Latest / Bloomberg Intelligence / Bloomberg's Srinivasan on Intel, Heilemann on Clinton (Audio)

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Bloomberg's Srinivasan on Intel, Heilemann on Clinton (Audio) · Bloomberg Intelligence

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  Speaker 1: Pellett and that's a Bloomberg business flash. You're listening to
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  Speaker 1: taking stock with pim Box and Kathleen Hayes on Bloomberg Radio.
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  Speaker 1: Apple's not waiting for It's a worldwide developers conference next
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  Speaker 1: week in San Francisco to shake up the market. Today
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  Speaker 1: we find out that Apple's next iPhone will use motive
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  Speaker 1: chips from Intel, replacing qual comp chips in some versions
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  Speaker 1: of the new handset. Apparently it's a move by the
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  Speaker 1: world's most valuable public company as that's Apple, to diversify
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  Speaker 1: its supplier base. Here to talk about it, what it
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  Speaker 1: means for investors for the industry is on Entrene of
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  Speaker 1: us and he's Bloomberg Intelligence senior semiconductor and hardware analysts
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  Speaker 1: on on were you surprised by this? Now? This has
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  Speaker 1: been rumored for quite a while now, and the popular
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  Speaker 1: press has been talking about it for quite some time
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  Speaker 1: and then use his and intensifying some people have known
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  Speaker 1: for a while that there's something here. Um. The simple
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  Speaker 1: strokes of it is is that it's good for Intel
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  Speaker 1: and it's bad for quacom Um. But the Apple supply
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  Speaker 1: chain seems to be getting more complicated from a supplier
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  Speaker 1: base as well as the number of components and the
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  Speaker 1: number of suppliers that go into it. So UM, it's
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  Speaker 1: interesting because Apple thus far has only had three specific
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  Speaker 1: types of the iPhone UM for each version, and now
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  Speaker 1: it's it's likely to get a little bit more complicated
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  Speaker 1: than that. Okay, for lay person like me, are these
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  Speaker 1: chips that different? I mean, doesn't really make that much
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  Speaker 1: difference which one actually they are. And the reason why
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  Speaker 1: Qualcom has had the share historically that it has had
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  Speaker 1: is because these chips are enormously complex. Um. You have
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  Speaker 1: a number of different bands or spectrums that you operate
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  Speaker 1: in different telecom carriers all over the world. Remember, operate
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  Speaker 1: on a different band. Then you have versions of each
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  Speaker 1: of these. So by the time you put it all together,
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  Speaker 1: you have to have every single flavor of every single
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  Speaker 1: carrier in every single region of the world. And as
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  Speaker 1: you move forward, suddenly it has to work with your
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  Speaker 1: WiFi chips and it has to work with your Bluetooth chips.
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  Speaker 1: So UM, to answer the question, yes, it is enormously complicated,
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  Speaker 1: takes an enormous amount of R and D, but the
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  Speaker 1: smartphone market is slowing. These developments have hit sort of
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  Speaker 1: a little bit of a plateau coming off of the
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  Speaker 1: three G two four G transitions. So now Apple and
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  Speaker 1: the other carriers to saying, Okay, what can I get
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  Speaker 1: what's the best price I can get for these chips? Well,
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  Speaker 1: and they're going to continue to put the Qualcom chips
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  Speaker 1: in the phones in China. Absolutely, um so. This is
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  Speaker 1: this is vendor management. This is exacting the best price
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  Speaker 1: for the best product possible. Do you expect I think
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  Speaker 1: from the Worldwide Developer Conference next week when Apple gets
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  Speaker 1: everybody together thousands of people in the Bay Area. Tim
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  Speaker 1: Cook of course will be orchestrating events. Yeah, this is
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  Speaker 1: going to be more of from an operating system and
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  Speaker 1: an apps standpoint. Um not as much drama on the
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  Speaker 1: hardware side as as as on the software section. How
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  Speaker 1: important is for intels is a big win for them.
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  Speaker 1: This is a big win for Intel because they have
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  Speaker 1: historically been a laggered in the space. Um and they
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  Speaker 1: got booted out of the iPhone a long time ago
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  Speaker 1: when and Finian was in there. Um so, um so
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  Speaker 1: it is it is a huge splash for them, and
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  Speaker 1: it's a loss making division for them, So hopefully this
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  Speaker 1: will help produce the losses Boston. Thank you so very
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  Speaker 1: much for joining us senior semi conductor and hardware analysts
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  Speaker 1: for Bloomberg Intelligence here in New York City. Have a
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  Speaker 1: great weekend. Thank you YouTube well. Speaking of big wins, uh,
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  Speaker 1: we are at the point now where we can talk
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  Speaker 1: pretty seriously about who's going to get the big win
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  Speaker 1: in November when it comes to winning the White House.
