Snap Shares Plunge and Tesla Layoffs Loom | Bloomberg Technology
CAROLINE: I'M CAROLINE HYDE IN NEW YORK. ED: THIS IS BLOOMBERG TECHNOLOGY. CAROLINE: SNAP PLUNGES AFTER EARNINGS DISAPPOINTED AND THE COMPANY CITES A CHALLENGING OPERATING ENVIRONMENT FOR THE FULL-YEAR PARADE WE HAVE ALL THE COVERAGE AHEAD. ED: TESLA STAFF BRACING FOR LAYOFFS AS MANAGERS ARE ASKED BINARY QUESTIONS ON WHETHER EMPLOYEES ROLES ARE CRITICAL. CAROLINE: UBER EARNINGS SHOW ROBUST DEMAND FOR RIDES AND DELIVERIES. WE WILL SIT DOWN WITH THE UBER CEO. LET'S LOOK AT THE BROADER
MARKETS AND SOME STABILIZATION IN THE BOND MARKETS MEANS WE GET A REPRIEVE AND SOME BUYING INTO THE TECH MARKET. 7/10 OF A PERCENT ON THE NASDAQ. CONTINUING ON THE UP AND UP. 10 YEAR YIELDS JUST FLAT AHEAD OF A RECORD AMOUNT OF SUPPLY ON THE 10 YEAR AUCTION. BITCOIN NOT DOING MUCH.
TRADING ABOVE 43,000. SEEING WHAT'S HAPPENING IN CHINA, YESTERDAY WE SAW A REAL LEG HIGHER IN CHINESE INTERNET NAMES IN THE U.S.. TODAY WE LOSE SOME OF THAT OVERALL OPTIMISM BUT STILL AT 4% OVER THE LAST COUPLE OF DAYS. ED: A STORY I REPORTED THIS MORNING, TESLA HAS CANCELED OR POSTPONED PERFORMANCE REVIEWS THIS WEEK AND IS SAID TO MANAGERS LOOK AT EVERYONE WHO WORKS UNDER YOU AND TELLS US WHO IS CRITICAL. THERE'S A BIG WORRY FROM SOURCES INTERNALLY THAT BIG LAYOFFS ARE COMING. A BIG SPIKE HIGHER IN PREMARKET TRADE YOU CAN SEE WE'VE TRADED CHOPPY THROUGHOUT THE SESSION. BROADLY THAT'S POSITIVE TO
INVESTORS. TESLA HAS DONE THIS BEFORE USING PERFORMANCE REVIEWS AS A WAY OF PULLING BACK FOR DATA AND DETAILS BACK TO THE EARNING SIDE OF THE STORY, THERE ARE MIXED FORTUNES DEPENDING ON WHERE YOU ARE. STRONG EARNINGS, STRONG OUTLOOK. IT'S A STORY ABOUT AN APP THAT'S MORE DIVERSE. NEW PRODUCTS ARE HELPING ON THE MOBILITY SIDE AND WE WILL TALK TO THE CEO LATER TODAY.
SNAP DOWN WITH ITS BIGGEST DROP SINCE OCTOBER OF 2022. MISSING ESTIMATES. WHAT WAS WITH THOSE JOB CUTS IN SAVINGS IF YOU'RE STILL ON AN ADJUSTED BASIS LOSING $55 MILLION. EMERGING MARKETS IS WHAT THEY ARE ON, THE GROWTH IS NOWHERE TO BE SEEN.
LEADING COVERAGE OF SOCIAL MEDIA AND THE CREATOR ECONOMY. >> INVESTORS ARE OBVIOUSLY UNHAPPY, THEY ARE FRUSTRATED, LOSING CONFIDENCE AND THAT MAKES SENSE ESPECIALLY IN THE CONTEXT OF THE META-BLOWOUT EARNINGS LAST WEEK. IF YOU TAKE IT IN THAT CONTEXT IT REALLY WASN'T ALL THAT TERRIBLE FIRST SNAP BY ITS STANDARDS. IT'S Q4 REVENUE DAY CAME IN ON THE HIGHER END OF ITS INTERNAL GUIDANCE AND ITS REVENUE GROWTH FOR THE FULL YEAR WAS JUST ABOUT FLAT AND WHAT WE PRETTY MUCH WERE EXPECTING AN INSIDER INTELLIGENCE. THE PROBLEM FIRST SNAP IS THE
CONTEXT IS KEY INVESTORS. TWO META. -- AND INVESTORS ARE GOING TO COMPARE IT TO META. CAROLINE: IT IS ENOUGH BEING DONE TO TURN AROUND THE ADS IN PARTICULAR AND PROVE THEMSELVES? JASMINE: ONE OF THE THINGS THAT'S WORKING AGAINST SNAP IN ALL OF THIS IS ITS LACK OF SCALE IN COMPARISON TO ITS RIVALS. EVAN SPIEGEL SAID HE WILL
CONTINUE TO TRY AND GROW THE USER BASE BUT BECAUSE OF ITS SMALL SIZE IT IS CURRENTLY A LESS ESSENTIAL PLAYER FOR ADVERTISERS WHICH IMPACTS OUR DEMAND. IT ALSO MIX IT MORE CHALLENGING TO REBOUND SYSTEMS IT HAS LESS DATA AND SIGNAL TO BE ABLE TO WORK WITH IN ORDER TO DO THIS. >> WHEN YOU HAVE DAILY ACTIVE USERS, MONTHLY ACTIVATE HUNDRED MILLION. DO YOU JUST HAVE TO RECATEGORIZE WHAT SNAP IS. THIS IS A NICE COMPANY THAT WILL BE BOOSTING FOR ITS EARNINGS, JUST NOT AT A PACE WITH THE MAJOR PLAYERS.
