From Marhart where Innovation, Money and Power Collie in Silicon Valley, NBN. This is Bloomberg Technology with Caroline Hyde.

From Marhart where Innovation, Money and Power Collie in Silicon Valley, NBN. This is Bloomberg Technology with Caroline Hyde.

And Ed Ludlow.

And Ed Ludlow.

Live from London for the Bloomberg Technology Summit. I'm Caroline Hyde.

Live from London for the Bloomberg Technology Summit. I'm Caroline Hyde.

And I'm Ed Ludlow in San Francisco. This is Bloomberg Technology.

And I'm Ed Ludlow in San Francisco. This is Bloomberg Technology.

Coming up. We'll have full earnings coverage.

Coming up. We'll have full earnings coverage.

Ahead is Spotify reports the results, and Google and Microsoft we're going to.

Ahead is Spotify reports the results, and Google and Microsoft we're going to.

Deliver after the bell, We've got you covered.

Deliver after the bell, We've got you covered.

Plus, we'll hear from Reddick co founder Alexis o'hanian to talk his investments in AI and crypto are they living up to the hype?

Plus, we'll hear from Reddick co founder Alexis o'hanian to talk his investments in AI and crypto are they living up to the hype?

And with the Bloomberg Tech Summit underway in London, we'll hear from executives from Anthropic Delivery and so much more so.

And with the Bloomberg Tech Summit underway in London, we'll hear from executives from Anthropic Delivery and so much more so.

After the bell we get the giants Microsoft in alphabet. There's going to be interested in the cloud division of those two names, right, There always is, But there will also be intense interests in artificial intelligence. I guess by this stage we ask how is that showing up in sales? All of the R and D and investment in large language or foundation models, are they actually making any money from it? Top of mine right now is what's top of the list. Spotify on track for its biggest jump since January thirty first of this year, trading near its highest level since July. Top line beat, bottom line beat, premium subscriber beat, monthly active users beat. Let's get straight to the details with Bloomberg's Ashley Carmen and Ashley I guess the question is what is in the earnings playlist for Spotify? What were the top numbers?

After the bell we get the giants Microsoft in alphabet. There's going to be interested in the cloud division of those two names, right, There always is, But there will also be intense interests in artificial intelligence. I guess by this stage we ask how is that showing up in sales? All of the R and D and investment in large language or foundation models, are they actually making any money from it? Top of mine right now is what's top of the list. Spotify on track for its biggest jump since January thirty first of this year, trading near its highest level since July. Top line beat, bottom line beat, premium subscriber beat, monthly active users beat. Let's get straight to the details with Bloomberg's Ashley Carmen and Ashley I guess the question is what is in the earnings playlist for Spotify? What were the top numbers?

Yeah, so the big headline item is that Spotify turn to profit in the third quarter at thirty two million euro and that definitely was a surprise for analysts who were expecting a pretty significant loss.

Yeah, so the big headline item is that Spotify turn to profit in the third quarter at thirty two million euro and that definitely was a surprise for analysts who were expecting a pretty significant loss.

And they'd say it's an inflection point.

And they'd say it's an inflection point.

Can you tell us what really been the drivers of growth here?

Can you tell us what really been the drivers of growth here?

Yeah, for sure.

Yeah, for sure.

So over the past year, we've seen significant cost reduct whether it be looking to lease real estate that they previously rented, significant calling back on their podcast efforts, all of that. Plus in July they initiated their first price hikes on their standard plan in quite a while, which we're starting to see some of the revenue growth from that decision.

So over the past year, we've seen significant cost reduct whether it be looking to lease real estate that they previously rented, significant calling back on their podcast efforts, all of that. Plus in July they initiated their first price hikes on their standard plan in quite a while, which we're starting to see some of the revenue growth from that decision.

Actually here on Bluemog Technology, we've talked a lot about what they've been doing in the artificial intelligence contexts and in the podcast context And it's interesting, right because they kind of did not green light some projects. They made cost cuts, headcount reduction, but if you look at the earnings that's showing up in a positive way.

Actually here on Bluemog Technology, we've talked a lot about what they've been doing in the artificial intelligence contexts and in the podcast context And it's interesting, right because they kind of did not green light some projects. They made cost cuts, headcount reduction, but if you look at the earnings that's showing up in a positive way.

Totally.

Totally.

Yeah, they are really mentioning this year as their quote unquote efficient year. They're really trying to find all these different efficiencies, whether it be through AI, but really truly through this cost cutting and trying to make sure they're delivering on the businesses that they're pursuing.

Yeah, they are really mentioning this year as their quote unquote efficient year. They're really trying to find all these different efficiencies, whether it be through AI, but really truly through this cost cutting and trying to make sure they're delivering on the businesses that they're pursuing.

Well, we see total active views as well as some twenty six percent more than half billion. It's clear that we're seeing some well key year of efficiency starting to benefit in terms of growth too. Actually, Carmen, it's great to have some time with you, thank you very much, and deep breaking down the Spotify numbers and in need the rally that we saw in the shares and and look, that just sets us up for why there is so much optimism around some of these big tech names that are set to report after the bell, Microsoft.

Well, we see total active views as well as some twenty six percent more than half billion. It's clear that we're seeing some well key year of efficiency starting to benefit in terms of growth too. Actually, Carmen, it's great to have some time with you, thank you very much, and deep breaking down the Spotify numbers and in need the rally that we saw in the shares and and look, that just sets us up for why there is so much optimism around some of these big tech names that are set to report after the bell, Microsoft.

Alphabet of course, parent at Google going to be coming a little bit later.

Alphabet of course, parent at Google going to be coming a little bit later.

Let's bring in Ana agran Or a Bloomberg intelligence for what we can expect from Microsoft first and are we expecting key revenue growth here as well?

Let's bring in Ana agran Or a Bloomberg intelligence for what we can expect from Microsoft first and are we expecting key revenue growth here as well?

Yeah, you know, the number really to catch for is their cloud revenue. I mean it's a slight deceleration from last quarter, but guidance for next quarter I think is going to be really critical because in the software world, Microsoft is the you know, the biggest player in AI or anything generated AI right now. So I think that's really where our eyes are going to be, our years are going to be. You know, when they talk about guidance for next quarter.

Yeah, you know, the number really to catch for is their cloud revenue. I mean it's a slight deceleration from last quarter, but guidance for next quarter I think is going to be really critical because in the software world, Microsoft is the you know, the biggest player in AI or anything generated AI right now. So I think that's really where our eyes are going to be, our years are going to be. You know, when they talk about guidance for next quarter.

You know the battleground that I love to track and a rag is the hyper scale cloud, right and I think sure it's topline growth forecasts for around twenty seven percent. I know we're so excited about artificial intelligence, we genuinely are, but ultimately, how much do you focus on the bread and butter business?

You know the battleground that I love to track and a rag is the hyper scale cloud, right and I think sure it's topline growth forecasts for around twenty seven percent. I know we're so excited about artificial intelligence, we genuinely are, but ultimately, how much do you focus on the bread and butter business?

See?

See?

Right now, the bread and burder business is not going to accelerate the way the cloud should over the next twelve to eighteen months. So that's why we really trying trying to figure out if enterprise customers are still in the cost cutting mode or have they started to invest Because that data point I think is the single most important thing for technology companies because unless that happens, you know, you're not going to see a recovery in a lot of these valuations that have gotten beaten up over the last you know, couple of I would say, what.

