Latest / Bloomberg Intelligence / BI Weekend: Deere Earnings, Paramount, UFC Deal

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BI Weekend: Deere Earnings, Paramount, UFC Deal · Bloomberg Intelligence

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  Speaker 2: Today we'll look at al Paramount buying the rights to
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  Speaker 2: UFC fights will impact it's streaming service.
• 1:01
  Speaker 5: Well, it's a look at earnings from the networking bell
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  Speaker 5: Weather Cisco Systems.
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  Speaker 2: First, we look at third quarter earnings from the farm
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  Speaker 2: at machinery leader Deer.
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  Speaker 5: This week, Deer reported earnings that beat analyst projections, but
• 1:10
  Speaker 5: the company trimmed its projected net income for twenty twenty five.
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  Speaker 5: This comes as customers were made cautious due to trade
• 1:16
  Speaker 5: uncertainty and the health of the US economy.
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  Speaker 2: For more, Lisa and I were joined by Chris Chielino,
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  Speaker 2: Bloomberg Intelligence Senior US machinery analyst. We first asked Christopher's
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  Speaker 2: key takeaways from Deer earnings.
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  Speaker 4: Listen, I mean, this really wasn't a particularly great quarter.
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  Speaker 4: Three key results were mixed at best. It was really
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  Speaker 4: a low quality earnings beat, primarily driven by a lower
• 1:36
  Speaker 4: tax rate. And as you alluded to, they did cut
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  Speaker 4: their twenty to twenty five guidance, But to be honest,
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  Speaker 4: I don't think that really changes the investment thesis here.
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  Speaker 4: You know, we still expect earnings to bottom this year.
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  Speaker 4: We're still looking at a very you know, gradual recovery
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  Speaker 4: as twenty twenty six unfolds. The reduction in the outlook
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  Speaker 4: was really driven by weakness in their construction business, and
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  Speaker 4: it appears to us that it was really more of
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  Speaker 4: a function of some of the higher tariffs and costs
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  Speaker 4: coming through. We knew that construction forestry was really going
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  Speaker 4: to bear the brunt of the tariff impact, but this
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  Speaker 4: court just came in, you know, a little bit more
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  Speaker 4: of a headwind that we anticipated. It doesn't appear to
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  Speaker 4: be that there's been much of a change in terms
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  Speaker 4: of you know, farm fundamentals and their appetite to go
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  Speaker 4: out and buy equipment.
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  Speaker 5: Hey, Qrich, can you get more into the struggle that
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  Speaker 5: farmers are facing that that's impacting deer.
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  Speaker 4: Sure, you know, we've been in this kind of prolonged
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  Speaker 4: downturn in the ag ecotomy. Crop prices continued to deteriorate,
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  Speaker 4: farm fundamentals remain weak, interest rates remain high. We have
• 2:33
  Speaker 4: the you know, the overhanger, the uncertainty around the trade
• 2:36
  Speaker 4: environment and export market access. Really there's really no signs
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  Speaker 4: or i would, you know, say green shoots yet that
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  Speaker 4: we're at this inflection point. I think the positive takeaway
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  Speaker 4: is that, you know, inventories are coming down, deer's not
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  Speaker 4: going to have to massively underproduce a retail demand next year.
• 2:52
  Speaker 4: So even if we're looking at a flatish type of
• 2:55
  Speaker 4: environment in terms of underlying retail demand. We're still looking
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  Speaker 4: at probably higher production and some pricing coming through, which
• 3:02
  Speaker 4: should still generate some operating leverage in the business.
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  Speaker 2: So, Chris, when demand is down for their core farm equipment,
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  Speaker 2: what does deer typically do? Do they let inventories build?
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  Speaker 2: Do they get promotional to move inventory out the door?
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  Speaker 2: How did they usually manage that?
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  Speaker 4: Yeah, so this is it's a delicate balancing act, right.
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  Speaker 4: I mean, it's almost impossible to time the cycle. And
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  Speaker 4: what they've been doing, you know, for the better part
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  Speaker 4: of this year, and even at the end of last year,
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  Speaker 4: they had been underproducing retail demand to bring down those
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  Speaker 4: elevated inventories. They've done really a commendable job on new equipment.
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  Speaker 4: The big issue right now is still on the used
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  Speaker 4: equipment inventory side, particularly on tractors, which are still quite elevated.
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  Speaker 4: And you're right, they are allocating more merchandising programs and
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  Speaker 4: pool funds to help address that issue and move the equipment.
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  Speaker 4: And I think you see that partly reflected in their
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  Speaker 4: production precision ad business this quarter and pricing actually flip negative,
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  Speaker 4: which was a surprise to us. It does appear that
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  Speaker 4: this is you know, relatively transitory. We should expect pricing
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  Speaker 4: to bounce back next quarter. But yeah, it's been a
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  Speaker 4: you know, they've done a real good job of managing inventories.
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  Speaker 4: It's just you know, when you're slogging along through the
• 4:11
  Speaker 4: bottom of the cycle here, it does become quite challenging.
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  Speaker 5: So then I got to follo up, are you still
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  Speaker 5: cautious about the pace of their recovery?
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  Speaker 4: Yes, you know, I would say signs of a recovery
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  Speaker 4: are still you know, pretty elusive to us. And if
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  Speaker 4: you just look over the last couple of months, you know,
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  Speaker 4: you continue to see further downward pressure on crop prices,
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  Speaker 4: which at the end of the day is one of
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  Speaker 4: the bigger drivers of deer's business and farmer cash receipts.
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  Speaker 4: We had a pretty ugly WASDI report this week. You know,
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  Speaker 4: it looks like we're going to get another year of
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  Speaker 4: record corn production, so those stockpiles continue to build, which
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  Speaker 4: is really going to keep a you know, somewhat of
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  Speaker 4: a stealing on crop prices here in the near term.
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  Speaker 4: So we think this recovery is going to look much
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  Speaker 4: more modest or subdued than what we typically see during
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  Speaker 4: a normal cycle. Right now, we're still anticipating you know,
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  Speaker 4: a modest you know, flat to up five percent. Next
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  Speaker 4: here in terms of underlying retail demand for lar Jack,
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  Speaker 4: particularly in North America.
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  Speaker 5: All right, thanks to Chris Chielino, Bloomberg Intelligence Senior US
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  Speaker 5: machinery analyst.
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  Speaker 2: We moved next to a conversation about the global fintech
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  Speaker 2: company ny X. NYAX trades on the NASDAC under the
• 5:14
  Speaker 2: ticker NYAX.
