Trump's Indictment and EV Competition

Bloomberg Technology coming up. We will bring you the latest headlines in the world of technology, the run up in the stocks, but also of course Donald Trump as he prepares to surrender to law enforcement officers in Lower Manhattan, and a deep dive into the world of electric vehicles.

This GM seeks to grow its market share. We discussed with GM's North America president, Steve Carlisle, and we'll speak to legendary athlete entrepreneur in fact he does everything nowadays, Shaquille O'Neill, who's expanding his global empire in a partnership with Genius Brands, discussed the announcement and so much more throughout this all eyes on technology, all eyes on the markets, all eyes on the NASDAC off by half a percentage point on the day, ed interesting moves that we get.

Also across the banking index, we're seeing big banks under pressure off by more than two at one point more than three percent. We worry about the future of the banking surviva overall sustainability at the moment. How strong is the financial world at the moment? We hear from the likes of Jamie Diamond in his annual letter really talking that perhaps this isn't over yet. In terms of crisis

of confidence. We see two year yield actually a bid coming is significantly to the two year bond market eleven basis points on the downside that coming as we see some weakness finally in the job market in the United States that jolts data showing the openings are coming back a little bit. Moving on, Let's look at what key arriskasset that seems to be moving away from tech stocks. We're still up on Bitcoin, up one and a half percent,

even as we see tex stocks on the downside. Ed dig into the micro Yeah, we kind of turned a corner on the NAZAC one hundred in the last hour. Many few move is actually moving to the upside. Alphabet pair of Google is one Tesla on track for its worst two day drop since the start of the year. The first two sessions of twenty twenty three. Virgin Orbit down twenty two percent. A parsay is that it has now filed for bankruptcy, which will dig into later in

the show. Bull Frog might be a new name to us. Bull Frog AI up twenty five percent. It had been up more than one hundred percent in the session. Caroline on a licensing patch with JOHNS Hopkins the University. Going to dig into that one later in the program as well.

We're tracking the special Purpose Acquisition Company which is due to take True Social public The Trump backs conservative social media platform actually interesting over the last five days, markedly higher as the attention has been on former President Trump. We're going to cover that story in just one moment's time, but we're pretty sharp be lower in the session. It has failed to file its ten K and the some

accounting work that needs to go on there. But interesting the focus on conservative social media platforms right now because of what's happening in New York. And we're soon going to get just outside the Supreme Court of New York in a moment. But first let's dig into the top performing stock funds. What they say about tech stocks them up in the risk ratty that we've seen many saying it's gone too far Meanwhile, JP Mulgan structures Marko Klonovitch.

He's saying, the first goal to stock ratty is just the come before the storm. Let's stick into it. None of them bring bags, Katie Greifeld, the rally in tech has some naysayers now Mike Wilson yesterday, and now some key fund managers too. Yeah. The thing is, you've heard investors, you've heard strategists say that this isn't something that you want to touch. That basically, stocks have been sort of operating in their own reality, and when you think about

all of the issues that were still issues. But then if we think back before the banking crisis higher for longer, we know that sort of the optimism that maybe this would cause the FED to pivot was fueling tech socks for a while for the bulk of March. But now you're in a situation where you have the FED officials from the top down really saying that we have a lot more wood to chop. There's a lot more to go here to really get inflation under control, and that's

still an issue for these big tech names. Katie, with three tenths of a percent lower on the NASA one hundred, but the run up and stocks this year, it is megacap tech and tech that's been driving it. And as we think about the FED, it's tech that's firmly in focus on why we're making those bets exactly. And I mean you've seen this in a few different notes across Wall Street tourists and Slot from Apollo pointing it out today that if you look under the surface of the rally,

it's a handful of names that's really driving it. It's those megacap tech names to your point ed. But again, if you bring it back into the macro situation, where you do have a FED that's going to raise interest rates here, that would become a problem for other parts of the sector. Maybe rising interest rates aren't as much of a problem for Amazon as they are for something like Virgin Orbit, for example, but even still that is