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  Speaker 1: We're very happy to welcome back, as we do often
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  Speaker 1: at this time, John Heilman. He is host, with all
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  Speaker 1: due respect on Bloomberg Television, one of the leading lights
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  Speaker 1: of Bloomberg politics, and you can catch it every day
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  Speaker 1: week nights on Bloomberg t e V Bluebrig ninety nine
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  Speaker 1: one on the radio in Washington. So John's I guess
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  Speaker 1: it's uh, the historic moment is here. Hilary is the front,
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  Speaker 1: is leading the Democratic pack, Trump reading leading the Republican pack.
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  Speaker 1: Now what chaos madness? Um? Right, So yeah, we have
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  Speaker 1: now presumptive nominees in both parties, and um, the general
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  Speaker 1: election is on. Today. You had Hillary Clinton giving a
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  Speaker 1: speech at Planned Parenthood and you had Donald Trump giving
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  Speaker 1: a speech to Religious Freedom Conference. Um. Kind of classic
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  Speaker 1: preview of what the fall campaign will look like. Both
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  Speaker 1: of them, uh, speaking to audiences of the faithful and uh,
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  Speaker 1: I mean that in both senses of the word uh,
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  Speaker 1: members of the base and using those speeches both to
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  Speaker 1: uh build energy among their core constituencies and also attack
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  Speaker 1: each other. And um they both went after each other
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  Speaker 1: pretty hard today. Um, but not in a way that
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  Speaker 1: it was I think in a way that I think,
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  Speaker 1: you know, it's suggestive of what we're likely to see
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  Speaker 1: over the course of the next um X number of months.
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  Speaker 1: I don't really even know how many months it is
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  Speaker 1: between now and remember maybe you know that I'm horrible
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  Speaker 1: and like, Okay, well, is this in the category of
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  Speaker 1: with friends like this, who needs enemies? When Senate Majority
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  Speaker 1: Leader Mitch McConnell, McConnell says Donald Trump needs to pick
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  Speaker 1: and experience running mate because quote, he doesn't know a
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  Speaker 1: lot about the issues and strongly urged him to change
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  Speaker 1: course on his retoric, well, yeah, I mean, look, it's
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  Speaker 1: it's it's now pretty evident that and it has been
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  Speaker 1: for a while, but it's really become dramatically evident in
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  Speaker 1: the wake of the controversies around uh uh Donald Trump's
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  Speaker 1: racist comments about Judge Curiel that a lot of the
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  Speaker 1: Republican establishment that kind of tentatively came to embrace Trump
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  Speaker 1: over the course of the last month month and a
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  Speaker 1: half are very uncomfortable with UM, with their standard bearer.
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  Speaker 1: And so you have both Mitch McConnell, Paul Ryan, a
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  Speaker 1: lot of folks UM treading very lightly, and there they can't.
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  Speaker 1: They defend what Trump said, and they say that over
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  Speaker 1: and over again. They haven't abandoned him yet. So from
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  Speaker 1: the standpoint of Trump, it would be worse if Mitch
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  Speaker 1: McConnell or Paul Ryan or others did what Centator Mark
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  Speaker 1: Kirk from Illinois did, which is to withdraw their endorsements
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  Speaker 1: from him entirely. But this is the way it's going
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  Speaker 1: to be, I think throughout this election. I mean, if
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  Speaker 1: Trump continues to say things that are incendiary and potentially
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  Speaker 1: problematic for the Republican Party UM and it's candidates down ballot,
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  Speaker 1: you're gonna see Republican leaders doing this throughout, which is
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  Speaker 1: to say, UM, criticizing Trump, sometimes denouncing Trump, distancing themselves
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  Speaker 1: from Trump, but still maintaining at least some kind of
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  Speaker 1: superficial level of support. Well, you know, John Howman, you
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  Speaker 1: you know, eight years ago you did a lot of
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  Speaker 1: reporting inside the camps. You know, for for Hillary, for
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  Speaker 1: Barack Obama, you did produce the great books and all.
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  Speaker 1: So what in this campaign so far was you apply
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  Speaker 1: that kind of reporting skill and that kind of experience.