• 5:16
  Speaker 5: The company is focused on payment software and devices for
• 5:18
  Speaker 5: the self service space where no cashier is present, and
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  Speaker 5: the company recently reported second quarter profit that more than
• 5:24
  Speaker 5: doubled analyst expectations.
• 5:26
  Speaker 2: This week, guest host Normal Lind and I were joined
• 5:28
  Speaker 2: by nyak's chief financial officer, Segit Manure, and we began
• 5:31
  Speaker 2: the conversation by asking Segite for more background on what
• 5:34
  Speaker 2: NIAX does.
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  Speaker 6: So we are actually the global leader in payment and
• 5:39
  Speaker 6: management solution for the unattended market. And what does it
• 5:42
  Speaker 6: mean unattended? It's really the vending machine massals chair ev
• 5:47
  Speaker 6: chargers when it's just you in front of the machine,
• 5:50
  Speaker 6: does not cashier in between. And in fact, if you
• 5:55
  Speaker 6: bought a drink in a vending machine lately at the JFKA,
• 6:00
  Speaker 6: you probably used one of our Nayaks Yellow devices. So
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  Speaker 6: we have more than hundred thousand customers. We sell our
• 6:08
  Speaker 6: product in more than one hundred and twenty countries, and
• 6:10
  Speaker 6: we have a very simple mission statement to.
• 6:14
  Speaker 3: Help our customers grow the business. What does it mean?
• 6:16
  Speaker 6: Increase their revenue, decrease their cost and through loyalty, create
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  Speaker 6: that stickness with our customers with their customers.
• 6:25
  Speaker 7: How do you stay ahead in today's fintech landscape? Of
• 6:29
  Speaker 7: course there's a lot of players now.
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  Speaker 6: So actually in our area there's not a lot of competition.
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  Speaker 6: I'm talking about the payment and in the unattended space.
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  Speaker 6: So in fact, you know, we are the only global,
• 6:46
  Speaker 6: as I said, a player in this unattended space. It's
• 6:52
  Speaker 6: a very fragmented business and decentralized, so there's a lot
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  Speaker 6: of small players and we are with our global solution
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  Speaker 6: basically integrated hardware, payment and services all together, we can
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  Speaker 6: bring that to the local market. It's also a very
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  Speaker 6: highly regulated market, so there's a lot of barriers to entry,
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  Speaker 6: so whether it's a regulation on payment, whether it's privacy,
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  Speaker 6: and with our global solution, with us being there for
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  Speaker 6: twenty years, we were able to overcome that. We look
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  Speaker 6: at ourselves as a payment company, and what do you
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  Speaker 6: need as a payment company?
• 7:30
  Speaker 3: You need basically three things.
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  Speaker 6: You need the trust, you need the scalability, and you
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  Speaker 6: really need the easy doing business. So from a trust perspective,
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  Speaker 6: we build that trust over the twenty years. We have
• 7:42
  Speaker 6: a very strong brand. Look now for the yellow devices.
• 7:46
  Speaker 6: You would see that everywhere from an easy to do
• 7:50
  Speaker 6: business with it's again it's a bit to B to see.
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  Speaker 6: So we have a very you know, it's a high
• 7:54
  Speaker 6: profile company. You go to whether it's the cow wash
• 7:58
  Speaker 6: to the vending machine and you see us. So B
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  Speaker 6: to B it's all about regulation and we were able
• 8:05
  Speaker 6: to overcome that. When it comes to B to see,
• 8:08
  Speaker 6: as I said, it's in front of us and you
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  Speaker 6: want that in a nanosecond to get your snack, to
• 8:13
  Speaker 6: get your coffee. So on scalability, this is where we
• 8:17
  Speaker 6: are focusing right. This is what takes time to build.
• 8:20
  Speaker 6: And we've showed that we are using more than eighty
• 8:23
  Speaker 6: distributors all around the world right, so we are setying
• 8:27
  Speaker 6: our products straight to the OEM. So when the vending machine,
• 8:31
  Speaker 6: the massage share, the kid ride are coming from the manufacturers,
• 8:36
  Speaker 6: it will already bring that NIX device.
• 8:39
  Speaker 2: Talk to us about the EV business electric vehicle business.
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  Speaker 2: How are you guys approaching that? What is your expectation
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  Speaker 2: for how that business will grow for you?
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  Speaker 3: So great question.
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  Speaker 6: EV is definitely one of the three main growth drivers
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  Speaker 6: as we look into twenty twenty five and even beyond.
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  Speaker 3: There was a few elements there.
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  Speaker 6: It can be as easy as any unattended verticals that
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  Speaker 6: we're already in and we're already working with the ivy
• 9:09
  Speaker 6: Goo Electrified America Electrifi Canada where we are providing the
• 9:13
  Speaker 6: payment device, but it can.
• 9:15
  Speaker 3: Also be where we are developed.
• 9:18
  Speaker 6: The management suite, the electricity management suite that has a
• 9:22
  Speaker 6: lot of regulations around it, and we were able to
• 9:26
  Speaker 6: accommodate that as well. And then for small businesses which
• 9:31
  Speaker 6: I haven't mentioned that, but most of our customers.
• 9:33
  Speaker 3: Are small and small and medium businesses.
• 9:36
  Speaker 6: That's where we provide the old solution, the hard well,
• 9:41
  Speaker 6: the management electricity basically as well as payment. So iv
• 9:46
  Speaker 6: we just signed announced the agreement with Hotel which is
• 9:51
  Speaker 6: a potential of one hundred thousand ivy charging stations to
• 9:56
  Speaker 6: be deployed in North America and also in Europe and
• 10:00
  Speaker 6: many other contracts like that. That shows the potential with
• 10:06
  Speaker 6: the fact that we are a global company, so it
• 10:08
  Speaker 6: can be done in France or in the state of
• 10:12
  Speaker 6: California and you have the same exact product all around
• 10:18
  Speaker 6: the globe.
• 10:19
  Speaker 7: Are there any particular market gaps or audiences that are
• 10:24
  Speaker 7: underserved that you're targeting right now?
• 10:26
  Speaker 6: So in the unattended space, which is the majority of
• 10:29
  Speaker 6: our revenue today, definitely there's a place on the EV
• 10:33
  Speaker 6: to grow and the electric vehicle charges, smart coolers is
• 10:37
  Speaker 6: a very fast growing area parking as well micro market,
• 10:44
  Speaker 6: So this is in the unattended, but we also are
• 10:48
  Speaker 6: stepping in into more of areas, like as I said,
• 10:53
  Speaker 6: the EV charger, that is beyond the payment or even
• 10:56
  Speaker 6: the retail. What we've learned over the twenty years that
• 10:59
  Speaker 6: we're doing business business with small businesses is that they're
• 11:03
  Speaker 6: still in the attendant, inside the store, inside the whatever
• 11:07
  Speaker 6: it is that you're selling does not a good product
• 11:11
  Speaker 6: for those small businesses, and we are extending that into
• 11:16
  Speaker 6: other countries as well.