a problem. And you now have a much more expensive tech sector than you did perhaps a few months ago, particularly twenty four times future earnings over in Europe. It's not just a US rally we're seeing in technology. But look at the Jolts data. Can you bring us back to the economic perspective, because that seems to signal maybe inflation isn't going to run so rampant. There's the thing. And if you look at today's price action, sort of

the bond market is reacting how you would expect. You have two year treasury yields, which are most sensitive to rate expectations, down eleven basis points. But then you also have tech down. And if you follow the logic that you know, some of the balls on tech have been spinning, which is that lower rates would be good for tech. That doesn't seem to hold water today. So maybe you're seeing some cracks in the armor of that ball case. Quite often, the bond market and the equity market don't

always seem to agree. Katie Greifeld. You can catch up so much more with her a little bit later in programming that. Let's talk now about former President Donald Trump preparing to surrender to authorities in New York City. His arraignment scheduled for two fifteen pm Easton and Lower Manhattan. Trance lawyer saying he will plead not guilty. Quote very loudly and proudly. Let's get out to bring Mexamory Horden,

who is outside New York's Supreme Court. It is getting busy there, Yeah, it certainly is just the park across from the Supreme New York State Supreme Court. You have probably a little bit over a thousand protesters. Some of them are here in support of the former president and against these charges, and some of them are here for the charges and against the former president. And there was

moments where actually there was physical altercations. We also had Congresswoman Marjorie Taylor Green, which represents a district in Georgia. She was here for about ten minutes time. Very hard to hear her though, because if you can hear now, these bells, these whistles, drums, they were all going on because those anti Trump supporters, they were the ones that were year wanting to drown her out. All the action is going to be taking place in a little over

two hours time. The president, as you said, Caroline, won't be turning himself in, and then at two fifteen there will be that arrangement. Already you are hearing helicopters around Lower Manhattan. Former president will be making his way here from Trump Tower to the Court House. We should note this indictment is still under seal, so a lot of questions, but the reports are that there's more than two dozen

felony charges. And then after his arrangement and all the paperwork that has done and the fingerprinting, the president is going back to morrow Agle to give a primetime address this evening. Remember this is not just a former president, This is the leader for the Republican Party in terms of the front runner of the twenty twenty four presidential election. All right, Bloomberg xam Reharden low mana and thank you.

We learned twenty four hours ago, Caroline that the judge is barring broadcasters from broadcasting the arrangement, but will follow the headlines as they come through. Tesla increased shipments in March from its plant in Shanghai is the evmaker is wrapping up a record quarter of vehicle deliveries. That's according

to prelim data from China's Passenger Car Association. The jump in wholesale deliveries to dealers follows Tesla slashing prices of its locally made these by as much as fourteen percent at the beginning of the year and triggering a slew of discounts and incentive offerings from other carmakers. Companies that followed suit range from Chinese ev startups expong NEO to

international manufacturers like Vogswagen, Mercedes, Benz and Ford. Now Tesla's monthly wholesale figures in China, they're probably a better indication of production rather than deliveries because they're not deliveries direct to consumers. However, actual Tesla global delivery figures Caroline hit a new record over the weekend, but still falling short of musks target fifty cent annual growth. And it's interesting, isn't We're trying to get a full picture of where

ev demand is. Is it remaining with Tesla? Is it going to rivals? Is it just generally down on the fact that the economy is slowing somewhat? And we asked our audience yesterday, we went to you, went to Twitter, We asked you our usual daily pole, this time ask you look demand for Tesla evis is is it going to rivals? For thirty seven percent of you say it is? Is it by the economy? Only about a quarter of you think that, But actually thy nine percent pretty optimistic.

