>> THIS IS "BLOOMBERG
TECHNOLOGY." CAROLINE: I AM CAROLINE HYDE.
ED: I AM ED LUDLOW. CAROLINE:
WE WILL TAKE THE PULSE OF THE MARKET AND GET A READ ON THE
MAGNIFICENT SEVEN AS ONE NAME STRUGGLES TO KEEP UP WITH THE
PACK. ED: JOINING THE COURSE OF TECHNOLOGY, NOTHING CUTS TO
JOBS, 10% OF GLOBAL WORKFORCE OF SNAP. CAROLINE:
GLOBAL CHIP SALES PROJECTED TO HIT A RECORD THIS YEAR.
THE CEOS OF JOIN THE PROGRAM. A DAY A MACRO AFFECTING SOME OF
THE INDIVIDUAL NAMES AT THE MOMENT.
THE MARKET TAKES A TURN
IS ONCE AGAIN WE'RE RUNNING TOO HOT.
THE COST OF SERVICES EMPLOYMENT AS WELL.
WHAT DOES THIS MEAN IN TERMS OF INFLATIONARY PRESSURE? WE KNOW JOINING CVS WAS ONE FED
CHAIR POWELL. ADDING IN THE OVERALL STRONG
ECONOMIC DATA AND WE TURN ON THE NASDAQ. IN CHINA, CS OF HE HIT A RECORD
ON FRIDAY, WE SAW A FIVE-YEAR LOW FOR TINY STOCKS.
ALL OF THIS AS WE SEE ONCE AGAIN CHINA TRY TO CURTAIL ANY
SELLING COMING AND BETTING AGAINST THE MARKET OVER THERE
AND TRYING TO PUSH BACK AGAINST THE VOLATILITY. 10 YE
AR YIELD CRUSHES FROM 15
BASIS POINTS AS WE GET THIS TRUMP ECONOMIC DATA.
-- AS WE GET THE STRONG ECONOMIC DATA.
BITCOIN GOES A LITTLE LOWER BUT STILL TRADING ABOVE 42. ED:
ONE DAY WHERE THERE IS BUOYANCY, NVIDIA.
UP ALMOST 3% AND EXTENDING THOSE RECORD HIGHS.
GOLDMAN BOOSTING ITS PRICE TARGET.
BASICALLY SAYING, LOOK AT WHAT IS TO COME IN THE YEAR AND WE
STILL THINK THERE'S GOING TO BE SPENDING ON THE HYPER SKILL.
THAT NAME CONTINUES TO CHARGE HIGHER. FRESH RECORD HIGHS. IT IS BECOME THIS JUGGER
NAUT.
WE WILL DEEP DIGGER -- WE WILL DIG DEEPER IN THE SHOW.
MOVING TO THE DOWNSIDE ORDER FOR DIRECTION, SNAP.
THE COMPANY IS GOING TO TRIM TO PERCENT OF ITS GLOBAL WORKFORCE.
LATER IN THE PROGRAM, WE WILL SPEAK TO GET A GAUGE ON WHAT IS
GOING ON. WHEN THE HEADLINES FIRST
CROSSED, KIND OF A SPIKE ON THE SHARES IN PREMARKET THAT WE ARE
FIRMLY LOWER NOW. CAROLINE: THAT IS NOTABLE CONSIDERING THE
PHENOMENAL MOVE WE SAW IN THAT COMPANY SHARES AFTER ITS
EARNINGS ON FRIDAY. MORE BROADLY ABOUT BIG TECH
WITH THOSE MAGNIFICENT SEVEN NAMES AND ULTIMATELY THE READ
ACROSS BOND YIELDS. ISABEL LEE IS HERE WITH A GREAT
STORY. ELON LOST HIS CAGE FIGHT WITH
ZUCKERBERG. HOW TESLA'S MARKET CAP HAS
TRAVERSED FROM META WHICH HAS BEEN ON THE UP AND UP.
FRIDAY, TECH MANAGED TO -- NOT THE SAME TODAY. >> NOT THE SAME TODAY. FRIDAY, THE VON YAR -- BOND
YIELD SURGE. TECH SURGE. USUALLY THIS DOES NOT GO
HAND-IN-HAND. LONG-TERM YIELDS ARE NOT REALLY
-- PARTICULARLY HARMFUL TO COMPANIES THAT ARE LONGER
DURATION WHI
CH ARE TEXTURES BECAUSE MOST OF THEIR VALUES
THEY PUT INTO THE. USUALLY WHEN BOND YIELDS SURGE,
TECH IS DOWN. BUT WE DID NOT SEE THAT ON
FRIDAY. THAT IS MY BANK OF AMERICA IS
SAYING THIS IS REMINISCENT TO THE DOT COM BUBBLE HE HAS SEEN.
ONE CAN'T REALLY MAKE SENSE OF IT LIKE WHY IS IT LIKE THIS?
ON ONE HAND, MAYBE BECAUSE AI IS CONTAINED SITUATION ON ITS
OWN AND MAYBE THOSE TECH STOCKS ARE NOT MOVING IN CONJUNCTION
WITH MARKETS. BUT FOR THE MOST PART, A LOT OF
UNUSUAL THINGS ARE HAPPENING STOP -
- HAPPENING. ED:
THE COMPARISON OF THE ARTICLE IN FRONT OF US IS WERE TESLA
SHOULD BE MONDAY PERCENT OR LESS THAN MAGNIFICENT, THE
NUMBER I LOOK AT IS EPS GROWTH. IF YOU LOOK AT THE 6X TESLA
--META -- TESLA WAS THE EXCEPTION TO THE RULE.
HAVING INTERESTING COMES WITH 12 MONTHS 12 YEARS AGO.
WHAT IS THE CASE FOR TESLA KNOCKING MAGNIFICENT YOUR MIND? >> THERE IS A LOT OF CASE TESLA
NOT PIGMENT OF ASCENT BUT ALSO A LOT OF CASES ABOUT HOW THIS
WHOLE SECTOR SHOULD BE SEEN OR GROUP, MAGNIFICENT SEVEN,
ELITE
SEVEN. THE MAGNIFICENT SEVEN COMPANIES
CARRY A 33% PREMIUM TO THE INDEX WHEN IT COMES TO A
FORWARD PE EARNINGS BUT SHOULD THEY BE LOOKED AT AS MANY OF US
AND SEVEN AS A WHOLE? WE KNOW LAST YEAR THIS SUPER
SEVEN, GEELY SEVEN POWERED THE INDEX 54% HIGHER.
AND SOME OF THOSE TRICKLE INTO THE NEW YEAR.
WHEN WE HAVE META AND AMAZON REPORTED, THEY HAVE HAD
HISTORIC DAYS. META SAW $190 BILLION IN ONE DAY,
THE MOST IN THE HISTORY OF U.S. STOCKS.
WE HAVE SOME LIKE MICROSOFT AND APPLE, YES, THEY BEA
T BUT WE
SAW SHARES FALL BECAUSE PEOPLE WERE WERE OPTIMISTIC.
PEOPLE HAD MORE LOFTY AMBITIONS FOR THOSE AI SHARES.
MAYBE PEOPLE ARE MORE DISCERNING.
IF YOU LOOK AT THE MAGNIFICENT SEVEN AS A WHOLE, THEY ARE BIG.
