Bloomberg Audio Studios, Podcasts, radio news.

Bloomberg Audio Studios, Podcasts, radio news.

This is Bloomberg Business Week with Carol Messer and Tim Steneveek on Bloomberg Radio.

This is Bloomberg Business Week with Carol Messer and Tim Steneveek on Bloomberg Radio.

Just back from Milkin and we talked a little bit about the deal making environment.

Just back from Milkin and we talked a little bit about the deal making environment.

It's been slow, but IPOs do happen. And Read It of course having its IPO this year.

It's been slow, but IPOs do happen. And Read It of course having its IPO this year.

Steve Houffman, of course, his co founder and CEO of Read It. He joins us here live at the Bloomberg Tech Conference Earlier this week. I was covering your earnings, the first earnings that you guys had as a publicly traded company. You guys just knocked out.

Steve Houffman, of course, his co founder and CEO of Read It. He joins us here live at the Bloomberg Tech Conference Earlier this week. I was covering your earnings, the first earnings that you guys had as a publicly traded company. You guys just knocked out.

Of the park.

Of the park.

We had a nice quarter. We're happy with it.

We had a nice quarter. We're happy with it.

Revenue forty eight percent, users thirty seven percent.

Revenue forty eight percent, users thirty seven percent.

I think it's a great way to start, and I think we're pretty happy.

I think it's a great way to start, and I think we're pretty happy.

What was it that worked well for you for the quarter?

What was it that worked well for you for the quarter?

Well, look the way I've been describing the folks our as our work is working. And so this has been really a multi year effort of making you read it like it's easy to say, it's easier to use faster, easier to sign up, easier to find your home, and.

Well, look the way I've been describing the folks our as our work is working. And so this has been really a multi year effort of making you read it like it's easy to say, it's easier to use faster, easier to sign up, easier to find your home, and.

It's paying off.

It's paying off.

We should know when you say multi year, you don't just mean like a couple of years. I mean Reddit is like a company that is almost as old as as Facebook at this point, and it was a much longer path year ibo.

We should know when you say multi year, you don't just mean like a couple of years. I mean Reddit is like a company that is almost as old as as Facebook at this point, and it was a much longer path year ibo.

So we started the company in two thousand and five, I mean, and we've had a journey, right.

So we started the company in two thousand and five, I mean, and we've had a journey, right.

We sold the company and spun out. I left, I came back.

We sold the company and spun out. I left, I came back.

I'd say, really the kind of modern era of Reddit started at twenty fifteen, That's when I came back.

I'd say, really the kind of modern era of Reddit started at twenty fifteen, That's when I came back.

But it was really a couple of years ago where I told the company.

But it was really a couple of years ago where I told the company.

I was like, we need to but being so academic about our work and just make Reddit better, just focus on quality.

I was like, we need to but being so academic about our work and just make Reddit better, just focus on quality.

Well, so how talk to a little bit about how you do and continue to make it better.

Well, so how talk to a little bit about how you do and continue to make it better.

There was a quote I think on the earnings about you say, building the next generation of Reddit.

There was a quote I think on the earnings about you say, building the next generation of Reddit.

So how do you think about that, Steve? In a world where we are talking a lot about AI.

So how do you think about that, Steve? In a world where we are talking a lot about AI.

We know of the data that you guys have on your platforms, it's smart data, it's targeted data.

We know of the data that you guys have on your platforms, it's smart data, it's targeted data.

What is the next generation of Reddit? What does that really mean?

What is the next generation of Reddit? What does that really mean?

So? Reddit is people, right, people create community that have incredible conversation. So really what we're doing is revealing that now as it happens, people are users, but any people really they have I think a deep down need or community and a sense of belongings, and that's what we provide now. At the same time, these conversations they're having are totally.

So? Reddit is people, right, people create community that have incredible conversation. So really what we're doing is revealing that now as it happens, people are users, but any people really they have I think a deep down need or community and a sense of belongings, and that's what we provide now. At the same time, these conversations they're having are totally.

Unique on the Internet.

Unique on the Internet.

So where increasingly more and more content online is written by AI, is written by machines, there's a premium now on content that's made by humans or it comes from humans, and I think people have a craving increasingly through that realness as well.

So where increasingly more and more content online is written by AI, is written by machines, there's a premium now on content that's made by humans or it comes from humans, and I think people have a craving increasingly through that realness as well.

I'm wondering about the content policy that you guys rolled out today, because the whole idea here is to create a place for Reddit content to actually help train AI models. So you have a deal right now out there with Alphabet's Google to help it train its AI models. What works about Reddit's content and how do you balance that with making sure that the people who contribute there feel are not contributing to developing an AI algorithm.

I'm wondering about the content policy that you guys rolled out today, because the whole idea here is to create a place for Reddit content to actually help train AI models. So you have a deal right now out there with Alphabet's Google to help it train its AI models. What works about Reddit's content and how do you balance that with making sure that the people who contribute there feel are not contributing to developing an AI algorithm.

So Reddit has been open for a long time and we love that about Reddit, and we've been very well indexed in search and Google Search for example, and I think of AI the AIS that we've seen as like search two point zero and so it's important for us or we like Reddit being out there and our content being out there. It helps users find their home on Reddit. It helps people get answers to questions. I think this is very powerful. But what we announced this morning is that we can't just be completely permissive. We have to be very picky about who we work with, and we're gonna work with partners like Google who will do so on our terms, right, not reverse engineer the identity of our users, not try to use public content and Reddit to target ads or things like that, but.

So Reddit has been open for a long time and we love that about Reddit, and we've been very well indexed in search and Google Search for example, and I think of AI the AIS that we've seen as like search two point zero and so it's important for us or we like Reddit being out there and our content being out there. It helps users find their home on Reddit. It helps people get answers to questions. I think this is very powerful. But what we announced this morning is that we can't just be completely permissive. We have to be very picky about who we work with, and we're gonna work with partners like Google who will do so on our terms, right, not reverse engineer the identity of our users, not try to use public content and Reddit to target ads or things like that, but.

