Tesla’s Earnings; Cantor, SoftBank Back New Crypto Firm | Bloomberg Technology
>> FROM THE HEART OF WHERE INNOVATION, MONEY, AND POWER COLLIDE IN SILICON VALLEY AND BEYOND, THIS IS BLOOMBERG TECHNOLOGY WITH CAROLINE HYDE AND ED LUDLOW. CAROLINE: LIVE FROM NEW YORK AND SAN FRANCISCO, THIS IS BLOOMBERG TECHNOLOGY. COMING UP, A TURN FOR TESLA. ED: PLUS, NEWS OF POTENTIAL JOB
CUTS SEND INTEL SHARES SOARING. CAROLINE: PLUS, TEAMING UP WITH SOFTBANK. FIRST, LET'S CHECK IN ON THE MARKETS. BITCOIN IS ON THE HIGHER SIDE. SO OUR STOCKS. THE NASDAQ IS CARLY ADDING TO A
TWO -- CURRENTLY ADDING TO A TWO DAY GAIN. WE ARE ADDING ABOUT $600 BILLION TO THE NASDAQ 100 AND LOOKING AT THE MAGNIFICENT SEVEN. IT IS BIG TECH ON TOP, UP 4.8%. ED: I'M LOOKING AT TESLA, UP 8%.
IT IS SHOCKING WHEN A COMPANY MISSES EARNINGS BY THAT MARGIN CUT WHICH WE WILL GO THROUGH LATER, AND THE STOCK REACTS IN THIS WAY. ELON MUSK SAYING NEXT MONTH I WILL PAIR BACK THE AMOUNT OF TIME I'M SPENDING ON DOGE AND ALLOCATE MORE TIME TO TESLA. IT IS WHAT THE MARKET WANTED TO HEAR. WE WILL GO DEEP ON THAT BECAUSE IT IS CRITICALLY IMPORTANT.
CAROLINE: LET'S TALK MORE ABOUT SCOTT BESSENT. HE IS SOOTHINGLY MARKETS FURTHER WITH RECOGNITION THAT AMERICA FIRST DOES NOT MEAN AMERICA ALONE. HE SHOWED SOME SUPPORT WHEN HE SPOKE OF THE NEED TO COURSE CORRECT. KAILEY LEINZ HAS MORE FROM D.C.. THE SEEMS TO BE A COMBING -- CALMING OF THE MARKET. >> YOU ARE SEEING THAT IN THE PRICE ACTION.
THIS IS ANOTHER INSTANCE OF A TONE SHIFT FROM THE MINISTRATION AS THERE HAS BEEN A LOT OF DISDAIN FOR MULTILATERAL INSTITUTIONS EMANATING FROM THE TRUMP WHITE HOUSE. SCOTT BESSENT PUTTING THE WORST OF THOSE FEARS TO BED, SAYING THE MINISTRATION IS WHIRLING -- WILLING TO WORK WITH THE IMF AS LONG AS THEY AVOID WHAT HE CALLED MISSION CREEP FOCUSING ON CARBON FOOTPRINTS OR CLIMATE CHANGE. THE KEY LINE THAT INVESTORS WILL SEIZE ON HIS AMERICA FIRST DOES NOT MEAN AMERICA ALONE UNDERSCORES THE ADMINISTRATION IS TRYING TO PIVOT AWAY FROM THE WORST-CASE SCENARIOS MARKETS CONSIDERED AROUND AMERICAN ISOLATIONISM AND PROTECTIONIST POLICY, KEEPING IN MIND THE SPEECH CAME OUT AFTER SCOTT BESSENT PULLED A CLOSED-DOOR MEETING OF INVESTORS THE CURRENT TARIFF SITUATION WITH CHINA IS UNSUSTAINABLE AND HE EXPECTS DE-ESCALATION. PRESIDENT TRUMP FOLLOWED THOSE REMARKS, SPEAKING TO REPORTERS BY SAYING HE EXPECTS A DEAL WITH CHINA AND THE OLDMAN TARIFF RATE WILL BE BELOW THE 100 45% WHERE IT CURRENTLY STANDS.
WE GOT FRESH REPORTING FROM THE WALL STREET JOURNAL THAT THE END MINISTRATION COULD BE LOOKING AT CUTTING TARIFFS ON CHINESE GOODS BY AS MUCH AS HALF DEPENDING ON THE PRODUCT AND WHETHER IT IS PERTINENT TO U.S. NATIONAL SECURITY INTERESTS, SO WE ARE SEEING A WALKING BACK OF SOME OF THE MOST EXTREME POLICIES. PRESIDENT TRUMP IS SPEAKING WITH REPORTERS ON THE NORTH LAWN OF THE WHITE HOUSE AND REITERATING THAT HE THINKS CHINA AND THE EUROPEAN UNION HAVE BEEN RIPPING THE U.S. OFF, THOUGH HE REITERATED HE THINKS THEY WILL GET A FAIR DEAL WITH CHINA. ED: THANK YOU. LET'S TURN BACK TO TESLA THE COMPANY'S RISE IN THE MARKETS CAN BE ATTRIBUTED TO ONE MOMENT ON THE EARNINGS CALL.
>> STARTING NEXT MONTH, MY TIME ALLOCATION BACK TO DOGE WILL DROP SIGNIFICANTLY. I WILL HAVE TO CONTINUE DOING IT FOR THE REMAINDER OF THE PRESIDENT'S TERM TO MAKE SURE THE WASTE AND FRAUD WE STOPPED DOES NOT COME ROARING BACK. ED: ELON MUSK SAYING YOU ALLOCATE MORE TIME TO TESLA, REDUCING HIS DOGE ACTIVITY. IRRESPECTIVE OF WHAT HE SAID ON THE TOP AND BOTTOM LINE THIS WAS ONE OF THE WORST QUARTERS FOR A LONG TIME. WALL STREET AND INVESTORS ARE LOOKING PAST THAT. >> THAT IS RIGHT. WHICHEVER WAY YOU SLICE THESE
NUMBERS, THESE WERE TERRIBLE NUMBERS. NUMBERS THAT HAVE NOT BEEN SEEN IN YEARS, ESPECIALLY WHEN YOU GO TO THE FIRST QUARTER COMPARISONS. DESPITE THAT, EXPECTATIONS WERE THAT NUMBERS WILL BE TERRIBLE AND THAT IS WHAT THE STOCK MARKET IS TELLING US. THE STOCK IS UP LAST I CHECKED AND A LOT OF IT IS FROM THE FACT THAT MUSK IS SAYING HE WILL START PULLING AWAY FROM HIS GOVERNMENT WORK AND FOCUS BACK ON TESLA AND THIS IS WHAT INVESTORS WERE HOPING TO HEAR. ED:
NOW UP 8%, NEAR SESSION HIGHS. FOR MORE ON TESLA, HE MAINTAINS A HOLD RATING ON THE COMPANY WITH A PRICE TARGET. YOU ARE TRADITIONALLY A SEMI CONDUCTOR ANALYST. YOU THINK ABOUT COMPUTE AND AI, BUT I DID NOTE IN YOUR RESEARCH THAT YOU -- EVEN AGAINST YOUR OWN MODELS, THE FUNDAMENTALS OF THIS BUSINESS MISSED BY A WIDE MARGIN. TAKE ME THROUGH THAT DATA SET YOU HAVE AND THEN WE WILL GET ONTO THE OTHER STUFF LIKE ROBOTAXI AND AI. >> I DO NOT MEAN TO BE DISAGREEABLE OR CONTROVERSIAL, BUT I WANT TO SAY CLEARLY THAT WHEN WE LOOK AT RESULTS OF COMPANIES IT IS IMPORTANT TO UNDERSTAND BOTH THE BROKER OR SELL SIDE AGGREGATE CONSENSUS BUT ALSO THE BUY SIDE CONSENSUS.