• 11:19
  Speaker 5: Our thanks to Nayak's chief financial officer, Sagit Manor coming
• 11:23
  Speaker 5: up a look at where we are with robotaxis in
• 11:25
  Speaker 5: the US and the rest of the world.
• 11:27
  Speaker 2: You're listening to Bloomberg Intelligence on Bloomberg Radio, providing in
• 11:30
  Speaker 2: depth research and data on two thousand companies and one
• 11:32
  Speaker 2: hundred and thirty industries.
• 11:33
  Speaker 5: You can access Bloomberg Intelligence via Bigo on the terminal.
• 11:36
  Speaker 5: I'm Lisa Matteo and.
• 11:37
  Speaker 8: I'm Paul Sweeney.
• 11:38
  Speaker 2: This is Bloomberg.
• 11:43
  Speaker 1: You're listening to Bloomberg Intelligence with Paul Sweeney on Bloomberg Radio.
• 11:49
  Speaker 5: I'm Paul Sweeney and I'm Lisa Matteo filling in on
• 11:51
  Speaker 5: Bloomberg Intelligence.
• 11:52
  Speaker 2: We move next to some news in the media and
• 11:54
  Speaker 2: entertainment space.
• 11:55
  Speaker 5: This week we heard that Paramount has acquired the exclusive
• 11:57
  Speaker 5: rights to show all events from the Ultimate Fighting Chain
• 12:00
  Speaker 5: Championship in the US over the next seven years. It's
• 12:02
  Speaker 5: a seven point seven billion dollar deal designed to boost
• 12:05
  Speaker 5: Paramount plus streaming service for more.
• 12:07
  Speaker 2: Lisa and I were joined by Getha Ranganath and Bloomberg Intelligence.
• 12:10
  Speaker 2: Analysts on US media were first to ask Etha if
• 12:13
  Speaker 2: the UFC can be considered a good deal for Paramount.
• 12:16
  Speaker 9: No one saw this coming. I mean, the Paramount Skuydiance
• 12:19
  Speaker 9: transaction just closed last week August seventh, and we were
• 12:23
  Speaker 9: still kind of waiting for some inkling of what the
• 12:25
  Speaker 9: go to strategy or the go forward strategy would be
• 12:28
  Speaker 9: from you know, David Ellison's team. And here you go
• 12:31
  Speaker 9: with the bank, you know, paying almost eight billion dollars
• 12:34
  Speaker 9: for UFC rights. Now they are premier sports rights, so
• 12:38
  Speaker 9: they're definitely making a big statement here. Yes, you're absolutely right.
• 12:43
  Speaker 9: UFC has over one hundred million fans in the United States.
• 12:46
  Speaker 9: Their current deal is with ESPN. They were getting paid
• 12:49
  Speaker 9: about five hundred million a year, so this is you know,
• 12:52
  Speaker 9: more than one hundred and twenty percent search so it
• 12:54
  Speaker 9: is definitely a pretty penny And what Paramount is hoping
• 12:57
  Speaker 9: is that this really gets them onto the sports so
• 13:00
  Speaker 9: makes them a must have platform. And we're talking here
• 13:03
  Speaker 9: about Paramount Plus, which is their streaming platform, which is
• 13:07
  Speaker 9: known for really some great scripted content and some sports.
• 13:10
  Speaker 9: But this is really a big way for them to
• 13:13
  Speaker 9: kind of make a statement, make a really bold splash
• 13:16
  Speaker 9: on the sports streaming stage.
• 13:18
  Speaker 5: All right, KEITHA, I'm trying to take this in stride
• 13:19
  Speaker 5: because my husband is a big UFC fan, so he
• 13:23
  Speaker 5: watches it on ESPN. So does this mean that I
• 13:25
  Speaker 5: have to get Paramount Plus on time? Don't tell me.
• 13:29
  Speaker 6: That, GIP.
• 13:30
  Speaker 9: Sorry, Lisa, Yes, you do because everything all of the
• 13:34
  Speaker 9: UFC contents. So you know, what we'd initially thought was
• 13:38
  Speaker 9: that UFC was kind of going to split this packages.
• 13:41
  Speaker 9: You know, they have the Fight Night, which is the
• 13:43
  Speaker 9: weekly bi weekly kind of you know matchups that you see,
• 13:47
  Speaker 9: and then they have their big Marquee events, which are
• 13:49
  Speaker 9: the numbered events with you know, the likes of O'Connor
• 13:51
  Speaker 9: McGregor all these other big superstar players and you got
• 13:55
  Speaker 9: to pay out of your pocket for that pay per view.
• 13:57
  Speaker 9: They're actually now making all of that content, both the
• 14:00
  Speaker 9: market events as well as the Fight Nights, all available
• 14:04
  Speaker 9: to Paramount Plus subscribers, so there's no pay per view anymore.
• 14:07
  Speaker 9: But yeah, unfortunately your husband's going to have to subscribe
• 14:09
  Speaker 9: to Paramount Plus.
• 14:11
  Speaker 2: Well, this is what I think you do. Every streamer
• 14:16
  Speaker 2: you put on, you have to take one off, go
• 14:18
  Speaker 2: to the family. Okay, we're putting on Paramount Plus.
• 14:20
  Speaker 8: What are you giving back?
• 14:21
  Speaker 5: What are we giving back?
• 14:22
  Speaker 8: Yeah, exactly that's how you do it. Thank you, Gaitha.
• 14:24
  Speaker 2: What is realistically the buld case for Paramount sky Dance Corporation.
• 14:29
  Speaker 9: Yes, I think you know, we we really need of course,
• 14:32
  Speaker 9: you know, this kind of tells us that They're definitely
• 14:34
  Speaker 9: going to keep the streaming platforms. See some of the
• 14:36
  Speaker 9: some of the concerns Paul before, you know, before the
• 14:39
  Speaker 9: deal actually closed, was what is sky Dance really interested in?
• 14:42
  Speaker 9: So they don't really have any expertise in running TV assets.