Really use it for what it's attended for.

Really use it for what it's attended for.

It's just advancing the state of the art and helping people find their home on Reddit.

It's just advancing the state of the art and helping people find their home on Reddit.

It does feel like we're going into new generation, maybe more informed generation, if you will, when it comes to this social media world. Is that fair after seeing some of the stumbles of kind of the first round, if you will.

It does feel like we're going into new generation, maybe more informed generation, if you will, when it comes to this social media world. Is that fair after seeing some of the stumbles of kind of the first round, if you will.

So the way I think about this ecosystem.

So the way I think about this ecosystem.

I'm not just saying Reddit, I'm just talking more broadly social media.

I'm not just saying Reddit, I'm just talking more broadly social media.

Well, so Reddit, remember we started in two thousand and five, so we actually pre date the word social media and the idea of influencer.

Well, so Reddit, remember we started in two thousand and five, so we actually pre date the word social media and the idea of influencer.

There was a time when that happened.

There was a time when that happened.

Yeah, and so I feel like we're kind of going through this evolution where Reddit's becoming more mainstream and increasingly people who maybe have grown up with social media are seeing that, hey, there's another way, and this might be a better way or a better fit for them, right because Reddit is free of a lot of the I think incentives or misincentives that calls people to behave unnaturally, because like on Reddit, people just help each other and you don't get credit for it in real life.

Yeah, and so I feel like we're kind of going through this evolution where Reddit's becoming more mainstream and increasingly people who maybe have grown up with social media are seeing that, hey, there's another way, and this might be a better way or a better fit for them, right because Reddit is free of a lot of the I think incentives or misincentives that calls people to behave unnaturally, because like on Reddit, people just help each other and you don't get credit for it in real life.

So the only reason you do it is.

So the only reason you do it is.

Because you enjoy doing it, and I think that's really special.

Because you enjoy doing it, and I think that's really special.

Yeah, I feel like I'm actually so late to the party. I've talked about this.

Yeah, I feel like I'm actually so late to the party. I've talked about this.

I can't tell you what time he talks about it.

I can't tell you what time he talks about it.

I'm not a young person, and like I basically feel like I just discovered Reddit, and it's probably the platform that I spend the most time on. It has communities for you know, I'm a cyclist. I live in a certain part of New York. Like I can follow all of these communities, and it's like it's super helpful too.

I'm not a young person, and like I basically feel like I just discovered Reddit, and it's probably the platform that I spend the most time on. It has communities for you know, I'm a cyclist. I live in a certain part of New York. Like I can follow all of these communities, and it's like it's super helpful too.

With like home improvement stuff. I'm finding it.

With like home improvement stuff. I'm finding it.

How do you how do you get more people like me to find it? Sort Of later in there.

How do you how do you get more people like me to find it? Sort Of later in there.

Hey, you're doing your part.

Hey, you're doing your part.

I am, but I feel like like my brothers are like, yeah, this has been around.

I am, but I feel like like my brothers are like, yeah, this has been around.

So this is the funny thing about our demographics that we're actually what we're seeing as people age out or social media and they age into reading.

So this is the funny thing about our demographics that we're actually what we're seeing as people age out or social media and they age into reading.

So it's kind of pick people up, you know. We call them a.

So it's kind of pick people up, you know. We call them a.

Merging adults EVE in their early twenties, late teenage. The peak of the bell curve is maybe twenty five, but I've increasingly seen sixty and seventy.

Merging adults EVE in their early twenties, late teenage. The peak of the bell curve is maybe twenty five, but I've increasingly seen sixty and seventy.

Year old on reading.

Year old on reading.

The way I describe it is whatever you're into or going through just in life, it's on Reddit somewhere.

The way I describe it is whatever you're into or going through just in life, it's on Reddit somewhere.

It's just people. And so yeah, I think the platform is a little older.

It's just people. And so yeah, I think the platform is a little older.

Something that you've brought up a lot lately is the idea of when you're googling something, you actually find reddit answers in Google. How big of a traffic driver is that to you?

Something that you've brought up a lot lately is the idea of when you're googling something, you actually find reddit answers in Google. How big of a traffic driver is that to you?

It's a big one, Like how big it's coming gone, It's coming gone. Over the years, but we've been seeing more traffic from Google because we made the website much faster, and Google like speed, so faster website rank higher. And then again I think there's beend this secular shift towards people want to hear from other real people, and that's what we provide. I think Google's pretty good just as the search engine of figuring out what are people actually looking for? It happens to be Reddit right now.

It's a big one, Like how big it's coming gone, It's coming gone. Over the years, but we've been seeing more traffic from Google because we made the website much faster, and Google like speed, so faster website rank higher. And then again I think there's beend this secular shift towards people want to hear from other real people, and that's what we provide. I think Google's pretty good just as the search engine of figuring out what are people actually looking for? It happens to be Reddit right now.

What's it like to come back to the company, you know.

What's it like to come back to the company, you know.

So it's nine years ago when I came back to Reddit, it was going through difficult time. But look, I love readdit so much. I think Reddit is so important and the opportunity is so big that I mean, honestly, it's my dream job. I feel so thankful to have this job and to really to have had it twice, you know, once the first.

So it's nine years ago when I came back to Reddit, it was going through difficult time. But look, I love readdit so much. I think Reddit is so important and the opportunity is so big that I mean, honestly, it's my dream job. I feel so thankful to have this job and to really to have had it twice, you know, once the first.

Time and having come back it's it's.

Time and having come back it's it's.

It's sometimes I I just kind of pinched myself.

It's sometimes I I just kind of pinched myself.

