announcer: from the heart of where innovation, money, power collide, in silicon valley and beyond, this is bloomberg technology with emily chang. ♪ emily: i am emily chang in san francisco. this is "bloomberg technology." coming up, a bird, a plane, maybe an air taxi? one company promises a commercial fleet by 2024,

hitting the public market via spac. we will bring you that conversation with reid hoffman. plus, a stock that has more than quintupled its valuation. where the ceo says the new funding will go as bitcoin takes another leg up. does he think it's going past the moon too? california will require all teachers get vaccinated or undergo weekly testing. controversy roiling school districts as kids go back to the classroom. meantime, think tesla meets uber for the there. flying taxis are the future, an aircraft that will take off and land vertically with the pilot, taking up to four passengers.

zero operating emissions. earlier, we spoke with the executive chair about the vision and challenges ahead. >> sometimes folks think about this as a jetsons future where they will have one on the rooftopper driveway. we designed this aircraft for aerial ridesharing, of tesla meets uber for the air, and on-demand service. we have opportunities to tie together the ground transportation with the long-distance portion of the trip. emily: how will joby reinvent transportation and scale this? paul: it is for a trip between 5 miles and 150 miles. sometimes the category is calm something else. we don't like that. we think about the trip inside cities, but connecting cities to suburbs.

this is a new mode of regional transportation we think can be safer than driving on the ground, certainly faster, and as affordable as ridesharing today. >> you have a certification challenge, scaling challenge, sky ports, where will you build these things challenges. walk me through that, in which one represent the biggest challenges going forward? paul: sure. the team has been working on this for a decade. we are not new to this. we have shown the technology is ready. the aircraft is performing as intended. 150 miles on a single charge and 100 times quieter than helicopters today. we think it is important in terms of delivering a service. there are challenges, certification, and scaling up service. it is an opportunity for the

company to pivot from a research and development organization to one focused on the certification plan with the faa, showing we can reproduce aircraft to scale, and laying the groundwork for certification. >> i have heard you talk about this. you sound positive. how much weight will the faa add? they will be cautious about certifying the aircraft. you talk about a 150 mile range, do you think the faa will add to that? will that affect performance? paul: we have been in the formal certification process already, so the challenge is not brand-new. we received a new milestone last year. we received from the faa a g-1 roadmap of tests to prove the safety of the aircraft and get certification we now know what

we need to do. it is a matter of doing it. i don't imagine there will be further hiccups. it is just about execution. emily: we seem to be one step closer to point-to-point space travel with what we have seen from these companies on these short trips to space. elon musk is the vision of commercial, hypersonic travel, new york to shanghai and 40 minutes. what do you think about that? paul: it is exciting to see big, ambitious industries taking on a new wave. there are interesting analogies with electrification of vehicles, certainly some of the things happening in space and the work we are doing here. the incumbent players in those cases where delivering incremental innovation for a long time. we have had an opportunity to do something different than traditional aerospace. we think frankly this is a

problem that startups are well-equipped to solve. it takes a lot of people in capital, but you can think about it in a different way than other folks, and that will position us well as we go into the next stage of the company and commercialization. emily: who will be taking the first commercial flight? we use the running auctions as well? paul: yes, we designed the aircraft to not be something exclusively for the wealthy, so speed, the capacity, charge times to minimize the time on the ground, was all to get to a price point that was affordable and will get increasingly affordable overtime. first year of launch, the cost of an uber black, then uber x, so affordable and accessible to large numbers of people. >> what is the turnaround time of the aircraft for charging? paul: on a 25-mile trip, five to

six minutes with the time it takes to load and unload passengers. that was one of the real challenges in terms of the battery system and powertrain on this aircraft that we had a team working on for a long time, so i was pleased to get that because it is the utilization that drives the economics and allows it to be affordable and accessible to a lot of people. emily: you have been working on this since 2009. why spac now? what will happen between now and commercial flight? why will it take so long? paul: building and certifying a new aircraft is a hard challenge. the team has been at it for a long time. i think the decision to go public now was because we thought we were ready, the technology, the path to certification was increasingly clear, and we saw this as an opportunity to raise capital for