COMPANY ALREADY UPDATED INVESTORS AND INDUSTRY DELIVERY NUMBERS ABOUT A MONTH AGO AND I THINK MANY INVESTORS HAVE NOT UPDATED OR ON THE SELL SIDE HAVE NOT UPDATED MODELS SO WHEN YOU COMPARE VERSUS THE SO-CALLED CONSENSUS NUMBERS, IT LOOKS LIKE IT IS A HUGE MESS, BUT IN REALITY OUR MODEL HAD BEEN UPDATED AND I THINK COMPARED TO OTHER MODELS ARE YOU LOOK TO THE CONSENSUS OF UPDATED ESTIMATES, THE MESS WAS NOT VERY BIG. RELATIVE TO OUR MODEL, ONLY 1.5% ON REVENUE, WHICH BEAT GROSS PROFIT, MISSED ON OPERATING PROFIT, AND MISSED BY SIX CENTS. THIS WAS NOT A DISASTER RELATIVE TO WHAT WE WERE EXPECTING FOLLOWING THE UPDATING MONTH AGO. THEY WERE SOMEWHAT DISAPPOINTING RESULTS RELATIVE TO WHAT WE EXPECTED. THE DISAPPOINTMENT CAME IN TWO PLACES. ONE WAS IN ENERGY AND
GENERATION, SO YOU THINK ABOUT SOLAR AND THAT SORT OF THING. THE OTHER WAS OPERATING EXPENSES WHERE THEY ACCELERATED R&D INVESTMENTS AND THAT IS I DO NOT THINK THE END OF THE WORLD FOR INVESTORS. ONE COULD TAKE A POSITIVE SPIN ON THAT. CAROLINE: I GET THAT PERHAPS IT DOES NOT MISS VERSUS DOWNGRADED EXPECTATIONS, BUT A PROPHET DROP -- THE WORST PROFIT NUMBER SINCE 2021, A REVENUE DROP SHOWS FUNDAMENTAL ISSUES HERE. ARE THE FUNDAMENTAL ISSUES GOING TO BE ALLEVIATED BY MORE TIME SPENT AT THE COMPANY BY ELON MUSK? WILLIAM: IN AT LEAST TWO WAYS. THE OBVIOUS WAYS ARE IF YOU ACCEPT THE SUPPOSITION THAT -- THE WAY THAT THE INVESTOR RELATIONS TEAM HAS DESCRIBED IT TO ME IS HIS GREATEST SUPERPOWER IS IN DELIVERING HUGE TECHNOLOGICAL ADVANCEMENTS BY SPENDING LITTLE MONEY BUT VERY FOCUSED TALENT AND IT IS A BIG POSITIVE FROM THAT PERSPECTIVE. THE OTHER IS TO MODERATE WHAT I
THINK HE CHARACTERIZED AS POLITICAL SENTIMENT. I THINK SPENDING LESS TIME IN THE PUBLIC EYE DOING GOVERNMENT PROJECTS WILL BE GOOD FOR THE STOCK. CAROLINE: THANK YOU. I KNOW YOU FOCUS A LOT ON THE AI OPPORTUNITY AND A SEMI CONDUCTOR SPACE AS WELL, SO WE APPRECIATE YOUR TIME. COMING UP, INTEL PLANNING MORE THAN 20% OF JOB CUTS AHEAD OF EARNINGS TOMORROW. MORE ON THAT SCOOP AHEAD. THIS IS BLOOMBERG TECHNOLOGY.
ED:ED: LET'S LOOK AT INTEL, SHARES SURGING AFTER PLANS TO CUT OVER 20% OF ITS STAFF, THE FIRST MAJOR RESTRUCTURING UNDER THE NEW CEO. THIS IS BASED ON WHAT A SOURCE TOLD US AND THERE IS A BLOAT ISSUE, BUT THERE IS ALSO A REFOCUSING ISSUE. READING THE REPORT, IT IS LIKE, GET RID OF MIDDLE-MANAGEMENT AND FOCUS ON MAKING MONEY ON TECHNOLOGY THAT IS COMPETITIVE. >> OUR UNDERSTANDING FROM OUR SOURCING IS THE PROBLEM IS THE DECISION-MAKING AT INTEL HAS BECOME BLOATED. EVERYTHING THAT SHOULD BE HAPPENING QUICKLY IS NOT HAPPENING QUICKLY. THERE ARE A LOT OF MEETINGS AND
EMPIRE BUILDING AND SILOS THAT NEED TO BE SWEPT AWAY FOR THEM TO GET BACK ON TRACK AND TRY TO CATCH UP WITH COMPETITORS LIKE NVIDIA. CAROLINE: AND ALL EYES ON HOW THEY CAN MAKE MOVES IN AI. IT WAS A GREAT SCOOP THAT CAME OUT. LOOKING AT THE BROADER TECH MARKETS, WE HAVE A PORTFOLIO MANAGER WHO CAN SPEAK MORE BROADLY TO THE TECH SPACE. GOING TO THIS NEEDS TO FOCUS ON GENERATIVE AI AND THE OPPORTUNITY TO BUY A CUP HE LIKE INTEL, IS IT ALL STILL ABOUT AI -- A COMPANY LIKE INTEL, IS IT ALL STILL ABOUT AI? WE HAVE TRUMP SAYING THE U.S. WILL STILL HAVE A FAIR DEAL
WITH CHINA. >> AI IS THE NEXT REVOLUTION WE HAVE TO CHASE, SO IT IS IMPORTANT THAT INTEL FIXES ITS HOUSE, BUT INTEL HAS LOST THE GAME ON AI. WHAT THEY HAVE TO FIGURE OUT IS IF THEY CAN HOLD THE PROWESS ON MANY -- MANUFACTURING AND CATCH UP WITH TSMC BECAUSE THAT BECOMES A MORE STRATEGIC IMPERATIVE THAN BEING ABLE TO DEVELOP A COMPETING AI CHIP TO NVIDIA. CAROLINE: MANUFACTURING WAS MEANT TO BECOMING MORE TO HOME AND THEN GETS PUSHED BACK BECAUSE OF CURRENT QUANDARIES ABOUT WHETHER THERE WILL BE GOVERNMENT SUPPORT FOR THE CHIPS ACT, WHETHER THERE WILL BE MONEY COMING FROM THE GOVERNMENT.