• 14:46
  Speaker 9: All that they really cared about was the Paramount Studio
• 14:49
  Speaker 9: because you know, sky Dance is a big studio and
• 14:51
  Speaker 9: they were really really interested in the studio assets. So
• 14:53
  Speaker 9: we really didn't have any direction in terms of what
• 14:56
  Speaker 9: they were going to do with the cable networks. Viacom
• 14:59
  Speaker 9: has a bunch of those. You have the CBS broadcast network,
• 15:02
  Speaker 9: you have the Paramount Plus streaming platform. What this deal
• 15:05
  Speaker 9: signals is they're definitely interested in the streaming platform and
• 15:08
  Speaker 9: the CBS broadcast network because you know, they did say
• 15:11
  Speaker 9: that they're going to simulcast some of those UFC games
• 15:14
  Speaker 9: on the CBS broadcast networks. I think that is going
• 15:16
  Speaker 9: to be a core part of their portfolio. What we're
• 15:18
  Speaker 9: still not clear about is what they're going to do
• 15:20
  Speaker 9: with some of the cable networks. So you know, whether
• 15:22
  Speaker 9: it's a BET or an MTV or a Comedy Central,
• 15:25
  Speaker 9: we really don't know what the strategy is there. Chances
• 15:28
  Speaker 9: are they might look to monetize those assets, you know,
• 15:31
  Speaker 9: sell them. But really I think the big play for
• 15:34
  Speaker 9: a paramount is going to come down to make these
• 15:37
  Speaker 9: bigger and bigger investments. If they really want to be
• 15:40
  Speaker 9: a credible you know, streamer, they have to obviously go
• 15:43
  Speaker 9: after these big deals, which is exactly what they did
• 15:46
  Speaker 9: with the UFC. We'll have to wait and watch and
• 15:48
  Speaker 9: see exactly what their aspirations are, but it depends if
• 15:52
  Speaker 9: they're if they're willing to kind of make these big investments,
• 15:55
  Speaker 9: they could become you know, arguably one of the top
• 15:58
  Speaker 9: three or one of the top four platforms.
• 16:00
  Speaker 5: Our Thanks to Geitha Ranganath and Bloomberg Intelligence analyst on US.
• 16:04
  Speaker 2: Media, we've moved next to an M and A deal
• 16:06
  Speaker 2: in the apparel space.
• 16:07
  Speaker 5: This week, we heard that the Canadian clothing company Guilden
• 16:09
  Speaker 5: Activewear agreed to buy the US underwear maker Haines Brand
• 16:13
  Speaker 5: for about two point two billion dollars in cash and stock.
• 16:16
  Speaker 5: Gilden is aiming to double its annual sales with the transaction.
• 16:20
  Speaker 2: For more guest host Normal Lind and I were joined
• 16:22
  Speaker 2: by Abigail guildbartin Bloomberg Intelligence Footwear and ath leisure analyst.
• 16:26
  Speaker 2: We first asked Abbaga able to discuss who Guilden is
• 16:28
  Speaker 2: and why they're buying an underwear company.
• 16:30
  Speaker 10: I think a lot of people probably own Guilden and
• 16:33
  Speaker 10: don't know it right because it's really a basic apparel manufacturer.
• 16:37
  Speaker 10: So they create the T shirts that then they sell
• 16:39
  Speaker 10: to your favorite sports teams or to Walmart, and then
• 16:42
  Speaker 10: they put the logos on it. So they're heavily in
• 16:44
  Speaker 10: the printware space. They do have exposure to innerwear, which
• 16:48
  Speaker 10: is what Haines is, Haynes' is, you know, the basics underwears,
• 16:51
  Speaker 10: bras teas, and they used to be in activewear till
• 16:55
  Speaker 10: they spun off Champion, so they're very complimentary. Yes, they
• 16:58
  Speaker 10: spent off Champion about a year.
• 17:00
  Speaker 7: Okay, interesting and I definitely remember Gilden. As you mentioned,
• 17:03
  Speaker 7: when you just start to look into the tags of
• 17:05
  Speaker 7: your T shirts, you'll start to see the name pop
• 17:07
  Speaker 7: up there. But I mean, what's the latest with consolidation
• 17:10
  Speaker 7: more broadly in your industry. I know you have a
• 17:13
  Speaker 7: lot of names that you cover that are doing a
• 17:15
  Speaker 7: lot of mergers.
• 17:16
  Speaker 10: Yeah, definitely, I think you know it comes out of
• 17:18
  Speaker 10: time with tariffs and costs looming as well as I
• 17:22
  Speaker 10: mean for this acquisition, I think it's been considered for
• 17:25
  Speaker 10: a while as actually there was a whole proxy battle
• 17:28
  Speaker 10: about it a few years ago where they actually ousted
• 17:30
  Speaker 10: the CEO over it, and then he has returned since
• 17:34
  Speaker 10: then and they completely changed the board over So this
• 17:38
  Speaker 10: didn't come completely out of nowhere. But I think it
• 17:41
  Speaker 10: makes a lot of sense just in terms of, you know,
• 17:42
  Speaker 10: Gilden's building out their whole manufacturing footprint and it's once
• 17:46
  Speaker 10: again really complimentary. They already kind of make everything that
• 17:49
  Speaker 10: Haines does, but on a larger scale at a lower cost.
• 17:52
  Speaker 2: And Haines Brand's based in Winston Salem, North Carolina. Yeah,
• 17:56
  Speaker 2: I'm sure Sarah talk to us about you mentioned the tariffs.
• 18:00
  Speaker 2: How is it impacting your world, because I would think
• 18:02
  Speaker 2: that would be immediate.
• 18:03
  Speaker 10: Yes, so it definitely is impacting my world with you know,
• 18:06
  Speaker 10: the footwear brands, but for Guilden and Haines. Actually, Guilden
• 18:09
  Speaker 10: is one of the largest users of US cotton, so yes,
• 18:13
  Speaker 10: they are probably one of the largest ones, and so
• 18:17
  Speaker 10: that is actually going to help them not have to
• 18:19
  Speaker 10: deal with as many tariff costs just since products are
• 18:22
  Speaker 10: made with US cotton, so they're subject to a lower
• 18:24
  Speaker 10: teriff rate, so that's actually something that they can benefit from.
• 18:27
  Speaker 10: They also are less exposed to Asia and more in
• 18:30
  Speaker 10: Central America as well as Haynes Brands. Their manufacturing footprints
• 18:34
  Speaker 10: are very complementary and overlap, so they'll be able to
• 18:37
  Speaker 10: kind of mitigate that pretty well. But for Haines Brands,
• 18:41
  Speaker 10: its Guilden gives them a much more financial stability and opportunity.
• 18:46
  Speaker 5: For that our thanks to Abigail gil Martin Bloomberg Intelligence,
• 18:49
  Speaker 5: Footwear and at the Leisure Analyst.
• 18:51
  Speaker 2: Each week we look at research from Bloomberg and EF
• 18:54
  Speaker 2: previously known as New Energy Finance.