It feels so incredibly fortunate.

It feels so incredibly fortunate.

And being a publicly held company, I mean, it's I think ipoing is it's a big milestone. But I've likened it to getting married. A lot of planning a big special moment, you know.

And being a publicly held company, I mean, it's I think ipoing is it's a big milestone. But I've likened it to getting married. A lot of planning a big special moment, you know.

But we went out.

But we went out.

We went out on a Thursday and on Monday, it's like, Okay, got work work.

We went out on a Thursday and on Monday, it's like, Okay, got work work.

Where do you see yourself fitting in in this in the social media ecosystem?

Where do you see yourself fitting in in this in the social media ecosystem?

Is it you have TikTok.

Is it you have TikTok.

You have meta platforms or jo ones, Instagram, I mean, you have YouTube, They just dominate.

You have meta platforms or jo ones, Instagram, I mean, you have YouTube, They just dominate.

Where do you fit in? We've been doing our own thing for such a long time.

Where do you fit in? We've been doing our own thing for such a long time.

If you were to look at our traffic, you would not see the rise or fall of any other social media platform. So we've we've kind of grown up in our own image. We we like the way we do things, and what we're seeing is that people recently just appreciate.

If you were to look at our traffic, you would not see the rise or fall of any other social media platform. So we've we've kind of grown up in our own image. We we like the way we do things, and what we're seeing is that people recently just appreciate.

The Reddit way versus maybe what you find somewhere else.

The Reddit way versus maybe what you find somewhere else.

The biggest challenge for you guys going forward, what do you see that as?

The biggest challenge for you guys going forward, what do you see that as?

So I think it's similar to that last question, staying true to our values from the way we do things. And so I often remind the company we're here for our reason. We get to survive because we've done things the Reddit way, and it means sometimes we've maybe not grown as fast as we could have because we said, hey, that doesn't fit the way we do things. And so I think we have to take pressure to grow and pressure to do things this or that, yeah, and just filter them through, well, how does it fit with Reddit?

So I think it's similar to that last question, staying true to our values from the way we do things. And so I often remind the company we're here for our reason. We get to survive because we've done things the Reddit way, and it means sometimes we've maybe not grown as fast as we could have because we said, hey, that doesn't fit the way we do things. And so I think we have to take pressure to grow and pressure to do things this or that, yeah, and just filter them through, well, how does it fit with Reddit?

And how do we make sure we stay true to ourselves?

And how do we make sure we stay true to ourselves?

Yeah, we should be tough as a publicly held company.

Yeah, we should be tough as a publicly held company.

As you know, it can be tough. But I think we're ready for you.

As you know, it can be tough. But I think we're ready for you.

She've helped me.

She've helped me.

The co founder of course and CEO have read it well. The new issue a Bloomberg Business Week. It is out on newsstands.

The co founder of course and CEO have read it well. The new issue a Bloomberg Business Week. It is out on newsstands.

Online and on the Bloomberg and there's a very special section. It's about the folks to watch. The ones to watch is what we call it. It's the section.

Online and on the Bloomberg and there's a very special section. It's about the folks to watch. The ones to watch is what we call it. It's the section.

And these are and tim necessarily, the Tim Cooks, the sam Autmans, the Jents and Wongs, the Lisa sus. In other words, they aren't household names, at least not yet. And that's where we want to get to today. Are startup bounders. They're big tech managers. They're low key investors, even a bureaucrat who could play a bigger role than you realize in shaping our future.

And these are and tim necessarily, the Tim Cooks, the sam Autmans, the Jents and Wongs, the Lisa sus. In other words, they aren't household names, at least not yet. And that's where we want to get to today. Are startup bounders. They're big tech managers. They're low key investors, even a bureaucrat who could play a bigger role than you realize in shaping our future.

This is why they are the ones to watch.

This is why they are the ones to watch.

And we got a couple of them with us here right now onsite of the Bloomberg.

And we got a couple of them with us here right now onsite of the Bloomberg.

Technology summits too.

Technology summits too.

Sure.

Sure.

Alaala is a co founder and CEO of Razor Group. It's an Amazon aggregator. It's backed by the private equity armor of Bernardo no the world's Richard Evin Reiser, co founder and CEO of Admiral Security, calls itself a precision of human behavior security entry that protects the cloud office from email attacks.

Alaala is a co founder and CEO of Razor Group. It's an Amazon aggregator. It's backed by the private equity armor of Bernardo no the world's Richard Evin Reiser, co founder and CEO of Admiral Security, calls itself a precision of human behavior security entry that protects the cloud office from email attacks.

Heavin earthing to have.

Heavin earthing to have.

You with us.

You with us.

Thank you Smarts for having us.

Thank you Smarts for having us.

Yeah, thanks for joining us.

Yeah, thanks for joining us.

I want to start with what is an Amazon aggregator?

I want to start with what is an Amazon aggregator?

Okay, Well, our company started in sort of the twenty twenty one capitalive booms where we went out and started to a are Amazon FBA businesses because those businesses Amazon well.

Okay, Well, our company started in sort of the twenty twenty one capitalive booms where we went out and started to a are Amazon FBA businesses because those businesses Amazon well.

FBA sends for filled by Amazon.

FBA sends for filled by Amazon.

Explain what that is.

Explain what that is.

These are essentially merchants on the.

These are essentially merchants on the.

Amazon platform that use Amazon's infrastructure to fulfill consumer goods to the end consumer and FBA aggregators are companies that acquire these businesses and aggregate. And that's sort of where our journey started. But I'd say since markets shifted roughly in twenty twenty two, you know, the you know, the industry reoriented itself, and so we are very much now consolidating our peers. We're the largest in the ecosystem. We've acquired four of our peers. We acquired Perch Group, which was the second largest player in the US. We're a Berlin based company, And as we look to the future of Razor Group, we see our future as the Western response to Tamu Chinese models like Tamu and Sian.