HOW IS ANY CHIPMAKER TO NAVIGATE WHETHER THEY ARE BEST IN THE U.S. OR NOT? >> WE NEED TO INVEST IN THE U.S.. THE ADMINISTRATION HAS MADE IT CLEAR. IT IS A NECESSITY THAT WE START INVESTING IN THE U.S., SO I AM
ON BOARD WITH THAT. I DO NOT THINK THE LACK OF CHIP ACT FUNDING IS THE REASON INTEL IS NOT INVESTING IN THE U.S.. I BELIEVE THEY HAVE LOST THE BENEFIT OF BEING FIRST AND THEY ARE STRUGGLING WITH GOING FROM ONE NOTE TO THE NEXT.
WE WILL SEE WHERE THEY ARE IN THE NEXT NODE, BUT AS OF NOW THEY ARE STILL OUTSOURCING TO TAIWAN, WHICH SHOWS YOU THAT TSM HAS TAKEN THE LEAD ON THESE. ED: WE WILL FIND OUT MORE THURSDAY EVENING WHEN INTEL POSTS NUMBERS. THEY WILL HAVE TO ANSWER A LOT OF THOSE QUESTIONS. EARNINGS IS INTERESTING.
I WANT TO BRING UP THIS CHART, WHICH IS -- WE ARE STILL KIND OF RATTLING OUR BRAINS ON THE TESLA SHARE PERFORMANCE IN THE SESSION RELATIVE TO THE NUMBERS A POSTED. THE REASON I LIKE THIS CHART IS TESLA HAS A TERRIBLE TRACK RECORD COMPARED TO OTHER MAG SEVEN NAMES. THAT IS ALL TO SAY, DO YOU THINK, GIVEN THE MACROENVIRONMENT NOW, ALL OF THESE NAMES MIGHT GET A BIT OF A PASS THIS QUARTER? >> I THINK SENTIMENT HAS GOTTEN SO DIRE THAT MANY OF THESE COMPANIES ARE PUTTING UP OK NUMBERS. YESTERDAY IN THE HEALTH-CARE SPACE, NUMBERS WERE OK. HOWEVER, IT WAS BETTER THAN EXPECTED. TESLA NUMBERS WERE OK, BUT THEY TALKED ABOUT THEIR GROWTH DRIVERS. THEY TALKED ABOUT HOW THEY'RE
GOING TO HAVE AUTONOMY BY THE END OF THE YEAR. I THINK HE SAID MILLIONS OF VEHICLES BY THE SECOND HALF OF THE YEAR. EVEN IF IT IS NOT THE SECOND HALF OF THE YEAR, AS LONG AS THERE IS A ROADMAP TO AUTONOMY THAT IS GOING TO DRIVE THE NEXT LEG NOT NECESSARILY MARGINS ON THE AUTO SIDE. ED: THEY ALSO PULLED GUIDANCE. DO YOU EXPECT THAT TO BE A MOVE ELSEWHERE? >> WE COULD GET MANY COMPANIES NOT GIVEN GUIDANCE BECAUSE THE UNCERTAINTY IS HIGH, SO IF YOU ARE A CFO OR CEO TRYING TO NAVIGATE THIS MARKET, YOU HAVE A HARD TIME NOW BECAUSE WHAT DO YOU GUIDE TO? DO YOU GUIDE TO 145% TARIFF? WHAT YOU ARE SEEING TODAY -- WERT IF -- VERTIVE HAS ASSUMED FULL TARIFF IMPACT. LAST NIGHT, A CFO SAID 145 PERCENT TARIFF IS WHAT THEY HAVE INCLUDED IN THEIR GUIDANCE. JUST A BUFFER IMPACT ON EARNINGS. CAROLINE: YOU SAY IT IS DIFFICULT TO
NAVIGATE. IT IS ALSO DIFFICULT FOR INVESTORS. DO YOU REMAIN COMMITTED IN THE LONGER TERM? DO YOU STICK TO THE LONG-TERM NARRATIVES THAT HAVE DRIVEN THESE STOCKS HIGHER OR PAUSE AND TAKE MONEY OUT? >> IF YOU HAVE NOT TAKEN HER MONEY OUT ALREADY AND PROTECTED YOURSELF, NOW IS NOT THE TIME TO DO IT. SECONDLY, BY SEPTEMBER I WOULD SAY WE ARE NO LONGER GOING TO BE TALKING ABOUT THESE TRADE WARS AND WE WILL HAVE MOVED ON TO SOMETHING ELSE AND MAYBE WE WILL BE LOOKING AT THE MIDTERMS AND HOW GREAT THE ECONOMY IS DOING BUT IT WILL NOT BE THE TRADE WARS, SO THIS IS A SHORT-TERM FOCUS GEOPOLITICALLY, TO PLAY A GAME THE U.S. -- THAT THE ADMINISTRATION IS CURRENTLY PLAYING.
