Bloomberg Technology 03/25/2024

>> FROM>> THE HEART OF WHERE INNOVATION, MONEY, AND POWER COLLIDE, THIS IS BLOOMBERG TECHNOLOGY WITH CAROLINE HYDE AND ED LUDLOW. ED: I'M ED LUDLOW IN SAN FRANCISCO. CAROLINE HYDE IS OFF. COMING UP, FACING BIGGER FINES. THE EUROPEAN UNION OPENS INVESTIGATIONS INTO APPLE, GOOGLE, AND META IN THE FIRST PROBES UNDER THE DIGITAL MARKETS ACT. WE GO LIVE TO BRUSSELS. WE WILL TAKE A DEEP DIVE INTO THE JUSTICE DEPARTMENT LAWSUIT AGAINST APPLE. THE CASE IS MISSING AN OPPORTUNITY TO ADDRESS MORE PRESSING

CONCERNS. AND LUCID GETTING A CASH INGESTION -- INJECTION FROM ITS BIGGEST INVESTOR. WE WILL DISCUSS THAT AND MORE. LET'S LOOK AT LUCID SHARES, NOW UP 8%. THEY HAD BEEN AS HIGH AS AROUND 20% FOLLOWING THE MARKET OPEN. THIS IS A PRIVATE PLACEMENT OF CONVERTIBLE STOCK. IT TAKES THE SAUDI PIF AND MOVES IT TO $6.5 BILLION ALL TOLD. A LOT MORE TO DISCUSS ON THAT LATER. THESE ARE THE MEGA CAP TECHNOLOGY SHARES THAT WE ARE WATCHING THIS MONDAY, ALL MOVING TO THE DOWNSIDE, APPLE DOWN A PERCENTAGE POINT.

ALPHABET DOWN MORE THAN A PERCENTAGE POINT. META DOWN .7%. WE HAVE AN E.U. PROBE OF EACH OF THOSE COMPANIES UNDER THE DIGITAL MARKETS ACT. >> THESE ARE SERIOUS CASES THAT WE HAVE BEEN ABLE TO SOLVE WITH A DISCUSSION -- SERIOUS CASES. HAD WE BEEN ABLE TO SOLVE THAT WITH THE DISCUSSION, IT WOULD HAVE BEEN DONE BY NOW. IF WE FIND COMPLIANCE SOLUTIONS IF THEY PERSIST, CONSUMERS WILL NOT HAVE THE CHOICE THAT THEY WERE PROMISED BY THE DIGITAL MARKETS ACT. ED: LET'S GO TO BRUSSELS. OUTLINE THE BASICS

OF THESE PROBES UNDER THE DIGITAL MARKETS ACT AND HOW THEY RELATE TO U.S. TECHNOLOGY COMPANIES. >> GOOD AFTERNOON FROM BRUSSELS. WE ARE BACK HERE AGAIN. THE E.U. FACING UP TO THE DOMINANCE OF BIG TECH. THE EUROPEAN COMMISSION HAS OPENED FIVE INVESTIGATIONS UNDER ITS NEW DIGITAL MARKETS ACT RULES TARGETING APPLE, GOOGLE HIM AND META. HOW SERIOUS IS THIS? IT IS A STATEMENT OF INTENT FROM BRUSSELS THAT WANTS TO ENFORCE AS ROBUSTLY AS POSSIBLE THESE NEW DIGITAL COMPETITION RULES, WHICH ONLY TOOK HOL

D 18 DAYS AGO ON MARCH 7. ED: WE PLAYED THAT CLIP. ONE OF THE QUESTIONS IN THE PRESS CONFERENCE WAS IS THIS A FRIEND RON? IS THIS YOU MOVING QUICKLY? SHE SAID NO. WE ARE MOVING IN A TIMELY FASHION. WE ARE SHOWING POTENTIAL RISKS TO THESE TECHNOLOGY COMPANIES. EXPLAIN WHAT FINES THESE TECH COMPANIES COULD FACE. >> FROM TODAY, THE COMMISSION WILL AIM TO CONCLUDE THESE INVESTIGATIONS INTO APPLE, GOOGLE, AND META WITHIN ABOUT 12 MONTHS. AT THE END OF THOSE 12 MONTHS, IT WILL ADOPT A DECISION. WITH T

HAT POWER, IT HAS THE CAPACITY TO FINE THESE COMPANIES UP TO 10% FOR THOSE TYPES OF BREACHES AND ALSO HAS ADDITIONAL POWERS IN THE CASE OF REPEATED INFRINGEMENTS TO FIND FIRMS UP TO 20% OF THEIR GLOBAL ANNUAL REVENUE OR EVEN MANDATE THE BREAKUP OF THESE COMPANIES, SO IT IS A SERIOUS MATTER. WE ARE NOT AT THAT STAGE YET. THERE IS A 12 MONTH PERIOD TO GO THROUGH, BUT THAT KICKS OFF TODAY. ED: FOR SIZE AND SCOPE, APPLE REVENUE IN 2023 WAS $383 BILLION AND 20% OF THAT IS HEFTY. THANK YOU. THE E.U. P

ROBE IS NOT THE ONLY ANTITRUST STORY OUT OF APPLE. THE DOJ FILED A SUIT ACCUSING APPLE OF VIOLATING ANTITRUST LAWS AND SUPPRESSING COMPETITION AND THE CULMINATION OF A FIVE-YEAR PROBE INTO THE COMPANY. I WANT TO SPEAK TO THE LEGAL DIRECTOR OF PUBLIC KNOWLEDGE AND GO DEEPER ON THIS. THIS WAS A BIG STORY FROM A MARKETS PERSPECTIVE. IT IS RARE A STOCK SHOWS PRESSURE OF AN ANTITRUST ACTION. WHAT IS YOUR ASSESSMENT OF HOW STRONG THE DOJ IS AGAINST APPLE? >> IT IS VERY STRONG. THEY LISTED ABOUT FIVE B

EHAVIORS NOT INTENDED TO GATHER UP THE COMPLAINTS PEOPLE HAVE ABOUT APPLE BUT THE BEHAVIORS THEY THINK PROBABLY VIOLATE THE LAW. SOWS INCLUDE -- ED: PLEASE CONTINUE. ED: THOSE CONTINUE USING THE APP STORE MONOPOLY TO PREVENT CATEGORIES FROM COMPETING, BLOCKING BANKS FROM ACCESSING THE NFC CHIP AND OTHER MATTERS AND THOSE ARE EXCLUSIONARY BEHAVIORS WHERE COMPANIES THAT HAVE DOMINANT MARKET POWER ARE USUALLY PREVENTED FROM DOING THINGS THAT BLOCK OUT COMPETITORS. THE DOJ PUT FORWARD A COMPELLING N