Amazon platform that use Amazon's infrastructure to fulfill consumer goods to the end consumer and FBA aggregators are companies that acquire these businesses and aggregate. And that's sort of where our journey started. But I'd say since markets shifted roughly in twenty twenty two, you know, the you know, the industry reoriented itself, and so we are very much now consolidating our peers. We're the largest in the ecosystem. We've acquired four of our peers. We acquired Perch Group, which was the second largest player in the US. We're a Berlin based company, And as we look to the future of Razor Group, we see our future as the Western response to Tamu Chinese models like Tamu and Sian.

Right, all right, so somebody comes up to you and says, okay, you're on this list the ones to watch.

Right, all right, so somebody comes up to you and says, okay, you're on this list the ones to watch.

Why should we be watching you?

Why should we be watching you?

Sorry, it comes up to you and says, okay, you're on this list ones to watch. Right, these are the visionaries for the future. What do you say, why are you one of the companies to watch?

Sorry, it comes up to you and says, okay, you're on this list ones to watch. Right, these are the visionaries for the future. What do you say, why are you one of the companies to watch?

You know, I think you know.

You know, I think you know.

What we'll bring to Western consumer markets is the concept of C two whim, which is consumer to manufacturer, So our ability to you know, it.

What we'll bring to Western consumer markets is the concept of C two whim, which is consumer to manufacturer, So our ability to you know, it.

Is a whole different way of thinking.

Is a whole different way of thinking.

It's a very very different way to think about consumer.

It's a very very different way to think about consumer.

And so we believe the supply chain and consumer is something that traditionally did not get so much loved by by the tech environment and tech companies, and so technifying supply chains leading up to Western consumer markets is something that we'll focus on with hyper fast product innovation cycles really consumer goods of the future. And so I hope, you know, we'll be known for building and trading and crafting consumer products at scale in relevant categories you know, for tomorrow's consumer turiser.

And so we believe the supply chain and consumer is something that traditionally did not get so much loved by by the tech environment and tech companies, and so technifying supply chains leading up to Western consumer markets is something that we'll focus on with hyper fast product innovation cycles really consumer goods of the future. And so I hope, you know, we'll be known for building and trading and crafting consumer products at scale in relevant categories you know, for tomorrow's consumer turiser.

Come on in here and talk a little bit about what you do over at Abnormal Security. You should note that fifteen percent of the Fortune five hundred companies are among the customers. You have about two thousand of them. You've raised three hundred million dollars from investors. It's valued at four billion dollars. It's not just like I was trying to describe it in this intro. It's not like a typical like cybersecurity firm. Explain why it's different.

Come on in here and talk a little bit about what you do over at Abnormal Security. You should note that fifteen percent of the Fortune five hundred companies are among the customers. You have about two thousand of them. You've raised three hundred million dollars from investors. It's valued at four billion dollars. It's not just like I was trying to describe it in this intro. It's not like a typical like cybersecurity firm. Explain why it's different.

That's right.

That's right.

So anal security where a behavioral platforms or is mean behavioral. So we stop the cyberga attacks you know about fishing, fraud, social we approach is fundamentally different. We're looking at human behavior, trying to understand the normal patterns of behavior and look for anomalies. That's very effective for stopping attacks I've never been seen before, which is why, after you know, being the market for five years, we already have one out of five Fortune organizations as customers.

So anal security where a behavioral platforms or is mean behavioral. So we stop the cyberga attacks you know about fishing, fraud, social we approach is fundamentally different. We're looking at human behavior, trying to understand the normal patterns of behavior and look for anomalies. That's very effective for stopping attacks I've never been seen before, which is why, after you know, being the market for five years, we already have one out of five Fortune organizations as customers.

It's a a little different way of looking at it. Talk to us about the kind of behavior that you guys are picking up on.

It's a a little different way of looking at it. Talk to us about the kind of behavior that you guys are picking up on.

Yeah, so conventional security is focused on known bad stuff, right, And if you know every ticket's ever happened, you can stop a lot, but you can't stop the next thing.

Yeah, so conventional security is focused on known bad stuff, right, And if you know every ticket's ever happened, you can stop a lot, but you can't stop the next thing.

It's those new things things that cause the most damage.

It's those new things things that cause the most damage.

So rather looking at bad stuff right, ip addresses, URLs, email addresses that are going to be bad, but we do try to really understand known good.

So rather looking at bad stuff right, ip addresses, URLs, email addresses that are going to be bad, but we do try to really understand known good.

We look at the patterns of behavior and business.

We look at the patterns of behavior and business.

So you know, when we email each other, we might talk very casually right and not formally right, or use different types of language or tone of personality. So by integrating into enterprise environments, we can build a baseline model of how people work, who they talk to, their relationships, their personality, and then when we see deviations or abnormalities from that, we then can use that as a.

So you know, when we email each other, we might talk very casually right and not formally right, or use different types of language or tone of personality. So by integrating into enterprise environments, we can build a baseline model of how people work, who they talk to, their relationships, their personality, and then when we see deviations or abnormalities from that, we then can use that as a.

Basis for a stopping crime.

Basis for a stopping crime.

You know, I feel like in the financial community, think about that a lot, right in analyzing you know, that's a regulatory environment, and oversee like emails and the way people communicate to pick them on a trend.

You know, I feel like in the financial community, think about that a lot, right in analyzing you know, that's a regulatory environment, and oversee like emails and the way people communicate to pick them on a trend.

In terms of purchase or something going astray.

In terms of purchase or something going astray.

That's that's right.

That's that's right.

You look at how fraud is stopped right in the financial services, that's a behavioral based approach. If my credit card gets wiped in Brazil for ten thousand dollars of Starbucks.

You look at how fraud is stopped right in the financial services, that's a behavioral based approach. If my credit card gets wiped in Brazil for ten thousand dollars of Starbucks.

