From the heart of where innovation, money and power collide in Silicon Valley and beyond. This is Bloomberg Technology with Caroline Hyde and Ed Ludlow.

From the heart of where innovation, money and power collide in Silicon Valley and beyond. This is Bloomberg Technology with Caroline Hyde and Ed Ludlow.

Live from San Francisco. This is Bloomberg Technology coming up in Nvidia drives a global route in chip stocks after new US government restrictions on tech exports to China. Plus Lift buys its way into the European market with an eye on rolling out autonomous driving. And we speak to the President's Chief Technology Advisor and Director of the White House Office of Science and Technology Policy, Michael Kratzios. Again, it is the chip sector, semiconductors, where our focus is new export controls and license requirements on two big names for the export of specific technologies designed for the Chinese market. This is the picture at the index level. We're down three and a half percent. Clearly some pain across the industry that's spreading the key names of this in Video and AMD, both of them taking write downs in the first quarter. We'll get to the numbers very soon. Elsewhere ASML is an earning story out of Europe. It missed its bookings by almost a billion dollars and it's saying we don't know how to quantify the impact of tariff's on our business. Their business. They are the biggest and most important maker of the machines that make the chips chip making equipment. Again, we will go deep on that story in the show. Let's get to our top story and Video and AMD have been hit hard by new US restrictions on semiconductor exports to China. Bluebow Technology editor Michael Shepherd joins us from DC give us the details the license requirements and I guess, Michael, what happens next for these two names.

Live from San Francisco. This is Bloomberg Technology coming up in Nvidia drives a global route in chip stocks after new US government restrictions on tech exports to China. Plus Lift buys its way into the European market with an eye on rolling out autonomous driving. And we speak to the President's Chief Technology Advisor and Director of the White House Office of Science and Technology Policy, Michael Kratzios. Again, it is the chip sector, semiconductors, where our focus is new export controls and license requirements on two big names for the export of specific technologies designed for the Chinese market. This is the picture at the index level. We're down three and a half percent. Clearly some pain across the industry that's spreading the key names of this in Video and AMD, both of them taking write downs in the first quarter. We'll get to the numbers very soon. Elsewhere ASML is an earning story out of Europe. It missed its bookings by almost a billion dollars and it's saying we don't know how to quantify the impact of tariff's on our business. Their business. They are the biggest and most important maker of the machines that make the chips chip making equipment. Again, we will go deep on that story in the show. Let's get to our top story and Video and AMD have been hit hard by new US restrictions on semiconductor exports to China. Bluebow Technology editor Michael Shepherd joins us from DC give us the details the license requirements and I guess, Michael, what happens next for these two names.

Well, what happened just now is the write downs that the company had to report.

Well, what happened just now is the write downs that the company had to report.

First of all, they are not small.

First of all, they are not small.

In video report out of five point five billion dollar dollar charge for the first quarter, AMD eight hundred million, and all from these new restrictions that they are now facing on the chips that they have designed specifically for the Chinese market. And these were designed to comply with previous rounds of US restrictions on sales of advanced semiconductors to China. The goal for the administration and for the prior administration too, has been to try to keep those sophisticated semiconductors out of Chinese hands where they can help Beijing gain an edge militarily and give Chinese companies perhaps a way to gain ground on American hyperscalers, an American advantage in artificial intelligence. Now, the catch with these chips is that while they have been scaled down our lower power for the Chinese market AD, they are also useful in inference and this is an emerging area in AI where it is helping companies develop models faster and more effectively, something that we saw with Deep Seek, and that was one of the wake up calls for the Trump administration as it took offices.

In video report out of five point five billion dollar dollar charge for the first quarter, AMD eight hundred million, and all from these new restrictions that they are now facing on the chips that they have designed specifically for the Chinese market. And these were designed to comply with previous rounds of US restrictions on sales of advanced semiconductors to China. The goal for the administration and for the prior administration too, has been to try to keep those sophisticated semiconductors out of Chinese hands where they can help Beijing gain an edge militarily and give Chinese companies perhaps a way to gain ground on American hyperscalers, an American advantage in artificial intelligence. Now, the catch with these chips is that while they have been scaled down our lower power for the Chinese market AD, they are also useful in inference and this is an emerging area in AI where it is helping companies develop models faster and more effectively, something that we saw with Deep Seek, and that was one of the wake up calls for the Trump administration as it took offices.

I'm sure you'll recall, and we heard Commerce.

I'm sure you'll recall, and we heard Commerce.

Secretary Howard Lutner articulate.

Secretary Howard Lutner articulate.

This and make clear that restrictions like these would be coming, and now we're seeing them today and the companies, of course are feeling the pain. And this is compounded, of course by all the concerns about tariffs and elsewhere.

This and make clear that restrictions like these would be coming, and now we're seeing them today and the companies, of course are feeling the pain. And this is compounded, of course by all the concerns about tariffs and elsewhere.

In Bloomberg's Mike Shepherd in Washington, d C. Thank you very much. The other big downward pressure on the semiconductor space is ASML, the world's biggest chip equipment maker, posting orders that missed estimates in a very big way. It has dimmed the outlook for the semiconductor sector overall, particularly with regards to anxiety about tariffs. Bloomberg's executive editor, Peter Elstrom is in London and it's a one billion dollar miss basically on bookings. But what accounted for the miss and what did ASML say about the impact of tariffs principally and efforts by the United States for ASML to bring some manufacturing to this country.

In Bloomberg's Mike Shepherd in Washington, d C. Thank you very much. The other big downward pressure on the semiconductor space is ASML, the world's biggest chip equipment maker, posting orders that missed estimates in a very big way. It has dimmed the outlook for the semiconductor sector overall, particularly with regards to anxiety about tariffs. Bloomberg's executive editor, Peter Elstrom is in London and it's a one billion dollar miss basically on bookings. But what accounted for the miss and what did ASML say about the impact of tariffs principally and efforts by the United States for ASML to bring some manufacturing to this country.

Peter, Yeah, it's a big miss by ASML. And ASML of course makes the machines that produce chips for the likes of TSMC and Intel and Samsung, so they're kind of a bell weather for chip demand in particular. Now, the CEO, Christoph Fouquet, was pressed pretty hard on the earnings call that we were just listening to now, asking questions about what's driving this, what are the implications. One key factor is certainly this tariff uncertainty that we're seeing. It's not exactly clear what kind of demand is going to be generated in some of these areas, including artificial intelligence and other areas. Another key question is whether tariffs are going to be levied on the machines that ASML makes as they're getting shipped into the United States. The Biden administration now the Trump administration both want to build up the chip capacity within the United States, but that's going to be more difficult if TSMC and Intel and other companies have to pay more for these machines. At the same time, you're seeing some weakness in some of the key players here. Intel, of course, is struggling quite a bit. Even Samsung Electronics now is having a bit of a difficult time building up its capacity. Has slowed things down, so you don't want to add additional costs on top of that. Just to give a sense of the scale, ASML's machines can go for three hundred and eighty million dollars, if you put a terrif on top of that, in the range that the Trump administration is talking about, it could be ninety five million dollars in tariff costs.

