Bloomberg Tech is a live from coast to coast with Caroline Hide.

Bloomberg Tech is a live from coast to coast with Caroline Hide.

In New York and Eva Low in Sent Francisco.

In New York and Eva Low in Sent Francisco.

This is Bloomberg Tech coming up, Small moves and socks this morning as traders I, Iran and Oil will bring you the tech sector reaction.

This is Bloomberg Tech coming up, Small moves and socks this morning as traders I, Iran and Oil will bring you the tech sector reaction.

As Palenteer closes.

As Palenteer closes.

In on a new record high plus investments in defense tech, they continue to increase the venture capital story this hour and Tesla's Robotaxi it finally hits the streets of Austin shares sow we discussed the reality of the company's city expansion.

In on a new record high plus investments in defense tech, they continue to increase the venture capital story this hour and Tesla's Robotaxi it finally hits the streets of Austin shares sow we discussed the reality of the company's city expansion.

Bloomberg's un Verstelica joins us.

Bloomberg's un Verstelica joins us.

Now I start with Palenteer, which has in encroaching on a record high once again. It is the defense tech stock that's being played on today.

Now I start with Palenteer, which has in encroaching on a record high once again. It is the defense tech stock that's being played on today.

Yes, absolutely, thanks for having me on. So it does see a lot of demand in interest from sort of government contracts, defense adjacent sort of services. So the fact that you have this sort of increase in jail political uncertainty right now, it's not surprising that Palanteer is one of the initial beneficiaries of this.

Yes, absolutely, thanks for having me on. So it does see a lot of demand in interest from sort of government contracts, defense adjacent sort of services. So the fact that you have this sort of increase in jail political uncertainty right now, it's not surprising that Palanteer is one of the initial beneficiaries of this.

Let's look at also what the beneficiaries could be. More broadly, I want to highlight a note what came from Wedbush analysts this morning, and they're really talking about how maybe if we do dial down anxiety surrounding Iran, this could end up refueling regalvanizing the AI trade in particular because of the Middle East focus. They say, the biggest threat to the region and the potential Blackswan event was Iran and its nuclear program, and now that threat is gone, so basically we can see the AI revolution come more into play.

Let's look at also what the beneficiaries could be. More broadly, I want to highlight a note what came from Wedbush analysts this morning, and they're really talking about how maybe if we do dial down anxiety surrounding Iran, this could end up refueling regalvanizing the AI trade in particular because of the Middle East focus. They say, the biggest threat to the region and the potential Blackswan event was Iran and its nuclear program, and now that threat is gone, so basically we can see the AI revolution come more into play.

Which stocks does that affect?

Which stocks does that affect?

Ryan, Well, we've seen a number of these AI companies like Nvidia announces major sovereign deals with AI and company or countries in the Middle East. Excuse me, So if we do see some sort of you know, follow through on these kinds of deals, these kinds of contracts as kind of a region as an area for new unappreciated revenue growth, obviously this is something we could continue to see being a driver of stock prices from here.

Ryan, Well, we've seen a number of these AI companies like Nvidia announces major sovereign deals with AI and company or countries in the Middle East. Excuse me, So if we do see some sort of you know, follow through on these kinds of deals, these kinds of contracts as kind of a region as an area for new unappreciated revenue growth, obviously this is something we could continue to see being a driver of stock prices from here.

It's interesting though that NVIDIAs started the day lower and it's ultimately would have pulled the benchmark itself in the red.

It's interesting though that NVIDIAs started the day lower and it's ultimately would have pulled the benchmark itself in the red.

Why are we seeing and dialing back in risk aversion? Do you think? Well, I think in.

Why are we seeing and dialing back in risk aversion? Do you think? Well, I think in.

General, like when you have this kind of rise in geopolitical uncertainty, big tech stocks often act as a kind of safe haven in the market. I think, kind of regardless of what else is going on, this is a group that has seen as having pretty durable growth prospects, pretty strong and reliable earning streams, tons of cash, very strong economic modes and competitive modes, all these things, and you kind of put them together in uncertain environment, they still look like safe plays, you know, like all things considered. Obviously, there are some concerns about valuation, but I think ultimately, you know, they sort of act as you know, this sort of generation's version of defensive and sort of safe haven trades.

General, like when you have this kind of rise in geopolitical uncertainty, big tech stocks often act as a kind of safe haven in the market. I think, kind of regardless of what else is going on, this is a group that has seen as having pretty durable growth prospects, pretty strong and reliable earning streams, tons of cash, very strong economic modes and competitive modes, all these things, and you kind of put them together in uncertain environment, they still look like safe plays, you know, like all things considered. Obviously, there are some concerns about valuation, but I think ultimately, you know, they sort of act as you know, this sort of generation's version of defensive and sort of safe haven trades.

Rand Vlastelica on the market reaction. Thank you so much.

Rand Vlastelica on the market reaction. Thank you so much.

Let's bring you more analysis on when next in terms of the geopolitics. Emily Harding's with us from the Center for Strategic and International Studies. You're also the director for its Intelligence, National Security, and Technology Program and vice president of the Defense and Security Department. Emily, we turned to you for your tech and your intelligence expertise here and actually you say this is the moment for intelligence officers to shine.

Let's bring you more analysis on when next in terms of the geopolitics. Emily Harding's with us from the Center for Strategic and International Studies. You're also the director for its Intelligence, National Security, and Technology Program and vice president of the Defense and Security Department. Emily, we turned to you for your tech and your intelligence expertise here and actually you say this is the moment for intelligence officers to shine.

Why so one of the really important questions going forward is going to be just how much damage was done to Iran's three main nuclear facilities. And I mean it seems obvious to say it, but you can't exactly walk up to these facilities on the ground and take a look. So it's going to be the skill and the work of people who do things like geospatial analysis, people who collect human intelligence to really do their best work here and figure out what was destroyed and what wasn't. And why that matters is because if Iran was left with an enrichment capability and with a weaponization capability, they could try to sprint to a weapon as soon as the Israeli campaign is over.

Why so one of the really important questions going forward is going to be just how much damage was done to Iran's three main nuclear facilities. And I mean it seems obvious to say it, but you can't exactly walk up to these facilities on the ground and take a look. So it's going to be the skill and the work of people who do things like geospatial analysis, people who collect human intelligence to really do their best work here and figure out what was destroyed and what wasn't. And why that matters is because if Iran was left with an enrichment capability and with a weaponization capability, they could try to sprint to a weapon as soon as the Israeli campaign is over.

What's really interesting is I think a military satellite makers, in fact, one of them is eyeing an IPO at the moment. ICI, can you tell us a little bit about the sets that need to be in place for us to get the imagery that's necessary here.

What's really interesting is I think a military satellite makers, in fact, one of them is eyeing an IPO at the moment. ICI, can you tell us a little bit about the sets that need to be in place for us to get the imagery that's necessary here.

It's a really interesting moment for what we call open source intelligence. And that's just another way of saying that all of these industry actors that are out there with these amazing satellite constellations are doing phenomenal work trying to map and identify things that are going on inside ORN. So you've got the government's exquisite assets, and we call them exquisite because they are the most advanced generally speaking. They can do things like loiter over an area to actually get continuous coverage of a space.

