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00:00CAROLINE: I'M CAROLINE HYDE I'M BLOOMBERG'S WORLD HEADQUARTERS IN NEW YORK. ED: AND I'M ED LUDLOW. THIS IS "BLOOMBERG TECHNOLOGY." CAROLINE: COMING UP, VIOLENT PROTESTS AT APPLE'S MAIN IPHONE PLANT IN CHINA. THE LATEST ON THE BLOOMBERG'S GROUP THAT COULD IMPACT SALES. ED: SAM BANKMAN-FRIED SAYS THE FTX PART WENT FROM $60 BILLION IN COLLATERAL TO $9 BILLION. MORE ON THAT AND HOW SBF GOT HIS START ON WALL STREET. CAROLINE: ELON MUSK IS HAVING SECOND THOUGHTS ABOUT THAT MODERATION COUNSEL AFTER SAYING ACTIVISTS BROKE THE DEAL. MORE ON THAT AND MUSK'S NEW TREND OF QUOTING HIMSELF. RISK ON, ANOTHER SECOND DAY OF TRADING IN THE GREEN, THE S & P UP. MASTEC UP ALMOST 1% -- NASDAQ UP ALMOST 1%. THE FEDERAL RESERVE GIVING LITTLE TIDBITS FROM WHAT WAS BEING DISCUSSED. THE KEY TAKEAWAY IS MOST OF THE PEOPLE AT THE FEDERAL RESERVE RIGHT NOW DON'T THINK WE SHOULD BE HIKING AT A PIECE OF 75 BASIS POINTS AND INTO INFINITY. THEY THINK WE WILL SLOW DOWN THE PACE, THEREFORE MAY BE A PEAK IN TERMS OF THIS RATE HIKE CYCLE, AND INDEED INFLATION. WE ARE SEEING RISKIER ASSETS LIKE BITCOIN GETTING A BID. CURRENTLY FLAT ON THE DAY. 16,473. NOTABLY, VOLUMES ARE VERY LOW ON BITCOIN. VOLUMES ARE THIN EVERYWHERE AS YOU HAVE A HOLIDAY SHORTENED WEEK. THREE-MONTH LOW FOR BITCOIN. WHAT ALSO IS AT A THREE-MONTH LOW, THE VIX, THE VOLATILITY INDEX, THE FEAR GAUGE. WE ARE SEEING MUTED VOLUMES AND MAYBE A BIT OF OVERALL LACK OF CONCERN THAT ISN'T EVIDENCED BY WHAT WE TALK ABOUT IN THE MEDIA. ED: I WANT TO GO STRAIGHT TO THE MARKETS AND A SCOOP ABOUT TIGER GLOBAL. ACCORDING TO SOURCES, TIGER HAS MARKED DOWN ITS PRIVATE INVESTMENTS 24% THIS YEAR. WE KNOW ABOUT WHAT HAS HAPPENED WITH VALUATIONS IN BOTH PRIVATE AND PUBLIC SPACE. YOU LOOK AT SOME OF THE NAMES, STRIPE, FTX, INSTACART, VALUATIONS HAVE COME DOWN. TIGER GLOBAL ACCORDING TO SOURCES FEELING THE IMPACT OF THAT ACROSS PRIVATE AND PUBLIC MARKETS, LOSING OR MARKING DOWN ASSETS BY ABOUT $42 BILLION. INCREDIBLE PERFORMING -- REPORTING FROM OUR BLOOMBERG TEAM. INTERESTING NEWS IN THE UNITED STATES. AUTODESK, WORST PERFORMER ON THE NASDAQ 100. WE WILL TALK TO THE CEO LATER IN THE SHOW. THEY CUT THEIR OUTLOOK FOR BILLINGS. COUPA JUMPING FOR THE MOST SINCE 2016, UP ALMOST 30%. ANOTHER BLOOMBERG SCOOP, VISTA EQUITY PARTNERS IS IN TALKS TO ACQUIRE THE SOFTWARE NAME. TESLA REBOUNDING, ALMOST 8% HIGHER AFTER ONGOING DECLINES IN THAT STOCK. A NUMBER OF NAMES IN THE MARKET SAYING THIS A LOT IN TESLA WAS OVERDONE, INCLUDING MORGAN STANLEY. APPLE CLOSING UP 6/10 OF 1%. PROTESTS AT THAT FACTORY IN CHINA, THE KEY PRODUCTION SITE FOR THE IPHONE 14. WE WILL GET INTO THAT STORY. CAROLINE: LET'S DO THAT RIGHT NOW. THE MAIN IPHONE MAKING PLANT IN CHINA, HUNDREDS OF WORKERS CLASHING WITH SECURITY PERSONNEL AFTER MOST A MONTH UNDER TOUGH COVID RESTRICTIONS. BLOOMBERG'S IAN KING IS HERE FOR DETAILS. YOU FOLLOW FOXCONN IN PARTICULAR. WHAT SORT OF IMPACT DOES THIS HAVE ON THE OUTPUT AND PRODUCTION, AS WELL AS THE PEOPLE? IAN: FROM AN APPLE PERSPECTIVE THIS IS NOT SURPRISING GIVEN WE HAVE SEEN INCREASING PRESSURE IN CHINA, PEOPLE ESSENTIALLY BEGIN OF THESE COVID LOCKDOWNS. FOR APPLE THIS IS SURPRISING, BUT IT'S KIND OF WORRYING THAT THIS IS AN ESCALATION WE ARE SEEING SOME FORM OF PROTEST, AN OPEN RESISTANCE TO THESE LAWS. IF YOU TAKE FOXCONN'S WORD FOR IT, EVERYTHING IS OK, IT WAS JUST A DISPUTE AND WE WILL DEAL WITH IT AND THE CONTRACT FRAMEWORK WILL BE FINE. BUT IN THE OVERALL CONTEXT OF WHAT IS HAPPENING IN CHINA, THE VIDEOS THAT OUR COLLEAGUES WERE ABLE TO GET A HOLD OF ARE VERY WORRYING. ED: YOU COVER A BROAD RANGE OF TECHNOLOGIES FOR US AT BLOOMBERG, PRINCIPALLY THE CHIP SECTOR, BUT SUPPLY CHAINS MORE BROADLY. THIS IS REALLY DIFFICULT FOR FOXCONN, BUT WHAT DOES IT MEAN BROADLY ABOUT U.S.