the next stages of development that is three things, executing on certification, showing we can repeatedly reproduce aircraft of volume, and laying the groundwork for initial commercial launch. we have a number of milestones over the next six quarters geared to those three goals. emily: joby aviation executive chair. shares closing up 33% on the first day of trading. i will speak to reid hoffman who cosponsored this fact later this hour. first, look at the markets with kriti gupta. walk us through the day. kriti: it was all about that inflation. the market, the inflation, the first data print, inflation metric that did not surprise. the s&p 500 up 0.3%, a sector-white gain today. -- sector-wide game today.

use salsa money going to treasuries. people not so -- you saw some money going to treasuries. people not so hot on tech. bitcoin tends to be higher. it has been under pressure lately. you have seen that. can that really continue? compare this to 2016 the 2017. the rally was similar. if history is any indication, bitcoin has room to run. i want to end with earning stories, macro and micro. ebay missing third-quarter forecast, expanding buybacks by $3 billion. shares up by 4% after hours. those earnings are weighing on investors. now done 1.2% after hours. i want to end with bumble beating estimates and forecasts. good news there. emily: all right. kriti gupta, thank you for the roundup. meantime, google employees could

see their pay cut by 25% if they choose to work from home. the search engine giant is offering an internal salary calculator that you might earn less because pay packages are determined by location and local market dynamics. a google employee in stamford, connecticut working in new york city would be paid 15% less if they choose to work from home. a colleague living in manhattan itself would see no pay cut. all right. coming up. crypto platform that is now valued in the billions of dollars. i will speak with the cofounder and ceo next on the future of regulation surrounding and competition in the space. that is next. this is bloomberg. ♪

emily: the crypto platform falconx has more than quintupled its evaluation in the last five months, according to the ceo raghu yarlagadda, who says the company is valued at $3.75 billion, with transactions of $10 billion. joining me now is the cofounder and ceo raghu yarlagadda. thank you for joining us. talk about what makes falconx so special and sets you apart from other exchanges, and who is the competition? raghu: first, great to be back, emily. thank you so much for having me. in terms of what falconx is, we are an institutional one-stop

shop. we serve the world's largest hedge funds, payment processors, aggregators, family offices, so with this diverse set of institutions and we give them everything they need to navigate it. specifically, help them with their needs. how do i get really good pricing? we help them with credit needs and things like that around there trading needs. we offer this in a variety of different form factors, web applications, something else, and the desk which is 24/7. we are not just connected to one exchange. we are connected to hundreds with whom we work actively,

using machine learning to get really good pricing. emily: you lock pricing for five seconds to minimize volatility, which seems to be a long time. why do you do that? raghu: that is a fascinating point. for some clients like payment processors, it is very important that price be stable for three seconds, five seconds, seven seconds based on platform needs. why? their customers are not used to the volatility in crypto. they want to see a stable price that they can make a stable decision around the price, so for that, they ask the impossible. in the market, can you give me a price that is locked for five seconds? the first leg is we aggregate liquidity different liquidity pools, market makers, then apply

a layer of machine learning to figure out how we add the price to get that stability of five seconds without taking directional risk as a technology platform. that customization is extremely important for our payment processors and their end customers to getting to crypto much more seamlessly. emily: the crypto industry, almost everyone we talked to is not happy about this new infrastructure bill in the language that will potentially lead to broader restrictions and regulations crypto. take a listen to my conversation and her thoughts on the legislation. >> this was a setback. we are playing the long game. we think more education coinbase and other members of the industry do with lawmakers to help them understand the potential for crypto, the more we can shape the right regulations to help customers

