>> from the heart of where innovation, money, power collide in silicone valley and beyond, this is "bloomberg technology" with caroline hyde and ed ludlow. caroline: live from new york, i'm caroline hyde. jackie: i'm jackie devalos. caroline: we'll break down the impact of tariffs. and the quantum leap, we have the new chip and what it means

for the future of computing. and elon musk's ex is in talks to raise money for investors at a $44 billion valuation, the amount he bought it for in 2022. first we check in on the markets and look at the tussle that is once again a tariff concern that drives through the market and try to work out what helps and hinders. down .10% dragged low by meta again in the fray as it starts its run-up in the market capitalization. the chip semiconductor index we're seeing at the moment, up .40%. we'll talk at the overall tariffs. and some individual names i want to shoutout in the world of auto s and chips. tesla is the driver on the highest side, managing to push off some of the selling going on in the nasdaq 100 and up more than 2%. we'll dig into what elon musk and president trump were saying yesterday. and speculation surrounding

potential deals of selling off assets and cold water being poured on that with t.m.c. let's dig into the news of the day, jackie. jackie: let's bring in bloomberg's mike shepherd to break down president trump's potential tariffs and its impact. mike, what do we know about the scope and timing of the tariffs trump is proposing here? mike: jackie, he gave us only a few clues yesterday. one was on the timing and floated a date of april 2 for this latest round of tariffs that could come on autos, chips, and pharmaceuticals and this would come on top of a lot of other levies he's rolled out or planning to roll out and include the 10% tariffs and all imports from china and levies against canadian and mexican goods that could go into effect next month unless our neighbors are able to negotiate another delay or maybe

avoid those tariffs altogether. and then steel and aluminum imports as well. we know the broad strokes. what it means in particular for chips remains unclear. would there be exceptions and how far would these go? would it be all categories of semiconductors or only the most advanced chips? we have a lot to learn before this actually gets implemented or gets delayed or negotiated away. caroline: it's interesting the ramification on european stocks were felt hard in the auto sector. today tesla rises and is it a competition and that they'll have less inbound and the cost of cars coming in and was it more what elon musk had to say alongside sean hannityy alongside the president? mike: it had that emile othertive effect -- ameliortive

effect. we see how they're coming up with the lower cost models investors and consumers have been waiting for and also concerns that maybe elon musk, the c.e.o. of tesla is a little too distracted with some other ventures, including doge. but let's go to the whole chips end you raised about autos. there's so many chips in vehicles today and so many other goods today the impact could be wide ranging. elon musk could find a way around that given his proximity to the president. caroline: we have breaking news and are anticipating a more affordable phone coming from apple as we get the details on the iphone 16-, a powerful membr of the iphone 16 and will have a better price as soon as february

28, you can buy a white and black iphone 16-e for as little as $599. close eye on apple and the markets. the chief investment strategist at power. break down how the investors are to take in the deluge of deadlines with launches and products upcoming but apple affected by potential tariffs and geopolitics not to mention the chips and auto sector today. how do you see through that? guest: it is interesting because i think the market is trying to see through the tariffs. we've had a lot of tariff noise and of course during the trump administration but some predictions or precursor with that with what we saw the president posting on truth social and what we saw on the campaign trail and we see a market looking at tariffs as a negotiating tactic and able to shut it off and not impact how the market performs. and there's a missing calculus

about trump's talk on tariffs. he talks a lot about tariffs as a form of federal revenue. he talks a lot about tariffs as a way to even out trade deficits. he talks about tariffs as a way to build manufacturing here in the u.s. and all those other three elements beyond the negotiation, which we know is part of this man who has an art of a deal, but all those other three elements really focus on tariffs that are broad-based and long lasting. i think this is the thing the market is potentially going to need to grapple with not on a case by case basis but at the broad level for markets. jackie: smarta, talk to us specifically about the exposure to all of this, tariff tit for tat. how are you thinking of positioning certain pockets of your tech portfolio going forward? marta: we talk about tech and think of automotives but spend less time thinking about tariffs

with technology. a lot of times investors are looking at areas like tech and expecting some sort of, i guess, get out of jail free card with some carveups or something along those lines. i don't think that's completely out of line thinking when we think about one of the incentives president trump has is to really make a.i. and us -- u.s. a.i. a superpower and see a lot of enthusiasm about that in the trump administration. there's some potential to think we see tariffs coming at tech and the enthusiasm for a.i. coming into a bit of a collision course over the course of 2025. but frankly, you know, the devil is in the details and the details aren't clear at this point in terms of how and where and the impact of the tariffs that we see in technology or the broad market. jackie: let's zoom out of the united states a bit. china tech has really rallied though it's somewhat lagged when it comes to a.i. investments coming from the private sector