Every begacies will say that just doesn't look right. That's not how cyber security works.

Every begacies will say that just doesn't look right. That's not how cyber security works.

And now's the approach we take for stopping sphisicate types of get phishing, fraud, socialaging nowhere.

And now's the approach we take for stopping sphisicate types of get phishing, fraud, socialaging nowhere.

I think that's a new approach.

I think that's a new approach.

So I'll still Carol's question, Evan, if somebody comes up to you and says, okay, you're the you're on the ones to watch lest watch it, I watch you, well say.

So I'll still Carol's question, Evan, if somebody comes up to you and says, okay, you're the you're on the ones to watch lest watch it, I watch you, well say.

I think it's everybody.

I think it's everybody.

It's wry.

It's wry.

Twenty fourth is an AI company obviously, right, you know my backgrounds and behavioral add targeting. We actually are in AI company and we do that by like deeply understanding people using saying the same technologies behavioral ad targeting, and that power has got a new generation of cybersecurity products that are very different than ninety nine percent of when we see the market today.

Twenty fourth is an AI company obviously, right, you know my backgrounds and behavioral add targeting. We actually are in AI company and we do that by like deeply understanding people using saying the same technologies behavioral ad targeting, and that power has got a new generation of cybersecurity products that are very different than ninety nine percent of when we see the market today.

So we have a revolution approach. It's an order of magnitude and more effective and stopping attacks. It's just it's a new approach for a cybercrime. I think that's really important because cybercrime is.

So we have a revolution approach. It's an order of magnitude and more effective and stopping attacks. It's just it's a new approach for a cybercrime. I think that's really important because cybercrime is.

Going in the wrong direction and every chart is up into the rights, and I think a lot of customers are frustrated. They feel I've never spent so much money on fighting crime, yet it's never been worse. And as a trend, I think as a civilization, we have to get going the other direction, and so we hope to play big role in that.

Going in the wrong direction and every chart is up into the rights, and I think a lot of customers are frustrated. They feel I've never spent so much money on fighting crime, yet it's never been worse. And as a trend, I think as a civilization, we have to get going the other direction, and so we hope to play big role in that.

Just get about a couple of minutes, not too short.

Just get about a couple of minutes, not too short.

I want to go back to you and you like think about what's going on trying to be the work technologically and obviously so many of the conversations go back to artificial intelligence. I get it, But what's interesting to you in terms of the tech environment right now?

I want to go back to you and you like think about what's going on trying to be the work technologically and obviously so many of the conversations go back to artificial intelligence. I get it, But what's interesting to you in terms of the tech environment right now?

I think AI is a big topic for us as well.

I think AI is a big topic for us as well.

You know, I think there are many use cases in our workflows and how we work up you know, with partners on the supply chain. You know there you know things that information is very fragmented, you know, in the back end of our operations, and so streamlining that information, structuring that information is where AI can come in and just you know, accelerate you know, how we deliver consus consumer products to rest and markets or I think I want.

You know, I think there are many use cases in our workflows and how we work up you know, with partners on the supply chain. You know there you know things that information is very fragmented, you know, in the back end of our operations, and so streamlining that information, structuring that information is where AI can come in and just you know, accelerate you know, how we deliver consus consumer products to rest and markets or I think I want.

To ask you to go back to past consumer manufacturing. I meant to ask you, this is it going to make things cheaper?

To ask you to go back to past consumer manufacturing. I meant to ask you, this is it going to make things cheaper?

Hopefully?

Hopefully?

I think you know, what we want to do is bring bring back product I P from China back to the West.

I think you know, what we want to do is bring bring back product I P from China back to the West.

And so as we think about ESG.

And so as we think about ESG.

Compliance, supply chains, as we think about you know, i'd say more value, uh not, you know, cheaper price, some more differentiated, more customer love products than necessarily cheaper products, and that's certainly less expensive.

Compliance, supply chains, as we think about you know, i'd say more value, uh not, you know, cheaper price, some more differentiated, more customer love products than necessarily cheaper products, and that's certainly less expensive.

Bring in a pationary environment, if for ways to streamline things in terms of costs.

Bring in a pationary environment, if for ways to streamline things in terms of costs.

Yeah, I was thinking, you know, you know, in terms of it in an inflationary environment, with ways to kind of streamline costs a little.

Yeah, I was thinking, you know, you know, in terms of it in an inflationary environment, with ways to kind of streamline costs a little.

Bit, yeah, pulsibly.

Bit, yeah, pulsibly.

Possibly, Yeah, you know, it's just interesting, Evan.

Possibly, Yeah, you know, it's just interesting, Evan.

Oftentimes when we talk to guys like you, we are interested in what you're seeing your customers in terms of spend. You're in growth mode right now, but I'm wondering what you're seeing in terms of it spend. If you can tell us anything about if it's if it's going up, if you're seeing companies say, wait a second, we're spending too much money overall. We need to move our budgets a little bit like this. What can you tell us you guys.

Oftentimes when we talk to guys like you, we are interested in what you're seeing your customers in terms of spend. You're in growth mode right now, but I'm wondering what you're seeing in terms of it spend. If you can tell us anything about if it's if it's going up, if you're seeing companies say, wait a second, we're spending too much money overall. We need to move our budgets a little bit like this. What can you tell us you guys.

Are your courts.

Are your courts.

For context, I talked to ten CIOs or cisows and Globe two thousand every week, so I have not.

For context, I talked to ten CIOs or cisows and Globe two thousand every week, so I have not.

Only my view on t feedback.

Only my view on t feedback.

What I hear kind of arrogants.

What I hear kind of arrogants.