• 18:55
  Speaker 5: They're the team at Bloomberg that tracks and analyzes the
• 18:58
  Speaker 5: energy transition from commodities to transport, industries, buildings, and agriculture sectors.
• 19:03
  Speaker 2: This week we look at the autonomous vehicles robotaxis. Guest
• 19:07
  Speaker 2: host Normal Linden and I were joined by Andrew Grant
• 19:09
  Speaker 2: be n EF, head of Intelligent Mobility.
• 19:11
  Speaker 5: He discussed what's happening in the robotaxi space and some
• 19:14
  Speaker 5: of the hot battlegrounds for developers.
• 19:16
  Speaker 2: I began by asking Andrew where we are with robotaxis
• 19:18
  Speaker 2: in the US. And the rest of the world.
• 19:20
  Speaker 11: Wouldn't it be a great way to have a way
• 19:22
  Speaker 11: to measure the progress that we have on the robotaxi
• 19:26
  Speaker 11: side and the self driving vehicle side. Sometimes it could
• 19:28
  Speaker 11: be quite difficult to monitor the sector, and there's a
• 19:32
  Speaker 11: lot of promises made and there's a lot happening in
• 19:34
  Speaker 11: the kind of AI black box, and what we try
• 19:37
  Speaker 11: to do is measure things that you can actually see
• 19:41
  Speaker 11: and count. So we've been looking at some real operational
• 19:44
  Speaker 11: statistics that have been coming out from some of the
• 19:47
  Speaker 11: robotaxi companies and coming up with a way to grade
• 19:50
  Speaker 11: how serious an operation is. Can are these projects actually
• 19:54
  Speaker 11: operating on public roads? Are they offering their rides to
• 19:57
  Speaker 11: the general public or do you need to be on
• 19:59
  Speaker 11: a selective weight lift? Are they putting their money where
• 20:01
  Speaker 11: their mouths are and charging a fee for the service?
• 20:05
  Speaker 11: Do they actually have a safety driver in the vehicle
• 20:08
  Speaker 11: or human still supervising in the vehicle or have they
• 20:11
  Speaker 11: pulled that? And are they able to operate in all
• 20:14
  Speaker 11: weather conditions twenty four hours a day, seven days a week.
• 20:17
  Speaker 11: And if they kind of score five out of five
• 20:19
  Speaker 11: in our grade, that's a fully functional operational robotaxi service.
• 20:24
  Speaker 11: We counted out eight of those operating different cities around
• 20:27
  Speaker 11: around the world, I should say around the world. At
• 20:29
  Speaker 11: the moment, it's just China in the US.
• 20:31
  Speaker 7: Okay, so we're seeing China in the US as the
• 20:34
  Speaker 7: two leaders here.
• 20:35
  Speaker 11: Yeah, at the moment we have of four companies that
• 20:39
  Speaker 11: have met those grades. We do have another sixteen projects
• 20:43
  Speaker 11: that are kind of four out of five on our
• 20:47
  Speaker 11: ranking metric there. I should mention that Tesla just gets too.
• 20:50
  Speaker 11: But a lot of these companies are looking to expand
• 20:53
  Speaker 11: outside their home markets, certainly expanding to places like Singapore
• 20:58
  Speaker 11: and Middle East and UAE, and then of course Europe,
• 21:02
  Speaker 11: which at the moment there's regulations that are kind of
• 21:04
  Speaker 11: previncing a wider spread rollout of robotaxis. But a lot
• 21:07
  Speaker 11: of these companies are targeting twenty twenty six for deployment
• 21:11
  Speaker 11: across a number of European cities.
• 21:14
  Speaker 2: So who are the leaders here at this early stage.
• 21:17
  Speaker 11: I mean, really, you're talking about Weimer with the most
• 21:20
  Speaker 11: projects that meet out grading of fully operational robotaxi services.
• 21:25
  Speaker 11: But from the Chinese automakers, the China robotaxi developer side,
• 21:31
  Speaker 11: you're also talking about by do we ride ponyai that
• 21:34
  Speaker 11: are scoring highly on these metrics and looking to expand.
• 21:38
  Speaker 7: What are some of the regulatory hurdles here? Are there
• 21:41
  Speaker 7: any areas, in particular in the United States where it's
• 21:44
  Speaker 7: a bit more open season.
• 21:46
  Speaker 11: It's a very complex regulatory environment at the moment because
• 21:49
  Speaker 11: you can kind of have these national federal level ambitions,
• 21:55
  Speaker 11: but really it comes down to not just even state level,
• 21:59
  Speaker 11: but down to city level, where you need to work
• 22:01
  Speaker 11: really closely with a lot of these regulators to deploy
• 22:03
  Speaker 11: these services in a tightly geffinced environment. So you need
• 22:08
  Speaker 11: to be actively if you're a robotaxy developer, you need
• 22:10
  Speaker 11: to be actively talking to a lot of these regulators
• 22:13
  Speaker 11: and helping them understand what you're trying to do and
• 22:16
  Speaker 11: how you're trying to complement what they want to do
• 22:18
  Speaker 11: on the public transport side or on they transport infrastructure
• 22:21
  Speaker 11: side to make this work and make it a valuable
• 22:23
  Speaker 11: project for both for both entities. So I always describe
• 22:28
  Speaker 11: the regulatory environment it's very iterative. You kind of need
• 22:32
  Speaker 11: to take one box, proved to your regulators how you're doing,
• 22:35
  Speaker 11: and then continue to grow that relationship and kind of
• 22:38
  Speaker 11: build the regulations with them, and a lot of knowledge
• 22:41
  Speaker 11: exchange needs to happen as you progress.
• 22:45
  Speaker 2: Yeah, I'm just looking at yourself driving vehicle tractor at
• 22:48
  Speaker 2: wwwwna dot com. Have to be a Bloomberg terminal user,
• 22:51
  Speaker 2: I believe, yes, but very very cool. It's an interactive
• 22:55
  Speaker 2: kind of model showing you where around the world. So
• 22:58
  Speaker 2: what are the gating issues here? Andrew? It's for fuller
• 23:02
  Speaker 2: and fuller deployment going out over the next several years.
• 23:05
  Speaker 2: Is it regulatory? Is it technology? Is it capital? What
• 23:11
  Speaker 2: are the key drivers for just I guess adoption over
• 23:14
  Speaker 2: the next seple years.
• 23:15
  Speaker 11: I mean, we talk a lot about the technology and
• 23:16
  Speaker 11: the regulatory side, and both need to improve, and I
• 23:19
  Speaker 11: think both will. What's probably doesn't get enough attention, and
• 23:22
  Speaker 11: we're starting to see a lot more focus on that.