ARRATIVE SHOWING HOW APPLE HAS DONE THAT. ED: THE APPLE ARGUMENT IS THAT THE CONSUMER DOES HAVE CHOICE, THAT THEY ARE THE MAKER OF A CREATIVE MARKET. DO YOU THINK THAT COMPETITIVE MARKET, AND THAT THEY OFFER DEVELOPERS THE OPPORTUNITY TO MAKE A LIVING, DOES THAT GIVE THEM ANY CHANCE OF WARDING OFF THIS FIGHT FROM THE DOJ? >> I DO NOT THINK SO. IF YOU ARE A DEVELOPER, YOU HAVE NO CHOICE BUT TO DEVELOP FOR BOTH. I DOUBT THE MAJORITY OF CUSTOMERS BUY IPHONES BECAUSE OF THESE EXCLUSIVE PRACTICES. AP

PLE MAKES EXCELLENT PRODUCTS. THE QUESTION IS NOT WHETHER APPLE MAKES GOOD PRODUCTS BUT WEATHER CAN USE PRODUCTS TO CONTROL OTHER MARKETS LIKE PAYMENT APPS. ED: YOU WORK AT PUBLIC KNOWLEDGE. THE GOALS TO MAKE SURE EACH PART OF THE TECHNOLOGY AND STAKEHOLDERS HAVE A SAY IN THE FUTURE. WHAT -- ONE OF THE THINGS THAT GETS TO BEAT IT IS WHO IS IT SERVING? WHO IS IT PROTECTING? THE ARGUMENT FROM THE DOJ IS IT IS PROTECTING THE CONSUMER, MAKING SURE IT ENDS IN A POLICY CHANGE AT APPLE THAT WOULD ALLOW

THE CONSUMER TO HAVE GREATER CHOICE AMOUNT DOES THAT EVER HAPPEN? -- CHOICE, BUT DOES THAT EVER HAPPEN? >> IT DOES FREQUENTLY WITH ANTITRUST CASES. THEY TAKE A LONG TIME TO LITIGATE. ANTITRUST IS NOT THE ONLY TOOL POLICYMAKERS HAVE TO PROTECT CONSUMERS. APPLE -- DOJ IS NOT SUING APPLE FOR HAVING PRODUCTS THERE TOO GOOD OR TOO INTEGRATED. IT IS SUING APPLE FROM BLOCKING COMPETITORS FROM DOING THE SAME ON THE PLATFORM, WHICH IS SO DOMINANT IF YOU ARE A COMPETITOR OR DEVELOPER YOU HAVE NO CHOICE B

UT TO DEVELOP FOR THE IPHONE. ED: YOU MENTIONED IT IS NOT THE ONLY TOOL. OFTEN TALK ABOUT REGULATING THROUGH THE COURTS, BUT THERE IS LAWMAKING ON CAPITOL HILL. IS THERE AN AVENUE FOR APPLE TO REACH SOME KIND OF SETTLEMENT WITH THE DOJ WHERE THEY COULD WORK THIS OUT BEHIND CLOSED DOORS? >> I CANNOT PREDICT WHETHER THERE WOULD BE A SETTLEMENT. APPLE WILL SET FORTH ITS SIDE OF THE STORY. LITIGATION OFTEN TAKES YEARS. CONGRESS IS NOT SITTING ON ITS HANDS AND OTHER REGULATORS ARE NOT SITTING ON THEI

R HANDS. CONGRESS INTRODUCED A BILL THAT DID NOT PASS CALLED THE AXIS ACT, IT WOULD HAVE OPENED THE APP STORE MONOPOLY A LITTLE BIT. AS YOU HAVE REPORTED, EUROPE IS TAKING ACTION. THERE IS LITIGATION IN AUSTRALIA, SO IT WILL BE A COMPLICATED SITUATION FOR APPLE AND MAYBE IT IS IN THEIR INTEREST TO TRY TO RESOLVE THESE DISPUTES BUT APPLE SO FAR HAS SHOWN IT WANTS TO FIGHT TOOTH AND NAIL AND RESIST ATTEMPTS TO REGULATE OR CHANGE BEHAVIOR. ED: IT IS GETTING COMPLICATED. APPLE IS FACING ANTITRUST SC

RUTINY ON TWO FRONTS. I WANT TO SAY IF YOU READ THE BLOOMBERG STORY EACH OF THE COMPANIES GAVE A PRETTY FULL RESPONSE SAYING WE ARE COMPLIANT , SO I ENCOURAGE OUR AUDIENCE TO LOOK AT THOSE RESPONSES. JOHN DRAKE MAYOR --BERGMAYER, THANK YOU. APPLE CEO TIM COOK HAS REVEALED PLANS TO INVEST IN SUPPLY CHAIN STORES AND RESEARCH IN CHINA. STATE MEDIA SAYS HE MADE THE PROMISE ANY MEETING WITH BEIJING'S COMMERCE MINISTER AT THE ANNUAL CHINA DEVELOP AN FORUM, SAYING AI WILL BE AN ESSENTIAL TOOL FOR HELPI

NG BUSINESSES REDUCE THEIR CARBON FOOTPRINTS. >> WE WOULD NOT BE ABLE TO RECOVER THE LEVEL OF MATERIALS THAT WE DO TODAY FOR RECYCLING WITHOUT AI. IT IS ALREADY FUNDAMENTAL IN OUR CALCULATION AND I THINK IT PROVIDES AN ENORMOUS TOOL FOR EVERY COMPANY THAT IS WISHING TO BE CARBON NEUTRAL OR TO LOWER EMISSIONS BY SUBSTANTIAL AMOUNT. ED: COMING UP, WE WILL HAVE THE LATEST ON LUCID'S CASH INJECTION FROM ITS DEFINITIVELY INVESTOR. THAT STICK A LOOK AT THE NASDAQ 100, MY GO TO INDEX, VERY CONCENTRATED

. WE ARE SOFTER .2%. WE STARTED THE WEEK TREADING WATER, BUT WE ARE COMING OFF THE BEST WEEK FOR THE NASDAQ 100 IN 2024 SO FAR AND THE FOCUS AGAIN WILL BE THE FED RATES AND EVENTUALLY EARNINGS SEASON. WE WILL BE RIGHT BACK. THIS IS BLOOMBERG TECHNOLOGY. ED: LUCID TRADING UP AROUND 5% OR 6% RIGHT NOW. HAD BEEN TRADING UP AS THE COMPANY RECEIVE A CASH INJECTION FROM ITS BIGGEST INVESTOR AND AFFILIATE, SAUDI ARABIA'S PUBLIC INVESTMENT FUND. PROVIDING THE ELECTRIC CAR MAKER A FURTHER LIFELINE. HERE

TO DISCUSS IS BLOOMBERG'S GLOBAL AUTOS EDITOR. YOU AND I HAVE BEEN FOLLOWING LUCID A LONG TIME, BEFORE THE REVERSE MERGER THAT TOOK THEM PUBLIC AT THE POINT OF THAT IS WE HAVE ALSO TRACKED THE BILLIONS OF DOLLARS THE PIF AND ITS AFFILIATES HAVE PUT IN. BRING US UP TO SPEED ON HOW MUCH CASH THE SAUDI'S HAVE PUT INTO LUCID SO FAR. >> PEOPLE TALK ABOUT THE -- ABOUT THE FEDERAL RESERVE PUT. THIS IS THE PIF PUT THIS IS ON TOP OF THE BOOST ALREADY PUT IN BY THEIR BIGGEST SHAREHOLDER. IT WAS NECESSARY.

