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Bloomberg Tech is a live from coast to coast with Carolline Hyde in New York and Ed Lovelow in Sent Francisco.

Welcome to a special edition of Bloomberg Tech Live from CES in Las Vegas.

We've been bringing you conversations from the biggest names in the industry in today we have another great lineup coming up.

First, we sit down with Jim Johnson, an Intel's client computing group, to discuss the chipmaker's efforts to make its products competitive again.

Plus Warner Brothers.

It rejects an amended takeover offer from Paramount Skuydouts.

We'll break it all down, and Paul Pastor of quick.

Pay will be joined by Mobilized CEO to discuss the company's acquisition of Israeli startup Mentee Robotics in a cash and stock deal valued at nine hundred million dollars.

The deals still getting done, but let's check it on these markets, which are being ruled by geopolitics once more than aw's that managing to brush that off a little bit more than the SMP.

Remember we're still now record highs on the SMP.

We're up another three tenser percent on the main benchmark.

When it comes to the tech names, maybe less affected by what's happening in terms of geopolitics and Russia and the US at the moment out in the seas, but we're currently holding on to gaines.

Geopolitics is always there I'm looking at in video.

It is the mainstay of this CES week, with Gensen one speaking multiple times.

The stock is up almost one and a half percent in the current session.

You know, there are headlines out right now from the information that China is asking US tech companies to hold orders of H two hundred.

Gens One's been peppered with questions about H two hundred for the last three days straight and you can see over three days this was not the blockbuster that we thought it would be to start the year.

In video's up half a percentage point.

Now.

The big data point was the forecast for the next few quarters Blackwell and Rubin, and this is what Gensen one had to say about that forecast.

Harbor pricing is actually going up in the cloud.

All of the harbors are consumed in the cloud and now pricing spark pricing is starting to go up, and so that tells you about the demand that's been generated all over the world.

So age two hundreds, I think is going to contribute also to that, and I think, all told, all told, I think we should have a very good year.

That question was posed to Jenum won by Bloomberg Sean King, who's covered semiconductors here since nineteen ninety eight, and the context is that you said to him in October, you told us over five fiscal quarters, five hundred billion dollars of sales across Blackwell.

And then Reuben, is it possible that that number could go up?

And as we just heard, there are various reasons why Jensen thinks that number could go up.

Yeah.

I mean fundamentally here, all our audiences care about is are we in a bubble or not?

And they just want any piece of information, any hint to explain, well, why we're not.

Obviously, what he was saying was there's lots of things going on.

There's new models, there's new areas of the economy that are coming into AI, and all of this means that demand is actually better than I thought it was, so that number is looking like it's a bit low.

So that was good news, but nobody got that excited about it.

Where they did get excited is memory storage.

Oh my goodness, Sandusk is up one thousand percent from its lows.

It's up fifty percent in the first three trading days of the year.

In what are you hearing in terms of this demand for memory and the price point that we're going to see.

I mean, as always with the memory ship industry, you either got a fee storre of famine at the moment.

We're in a famine.

When we're in a famine, the price goes up, right, And that is exactly what's happening right now.

My demand is basically always has been.

They can't build factories fast enough, they can't build production fast enough to meet these short term surges in demand.

So right now the price is going up.

And we're actually taking storage as well, not just the high bandwidth memory that goes around the GPU.

A point of discussion on the internet has been autonomous driving.

Yeah, once again, in Video came out strong with autono striving.

You and I was sat next to each other in the keynote, and you can tell us about Nvideo's offering.

But he's also caught the attention of Elon Musk and Tesla of course.

Yeah.

I mean there was a little bit of a backwards and forwards between Jensen and Elon about you know, whose system is better, and most of them ending up praising what the others doing in the end, because, let's face it, they need each other.

But this is the point that we're at.

We've been promised cars that are robots that can do their own thing for a very long time.

Hasn't happened as fast as we were promised.

And what we're being told now is we're at the cusp of this.

And this is great if you're making chips, if you're making the components for these vehicles.

Cars, robots.

Seen a lot of them.

I'm going to continue to see a lot of them.

In King we thank him so much for his decades of work in the chip sector as well.

But let's stay with Nvideo because of course, ed you sat down with Nvidia CEO Jensen one and Zeeman CEO Ronn Busch.

Do you discuss their latest partnership the expansion of AI efforts.

Just take a listen.

We're announcing a big partnership between us.

We've known each other for a long time, but the partnership we're announcing is really a big deal.

