well three day running for the nasdaq eke out another gain of course, we have a lot more trading ahead for you and a lot more programming that will do it for us on "squawk on the street. let's go over to "techcheck" which starts now. good wednesday morning welcome to "techcheck. i'm carl quintanilla with john fortt and deidre bosa. higher valuations for select names as cpi gets the highest jump we'll talk about some fintechopportunities. and new neighbors tesla co-founder is with us to talk about his ev battery company

we'll start with calls on high-growth stocks barclays say valuations are a concern but look past the numbers for a few names. upgrade snowflake to overweight saying they don't think the street appreciates the overweight opportunity and like salesforce and atadog. similar to comments we heard on our air yesterday who said high growth and high multiple stocks will struggle in a tightening cycle. a theme we continue to discuss as kathie woods and many fintech names slash, guys. i think it's an interesting distinction. snowflake's growth has been explosive. we had frank on after earnings pretty recently. doubling, frankly, year over year even after the biggest software ipo ever opened up double, right. he's continued to deliver on growth i think our question is in this

environment where people are reconsidering what they're willing to pay for that growth given inflation and the fed action, are there certain stocks that you can continue to count on or will a falling tide lower all votes? >> i think we're already starting to see sort of the dispersion between the software names we mentioned snowflake companies that have bipartisan able to hold up growth i started to look at how much are some of these software companies off their 52-week lows i know they have come down so much but there have been bargain hunters, if you want to call them that, they're up 70, 20% from their lows and compare that to other names and they haven't seen a ton of buying from those 52-week lows so, you know, sometimes you attribute it to these leadership, the ceos, i know we're talking to jeff richards about this in a moment

but you're seeing the bifurcation even within software names. >> yeah, a lot of interesting trading activity today morgan stanley says that hedge funds are covering their shorts on names like dash and affirm. we do have reports of insider buying at docusign by the ceo there and even as john points out the upgrade of snow at barclays go to overweight but the price target is not what it was. they were at 393 and now at 367. >> it's a good point we'll discuss this more on what to expect for software valuation growth and some of the names or picks in this. jeff richards is with us this morning. jeff, good morning to you. i just sort of previewed you i know that you like crm and snowflake and part of that has to do with the leadership, right? that's how you're separating some of the names in the software space >> i think as you guys just mentioned we're seeing a bifurcation and seeing investors differentiate companies in the

infrastructure space like snowflake, get-lab and those companies are squarely in the middle of the rise of cloud like amazon, google and microsoft are. so you're seeing investors place a premium on those companies delineating against the software names that we historically liked and you see those companies come down in the 10 to 15 times forward multiples and you still see them in the 20 times 30 years next year multiples. some delineation taking place. >> jeff, we have been talking abut so much about the macro environment and how the feds plans on tightening the space and how do you see that playing out in the upcoming year and these high-growth names will have a hard time do you think that the names that you like and some of the names you just mentioned will have an easier time in that environment? >> i think one of the things you have to ask yourself is are you a trader or investor if you're an investor, never

been a better time to bet on the cloud and digital payments and bet on, you know, sectors like no code, low code. if you have a five or ten-year time horizon, hard to argue against the tailwind 12% of global banking i.t. spend is in the cloud. 12% of $500 billion is a very small number with a lot of tailwind spin yet to come. if you're a long-term investor hard not to add to the infrastructure names that i mentioned. we think of google, amazon, microsoft of the safe bet on growth in the cloud space. and then you've got some of the newer names like monday and smartsheet that are really proven to be strong names on the software side that we think are pretty exciting, as well >> wouldn't you argue three, four years ago would have been a better time to bet on these names. i love the fact that you have a really long-term view of these things, but for folks who have, i mean, also a long-term but

also maybe not ten year as much as three to five year. i think there's a question of entry points it's one thing to talk about with the performance of these companies is going to be on their operations i think it's another thing to talk about what the stocks are going to do. so, to what degree are their trends and concepts that haven't been sort of covered to death. i mean, we talked about devops here lately on "techcheck" as one of them that investors should get smart about because there's opportunity there other investors might not understand >> agree, 100%, john i think if you're not in the technology community like we are, you don't see the rise of those trends happening as quickly as you do or i do. another one i would add for folks is emerging markets, you know, this digital payment trend. we've seen the rise of square and paypal in the u.s. square cash was the number one downloaded app in the u.s. after tiktok, instagram and snapchat that is pretty incredible.