-CHINA RELATIONS? TECHNOLOGY BASICALLY IS AT THE HEART OF THAT CONVERSATION, RIGHT? IAN: 100%. YOU HAVE AN ESCALATING TRADE DISPUTE BETWEEN THE WORLD'S TWO LARGEST ECONOMIES, AND WHAT IS BEING USED BY THE U.S. AS ITS CHIEF TOOL TO HOLD CHINA BACK IS TECHNOLOGY, SEMI CONDUCTORS IN PARTICULAR. YOU HAVE THIS ESCALATING DISPUTE, BUT AT THE SAME TIME THAT PART OF CHINA IS AN ABSOLUTELY CRUCIAL PART OF THIS DIVERSE, WONDERFUL, CALL IT WHAT YOU LIKE COMPLICATED SUPPLY CHAIN THAT SPANS THE GLOBE. SO MUCH OF THE WORLD'S ELECTRONICS ECONOMY GOES THROUGH THAT PART OF THE WORLD. IF WE CAN'T RELY UPON THAT, IF THERE WILL BE INCREASING DIFFICULTIES OF DOING BUSINESS THERE, THERE HAVE TO BE CHANGES. THOSE CHANGES FOR INVESTORS MEAN INITIALLY A LOT OF TIME TO RELOCATE SOME OF THOSE FACTORIES AND EXPERTISE THAT EXISTS THERE. CAROLINE: ONE TO WATCH THE MATTER WHO YOU ARE FROM A PERSONAL AND INVESTOR PERSPECTIVE. IAN KING, THANK YOU FOR TAKING TIME. LET'S GET THE INVESTOR PERSPECTIVE. THE FOUNDER OF THREADED NEEDLE VENTURES IS WITH US, AN INVESTOR IN AMAZON AND DISNEY AND META. LET'S JUST TALK FIRST AND FOREMOST ABOUT THE APPLE CONVERSATION. HOW WORRYING IS THIS VIOLENCE, ONE YOU ALREADY BRACED YOURSELF FOR PERHAPS? > > THE REASON I FIND IT WORRYING IS THIS IS ONE WE KNOW ABOUT. WHICH ARE THE ONES WE DON'T KNOW ABOUT? AS WE LOOK AHEAD TO THE END OF THIS YEAR, TENTATIVE INTO THE HOLIDAY SEASON, IF MORE OF THIS IS HAPPENING IN CHINA THAT WE ARE NOT AWARE OF, THAT MEANS WE WILL GET MORE BAD NEWS ON SUPPLY CHAINS. THAT IS WHAT WE ARE LOOKING OUT FOR IN THE PUBLIC MARKETS. ED: WHY ARE WE CONCERNED ABOUT THE REGION? IT COMES FOR FOUR OUT OF FIVE I-4 -- IPHONE 14 PRO HANDSETS. ARE YOU WORRIED? THIS IS A STOCK THAT HAS FARED BETTER THAN THE S & P 500, BUT IT IS STILL DOWN. THERE ARE A LOT OF VOICES IN THE MARKET SAYING, I'M NOT SURE HOW IMPACTFUL THIS WILL BE. ANN: YOU HEARD FROM IAN THE IMPORTANCE OF THAT PART OF THE WORLD IN TERMS OF THE CONCENTRATION OF CHIP MANUFACTURING AND CONSUMER ELECTRONICS MANUFACTURING. IN TERMS OF THE APPLE STORY, THE MUCH BIGGER ONE HAS BEEN AROUND GLOBAL DEMAND. IT'S GOING TO BE PAR FOR THE COURSE FOR A LITTLE BIT LONGER. THE BIG UNCERTAINTY IS HOW IS CONSUMER SENTIMENT AND DEBT START TO DAMPEN EXPENDITURE ON DISCRETIONARY ITEMS SUCH AS THE IPHONE? WHEN WILL DISPOSABLE INCOMES START COMING UP AGAIN? THAT IS THE BIG DRIVER FOR THE APPLE STORY. CAROLINE: YOU DO HAVE A WIDE ARRAY OF INVESTMENTS AND INDEED AREAS YOU WOULD LIKE TO FOCUS ON, RETAIL FIRST AND FOREMOST. TALK ABOUT HOW EVERY PRODUCT WILL SELL AND THE NEXT FEW DAYS. WHAT IS THE CONSUMER LOOKING LIKE TO YOU. ANN: THIS IS NOT THE FIRST TIME. WE SAW THIS IN 2008 AND 2009. WHENEVER THIS KIND OF DYNAMIC CAME ABOUT, WE WOULD LOOK TO TRY TO FIND TWO AREAS OF RETAIL TO FOCUS ON. HIRING CONSUMERS TEND -- HIGHER INCOME CONSUMERS TEND TO DO FINE, IT IS THE LOWER INCOME HOUSEHOLDS THAT STRUGGLE. I'M SURE SOME OF THE BEST BUY NEWS THAT WE SAW WHERE PEOPLE ARE BARGAIN-HUNTING, THAT IS YOUR HIGHER INCOME CONSUMER TRYING TO FIND GREAT DEALS RIGHT NOW. YOUR STRUGGLING HOUSEHOLD HAS BEEN HIT THE HARDEST BY INFLATION AND ENERGY PRICES. I THINK WE WILL SEE EVERYONE IS GOING THERE. WE WILL SEE LUXURY HOLD UP WHEN IT COMES TO GIFTING AND SPECIAL HOLIDAY SEASON EXPENDITURES. CAROLINE: IT IS REALLY BIFURCATED. IT IS PAINFUL. THE SAME PEOPLE SEEM TO GET HURT AND THE SAME PEOPLE SEEM TO WIN. DO THE SAME PLAYERS WIN? AMAZON HAS BECOME SO LARGE IN EVERY PART OF OUR LIVES IN THE WAY WE CONSUME, THE VISUALS, THE WAY WE SPEND, ARE THEY GOING TO DO WILL NAVIGATING THIS ENVIRONMENT? ANN: WHAT I LOVE ABOUT AMAZON, I THINK AMAZON BECOMES ITS MOST INNOVATIVE AND CREATIVE, ITS GUTSY IS IN THESE ENVIRONMENTS -- GUTSIEST IN THESE ENVIRONMENTS. THEY HAVE BEEN TRYING TO PUSH INTO HEALTH CARE. THEY HAVE BEEN LOOKING AT WAYS TO INTEGRATE PHARMA INTO THEIR PRIME SERVICES. THIS IS WHERE YOU SEE AMAZON STEPPING BACK AND SAY, I WILL ALLOCATE MY CAPITAL? IT WILL NOT BE ON CONSUMER STUFF, IT WILL BE IN SERVICES LIKE HEALTH CARE. THOSE PIVOTS ARE THE YOUNGEST INDICATOR FOR WHERE THEY WILL SEE LONGER-TERM INVESTMENT TRENDS. ED: ANOTHER HUGE STORY OF THE WEEK, DISNEY. BOB IGER BACK, BOB J PECK OUT -- BOB CHAPEK OUT. YOUR REACTION AS AN INVESTOR IN THAT COMPANY. ANN: I TAKE THAT BACK FOR GOOD, THE JUMP BACK WHEN I SAW THAT ANNOUNCEMENT. IT IS GOOD TO HAVE A SAFE PAIR OF HANDS BACK IN THE SADDLE. WHEN YOU LOOK AT WHAT HAS HAPPENED OVER THE LAST SIX TO NINE MONTHS, WHETHER IT IS PRIVATE COMPANIES OR PUBLIC ONES, THE BUSINESSES THAT HAVE HAD BAD NEWS, WHETHER IT IS ATTRITION SUBSCRIPTION IN NETFLIX, WHETHER IT HAS BEEN SNAP FOR EXAMPLE WHERE WE SEE A NUMBER OF USERS DOWN. LET'S USE THAT WORD, BIFURCATION. THE ONES THAT HAVE COME OUT WITH A PLAN HAVE BEEN REPORTED. NETFLIX, WE DON'T KNOW IF IT WILL WORK OUT BUT THEY HAVE BEEN REPORTED. SNAP HAS BEEN ABSOLUTELY PUNISHED. DISNEY TO