They still think we're still full on in terms of demand for Tesla. What then of the rivals? What then of the bill up in av sales coming from other companies? Steve Carla Lampiece to say, is with us to discuss the outlook from General Motors is executive vice president of course, also the North American president, and recently updating the market on your sales basically including what twenty thousand evs that

you've been selling. How do you see the market share for GM at the moment, Well, the market share overall, we had a pretty terrific quarter overall, including internal combustion. We finished on top of the market in terms of retail as well as fleet. We're very proud of that. But to the pointier question, it's the first quarter that we broke through twenty thousand electric vehicle sales. So and that comes in a year where we see it as

a breakout opportunity for us. And the reason that I say that is our ultium battery plants are just coming online in Lordstown, Ohio, and then later on in spring Hill in Tennessee and then in Michigan at the same time as we start to increase production of Catalanc Lyric and the Hummer truck and suv, and we have several launches right behind that. So we see it as assigned to come dig in the lyrics sales less than a thousand. Yeah, what was it? Two Hammer EV pickups in the quarter?

When did these numbers become really real, really tangible. Very soon? We're starting to see a Lyric shipments from the factory and in the pipeline increased dramatically, and then beyond that, we have a very solid order bank in committed customers in the thousands. So I'm very excited about that that opportunity. As Steve Caroline asked a key point, which is within that twenty thousand EV number, a lot of that was

Chevy Bolt. It doesn't reflect the new models. Give me granularity, Give me numbers on the production output currently for the next gen Altium models and how that ramped through the year. Well, if I take the twenty thousand that we did in the first quarter, we see that growing to fifty thousand by the end of June and then doubling again by the end of the year, and the growth within that will be one hundred percent plus of Lyric and Hummer and Blazer and Equinox and and beyond that Bolt and Bolt.

TUV has done a tremendous job for us, particularly in the affordable EV part of the market. But where we see the huge volume opportunities in the in the latter products that I mentioned, and that that continues to grow into into twenty four where we see ourselves, uh you know, at the end of that timeframe kind of into the million range. So but just to scale it another, growing to fifty thousand in the second quarter and then two

one hundred by the end of the year. And see to be cleared that fifty thousand to one hundred thousand, that's driven by new generation models, not just a ramping bolt, that's correct. It's driven by LTIAM based models late Lyric and Hummer and Blazer and Equinox and so on. Yes, Steve taking market share from Tesla, well, we believe so. We're our share of the EV market has grown to eight or nine percent just in the past several months.

And as we look at the share of our competitors, including Tesla, where we would appear to be gaining across the board, and we see that in our reservations and our trade ins I mentioned Lyric, When we look at trades and in the like of that, we see a

preponderance of our competitors in that mix. So a lot of plus business for general motor particularly in markets where we've been admittedly challenged, the so called smile states, including California, where we appear to be over indexing when it comes to EV sales. And that comes at the expense of some of those that we've just talked about. And that's the next question, isn't it, Caroline. We're thinking about the impacts of regulation, the impacts of government here. Steve just said,

California is where all the energies at. So what happens when the IRA kicks him? Right? Yeah? Inflation Reduction Act? What does that mean in terms of well, people's ability to be able to form more calls? But ultimately, Steve, what about commercial vehicles here as well? Because you've got bright drop the electric commercial vans. Is that in any way going to help by the government focus on the IRA in particular, Yeah, for sure, And just to back

up in California, I use that as an example. That's true across the country in terms of how we're over over indexing. But when it comes to IRA, we feel as though we're very well positioned, including the announcements that we're made late in the week last week. And the reason that I say that is how we've sourced the battery raw materials and the processing and the post processing. So we feel as though most of our models will qualify for that treatment, which can only help the demand side,

including on the commercial side of the business. We've had very good uptake on the bright Drop business, for instance, and you know we're looking forward to we're down on that plant right now retooling for even higher volumes. So we see terrific opportunity there and talk to us about ramp about volumes, about shortages, particularly in chips that many auto companies faced. Well, the chip situation, i'd say is normalized to a great degree. We still get in and out of that on a day to day basis or

a week to week basis. But our availability, if I measured in percent of production last year, if we ran kind of in the hi eighties low nineties of available capacity, we're much closer to one hundred this year. And that's a reflection and it's a mix now. It's gone beyond chips, logistics factors in to a much greater degree this year.