and perhaps even the public sector. how are you advising clients to take advantage of some of that diversification given they're seeing such a big boost? marta: china tech is an interesting question because china stocks in general have been under siege with weakness stretching past the few years and a lot of that relating to regulatory concerns and geopolitical risk and relating to economic questions as it relates to china tech and we're seeing valuations that are pretty cheap. of course we had a rally that undercut some of those valuations but still marginally cheaper than they were and if we stretch back our gaze several years ago prepandemic and you have some really healthy big tech companies in china, some rivals to what we have here in the u.s. so i think if we're looking at the valuations here at home and they seem a bit stretched to us and cast our gaze to something like the china valuations and they're a bit more approachable, a diversified approach isn't a

bad strategy when it comes to technology exposure. i think the critical question is thinking about sizing it because of course you have these overhangs, the geopolitical, the economic and etc. that should adjust the position sizing accordingly. caroline: i think we saw that reaction to the deep seek news. i want to think about market reaction in this a.i. we heard from the vice chair speaking about potential market manipulation because of degenerative a.i. >> as they'll be directed to maximize profit, gena.i. agency may maximize returns through coordinated market manipulation, potentially fueling asset bubbles and crashes, speed automaticity and and and you --

you pick witty. -- ubiquity. caroline: how do you think of the risks that come on as a result of degenerative a.i.? marta: we see a.i. opening up a new spectrum of risk, whether we think about fraud and market manipulation and misinformation. i think those risks are real with a.i. i think there is some consideration that valuations haven't really taken into account the downside of a.i. and think a lot of the upside and especially about the improvement in earnings we can see, certainly in technology but for the broad market overall but think less of what those risks can be and partly because one, we don't want to think about the risks but two, it's hard to speculate and articulate. but i think that's where smart regulation, smart decisions by the companies themselves and of course by washington are going to really matter in terms of how we see this deployed across the

economy. jackie: marta norton, chief investment strategist at power. thanks for joining us. coming up we'll hear from microsoft's brand-new quantum processor. this is bloomberg. ♪

jackie: microsoft just unveiled majorana1, the first quantum computing chip. we sat down with the head of strategic missions, alexander, about what he thinks of quantum.

jason: we see it in chemistry and using a.i. and discover new models and build things but a.i. is a approximation. a quantum computer actually speaks the language of nature which is quantum mechanics. we combine those things together and we will do brand-new things. i'd love to get rid of chemicals and microplastics. we have to invent new technology to do that and quantum computers will help us accelerate it and it's not something you can do on a classic supercomputer. jackie: let's talk about competition because microsoft isn't the only one developing a quantum computer chip and apple had 105cubits and microsoft is harnessing about eight and how can we set them up against each other, is a cubit race or is microsoft doing something different in the approach that makes it better?

jason: when you talk about cubits, the industry says i have a ton but the interesting question at the end of the day is what can you do with them? i can have 1,000 cubit but if they can't finish an actual quantum workload and application, it really doesn't matter or if it takes a thousands years to finish the application, it kind of doesn't matter. so at the end of the day, what's most important is not the count of cubits. but what really matters at the end of the day is can i get to the high count but make them useful that's the top value of the topological code. they have air bits built in and small and fast and digitally controlled and no one else has it and we can get to the scale and make sure they're useful. today you'll start off with a small count like transistors, originally there weren't that many but tons of vacuum tubes

and overtime you'll get that transition and scale and that's what will help in 20 years of experimentation to get us there and now starts the race to make the volume up and go higher. jackie: in january, jenson wang said useful quantum computers are likely 20 years away. is he wrong? jason: we're years away and part of what he referred to is the scale in some of these technology, needing a warehouse size compute tore make it work. and if we did need that, you can imagine how long it would take to get through there. from our perspective, the fact i can put a million cubits on a chip that fits the small of my hand, it's digitally controlled and it won't be decades but finding ways to accelerate it as we speak.

