Peloton's Rower and Web3 Meets 5G

of its kind. Deal t mobile is teaming up with noble labs to launch the first crypto powered mobile service. We'll talk to the CEO later this hour, and how Slana is trying to tackle everyone's energy crypto problems one of chain at a time. Co founder at a tole yaco Venko is with US Peloton launching it's long awaited rower, aiming to expand the fitness company's appeal and help it

reverse that sales slide. It'll start taking orders for the PELOTON row and begin initial deliveries to US customers in December. Our very own marker and joins us now for more details on this. So, Mark you've been reporting on this rower for a long time now. Our customer is gonna

pay for it. I certainly think Peloton has a group of consumers that want to build out their own home gym where they own a Peloton road, where they own a Peloton bike plus, where they own a tread, where they own the Pelletson Guide and they subscribe to their forty four dollar on the package. Right. But in terms of the overall peloton story, I don't think the road device moves the needle right now. This is a US

only launch. This is a very premium price product. It comes in between five and more than the main competitors. But it's everything you would want from Peloton in awing machine. I just don't think rowing has that place in the market that a bike or tread might, or people are going to rush out to buy this thing unless you are one of those fitness enthusiasts. Right. So I think

there is limited appeal compared to their other products. So I don't think this changes the Peloton story very much and you see that in the stock today is still down about three and down about one percent for the week. But obviously more hardware, more product offerings, is a good thing. And then one interesting point. I will make about the row is that they're really pushing the content subscription. If you buy a bike or bike plus, you do get a few basic classes for free and you don't need

to pay for that dollar a month peloton subscription. Not the case with the row. To get any of the tailored content for rowing, you need to pay that fee, which could drive additional revenue over the long term. What does peloton think about how much this is really going to change their situation? I mean, do you know how much they're projecting? I mean do they think this is, you know, more of a niche product, or do they

have higher hopes? So, when Peloton announced their most recent earnings about a month ago, now, tucked in several paragraphs now is a change to the reporting structure. They're no longer guiding full years in advance right and so although we have q one earnings coming up later in the year, we don't really have an estimate for their fiscale. This product won't officially start shipping until December, which the company

has as their fiscal q two. So we really have no way to know how this is going to benefit the company financially at this point. My guest is given the launch will be US only. Given the high price point, it will be pretty incremental, probably throughout fiscal you know, who can guide, to guide that far ahead though? Anymore? I mean apple did away with guidance long ago. I mean, should that be our expectation anymore, especially in a massive downturn?

You know, my personal opinion is that apple has been making the right decision, not guiding right. If I'm running a company, you basically only want to do as much as you're legally required to do. Apple went away from

iphone unit sales a few years ago. That coincide with the greater focus on revenue versus units, as they raised a SP S. I think you're seeing a similar thing happened with pellets on here, where the individual units, some of the individual numbers, the long out forecasts really aren't not as important as the overall revenue number. The other thing I'll say about Paletson forecasts is that they've been

missing right their guidance the last several quarters. At this point, things have been so in flux for the company that it's really impossible for them to really seriously guide. You know, more than a quarter out they've made pretty fundamental changes to their you know their financial structure and their operational structure. Recently they've had many layoffs. I think they've laid off about four thousand people across calendar two with this point.

So clearly many changes being made to their cost structure there. They moved away from in House Logistics and some in house operations. They've saw manufacturing equipment in house and they're relying on outside manufacturers. Interestingly enough, they're relying on some of the same manufacturers that apple uses to build some of their latest products. So you're seeing a big cost structure change there and I think you'll hear more about how those cost changes are going to improve their bottom

line probably sometime in October and November. Meantime, you've got other companies like soul cycle moving in and trying to take advantage of of Peloton's struggles. I mean, are they, you know, gonna be trying to turn around in a and in a totally different fitness landscape? You know, I think Nordic track is probably, you know, licking their chops right now when they saw that peloton row price point check Nordic tracks website earlier this week and they're rowing

machines top out at eighteen right. Obviously the products are comparable and some of their functionality. Peloton is really pushing their AI and the machine learning integration. There's actually a few cool, you know, personalization tweaks in the peloton row where they use a and your own personal pace targets that you set to interact with the content that plays on the screen. So depending on your paste target or who's using the machine, uh, the instructure will give you, you