IT WILL BE BEHIND US SHORTLY. AS WE MOVE FORWARD, THE AI TRADE IS STILL PREVALENT AND THERE IS NO ESCAPING IT. THAT TRAIN HAS LEFT THE STATION, SO WE WILL START AGAIN AND RIGHT NOW THERE IS -- THERE ARE COMPELLING OPPORTUNITIES IN THE MARKET. ED: SHOULD AMERICA'S BIGGEST TECHNOLOGY COMPANIES PREPARE FOR A RECESSION? >> TOUGH TO TELL. IT IS A BINARY ANSWER BECAUSE POLICIES ARE GOING TO DICTATE IF WE GO INTO A RECESSION, SO IF WE DO HAVE A 140 5% TARIFF AND KEEP RATCHETING UP THESE TARIFFS ON FOREIGN GOODS AND WE HAVE A RETALIATORY EFFECT COME A WE ARE GOING TO GO INTO A RECESSION AND I WOULD SAY THERE IS A 90% PROBABILITY THAT WOULD HAPPEN. IF WE CAN THREAD THE NEEDLE AND
NOT BE AS AGGRESSIVE, THE SITUATION CHANGES AND MAYBE WE HAVE A SOFT LANDING AT 1% GDP GROWTH INSTEAD OF NEGATIVE GDP GROWTH. ED: COMING UP, BIG TECH FACING ANTITRUST PRESSURE. WE WILL HAVE THE LATEST. CAROLINE: WE UNDERSTAND THE DOJ ANTITRUST OFFICIALS ARE LOOKING INTO WALT DISNEY AND A DEAL TO TAKE A CONTROLLING STAKE IN A CAROLINE: THE EUROPEAN UNION HAS FINED APPLE AND META. THE FINES ARE RELATIVELY MODEST COMPARED TO PREVIOUS FINDS AND IT IS LIKELY TO AVOID FURTHER PROVOKING PRESIDENT DONALD TRUMP. IT HAS PROVOKED THE IRE OF APPLE AND META.
>> IT HAS. APPLE HAS SAID IT WILL APPEAL THE FINE, ABOUT 500 MILLION EUROS AGAINST THE CALIFORNIA FIRM, AND META HAS GONE FURTHER. HE SPENT QUITE A FEW YEARS IN THE WHITE HOUSE, BUT HE IS NOW THE GLOBAL HEAD OF POLICY, SAYING THIS IS A DISCRIMINATIVE ACT FROM THE EUROPEAN UNION AND THAT IS CONTINUING TO UNFAIRLY TARGET AMERICAN BUSINESSES, SO IT IS CERTAINLY A RATCHETING UP IN TRANSATLANTIC TENSIONS AND THE FINE WAS LESS THAN APPLE'S, BUT GENERALLY, DESPITE THE FINES BEING LOWER THAN TRADITIONAL ANTITRUST PENALTIES, THEY STILL HAVE NOT PLEASED FIRMS ON THE OTHER SIDE OF THE ATLANTIC. ED: THE LOGIC BEING THAT BECAUSE THEY ARE LOWER THAN HISTORIC PENALTIES THEY WILL NOT DRAW THE IRE OF PRESIDENT TRUMP. I THINK THE SPOKESPERSON FOR THE EUROPEAN UNION POINTS OUT THIS HAD NOTHING TO DO WITH TRADE. >> THAT IS THE MESSAGE FROM THE EUROPEAN COMMISSION.
THIS IS AN INDEPENDENT REGULATORY ACTION. IT HAS NOTHING TO DO WITH TRADE TALKS, BUT THE SCUTTLEBUTT IN BRUSSELS IS THAT THE E.U. HAS HAD POWERS TO FIND -- FINE THESE COMPANIES. THESE FINES ARE LESS THAN 0.15% OF GLOBAL ANNUAL REVENUE FOR BOTH COMPANIES, SO THERE IS SOMETHING HOLDING THE E.U. BACK.
IT IS MORE LIKELY THAN NOT THE ONGOING TRADE NEGOTIATIONS. ED: THANK YOU. ANOTHER STORY WE ARE TRACKING, THE COFOUNDER OF INSTAGRAM SAYS THE PHOTO SHARING APP COULD HAVE THRIVED WITHOUT FACEBOOK. HE TESTIFIED THAT META CEO MARK ZUCKERBERG TREATED INSTAGRAM GROWTH AS A THREAT AND STARVED THE APP OF RESOURCES AFTER THE PURCHASE. THE U.S. GOVERNMENT IS SEEKING TO PROVE THE SOCIAL MEDIA GIANT CREATED AN ILLEGAL MONOPOLY THROUGH ACQUISITION OF INSTAGRAM AND WHATSAPP. CAROLINE: AND THE JUSTICE DEPARTMENT EFFORT TO BREAK UP GOOGLE.
TRYING TO FIND REMEDIES TO ENSURE THAT GOOGLE NO LONGER SEEMS TO BE A MONOPOLY. ONE OF THE REMEDIES IS TO SELL OFF CHROME AND SEEMINGLY THERE IS A BUYER. >> WE HEARD YESTERDAY THE HEAD OF PRODUCT FOR CHATGPT FROM OPENAI SAID THAT OPENAI WOULD BE INTERESTED IN BUYING CHROME IF IT WERE FOR SALE. GOOGLE DOES NOT INTEND TO SELL IT AND IS FIGHTING THIS REMEDY PROPOSED BY THE DOJ, BUT THEY WILL SEE HOW THE REST OF THE TRIAL GOES AND THE JUDGE IN THIS CASE EVENTUALLY DECIDES. ED: A POINT OF ENTRY IS THE UNDERLYING CODE BASE IS OPEN-SOURCE AND I THINK GOOGLE WILL LEAN INTO THE IDEA THAT IN THE BROWSER MARKET THAT IS A GOOD THING.
HAS THERE BEEN DEBATE OF THAT? DAVEY: GOOGLE'S DEFENSE IN NOT WANTING TO SPIN OFF CHROME IS THE UNDERLYING TECHNOLOGY FOR CHROME IS OPEN-SOURCE AND IT IS USED BY DIFFERENT BROWSERS FROM DIFFERENT COMPANIES, INCLUDING AMAZON, BUT THE DOJ CONTENDS THAT CHROME IS A KEY GATEWAY INTO THE INTERNET AND INTERNET SEARCH AND IF IT WERE TO BE CONTROLLED BY ANOTHER PARTY THEN THAT WOULD HELP BREAK UP THE POWER THAT GOOGLE HAS ABOUT USER DATA, USER QUERIES, EVERYTHING THAT FEEDS INTO GOOGLE SEARCH AND IMPROVING THAT PRODUCT. ED: WE HAVE BREAKING NEWS. TREASURY SECRETARY SCOTT BESSENT SAYS THERE HAS BEEN NO UNILATERAL OFFER FROM TRUMP TO CUT CHINA TARIFFS. HE IS SPEAKING TO REPORTERS ON THE SIDELINES OF THE INSTITUTE OF INTERNATIONAL FINANCE IN WASHINGTON WHERE HE WAS GIVING A KEYNOTE.