So I'd say, if you go back two or three years, you know it, budgets are growing ten to twelve percent, cybersecurity budget going twenty percent year every year, and it was a mode where the new problem came up, you could buy a new point solution and you keep kind of adding more and more stuff. In the last two years, that's changed a lot, right, the macro's changing that people are now really reducing their budgets. It's probably my guess this year's probably more like five percent growth, it's not negative or zero. And that's driving both a lot of platform consolidations. People are tired of buying individual point solutions for security and software and they're looking for, you know, larger platforms to do a lot more.

So I'd say, if you go back two or three years, you know it, budgets are growing ten to twelve percent, cybersecurity budget going twenty percent year every year, and it was a mode where the new problem came up, you could buy a new point solution and you keep kind of adding more and more stuff. In the last two years, that's changed a lot, right, the macro's changing that people are now really reducing their budgets. It's probably my guess this year's probably more like five percent growth, it's not negative or zero. And that's driving both a lot of platform consolidations. People are tired of buying individual point solutions for security and software and they're looking for, you know, larger platforms to do a lot more.

And so I think people are still investing in they have to because crime is.

And so I think people are still investing in they have to because crime is.

Going up and not down, but they're really struggling to manage all these solutions with a growing labor short of cybersecurity.

Going up and not down, but they're really struggling to manage all these solutions with a growing labor short of cybersecurity.

Tell all right, just got forty seconds twenty seconds.

Tell all right, just got forty seconds twenty seconds.

Who's a tech leader that you follow and you think that everybody's keeping an eye on directly?

Who's a tech leader that you follow and you think that everybody's keeping an eye on directly?

I follow many, but right now I love Vinote cost Love who was able to make just here today which made me very happy.

I follow many, but right now I love Vinote cost Love who was able to make just here today which made me very happy.

Yeah, I'm a friend.

Yeah, I'm a friend.

Yeah, it's someone who's been in the industry. It's a lot of trends. How about for you twenty seconds seven.

Yeah, it's someone who's been in the industry. It's a lot of trends. How about for you twenty seconds seven.

So real quick.

So real quick.

One of my role models is Frank Slutman, former CEO of Snowflake. I just appreciate is the customer focus and the culture is built across.

One of my role models is Frank Slutman, former CEO of Snowflake. I just appreciate is the customer focus and the culture is built across.

Your service down Snowflake and then works. Just be a part of it.

Your service down Snowflake and then works. Just be a part of it.

Willis said, we really appreciating some time. As we said, you're part of the ones to watch.

Willis said, we really appreciating some time. As we said, you're part of the ones to watch.

Tousha Aluvalia he's a first co founder and CEO of the Razor Group, and Evin Reiser, co founder and CEO of Abnormal Security.

Tousha Aluvalia he's a first co founder and CEO of the Razor Group, and Evin Reiser, co founder and CEO of Abnormal Security.

Guys, thank you so much.

Guys, thank you so much.

Good luck with everything.

Good luck with everything.

Lots of news when it comes to space exploration. This week, Boeing the long laid star Liner capsule was set to launch on Monday, but that's been pushed to at least May seventeenth, so another big setback there. Also, SpaceX the company makes some starlink connectivity to Botswana.

Lots of news when it comes to space exploration. This week, Boeing the long laid star Liner capsule was set to launch on Monday, but that's been pushed to at least May seventeenth, so another big setback there. Also, SpaceX the company makes some starlink connectivity to Botswana.

Just a couple of headlines.

Just a couple of headlines.

There's so much going on, and this is why Bloomberg is launching a new vertical. It's this Bloomberg Space vertical, to be specific. It's all about the growing space economy. And we just do a little bit of a shameless blood aimless if you will. But if you want to get more about everything involved in the space industry, go to bloomberg dot com slash space. We have two great voices on it.

There's so much going on, and this is why Bloomberg is launching a new vertical. It's this Bloomberg Space vertical, to be specific. It's all about the growing space economy. And we just do a little bit of a shameless blood aimless if you will. But if you want to get more about everything involved in the space industry, go to bloomberg dot com slash space. We have two great voices on it.

Let's get to it.

Let's get to it.

Lauren Greshes with us says she's a Bloomberg News space reporter, also the author of the six the Untold Story of America's first women Astronauts. She does this in a site on site here at the Bloomberg Tech Summit. Also with us is Cam Kafarian. He's co founder and executive chairman at Quantum Space, also at Intuitive Machines.

Lauren Greshes with us says she's a Bloomberg News space reporter, also the author of the six the Untold Story of America's first women Astronauts. She does this in a site on site here at the Bloomberg Tech Summit. Also with us is Cam Kafarian. He's co founder and executive chairman at Quantum Space, also at Intuitive Machines.

The first company to land on the Moon.

The first company to land on the Moon.

He's also co founder and chairman Axiom Space, which sends private astronauts to the ISS International Space Station.

He's also co founder and chairman Axiom Space, which sends private astronauts to the ISS International Space Station.

So great to have you to here with this.

So great to have you to here with this.

I gotta say, my dad was an aeronautical engineer. I grew up he was involved in the first Moon landing, So we grew.

I gotta say, my dad was an aeronautical engineer. I grew up he was involved in the first Moon landing, So we grew.

Up loving space. But Cam, I want to start with you, why do you love space so much?

Up loving space. But Cam, I want to start with you, why do you love space so much?

You know since childhood, I really since six year old, I would look at the stars and I would be masmerized by them and would like some old that people are living there, how far they are, how vast.

You know since childhood, I really since six year old, I would look at the stars and I would be masmerized by them and would like some old that people are living there, how far they are, how vast.

Is the universe.

Is the universe.

It's just like, as a kid, was so curious and I just wanted to explore. And then when I was eleven, I saw Neil Lomstrong landing on.

It's just like, as a kid, was so curious and I just wanted to explore. And then when I was eleven, I saw Neil Lomstrong landing on.

Surface to Moon.

Surface to Moon.