It's a really interesting moment for what we call open source intelligence. And that's just another way of saying that all of these industry actors that are out there with these amazing satellite constellations are doing phenomenal work trying to map and identify things that are going on inside ORN. So you've got the government's exquisite assets, and we call them exquisite because they are the most advanced generally speaking. They can do things like loiter over an area to actually get continuous coverage of a space.

But then you have this huge.

But then you have this huge.

Industry space where all of these actors are coming out with really quite good information and a lot of coverage that the government can't provide. And the combination of those two things is going to give us great insight into what's going on on the ground inside Iron and.

Industry space where all of these actors are coming out with really quite good information and a lot of coverage that the government can't provide. And the combination of those two things is going to give us great insight into what's going on on the ground inside Iron and.

Now the market.

Now the market.

But most notably, the administration has to play out what the best and the worst case scenarios potentially are here. What from a defense tech perspective might come into play.

But most notably, the administration has to play out what the best and the worst case scenarios potentially are here. What from a defense tech perspective might come into play.

So they're going to have to think a lot about defense stocks. We've talked lot about the defense industrial base inside the US and how deep our benches basically on some of the key weaponry that we have. Before this round of strikes, there was a big debate inside the administration about what you needed to preserve for a China contingency, what you could send to Ukraine, and what you could maintain in the Middle East. This particular operation didn't really draw down our stocks much at all. We can pretty easily replace what we used. But if you're looking at more of a drawn out contingency, if Iran were to unwisely retaliate against the US in a really dramatic way, and you're looking at much more activity on the ground, what you'd want to think about is do you have the defense stocks to backfill what you're spending and can you do it quickly?

So they're going to have to think a lot about defense stocks. We've talked lot about the defense industrial base inside the US and how deep our benches basically on some of the key weaponry that we have. Before this round of strikes, there was a big debate inside the administration about what you needed to preserve for a China contingency, what you could send to Ukraine, and what you could maintain in the Middle East. This particular operation didn't really draw down our stocks much at all. We can pretty easily replace what we used. But if you're looking at more of a drawn out contingency, if Iran were to unwisely retaliate against the US in a really dramatic way, and you're looking at much more activity on the ground, what you'd want to think about is do you have the defense stocks to backfill what you're spending and can you do it quickly?

And we have supply chain analysis from certain companies.

And we have supply chain analysis from certain companies.

Yvonne is one of them. For example.

Yvonne is one of them. For example.

I'm interested Emily is to which is the forward looking analysis for whether we have the manufacturing capability here in the United States. That is something that many people have debated about bringing that sort of expertise back to the US.

I'm interested Emily is to which is the forward looking analysis for whether we have the manufacturing capability here in the United States. That is something that many people have debated about bringing that sort of expertise back to the US.

It is the key question for the next probably ten years of deterrence against China. One has to think that they looked at what we just did and went, oh, the US is serious. However, any kind of modeling that we've done of a conflict between US and China, you know, if it were unfortunately to happen, shows that we would run out of precision weaponry very quickly and have to move to backfilling rapidly. With our defense industrial base, and that involves not just manufacturing, no how, but also the.

It is the key question for the next probably ten years of deterrence against China. One has to think that they looked at what we just did and went, oh, the US is serious. However, any kind of modeling that we've done of a conflict between US and China, you know, if it were unfortunately to happen, shows that we would run out of precision weaponry very quickly and have to move to backfilling rapidly. With our defense industrial base, and that involves not just manufacturing, no how, but also the.

Ability to scale up very quickly.

Ability to scale up very quickly.

The US likes to think of itself in the sort of the World War II context, where we flipped a switch and all of a sudden there was all this, you know, dramatic growth in American manufacturing of planes and boats. I hate to say it, but today's F thirty five cannot be made in a Ford factory. You have to have much more specific kind of construction, and we really need to think about preparing for that contingency, in part because we hope it doesn't.

The US likes to think of itself in the sort of the World War II context, where we flipped a switch and all of a sudden there was all this, you know, dramatic growth in American manufacturing of planes and boats. I hate to say it, but today's F thirty five cannot be made in a Ford factory. You have to have much more specific kind of construction, and we really need to think about preparing for that contingency, in part because we hope it doesn't.

Happen, but emani actually we've seen that preparation.

Happen, but emani actually we've seen that preparation.

It's inspired the likes of pal Maerlucky, of Tray Stevens to go out there and build and drill because they've been worried about how quickly we can deploy and manufacture here in the United States. Have we seen that industrial base thicken enough in recent years for this moment.

It's inspired the likes of pal Maerlucky, of Tray Stevens to go out there and build and drill because they've been worried about how quickly we can deploy and manufacture here in the United States. Have we seen that industrial base thicken enough in recent years for this moment.

It has thickened, but not enough. You're absolutely right about Palmer Lucky. Chris Brose, who also is at ANDREL, is one of the foremost proponents of this, talking about how we can't just depend on what we have, we have to think about how to build I think that andrel is leading the way in this pollunteers in a way too, but a lot of other sort of you know, bigger defense firms need to catch up also. I mean I talked to these folks all the time, and what they say is that they're not going to make these huge capital investments if they don't have a demand signal from the US government. So they look at the government and they say, where's our demand signal? And the government sort of shrugs and says, well, it's either stuck in Congress, or it's stuck in the president's budget, or we kids can't give it yet. And that kind of chicken egg situation is what is keeping us from really building up the way we need to.

It has thickened, but not enough. You're absolutely right about Palmer Lucky. Chris Brose, who also is at ANDREL, is one of the foremost proponents of this, talking about how we can't just depend on what we have, we have to think about how to build I think that andrel is leading the way in this pollunteers in a way too, but a lot of other sort of you know, bigger defense firms need to catch up also. I mean I talked to these folks all the time, and what they say is that they're not going to make these huge capital investments if they don't have a demand signal from the US government. So they look at the government and they say, where's our demand signal? And the government sort of shrugs and says, well, it's either stuck in Congress, or it's stuck in the president's budget, or we kids can't give it yet. And that kind of chicken egg situation is what is keeping us from really building up the way we need to.

So are they getting any more signal at this moment, because it feels as though there's trying to be the words, but what you're saying is that they need the walk, not just the talk.

So are they getting any more signal at this moment, because it feels as though there's trying to be the words, but what you're saying is that they need the walk, not just the talk.

At this moment. Absolutely.

At this moment. Absolutely.

So it's nice to sit in a meeting and here, we need to build up our defense industrial base. But before you spend millions of dollars on a new facility and the environmental studies and recruiting all of the talent you need to recruit. What you want is words on paper, the contracts or what's really going to have to come.

So it's nice to sit in a meeting and here, we need to build up our defense industrial base. But before you spend millions of dollars on a new facility and the environmental studies and recruiting all of the talent you need to recruit. What you want is words on paper, the contracts or what's really going to have to come.

Is there enough money financing the startups or at least the ecosystem to be able to put it there. Because there are innovative ways in which we can finance the build out from some of the legacy defense companies, not just the bench capital companies that have been there to foster the Andrills and Soronis and those sorts of companies.

Is there enough money financing the startups or at least the ecosystem to be able to put it there. Because there are innovative ways in which we can finance the build out from some of the legacy defense companies, not just the bench capital companies that have been there to foster the Andrills and Soronis and those sorts of companies.