Peter, Yeah, it's a big miss by ASML. And ASML of course makes the machines that produce chips for the likes of TSMC and Intel and Samsung, so they're kind of a bell weather for chip demand in particular. Now, the CEO, Christoph Fouquet, was pressed pretty hard on the earnings call that we were just listening to now, asking questions about what's driving this, what are the implications. One key factor is certainly this tariff uncertainty that we're seeing. It's not exactly clear what kind of demand is going to be generated in some of these areas, including artificial intelligence and other areas. Another key question is whether tariffs are going to be levied on the machines that ASML makes as they're getting shipped into the United States. The Biden administration now the Trump administration both want to build up the chip capacity within the United States, but that's going to be more difficult if TSMC and Intel and other companies have to pay more for these machines. At the same time, you're seeing some weakness in some of the key players here. Intel, of course, is struggling quite a bit. Even Samsung Electronics now is having a bit of a difficult time building up its capacity. Has slowed things down, so you don't want to add additional costs on top of that. Just to give a sense of the scale, ASML's machines can go for three hundred and eighty million dollars, if you put a terrif on top of that, in the range that the Trump administration is talking about, it could be ninety five million dollars in tariff costs.

Now.

Now.

Fo K was very clear to say that the customers are going to bear the brunt of those costs. It's not going to be ALML themselves. But even if the customers bear those costs, it may slow them down a bit in terms of buying these machines and then deploying them. They may have to think twice about how quickly they're going to move ahead in building the kind of capacity that the administration actually does want in the United States.

Fo K was very clear to say that the customers are going to bear the brunt of those costs. It's not going to be ALML themselves. But even if the customers bear those costs, it may slow them down a bit in terms of buying these machines and then deploying them. They may have to think twice about how quickly they're going to move ahead in building the kind of capacity that the administration actually does want in the United States.

Bloomberg's Pizza Elstrom in London, Thank you very much. Denny Fish is a tech investor with skin in the game. His funds at Janis Henderson count Nvidia and ASML among its top holdings. There's also TSMC, Broadcom, some of the hyperscalers. Let's get the investors take on technology, export controls and tariffs. Good morning, Denny Fish. Were you ready for those headlines on in video and AMD.

Bloomberg's Pizza Elstrom in London, Thank you very much. Denny Fish is a tech investor with skin in the game. His funds at Janis Henderson count Nvidia and ASML among its top holdings. There's also TSMC, Broadcom, some of the hyperscalers. Let's get the investors take on technology, export controls and tariffs. Good morning, Denny Fish. Were you ready for those headlines on in video and AMD.

No. I wasn't, particularly because there was reporting just a couple of days ago that they had come to an agreement the administration within video that they weren't going to have these restrictions. Obviously, that was just a report, but it definitely took the market by surprise.

No. I wasn't, particularly because there was reporting just a couple of days ago that they had come to an agreement the administration within video that they weren't going to have these restrictions. Obviously, that was just a report, but it definitely took the market by surprise.

I want to show a chart which is the proportion of Nvidia's revenue that comes from China, and clearly the chart tells a clear story. In twenty twenty two, China revenues around twenty six percent, currently twenty twenty five with down the thirteen percent. I think many except that this is headed towards single digit because of the impact of technology export controls. Does that matter to you as an Nvidia investor, Denny, do you sort of worry about that and lay awake at night thinking about in Vidia's business in China?

I want to show a chart which is the proportion of Nvidia's revenue that comes from China, and clearly the chart tells a clear story. In twenty twenty two, China revenues around twenty six percent, currently twenty twenty five with down the thirteen percent. I think many except that this is headed towards single digit because of the impact of technology export controls. Does that matter to you as an Nvidia investor, Denny, do you sort of worry about that and lay awake at night thinking about in Vidia's business in China?

Well, two parts of that question. One is whether it matters to me as an investor. In two, I lay awake thinking about China. I think the important thing is it's actually good to just get it out of the model. Okay, So I mean we're kind of wiping it clean. We're taking a clean cut to estimates. And to your point, the revenue contribution from China has come down materially over the last few years. I think something else that's important is that you know, there's something that's it's called the diffusion Rule that is supposed to come into effect in the month of May, and effectively with that is that just puts a quota on the number of GPUs that certain countries can actually buy. Now, one might think that potentially the diffusion rule could be relaxed somewhat.

Well, two parts of that question. One is whether it matters to me as an investor. In two, I lay awake thinking about China. I think the important thing is it's actually good to just get it out of the model. Okay, So I mean we're kind of wiping it clean. We're taking a clean cut to estimates. And to your point, the revenue contribution from China has come down materially over the last few years. I think something else that's important is that you know, there's something that's it's called the diffusion Rule that is supposed to come into effect in the month of May, and effectively with that is that just puts a quota on the number of GPUs that certain countries can actually buy. Now, one might think that potentially the diffusion rule could be relaxed somewhat.

That could benefit in video.

That could benefit in video.

The other thing that's just kind of puzzling about all of this is that in some ways this makes no sense at all for.

The other thing that's just kind of puzzling about all of this is that in some ways this makes no sense at all for.

The administration to do. And why is that.

The administration to do. And why is that.

Huawei already produces a chip it's somewhat comparable to the H twenty that is actually the customized chip that Nvidia has been selling in to China, and as a result, they're just giving the market to Huawei. And so they're penalizing a US company by you know, restricting a chip that's not even that competitive relative to a locally supplied chip. So, you know, we've already thought about this, you know, pretty extensively. We didn't know if we would get a full cut, but I think, you know, the direction of travel was clear. Contribution from China was going to go way down, and you know, because we're still supply constrained, and Nvidia has the benefit of being able to read direct wafers to other areas where they can actually sell more powerful chips and chips with higher gross margins.

Huawei already produces a chip it's somewhat comparable to the H twenty that is actually the customized chip that Nvidia has been selling in to China, and as a result, they're just giving the market to Huawei. And so they're penalizing a US company by you know, restricting a chip that's not even that competitive relative to a locally supplied chip. So, you know, we've already thought about this, you know, pretty extensively. We didn't know if we would get a full cut, but I think, you know, the direction of travel was clear. Contribution from China was going to go way down, and you know, because we're still supply constrained, and Nvidia has the benefit of being able to read direct wafers to other areas where they can actually sell more powerful chips and chips with higher gross margins.

The goal of this administration appays to be to shift mores of the United States, be it localized fabrication of the core chip assembly, whatever it may be. And so the companies will face the higher cost of doing business in this country, or they will face twenty thirty five percent net tariff somewhere else. What are the pros and cons of just going with what this administration was and saying, Okay, we're going to do this in America.

The goal of this administration appays to be to shift mores of the United States, be it localized fabrication of the core chip assembly, whatever it may be. And so the companies will face the higher cost of doing business in this country, or they will face twenty thirty five percent net tariff somewhere else. What are the pros and cons of just going with what this administration was and saying, Okay, we're going to do this in America.

Well, the pros are that to the extent that we actually have the capacity to manufacture leading edge.

Well, the pros are that to the extent that we actually have the capacity to manufacture leading edge.

Chips, that's a good thing.

Chips, that's a good thing.

And it's a good thing because those are the types of chips that are used in our most important industries for national security and for maintaining our competitive advantage globally as we you know, race towards artificial general intelligence. The cons are it is more expensive, but nonetheless, you would think that the productivity gains that we get in agg it from deploying AI probably more than offsets what the aggregate costs would be for manufacturing the chips in the United States. And I just say, you know, thank goodness, TSMC put a shovel in the ground, you know several years ago in Arizona that they're actually in a position now for companies like Nvidian a MD to actually announce that they're going to be producing leading edge two nanometer chips with TSMC in Arizona as well as configuring full systems in the United States.

And it's a good thing because those are the types of chips that are used in our most important industries for national security and for maintaining our competitive advantage globally as we you know, race towards artificial general intelligence. The cons are it is more expensive, but nonetheless, you would think that the productivity gains that we get in agg it from deploying AI probably more than offsets what the aggregate costs would be for manufacturing the chips in the United States. And I just say, you know, thank goodness, TSMC put a shovel in the ground, you know several years ago in Arizona that they're actually in a position now for companies like Nvidian a MD to actually announce that they're going to be producing leading edge two nanometer chips with TSMC in Arizona as well as configuring full systems in the United States.