• 23:24
  Speaker 11: At the moment. Is just the value chain really starting
• 23:27
  Speaker 11: to take shape. Building a car, building the software and
• 23:32
  Speaker 11: the related hardware that goes into powering a self driving vehicle,
• 23:36
  Speaker 11: matching the vehicle with users owning the vehicle. These are
• 23:41
  Speaker 11: all things that have different skill sets from a company perspective.
• 23:45
  Speaker 11: They have different capital requirements, and they have different paid
• 23:47
  Speaker 11: back periods. So we're starting to see different roles for
• 23:51
  Speaker 11: in this part of value chain. You're seeing the many
• 23:54
  Speaker 11: deals that say Uber has signed over the last eighteen months.
• 23:58
  Speaker 11: They've signed deals with at least ten different self driving
• 24:01
  Speaker 11: vehicle developers across the taxi and truck space and the
• 24:05
  Speaker 11: delivery blot space, I should say as well. And they're
• 24:08
  Speaker 11: really trying to put the best foot forward to borrow
• 24:13
  Speaker 11: the Jeff Bezos expression just focus on what makes the
• 24:16
  Speaker 11: beer taste better and really specialize in the different areas.
• 24:20
  Speaker 11: So we're really starting to see a more robust and
• 24:22
  Speaker 11: definitive shape form for the robotaxidatty chain.
• 24:25
  Speaker 5: Our thanks to Andrew Grant being af head of intelligent
• 24:28
  Speaker 5: mobility coming up and in depth look at Treasury Secretary
• 24:31
  Speaker 5: Scott Bessen then his role in the Trump administration.
• 24:34
  Speaker 2: You're listening to Bloomberg Intelligence on Bloomberg Radio, providing research
• 24:37
  Speaker 2: and data on two thousand companies in one hundred and
• 24:39
  Speaker 2: thirty industries.
• 24:40
  Speaker 5: You can access Bloomberg Intelligence via Big on the terminal.
• 24:43
  Speaker 5: I'm Lisa Matteo and Paul Sweeney.
• 24:45
  Speaker 8: This is Bloomberg.
• 24:53
  Speaker 1: You're listening to Bloomberg Intelligence with Paul Sweeney on Bloomberg Radio.
• 25:00
  Speaker 5: And I'm Lisa Matteo filling in on Bloomberg Intelligence.
• 25:03
  Speaker 2: We move next to news from the networking Bill Weather
• 25:05
  Speaker 2: Cisco Systems. This week, Cisco reported fourth quarter earnings that
• 25:09
  Speaker 2: narrowly beat analyst expectations.
• 25:10
  Speaker 5: The company also gave a forecast for the current fiscal year,
• 25:13
  Speaker 5: with sales between fifty nine and sixty billion dollars. That's
• 25:16
  Speaker 5: roughly in line with analysts expectations, and the lukewarm forecast
• 25:20
  Speaker 5: disappointed investors who hoped for a boost from massive AI
• 25:23
  Speaker 5: data center projects.
• 25:25
  Speaker 2: For more on ess, Lisa and I were joined by
• 25:26
  Speaker 2: wou Jinho, Bloomberg Intelligence senior technology analysts. The first ask
• 25:30
  Speaker 2: Wooje for his takeaways on Cisco earnings.
• 25:33
  Speaker 12: At the end of the day, the guidance was a
• 25:35
  Speaker 12: reminder that they are still tied to IT spending, and
• 25:39
  Speaker 12: you know, I viewed it as more as prudent conservatism
• 25:42
  Speaker 12: because they don't know what's happening on the second half
• 25:44
  Speaker 12: of the year given where we are, you know, we
• 25:48
  Speaker 12: have little visibility in terms of rates as well as
• 25:50
  Speaker 12: tire still.
• 25:52
  Speaker 2: So the company recognized about one billion dollars in AI
• 25:55
  Speaker 2: revenue on fiscal twenty twenty five, and I guess AI
• 25:59
  Speaker 2: infrastructure or for large from large cloud of providers who
• 26:02
  Speaker 2: are over eight hundred million in the quarter. So where
• 26:05
  Speaker 2: do we think these numbers can go?
• 26:07
  Speaker 12: Yeah, Look, Paul, they forecasted a billion dollars in orders
• 26:12
  Speaker 12: for fiscal twenty five. They double that in fiscal twenty six.
• 26:15
  Speaker 12: Recognize the billion of it this year. I wouldn't be
• 26:19
  Speaker 12: surprised if AI revenues grow at least another fifty percent
• 26:23
  Speaker 12: from here. And they're penetrating multiple pockets right not only
• 26:27
  Speaker 12: into the cloud, but if you think about a longer term,
• 26:30
  Speaker 12: when enterprise adoption really starts kicking in, there is going
• 26:33
  Speaker 12: to be a growth driver.
• 26:34
  Speaker 1: So we have to.
• 26:36
  Speaker 12: See where it'll be in twenty six and twenty seven
• 26:39
  Speaker 12: when enterprise grows. But the partnership with then video should
• 26:42
  Speaker 12: be beneficial to the longer term.
• 26:44
  Speaker 5: What is it AI sector? Is it just to competitive?
• 26:47
  Speaker 5: I mean, who are some of their peers? How are
• 26:49
  Speaker 5: they doing against them?
• 26:51
  Speaker 12: Well, if we think about it, well, they have multiple
• 26:55
  Speaker 12: they're in AI in multiple vectors right, so from a
• 26:58
  Speaker 12: networking space as one of the bigger competitors, as well
• 27:02
  Speaker 12: as a smaller company called Celestica from they also they're
• 27:06
  Speaker 12: also very very big on optical components, and they're coming
• 27:10
  Speaker 12: up against companies like Marvel as well as Siena, and
• 27:16
  Speaker 12: they also provide AI servers, and think about Dell and HPE.
• 27:21
  Speaker 12: So look, is it competitive, yes, but they're one of
• 27:26
  Speaker 12: the few American vendors that can actually supply components all
• 27:30
  Speaker 12: the way to the system hardware.
• 27:32
  Speaker 2: Which what what are companies like Cisco and and Dell
• 27:35
  Speaker 2: and some other big American companies throughout the tech stack chain?
• 27:39
  Speaker 2: What are they saying just about the environment in terms
• 27:42
  Speaker 2: of demand from their customers. Are they sensing waning demand
• 27:46
  Speaker 2: or wavering demand? Just to see how some of these
• 27:49
  Speaker 2: I don't know, teriffs other economic policies may work out.
