♪ taylor: i am taylor riggs, in for emily chang. this is "bloomberg technology." coming up in the next salesforce hour, considers buying slack, a deal that could be announced as soon as next week. slack shares surged on the news. we have the latest. plus, covid company via cloud company, vmware. it beats estimates. we do it with the vmware ceo. and as millions of americans

continue to stay home amid the coronavirus, we run down some of the hottest holiday tech products out there all as people , swarmed online sites. speaking of staying home, what streaming companies are doing to keep you tuned in. we will get to all of those stories in moment. first, let's get a check on u.s. markets, where we have been talking about the rotation out of tech shares on promising vaccine news on tuesday. all of that reversed course on amid data showing a possible wednesday slowdown in economic growth. more -- joinss me me with more. what are you seeing? ed: i'm calling it the unwinding of the rotation trade, taylor. the s&p 500 coming off this record high, dow coming up -- coming off 30,000 points that we saw yesterday. the technology stocks the nasdaq , 100 index up .6%. as you said data wise, this is , the first back-to-back rise in weekly u.s. jobless claims since july.

investors are reassessing what is going on with the economic recovery as it relates to covid-19. the story, as you say, has been a move into value and small-cap stocks, those kinds of companies that would recover if there is the successful rollout of the vaccine. that sentiment is on pause right now. in terms of the names doing well, it is the stay-at-home stocks that we are talking apple and likes of microsoft. zoom, which we talk about so big about as one of the beneficiaries of the pandemic. fed minutes did not move the needle. bitcoin softness as well. we might've expected to get the magic number of 19,511, a record for bitcoin, but we didn't. the cryptocurrency fell away in the later hours of the trading. and then also, the treasury yield on the u.s. 10-year largely unchanged. taylor: i will try to lure you

from bitcoin over to tesla because the rally continues despite some of the stalling within the rest of the ev space. ed: it is relentless, and tesla continues to lead the way in the day. there is a bit of a reassessment for some of the newer stocks, the newer names listed recently. perhaps they are pre-revenue. perhaps investors are thinking this rally has been very hot, and perhaps the suggestion of profit-taking, with some traders telling us at bloomberg that the stocks that go up must also come down. the undercurrent that is pushing ev stocks is policy. we are moving closer to a joe biden presidency. the optimism, the hope is that that will push consumers to take ev adoption more seriously. it will put those vehicles on a more affordable footing against the combustion engine equivalents. taylor: it is incredible, the wednesday before thanksgiving, everyone has gone home at noon,

but no, the corporate world continuing to make big announcements. ibm, salesforce. what are you noticing? ed: relentless corporate news flow. in ibm's case, job cuts planned in europe. not a huge negative reaction. we had a report out that salesforce in talks with slack over potentially acquiring. you can see how investors responded to that, slack up almost 38%, salesforce down 5.3%. we are waiting to hear more. raymond james expressing doubts that that kind of deal could take place, but that is certainly one to watch in the coming weeks. taylor: thank you as always to bloomberg's ed ludlow for the latest on those markets. he mentioned salesforce. i do want to talk about that story next. salesforce is considering workplace chat tool slack.

slack surging as much as 34%. the analysts are coming out and thinking that this looks positive. what is your early take on this? >> it would be an aggressive move by salesforce. to take a step back we are going , into a golden age of cloud. they are looking to further expand the footprint of slack. it would make strategic sense. it would be a major shot across the bow to microsoft, google, and others in terms of where salesforce is coming and where they are positioned in terms of what i believe is a trillion dollars spent on the cloud in the next decade. taylor: some analysts were also noting that in order to do this, the best way is via stock. given the lofty valuations. m&a doe were to be an