One.

We're accelerating their EDA software, We're accelerating their simulation software.

We're integrating AI technology, physical AI and agentic AI into their team center and their factory automation operating system.

And so we're working together across this entire spectrum.

When we accelerate the software, then we'll get to use it to design our chips and systems.

When we accelerate their simulation software, we'll use it in our AI factories to simulate the thermal properties of our AI factories.

When we integrate our automation and agentic systems into their AI industrial operating system, we can then use it in our factory floors with our partners, for example fox Con.

And so we're working across this entire spectrum together, and we're going to put the technology to use basically as soon as we can.

What's the net effect for you, Jensen, Is it improves margins efficient capital allocation.

I know that might sound a bit dry, but actually, right now, that's the answer everyone's searching for.

How is this investment in AI and use of the technology actually changed things in the real world for me?

Well, announce yesterday Vera Rubin it takes six different chips to integrate into this incredible system called Vera Rubin.

And when you're done, each one of these Vera Rubin GPUs is two hundred and forty thousand wants and it is ten times more energy efficient than a last generation.

It is ten times more cost efficient than a last generation.

But it's still the technology is insanely complicated.

One hundred fifteen thousand engineering years came together to build this system.

And so when we accelerate EDA tools, when we accelerate simulation tools, and when we can eventually and I'm hoping very soon design entire Vera Ruben systems inside a even's digital twin, the chance the ability for us to create much much more complex systems, will scale, will do it much more efficiently.

And so this is really about being able to do the impossible, and being able to do it impossible the impossible right the first.

Time, and and and and once they then realize that AI creates real world impact, this is where it really deploys the full power and also.

The economic power.

It's not only in the data centers are any I factories which we see, but also on the edge because once you start influencing with low latency.

You bring this technology to the edge.

This is a huge potential for our customers to to deploy this technology.

And this includes of course includes hardware and where we come from from the gits, it goes into the controllers.

Some of our controllers.

Run on GPUs and then it goes all.

The way to the industrial PC.

Exactly, and and the andes are aides supercharge it and they can now run algorithms trained in the cloud that can run it on the shop floor and do all that trick what we talked about it in retime optimization and running in a planned and that makes a use difference.

Nvidia CEO Jensen Wang and Semen CEO Roland Bush.

They're starting their own industrial revolution, is how they put it.

Coming up, Intel looks to gain a competitive edge with new computers and redesigned processors.

We speak with Jim Johnson.

Intel Client Computing Group SVP and General Manager.

That's coming up next, This is Bloomberg Tech.

Intel is here at CES with a slew of new products from laptops and newly designed chips and it's part of an effort to be more competitive across its product lineup.

Joining us now Jim Johnson, Intel Client Computing Group SVP and general Manager.

And the way you describe it as the vibes are good, feeling positive about what you're unveiling.

Yeah, it's been a long journey to get here and finally launching.

You know, what we think is the most powerful mobile processor for mobile computing with our new process Note eighteen A is something the industry has been waiting for and wondering if we would pull off.

Okay, for those that aren't deeply within the industry and coming to your foundry and understanding what's going into this new processor, the Core Alter series three.

What makes them different.

We took our most powerful mobile processor from last year and built it on the most power efficient mobile processor from last year, combining those two capabilities, and so we run workloads from last year at forty percent lower power this year on this processor.

And it's I asked.

I've been asking, knowing I've been coming here, I've been asking our customers what would you say?

They'd say, super powerful, surprisingly, power efficient.

That's what they told me last night.

So here's the thing, Jim, and with respect AMD and qual customers would say the same thing.

You know, AMD and qualcom have already been out there this week saying that their processors and parts, best battery life, best performance, and they both argue that they're taking share.

Right, What data.

Points can you point me to that would evidence Intel's back in the lead in that market based on this technology.

I get asked quite often what's the killer app for an AIPC, And up until this part I didn't have an answer.

But if you're into mobile gaming, we built a GPU in Series three with an AI capability called multi frame generation.

So you would typically render a frame and then render a frame in between.

You can now use AI called multi frame Generation.

It's quadruple in the frame rate and super smooth play.

So I will take that system up against any of our competitors.

If you're into.

Mobile games, it is Intel in the lead, I believe.

So, yes, twenty twenty six is fascinating.

Bigger picture, you have some fore Karta's forecasts.

Is I think IDC saying that the market will shrink nine percent this year?

We have others saying it will grow literally because of AIPC.