IT MAY BE THE CASE THAT THIS IS NOT THE LAST CAPITAL RACE -- READS WE SEE THIS YEAR BECAUSE THIS IS A COMPANY GOING INTO 2024 HAD ONLY A LITTLE BIT OVER $4 BILLION ON ITS BALANCE SHEET AND THERE WERE EXPECTATIONS AMONG ANALYSTS THAT ALL OF THAT COULD BE ACCOUNTED FOR IN CASH BURN THIS YEAR, SO LUCID HAS BEEN A COMPANY THAT, WHEN IT WAS GOING PUBLIC THROUGH A REVERSE MERGER, WAS LOOKED AT AS A POTENTIAL TESLA CHALLENGER. IT HAS STRUGGLED TO LIVE UP TO THOSE EXPECTATIONS AND GET MANUFACTURING GOI

NG. I THINK IT LET A LOT OF INVESTORS DOWN WITH THEIR OUTLOOK FOR THE YEAR BEING A SMALL INCREASE FROM LAST YEAR. ED: I THINK THEY ARE GUARDING TO 9000 UNITS THIS YEAR, A PREMIUM PRICE POINT. AT THE SAME TIME, THERE IS AN EV PROBLEM. WHERE DOES LUCID SIT IN THAT? CRAIG: THERE IS HOPE THAT MOVING INTO SPORT UTILITY VEHICLES WOULD BE A BIG HELP FOR THEM. THEY ARE PLAYING AT THE HIGHER END AND THE LEVEL OF COMPETITION IS HIGH IN THE U.S.. WE HAVE SEEN SO MUCH MORE FIGHTING AT THE UPPER ENDS OF THE

MARKET. WHERE WE HAVE NOT REALLY SEEN AS WE HAVE IN CHINA CUTTHROAT COMPETITION AMONG CHEAP EV'S. WHEN YOU HAVE TO GO UP AGAINST OR ESTABLISHED PLAYERS LIKE MERCEDES AND BMW, IT IS TOUGH. LUCID HAS COMPELLING PRODUCT. THE ISSUE THEY HAVE HAD IS NOT BEEN ABLE TO MAKE ENOUGH OF IT TO BE ABLE TO MAKE THEIR EV'S WITHOUT LOSING A TON OF MONEY. THE MORE THEY ARE MAKING, THE MORE THEY ARE LOSING, AND THAT IS NOT A TREND THAT CAN BE SUSTAINED. ED: AS ELON MUSK HAS TEASED, PROTOTYPES ARE EASY AND PRODUCT

ION IS HARD. BLOOMBERG NEWS SPOKE TO THE SEA EO OF THE BIGGEST MAKER OF BATTERIES FOR EV'S. WHAT WERE THE BIGGEST TAKEAWAYS FROM THE INTERVIEW? CRAIG: ONE OF THE BIG ONES WAS AN EXCLUSIVE YOU WERE PART OF THIS YEAR, THIS IDEA THAT SEE ATL DID HAVE EQUIPMENT THAT WAS IDLE IN CHINA THAT TESLA WILL MAKE USE OF BY MAKING MORE BATTERIES AT ITS FACTORY. THIS IS A COMPANY THAT IS PRESSING AHEAD IN SPITE OF THE FACT THAT WE ARE SEEING AN EV SLOWDOWN AND VOWING TO CONTINUE TO ADD CAPACITY. WE ARE SEEING

THIS BROADER TREND , WHETHER IT IS ON THE BATTERY SIDE OR EV'S AND BATTERIES, THE REAL DOMINANT PLAYERS IN CHINA ARE PRESSING THEIR VANTAGES OVER THE OTHERS. AND CONTINGENT AT CAPACITY. THE QUESTION IS GOING TO BE, HOW MUCH LONGER SOME OF THE LESSER COMPANIES IN CHINA CAN SUSTAIN THEMSELVES IN THE FACE OF GETTING BIGGER AND GETTING MORE AGGRESSIVE TO DRIVE OUT PLAYERS WHO CANNOT KEEP UP. ED: GREAT TO HAVE YOU ON THE PROGRAM. COMING UP, A SHAKEUP AT STABILITY AI. MORE ON THE RESIGNATION OF THE CE

O NEXT. WE ARE ALSO TAKING A LOOK AT SHARES OF BOEING. HE MUST HAVE SEEN THIS STORY, UP .8%. CEO DAVE CALHOUN WILL STEP DOWN AT THE END OF THE YEAR. THERE ARE SWEEPING OVERHAULS OF LEADERSHIP. THE CHAIRMAN WILL NOT STAND FOR REELECTION AND THE GUY ON THE RIGHT-HAND SIDE OF YOUR SCREEN, WHO LED THE COMMERCIAL BUSINESS, IS ALSO DEPARTING WITH IMMEDIATE EFFECT. THAT IS THE BIG STORY OUT OF THE AEROSPACE INDUSTRY THIS MONDAY. THIS IS BLOOMBERG TECHNOLOGY. ♪ ED: MATCH GROUP IS NAMING TWO DIRECTORS TO

HIS BOARD. THE OWNER OF DATING APPS WILL ADD THE INSTACART CHIEF MARKETING OFFICER AND ZILLOW CO-FOUNDER TO HIS BOARD IMMEDIATELY. HE ALSO SAID -- MATT ALSO SAID THEY ASSIGNED AN INFORMATION SHARING AGREEMENTS TO FACILITATE ONGOING COLLABORATION TOWARD VALUE. THE COMPANY PLANS TO UPDATE SHAREHOLDERS ON ITS STRATEGY ON AN UPCOMING INVESTOR DAY. AN UPCOMING CHIP START UP RAISES MONEY IN A FUNDING ROUND. THE COMPANY PROVIDES TECH THAT UNIFIES SEMI CONDUCTORS TO WORK MORE SMOOTHLY AND FASTER AS THE

LEADER OF AI SEMI CONDUCTORS NVIDIA PUT FORWARD ITS PATH OF COMBINING TRIPS TO WORK AS ONE RELYING ON THE WORK OF COMPANIES TO HELP REALIZE THEIR GOALS. STABILITY AI'S CEO HAS RESIGNED AMID QUARRELS WITH INVESTORS AND WAVES OF SENIOR STAFF DEPARTURES . IN A BLOG POST FRIDAY, STABILITY AI SAID ITS CTO WILL SERVE AS INTERIM CO-CEO. THE COMPANY'S BEST KNOWN FOR ITS IMAGE GENERATION TOOL AND HELP KICKED OFF THE AI FRENZY, REACHING A VALUE OF $1 BILLION IN 2022. I WANT TO BRING IN SOMEBODY THAT WAS