ahead of facebook. digital cash is a big trend. if you want to bet on that trend outside the u.s. you look at latin america and maybe you look to europe and there are ways to play these trends that aren't in just some of the names that have been covered here in the u.s., as you mentioned i would also argue over the long run and your entry point kind of matters but let's be honest, if you've gotten into amazon in 2008 or 2009, you're sitting on a 75, 80 return today. that entry point looked rich at the time but aws that has driven amazon, you'd be pretty happy today. >> i'm so glad you brought up amazon, jeff a lot of questions today about, you know, is the tape ready to absorb another miss or a guy that disappoints should we be watching for share loss and ecommerce i just wonder given this new environment, you know, how do earnings get received? despite everything you just said about catching that tailwind on these new units.

>> i think, carl, you highlight a good point which is the market is looking for any point to sell people are nervous with potentially rising interest rates and sort of geopolitical stability that are creating questions for folks. let's be honest record low employment and economy is doing well despite a two-year pandemic that most of us thought would last 12 months as we come out of that, pretty interesting environment to be an investor and have an emergency fed policy but feds are walking a tight rope with earnings we haven't seen any miss if you look at q4 earnings were strong for companies like amazon, aws grew 47% last quarter. that's up from the prior year. we're seeing earnings accelerate and one area that we haven't talked about that maybe we should is the recent classified pos. we saw software ipos trade down from their offer price and they were down around 17% that hasn't happened in a few years. so maybe there is some buying opportunities in that field, as

well if you wind back the clock to 2019, the software ipos of 2019 are still up 200%. maybe some buying opportunities there as the companies establish themselves with investors and analysts >> jeff, they were going public in a much different environment when there was more easy cash and you were seeing multiples at a much higher level. how does that bode for the year and where do you see the opportunities in some of last year's ipos and what does it mean for the software names getting ready this year? >> if you look at historically companies six to 12 months after they go public a lot of insider selling. you tend to see prices come down and generally we would argue a great time to look at some of those companies. we're getting to that window where you'll see some interesting buying opportunities from companies that went public last year. now you can argue the valuations are still aggressive for companies like confluent or hashicorp or snowflake and you'll see investors know they

have great businesses and if you're buying a company today that is growing at 30, 40, 50% and trading at 15 times forward sales, that may be look rich by historical multiples but if you do the math on the forward growth of those businesses, you'll do pretty well over the next three to five years. >> jeff, great to have your insights jeff richards. turning now to streaming and live sports. new players continue to enter the conversation julia boorstin has that for us hey, julia >> well, john, cnbc has confirmed a source close to the the situation that apple is in talks with major league baseball about it regular season monday and wednesday games. now, these rights are not exclusive. the games would also play on regional sports networks but apple could make a deal to use these local games to keep people hooked on its streaming service, apple tv plus it's worth noting that mlb ratings are a fraction of the ratings for nfl games that amazon has paid for and, of course, a lot more mlb than nfl

games. no comment from apple or the mlb on the matter. a source tells us that apple is also interested in other, more valuable sports rights that are up for grabs right now from the nfl. the nfl is looking for a new buyer of its sunday ticket rights which directv owns through the end of next season looking for a partner for its media group a deal that includes digital properties as well as a small schedule of nfl games and mobile distribution rights to nfl games which verizon owns through the end of the season. now, potential buyers for all of those properties, according to sources, include apple, amazon, youtube, disney, espn and the like of draftkings the nfl just announced yesterday that its regular season averaged over 17 million tv plus digital viewers. that's its highest regular season average since 2015. so, guys, this really is the nfl is really the most valuable content on tv. >> some context, julia, please