, you prefer stock as the acquisition mode? dan: i think given the size of the deal, slack, this would be the biggest deal salesforce has ever done, and there would clearly be a significant equity component. that is why the stock sold off. this think investors view as what this could do to salesforce in terms of penetration on the cloud. and they continue to expand. and then there is some that view it that if salesforce is not acquiring slack, do they get acquired by another vendor? this is the start of a surge of m&a across software. taylor: who could be the other vendor? dan: right now if you look, the biggest competitor is microsoft. you look at who would want to go up against microsoft. you look at google and amazon and some of the traditional names there are antitrust , issues. i think that is part of the

issue, when you think about who could do a deal like this -- salesforce continues to be the core front and center. that is why salesforce walks away or the deal does not happen. there could be more headwinds in terms of the stock for slack. taylor: how nervous should microsoft be if the deal goes through? dan: i think for microsoft it is definitely a competitive threat. teams in the scheme of things is not generating significant revenue but it shows where , salesforce is viewing itself in terms of its cloud race. it has been a two-horse race between aws and microsoft. now with salesforce, more and more competing with microsoft. on dynamics versus crm. it speaks to this cloud -- this is something in the work from home environment. it has accelerated the cloud by

one to two years. salesforce recognizes there is a time to seize on this in terms of going to the fifth year of growth. that is what they are trying to do through m&a. taylor: we love getting you on this program because you really can talk about most of the interesting technology companies and we have to turn to tesla. an incredible price target on your end. what gets tesla to 1000? dan: it's all about china. we are at an early inflection of demand in terms of what we are seeing in the china opportunity. 4% penetrated today. could be going to 10% in the next two or three years. tesla in terms of where they are positioned and what you are seeing with adoption, it is not just in china but in europe. ed talked about the ride and administration. -- the biden administration. we could be looking at a million units for tesla in 2022. that is why in the ev market

right now, it is tesla's world and everyone else is paying rent. taylor: what about competition? ford, gm? dan: this is going to be a transformational opportunity for many players. when i look at gm in particular, i think that is one that has a big opportunity to be a success. you look at for scare and of course in china with some of these others, that is why you look at the overall ev market, it is not just going to be one winner in terms of tesla. competitively, they will start to narrow the gap. now, mosque in fremont are 18 to 24 months ahead of any other competitor. although you look at what gm is doing, that is an interesting thing domestically in terms of competition. taylor: dan, you also cover vmware. outperform $174 price target. we are speaking to the ceo next. what would be the one question

you would want to ask? dan: look, they are doing a great job. i think the biggest question is around cybersecurity, in terms of where that fits in the product portfolio and the cloud. they are in a position to gain more and more share, going through this transition. it is looking at that opportunity and how they can expand that with the rest of the virtualization suite. taylor: dan ives, thank you as always for joining us on a host of topics. stay with us. coming up, we will have more with the vmware ceo talking about the recent earnings report and why software is taking center stage. that is next. this is bloomberg. ♪

♪ taylor: vmware out with earnings today. topped third-quarter estimates. however, some analysts gave cautious praise to the cloud company. traders remaining a little bit skeptical of the company's bottom line. here to go over all the details, let's bring in the vmware ceo pat gelsinger. always great to have you on the program should talk to us about the outlook for 2022. that seems to be where our analysts were needing more answers. >> yeah, and as we look into next year, we see that the economy still has a lot of choppiness. the first half probably a bit more conservative, more recovery in the second half. second issue being we are leaning hard into our subscription and saas transformation. when you move to a subscription model, you get less upfront but

the lifetime value for the customer is better. that depressing near-term earnings and revenue growth rate. overall, we are excited. it is faster to the future. we are taking this covid pandemic crisis and we are going to go faster to drive the transformation because we see that his overall where the market is going. we are going to transform our business to be a new -- a unique provider. a unique provider of on-premise and cloud-delivered services, a hybrid offering we are uniquely positioned to do. taylor: when do we see the uptrend? pat: we see it as a three-year cycle. the second and third years look better, when you are coming out the other side and the businesses you built this year are accelerating. saas is more at scale so the margin is improved. it is this three-year picture, and next year, still a choppy economy.

we are taking the opportunity to go faster into the smile. taylor: with the margin outlook, how much of that in terms of the mix of the margins comes from investment or hiring? pat: we have continued to invest this year and we plan to continue to do so next year. the saas model has more customer success requirements, because you have had little order, then you have to grow it over time .houl you are much more in partnership and that drives up the cost of the saas business. it is a bit investment heavy on the front end but the lifetime , value, as we are seeing from customers coming on our offerings with a 44% growth rate this quarter we are quite , optimistic with where the customers are going. taylor: rbc analysts are noting that we are seeing the guidance is conservative.