What is your kind of forecast?

And you know it comes back to the same question we've had at CES for a couple of years now is does the AIPC resonate with anyone at the corporate level, at the consumer level.

So a couple things.

So that is part of the conversation we're having this week.

But the feedback I keep getting from our customers is keep ramping supply of these new processors because they believe they're going to win with them.

And from an AI standpoint, another thing that's happened because we've been deploying aipcs now for two years, we have the equivalent of forty data center's worth of compute on the edge, and now we have like Arvin, the CEO of Perplexity, came and did a talk with me and he's now figuring out with us how to run portions of his comment browser directly on the AIPC.

For four reasons.

He sees better performance, he sees better security and privacy, see better cost, but for more importantly, more control.

So for business they have more control.

So I'm seeing these big AI companies actually start to tap into what can they do more locally.

Same with so I guess another thing that happened is edge computing.

I know you've been talking about edge computing between cloud and PC.

We used to sell these parts maybe a year or two after we launch them into factories and so forth.

But because the Series three process is really good at perceiving the environment with our visual processor and doing motor control of factory equipment and robotics, we have demand on day one for Series three from edge customers.

So let's talk about the supply.

Because you have got vertical integration, you're actually using your foundries, you are printing this silicon.

Yes, and we're building capacity specifically for client and that's a real value proposition for our customers because they can depend on us to keep supporting our product lines for them.

In a way, you are the current of your own OWL boundary.

Why did you go with them not t SMC?

What turned you to think, Okay, these are the ones, this is the supplier I need.

There's three things that they did with eighteen A that it's really impressive.

They use the latest UV technology you can.

Buy tag yousml YEAP, Yeah, that's right, that's right.

And they did two new unique innovations.

We call it ribon fet or gate all around and backside power delivery so you can separate power from signals.

We get fifteen percent better performance per w and multiply that times twenty or twenty five watts in a PC and we have thirty percent better chip density, and so that allows us to compact our design, which allows our customers to compact their design and put in bigger batteries, and so you get they're now driving all day battery life to multi day battery life.

Jim, I think we have to end by talking about pricing.

You know, the background is that memory is an issue at the moment.

How do you manage it?

Do you pass on the cost or whether the storm feast and famine, sicklical memory problems.

You're you've been around right with.

Respect, it's a conversation we're having this.

Week, conversation or an acknowledgement that it's a problem.

Well, it definitely is an issue in the industry.

Our customers are struggling on what they're going to do with it, and they haven't decided yet.

But what they're asking us to do is keep our build plans solid because in twenty twenty six they see a chance to really gain share on the back of Series three.

We just have a few seconds.

Does the PC market grow, stay flat or shrink in twenty twenty six.

I think it's going to be plus or minus where it's at now.

Some people are much more dire than that.

But we have the same conversation when Terris came up, and all the predictions, whether really drastic or big pull ins, they kind of didn't come true.

There was something more in the middle.

So we're planning for more in the middle.

But of course we'll react with our customers as we need to.

Jim Johnson, Intel Client Computing Group SVP and general Manager, thank you so much.

Up a conversation with Qualcom Cristianamon on why robotics is the next big thing in AI and they're not alone in that.

This is Bloomberg Tech.

Robotics is the next big opportunity in AI.

That's according to Qualcom CEO Christiano I'm on Carra sat down with him here at CES in Las Vegas yesterday.

Listen to this.

Yes, look, we're incredibly excited about this is a new chapter.

I think of the Qualcom expansion and diversification, I think we're going to robotics.

We like robotics a lot because by definition, is an edge AI problem to solve, not different than what we did in automotive.

You cannot put a server in a robot.

You need bettery life, you need a lot of integration as sensors and physical AI is a massive opportunity and it's an EDGAI opportunity.

So as we look at this transition of qualcom into a new industry, we went to automore, motive, to PC to industrial, UH to data center.

Now robotics this is the next opportunity.

We actually have a number of robots here at our booth at CS demonstrating training humanoids Industrial.

I think we started UH the year working with some of you know, great companies German Kouka, Figure AI, and I think it's going to be a great opportunity and robotics it's perfect for you to have high performance computing and low power connectivity is an edge AI problem and I think it's going to be the next big wave of AI physical AI.

How soon is that reality?

Already we have robots in manufacturing and industrials, but how soon is it fully autonomous robots?

How soon do we start to have the humanoid versions in our houses.

Look the way we think about this is things that you didn't find were possible to do with a robot, you can do it.