you know, different goals and such. So it's actually pretty cool from what I've seen and been told by the company of how it all works together, and I think that is one key differentiator. The question for many consumers are those, you know, nice to have that more luxurious element,

more personalization. Is that worth the extra thousand dollars? I think for some people who may be already be paying eighteen llars for a rower, maybe another thousand dollars is not too much, especially if you're already in the Peloton ecosystem where you're paying forty dollars a month and that gets you access to content on all of your peloton machines. I wish I knew how many people own more than one piece of Peloton equipment. I think that would be a key metric to know. I my sense is it's

not a huge number, but you know, maybe times are changing. Bloombergs, part germ, and thank you so much, as always, for your reporting. Meantime, the investor known as the SPEC being says he's winding down two of his blank check companies, Jamath polly Hapatia, failed to find companies to successfully take public. He's now going to return more than a billion and a half dollars to investors. He says valuations and volatility

the two biggest barriers to closing deals. It's been yet another dry summer here in California, with the state continuing to experience longer wildfire seasons as a direct result of climate change. And while it's possible to be on the lookout for fires, it is often already too late by the time they're spotted. So a new startup has devised a computer vision enabled system to catch the beginnings of

wildfires before they become mega fires. It's called Pan o Ai just got twenty million dollars in new funding from initialized capital partner, Kim Mike Cutler joins us now to talk a little bit more about this investment. So Kim talk to us about how the technology works, given that a lot of these fires are starting in the middle

of nowhere? Yeah, I mean what they have is a large full stack hardware software platform that enables them to visualize a huge range of territory and that's paired with software, computer vision, that and that identifies wildfire fire starts like smoke fluid multiple cameras, you can kind of triangulate where they're starting from, Um and so I think it's I think it's really you know, I I grew up in California and you know, it's important to note that wildfire

is actually a very natural and normal part of the California ecosystem or environment, and trees and plants and everything are actually evolved to burn. Our most iconic plants, even

like sequoia trees, require fire to actually reproduce. But over the last hunderd years, as United States is engaged in, you know, a practice of fire suppression and combined with Climate Change, Um, you know, a modest degree, you know, a modest change in temperature influences aridity, the lack of humidity and Um, you know, creates more, you know, long and longer dry seasons, which enables small fires to get wildly out of control, and so being able to have

a system that enables you to recognize when fires start within fifteen minutes of them starting on one of these very high risk days, Um, you know, can allow us to manage our wildfire issue more predictably. That's said, of course. You know, we are in a system where it is going to happen more often. We're gonna we're going to live in a world where we're gonna have to have more prescribed and manage Birns as well. Kim, you used to be a tech journalist before you became an investor.

Talk to us about the pivot to climate investing Um. You know, I think if you look at my body of work, I've always been really engaged with these kind of really tangible problems that affect everyday lives, whether that's housing affordability, job mobility, socio economic mobility. Um and climate is obviously, you know, increasingly a piece of that. I think it's important to note that initialized capital, Um actually been investing in companies that have that that addressed climate

change and emissions. We've done it for many, many years. There are many companies in the portfolio including run wise, which helps thousands of buildings manage their energy usage and therefore, you know, reduce emissions. We have companies like Albedo, which recently got a huge upground from breakthrough energy ventures, that is doing low flying satellites to look like satellites so that we can have really accurate imagery of of you know, our terrain missions and and and heat sources and all

the kinds of stuff like that. And then I I also let a deal in cult sac, which is doing car free neighborhoods and is actually launching its first car free community at the end of this year and in January and Tempe. And you know, transportation is of the US missions. So we've actually been doing it for quite a while, hell, um. But of course, you know, climate tech in general is having a second wave. You know, there was an earlier wave, like ten fifteen years ago, Um,

when earlier venture capital firms were doing clean tech. And obviously in the last five years, Um, it's becoming undeniable. It is here, it is now. You know, we all remember the Orange Day from two years ago when we walked outside and we couldn't see the sun. Um, you can't ignore it anymore. and and therefore we really have

to come together as a society. You know, whether that's through the incredible three seventy billion dollar inflation reduction act, you know that the federal government just that Biden just signed, and we also have to do it in the private sector, with lots of entrepreneurs attacking all kinds, all sides of this problem as well. Right, remember the Orange Day? Well, I wonder, though, we're, you know, now we're in the midst of this massive downturn. Is that denting the momentum