So it's just those challenges that we managed day to day, which is why you know, we're pretty happy with our performance so far, and that we can continue to gain share, whether it's internal combustion engines or electric vehicles, particularly as we're in this very rich launch Cadence Steve are coming off a strong quarter for new US car sales, right there's evidence there was pent up demand, higher rates, concern about the duress the consumers. Under what is kind of

GM's economic outlook for the rest of the year. We'll speak directly to the to the industry. We see we finished the third quarter kind of in the fifteen point three million unit range, and we would see that holding in perhaps accelerating a little bit through the through the end of the year. At the same time as transaction prices are also holding, incentives are staying at moderate levels.

Dealer grosses appear to be stable, used car prices stable, so all those ingredients to continue on a glide path of good performance we see there. So uh, you know, we're anxious to see what we see through the first quarter is to help inform what we see through the rest of the year. But in that on top of we have some terrific launches, as I've mentioned, whether it's

internal combustion or evs. So we're feeling pretty good about twenty twenty three, Steve called out General Moss, Executive Price President North America present out in New York, Caroline, thank you for your time. Now coming up, Apple and Walmart slash in jobs while Virgin Orbit files for bankruptcy. We'll bring you the details in Talking Tech next versus Bloomberg. Time now for Talking Tech Today, We're honing in on

job cuts. First up, Walmart cutting at least two thousand jobs at five US e commerce fulfillment centers that, according to regulatory fighting to The losses include more than one thousand positions at a center in Texas, six hundred jobs in Pennsylvania at a warehouse, four hundred in Florida, and about two hundred in New Jersey. And additional reduction is

planned in California. And Walmart isn't alone. Apple also making cuts, eliminating a small number of roles within its co operate retail teams that according to sources, this marks the first known internal job cuts since it embarked on a belt tightening effort last year. The company is shedding positions in what it calls its development and preservation teams. Those groups are responsible for the construction and upkeep really of Apple

retail stores and other facilities around the world. Finally, Virgin Orbit, the satellite launch firm tied to British billionaire Wshar Branson, failed to secure the funding needed to keep operating and has filed for bankruptcy. Virgin Orbit had cut about eighty five percent of its staff. The company listed two hundred and forty three million dollars in assets and one hundred and fifty three point five million for its total debt

in a Chapter eleven petition filed in Delaware Caroline. Now, let's just shift gears a little bit time for Wall Street Beat, and today we are focusing in on Jamie Diamond's annual letter to shareholders, because not only did he talk about banking collapses, he also talked a lot about tech, a lot about chat chypt and let's run through it all with Brilian Motionali Bassett. First, let's talk about the banking implications, because we see big banks down once again

on the day. Absolutely he talked about things hiding in plain sight. He mentioned that in terms of Silicon Valley Bank, but also Credit Squeez. Remember this rising interest rate environment has posed a lot of different risk for banks that

have seen deposit bases. Now we are paying attention to this year, but really the deposit base across America's banks have been reduced by about a trillion dollars since twenty twenty two, and so a lot of pressure when you look at the smaller banks, in particular, of which JP Morgan banks three hundred and fifty of more than four thousand in this country alone. Hashnali, we've got the Jamie Diamonds take on artsfiicial intelligence. Yeah, it's pretty fascinating. Here

he goes into it quite a bit. And remember this is a big deal for a few reasons. Ed one because he gives you a number here, more than a thousand people involved in data management, nine hundred data scientists, machine learning experts, and more than six hundred machine learning engineers. Remember JP Morgan has a workforce of about three hundred thousand.