caroline: microsoft's vice president of strategic missions and technologies, jason xander. let's get more on the announcement. i think of the willow announcement of alphabet and the stock rallied hard. microsoft has jumped .4% trading higher now on the back of this announcement and talk us through what it means for microsoft, what it means in terms of pushing its own computing forward. >> it means they're far enough along and closer to a workable machine and said hey, look, we built software and is not just a construct but can put in a data center in some capacity and it's not just theoretical but something we built and think if not ready for primetime will start churning these out. jackie: matt, do you have a sense where it leaves the artificial intelligence priority. quantum is the topic we've all been waiting for for years but a.i. came first and where does it leave it in terms of what the company tackles the most over

the next coming years? matt: quantum will not subplant a.i. and the big cloud is spending money on chips and data centers. none of that will go away. i know jason xander said years and not decades but it's worth checking out the photo of these systems microsoft published this morning because we're talking about colder than space vacuum conditions and these are still operating very much in a laboratory construct even if microsoft built a product. the a.i. revolution will chug along as they plug on this in the background. jackie: thanks for joining us. a big launch for apple teasing a new member of the family. this is bloomberg.

so, what are you thinking? i'm thinking... (speaking to self) about our honeymoon. what about africa? safari? hot air balloon ride? swim with elephants? wait, can we afford a safari? great question. like everything, it takes a little planning. or, put the money towards a down-payment... ...on a ranch ...in montana ...with horses let's take a look at those scenarios. j.p. morgan wealth management has advisors in chase branches and tools, like wealth plan to keep you on track. when you're planning for it all... the answer is j.p. morgan wealth management.

♪

♪ caroline: today's the day, apple, the low end iphone, the price point, the 16-e will be $599. mark joins us more with the big

unveil. we're getting details already. mark: 16-e, $599 for a midterm phone. caroline: affordable. mark: $599 versus something like $700 for the regular 16's, $1,000-plus for the 16 pro models. you're getting most of the pro features. you're missing a few without the dynamic island and one camera versus two in the regular 16's and the three on the 16 pro models but a screen size of 6.1 inches, the same screen size as the entry level iphone 16 or the old entry level, the new mid tier. by this is apple's new low end iphone and want it to do well in china, india, southeast asia and thinks the phone will help ignite a new growth story. zipped 1% year over year in the holiday period and is exciting for apple and should be exciting for shareholders. consumers, people have not upgraded their iphone in a

couple years. this is compelling, the face i.d. and home button is gone and you have usbc and fast charging and a very fast a-18 processor and apple intelligence and chatbot integration. but it's $180 more than the current i. phone s.e. it replaces. jackie: i'm supercurious what it means about apple intelligence. are these phones going to have some of the new generative a.i. boost to it. if this works in a lower cost phone, talk to us about what we can plan to see from an a.i. front and if the lower cost strategy worked in the past. mark: you'll get the a-18 chip and the ram requirements in this new model to produce the cloud models that run as part of apple intelligence and the open a.i. in siri and the writing tools feature and download the a.i. as

like deepseek and gemini and co-pilot available on the app store already. from an a.i. standpoint, it's a good citizen. in terms of what apple is doing with siri and it's own generative a.i. series they're two or three years behind. they're supposed to launch a new a.i. of siri and is delayed from april to may or june and if you buy this phone it could run the future a.i. features all these companies, including apple, are trying to dream up. caroline: it will be available february 28. why the timing here and what we're seeing in this. is it because we've seen this with the geopolitics that plays here? mark: people release these lower end products, not the most exciting products in this january to may time period but february is a little earlier than typical for an s.e. and

usually would see it late march to april so i would imagine they brought up the release knowing the dip happened six months out, four months out, you're still able to maneuver things. in this day and age they're not holding a physical launch and doing everything online, you have more flexibility if you're apple to release these things and getting it out in this quarter q-2 is ahead of apple ahead of giving results several weeks from now. jackie: you mentioned siri has seen some delays. what's the status. is it something we can expect coming this year and in what form will it come? mark: the new siri features they announced in june. one is on screen awareness and can answer questions based on analyzing what you have in front of you on your display and answer questions with the context of your own data. those were supposed to come in april and now those are probably coming closer to may and june. caroline: always keeping us up to date.

coming up, khristian smith of the block chain talked to us about crypto legislation under crump. this is bloomberg technology. ♪ mr. only servicenow connects every corner of your business so people can do all their work on one platform. no more mindless swivel chairing between platforms. or swivel chairing between apps. no more swivel chairing! i don't feel so good. what does he do here again? mostly that kind of stuff. will you push me back? no.