behind climate investing at all? You know, I think it's. It's it's actually kind of interesting. Um. So, you know, climate tyche is actually one of the spots that is still very competitive for deals right now. There's a lot of capital flowing into it, particularly at the earlier stages. Um. I think there's a number of forces kind of creating pressure for that, which is just obviously the immediacy and scale of the problem, Um, but also, you know, there are a lot of limited partners um into a lot

of different other you know, funds that like that. What capital deployed quickly, and so we're seeing a lot of at least at the early stage, lots of lots of climate deals are continuing to happen and continue to move forward and then continue to be competitive. Now, you've commented and reported on San Francisco Culture for years and I'm so curious what your take is on the recovery, or the La or the lack thereof, of San Francisco coming

out of the pandemic. What's your sense of how hard tech culture has been hit, if it can recover and if there's really a reason startups need to be in San Francisco anymore? Sure? Um, so I have. I mean I have many thoughts, but I could do I could do a lot longer, Um, you know, more time, but Um, you know, on on. On the you know, startup side.

You know, I've actually shared a lot of data from a portfolio during and throughout the pandemic showing that we went from, you know, San Francisco obviously being the leading place that companies would have a headquarters to you know distributed Um or remote teams kind surpassing that, but San Francisco was still like the number one physical destination that

that that companies wanted to be located in. Um, I think on the government side, I mean, you know, there was a great ten years that the city had, you know, in terms of tax revenues companies being founded there, and it kind of overplayed its hand and I think it would have been really important for say, you know, you know, the Board of supervisors, even the mayor, who has generally been supportive tech, to come out earlier and say that, you know, really wanting to partner with with employers here

and even now, like two or three years and you don't really get the sense that any of you know, aside from the mayor's office, like any of the leadership in the city, really wants companies here. Um, and I know that doesn't make or break a decision, but like it's definitely like you can compare and contrast the leadership of different cities and you know see where where you know, people feel really excited about being and so I do

think that tone matters a lot. All Right, uh, well, appreciate you joining US initialized capital partner, Kim My cutlor. Good to have you back. Thank you so much for having me. Well, NASTAC is making its first major push into crypto. The second largest stock exchange will start by offering custody services for Bitcoin and either to its institutional clients. This will put NASDAC in competition with Crypto firms like

coin base and big go to a certain extent. Coming up a huge day for the car industry, with a big EV order from hearth and a one billion dollar warning from Ford. What's that all about? We'll tell you next. This is Bloomberg, a suburb of Shanghai is being touted as China's new Silicon Valley. Ling Gong is quickly becoming a semiconductor and evy manufacturing hub quick takes. Charlie Jew explains. This is Lin gone, a suburb of China's financial center

of Shanghai. Over the past few years, tens of billions of dollars have poured into this small town. I'm currently in Lincoln special area, which is part of the Shanghai Free Trade Zone. Three years ago, President Sign Ping identified as a frontier hub for future industries. You know, from artificial intelligence to electric vehicle and from chip making to bio medicine. Those are the industry that China wants to dominate in the twenty first century. They're also at heart

of the competition between China and the US. China needs to import four thirty billion dollars of semiconductors annually to build iphones, drones, laptops and other electronics, because it has very little high end chip making capabilities of its own. That, in turn, is forcing the Chinese government to step up its own indigenous innovation and boost self sufficiency in order to rely lessons foreign technology in the future. Critics, Charlie,

you there. Meantime, rental car giant hurts announced it all by a hundred seventy five thousand evs from GM over the next five years. Meantime, GM's crosstown rival Ford Start Stock Sync by the most in eleven years. Has schobal inflation and supply chain paint hurts its bottom line. Covering it all, who else but are at bloodlow? Can you square the circle for us? Aid? Yeah, I mean it's been a huge day for the industry and neither piece

of news helped stop market very much at all. For hurts, it's really interesting right because they have been very active in trying to electrify their rental fleet. Remember, they've already got deals with others, but they had this objective of of their rental fleet being electrified by four and this is quite aggressive right at this time where GM's transitioning to electric drive train. A hundred seventy five thousand evs over a five year period is a lot of cars.