JASMINE: WE ARE SEEING THE BIGGER PLAYERS GET BIGGER AND CONTINUE TO STRUGGLE. SNAP IS NEVER GOING TO BE A FACEBOOK OR INSTAGRAM, WITH HOW MANY USERS THERE ARE A LOT OF ONES ON THE PLATFORM. ONE OF THE BIG PROBLEMS ON THE SHOW BEFORE IS ITS PRIMARY USE CASE IS STILL MESSAGING. WE HEARD AGAIN THERE IS GROWTH IN ITS PUBLIC FACING SOCIAL MEDIA FEATURES. BUT THOSE PEOPLE WHO ARE USING ON A REGULAR BASIS ARE DOING SO TO MESSAGE. ONE OF THE THINGS IS ALL OF THIS IS ALSO COMING AT A TIME WHERE SNAP IS REPOSSESSING ITSELF AS THIS ANTI-SOCIAL MEDIA PLATFORM AND THAT MAKES SENSE IN TERMS OF THE PROBLEMS WITH SOCIAL MEDIA ESPECIALLY CONSIDERING THE TESTIMONY IN CONGRESS LAST WEEK. IT'S NOT GOING TO HELP ITS
BUSINESS. ED: LIKE EVERYONE ELSE REAL QUICK, THEY ARE SAYING THE CONFLICT IN THE MIDDLE EAST IS IMPACTING THEIR AD BUSINESS. WHAT DO YOU MAKE OF THAT? JASMINE: IT CERTAINLY WAS A HEADWIND FOR SNAP'S BUSINESS BUT I THINK THAT IS EMBLEMATIC OF THE LARGER LONG-STANDING CHALLENGES THAT SNAP HAS. IT'S DIRECT RESPONSE PLATFORM IS NOT AS SOPHISTICATED AND STILL MAKING IMPROVEMENTS ON THAT. BRAND ADVERTISERS WHO ARE SPENDING HEAVILY ESPECIALLY IN Q4 ON SNAP, THEY ARE MORE LIKELY TO PULL THEIR SPENDING IN TIMES OF CONFLICT OR CRISES AND WITHOUT THAT DIRECT RESPONSE ADVERTISING PLATFORM AND AD DOLLARS TO MAKE UP FOR THAT IT'S PROBABLY MORE NOTICEABLE IN SNAP'S EARNINGS. WHEN ADVERTISERS ARE THINKING ABOUT WHERE TO CUT SPENDING IF THE SMALLER PLAYERS THEY WILL GO TO FIRST. CAROLINE: ALWAYS GREAT TO HAVE YOUR
ANALYSIS ACROSS THE SHOW. WE THANK YOU. COMING UP NEXT WE GET A DEEP DIVE ON UBER'S EARNINGS. SHARES TAKING INTO THE GREEN. THIS IS BLOOMBERG TECHNOLOGY. ♪ ED: WELCOME TO OUR BLOOMBERG TELEVISION AND RADIO AUDIENCES WORLDWIDE. UBER WITH BOOKINGS THAT BEAT ESTIMATES. AND FOOD DELIVERY DURING THE
HOLIDAY PERIODS. JOINING US NOW IS BLOOMBERG'S EMILY CHANG FOR MORE ON THE STRONG NUMBERS. EMILY: IT WAS A BEAT ACROSS THE BOARD BUT THE STOCK IS DOWN THIS MORNING. NOW THE TIMES ARE GOOD WE SAW THIS REALLY ACCELERATING PRAYED WILL THAT KEEP UP. DARA:
WE GREW TRIPS 24% ON THE YEAR ON YEAR BASIS ON 2.6 BILLION TRIPS. AS YOU GET LARGER IT GETS TOUGHER TO HAVE THAT GROWTH. IF YOU LOOK AT OUR GROSS BOOKINGS GOING FORWARD. IT'S BETWEEN 18 AND 23%. WE EXPECT TO GROW AT A VERY STRONG RATE. WHILE AT THE SAME TIME CONTINUING TO INCREASE PROFITABILITY IN MARGINS WHICH IS THE BEST OF BOTH WORLDS WHICH IS WHAT INVESTORS EXPECT OF US. IT'S WHAT WE KNOW UBER CAN
DELIVER. EMILY: LET'S TALK ABOUT THE OTHER HALF OF THE BUSINESS WHICH IS DELIVERY. YOU HAD TO RAISE SOME FEES IN SOME MARKETS. WHAT MORE CAN YOU DO IN DELIVERY TO KEEP THIS UP? DARA: THERE'S A TON GOING ON IN DELIVERY. THE CORE ONLINE FROM DELIVERY BUSINESS OVERALL DELIVERY GREW 17% ON A YEAR ON YEAR BASIS AND IT IS ACCELERATING. IT IS ACCELERATING VERSUS Q2 AND Q3.
AND IT IS ABOUT GETTING THE BASES. CUSTOMERS WANT CHOICE. WE HAVE A MOST ONE MILLION RESTAURANTS ON OUR SIDE -- A SITE ON THE GLOBAL BASIS. THEY ALSO WANT RELIABILITY SO WHAT WE MEASURE THE NUMBER OF ORDERS THAT WE GET WRONG, THE NUMBER OF ORDERS WE GET WRONG ARE DOWN 25% YEAR ON YEAR BASIS SO THE BUSINESS ARE RELIABLE. WHAT THAT IS RESULTING IN IS OUR AUDIENCE IS GROWING, A IS GROWING AS WELL AND AS TEACHERS ORDER MORE AND MORE, A BASKET SIZE.
THE GROWTH THAT WE SEE IS VERY BROAD. WE ARE ADDING TO IT, THE GROCERY BUSINESS IS BIGGER THAN THE ONLINE FOOD BUSINESS THAN THE FOOD BUSINESS IN TERMS OF TOTAL SIZE, IT IS ABOUT $7 BILLION GROWING OVER 40% AND WE ARE VERY EXCITED TO INTRODUCE THE EXPERIENCE TO ALL OF OUR EATERS OUT THERE. EMILY: I'VE GOT TO TALK ABOUT THE SUPER BOWL COMMERCIALS, YOU HAVE ROSS AND RACHEL, THE BECKHAM'S, THESE BIG STARS COST MONEY AND YOU HAVE A LOT OF CELEBRITIES, SO IS THIS MARKETING SPEND PAYING OFF, NEXT YEAR, EXPECTING TAILORS. DARA: YOU SEE IT BY THE RESULTS. THESE BIG STARS COST A LOT BUT THEY DELIVER A LOT.
AND WHO IS BETTER THAN THE BECKHAM'S AND JENNIFER ANISTON AS WELL. THE AMAZING THING ABOUT THESE STARS IS THEY ARE NOT AFRAID OF MAKING FUN OF THEMSELVES AND HAVING A SENSE OF HUMOR. THEY ALSO USE THEIR OWN SOCIAL PLATFORMS TO AMPLIFY THE MESSAGE OUT THERE. IT'S NOT JUST ABOUT THE COMMERCIAL IT'S ABOUT PEOPLE TALKING ABOUT THE COMMERCIALS. IT'S ABOUT USING THEIR INSTAGRAM ACCOUNTS TO AMPLIFY THE PLATFORM. THAT'S WHY IT'S WORKING OUT FOR US. WE THINK IT'S WORTH THE
INVESTMENT. CAROLINE: MANY TIMES THESE ARE GLOBAL CELEBRITIES PRINT YOU ARE A GLOBAL COMPANY EVEN IF THE SUPER BOWL IS MORE U.S. FOCUSED. ARE THERE ANY AREAS YOU ARE WORRIED ABOUT? DARA: RIGHT NOW WE ARE SEEING GROWTH ACROSS THE GLOBE FOR US IN MOBILITY, LATIN AMERICA AND ASIA PACIFIC HAVE BEEN STANDOUTS.