But when I talk to you about my other conversations I'm having, for example, with other banks, they'll tell me now that it's been easier to hire from places like Amazon than ever before, and they're finding a lot of benefits to doing that sort of thing as they build up their own ranks of technology to make their businesses more efficient. But also more competitive. He also talks about a two hundred person AI group within JP Morgan looking

at new frontiers. Lastly, in addition to AI and the ability to use AI more within JP Morgan's own business, he talks about the necessity of a cloud and spending over two billion dollars on cloud infrastructure cloud based data centers to make this transition, which he calls hard work

but necessary. It's interesting that at a time where we know JP Morgan has in many ways said you can't be using open aiyes technology when you're working within the bank, but they're obviosly implicating and using it to fight forward in particular, right, that seems to be a risk element here. Yeah, I think you've hit the nail on the head here the idea of open aiyes technology versus technology that is self developed within JP Morgan. There are so many rules

around data and how data is communicated. This is a different example, but think about what happened with the banks and WhatsApp. Right, You're dealing with a lot of sensitive data across the world's tied to deals or tied to customers. So this is a matter of choosing which technology is right. But the idea of AI changing this business is not up for dispute, all right, Boombo Sinali ba'st with the

Wall Street Beats. Welcome back to Bloomberg Technology. I'm Caroline Hyde in New York and I made lovelow in San Francisco now at about a month ago, just a few weeks before the administration unveiled some of its most aggressive anti hacking measures yet chrissing this America's first cyber director, as she stepped down from his post. Now appears the reason was primarily due to clashes with another top officials.

All according to people familiar and indeed some correspondence that Bloomberg saw in all highlights basically deep internal strife within the president's new cyberteam between those. Katrina Manson joins us for more on what is Bloomberg exclusive working closely with your colleagues on this. Is it just friction at the

top that happened here? Well, if you go by what Chris Inglis said in his email, which re reviewed in this story that was led by my colleague William Turton, he feels that and new Burger, the other top cyber official at the White House, withheld information from him and actually work to undermine the very strategy that he was

trying to roll out for the nation. This is the nation's first cyber strategy under under his watch, and so it's a huge accusation that he's making in private to a former colleague, and certainly I think sending ripples through this Biden administration that has talked so much about creating a joined up team to tackle some of the big cyber issues this country basis because it was seen as

a dream team, wasn't it. These three executives, all with really deep intelligence experience, coming on at a time where we were worried. We're worried about infrastructure being impacted by hacking. Yes, and I think the US was not at the pace of the threat. I think many people would say it still isn't. So there is so much more to be done. That's what this strategy is supposed to fix. And to have had this problem at the top these claims that

a Newburger also made some claims. She said that the new office that Chris Inglis was running, that they were not that they were frequently unrealistic about timelines. There has just clearly been discord between the two of them and between their officers. I think the question is to what extent does this undermine the actual effort to face off this cyber threat. If you ask a Newburger, she says in a statement to US, reports of discord have had

little if any impact on the proceedings. But I think you've got to look to the fact that Chris Inglis has resigned for six weeks, that post has gone unfilled. There's an acting but the administration now needs to nominate someone and they're congratsionally mandated to do that, and at the moment, there's no one rolling out the clan to actually implement that cyber strategy, and that's all to be done under the oversight of the NSC. Where a new burgers.

So when we do speak to people, we do hear that there is an expectation that this kind of friction, maybe not on this same level, but certainly friction is expected to continue. You've got two new officers in the same White House trying to do some of the same job, so good tre The core of this is a turf war, which we love in the world of technology, but it's also early days in the Biden strategy around cyber So what's the reaction. What does President Biden do to resolve this? Well,

I think they have to appoint someone. We've heard that they are planning to appoint someone soon. Who that person is will be obviously very interesting. There are a lot of people endorsing the acting director at the moment, Kember Walden. She'd been in there for a long time. She'd been

working hand in hand with Chris inglis So. I think Congress will be looking for who do they actually want to give this role to in future and to what extend anyone, especially now with all of this out in the open, really going to try and make these teams work together? All right? Bloom Birds, Katrina Manson, thank you

very much. The venture arm of Saudi Arabia's Sovereign Wealth Fund disclosed its ties to more than fifty venture capital and private equity firms, including Blackstone and KKI, and one of the first public disclosures of its investments. The Saudi Fund says it commits around two billion dollars each year into quote, venture, growth and small buyout assets worldwide. Other firms it names include Andresen Horowitz, General Atlantic, Hellman and Friedman,

and Plane Equity. A stick in the world of venture capital in the US and bring in Union Square Ventures managing partner Rebecca Caden for her read on what is still a digest of the post SVB collapse and the health of ecosystems of American startups. Rebecca, I want to start right now with access to capital. Sure, what's your read on the health of startups and their ability to access capital in the weeks that have followed svb's collapse.