THE MAGNIFICENT SEVEN AS A WHOLE ARE WORTH MORE THAN THE
COMBINED GDP OF NEW YORK, TOKYO, L.A., LONDON, PARIS,
SOLD, CHICAGO, SAN FRANCISCO, OSAKA, AND SHANGHAI.
MAYBE WE SHOULD STOP LOOKING AT THEM AS ONE WHOLE GROUP NOW. ED:
INTERESTING IF YOU THINK ABOUT THE WORDS "CONCENTRATION"
AND
"RISK." LET'S KEEP THE CONVERSATION
GOING ABOUT THE TECHNOLOGY SECTOR. LISA ERICKSON. I THINK WE BETTER ADDRESS WHAT
IS HAPPENING IN THE MOMENT WHEN ISM NUMBERS HIT THE MARKET
TURNED, SIGNIFICANTLY LOWER ON THE NASDAQ ABOUT 1%.
IF YOU DRILL INTO THE DATA, BASICALLY THE CONCERN IS THE
PRICE PAID ON MATERIALS AND THE IDEA THE FED HAS SOME WAY TO GO
TO FIGHT INFLATION. PUT THAT INTO CONTEXT FOR US OF
THE TECHNOLOGY SECTOR. >> CERTAINLY WITH HAD A COUPLE
OF THE NONFARM PAYROLLS REPORT ON FRIDAY AND
AGAIN TO YOUR
POINT A BETTER THAN EXPECTED ISM NUMBER THIS MORNING.
I THINK WHAT IS GOING ON WITH THE MARKET WITH RESPECT TO HOW
THAT IMPACTS OVERALL EQUITY PRICING AND TECHNOLOGY IN
PARTICULAR IS INVESTORS ARE SIMPLY CONCERNED THESE POSITIVE
RATE CUT EXPECTATIONS THEY HAVE HAD ON THE FED REALLY MAY NEED
TO BE RATCHETED DOWN. WE SAW THAT FRIDAY AND AGAIN
THIS MORNING. INVESTORS ARE CONCERNED IF
RATES DON'T COME DOWN AS QUICKLY AS THEY THINK THEY
COULD, THAT COULD IMPACT REALLY THESE TECHNOLOGY S
ECTOR
VALUATIONS. BECAUSE MOST OF THEIR GROWTH
THOSE FURTHER OUT IN THE FUTURE. TO THE EXTENT RATES PROVIDE
MORE COMPETITION, THAT MAKES IT TOUGHER. CAROLINE:
WHAT MANAGED TO ULTIMATELY SEND THESE COMPANIES HIGHER HAS BEEN
DISTINCTION FACTOR OF ARTIFICIAL INTELLIGENCE, BEING
ABLE TO BE THAT SILVER LINING ENDED THE CLOUD THAT IS THE
MACRO ECONOMY, HIGHER RATES, JOB CONCERNS.
CAN I I LIVED THESE -- CAN AI LEFT THESE? >> WE CERTAINLY SEE LONG-TERM
CASE FOR AI. WE ARE EARLY IN THE CYCLE AND
WE ARE S
EEING EVEN IN THE NEAR TERM THAT CONTINUING TO BOLSTER
SOME OF THESE EARNINGS REPORTS WHETHER IT IS ON DATA CENTER
SPENDING OR CONTINUED INVESTMENT INTO CLOUD SERVICES.
HOWEVER, TO YOUR POINT, THAT DOES NOT NECESSARILY MEAN THE
ROAD IS GOING TO BE SMOOTH GOING INTO THE WHOLE YEAR.
AND THAT IS BECAUSE WE'VE HAD QUITE A BIT OF RUN-UP ON THE
AI, SO I THINK SOME OF THAT AND EVEN RESPONSE YOU HAVE SEEN TO
THE EARNINGS REPORTS WITH THE FOURTH QUARTER REPORTS IS
REFLECTIVE OF THE FACT SOME OF THAT OPTI
MISM HAS ALREADY BEEN
PRICED INTO THE SHARES. CAROLINE:
THE CONTEXT ALSO BEING THESE COMPANIES ARE WINNING THE
REWARDS OF INVESTORS, PARTICULARLY LIKE META, BECAUSE
OF THE COST DISCIPLINE AT THE SAME TIME THEY HAVE BEEN
TALKING UP THEIR BETS. WHEN YOU LOOK AT NAP, MORE JOB
CUTS TO COME. HOW MUCH DO YOU THINK THE
OVERALL ECONOMY CAN CONTINUE TO SEE STRONG JOBS?
WE DO SEE COMPANIES TAKING THIS DISCIPLINARY ACTION. >> WE HAVE SEEN A VERY STRONG
JOBS MARKET. THERE WERE NUMBER LAST WEEK
REINFORCE THA
T MESSAGE WHETHER IT WAS FROM THE NONFARM PAYROLLS REPORT OR THE
EMPLOYMENT COST INDEX. AS FAR AS ITS ABILITY TO
SUSTAIN, ONE INTERESTING FACT IS THOSE JOB GAINS AND OPENINGS
CONTINUE TO REMAIN IN COMPANIES WITH LESS THAN 1000 EMPLOYEES.
SO THIS MID AND SMALLER SIZED COMPANIES.
WE SAW THAT REINFORCED IN THE DATA LAST WEEK.
WITH THAT, EVEN THE WE MAY BE SAYING SOME LAYOFF NOTICES FROM
LARGER COMPANIES, THE ABILITY OF THE SMALLER END OF THE
COMPANIES TO CONTINUE TO POST JOB GAINS AS THEY CONTINUE
TO
MAKE UP FOR LESS HIRING THAN THEY WOULD HAVE LIKED IN THE
LAST COUPLE OF YEARS IS STILL A POSSIBILITY. ED: BEFORE WE CALL THAT GROUP
MAGNIFICENT, WE WOULD BASICALLY SAY THEY HAVE STRONG BALANCE
SHEETS, ENTRENCHED MARKET POSITIONS, AND IF THERE'S GOING
TO BE A RECESSION THAT IS A GREAT PLACE TO BE BECAUSE THEY
WILL BE FINE. NOW THE CONVERSATION HAS
CHANGED FROM HARD LANDING, SOFT LANDING TO KNOW LANDING.
I WONDER HOW YOU THINK ABOUT THOSE NAMES AND SOME OF THE
FACTORS CAROLYN WAS TALKING ABOUT
IN THE CONTEXT OF WHETHER
WE JUST DON'T HAVE ANY PULLBACK IN THE ECONOMY AT ALL? >> WE ARE REALLY -- LOOKING AT
MORE OF A BALANCED VIEW RIGHT NOW ON THE U.S.
STOCK MARKET AND THE ECONOMY. THE REASON WHY IS WHILE THE
ECONOMIC DATA AND THE JOBS MARKET TO YOUR POINT HAS BEEN
BETTER THAN MOST PEOPLE HAVE EXPECTED, WE STILL HAVE A
NUMBER OF CAUTIONARY FORCES IN PLACE, BALANCING SOME OF THOSE
POSITIVE FACTORS. WE HAVE HAD THE MOST RAPID RATE
INCREASES IN QUITE SOME TIME. TO YOUR POINT EARLIER, THE
IN
FLATION-IS NOT QUITE DONE JUST AS WE SAW WAS SOME OF THE
ISM NUMBERS THIS MORNING. WITHOUT MORE BALANCE VIEW OF
REWARDS AND RISK, WE CONTINUE TO WATCH WHERE THAT LANDING
WILL GO WHETHER IT IS NO, SOFT, OR HARD.