THAT BUSINESS IS GROWING, BUT NOW WHAT YOU'RE SEEING IS A PRODUCT WE CALL UBER MOTO WHICH IS MUCH MORE AFFORDABLE. IF YOU WANT A LOW COST IN BRAZIL OR MEXICO WE ARE SEEING MORE USERS TAKE TWO WHEELERS. IN ASIA WE ARE VERY EXCITED ABOUT THE INDIA MARKET. THE INDIA MARKET HAS BEEN ONE THAT HAS ALWAYS HELD A LOT OF PROMISE. WE ARE SEEING THAT COME TO FRUITION NOW. IT'S NOT JUST FOR WHEELERS, BUT
THREE WHEELERS AND THE GROWTH RATES WE ARE SEEING ARE MORE SUBSTANTIAL AND WE THINK THAT THAT BUSINESS CAN CONTINUE TO GROW OVER THE NEXT FIVE TO 10 YEARS. THERE'S A LOT OF GROWTH AHEAD AND MANY IN -- IN MANY OF THE MARKETS OUT THERE. CAROLINE: WE ARE OF COURSE SPEAKING WITH THE UBER CEO.
I HATE TO BE THE DEBBIE DOWNER, BUT FREIGHT, TELL US ABOUT IT. IT'S IN LINE WITH WHERE THE MARKET WANTED TO SEE IT BUT A BIT OF A DRAG. DARA: THE FREIGHT BUSINESS IS A CYCLICAL BUSINESS AND WHAT WE ARE SEEING IS THE STABILIZATION OF THE OVERALL FREIGHT INDUSTRY. DEMAND WASN'T GROWING. WE ARE SEEING SPOT RATES IMPROVE AS WELL. WHAT'S REALLY COOL IS WE ARE USING OUR MARKETPLACE TECHNOLOGY , AND BRINGING IT TO THE FREIGHT INDUSTRY SO WE ARE VERY CONFIDENT A TURN IS COMING. WE CAN BRING OUR TECHNOLOGY PROWESS AND THE SERVICE LEVELS THAT OTHER PLAYERS WHO ARE JUST OFF-LINE REALLY CAN'T MATCH. IT'S A LITTLE BIT OF A WAITING
GAME TO SEE THAT CYCLE TURN AND WE ARE HOPING TO SEE THAT CYCLE TURN THIS YEAR. ED: I THINK WE KIND OF LEARNED A LOT ABOUT UBER THE TECHNOLOGY COMPANY IN THE COURSE OF NEW PRODUCTS AND MORE DIVERSE OFFERING ON MOBILITY. THERE ARE QUESTIONS ABOUT WHAT IS THE NEW PRODUCT PIPELINE GOING FORWARD. HOW CAN YOU KEEP ADDING FUNCTIONALITY TO THE CLOUD PLATFORM THAT OPENS NEW ADDRESSABLE MARKETS. IT'S AN INDUSTRY THAT SUFFERING SOME PAIN, -- CAR RENTALS WAS AN INDUSTRY SUFFERING SOME PAIN. DARA: WHAT WE TRY TO DO WITH UBER IS WE DO NOT WANT TO JUST BUILD THE SAME THING OTHERS HAVE, WE WANT TO TRY AND THINK ABOUT A PARTICULAR PROBLEM. ONE THING WE ARE EXCITED ABOUT
IS UBER VALET. WITH THIS PRODUCT YOU PUSH A BUTTON, YOU GET TO PICK YOUR CAR BUT THEN AN UBER DRIVER WILL DROP OFF THE CAR FOR YOU IN FRONT OF YOUR HOUSE OR WHEREVER YOU WANT THAT CAR DROPPED OFF. WE WANT TO BRING THAT LITTLE UBER DELIGHT IN WHATEVER EXPERIENCE WE BUILD SO WE ARE HEADS AND SHOULDERS ABOVE THE COMPETITION SO TO SPEAK. WE DO IT IN PARTNERSHIP WITH CAR RENTAL COMPANIES. IT IS THE MAGIC OF UBER THAT WE
WANT TO ADDRESS IN EVERY INNOVATION OUT THERE AND WE THINK THERE IS PLENTY OF INNOVATION AHEAD FOR US. ED: I AM SOMEBODY WHO TAKES RIDESHARE PLATFORMS AVAILABLE TO WORK EVERY MORNING, BUT THERE SEEMS TO BE EVIDENCE THAT CORPORATE RIDERSHIP IS COMING BACK. WHERE YOU SEE THAT THE MOST. DARA: LAST YEAR IF YOU LOOK AT
CORPORATE WE HAVE A VERY SIGNIFICANT FOR BUSINESS. THEY COULDN'T USE UBER, IT'S CONNECTED INTO CORPORATE EXPENSE SYSTEMS, THERE IS AN AREA OF SAFETY WHICH AS YOU KNOW WHERE YOUR EMPLOYEES ARE PAID A VERY POPULAR OFFERING FOR US. LAST YEAR AS CORPORATE'S WERE MORE CAREFUL ON THEIR SPENDING TRAVEL, THE SPENDING WAS MUTED. WE ARE NOW SEEING ESPECIALLY IN Q4 AND SO FAR IN THE FIRST QUARTER COMPANIES ARE STARTING TO LEAN IN AGAIN. THEY ARE STARTING TO INVEST. THEY ARE GETTING THEIR EMPLOYEES OUT TO BIG CUSTOMERS FACE-TO-FACE AND THAT ABSOLUTELY IS HELPING THEM BEAT BUSINESS THAT IS STARTING TO ACCELERATE. IT'S HIGH-MARGIN BUSINESS, YOU
TAKE A COMFORT CAR OR A BLACK CAR. SO IT'S A HIGH-MARGIN BUSINESS AS WELL. WE ARE VERY HAPPY WITH THE SIGNAL WE ARE SEEING. THAT'S NOT JUST THE U.S. PHENOMENON WE ARE SEEING IN COMPANIES AROUND THE GLOBE STARTING TO INVEST AGAIN WHICH WE THINK IS A GREAT SIGN. EMILY: I WANT TO TALK ABOUT EEEV'S BECAUSE THERE'S REPORTS CONSUMER DEMAND IS FALLING.