I think we're kind of slowly finding our norm there's definitely ripple effects and it's not going to reverse so quickly. People are trying to figure out the world we're living in and the normal. But at the same time, there's a lot of exciting innovation happening. There's platform shifts that we haven't seen in a long time, and investments are getting made. So it's a challenging ecosystem, but it's also still an active ecosystem. You've been writing checks in twenty

twenty three. Who may I I see one of them, Journey clinical one that you've written about and worked about. Yep, this is about health mental well being in particular, but there is, of course, you want important artificial intelligence sort of being led in in certain areas right. Yes, absolutely, I think you know, everyone is a buzz with AI and for a good reason. I think we're seeing opportunity and potential platform shift that we haven't seen in a

long time. So layered on a complicated economic environment, there's a lot of cool stuff to be excited about. Can you dig in into what the layer is all that we should be looking at the cool stuff? Because is it the modelmakers? Everyone whispering chachybt and open ai seems to be the only company that we can really talk about. But there are the applications. It's the people with the bodies of data that these AIS models can get to grips with. Who wins out here? Where is the actual

money going to be made? Yeah, I think we're in the time with as many questions and kind of opportunities to discover as we are answers to that. But the first question is where will equity value accrue? And we know the fundamental models and the lms are accruing a lot of value. But over time, we believe the application layer on top, how those lms interface with industry and

with consumer will get really interested. There's just a question of timing and how long that takes to evolve, but we think, you know, the consumer applications and also how AI and some of these opportunities intersect things like education and healthcare are going to provide major opportunities. A Life, for example, I do just want to bring you in here.

A Life is one investment that Rebecca has talked about, and that really is an application of artificial intelligence to be able to actually increase your chances of getting pregnant. This is AI within the healthcare scene, but we start to see in some ways some marketing play here when it comes to AI too, right, Yeah, that's what intrigues me, Rebecca.

Do you invest in companies that are working on the underlying technology trying to move artificial intelligence as a field forward or do you go to those companies that are trying to seize the technology and offer a service using it. You know, I think there's going to be major opportunities in both. But for us, we're really interested in that application layer and that intersection with industry as an A

life as a great example there. When you think about how the opportunity for massive bodies of data to impact how diagnosing works or how you know, women can get pregnant, how you can take opportunities where people are making decisions based on individual experience and bodies of knowledge and instead apply vast universal data sets to personalize that. You can think about how that applies to all kinds of different things, and that application layer gets very exciting. You are a

thesis driven venture firm. How much were you paying attention to those eleven hundred or so AI participants who said time to hit pause on developing next gen tech? You know, we're paying attention to that and also a lot of the complexities here. I think, as with any technology shift,

there's opportunity and there's also a lot of questions. And I think we've learned from prior technology shifts that maybe we don't ask those questions enough, and AI is one where I think we really do need to ask them. Where there's going to be massive opportunity to drive value, drive personalization, and drive access, but we also have to

think about the implications. I don't know if that answer is the right answer, but it's on all of us and particularly investors, to think about the questions and the potential falls, you know, as well as all the opportunity and value it creates. You know, we've been so busy. Caroline recently uttering the words artificial intelligence. We haven't even had any time to say the words crypto and currency. We did a bit earlier with doscoin on the rise.

That seems to be the new Twitter theme of choice. But Rebecca Unit Spare a Ventures is focused on Web three has been very involved in the crypto ecosystem here in New York as well. What do you make of the hype cycle we see ANAI, the hype cycle was sore in crypto and where the valuations are playing out right now? Yeah, Look, crypto is in a challenging moment.