Right now, the bread and burder business is not going to accelerate the way the cloud should over the next twelve to eighteen months. So that's why we really trying trying to figure out if enterprise customers are still in the cost cutting mode or have they started to invest Because that data point I think is the single most important thing for technology companies because unless that happens, you know, you're not going to see a recovery in a lot of these valuations that have gotten beaten up over the last you know, couple of I would say, what.

Was what about spending at the moment? Anak how much are they willing to be investing in their own business? Because boy, they've been investing in open Ai.

Was what about spending at the moment? Anak how much are they willing to be investing in their own business? Because boy, they've been investing in open Ai.

Yeah, see the investment part I am. I personally, I am not concerned about whether you know, I think it's going to remain strong for all cloud providers only because the backlog or the long term models are still there. People need to invest and you know, move away from on premise infrastructure. So I'm not concerned about CAPEX as much as some you know, maybe investors are. But you know, from my site, I think it's going to continue for for many years to come.

Yeah, see the investment part I am. I personally, I am not concerned about whether you know, I think it's going to remain strong for all cloud providers only because the backlog or the long term models are still there. People need to invest and you know, move away from on premise infrastructure. So I'm not concerned about CAPEX as much as some you know, maybe investors are. But you know, from my site, I think it's going to continue for for many years to come.

All Right, I was being a bit sassy about cloud and artifisial intelligence. Get it sasy software as a anyway, Anna rag Rana of Bloomberg Intelligence, thank you very much. Let's get at Google's results after Caroline love that I know I knew you with all right, hard pivot Google's after the bell. Who else is here but Mandy seeper Bloomberg Intelligence, Mandy ads it's going to be a story of how the ad business is done. We talked just there about the sort of bread and butter business for Microsoft. Is that what Bloomberg Intelligence looks for in Google's context as well?

All Right, I was being a bit sassy about cloud and artifisial intelligence. Get it sasy software as a anyway, Anna rag Rana of Bloomberg Intelligence, thank you very much. Let's get at Google's results after Caroline love that I know I knew you with all right, hard pivot Google's after the bell. Who else is here but Mandy seeper Bloomberg Intelligence, Mandy ads it's going to be a story of how the ad business is done. We talked just there about the sort of bread and butter business for Microsoft. Is that what Bloomberg Intelligence looks for in Google's context as well?

Yeah, and to me, you know, the bogie for YouTube is quite low. When you think about Search, you know, growing at nine percent consensus expectations and YouTube at ten percent. You have to wonder why is YouTube not growing faster when Meta is expected to grow twenty one percent? And the real comparison here is YouTube shorts versus Meta reels. Meta reels we know is a ten billion dollars run read business. They have three exit over the last twelve months. I think investors want to know what's going on with YouTube shorts and if it's going to drive that top line growth. And on the cloud side, I mean, look, I mentioned about large anguid models. The good thing with Google Cloud is they don't have a legacy business where you know, Google Cloud is going to cannibalize its legacy business. It's all incremental revenue from AI and large anglid models. And I think if they give any details around the licensing of their large anguid models, that would be quite interesting.

Yeah, and to me, you know, the bogie for YouTube is quite low. When you think about Search, you know, growing at nine percent consensus expectations and YouTube at ten percent. You have to wonder why is YouTube not growing faster when Meta is expected to grow twenty one percent? And the real comparison here is YouTube shorts versus Meta reels. Meta reels we know is a ten billion dollars run read business. They have three exit over the last twelve months. I think investors want to know what's going on with YouTube shorts and if it's going to drive that top line growth. And on the cloud side, I mean, look, I mentioned about large anguid models. The good thing with Google Cloud is they don't have a legacy business where you know, Google Cloud is going to cannibalize its legacy business. It's all incremental revenue from AI and large anglid models. And I think if they give any details around the licensing of their large anguid models, that would be quite interesting.

Mandid.

Mandid.

There was a lot of handwringing though previous couple of quarters about well the competitive threat that generator of AI certainly maybe coming from being Finally have they managed to shake off any anxiety that search is going to be upended here?

There was a lot of handwringing though previous couple of quarters about well the competitive threat that generator of AI certainly maybe coming from being Finally have they managed to shake off any anxiety that search is going to be upended here?

I mean, Caroline, this search is one business that has still the strongest mode. And granted, you know GPT got traffic, you know, the one hundred million users, but when you look at the ad revenue, I don't think it's gonna make a dent, at least for now and over time. Look, Google has the advantage that they have over four billion monthly active users with search, and even if you know, the volume goes down because they are more large anguage models doing searches, they still have the distribution. And so to me, Search will continue to grow, you know, high single digit and it's all about the other drivers, the YouTube and the cloud that's going to accelerate the growth through double digits.

I mean, Caroline, this search is one business that has still the strongest mode. And granted, you know GPT got traffic, you know, the one hundred million users, but when you look at the ad revenue, I don't think it's gonna make a dent, at least for now and over time. Look, Google has the advantage that they have over four billion monthly active users with search, and even if you know, the volume goes down because they are more large anguage models doing searches, they still have the distribution. And so to me, Search will continue to grow, you know, high single digit and it's all about the other drivers, the YouTube and the cloud that's going to accelerate the growth through double digits.

Madip, there's part of this week which is the kind of timing and structure of it. So Alphabet kind of reports first, and you have meta Snap down the road and Alphabet or Google kind of set the tone for social media companies that make money from ads. Do you expect it to play out that way that way this week as well?

Madip, there's part of this week which is the kind of timing and structure of it. So Alphabet kind of reports first, and you have meta Snap down the road and Alphabet or Google kind of set the tone for social media companies that make money from ads. Do you expect it to play out that way that way this week as well?

No.

No.

I think it's going to be tough for the smaller players simply because companies are still prudent about their sales and marketing spend and they want to focus on the highest ROI, and we know the highest ROI is search and meta, Instagram and you know the social media, large social media properties. I think Snap and Pinterest will have easier comms, So that's good, But in terms of acceleration, it's too early to say that we are headed for, you know, a big rebound in AD spending next year.

I think it's going to be tough for the smaller players simply because companies are still prudent about their sales and marketing spend and they want to focus on the highest ROI, and we know the highest ROI is search and meta, Instagram and you know the social media, large social media properties. I think Snap and Pinterest will have easier comms, So that's good, But in terms of acceleration, it's too early to say that we are headed for, you know, a big rebound in AD spending next year.

Man name saying a Bloomberg Intelligence, We thank you so much as we look ahead to those big earnings and a key discussion about AI. We've got more of that to come from One Alexis Ohanian, founder of VC firm seven seventy six.

Man name saying a Bloomberg Intelligence, We thank you so much as we look ahead to those big earnings and a key discussion about AI. We've got more of that to come from One Alexis Ohanian, founder of VC firm seven seventy six.

Co founder of course of Reddit.

Co founder of course of Reddit.

He's just sat down with our own at Ludlow. Listen to it in a minute. Listen bloom Bag Technology.

He's just sat down with our own at Ludlow. Listen to it in a minute. Listen bloom Bag Technology.

Time now for talking tech.

Time now for talking tech.

First up, in Vidia in processes from arm holdings to develop chips for personal computers. Sources say that in Vidia plans to make CPUs.

First up, in Vidia in processes from arm holdings to develop chips for personal computers. Sources say that in Vidia plans to make CPUs.

You know, we always associated with GPUs, but they would.