i do wonder, why the conservative guidance? pat: i think everybody looks and says, boy vmware, when they say , something, we are confident in our guidance. we have been a better predictor of the future of where the markets are going. in that high-single digits range, they were expecting a little bit higher. as we look at it, i think everybody is maybe a little too euphoric on the economic outlook. we still believe we have a long way to go until there is a broadly deployed vaccine. all that taken together, we are comfortable with the guidance we have been given and we have a great track record of being able to deliver what we say. taylor: we talk about amazon web services on this program. i'm curious how you think about relationships with these more hyper cloud providers. pat: vmware has come a long way. in particular, we are thrilled with the aws team. our teams meet very regularly.

as we have started to see them really lean behind the vmware offering, a 100% year on year growth rate. they are a preferred partner. we are getting big customers who are betting on the vmware-amazon relationship. quite excited about that. one of the really powerful things of this last quarter is you now have all the other hyper scalars transacting the vmware offering. asher, google, oracle, alibaba, ibm, they are all on board delivering a complete vmware solution, and this is our multi-cloud capacity. we can help you take advantage of these hyper scalars and the on premise environment as well. that is unique position we have -- that is a unique position we have of the multi-cloud hybrid offering against the common vmware footprint gaining more interest and momentum in the marketplace. taylor: you mentioned the on-premise business. do you get concerned at all if

it does not come back as quickly as we thought? pat: it is one of the factors that was somewhat negative on this quarter. we do expect some recovery as we look to the pipeline q4, and as the economy comes back, we expect it to come back as well largely in line with the economy , next year. i called it the three laws of the on-premise cloud, laws of economics, laws of physics, laws of the land. there is lots of areas where they needed on-premise for the regulatory reading. -- for regulatory reasons. laws of economics. it is cheaper for an at-scale private cloud then moving to the public cloud. finally, the laws of physics. this is where age computing and 5g will have more things on premise because you need that low latency for robotics and smart cities and 5g and edge environments. overall, we are quite confident that the foundational reasons we

build on premise will remain the same even as we see acceleration of the cloud and the offerings on the near-term. taylor: you have a unique insight into how customers are thinking about spending or not. how do you look at i.t. spending at this moment and the uncertainty we experience? pat: overall, i have been on record that we are in a decade good cycle for tech spend. digital transformation is more important than ever, except there is a moment in history where that has been the case. the pandemic period has been at work for many where telehealth and education for many it is a good cycle for tech. we don't expect that to end for several years into the future. i look at it as gdp and i.t. spending will be better than gdp and software spend and cloud spend will be better than i.t. spend. overall in that order, and while it may come down in the economic cycle it will also come up in , that order as things come back

as well. tech spend, strong. software and cloud spend come -- cloud spend even stronger. ,that is our outlook for next year. taylor: thank you. always great to have you on the program. apple, playstation and peleton, the most popular consumer will be looking to buy black friday. are they worth the hype? this is bloomberg. ♪

♪ taylor: black friday and cyber monday are upon us, and there are four tech products competing for consumer dollars and attention. the rundown in a segment we like to call "power up." emily: welcome to our inaugural "power up" segment. i want to start talking about the new iphones. there are four new iphone 12's

out this year. you have been using the iphone 12 programmatic. that is the biggest one. but you have also tried out four of them. how are they working? does 5g work and who should be upgrading this year? love that big, larger screen. i do wish that apple would take better advantage of that screen real estate. it would be nice to be able to do two apps side-by-side. if you are having an iphone 11 right now, you really don't need to update because 5g is still in its infancy. the speeds i have seen are not as fast as what you would expect or what apple is marketing. if you are on the iphone 10 or older, now is the time to upgrade because of the new camera. the screen improvements and such. the carriers have all sorts of deals. if you're going to at&t and trading in phone, you comply tickly get the iphone 12 many

for zero dollars a month or $10 a month. there are some good deals out there. i would take a look depending on your carrier. emily: tell us about the wireless charging situation. this is the first time apple did not include the charging brick in the box. >> the situation is a little complicated because they still have the charging port. what they have is this new charging cable. the problem is that the cable is $40, the phone doesn't come with the brick. to use wireless charging you , need to buy the $40 cable plus the $20 brick. now they have this two-device charge where you have to buy a different brick to get the full speed. it is $180 for the wireless charging experience. there are probably better third-party options. emily: you have been trying out the home pod many. how does it stack up to other models from google and amazon? >> the home pod when it launched