IN THE MEANTIME, CAUTIONING OUR INVESTORS TO STAY AT WHATEVER
THEIR STRATEGIC WEIGHT WOULD BE IN THE EQUITY ASSET CLASS,
AGAIN, REFLECTIVE OF A MORE BALANCED REWARD-RISK RATIO.
CAROLINE: THANK YOU FOR BRINGING YOUR
TECH FOCUS TO THE BROADER MACRO MARKET OF THE MOMENT.
LISA ERICKSON. COMIN
G UP, WE HAVE TO GET BACK
TO THESE EARNINGS, PARTICULARLY SEMICONDUCTOR SPACE.
HASSANE EL-KHOURY WILL BE JOINING US ON THE HEELS OF THE
REPORT AND THE RESULTS THAT SEEM TO HAVE INVESTORS RELIEVED.
THIS IS "BLOOMBERG." ED: THE SEMICONDUCTOR INDUSTRY
ASSOCIATION IS FORECASTING THE GLOBAL CHIP INDUSTRY WILL SEE
SALES JUMPED TO A RECORD LEVEL THIS YEAR FUELED BY GREATER
NEED FOR THE ELECTRICAL COMPONENTS BROAD RANGE
BUSINESSES. JOINING ME TO BREAK DOWN, IAN
KING. WHAT TOOK ME BY SURPRISE IS THE
OVER
ALL 2024 IS GOING TO BE GOOD BECAUSE 2023 WAS VERY BAD,
BUT IT IS NOT ONE SINGLE THING. THEY ARE SENT ACROSS A LOT OF
END MARKETS, THINGS ARE LOOKING PRETTY GOOD. >> THIS IS A PROJECTION BY THE
INDUSTRY ASSOCIATION. THEIR BASIC THESIS IS CHIPS ARE
EVERYWHERE. THAT IS PROBABLY TRUE.
MORE THINGS NEED SOME CONDUCTORS.
BUT AS WE WILL FIND OUT IN A MINUTE WHEN YOU SPEAK TO THE
CEO OF, THERE ARE FORCES HERE COME THE SECULAR ARGUMENT THAT
CHIPS PER VEHICLE AND INDUSTRIAL SYSTEM AGAINST WHAT IS GOING ON
LAST YEAR WHICH IS
WE STILL HAVE INVENTORY OVERHANGING SCENARIOS. CAROLINE:
I WAS LOOKING AT A CHART, EUROPE WAS BASICALLY THE ONLY
AREA THAT POST-E GROWTH LAST YEAR.
-- POSTED GROWTH LAST YEAR. IN THE ECONOMIC ENVIRONMENT,
THEY SAW GAINS. WHERE GLOBALLY SPEAKING MID TO
SEE THE REBOUND? IS ABOUT CHINA GETTING SLIGHTLY
BETTER? >> IT IS IN THEORY EVERYWHERE.
HE HAD MARKETS THAT WERE -- SUCH AS THE PC AND SMARTPHONE.
NOW THOSE MARKETS HAVE GONE THROUGH THEIR INVENTORY AND IN
THEORY, CONSUMER DEMAN
D AND END MARKET DEMAND WILL BE STRONG.
BUT LOOKING AT AI, LOOKING AT THE DATA CENTER.
THE BIG CONCERNS IN PEOPLE'S MINDS IS WHAT IS GOING ON WITH
INDUSTRIAL AND WITH AUTOMOTIVE? YOU WILL BE SPEAKING TO THE CEO
WHO WILL BE ABLE TO TELL YOU MORE ABOUT THAT IN A MINUTE.
CAROLINE: LET'S DO JUST THAT. AND CAN, THANK YOU FOR THE
INDUSTRY REPORT. LET'S DEEP DIVE INTO BASICALLY
THE HIGHEST PERFORMING CHIPS STOCK OF THE DAY, UP MORE THAN
8%. JOINING US WITH FOURTH-QUARTER
RESULTS, AND I DID THIS QUARTER
DOING BETTER THAN EXPECTED --
REPORTING THIS QUARTER DOING BETTER THAN EXPECTED.
LET'S WELCOME HASSANE EL-KHOURY. WHEN WE ARE DIGGING INTO SOME
OF THE OVERALL FOCUS OF YOUR BUSINESS, WHERE ARE YOU SEEING
PARTICULARLY SOME OF THE OPTIMISM COMING FROM THE
INVESTOR? WHY ARE YOU MANAGING TO THINK
DESPITE EV'S BEING AN AREA WHERE WORRIED ABOUT STAGNATION,
YOU'RE STILL ABLE TO OUTPERFORM IN THAT AREA? >> GOOD MORNING.
THANK YOU FOR HAVING ME. WE REPORTED A QUARTER I THINK
REACTION NICELY IN THE STOCK
. IT IS ALL BASED ON WHERE
EXPECTATION HAS BEEN AND WHERE A LOT OF OUR PEERS HAVE ALREADY
REPORTED. WHAT DIFFERENT AGE -- WHAT
DIFFERENTIATES SEMI THE LAST FOUR TO SIX QUARTERS, WE HAVE
BEEN TAKEN ACTION TO MATCH AND BECOME MORE IN LINE WITH WHAT
WE SEE FROM IN END DEMAND AND AUTOMOTIVE.
IN THE THIRD QUARTER EARNINGS, I STARTED TALKING ABOUT
AUTOMOTIVE SOFTNESS INVENTORY DIGESTION.
THAT EXTENDED, THEREFORE IT WAS NOT A SURPRISE TO WHAT WE
ANNOUNCED TODAY. IT WAS MORE OF AN EXPECTATION
AND REALLY
BETTER THAN EXPECTED. NEVERTHELESS, SOFTNESS WE AS A
COMPANY HAVE BEEN VERY DISCIPLINED IN ADDRESSING TO
GET US THROUGH IT MUCH BETTER THAN A LOT OF OUR PEERS. ED:
ONE CRITICISM FROM TROOST SECURITIES THIS MORNING WAS
THAT THERE WASN'T ANYTHING SAID ABOUT THE OUTLOOK, WHAT HAPPENS
NEXT IN THOSE END MARKETS. YOU JUST SAID WE REBALANCED
MAKE SURE OUR OUTPUT MATCHED DEMAND ON AUTOMOTIVE BUT GOING
FORWARD, WHAT ARE YOU HEARING FROM THOSE END MARKET LEADERS
AND CEOS ABOUT WHAT THEY THINK DEMAND FOR
THE INDUSTRY WILL BE
IN 2024? >> I THINK FOR US, THE WAY WE
ARE MANAGING 2024, WE'RE NOT IN ITCHING FOR A RECOVERY -- WHICH
IF YOU TAKE WHERE WE ARE TODAY. 2024 IS GOING TO BE BASICALLY
DOWN IN ALL INTO MARKETS VERSUS 2023 WHICH WAS A GOOD YEAR IN A
LOT OF THE MARKETS. INDUSTRIAL, AUTOMOTIVE, AND IN
THE OTHER END MARKETS WILL REMAIN SOFT.