You know, we always associated with GPUs, but they would.

Run on Microsoft Windows and go on sales in as twenty twenty five. Now AMD is also working with ARM based processes. Of course, that's a chip design company to move is really all putting pressure on the rival Intel, which makes similar technology for PCs.

Run on Microsoft Windows and go on sales in as twenty twenty five. Now AMD is also working with ARM based processes. Of course, that's a chip design company to move is really all putting pressure on the rival Intel, which makes similar technology for PCs.

Also talking to AI chips.

Also talking to AI chips.

The startup Rebellions is hoping to raise abou one hundred million dollars in global investors. Based in South Korea, the startup is in talks over Series B financing. They may value the company at more than half a billion. Rebellions is one of several players trying to capitalize off of the rapid appeal of artificial intelligence software. Plus a group of bipartisan centers will host yet another crop of tech leaders and executives discuss well how to regulate this AI. It will be the second in a series of forums led by Senate Majority Leader Chuck Schumer, and indeed the VC billionaire Mark and Risen is expected to attend and then the previous forum took place on sept to the thirteenth and included pearances from well Elon Musk for example, ed.

The startup Rebellions is hoping to raise abou one hundred million dollars in global investors. Based in South Korea, the startup is in talks over Series B financing. They may value the company at more than half a billion. Rebellions is one of several players trying to capitalize off of the rapid appeal of artificial intelligence software. Plus a group of bipartisan centers will host yet another crop of tech leaders and executives discuss well how to regulate this AI. It will be the second in a series of forums led by Senate Majority Leader Chuck Schumer, and indeed the VC billionaire Mark and Risen is expected to attend and then the previous forum took place on sept to the thirteenth and included pearances from well Elon Musk for example, ed.

Yeah, let's stick with the artificial intelligence conversation. Earlier today, I caught up with Alexis o'hanian, the founder of seven seven six of course the co founder of Readit as well. We discussed his approach to investing in AI companies and how he's thought about the hype around AI this year.

Yeah, let's stick with the artificial intelligence conversation. Earlier today, I caught up with Alexis o'hanian, the founder of seven seven six of course the co founder of Readit as well. We discussed his approach to investing in AI companies and how he's thought about the hype around AI this year.

Have a listen, there's a lot of hype right now. I've been investing in the space for over a decade, back when it was just narrow AI companies, you know, seating companies like Athellis and Cruise. So this is really now a big breakthrough. Generalized AI is a giant buzzword, but there is some real special truth there, and we're looking for companies that are using this technology to enhance the user experience and outside of ways. It really is as simple as that, and we're seeing across the portfolio from AI produced dubbing like Deep Tune to sports media Rita's been companies like score Plates. It's not about just the buzzword, it's about how are you improving users' lives using this technology effortlessly.

Have a listen, there's a lot of hype right now. I've been investing in the space for over a decade, back when it was just narrow AI companies, you know, seating companies like Athellis and Cruise. So this is really now a big breakthrough. Generalized AI is a giant buzzword, but there is some real special truth there, and we're looking for companies that are using this technology to enhance the user experience and outside of ways. It really is as simple as that, and we're seeing across the portfolio from AI produced dubbing like Deep Tune to sports media Rita's been companies like score Plates. It's not about just the buzzword, it's about how are you improving users' lives using this technology effortlessly.

When I was looking through the port you know, the examples of score play and deep tune. You kind of split it maybe into a tool, an AI tool which we call generative AI, and then an existing technology platform which is kind of improved or added to using AI. You know, explain to us why score play and deep tune fit those two kind of categories and why you'd invested.

When I was looking through the port you know, the examples of score play and deep tune. You kind of split it maybe into a tool, an AI tool which we call generative AI, and then an existing technology platform which is kind of improved or added to using AI. You know, explain to us why score play and deep tune fit those two kind of categories and why you'd invested.

In them for sure.

In them for sure.

Well, you know, as the owner of two professional sports teams, I know how important media management is and this process of actually capturing the clips, the photos or everything happening on the pitch or in the stands, and then you know, getting those out to the athletes, to social media, to your media partners. That is a ton of work, and software should automatically be able to seamlessly make all that happen way more effectively. But now you layer in AI and you have something that now does it ten times faster. Whether it's identifying you know, this is Sidney LaRue, this is her kicking a goal, this is the door dash logo visible, and so all of that stuff can now be automated away and so smaller teams can get far more done. And it's not reinventing a whole new technology. It's leveling up existing software that already has deep relationships with customers. And so there are going to be these types of companies that have strong moats and lock in that are going to win. And you know, there's going to be big winners in.

Well, you know, as the owner of two professional sports teams, I know how important media management is and this process of actually capturing the clips, the photos or everything happening on the pitch or in the stands, and then you know, getting those out to the athletes, to social media, to your media partners. That is a ton of work, and software should automatically be able to seamlessly make all that happen way more effectively. But now you layer in AI and you have something that now does it ten times faster. Whether it's identifying you know, this is Sidney LaRue, this is her kicking a goal, this is the door dash logo visible, and so all of that stuff can now be automated away and so smaller teams can get far more done. And it's not reinventing a whole new technology. It's leveling up existing software that already has deep relationships with customers. And so there are going to be these types of companies that have strong moats and lock in that are going to win. And you know, there's going to be big winners in.

The space as well.

The space as well.

Chat GBT is probably the most famous one, which I'm not an investor in, though I really should have bugged Sam about that a lot earlier. You know, I use it to tell bedtime stories with my daughter, and so you're seeing this very generalized, you know, approach from NLM like Open Eye that's going to solve a lot of problems for a lot of people, and then much more specific approaches that are solving at least right now, strong business needs and you know, offering it like any other subscription as a service business.

Chat GBT is probably the most famous one, which I'm not an investor in, though I really should have bugged Sam about that a lot earlier. You know, I use it to tell bedtime stories with my daughter, and so you're seeing this very generalized, you know, approach from NLM like Open Eye that's going to solve a lot of problems for a lot of people, and then much more specific approaches that are solving at least right now, strong business needs and you know, offering it like any other subscription as a service business.

Just real quick if you do bug Sam Altman. I reported last week that there's a tender off underway right and there's pretty big, big blocks of shares on the secondaries market. Yes that you know value open AI eighty six ninety billion, more than one hundred billion. Some of the prospectus that I've seen, is that a way for you to get in or do you just you just stay away? From open Ai given its late growth stage.

Just real quick if you do bug Sam Altman. I reported last week that there's a tender off underway right and there's pretty big, big blocks of shares on the secondaries market. Yes that you know value open AI eighty six ninety billion, more than one hundred billion. Some of the prospectus that I've seen, is that a way for you to get in or do you just you just stay away? From open Ai given its late growth stage.

I am such an early investor. I want to be there at the point of inception all the way to maybe the Series A. That's that's when we like leading and writing that first check. At this stage, I still think there is value, but it's not you know, it's above my pay grade. I enjoy I enjoy being super early and right, but you know, it's still it's going to continue to surprise us. I think what these technologies are able to do, and yes, there is a ton of hype, but I do think the sky is the limit. And I've known Sam since he did y Combinator together back in two thousand and five, and one thing he has never lacked is ambition. And so if there's anyone who can turn this into you know what all the sort of hype is about, it would be him.