I was like, oh my god, we can actually go to another space body and land there. And it was like a transformational moment and really defined my career, you know, after graduating my degree and I joined the space program and have over forty years of supporting all kinds of different missions with NASA and of course my own companies.

I was like, oh my god, we can actually go to another space body and land there. And it was like a transformational moment and really defined my career, you know, after graduating my degree and I joined the space program and have over forty years of supporting all kinds of different missions with NASA and of course my own companies.

It's so interesting that you talk about the private sector the public sector so much, but you're so focused right now on what you're doing in the private sector, and you've been so successful in the private sector. How would you describe the role of the public sector right now when it comes to space versus what it was when you saw the armstong land on the moon. Yeah, when you were eleven years old.

It's so interesting that you talk about the private sector the public sector so much, but you're so focused right now on what you're doing in the private sector, and you've been so successful in the private sector. How would you describe the role of the public sector right now when it comes to space versus what it was when you saw the armstong land on the moon. Yeah, when you were eleven years old.

Yeah, it really has changed dramatically.

Yeah, it really has changed dramatically.

The best way I could tell you is that it used to be centralized and centralized, like everything was under NASA, and then you had contractors that NASA didn't thing for NASA, but ultimately was NASA property.

The best way I could tell you is that it used to be centralized and centralized, like everything was under NASA, and then you had contractors that NASA didn't thing for NASA, but ultimately was NASA property.

Right, The best way to describe it is that NASA was the landlord.

Right, The best way to describe it is that NASA was the landlord.

Now NASA wants to be a tenant, and they're buying services from different companies like SpaceX, like Action Space, like Intuitive machines, like Quantum Space. And it's not only NASA, but also I think space Force right right, we're doing a similar thing. So and then public private partnership is now has grown a lot where in each of these you know, you got a public partner, private partner, and together we're trying to achieve something amazing.

Now NASA wants to be a tenant, and they're buying services from different companies like SpaceX, like Action Space, like Intuitive machines, like Quantum Space. And it's not only NASA, but also I think space Force right right, we're doing a similar thing. So and then public private partnership is now has grown a lot where in each of these you know, you got a public partner, private partner, and together we're trying to achieve something amazing.

I mean the Intuitive machines.

I mean the Intuitive machines.

When we landed on the Moon, I mean we had NASA people right there along with us partners.

When we landed on the Moon, I mean we had NASA people right there along with us partners.

We did it together.

We did it together.

Lord, I want to bring you in. Let's go ahead, and you're going to do well.

Lord, I want to bring you in. Let's go ahead, and you're going to do well.

I was just going to say, from a coverage perspective, it also keeps me on my toes as a space reporter because I think during the Shuttle era, you know, NASA is really the only game in town when it came to you know, pushing the envelope for space exploration. But now because there is this new focus on NASA stimulating the commercial space economy, there's.

I was just going to say, from a coverage perspective, it also keeps me on my toes as a space reporter because I think during the Shuttle era, you know, NASA is really the only game in town when it came to you know, pushing the envelope for space exploration. But now because there is this new focus on NASA stimulating the commercial space economy, there's.

All these startups that are coming.

All these startups that are coming.

Online to see if they can you know, generate a profit from the space industry.

Online to see if they can you know, generate a profit from the space industry.

I mean, look at they're trying.

I mean, look at they're trying.

To emulate the successive SpaceX And so now I'm constantly busy covering all sorts of you know, new efforts, you know, covering moon landings every week, or you know, covering new space stations that are launching.

To emulate the successive SpaceX And so now I'm constantly busy covering all sorts of you know, new efforts, you know, covering moon landings every week, or you know, covering new space stations that are launching.

Like it's a very exciting time to be covering when you've got someone like Ham in the chair, Like what is it that you want to know from him? When you think about like where do we go next when it comes to space exploration.

Like it's a very exciting time to be covering when you've got someone like Ham in the chair, Like what is it that you want to know from him? When you think about like where do we go next when it comes to space exploration.

I think when it comes to you know, there's a lot of optimism in space obviously, and it's a very aspirational, right. I Mean, it's hard not to get excited when you think about humans walking on the moon again. But I think, what really I'm curious about it, and from a journalist's perspective is and how is it sustainable?

I think when it comes to you know, there's a lot of optimism in space obviously, and it's a very aspirational, right. I Mean, it's hard not to get excited when you think about humans walking on the moon again. But I think, what really I'm curious about it, and from a journalist's perspective is and how is it sustainable?

How are we going to make money off of it?

How are we going to make money off of it?

Because the problem we have with space is that it's a very capital intensive industry upfront, and it takes a very long time to develop these technologies, and then it's a bit of a risk and it's a bit of a gamble to see if that'll actually play out into a viable business.

Because the problem we have with space is that it's a very capital intensive industry upfront, and it takes a very long time to develop these technologies, and then it's a bit of a risk and it's a bit of a gamble to see if that'll actually play out into a viable business.

But we're really at the very early stages.

But we're really at the very early stages.

Of a lot of these stardoms, so it'll be interesting to follow along as they start to mature their technologies and to see if this is something that can sustain over a long period of time.

Of a lot of these stardoms, so it'll be interesting to follow along as they start to mature their technologies and to see if this is something that can sustain over a long period of time.

So let me steal Lauren's question because she's the smartest when it comes to everything regarding space Gamp.

So let me steal Lauren's question because she's the smartest when it comes to everything regarding space Gamp.

How do you make it sustainable?

How do you make it sustainable?

I mean, I think Elon Musk did a lot when he made the rockets re usable. That's huge in terms of sustainability. But how do you make it less capital intensive? How do you make it more sustainable?

I mean, I think Elon Musk did a lot when he made the rockets re usable. That's huge in terms of sustainability. But how do you make it less capital intensive? How do you make it more sustainable?

Yeah?

Yeah?