ME WILL BE SOMEWHERE IN THE MIDDLE. WE HAVE A TRUSTED SAFE PAIR OF HANDS BACK IN THE CEO SEAT, BUT WE NEED TO HEAR THE PLAN. UNTIL WE HEAR THE PLAN, I THINK WE WILL HAVE UNCERTAINTY AROUND DISNEY. AT THE MOMENT I'M PLEASED, BUT WANT TO HEAR THE DETAILS. ED: VERY QUICKLY BEFORE YOU GO, GIVE US THE ANN 2023 OUTLOOK. ANN: I WISH I WERE THE BEARER OF BRILLIANT NEWS INTO THE THANKSGIVING SEASON, BUT I AM MORE BEARISH THAN SOME. WE ARE RIDING THE BUBBLE OF OPTIMISM THAT THE FED WILL START SLOWING DOWN ON RATE HIKES. THIS ISSUE OF HOW MUCH THE CONSUMER IS SUFFERING NOT JUST IN THE U.S., ALSO IN EUROPE -- I DON'T THINK WE TALK ENOUGH ABOUT EUROPE AND THE U.S., AND THE IMPACT, I THINK WE WILL SEE THAT FILTERING THROUGH IN 2023. I'M LOOKING AT SAFER STORIES RIGHT NOW, MUCH LESS THIS CAUTIONARY SPENDING, ALL SORTS OF INVESTMENTS, PARTICULARLY ON THE PRIVATE SIDE FOR LONGER-TERM PLACE. ED: ANN BERRY, THANK YOU. COMING UP, WE BRING YOU THE LATEST IN THE FTX DEBACLE AND SAM BANKMAN-FRIED'S APOLOGY. THAT IS NEXT. THIS IS BLOOMBERG. CAROLINE: STILL THE STORY OF THE WEEK, OF THE YEAR, LET'S CONTINUE TO DIVE DEEPER INTO WHAT REPELLED THE FALL OF CRYPTO EXCHANGE FTX. THE FOUNDER SAM BANKMAN-FRIED APOLOGIZING FOR THE FAILURE. MORE ON WHAT WE HAVE LEARNED FROM THE BANKRUPTCY HEARING AND HIS OWN BACKGROUND. WHAT DID YOU MAKE OF ANY APOLOGY? > > TIM BANKMAN-FRIED APOLOGIZED -- SAM BANKMAN-FRIED APOLOGIZED IN A LETTER TO THE EXCHANGE'S EMPLOYEES. HE SAID HE WISHES THEY DID NOT END UP IN THIS PLACE, THAT HE'S SORRY FOR WHAT WENT WRONG. IT IS UP TO THOSE EMPLOYEES THAT EXPERIENCED DRAMATIC FALLOUT FROM THIS IMPLOSION TO DECIDE WHETHER THAT IS ENOUGH OF AN APOLOGY FOR THEM. HE IS STILL SPEAKING OUT ABOUT WHAT HAPPENED AND GIVING HIS SIDE OF THE STORY. ED: IF YOU ARE NEW TO THIS STORY, I HAVE SOME SOME OF THE BECAUSE EACH DAY A NEW NAME COMES UP. THE LATEST NAME IS JANE STREET. CAN YOU EXPLAIN TO THE AUDIENCE THE RELATIONSHIP BETWEEN SAM BANKMAN-FRIED, FTX AND JANE STREET? ANNIE: THERE ARE A LOT OF PLAYERS TO KEEP TRACK OF. SAM BANKMAN-FRIED RAN FTX, THE NOW BANKRUPT CRYPTO EXCHANGE, ONCE THE SECOND LARGEST RIPPED OF EXCHANGE IN THE WORLD. BEFORE THIS DRAMATIC DOWNFALL, HE WORKED AT A WALL STREET TRADING FIRM CALLED JANE STREET. JANE STREET IS REALLY KNOWN FOR ITS OBSESSIVE FOCUS ON RISK. IT'S A VERY SUCCESSFUL TRADING FIRM. HIS BACKGROUND AT JANE STREET IS PART OF WHAT GOT HIM TO THE LEVEL HE GOT TO, PART OF WHAT HELPED HIM IMPRESS VC INVESTORS AND PEOPLE IN TRADITIONAL WALL STREET AND CRYPTO. JANE STREET IS KNOWN FOR ATTRACTING VERY HIGH IQ MATH NERDS. IT IS KNOWN FOR ITS LOVE OF PUZZLES AND GAMES, JUST FOR ITS SUCCESS, BUT IT IS A STEALTHY FIRM. IN OUR STORY WE POINTED OUT TODAY THAT FTX DOES NOT SEEM TO HAVE BROUGHT TO BEAR JANE STREET'S FOCUS ON RISK TO ITS OWN ENTERPRISE, TO SAY THE LEAST. CAROLINE: EXACTLY. THE FACT THAT OVER AND JANE STREET THEY PERMANENTLY WERE TRYING TO LEARN FROM PREVIOUS MISTAKES, TRYING TO KEEP ON INNOVATING AND LOOKING AT RISKS. HE SEEMS TO HAVE DONE BASICALLY THE OPPOSITE. MANY WOULD BLAME BECAUSE OF THE STRATOSPHERIC WAY IN WHICH THE COMPANY GREW, MESSY ACCOUNTING, WHATEVER THEY WANT TO BE DIVU LGING. THE BRIDGE HE BUILT BETWEEN CRYPTO AND TRADITIONAL REGULATORS, HOW MUCH HAS THAT BEEN UNDERCUT? ANNIE: HE HAD THIS BACKGROUND FROM A TRADITIONAL WALL STREET FIRM, JANE STREET IS AN ENORMOUS PLAYER IN ETF'S. JANE STREET IS WELL-KNOWN AND VERY WELL RESPECTED. HE BROUGHT THIS PEDIGREE TO THE WORLD OF CRYPTO AND IT HELPED INGRATIATE AND HELPED MAKE OTHER INVESTORS FEEL COMFORTABLE WITH HIM AND HELPED HIM IMPRESS THE REST OF THE TRADING WORLD. WHAT HAPPENED THAT FTX BOGGLED THE MINDS OF THOSE VC INVESTORS END OF CRYPTO AS WELL -- AND OF CRYPTO AS WELL, THE WAY IT UNRAVELED SO RAPIDLY,A -- AND THE DEEPLY INTERTWINED TIES BETWEEN HIS TRADING FIRM AND HEDGE FUND AND FTX. IT HAS SHOCKED EVERYONE IN ALL OF THOSE SPHERES. ED: TERRIFIC REPORTING FROM BLOOMBERG'S ANNIE MASSA. WE WILL BE JOINED BY AUTODESK'S CEO ABOUT HOW THE COMPANY IS NEVER GETTING UP THE CHALLENGING MACROENVIRONMENT RIGHT NOW. THIS IS BLOOMBERG. ED: AUTODESK SLUMPED BY AS MUCH AS 10% ON ONE BEFORE BEARING LOSSES. IT WAS THE WORST PERFORMING STOCK ON THE NASDAQ 100. THIS AFTER IT CUT ITS FOR YOUR BILLINGS OUTLOOK. ANALYSTS SAY DEMAND FOR MULTIYEAR CONTRACTS FELL AS CUSTOMERS PREFERRED ONE-YEAR CONTRACTS. THEY