AT THE HEART OF THE REPORTING ON THE STORY. I DO NOT SAY THAT LIGHTLY. YOU COVERED EVERY STEP IN THIS STORY BUT ULTIMATELY HE HAS RESIGNED. >> HE SAID HE IS STEPPING DOWN TO WORK ON SOLVING THE CONCENTRATION OF POWER IN AI. WE HAVE BEEN THINKING FOR A WHILE THAT HE MAY BE STEPPING DOWN. WE HEARD RUMORS ABOUT IT. WE WERE AWARE SOME OF THE PEOPLE BEHIND THE ORIGINAL VERSION OF STABLE DIFFUSION WHO HAD BEEN IN THE COMING FOR A WHILE WERE LEAVING THE COMPANY, SO PERHAPS THIS HELP TO HIS DECISION. IT

IS UNCLEAR AT THIS POINT. ED: WHAT I HAVE LEARNED OVER THE LAST FEW MONTHS IS THERE IS THE COMPANY THAT CAN OR CANNOT BE WELL-KNOWN KNOWN AND THEN THE TOOL. IN THIS CASE, STABLE DIFFUSION WORKS WELL. IT IS A WELL-KNOWN AND LEADING PIECE OF TECHNOLOGY. RACHEL: THAT IS CORRECT. IT IS WELL-KNOWN. IT IS A LEADING PIECE OF TECHNOLOGY, ORIGINALLY DEVELOPED BY A HANDFUL OF RESEARCHERS IN GERMANY. EMAD STEPPED IN AND OFFERED TO PAY FOR COMPUTE TO FURTHER TRAIN THIS MODEL. THEY RENAMED IT STABLE DIFFUSI

ON AND EMAD DECIDED TO SPREAD IT FAR AND WIDE THROUGH STABILITY AI. THAT HELPED BRING IT TO THE PUBLIC AND POPULARIZE IT AND TOUCHED OFF A LOT OF WHAT WE ARE SEEING NOW IN TERMS OF GENERATIVE AI. ED: WHAT IS LEFT AT STABILITY AI OR WHO IS LEFT? RACHEL: THIS IS A GOOD QUESTION. WE ARE TRYING TO FIGURE OUT THIS NOW. IN TERMS OF TALK TO HER RESEARCH -- TOP-TIER RESEARCHERS, I AM NOT SURE THERE ARE MANY PEOPLE LEFT. SOME OF THE BEST PEOPLE JUST LEFT. WE ARE TRYING TO FIGURE OUT WHO ON THIS LIST OF N

AMES FROM THEIR BIGGEST RESEARCH PAPERS IS ACTUALLY STILL THERE. WE WILL HAVE TO TAKE A LOOK AND SEE WHAT IS HAPPENING SOON. ED: YOU HAVE TO REMEMBER WHO PUT THESE COMPANIES IN THESE POSITIONS, THE INVESTORS BEHIND STABILITY AI. RACHEL: THERE IS LIGHTSPEED AND A BUNCH OF SMALLER AND INDIVIDUAL INVESTORS AS WELL. THAT WENT THROUGH MULTIPLE ROUNDS. IT IS IMPORTANT TO REMEMBER THAT STABILITY AI DID NOT JUST EMERGE FULLY FORMED IN 2022. IT WAS CREATED AS A WAY TO USE AI TO HELP WITH COVID RELATED RE

SEARCH OR ROUNDING UP COVID RELATED RESEARCH. THEN IT SHIFTED GEARS AT A CERTAIN POINT, PROBABLY IN EARLY 2022. ED: BLOOMBERG'S RACHEL METZ. COMING UP, WE WILL GET BACK TO CRYPTO AND TALK BITCOIN WITH JACK MALLERS. AND A QUICK CHECK ON SHARES OF SOME OF THE CHIP NAMES. CHECK OUT AMD AND INTEL, AMD NOW UP BUT INTEL HAS STAY LOWER. IT HAS PAIRED HIS DECLINES. THE FINANCIAL TIMES IS REPORTING THAT CHINA'S FINANCE MINISTRY AND ITS INFORMATION TECHNOLOGY MINISTRY ARE ISSUING NEW GUIDELINES WHEREBY GO

VERNMENT ENTITIES HAVE TO SOURCE CHIPS FOR SERVERS AND SERVERS IN THEIR ENTIRETY FROM DOMESTIC SUPPLIERS , A MOVE AWAY FROM FOREIGN PROVIDERS. THIS IS THE LATEST IN WHAT HAS BECOME A HOSTILE DOMAIN. THE U.S. IS PUTTING FORWARD TECHNOLOGY EXPORT CURVES TO CHINA. NOW CHINA IS RESPONDING WITH TECHNOLOGY AND PUT RESTRICTIONS LIMITING WHAT GOVERNMENT AGENCIES AND STATE BACKED COMPANIES CAN USE. INTEL HAS 25% OF ITS REVENUES FROM CHINA. >> AFTER YEARS IN THE MAKING, THE UNITED STATES DEPARTMENT OF JUS

TICE HAS FILED ITS ANTITRUST LAWSUIT AGAINST APPLE, THREATENING ITS UNDERLYING BUSINESS MODEL. THE GOVERNMENT IS TAKING AIM AT APPLE'S POLICIES IS RUNNING SUPER APPS, CLOUD GAMING SERVICES, MESSAGING, TAP TO PAY, AND SUPPORT ON THE IPHONE 4 THIRD-PARTY SMART WATCHES. WHILE APPLE HAS HAD A NEGATIVE IMPACT ON SUPPLIERS, THE FIRST ITERATION OF THE DOJ'S CASE DOESN'T REALLY PROVE HOW APPLE HAS HARMED CONSUMERS. APPLE HAS ALREADY ADDRESSED SEVERAL OF THE DOJ'S COMPLAINTS, PLEDGING TO ADOPT RCS TO ENA

BLE BETTER TEXTING BETWEEN IPHONES AND ANDROID DEVICES, AND THE COMPANY HAS SHOWN IT WILL HAVE NEW FEATURES FOR DEVELOPERS IN THE CLOUD GAMING AND SUPERAPP SPACES. THE IS RIGHT THAT THE APPLE WATCH IS FAVORED OVER THIRD-PARTY SMART WATCHES AND APPLE BLOCKS THIRD-PARTY APPS FROM USING THE NFC CHIP IN THE IPHONE 4 TAP TO PAY. APPLE SHOULD ABSOLUTELY ADDRESS BOTH CONCERNS. BUT FOR NOW IT SEEMS LIKELY THAT THE ENTIRE LAWSUIT WILL TAKE A FEW YEARS TO RESULT IN MAJOR CHANGES. STILL, I ULTIMATELY EXPEC