IF DEMAND PICKS UP IN THE SECOND HALF, GREAT.
THAT IS ALL TAILWINDS FOR US. THAT IMPACTS MARGIN,
PROFITABILITY, AND REVENUE. WE WOULD RATHER BE IN THIS SPOT
RA
THER THAN PREPARE FOR A RECOVERY THAT DOESN'T HAPPEN.
CORRECTION MID. TAKING A MUCH MORE DISCIPLINED
APPROACH, WHICH WORKED WELL FOR US IN Q4 COMING INTO Q1. ED: WEASLEY EV CONTEXT AND CAROLINA
POINTS OUT -- WE USED EV CONTEXT AND CAROLINE POINTS
OUT, IT WILL JUST BE SLOWER GROWTH.
GROWTH IS DECELERATING IN GROVE -- GLOBAL EV DEMAND.
AS YOUR BUSINESS REFLECT THAT? >> I SPOKE ABOUT IT EARLIER
TODAY WHERE THE INDUSTRY STILL PROJECTS A HIGH NUMBER FOR EV
GROWTH IN THE 30 TO 40. WHAT I BELIEVE, BASE
D ON
CUSTOMER ENGAGEMENT AND BASED ON SOME OF THE LEADING OEM'S
AND AUTOMOTIVE HISTORY, WHAT THEY PROJECTED FURTHER EV
GROWTH IN 202024, WE LOOK AT IT MORE IN THE 20 TO 30 GROWTH.
SO FOR ME, I AM MORE TRUST WHAT WE SEE AND THAT IS WHAT WE ARE
MANAGING QUEST STILL VERY HEAVY GROWTH.
WHAT WE ALSO PROTECTED IN LIGHT OF THE MARKET GROWTH IS WE WILL
GROW 2X THE MARKET. IN 2024, WE ARE BACK TO END
DEMAND. QUALIFICATIONS ARE THERE.
WE'RE DESIGN AND ALL THE FORMS WE NEED TO BE DESIGNED INTO AN
RIGHT NOW
IT IS AN END DEMAND SIGNAL.
WE WILL STILL TAKE SHARE. MARKET AT 2X.
THE QUESTION IS, WHAT WILL THE MARKET DO? CAROLINE:
AND EXPANSION OPPORTUNITY FOR YOU AS 2X.
WHO ARE THE CUSTOMERS THAT MANAGED OUTPERFORM?
WHY HAVE YOU MANAGED TO GET THE CUSTOMERS THAT ARE RAMPING
PRODUCTION? WHERE IN THE WORLD ARE THEY
RAMPING ACTION? >> BOTTOM LINE, HAVE ALWAYS
BEEN CONSISTENT. YOU ONLY WHEN WHEN YOU HAVE THE
BEST TECHNOLOGY. WE'VE BEEN PROVIDING THE BEST
TECHNOLOGY AT A HIGH-POWER PACKAGING. DEVICE, THE PA
CKAGE WE PUT IN
IT, THE BEST TECHNOLOGY OUT THERE AS FAR AS PERFORMANCE.
THAT IS WHY WE HAVE BEEN WINNING.
WE HAVE BEEN BROADENING OUR CUSTOMER EXPOSURE TO KIND OF
REDUCE THAT LUMPINESS FROM TOO MANY FOCUS CUSTOMERS.
WE HAVE RECOGNIZE REVENUE FROM OVER 600 CUSTOMERS IN 2023 THAT
WILL KEEP EXTENDING INTO 2024 IS MORE OF EUROPEAN OEMS START
RAMPING FOR US. A VERY BROAD BASE OF CUSTOMERS,
VERY DIVERSIFIED REGIONALLY FROM CHINA TO NORTH AMERICA
STUFF AND LIKE I SAID, EUROPE. THAT GIVES US A VERY GOO
D BASE
TO CLEARLY GROW FROM AS WE MANAGE TO THE SHORT-TERM
LUMPINESS. ED: HASSANE EL-KHOURY,
BEST-PERFORMING STOCK TODAY. I WANT TO CHECK IN ON SHARES OF
COINBASE, DOWN AROUND 9%, SESSION LOWS DOWN MORE THAN 10%
ON TRACK FOR THE BIGGEST DECLINE SINCE JUNE LAST YEAR.
I HAVE TO BE HONEST WITH YOU, I'VE GOT NO IDEA WHAT IS GOING
ON OR WHY. THERE ARE NO HEADLINES ON THE
TERMINAL RELATING TO THE NAME. WE WILL GET THE CRYPTO TEAM ON
THAT. A BIG MOVER TO THE DOWNSIDE.
THIS IS "BLOOMBERG." ♪ ED: TIME FO
R TALKING TECH.
SAMSUNG EXECUTIVE CHAIRMAN HAS BEEN ACQUITTED OF STOCK
MANIPULATION CHARGES, REMOVING THE THREAT OF JAIL TIME THAT
HAS LOOMED OVER ONE OF KOREA'S MOST COMMON AND BUSINESS PEOPLE
FOR YEARS AND LIFTING AWAY THE COMPANY AS IT STRUGGLES WITH
THE GLOBAL DOWNTURN AND MORE COMPETITION FROM APPLE AND THE
SMARTPHONE SPACE. SHARES FELL AS MUCH AS 30% TO
RECORD LOW FOR ATOS AFTER THEY DROPPED PLANS TO SELL 777
MILLION DOLLARS IN EQUITY RIGHTS.
SEEKING A MEDIATOR TO HELP RENEGOTIATE FINANCIN
G WITH
LENDERS. $5.2 BILLION DEAL TO SHALE --
SELL ITS -- DEVELOP PROJECTS ABROAD
AFTER DIVESTING RUSSIAN UNITS THAT GENERATED MOST OF ITS
REVENUE. >> BACK TO KEEP AN EYE ON SNAP.
CUTTING 10% OF THE GLOBAL WORKFORCE AS AN OF THE TECH
SECTOR CONTINUES TO SEE LAYOFFS MORE BROADLY.
ALSO ANTICIPATING THE NUMBERS COMING FROM THIS PARTICULAR
BUSINESS THAT REPORT ANTICIPATING RECOVERY AND
REVENUE BUT WHAT IS THE COST OF HAVING TO LET GO OF SO MANY
STAFF? SHARES HAD SPIKED A LITTLE ON
THE NEWS OF THIS C
OST DISCIPLINED BUT NOW BACK
SINKING MORE THAN FOUR PERCENTAGE POINTS ON THIS
PARTICULAR SOCIAL MEDIA NAME. MORE ON SNAP IN A MOMENT.
THIS IS "BLOOMBERG TECHNOLOGY." ♪ CAROLINE:
IT IS GOING VIRAL, TAYLOR SWIFT WINNING HER FOURTH ALBUM OF THE
YEAR. THAT WAS NOT ENOUGH, SHE ANNOUNCED A NEW ALBUM ON ITS
WAY APRIL 19. THERE ARE A FEW ELEPHANTS IN
THE ROOM THAT NIGHT AND ONE OF THEM FROM A TECH PERSPECTIVE,
TREVOR NOAH ADDRESSED UNIVERSAL PULLING ITS MUSIC CATALOG FROM
TIKTOK. DRAKE AND MANY OTHERS.