WANT TO MOVE TO ANNUAL RENEWALS. IT IS ALSO THE CHALLENGING MACROENVIRONMENT. AUTODESK'S CEO IS HERE WITH US. THE QUESTION AT THIS POINT IS WHY? WHY ARE CUSTOMERS BEHAVING IN THIS WAY. WHAT ARE YOU LEARNING FROM YOUR EARNINGS REPORT? ANDREW: THE BUSINESS IS HIGHLY RESILIENT, HIGHLY DIVERSE. WE ARE SEEING A LOT OF GREAT OUTCOMES OUTSIDE OF CHINA AND RUSSIA, BUT ALSO SEEING SENSITIVITY TO CURRENCY FLUCTUATIONS. WE SEE THAT MOVING FORWARD. WE ARE ALSO SEEING SOFTNESS IN EUROPE. ONE OF THE THINGS WE ARE TRYING TO DO IS WE ARE MOVING OUR CUSTOMERS AWAY FROM PAYING UPFRONT FOR MULTIYEAR CONTRACTS TO CONTRACTS THAT ARE BILLED ANNUALLY. WHEN YOU ARE ENTERING A PERIOD OF UNCERTAINTY, PEOPLE START TO CONSERVE CASH. THAT IS WHAT YOU SAW WITH BILLING GUIDANCE. A LOT OF THE REACTION IN THE STOCK IS NOT WHAT WE WERE TALKING ABOUT IN THE NEXT QUARTER, IT IS THE SIGNS WE ARE PROJECTING FOR NEXT YEAR. CAROLINE: MANY ANALYSTS TALKING ABOUT YOU ARE VERY OPTIMISTIC BACK IN 2020, ALMOST PERHAPS TOO OPTIMISTIC, SETTING YOURSELF GRAND TARGETS AND DUE TO MACRO OR MICRO YOU ARE HAVING TO PARE BACK FROM. HOW HARD IS THIS ENVIRONMENT TO FORECAST OUT FURTHER THAN THE NEXT YEAR? ANDREW: WE WERE OPTIMISTIC BEFORE THE PANDEMIC HIT. WE PERFORMED INCREDIBLY WELL THROUGH THE ENTIRE PANDEMIC. WHAT IS MAKING IT HARD RIGHT NOW IS THE UNPRECEDENTED VOLATILITY WE ARE SEEING IN CURRENCY EXCHANGE RATES. WE SIGNALED NEXT YEAR THERE IS PROBABLY A FIVE POINT HEADWIND ON OUR REPORTED REVENUE JUST FROM CURRENCY HEADWINDS. THE UNCERTAINTY EUROPE, ONE OF YOUR EARLIER SPEAKERS SPOKE THAT EUROPE IS NOT GETTING ENOUGH AIRTIME. I TEND TO AGREE WITH THAT. WE ARE ABOUT TO HEAD INTO THE RUSSIAN WINTER THERE. THAT COULD INJECT MORE VOLATILITY AND CONCERN INTO AND MARKETS AS WE MOVE FORWARD -- END MARKETS AS WE MOVE FORWARD. IT PAYS TO BE CAUTIOUS AS WE HEAD INTO NEXT YEAR. CURRENCY FLUCTUATIONS MAKE IT VERY HARD TO KNOW WHERE THINGS ARE GOING TO GO. ALSO CONCERNS WITH REGARDS TO ENERGY COSTS IN EUROPE ARE AFFECTING SOME OF OUR BIGGEST CUSTOMERS. CAROLINE: TALK FUNDAMENTALS HERE. ALMOST AN FX CONVERSION IS IN SOME WAYS TECHNICAL, BUT HOW BLEAK DOES THE ECONOMIC OUTLOOK LOOK IN EUROPE, OR DO YOU HAVE TO PIVOT AND LOOK AT THE COSTS OVER THERE AND HOW YOU WOULD PENETRATE EUROPE MORE BROADLY? ANDREW: ABSOLUTELY NOT. FX IS A TECHNICAL THING. CURRENCY-WISE, OUR BUSINESS LOOKS A LOT STRONGER. EUROPE CONTINUED TO GROW, AND JUST SLOWED. IT IS IMPORTANT TO RECOGNIZE THAT EUROPE WILL CONTINUE TO SLOW, BUT HERE IS WHAT IS IMPORTANT. THE CUSTOMERS USING OUR PRODUCTS ARE WORKING ON CRITICAL PARTS OF THE ECONOMY, BUILDINGS, INFRASTRUCTURE, MANUFACTURING. THEY NEED THESE PRODUCTS TO COMPLETE WHAT THEY ARE DOING. IN TOUGH TIMES, THEY INVEST IN GREATER DIGITIZATION. WE WANT TO PARTNER WITH OUR EUROPEAN, AMERICAN, ASIAN CUSTOMERS TO HELP THEM DIGITIZE MORE EFFECTIVELY IN A WORLD WHERE THEY ARE TELLING US THEY HAVE CAPACITY PROBLEMS. LABOR SHORTAGES, MATERIAL ASSET SORTED IS -- ASSET SHORTAGES. THAT IS WHAT WE HAVE TO PAY ATTENTION TO FOR THE LONG-TERM. ED: REMIND THE AUDIENCE WHAT AUTODESK DOES. YOU MAKE SOFTWARE FOR ARCHITECTS, BIG CONSTRUCTION PROJECTS THAT HELPS WITH DESIGN. I KNOW YOU WANT TO MOVE INTO OTHER AREAS. THAT LEADS ME TO M & A. I KNOW THERE IS CHATTER IN THE MARKET ABOUT PRIVATE NAMES. HAVE YOU TRIED TO BUY A NAME LIK E THAT? ANDREW: WE NEVER COMMENT PUBLICLY ON M & A. BUT WE HAVE ALWAYS BEEN AN INQUISITIVE COMPANY. WE ARE SUPER INTERESTED IN GROWING ADJACENT AROUND OUR BUSINESS. WE FULLY WANT TO CONNECT DESIGN IN THE CLOUD. WE WANT TO LEAN INTO WHERE THE MARKET IS GOING IN THE FUTURE. LOOK FOR US TO CONTINUE TO BE INQUISITIVE. VALUATIONS HAVE RESET QUITE A BIT THIS YEAR, SO WE WERE LESS INQUISITIVE THAN USUAL YEARS. LOOK FOR US TO GET BACK TO OUR NORMAL LEVELS OF INQUISITIVENESS AS WE MOVE FORWARD. ED: ANOTHER BIG STORY THIS WEEK, HP CUTTING UP TO 6000 JOBS OVER THE NEXT THREE YEARS. THAT IS ON THE HARDWARE SIDE. IN TERMS OF FINANCIAL DISCIPLINE AND REACTING TO THE MACRO PICTURE, WHAT DISCIPLINE MEASURES ARE YOU TAKING? ANDREW: THE GOOD NEWS IS WE HAVE BEEN DISCIPLINED THROUGH THIS ENTIRE CYCLE. WE NEVER TRIED -- WE TRIED TO INVEST STRATEGICALLY. WE HAVE TAKEN ADJUSTMENTS AS WE WENT ALONG. WE FOUND OURSELVES BUILDING UP HEAD COUNT WHERE WE SHOULDN'T, WE ADJUSTED. WE HAVE ALWAYS DONE SMALL ADJUSTMENTS. WE FEEL WE ARE IN