YOUR OWN RENTAL PARTNER ALSO PUTTING -- PULLING BACK. HOW MUCH IS THIS HURTING YOUR PARTNERSHIP, YOUR PUSHED A ZERO EMISSIONS AND EVERYTHING YOU ARE DOING TO INCENTIVIZE DRIVERS TO SWITCH OVER? DARA: WE ARE CONTINUING TO PUSH ON THE EEEV SPACE. WITH EVERY TECHNOLOGY THERE IS THIS INITIAL EXCITEMENT AND EVERYONE GETS ON BOARD AND MANY PEOPLE OVERESTIMATE THE POTENTIAL THE BUSINESS OR HOW IT WILL BE. WE'VE BEEN AROUND AT UBER FOR A
WHILE AND WE LOVE SOLVING TOUGH PROBLEMS. SO WE CONTINUE TO LEAN IN WITH EEEV'S. WE HAVE OVER 120,000 DRIVERS DRIVING EEEV'S ALL OVER THE WORLD. FOR THE PAST YEARS WE'VE COMPLETED MORE THAN 300 MILLION TRIPS IN TERMS OF EV'S SO WE CONTINUE TO LEAN IN. A REAL CONCERN IS WITH CHARGING INFRASTRUCTURE AND MAKING SURE THAT THAT CHARGING INFRASTRUCTURE IS AVAILABLE AND READY, ESPECIALLY WHERE IT IS NEEDED, IT MAY NOT BE AROUND THE CITY BUT THE TOWNS THAT THEY LIVE, ETC.. IF THE CHARGING INFRASTRUCTURE COMES IN WE THINK WE HAVE THE PARTNERSHIPS IN PLACE AND WE ARE PUTTING REAL MONEY BEHIND OUR PUSH TO EV'S INCLUDING SUBSIDIZING RIDES.
SO IT'S MORE ON THE EV TRIP SO THEY ARE DETERMINED AND WE THINK WE WILL KEEP PUSHING THE MOMENTUM IN THIS SPACE. EMILY: YOU ARE SHUTTING DOWN LAYING OFF 100 50 PEOPLE, WHAT HAPPENED THERE? DID ALCOHOL SALES DECLINED POST-PANDEMIC? DON'T YOU KNOW THERE'S A SUPER BOWL COMING UP? DARA: IT WAS A TOUGH DECISION AND WHAT WE HAVE OBSERVED IS THE UBER EATS PLATFORM, YOU RIDE ON UBER, YOU EAT ON UBER, YOU GET GROCERIES ON UBER. YOU ORDER ALCOHOL ON UBER EATS. THE POWER OF THE PLATFORM IS REALLY SIGNIFICANT. THINGS HAVE CHANGED WHERE
COMPANIES HAVE TO BE MORE DISCIPLINED IN THEIR INVESTMENT AND WHILE WE LOOK AT A MARKETING WE PUT THE NEXT MARKETING DOLLAR BEHIND UBER EATS, I.E. A SUPER BOWL COMMERCIAL OR BEHIND INTRODUCING THE DRIZZLY BRAND TO CONSUMERS. IT DID NOT MAKE SENSE TO KEEP INVESTING. SO WE HAVE TAKEN A LOT OF WHAT
WE LEARNED FROM THERE, MANY OF THE WORK RELATIONSHIPS ETC., BUT ESSENTIALLY THAT BUSINESS IS SHUTTING DOWN IN TERMS OF THE ORGANIC BUSINESS AND WE ARE BUILDING ON ALCOHOL WITHIN UBER EATS. WE THINK THAT'S THE NEXT INVESTMENT GOING FORWARD. >> COST DISCIPLINE. A JOY TO HAVE YOU ON THE SHOW AND OF COURSE OUR THANKS TO YOU. COMING UP, THE HEAD OF
BYTEDANCE CHINA OPERATION STEPPING DOWN. THIS IS BLOOMBERG TECHNOLOGY. CAROLINE: FIRST UP, TSMC THE WORLD'S BIGGEST CHIP CONTRACT MANUFACTURER AND SUPPLIER TO NVIDIA SAW JANUARY SALES RISE OFF STRONG DEMAND FOR AI CHIPS.
NOW REVENUE ROSE ON MOST 8% LAST MONTH. THE GROWTH IS THE SIGN THEY COULD BE ON THE HORIZON. AHEAD OF BYTEDANCE'S -- THE HEAD OF LIGHT DANCE'S CHINA OPERATIONS IS STEPPING DOWN. THEY LOST GROUND IN THE AI RACE. BYTEDANCE WILL NOT APPOINT A SUCCESSOR AND SHE WILL MOVE HER FOCUS. ALIBABA REPORTED LOW -- LOWER-THAN-EXPECTED SALES DOWN BY A WEAKER E-COMMERCE BUSINESS. THE COMPANY ALSO APPROVED THE INCREASE OF $25 BILLION TO ITS SHARE PURCHASE PROGRAM.
THIS IS DESPERATELY TRYING TO BUILD UP INVESTOR CONFIDENCE. THE REVENUE INCREASES OF THE MARKET TO SEE THEY THEREFORE HAVE SOME BIG EXECUTIVES BUYING SHARES AND ALSO BUYBACK TO ANNOUNCE. ED: I WAS THINK OF ALIBABA AS THE NEAREST THING TO AMAZON. IT HAS A SIMILAR STORY. THE CLOUD IS NOT GROWING AND THEY ARE DOING ALL THEY CAN TO SWEETEN THINGS FOR INVESTORS. BUYBACKS, AND IN THE PROSPECT
OF SPINNING OFF ONE OF THE UNITS. IT COMES BACK TO THE CORE BUSINESS. CAROLINE: HEARING FROM THEM TRYING TO NOT HAVE COMPLACENCY FOCUSING ON AI AS WELL IS EXACTLY WHERE ALIBABA IS FALLING BEHIND. THEY HAD ISSUES WITH NVIDIA, THEY ARE TRYING TO FEND OFF DEEP COMPETITION OF E-COMMERCE. THEY ARE KNOCKING TO SACRIFICE PROFITABILITY. ED: THIS GIVES DIFFERENT MARKET EXPOSURES WHICH IS QUITE INTERESTING. MUCH MORE TO TALK ABOUT COMING
UP. WE WILL BE JOINED BY THE TENDRIL CEO. I'M ALSO LOOKING AT THE SPACE AT THE CHIPMAKER WITH THE DECLINE OF 8%. THEY'RE NOT CAN EVER GET TO BE PROFITABLE. THEY ARE MAKING CHIPS WHILE BEING SUBJECT TO SANCTIONS. THE COMPANY TALKED ABOUT GEOPOLITICAL HEADWINDS, BUT THE LOOK AT THEIR MARGINS.