From a manufacturing standpoint, a story.

From a manufacturing standpoint, a story.

We put heavy emphasis on this week. So in video is your top holding across a couple of funds, right, TSMC is always in there? You said, Thank goodness, that's the case basically, But how does your your thinking now change?

We put heavy emphasis on this week. So in video is your top holding across a couple of funds, right, TSMC is always in there? You said, Thank goodness, that's the case basically, But how does your your thinking now change?

Right?

Right?

Do you stick with this this idea that capital expenditures will continue to grow in twenty five, twenty six, twenty seven, the hyperscalers will continue to take from Nvidia or are you now going to adjust where you put your end assist.

Do you stick with this this idea that capital expenditures will continue to grow in twenty five, twenty six, twenty seven, the hyperscalers will continue to take from Nvidia or are you now going to adjust where you put your end assist.

Any Well, we take the data as it comes.

Any Well, we take the data as it comes.

But most importantly, I think if you just look at the most recent comments out of Nvidia where they just had their GtC conference, if you actually parsed through the comments from ASML today and you pars through the comments that we've heard from hyperscalar CEOs, we don't see signs of a slow down in AI capex and so now the growth may slow, but nonetheless the signs still support healthy growth in AI capex. Well, like I said, we'll take the data as it comes. But ASML was still optimistic about AI. And you know, it's really the lagging edge stuff, you know, analog chips and so forth that go into industrial and auto and things like that that still you know, continue to be soft. And I will remind you, you know, I know this is different with the tariffs and the geopolitical situation, but just rewind the clock one year and asml same thing happened, they missed bookings, the stock was down, and then all they because the bookings are really lumpy, and then bookings just reaccelerated throughout the year and they're doing some really cool stuff. And you know, one of the things they talked about is, you know, one of the reasons that you know they can continue to drive higher pricing for their EUV and high NA EUV is because they're starting to do what's called single layer and what that effectively does it increases the throughput, it's more valuable, and therefore they can charge a higher price that.

But most importantly, I think if you just look at the most recent comments out of Nvidia where they just had their GtC conference, if you actually parsed through the comments from ASML today and you pars through the comments that we've heard from hyperscalar CEOs, we don't see signs of a slow down in AI capex and so now the growth may slow, but nonetheless the signs still support healthy growth in AI capex. Well, like I said, we'll take the data as it comes. But ASML was still optimistic about AI. And you know, it's really the lagging edge stuff, you know, analog chips and so forth that go into industrial and auto and things like that that still you know, continue to be soft. And I will remind you, you know, I know this is different with the tariffs and the geopolitical situation, but just rewind the clock one year and asml same thing happened, they missed bookings, the stock was down, and then all they because the bookings are really lumpy, and then bookings just reaccelerated throughout the year and they're doing some really cool stuff. And you know, one of the things they talked about is, you know, one of the reasons that you know they can continue to drive higher pricing for their EUV and high NA EUV is because they're starting to do what's called single layer and what that effectively does it increases the throughput, it's more valuable, and therefore they can charge a higher price that.

A technology charge a higher price. Danny Fisher, Jannis Henderson is great to have you back on the program. Thank you very much. Now coming up here on Bloomberg Technology, list is expanding outside of the US and Canada. We have CEO David Risha on the company's European acquisition. That's next. This is Bloomberg Technology. Some deal news. Lift has agreed to buy the European Multi Mobility and taxi ailing app Free Now for about one hundred and ninety seven million dollars. It marks its first global expansion beyond the US and Canada. Lift CEO David Risha joins US. Now, I've been using Uber, your main competitor in Europe for a really long time. I've been going in taxis in Europe for a really long time. Why acquire free now and not just launch the Lift app in that jurisdiction.

A technology charge a higher price. Danny Fisher, Jannis Henderson is great to have you back on the program. Thank you very much. Now coming up here on Bloomberg Technology, list is expanding outside of the US and Canada. We have CEO David Risha on the company's European acquisition. That's next. This is Bloomberg Technology. Some deal news. Lift has agreed to buy the European Multi Mobility and taxi ailing app Free Now for about one hundred and ninety seven million dollars. It marks its first global expansion beyond the US and Canada. Lift CEO David Risha joins US. Now, I've been using Uber, your main competitor in Europe for a really long time. I've been going in taxis in Europe for a really long time. Why acquire free now and not just launch the Lift app in that jurisdiction.

Because Frenal is a great company that's got great relationships all across Europe in the really important taxi industry. I mean, look, so Lift, as you know ed you've been following us for a while. We're in a stronger position than we've ever been. We're picking riders up faster than we've ever picked them up before. Drivers are making billions on the platform in the US and Canada, and so now's the right time for us to go global. And what's great about it is it expands our market, doubles our market, and it allows us to plug into, as you say, the taxi world, which is a huge, huge part of the European mobility scene.

Because Frenal is a great company that's got great relationships all across Europe in the really important taxi industry. I mean, look, so Lift, as you know ed you've been following us for a while. We're in a stronger position than we've ever been. We're picking riders up faster than we've ever picked them up before. Drivers are making billions on the platform in the US and Canada, and so now's the right time for us to go global. And what's great about it is it expands our market, doubles our market, and it allows us to plug into, as you say, the taxi world, which is a huge, huge part of the European mobility scene.

Tomorrow. I think I'm right in saying it's your two year anniversary at Lyft, good memories and you have fixed the finances of that company to an extent. But the data is so key, right, Uber has what one million drivers in Europe and I think free now has about one hundred and fifty thousand registered taxi drivers nine cities. How do you bridge the gap? Are you confident you can bridge the gap? Yeah?

Tomorrow. I think I'm right in saying it's your two year anniversary at Lyft, good memories and you have fixed the finances of that company to an extent. But the data is so key, right, Uber has what one million drivers in Europe and I think free now has about one hundred and fifty thousand registered taxi drivers nine cities. How do you bridge the gap? Are you confident you can bridge the gap? Yeah?

I am the goodness So free Now is a great company and one of the things that makes them so strong is they really understand the local dynamics, market by market by market. Here's that thing. The mobility market in Europe for this this kind of you ride heiling is about forty billion euros.

I am the goodness So free Now is a great company and one of the things that makes them so strong is they really understand the local dynamics, market by market by market. Here's that thing. The mobility market in Europe for this this kind of you ride heiling is about forty billion euros.

Half of that are offline taxes.

Half of that are offline taxes.

This are literally still people calling up a taxi company and saying, come take me to the airport, come take me, I'm going on a business trip.

This are literally still people calling up a taxi company and saying, come take me to the airport, come take me, I'm going on a business trip.

Whatever it is.

Whatever it is.

So well, it's true, there are other companies there. Free Now is the leader in the taxi space. And remember is you know, taxi is kind of an elevat experience to a lot of Europe think of the London Blackpam. So we think that the company is really well positioned to really sort of you know, continue to grow and take over the much bigger space.

So well, it's true, there are other companies there. Free Now is the leader in the taxi space. And remember is you know, taxi is kind of an elevat experience to a lot of Europe think of the London Blackpam. So we think that the company is really well positioned to really sort of you know, continue to grow and take over the much bigger space.

But it is a company that's only recently broken even it's had historic losses. What are you modeling for in terms of what it adds to your top line and bottom line and how immediately.

But it is a company that's only recently broken even it's had historic losses. What are you modeling for in terms of what it adds to your top line and bottom line and how immediately.