especially considering live sports is majorly disrupted during the pandemic. we had the nfl kneeling controversies and around social or health-type issues. but the biggest, richest companies in the world still at least considering paying up? >> yeah. they absolutely are. look, there was a decline in ratings last year. it made sense for so many reasons. just so many disruptions of course, ratings are up this year compared to last year but that's why i wanted to compare the nfl ratings to 2015. the highest combined digital and tv since 2015. also notable to include those digital members because people are watching digitally and, john, there's just nothing else that gets people to watch as much as live sports and nfl being the most valuable of all of those sports so, i think if you're a streamer and you want to make sure that your subscription is consistently something people want to pay for and not just to pay for a season of a show and

sports seems like a valuable way to keep people hooked through a whole season >> people holding on to cable subscriptions for live sports. when you were talking about potential buyers for some of these properties and you mentioned draftkings and you didn't mention netflix is draftkings more likely to make a move in that area versus a netflix which still doesn't, i should ask you, have they shown an interest in live sports it doesn't seem as much as the others >> two separate issues here. first in terms of netflix they have said repeatedly they're not thetrusted in live sports. having said that, a lot of speculation. maybe netflix would look at some of these rights. but fundamentally what netflix does is on demand viewing. very different from live sports. i think the interesting thing about draftkings is if you look at these three different assets that the nfl is looking for partner for right now or a buyer for right now. they're very different we could see the likes of an amazon get more rights or sunday

ticket go top aal or you could see draftkings pick up some of the streaming or media or the mobile rights for games. so, these three different assets can be mixed and matched and pretty much anyone who is interested in sports rights is looking at these rights right now because they are so unique and they only come up so often so, i think that's one reason we're seeing draftkings and really in a lot of ways we're seeing these companies that are not technically media companies become media companies because they understand that that is where the eyeballs are >> no kidding. nothing like live sports and their scarcity in that market. thank you, julia boorstin. programming note, former disney chief michael eisner on closing bell today at 3:00 p.m. eastern. the tape didn't really like the crude inventories. a pretty big decline after the break, why bofa says it is time to put some coin in coin. "techcheck" is just getting started.

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let's get a "gut check" on

paypal jeffries slashing the price target to $200 down from 255 the lack of catalysts make for a muted set up in the year ahead ecommerce trends as people migrate back to in-person shopping they also see a normalization and average transaction sizes for paypal the stock broadly underperformed the s&p in 2021 losing nearly 20% and also roughly 40%off of its highs. carl >> d, shares of coinbase shrinking recently bo bofa turned bullish on the name and the main reason increasing signs of revenue diversification beyond retail crypto trading joining us this morning is the analyst behind that call jason, great to have you you talk a bit about subscription revenue becoming a bigger piece of the pie. but overall walk us through the thesis >> well, thanks, carl. multifacetted thesis here.

first off, you're absolutely right on the revenue div diversification point when we look at the percentage of revenue coming from nonretail crypto trading that number was about 4% of total revenue in 2020 we forecast that goes to about 16% of total revenue in 2023 and there's a number of different initiatives that all fall under the general category of subscription and services revenue that we think will fuel that growth. one to watch in 2022 would be the emergence of coinbase's new nft marketplace, just as an example. second, we would also point to the underperformance of the stock over the last two or three months we felt that that created a more attractive risk/reward set up and hence the upgrade to buy >> now you say the catalyst could drive more interest among institutional investors. how likely is that given sort of the regulatory uncertainty which you point out and also just the sheer drop in the price of

crypto >> so, a couple points on the institutional side the first in terms of what it means for coinbase's business. if you look at the mix of trading volume that coinbase is seeing on its platform, it has tilted decidedly in the favor of institutions already in fact, they were just over 70% of coinbase's trading volume last quarter now, naturally, the spreads that they earn on that volume are far lower than on the retail side, but nonetheless, you are seeing an increase level of interest among institutional investors and owning crypto as an asset. and then the other point we made in the note on the institutional side is simply in terps of the potential for institutional investors, as opposed to retail investors buying stock in c coinbase we believe if there are increasing signs and people are more interested in having exposure to the crypto economy, the isi this is a great single stock way to own that theme and own a strong management team and large liquid cap name, as well