A GOOD PLACE WHERE WE CAN MOVE FORWARD. WE WILL CONTINUE TO INVEST. ED: AUTODESK CEO ANDREW ANAGNOST . A REAL PLEASURE TO HAVE YOU WITH US. ANDREW: THANK YOU FOR HAVING ME. ED: ELON MUSK IS QUOTING HIMSELF THROUGH HIS TOUGH TESLA DAYS TO JUSTIFY HIS CURRENT TWITTER STRATEGY. WE WILL TALK ABOUT THAT NEXT. THIS IS BLOOMBERG. ♪ CAROLINE: WELCOME BACK TO "BLOOMBERG TECHNOLOGY." I'M CAROLINE HYDE IN NEW YORK. ED LUDLOW IS IN SAN FRANCISCO. ELON MUSK PULLING OUT ANOTHER RABBIT IN THE HAT IN TERMS OF THE TWITTER SAGA. WHAT IS HE DOING NOW? ED: EVERYTHING HE TALKED ABOUT HAS BEEN SO FOCUSED ON THE COMPANY, BUT WHAT ABOUT THE PLATFORM? HE TWEETS ON WEDNESDAY, THE DAY BEFORE THANKSGIVING, THAT ACTIVISTS THAT HE APPEARS TO HAVE HAD AN AGREEMENT WITH HAVE RENEGED ON THAT DEAL, WHICH WAS PART OF HIS REASONING FOR FORMING A MODERATION COUNCIL. GO BACK A FEW WEEKS. HE TALKS ABOUT THIS MODERATION COUNCIL BEING A WIDE AND DIVERSE RANGE OF FORCES THAT WOULD MAKE CONTENT MODERATION AND POLICY DECISIONS. THE REASON I BRING THAT UP IS KEY THINGS HAVE HAPPENED IN RECENT DAYS. YOU THINK ABOUT THE ACTIONS THAT HAVE BEEN TAKEN. HE SAID HE WOULD NOT REINSTATE PRESIDENT TRUMP'S TWITTER ACCOUNT WITHOUT BEING INFORMED BY HIS MODERATION COUNCIL. NOVEMBER 18, HE TWEETS THE POLL. THE MAJORITY OF RESPONDENTS VOTE IN FAVOR OF REINSTATING TRUMP, SO ON THE 19TH HE DOES -- THE 19TH HE DOES REINSTATE TRUMP, THOUGH TRUMP SAYS HE'S STICKING WITH TRUTH SOCIAL. FAST FORWARD TO PRESENT DAY, HE TWEETS. WHAT IS NOT CLEAR, DOES THAT MEAN THAT MUSK IS DONE WITH THE MODERATION COUNCIL, OR DOES IT MEAN AT HAS BEEN UNDERMINED BY WHAT MUSK CALLS ACTIVISTS? WE DON'T KNOW WHO THESE ACTIVISTS ARE SPECIFICALLY, BUT NOW WHAT WE ARE STARTING TO SEE IS PLATFORM DECISIONS, NOT COMPANY DECISIONS, BUT THEY IMPACT YOUR AND MY ABILITY TO USE THE BUTTER PLATFORM. -- THE PLATFORM. CAROLINE: LET'S TALK ABOUT HE USES THE PLATFORM HIMSELF. IT'S TAKING A LOT, ELON MUSK, HE WOULD SEEM, OF HIS OWN ADVICE. IN A LATEST COLUMN BY OUR BUSINESS WEEK FRIEND, HE WRITES THAT THE NEW TWITTER CEO IS IMPRESSED BY POINTS THAT HE HIMSELF ONCE MADE PREVIOUSLY AS THE TESLA CEO, WHICH HE STILL IS. IT IS AN AMUSING ARTICLE. YOUR PARKING -- YOU ARE POKING AT SOME THING THAT IS VERY REAL, THAT HE KEEPS GETTING THIS SENSE OF SELF-INFLATION BY THE WISDOM HE'S GIVEN IN PREVIOUS YEARS. > > IN THE ARTICLE I FOCUSED ON A FUNNY PHENOMENON THAT ANYONE WHO FOLLOWS ELON MUSK WILL RECOGNIZE, WHICH IS THERE ARE THESE FAN ACCOUNTS THAT DO NOTHING ESSENTIALLY BUT TWEET QUOTES FROM ELON MUSK, AND MUSK HAS A TENDENCY TO RESPOND TO THOSE IN THE AFFIRMATIVE. HE WILL SEE SOMETHING HE IS ALL RESET AND RESPOND, EXACTLY, OR GREAT POINT, OR WHATEVER, WHICH IS PRETTY FUNNY AS A BEHAVIOR. MAYBE HE'S DOING IT AND PART AS YET ANOTHER TROLL. -- AS PART OF ANOTHER TROLL. HE BORROWED A VERY LARGE SUM OF MONEY. SO MANY OF THE DECISIONS ARE COMING DOWN TO THE WHIMS OF ELON MUSK, WHERE HE'S DECIDING WHETHER TO BAN OR ON BAN PEOPLE -- UNBAN PEOPLE BASED ON HOW HE'S FEELING AT THE MOMENT. WE ARE ALSO SEEING A SITUATION WHERE THE CIRCLE OF ADVISORS SEEMS TO BE VERY SMALL AND SEEMS TO MOSTLY CONSIST OF PEOPLE WHO ARE TELLING HIM WHAT HE WANTS TO HEAR. WHEN YOU BACK AWAY FROM TWITTER, YOU SEE THAT ELON MUSK IS ALSO RUNNING A LARGE ELECTRIC CAR COMPANY. HE IS A MAJOR DEFENSE CONTRACTOR. PEOPLE WORK AT THOSE COMPANIES HAVE TO BE ASKING THEMSELVES, WHY IS HE SPENDING SO MUCH TIME TALKING TO THESE WANNABE TALK SHOW HOSTS, TO THESE RIGHT WING INFLUENCERS, TO THESE MEME ACCOUNTS? -- MEME ACCOUNTS? YESTERDAY HE WAS CHATTING WITH A RIGHT WING MEMER. IT IS NOT THE BEHAVIOR YOU WOULD EXPECT FROM SOMEONE WHO IS TAKING A SERIOUS APPROACH TO RUNNING A SOCIAL MEDIA COMPANY. INSTEAD IT'S SOMEBODY WHO IS TREATING THIS LIKE AN INFLUENCER, HE'S PLAYING TO THE CROWD. ED: YOU ASK AT THE TOP OF YOUR COLUMN, REALITY DISTORTION FIELD ANYONE? TALK TO US ABOUT THAT REALITY. AS JOURNALISTS WE HAVE COME INTO CHRYSOSTOM FROM MUSK ABOUT HOW WE COVERED HIS TWITTER TAKEOVER, BUT WHAT WE'VE GOT TO GO ON OUR HIS TWEETS. WHAT HAVE YOU LEARNED FROM MUSK'S TWEETS SINCE OCTOBER 27, WHEN HE CLOSED THE DEAL? MAX: A COUPLE THINGS. ONE IS THE REALITY DISTORTION FIELD CUTS BOTH WAYS. OVER THE LAST FIVE YEARS, A PO INT THAT LOTS OF PEOPLE BRING UP IS MUSK IS AMAZING -- IS AN AMAZING MARKETER. THE SENSE THAT ANYTHING IS POSSIBLE, THAT