I am such an early investor. I want to be there at the point of inception all the way to maybe the Series A. That's that's when we like leading and writing that first check. At this stage, I still think there is value, but it's not you know, it's above my pay grade. I enjoy I enjoy being super early and right, but you know, it's still it's going to continue to surprise us. I think what these technologies are able to do, and yes, there is a ton of hype, but I do think the sky is the limit. And I've known Sam since he did y Combinator together back in two thousand and five, and one thing he has never lacked is ambition. And so if there's anyone who can turn this into you know what all the sort of hype is about, it would be him.

So a big emphasis there on artificial intelligence. Alexis Hani and seven seven six found a co founder of Reddit.

So a big emphasis there on artificial intelligence. Alexis Hani and seven seven six found a co founder of Reddit.

I have been in crypto for over a decade. I have invested through every single winter, and none of them phase me. They're all healthy because they sort of clear out the tourists and the grifters in every sector, in every industry, and I think here we're seeing a response to my guests, a sort of broader macro and global uncertainty. And what's wild is I know, for some viewers it may seem a little surprising that people would find safety in a volatile cryptocurrency like bitcoin, but the fact that it is truly decentralized and the fact that it is backed by conviction, you know, to me, bitcoin has never felt really all that different from gold.

I have been in crypto for over a decade. I have invested through every single winter, and none of them phase me. They're all healthy because they sort of clear out the tourists and the grifters in every sector, in every industry, and I think here we're seeing a response to my guests, a sort of broader macro and global uncertainty. And what's wild is I know, for some viewers it may seem a little surprising that people would find safety in a volatile cryptocurrency like bitcoin, but the fact that it is truly decentralized and the fact that it is backed by conviction, you know, to me, bitcoin has never felt really all that different from gold.

Ah the age old digital gold.

Ah the age old digital gold.

Alexasirhanian there are seven seven six, just talking a little bit more about his thesis around Web three, around crypto, around bitcoin, and of course it has just hit thirty five thousand dollars for the first time this year. Of course, it's all kind of based on fresh demands, some of them maybe for resilience in conflict, others well because we think an ETF is going to be signed off sometimes soon for spot bitcoin. Let's talk about it all with Amy James, co executive director of Web three Working Group. You join us, and of course a lot of our advocacy work is about making sure everyone has got the access the information to be able to be playing a part in Web three. The ATF exposure, the ability to invest. Is that really what's behind this thirty five thousand dollar pop.

Alexasirhanian there are seven seven six, just talking a little bit more about his thesis around Web three, around crypto, around bitcoin, and of course it has just hit thirty five thousand dollars for the first time this year. Of course, it's all kind of based on fresh demands, some of them maybe for resilience in conflict, others well because we think an ETF is going to be signed off sometimes soon for spot bitcoin. Let's talk about it all with Amy James, co executive director of Web three Working Group. You join us, and of course a lot of our advocacy work is about making sure everyone has got the access the information to be able to be playing a part in Web three. The ATF exposure, the ability to invest. Is that really what's behind this thirty five thousand dollar pop.

It could be absolutely thank you so much for having me on the show, just wanting to say that before you get started. And it absolutely could be the speculation that that's happening. And it also could be the economic uncertainty as the previous guest was talking about, that is driving people into bitcoin because it is potentially a more stable asset over time. I personally think that the bitcoin price action is the least interesting aspect of bitcoin, and it's the technology underneath it that is far more important, more exciting, and will have a much more profound impact on our daily lives.

It could be absolutely thank you so much for having me on the show, just wanting to say that before you get started. And it absolutely could be the speculation that that's happening. And it also could be the economic uncertainty as the previous guest was talking about, that is driving people into bitcoin because it is potentially a more stable asset over time. I personally think that the bitcoin price action is the least interesting aspect of bitcoin, and it's the technology underneath it that is far more important, more exciting, and will have a much more profound impact on our daily lives.

Yeah, Amy, this is why I'm so excited to have you on the program. You know, you can see it as bitcoin as a currency and the underlying blockchain technology what makes it secure? If bitcoin has this kind of upward trajectory thirty five thousand dollars now, Sunny Singh was on the show last week talking about above one hundred thousand at some point next year. Does that help the technology become accepted and utilized in societies around the world.

Yeah, Amy, this is why I'm so excited to have you on the program. You know, you can see it as bitcoin as a currency and the underlying blockchain technology what makes it secure? If bitcoin has this kind of upward trajectory thirty five thousand dollars now, Sunny Singh was on the show last week talking about above one hundred thousand at some point next year. Does that help the technology become accepted and utilized in societies around the world.

That's absolutely right. Every time we have a ball run, more and more people find out about the technology. It's the price action that is, you know, the kind of headline that gets people drawn in.

That's absolutely right. Every time we have a ball run, more and more people find out about the technology. It's the price action that is, you know, the kind of headline that gets people drawn in.

But once they once they come.

But once they once they come.

Into the space, they learn about the technology that really has the potential to reshape the foundation of the Internet and return it to its original vision of being a free and fair marketplace for ideas. And so you know, as they say, bear markets are for builders, and we have been in a bear market since the Terra Luna collapse in May of last year, and during that time a tremendous amount of building has happened. And now I would say that the deep PIN sector of the cryptospace, which stands for decentralized physical infrastructure networks, is poised to be sort of the breakout hit of this next bull run, similar to NFTs and stable coins in previous runs.

Into the space, they learn about the technology that really has the potential to reshape the foundation of the Internet and return it to its original vision of being a free and fair marketplace for ideas. And so you know, as they say, bear markets are for builders, and we have been in a bear market since the Terra Luna collapse in May of last year, and during that time a tremendous amount of building has happened. And now I would say that the deep PIN sector of the cryptospace, which stands for decentralized physical infrastructure networks, is poised to be sort of the breakout hit of this next bull run, similar to NFTs and stable coins in previous runs.

Oh boy, another acronym.

Oh boy, another acronym.

So talk to us about deep in and what decentralized physical infrastructure It actually feels a lot more real, tangible. What exactly is it that you're building me?

So talk to us about deep in and what decentralized physical infrastructure It actually feels a lot more real, tangible. What exactly is it that you're building me?

That's right, So decentralized physical infrastructure networks, I like to call them the plumbing of the web. So just as we rely on water flowing from our tap, we rely on these networks for the things that we do every day, the things that allow us to be on this video call together for you to broadcast your show to the world, things like video trans coding with networks like live peer, things like file storage networks. Those would be protocols like r weave and IPFS. File coin is what most people would know that as. And then also for things like GPU rentals, which I'm sure you know. GPUs have been a really constrained product because of supply issues, and so builders have had a hard time getting their hands on them to train their AI models, and marketplaces like a cash network are making those available on a rental sort of basis so that they can use them when they need them without having to outlay a tremendous amount of cash to purchase them and also really having to help overcome those supply issues. So these networks are going to return the Web to its decentralized shape. What we've seen over the eras of Web one, Web two, and Web three is a change from a decentralized structure in the very beginning of the web and Web one, when everybody ran it on their own computers, and then it became centralized as We've entered this big heech.