Right, So, this year's one trillion dollar defense budget, depending on how you measure it, was meant to do some of that to really bolster that startup ecosystem. Plus, the Defense Department has done some innovative things trying to create alternative funding mechanisms for some of these smaller companies. Really, what the tension is is that if you're not one of the big prime defense contractors, you don't have the multitude of lawyers and government affairs officials and people who have run through government contracts, you know, five hundred times to really help you break through that bureaucracy. So one of the things that I think people are really hoping to see out of the Trump administration is a new way of doing business that is much more welcoming to the tech startups and kind of the alternative defense companies, things like Sons of and or Realmpalaneer.

Right, So, this year's one trillion dollar defense budget, depending on how you measure it, was meant to do some of that to really bolster that startup ecosystem. Plus, the Defense Department has done some innovative things trying to create alternative funding mechanisms for some of these smaller companies. Really, what the tension is is that if you're not one of the big prime defense contractors, you don't have the multitude of lawyers and government affairs officials and people who have run through government contracts, you know, five hundred times to really help you break through that bureaucracy. So one of the things that I think people are really hoping to see out of the Trump administration is a new way of doing business that is much more welcoming to the tech startups and kind of the alternative defense companies, things like Sons of and or Realmpalaneer.

So that's the technology play of which you are key with expertise. What about the intelligence side here as well, because are we seeing enough innovation there to be able to decipher what the next move is for Iran?

So that's the technology play of which you are key with expertise. What about the intelligence side here as well, because are we seeing enough innovation there to be able to decipher what the next move is for Iran?

It's never enough innovation.

It's never enough innovation.

So this is really an interesting moment for open source intelligence. I grew up in the intelligence community. I grew up believing that what we were getting on the classified side was going to be far better than what we could ever get on the open source side. And for a long time that was true. But the space has really changed. The amount of open commercially available data that's out there in the world really can bolster and change the game for intelligence. And there's some companies out there that are trying to do that, that are working with AI, that are working with huge amounts of data to try to pull the signal out of the noise. So a moment I think for the intelligence community to sort of be open minded. Are there some great leaders inside the IC right now who are working on this and working to partner with the private sector to make the intelligence that we collect on the classified side fit really well with that open source intelligence, and the two together is going to be much stronger than anything we.

So this is really an interesting moment for open source intelligence. I grew up in the intelligence community. I grew up believing that what we were getting on the classified side was going to be far better than what we could ever get on the open source side. And for a long time that was true. But the space has really changed. The amount of open commercially available data that's out there in the world really can bolster and change the game for intelligence. And there's some companies out there that are trying to do that, that are working with AI, that are working with huge amounts of data to try to pull the signal out of the noise. So a moment I think for the intelligence community to sort of be open minded. Are there some great leaders inside the IC right now who are working on this and working to partner with the private sector to make the intelligence that we collect on the classified side fit really well with that open source intelligence, and the two together is going to be much stronger than anything we.

Had in the past.

Had in the past.

Be open minded on open source, Emily Harding, we love it. Thank you from the Center of Strategic and International Studies.

Be open minded on open source, Emily Harding, we love it. Thank you from the Center of Strategic and International Studies.

Stay well. Like another story that we're watching.

Stay well. Like another story that we're watching.

Deep Seek, Well, it's assisting China's military and intelligence officials while exploring ways to help Beijing circumvent sanctions and gain access to advanced chips. That's all according to a Reuters report citing a US State Department official who says that Deep Seek was mentioned more than one hundred and fifty times in procurement records for the military and defense affiliated entities.

Deep Seek, Well, it's assisting China's military and intelligence officials while exploring ways to help Beijing circumvent sanctions and gain access to advanced chips. That's all according to a Reuters report citing a US State Department official who says that Deep Seek was mentioned more than one hundred and fifty times in procurement records for the military and defense affiliated entities.

Coming up, Tesla's long.

Coming up, Tesla's long.

Promised driveris taxi service. It hits the road in Austin. We'll discuss the rollout next. This is blueleg Tech.

Promised driveris taxi service. It hits the road in Austin. We'll discuss the rollout next. This is blueleg Tech.

Tesla.

Tesla.

It rolled out its long promise driveral as taxi service to a handful of riders on Sunday. It was pretty modest debut from what in OMSKS is as a transformative new business line joining us now is Regina Klilo, CEO and co founder of Populus is, a mobility analytics software company. Regina, what do you make of the initial rollout, Well.

It rolled out its long promise driveral as taxi service to a handful of riders on Sunday. It was pretty modest debut from what in OMSKS is as a transformative new business line joining us now is Regina Klilo, CEO and co founder of Populus is, a mobility analytics software company. Regina, what do you make of the initial rollout, Well.

It's very exciting to have another big player in the mix.

It's very exciting to have another big player in the mix.

As I'm sure many folks know, Weimo has been active in the market for at least twenty months with commercial service, and so it's a pretty big development to have Tesla now delivering fully autonomous vehicle service.

As I'm sure many folks know, Weimo has been active in the market for at least twenty months with commercial service, and so it's a pretty big development to have Tesla now delivering fully autonomous vehicle service.

Might have been a modest rollout, it's not a modest stock move round more than ten percent. There's a lot of hopes and prayers based on why this technology takes us. In your mind's eye, Regina, how will we see the roll out in Austin be picked up by other cities. What is pressure is it putting on others in terms of their regulatory environment.

Might have been a modest rollout, it's not a modest stock move round more than ten percent. There's a lot of hopes and prayers based on why this technology takes us. In your mind's eye, Regina, how will we see the roll out in Austin be picked up by other cities. What is pressure is it putting on others in terms of their regulatory environment.

Well, San Francisco has been an operation for over twenty months, but Weimo then very quickly began expanding into Los Angeles, Austin, Phoenix, Atlanta with partnerships with Uber, and they have Miami and Washington coming up next year. And it is putting extreme pressure on cities to really catch up and build their digital infrastructure. So they can communicate with these vehicles and make sure that these rollouts occur safely, because in the case of Weymo, they've grown very very quickly in the San Francisco market.

Well, San Francisco has been an operation for over twenty months, but Weimo then very quickly began expanding into Los Angeles, Austin, Phoenix, Atlanta with partnerships with Uber, and they have Miami and Washington coming up next year. And it is putting extreme pressure on cities to really catch up and build their digital infrastructure. So they can communicate with these vehicles and make sure that these rollouts occur safely, because in the case of Weymo, they've grown very very quickly in the San Francisco market.

And populous is all about that communication, right, Just tell us about what are the learnings, what's the experience. So the states and the cities that are watching Austin in particular in Texas do this, what do you think then they need to learn what is it that Weymo and Tesla need to do more efficiently to ensure that streets do remain safe well.

And populous is all about that communication, right, Just tell us about what are the learnings, what's the experience. So the states and the cities that are watching Austin in particular in Texas do this, what do you think then they need to learn what is it that Weymo and Tesla need to do more efficiently to ensure that streets do remain safe well.

Many cities are building digital infrastructure to begin preparing for the future of mobility. We work with cities to help them manage shared mobility, so micromobility, shared scooters services like Lime and Bird they actually do need to digitally communicate with cities, and cities can digitally communicate back. They can share parking policies, no rite policies, and these same exact policies are really important for services like autonomous vehicles, whether or not there are major events occurring or protests, and cities need to close roads for emergencies all the way to you know, basic planning services like making sure they're enough pickup and drop off zones in a city.