♪ caroline: welcome back to "bloomberg technology." i'm in new york. jackie: and i'm jackie davalos in san francisco. caroline: we're trying to understand the ramification of what a 25% tariff on autos would look like on the market and we're seeing a sell on the nasdaq. and yesterday's sell-off after a 20-day run-up, we start to question the market capitalization and the run-up we've seen in the stock and down by 1.2%. bumble is falling on the back of its earnings. dating apps, seeing executive turnover and seeing a questioning of really how they try to update the app and the earnings didn't look as good as

have been anticipated or worse than anticipated and up by 25%. eithery also -- etsy also down. gross merchandise sales coming in weaker than expected. first quarter, not looking so strong. and this as they see good profitability numbers but worry we'ring about numbers. let's move on and what's happening in the world of crypto. bit coin is up 1.4% and has been hammered hard the last few trading days but trading at more around a $96,000 level and well off those highs, jackie. jackie: the crypto market's enthusiasm has skyrocketed since president trump's re-election with hopes of a more crypto friendly regime. we spoke with richard who said the u.s. has moved on from an impressive crypto environment. richard: with the biden administration, the operation was in progress and bit of a operation in the u.s. and u.s.

players, global players are facing it and governments around the world are not supportive of crypto. i think we have a fresh reset, restart now. since president trump's election we've gotten a lot of approaches by governments all around the world to say hey, we want to look at this space now. this represents it is the two most important industries, crypto and a.i. will support the economies around the world and seeing fresh optimisms and top governments supporting. >> you're talking directly with the s.e.c. then about what the regulatory roadmap could look like or are you talking with the trump administration directly? richard: we give inputs to governments around the world and the value includes costs. we are the most regular exchange now globally and we are regulated in 21 different jurisdictions. >> what does your import to the u.s. government look like and what do you want to see exactly? richard: on the u.s. front you

see very top few appointments in terms of the different access to a.i. and crypto with the different appointments to the different agencies on that front. and they want to come out with a very good framework. so still the leader but as of when there are some proposals, we have a different thing on that front. >> what do we see and what would bring you back into that market, what is it exactly? richard: i think for every country they have their own interests to take care of. but we want to see a regulatory framework that is on the one hand managing the rich aspects of the industry, on the other hand are supportive of generation and growth prospects. if you just focus on the respect of it, you're missing out on the new innovation on that front and is very dynamic. >> you think the u.s. will take a more business friendly approach or an approach that's

higher on consumer protections? i think you kind of got to go down in dubai, vara, more business friendly and hong kong a bit more on the consumer side? richard: i think the u.s. will come up. only my speculation is will it be a v stroke framework that supports innovation and growth but at the same time protect consumers and all these different aspects are truly popular. >> if you get the framework we spoke, is it enough to bring you in the u.s. market? richard: we always consider a global department. we are holding a washington brief on the u.s. and we need to see clarity coming out from the u.s. and we'll consider options at that point in time. >> what would that look like for you, for instance? richard: too early to speculate. caroline: richard teng of binance. let's talk what is needed from a regular perspective. from the rock chain, we had more

promise of crypto friendly legislation but it's slow to happen, of course, because congress needs to weigh in. how are you marking it out of 10? >> we're on a 10 out of 10 right now and there's obviously a lot of work to do and takes time. we're looking at things in sort of two phases. kristin: the first accept is we need to undue the harm that happened in the last administration. we've seen hints of this with the repeal of sad 121. congress is working on a really important bill right now, the congressional review act to undue a rule making the i.r.s. tried to apply to defy it in the last 24 hours and legislation wrote a bill to congress and it's undoing the harm and stopping the litigation. then we need to go in, as richard was saying, and get a framework in place and need stable coin legislation and market structure legislation. these pieces are harder because they require a lot of work but we're really optimistic that

congress and the white house are aligned on this and this is the year to get these items done. caroline: how much patience ultimately, those that plowed in to crypto currencies as and asette of choice have for the actual legislative process here because it feels like many were like oh, they're just forming a task force more broadly and not actually bringing in regulations here and now? kristin: the presidential working group you talked about is incredibly important. the s.e.c. has their crypto task force. these things don't happen overnight and require as lot of discussion and debate. the good news is we're not starting at zero. congress did a lot of work this past year to really lay the groundwork and move the ball forward but, you know, like any draft legislation, there are issues that still need to be worked out so one of the things we're doing at the block chain association within our working groups is to get people together to focus in on the specific issues and details so we can