T APPLE TO CRACK THE IPHONE OPEN IN THE SAME VEIN AS IT IS DOING IN THE EUROPEAN UNION BECAUSE OF THE DIGITAL MARKETS ACT. ALL THAT BEING SAID, THE DOJ IS STILL DISTRACTING FROM SOME REAL ISSUES BY FOCUSING ON MATTERS INCLUDING FRIVOLOUS CLAIMS THAT APPLE IS BEHIND THE DOWNFALL OF THE AMAZON FIRE PHONE A DECADE AGO. STILL, THINGS COULD CHANGE QUICKLY, ESPECIALLY WHEN NEW EVIDENCE EMERGES IN A TRIAL. ULTIMATELY THE LAWSUIT SEEMS FRIVOLOUS, BUT THERE IS A LOT THAT APPLE HAS CHANGED AND A LOT IT CA

N STILL CHANGE. I AM MARK GURMAN FOR BLOOMBERG NEWS. ED: THAT WAS THIS WEEK'S "POWER ON" WITH MARK GURMAN F DOWN MORE THAN A PERCENTAGE POINT IN THE SESSION. THE CATALYST, THE PROBE BY THE EUROPEAN COMMISSION. WHEN RECOVERED THE DOJ SUIT, THE STOCK FELL 4% THURSDAY, THE BIGGEST DROP SINCE AUGUST. IT IS STARTING TO FEEL THE ANTITRUST PRESSURE. REAL QUICK ON THE DMA, AN APPLE SPOKESPERSON TOLD BLOOMBERG THAT APPLE FEELS IT IS COMPLIANT WITH THE DNA. YOU NOTICE THE JUMP BEFORE WE CAME ON AIR COMEBA

CK TOWARDS 70,000 U.S. DOLLARS. THERE IS A CALENDAR MOMENT COMING UP. BITCOIN IS APPROACHING ITS HIGHLY ANTICIPATED HIVING EVENT, WHICH WOULD LOWER THE SUPPLY OF NEWLY MINTED BITCOIN. BITCOIN HIT RECORDS AFTER EACH OF THE LAST THREE HALVINMGS. LET'S BRING IN JACK MALLERS, WHO I'VE DISCUSSED THIS WITH BEFORE. GIVE ME YOUR THOUGHTS ON HALVING . >> WHAT'S GOING ON, ED, I MISS YOU, BROTHER, YOU LOOK GOOD. JUST SO EVERYONE IS AWARE OF THE FIXED SUPPLY OF BITCOIN, 21 MILLION, BUT NOT ALL 21 MILLION HA

VE BEEN ISSUED TO THE WORLD YET. BITCOIN IS ON A FIXED-ISSUANCE SCHEDULE. TOSHI WHEN HE OR SHE OR THEY LAUNCH TO BITCOIN, HOW THOSE WOULD BE ISSUED OUT, $19 MILLION OUT OF 21 SO FAR. EVERY 10 MINUTES MORE AND MORE GET ISSUED. HALVING IS WHEN THE SCHEDULE GETS CUT IN HALF. THE FORCED SELLERS, THOSE THAT PAY MONEY TO PRODUCE BITCOINS, THAT IS GOING TO BE HALVED. THE SIMPLE WAY TO THINK ABOUT IT, EDIT, IS IF DEMAND REMAINS THE SAME, THE BITCOIN SOLD GETS CUT IN HALF, IT SHOULD HAVE AN IMPACT ON THE

PRICE TO THE UPSIDE. IT IS A BIG EVENT AND WE ARE EXCITED ABOUT IT. ED: LET'S HAVE A HEALTHY AND ROBUST DEBATE. GIVE ME A MOMENT TO OUTLINE THE COUNTERPOINT. YOU HAVE BEEN IN THE CAMP FOR A WHILE THAT THERE IS ONLY GOING TO BE 21 MILLION BITCOIN, AND SO PRICES HAVE TO GO UP. YOU HAVE TALKED ABOUT IN THE CONTEXT OF HYPERINFLATION, DON'T BE HOLDING DOLLARS. I WOULD POINT OUT THAT THE MARKET DOESN'T SEE FURTHER INFLATION. IT DOESN'T SEEM MORE INFLATION TO COME. AND IF YOU WILL ALLOW ME, IF YOU LOO

K AT THIS MORNING'S TRADING IN TERMS OF LIQUIDITY, I THINK $30 BILLION TO $40 BILLION WORTH OF BITCOIN WAS OUT THERE IN THE MARKET. THERE ARE COUNTERPOINTS TO THE THESIS THAT YOU HAVE OUTLINED. JACK: IS THAT THE END OF YOUR POINT? ED: END OF MY POINT, PLEASE PROCEED. JACK: I WAS TRYING TO BE POLITE. LET'S DUMB IT DOWN -- THE PROBLEM WITH CENTRAL PLANNING MONEY, WHICH IS SUCH A CORE TECHNOLOGY TO SOCIETY WORKING -- THINK ABOUT IT, ED CAN YOU GO TO WORK EVERYTHING IS THERE ANY POOR YOUR BLOOD, SWE

AT, AND TEARS ALL YOUR TIME YOU SPENT ON THIS PLANET IN EXCHANGE FOR WHAT? MONEY. THE CENTRAL PLANNING MONEY CONVOLUTES SO MUCH OF THE INNER WORKINGS OF SOCIETY. LET'S GO BACK TO BASICS. OUR GOVERNMENT IS IN DEBT. ALL GOVERNMENTS. OUR GOVERNMENT IS INDEBTED. TRADITIONALLY IF I OWED YOU $20, I WOULD HAVE TWO OPTIONS. I WOULD, ONE, HAVE TO DEFAULT ON THAT AND SAY I HOPE YOU CONSIDER ME A GOOD FRIEND BUT I WILL NOT MAKE THAT $20. THE OTHER IS I CAN PAY BACK. THOSE ARE THE TWO OPTIONS THAT ANYONE IN

DEBT HAS. THE GOVERNMENT BECAUSE THEY CENTRALLY PLAN AND CONTROL OUR CURRENCY UNFORTUNATELY HAS A THIRD, AND THAT IS THAT THEY CAN PRINT MORE MONEY COMING DEVALUE THE DEBT THAT THEY HAVE AND THAT THEY OWE, AND ALLOCATE MORE CAPITAL TO THEMSELVES. OUR GOVERNMENT CAN'T DEFAULT. THE UNITED STATES OF AMERICA CANNOT DEFAULT ON DEBT. IT WOULD COLLAPSE THE ENTIRE PLANET. WE CANNOT AFFORD TO PAY IT BACK. LISTEN, I DIDN'T EVEN GO TO COLLEGE, BROTHER. THIS IS 101 BASICS, HOW THE WORLD WORKS. IF WE CAN'T