AND TRYING TO CREATE DOMESTIC INDUSTRY IS HARD. THIS IS BLOOMBERG TECHNOLOGY. CAROLINE: WELCOME BACK TO BLOOMBERG TECHNOLOGY. ED: EARNINGS IS THE BIG STORY. NASDAQ 100 THE INDEX LEVEL, HIGHER PERCENTAGE POINT. TESLA IS PUSHING HIGHER LATER IN THE SHOW SET TO EXPLAIN THE STORY WE REPORTED THIS MORNING THAT MANAGERS BEING ASKED TO LOOK AT THEIR STAFF AND TELL THE COMPANY WHO IS CRITICAL AND WHO IS NOT. THE IDEA LAYOFFS MIGHT BE
COMING. ASTONISHING RECORD REVENUE IN THE CORRIDOR. WHAT THEY SAID IS EVERY SINGLE DAY 71.5 MILLION PEOPLE LOGGED ON TO PLAY THROUGH ROADBLOCKS WHICH IS PRETTY ASTONISHING PERFORMANCE FOR THAT PLATFORM.
IT'S ONE OF THE BIG VIDEOGAMES MOVERS IN THE MOMENT RIGHT NOW. ALWAYS FIND TENDRIL VERY INTERESTING. WE INTRODUCE THIS NAME AT THE TIME AT THE END OF LAST YEAR WE ARE UP 2%. BIGGEST GAIN IN AROUND THREE MONTHS AT ONE POINT IN THE SESSION WHEN IT WAS UP 6.2%. LOOK AT THE PERFORMANCE IN THE OUTLOOK. THE STREETLIGHTS WHAT IT SEES. CAROLINE:
WE CAN SPEAK TO THE CEO ABOUT HOW THEY SPUN OFF THE FOCUS HAS BEEN ON GETTING RID OF ZERO MARGIN ON LOW PROFITABILITY DEALS. WE AGGREGATE THE WAY THE BUSINESS IS GOING. REVENUE MIGHT BE LOWER FOR A BIT. THIS SEEMS TO BE PROGRESS. TALK US THROUGH WHETHER IT'S TURNING AROUND THE PACE YOU WANT. >> WE HAVE HAD ANOTHER GREAT QUARTER WHICH CONTINUES NOW, OUR STRING OF STRONG EXECUTION AS WE EXECUTE THIS PLAN TO REMOVE CONTENT THAT REALLY HAD NO OR REAL NEGATIVE MARGINS IN THIS INSTANCE. SO WHILE WE ARE ENGINEERING THE
DECLINE IN REVENUES AT THE SAME TIME WE ARE FOCUSED ON GROWTH AND AGAIN WE SAW GOOD GROWTH IN OUR KINDRED CONSULT BUSINESS WHICH IS 14% FOR THE YEAR. WE CONTINUE TO SEE GREAT GROWTH IN OUR SIGNINGS THAT WERE DELIVERING WITH THE HYPER SCALE PARTNERS. WE ARE FOCUSED ON GROWTH AND FOCUS ON ENGINEERING.
WHAT WE LOOK MOST THROUGH THIS FISCAL YEAR IN MARCH. IT IS MOVING VERY FAST PACE, OUR CUSTOMERS DO RELY ON US FOR THE HELP WE NEED AND THE SECULAR TRENDS THAT REPRESENT OPPORTUNITIES OR RISKS TO THEM. THAT'S WHERE WE SIT FOR THE MISSION-CRITICAL WORKLOADS. >> BUILDING THAT PARTNERSHIP WITH HYPER SCALARS LIKE GOOGLE CLOUD. I'M INTERESTED ULTIMATELY WHERE
YOU AT THE MOST HANDHOLDING AT THE MOMENT. EVIDENTIALLY, WITH MACRO HEADWINDS AS THEY ARE HOW MUCH ARE COMPANIES WILLING TO PURCHASE EXPERTISE. >> IT'S A GREAT QUESTION. WHERE WE SIT AND WHAT WE DO FOR CLIENTS WE SIT IN THE HEART OF MISSION-CRITICAL. ALSO, CONSULTING RUN MISSION-CRITICAL.
OUR CUSTOMERS ARE LOOKING FOR THE NEWER THINGS LIKE GENAI WE ARE CERTAINLY GETTING A LOT OF ACTIVITY WITH OUR CUSTOMER BASE TO HELP ARCHITECT DATA AND FIGHT THROUGH RESILIENCY AS THEY MOVE INTO THE AI WORLD. AT THE SAME TIME THERE ARE SOME REALLY BASIC SECURITY THINGS THAT CUSTOMERS NEED HELP WITH. OUR CONSULTING BUSINESS IS REALLY DRIVEN BY THE NATURE -- THE SAME NATURE OF THE WORK WE DO IN MISSION-CRITICAL AND OBVIOUSLY AI REPRESENTS A REAL GOOD LONG-TERM SECULAR TREND AS THEY START TO TRY AND FIGURE OUT THE CUSTOMERS. THE WORK IS PRIMARILY IN THE MISSION-CRITICAL NATURE OF WHAT WE DO ON A RUN BASIS.
>> LET'S THINK ABOUT THAT IN THE CONTEXT OF A CASE STUDY YOU OUTLINED ON YOUR CALL. PARTNERSHIP WITH AN UNNAMED GLOBAL AUTOMAKER. YOU BASICALLY SAID THIS ISN'T ABOUT I.T.
WE ARE HELPING THIS IN THE MANUFACTURING CONTEXT. I WONDER IF YOU WOULD EXPLAIN HOW THAT WORKS IN PRACTICE. >> WHEN YOU THINK ABOUT THE COMPLEXITY THAT THERE MEANT -- ACROSS THE SUPPLY CHAIN AND HAVING PUT THAT TOGETHER YOU CAN IMAGINE THE COMPLEXITY OF THE I.T. INFRASTRUCTURE THAT HAS TO BRING THEM TOGETHER INCLUDING WHERE IS THE DATA, IS IT SECURE, CAN THESE SYSTEMS RUN AT THE LEVEL OF RESILIENCE BECAUSE ONCE YOU INTRODUCE NEW COMPLEXITY, OBVIOUSLY THAT HAS AN IMPACT OR COULD HAVE AN IMPACT ON THE RESILIENCY AND THESE CAN SHUT DOWN. THE COORDINATION THE SUPPLY CHAINS RUN ON HIGHLY RESILIENT, HIGHLY SECURE INFRASTRUCTURE AND AS THEY -- ALL OF OUR CUSTOMERS GO LOOK FOR NEW INNOVATIONS TO HELP THEM DO WHAT THEY DO, THAT JUST MAKES THE WHOLE INFRASTRUCTURE MORE COMPLEX.
>> YOU SPENT A LOT OF TIME ON THE CALL TALKING ABOUT COST SAVINGS, DISCIPLINE, OF WORK YOU'VE DONE. I REFLECT BACK TO THE CONVERSATION WE HAD BEFORE IN MARCH OF LAST YEAR YOU TRAINED A SMALL PERCENTAGE OF REALLY BIG WORKFORCE, A 90,000 PEOPLE AT THAT TIME. HOW DO YOU SEE THAT PLAYING OUT THIS YEAR. WE WILL BE COVERING UNFORTUNATELY LAYOFFS ACROSS THE TECHNOLOGY SECTOR ON AN ALMOST DAILY BASIS AT THE MOMENT.