That's right, So decentralized physical infrastructure networks, I like to call them the plumbing of the web. So just as we rely on water flowing from our tap, we rely on these networks for the things that we do every day, the things that allow us to be on this video call together for you to broadcast your show to the world, things like video trans coding with networks like live peer, things like file storage networks. Those would be protocols like r weave and IPFS. File coin is what most people would know that as. And then also for things like GPU rentals, which I'm sure you know. GPUs have been a really constrained product because of supply issues, and so builders have had a hard time getting their hands on them to train their AI models, and marketplaces like a cash network are making those available on a rental sort of basis so that they can use them when they need them without having to outlay a tremendous amount of cash to purchase them and also really having to help overcome those supply issues. So these networks are going to return the Web to its decentralized shape. What we've seen over the eras of Web one, Web two, and Web three is a change from a decentralized structure in the very beginning of the web and Web one, when everybody ran it on their own computers, and then it became centralized as We've entered this big heech.

Era and web three really really quick, just before we run out of time here very quickly, just on what you said, is the United States a good place for this dream to become realized? Is a regulatory jurisdiction very quick.

Era and web three really really quick, just before we run out of time here very quickly, just on what you said, is the United States a good place for this dream to become realized? Is a regulatory jurisdiction very quick.

So our hope is that it will be right now, it is very precarious, and I think that the industry feels very nervous about what will happen. We have some great champions in the legislatorture who are helping to move that forward, and we wish them the best and hope that they are successful, because if not, we do face the really serious danger of losing the tech industry here in the US.

So our hope is that it will be right now, it is very precarious, and I think that the industry feels very nervous about what will happen. We have some great champions in the legislatorture who are helping to move that forward, and we wish them the best and hope that they are successful, because if not, we do face the really serious danger of losing the tech industry here in the US.

All right, Amy James at the WED three working group here on Bloomberg Technology, Thank you so much.

All right, Amy James at the WED three working group here on Bloomberg Technology, Thank you so much.

Welcome back to Bloomberg Technology. I'm Caroline Hyde in London.

Welcome back to Bloomberg Technology. I'm Caroline Hyde in London.

And I'm Ed Lovela in San Francisco. I think you'd agree that this sort of candor third quarter earning season Artificial intelligence is what we're going to look for in terms of how's all of the news, all of the R and D actually showing up in the top line of these businesses invest in AI what do you have to show for it AI everything?

And I'm Ed Lovela in San Francisco. I think you'd agree that this sort of candor third quarter earning season Artificial intelligence is what we're going to look for in terms of how's all of the news, all of the R and D actually showing up in the top line of these businesses invest in AI what do you have to show for it AI everything?

And how many hundreds of times is it going to be cited in various earning releases.

And how many hundreds of times is it going to be cited in various earning releases.

I know you'll be counting that one uphead, but in.

I know you'll be counting that one uphead, but in.

Fact it has been front and center and our own Bloomberg Technology Summit today right here in London, and in fact we were hearing from Joe Kaplan and Bropic co founder and chief science officer, who waited on howard Thropic has made commitments to hold itself accountable for safer and more ethical AI.

Fact it has been front and center and our own Bloomberg Technology Summit today right here in London, and in fact we were hearing from Joe Kaplan and Bropic co founder and chief science officer, who waited on howard Thropic has made commitments to hold itself accountable for safer and more ethical AI.

He spoke to Bradstone, haven't listen.

He spoke to Bradstone, haven't listen.

One thing that we'd really like to see, And that's sort of part of part of the reason why we're excited to have started Anthropic is we think that there should be kind of a race to the top on safer AI, more ethical AI in preparation for the fact that we believe there will be more powerful systems on the horizon. So I think the goal is for there to be competition in the direction of safer and more reliable systems. So as to sort of make that concrete, we recently made a set of commitments, a responsible Scaling policy. Responsible scaling commitments about basically standards that will hold ourselves to as we build more powerful systems. So the current systems we have now like Claude two, we have information security, we have constitutional AI. We think that that's sufficient, but we're imagining systems that are effectively able to operate autonomously, a system that might be able to sort of install itself and run itself on new computers all on its own, or a system potentially that might be used by bad actors to say, build or operate cyber weapons, other kinds of other kinds of other kinds of weapons. We all know that current AI systems are really helpful to software engineers for coding, but if you take that a step further, the more powerful equivalent systems could be used used for hacking. So we're very concerned about those possibilities and even more speculative possibilities over the next few years. And so we made a set of commitments about the sort of information security and the level of safety and robustness to what's called red teaming, where people try to break these models to get them to violate their principles and do something bad.

One thing that we'd really like to see, And that's sort of part of part of the reason why we're excited to have started Anthropic is we think that there should be kind of a race to the top on safer AI, more ethical AI in preparation for the fact that we believe there will be more powerful systems on the horizon. So I think the goal is for there to be competition in the direction of safer and more reliable systems. So as to sort of make that concrete, we recently made a set of commitments, a responsible Scaling policy. Responsible scaling commitments about basically standards that will hold ourselves to as we build more powerful systems. So the current systems we have now like Claude two, we have information security, we have constitutional AI. We think that that's sufficient, but we're imagining systems that are effectively able to operate autonomously, a system that might be able to sort of install itself and run itself on new computers all on its own, or a system potentially that might be used by bad actors to say, build or operate cyber weapons, other kinds of other kinds of other kinds of weapons. We all know that current AI systems are really helpful to software engineers for coding, but if you take that a step further, the more powerful equivalent systems could be used used for hacking. So we're very concerned about those possibilities and even more speculative possibilities over the next few years. And so we made a set of commitments about the sort of information security and the level of safety and robustness to what's called red teaming, where people try to break these models to get them to violate their principles and do something bad.

Jared Kaplan, then Eanthropic co founder chief, starts efforts talking with Bradstone.

Jared Kaplan, then Eanthropic co founder chief, starts efforts talking with Bradstone.

Let's still keep to.

Let's still keep to.

Talking about artificial intelligence and Synthashia is with us, the world's leading AI video creation platform for enterprises. It's making video production simple and intuitive without the need for cameras or studios.

Talking about artificial intelligence and Synthashia is with us, the world's leading AI video creation platform for enterprises. It's making video production simple and intuitive without the need for cameras or studios.

Very pleased to say that Victor Rippabelli is with us.

Very pleased to say that Victor Rippabelli is with us.

He's a Synthesia CEO, part of the inaugural list of Bloombag UK tech startups to watch as well. So Victor, great, congratulations, wonderful to see you singled out as really wanted to be watching and boy is everyone watching AI and boys the UK government watching AI?

He's a Synthesia CEO, part of the inaugural list of Bloombag UK tech startups to watch as well. So Victor, great, congratulations, wonderful to see you singled out as really wanted to be watching and boy is everyone watching AI and boys the UK government watching AI?

How much do you think.

How much do you think.

This conversation around, well, the direction of travel the guardrails has changed since you were first building this company.

This conversation around, well, the direction of travel the guardrails has changed since you were first building this company.

I think what we've seen we've been building for almost seven years and has always been a topic for regulators, always been a topic for the take country. Of course, this is in many ways not new technology. It's just had its moment where I think the world really woke up to the fact how powerful these technologies are going to be and how much they're going to be a part of everything in our lives. The chet ChiPT moment as we usually call it, which happened late last year. I think really just gave us a version of this technology that was incredibly accessible. Everyone with the Internet connection and an email address could sign up and try to play around with these tools to see all the amazing things they can do, but also discover some of the pitfalls of these technologies and some of the things we have to watch out for. And the government right now is obviously very focused on how we put the right guard rails, but at the same time capture all the amazing opportunity.