Many cities are building digital infrastructure to begin preparing for the future of mobility. We work with cities to help them manage shared mobility, so micromobility, shared scooters services like Lime and Bird they actually do need to digitally communicate with cities, and cities can digitally communicate back. They can share parking policies, no rite policies, and these same exact policies are really important for services like autonomous vehicles, whether or not there are major events occurring or protests, and cities need to close roads for emergencies all the way to you know, basic planning services like making sure they're enough pickup and drop off zones in a city.

To this point, you talk about Mobility Data Specification MDS. This is basically the establishment of open source standard that's already in place. How quickly do you think these companies, private companies have been willing to adopt this to be able to share their data and get the data in return.

To this point, you talk about Mobility Data Specification MDS. This is basically the establishment of open source standard that's already in place. How quickly do you think these companies, private companies have been willing to adopt this to be able to share their data and get the data in return.

Well, we saw with micromobility the transition happened very very quickly. Cities were more prepared after having experienced Uber and Lyft in cities to put down some regulations that required mobility operators to share data in the case of scooters. So it happened within the course of you know, a few months to a year. Almost every city in America and now around the world requires data from those operators through that Mobility Data Specification standard, and standardization makes it easy for those large operators to then turn on data feeds in cities from Redwood City all the way to New York City. And so we delivered data through our platform using that data standard and with larger operators like Uber, lyftwaimos have a little bit more resistance. But what we've seen is that when cities have put down policies that require that data sharing. They are often able to get operators to comply. Maybe there are some battles here and there with states in terms of who's in charge, but we've seen cities prevail on that front in terms of data sharing and the sharing mobility space.

Well, we saw with micromobility the transition happened very very quickly. Cities were more prepared after having experienced Uber and Lyft in cities to put down some regulations that required mobility operators to share data in the case of scooters. So it happened within the course of you know, a few months to a year. Almost every city in America and now around the world requires data from those operators through that Mobility Data Specification standard, and standardization makes it easy for those large operators to then turn on data feeds in cities from Redwood City all the way to New York City. And so we delivered data through our platform using that data standard and with larger operators like Uber, lyftwaimos have a little bit more resistance. But what we've seen is that when cities have put down policies that require that data sharing. They are often able to get operators to comply. Maybe there are some battles here and there with states in terms of who's in charge, but we've seen cities prevail on that front in terms of data sharing and the sharing mobility space.

So it's kind of their having to deploy the stick attitude here rather than the carrot of saying like, here's the rules and regulations for you to.

So it's kind of their having to deploy the stick attitude here rather than the carrot of saying like, here's the rules and regulations for you to.

Ascribe by, but talk us through the carrot.

Ascribe by, but talk us through the carrot.

Because these companies will glean a lot if they get the data back from the city right.

Because these companies will glean a lot if they get the data back from the city right.

Well, they'll gain to a couple of things.

Well, they'll gain to a couple of things.

One, they'll be able to operate more efficiently if cities are able to then carve off the space that they need in order to do really efficient pickups and drop offs.

One, they'll be able to operate more efficiently if cities are able to then carve off the space that they need in order to do really efficient pickups and drop offs.

We've seen, for example, with a surge of delivery.

We've seen, for example, with a surge of delivery.

You have ups and FedEx trucks that really don't have the space that they need for the volume of delivery that we experience in cities, and it's very difficult, I believe you know. There are a lot of conversations around bureaucracy and how governments can sometimes move slowly. It's really important for cities to be able to have data in order to facilitate making change more quickly.

You have ups and FedEx trucks that really don't have the space that they need for the volume of delivery that we experience in cities, and it's very difficult, I believe you know. There are a lot of conversations around bureaucracy and how governments can sometimes move slowly. It's really important for cities to be able to have data in order to facilitate making change more quickly.

And we've seen when operators share.

And we've seen when operators share.

Data with cities, cities are able then to respond much more quickly to create the space that they need to run efficient services.

Data with cities, cities are able then to respond much more quickly to create the space that they need to run efficient services.

I mean mobility is slowly, slowly, then all at once. I mean it's extraordinary to think how we all have access to an electric bikeron electric scooter now most cities in the way from which we sort of expanded the catchment areas. How quickly do you think that adoption will be replicated when it comes to actually not having someone in the front of the car and steering a vehicle.

I mean mobility is slowly, slowly, then all at once. I mean it's extraordinary to think how we all have access to an electric bikeron electric scooter now most cities in the way from which we sort of expanded the catchment areas. How quickly do you think that adoption will be replicated when it comes to actually not having someone in the front of the car and steering a vehicle.

The growth of Weymo in San Francisco has been pretty inc ardible. They only launch to their widespread commercial service that anyone could sign up for about eighteen months ago, and now they have more than twenty seven percent of the market.

The growth of Weymo in San Francisco has been pretty inc ardible. They only launch to their widespread commercial service that anyone could sign up for about eighteen months ago, and now they have more than twenty seven percent of the market.

So they've already passed Lifts, one of the earlier players in the space.

So they've already passed Lifts, one of the earlier players in the space.

And so I would anticipate that we'll see similar rapid adoption of other av services in other cities because people enjoy the service. Some data shows that people are willing to pay over twenty dollars an hour for a Weimo versus just over fifteen dollars for an uber. So I expect we'll see pretty rapid adoption in other major metros as well.

And so I would anticipate that we'll see similar rapid adoption of other av services in other cities because people enjoy the service. Some data shows that people are willing to pay over twenty dollars an hour for a Weimo versus just over fifteen dollars for an uber. So I expect we'll see pretty rapid adoption in other major metros as well.

Because we get a humanous price point a full dollars twenty coming from you know, Musk company.

Because we get a humanous price point a full dollars twenty coming from you know, Musk company.

How do things differ with Tesla.

How do things differ with Tesla.

Well, I think that you know Tesla is catching up on that front.

Well, I think that you know Tesla is catching up on that front.

So they do have a brand that's interesting, and so there are definitely people who really enjoy that experience who have been I Heard customers for a while, and so we'll see how how their rollout is different from Weimo's and how quickly they're able to grow.

So they do have a brand that's interesting, and so there are definitely people who really enjoy that experience who have been I Heard customers for a while, and so we'll see how how their rollout is different from Weimo's and how quickly they're able to grow.

It's been great speaking with you, Regina Klilo, Thanks so much for your time. The CEO of Populace, It is time now for talking tech.

It's been great speaking with you, Regina Klilo, Thanks so much for your time. The CEO of Populace, It is time now for talking tech.

First up, open ai has.

First up, open ai has.

Removed details of its deal with former Apple designer Johnny Eyes from the web over a trademark dispute. Now, the six and a half billion dollar acquisition of I's startup called io Products is meant to help the chatchubt make a move into AI devices.

Removed details of its deal with former Apple designer Johnny Eyes from the web over a trademark dispute. Now, the six and a half billion dollar acquisition of I's startup called io Products is meant to help the chatchubt make a move into AI devices.

A judge temporarily blocked.

A judge temporarily blocked.

Open ai from using the io Moniker after a wearable audio device maker accused it of trademark infringement plus tech investor process where What did a profit for the first time. Under its new CEO, the company has acquired businesses including online travel firm that Dispago and food delivery business Just Eat, with an eye toward building out large e commerce platforms. And Chinese tech giant Shaomi will be releasing a host of new products and an event later this month. They include a tablet powered by self developed O one chip and its first suv. Pricing for the new vehicle, the Yu seven is also supposed.