So, I mean if you think about Elon Musk, right, one thing he knows this was Wow, the cost of transportation is very high. Can I come out of a disruptive technology. Well, I can reverse the cost of transportation. But actually maybe two thirds of the value of SpaceX maybe more is related to the Starling rather than the rocket industry. But rocket industry sort of enabled for Starling to flourish.

So, I mean if you think about Elon Musk, right, one thing he knows this was Wow, the cost of transportation is very high. Can I come out of a disruptive technology. Well, I can reverse the cost of transportation. But actually maybe two thirds of the value of SpaceX maybe more is related to the Starling rather than the rocket industry. But rocket industry sort of enabled for Starling to flourish.

Okay, so now think.

Okay, so now think.

About actuum space the same way tapecks heavy. We want to launch our module, so it's not that early thing. But if we can do manufacturing space like printing pornios and retinas, or or let's say, do fiber optics manufacturing data centers, because all of those new things a new economy and we can create in microgravity, that's.

About actuum space the same way tapecks heavy. We want to launch our module, so it's not that early thing. But if we can do manufacturing space like printing pornios and retinas, or or let's say, do fiber optics manufacturing data centers, because all of those new things a new economy and we can create in microgravity, that's.

Sort of our starting right now.

Sort of our starting right now.

I want space Explorations to because somewhere works.

I want space Explorations to because somewhere works.

That client.

That client.

Having said that, did you better follow?

Having said that, did you better follow?

Yeah?

Yeah?

I just wanted to ask Laura and very briefly shameless plug for what you guys are doing in the space vertical today.

I just wanted to ask Laura and very briefly shameless plug for what you guys are doing in the space vertical today.

Explain to us why now is the right time to launch this vertical.

Explain to us why now is the right time to launch this vertical.

Well, like as I said earlier, you know, if I wouldn't say that it used to be boring for space, but it definitely was very centralized, as can explained, And now you know, we're predicting that there's going to be The global space economy is going to be over trillion dollars.

Well, like as I said earlier, you know, if I wouldn't say that it used to be boring for space, but it definitely was very centralized, as can explained, And now you know, we're predicting that there's going to be The global space economy is going to be over trillion dollars.

In the next decade. I mean, there's so much investment for it in into this industry, and there's all sorts of start up you're trying to they make space success. That there's you know a wide array of different businesses from.

In the next decade. I mean, there's so much investment for it in into this industry, and there's all sorts of start up you're trying to they make space success. That there's you know a wide array of different businesses from.

You know, preparing satellites and corbit sending things to the mood, commercial space sation.

You know, preparing satellites and corbit sending things to the mood, commercial space sation.

Private storest missions.

Private storest missions.

You know, there's all sorts of ways that cobodys are trying to make money.

You know, there's all sorts of ways that cobodys are trying to make money.

And it's just the perfect time.

And it's just the perfect time.

Tom, just to wrap up twenty seconds.

Tom, just to wrap up twenty seconds.

Why is it so important that we've got to be focused on space?

Why is it so important that we've got to be focused on space?

Why is it so important?

Why is it so important?

Twenty seconds left? We have to focus on space as an investment audience.

Twenty seconds left? We have to focus on space as an investment audience.

You know that so vast to think about.

You know that so vast to think about.

In our galaxy alone, there are four hundred million stars and there are trillion galaxies.

In our galaxy alone, there are four hundred million stars and there are trillion galaxies.

Were just small parts.

Were just small parts.

Space is limitless, its infinite. We're just such a small part the unknown world that we're going to explore. A new economy is not going to be created.

Space is limitless, its infinite. We're just such a small part the unknown world that we're going to explore. A new economy is not going to be created.

You think about what we're going to discover camp Lauren, thank you so much, really appreciate it.

You think about what we're going to discover camp Lauren, thank you so much, really appreciate it.

Layde's rush is Bloueberg, News Space reporter. As we mentioned, she's the author of the.

Layde's rush is Bloueberg, News Space reporter. As we mentioned, she's the author of the.

Six The Untold Story of America's first women Astronauts.

Six The Untold Story of America's first women Astronauts.

It's an awesome book. They can check it out.

It's an awesome book. They can check it out.

Everybody, go read it, go buy it.

Everybody, go read it, go buy it.

Written by our colleague Lauren Grash and Cam Gafara.

Written by our colleague Lauren Grash and Cam Gafara.

And she's co founder and executive chair at Quantum Space. We mentioned also at Intuitive Machines, the first company to land on the Moon. Also co founder chairman of Axiom Space. They send private astronauts to the International Space Station.

And she's co founder and executive chair at Quantum Space. We mentioned also at Intuitive Machines, the first company to land on the Moon. Also co founder chairman of Axiom Space. They send private astronauts to the International Space Station.

As I said, I grew up.

As I said, I grew up.

I'm a large family, but my dad part of the sixties, the Great Space Race and so understanding to have a nation, you know, focused.

I'm a large family, but my dad part of the sixties, the Great Space Race and so understanding to have a nation, you know, focused.

On having that happened. But there was so much science, so.

On having that happened. But there was so much science, so.

Much we learned about the public, you know, focus in terms of getting someone.

Much we learned about the public, you know, focus in terms of getting someone.

You just face on the moon. So you do wonder kind of where this next chapter takes us.

You just face on the moon. So you do wonder kind of where this next chapter takes us.

And that's what I love about today is it's so easy. My son was actually asking questions. He's five years old. He's asking questions about how rockets.

And that's what I love about today is it's so easy. My son was actually asking questions. He's five years old. He's asking questions about how rockets.

Get to the moon.

Get to the moon.

You just fire up the internet and you can show them a SpaceX launch. And it's so awesome to be able to expose kids to that stuff.

You just fire up the internet and you can show them a SpaceX launch. And it's so awesome to be able to expose kids to that stuff.