bring smart, thoughtful approaches to congress. i think what everybody in the industry wants is a pro competition framework that also protects consumers and so we're on the same page about the goals and it's working on the details that takes time. and a press conference last week, david saks and chairs of the committees said they want to get it done within the first 100 days and it's pretty ambitious but think they'll try and think they're moving very quickly on capitol hill and we'll see a lot of progress. jackie: you mentioned the consumer and they talked about the safety of these instruments

and you can look at it and know what's happening. crypto is trying to improve the world for consumers. but listen, there are things that are happening and still very early days and so we want to make sure we get the regulatory framework that gives people the confidence to come into the market. jonathan: one of the long time

skeptic is jamie diamond and doesn't think people should buy bit coin and what does it mean for crypto's rise long term if the bank, the largest bank in the country hasn't come around yet? kristin: i think it takes time for these bigger institutions to change their mind. there is at love demand for bit coin and obviously it's reflectled in the price increase over the past year and i think it's and asette that is really here to stay. this is something where it's scares and it is serving as a store value and something you can access from anywhere in the world without needing to go through an intermediary and truly a revolutionary idea and one that as more and more institutions become educated and comfortable with the idea, we'll see financial advisers recommending that people include a bit of this in their portfolio. bit coin is a wonderful innovation and here to stay. jonathan: kristin smith, block

chain association c.e.o. thanks for joining us. we speak with the occuro c.e.o. andre haddad as they drop plans for i.p.o. (♪♪) (♪♪) what took you so long? i'm sorry, there was a long line at the thai place. you get the sauce i like? of course! you're the man! i wish.

the future isn't scary. not investing in it is. nasdaq-100 innovators. one etf. before investing, carefully read and consider fund investment objectives, risks, charges, expenses and more in prospectus at invesco.com ♪

kailey: this is bloomberg technology and looking at a live picture of the forum. find it on the terminal. this is bloomberg. ♪ kailey: more x opening members are starting up their own startups. we have the former open a.i. c.t.o. launching her own company, called thinking machines lab along with several open sectors. we look at more what everyone has been waiting with baited breath and what will she do? no product yet but an

inspiration and roadmap at least to a certain extent. >> that's right. the former c.e.o. of open a.i. is starting a new venture and she will be building both the research models as well as products to be determined and recruited quite a few former open a.i. employees -- or i should say now several former a.i. employees are working there. jonathan: why are investors so confident that a company with no product and no superclear roadmap yet, how can they actually emerge as a contender in a.i.? >> it seems like there is an insatiable demand to invest in the next big a.i. company and still anyone's game as we're seeing all these a.i. models becoming increasingly competitive with each other. just this week we saw elon musk's x release the model that

outperforms a.i. we've seen the rise of chinese startup deepseek come out with a competitive model and it's early to this big race to a.g.i. and investors are keen to put their money in a trusted member. kailey: we're talking about the valuation she's looking for in the market. what about valuation talk of people who want to be backing her new project? >> that's right, so we've heard that she has been talking to investors and there are talks to put in money but none of this has been finalized yet and it's still very early. we'll see. i think that there is high demand we're hearing to put money towards her company. jonathan: thank so you much for joining us. it's still early in 2025 but already proving to be a tough year for the i.p.o. market with

many companies opting to postpone or cancel their planned offering outright. the latest coming from car sharing company turo who scrapped plans to go public three years after filing for a i.p.o. the head c.e.o. joins us now. andre, europe not the only company out there that's rethinking i.p.o. plans. but what about the market conditions made this not the right time for you guys to go public? did it have to do with growth or external factors? andre: the market hasn't helped. we've been waiting for an opening for the past three years. we filed our first s-1 back in late 2021. and as you know, 2022 and 2023 were tough years and thought 2024 might get better. there were slight improvements but as we entered 2025, we've continued to see market conditions to be pretty choppy. there's a lot of change going on.