I think what we've seen we've been building for almost seven years and has always been a topic for regulators, always been a topic for the take country. Of course, this is in many ways not new technology. It's just had its moment where I think the world really woke up to the fact how powerful these technologies are going to be and how much they're going to be a part of everything in our lives. The chet ChiPT moment as we usually call it, which happened late last year. I think really just gave us a version of this technology that was incredibly accessible. Everyone with the Internet connection and an email address could sign up and try to play around with these tools to see all the amazing things they can do, but also discover some of the pitfalls of these technologies and some of the things we have to watch out for. And the government right now is obviously very focused on how we put the right guard rails, but at the same time capture all the amazing opportunity.

So Thedia, of course, has captured the attention of a lot of clients. I mean, what is it.

So Thedia, of course, has captured the attention of a lot of clients. I mean, what is it.

You're in forty seven percent of Fortune one hundred companies already using it, I mean hundreds thousands if not deploying your videos. Why what are they doing to use your tech in particular.

You're in forty seven percent of Fortune one hundred companies already using it, I mean hundreds thousands if not deploying your videos. Why what are they doing to use your tech in particular.

How are they working with it?

How are they working with it?

So the core thing is that we live in twenty twenty three and people want to watch and listen to content. They don't want to read that much anymore, and for most people in their private lives, this is actually how they consume content. Like most people spend a lot of time on YouTube, TikTok and listen to podcasts reading is on the decline, no matter if you like that or not. But in the sector, it's really difficult to produce audio and video content, right, like filming things with a camera, recording things to the microphone. If you compare the production process to writing a work document and making a PowerPoint slide, for example, it's very very different.

So the core thing is that we live in twenty twenty three and people want to watch and listen to content. They don't want to read that much anymore, and for most people in their private lives, this is actually how they consume content. Like most people spend a lot of time on YouTube, TikTok and listen to podcasts reading is on the decline, no matter if you like that or not. But in the sector, it's really difficult to produce audio and video content, right, like filming things with a camera, recording things to the microphone. If you compare the production process to writing a work document and making a PowerPoint slide, for example, it's very very different.

Right.

Right.

What we offer is.

What we offer is.

An alternative to traditional video production where you just like you would make a PowerPoint presentation, you simply select your avatar, you type out the script. You make these very kind of simple videos and for the enterprise, but this means that now they can train their employees or their customers way better than they could before. So the information retention of watching a video is around eight to ten times as high as we read something in text. That really is the utility that our customers get out of using SYNTHESIAIK.

An alternative to traditional video production where you just like you would make a PowerPoint presentation, you simply select your avatar, you type out the script. You make these very kind of simple videos and for the enterprise, but this means that now they can train their employees or their customers way better than they could before. So the information retention of watching a video is around eight to ten times as high as we read something in text. That really is the utility that our customers get out of using SYNTHESIAIK.

So thank you for explaining how the technology works. One of the stories we've covered here on the show is in the context of the Israel mass war and video content in circulation on social media platforms that purports to be one thing, but in reality is not that thing. It is fake or false. In some cases, video game video which is claimed to be video of what's happening on the ground. What is Synthesia doing to make sure that video content generated through the platform is not shared in such a way that is not used by bad actors to share false information.

So thank you for explaining how the technology works. One of the stories we've covered here on the show is in the context of the Israel mass war and video content in circulation on social media platforms that purports to be one thing, but in reality is not that thing. It is fake or false. In some cases, video game video which is claimed to be video of what's happening on the ground. What is Synthesia doing to make sure that video content generated through the platform is not shared in such a way that is not used by bad actors to share false information.

When we found the company, we did it on an ethical framework, which is around consent, control, and collaboration of the free seas as we call them. Content is around any avatar advice that we reproduced. The likeness of it is done with full consent from whoever's voice, a likeness that is second one around control, it's around content moderations. So we have very strict policies in place, but what kind of content you're allowed to create and what kind of content you're not allowed to create, and we monitor that both with automatic systems and also humans in the loop. For example, if you're creating news like content on current events, that's only allowed if you're on an enterprise plan, which means that we know who you are, and we know that you have a good reputation and most likely a well known media company. So we have a lot of safeguards in place to make sure that the technology isn't misused. In the case of what you're talking about, here. That's sort of a different technologies than hours hours around the AI avatars talking to the camera presenting something, whereas what we're seeing here right is so something is then an involvement of some of the disinformation and misinformation tactics that's been deployed the last ten twenty.

When we found the company, we did it on an ethical framework, which is around consent, control, and collaboration of the free seas as we call them. Content is around any avatar advice that we reproduced. The likeness of it is done with full consent from whoever's voice, a likeness that is second one around control, it's around content moderations. So we have very strict policies in place, but what kind of content you're allowed to create and what kind of content you're not allowed to create, and we monitor that both with automatic systems and also humans in the loop. For example, if you're creating news like content on current events, that's only allowed if you're on an enterprise plan, which means that we know who you are, and we know that you have a good reputation and most likely a well known media company. So we have a lot of safeguards in place to make sure that the technology isn't misused. In the case of what you're talking about, here. That's sort of a different technologies than hours hours around the AI avatars talking to the camera presenting something, whereas what we're seeing here right is so something is then an involvement of some of the disinformation and misinformation tactics that's been deployed the last ten twenty.

Years, where you take a video of.

Years, where you take a video of.

An explosion, for example, that actually happened five years ago, where you say it happened yesterday. Now we're getting to a point where computer graphics is getting good enough to actually fool people into thinking that something that might have been done in a gaming engine is actually happening in real life. I think the ultimate technological solution to this is around fingerprinting content that we generate both with AI but also things we capture with a camera, so we can begin to build a provenance chain of where content came from, who created it, and I'm watching the original or edited version of it. It's a really our technical problem, but we're working on it with Adobe. Google is working on as well, and I have a lot of optimism that this technology will be are part of the media landscape within the next couple of years.

An explosion, for example, that actually happened five years ago, where you say it happened yesterday. Now we're getting to a point where computer graphics is getting good enough to actually fool people into thinking that something that might have been done in a gaming engine is actually happening in real life. I think the ultimate technological solution to this is around fingerprinting content that we generate both with AI but also things we capture with a camera, so we can begin to build a provenance chain of where content came from, who created it, and I'm watching the original or edited version of it. It's a really our technical problem, but we're working on it with Adobe. Google is working on as well, and I have a lot of optimism that this technology will be are part of the media landscape within the next couple of years.

Absolutely fascinating. We could talk to you for much longer.

Absolutely fascinating. We could talk to you for much longer.

Sadly we can't, but the Synthesia CEO there, Victor Ripperbelly, UK based startup course ed. We've been focusing a lot on those that are currently being built right here in the capital of the EAED.

Sadly we can't, but the Synthesia CEO there, Victor Ripperbelly, UK based startup course ed. We've been focusing a lot on those that are currently being built right here in the capital of the EAED.

Yeah, it's so important to have you there on the ground in London. Coming up we will have more from the Bloomberg Technology Summit and here from more of the startups on our Bloomberg Startups to Watch list. That's next. This is Bloomberg Technology.

Yeah, it's so important to have you there on the ground in London. Coming up we will have more from the Bloomberg Technology Summit and here from more of the startups on our Bloomberg Startups to Watch list. That's next. This is Bloomberg Technology.

Earth ecosystems are delicately balanced, but they're under threat from our actions, and so monitoring biodiversity will allow business leaders to opt for more sustainable practices with so many data points, though traditionally that's been easier said than done.