two years ago for $350, i was optimistic about the quality and the technology but the price was way too high. there were lots of issues related to siri and integration and stuff like that. those have not been solved. now at $99 with pretty decent sound quality, they took out the biggest barrier to entry. i think it is a good purchase. emily: you have been trying the new sony ps5, and all the talk online is about how hard it is to get. is it worth the wait? what are your big takeaways? >> the wait is intense. i've seen people paying $1100, $1200 to not wait for it to ship. hk ifaphics can go up to you have a tv -- i do not know anyone who has won yet. i have been playing nba 2k. you can see the sweat dripping of the players' faces. if you want the latest and greatest technology and you have

already bought a ton of ps4 games, that is pettit -- that is probably the better option for you vs. the new xbox. emily: speaking of wait times, the new wait time for the new peloton bike has been a talker. what is coming out down the road for peloton? i imagine this is going to be a popular gift item. have they managed to bring down the wait time? >> unfortunate, they have not managed to bring down the wait time. i spoke to the peloton ceo a few days ago, and he told me they are getting back around q3, which is around april or may for peloton. the important thing to note is the new cheaper treadmill, which isalmost $2000 cheaper, at not shipping until the end of it march. will miss the key holiday season. taylor: that was mark gurman and emily chang. coming up, we just heard about peloton bikes potentially not making it to their destinations because of supply chains and shipping. what other shipping delays are anticipated as the holiday shopping season gets into full

swing. we will find out. we do it next. this is bloomberg. ♪ businesses today are looking to tomorrow.

adapting. innovating. setting the course. but new ways of working demand a new type of network. one that's more than just fast. you need flexibility- to work from anywhere. and manage from everywhere. advanced technology. with serious security. and reliable coverage, nationwide. forward-thinking enterprises, deserve forward-thinking solutions. and that's what we deliver. so bounce forward, with comcast business. - any idea how much it will cost? - you have a choice. insurance or goodrx. - i have insurance. - insurance is not what it used to be. people struggle to get their prescription covered and prices keep rising. i recommend goodrx. you get free coupons to save on your prescriptions.

- [narrator] compare prices to get the best discounts. - goodrx, smart. - [narrator] stop paying too much for your prescriptions. download the free app today. ♪ taylor: this is "bloomberg technology." i am taylor riggs in new york. in a normal year, black friday kicks off the holiday shopping frenzy where retailers can make a fourth of their annual sales. but it is 2020. it is a pandemic year so in this normal, holiday pegged shopping began earlier in part because of online shopping. now delivery times are in question. amazon merchant say deliveries of some products are being delayed. alyssa, i think it was the first portion of that that stood out to me in that i felt like my

black friday sales came a month ago. am i right? >> absolutely. actually, really it kind of , kicked off with amazon pushing their prime day from july to the middle of october to pull forward demand into the holidays. that did kick off the holiday season. instead of five days of black friday, cyber monday, we are having a month of black friday deals all month long. taylor: is this permanent? am i ever going to walk into a mall again? melissa: you know, i had my thanksgiving meal delivered to me for the very first time. i avoided going to costco and whole foods were normally shop. and i got it through instacart and grocery pickup through whole foods. the experience was magical, and i don't know if i'm going back. i think a lot of the shopping behavior will stick. instacart released data around their customer information, and

they said 86% of their users are likely to keep using instacart in the future and 89% c instacart as an essential service. i wouldn't say that this is permanent for any means, but it is behavior that is going to stick, certainly around a very busy holiday timeframes. especially when people have such great experiences like i did they are likely to do it again. , taylor: my producers are some of those who love the convenience of it. pointing at that doordash is also doing deliveries for the traditional work and mortar stores. i wonder if you think that is a great way for them to look to the future to pivot and partner with some of these companies, because otherwise they may be left struggling. melissa: absolutely. we saw an interesting partnership last week announced last week with instacart and best buy. instacart is traditionally a grocery platform, and a lot of stores are closed tomorrow for