DEFAULT AND WE CAN'T PAY IT BACK, WHAT IS THE ONLY OPTION THAT THEY HAVE TO DO, NO MATTER WHAT THEY SIT AND TELL YOU ABOUT THE FED CHAIR MEETINGS AND ALL OF THE ECONOMISTS, THEY HAVE TO ISSUE MORE DOLLARS. IF THERE IS GOING TO BE MORE PIECES OF GREEN PAPER, YOU WANT THEM COMPETING FOR THE MOST FIXED THING. THERE IS MORE DOLLARS THAT ARE COMPETING FOR A FIXED AMOUNT OF BITCOIN -- ED: JACK -- JACK: REAL ESTATE IS GOING TO GO UP, TOO, BECAUSE THERE IS MORE DOLLARS COMPETING FOR REAL ESTATE, BUT THE

Y CAN FIND MORE REAL ESTATE, THEY CAN FIND MORE GOLD, THEY CANNOT MAKE MORE BITCOINS. EVEN A COLLEGE DROPOUT CAN UNDERSTAND THAT, MY FRIEND. ED: LET ME JUMP IN AND REITERATE THAT YOUR ARGUMENT IS THERE IS ONLY GOING TO BE 21 MILLION BITCOIN, AND THE FINALITY OF THAT -- WHAT AM I TRYING TO SAY -- THE SUPPLY CONSTRAINT ON THAT IS WHAT WILL PROVIDE UPWARD MOMENTUM. I HAVE MANY QUESTIONS FOR YOU. PUT YOUR STRIKE CER HAT ON AND LET'S TALK ABOUT PAYMENTS. GIVE ME AN UPDATE ON THE STATE OF CRYPTO PAYME

NT. WE HAVE A LOT OF QUESTIONS ABOUT THIS, REAL-WORLD ADOPTION, BECAUSE WE ARE OVER THE MARKET MECHANICS OF BITCOIN AT THIS POINT. WHAT ARE YOU SEEING GLOBALLY? JACK: I THINK THE BIGGEST -- I DON'T KNOW IF IT'S TENSION -- THE BIGGEST STORY IS STABLECOINS FOR SURE. HERE IS MY PERSONAL TAKE, BITCOIN IS THE ONLY NEUTRAL VALUE TRANSFER PROTOCOL FOR THE WORLD. WE VIEW IT AT STRIKE AS THE SINGER VALUE TRANSFER PROTOCOL FOR PLANET EARTH. THAT SOUNDS LIKE A LOT OF GOBBLEDYGOOK. WHAT I ACTUALLY MEAN BY T

HAT IS BITCOIN IS THE ONLY PHYSICAL DIGITAL INSTRUMENT. STABLECOIN IS JUST AN IOU FOR A BANK DEPOSIT. IT IS LIKE NOVATION TO ACH. YOU HAVE COUNTERPARTY RISK WITH THE ISSUER, WITH THE REGULATORS, WITH WHERE THE BANK DEPOSIT IS HELD. BITCOIN IS THE ONLY PHYSICAL INSTRUMENT ON THE INTERNET THAT WE CAN MOVE GLOBALLY. WE VIEW IT AS THE WAY -- IT IS LIKE THE TCPIP FOR VALUE TRANSFER OF THE WEB. THE PROBLEM IS THAT CONSUMERS AROUND THE WORLD PREFER STABLECOINS BECAUSE OF THEIR RELATIVE STABLE VALUE TO

BITCOIN. WHEN YOU HAVE EMERGING MARKETS LIKE IN AFRICA, WHEN AMERICA, ALL THROUGH LATIN AMERICA, THEY FIND IT DIFFICULT TO STOMACH THE VOLATILITY IF YOU ARE LIVING PAYCHECK-TO-PAYCHECK, BITCOIN CAN BE AN INTIMIDATING ASSET. WHERE WE ARE SPENDING A LOT OF OUR TIME IS TRYING TO MEET THE CONSUMER DEMAND OF AFRICA, LATIN AMERICA, WHERE BITCOIN THE TECHNOLOGY IS JUST SO FAR AHEAD OF EVERYTHING ELSE, BUT THE DOLLAR VALUE IS VALUABLE TO CONSUMERS IN THESE REGIONS. I THINK THAT IS GOING TO BE A LOT OF T

HE PAYMENT'S INNOVATION THE NEXT FEW YEARS, THE MARRYING OF THOSE TWO CONCEPTS. ED: JUST A QUICK FOLLOW-UP ON THAT, GEOGRAPHY WAS ONE OF THE OTHER QUESTIONS WE GOT. HOW WAS THE EL SALVADOR HQ GOING? ONE EXAMPLE. BUT YOU MENTIONED AFRICA AND LATIN AMERICA. ONLY HAVE A FEW SECONDS, BUT DO YOU HAVE A SPECIFIC LIST OF COUNTRIES TO WHICH YOU HAVE ACTUALLY EXPENDED SERVICE? JACK: WE JUST LAUNCHED STRIKE AFRICA. LISTEN, EVERY SINGLE PERSON ON THE PLANET IS DEALING WITH FIAT DEBASEMENT, WITH WHAT I EXPL

AINED, THE FACT THAT THE GOVERNMENT HAS TO ISSUE MORE OF THEIR CURRENCY. ACCESS TO BITCOIN IS PARAMOUNT, THE KILLER USE CASE BECAUSE IT IS THE ONLY THING THAT NO ONE ON THE PLANET CAN CREATE MORE OF. FOR PAYMENTS, WE THINK IT IS FASCINATING TO DISRUPT CROSS-BORDER PAYMENTS. THE FACT THAT I CAN MOVE SOMETHING PHYSICAL LIKE A WATER BOTTLE OR MY IPHONE FROM HERE TO NIGERIA WITH BITCOIN IS CRAZY. THE CLASH SHOULD COME DOWN THERE. AFRICA WE HAVE LAUNCHED, EUROPE IS UP NEXT, LATIN AMERICA AFTER THAT.

WE ARE ON THE WARPATH TO BRING A BITCOIN-FOCUSED CONSUMER EXPERIENCE TO THE WORLD. I'M CURIOUS TO SEE WHERE THIS GOES. ED: JACK, I ACTUALLY HAVE A QUESTION FOR YOU IN REAL TIME ON THE BLOOMBERG TERMINAL. JACK, HOW CAN THE BLOCKCHAIN SUSTAIN ITSELF IF THE MINERS WHO ARE VALIDATING THE TRANSACTION MINE LESS AND LESS NEW COINS? THAT IS A DIRECT QUESTION TO YOU FROM OUR AUDIENCE. JACK: YEAH, SO THE MINERS GET PAID FEES. EVERY SINGLE TRANSACTION IS A FEE ASSOCIATED WITH THAT. THERE HAS BEEN BLOCKED A