and a lot of adaptations going on and it had been a problem filing every three years and since it seemed remote redecided to postpone. jonathan: we see there is a cash crunch and people are having to raise cash again and finding a more skeptical group of venture capitalists who are more unwilling to give them additional cash at that stage. what does it mean for your future funding plans? will you have to tap v.c. cash at some point this year? andre: no, we don't have plans to raise any capital. we've been seeing -- listen, the fundamentals of the business continue to be very, very strong. just to give you a sense of where we are from a business standpoint, you know, last year we ended 2024 with a little bit over $950 million of revenue up from $150 million in 2020 so the

business has grown over 6 1/2 x the past four years and been profitable since 2021 and been positive for the past three or four years now. and we have a very strong balance sheet with over $250 million of cash. thankfully, you know, we don't have to go out and tap into the markets but i agree with you, the markets have been more challenging recently for late stage startups. in our case we're just going to be focused on the fundamentals for the next few years and hoping the markets be more receptive and a bit less turbulent in maybe two or three years from now p. jonathan: you want to make more injackie: you want to be making more profits in the business. andre: we're frankly early in the market and just excited about the growth and the numbers i shared with you. but when you think about the size of the opportunity, caroline, you know this market quite well and the opportunities could be very, very large.

we have been investing in our team and in innovation, in the product experience. there's still a lot to build. we launched 70 different new features last year, enhancing the host experience, the guest experience. but there's a lot more we want to do and frankly, we're going to take the opportunity of staying private the next two or three years or so to make some bold, longer term investments that's part of the roadmap we're accelerating and bringing forward. caroline: i go to a sensitive topic because the start of 2025 was devastating with not one but two tragedies that involved turo cars and how much have you thought about safety and the decision to delay i.p.o. has been because of that? andre: no, those two things are not really connected, caroline. the timing coincidence, of course, looks like they are but they're not. you know, yes, the start of the year has been extremely tragic for us, as you mentioned.

the events of january 1, the attacks january 1 were made with two turo vehicles. we've been very focused on understanding what's going on and looking inwards to our safety over the last two months now. as i indicated back in early january, you know, we ended up, of course, doing a lot of investigating internally, cooperating with investigators externally and we found out that the perpetuators of these crimes were very legitimate people with valid drivers licenses with no criminal backgrounds, so our trust and safety system we built over the past 13 years performed as planned. however, we did want to take a look at everything when touch a tragedy strikes, we have to relook at everything and we did. one thing i wanted to mention is that we're launching the end of this quarter a new way for hosts

to signal any concerns they have with public safety. so today our hosts can always cancel a trip if they feel uncomfortable with anything going on and there's no penalties when that happens. now we're specifically adding a topic which is related to public safety and not only will we be able to enable our host to cancel these trips without any penalties on their track record but also connecting them with a hotline of specialized representatives that will be able to support them while dealing with something that might be stressful. we're making the change and think it's important for us to be standing behind our hosts and supporting them whenever they feel anxious about something that looks like a public safety issue. jackie: you mentioned bold investments, will it include m & a, we have 30 seconds?

andre: it's always an option and last year you might recall we announced a great partnership with uber, taking over the uber car share business they've been building in australia and we're partnering with uber and we're going to become a part of the uber rent product and we'll be launching soon this integration. so there's a lot of consolidation happening, especially as you pointed out with private capital becoming more scares and skeptical. i think it's pushing a lot of later stage companies to rethink their growth plans. caroline: and you remain independent? andre: that's the plan. we think the market is really big and the fundamentals are very strong. and we have an exciting roadmap ahead so we'll continue to chart our own path. caroline: thank you.

musk's x and bloomberg technology. ♪

caroline: d is said to be in talks to raise money for the company that could value the company at $44 billion. $44 billion the amount elon bought twitter for in 2022. >> yes, much has been made about this acquisition price. many people said he overpaid and at one point they had many people doing that but they are set to receive a $44 billion

valuation, same price and at a time when all elon companies, space x, tesla, they're all going up in value because -- partly because of elon's ties to president trump and the perceived value that could add. caroline: briefly, katie, who would be willing to give them money and why do they need the money? katie: it could be potentially from existing investors. we know the talks are early. you know, it's hard to say what they're planning to use the money for but one thing that adds to their value is they're a significant shareholder in xai and they go up in value pretty much automatically when x.a.i. goes up in value but usually the funding raise would be for hiring or potentially acquisitions. caroline: great breaking news. that does it for this edition of "bloomberg technology." check out our podcast on the

terminal or online on apple, spotify and this is "bloomberg technology." ♪

♪ [captioning made possible by the u.s. department of education and bloomberg television] >> welcome to bloomberg etf i.q. katie: the e.t.f. flows keep going. let's get to the biggest stories now. the more than $15 trillion global e.t.f. industry is cooling with president trump's latest tariff threat fueling concerns about a trade war. we'll look at how it may impact certain exposure to certain e.t.f.'s. scarlet: and