Yeah, so it's a profitable company. It hasn't been a billion dollars in bookings, which is significant. Now I've left, of course, has sixteen billion in booking. So you know, there's a lot of growth, you know, ahead of both of us. But it'll be financially creative for us, which is wonderful. And I think as we you know, they've been owned by Mercedes and BMW, two great sort of storied bottom manufacturers, but I think combining with US is going to give them some new energy, some new expertise to really allow.

Yeah, so it's a profitable company. It hasn't been a billion dollars in bookings, which is significant. Now I've left, of course, has sixteen billion in booking. So you know, there's a lot of growth, you know, ahead of both of us. But it'll be financially creative for us, which is wonderful. And I think as we you know, they've been owned by Mercedes and BMW, two great sort of storied bottom manufacturers, but I think combining with US is going to give them some new energy, some new expertise to really allow.

Both of us to grow. There is zero mention in the release about autonomous driving, and every cell side note about this deal says it's your plan to roll out autonomous driving in Europe with those two OEMs that you just mentioned. Yeah, so here's how we.

Both of us to grow. There is zero mention in the release about autonomous driving, and every cell side note about this deal says it's your plan to roll out autonomous driving in Europe with those two OEMs that you just mentioned. Yeah, so here's how we.

Think about autonomous as we've said, I mean, first of all, of course it's happening in the US.

Think about autonomous as we've said, I mean, first of all, of course it's happening in the US.

We're actually a.

We're actually a.

Little bit further ahead Europe a little bit not so much. One of the great things free Now has is well too, they've got great relationships with European regulators, and they've got great fleet management and as you and I have discussed before, fleet management is so important to autonomous So yeah, we think it sets this up really well. Let's be clear, this is going to be years down the road, but it's a really important part of the overall strategy for being a global player.

Little bit further ahead Europe a little bit not so much. One of the great things free Now has is well too, they've got great relationships with European regulators, and they've got great fleet management and as you and I have discussed before, fleet management is so important to autonomous So yeah, we think it sets this up really well. Let's be clear, this is going to be years down the road, but it's a really important part of the overall strategy for being a global player.

Two years in you've done some M and A, will you do more M and A?

Two years in you've done some M and A, will you do more M and A?

And where.

And where.

I mean, never say never, but this really is our focus right now, right, I mean, the good news is, you know again free Now is a great, strong company and we've got.

I mean, never say never, but this really is our focus right now, right, I mean, the good news is, you know again free Now is a great, strong company and we've got.

So much to build on.

So much to build on.

So we're going to be really focused on our European expansion, obviously making sure it's a big success. And then who knows, we'll talk later about someone else.

So we're going to be really focused on our European expansion, obviously making sure it's a big success. And then who knows, we'll talk later about someone else.

Engine capital activists, investor they want to change your board. Your reaction please, I mean, we.

Engine capital activists, investor they want to change your board. Your reaction please, I mean, we.

Interact with shareholders all the time and you know, listen to their feedback. Take it seriously. You know, there's a whole process for dealing with activist investors that were involved in but probably speaking if you look at what shareholders want, you know, capital return. We're giving out five hundred million dollars in a share buyback. Growth, we're growing, We're now expanding, We're strengthening our business by going international.

Interact with shareholders all the time and you know, listen to their feedback. Take it seriously. You know, there's a whole process for dealing with activist investors that were involved in but probably speaking if you look at what shareholders want, you know, capital return. We're giving out five hundred million dollars in a share buyback. Growth, we're growing, We're now expanding, We're strengthening our business by going international.

I think we're really.

I think we're really.

Well positioned to address all of the issue.

Well positioned to address all of the issue.

Have you that shareholders bring Sorry to interrupt, David. Have you spoken to them about the free now deal since it happened? No, Okay, that's kind of interesting. Final questions on technology Atlanta technology partnerships, MAME Mobility operationally give me an update please.

Have you that shareholders bring Sorry to interrupt, David. Have you spoken to them about the free now deal since it happened? No, Okay, that's kind of interesting. Final questions on technology Atlanta technology partnerships, MAME Mobility operationally give me an update please.

Yeah, so you're referring to the partnership we have with MAME Mobility and Autonomous Vehicle group or company that's on track for this summer. So super excited to launch right in the middle of downtown Atlanta.

Yeah, so you're referring to the partnership we have with MAME Mobility and Autonomous Vehicle group or company that's on track for this summer. So super excited to launch right in the middle of downtown Atlanta.

On track for this summer, being commercially on track or this is a kind of toe in the water.

On track for this summer, being commercially on track or this is a kind of toe in the water.

Well, it's on track.

Well, it's on track.

For us to start operationally this summer in Atlanta and then you know it'll grow from there. But first we've got to get you know, riders in the cars, and that'll be sometime.

For us to start operationally this summer in Atlanta and then you know it'll grow from there. But first we've got to get you know, riders in the cars, and that'll be sometime.

This summer because I have the term to do so two years in What would you score yourself or grade yourself on the job you've done as the Lift CEO.

This summer because I have the term to do so two years in What would you score yourself or grade yourself on the job you've done as the Lift CEO.

Look, I am a self critical person.

Look, I am a self critical person.

I am.

I am.

I guess maybe one of the things that I do is always look for the next thing. But I do have to say I'm proud of what we've accomplished as a team over two years, you know, getting to profitability, seven hundred million dollars plus in free cash and maybe most importantly, picking up riders faster than ever and drivers making more on the platform than ever. So if I look at it from the customer's point of view, we're doing super well. It's up to other people to tell me how I'm doing as a.

I guess maybe one of the things that I do is always look for the next thing. But I do have to say I'm proud of what we've accomplished as a team over two years, you know, getting to profitability, seven hundred million dollars plus in free cash and maybe most importantly, picking up riders faster than ever and drivers making more on the platform than ever. So if I look at it from the customer's point of view, we're doing super well. It's up to other people to tell me how I'm doing as a.

CEO, and the street gives you a lot of credit for that. M and A maybe they didn't see coming so much. Maybe we'll see some more Lift CEO David Risha, thank you for joining us here on Bloomberg Technology. Now coming up, Americans are still using Chinese e commerce apps to shop cheap alternatives to some high end brands. We're going to drive into the surge in sales for Timu and Sian.

CEO, and the street gives you a lot of credit for that. M and A maybe they didn't see coming so much. Maybe we'll see some more Lift CEO David Risha, thank you for joining us here on Bloomberg Technology. Now coming up, Americans are still using Chinese e commerce apps to shop cheap alternatives to some high end brands. We're going to drive into the surge in sales for Timu and Sian.

This is Bloomberg Technology.

This is Bloomberg Technology.

A trade war won't stop Americans from shopping on Chinese apps. Revenue surge for both she and and Timu this month as US shoppers anticipate price increases due to tariffs. Bloomberg's Lily Maya joins US and covers the retail Beat. It's really interesting data. A lot of people in my world use both of those apps. I don't what are we learning.

A trade war won't stop Americans from shopping on Chinese apps. Revenue surge for both she and and Timu this month as US shoppers anticipate price increases due to tariffs. Bloomberg's Lily Maya joins US and covers the retail Beat. It's really interesting data. A lot of people in my world use both of those apps. I don't what are we learning.

Yeah, it seems like these apps are seeing a lot of success and people are going to them as tariffs are starting to loom.

Yeah, it seems like these apps are seeing a lot of success and people are going to them as tariffs are starting to loom.

The eco data kind of comes in here right when you think about tariffs, we think about passing on the costs of the consumer through your beat, through the tech companies that are in the ecomma space. What are we learning about the consumer and that march data? Yeah, absolutely so. It seems like the consumer is looking to spend right now.

The eco data kind of comes in here right when you think about tariffs, we think about passing on the costs of the consumer through your beat, through the tech companies that are in the ecomma space. What are we learning about the consumer and that march data? Yeah, absolutely so. It seems like the consumer is looking to spend right now.