>> jason, you point to the nft platform as kind of diversification away from crypto trading. here's my concern about nfts i believe in nfts as sort of digital paperwork and authentication method down the line, but i also have a feeling a lot of the nft action we see in the market right now is trash, right so, in the future, if that platform is going to be any kind of a balancing or hedge against declining crypto volume, don't they have to do some kind of deals with partners that have assets that are likely to be backed by nfts in some way to avoid getting caught up in a potential collapse of some of the stuff that's getting nft right now and won't be worth much in the future >> i think the first thing i would say is you will hear more details on the nft platform strategy as we go through 2022 they have started a wait list for consumers to sign up for

this but some of the details are still to be confirmed. we do think that certainly partnerships are important here and i think what you'll see evolve is kind of a what i'll call a model where coinbase will be essentially to which type of nft consumers are interested in. they'll cast a wide net to your point and you'll see other areas of revenue diversification and beyond n nfts, as well. relates to custodial services and staking and other types of services that will probably extend into the world of difi over time, as well i think a multi-facetted approach to revenue diversification and that is going to take, you know, that will be measured certainly in years rather than quarters >> jason, looking across the fintech landscape at large and we've seen so many players and many public, as with el. all about the diversification and cross selling products

you say coin base is doing that pretty well. who else is? sofi and affirm and do you see many in the future perhaps who stands the best chance of becoming the sort of one-stop banking shop for a younger user? >> we did talk in our year ahead report last week as we looked ahead to 2022 about a convergence of business models and growth strategies under a general category of what we would call super apps for lack of a better term and so you see companies including paypal, square, affirm, coinbase they all have increasing pieces of intersection in their business model i think one way to kind of measure who some of the winners will be is in terms of what does your install base look like in terms of existing active consumers and merchants that are already on your platform and paypal would score very well in that regard. we are also quite bullish on

affirm we are believers in the buy now, pay later category certainly on affirm's differentiation in that category and unveiled their own version of their super app strategy in late september >> hey, finally, jason, we watched with interest bitcoin holding 40k the last couple days is there a red line, do you think, where a fall below or a sustained trip below that certain level would be material risk to say download growth or mau growth on names like coin? >> well, i think directionally you will probably see some correlation in relationship between the price of bitcoin and other major crypto currencies and some of the realtime data that we track around app downloads and monthly active users. but, you know, arguably as important as the absolute level, price level of bitcoin or whether crypto is the volatility

in the price because that is going to catalyze generally speaking more buying and/or selling activity and certainly just the more trading volume that is out there. companies like coinbase will benefit from that. >> right >> definitely the volatility counts, too. jason, interesting call. got a lot of attention appreciate it. >> thank you. a couple calls on ev names, as well. credit suisse calls this stock a top pick along with ford and gm. nio up 2.5% this morning after the break, much more on the ev battery race. tesla co-founder former chief technology officer is with us. we're back in two. ♪ ♪

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welcome back to "techcheck." i'm carl quintanilla with john fo f fortt. hp hitting a new high and

outside of tech you have financials and energy, once again, continuing to lead and a new record high for a number of banks this morning more on those moves that we're seeing in crypto and why leverage may be to blame in a minute first, though, a news update with rahel solomon >> hi, carl, good morning. here's what's happening at this hour stocks pivot up much of their gains following inflation report and treasury yields are still lower. surging prices for cars helped consumer prices jump 7% from last december and that is the biggest increase since 1982 and also in line with forecasts. president biden notes that gasoline prices fell in december and the overall report shows progress is slowing inflation. however he also says much more work to do morgan prices shot up. that's about 3.5% for the first time since the beginning of the pandemic however, mortgage demand also rose last week head to cnbc.com to find out why. medical technology company

philips is down 15% and on track for its worst one-day loss in over 15 years. q4 profits will miss guidance due to supply chain shortages. philips also expanded its ventilator recall. shares of biogen are expanding. the stock down 9% after medicare officials say there will only be limited coverage for biogen's controversial alzheimer's drug you're now up to date, carl, i'll send it back to you we talked about whether investors should stick with their 2021 winners and news street today says yes for tesla at least raises the price target to 15.80. expects tesla to sustainbly trade and comes after adam jonas ups his target about 100 bucks goes to 1,300. signs the industry leader is accelerating its lead. as you know, the stock, deidre, is up 1,000% in two years.