And it's not just one of their lines. They're talking about Buick, caddy, Chevy and they're going to start shipments of the Bolt E V and EU v as soon as the first quarter of next year. So this seems tangible. But again, look at your screen. It didn't do much to support the stock on Tuesday. So talk about for them, that's quite a big drop. What's going on here? Yeah, I mean, let's just say it again. For four this was the biggest drop in its stock in eleven years.

And what they did is revised guidance for the current period because inflation around the world is meaning higher costs for them and supply chain pains continue missing. There are meaning there are apart shortages, real part shorusages. The net result there are forty thousand and forty five thousand Ford Suvs and pickup trucks sitting in a parking lot somewhere that are not ready to ship to customers. Now the

important point. Ford reaffirmed its full year guidance and said that they'd be able to get the missing parts back, put them in these vehicles and sell them by the end of this year. But clearly the market didn't believe them. When you look at the severity of that stock. Is it semi conductors that are causing the real pain here? Yeah, this is fascinating because in the in the statement, Ford

didn't say very much at all. They didn't specify. All we have to go on is that semi conductors have been an issue throughout this year and even before that. GM earlier in the year, in July, kind of gave a similar warning that they had these this inventory of non shippable cars because of missing parts, and semi conductors were a part of that. So we don't have the specifics.

We knew that in some sections of the semi conductor market, specific types of chips were improving inventories were starting to build up, but we hope to get that granularity when Ford actually reports earnings next month because, remember, this was them front running it. This was a prelimb update to their guidance. All right, Lulo, trends. I know you will continue to follow. Thanks much. The SALONA foundation has res the third and released the third of its energy impact report.

slants overall emissions rose roughly in the past six months, driven by overall growth in its validator network, the number of computers running the blockchain and the addition of e waste emissions. In this analysis, here to talk about that and more's a lot of laps. Co Founder on a totally Yaco Vengo, as well as our own crypto contributor, Shinali Bass and a totally. Thank you so much for joining us. How do these numbers strike you? Um, I

think SALONA is doing great. If you look at the overall energy per transaction, it's, uh, you know, for auctions action, as less than a google search and maybe two to three, you know, Google searches for an expensive one. Um, basically is as good as using a web to service, and I'm really proud of that. So at this point, what further steps can be taken to reduce energy use on

the SALONA blockchain that you're not already doing? Well, as the network matures and with every release it gets faster, that makes it more energy efficient, as well as every hardware release. You know, and Intel or video release their next generation computers. Those are more energy efficient. So this will naturally get cheaper and faster and more energy efficient over time. How big of a deal is this becoming

to investors? Because you find that people who believe in Bitcoin are still relying on mining and you see ethereum moving over to proof of steak. And so when you're talking to investors and people who are thinking about how these blockchains work moving forward, what's going to be the driving force that pushes people into more environmental concerns? I think this is important for a lot of applications to wanna build web to services and attract new users, because

the users really care about energy energy efficiency. So we see that a lot of new web three companies really Pixelana because of this Um and and really attracted to the UM. You know overall roadmap of how we're going to make the network even cheaper and faster and more reliable, and obviously we're a couple of days away from the great merge from the ethereum network. But what does that mean for you since that's happened, do you find that

the competitive forces have changed by any means? Even Post Merge? Ethereum is still much less energy efficient than Salona and I think I'm really excited about the fact that ethereum is moving to proof of stake, because this will finally put the debate around whether proof of stake is secure to rust. I think ethereum doing this will really make it Um, you know, proof proof to everyone that this, this technology is not mature enough to handle very large,

you know, capitalization for for network. How far could you go in terms of potentially rewarding the validators or computers that themselves use renewable energy? This is not something that we've looked at yet because over all, the SALONA network uses so little energy that it's uh, you know, almost in significant amount to uh, to offset Um. SALONA foundation does its own offsets that covers the entire network. So when you look more broadly, Crypto, obviously, you know, it

obviously gets a bad rap for its energy used. Do you think that's deserved? Mining is definitely very energy intensive. Um. What folks need to understand that, you know, bitcoin mining would work in a world without any fossil fuels and then the end of the day it's the fossil fuels that are the bad part. Um. But it's obvious to me as an engineer that we should build technologies that are more energy efficient, you know, if they serve the

same function. So I am definitely, you know, bullish on Salana and its energy use when compared to other networks, other networks. If you think about also how N F T s have related to the ethereum world versus Salana, there have been days that you're competing hard. In fact, there have been days that you see more n f t s really by dollar volumes, tied to Salana, even more than ethereum. So how do you see that competition playing out? You know, when do you think and do

