ed, we did a

832
00:43:38,160 --> 00:43:40,760
Speaker 4: lot of AI, a lot of space, a lot to digest.

833
00:43:41,000 --> 00:43:44,960
Speaker 3: Yeah, maybe not as many breaking US headlines technology stories,

834
00:43:45,000 --> 00:43:47,000
Speaker 3: but a lot of deeper conversation about things have been

835
00:43:47,000 --> 00:43:49,920
Speaker 3: going a while now. Check out the podcast to recap

836
00:43:50,000 --> 00:43:51,600
Speaker 3: all of that. You can find it on the terminal

837
00:43:51,880 --> 00:43:56,239
Speaker 3: as well as online on Apple, Spotify, and iHeart This

838
00:43:56,280 --> 00:43:57,000
Speaker 3: is boombag Tech