THIS IS THE WORDING, NO UNILATERAL OFFER TO REDUCE TARIFFS ON CHINA. THERE HAVE BEEN REPORTS FROM THE WALL STREET JOURNAL THAT THE PRESIDENT WAS CONSIDERING A TIERED APPROACH TO TARIFFS, BUT THE WORDING HERE IS SPECIFIC. HE HAS BEEN COMMENTING ON REMARKS ABOUT FIRING THE FEDERAL RESERVE CHAIR, SAYING THAT THE TREASURY SECRETARY DOES NOT HAVE A STAND AND THAT IS SOMETHING IN THE MARKETS CONTACTS WITH THE NASDAQ 100 PUSHING UP THAT WE HAVE BEEN TRACKING CLOSELY. CAROLINE: COMING UP, ANOTHER LOOK AT HAS LEARNINGS AND WHAT ELON MUSK TELLS INVESTORS THAT HE WILL BE PULLING BACK FROM HIS WORK TO FOCUS ON THE BUSINESS AND RECTIFY WHAT HAS BEEN A MORE THAN 40% SELL OFF THIS YEAR. THIS IS BLOOMBERG TECHNOLOGY. ♪ CAROLINE: WELCOME BACK TO BLOOMBERG TECHNOLOGY. ED: SOME MOVES IN THE MARKETS.
CAROLINE: WE REMAIN HIGHER ON THE NASDAQ 100 EVEN AS WE TRY TO DIGEST SOME OF THE OVERALL HEADLINE RISK, WHETHER WE ARE SEEING A COOLING DOWN OF TENSIONS AROUND CHINA CUT WHETHER WE HAVE TRUMP HAVING SOME OR POSITIVE NARRATIVE TOUR THE COUNTRY, BUT SCOTT BESSENT SAYING THERE IS NO FULL CHINA TRADE DEAL YET. IT WILL TAKE TWO TO THREE YEARS. WE ARE UP TWO POINT 8%. NO UNILATERAL OFFER FROM PRESIDENT TRUMP TO CUT CHINA'S TARIFFS YET. SOME OF THE INDIVIDUAL STOCKS ON THE MOVE -- I WANT US -- TO SHINE A LIGHT ON TRADING. WE HAD THE BEST INNINGS IN SIX YEARS. THEY POST STRONG PROFITABILITY AND A GREAT BACKLOG FOR CLOUD ORDERS.
WHAT DOES THAT MEAN FOR THE COMPANY? NOW HE ROUNDS SERVICE NOW AND THEIR EARNINGS AFTER THE BELL. WILL THEY POST RESILIENCY? THEY ARE EXPOSED TO SOME ON THE DOGE CUTS ACROSS GOVERNMENT. SO IS IBM, UP 2% AFTER THE BELL, REVENUES LIKELY TO FLATLINE FOR THAT BUSINESS. ED: TESLA STOCK HAS PULLED BACK ON HEADLINES FROM THE TREASURY SECRETARY BUT STILL UP 7%, NOT UP ON FUNDAMENTALS OR THE CORE OF THE EARNINGS REPORT BUT THE COMMENTARY FROM ELON MUSK THAT HE WILL PARE BACK TIME AT DOGE AND ALLOCATE MORE TIME TO TESLA.
YOU AND I HAVE BEEN POURING THROUGH THE COMMENTARY ON THE CALL AND THE EARNINGS AND THERE ARE CONTRADICTIONS ABOUT THE CORE BUSINESS, DEMAND HIT FROM THE BACKLASH DOGE OR IS IT THE BRAND OR IS IT SOMETHING ELSE? >> THE FIRST QUARTER, WE HAVE TO ACKNOWLEDGE THE MODEL Y CHANGEOVER WAS DISRUPTIVE AND IT IS GOING TO TAKE TIME TO PARSE HOW MUCH DEMAND THERE IS FOR THAT MODEL. IT IS THEIR MOST POPULAR AND IT IS ONE OF THE BEST-SELLING VEHICLES IN THE WORLD. THE QUESTION IS GOING TO BE, HOW MUCH CAN THEY RELY ON THAT ONE VEHICLE? AND CANNOT RELIABLY CONTINUE TO BE A ONE TRICK PONY WHERE THE MODEL 3 HAS BEEN A LETDOWN DESPITE THAT VEHICLE GETTING A MAKEOVER RECENTLY? AND THE REST OF THE LINEUP IS SUCKING WIND. THE CYBERTRUCK IS NOT LIVING UP TO EXPECTATIONS.
CAROLINE: SIGNIFICANT NUMBER AND SALES DOWN FOR THE CYBERTRUCK COME BUT THERE WILL BE A CHEAPER MODEL Y IN THE FIRST HALF OF THE YEAR. THAT IS WHAT HELPS SEND SHARES HIGHER. SO IS THE ROBOTAXI OUTLOOK FOR WHAT IS HAPPENING IN AUSTIN IN JUNE. THERE WAS RECOMMITMENT. >> I THINK THERE WAS CONCERN AFTER REPORTING A FEW DAYS AGO THAT MAYBE THERE WAS A SETBACK IN THE TIMING FOR MORE AFFORDABLE VEHICLES THAT THEY HAVE BEEN SAYING WILL BE ON THE WAY FOR THE FIRST HALF. I THINK THERE WAS NECESSARILY DENIAL OF THAT. THERE WAS COMMENT DURING THE CALL ABOUT A RAMP NOT GOING AS SMOOTHLY AS HOPED AND I THINK EVEN THE DRIVERLESS RIDES THEY ARE GOING TO START IN AUSTIN, I THINK MOSQUE -- ELON MUSK TALKED ABOUT THAT MEAN A LIMITED LAUNCH OF A HANDFUL OF VEHICLES, SO MAYBE SOME EXPECTATION SETTING THEIR IN LIGHT OF HOW MUSK TENDS TO PROMISE THE MOON.
IT IS MAY BE SURPRISING TO SEE THE SHARES JUMPED SO DRAMATICALLY WHEN SOME OF THESE REASONS FOR BEING ASSUAGED WERE NOT NECESSARILY FULL THROATED. ED: THANK YOU. FOR MORE ON TESLA, WE ARE JOINED BY A LONG TIME TESLA SHAREHOLDER. SHE IS SEEN AS A LEADER AMONG THE VERY LARGE GROUP OF RETAIL INVESTORS TO FOLLOW THE EV MAKER CLOSELY. SHE IS ALSO THE CEO AND FOUNDER OF AN INVESTMENT SERVICE.