Open ai from using the io Moniker after a wearable audio device maker accused it of trademark infringement plus tech investor process where What did a profit for the first time. Under its new CEO, the company has acquired businesses including online travel firm that Dispago and food delivery business Just Eat, with an eye toward building out large e commerce platforms. And Chinese tech giant Shaomi will be releasing a host of new products and an event later this month. They include a tablet powered by self developed O one chip and its first suv. Pricing for the new vehicle, the Yu seven is also supposed.

To be released at the event.

To be released at the event.

Welcome back to Blue meg Tech and Caroine Hide in New York. Let's get your check on these markets because the geopolitical anxiety is starting back just a little bit. We're still all focused on Israel, Iran and of course what occurred over the course of the weekend as US struck those three sites in Iran.

Welcome back to Blue meg Tech and Caroine Hide in New York. Let's get your check on these markets because the geopolitical anxiety is starting back just a little bit. We're still all focused on Israel, Iran and of course what occurred over the course of the weekend as US struck those three sites in Iran.

We're seeing that.

We're seeing that.

We're bounced back in stocks are up by five tens percent, and I want to dig into some of the individual.

We're bounced back in stocks are up by five tens percent, and I want to dig into some of the individual.

Moves in a moment.

Moves in a moment.

But Bitcoin as well looking more like a proxy for well some stability rather than risk a version. Over the course of the weekend, we saw some of the old coins perform much worse than Bitcoin renown our one oh one thousand level. I'm looking at what's happening for the individual names though, and Palo Alto Networks up more than a percentage point. I'm looking also at checkpoint why, because we're thinking about the cyber implications here after the US attack on Iran and what's happening between Israel and ram More. Generally, US officials are in fact issuing a warning to businesses to brace the potential cyber attacks from Iran. This following US air strikes that we saw the country's nuclear facilities really be targeted. Lumergs, Patrick how O'Neil joins us some more and Patrick, some of the names that we're highlighted are on the higher side because people are thinking company is going to have to double down.

But Bitcoin as well looking more like a proxy for well some stability rather than risk a version. Over the course of the weekend, we saw some of the old coins perform much worse than Bitcoin renown our one oh one thousand level. I'm looking at what's happening for the individual names though, and Palo Alto Networks up more than a percentage point. I'm looking also at checkpoint why, because we're thinking about the cyber implications here after the US attack on Iran and what's happening between Israel and ram More. Generally, US officials are in fact issuing a warning to businesses to brace the potential cyber attacks from Iran. This following US air strikes that we saw the country's nuclear facilities really be targeted. Lumergs, Patrick how O'Neil joins us some more and Patrick, some of the names that we're highlighted are on the higher side because people are thinking company is going to have to double down.

Here, that's right.

Here, that's right.

So the Department of Homeland Security issued a warning over the weekend that US companies are going to have to watch out for Irani and cyberactivity. But I think one important note here to make is that they specifically emphasize that it would be quote low level activity. And the key there is that this is a thread actor who's been prolific and brazen, but not particularly sophisticated, And so it really speaks to the kind of level of a thread and the specific things that US companies and organizations and individuals are going to have to be looking out for.

So the Department of Homeland Security issued a warning over the weekend that US companies are going to have to watch out for Irani and cyberactivity. But I think one important note here to make is that they specifically emphasize that it would be quote low level activity. And the key there is that this is a thread actor who's been prolific and brazen, but not particularly sophisticated, And so it really speaks to the kind of level of a thread and the specific things that US companies and organizations and individuals are going to have to be looking out for.

So perhaps not that sophisticated. Perhaps the bark is worse than the bite. But Iran has primarily targeted who in the past.

So perhaps not that sophisticated. Perhaps the bark is worse than the bite. But Iran has primarily targeted who in the past.

Well, the real answer to that would be Israel. There's been incredible amount of Israel aro on cyberactivity over the years back and forth. But in the US there's been a long history of Iranian cyberactivity of varying levels. They've targeted famously, they targeted US financial institutions about ten.

Well, the real answer to that would be Israel. There's been incredible amount of Israel aro on cyberactivity over the years back and forth. But in the US there's been a long history of Iranian cyberactivity of varying levels. They've targeted famously, they targeted US financial institutions about ten.

Or fifteen years ago.

Or fifteen years ago.

They were able to get some top Wall Street banks off the Internet. They've also targeted individuals that they deem to be enemies of the regime. They've done defacements, they've done ransomware. So it's a wide gamut of targets and a lot of it is about the psychological impact. A lot of it is about looking powerful intimidation rather than a real demonstrable impact. In many cases, and.

They were able to get some top Wall Street banks off the Internet. They've also targeted individuals that they deem to be enemies of the regime. They've done defacements, they've done ransomware. So it's a wide gamut of targets and a lot of it is about the psychological impact. A lot of it is about looking powerful intimidation rather than a real demonstrable impact. In many cases, and.

I imagine defense contractors, government bodies right now are really bracing themselves, Patrick, But what has also been demonstrated is the impact that Israel has had on Iran in terms of cyber as well.

I imagine defense contractors, government bodies right now are really bracing themselves, Patrick, But what has also been demonstrated is the impact that Israel has had on Iran in terms of cyber as well.

What have we've seen over the last few weeks.

What have we've seen over the last few weeks.

It's been really interesting. So to describe what we've seen, we have to preface it with the potentially obvious that there is a really significant fog of war right now, so we're still doing our best to understand. But most notably, there is a group called Predatory Sparrow, and it maintains this image of a activist, activist group, but it's been engaged in some really high profile activity. It's taken a huge Iranian bank offline because of alleged links to the IRGC, the Republican Guard. It's essentially burned tens of millions of dollars in crypto from a major Iranian crypto exchange, again because of links to evading sanctions. And it's all really been in the effort of having a psychological impact.

It's been really interesting. So to describe what we've seen, we have to preface it with the potentially obvious that there is a really significant fog of war right now, so we're still doing our best to understand. But most notably, there is a group called Predatory Sparrow, and it maintains this image of a activist, activist group, but it's been engaged in some really high profile activity. It's taken a huge Iranian bank offline because of alleged links to the IRGC, the Republican Guard. It's essentially burned tens of millions of dollars in crypto from a major Iranian crypto exchange, again because of links to evading sanctions. And it's all really been in the effort of having a psychological impact.

Again.

Again.

I mean, don't get me wrong, the financial impact is significant, but I think it's about in their case, showcasing that the emperor has no clothes in this case, and that Israel, this group that most experts say is aligned with Israel is really able to operate freely during this conflict.

I mean, don't get me wrong, the financial impact is significant, but I think it's about in their case, showcasing that the emperor has no clothes in this case, and that Israel, this group that most experts say is aligned with Israel is really able to operate freely during this conflict.

Fascinating, Patrick Howl O'Neil do come back, Thanks so much, and let's just stick with defense tech more broadly now. Marlin Spike is a notable VC investor in the sector, backing companies such as Palenteers, Shield Ai Andre Will Marlin Spike CEO Keegan joins us.