THIS WAS A NIGHT OF CELEBRATING
WOMEN. THIS WAS A NIGHT WHERE WE SAW
HISTORY BEING MADE. I AM PRETTY SURE YOU ARE MORE
OF A SWIFTIES AND I AM, BUT THE TORTURED POETS DEPARTMENT, ARE
YOU EXCITED? ED: SWIFT GOES IN WITH STEVIE
WONDER AND PAUL SINATRA AND EXCEEDS THAT RECORD AND WE DO
THIS GOING VIRAL BECAUSE IT IS ALL EVERYONE IS TALKING ABOUT
ON SOCIAL MEDIA. YOU CAN'T CELEBRATE ON TIKTOK,
SIMPLY PUT, CANNOT USE TAYLOR SWIFT SONGS ON TIKTOK. CAROLINE:
THAT CONTINUES TO BE AN ONGOING ISSUE IS THE
-- ONGOING ISSUE.
CONSUMING AND MAYBE FROM TIKTOK'S POINT OF VIEW COME
HELPING MARKET THEY'D COME HOW DOES THE MONEY FLOAT TO THE
ARTISTS, LABELS? ED: WHEN I WAS READING THE
NEWSLETTER, YOU REALIZE THEY HAVE BEEN NEGOTIATING ON THIS
FOR YEARS. IT IS NOT A NEW THING BUT
THERE'S BEEN A FLASHPOINT BECAUSE THE VOLUME OF BIBLES IS
NOT TRANSCENDING TO DOLLARS IN THE ARTIST'S POCKET. CAROLINE: TAYLOR SWIFT COLLABORATING
SAYING MAYBE THEY SHOULD HAVE GIVEN HEADS UP TO SOME OF THE
ARTIST BEFORE THEY DID
THIS. WE TALK MORE BROADLY ABOUT THE
WORLD OF SOCIAL MEDIA AND HOW LAWMAKERS ARE ADDRESSING IT
RIGHT NOW. ACROSS THE AISLE, WE ARE SEEING
WORK BEING MADE FOR LEGISLATION THAT WOULD PLACE SAFEGUARDS
ACROSS ARTIFICIAL INTELLIGENCE IN PARTICULAR.
THIS ALSO INVOLVES DEEPFAKE EUROS STUB INDIVIDUALS SUCH AS
-- THIS ALSO INVOLVES DEEPFAKE VIDEOS.
SOCIAL NETWORK ANALYSIS COMPANY DETERMINED THE IMAGES OF WHERE
THEY ORIGINATED FROM WAS AN ONLY CHALLENGE TO BRING SAFETY
MEASURES DESIGNED TO BLOCK PEOPLE FR
OM GENERATING NUDE
PICTURES WITH ARTIFICIAL INTELLIGENCE.
GO INTO THE DETAIL OF WHAT IS HAPPENING ON CERTAIN PARTS OF
THE INTERNET FOR ALMOST THESE WEIRD CHALLENGES ARE ERUPTING
THAT DON'T JUST AFFECT TAYLOR SWIFT. >> EXACTLY.
FROM LONG TIME NOW, BEFORE THE IMAGES HAVE TAYLOR SWIFT
EMERGED ON X THAT CAUSED HUGE OUTRAGE AND CAUSED X TO BLOCK
TAYLOR SWIFT SEARCHES FOR A WHILE, THESE DEEPFAKE
PORNOGRAPHIC IMAGES OF SEVERAL WOMEN, CELEBRITIES, POLITICIANS
WERE ALREADY APPEARING ON A FORTUNE FOR THEM
ON A THREAD
WHERE A COMMUNITY -- 4CHAN FORM WERE A THREAD WAS TRYING TO
BREAK THE KIND OF TEXT TO IMAGE GENERATION MODELS THAT WE ARE
REALLY FRIENDLY OR WOULD LIKE MICROSOFT'S IMAGE DESIGNER,
OPENAI'S DOLLY. THEY HAVE FOR WEEKS BEEN TRYING
TO TEACH EACH OTHER HOW TO USE CERTAIN WORDS TO GET AROUND THE
SAFEGUARDS THAT HAVE BEEN PUT IN PLACE TO CREATE THESE
PORNOGRAPHIC IMAGES THAT THESE COMPANIES WHO CREATE THE MODELS
SAY ARE ALLOWED. ED: THE USE OF TEXT IMAGE CREATORS
AND THE POLICY POINT WAS T
HE BAN ON KEYWORDS AND USING
OTHERS TO GET AROUND IT. THEN THERE IS THE POLITICAL
SIDE OF THE STORY WHICH IS BASICALLY THIS HAS BEEN A
REALLY BIG STORY. NOW LAWMAKERS ON CAPITOL HILL
ARE THINKING ABOUT WHAT THEY NEED TO DO ABOUT IT. >> TAYLOR SWIFT WAS NOT THE
FIRST PERSON TO BE DEEPFAKED BUT BECAUSE OF HER CELEBRITY
LATE LAST MONTH PEOPLE WERE TALKING ABOUT IT SO MUCH MORE.
WE HAD THE WHITE HOUSE CONDEMNING IT, THIS REENTERED
IS ASIAN OF A BILL THAT HAVE BEEN BROUGHT AND COME A
BIPARTISAN BILL.
AT THE MOMENT, THERE IS NO
FEDERAL LAW THAT BANS DEEPFAKE PORNOGRAPHY.
YET THE SCATTERED APPROACH ACROSS STATES.
ALTHOUGH THIS HAS BEEN HAPPENING FOR A REALLY LONG
TIME, WE ARE FINALLY SEEING THE KIND OF POLITICIANS, LAWMAKERS,
EVERYONE TAKING ACTION. ED: MARG YOU MURPHY. YOU HAVE DONE BIG BODY OF
RESEARCH ON THIS TOPIC. ANOTHER STORY COME INDEPENDENT
OVERSIGHT BORG AGREES WITH THE RECENT DECISION TO LEAVE A
MISLEADING VIDEO OF HIS PRESIDENT JOE BIDEN BUT CALLED
ITS POLICIES ON AI GENERATED CON
TENT AND COHERENT AND TOO
NARROW. THE BOARD IS URGING META TO
UPDATE POLICIES AHEAD OF THE 2024 U.S. GENERAL ELECTION.
WE CONTINUE TO FOLLOW THAT STORY. CAROLINE:
LET'S STICK ON THE WORLD OF SOCIAL MEDIA.
SHINING A LIGHT ON SNAP, SNAP CHECK CUTTING THE WORKFORCE BY
ABOUT 10% WORLDWIDE. JOINING US AROUND THE ENTIRE
FOCUS OF TECHNOLOGY COMPANY'S ANNOUNCING LAYOFF AFTER LAYOFF
IS OUR BLOOMBERG INTELLIGENCE. THIS IS A COMPANY PERHAPS TRY
TO FRONT RUN A SLOWING AD MARKET NARRATIVE THAT WILL COME
FROM
THE EARNINGS. COST DISCIPLINED. >> META HAS SET UP A GOOD
BLUEPRINT IN TERMS OF WHAT COMPANIES NEED TO DO,
ESPECIALLY THE SOCIAL MEDIA LAND. IT HAS WORKED FOR THEM.