thanksgiving and so the last mile delivery opportunity is hard. having this ability to partner with doordash, instacart, and others is a smart way to help what we are calling shippageddon this year, and going forward, different models people are trying out to be able to get products to people faster. taylor: you mentioned shipageddon. it seems like, using amazon for example, trying to transform to be a logistics company, and yet no one predicted this massive surge in online shipping. that has been the story of 2020. how many delays are we expecting to see this year? melissa: it is going to be significant. amazon has been predicting it and that is why they started early and they moved their prime day into october. we see a lot of messaging across

retailers sites saying shop early shop now. off as early cut as december 5 that i have seen. amazon is poised to be a big winner. they are amazing executors, and they have the logistics built out better than others do. if we are going to see it, that is why we are going to have a huge cyber weekend coming up. people are going to be buying now because they know they will expect delays. taylor: on those delays, is there any backlash? i remember at the peak of the pandemic, two-day delivery was a week or two. people do get frustrated because they are used to when they pay for the convenience. what would be the backlash? melissa: i think people are trying to really message on their websites to expect delays. the difference is people were not expecting delays back then,

and they were upset that they were not getting orders on time. there are a lot of -- there is a lot of proactive messaging and also email messages when things , are delayed, notifications and things like that that your order is delayed. i think there is mitigation tactics that retailers are putting in place to soften the blow verses, i ordered it i , expected it. taylor: what are the trends you are noticing? melissa: just in general, one of the interesting things is around social commerce. we saw that a lot on amazon during prime day. they started integrating a lot of livestreaming with video. we saw the rise of tiktok this year, especially people in lockdown. it was the only thing that brought joy, was by doing tiktoks together. we are seeing a lot more micro influencers and social commerce coming into play to discover and

buy products especially when you , cannot go to the store. there is more reliance on video that shows you what the product looks like and things like that. taylor: i learned new things every day. microfluencers. thank you as always. melissa burdick. and coming up, a coin-size covid-19 detector attached for -- attached to your skin. it tracks you constantly. could the surveillance prove effective or excessive? we hear from the founder, next. this is bloomberg. ♪

♪

taylor: covid-19 cases continue to surge around the world. in the u.s. california reporting , another daily record of new infections while new york saw tuesday, the most new cases since april. one company that is working to curb the spread of the disease, it has created a wearable sensor that measures body temperature and other vitals to detect covid-19 symptoms. joining us for more, the ceo and founder. dr., write this down. how does this -- breaking this down. how does this work? >> this is a medical-grade wearable we developed before covid to monitor patients after they leave the hospital, and one of the most important things we were concerned about after someone leaves the hospital is developing an infection. whether it is a cancer patient or someone who has had surgery we developed this technology for

, what we call remote patient monitoring, and it was cleared by the fda at the end of last year and we are launching it into large hospital programs, and then along came covid. this is a device that was built to monitor continuously your body temperature, respiratory rate, your heart rate, all of those things are changed during an infection. with that, hospitals started using this to monitor covid patients very broadly. taylor: i think one of the things that stood out to me is it says it is scalable and cost-effective. how scalable and how cost-effective? dr. mault: well, when you look at the costs of keeping somebody in the hospital to monitor them, you are talking about $2000 a night. now you can send somebody home with a sticker a day or two earlier and keep monitoring.

what we have seen is we are doing this via a virtual interview. virtual care for taking care of patients has also excluded over -- has also exploded over the past eight months. being able to monitor somebody without having to have them hospitalized has changed everything. but you need to be able to have some kind of technology. we are used to wearables in our daily lives for the last decade. but those are not medical-grade devices. and so doctors and hospitals , need something that is going to measure those vital signs as accurately as what we have in the hospital. taylor: but does it track you where you go? has anyone expressed concern about that? dr. mault: these devices do not do what we call location tracking. we understand and appreciate those concerns.