STUFF HAS WORKED TO HIS ADVANTAGE. IT HAS ALLOWED HIM TO BUILD THE LARGEST MOST VALUABLE AUTOMAKER IN THE WORLD PRETTY MUCH AGAINST ALL ODDS. WHAT WE ARE SEEING IS THE OTHER SIDE OF THE COIN, WHERE HE'S IN THIS -- WHAT FEELS LIKE A VERY NARROW WORLD. HE'S SITTING THERE READING THE MENTIONS. MUSK'S POINT, THAT THE JOURNALISTS ARE OUT TO GET HIM, OR THE OTHER DAY HE WAS ACCUSING THE ASSOCIATED PRESS FOR BEING PART OF THE FAR LEFT ESTABLISHMENT, IT'S PRETTY HARD TO KNOW HOW SERIOUSLY TO TAKE THAT STUFF. IF FEELS LIKE IT IS MOSTLY ABOUT TRYING TO CHOOSE ENGAGEMENT -- JUICE ENGAGEMENT FOR TWITTER. MUSK HAS BEEN POSTING THESE CHARTS WHERE THEY GAINED ONE MILLION UNIQUE VISITORS OVER THE LAST WEEK, WHICH IS KIND OF COOL, BUT IT FEELS LIKE THIS MAY BE VERY SHORTSIGHTED. CAROLINE: MAX, WE ALWAYS LIKE YOUR LONG-TERM PERSPECTIVE. MEANWHILE, ONE OF THE THINGS WE ARE ALL NOTICING IS THE EMPLOYEE EXODUS AT TWITTER HAS BEEN RAISING CONCERNS ABOUT DIVERSITY AT THE COMPANY WITH LOTS OF PICTURES CIRCLING OF A FAR MORE MALE INFLUENCE. IT IS A PROBLEM NOT JUST FOR TWITTER BUT THE TECH SPACE AT LARGE. A NEW REPORT SAYS WOMEN ARE SPENDING MORE TIME IN THE METAVERSE AND ARE MORE LIKELY TO SPEARHEAD INITIATIVES IN THE NEXT GENERATION OF THE INTERNET, BUT MEN STILL HOLD 90% OF THE EXECUTIVE POSITIONS IN SHAPING THIS EMERGING MARKET. "WOMEN ARE STILL LOCKED OUT OF LEADERSHIP ROLES. WOMEN HOLD 8% TO 10% OF LEADERSHIP POSITIONS AT METAVERSE COMPANIES." WHAT IS STING'S WE WENT TO OUR AUDIENCE AND WE PUT OUT A POLL AND SAID, AGE, YOU WORRY ABOUT A LACK OF DIVERSITY AND METAVERSE, DO YOU THINK IT'S GOING OK, OR WHY SHOULD I CARE? MOST SAID, WHY DOES IT MATTER? WHY DOES IT MATTER THAT IT IS DIVERSE? > > IF YOU LOOK AT THE HISTORY, WOMEN IN PARTICULAR AND PEOPLE OF COLOR HAVE BEEN AT THE CENTER OF INNOVATION, YET THEY DON'T HOLD THOSE LEADERSHIP ROLES. IF YOU DON'T HAVE THOSE VOICES AT THE TABLE TO MAKE SURE THAT THAT BUILDS, HAS ALL THE INCLUSIVENESS AND RICHNESS THAT IS OFFERED BY INNOVATION AND TECHNOLOGY, THEN YOU ARE MISSING OUT ON THAT OPPORTUNITY. CAROLINE: HOW ARE YOU SEEING THAT REFLECTED IN THE FIRST INNINGS OF WHAT IS BEING BUILT IN WEB3? SOVONNA THERE ARE WOMEN AND PEOPLE OF COLOR HERE, BUT WE DON'T OFTEN GET THE HIGHLIGHT AND SPOTLIGHT. I THINK THAT IS SORT OF DAMAGING IN TERMS OF HOW YOU THINK ABOUT WHERE WE ARE HEADED IN THE FUTURE, THE DEMOCRACY THAT WAS PROMISED IN WEB3. BUT WE ARE ALREADY SEEING THAT EVEN WHEN YOU LOOK AT AI AND OTHER TYPES OF TECHNOLOGY. IT'S NOT BEING FED PROPERLY TO REFLECT THE DIVERSITY OF THE PEOPLE THAT ARE GOING TO BE CONSUMING IT. IT IS NECESSARY TO HAVE THAT INNOVATION AT THAT CONFERENCE AND AT THAT TABLE. ED: I LOVE WHAT YOU JUST SAID ABOUT DIFFERENT TYPES OF TECHNOLOGY. I WANT TO DRAW ON SOME OF MY REPORTING EXPERIENCES OVER THE LAST FEW YEARS. I WAS REPORTING ON SELF-DRIVING AND HAD A CONVERSATION WITH THE CEO OF ZEUS ABOUT THIS TOPIC. SHE SAID THEY ARE DESIGNING A PRODUCT, IT IS A FUTURE PRODUCT THAT DOES NOT EXIST NOW. FULLY STILL DRIVING VEHICLE, NO PEDALS. IF YOU ARE DESIGNING FOR ALL GENDERS AND CREEDS, YOU HAVE TO HAVE THOSE PEOPLE INVOLVED IN THE PROCESS, OTHERWISE THE PRODUCT DOES NOT REFLECT YOUR MARKET AUDIENCE. IS THAT SAME PRINCIPLE APPLICABLE TO THE METAVERSE? SOVONNA ABSOLUTELY. IT IS THE SAME IDEA ABOUT TECHNOLOGY AND FUTURE FOCUS, WORKING, LIVING, AND PLAY. THE IDEAS ARE GENERALLY THE SAME, THAT IF YOU WANT EVERYONE TO PARTICIPATE AND HAVE A PROFITABLE PRODUCT, YOU WANT TO MAKE SURE EVERYONE HAS A VOICE SO THAT YOU ARE A COMPANY THAT CAN THRIVE IN THE NEXT GENERATION. CAROLINE: WHAT DO YOU WANT COMPANIES LIKE META TO DO? META DOMINATES THE MARKET FOR VIRTUAL REALITY HEADSETS RIGHT NOW. WHAT CAN THEY DO TO SOLVE THIS PROBLEM? SOVONNA: I THINK IT'S PRETTY SIMPLE, YOU JUST NEED TO DO AN OUTREACH TO THOSE LARGE GROUPS OF PEOPLE WHO ARE SITTING HERE WAITING TO PARTICIPATE. WHAT WE LOOK AT IS WEB THREE IS TRYING TO PROVE THERE ARE INDIVIDUAL ENTREPRENEURS INNOVATING AND CREATING FOR THE NEXT GENERATION. IF YOU WANT TO PARTICIPATE AND ARE NOT ALREADY IN WEB3, YOU WILL HAVE TO REACH OUT TO THE PEOPLE WHO ARE BUILDING AND CREATING. META IS NOT JUST THERE AS THE ONLY COMPANY THAT IS MAKING A DIFFERENCE, IT IS SOME OF THE INDEPENDENT ENTREPRENEURS THAT ARE. CAROLINE: WE DID SEE, PARTICULARLY IN THE NFT SPACE, WOMEN COMING TOGETHER, A LOT OF