S A RECENT WHERE THE FEES ARE MORE THAN THE ISSUANCE REWARD. BUT THE BITCOIN PROTOCOL AUTO-ADJUST ITSELF AND THE DIFFICULTY REQUIRED CHANGES BY HOW MANY PEOPLE ARE MINING. THE PROTOCOL IS BUILT TO SUSTAIN ITSELF, AND THIS IS A PROBLEM THAT IS WAY OUT IN THE FUTURE. SOMETIMES WHEN PEOPLE GET STRESSED OUT, THE BITCOIN PRICE IS OUTPACING THE HALVINGS. BITCOIN IS GOING UP MULTIPLES MORE THAN THE ISSUANCE BEING HAD. BITCOIN IS UP 100% OVER THE LAST CALENDAR YEAR. I THINK THIS IS ANXIETY-INDUCING PROB

LEM THAT WE MAY FACE IN 20 COME, 40, 50, 100 YEARS. SATOSHI'S INTENTION WAS TRANSACTION FEES, THAT PEOPLE PAY TO GET TRANSACTION FINALITY, AND THAT SHOULD SUSTAIN THE NETWORK PLENTY. ED: STRIKE THE CEO JACK MALLORS, THANK YOU FOR FIELDING MY QUESTIONS IN THE AUDIENCE QUESTIONS. WE WILL GET YOU WANT IN THE NEAR FUTURE. FROM LINE VENTURES WANTS TO ACCELERATE TRANSATLANTIC EXPANSION FOR SOFTWARE COMPANIES IN THE U.S. AND EUROPE. WE ARE GOING TO TALK MORE ABOUT THAT NEXT WITH FRONTLINE VENTURES PART

NER ZOÉ CHAMBERS. STICK WITH US, THIS IS SHOT OF THE PRINCIPALI ROOM. "ETF IQ," ONE OF MY FAVORITE BLOOMBERG SHOWS. THIS IS BLOOMBERG. ♪ FRONTLINE VENTURES RECENTLY RAISED $200 MILLION ACROSS TWO NEW FUNDS WITH THE GOAL OF ACCELERATING TRANSATLANTIC EXPANSION FOR SOFTWARE COMPANIES IN THE U.S. AND EUROPE. I WANT TO BRING IN FRONTLINE VENTURES PARTNER ZOE CHAMBERS FOR TODAY'S VC SPOTLIGHT. WHAT QUALIFIES AS THE TRANS ATLANTIC B2B SOFTWARE COMPANY? WHAT WERE THEY HAVE TO OFFER YOU TO GET A CHECK O

UT OF THOSE FUNDS? ZOE: FIRST OF ALL, THANKS SO MUCH FOR HAVING ME THIS MORNING. AS YOU MENTIONED, MY NAME IS ZOE CHAMBERS AND I AM ONE OF THE PARTNERS HAD FRONTLINE VENTURES. WE HAVE A EUROPEAN EARLY-STAGE FUND THAT LOOKS TO BE THE FIRST INSTITUTIONAL CHECK INTO STARTUPS THAT ARE GLOBALLY AMBITIOUS AND LOOK TO ACCELERATE THE MARKET ENTRY INTO THE STATES . AND THEN WE HAVE A GROWTH STAGE FUND WHICH INVESTS IN SERIES B TO D AND LOOKS TO HELP THOSE COMPANIES ENTER THE EUROPEAN MARKET. WE HAVE DONE

SO WITH COMPANIES. ED: I FIND IT REALLY INTERESTING. DOES IT REFLECT A DEFICIT OF TALENT OR A DEFICIT OF COMPANIES OPERATIONALIZING ONE MARKET VS. ANOTHER, OR IS THE OPPOSITE THAT IF YOU WANT TO GROW A GOOD SOFTWARE COMPANY, YOU NEED TO BE IN THOSE MARKETS? ZOE: THAT IS EXACTLY ED, THAT POINT. FUNDAMENTALLY, 70% OF GLOBAL SOFTWARE SPENT COMES FROM THE U.S. AND EUROPE, AND 70% OF VENTURE CAPITAL DOLLARS IS IN THOSE TWO MARKETS. OUR STRATEGY CENTERS AROUND THE CORE BELIEF THAT YOU HAVE TO ACCESS

AND WIN IN BOTH THE U.S. AND EUROPE IF YOU TRULY WANT TO BE A CATEGORY LEADER AND GO ON TO IPO. IT'S MORE ABOUT THE MOST TALENTED WANT TO HAVE A FOOTHOLD IN THOSE GEOGRAPHIES BECAUSE THEY ARE SO IMPORTANT. ED: ZOE, WHEN FRONTLINE IS LOOKING FOR THIS TALENT THAT THE FOUNDERS, TELL ME ABOUT THE FIRM AND HOW IT IS SET UP. DO YOU HAVE PEOPLE TRANSATLANTIC AS WELL IN TERMS OF YOUR OFFICES? ZOE: WE ABSOLUTELY DO. WE HAVE FOLKS IN SAN FRANCISCO, NEW YORK, DUBLIN, AND IN LONDON. THAT KIND OF FOLLOWS NOT

ONLY WHERE TALENT IS, BUT EQUALLY THE KEY LANDING SPOTS WHEN YOU ARE A U.S. COMPANY THAT EXTENDS INTO EUROPE TENDS TO BE LONDON, DUBLIN, AMSTERDAM, AND BERLIN. THE OTHER WAY AROUND, SAN FRANCISCO AND NEW YORK, TWO VERY STRONG, MATURE ECOSYSTEMS. OF COURSE WE HAVE PARTNERS ON THE GROUND THERE. ED: FRONTLINE VENTURES PARTNER ZOE CHAMBERS, TWO NEW FUNDS, 200 MILLION DOLLARS GOING AFTER THE TRANSONIC START THANK YOU FOR JOINING US. COMING UP ON THE SHOW, INSTAGRAM MAKES CHANGES TO SUGGESTION -- ITS

SUGGESTIONS FOR POLITICAL CONTENT, AND THAT IS INVOKED A RESPONSE FROM ITS USER BASE. WE WILL GO TO D.C. AND GET SOME OF THE DETAILS COMING UP NEXT. THIS IS "BLOOMBERG TECHNOLOGY." ♪ ED: INSTAGRAM USERS ARE TAKING TO RIVAL PLATFORMS -- FOR EXAMPLE, X -- VOICE SOME OUTRAGE. PARENT COMPANY META QUIETLY ROLLED OUT A FEATURE THAT LIMITS POLITICAL CONTENT BY DEFAULT WHEN IT COMES TO SUGGESTED POSTS. I WANT TO BRING IN KAILEY LEINZ OUT OF D.C. THIS IS AN INTERESTING ONE. EXPLAIN THE STORY TO ME. KAIL

EY: THIS IS INTERESTING, ED, BECAUSE INSTAGRAM AND THREADS, THE TWO PLATFORMS, ANNOUNCED OF THESE CHANGES WERE COMING IN FEBRUARY, ESSENTIALLY SAYING THEY WERE NO LONGER GOING TO BE PROACTIVELY RECOMMENDING POLITICAL CONTENT. THEY SAID THAT IF YOU DECIDE TO FOLLOW ACCOUNTS THAT POST POLITICAL CONTENT, THEY DON'T WANT TO GET BETWEEN YOU AND YOUR POSTS BUT THEY DON'T WANT TO PROMOTE CONTENT FROM ACCOUNTS YOU DON'T FOLLOW. SO NOW IT IS THE DEFAULT SETTING THAT YOU WON'T SEE THE POLITICAL MATERIAL U