and not inadvertently entering crypto innovation in the u.s. and moving yet offshore. emily: the ceo of kracken said the legislation was a disaster. what do you think? raghu: the light it is bringing to crypto's incredible. that is number one. number two, four falconx, we have the know-how and technology to make sure we can do that. it is bigger than falconx. for me, what is important are software developers and min ers. if you put the full weight of it an average joe building a website in the early days of the internet, the innovation could have been stifled a lot, and

that is a similar thing being proposed. it will bring the entire tax code to a miner who might not have the resources to comply with that from a technology standpoint, so it should be much more specific and nuanced peer there is no question about it. as she pointed out, what we are seeing is an attempt to understand the nuances and make sure the legislation is done well. emily: raghu yarlagadda, ceo of falconx, thank you for joining us. more crypto news. thieves have given back half of what was likely the largest crypto pack in the defi space, returning half of $610 million stolen this week from poly network.

in return, they are asking for donations as a reward for their kind act. so far netting $200. coming up, a crackdown on vaccination and testing in california schools as governor ron desantis doubles down on a mask mandate ban. we will bring you the latest next. and taking a look at deliveroo, reporting earnings. the company saying revenue jumped 82% in the first six months. this is bloomberg. ♪

emily: tensions between the

white house and florida over the handling of covid cases continues. the florida health department requested 300 ventilators from the federal government, request governor ron desantis said he was unaware of. the press secretary expressing some skepticism. >> i would know as a policy we don't send ventilators to states without their interest in receiving the ventilators. the most important question here is, why would you oppose receiving ventilators? emily: governor desantis has attempted to block school districts from imposing mask mandate, saying parents should decide. this comes the same day california became the first u.s. state to require all teachers and staff get vaccinated or undergo strict testing. let's bring in our reporter for more. these renewed mask mandates in california and vaccine mandates,

even as governor newsom is facing a recall, so certainly a bold move. do you think we will see more of these across the country? max: that is quite likely given the risk the return to school poses in the delta variant and liking vaccination rates into many parts of the country. the best thing we can do to keep school safe is to have a high vaccination rate as possible, and to supplement that whenever possible with masks. it is just the reality when you have the level of community transmission that we currently do, and i am hopeful more states will follow the lead. emily: one of those states will likely not be florida, with governor desantis doubling down on the no-mask mandate. you have school administrat

-- administrators saying they are there to protect children. is the governors stance contribute into the surge in florida? max: i think it is. it is the continued politicization of public health, taking an evidence-based recommendation, one keeping kids and family safe, and turning it into a question of freedom or politics, when it should really be about what matters most, just keep people safe in a particular dangerous moment of the-dangerous pandemic, particularly in florida, which has surging hospitalizations. taking this particular stance at this moment is wildly your responsible. emily: moderna has doubled the size of its covid trial for kids. we just have the cofounder and chair on the show and i was trying to get a specific

timeline when vaccines for kids might be ready. do we know anything more? max: it is hard to tell. the fda did request the increase in the number of people in the study to get a more complete view of safety and efficacy, because it was a relatively small number of people. the question is whether they will wait for a few months of data from this new court -- cohort, or largely on those already in the study. if it is the latter, we may get faster results in faster approval, and i hope that will be the case, because this is a large population that is at increased risk. in particular, we don't know whether the delta variant is more severe in kids, because it is so transmissible that they are more likely to encounter it,

of those rare, bad outcomes are more common because of the number of kids getting infected, so hopefully that process will be speedy, but also cautious in the way it needs to be in terms of getting a good since of the safety in this population. emily: quickly, what about pfizer? the expectation is that would come sooner than modernity. when? max: yes. they got a bit of an earlier start. we will see if that is the case or whether the fda will need additional data from them too. emily: all right. thank you so much for your analysis and the updates. we appreciate it. ok. coming up, all eyes on texas, as a startup looks at the longhorn state to build one of their newest car factories. we will have the latest next. plus, later, we will speak with reid hoffman, joby going public,

the more about urban and aerial transport ahead. this is bloomberg. ♪ comcast nbcuniversal is investing

in entrepreneurs to bring what's next for sports technology to athletes, teams, and fans. that's why we created the sportstech accelerator, to invest in and develop the next generation of technology that will change the way we experience sports. we've already invested in entrepreneurs like ane swim, who develops products that provide hair protection so that everyone can enjoy the freedom of swimming. like the athletes competing in tokyo, these entrepreneurs have a fierce work ethic and drive to achieve - to change the game and inspire the team of tomorrow.