LET'S START WITH THE BASIC REACTION YOU HAVE TO ELON MUSK SAYING HE WILL PARE BACK THE AMOUNT OF TIME SPENT ON DOGE AND ALLOCATE MORE TIME TO TESLA. >> FIRST, I WANT TO THANK ELONG FOR HAVING DONE THE JOB HE HAS BEEN DOING. THIS HAS BEEN IMPORTANT FOR ANY U.S. TAXPAYER AND ANYBODY INTERESTED IN UNITED STATES BECOMING A POWER. HE HAS BEEN STELLAR IN GETTING THIS ORGANIZED. I AM PLEASED HE PUT TIME AND
EFFORT INTO THIS. IT HAS ALWAYS BEEN CLEAR BY ELONG AND PRESIDENT TRUMP THAT THIS WOULD BE LIMITED IN TIME FOR HIS FULL-TIME ALLOCATION OF TIME, BUT THIS IS COMING TO AN END IN MAY, WHICH IS NOT SURPRISING OTHER THAN TO PEOPLE WHO MAY NOT HAVE LISTENED. HIM DIALING IT DOWN TO ONE TO TWO DAYS A WEEK, AND HIS WEEK IS A SEVEN-DAY WEEK AND ON A FIVE-DAY WEEK, HIM DIALING IT DOWN TO ONE TO TWO DAYS OF OVERSIGHT AND STILL BEING AVAILABLE DOES NOT MEAN HE IS BACKING OUT OF IT. WE ARE HAPPY AS SHAREHOLDERS THAT HE IS GOING TO PUT MORE TIME IN, BUT NOTHING HAS BEEN DELAYED OR MISSING FOR THE FOUR OR FIVE MONTHS HE HAS BEEN WITH DOGE. THE LAUNCH OF THE NEW MODEL Y
IN FOUR FACTORIES ON THREE CONTINENTS SHOWS HOW STRONG THE TEAM IS, WHETHER HE IS IN WASHINGTON, D.C. OR SOMEWHERE ELSE. THERE WAS NO CONCERN WHATSOEVER. PEOPLE BEING SURPRISED I THE STOCK GOING BACK UP -- I THINK THEY HAVE NOT WATCHED WHAT TESLA IS GOING TO ACCOMPLISH. ED: YOU SAID NOTHING HAS BEEN MISSED. I WAS TRYING TO UNDERSTAND SOME CONTRADICTION BETWEEN WHAT HE SAID ON THE DEMAND SIDE AND ABSENT OF MICRO-ECONOMIC IMPACTS THEY DO NOT SEE IMPACT DEMAND WENT BUT THE CEO WAS CLEAR ABOUT THE BRAND IMPACT IN THE QUARTER -- THE FIRST QUARTER, AND THE CHANGING POLITICAL LANDSCAPE HAVING IMPACT ON FUTURE SALES. I HAVE A QUESTION FROM THE AUDIENCE AND ONE OF YOUR FELLOW COMMUNITY MEMBERS AND IT ASKS YOU -- YOU USUALLY LIVE IN CALIFORNIA.
WHAT IS YOUR GAUGE OF BRAND DAMAGE GIVEN YOUR GEOGRAPHY? ALEXANDRA: A VERY GOOD QUESTION. I DO NOT SEE ANY IMPACT. THERE ARE MORE TESLA'S OUT THERE -- I PICKED UP MY NEW MODEL Y LAST SATURDAY AND THE CENTER WAS BUSY. IT WAS CRAZY, ACTUALLY, BUT FROM 10:00 TO 12:00 THERE WAS THE TYPICAL SATURDAY MORNING PROTESTS IN FRONT OF THE STORE, ALWAYS THE SAME PEOPLE. THEY GET CARRIED IN WITH BUSES. THIS WILL HAVE AN IMPACT ON PEOPLE THAT PROBABLY WOULD NOT HAVE PURCHASED BUT STILL WANT TO MAKE NOISE.
ON THE UPSIDE, THERE IS NOW A NEW CLIENTELE. WE ARE SEEING PEOPLE WHO HAVE NEVER CONSIDERED EV IS NOW CONSIDERING EV'S AND SO IT IS GIVE-AND-TAKE. I AM NOT SAYING IT WAS WITHOUT BRAND DAMAGE, BUT THE OVERALL GOAL OF TESLA, PUTTING REAL AI ON THE STREETS, BEING THE ONE VECTOR THAT WILL BE THE ONE TRANSPORTING ANYBODY AND EVERYBODY IN THE NEXT DECADE, THAT HAS NOT BEEN CHANGED.
CAROLINE: THEY ARE KIND OF LATE TO THAT PARTY, CERTAINLY SLOWER THAN WAYMO. WHAT OF THE ROLLOUT AND WHEN IT BECOMES A REAL BUSINESS MODEL ACTION HERE? ALEXANDRA: THAT WAS THE KEY PHRASE I FOUND YESTERDAY IN THE EARNINGS CALL, WHEN ELON QUANTIFIED WHEN HE EXPECTS SIGNIFICANT REVENUES FROM FULL SELF DRIVE, WHICH HE SAID IN THE MIDDLE OF 2026. THAT IS JUST AROUND THE CORNER. THE WAYMO MODEL WAS A FUN MOMENT BECAUSE THE WHOLE TEAM THERE HAD A GOOD CHUCKLE ABOUT WAYMO COSTING WAY MORE MONEY. AS YOU KNOW, WAYMO IS BUILT ON OTHER COMPANIES VEHICLES. IT IS EXPENSIVE AND IT IS GEO FENCED SO IT IS IN NO WAY COMPARABLE BUT NO DOUBT THEY HAVE DONE A GREAT SERVICE OF BRINGING SELF-DRIVING TO THE MASSES AND HAVE TO BE CONGRATULATED FOR. IT IS IN NO WAY COMPARABLE WITH WHAT TESLA HAS. TESLA'S WILL WORK EVERYWHERE,
AS PROVEN WITH THE ROLLOUT IN CHINA. THEY HAD HARDLY ANY INFORMATION ON CHINESE ROADS YET WERE IMMEDIATELY ABLE TO ADOPT TO CHINA. CAROLINE: IT IS ALWAYS GREAT TO HAVE YOU ON THE SHOW. COMING UP, JEFF ROSENTHAL JOINS US TO DISCUSS HIS NEW ENTER CAPITAL FUND BACKING TECH START UPS. THIS IS BLOOMBERG TECHNOLOGY.