• 27:52
  Speaker 12: Sure, Paul, you know, Cisco is one of the first
• 27:55
  Speaker 12: hardware belt weathers that came out. I will tell you
• 27:58
  Speaker 12: from from the numbers that I've seen on the companies
• 28:02
  Speaker 12: that have reported, you know, the IT spending environment has
• 28:05
  Speaker 12: actually been more resilient than I had thought. I went
• 28:08
  Speaker 12: into the quarter with my mediar outlook as being a
• 28:11
  Speaker 12: little bit cautious and negative, and quite frankly, the results
• 28:16
  Speaker 12: have come in better than I anticipated. The outlooks have
• 28:19
  Speaker 12: come in better than I anticipated. But the fact of
• 28:21
  Speaker 12: the matter is, I don't know what's going to happen
• 28:23
  Speaker 12: past December, and I think the Cisco's guidance reflect that.
• 28:26
  Speaker 12: We'll have a better sense in a couple of weeks
• 28:28
  Speaker 12: from now when companies like Dell and then HPE after
• 28:31
  Speaker 12: Labor Day when they.
• 28:32
  Speaker 5: Report, did they talk about their guidance at all about
• 28:35
  Speaker 5: the impacts? We mentioned tariff quickly, but did the impact
• 28:38
  Speaker 5: of tariffs? If so, like, how do they intend to
• 28:40
  Speaker 5: lessen that impact from tariffs?
• 28:42
  Speaker 12: You know, you know, Cisco has been probably one of
• 28:45
  Speaker 12: the better companies in terms of managing expectations of tariffs
• 28:50
  Speaker 12: as well as maneuvering the supply chain with the tariff.
• 28:54
  Speaker 12: So in terms of managing expectations, they embedded tariff impact
• 28:58
  Speaker 12: in their guidance, and because came in a little bit
• 29:01
  Speaker 12: lower than we had anticipated, that actually helped the EPs
• 29:05
  Speaker 12: just a little bit going forward.
• 29:08
  Speaker 8: You know, all of the guidance.
• 29:10
  Speaker 12: Includes the tariff impact. Now, the one thing I will add,
• 29:15
  Speaker 12: we're still waiting for the semiconductor rulings as it relates
• 29:18
  Speaker 12: to Section two three to two. We'll see where it stands.
• 29:22
  Speaker 12: If we do have a negative ruling there, that could
• 29:25
  Speaker 12: not only affect Cisco's guidance and margins, but also the
• 29:29
  Speaker 12: rest of the electronics space.
• 29:31
  Speaker 5: All right, thanks to Woo Jinho, Bloomberg Intelligence Senior technology analyst.
• 29:35
  Speaker 2: This week we focus on a Bloomberg Big Takes story
• 29:37
  Speaker 2: entitled Scott Bessant on Taris, deficis and Trump's Economic Plan.
• 29:42
  Speaker 5: You can find it on Bloomberg dot Com and The Terminal.
• 29:45
  Speaker 5: It's also the cover story this week for the Bloomberg
• 29:47
  Speaker 5: Business Week magazine.
• 29:48
  Speaker 2: The story looks at how US Treasury Secretary Scott Besson
• 29:51
  Speaker 2: has the ear of President Donald Trump and why nervous
• 29:54
  Speaker 2: investors worldwide hope it stays that way.
• 29:56
  Speaker 5: Bloomberg's Eric Shatsker and Daniel Flatley co wrote the story,
• 30:00
  Speaker 5: and we're part of the team that recently interviewed Besson.
• 30:03
  Speaker 8: Earlier in the week.
• 30:03
  Speaker 2: Guest host Norman lind and I were joined by Eric Schatsker,
• 30:06
  Speaker 2: editorial director for a Bloomberg New Economy. We began the
• 30:09
  Speaker 2: conversation by asking Eric for his key takeaways from the
• 30:11
  Speaker 2: best in interview.
• 30:12
  Speaker 8: Well, first of all, the man is unbelievably busy. Spent
• 30:16
  Speaker 8: a day at the Treasury Department with alcoholague, Dan Flatley
• 30:20
  Speaker 8: and to observe how much he gets done in the
• 30:23
  Speaker 8: course of the day, including spending an extended amount of
• 30:26
  Speaker 8: time with US gives you a window into the life
• 30:29
  Speaker 8: of the Treasury Secretary in the Trump administration. And it's
• 30:31
  Speaker 8: important to emphasize in the Trump administration because this particular
• 30:35
  Speaker 8: Treasury secretary has been given a whole host of responsibilities
• 30:38
  Speaker 8: that go beyond that of the typical Treasury secretary. We
• 30:42
  Speaker 8: know that the Treasury secretary in any administration is involved
• 30:45
  Speaker 8: in tax policy, is involved in economic sanctions, is involved
• 30:48
  Speaker 8: in financial regulation and the like. But President Trump has
• 30:51
  Speaker 8: tasked Scott Besson with trade negotiations, with striking and not
• 30:56
  Speaker 8: just any old trade negotiations China perhaps the most difficult
• 31:00
  Speaker 8: negotiation of all, Japan, which was successful, South Korea, which
• 31:04
  Speaker 8: was successful, in Indonesia, the list goes on. He's also
• 31:08
  Speaker 8: the acting IRS Commissioner. He also crafted the deal that
• 31:12
  Speaker 8: the very novel and original deal that the United States
• 31:15
  Speaker 8: struck with Ukraine for a share of that country's mineral
• 31:19
  Speaker 8: resource wealth back in April. These are not and furthermore,
• 31:22
  Speaker 8: I have to add he was instrumental in getting the
• 31:25
  Speaker 8: One Big Beautiful Bill through opposition in both among Republicans
• 31:30
  Speaker 8: in both the House and the Senate in order to
• 31:32
  Speaker 8: meet the president's self imposed July fourth deadline. So Scott
• 31:36
  Speaker 8: Besson has taken on way more than your traditional Treasury
• 31:40
  Speaker 8: secretary does, and much of that is because the President
• 31:43
  Speaker 8: himself has asked him to do so.
• 31:46
  Speaker 7: And it seems as though a lot of people see
• 31:48
  Speaker 7: Beson as really having the president's ear here. And this
• 31:51
  Speaker 7: is a really fantastic story. Okay, what was the most
• 31:54
  Speaker 7: surprising element through your conversation with him?
• 31:57
  Speaker 11: Oh?