IT WAS CELEBRITY ENDORSED, BUT COMING TOGETHER. IT WAS ART THAT IS REFLECTIVE OF WOMEN. UNFORTUNATELY I THINK THE ART THAT GOT MADE WAS NOT ALL THAT INCLUSIVE. I'M INTERESTED IN WHAT YOU THINK CAN BE DONE NOW THAT STOPS WHEN APPLE RELEASED ITS APP, IT STOPPED BEING A PERIOD TRACKER. WHAT IS BEING LOST NOW? WHAT IS OPTIMISTICALLY BEING BUILT BY WOMEN AND PEOPLE OF COLOR ALREADY AT THE TABLE? SOVONNA: WHAT IS BEING MISSED NOW IS THE OPPORTUNITY TO ACTUALLY HAVE A VERY EXPENSIVE IDEA OF WHAT THE METAVERSE CAN BE. WHAT WE OFTEN LOOK AT IS JUST THE TECHNOLOGY, BUT WE DON'T THINK ABOUT HOW THE TECHNOLOGY CAN ACTUALLY SOLVE CENTURY-OLD PROBLEMS. FOR EXAMPLE, WE HAVE A HEALTH CARE SYSTEM THAT IS REALLY CRIPPLED. IF WE CAN FIND WAYS TO LOOK AT IT ACROSS THE GLOBE AS TO HOW EVERYONE IS INNOVATING AND BRINGING THAT TOGETHER INTO HOW THE METAVERSE CAN BE USED TO SOLVE THAT PROBLEM, THAT WOULD BE FANTASTIC. WHEN YOU THINK ABOUT HOW WOMEN PARTICIPATE HERE, THEY DON'T REALLY WANT A CASUAL HYPED FOCUS OPPORTUNITY, THEY WANT TO DEEPLY BE ENGAGED, WHETHER IT'S ABOUT HEALTH CARE OR THE WAY THAT THEY LIVE AND THEY EXERCISE. THEY WANT EVERYTHING TO BE LIFESTYLE AND HAVE A REAL USER EXPERIENCE. WITH RESPECT TO HOW YOU THOUGHT ABOUT THE ART, AND YOU MENTIONED NFT'S, I THINK THE PEOPLE WHO ARE ARTISTS WANT TO REAP THE BENEFITS OF ACTUALLY HAVING BUILT SOMETHING THAT PEOPLE APPRECIATE. AND IN PREVIOUS GENERATIONS, ONCE THEY SOLD THEIR PIECE OF ART, THEY NEVER SAW ANY BENEFIT OF THAT LATER ON. SO THE NFT GIVES THEM AN OPPORTUNITY TO REAP THAT BENEFIT FOR MANY GENERATIONS TO COME. CAROLINE: WE WANT TO THANK SO MUCH OF THE WOMENX FOUNDER. STICKING WITH THE METAVERSE, THINKING ABOUT NFT'S AND THANKSGIVING, MACY'S IS DOING ITS FIRST-EVER NFT PARADE BALLOON. YOU CAN GO ON AND VOTE WHAT YOU WANT THIS NON-FUNGIBLE TOKEN ELEMENT OF A BALLOON TO LOOK LIKE, AND IT WILL BE A REALITY IN REAL LIFE COME 2023. IT FEELS EXTRAORDINARY TIMING TO BE DOING THIS. KIND OF HOPEFUL THAT THESE BRANDS ARE VERY FOCUSED ON THE HERE AND NOW. ED: MACY'S PARADE IS A MAINSTAY FOR A LOT OF HOUSEHOLDS. I DON'T KNOW WHICH ONE I'M CHEWING INTO, BUT WOW. CAROLINE: COMING UP, WE HAVE SO MUCH MORE TO GET AHEAD OF OUR THANKSGIVING TURKEYS. THE CASE OF BITCOIN WE WILL DISCUSS AND HOW REGULATION WILL SHAPE CRYPTO MARKETS. THIS IS BLOOMBERG. > > BITCOIN'S HASH RATE IS AT AN ALL-TIME HIGH. THAT IS AN INDICATION OF THE SECURITY OF THE NETWORK. ETHEREUM, WE ARE SEEING THE TOTAL VALUE STAKED AT $24 BILLION. THAT IS AN ALL-TIME HIGH. WE THINK THE INFRASTRUCTURE IS WORKING BEAUTIFULLY. CAROLINE: CATHIE WOOD JUSTIFYING RECENT INVESTMENTS THAT SHE HAS MADE IN COINBASE AND CRYPTO. SHE'S STICKING WITH HER PRODUCTION THAT BITCOIN WILL HIT $1 MILLION BY 2030, ALL DESPITE THE FALLOUT OF FTX AND SAM BANKMAN-FRIED. JOINING US IS A GUEST WHO INVESTS IN BITCOIN RELATED COMPANIES. TO THAT END, HOW MUCH HAS YOUR WORLD BEEN OVERSHADOWED BY WHAT CURRENTLY IS UNFOLDING WITH FTX, WHICH IS A CENTRALIZED PART OF THE DECENTRALIZED FUTURE? I'M INTERESTED WHETHER YOU FOUND IN UPROOTING OF YOUR WORLD TOO. > > THE BIGGEST LESSON IS THAT THE VALUE IS IN BITCOIN AND NOT CRYPTO. THAT IS A LESSON THAT WE GET IN EVERY BEAR MARKET. AS LONG-TERM EQUITY INVESTORS, STILL MARK IS FOCUSED ON THE ACCRUAL AND BUILD OF SUSTAINABLE VALUE AND ENTERPRISE VALUE SPECIFICALLY. THAT HAS NOT CHANGED IN ANY FUNDAMENTAL WAY. INSTEAD WHAT HAS HAPPENED, I HOPE, THE SILVER LINING IS THAT FRAUD AND DISHONEST NARRATIVE HAS BEEN WASHED OUT, WHICH IS NECESSARY FOR THE ECOSYSTEM TO ADVANCE AS A WHOLE. HOPEFULLY WE GET BACK TO THE FUNDAMENTAL QUESTIONS OF WHAT WE ARE DOING AND WHY BITCOIN IS IMPORTANT. ED: I ALWAYS KEEP A BITCOIN CHART HANDY, AS ONE DOES. GO BACK TO NOVEMBER 8 AND 9, THAT IS WHEN THE SAM BANKMAN-FRIED CONTAGION -- LOOK AT THE FAR RIGHT HAND SIDE OF YOUR SCREEN, THAT IS WHERE IT HAPPENED. BETWEEN JUNE AND OCTOBER THIS YEAR WE TRADED SIDEWAYS ON BITCOIN. WHAT IS THE FUNDAMENTAL DRIVER OF THIS CRYPTOCURRENCY LONG-TERM? WHAT GIVES CATHIE WOOD THE FAITH THAT IT WILL REACH PRIOR HIGHS? ALYSE: FIRST OF ALL, BITCOIN FUNDAMENTALS ARE INTACT. WHAT HISTORICALLY HAS BEEN IMPORTANT FOR BITCOIN'S ADOPTION IN THE EXPANSION OF BITCOIN'S UTILITY SET. THAT IS PROGRESSING AT AN INCREDIBLY RAPID CLIP. WE SAW CATHIE WOOD NOTE BITCOIN'S HASH RATE IS UP, MEANING BITCOIN IS MORE SECURE. WE ARE SEEING