The EGO data showed a lot of spending, and it seems like people might be stocking up or buying now before prices might get more expensive.

The EGO data showed a lot of spending, and it seems like people might be stocking up or buying now before prices might get more expensive.

Lily, you cover retail, specialty retail in particular. What are you learning about tariffs? Like, how do companies really think about what happens next? They even know?

Lily, you cover retail, specialty retail in particular. What are you learning about tariffs? Like, how do companies really think about what happens next? They even know?

Yeah, so a lot of companies are doing different things. A lot of the companies I cover report in the next month, so that will be really interesting to hear, you know, what they're looking to say to investors and shareholders. But it seems like a lot of people are in kind of a wait and see mode. They're not exactly sure how tariffs are going to impact their business, and they're trying to figure that out.

Yeah, so a lot of companies are doing different things. A lot of the companies I cover report in the next month, so that will be really interesting to hear, you know, what they're looking to say to investors and shareholders. But it seems like a lot of people are in kind of a wait and see mode. They're not exactly sure how tariffs are going to impact their business, and they're trying to figure that out.

Bloomers really might great to have you on here on Bloomberg Technology. Thank you very much. Now, coming up, Mark Zuckerberg's email reveals his Instagram and what's strategies from the past. We're going to go back to that antitrust case next. Let's get to markets as well. It is the semiconductor space that's dragging down technologies to shares broadly, but the NASDAQ one hundred is under pressure generally speaking, and by association some of the other key names in our world. The Hyperscala's consumer tech under pressure. Bitcoin is going in the opposite direction eighty five thousand US dollars per token upper percent or so in the session, but it's not behaved uniformly like as risk on risk off. It doesn't sort of take into account the same fact as tech does. We'll dig into that later in the week. Be right back. This is Bloomberg Technology. Welcome back to Bloomberg Technology. I'm Ed Ludlow in San Francisco. The market's picture is very clear. We are under pressure and that largely comes from the chip sector. New US restrictions on technology imports to China, specifically for Nvidia and AMD, that is causing pain. But by association you see a lot of the mag seven megacap names down. Earning season is right around the corner. The underperformance of the Philadelphia Semiconductor Index distills that chip pain. The single names we know about Nvidia, AMD. Very interesting discussion throughout the show on how long that pain will last. But ASML is an earning story at missed bookings by one billion dollars. Later in the program, per Ferregue, New Street Research is going to come on and give us deeper and more granular context about this name. There is other news elsewhere. In his second day on the FDC's antitrust trial, Mark Zuckerberg revealed that he once considered spinning off Instagram back in twenty eighteen. In a letter to senior leaders, he writes, quote, I'm beginning to wonder whether spinning out Instagram is the only structure that will accomplish a number of important goals. We should keep in mind that there's a real chance that all our work to build a family of apps may be something we don't get to keep for more. Bloombers Kirk Wagner, who has been in the courtroom at that trial, joins us, let's go back over it and explain it. At one time in twenty eighteen, of his own volition, Mark Zuckerberg considered spinning off Instagram. What does that mean in the context of this trial, Well.

Bloomers really might great to have you on here on Bloomberg Technology. Thank you very much. Now, coming up, Mark Zuckerberg's email reveals his Instagram and what's strategies from the past. We're going to go back to that antitrust case next. Let's get to markets as well. It is the semiconductor space that's dragging down technologies to shares broadly, but the NASDAQ one hundred is under pressure generally speaking, and by association some of the other key names in our world. The Hyperscala's consumer tech under pressure. Bitcoin is going in the opposite direction eighty five thousand US dollars per token upper percent or so in the session, but it's not behaved uniformly like as risk on risk off. It doesn't sort of take into account the same fact as tech does. We'll dig into that later in the week. Be right back. This is Bloomberg Technology. Welcome back to Bloomberg Technology. I'm Ed Ludlow in San Francisco. The market's picture is very clear. We are under pressure and that largely comes from the chip sector. New US restrictions on technology imports to China, specifically for Nvidia and AMD, that is causing pain. But by association you see a lot of the mag seven megacap names down. Earning season is right around the corner. The underperformance of the Philadelphia Semiconductor Index distills that chip pain. The single names we know about Nvidia, AMD. Very interesting discussion throughout the show on how long that pain will last. But ASML is an earning story at missed bookings by one billion dollars. Later in the program, per Ferregue, New Street Research is going to come on and give us deeper and more granular context about this name. There is other news elsewhere. In his second day on the FDC's antitrust trial, Mark Zuckerberg revealed that he once considered spinning off Instagram back in twenty eighteen. In a letter to senior leaders, he writes, quote, I'm beginning to wonder whether spinning out Instagram is the only structure that will accomplish a number of important goals. We should keep in mind that there's a real chance that all our work to build a family of apps may be something we don't get to keep for more. Bloombers Kirk Wagner, who has been in the courtroom at that trial, joins us, let's go back over it and explain it. At one time in twenty eighteen, of his own volition, Mark Zuckerberg considered spinning off Instagram. What does that mean in the context of this trial, Well.

It's very prophetic, right, Obviously he was sort of foreseeing the issue that he's facing right now coming down the road for him, you know, six seven years ago. I don't think the fact that he thought about doing this really, you know, hurts him so much today. I think it was shared in the context of the FTC trying to show that Instagram has perhaps harmed users.

It's very prophetic, right, Obviously he was sort of foreseeing the issue that he's facing right now coming down the road for him, you know, six seven years ago. I don't think the fact that he thought about doing this really, you know, hurts him so much today. I think it was shared in the context of the FTC trying to show that Instagram has perhaps harmed users.

Right, That's part of their play here, is.

Right, That's part of their play here, is.

That they want to show that buying Instagram buying WhatsApp was actually bad for consumers. And if they can show that, you know, Mark Zuckerberg even thought, Hey, maybe we shouldn't be doing this seven years ago, maybe that's a sign that they weren't you know, employing the best strategy for consumers. But it is a very interesting thing, in part because it was so foreshadowing of where he is today.

That they want to show that buying Instagram buying WhatsApp was actually bad for consumers. And if they can show that, you know, Mark Zuckerberg even thought, Hey, maybe we shouldn't be doing this seven years ago, maybe that's a sign that they weren't you know, employing the best strategy for consumers. But it is a very interesting thing, in part because it was so foreshadowing of where he is today.

This is a multi week but potentially multi month process. What else does the audience need to know about the trial and proceedings? Where his META focused and where have the FTC focused.

This is a multi week but potentially multi month process. What else does the audience need to know about the trial and proceedings? Where his META focused and where have the FTC focused.

It really hinges on this definition of what you know. The FTC is considering the friends and family sharing social networking market, right, So so they're saying, hey, look, there's a lot of places you can spend time online. There's very few places where you actually go specifically to share with your friends and family, and that is where META has their monopoly.

It really hinges on this definition of what you know. The FTC is considering the friends and family sharing social networking market, right, So so they're saying, hey, look, there's a lot of places you can spend time online. There's very few places where you actually go specifically to share with your friends and family, and that is where META has their monopoly.

This is the FTC's case.

This is the FTC's case.

Meta, on the other hand, is arguing, hey, wait a minute, we have tons of competitors, right. TikTok is a competitor. Well's I message is a competitor, obviously, x Elon Musk's X and none of those, by the very narrow definition that the FTC is going with, are considered competitors. And so this is basically a fight to determine what the market should be and if you know, the FTC succeeds and keeping it very very narrow. They may have a good case, but as Facebook has pointed out repeatedly, they consider their competition very wide.