emily: welcome back to "bloomberg technology." i am emily in san francisco. let's get a recap with kriti gupta. kriti: not a hot day for tech. check this out. the index up almost 13% since the start of 2021. you see semiconductors outperform as well. those chinese companies not able to make up for those losses, down 26% on the year.

when we are talking about these asset classes, where do you invest to hedge? we have to talk about bitcoin. it has been driving the tech trade. some people would say bitcoin is not a hedge. some people would say look at the balance. it is starting to come up, going above trend, signaling it has more room to run. that is the macro level. i want to talk about electric vehicles quickly. talk about the intraday action, the etf that holds inditex name with the development and creation of electric vehicles come up on the day. look at those names, tesla, others down on the date, so there is a difference here. u.s. ev not looking so well. abroad, looking great. emily: thank you for the roundup. amazon backed electric vehicle

startup is in talks to build a factory near fort worth, texas, producing 200,000 vehicles and creating 7500 jobs. i want to bring in ed ludlow. is this a big deal? ed: it is, but early stages. it takes time. they are often talking to a number of states and cities, trying to get the best package of incentives. 5 billion-dollar investment from a company comes 7500 jobs by 2027, and fort worth is often tax breaks and grants. the next stage is to go to the state and county to get even more. emily: why texas? what is so special?

ed: this site is the frontrunner. texas has good infrastructure, roads, ports, access to talent, close to mexico, where the supply chain is. it is one front runner. emily: we talk about rivian all the time and friends say, when can i get it? you say they have to wait three years. they haven't produced a single vehicle yet. ed: they are backed by amazon, have raised $10.5 billion, have a fancy factory in illinois, but they are behind schedule, and they have delayed a lot of times given different factors. we have a tweet from elon musk, straight to twitter to say rivian should concentrate on its existing factory, starting production before they worry about the next one. they were already talking about

a u.k. or european plant. emily: why are they getting ahead of themselves, or are they? ed: they have grown so far so quickly. they say they are supply constraints. 100,000 deliveries to amazon. getting ahead of themselves. remember that old adage, production is hard. they are going to negotiate. i am told this is weeks away, if not months. by the time they get to production, maybe someone will get you one for your birthday. happy birthday. what a nice present. electric pickup. emily: right. thank you very much. good to have you here. thank you. ed ludlow. coming up. grade like partners in --

greylock partners in reid hoffman, joby aviation and was the jetsons becomes a reality. this is bloomberg. ♪ berg. ♪

emily: -- >> this is a new mode of regional transportation that is safer than driving, faster, and just as affordable as ridesharing today. emily: part of my earlier

conversation on the future of urban air travel with the ceo of joby. the company going public to date in the spac deal, at one point climbing close to 40% above its opening price. for more, i want to bring in greylock partners co-founder and board member of joby, reid hoffman. great to have you with us. a strong debut. you are sponsoring a few specs. you could -- spac's, but you could sponsor anything. why joby? reid: it has that thing that moving urban transport, uber meets tesla in the air. that can transform commutes, stop gridlock and not have the climate impact. to do all of these things in a way that makes cities healthier

and more fun, and more ability to get around. that redefinition of transport, of networks, is one of the things i have been doing over the last five years to seven years. i did once i saw it, this is a new network. networks are how we transform our work, our experiences, networks, i understand. emily: we have all imagine that jet sony and -- jetsons future. we are not there yet. is this realistic for one billion people. how does the scale? does it reinvent transportation, or just augment transportation? reid: reinvention is in part augmentation. you will have ground cars. you will be moving heavy things around. there will be various things on the passenger side, but the