THE PROOF IS IN THE NUMBERS THEY DELIVERED LAST WEEK.
EVERY COMPANY THAT WENT BIG IN TERMS OF LAYOFFS IN 2023
ACTUALLY BENEFITED WITH BETTER EXECUTION AND TOPLINE GROWTH IN
THE CASE OF META. I WOULD BE CURIOUS TO SEE HOW
ADD PRICING RECOVERS FOR SNAP. WHAT WE SAW WITH META WAS A
CLEAR INFLECTION IN TERMS OF DIGITAL ADD PRICING COMIN
G BACK
THAT ACTUALLY HELPED THEIR TOPLINE.
I WOULD BE SURPRISED IF IT IS OCCLUSIVE TO META BECAUSE WE --
INCLUSIVE TO META BECAUSE WE KNOWAD VENDORS BENEFIT WHEN
THERE'S A CYCLICAL UPTREND. THAT TO ME IS THE KEY NUMBER
FOR PINTEREST AND META, THEY SHOULD ALSO SEE THE LIVE IN AD
PRICING. CAROLINE: SNAP HAS BEEN FLAILING TO FIND
SOME SORT OF DIVERSIFICATION. THEY WERE LOOKING INTO
AUGMENTED REALITY COME HELPING OTHER COMPANIES EMBRACE THAT
AND REALIZE THAT IS NOT THE WAY THEY SHOULD BE SPENDING MO
NEY.
HOW ARE YOU SEEING THERE NARRATIVE BILLED AS TO WHAT
THIS COMPANY STANDS FOR? >> THEY PROBABLY ARE NARROWING
THEIR FOCUS. THE LAYOFFS HAVE TO COME FROM
SOMEWHERE IN THE LAST ROUND WAS REALLY FOCUSED ON AUGMENTED
REALITY BECAUSE THEY WANTED TO NARROW DOWN THE FOCUS THROUGH
THE PROFITABLE PART OF THE BUSINESS, WHICH IS THE SOCIAL
MEDIA ADS. WITH META WE SELL REAL ENGAGEMENT CONTINUED -- REEL
SNAP HAS SPOTLIGHT. THEY DON'T MAKE ANY MONEY OFF
OF THAT AND THAT IS WHERE YOU WANT TO SEE MONETIZATI
ON.
WHY IS META MONETIZING VIDEO AND HAVE CAUGHT UP TO TIKTOK
AND NOT SNAP? I THINK THAT IS WHERE -- THE
STORY IS STILL MISSING. WHY CAN'T SNAP MONETIZE VIDEOS
AS EFFECTIVELY AS META? ED: SNAP REPORTS EARNINGS AFTER THE
BELL TOMORROW. I THINK MY TAKE AWAY FROM THE
META EARNINGS WAS I UNDERSTAND HOW YOU WORK IN AI IS RELATING
TO YOUR CORE BUSINESS. YOU POINT OUT SNAP HAS
SPOTLIGHT BUT ALSO SNAPCHAT PLUS, MY AI, AND I DON'T REALLY
UNDERSTAND HOW THAT IS HELPING THEM YET. >> LOOK, WHEN A COMPANY OF
THIS
SIZE, META IS LIKE $1.2 TRILLION COMPARED TO SNAP, $27
BILLION. 50 TIMES IN MARKET SIZE COMPARED TO SNAPCHAT.
I WOULD WATCH A SMALLER COMPANY THIS POINT TO DRIVE UP ITS
ENGAGEMENT AND IT SHOULD HAVE A LONG RUN WAY COMPARED TO META,
WHICH WE KNOW IS EXECUTED FLAWLESSLY.
IT HAS THE AI SCALE AND ITS OWN MODEL.
BUT FOR A SMALLER COMPANY WITH 400 MILLION ACTIVE USERS, THEY
SHOULD BE ABLE TO FIGURE OUT HOW TO USE AI TO DRIVE THEIR
ENGAGEMENT, HOW TO IMPROVE THEIR AD INFRASTRUCTURE.
I DO THINK TH
E SNAP RINGS ARE FIXABLE, THAT WE HAVE NOT SEEN
THE MONETIZATION ASPECT YET. ED: AT THE END OF LAST YEAR, THE
TEAM ALSO READ ABOUT SNAP'S E-COMMERCE POTENTIAL BECAUSE I
THINK IT DONE SOME PARTNERSHIPS. DO YOU BELIEVE THAT IS AN
OPPORTUNITY FOR SNAP STILL? >> I THINK SO.
META HAS ALSO DONE A PARTNERSHIP WITH AMAZON.
PINTEREST HAS DONE THE SAME. FOR ALL THE SOCIAL MEDIA
COMPANIES COME THE HOLY GRAIL IS IN APP E-COMMERCE.
THEY HAVE NOT FIGURED IT OUT YET. WE HAVE SEEN THAT WITH THE
CHINESE COMPANIE
S. IN THE END, AMAZON PARTNERSHIP
DOES MAKE SENSE BECAUSE AMAZON CLEARLY HAS THE FULFILLMENT
CAPACITY AND IT DOES NEED THE CHANNEL FOR THE SOCIAL MEDIA
COMPANIES TO TRANSFER OVER THE CUSTOMERS THAT ARE ENGAGING
WITH HIM ALMOST 60 TO 70 MINUTES A DAY.
HE WILL BE INTERESTING TO SEE HOW IT AFFECTS SNAP'S GROSS
MARGIN. CAROLINE: WE WAIT FOR THOSE NUMBERS TO
COME OUT AND DICTATING HOW THE STOCK CONTINUES TO PERFORM.
BRILLIANT TO GET THE DEEP DIVE AHEAD OF THEIR EARNINGS.
COMING UP, TURNING BACK TO TH
E SEMICONDUCTOR INDUSTRY AND
SPEAK WITH THE ELEMENT CEO BEN GLIKLICH.
THIS IS "BLOOMBERG TECHNOLOGY." ♪ >> WE ESTABLISHED OURSELVES AS
A PAI CONTENDER. >> INDIA, JAPAN, FRANCE, CANADA
NOW, SOUTHEAST ASIA, SINGAPORE. SPEAK UP ABOUT THE IMPORTS OF
INVESTING IN SOVEREIGN AI CAPABILITIES. >> THE EARLY SIGNS OF GENAI
USERS ARE EXCITING. >> WE WILL SHOW JUST HOW
CAPABLE AND HOW MUCH AI IS NOW A PART OF REALLY THE ENTIRE
STORY. >> FOR THE VERY FIRST TIME,
BECAUSE OF AI COMPUTERS ARE GOING TO BE -- COMP
UTER
TECHNOLOGY IS GOOD IMPACT LITERALLY EVERYTHING WILL
INDUSTRY IN EVERY SINGLE COUNTRY. >> IT COULD CREATE AN
INTERESTING OPPORTUNITY FOR UPGRADE CYCLE IN PHONES.
CAROLINE: AN ARRAY OF CEOS. THEY ALL HAD A LOT TO SAY ABOUT
AI. LET'S CHECK IN ON THE MARKETS
RIGHT NOW WHEN IT COMES TO SEMI CONDUCTORS.