Meta, on the other hand, is arguing, hey, wait a minute, we have tons of competitors, right. TikTok is a competitor. Well's I message is a competitor, obviously, x Elon Musk's X and none of those, by the very narrow definition that the FTC is going with, are considered competitors. And so this is basically a fight to determine what the market should be and if you know, the FTC succeeds and keeping it very very narrow. They may have a good case, but as Facebook has pointed out repeatedly, they consider their competition very wide.

Being bes Kutwagner, who I am sure we will come back to multiple times over the course of proceedings. Thank you very much. Let's break down more on what the FTC's trial against Meta could mean in regulation the future of digital markets. Joining us now is Jennifer Huddleston, Technology Policy Senior Fellow at the Cato Institute, and as a piece of documentary evidence in a trial like this, the CEO at the center of it in a letter six years ago, seven years ago saying maybe we should spin off Instagram. How does that play in this environment? What is this environment of antitrust that this trial represents.

Being bes Kutwagner, who I am sure we will come back to multiple times over the course of proceedings. Thank you very much. Let's break down more on what the FTC's trial against Meta could mean in regulation the future of digital markets. Joining us now is Jennifer Huddleston, Technology Policy Senior Fellow at the Cato Institute, and as a piece of documentary evidence in a trial like this, the CEO at the center of it in a letter six years ago, seven years ago saying maybe we should spin off Instagram. How does that play in this environment? What is this environment of antitrust that this trial represents.

We've seen a lot of animosity towards some of America's leading tech companies and this presumption that big is automatically bad. One of the key elements of the FTC's case is it's basically imagining a world that never existed. It's trying to ask for a do overall on an acquisition it approved more than a decade ago. And at the same time, the social media dynamics have been changing. They were changing in twenty eighteen when that letter came about. They were also changing more recently with the emergence of the like TikTok. We have to remember that at the time Meta acquired Instagram and WhatsApp, these were not surefire successes. In fact, there were jokes, particularly about the acquisition of Instagram at the time, kind of why are they doing this? Why are they paying all this money. We don't want to see a world where government enforcers penalize businesses for taking risky chances that turn out to be good bets and turn out to allow more innovation and more benefits for consumers in the market.

We've seen a lot of animosity towards some of America's leading tech companies and this presumption that big is automatically bad. One of the key elements of the FTC's case is it's basically imagining a world that never existed. It's trying to ask for a do overall on an acquisition it approved more than a decade ago. And at the same time, the social media dynamics have been changing. They were changing in twenty eighteen when that letter came about. They were also changing more recently with the emergence of the like TikTok. We have to remember that at the time Meta acquired Instagram and WhatsApp, these were not surefire successes. In fact, there were jokes, particularly about the acquisition of Instagram at the time, kind of why are they doing this? Why are they paying all this money. We don't want to see a world where government enforcers penalize businesses for taking risky chances that turn out to be good bets and turn out to allow more innovation and more benefits for consumers in the market.

This is a trial, and it is contested between the FTC and Meta. But we are a few months into this new administration. In the White House. Prior to the election and after the inauguration of President Trump, many put emphasis on Vice President JD. Vance's views on big tech and antitrust. How does that context play here in the trial. It seems as if this administration will follow through with the general attitude towards big tech that the prior administration did.

This is a trial, and it is contested between the FTC and Meta. But we are a few months into this new administration. In the White House. Prior to the election and after the inauguration of President Trump, many put emphasis on Vice President JD. Vance's views on big tech and antitrust. How does that context play here in the trial. It seems as if this administration will follow through with the general attitude towards big tech that the prior administration did.

If you look at the history of many of these cases, many of them began in the first Trump administration. Then we saw further gasoline on the fire during the Biden administration, particularly under Chair Lena Kahn at the FTC, and this real push towards this big as bad mentality. It seems like so far, both with the remedies proposed in the Google cases as well as with what we're seeing in the medic caase, that this administration seems determined to continue that shift away from the kind of law and economics, consumer welfare based approach to anti trust, to something that makes more presumptions about competitors than consumers, and something that perhaps is using anti trust enforcement for other policy goals.

If you look at the history of many of these cases, many of them began in the first Trump administration. Then we saw further gasoline on the fire during the Biden administration, particularly under Chair Lena Kahn at the FTC, and this real push towards this big as bad mentality. It seems like so far, both with the remedies proposed in the Google cases as well as with what we're seeing in the medic caase, that this administration seems determined to continue that shift away from the kind of law and economics, consumer welfare based approach to anti trust, to something that makes more presumptions about competitors than consumers, and something that perhaps is using anti trust enforcement for other policy goals.

And that should be.

And that should be.

Concerning because if we lose focus on the consumers whom anti trust was designed to protect, we risk losing the purpose behind anti trust and making this powerful tool more subjective.

Concerning because if we lose focus on the consumers whom anti trust was designed to protect, we risk losing the purpose behind anti trust and making this powerful tool more subjective.

Jennifer, why would a breakup of Meta in its family of apps be bad for the consumer?

Jennifer, why would a breakup of Meta in its family of apps be bad for the consumer?

I think that's what's really at the heart that we need to remember when it comes to this case. You'd lose certain cross functionality that consumers like, but you also would have companies with fewer resources to engage in research and development technology to engage in rolling out new features that consumers want in the time that AI is disrupting things, but also fewer resources to do some of the things that consumers have expected around things like young people's online safety. And finally, you might have companies that have to rely more on data and advertisers because they no longer can share those resources, and so they would have to actually shift more towards using their consumer data and more on doing what the advertisers want rather than what their consumers want.

I think that's what's really at the heart that we need to remember when it comes to this case. You'd lose certain cross functionality that consumers like, but you also would have companies with fewer resources to engage in research and development technology to engage in rolling out new features that consumers want in the time that AI is disrupting things, but also fewer resources to do some of the things that consumers have expected around things like young people's online safety. And finally, you might have companies that have to rely more on data and advertisers because they no longer can share those resources, and so they would have to actually shift more towards using their consumer data and more on doing what the advertisers want rather than what their consumers want.

Jennifer, the core of Meta's argument or defense is that the FTC has this narrow definition, but they're misunderstanding the marketplace, that Meta's competition is TikTok and that it is you too. How successful do you think that defense will be.

Jennifer, the core of Meta's argument or defense is that the FTC has this narrow definition, but they're misunderstanding the marketplace, that Meta's competition is TikTok and that it is you too. How successful do you think that defense will be.

The FDC is seeking a really narrow definition of personal friends and family social media networks, which is a definition I don't think the average consumer thinks about, and it's something that, if it's successful, could potentially lead to larger disruptive disruption in the social media marketplace. Not only does this definition exclude companies like TikTok that are incredibly popular with gen Z, it also excludes other messaging apps like Signal. It excludes platforms like Snap that have grown in popularity, so it doesn't seem to reflect the experience of the average consumer when it comes to social media and messaging, let alone when it comes to broader conversations around things like advertising or entertainment more generally.

The FDC is seeking a really narrow definition of personal friends and family social media networks, which is a definition I don't think the average consumer thinks about, and it's something that, if it's successful, could potentially lead to larger disruptive disruption in the social media marketplace. Not only does this definition exclude companies like TikTok that are incredibly popular with gen Z, it also excludes other messaging apps like Signal. It excludes platforms like Snap that have grown in popularity, so it doesn't seem to reflect the experience of the average consumer when it comes to social media and messaging, let alone when it comes to broader conversations around things like advertising or entertainment more generally.

In your research and your review of policy pending the outcome of this trial, do you expect actions against other big tech names, and if so.

In your research and your review of policy pending the outcome of this trial, do you expect actions against other big tech names, and if so.