you think you can be the more dominant player here? Well, I want to congratulate Magic Eton, the company that's the premier market place on Salona, for its record breaking volumes. Um. So Magic Heaton has show has had volumes bigger than, I think, all of etherums and F T s combined on a couple of days. Um, that's been amazing, I think because salon is so cheap and fast to use that when folks experience that they feel like they're using a regular web to application and it's really hard for

them to go back to using, you know, older technologies. Um, I hope the strength continues and magic in continues to grow and really accelerate. N F the adoption around the world. N F T adoption, but n F T S and actually staking itself or something that are under the, you know, the eye of regulators, particularly the U S Securities and Exchange Commission. What type of regulatory risk is there for both of these, you know products, if you will, that

are so tied to the ecosystem? Oh, I think folks need to be careful when they look at each n f t project. I think the vast majority of them are community based, you know, uh, things that are fun, uh and build communities and brand around an idea of a shared profile, and I think those are pretty far from what most folks would consider our security Um. But you still need to be careful. Now, you know, I

have to ask you about the ethereum rge. The ethereum blockchain just went through this big, major upgrade and I'm curious what your thoughts are on it and if you think it potentially makes a Salona blockchain less attractive and how you imagine Salona staying competitive and you know, a changed world. Well, the theory emerged doesn't really improve scalability of the ethereum network. When you look at the number of transactions that salona handles from applications and from users

on a daily basis. That's more than not just ethereum but all the E v M ethereum based blockchains combined. Um. So I think ethereum is a long way to go on scalability. Just do does Salona have any plans for an upgrade down the line, or or how? How are you thinking about that? Well, Salana is like clinics. It's a community driven open source project. There's four teams working on the SALONA core already and every release the network gets a cheaper, faster, more reliable. So you know it's

it has a roadmap like Linux. Just make the next release better than the than the current one. All Right, Anto Yaco Venco, thank you so much for joining us again, the CO founder of Salona labs and our own shot. Appreciate it all right. Coming up, how crypto and web three are colliding with mobile carriers. That is next, Mrs Bloomberg. The world of Web three and five g are colliding in a new deal between t mobile and the blockchain firm Nova labs. T mobile has struck a five year

exclusive agreement with Nova for a new cellular experience. Noval plans to launch helium mobile, which it calls the world's first crypto powered mobile service, and that means customers earn crypto awards for using the network while saving money. Here to explain, a mere Helim's, CEO of noble ABS and founder of helium, so a mere how does this work? So helium mobile is the world's first crypto carrier, as

you mentioned. Um, you can think of it from a consumer point of view very similarly to an existing mobile plan. You sign up, we have a nice APP that you will use heavily. Rule like heavily on them. So there should be a very seamless sign up. But the key difference is that users earn cryptocurrency while they're using the network in the form of Mobile Tokens uh, and perhaps more importantly, they get to actually build and own the

infrastructure that they're using. So can think of this similarly to airbnb or or Uber or something like that, where you're not doing a user of the network, but you're also part of the infrastructure and part of building at the same time. So if you want to use this, how do you sign up? So first of all as a waitlisted joint so you can go to hello helium DOT COM. That's the first step. Once we're once we launch, which is aimed for q one next year, there'll be

a mobile APP that you can use. Ideally if your phone is simcompatible. That's kind of all you have to do. You'll just install the APP, you'll get going and the SM will be downloaded straight into your phone. Um, if you have an older phone that doesn't support SMS, then you will. We will send you a physical Sim and you'll be able to use it that way. Talk to us about the challenges of creating a crypto powered mobile network.