>> FOR US WE WERE BORN WITH 80 PLUS THOUSAND EMPLOYEES OVER TWO YEARS AGO WE PICKED UP A LITTLE BIT WHEN LAST WE SPOKE IT WAS ABOUT 90 AND WE ARE STILL IN THE 80'S. THE REASON WE ARE STILL IN THE 80'S IS THE FOCUS ON DELIVERY AND WHAT YOU TALK ARE GRAND DELIVERY EFFORTS IS LED TO TREMENDOUS QUALITY IMPROVEMENTS FOR OUR CUSTOMERS. AT THE SAME TIME IT ALLOWS US TO FREE UP PEOPLE AND MOVE THEM INTO THESE NEW AREAS SO THAT WE ARE NOT ACTIVELY RESKILLING EMPLOYEES AND MOVING THEM INTO THE CLOUD EXPERTS FOR INSTANCE MOVING INTO BEING CYBERSECURITY, ETC..
WHEN WE WERE LOOKING AT A BIT OVER TWO YEARS AGO WE HAD FEWER THAN 1000 CREDENTIALED PEOPLE ACROSS THE ENTIRE EMPLOYEE BASE, FEWER THAN 1000 WHO WERE CERTIFIED AND CREDENTIALED ON A HYPER SCALER. WE HAVE OVER 35,000. THAT'S WHAT'S DRIVING THE GROWTH FOR US WHETHER HYPER SCALE PARTNERS, DRIVING THE GROWTH WITH HER CONSULT BUSINESS. WE HAVE THE BEST ENGINEERING TALENT WHO KNOW THESE CUSTOMERS SO WELL SO OUR CUSTOMERS ARE DELIGHTED THAT THEY ARE GETTING BETTER QUALITY BECAUSE THEY ARE USING OUR AI THROUGH OUR PLATFORMS BUT ALSO GETTING BACK THE SAME PEOPLE THEY TRUST AND HAVE KNOWN FOR YEARS TO HELP THEM IN THESE NEW AREAS. IT'S A TERRIFIC MODEL FOR US. ED: GREAT TO CATCH UP ON BLOOMBERG TECHNOLOGY, THANK YOU FOR YOUR TIME.
COULD TESLA BE THE NEXT COMPANY TO UNDERGO A WAVE OF LAYOFFS. AN IMPORTANT REPORT THIS MORNING. THAT'S NEXT, THIS IS BLOOMBERG TECHNOLOGY. ED: TESLA STAFF ARE BRACING FOR POTENTIAL JOB CUTS AFTER MANAGERS WERE ASKED TO AFFIRM WHETHER EACH OF THEIR EMPLOYEES THAT WORKED UNDER THEM IS IN A POSITION THAT IS CRITICAL. WHAT WE HEARD FROM SOURCES IS ITS PERFORMANCE REVIEW WEEK AND MANAGERS ARE SAYING OR BEING ASKED TO LOOK AT EVERYONE THAT WORKS FOR THEM AND DECIDE I GUESS WHO STAYS AND WHO GOES. >> THAT IS THE FEAR. WE DON'T KNOW THAT FOR SURE.
WHAT WE'VE HEARD AND YOU'VE HEARD FROM DIFFERENT PEOPLE IS PERFORMANCE EVALUATIONS HAPPEN AND WHAT I HEARD WAS THEY WERE REOPENED AND THERE WAS ONE NEW QUESTION. IS THIS EMPLOYEES ROLE CRITICAL. THE MANAGERS NEED TO JUSTIFY THEIR JOBS. THAT IS DEFINITELY WORRYING,
TESLA SO FAR HAS AVOIDED THE LAYOFFS THAT HAVE ROCKED SILICON VALLEY. WE DON'T KNOW IF THIS IS A CALLING BASED ON PERFORMANCE OR IF THERE WIDESPREAD LAYOFFS. ED: THIS IS KIND OF NORMAL IN THE SENSE THEY ARE LOOKING FOR COST SAVINGS EVERYWHERE. IT'S PLAYED OUT IN THE PAST.
I'VE HEARD FROM SOURCES WHEN WE REPORTED ON THE AUTOPILOT TRIMS LAST YEAR THAT HEADCOUNT WAS MOVED ELSEWHERE. WHAT IS THE A NEW OR. >> TESLA IS STILL AGGRESSIVELY HIRING A LOT OF AREAS. THEY HAVE TONS OF OPENING FOR DOJO, FOR MEGA PACK, FOR PAYMENT SYSTEMS. THERE'S A LOT OF JOB OPENINGS AT TESLA SO THEY ARE STILL AGGRESSIVELY HIRING SO THIS COULD BE AN EFFORT TO REDUCE HEADCOUNT IN SOME PLACES WHERE THEY FEEL IT IS NO LONGER NECESSARY. CAROLINE: THEY ARE TRYING TO PUT FORWARD THE IDEA YOU'RE CONSTANTLY PUTTING THIS FORWARD. I GUESS THIS IS A WAY OF
ASCERTAINING WHETHER YOU ARE OR NOT. I WONDER HOW IT SPEAKS TO THE FACT WE ARE SEEING SUCH PRESSURE ON TESLA FROM AN EV DEMAND PERSPECTIVE. WILL IT AUTOMATICALLY BE IN THE MANUFACTURING AREAS THAT THESE JOBS HAVE TO BE SACRIFICED? >> IT'S HARD TO SAY WHERE THE CUTS WOULD BE. TESLA REGULARLY WHEN THEY GO THROUGH A PERFORMANCE REVIEW CYCLE EVERY SIX MONTHS AT SILICON VALLEY IT'S CALLED RANK AND YANK TO BE COURSE ABOUT IT. IT JUST REALLY KEEPS EVERYBODY ON THEIR TOES. YOU ALWAYS WANT TO BE A HIGH
PERFORMER THERE'S ALWAYS CONCERN IF YOUR JUSTIFYING STAFF, TESLA HAS GROWN DRAMATICALLY SINCE 2020 DURING THE PANDEMIC THEY HAVE OVER 140,000 EMPLOYEES GLOBALLY AND THEY WILL CONTINUE TO HIRE IN THE AREAS OF THE COMPANY ELON MUSK WANTS TO STAFF UP. BUT LIKE ANY COMPANY WHEN YOU ARE FACING A DOWN YEAR IN TERMS OF GROWTH YOU START CUTTING AND SALARIES IS A WAY TO DO THAT. >> WE PLAYED OUR EARNINGS BINGO WHICH I THOROUGHLY ENJOYED. 140,000 PEOPLE IF THERE'S A BIG PRICE IT'S PROBABLY THE ENERGY BUSINESS BECAUSE WHAT THEY SAID WAS IT WOULD JUST OUTPACE THE CAR BUSINESS IN TERMS OF GROWTH. WHAT ELSE TO BE KNOW ABOUT
WHAT'S GOING ON WITH ENERGY. >> TESLA HAS THIS BIG FACTORY IN LATHROP. AND WHAT WE CALL THE CENTRAL VALLEY AND THAT IS WHERE THEY ARE BUILDING THE MEGA PACKS. THEY ARE EXPANDING PRODUCTION IN SHANGHAI AND THESE ARE THE BIG BATTERIES THE TESLA SELLS TO UTILITIES LIKE PG&E. IT'S A HUGE GROWTH DRIVER FOR
THE BUSINESS. MEGA PACK IS THE BIG DRIVER OF THE GROWTH THERE. CAROLINE: GREAT REPORTING FROM YOU BOTH ON THIS KEY STORY.