Who We have already seen cases against four of America's leading tech companies, Google, which is now in a remedy phase in one of its case. There are also penning cases against Amazon and Apple, and of course this case against Facebook and Meta. All of these cases really raise concerns about the potential government intervention into what has been a very dynamic ecosystem. Not only could these cases have consequences for consumers, but there's going to be a question as well of what are we missing out on while companies spend their time dealing with enforcement actions instead of innovating and trying to provide better things for consumers. What sort of messages this side to the startup ecosystem.

Who We have already seen cases against four of America's leading tech companies, Google, which is now in a remedy phase in one of its case. There are also penning cases against Amazon and Apple, and of course this case against Facebook and Meta. All of these cases really raise concerns about the potential government intervention into what has been a very dynamic ecosystem. Not only could these cases have consequences for consumers, but there's going to be a question as well of what are we missing out on while companies spend their time dealing with enforcement actions instead of innovating and trying to provide better things for consumers. What sort of messages this side to the startup ecosystem.

Jennifer Alison of the Cato Institute, thank you very much. We'll be right back this is Bloomberg Technology. This is Bloomberg Technology, and you're looking at a live shot of the principal room. Check out the Bloomberg Technology podcast. You can find it on the terminal as well as online on Apple, Spotify, and iHeart this is Bloomberg. The United States will have to make a creative R and D push while making quote smart choices with budgets to stay ahead in the AI race. Those were the first public remarks by Michael Kratzios, Advisor to the President and White House Office of Science and Tech Policy Director, since his confirmation in March. The main message on strategy for tech promote and protect. Mister Gratzios joins us. Now specifically, what do you mean by smart choices? This is a time where budgets across federal government are being cut. Some tools and examples please, mister Grazios, thank you so much for having me ed. I think if you zoom out a little bit.

Jennifer Alison of the Cato Institute, thank you very much. We'll be right back this is Bloomberg Technology. This is Bloomberg Technology, and you're looking at a live shot of the principal room. Check out the Bloomberg Technology podcast. You can find it on the terminal as well as online on Apple, Spotify, and iHeart this is Bloomberg. The United States will have to make a creative R and D push while making quote smart choices with budgets to stay ahead in the AI race. Those were the first public remarks by Michael Kratzios, Advisor to the President and White House Office of Science and Tech Policy Director, since his confirmation in March. The main message on strategy for tech promote and protect. Mister Gratzios joins us. Now specifically, what do you mean by smart choices? This is a time where budgets across federal government are being cut. Some tools and examples please, mister Grazios, thank you so much for having me ed. I think if you zoom out a little bit.

The message that we were trying to share in Austin a few days ago was this question of how does the US ensure its position as the global leader in critical and emerging technologies? And in order to do that, you have to do two major things. You have to do promotion and protection, and the key pillar of the promote agenda is around being more creative in the way that we spend fairly funded research and development dollars. For far too long, these R and D dollars have been spent in the same ways by the same agencies of the.

The message that we were trying to share in Austin a few days ago was this question of how does the US ensure its position as the global leader in critical and emerging technologies? And in order to do that, you have to do two major things. You have to do promotion and protection, and the key pillar of the promote agenda is around being more creative in the way that we spend fairly funded research and development dollars. For far too long, these R and D dollars have been spent in the same ways by the same agencies of the.

Same types of research.

Same types of research.

And there's a lot more that we can do in all sorts of things like prizes and challenges, advanced market commitments, or even fast track action grants where we can actually worry a little bit less about how much and more about how we actually deploy these dollars in ways that we can ensure we're making in the best discoveries here in the United States for years to come.

And there's a lot more that we can do in all sorts of things like prizes and challenges, advanced market commitments, or even fast track action grants where we can actually worry a little bit less about how much and more about how we actually deploy these dollars in ways that we can ensure we're making in the best discoveries here in the United States for years to come.

We've reported a lot on DOGE that's the context right, the work to cut wasting government. But very specifically, mister Kretsios, do you call for support an increase in R and D budgets? Growth in R and D budgets?

We've reported a lot on DOGE that's the context right, the work to cut wasting government. But very specifically, mister Kretsios, do you call for support an increase in R and D budgets? Growth in R and D budgets?

Again, the most important thing we have to do is make sure that we are prioritizing our R and D budgets. Spending a lot of money on the wrong things is far worse than spending less money on the right things.

Again, the most important thing we have to do is make sure that we are prioritizing our R and D budgets. Spending a lot of money on the wrong things is far worse than spending less money on the right things.

So what we do at the White House.

So what we do at the White House.

In coordination with the Office of Management and Budget, is helped set research and development priorities for the country. The President spelled these out and a letter that he sent to me two weeks ago, and the ones that he did call out were artificial intelligence, quantum computing, and nuclear to name three. And you can imagine that in future budget cycles these areas that we're going to be prioritizing because those are key to our national economic security.

In coordination with the Office of Management and Budget, is helped set research and development priorities for the country. The President spelled these out and a letter that he sent to me two weeks ago, and the ones that he did call out were artificial intelligence, quantum computing, and nuclear to name three. And you can imagine that in future budget cycles these areas that we're going to be prioritizing because those are key to our national economic security.

Are those priorities achievable AI leadership from America with the tariffs that we have in place and the technology export controls, some of which were amplified overnight on the likes of and Video and AMD. Absolutely.

Are those priorities achievable AI leadership from America with the tariffs that we have in place and the technology export controls, some of which were amplified overnight on the likes of and Video and AMD. Absolutely.

If you think back to the strategy that we discussed a couple of days ago, in order to achieve this leadership position, we have to do both promotion and protection. On the promote side, we talked a little about the R and D pillar. The second piece of that is around deregulation. For far too long, especially in the last administration, you know, a lot of our regulatory policy has been driven by the spirit of fear, this idea that we should be worried about these emerging technologies, and what the President in the White House has said many times is we have to make sure that we lead in this technology and actually deploy it, and then on the promote on the protect side of the equation, we have to make sure that we're not giving our adversaries the critical tools that could help.

If you think back to the strategy that we discussed a couple of days ago, in order to achieve this leadership position, we have to do both promotion and protection. On the promote side, we talked a little about the R and D pillar. The second piece of that is around deregulation. For far too long, especially in the last administration, you know, a lot of our regulatory policy has been driven by the spirit of fear, this idea that we should be worried about these emerging technologies, and what the President in the White House has said many times is we have to make sure that we lead in this technology and actually deploy it, and then on the promote on the protect side of the equation, we have to make sure that we're not giving our adversaries the critical tools that could help.

Them try to catch up to us in this race.

Them try to catch up to us in this race.

We know that the PRC is attempting to catch up with us and things like artificial intelligence, and there's no reason why we should be helping them do so. So that's why in order to kind of achieve this US position of leadership in artificial intelligence and other emerging technologies, you have to have a balanced promotion and protection agenda.

We know that the PRC is attempting to catch up with us and things like artificial intelligence, and there's no reason why we should be helping them do so. So that's why in order to kind of achieve this US position of leadership in artificial intelligence and other emerging technologies, you have to have a balanced promotion and protection agenda.

In Nvidia and AMD now face the situation where they have to apply for licenses to be able to explore H twenty and I THREEH eight to China, and the administration's argument was they could end up in supercomputers. The company's argument is these are much lower performance, and one idea is that if they haven't got access to American technology, China will simply champion a domestic name. Huawei has a similar ACCE accelerator. How will you advise the President on whether or not AMD and Nvidia should be granted those license to export lower performance accelerators to China.

In Nvidia and AMD now face the situation where they have to apply for licenses to be able to explore H twenty and I THREEH eight to China, and the administration's argument was they could end up in supercomputers. The company's argument is these are much lower performance, and one idea is that if they haven't got access to American technology, China will simply champion a domestic name. Huawei has a similar ACCE accelerator. How will you advise the President on whether or not AMD and Nvidia should be granted those license to export lower performance accelerators to China.