NLESS YOU SELECT TO. IN RESPONSE SOME HAVE SAID MAYBE THIS IS A WAY TO REDUCE MISINFORMATION OR INFLAMMATORY CONTENT BEING CIRCULATED IN AN ELECTION YEAR, BUT OTHERS ARE SAYING IT COULD LIMIT POLITICAL DISCOURSE IN AN ELECTION YEAR. THERE IS CONCERN ABOUT HOW THE COMPANIES ARE DEFINING POLITICAL CONTENT. WHAT EXACTLY THAT MEANS, HOW THEY ARE CATEGORIZING IT. IN THE SAME BLOG POST INSTAGRAM SAID IT COULD BE RELATED TO THINGS LIKE LAWS, ELECTIONS, OR SOCIAL TOPICS. OBVIOUSLY THAT IS PRETTY BROAD B

ASKET. IN RESPONSE YOU ARE GETTING USERS ON ALL ENDS OF THE POLITICAL SPECTRUM THAT SEEMED TO BE UNHAPPY. RIGHT-LEADING USERS SAID THIS COULD BE ANOTHER EXAMPLE BASIE OF EFFORTS TO CENSOR CONSERVATIVE SPEECH, BUT EVEN SOME ON THE RIGHT SAY THEY SEE THIS AS AN ATTEMPT BY THE PLATFORM TO LIMIT PRO-PALESTINIAN CONFLICT. IT IS ANOTHER EXAMPLE OF THE DIFFICULTY BETWEEN POLICING CONTENT MAKING SURE MISINFORMATION DOESN'T CIRCULATE, BUT ABIDING BY FIRST AMENDMENT RIGHTS. GRANTED, WITH THE RIGHT TO FREE

SPEECH. ED: IT IS AN INTERESTING CASE STUDY IN AN ELECTION YEAR BECAUSE META, THE PARENT OF FACEBOOK AND INSTAGRAM AND THREADS, IS TRYING TO BE PROACTIVE, SAYING HERE IS A NEW POLICY. THESE USER BASE DOESN'T LIKE IT. HAS THE COMPANY UPDATED ITS MESSAGING OR SAID ANYTHING MORE RECENTLY THAT SUGGESTED THEY MIGHT MAKE A CHANGE? KAILEY: NOT THAT I HAVE SEEN, ED. IT BECOMES A QUESTION OF WHETHER A CHANGE COULD BE ENFORCED IN TERMS OF POLICING THIS CONTENT. WE HAVE SEEN JUST LAST WEEK THE SUPREME COU

RT HEARING ARGUMENTS IN THE MURPHY V. MISSOURI CASE, A LAWSUIT BROUGHT AGAINST THE BIDEN ADMINISTRATION ARGUING THAT BIDEN AGENCIES LIKE THE CDC WENT TOO FAR IN THEIR EFFORTS TO PRESSURE PLATFORMS INCLUDING WHAT WAS THEN TWITTER, EVEN META, TO TAKE DOWN INFORMATION RELATED TO THE 2020 ELECTION, THE VALIDITY OF THE RESULTS, THE EFFICACY OF COVID-19 VACCINES. WE ARE GOING TO AWAIT A RULING FROM THE SUPREME COURT IN THAT CASE, BUT IT COULD HAVE SWEEPING RAMIFICATIONS FOR THE WAY THAT THE SOCIAL-MED

IA PLATFORMS POLICE THE CONTENT. IT IS A QUESTION OF WHETHER LAWS COULD ENFORCE ANY KIND OF CHANGE ON THE PART OF THESE PLATFORMS AND NOT JUST WHETHER THEY WOULD ELECT TO CHANGE POLICY THEMSELVES. ED: KAILEY LEINZ OUT OF D.C., REALLY APPRECIATE YOUR REPORTING. LET'S TALK MARKETS AGAIN. AFTER LAST WEEK'S PUBLIC LISTINGS, COULD THE U.S. IPO WINDOW FINALLY BE REOPENING PROPERLY? NEXT IN LINE IS A CONSUMER TECH COMPANY WHICH OFFERS CASH-BACK REWARDS ON VARIOUS PURCHASES FOR THE NETWORK, APP, AND WEB

SITE. GUESS WHO WAS ON THE STORY? KATIE RUTH. I REMEMBER YOU REPORTING ABOUT THE BANKS INVOLVED IN THIS ONE. UPDATE ME ON WHERE THIS IS AT. >> THAT'S RIGHT, WE SKIP THAT T -- WE SCOOPED THAT THEY HAD HIRED BANKERS LAST YEAR, AND THEN FINALLY CAME OUT THAT REVEALED THEIR FINANCIALS INDICATING THAT THEY PLAN TO GO PUBLIC IN THE COMING WEEKS. ED: IBOTTA, MI SAYING THAT MY GUESS -- MI SAYING THAT RIGHT? KATIE: YES, I BOBOTTA IN TERMS OF "I BOUGHT A THING." IT ALMOST HAILS FROM THE GROUPON ERA. IT IS

COUPON-RELATED, ALTHOUGH DIFFERENT FROM GROUPON. YOU CAN GET CASHBACK FROM RETAILERS, PARTICULARLY GROCERIES. THEY HAVE A LARGE PARTNERSHIP WITH WALMART. YEAH, THEY HELP USERS MAKE MONEY WHILE SHOPPING, OR AT LEAST GET A PORTION OF THE MONEY THEY ARE SPENDING BACK. ED: VALUED AT $1 BILLION. ANOTHER IPO FOR US TO BE EXCITED ABOUT. KATIE ROOF, PAY REPORTING, THANK YOU VERY MUCH. THAT DOES IT FOR THIS EDITION OF "BLOOMBERG TECHNOLOGY." IT WAS GOING TO BE A SLOW MONDAY, AND THEN BECAME A VERY NEWS-

HEAVY MONDAY. WHEREVER YOU GET YOUR PODCASTS, WE ARE PUBLISHING IT TO THE PLATFORMS BUT WE ALSO HAVE A PODCAST ON APPLE, SPOTIFY, AND I HEART. A LOT OF PEOPLE LISTEN TO PODCASTS LIKE THAT. I KNOW JOE ROGAN IS UP THERE, BUT "BLOOMBERG TECHNOLOGY" IS A GOOD PODCAST, TOO. WE ARE STILL CONTINUING TO FOLLOW WHAT IS GOING ON IN THE ANTITRUST CONTEXT, WHAT IS GOING ON WITH CRYPTO MARKETS, IN PARTICULAR BITCOIN. FROM SAN FRANCISCO, THIS IS "BLOOMBERG TECHNOLOGY."