>> quite the chart and speaking of tesla the company's former ceo setting up shop ev battery recycling company backed by the likes of bill gates. >> let's bring in jb straubel joining us from a facility still under construction in nevada right next to the panasonic battery plant that is providing battery cells right there to tesla and other companies, as well jb, let's talk about the facility you're building you're going to be building or supplying copper foil, a key component for battery cells. how much will you be able to provide and when will it be up and running? >> hey, phil, great to talk to you. yeah, behind me here is our sort of first look at our copper foil factory. this is 100 giga watt hours of

and enough to supply more than a million battery electric vehicles for about a year. >> when you look at what we're seeing in the industry right now. you and i talked about this in the past so many announcements in terms of battery production and, look, quadruple by 2025. there's a real debate about whether or not there are going to be, there is enough material and will the battery manufacturers be able to meet the demand that is coming over the next couple of years what is your perspective right now? >> well, i think it's going to be quite a challenge you know, the market uptake and the adoption of evs is incredibly exciting. seeing a new announcement it feels like every single week on a new product launch or a new factory launch but it will put enormous pressure on the whole supply chain to make enough materials and enough batteries to supply all that need. in particular, to have that supply chain localized in north america or in the western world generally.

>> you've made a comment in the past that perhaps we're headed towards another semi conductor shortage for the auto industry this one, though, would be with evs since so much of the production is centered around or comes from china and facilities over there are we headed to basically a bottleneck where we will not be able to meet the demand let's say three or four years from now? >> i think there's a risk of that it's part of why we're working 24/7 literally around the clock building facilities like the one behind us here to make that supply chain happen and to try to get ahead of that bottleneck before it happens. but there absolutely is a risk that we can see a repeat of the semi conductor type of shortages that might reduce and might hamper ev growth and that would be a terrible thing. so, i think there's still time, if we work really hard and we keep focused on this you know, to solve the problem and to make these investments happen as they need to

>> hi, jb, it's deidre nice to have you newerly public rv players like rivian are planning to bring their battery production in house along with ramping up overall manufacturing. so, i wonder, do you think they'll be able to pull it off and what are some of the challenges they face, whether that be in terms of supply or technical expertise. >> well, building batteries is tricky it takes quite a lot of expertise and it takes a lot of very high-quality precision manufacturing. i think these companies will be able to pull it off over time but it will take a lot of investment and focus on this for several years. even with internalizing battery cell assembly, however, we still need to make sure that the entire supply chain that feeds those battery assembly plants is also ready to go and scale that is really our focus here is making sure that we're ready with all the components to feed people with, you know, battery

assembly facilities wherever they may be. >> jb, i know you left tesla a couple years ago and you're focused on redwood and you stay in touch with those guys over there and you see elon from time to time. what is your reaction you have seen the acceleration of tesla sales which for some people has been a bit of a surprise they are growing faster than many expected. >> well, i love the team there i root for tesla and, you know, really all the ev companies. but tesla especially every single day you know, the world needs them to succeed and i think we should all really be rooting for them you know, it's been amazing to see the accelerate d adoption o evs and tesla's acceleration is part of that i think this shift is going to continue, though you know, the products are really amazing and people are beginning to realize that evs aren't just about sustainability, it's just a

better product to drive. so, i think that is going to just continue as we see more and more makes and models from more oems so, i'm incredibly excited to see that i think it's really rewarding and a shift we need to have happen >> jb, one last question the projection right now most believed that evs will be 10% to 12% u.s. auto sales by 2025. do you agree with that projection or do you think that is a little low? little high? what are your thoughts >> i actually think that's probably on the low side i mean, if you look at how fast adoption is growing and parts of europe and other parts of the world, i think, you know, it points a path to a potentially higher percentage than that by mid decade and this is catching people a bit off guard you know, it's a really strong shift all the way from, you know, internal combustion sales dropping to ev sales increasing