Earth ecosystems are delicately balanced, but they're under threat from our actions, and so monitoring biodiversity will allow business leaders to opt for more sustainable practices with so many data points, though traditionally that's been easier said than done.

So Nature Metrics is a global nature technology company. We make biodiversity measurable by analyzing the tiny traces of DNA that all organisms leave behind in the environment. The process works by literally just taking water in a syringe and pushing it through a filter like this, and it captures all of the DNA from the water. So the water comes out the other side and all of the DNA from the water gets stuck inside and then this is sent to our lapse for analysis. So it's something that literally anybody anywhere.

So Nature Metrics is a global nature technology company. We make biodiversity measurable by analyzing the tiny traces of DNA that all organisms leave behind in the environment. The process works by literally just taking water in a syringe and pushing it through a filter like this, and it captures all of the DNA from the water. So the water comes out the other side and all of the DNA from the water gets stuck inside and then this is sent to our lapse for analysis. So it's something that literally anybody anywhere.

In the world can do. Yes, I got some.

In the world can do. Yes, I got some.

Strange looks when I went to investors and said.

Strange looks when I went to investors and said.

I'm going to revolutionize the scale of biodiversity monitoring and they went, what, Well, who's going to pay for that?

I'm going to revolutionize the scale of biodiversity monitoring and they went, what, Well, who's going to pay for that?

I mean, buidiversity is not important enough for anyone with money. But actually that was wrong because there was a there was a market already, particularly in companies that were doing environmental impact assessments. Don't let perfect be the enemy of the good.

I mean, buidiversity is not important enough for anyone with money. But actually that was wrong because there was a there was a market already, particularly in companies that were doing environmental impact assessments. Don't let perfect be the enemy of the good.

Especially if you're a scientist.

Especially if you're a scientist.

You can often feel like it's got to be ready to publish or ready to write a PhD paper on or you've tested it fifteen times before you go out and start using it, and you have to take such a different approach.

You can often feel like it's got to be ready to publish or ready to write a PhD paper on or you've tested it fifteen times before you go out and start using it, and you have to take such a different approach.

In business, let's stick with startups here in Europe. Well, actually there's one that's been a key exit for the tech scene here in the UK, and we were discussing it at the Tech Summit just on today, online food delivery company Delivery. In fact, the CEO was just telling me that it is fielding ten thousand job applications a week in the United Kingdom and as one hundred percent committed to remain in the country. I sat down with Willshoes, the delivery CEO, earlier at the Bloomerg Technology Summit.

In business, let's stick with startups here in Europe. Well, actually there's one that's been a key exit for the tech scene here in the UK, and we were discussing it at the Tech Summit just on today, online food delivery company Delivery. In fact, the CEO was just telling me that it is fielding ten thousand job applications a week in the United Kingdom and as one hundred percent committed to remain in the country. I sat down with Willshoes, the delivery CEO, earlier at the Bloomerg Technology Summit.

Take listen.

Take listen.

We're still well above where we were pre COVID, but I think what happened is as COVID on wound, we then also were hit with a extremely high inflation on the food side. So in some of our markets you've had food inflation three x that of wage inflation. So the UK was in that position probably about nine months ago. Now some of that subsided, and so if you look at that, for many people, what was I think a regular purchase sort of became discretionary. But for people who maybe are in London or in more affluent areas, it's persisted, right, And so what really we've seen is as inflation has slowed down for food, we're starting to see more and more recovery, which is good, but it's tough when it's three x out of wage inflation.

We're still well above where we were pre COVID, but I think what happened is as COVID on wound, we then also were hit with a extremely high inflation on the food side. So in some of our markets you've had food inflation three x that of wage inflation. So the UK was in that position probably about nine months ago. Now some of that subsided, and so if you look at that, for many people, what was I think a regular purchase sort of became discretionary. But for people who maybe are in London or in more affluent areas, it's persisted, right, And so what really we've seen is as inflation has slowed down for food, we're starting to see more and more recovery, which is good, but it's tough when it's three x out of wage inflation.

Right.

Right.

You've also those seen improvements, as you say you weren't standing still, You've made changes to the app.

You've also those seen improvements, as you say you weren't standing still, You've made changes to the app.

Yeah, like, what how have.

Yeah, like, what how have.

You watched I'd say, you know, the big ones grocery right, it's you know, it's over eleven percent of our business.

You watched I'd say, you know, the big ones grocery right, it's you know, it's over eleven percent of our business.

Now.

Now.

We've built that over kind of three to four years from a standing start, so that's been really great.

We've built that over kind of three to four years from a standing start, so that's been really great.

We've built some.

We've built some.

Dark stores called hop which is a compliment to our grocery business. We've done a lot of different things, but I think the thing I'm probably most proud of in the last twelve months is just a series of really sort of i'd call them incremental improvements to our service reliability. So for example, a better new user address flow, or for example, a better handover when the writer shows up, to really minimize code for example, Yeah, like a code right to minimize these sort of like errors that can happen, And the cumulative impact of those are very, very large, And the collective creativity it takes to actually do all of those things, to me, is as important as the shiny new thing like you know, grocery or a rolling out pharmacy.

Dark stores called hop which is a compliment to our grocery business. We've done a lot of different things, but I think the thing I'm probably most proud of in the last twelve months is just a series of really sort of i'd call them incremental improvements to our service reliability. So for example, a better new user address flow, or for example, a better handover when the writer shows up, to really minimize code for example, Yeah, like a code right to minimize these sort of like errors that can happen, And the cumulative impact of those are very, very large, And the collective creativity it takes to actually do all of those things, to me, is as important as the shiny new thing like you know, grocery or a rolling out pharmacy.

Or the shiny new thing on everyone's lips right now, which is AI. I mean, how have you inherently been an AI company for ages?

Or the shiny new thing on everyone's lips right now, which is AI. I mean, how have you inherently been an AI company for ages?

You just haven't been. It wasn't sexy, so you didn't so much talk about it.

You just haven't been. It wasn't sexy, so you didn't so much talk about it.

I don't know if I can go that far, but yeah, I mean it's definitely a question we get asked a lot about and we've been definitely utilizing jen Ai.

I don't know if I can go that far, but yeah, I mean it's definitely a question we get asked a lot about and we've been definitely utilizing jen Ai.

So in what way?

So in what way?

I think a few different ways. We have in our employee version of the app a recommendation engine, so you can type I want, you know, a healthy Mexican sort of you know meal, or within this caloric range, you can type something. It doesn't always work, if I'm honest, but it gives cting it it's it is iterating and it comes back with what is our increasingly better and better recommendations. That's one thing we're doing on the consumer side. I think on the customer care side, we've done a lot of really cool things where Jenna I will summarize the last ten interactions with the consumer and then tell the agent, hey, do we think this consumer is happy? And what's the summary of how the last few interactions went without having to look all the stuff up yourself. I think something like that's been really really powerful.

I think a few different ways. We have in our employee version of the app a recommendation engine, so you can type I want, you know, a healthy Mexican sort of you know meal, or within this caloric range, you can type something. It doesn't always work, if I'm honest, but it gives cting it it's it is iterating and it comes back with what is our increasingly better and better recommendations. That's one thing we're doing on the consumer side. I think on the customer care side, we've done a lot of really cool things where Jenna I will summarize the last ten interactions with the consumer and then tell the agent, hey, do we think this consumer is happy? And what's the summary of how the last few interactions went without having to look all the stuff up yourself. I think something like that's been really really powerful.