LET'S FOR A MOMENT NOW TURN TO ANOTHER ONE OF HIS COMPANIES. ACTS. THIS IS AFTER TUCKER CARLSON HAS ANNOUNCED ON THE SOCIAL MEDIA PLATFORM HE HAS INTERVIEWED RUSSIA'S LEADER BLADDER MAY PUT IN. HE ALSO GAVE A SHOUT OUT TO ELON MUSK WHO HE SAYS WILL ALLOW THE FULL INTERVIEW TO BE POSTED ON ASK. SPEAKING TO KURT WAGNER FOR MORE ON THIS.
THE CONTEXT BEING HE IS THE FIRST U.S. JOURNALIST TO DO A SIGNIFICANT SIT DOWN SINCE WAR ERECTED IN 2022. AND NOTABLY PUTIN HAS FOUGHT BACK AGAINST CRITICAL JOURNALISM IN PARTICULAR AND IN FACT HAS A KEY WALL STREET JOURNAL REPORTER INCARCERATED AT THE MOMENT. GIVE US THE CONTEXT OF WHAT THIS MAKES ADVERTISERS FEEL LIKE? >> A LOT OF ADVERTISERS WOULD BE VERY RELUCTANT TO SEE THEIR BRAND SHOW UP ANYWHERE NEAR THIS INTERVIEW. I ALSO THINK A LOT OF ADVERTISERS ARE PROBABLY NO LONGER ON ASK. I THINK A LOT OF THE PEOPLE WHO
ARE STILL SPENDING MONEY ON HAVE A THICK SKIN WHEN IT COMES TO WHAT THEY EXPECT OR IMAGINE THAT THEIR MARKETING IS GOING TO APPEAR NEXT TO. I'M NOT SURE WE ARE NECESSARILY GOING TO SEE A NEW WAVE OF PEOPLE RUSHING IN THE OTHER DIRECTION BECAUSE A LOT OF THOSE PEOPLE ARE ALREADY GONE. THIS SPEAKS TO THE ULTIMATE GAME WE'VE BEEN TOLD FROM ELON MUSK IS FOR FREEDOM OF SPEECH. AND ALL ITS ENTIRETIES. SO TELL US ABOUT HOW ULTIMATELY THE DEAL IS WITH THE LIKES OF TUCKER CARLSON ARE GOING GETTING ON PEOPLE WHO ATTRACT A BIG CROWD TO ULTIMATELY HAVE SHOWS ON THE PLATFORM. >> I WAS INTERESTED RIGHT AFTER CES WHEN THEY ANNOUNCED THEY WOULD BE DOING THESE NEW SHOWS, ANOTHER ONE THERE WERE GOING TO BRING ON. I SPOKE TO FOUR MEDIA AGENCIES AFTER THE ANNOUNCEMENT WAS MADE AND ALL OF THEM BASICALLY SAID THE SAME THING THAT THE SHOWS ARE NOT TO MOVE THE NEEDLE NOW. IF YOU ARE A BIG BRAND LOOKING
TO SPEND IT MIGHT BE NICE TO HAVE SORT OF A -- SOMETHING THAT IS PROFESSIONALLY PRODUCED BUT YOU CAN RUN YOUR AD NEXT TWO. UNTIL THEY GET A MUCH LARGER COLLECTION OF THESE TYPES OF SHOWS WITH MUCH MORE AND LESS CONTROVERSIAL HOST, I'M NOT SURE THIS IS THE KIND OF THING THAT WILL DRAW ADVERTISERS BACK AND AGAIN I DON'T THINK -- THOSE FOLKS ARE ALREADY GONE. I DON'T THINK THIS IS NECESSARILY BIG ENOUGH BUT IT WILL LURE PEOPLE BACK WHO HAD BEEN RELUCTANT TO SPEND MONEY. ED: THERE'S A LOT HAPPENING IN THE SOCIAL MEDIA SPACE. YOU REPORTED JACK DORSEY'S BLUE
SKY, THE DECENTRALIZED SOCIAL MEDIA PLATFORM IS NOW OPEN UP TO EVERYONE. WHY IS THAT SIGNIFICANT QUESTION MARK >> BLUE SKY HAS EMERGED AS ONE OF THE MAIN ALTERNATIVES TO X EVER SINCE ELON MUSK TOOK OVER. THERE ARE TECHNICAL REASONS WHY PEOPLE ARE EXCITED ABOUT IT. THE DECENTRALIZED ELEMENT IS IDEALISTIC, BUT FOR THE MOST PART THIS IS SIMPLY A PLACE WHERE PEOPLE USE TO LIKE TWITTER BUT NO LONGER FEEL COMFORTABLE USING X HAVE BEEN GOING.