by almost 100% in different regions. >> jb straubel former founder or one-time founder of tesla, as well thank you for joining us from nevada where that facility is being built. john, by the way, once that copper foil facility is up and running which they expect it to be later this year, ultimately they expect to add 500 jobs there and feeding the panasonic plant there that makes the battery cells that go into the battery packs for the teslas that are coming out of the giga factory, the battery packs coming out of that factory >> we won't underestimate the supply chain any time soon phil lebeau, thank you for bringing that to us. some positive buzz from the delivery space it's seen a rise in order volume and doordash ceo can add meta to his resume don't go away.

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welcome back bitcoin leverage is growing quickly. could it lead to another downturn kate rooney is with us kate could lead to downturn or upturn one thing you can bet on is

volatility with more leverage. >> go either way here but result in more turbulence analysts tell me that is a risk and it definitely adds to the possibility of big price swings and, of course, volatility according to data leverage or people borrowing to make a trade hit all-time highs and total open contracts that is up 42% in the past month or so. another way the leverage ratio versus bitcoin's market caps this chart here from genesis looks at that for perpetual futures which tend to be offshores and they let you use more leverage in general glassnode pointed out it was short lived and ended with a dramatic flush out of margin the data firm says the recent uptick speaks to interest in price option as a speculative bet versus owning interest in

bitcoin itself an aggressive growth rate recently some of the short traders recent weakness while it could mean another crash, it could also work the other way, d as you mentioned if we see bitcoin move up like we did this morning, it could lead to some of the shorts needing to scramble and cover their positions. they may need to buy in at any price to stop the losses, known as a short squeeze either way, though more leverage tends to mean a lot more turbulence in either direction. back to you. >> and, kate, it also can mean more revenue, more profitable for some of the exchanges, right? we talk about coinbase all the time because it's public and based here in the u.s. much bigger exchanges outside that are benefiting from options action >> that's right. yeah, coinbase is really not involved in this area at all tends to be finance which has 30% of the futures market right now. ftx is the second one and then

number three but seeing a lot less action. a lot of this leverage is going on overseas and while they do make up a big percentage of this, they actually have lowered the amount of leverage people can take on. earlier last year was about 100 to 1 in some instances and now about 20-1 as the maximum. >> yeah, i remember us talking to cp, the founder of talking about bringing that leverage the amount people are able to bet down a little bit and getting more in tune with the regulators but clearly seeing a lot of action kate rooney, thank you so much meanwhile, "techcheck" is back in just a moment. stay with us

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if you're interested in more on the elizabeth holmes trial, don't miss tonight's all new episode of "american greed "airing at 10:00 p.m. eastern. tune in for fresh details on the case and interviews with whistleblowers and theranos employees. sentencing for september 12th. up next a post-zinga gaming play and mark ckbezuerrg recruits a new director. stay with us

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welcome, good morning. when i saw the take two zinga news i immediately thought of you guys and some others particularly because i think investors might need to make a choice to they believe that scale they game library is the way to go or is it scale in relevant platform or is it both which app loving is pursuing? how do you view it strategically? >> yeah. so, hi thank you. good morning that for having me again look, the gaming ecosystem we think the app economy is growing super fast gaming is the biggest growing the fastest and it's bigger than the film industry and the music industry combined so it makes perfect sense to me that if we grow all around, right it will continue leading the app economy. i think it makes a ton of sense, the recent consolidation that you've seen both with zynga

taketwo and completing the acquisition, joining three other acquisitions that we've done last year. so i think people are gearing up to make sure they have everything they need to continue growing in this very exciting and very fast-growing gaming economy, and i think you can grow all over. >> i have some questions about whether it is growing all over and isn't it with apple's ios changes and the focus on first-party data, doesn't that have an impact on the advertising marketplace within games more than, say, games that you pay for or game ecosystems where you control the flow of how consumers, gamers get introduced to new games? aren't there implications there? >> look, i think it's quite clear the idea of fake changes led by apple is that still the