BITCOIN HOLDERS BECOME MORE SOPHISTICATED. AS AN EXAMPLE, AFTER THE FTX COLLAPSE, THERE WAS A SPIKE, A PEAK IN THE SALE OF HARDWARE DEVICES THAT CAN ALLOW BITCOIN HOLDERS TO HOLD AND SECURE THEIR OWN BITCOIN. SOMETHING NOTABLE ABOUT THIS BEAR MARKET ALSO FROM A BITCOIN MARKETS PERSPECTIVE IS THAT WE SEE LESS VOLATILITY THAN WE DID IN THE LAST BEAR MARKET, WHICH IS AN INDICATION OF AN INCREASING LEVEL OF SOPHISTICATION IN MARKET PARTICIPANTS, AND ALSO REFLECTS HIGHER TRADING VOLUMES. CAROLINE: WHAT I'M INTERESTED IN IS THINKING MORE ABOUT THE ECOSYSTEM. YOU SAY IT IS BEING BUILT AT A QUICK CLIP. WHAT HELPS OR HINDERS? THE GOVERNOR OF NEW YORK TODAY TALKING ABOUT A MORATORIUM ON CRYPTO MINING. THAT SEEMS TO BE EXPLICITLY ABOUT PROOF OF WORK RATHER THAN PROOF OF STAKE, BASICALLY ENERGY EFFICIENCY. HOW MUCH DOES THAT HINDER THE OVERALL FOCUS ON HASH RATES AND BITCOIN AS A FOCUS? ALYSE: THAT IS A VERY INTERESTING POINT. THAT WAS ONE OF SBF'S AND FTX'S PET MEMES, WHICH IS PROOF OF WORK IS SOMETHING THAT IS INHERENTLY A MALEVOLENT ACTIVITY. WE KNOW IT IS NECESSARY TO SECURE A DECENTRALIZED LEDGER, LIKE THE BITCOIN LEDGER. IN ADDITION TO THAT WE KNOW THAT PROOF OF WORK HAS QUICKLY SHIFTED TO RELYING ON SUSTAINABLE ENERGY SOURCES. IN FACT, IT OFFERS THE OPPORTUNITY FOR OTHER INDUSTRIES TO TAKE AN EXAMPLE OF WHAT CAN BE DONE IN ADOPTING SUSTAINABLE ENERGY SOURCES, WHICH OF COURSE ALSO HAVE THE CAPITALISTIC BENEFIT OF BEING VERY CHEAP. MINERS COMPETE FOR CHEAP ENERGY. A NOTE HERE ON ONE OF THE OTHER BENEFITS OF FRAUD AND DISHONESTY BEGIN WASHED OUT OF THE SYSTEM TO SOME DEGREE IS THAT FTX LEVERAGED THEIR NOVEL AND NATIVE TOKEN TO BOOST THEIR ASSETS. LIKELY AS COLLATERAL TO ACCESS LOANS. AND WITH THAT MONEY THEY CREATED A REALLY QUICK SCALING IN BOTH THEIR SIZE AND IN POWER AND PERCEIVED AUTHORITY, INCLUDING IN FRONT OF REGULATORS. WHAT THEY DID WITH THAT WAS TRY TO IMPUGN OFTEN THE VIRTUES OF THE ECOSYSTEM, WHICH IS BITCOIN AND PROOF OF WORK. I HOPE THAT BY FINDING THAT SOME OF THE LEADERS THAT REGULATORS MIGHT HAVE FELT TRUST FOR, SEEING THEIR OPERATIONS BE MADE TRANSPARENT, AND HAVING DISHONESTY OR MISDIRECTION REVEALED WILL ALLOW REGULATORS TIME AND SPACE TO ASK THE HARD QUESTIONS THAT LEAD THEM TO BETTER DISCOVERY, UNDERSTANDING AND TRUTH. ED: STILLMARK VC FOUNDER AND MANAGING PARTNER, THANK YOU. COMING UP, AMAZON'S PLAN TO HELP THE MOVIE THEATER INDUSTRY. HMM. THIS IS BLOOMBERG. CAROLINE: GOING VIRAL. TODAY IS A BLOOMBERG SCOPE ON AMAZON'S BIG PLAN FOR ITS CONTENT PROJECT. AMAZON WILL SPEND MORE THAN $1 BILLION A YEAR TO PRODUCE MOVIES THAT WILL RELEASE IN THEATERS, AND THEIR LARGEST COMMITMENT TO CINEMA BY ANY COMPANY. THAT WILL BE 10 TO 15 MOVIES PER YEAR -- 12 TO 15 MOVIES PER YEAR. AMAZON HAS BEEN SOMEWHAT OF AN ALLY TO THESE THEATER GROUPS. OTHER STREAMERS LIKE NETFLIX HAVE STRUGGLED WITH A STRATEGY TO RELEASE CONTENT ON THEIR SERVICE IN THEATERS OR SIMULTANEOUSLY BETWEEN THE TWO. NETFLIX RELEASES DOZENS MORE MOVE IS EASIER -- MORE MOVIES A YEAR COMPARED TO AMAZON. AMAZON FIRST ACQUIRED MOVIES AND FILM FESTIVALS, EVENTUALLY OWNING ACADEMY AWARD NOMINATIONS FOR "MANCHESTER BY THE SEA." IT WENT ON TO BUILD -- TO BUY FILM STUDIO MGM. TALENT REPRESENTATIVES ARE PUSHING FOR A MEDIA COMPANIES TO EMBRACE THEATERS. THIS IS EVIDENCE OF THEIR COMMITMENT TO MGM AND THAT PEOPLE WANT TO CONSUME MOVIES IN DIFFERENT WAYS. ED: WHEN AMAZON BOUGHT MGM, KEY NAMES FOR MGM LEFT. I CAN'T REALLY NAME ANOTHER BIG HIT FROM AMAZON. I DID LOVE "RINGS OF POWER." THAT IS A TV SERIES. CAROLINE: THE FACT THAT THEY ARE DOING THIS TWO-PRONGED APPROACH NOW. THAT DOES IT FOR THIS EDITION OF "BLOOMBERG TECHNOLOGY." WE ARE TAKING A BREAK ON TV FOR THANKSGIVING. FOLLOW US ON SOCIAL. ED: AND WHEREVER YOU GET YOUR PODCASTS. THIS IS BLOOMBERG.

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'Bloomberg Technology' Full Show (11/23/2022)

"Bloomberg Technology" is our daily news program focused exclusively on technology, innovation and the future of business hosted by Caroline Hyde in New York and Ed Ludlow from San Francisco. (Source: Bloomberg)

The David Rubenstein Show
The David Rubenstein Show: Peer-to-Peer Conversations" explores successful leadership through the personal and professional choices of the most influential people in business.
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