Fascinating, Patrick Howl O'Neil do come back, Thanks so much, and let's just stick with defense tech more broadly now. Marlin Spike is a notable VC investor in the sector, backing companies such as Palenteers, Shield Ai Andre Will Marlin Spike CEO Keegan joins us.

Now, look, you've been in this game a long time.

Now, look, you've been in this game a long time.

What is it since twenty twenty, I've been backing some of these names. Palenteer's near a record high today, So congratulations. What are we seeing in terms of the rest of the VC industry following your lead?

What is it since twenty twenty, I've been backing some of these names. Palenteer's near a record high today, So congratulations. What are we seeing in terms of the rest of the VC industry following your lead?

Sure?

Sure?

Well, first of all, thank you very much for having me, Caroline. It's an honored bey on Bloomberg, particularly on a day where there's a lot more green than red on the screen. So what we're seeing, particularly as it relates to defense technology and dual use, which is where we spend our time investing, We're looking for very disruptive companies that can make an impact on our industrial base. I mean, we're here to build with these hygro technology companies the most robust and durable industrial base that we can, and as it relates to Iran, look, this is a long time common for this strike and we've significantly degraded their capabilities. But I think it highlights that that, you know, a country like Iran and some of our other competitors are not going to come at us in traditional ways. We need to be ready for asymmetric threats and that is one of the real goals for where we're investing and looking for companies that can not suffer a failure of imagination. After nine to eleven, we need to focus on all the tools that we have at hand in terms of AI, autonomous systems and advanced manufacturing. These are the new companies that are going to work in concert with some of the great defense companies that we have that produce our exquisite capital systems that we actually saw on display over the.

Well, first of all, thank you very much for having me, Caroline. It's an honored bey on Bloomberg, particularly on a day where there's a lot more green than red on the screen. So what we're seeing, particularly as it relates to defense technology and dual use, which is where we spend our time investing, We're looking for very disruptive companies that can make an impact on our industrial base. I mean, we're here to build with these hygro technology companies the most robust and durable industrial base that we can, and as it relates to Iran, look, this is a long time common for this strike and we've significantly degraded their capabilities. But I think it highlights that that, you know, a country like Iran and some of our other competitors are not going to come at us in traditional ways. We need to be ready for asymmetric threats and that is one of the real goals for where we're investing and looking for companies that can not suffer a failure of imagination. After nine to eleven, we need to focus on all the tools that we have at hand in terms of AI, autonomous systems and advanced manufacturing. These are the new companies that are going to work in concert with some of the great defense companies that we have that produce our exquisite capital systems that we actually saw on display over the.

Weekend working concert. Is that happening more at the moment.

Weekend working concert. Is that happening more at the moment.

Neil, absolutely, and first of all, hats off to our brave men and women that plan this decisive strike. There was a lot of thought and coordination that went into this, and I like to paraphrase you know Admiral Palparo, who likes to say we need not only the will, but the capability, and I think we demonstrated both with a high degree of success on Saturday evening. I do see, or we do see from our team, more coordination with the large legacy primes and really the new you can call them new kids in the block, but companies like SpaceX and Palneer have been around for over twenty years. And what I think is really fascinating is we're seeing a very open tie up between these market leaders to work together so we can effectively renew freedoms Forwards two point zero, which is the coming together of the public and the private markets to defend America in our allies, so we can be ready with the best possible tech to give it to our war fighters and an intelligence community.

Neil, absolutely, and first of all, hats off to our brave men and women that plan this decisive strike. There was a lot of thought and coordination that went into this, and I like to paraphrase you know Admiral Palparo, who likes to say we need not only the will, but the capability, and I think we demonstrated both with a high degree of success on Saturday evening. I do see, or we do see from our team, more coordination with the large legacy primes and really the new you can call them new kids in the block, but companies like SpaceX and Palneer have been around for over twenty years. And what I think is really fascinating is we're seeing a very open tie up between these market leaders to work together so we can effectively renew freedoms Forwards two point zero, which is the coming together of the public and the private markets to defend America in our allies, so we can be ready with the best possible tech to give it to our war fighters and an intelligence community.

Neil, it's interesting you say the intelligence community. We do understand. Still, really a battle damage assessment is needed to show clarity of the effectiveness of what happened over the course of the weekend. We started this conversation this show with the csis Emily Harding on the show really talking about how now intelligence can be an area of innovation and of fostering.

Neil, it's interesting you say the intelligence community. We do understand. Still, really a battle damage assessment is needed to show clarity of the effectiveness of what happened over the course of the weekend. We started this conversation this show with the csis Emily Harding on the show really talking about how now intelligence can be an area of innovation and of fostering.

Is that something you've been looking at? How is AI changing that game?

Is that something you've been looking at? How is AI changing that game?

Sure is and it's an integrated part. I mean you mentioned, you know, Palneer Palenteer was really formed in the wake of nine to eleven. They were an early Inky Tel investment. Ink you tell, as you and a lot of your viewers may know, has been investing in the intelligence community on behalf of our country for over twenty five years. This is a group that we're very close to. We understand their return on mission. You know, we're also in this to make great returns for our investors, but it's very important that these groups, you know, work handing glove together. And I see that happening more and more and more, and that's a great thing, not only at the at the later stage where these companies have really blossomed and they've got product market fit, growing revenues, getting major contracts, but also on the earlier stage. You know, we're very excited to see that. It seems like almost every day there are bright young men and women that are leaving great companies like Tesla and Androl and Palneer and space Act, and they're starting new companies with new capabilities, and we're excited to spend time with them and to back them in the earlier stages. As well.

Sure is and it's an integrated part. I mean you mentioned, you know, Palneer Palenteer was really formed in the wake of nine to eleven. They were an early Inky Tel investment. Ink you tell, as you and a lot of your viewers may know, has been investing in the intelligence community on behalf of our country for over twenty five years. This is a group that we're very close to. We understand their return on mission. You know, we're also in this to make great returns for our investors, but it's very important that these groups, you know, work handing glove together. And I see that happening more and more and more, and that's a great thing, not only at the at the later stage where these companies have really blossomed and they've got product market fit, growing revenues, getting major contracts, but also on the earlier stage. You know, we're very excited to see that. It seems like almost every day there are bright young men and women that are leaving great companies like Tesla and Androl and Palneer and space Act, and they're starting new companies with new capabilities, and we're excited to spend time with them and to back them in the earlier stages. As well.

What's interesting is we're still perhaps wondering what the key buy signal is here for yet more contracts, Neil. We keep saying the same names time and time again, Pal Andeer Andrel because they have made such moves they have managed to intertwine themselves with the administration and get more contracts. But is that going broader? Because Emily Hardening at the top of the show was sort about lning that there's a lot of talk about allocating funds towards these startups, but sometimes not enough walk.

What's interesting is we're still perhaps wondering what the key buy signal is here for yet more contracts, Neil. We keep saying the same names time and time again, Pal Andeer Andrel because they have made such moves they have managed to intertwine themselves with the administration and get more contracts. But is that going broader? Because Emily Hardening at the top of the show was sort about lning that there's a lot of talk about allocating funds towards these startups, but sometimes not enough walk.