gaming economy is growing tremendously fast and at the end of the day it truly breaks down to not just how you get your data because there are multiple ways to get your data. we, for example, get first-party data and a device data level, and it's mostly what we do with that data, and the fact of the matter is that the gaming economy and the app economy have grown so fast in 2021, and i believe it will continue growing in the recent years. it breaks down to what really you do with data, and while the economy is growing, the app economy and the gaming economy is growing, you see some players are becoming stronger and some are becoming less so and it goes back to how you build the infrastructure to enable you, to gather and analyze a tremendous amount of data to better serve the users and the app developers and it is quite clear a year

after they're rolling out the key winners of this change and to continue supporting this economy to further grow in the following years. >> you mentioned the growth in the last year and a lot of people believe that gaming may be pulled forward because mobility took a hit in the pandemic, as we move forward and the economies re-open does growth take a hit or does the mobile become more important >> what we've seen in our data, we saw an uptick of 10% and maybe a bit more than 10% in the time that you had spent within games, and as the work re-opened and we have different ways and we can test it multiple times it pretty much stayed the same. so i think it's the new norm people are spending more time on their phones and mobility is growing and we think based on the data that we see that this has become the new norm. we don't think we'll see any

changes on -- on that regard >> tom, it's deirdre i wanted to ask you about the apple app store and recently in the news in the way in which it handled fake wordel apps, and it being a popular game now do you think that the app store as it operates now and the commission that apple charges will continue to be under pressure and ultimately changes? >> absolutely. i think we've seen it also through the apple episode, and we believe and we're all for full democratization of the different platform and solutions that we provide that, as it is providing with the app economy i believe we will see lower fees and we'll see either multiple, additional solutions serving those developers and we will also see apple i think -- i'm sure we will see apple and others reducing the fears that i think will be beneficial for everybody and

will help grow the app economy at the end of the day we need to make sure developers and there is valuable stuff to do exactly that, to make sure developers make more money and they can grow faster and this grows the economy. they can spend more money and if they make -- if they're able to better monetize and better deal with payments. so i think this trend will continue for sure. >> all right we'll see if apple lowers fees to stimulate the app economy tomer, thank you >> subscribe to our podcast listen any time, anywhere wherever you dnlowoad podcasts "tech check" is back in just a moment ♪♪

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>> today and one more thing, tony shu entering the doordash shu follows the departures of reed hastings and the new position isn't xu, and amazon w was rising thanks to an omicron

demand boost in the company's non-food delivery and logistics business we got a couple of calls like that this morning, d the other was a catalyst watch on lyft because mobility has taken such a hit we're out and about less >> you have uber right in the middle there with the ride sharing and the food delivery side john, we talked about this many times that tony xu has proven to be a formidable force in the delivery arena starting in the suburbs and taking so much of the market share and food delivery and convenience we talk so much about facebook entering the metaverse, but there is this very important commerce aspect of the company that continues to be worked on so i'm not sure if you can deliver in the metaverse, but certainly for those commerce objectives that facebook wants to accomplish or compete in. tony is a key player there. >> i prefer my food in the universe and my actual belly, carl it will be interesting to see

how tony deals with both the pr challenges of being a part of meta's board and the expensive view that it gives of the digital landscape where he places as well as in the real world. >> definitely one of the big executive moves we're watching today. tomorrow it's brainard's turn on the hill let's get to the half. >> carl, thanks so much. welcome to "the halftime report." front and center the comeback, whether it can be trusted and we'll ask the investment committee which is making more key portfolio changes today. joining me for the hour, jenny harrington, steve weiss, joe terra nova and jon najarian cofounder of market rebellion.com. the dow is holding on to 31 points and the nasdaq, 1/3 of 1% despite a cpi year over year headline, the most in 40 years can we trust the bounce in tech? steve weiss, or is it stil