You know, how is this even possible and what kind of trouble shooting are you going to have to do? We proved with the IOT network that we launched in twenty nineteen that people powered networks are a real thing. I don't think people believed it was doable. At the time we launched in Austin, only fifty hot spots and within three years there are now a million of these hot spots across the globe. Building an IOT network designed for sensors and low powered devices. This next step is

moving into the cellular world. So UH, primarily target at cell phones, Um, and we use roughly the same tactics right, which is that people have shown us that they are interested in participating infrastructure and not just being a user

of a network. They want to own the thing that they use, uh, and so we'll, you know, do roughly the same thing that we did in the last go around, which is that people are incentivized to build and install what a basically miniature cell towers on any property they have access to and they get rewarded in mobile tokens

for doing that when people use their hotspots. And you know, obviously helium is well known for its long, fine network which helps connect low power devices like pet tracking callers. I'm curious, you know, with this deck step, what else could be possible using this technology the next time. I mean the cellular network, is sort of the next logical extension of what we're doing. When we designed helium back in two seventeen, cellular networks were on our radar as

a thing to do. Um, the technology and the regulatory environment has allowed us to now do that with with unlicensed spectrum that we could use. Uh, in the future I think you can expect to see other types of wireless network get built this way. So there will be an opportunity for Wi fi networks and bluetooth networks and vpns. And you know, helium is very much a community driven, people powered network and people will propose what they want to do next. But we're super excited about what we're

doing here with helium mobile. It's really the world's first attempt at trying to do something like this with a hybrid people powered and traditional network combined. You've also considered switching novel ABS to the Salona Network and given that we were just talking to the CO founder of Salana, where did you end up on that? So the helium network is governed by its users. So there's a community driven process for proposing changes. Um, there's a proposal in

the community. It's called hip seventy. It proposes to re architect the way helium works, to separate the architecture, to be a little bit simpler, to be a little bit faster, and as part of that we're also proposing moving the block chage function to the Salana network, primarily because of

exactly what Anatote was describing. The cost to use the network is extremely low, transactions are extremely fast and there's a very diverse and large ecosystem of developers and defy N F T and other applications that we don't currently have access to on the helium network. All right, we'll keep watching how this all unfold. CEO of Novle labs and helium founder, a mere Haleem. Thank you for stopping by.

Youtube is doubling down on the creator economy, announcing new paths to partnership for creators and launching revenue sharing for shorts. This announced during they're made on Youtube event earlier today. Let's break it all down with my next guest, Colin Rosen Bloom and Samir Chaudhry, known simply as Colin and Samir on Youtube itself. They are the creators helping the next generation of creators learn and understand what works on Youtube and how to build successful long term careers there.

They were part of this event earlier today and join us now from palm spring. So, Colin and Sameir, thank you so much for joining us, Colin. Let's start with you. Um, you know, there are new benefits to creators here. Creators can start making money earlier. Creators can more easily find the music that they want and integrate that into their videos. How did this all land with you? How much of an improvement is this from your perspective? Yeah, I mean

I think it's a huge improvement for us. There's already an incentive for us, as creators that make long form videos to post shorts because we find a lot of distribution,

we find a lot of audience. You know, we don't necessarily rely on it from monetization, but now that is something we can focus on and I think, you know, when I look at this announcement, it's really just about the fact that now there is a light bulb that can go off for a lot of new creators that, you know, they can get paid by the platform and they can start building a career. That said, Youtube is also upping its commission for shorts, taking fifty five percent.

I believe that's up from forty five percent Sameir. What do you make of that? Yeah, I think. Um, you know, the re Qality of it is that on shorts there's a little bit more nuanced than long form content, especially when it comes to music. Um, you know, music is a big part of short form content and Youtube has decided to take on the cost of music on behalf of the creators. So you know, at a glance, when you look at it, you say okay, wait a second. You know, this is a flipped version of what we're

used to youtube typically takes. But you know, what they're doing is actually allowing creators to use music that they couldn't use before and and covering a license fee for that. So, in my opinion, you know, when you look at it, the costs they're incurring. I think it it makes sense, Um, that in this specific instance, and Swift Colin, there are a lot of platforms out there, a lot of platforms vying for your time and the time of other creators.

What didn't you hear from Youtube that you would like to hear? To be honest, I was really excited about, uh, the opportunity for revenue sharing on short as I do think it's super important that you know we are going businesses here as creators, uh, and when we do want to be partner an on aalistic level with the platforms that we're using. I think what will happen is this

rolls out, is more creators. What we're gonna want a lot of transparency about how the payments are doled out, because youtube has always been really transparent, Um, and so I think that's what we're going to see is like a true understanding, broken down from the Creator side, of how we're getting paid. Now you're both on Youtube and TIKTOK as creators Sameir. Why don't you take this one? How do they compare and what do you make of