It's hard to argue with that, and partly for some good reason, but USB's interest in crypto is really about the underlying opportunity for decentralization and what decentralization can do for innovation, technology, data drawing back power to the individual out of platforms, and we think that opportunity is stronger than ever, you know, just maybe not in those end tokens right now. So we think these will be you know,

cyclical and seasonal, but we're still really excited about it. Cyclical, seasonal. Where now in terms of where are you at in terms of finding the right founda and where are you finding that founda? You are based here in newal but it's very much a global focus for you at the moment. Where are people building great technology? I think one of the most exciting things that's going on is that people are building great technology everywhere. We're very excited about the

New York ecosystem. We think when entrepreneurs have had a chance to choose where to live, many of them have chosen New York even more than before, and we're excited to contribute to that growth. But the USB portfolio is increasingly global. We think teams are increasingly global, and innovation is coming from lots of different corners, particularly as technology and industry intersect, and we think that will continue. Rebecca,

We're trying to shape up the data. You know how twenty twenty three is going to look relative to twenty twenty one and twenty twenty two. Growth rounds in particular seem to go away in twenty twenty two. Your industry colleagues talk a lot with optimism about early stage. How do you be nimble in that respect? Your USB is a pretty focused fund. We really focus in on seed in Series A investments and then only opportunistically go a bit later. The early innovation ecosystem, there's a lot to

look for there. You know, we talked about AI, but we talked about crypto, but there's a lot of other corners as well where technology is really driving value. So early stage we're seeing a lot of activity. Growth stage is harder. Right now, you're seeing the market really clench and wait to figure out where things land. And I'm not so sure that's going to settle very soon. We think there may be you know, it's still a stretch ahead, so twenty twenty three may be slow there as well.

Hey Rebecca, you're out there in New York City with my good friend Caroline Hide. What's it like being a VC in New York right now? What's the scene like? New York is thriving. I think it's an exciting place to build and it's an exciting place to invest. The community is really really strong. We are seeing lots of people come through think that they're you know, stopping by, and wind up making it their permanent home to build companies.

The talent ecosystem has grown tremendously. I think, you know, coming out of the pandemic, people felt a lot more choice about where they wanted to live and when that happened. They love New York because New York is a fantastic city. It's not without its challenges, but it's a great place to live and to meet and to think about that intersection of how technology crosses the other ways we live. And so it's never been more exciting to be here as an investor, and we love drilling into it. Hey

with you, Unions have Benches. Managing partner Rebecca Caden, a joy to have you with us, Thank you, And well, we talked about the New York scene, Ed, let's get back to your scene, the San Francisco Bay area, when in fact, two things you love you love soccer two and it's getting a new women's professional soccer team. We're backing from another former Meta executive, Cheryl Samberg, and with former US national team stars including Brandy Chasten and founding

partners as well. The one hundred and twenty five million dollar investment is being led by Sixth Street and the group says it is the largest to date in women's soccer. And let's take a look in fact at Alma Matter Meta for Cheryl Samberg. Of course, the company is actually just trading flat today, even though the rest of the market is lower. Company has been actually relatively impressing all Street of late analysts turning more bullish on the stock.

They're cutting costs. Of course, they're stabilizing advertising trends. We understand Facebook's owner. Therefore the stock books more durable in looming economic slowdown. So say those sell side analysts, all right, coming up, Warner Brothers nearing a deal for that Harry Potter TV show. We're going to bring you that Bloomberg reporting, which I have to say took a lot of people by surprise Friday night. Some headlines crossing the Bloomberg terminal.

Twitter has been sued for layoffs of contract workers without giving notice. This is a class class action lawsuit, Caroline, which follows on from those twenty twenty two mass layoffs headlines crossing the Bloomberg. Twitter being sued for layoffs of contract workers without notice. Of course, that was a big part of Elon Musk's first action when he came into Twitter after buying it some pretty deep cuts. We'll all

track that story for you. This is Bloomberg, Warner Brothers nearing a deal for a new Harry Potter television series. Each season of the series will be based on one of JK rowling seven books, suggesting years of fresh content. Bloombog's Chris pal Mary joins us with the details. The Bloomberg reporting is quite detailed that this is part of