• 31:57
  Speaker 8: Well, there's so many surprises. Say that the thing I
• 32:01
  Speaker 8: didn't fully appreciate and which he spelled out for us
• 32:05
  Speaker 8: and which others spelled out for us, is the degree
• 32:08
  Speaker 8: to which this is something he sought after going back
• 32:12
  Speaker 8: many years. Besen told us that he thought about joining
• 32:16
  Speaker 8: the Trump campaign as early as twenty sixteen, but at
• 32:19
  Speaker 8: that time he just started a new hedge fund, Key
• 32:21
  Speaker 8: Square Group, and he didn't feel like he could abandon
• 32:24
  Speaker 8: his employees or abandon his clients. But what he did
• 32:27
  Speaker 8: do was start to get to know the people close
• 32:30
  Speaker 8: to Trump almost immediately thereafter, starting with Steve Bannon and
• 32:35
  Speaker 8: subsequently Peter Navarro, Stephen Moore, Kevin Hassett. For example, Trump's
• 32:40
  Speaker 8: close economic advisors Art Laffer. He went down to see
• 32:44
  Speaker 8: Art Laugher in the South, made a pilgrimage of starts
• 32:48
  Speaker 8: to get Art Laugher's blessing for his ambitions to become
• 32:53
  Speaker 8: Treasury secretary, and these he didn't make known to Trump
• 32:58
  Speaker 8: until November of twenty two, three throws, so it was
• 33:00
  Speaker 8: almost a six year period in which he was maneuvering
• 33:04
  Speaker 8: to position himself that for a shot at Treasury secretary.
• 33:07
  Speaker 8: And when he saw Trump in that November twenty twenty
• 33:11
  Speaker 8: three meeting at mar A Lago, Trump asked him if
• 33:13
  Speaker 8: he wanted the job, if he was interested in being
• 33:16
  Speaker 8: fed chair, and Besen said, no, I have another job
• 33:18
  Speaker 8: in mind. Very good.
• 33:21
  Speaker 2: The Street Eric gives Scott Bessen a fair amount of
• 33:25
  Speaker 2: credit for walking to President back from maybe some of
• 33:29
  Speaker 2: the more difficult tariffs that were initially announced. Is that
• 33:33
  Speaker 2: a valid point. Did Scott Besson play a big role
• 33:36
  Speaker 2: in walking the president back a little bit and does
• 33:39
  Speaker 2: he take credit for that or is he kind of demure?
• 33:41
  Speaker 8: Besson insists that his job is not to explain things
• 33:46
  Speaker 8: to the president or to advise the president. It is
• 33:50
  Speaker 8: to present the president with a series of options. Here's
• 33:54
  Speaker 8: path one, here's path two, here's here's path three. And
• 33:56
  Speaker 8: I will explain to you where we get if we
• 33:59
  Speaker 8: go down one, if we go down two, or if
• 34:01
  Speaker 8: we go down three. And he leaves it ultimately for
• 34:04
  Speaker 8: Trump to make the decision. That's very I wouldn't say
• 34:07
  Speaker 8: that's unique to this president, but Trump has a very
• 34:10
  Speaker 8: particular view of his role as a decider in chief
• 34:14
  Speaker 8: in this administration that is perhaps different from what we
• 34:16
  Speaker 8: saw with Biden, or with Obama, or even going back
• 34:20
  Speaker 8: in history to other Republicans like George W. Bush and
• 34:23
  Speaker 8: maybe even Ronald Reagan. So Besont does not claim credit
• 34:27
  Speaker 8: for being the de escalationist, but it is clear talking
• 34:30
  Speaker 8: to people around him and to understanding how the market
• 34:34
  Speaker 8: thinks market psychology, if you will, which is one of
• 34:38
  Speaker 8: his areas of expertise, having been a macro hedge fund
• 34:41
  Speaker 8: manager for almost forty years. That is where it really counts.
• 34:45
  Speaker 8: The market trusts him, and the market, based on its observations,
• 34:48
  Speaker 8: draws these conclusions rightly or wrongly.
• 34:51
  Speaker 2: Does he share any concerns he may have about just
• 34:54
  Speaker 2: getting somehow involved in some of the crossfire that it
• 34:59
  Speaker 2: happens around President Trump and getting into President Trump's bad
• 35:02
  Speaker 2: graces or just kind of I mean, because it's such
• 35:04
  Speaker 2: a perilous those people that fight fly close to President
• 35:07
  Speaker 2: Trump historically have done at their own risk.
• 35:10
  Speaker 8: Well, the former vice president, so.
• 35:12
  Speaker 2: Yeah, how does he negotiate? Does he even acknowledge that
• 35:15
  Speaker 2: that's a risk.
• 35:17
  Speaker 8: What I divine from the conversations we had with the
• 35:21
  Speaker 8: Treasury Secretary is that it there is a formula for
• 35:27
  Speaker 8: success in the Trump administration, and it means making certain
• 35:34
  Speaker 8: compromises if you will with yourself. You can come in
• 35:37
  Speaker 8: with your own ideas, but it is not your job
• 35:39
  Speaker 8: to advance that agenda. So you have to make some
• 35:42
  Speaker 8: compromises if you don't. And Steven Minuchin, the former treasure secretary,
• 35:46
  Speaker 8: points this out, if you cannot represent the president well,
• 35:49
  Speaker 8: in other words, if you can't get behind what the
• 35:52
  Speaker 8: president wants, the role has no power. What's the point
• 35:56
  Speaker 8: of being in DC. What's the point of abandoning a
• 35:59
  Speaker 8: forty year career in finance where your rose to be
• 36:01
  Speaker 8: one of the most successful hedge fund managers? And have
• 36:06
  Speaker 8: you know for it all to be worthless, had to
• 36:08
  Speaker 8: have no power. No, you want to be able to
• 36:10
  Speaker 8: wield influence and get things done. And that's very much
• 36:13
  Speaker 8: in the back of Scott Besant's mind. What's my legacy
• 36:16
  Speaker 8: as Treasury Secretary going.
• 36:17
  Speaker 5: To be our Thanks to Eric Shatzker, editorial Director Bloomberg
• 36:21
  Speaker 5: New Economy, that's.
• 36:22
  Speaker 2: This week's edition of Bloomberg Intelligence on Bloomberg Radio, providing
• 36:25
  Speaker 2: in depth research and data on two thousand companies in
• 36:28
  Speaker 2: one hundred and thirty industries.
• 36:29
  Speaker 5: And remember you can access Bloomberg Intelligence via b I
• 36:32
  Speaker 5: go on the terminal. I'm Lisa Mattheo and.
• 36:34
  Speaker 8: I'm Paul Sweeney.
• 36:35
  Speaker 11: Stay with us.
• 36:35
  Speaker 2: Today's top stories and global business headlines are coming up
• 36:38
  Speaker 2: right now.