Right now, use an AI.

I think industrial robot is the big largest opportunity that we see in front of us, and it's probably starting as early as twenty twenty six.

When you train use AI to train a robot on one given task, it's it's a very well defined problem, and you can do this and you put into production consumer robot, the one that is going to be in your house and do everything for you.

It's gonna take a little bit of time, but it's going to happen and it's going to be a big opportunity.

I like to do this parallel that we saw with automotive when we start talking about autonomous cars, a lot of companies went in and said, we're just going to get this full autonomo robotax in, but until you get there, you can do assist the driving to every car on the road, assuming that the driver is there to pick it up.

And we've seen in ads level two, level three highway highway autopilot that's.

What we're doing.

I think the same parallel applies to robotics.

First, you have a lot of enterprise in the industrial applications.

We see companies form when retail at night robot go to the aisles of the supermarket and restuck the shelves.

Something very simple.

That opportunity is happening right now.

Over time, we're gonna have the domestic robots that would do.

Everything for you.

Carl Concio, Cristiano, I'm on there trying to be a little bit more realistic about how soon we're gonna have humanoid robots in our homes.

But robotics is one of the key themes that everywhere here in ces right now book.

Sam Kelly should have been tracking them on the shop floor should we call it in the time, I mean everywhere you look as a humanoid, is that your vibe?

And is everyone taking that form factor?

Yeah, it's so funny.

Yesterday I was walking around.

I saw one playing ping pong, one.

Made me a latte.

There was a chess robot, you know, and some of them were on the enterprise side too, showing what it could be like.

On the assembly line.

But yeah, humanoids in particular are really big.

This year we saw during a Quino, LG had its Cloyd robot come out folding laundry.

Lots of laundry folding robots as well, and I think it shows one thing that's really interesting is before a lot of these were in controlled experiments.

Of course that's still happening, but companies are now coming out doing more live demos, which shows a little bit more confidence, a lot of growth.

Also, we've seen some challenges around hand finger movements.

Legs is another challenge.

So certainly challenges.

Ahead, dexterity.

I mean, when we were speaking to Jensen Wong, you say, you know he labels this the chat GPT moment for robotics, right, but there are still challenges.

Oh yeah, Is there.

Any acknowledgement here on the showroom floor that we aren't going to see these robots in our homes tomorrow?

Yeah?

I mean I think we can see that just by sometimes looking at a demo and it might take a while, or even with LG the robot was doing the laundry, but it took a long time.

It was a little painfully slow.

So we're certainly not there yet.

And also just to have it in the home, you have cluttered homes.

Homes are unpredictable.

You have to be really careful, especially with humanoids with legs.

You don't want them falling.

So we are certainly very this is not happening anytime too soon, And.

That's what this is about.

This is about pushing forward the innovations, thinking what's coming in the next decade, maybe not the next ten months, but some What are you seeing in terms of health and wellness?

Because I'm hearing a lot about robots, perhaps therefore mental health, full caring for the elderlady, but you'll see a lot of other areas what health and wellness.

Is, Yeah, exactly different form factors.

So we're all familiar with the smart watches and the smart rings, of course, but now yesterday I saw a toothbrush that predicts signs of longevity, whether you might be more likely to get a certain type of disease or kidney issues from a toothbrush because of saliva is actually a little bit more of a predictor than just like the skin.

Yes, so the different form factors like that.

I saw a longevity mirror that analyzed my blood flow to predict maybe perhaps signs of either hypertension down the line or other heart health things like that.

Also a smart night guard, so people who grind their teeth at night.

In addition, it'll like nudge you so you step doing that.

But it also again with the saliva you're sleep and it'll predict issues long term issues with your health, but also it'll tell you how well you're sleeping, sleep tracking, sleep apnea, things like that.

So different types of health is coming into different form factors.

That's super quick.

You've been to many cees.

Yeah, the vibe relative to prior.

Years, Yeah, it feels like exciting, you know, to the point of like a chat GBT moment.

People are really excited to be here and show off different new things.

And I think there's you know, who knows what you know, this is a testing ground.

Who knows what really is going to happen, But there's definitely a level of excitement.

You're trying to check out what Sund's been writing about on Bloomberg dot com write character.

Yeah, you're going to have a big conversation later.

It's all going to be about health wellness, AURA and particularly about what well how this goes in sync with the FDA.

Right when you think about help Tom Hale or a CEO the ring wearable.