I would say that's a fair assessment, and I want to be labor the Valley of Death comment. In our space, there's been a lot written about that we must change what we buy, how we buy it, and get new technology with a lot of the newer entrance in the space to the warfighter, and thankfully that is happening in our Vieu's not happening fast enough, but there are pockets of opportunity. I think Golden Dome is going to be a really good example. We're very pleased to see the new energy around this because I think this is something that is much bigger than just counter defenses. This is an integrated, layered system, both at home and abroad. It's going to involve very exquisite programs but also asymmetric defense. Again, I said it before and I'll see it again. We can't failure the lack of imagination after nine to eleven, so we need to be very creative as it comes to homeland defense, securing our border, critical infrastructure, cyber capital markets and some of these newer, more innovative companies are going after this, and I think they've got a real role to play in concert with the large legacy primes as well as the new market leaders like Androl and Poundteer Neil.

I would say that's a fair assessment, and I want to be labor the Valley of Death comment. In our space, there's been a lot written about that we must change what we buy, how we buy it, and get new technology with a lot of the newer entrance in the space to the warfighter, and thankfully that is happening in our Vieu's not happening fast enough, but there are pockets of opportunity. I think Golden Dome is going to be a really good example. We're very pleased to see the new energy around this because I think this is something that is much bigger than just counter defenses. This is an integrated, layered system, both at home and abroad. It's going to involve very exquisite programs but also asymmetric defense. Again, I said it before and I'll see it again. We can't failure the lack of imagination after nine to eleven, so we need to be very creative as it comes to homeland defense, securing our border, critical infrastructure, cyber capital markets and some of these newer, more innovative companies are going after this, and I think they've got a real role to play in concert with the large legacy primes as well as the new market leaders like Androl and Poundteer Neil.

I like the way you said there's new energy. There is new energy.

I like the way you said there's new energy. There is new energy.

Around well defense tech investing more broadly, far more vcs getting in on it, but far more big tech company is willing to go there. I think meta and an error relationship that they're now having with Andrew, you're thinking of the relationship that we're seeing Google now redeploying and focusing on military applications.

Around well defense tech investing more broadly, far more vcs getting in on it, but far more big tech company is willing to go there. I think meta and an error relationship that they're now having with Andrew, you're thinking of the relationship that we're seeing Google now redeploying and focusing on military applications.

Has that taken by surprise?

Has that taken by surprise?

As someone who's been working on this intersection since twenty twenty.

As someone who's been working on this intersection since twenty twenty.

I wouldn't say it's taken me by surprise or our team by surprise. I mean, our team has been in this space a long time. You know, my background, I was a Naval Academy graduate or naval officer, was actually in the Arabian golf in the in the late nineties, going through the straits of Horror Mouz. So you know, we were ready. We were ready then and as we're ready now, and we need to continue to be ready for these asymmetric threats. And I think this is where you know, we're going to shine. And I'm actually very pleased and gratified to see this continued, not only public recognition, but having the private sector really stepped into this. And I think a lot of the tech leaders back in the late teams, you know, I think again Andrell, you know, is a great example where you know, this is private capital. These are founders. These are folks that are very tech savvy that they took a risk, they've built a great company, and then now more have followed. So I think that's going to be a continued trend. And again there are more entrants in the defense tech dual use investing space, and that's a good thing. We need that we are our missions driven, we co invest together, we share ideas, and at the bottom line is you know, we're in this not only for profit, but also for purpose and that's the mission mindset I see of our cohort in this space.

I wouldn't say it's taken me by surprise or our team by surprise. I mean, our team has been in this space a long time. You know, my background, I was a Naval Academy graduate or naval officer, was actually in the Arabian golf in the in the late nineties, going through the straits of Horror Mouz. So you know, we were ready. We were ready then and as we're ready now, and we need to continue to be ready for these asymmetric threats. And I think this is where you know, we're going to shine. And I'm actually very pleased and gratified to see this continued, not only public recognition, but having the private sector really stepped into this. And I think a lot of the tech leaders back in the late teams, you know, I think again Andrell, you know, is a great example where you know, this is private capital. These are founders. These are folks that are very tech savvy that they took a risk, they've built a great company, and then now more have followed. So I think that's going to be a continued trend. And again there are more entrants in the defense tech dual use investing space, and that's a good thing. We need that we are our missions driven, we co invest together, we share ideas, and at the bottom line is you know, we're in this not only for profit, but also for purpose and that's the mission mindset I see of our cohort in this space.

Well, we take note that you've invested in twenty five companies so far and some of the leading names that have stood out in defense tech. So, Neil Keegan, we listen to you with Marlin Spike, thanks so much for joining. Coming up, Thank you CenTra Systems. It aims to modernize the way a key component in aerospace and defense tech is made. We speak with CenTra system CEO John and Black. Next, this is a Bloomberg Tech. We have some breaking news for you. Let's just take you out to Kata to temporarily suspend traffic over its airspace. This is of course, as anxieties have dialed up and indeed real world implications for Iran after the attacks from the US over the course of the weekend and Israel in Iran, the tensions continued to foster over this weekend. We have seen notable lack of access to Dubai for example, certain airlines British Shareways for example, curtailing some of their flights to those destinations. Now we understand that Kata is to temporarily suspend traffic over its airspace.

Well, we take note that you've invested in twenty five companies so far and some of the leading names that have stood out in defense tech. So, Neil Keegan, we listen to you with Marlin Spike, thanks so much for joining. Coming up, Thank you CenTra Systems. It aims to modernize the way a key component in aerospace and defense tech is made. We speak with CenTra system CEO John and Black. Next, this is a Bloomberg Tech. We have some breaking news for you. Let's just take you out to Kata to temporarily suspend traffic over its airspace. This is of course, as anxieties have dialed up and indeed real world implications for Iran after the attacks from the US over the course of the weekend and Israel in Iran, the tensions continued to foster over this weekend. We have seen notable lack of access to Dubai for example, certain airlines British Shareways for example, curtailing some of their flights to those destinations. Now we understand that Kata is to temporarily suspend traffic over its airspace.

We'll keep you up to date with all the news.

We'll keep you up to date with all the news.

Meanwhile, CenTra Systems, I want to talk about how it's announced it's raised twenty five million dollars in a Series A funding round and then aim to modernize whire harnesses using the aerospace and defense industry. Jordan Black, CenTra system CEO and co founder, joins us. Now, congrats on the rays. Talk to us about harnesses. What exactly is it that you're making, What exactly is it that you feel needs to be disrupted?

Meanwhile, CenTra Systems, I want to talk about how it's announced it's raised twenty five million dollars in a Series A funding round and then aim to modernize whire harnesses using the aerospace and defense industry. Jordan Black, CenTra system CEO and co founder, joins us. Now, congrats on the rays. Talk to us about harnesses. What exactly is it that you're making, What exactly is it that you feel needs to be disrupted?

Yeah, thank you for having me so, probably don't have too much no wire harnessing, but it's in everything. It's in your rockets, it's in your cars, it's in your coffee maker. It's what connects all electronic components together. Without it, nothing would fly, nothing would run, nothing would work, nothing would turn on. And it's an industry that hasn't changed since the World War, mainly because it's an entirely manual process to design it and to also manufacture it from scratch too. It's entirely done by labor. It's fairy arts and crafts like and it's one of those really un sexy businesses that has just been in the US for a while and all over the world, but we're excited to disrupt it from starting to finish.