Yeah, I'm not going to opine on the specifics there, but I will say that there has been a track record of a wide variety of chips being used to drive the development and training of what are almost frontier level open source models by companies within the PRC, And as we think about our protect agenda, it's critical that we develop an export control regime that is simple and clear and is one that we enforce very very strongly.

Yeah, I'm not going to opine on the specifics there, but I will say that there has been a track record of a wide variety of chips being used to drive the development and training of what are almost frontier level open source models by companies within the PRC, And as we think about our protect agenda, it's critical that we develop an export control regime that is simple and clear and is one that we enforce very very strongly.

One of the elements of PROMOTE is to bring manufacturing of lead edge chips and assembling of compute systems to America, Right, mister Crassios and ASML is in the splotlight as an example because of its earnings report overnight, with this administration, consider an exemption of tariffs on the leading chip equipment maker in order that they might be able to do that bring more of their activity to the United States.

One of the elements of PROMOTE is to bring manufacturing of lead edge chips and assembling of compute systems to America, Right, mister Crassios and ASML is in the splotlight as an example because of its earnings report overnight, with this administration, consider an exemption of tariffs on the leading chip equipment maker in order that they might be able to do that bring more of their activity to the United States.

Again, I can't oppine on specifics, but I think what we saw from the news last week on in Nvidia, there is a continual effort and we see that from all around the world of people wanting to bring manufacturing and these core sort of bleeding edge technologies back here to the United States. And that's something that the White House is very proud of and something that we have seen across industry. The policies that the President in our trade team have implemented is one that is actually proving true. And just a few short days we've had so many great announcements about companies coming here to build and manufacture these critical technologies in the US, and I suspect that we'll be seeing a lot more of those in the months in.

Again, I can't oppine on specifics, but I think what we saw from the news last week on in Nvidia, there is a continual effort and we see that from all around the world of people wanting to bring manufacturing and these core sort of bleeding edge technologies back here to the United States. And that's something that the White House is very proud of and something that we have seen across industry. The policies that the President in our trade team have implemented is one that is actually proving true. And just a few short days we've had so many great announcements about companies coming here to build and manufacture these critical technologies in the US, and I suspect that we'll be seeing a lot more of those in the months in.

Weeks ahead, there is some confrontation between the administration and leading academic and research institutions. Harvard is an example. How does the potential of cutting budgets at institutions like that impact America's competitiveness in the field of research. I reflect on Jensen Wong's comments. I believe in March at GtC that well more than fifty percent of the AI research is either being done in China or by Chinese nationals, and yet here in America we have some debate about funding for these institutions.

Weeks ahead, there is some confrontation between the administration and leading academic and research institutions. Harvard is an example. How does the potential of cutting budgets at institutions like that impact America's competitiveness in the field of research. I reflect on Jensen Wong's comments. I believe in March at GtC that well more than fifty percent of the AI research is either being done in China or by Chinese nationals, and yet here in America we have some debate about funding for these institutions.

Yeah, I want to make sure we don't necessarily conflate to such issues. To me, I don't think this is particularly hard. There is no reason why we should be supporting anti semitism on college campuses or tolerate that. I think we can be intolerant of anti semitism on university campuses and also support the academic research enterprise. Those two things can happen simultaneously. And I think first and foremost these universities think very carefully about about Title six, and I leave that to the DOJ and to DOE Department of Education.

Yeah, I want to make sure we don't necessarily conflate to such issues. To me, I don't think this is particularly hard. There is no reason why we should be supporting anti semitism on college campuses or tolerate that. I think we can be intolerant of anti semitism on university campuses and also support the academic research enterprise. Those two things can happen simultaneously. And I think first and foremost these universities think very carefully about about Title six, and I leave that to the DOJ and to DOE Department of Education.

To think about.

To think about.

On my end, and what I've advocated very strongly is we continue to need great universities to work on basic research that has funded and fueled or innovation ecosystem for decades, and that's something the White House will continue to advocate for well. At the same time, we can never stand for anti semitism on our university campuses.

On my end, and what I've advocated very strongly is we continue to need great universities to work on basic research that has funded and fueled or innovation ecosystem for decades, and that's something the White House will continue to advocate for well. At the same time, we can never stand for anti semitism on our university campuses.

Mister Kretzios. Is part of your offices request for information, several AI companies submitted responses to you, you asking basically to preserve their ability to learn from copyrighted material. We're talking about those training frontier models, foundation models, very simple yes or no if you will. Is copyright reform on the table as part of this President's AI action plan and how would you advise him on that? Please?

Mister Kretzios. Is part of your offices request for information, several AI companies submitted responses to you, you asking basically to preserve their ability to learn from copyrighted material. We're talking about those training frontier models, foundation models, very simple yes or no if you will. Is copyright reform on the table as part of this President's AI action plan and how would you advise him on that? Please?

Yeah, we were so delighted with how many responses we got to the I Action Plan RFI. I think in the coming days we'll hopefully be able to release all of those responses. It was many, many thousands, and it just showed how far and wide the community is that wants to think about and help shape the national agenda for artificial intelligence. And obviously copyright is going to be one of the issues that many people commented on over the last few months.

Yeah, we were so delighted with how many responses we got to the I Action Plan RFI. I think in the coming days we'll hopefully be able to release all of those responses. It was many, many thousands, and it just showed how far and wide the community is that wants to think about and help shape the national agenda for artificial intelligence. And obviously copyright is going to be one of the issues that many people commented on over the last few months.

Mister Christio's copyright reform yes or no again. I think we could not be more.

Mister Christio's copyright reform yes or no again. I think we could not be more.

Thrilled with how many people commented on all sorts and all facets of the AI agenda, And this is one that we had a lot of commenters send us some very interesting and detailed thoughts on.

Thrilled with how many people commented on all sorts and all facets of the AI agenda, And this is one that we had a lot of commenters send us some very interesting and detailed thoughts on.

The President has spoken with admiration about Jensen Wong and in Nvidia's leadership. Just as our audience Boombog Technology gets to know you, mister Kratzios and your work in the White House, Have you had the opportunity to meet with Jensen Wong and his peers about what they plan to do in America and also critical markets for them. Which once included China. I have yeah.

The President has spoken with admiration about Jensen Wong and in Nvidia's leadership. Just as our audience Boombog Technology gets to know you, mister Kratzios and your work in the White House, Have you had the opportunity to meet with Jensen Wong and his peers about what they plan to do in America and also critical markets for them. Which once included China. I have yeah.

In the first two weeks after my confirmation, I had the opportunity to meet with most of the leading technology industry CEOs and chat with them about how we can together usher in this golden age of American innovation that the President has called for. With Jensen specifically, he's a tremendous thinker, and one of the great things that we connected on is the question of AI for science. There's been this almost this extreme fixation on thinking about the protect side of the agenda when it comes to specific semiconductors. But I think another equally more and maybe even more important part of the are the problems we face ahead of us and our challenges is how can we actually implement this technology to drive transformational change for the American people.

In the first two weeks after my confirmation, I had the opportunity to meet with most of the leading technology industry CEOs and chat with them about how we can together usher in this golden age of American innovation that the President has called for. With Jensen specifically, he's a tremendous thinker, and one of the great things that we connected on is the question of AI for science. There's been this almost this extreme fixation on thinking about the protect side of the agenda when it comes to specific semiconductors. But I think another equally more and maybe even more important part of the are the problems we face ahead of us and our challenges is how can we actually implement this technology to drive transformational change for the American people.

And Jensen and Nvidia he.