WE ARE MANAGING DESPITE THE MACRO PICTURE OF WHICH IS ONE
OF TWO STRONG GROWTH IN THE U.S. ECONOMY IS THEREFORE PUSHING
BACK ON SOME TECH STOCKS. THE STOCK DOES REMAIN HIGHER.
LARGELY WE HAVE NVID
IA TO THANK FOR THAT ON THIS PARTICULAR
PRICE TARGET. INTERESTINGLY, AMD IS ON THE
DOWNSIDE EVEN THOUGH THEY HAD AN UPGRADE COMING FROM PHILIP
SECURITIES. IT IS UNDER PRESSURE MORE
BROADLY AS THE REST OF THE MARKET FEELS A LITTLE WEAKNESS
AMID THIS STRONGER MACRO DATA. NOTABLE ON SEMI RIDING HIGH ON
ITS BENEFITS. DEEP DIVE ON CHIPS. ED:
BEN GLIKLICH. WE FOCUS SO MUCH ON THIS SHOW
ON THE GPU, CPU ANALOG LEVEL BUT WE ARE TALKING ABOUT
CIRCUIT BOARDS AND THE GREATER CIRCUITS AND WHAT THEY ALL HAVE
IN COMMON IS THEY ARE RETHINKING THEIR SUPPLY CHAIN.
WE ARE HEADING TOWARD THIS KIND OF DECOUPLING FROM CHINA.
WE HAVE DONE A LOT OF REPORTING AT BLOOMBERG ABOUT APPLE
WANTING TO SHIFT SOME OF ITS SUPPLY BASE FROM CHINA TO INDIA.
HIS SOMEBODY INVOLVED IN -- IS SOMEBODY INVOLVED AND THAT
SUPPLY CHAIN IS SIMPLE AS THAT? >> WE LIKE TO SAY CHIPS DON'T
FLOAT. PRODUCTS USED IN SEMI AND
FACTORING, PUTTING CHIPS UNDER CIRCUIT BOARDS AND MAKING
HIGH-PERFORMANCE CIRCUIT BOARDS. THE PRINTED CIRCUIT BOARD
M
ARKET IS PRIMARILY AN ASIAN MARKET BUT WE ARE SEEING A
SHIFT TOWARD SOMETHING CALLED CHINA PLUS ONE.
SUPPLY CHAINS ARE MOVING OUTSIDE CHINA TO PLACES LIKE
INDIA, VIETNAM, TAIWAN, MALAYSIA, EVEN SOME GREENFIELD
INVESTMENT IN NORTH AMERICA, MEXICO, AND THE U.S. CAROLINE:
WHEN IT COMES TO YOUR ROLE AND ELEMENT SOLUTIONS, HOW MUCH ARE
YOU PART OF THIS? >> OUR TECHNOLOGIES ARE USED IN
EVERY HIGH-PERFORMANCE ELECTRONICS DEVICE IN THE
MARKET. WE ARE ENABLING PROVIDER OF
CHEMICAL TECHNOLOGY FOR ALL OF T
HESE MARKETS.
FOR US, OUR MANUFACTURING PROCESSES ARE PRETTY SIMPLE.
OUR PEOPLE ARE GLOBAL. WE ARE WELCOMING THESE SUPPLY
CHAINS AS THEY MOVED TO NEW PLACES. OUR FOOTPRINT IS THERE.
IT IS AN OPPORTUNITY FOR US TO SUPPORT OUR CUSTOMERS AS THEY
DIVERSIFY THE SUPPLY CHAINS WHEN THEY MOVE OUT OF CHINA WAR
INTO NEW MARKETS. CAROLINE: WHITE FOR YOU IS THERE ANY SORT
OF -- WHAT FOR YOU IS THERE ANY SORT OF BLOCK ON YOUR ABILITY
TO KEEP UP WITH THE DEMAND? ALL WE HEAR IS THE ABSOLUTE
SCALE, PRICED, THEY
NEED. IS OR ANYTHING SONG YOU DOUBT
OR JUST ABILITY TO ROLLOUT IN LOCKSTEP WITH THE DEMAND? >> WE ARE FORTUNATE BECAUSE WE
HAVE BEEN IN THESE MARKETS FOR DECADES.
OUR CUSTOMERS AND OUR CUSTOMERS CUSTOMERS RELY ON US TO COME UP
WITH NEW SOLUTIONS TO ENABLE THEIR NEXT GENERATION PRODUCTS.
FOR US, STAYING ON TOP OF INNOVATION, DOING TECHNOLOGY
ROADMAP EXCHANGES WITH CUSTOMERS ENABLES US TO MEET
THOSE EMERGING NEEDS. THEN WE MAKE INVESTMENTS IN NEW
MATERIAL SCIENCE TECHNOLOGIES. AS A LEGACY CAPABIL
ITIES DON'T
MEET THE NEEDS OF NEXT GENERATION CHIPS FOR AI, WE ARE
INVESTING TO SUPPORT THAT OUTSIDE OF OUR FOUR WALLS AND
BRINGING VERY INTERESTING CAPABILITIES TO MARKET. ED: WHEN WE THINK ABOUT SOME OF THE
END MARKETS WE LISTED AT THE TOP OF THE SEGMENT YOU'RE IN,
EV, SMARTPHONE, THERE ARE MIXED FORECASTS OF WHAT 2024 LOOKS
LIKE. YOU HEARD A MOMENT AGO, QUALCOMM SANG FLAT TO LISTING
THE DIGIT GROWTH IN THE SMARTPHONE MARKET.
WE HAVE COVERED A LOT BROADLY SLOW DOWN IN EV GROWTH GLOBALLY.
IS TH
AT REFLECTING WHAT YOUR CUSTOMERS ARE ENGAGING WITH YOU
ON? >> WE CALL THE BOTTOM AND ARE
ELECTRONICS BUSINESS AND THE SECOND QUARTER 2023.
20 23 WAS CUFFED IN ELECTRONICS NOT JUST FROM DEMAND BUT ALSO
THERE'S A LOT OF INVENTORY IN THE CHANNEL THAT HAD TO CLEAR.
WE HAVE SEEN A RECOVERY IN THE BACK HALF OF 2023 AND WE SEE
GROWTH IN 2024. SMARTPHONE UNITS SHOULD GROW.
WE SHOULD HAVE NICE GROWTH FROM THAT PART OF THE BUSINESS.
OUR BUSINESS IS NOT JUST DRIVEN BY UNITS, BUT CONTENT PER UNIT. EACH NEX
GEN RENOVATION HAS MORE
VALUE OF OUR TECHNOLOGY BECAUSE IT IS ENABLING HIGH-PERFORMANCE
APPLICATIONS SIMILAR IN THE EV MARKET WHERE WE HAVE GAME
CHANGING TECHNOLOGY AND POWER ELECTRONICS.
THAT MARKET HAS BEEN VERY STRONG FOR US.
WE ARE SEEING CUSTOMERS ADAPT POWER TECHNOLOGY TO DELIVER
BETTER PERFORMANCE VEHICLES. EVEN IF THE EV IS FLATTISH, WE
WILL SEE REAL GROWTH FOR OUR CAPABILITIES IN ELECTRIC
VEHICLES BECAUSE OF THE TECHNOLOGY TREND SHIFT. ED:
I WANT TO GO BACK TO THE SUPPLY CHAIN. IS INDIA
READY TO BE A GREATER
CONTRIBUTOR TO SUPPLY CHAIN, SEMICONDUCTOR INDUSTRY AND AI? >> THERE IS DEFINITELY A
SIGNIFICANT INVESTMENT IN INFRASTRUCTURE THAT IS WIRED IN
INDIA. WE ARE -- REQUIRED IN INDIA.