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  Speaker 1: What are you finding from the Trump camp? Are they
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  Speaker 1: an ready to teach Donald Trump how to be you know,
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  Speaker 1: big and loud and and you know, be not pleitily correct,
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  Speaker 1: but not cross over a line. I think that the
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  Speaker 1: there are two fundamental truths that have become clear in
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  Speaker 1: the last two or three weeks. The first is that
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  Speaker 1: there is no Trump campaign, and the second it is
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  Speaker 1: is that there's no changing Donald Trump. As you probably
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  Speaker 1: know from your own life, they're not that many men
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  Speaker 1: who are women, who are sixty nine seventy years old,
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  Speaker 1: who can be trained to be something different from what
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  Speaker 1: they are. So the notion which was popular not that
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  Speaker 1: long ago, which is like Donald Trump wi pivot to
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  Speaker 1: become a general election candidate. He will be more quote presidential,
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  Speaker 1: he will moderate his tone, he will uh somehow rain
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  Speaker 1: himself in, he will script himself more often. Um. That
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  Speaker 1: is something that may in sporadically work, but it won't
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  Speaker 1: work in a sustained way. Over time, because it's just
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  Speaker 1: not who Trump is, it's not what not just as
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  Speaker 1: a presidential candidate, but as a public figure. I think
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  Speaker 1: that the second thing is that there when I say
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  Speaker 1: there is no Trump campaign, I mean there are a
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  Speaker 1: bunch of people around Trump um way fewer than there
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  Speaker 1: would be around any normal presidential candidates still, because the
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  Speaker 1: campaign is having a hard time recruiting serious people to
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  Speaker 1: work there because of the fact that Trump is so
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  Speaker 1: difficult um as a candidate to deal with. UM particularly
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  Speaker 1: people in the of a younger stripe, which is to say,
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  Speaker 1: like strategists in their twenties, thirties, and forties are staying away.
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  Speaker 1: But there are a bunch of people they're trying to
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  Speaker 1: corral Donald Trump. But there is no kind of traditional
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  Speaker 1: campaign structure, and the people who would exert a lot
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  Speaker 1: of authority in a normal presidential campaign exert very little
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  Speaker 1: around Donald Trump. His fundraising apparatus doesn't really is just
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  Speaker 1: starting to come into form, like he's a year and
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  Speaker 1: a half behind in terms of building a fundraising uh infrastructure.
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  Speaker 1: He has no real field department, he has no data department,
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  Speaker 1: he has no rapid response, he doesn't have a communications director.
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  Speaker 1: He has you know, Hope Picks, who has been his
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  Speaker 1: press secretary, and the person who deals with the press.
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  Speaker 1: She's a one woman band. Still, you know, the campaign
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  Speaker 1: manager in chief strategist UM. The two named players there,
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  Speaker 1: Paul Manifert and Korey Lewandowski, UM are you know, have
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  Speaker 1: some influence over Trump, but nothing like what you would
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  Speaker 1: have seen in the Romney campaign, the Obama campaign, the
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  Speaker 1: Clinton campaign currently. So you know, I think it's to
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  Speaker 1: describe it as chaos is is a little bit probably
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  Speaker 1: not overstated exactly, but that's sort of what's going on
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  Speaker 1: is there's a lot of whaling and nashing of teeth.
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  Speaker 1: I got a quick file comment from you on the
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  Speaker 1: President's Barack Obama's the videotape piece that was released in
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  Speaker 1: him supporting Hillary Clinton. How would you a grade that? Well,
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  Speaker 1: I think the video tape piece is fine for what
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  Speaker 1: it is, but you know, it's a well well done thing.
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  Speaker 1: I think the what you what you really want to
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  Speaker 1: focus on is just the extraordinary degree of political difficulty
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  Speaker 1: that faced um all of the parties involved coming out
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  Speaker 1: of the California and other primaries on on Tuesday, and
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  Speaker 1: they handled that that minuet, that choreography was handled extraordinarily well,
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  Speaker 1: with a huge amount of cooperation between the White House
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  Speaker 1: and Hillary Clinton's team in Brooklyn. Well John Heileman, I
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  Speaker 1: often end to you your job, isn't such a fascinating
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  Speaker 1: year for politics, And if you're fascinated with politics, you
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  Speaker 1: better watch with all due respect, Monday through Friday weeknights
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  Speaker 1: at five pm on Bloomberg Television. You can listen on
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  Speaker 1: Bloomberg in Washington. I'm Kathleen Hayes. This is taking stock
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  Speaker 1: on Bloomberg Radio.