reinvention, what was previously configured by geography, the flight or drive to the airport, think about getting around. now it is just the 3d of potentially getting there. emphasizing people and the fact that moving people around is key , that kind of reinvention, look, it is the same kind of reinvention with space. now it is not so far away. the fact that you could live further out and it makes that work. all those things are the reinvention, and the climate change in the sharing model, the accessibility to everything as part of it. emily: let's talk about that, the uber/tesla in the air metaphor is vivid. is the pilot a joby employee,

contractor, and is that the best labor model at this point for a company that is still not profitable? reid: we have to get the service going. joby is the first to have a g-1 with the faa, the only one with that paper on certification. it has flown a prototype vehicle over 150 miles for over 1000 test flights. it is real. there is a pilot doing it. one of the things, we start with having a pilot in the vehicle, even before autonomous vehicles to maximize safety to learn from it, because a combination of safety, safety, safety, and then ease and a good impact, so the labor market will be fine. one of the things that joby did is figure out a fixed wing

certification, so it is a broad range of pilots who only need a little additional certification in order to fly. emily: you are sponsoring a spac for the self-driving car company. between that, point-to-point space travel, with some progress with two companies, what is your vision about how these different kinds of transportation fit together, 10 years, 20 years, 50 years from now? reid: i have found myself by thinking about networks doing all of this reinvention of transportation, and obviously that eponymous vehicles will be key for increasing safety, decreasing costs, making the network as a platform. aurora has led the series a full greylock partners, and one person, who i sometimes say is that henry ford of autonomous

vehicles, the technical lead for waymo. what we are learning is the central networks in human life, obviously the internet, but also transport, rg to the lives of people, -- are key to the lives of people, commerce, so what are the inventions that enable all this productivity on top of it? autonomous vehicles, passenger, trucks, shipping, when it gets to aurora, all these things are in line of sight. we can see them. in joby, it is in the air. we can see that happening. it is just a question of getting there. emily: do you see autonomous taxis one day? or is that not in the view get -- yet? reid: i think it is, but after

pilots. like most commercial planes they are flying on autopilot. a great portion of time they are in the air. there is a ton of that. you want to make sure you have it right. pilots are smart and our learners. you want to make sure it is 100% right before you do autonomous vehicles. that is why, in the screen of the view ahead. emily: meantime, the senate just passed the infrastructure bill. for joby to succeed, you need these places where they can take off and land vertically. people don't think this infrastructure bill does enough to work towards the ambitions. do you think the bill does enough to address the future of transportation as you see it? reid: i believe we should be accelerating towards the future.

it is a complicated bill. there are lots of great things. the recognition that electrification will be key and central to the future that there, road -- air, road, so there are very good things in the bill. as a technologist, saying technology is inventing the future and how we make american inventions like aurora and joby, and bring this technology to our own benefit in the world, obviously we should be doing more. we should be thinking on each major problem in transport and generally, how can we make technology move faster, deliver better, and create the incentives to do it, because that is how the future will be, and part of the future and health of industry is getting there with robust technology early. emily: covid is not going away

anytime soon. we have seen companies open up, go into lockdown. we talk about how fundraising has changed. you have funded entrepreneurs you never met in person, which would have been unheard of before. how much of that is happening now and how much of that behavior continues in a post-pandemic road given what you have learned? reid: part of it are these. economies. i think we will continue -- these false dichotomies. we can do this through these virtual environments. that is a robust part of the market, industry, education, telemedicine. that is here to stay. there is a real value to being in the office together, building those relationships of trust, collaborating, innovation, brainstorming, so i think people want to come back. i think the new blend will really be both in terms of how it operates, and that will be