I'm not an AURA awarer, but you know right now they have a lot of questions about how they go beyond, particularly a female user base.

To come Bluemosum Kelly, thank you.

Coming up, we've got a big conversation with Mobile Ized CEO and non Shahu after the acquisition of a robotics company, Mentee.

It is halftime.

We are in Las Vegas.

This is CS stay with us, this is Bloomberg Tech.

Welcome back to Bloomberg Tech, a very special edition live in Las Vegas for CES.

Let's take a look at these markets, because look, we are being ruled to this can extent by fresh geopolitical tension.

But not then as that one hundred we remain in gains up a quarter of a percentage point.

Yes, there's all eyes on Memory makers, Yes there's all eyes on Video and AMD post some of their announcements, but we want to put all our eyes on one particular stock right now.

Ed because Mobile I yesterday had a pretty key announcement a new deal, a deal to the tune of nine hundred million dollars combining cash mobilized shares to buy Menty Robotics, and the dealers expect to be closing the first quarter of twenty twenty six, we're still in gains up three times percent.

Were significantly off of our hives as the market digests what this deal really means.

We've got a perfect person.

I'm asking what it means.

I'm not Shashure has here with us Mobile I CEO is wonderful TOI some time with.

You, Sam, wonderful to be with your Carolina Ed.

Why is it right for you to go from autonomous driving into the world of robotics.

Well, Mobilize, an AI company in the field of autonomous driving driving, says the full spectrum of a computer vision and AI to control cars and humanoid robotics has been recognized in the past two or three years as a complementary domain and Mobiliz wants to it's not only another growth engine, but from a technological point of view, if you are an actor in this area of physical AI, you want to then extend it to the full scope of physical AI.

And I believe that robotics, humanoids, they have a great future.

Now maybe it's a long term plate that it's not, you know, a year from now, but I believe it has a significant, exciting future.

And from Mobilize, there's synergetic areas in infrastructure, in AI, in software, in AI talents.

So from Mobiliz, this is a great move.

I mean of course, in many ways, people say you think that because you helped found menty your son's work at MENTI help me get comfortable with that because many have thrown such accusations.

Elon must sway sometimes previous acquisitions and not liked it.

Well, it's called the related party transaction.

Has been done in the past and will be done in the future, and there are ways to handle it, like being recused from decision, which I did and so forth.

And you know, my son has a zero point zero zero zero zero one percent is just an employee, so it's not a big deal.

You know, he graduated from computer science and he wanted to do some work and go work for a company that is very very strong and AI working on the future of physical AI.

So it makes sense.

But you know that is really immaterial.

The material part is the scope of AI.

You know, physical AI includes humanoids, includes autonomous driving, and it makes a lot a lot of sense.

Now, Mobili over the years was always looking for a new growth engine, right for example, take computer vision and applied maybe to security areas in cameras and so forth, But we never found something that really clicked, found something that has significant modes, that has a significant teram and humanoids is becoming that click is becoming this area.

Where are you coming to growth?

You know, I've been talking for years about you know, mobilized existing footprint and then it's go to market in the future.

What's the go to market for mente?

Well, we said to go to market in two phases.

The first phase is structured environments like warehouses, assembly plants, retail where the number of tasks are finite are also understood in advance.

What are the tasks that the customer is interested.

A customer will buy a fleet of robots, not just one robot, and you can customize per customer that I think based on pocs that the mentee has been doing.

If you look at the demonstrations that have been showing like robots picking boxes, moving them from place to place.

You wouldessentially just sell the hardware.

A seller robot, either sell or Lisa robot.

We believe that the manufacturing costs in a reasonable volume of tens of thousands of robots would be twenty thousand dollars.

So this gives a lot of flexibility in a business model.

So this is phase one.

We believe it will start in twenty twenty eight.

Phase two is unstructured environments like home use that is much more complicated because the tasks are open ended.

You need to continuously learn.

So it's not that you can prepare yourself to all the possible tasks in a home home use, so you need new technology.

So it's not that the same technology you use for structured environments.

And this is one of the things that I showed in my keynote, a technology that Minty and this is why Minty is called Minty from mentory.

The robot is watching passively watching a human showing a new task, and.

The video goes up to the cloud.

In the cloud, there's a foundation model that takes the video, moves it into a simulator, trains over the simulator.

Today it's a few hours in the future, a few minutes goes back.

To the robot and the robots perform the test.