for that very reason, this is monitoring your vital signs. it is transmitting the data via bluetooth, just like we are used to with our consumer wearables. in this case it is a little , sticker that is on your chest, where it is more reliable to measure your body temperature and your respiratory rate and your heart rate. when we go to restaurants, they are doing their best to assess whether or not you might be sick, but the problem is that is a single snapshot of your temperature and what this is doing is it is quietly monitoring your temperature 1440 times per day --in other words, every minute. and then also your heart rate and your respiratory rate and other things that make it quite reliable to identify if someone is starting to develop an infection. and as you can imagine, we have a lot of people getting covid

tests just to be able to go to work or the screen actors guild every other day, football players and so forth. unfortunately, -- you have done this well in the lay press, explain the fact that a negative covid test yesterday does not tell you whether or not this person might have covid today. taylor: right. that is a very good point. we take weekly tests to come into the office but it is just a snapshot of that one moment. dr. mault: 4k movie of someone every day. our technology does a look back over the last 24 hours and says is there anything about their , vital signs that might be of concern for a new infection? it is almost like a daily covid test. taylor: what if i asymptomatic? dr. mault: isn't that

interesting? it turns out that asymptomatic is a bit of unicorn. it is reported as high as 80% of covid patients are asymptomatic, all the way down to less than 10%. all that tells you is a few things. one is that the definition of asymptomatic is all over the place. do not think ii had any symptoms. it is kind of subjective. the reality is it is very difficult to have an infectious process without your body responding to it in some fashion. this comes down to what is the , resolution of your instrument for measuring symptomatology? in other words, if you're just taking one temperature per day, you are probably not going to

see it. if you are taking 1140 temperatures per day, you are having what are called micro-fevers and you are just not aware of it. it really is we have got the , hubble telescope to be able to see things that you would not see in somebody not wearing one of our buttons. taylor: fascinating. dr. james mault, great to have you, founder and ceo of biointellisense. very interesting conversation. as president-elect joe biden begins his transition, many sectors including the cannabis industry prepare for potential regulations under the new administration. we had an exclusive interview earlier. spoke aboute and i the road ahead for a company. >> more as a global player, one of the largest medical cannabis companies in the world. the u.s. in the regulatory framework starts revolve, and we

have a large-scale medical do dies medical deal with israel. the capabilities and compliance, everything from manufacturing, production, labeling, sales and marketing that we have to do to be successful as the largest medical provider of cannabis in canada and key markets around the world, really bodes well for the u.s. while it is hard to predict what a federal framework looks like, we were pleased to see that states including new jersey have four comprehensive cannabis legislation. there is a movement afoot. companies like aurora will be well-positioned when it happens. taylor: it is interesting. we spoke with one of your peers weeks ago and he said the biggest competition is the black market. do you agree? how do you compete with the black market? miguel: that is right in canada, but the direct market is growing. we have seen month over month sales increases, a lot more retail stores opening across canada.

while the illicit market in canada is our largest competitor, the movement is afoot and consumers are finding in this new category such as vapor and pre-rules and concentrates, the legal market or our market has a lot of advantages over the illicit market. it is moving in the right direction. we are bullish on the opportunities. caroline: talk to us about the bullishness. analysts are not always kind. and you got one buy, 13 holds, four sells, and they said that the company has not demonstrated the right to win. how do you tell them no, we have the right to win and we are winning? iguel: our business is in a massive transition. if you look at where everyone was a year and a half ago and how the money was coming forward there was a different approach , to it. i come from over 25 years of regulated cbg background and i did most of my career with altria, but also the electronic cigarette business.

now these companies are being run by professional managers and we can take advantage of core economic dynamics. margins are very strong, category is growing. we see a global evolution in the u.s. i don't think there's any reason over the next six to 12 months you're going to see companies like aurora the free cash flow positive. taylor: $125 million. how do you use that money? miguel: well, you know, as we look at the capital rate, we felt we were opportunistic. right now we don't need the cash but when investors were looking at our industry they wanted to see not only , execution, but a runway from a cash standpoint. we thought it was the right thing to do. we are focused on the execution we have on the market share. particularly once our premium

brands were blasted like whistler on the super premium side. we think the combination of the market execution and the global expansion as well as the cash on the balance sheet makes it a compelling investment. caroline: there has been a lot of talk about market share. you have talked about the premium side the sound of going , in on that. talk to us about m&a and whether that is a way of gaining and keeping market share. in the past you had to have some , goodwill impairment on previous deals. do you see that all about organic or inorganic? miguel: if you look at our four pieces of business, we are number one in medical. i don't see m&a being an opportunity or a need for us. you look at the u.s. cbd business, don't feel like we have to do anything there. we look at other parts of the international business nothing , there. for the canadian business, we made significant investments and talked about goodwill impairment and right-sizing the company, whether it is production, sales

marketing, branding we feel like , we have everything we need. taylor: that was miguel martin. aurora cannabis. still ahead, looking for something to watch over the holiday? i am. netflix's latest limited series is the most popular. we look at the 1960's chess drama and why it is stealing the limelight. all of that next. this is bloomberg. ♪