true in my investing business as well. i will meet more entrepreneurs in various time zones and geographies because we can do it in different ways. probably an important deal or we are working with greylock partners to build the company, it will still be important to do it in person, and which investor will and entrepreneur want to go with? probably when they trust, and the way we establish trust is we have talked about it end up with, so people are ready to get back to that. we have to be smart, not just the delta variant, but other future variants, smart about testing, and hopefully everybody will learn, and getting vaccinated is a good thing. it is part of the science of how we all get through this together. it isn't just your own health. it is our collective health, so that is still a lot of uncertainty and a lot of navigation where were going in the coming months. emily: you have companies choose

to be remote first, and remote only, is it harder? you are always focused on speaking to masters of scale. are they giving something up? are there potential disadvantages to achieving that kind of hypergrowth you're looking for at an early stage company? reid: i think we have not yet seen the company completely distributed in the real definition of that, and part of the reason is there is so much chaos. the first counterintuitive rule is embrace chaos. in order to do that, you have to have relations of trust. you did not tell me about that. that was irritating come etc., but you have the culture to carry you through that. those strong bonds of trust and alliance and communication, it is really important, so that is

what we have learned about it. that being said, if everybody had to be all remote, it is relative speed of people can do that in an effective way, but i actually think what you will see is they will want to be, they will have remote offices or remote people, remote work, but they will want to have core teams working together, because that is a pattern we understand how to make work and double the size of the employee base in a month or three months and actually make that work, which we are still figuring out how that works on teams and zoom in these kind of environments.

-- reid: don't overly generalize. employees who have gotten comfortable with work at home and that's the way i want to keep going, we are in a dynamic time and things are changing, so experiment and get a sense of it. don't overly mandate. experiment and make that happen. we have not any time in modern history come out of a shutdown and remote working in a pandemic in the uncertainty that comes from that, so you have to approach it from learning and iteration. emily: reid hoffman, partner at greylock partners, sponsor of

the joby spac. so great to have you back. ok. coming up on the samsung launching consumer devices. the company positioning itself and its new galaxy phone as a rival the upcoming iphone. mark gurman has the details. this is bloomberg. ♪

>> this mark gurman from bloomberg technology. this week, i would look at the galaxy telephones. samsung first launch it a couple

of years ago. it had some issues involving the durability of the phone in the display, as well as complaints about a small screen. the concept was never in question. consumers learned it was a powerful concept with a larger display. samsung has launched a square shape version. now apple, google, and others are still testing foldable designs internally. now, samsung is launching a new version. responding to concerns, the company says it is increasing the durability. the company is adding stronger frames, tougher glass on the screen, and water resistance across the board. on the larger phone, the company is increasing the display size to 7.6 inches, making it only

slightly smaller than the ipad many, doing so by embedding the camera into the screen itself. the display is brighter, the phone is lighter, and it has new multitasking features. the company is adding 120 hertz frame rate support for improved gameplay and the display. there is support for stylus, matching another feature from a long-running line. the big change is a new screen that is four times larger and is now usable. the phone is getting the faster refresh rate of a new video features, the ability to more quickly take pictures when closed, and improved speakers. besides the smart phones samsung is revamping its smartwatch line, along with the competitor to the low-end air pods. they are smaller and have

improved ambient sound features. in the u.s., the new funds are not cheap. the bigger phone is $1800, while the other starts at $1000. regardless of price, samsung is entering its third generation of foldables, while rivals are years away from launching their first. i am mark gurman. ♪ emily: thanks, mark. that does it for this edition of "bloomberg technology." lots of earnings. disney. airbnb. results after the bell. we will have all the reaction and analysis. make sure you tune in. i am emily chang in san francisco. this is bloomberg. ♪

>> good morning. sophie: i am sophie kamaruddin in hong kong. shery ahn: good evening. the top stories. u.s. stocks record highs. bonds railing. inflation moderated, reducing concern about fed tapering. >>