WE ARE SEEING THAT. WE HAVE BEEN ASKED BY ONE OF
THE LARGER SMARTPHONE OEM'S IN THE WORLD TO HELP TRAIN THE
INDIAN SUPPLY CHAIN TO MEET THEIR NEEDS.
IT IS A GREAT -- CAROLINE: WHO IS THAT? >> WE DON'T SPEAK ABOUT OUR
SPECIFIC CUSTOMERS AND SUPPLY CHAINS BROADLY OR IN PUBLIC,
BUT A VERY LARGE SMART
PHONE MANUFACTURER IS ASKING US TO
HELP TRAIN SUPPLY CHAIN TO BRING THEM UP FROM A CAPABILITY
PERSPECTIVE TO ENABLE THEIR PRODUCTION. CAROLINE:
WE WANT TO THANK YOU FOR BEING HERE RINGING THE BELL, FIVE
YEARS I THINK WAS A CELEBRATION TODAY OF ELEMENT SOLUTIONS.
BEN GLIKLICH, THANK YOU FOR YOUR TIME.
COMING UP, LOOK AT THE RISE, FALL, THE FUTURE OF BLIZZARD
ENTERTAINMENT COMING UP NEXT. A NEW BOOK FROM OUR COLLEAGUE.
THIS IS "BLOOMBERG TECHNOLOGY." ♪ ED: VIDEOGAME FANS, BLIZZARD
ENTERTAINMENT WA
S ONCE SYNONYMOUS WITH PERFECTION. THE MAKER FOREVER CHANGE THE
VIDEOGAME LANDSCAPE. BUT THEN ITS CORPORATE PARENT
ACTIVISION STARTED CRACKING DOWN ON BLIZZARD'S CROWD
AUTONOMY, CHRONICLED IN A NEW BOOK "PLAY NICE: THE RISE,
FALL, AND FUTURE OF BLIZZARD ENTERTAINMENT."
JASON JOINS US NOW. CONGRATULATIONS. SOME OF THOSE TITLES, DIABLO 4
AND A RECENT HISTORY COME THE FASTEST SELLING TITLE.
AND THEN THERE IS THE COMPANY STORY OF EVERYTHING THAT
HAPPENED IN THE LAST 12 MONTHS. HOW DID YOU WRITE A BO
OK ABOUT
IT? >> I HAVE BEEN FRANTICALLY
REWRITING THE ENDING OVER THE LAST COUPLE OF WEEKS. 33 YEAR HISTORY I'M CHRONICLING
STARTING WITH TWO UCLA STUDENTS WHO STARTED OUT TO START A
VIDEOGAME COMPANY AND BUILT AN EMPIRE THAT BECAME THOUSANDS OF
PEOPLE COME IN OF DOLLARS AND MANY COMING MILLION MILLIONS OF
FANS. CAROLINE: GIVE WRITTEN A COUPLE OF
BEST-SELLING BOOKS. I AM INTERESTED -- YOU HAVE
WRITTEN A COUPLE OF ESALEN BOOKS.
I'M INTERESTED THE RECEPTION YOU GET TO THESE BOOKS.
WHO IS THE AUDIE
NCE THAT GRAVITATE TOWARD THE JOURNEYS
STORIES? WHAT ABOUT THOSE WHO DON'T KNOW
MUCH ABOUT THE GAMING INDUSTRY? >> MY FIRST TWO BOOKS,
ANTHOLOGIES INCLUDING A BUNCH OF STORIES SO A LOT OF PEOPLE
COULD GLOM ON TO THEM AND FIND AN INTERESTING STORY, A COMPANY
THEY HAD HEARD OF OR GAME THEY PLAYED.
I ALSO TRIED TO MAKE THEM APPEAL TO THE MAINSTREAM.
WITH THIS I TRY EVEN HARDER TO MAKE IT SOMETHING MY MOM WOULD
READ. MY MOM HASN'T READ MY FIRST TWO
BOOKS BUT HOPEFULLY THIS ONE. I THINK THERE ARE A L
OT OF
GAMERS WHO WILL WANT TO READ THIS BOOK. THE CREATIVE STRUGGLES AND THE
DEVELOPMENT STORIES AND THEN GAMES SUCH AS KNOWING THE STORY
BEHIND WORLD OF WARCRAFT AND OVERWATCH.
I THINK IT WILL BE INTERESTING TO ANYONE WHO HAS BEHIND THE
STORY CORPORATE LIKE LAB BLOOD, STORIES ABOUT BUDDIES THAT GROW
AND THEIR CULTURES -- LIKE BAD BLOOD AND STORIES ABOUT THE
COMPANIES AND GROW AND THE CULTURE AND THE TRUST AND TRIP
RELATIONS ALONG THE WAY. ED: THE STORY KEEPS GOING.
THE LATEST, CALL OF DUTY BUSI
NESSES TAKE THE HELMET
BLIZZARD. DID YOU KEEP UP WITH THAT? >> MY EDITOR IS WAITING FOR ME
TO SEND OVER A REVISED VERSION OF THE ENDING. CHANGING A FEW THINGS AND THERE
WAS A MASS LAYOFF IN A GAME CANCELLATION A COUPLE OF WEEKS
AGO. KIND OF A TRAGIC WAY FOR THE
NEW ERA OF THE COMPANY UNDER MICROSOFT TO BEGIN.
MICROSOFT PURCHASED THEM FOR $69 BILLION IN A DEAL THAT
CLOSED IN OCTOBER. TO CUT A BUNCH OF JOBS.
YES, I WILL BE INCORPORATING THAT INTO THE MANUSCRIPT.
THE CERTAIN POINT, THIS BOOK HAS TO
END AND IT WILL PROBABLY
INCLUDE UP THROUGH JUST ABOUT THE PRESENT DAY. CAROLINE:
SEQUEL, JASON. THANK YOU SO MUCH FOR SPENDING
SOME TIME WITH US. CONGRATULATIONS ON THE NEVER
ENDING BOOK. THAT DOES IT FOR THIS EDITION
OF "BLOOMBERG TECHNOLOGY." ED: CHECK OUT THE POD.
THIS IS "BLOOMBERG TECHNOLOGY."
Comments
6:08 That Part 👋🏽💥🛎 Who is the real gov ???
I love her accent
Mitekna. Kase. Fezbuk ot. Zato. Fezbuk. Nesaka. Pohnuvat. Da. Wtipat
Cardano ADA is the Amazon of cryptocurrency.
Boolimer. Ova go. Neznate. Ko bev. Fezbuk. @wkoluva milon. Pros narot. Dase. Bogati so dobrina. Mi vraha so dobrina. Zato danso vrboski. Ima. Bilon ski svet. USA@ Evropa Idia.kina i abu dabi i cesvet. Sitemznaat. Po mojata. Lubeznos. Od celiot. Svet. USA@
I think you guys are full of shit Elon works 120 hr per week runs 5 companies and you criticize poor performance when he is continuing to innovate