a broader streaming strategy. Chris, what do we know? Well, yeah, I mean so, David says, all have the CEO of Warner Brothers Discovery is you know, the company's had some trouble since the big merger last year. People aren't convinced that the strategy was a sound one to do this big deal, take on fifty billion in debt. So what he's really been trying to do is refocus the company on some high profile franchises that are going to cut through all the clutter. Certainly, it doesn't get much more

high profile than this Harry Potter. And how hard has it been to convince JK Rowling to go this route again, to focus in on more TV series. This has been in the work for years, so previous management started it, and you know, it's still not a done deal. We're told it's it's pretty close. You know, there's some issues that have emerged recently with Miss Rawlings. She's a very opinionated woman and so Warner Brothers is going to have to navigate that issue. Obviously, they want her a unique

storytelling skills involved in this project. We probably don't want to make her the face of it, given her comments about issues soum. So this is a complicated, you know, big deal, but it looks to be close to being announced. Myself and producer John Highland, we've been playing Hogwart's legacy Chris on PS five, John on Xbox whatever. But the point here is that this is a brand that that is broader than just the films. Right, How is HBO

in particularly use that strategy? Well, you know, Warner Brothers has had the film rights for a long time. You know, they did the prequels, um and you know this fills over into so many you know, Universal has the theme parts, but you know as collapsed the book publishing, but there's there's so many elements of this the Warner Brothers can still tap and these companies, you know as they you know, planned this big event on Wednesday, We're going to unveil

the new Max, the HBO Max's new name. They need these sort of marquee properties these long live properties that keep subscribers engaged. So that's really the big payoff for Warner Brothers, this long term, high quality franchise seventh series. See who can get their way through all of it. I'm sure many will. Bloomberg's christ Palmery absolutely brilliant to have you. Thank you. Now, let's return to what's happening right here in New York City. Former President Donald Trump

preparing to surrender to authorities. His arraignment is scheduled for two fifteen pm Easton and Lower Manhattan. Now, Trumps lawyers saying he will plead not guilty. Bloomerg's Amory Howden is there in the crowd outside New York's Supreme Court. It really seems to be more people, more jostling. How does it feel. Yeah, certainly since the last time we spoke just about an hour ago, they're more people are starting

to gather. Many of these individuals, I would say the crowd is split fifty fifty those in favor and are here to support the former president and those that are here to support his indictment and this arraignment and want

to see the end of Trump world. We also should know there's been a higher presence of the SECURE and the NYPD here and of course their journalists that want to capture a moment of history, because this is not just a former US president, but this is the presidential candidate, a presidential canidate, but the one that's leading in the

polls for twenty twenty four. And one thing that has certainly been very apparent since the news of the indictment came about is Trump's campaign every day has been updating us on how much money the campaign has been bringing in, and at this moment it's north of eight million dollars. He has a very strong base, about thirty percent of the Republican Party, but this really has made other Republicans come out and also go against the Manhattan DA and

in support of him and Marie. The judge is not allowing broadcasters in for the arraignment, but do we expect to hear from the former president? So I was speaking to someone part of Trump world just a little bit ago who was saying how there was this possibility the president would the former president would address the crowd. That's going to be obviously very difficult, right, this is a high hostile place. At times. I did see a physical

altercation between two individuals earlier. But we do know that the former president for sure will be giving this primetime address at his residence in Florida mar Lago. So when he leaves the courthouse behind me, he will go back to Palm Beach and that is where he is going to address supporters and also some very strong Republicans that support him in Congress. We had here today the likes

that you'd probably would see in mar Lago. Marjorie Taylor Green, a congresswoman from Georgia, as well as George Santos, a congressman enough far from here, from Long Island. These individuals came out and supported the president. You're going to see similar faces in mar Lago, and you're gonna hear similar rhetoric from the president. Remember he said that he was going to be addresident. He said there would be death and destruction Rivoden. Thank you, Caroline. That does it for

this addition of Bloomberg technology. You do not forget to check out our podcast. There yeah so much to recap, Apples, Spotify, iHeart, wherever you get your podcast. This is Bloomberg