Let's go back to your core business and on this week in video showed us a full stack solution for autonomous driving.

You know, they make arguments that their software and hardware competencies will make them win your evaluation of what they're offering against what you plan to do.

Costs for a mile basis, how worried you are.

I'm not worried competition.

I believe it's always good.

It kind of ignites the market.

In my keynote, I had Christian Zenger, the CEO of Folkswagen Autonomously Cars, chairman of Moya, come to the stage and talk about one hundred thousand vehicles the next eight years, one hundred thousand robotaxes in the next eight years.

Talked about that we are almost there in removing the driver, going driver less in Q three.

Yeah, but are they using mobiliz Yeah, of course this is clad iron, claud this is a mobilize.

There are one hundred id bus vehicles in multiple locales.

All of them is mobilized.

Tack and we are really on the way of removing the driver and a very cost effective solution.

Our sensor set is, you know, ten thousand dollars twelve thousand dollars.

Compute is very very cost cost optimized.

Mobilized chips are one tenth of the cost of competing chips.

We developed our imaging radars which are the best on the planet, those imaging radars.

I feel very confident that we are on our way to a new growth engine.

With the Robotax your striking deals.

We understand as us all to make it that you struck a deal with the nine million cars for safety software.

Okay, US automaker.

There are three to four no pick one.

But I think that this nine million units is a big news because we are talking about the evolution of AIDAS.

So AIDAS today is a front facing camera.

Maybe you have a front facing radar.

This nine million units is called surround aidas.

You are taking a front facing camera, four parking cameras, multiple radars, a very strong value proposition to the customer, and it replaces multiple ECUs in the car.

It replaces the aco A parking a CEO.

Of aed driving monitoring system, hands free.

Driving on highways, safety functions for the next five years.

So this is the evolution of AIDAS, and it's high volume.

We have two customers in the past year, Volkswagen and this US customer nineteen million units.

This is big AI twenty one.

We're hearing that in Vidia, mister Fong is quite interested in another one of your companies.

He's here this week.

What can you tell us about how talks are going.

Did you manage to speak to Jensen while here?

You know the Israeli press is not as tight as the US press, So don't believe anything you read in the Israeli press media.

No that there are talks, are talks.

On Vidia, talks with others, but no, it's nothing even close to talking about it in the press.

How do you think Mobile I investors would feel about an acquisition of AI twenty one by and.

It has nothing to do or the I twenty one is working on foundation models and agents, has nothing to do with activity of Mobilize, activity of Minty Mobili is physical AI busy man by man man.

Yeah, the time here at the ces Las Vegas amnon Shashua Mobili CEO, thank you very much.

Coming up, we have a whole lot more we speak with the quick.

Play CEO Paul Pasta, as Warner Bros.

Says paramounts amended offer remains quote inadequate.

This is Bloomberg Tech.

Warner Bros.

Is rejected Paramounts Guidancewer's latest amended offer, calling the company's revised bid quote inadequate and urging shareholders to stay the course with Netflix.

Here discussed the state of media and streaming is Paul Pastor Quick Play Chief business Officer Paul also previously held senior executive positions the Discovery Communications and the Walt Disney Company.

There's a lot in the sort of structure of.

The deal that the Warner Brothers Discovery board points out.

A lot of it has to do with the debt load of the Paramount deal.

So there's something interesting in it that I wanted to pick out, which is, we don't agree how valuable table networks are.

So the street and the investors would say, actually, they're much more valuable than you're giving them credit for.

Paramount Skuydiance would say, in our thirty dollars share offer, we don't think they're valuable.

Therefore the thirty dollars a share offer is a great premium because we want the whole thing.

How do we value those networks?

Gusha was another great question.

I mean, it really is a difficulty to manage.

At this moment, we're talking about a really big shift in the ecosystem.

Right.

We've had these traditional channels around broadcast cable that have been almost cash cass for these businesses for a long time.

Then the shift of streaming and the ability to build those businesses with lower margins.

Right, but now we're seeing with price increases, advertising dollars moving in that it's actually a great value and now a huge shift into this creator economy and thinking about shormcom content, And then you have to evaluate those assets against those big shifts in the ecosystem.

They still have value, they still.

Spin off cash, They still can be the home for reach and advertising, but the real value has shifted the advertising dollars of did in.

A new direction.

Well, we're going to remind our audiences a state of play, because in a deal like this you get some fatigued.

But Netflix is basically saying we want the streaming business in the studios, will spin out the legacy networks, paramounts, guidance, wants the whole enchilada.