PERHAPS THAT WILL EXPEDITE THE GROWTH OF BLUE SKY, AGAIN WE ARE LOOKING AT THREATS, THREADS, BLUE SKY. THESE WERE ESSENTIALLY ALTERNATIVES AND SO IT'S ALWAYS INTERESTING TO KEEP TABS ON WHAT THEY ARE DOING AND IF THEY ARE STILL GROWING AND CAPTURING PEOPLE RUNNING AWAY FROMX. ED: YOUR BOOK ON X IS IMMINENT. SO MUCH HAS CHANGED IN REAL TIME. WE WERE TEASING JASON TODAY ABOUT HOW YOU HAD TO REWRITE DEXIA TO REWRITE THE LAST GRAPH OF HIS BOOK. SOMETHING YOU JUST SAID, BLUE
SKIES THE ALTERNATIVE TO X. WHERE DO YOU THINK IT SITS IN THE LANDSCAPE RIGHT NOW. MEHTA, FACEBOOK, SNAP, THINGS LIKE THAT. >> I STILL FEEL LIKE IT'S A GOOD PLACE TO GO FOR CERTAIN TYPES OF NEWS. I'M A BIG SPORTS FAN. I STILL THINK THEY'RE THE BEST PLACE TO GO IF YOU WANT TO FIGURE OUT WHAT'S GOING ON WITH MY FAVORITE TEAM IN THE FL PLAYOFFS. THERE'S A BUNCH OF OTHER CATEGORIES, NEWS THAT I THINK X USED TO BE THE GO TO PLACE FOR WHERE IT'S NO LONGER THAT OR IT IS CERTAINLY NOT AS RELIABLE AS IT USED TO BE. THERE'S A BUNCH OF REASONS FOR
THAT. THERE'S A CHANGE IN VERIFICATION AND ELIMINATING THIS ABILITY TO QUICKLY IDENTIFY WHO LEGITIMATE JOURNALISTS ARE VERSUS THOSE WHO MIGHT NOT BE DOING THAT PROFESSIONALLY. TO ME THAT'S PART OF THE COMPANY WHEN IT COMES TO NEWS. OBVIOUSLY ELONG DISAGREES AND FOR THAT REASON I THINK THEY'RE SORT OF A FALLING OUT OF THE POSITION THAT IT HAD OVER NEWS OVER INSTAGRAM, FACEBOOK AND OTHERS A FEW YEARS AGO. ED: THANK YOU VERY MUCH. COMING UP ON THE SHOW ESPN, FOX AND WARNER BROS. DISCOVERY ARE BANDING TOGETHER
TO LAUNCH A SPORTS FOCUSED STREAMING SERVICE WE WILL BRING YOU THOSE DETAILS NEXT, THIS IS BLOOMBERG TECHNOLOGY. >> LEAH NO MESSY IN SEEMINGLY THE HOT AFTER TAKING PART IN A FOOTBALL MATCH IN JAPAN JUST DAYS AFTER NOT APPEARING AT A MATCH IN HONG KONG. THE HONG KONG SPORTS ACCUSED MESSY AND THE U.S. CLUB IN MIAMI FOR DISRESPECTING FANS.
ALONG WITH ANOTHER POPULAR TOPIC , MESSI'S MESS. >> IT'S AN ASTONISHING SITUATION HE FINDS HIMSELF IN. LET'S STICK WITH SPORTS AND BRING IN DETAIL. TO UNPACK WHAT WAS INTERESTING DEAL LAST NIGHT. ESPN, FOX AND WARNER BROS. JOINING FORCES, SPORTS FOCUSED STREAMING SERVICE. WHAT DO YOU MAKE OF THAT?
THAT IS A MOVE. >> IT IS A BOLD MOVE BY THESE BIG MEDIA COMPANIES. IN MANY WAYS CONTROLLING THEIR OWN FUTURE.
CONTROL THEIR OWN DESTINY AS WE MOVE TO THE STREAMING WORLD. WE ALWAYS KNOW THAT THEY HAVE BEEN IN CHARGE OF CONTENT PRODUCTION BUT THIS REALLY GIVES THEM A HOLD OF CONTENT DISTRIBUTION AS WELL AS MORE PEOPLE CUT THE CORD. >> DISNEY SAYS THEY WILL GO ON WITH THEIR OWN ESPN OFFERING WHETHER THAT'S CANNIBALIZATION OR NOT.
THEY WANT TO BE THERE AS MUCH AS THEY CAN. ALSO AHEAD OF NELSON'S OWN WHITE PAPER WHERE HE WANTS ESPN TO BE SOLD OFF OR PARTNERED WITH NETFLIX. WHO LOSES THROUGH THIS? IS IT NETFLIX AMAZON, IS IT THE LEGACY ONES THAT ARE NOT INVOLVED? >> I DON'T THINK NECESSARILY NETFLIX AND AMAZON WILL LOSE THROUGH THIS. IT'S MORE OF A DEFENSIVE MOVE BY THE BIG MEDIA COMPANIES TO MAKE SURE THEY ARE AT THE TABLE. WE KNOW BIG TECH HAS BEEN REALLY AGGRESSIVE WHEN IT COMES TO BIDDING FOR THE SPORTS RIGHTS.
YOU COULD AMAZON WITH THURSDAY NIGHT FOOTBALL, THE BIG W W E DEAL. OBVIOUSLY BIG MEDIA KNOWS THERE WILL BE A LOT OF THE SPORTS RIGHTS THAT COME UP FOR RENEWAL AND WE KNOW NBA AND SOME OF THESE LEAGUES WILL BE LOOKING FOR HUGE INCREASES. TRIPLE THE FEES AND SOME OF THE CASES. SO THEY WANT TO SHORE UP THEIR RESOURCES AND BE ON THE TABLES PRAYED I LOOK AT THIS AS A DEFENSIVE MOVE NOT NECESSARILY THAT ANYBODY LOSES OUT THERE. ED: THIS IS THE BATTLE FOR THOSE WHO CANNOT ROOM EMBER THEIR PASSWORDS. PARAMOUNT PLUS FOR CHAMPIONS LEAGUE FOOTBALL, PEACOCK FOR PREMIER LEAGUE.
I'M WATCHING ON ESPN. THERE ARE TOO MANY PLATFORMS. IT'S HARD I DON'T HOW TO LOGIN. >> YOU'RE ABSOLUTELY RIGHT. WE DO NEED A COMPREHENSIVE BUNDLE. THIS IS WE ARE COMING FULL CIRCLE HERE. I THINK WE WILL GO BACK TO SOME FORM OF A BUNDLE. THIS IS THE FIRST STEP IN THAT,
OF COURSE WE DON'T HAVE PARAMOUNT CONTENT OR NBC CONTENT. WE WILL NEED ALL OF THAT BUT THIS IS A GOOD FIRST STEP. THAT'S THE WAY YOUR MEMBER YOUR PASSWORDS. THANK YOU SO MUCH.
ALWAYS GREAT TO GET HER EXPERTISE. DEFENSIVE AT THE MOMENT. WE LOOK AHEAD TO DISNEY'S EARNINGS LATER THIS WEEK. THAT DOES IT FOR THIS EDITION OF BLOOMBERG TECHNOLOGY. >> SHOUT OUT TO STAGE ENCRYPTION AUTHENTICATION. MEGA SHOW RECAP AT ALL ON THE PODCAST. ALL THE PLACES YOU
WOULD EXPECT, APPLE, SPOTIFY AND OF COURSE ON THE BLOOMBERG PLATFORMS AS WELL. WE APPRECIATE THE FEEDBACK WE HAVE BEEN GETTING ABOUT THOSE OF YOU THAT ARE TAKING ON THE SHOW AND PODCAST. MY GOODNESS WE ARE THREE DAYS IN. IT'S BEEN AN INCREDIBLE WEEK FROM NEW YORK CITY, THIS IS BLOOMBERG TECHNOLOGY.
2024-02-10 22:38