the competition between them? So I think there's one fundamental difference between the two platforms that, like you know, we've been on Youtube for ten years and in those ten years, you know, we've always been in partnership with the platform. Um. The difference is that when we make money, youtube makes money and vice versa, uh, and that that's truly a partnership. When it comes to Tiktok, you know, and they're fund

it's never really felt like a partnership. It's it's very unclear how you build a career on Tiktok, specifically when it comes to platform payments. Um. Typically we've seen people build audiences on Tiktok and then transition them to youtube to to build their careers. So in my opinion, when you look at this and again from our experience building a career on Youtube, there's a different depth of the

audience and there's also a different depth of platform engagement. Um, when it comes to how the platform actually pays you. And then again, I think, or additionally, I think when you look at Tiktok, a lot of people go to Tiktok for the for you page. They're not necessarily going for specific creators. If you take the top creators off of Tiktok it's still enjoyable on the for you page, but if you go to youtube and you start taking off the top creators, youtube is a totally different place.

So I think youtube is a lot more creator focused and that comes across in the way that they pay creators. So you know, as you think about where to invest your time and your money, H Collin, how do you see the Creator economy evolving? How you know? How are you watching me? There seems to be new opportunities, new platforms, m new ways of reaching fans every day. Um, you know. How are you making those calculator sations on a daily

basis about where to spend your time? Yeah, I mean I think there's there's no doubt that the majority of creators, you know, their primary business is advertising based, whether that's being paid by a platform like youtube or working with brand sponsors. And I think you know what's already happening, but it's going to increase. is going to be more direct to consumer, where creators are launching their own brands and their audiences have a loyalty to them and not

necessarily some of the legacy brands that we know. You guys also do a podcast series called Creator support. You answer questions from your audience of creators. What are what are they most concerned about right now? Samir Mad Emily, I'm so happy you brought up creator support. That's so great.

You know, it's really fun because we get to we get like the pulse of what the problems are for aspiring creators, and what's really important to note is that this is the land of creative entrepreneurship and a lot of these, you know, young creators are first time entrepreneurs. It's a lot of the questions we get are around like prising, how do you price yourself? Um, you know, Eagle, how do you review contracts? What should I be looking out for? Um Taxes? How do I do my taxes

as a creator? So a lot of the stuff comes down to just fundamentals of entrepreneurship and I think that's what's really important, is that if you're looking at the creator economy. You know, this is really just a form of entrepreneurship. It's it's media first entrepreneurship, and I think that's what's really important to recognize. The problems that we're facing in the creator economy are the same problems that that young startups face, that young entrepreneurs face. Um. So

that's what we see a lot on creator sport. And then, I think, beyond that, it's a creative business. So you do get a lot of questions around purpose, right what like how do I how do I lock into something that I can do for the next five, ten years, not just, you know, get myself involved in a viral trend or something that's happening right now. How do I

actually turn this into a long term, sustainable career? Um, you know, and some of that is yet to be seen, but the creators who have done that for a really long time. What we're seeing is, uh, you know, ability to evolve as platforms evolved and as changes, you know, are made to the platforms, like what happened today with Youtube, so Gol. And what's one piece of advice for, you know,

the aspiring content creators out there? A piece of advice that's not obvious, especially after seeing these changes from from Youtube today. What would you say? Yeah, I mean obviously this is a question that we get a lot, and what some you're just brought up there. You know about purpose. That is actually like. What the advice is that I always give is that you know, if you're going to be a content creator, make sure that you have a true understanding of why you're doing it. Who's the audience

you want to serve? If you were to take social platforms away? You know, what are the communities that you're existing in real life, because you know, it's important that you always have that base level understanding that what you're doing by making media online is actually just like speaking to actual people and providing them some values. So I always encourage new creators start with your I r l life. What are the communities you're a part of? Who are

the people you want to sir? And then, once you know that, you'll have a much longer trajectory as a creator. I like that Hashtag, I R L. That one makes sense to me. Youtube creators, Colin Rosenblum Samir Chaudhry. Thank you both so much for joining us. You can catch them on Youtube and Tiktok, and that does it for

the suggition of Bloomberg Technology. Coming up Wednesday, Larr Hippo, managing partner, Eric Hippo, we'll be joining us, and don't forget to check out our podcast, wherever you get your podcasts. I'm emily chain into Francisco. This is Bloomberg