In your mind, which result would make most sense for the consumer, you know, and what they would actually use those platforms for sure?

Well, listen, I think that there's absolute value for the consumer and for the shareholders most certainly in a Netflix Warner Brothers combination.

Right, you have superior storytelling.

Capabilities coming from the HBO Max and the Warner Legacy and their entire library, coupled with what is superior tech.

Netflix has led the industry in personalization, in driving, new features right and algorithms.

That combination is certainly unique.

Now does that mean that's the best consumer I don't know.

Does the storytelling capabilities that are combined with Paramount coupled with Warner deliver more value into the ecosystem in general and for consumers overall who get great enjoyment out.

Of those stories.

That's a difficult equation to value.

But I can most certainly see there's value in the greatest tech and greatest storytellers coming together.

Well, perhaps that isn't value for for consumers.

Right now is three companies getting caught up in a lot of admin and fighting and regulatory discussions rather than focusing on the business and innovating.

How much is that a risk?

I think this is the biggest risk of any big transaction and M and A activity.

Right, the focus becomes how do these companies potentially come together?

Everybody internally thinks about what is my role in this transition?

And no one's focused on the fact that they're competing with an ecosystem that is evolving around them.

Right, we saw that social media platforms are taking over not only viewership but total ad dollars this year.

There is a huge shift into the creator economy.

And if you're just focused on how do we put these two companies together versus the competition that is outpacing you with tiktoking, YouTube and others, you're going to be further behind by the time you complete this transaction.

And we haven't even discussed AI yet.

And you think about the big deal that was announced between sous of Disney and open Ai at the tail end of last year, is that's my viewing experience is going to be like going forward?

When I turn on Disney Plus, what does it look like as a screen?

So I think this is going to be the biggest piece of innovation we see in twenty twenty six.

So AI for the last year has been about doing discreete projects.

How do I create a vertical video?

How do I think about leveraging it to help improve the algorithm.

But what we've really got to be focusing on today, right is how do we think about the entire ecosystem I'm playing in multiple universes?

What is that consumer experience?

Like I believe this year, instead of when you download the app and you hit a wall that says pay now, you'll see in the future people pushing short form content as a way to discover it's a way to engage consumers, a new way to engage a conversation.

That data from there begins to inform how I get.

A cold start?

So how do when I first go into that experience, how is it customized for me?

Right?

How do I ensure that I'm going to be able to retain that consumer?

Then all those interactions over time also become part of this greater ecosystem that says, now I know what to serve you, how to engage you, how to retain you, and how to reach you on other platforms.

And that's really when we.

Begin to think about the value of what AI can deliver when it's managed as an ecosystem.

We've talked a lot about chips and robots and consumer gadgets.

I think it would be really helpful to give your kind of media and entertainment.

Experience of what it's been like at CES.

Very conscious, a lot of the advertisers are here very conscious that actually the mode which you consume that content is on display.

What has it been like for you?

Yes, for us, as I scussed a little bit earlier, it used to be very discrete investments that we were seeing across the AI spectrum.

I think today people are thinking about how do I look at AI as foundational to the way I operate with my technology and with my consumers.

And that's the big shift I think in the mindset.

And now they're coming to us and looking for solutions at scale, at huge enterprise, across.

The multiple ecosystems.

That's been the big shift for us.

We probably should have done this at the start, which I apologize, but just what is quick play?

Yeah?

Yeah, give us the quick play some absolutely.

So We're at a company that basically builds out OTT services, so over the top television services, all the back end, everything from in jests of the time it ends up on your device, and where we have pivoted right is how to actually enable that through AI?

How do you leverage those AI tools to.

Ensure not only can I create short format a long form respond to social signals that are happening in the universe.

To be able to say, hey, there's a conversation happening around bad Bunny appearing on SNL, how do we participate in that conversation with our content to drive new engagement, to drive new retention strategies, to drive new acquisition strategies, but we're also thinking.

About that entire data fabric to create those experiences that are hyper personalized.

Well pastor great speaking with you quick play chief business officer on all things media and tech.

But coming up, we're going to bring you part of our conversation with a General Catalyst CEO comment to Nager and how he sees AI impacting the consumer experience.

That's next.

This is brettly BG Tech.

AI valuations tricky topic, so says General Capitalist CEO IM in Teenasia.

That's one way that he put it.

We sit down with him here at CES to discuss his views on AI valuations and whether it's all hype or not, and some potential ipeos on the line take listen.