♪ taylor: netflix scored big with the debut of their latest limited series, "the queen's gambit." the show has gone on to be the streaming service's most popular scripted limited series ever, attracting million households. 62that is according to the company's figures. the netflix vp of original series says "i don't think any , of us could have predicted that 'the queen's gambit' and the extraordinary anya

taylor-joy would become the global phenomenon they are today or our biggest limited scripted series ever." joining us for more is our media and entertainment reporter in l.a. i admit i have not had time quite yet to dive into it, but what makes it so popular? >> well, it has a great performance and just a great narrative. it is based on a book that just told a very compelling story of kind of a young chessmaster who learns how to play from her janitor at this orphanage that she is being raised in. and from an early age, she is able to challenge the best unusual notch was just for her age but also for her gender because there were not a lot of prominent female

chess players at the time. it speaks to netflix's continued ability to take stories and blow them up globally. in that post you referenced, it talked about it being one of the top 10 shows in more than 60 countries. it was the number one show in every continent. it came at a crucial time for the service since it has been a little while since they had a huge scripted hit. they had big movies and big unscripted shows but not a lot of the bread-and-butter scripted shows they started with with "house of cards" and many more. taylor: i love that you brought it up, because in the disney earnings, disney plus numbers continue to blow it out of the water. netflix has responded by raising prices every 18 months or so and making sure they are keeping revenue to profitability up. but they are so reliant on these big hits. the costs that go into that, does this cement again their dominance, their lead and of

course, the ever reliance on some of the big scripted shows? lucas: it's interesting, netflix and disney are playing such a different game right now. disney is growing at that clip almost exclusively -- and they are trading on the disney brand. they have one show, "the mandalorian." the "hamilton" movie was big, but for scripted shows, they have "the mandalorian" and that's it. it well over performed when disney plus launched. i imagine the numbers for the second season based on the third party data are quite good. disney will eventually scale up, but they are not playing at the same level as netflix with the volume of new shows. they may need to at some point if they want to keep people and retain them. but the strength netflix has had on everybody else or the advantage is they are producing at such a volume and there is so much to watch that even if you are not watching netflix right now, you are not going to think about canceling it because you know there is always something there for you. taylor: we have about 30 seconds

left. i'm curious if netflix benefits from the fact that movies are going direct to consumer and we are bypassing the theaters more and more frequently. lucas: it has been a huge benefit, and they have a number of big titles coming up. just between now and the end of the year what is typically the , oscar season and family season, and this year seems like shot at winning the best picture. you can look out for "mank," which comes out in a week and a half. taylor: what are you baking for thanksgiving? lucas: pecan pie. taylor: lucas shaw, media and entertainment reporter, an excellent baker, i hear. that does it for this edition of "bloomberg technology." make sure to stay with us because bloomberg daybreak asia is still ahead. happy thanksgiving. this is bloomberg. ♪ businesses today are looking to tomorrow.

adapting. innovating. setting the course. but new ways of working demand a new type of network. one that's more than just fast. you need flexibility- to work from anywhere. and manage from everywhere. advanced technology. with serious security. and reliable coverage, nationwide. forward-thinking enterprises, deserve forward-thinking solutions. and that's what we deliver. so bounce forward, with comcast business.

>> the following is a paid program. the opinions and views expressed do not reflect those of bloomberg lp, its affiliates, or its employees. >> the following is a paid presentation brought to you by rare collectibles tv. announcer: john fitzgerald kennedy served as the 35th president of the united states from january 1961 until 1963. jfk brought america hope, strength, and the vision for a brighter future. pres. kennedy: and so, my fellow americans, ask not what your country can do for you,