Yeah, thank you for having me so, probably don't have too much no wire harnessing, but it's in everything. It's in your rockets, it's in your cars, it's in your coffee maker. It's what connects all electronic components together. Without it, nothing would fly, nothing would run, nothing would work, nothing would turn on. And it's an industry that hasn't changed since the World War, mainly because it's an entirely manual process to design it and to also manufacture it from scratch too. It's entirely done by labor. It's fairy arts and crafts like and it's one of those really un sexy businesses that has just been in the US for a while and all over the world, but we're excited to disrupt it from starting to finish.

You found it sexy.

You found it sexy.

You went around the world when you're working with SpaceX to go and see what really the bottlenecks were as to why you can't scale this. So what's your answer, how do you end up making this more automated more quickly to replicate.

You went around the world when you're working with SpaceX to go and see what really the bottlenecks were as to why you can't scale this. So what's your answer, how do you end up making this more automated more quickly to replicate.

The way we believe we have to solve this thing is that it comes both from the input and the output side of it too. And what I mean by that is some of the largest companies today are using Excel spreadsheets and powerpoints slides to design their electrical wire harnessing because there's no industry standard to actually design it to give it to a contract manufacturer like ourselves to build off of. And this is where they have the back and forth and a lot of the inefficiency in the process too. So we're creating a design tool called AMP where anyone can pretty much design a wire harness within minutes versus months. Then we take that data and we send it to our manufacturing facility. So right now the headquarters is in southern California, Redondo Beach, and we use that data to streamline the entire process from ordering the parts, giving work constructions, to the technicians using machines that we either build internally or off the shelf, to empower almost anyone to be able to build the wire harness too. The thing that was really the biggest struggle even at SpaceX was it would take at least twelve months for someone to be able to be a skilled technician to touch a wire harness that goes into a SpaceX rocket or satellite or anything else like that.

The way we believe we have to solve this thing is that it comes both from the input and the output side of it too. And what I mean by that is some of the largest companies today are using Excel spreadsheets and powerpoints slides to design their electrical wire harnessing because there's no industry standard to actually design it to give it to a contract manufacturer like ourselves to build off of. And this is where they have the back and forth and a lot of the inefficiency in the process too. So we're creating a design tool called AMP where anyone can pretty much design a wire harness within minutes versus months. Then we take that data and we send it to our manufacturing facility. So right now the headquarters is in southern California, Redondo Beach, and we use that data to streamline the entire process from ordering the parts, giving work constructions, to the technicians using machines that we either build internally or off the shelf, to empower almost anyone to be able to build the wire harness too. The thing that was really the biggest struggle even at SpaceX was it would take at least twelve months for someone to be able to be a skilled technician to touch a wire harness that goes into a SpaceX rocket or satellite or anything else like that.

And it's just.

And it's just.

This process of it hasn't changed since the Cold War, like I mentioned too.

This process of it hasn't changed since the Cold War, like I mentioned too.

So you got twenty five million, Where does that go?

So you got twenty five million, Where does that go?

Because is it about ensuring that you can scale the manufacturing the footprint You say you're in Soco, Los Angeles as well with a factory, do you scale that out? Is it about hiring more technicians of your own?

Because is it about ensuring that you can scale the manufacturing the footprint You say you're in Soco, Los Angeles as well with a factory, do you scale that out? Is it about hiring more technicians of your own?

It's both.

It's both.

It's putting more effort into our software design tool. We've already released our beta and we have customers actively using it too and really being able to create that industry standard right off the bat. And then we're scaling manufacturing we can't keep up with the demand. Two years ago I started building wire harnesses in my apartment. A year after that, we're in our current facility and we've already most outgrown it, and so it's continued to keep up with the demand as we continue to grow too.

It's putting more effort into our software design tool. We've already released our beta and we have customers actively using it too and really being able to create that industry standard right off the bat. And then we're scaling manufacturing we can't keep up with the demand. Two years ago I started building wire harnesses in my apartment. A year after that, we're in our current facility and we've already most outgrown it, and so it's continued to keep up with the demand as we continue to grow too.

I mean, that feels weird that you were able to build a wire harness in your apartment from just a regulatory perspective, I mean, Jordan, what are the sort of boxes you have to take when you make these things?

I mean, that feels weird that you were able to build a wire harness in your apartment from just a regulatory perspective, I mean, Jordan, what are the sort of boxes you have to take when you make these things?

When I started, I unfortunately my first customer wasn't a SpaceX or a large company like that, but it was actually a pizza automation company, and so I started with just going to almost every startup.

When I started, I unfortunately my first customer wasn't a SpaceX or a large company like that, but it was actually a pizza automation company, and so I started with just going to almost every startup.

Probably the third week, I.

Probably the third week, I.

Opened up and said, I don't care what you pay me, I don't care what the harness is. I will just build it for you because I want that eager to just get my hands dirty and be able to start this company round the scratch. But it shows also how manual the processes that I'm able to build into my apartment because I don't need very expensive machines or the crazy technology to build this, and that's what the industry needs to be able to scale out of an apartment.

Opened up and said, I don't care what you pay me, I don't care what the harness is. I will just build it for you because I want that eager to just get my hands dirty and be able to start this company round the scratch. But it shows also how manual the processes that I'm able to build into my apartment because I don't need very expensive machines or the crazy technology to build this, and that's what the industry needs to be able to scale out of an apartment.

When the industry is getting it not just from you, but also from Hadrian. For example, there is now this push for automated manufacturing here in the United States. You share similar vcs for example Founders fund a sixteen Z caffeinated capital. You seeing this desire come from the capital markets right now.

When the industry is getting it not just from you, but also from Hadrian. For example, there is now this push for automated manufacturing here in the United States. You share similar vcs for example Founders fund a sixteen Z caffeinated capital. You seeing this desire come from the capital markets right now.

It's really this push to keep up with the demand because I think the industrial supply chain is just it's dwindling, and there's in at least in wire harnessing, there's eight hundred plus mom pop shops that build this and they're struggling to scale, the struggle to keep up with demand. And I think our customers they're emerging, such as like the Andrels of the world, They need a supply chain can quickly iterate that can build them high quality harnesses, faster, cheaper, everything else on that side of it too. But I think this is why this capital market's very excited for this is they're not only putting their capital into some of the new incumbents in the space like Anderid, but also the industrial supply gen that's going to make them successful in the long run too.

It's really this push to keep up with the demand because I think the industrial supply chain is just it's dwindling, and there's in at least in wire harnessing, there's eight hundred plus mom pop shops that build this and they're struggling to scale, the struggle to keep up with demand. And I think our customers they're emerging, such as like the Andrels of the world, They need a supply chain can quickly iterate that can build them high quality harnesses, faster, cheaper, everything else on that side of it too. But I think this is why this capital market's very excited for this is they're not only putting their capital into some of the new incumbents in the space like Anderid, but also the industrial supply gen that's going to make them successful in the long run too.

Jordan Black of Central Systems. Thanks so much for talking about the rays.

Jordan Black of Central Systems. Thanks so much for talking about the rays.

We appreciate it. Now.

We appreciate it. Now.

That does it for this edition of Bloomberg Tech. You do not want to forget about our podcast. You find it on the terminal as well as online on Apple, Spotify, and iHeart from New York.

That does it for this edition of Bloomberg Tech. You do not want to forget about our podcast. You find it on the terminal as well as online on Apple, Spotify, and iHeart from New York.

This is bloombag Tech

This is bloombag Tech