Valuations are a tricky topic and I feel like they always provide me right wrong in hindsight.

But if you break down the kinds of companies that get funded today, there's a ton of dollars going into a handful of big research projects.

Yeah there the valuation.

Your guess is as good as mine.

It really is about you know, ownership, and that's enough to incentivize the teams because they're research projects.

You don't know when they're going to become businesses or if they're going to become businesses.

And then there's companies where they're real use cases applied AI use cases.

There the valuations sound extraordinary at the moment, but the progress happens so fast in some of these companies that they grow into it fast as well.

So I think it's a nuanced dynamic.

And what's What's the thing that is confusing for me A lot of times when I look at these companies that are growing, is not about are we pricing it right in the context of their revenue or their revenue growth, but much more.

About are they going to be around?

Are there models going to be smart enough to do a lot of what some of these companies are doing and just do it themselves, or are there applied to which applied the AI companies will be durable on top of the LLLM innovation that's going on.

Anthropic you're in that's durable.

Yes, yes, look first of all topics, you know, I have a lot of respect for Daria.

What is accomplished and a team there, it's durable.

They've built a great set of models, They've been very capital efficient, and the thing that's interesting is they also have an amazing set of use cases on top that are taking hold.

So it's not just the model.

Companies also applied AI right, Claude, it's really redefining the engineering department and just think about the size of that market.

You might use spend on tools and engineers to be able to build products, and you know, the amount of progress is like Silicon value companies now code self right for most of what they do.

I think it's a real transformation with clouds really enabled.

I know you're very passionate about, like the democratization of access to some of these companies.

Anthropic might go public?

Is that should it be going public sooner?

Should the next round be one that comes to the masses rather than perhaps going to let another venture or another crossover round where they remain private.

Yeah, look, I think the company has to decide that.

But do they have the size and scale to go public in the next twelve to eighteen months.

I think they certainly can.

I think there's going to be a variety factor they'll have to weigh to decide, you know, when they think it makes sense to be public, when they're predictable enough.

Because so much is changing in the market itself and the dynamics.

It's actually hard to credict growth.

When we invest in Anthropic, we model a certain amount of growth.

The company grew three times faster than that, so you know, we look good in hindsight.

But we thought we were just doing a reasonable and in my opinion, reasonably expensive pricing for that round and end up being you know, we would look look great at hindsight.

So it's hard to predict, you know, how these companies are going to scale for a little bit longer.

That was General Catalysts CEO him On Tenaga, Speaking of IPOs, Discord filed confidentially for an IPO, according to our sources, adding to a rapidly growing pipeline of bench capital backtech listings.

Carol, you broke the story with our mate Bailey Lipshaltz.

The details are important, right, Like Discord, it's a platform that I've used, But what do we.

Need to know here?

Yeah, because you're a gamer and it all started a decade ago, and it's really a gaming chat platform that's morphed into much more than That's got two hundred million users on average on a monthly basis.

They have an interesting executive leadership reshuffle of last year.

They've now got an Activision Blizzard alumni as the CEO of someone who worked at King, someone who can really steer the monetization part of the business now because ez Citra and the co found has gone over to the board level.

But this really does build this kind of fire feeling of IPO pipeline.

We've got motive waiting in the wings.

We understand there's plenty of others the smaller nature, but we're talking about anthropic, we're talking about maybe opening.

It's interesting.

They're like they have Goldman and JP Moore been working on it and we understand, right, but last year was better for IPOs in tech than twenty twenty four.

Was fifteen billion dollars was raised on US exchanges.

That was book four times the amount that was raised in twenty twenty four.

So can we still teck in to basically a higher valuation point inn s and P five hundred and nearer a record high.

People want to see these companies come, but we've got to work out what valuations they come at.

This is a company that raised in about fifteen billion in twenty twenty one.

Twenty twenty one was a very nice year for valuations and a lot of companies are having to swallow some think of Figma in many ways it managed to have a blockbus for IPO, but still it was always being marked.

Into previous run versus public right.

That does it for this edition of Bloomberg Tech Tomorrow, We've got so many other guests coming on ces.

Let's talk about them.

Kind adventures.

Joby Aviation is going to be joining us, and Jacob Helberg of course, a little bit of government perspective.

It's fun to be in Vegas.

Recap.

There is a lot to recap.

Do it on the pod.

You know where to find it.

We keep going.

This is Bloomberg Tech