THERE IS A NEW VENTURE CAPITAL FIRM ON THE SCENE, LAUNCHING WITH AN INAUGURAL $200 MILLION FUND TO BACK START UP TO RESHAPE MANUFACTURING. JEFF ROSENTHAL JOINS US NOW. YOU HAVE BIG NAMES BEHIND YOU AS WELL, SOME REAL FOUNDERS IN U.S. V, FOR EXAMPLE. WHERE ARE YOU ALLOCATING THE MONEY? YOU HAVE ALREADY INVESTED IN CERTAIN STARTUPS. >> WE BUILT THE FIRM TO BACK AND BUILD COMPANIES FOCUSED ON CRITICAL INFRASTRUCTURE AND INDUSTRY IN THE U.S. APPEARANCE SO THAT SPANS DIGITAL INFRASTRUCTURE, ROBOTICS, AI COMPUTE, REALLY GUIDED BY THIS FAST-MOVING, FAST APPROACHING SET OF TRENDS WITH AI AND COMPUTE BEHIND IT. THE RE-INDUSTRIALIZATION OF GLOBAL INDUSTRY FOLLOWING COVID, UKRAINE, AND NOW A NEW ADMINISTRATION AND ELECTRIFICATION OF EVERYTHING. WE ARE SEEING THIS DEMAND
DRIVING DEMAND AND SUPPLY AND IT IS NOT ONLY A DEEP NEED FOR ECONOMIC WELL-BEING BUT ALSO A NATIONAL SECURITY ISSUE. ED: WHEN DID YOU CONCEIVE THE IDEA FOR THE FIRM IN THE FUND AND WHEN DID YOU START BUILDING AT? THIS IS IN LINE WITH WHAT THE ADMINISTRATION IS TRYING TO DO WITH HEAVY INDUSTRY OF DIFFERENT TYPES. JEFF: WE STARTED BUILDING THE FIRM COUPLE YEARS AGO, THINKING ABOUT THE IDEA OF BUILDING IN THE SPACES. I DO NOT THINK WE COULD HAVE PREDICTED THAT THESE TRENDS WOULD HAVE ACCELERATED TO THE DEGREE THAT THEY HAVE IN THE LAST SIX TO 12 MONTHS ACROSS NUCLEAR AND CRITICAL INFRASTRUCTURE. SUPPLY CHAIN LOGISTICS AND MANUFACTURING. WE HAD A BACKGROUND IN
INVESTING IN THESE THEMES BUT ALSO BUILDING COMPANIES IN THESE THEMES. WE ARE NOT JUST PASSIVE CAPITAL. CAROLINE: YOU HAVE INVESTED IN SPACEX AND FOUNDED A CLEAN ENERGY BUSINESS. WHAT OF THE THESIS OF WHERE YOU INVEST AND HOW? YOU ACTUALLY COFOUND BUSINESSES. WHAT IS THE RECIPE HERE? >> WE ARE PRINCIPALLY AN INVESTMENT FIRM. WE SPEND THE MAJORITY OF OUR TIME IDENTIFYING AND EARNING THE RIGHT TO BACK THE BEST FOUNDERS. WHEN WE HAVE A DEFINED THESIS, A REAL RIGHT TO WIN ANY PARTNER GOING TO LEAD THAT BUSINESS AS ACTIVE COFOUNDER AND CEO, ONLY WILL BE COFOUND BUSINESSES ON PLATFORMS. BEFORE WE RAISE
OUTSIDE CAPITAL, WE PROVE THE THESIS TO OURSELVES. WE MAY DIRECT INVESTMENTS IN COMPANIES AND OUR FIRST BUILD COMPANY WE COFOUNDED A NUCLEAR COMPANY, WHICH IS A FLEET SCALE NUCLEAR DEVELOPER POWERING AI IN THE UNITED STATES. ED: MANUFACTURING REQUIRES CAPITAL. YOU ARE LOOKING AT THE EARLY STAGE, SO WHAT ARE THE INNOVATIONS YOU HOPE TO FIND THAT LOWER THE COST OF DOING BUSINESS IN THIS COUNTRY OR SOMETHING TO THAT EFFECT? JEFF: WHEN YOU LOOK AT THE COST OF DOING BUSINESS IN THIS COUNTRY, WHEN YOU THINK ABOUT CRITICAL INDUSTRY, ONE OF THE THINGS PEOPLE WILL POINT TO AS A CHALLENGE IS THE COST OF LABOR AND I THINK THERE IS A LOT TECHNICAL INNOVATION THAT GIVES US CONFIDENCE THAT IS SOMETHING THAT WE WILL BE ABLE TO COMPETE ON A GLOBAL SCALE DOMESTICALLY. THE BEAUTY OF THESE BUSINESSES COMPARED TO TRADITIONAL VENTURE CAPITAL IS THEY SCALE SO WE FOCUS ON BUSINESSES THAT ARE EFFICIENT TO EQUITY AND CAN SCALE WITH ASSET CAPITAL OR DEBT. ED: COMING UP, CANTOR FITZGERALD TEAMS UP TO CREATE 21 CAPITAL, WHICH WOULD ACCUMULATE BITCOIN SIMILARLY.
WE DISCUSSED WITH THE CEO NEXT. THIS IS BLOOMBERG TECHNOLOGY. CAROLINE: CANTOR FITZGERALD IS CREATING A NEW COMPANY CALLED 21 CAPITAL, ACCUMULATING BITCOIN. IT PLANS TO LAUNCH WITH MORE THAN 42,000 BITCOIN AND THE COFOUNDER AND CEO JOINS US NOW. WE SHOULD HAVE YOU ON.
WHEN DID THIS IDEA COME TO BE? >> I CO-FOUNDER THE BUSINESS. I WOULD SAY I HAVE KNOWN THE GROUP FOR OVER A DECADE. THERE WERE NOT THAT MANY AROUND 10 YEARS AGO, SO WE HAVE DONE A LOT OF OF WORK TOGETHER IN EL SALVADOR. WE HAVE BEEN INSPIRED BY THE PUBLIC COMPANIES ACQUIRING BITCOIN BUT I WOULD SAY OVER THE LAST FEW YEARS THAT INSPIRATION TURNED INTO WHAT WE THOUGHT WAS AN OPPORTUNITY AND A HOLE IN THE MARKET WE COULD DELIVER ON, WHICH WAS BRINGING CREDIBILITY AND START UP UPSIDE. WE FEEL WE CAN BRING ENOUGH CAPITAL TO WIN. MOST IMPORTANT, A PURE BITCOIN BUSINESS.
A LOT OF COMPANIES ARE PIVOTING FROM A PAST OPERATING BUSINESS. THEY ARE MAYBE SELLING VIDEO GAMES AND WE ARE A PURPOSE BUILT COMPANY. WE WILL BUILD BITCOIN PRODUCTS AND GIVE BITCOIN GROWTH TO SHAREHOLDERS AND BE THE BEST WAY FOR INVESTORS TO GET IT COIN EXPOSURE IN THE MARKETS.
ED: USED THE WORD VEHICLE FOR BITCOIN. A REASONABLE QUESTION PEOPLE HAVE IS WHAT IS THE CEO OF A NEW COMPANY WHOSE MISSION IS TO ACCUMULATE BITCOIN DO DAY TODAY? WHAT IS IT YOU ARE GOING TO TRY TO MANAGE OR ACHIEVE? >> WE ENCOURAGE YOU TO CHECK OUT OUR FILING. WE'VE INTRODUCED TWO NEW METRICS. ONE STANDS FOR BITCOIN PER SHARE AS OPPOSED TO EARNINGS-PER-SHARE. THE OTHER STANDS FOR BITCOIN RETURN RATE. MY JOB FOR OUR SHAREHOLDERS, WHICH WE VIEW SIMILAR TO CUSTOMERS, IS GROW OUR BITCOIN PER SHARE, SO WE ARE AN OPERATING COMPANY.