Will shoot delivery CEO there. Meanwhile, look, you want to order a takeout, well you've got.

Will shoot delivery CEO there. Meanwhile, look, you want to order a takeout, well you've got.

To pay for it, So let's talk about that space here in the UK right now, the fintech landscape Britain is well imursioning one. Monso is one of the largest digital bangs in the UK, if not the found in eight years ago. Monso wants to be one and one stop shop basically the key app customers turned to in order to manage their entire financial lives. Is on bluemg's UK Startups to Watch, And we're now very pleased to welcome from the company the CEO Sujata Party.

To pay for it, So let's talk about that space here in the UK right now, the fintech landscape Britain is well imursioning one. Monso is one of the largest digital bangs in the UK, if not the found in eight years ago. Monso wants to be one and one stop shop basically the key app customers turned to in order to manage their entire financial lives. Is on bluemg's UK Startups to Watch, And we're now very pleased to welcome from the company the CEO Sujata Party.

Yeah, thanks so much for joining us, Thanks for having me.

Yeah, thanks so much for joining us, Thanks for having me.

So we are all about financial inclusion, all about focusing on people basically in the UK, realizing you don't need to be wealthy to invest, but also how easy it is.

So we are all about financial inclusion, all about focusing on people basically in the UK, realizing you don't need to be wealthy to invest, but also how easy it is.

How much of a cultural shift is that.

How much of a cultural shift is that.

I think it's money causes a lot of anxiety. That is a commonality. You don't have to be wealthy or poor to feel anxious about your money, and certainly all the research we've shown shows that it is one of the biggest barriers people have to advancement. Right you can change the world through money, education and healthcare, and so money is definitely the common thread. Certainly, when we launched our most recent investments product, what we found was that seventy percent of people in the UK did not know where to turn to to find something easy and accessible to start investing, and sixty percent of people said that they didn't have enough money to get start investing, which is counterintuitive, right, which is why actually our investment product that we launched in partnership with Blackrock allows you to invest with as little as a pound, Because how are you going to learn the muscles and learn the habits to be able to help you grow your money if you don't actually get access to it and have some one there by your side to help you learn.

I think it's money causes a lot of anxiety. That is a commonality. You don't have to be wealthy or poor to feel anxious about your money, and certainly all the research we've shown shows that it is one of the biggest barriers people have to advancement. Right you can change the world through money, education and healthcare, and so money is definitely the common thread. Certainly, when we launched our most recent investments product, what we found was that seventy percent of people in the UK did not know where to turn to to find something easy and accessible to start investing, and sixty percent of people said that they didn't have enough money to get start investing, which is counterintuitive, right, which is why actually our investment product that we launched in partnership with Blackrock allows you to invest with as little as a pound, Because how are you going to learn the muscles and learn the habits to be able to help you grow your money if you don't actually get access to it and have some one there by your side to help you learn.

What has been the recipe? Do you think of Monzo's scale in the UK? It was a different way of marketing.

What has been the recipe? Do you think of Monzo's scale in the UK? It was a different way of marketing.

It's a different way of organically growing. What has it Monso been able to offer other than you know, you came from Amex, the CEO came from These are another age old financial institutions.

It's a different way of organically growing. What has it Monso been able to offer other than you know, you came from Amex, the CEO came from These are another age old financial institutions.

What was this fintech doing differently?

What was this fintech doing differently?

Yeah, well it's not just one thing. I think if it was, somebody would have replicated it by now. But we have quite a very different business model than mostly right, we have eight point four million customers, three hundred thousand small businesses and growing and that growth momentum is accelerating. We're growing by almost two hundred thousand customers a month and mostly by word of mouth, so there's an incredibly strong customer advocacy there. We're known for our hot coreld card. I think some of our uniqueness starts with just the fact that we build really delightful, intuitive products, and we build them for and with our customers. So you know, in the very early days, we invited customers literally into our offices and they were able to tell us what they wanted and we built with them. Even now, at eight and a half million customers and counting, we're still talking to them. We have more connection points across our business and almost any other company or a single product might have five hundred points of feedback in it in just a single month, So we're hearing from them and we're acting on it really nimbly.

Yeah, well it's not just one thing. I think if it was, somebody would have replicated it by now. But we have quite a very different business model than mostly right, we have eight point four million customers, three hundred thousand small businesses and growing and that growth momentum is accelerating. We're growing by almost two hundred thousand customers a month and mostly by word of mouth, so there's an incredibly strong customer advocacy there. We're known for our hot coreld card. I think some of our uniqueness starts with just the fact that we build really delightful, intuitive products, and we build them for and with our customers. So you know, in the very early days, we invited customers literally into our offices and they were able to tell us what they wanted and we built with them. Even now, at eight and a half million customers and counting, we're still talking to them. We have more connection points across our business and almost any other company or a single product might have five hundred points of feedback in it in just a single month, So we're hearing from them and we're acting on it really nimbly.

But there's the products that we build.

But there's the products that we build.

We also own our own tech stack, and that's industry leading, and we continue to invest in it. That means that we can be both resilient, which is important when you're dealing with people's money, but also be able to be nimble in terms of speed to market and create inventive things that nobody else has done before. And then finally, we're not sharing our margins with a lot of other suppliers, so we can invest in customer value.

We also own our own tech stack, and that's industry leading, and we continue to invest in it. That means that we can be both resilient, which is important when you're dealing with people's money, but also be able to be nimble in terms of speed to market and create inventive things that nobody else has done before. And then finally, we're not sharing our margins with a lot of other suppliers, so we can invest in customer value.

So Jata, you heard the delivery CEO there talk about inflation. We're very conscious about the jobs market in the UK, interest rates, all these fun things. But you talk about being nimble, and I wondered if Monzo kind of thrives in this environment when the consumer has to make kind of really proactive decisions about their money, or if you're subject to the same challenges, is sort of traditional buyers.

So Jata, you heard the delivery CEO there talk about inflation. We're very conscious about the jobs market in the UK, interest rates, all these fun things. But you talk about being nimble, and I wondered if Monzo kind of thrives in this environment when the consumer has to make kind of really proactive decisions about their money, or if you're subject to the same challenges, is sort of traditional buyers.

Oh that's a great question.

Oh that's a great question.

Actually, I think we're built for kind of all stages of finance, but we really come into our own right now. So if you think about it, we're able to give you, whether it's a simple savings challenge or helping you open a pot to be able to set goals. We launched an instant access product, savings product with no barriers to entry, no lock up periods. We had over eight hundred and fifty thousand customers pour into that in the last six months and start to be able to make their money work harder for them.

Actually, I think we're built for kind of all stages of finance, but we really come into our own right now. So if you think about it, we're able to give you, whether it's a simple savings challenge or helping you open a pot to be able to set goals. We launched an instant access product, savings product with no barriers to entry, no lock up periods. We had over eight hundred and fifty thousand customers pour into that in the last six months and start to be able to make their money work harder for them.

We launched a home ownership solution to.

We launched a home ownership solution to.

Allow people to get visibility of their mortgage within our Monzo product, and that allows them to think about we can help them give nudges on what's the right loan to value ratio, how do you might maybe get access to a better rate, and what might you do in terms of paying it down over time our investments product. You might say, actually, this is the wrong time to launch an investments product, but we've found is that like a quarter of people out there actually saying this cost of living crisis is making them think about investing more than ever, and so we want to help them proactively build that muscle.