WHEN YOU BUY A SHARE 21, WHAT WE INTEND TO DO IS, LET'S SAY OUR BITCOIN PER SHARE IS 0.05. OUR INTENT IS TO GROW THAT. WE ARE A VEHICLE LIKE AN ETF -- WHERE A VEHICLE LIKE AN ETF, YOUR EXPOSURE IS STATIC. WE WILL BUILD BITCOIN PRODUCTS AND OPERATIVE CASH FLOW AND USE THE CAPITAL MARKETS TO GROW IT COIN ON OUR BALANCE SHEET. WE WANT OUR SHAREHOLDERS TO GET RICHER IN BITCOIN TERMS AND OUR METRICS ENCOURAGE THE MARKET TO VIEW US IN BITCOIN TERMS BECAUSE WE ARE NOT HERE TO NECESSARILY BEAT THE MARKET. WE ARE HERE TO BUILD A NEW ONE AND ENCOURAGE THE WORLD TO ADOPT BITCOIN IN A SENSE WE BELIEVE IT HAS NOT YET. ED:
-- CAROLINE: YOU ALREADY HAVE A BITCOIN PRODUCT. WHAT HAPPENS TO THAT? ARE YOU STILL EATING THAT BUSINESS? >> I AM THE CEO OF BOTH COMPANIES. WE ARE DISCLOSING TODAY SOME OF OUR FINANCIALS. WE HAVE OVER 20% MARGIN. WE HAVE ONLY 75 EMPLOYEES, SO
ON A NET PROFIT PER EMPLOYEE BASIS HAVE TO BE ONE OF THE BIGGEST IN THE BITCOIN SPACE IN THAT REGARD, SO IT IS A STRONG BUSINESS AND DOING WELL. I'M PROUD OF OUR INVESTORS AND THANKFUL FOR OUR CUSTOMERS AND YOU CAN JUST DO THINGS AND I'M GOING TO LEAD BOTH BUSINESSES. I BELIEVE MY PURPOSE ON THIS PLANET IS TO TRY AND HELP BITCOIN HAVE A CHANCE TO CHANGE THE WORLD IN WHAT I BELIEVE IS THE RIGHT DIRECTION AND I THINK STRIKE IN 21 BOTH INDEPENDENTLY WORK TOWARD THAT. ED: YOU HAVE PLANS TO RAISE CAPITAL OVER TIME.
HOW WILL THAT WORK IN PRACTICE? A LOT PEOPLE ASK, IF THEY ARE NOT REGISTERED INVESTORS, HOW CAN THEY PARTICIPATE IN THAT? JACK: I THOUGHT FOR A SECOND YOU WERE GOING TO OFFER ME MONEY TO BUY BITCOIN. ED: ABSOLUTELY NOT. JACK: WE ARE HOPEFUL TO HAVE OUR SHARES LISTED ON A STOCK EXCHANGE. TODAY, WE ARE TRADING UNDER CEP AND THAT STOCK IS TRADING AND LIVE TODAY. IF IT IS SUCCESSFULLY MERGED UPON CLOSING, IT WILL BE X XI, BUT WE INTEND TO RAISE AS MUCH CAPITAL AS WE CAN TO ACQUIRE BITCOIN. MY RULE MY SHAREHOLDERS IS OUR BITCOIN PER SHARE WILL GROW. WE WILL NEVER HAVE BITCOIN PER SHARE NEGATIVE.
THAT IS OUR INTENT. OUR INTENT IS TO MAKE SURE WHEN YOU ARE A SHAREHOLDER THAT YOU ARE GETTING WEALTHIER IN BITCOIN TERMS. WE PLAN ON RAISING CAPITAL IN ALL DIFFERENT SECTORS AND MARKETS AND BLENDING BITCOIN AND INCORPORATING IT IN THE FINANCIAL SYSTEM TO DELIVER POWERFUL EQUITY TO PUBLIC MARKETS. CAROLINE: IS THAT THE SELLING POINT VERSUS ETF'S? YOU CAME UP WITH THIS IDEA OVER YEARS AND SINCE THAT TIME THERE HAS NOT JUST BEEN STRATEGY YOU CAN INVEST IN, BUT YOU CAN GET BITCOIN ETF'S. WHAT IS THE UPSIDE? A VIEWER IS ASKING, HOW CAN YOU HAVE MORE THAN AN ETF? JACK: I AM NOT PREACHING A FUTURE THAT I CAN PROMISE.
THIS IS HYPOTHETICAL AND OUR INTENT. SOMEWHERE MILERS ARE LIKE, THAT IS OUR GUY. OUR INTENT IS THAT WHEN YOU BUY A SHARE, LET'S SAY 0.05 BITCOIN
PER SHARE, WE INTEND TO CLOSE DEALS AND ADD BITCOIN TO OUR TREASURY TO WHERE YOU GET A PRESS RELEASE AND SAY, 21 BITCOINS PER SHARE GREW TO 0.06. I GOT MORE BITCOIN EXPOSURE. I GOT WEALTHIER IN BITCOIN TERMS BY BEING A SHAREHOLDER OF THIS COMPANY. IT IS NOT OUTGROWING YOUR EXPOSURE TO BITCOIN. IT IS STATIC EXPOSURE THROUGH THEIR SECURITY INSTRUMENT. WE ARE A BUSINESS. I AM A CEO. I WORK TO GROW HOW MUCH BITCOIN
YOUR SHARE REPRESENTS ON OUR BALANCE SHEET. ED: GREAT TO HAVE YOU BACK ON THE SHOW. CAROLINE: THAT DOES IT FOR THIS EDITION OF BLOOMBERG TECHNOLOGY.
ED: TESLA IS UP BECAUSE ELON MUSK HAS PLEDGED TO RETURN. INTEL IS CUTTING STAFF, GETTING FOCUSED ON TECH, AND THE MARKET HAS PULLED BACK, BUT THERE IS GREEN ON THAT SCREEN. CAROLINE: GREEN ON THE SCREEN AS WE ANTICIPATE IBM SERVICE NOW EARNINGS AND WE HAVE INTEL TOMORROW. DO NOT FORGET TO CHECK OUT OUR PODCAST ON APPLE, SPOTIFY, AND I HEART.
2025-04-29 00:21
