things in a gneutral spot by th fed meeting. intraday allow of january 24th i point that out we've been plowing the same ground here for six or eight weeks. >> okay. that'll do it for us here on "squawk on the street. "tech check" starts now. ♪ good tuesday morning welcome to "tech check." i'm dierdre bosa with jon fortt. a breakdown of the sector as we have a drop and another investor gets bullish on another name ott space. don't miss shantanu tntnarayen n

an exclusive later on. big hour ahead. big, big shares of coupa plunging 18%, losing nearly a third of the value in the last week after issuing a weak outlook downgrades from oppenheimer this morning, as well as a slew of price target cuts. now down 75% from its recent highs. where is their value within software brad gersner has high hopes for snowflake, in particular >> we think this is a 3x in three years. even if software multiples remain at these levels near the five-year average, right it is our largest position we're not selling, but we acknowledge that it's been rough for our investors and for us it's been a drawdown this year if you look at, you know, what we expect to occur over the rest

of the year, this stock will compound as it continues to beat earnings, as it continues to expand its use cases even without multiples expanding, right, as investors begin to look at the higher numbers in '23 and '24 >> snowflake is higher this morning, up about 1.75%. here with more on that trade, dom chu. >> jon, the valuations are certainly a huge point for traders right now, especially in the high-flying software industry group within technology if you take a look at software as a kind of standalone within the technology trade, over the course of kind of just the last year-to-date period we've seen, software is down 23% during that span, as using the igv the tech sector spdr is down 17%. the s&p 500 is down 11%. it's been the software that has been the momentum to the downside now, within software, overall,

there are still pockets of outperformance and underperformance, as well. some of the cloud computing type companies, they have been the ones we've seen really underperform over the course of this last several months here. the cloud computing etfs ticker is down 29% during the span. 23% decline for the overall softwa software industry. cy cybersecurity is only down 10% the heightened tensions with russia and ukraine have put cybersecurity and warfare front and center for investors the cybersecurity trade is in there. if we drill down even further, to some of the real underperformers, those that have lost probably at least around three quarters of their value since the recent peaks just over the course of the past year, asana is one, though it is up 2% on a one-year basis. docusign and zoom video. you can see here, the moves we've seen, especially asana,

sharply to the downside. growth concerns and tough comparisons will weigh on some of the names pandemic darlings like these have taken it on the chin. the ones that really matter, the ones that are the standard bearers, if you will, within the overall software trade are the mega cap intuit, salesforce, and adobe. they've lost a third of their value to this year-to-date period as we talk about the valuations of some of the companies, they're elevated but they've become more attractive in the last weeks, certainly months by the way, fromtextual perspective, we're on a forward price earnings basis, back to where we were in april/may of 2020 just to give you an idea of how far the valuations have fallen, guys. >> dom, that's right around the time when, you know, in the throes of the pandemic, you know, things started to rebound. it's almost as if the whole

thesis about the shift to digital is being put aside dom, thanks. d, it's interesting. when we talk about snowflake specifically, you know, today it's got, what, $51 billion market cap if it were to triple, it'd have $153 billion market cap. that's not insane, but it would make it a little bigger market cap wise than sap is today a little smaller than salesforce and oracle enterprise software companies tend to have difficulty getting there without doing big m&a. >> right i mean, i still remember when zoom was worth over $100 billion in market cap. people were scratching their heads. still scratching their heads going back to coupa, which we started the show with, weak outlook, strong outlook. it feels like nothing matters in this market. i still remember the beginning of earnings season, or earlier on, you had data dog with stellar earnings, good guidance. down around 30% over the last month. people are starting to call this a sell everything market. >> yeah.

well, it was a buy everything market a few months ago, wasn't it >> yeah. >> it is interesting how little complaining you hear when it is a buy everything market and everything is going up for no apparent reason. everybody assumes they're a genius, right? when things go down, it is like, oh, my goodness, how can it be down from the highs? should things have been at the highs to begin with? with coupa, in particular, this is a company that focuses in on spend management expanding into travel and other areas like that. how much do you believe ass an investor that is right for investing? the transcript on the earnings call, how conservative are they being at a time when it is difficult to project out exactly what demand is going to be all those questions have to come into play. >> like you asked, jon, how much digital transformation did the pandemic bring how are the companies going to continue to build on that? it is something brad and a lot of our guests talked about jeff richards, i was texting with him this morning, who comes on often

the difference is what to look for in the software names. our next guest has a message for investors that's relevant to this conversation. that is, don't fall for the coming plot twist. stock prices and business models fail within tech, many companies are now pivoting from peloton refreshing the leadership and pivoting toward subscriptions to facebook changing its name and plowing money into the metaverse will these work? here to discuss, the columnist behind the piece, laura from the "wall street journal." great to have you with us. a lot of gimmicks and head-scratching moves. we'll get to amc in a moment first, what do you think investors should look for to distinguish between gimmicks and what's going to have long-term value? >> hi, dierdre i, jon thanks for having me it is a great topic. there's a lot of fantasy, a lot of plot twists and narratives, which we did see two years ago to distinguish, you have to look at whether a company is really focused on fixing its underlying

business, a. b, can that be fixed you know, you see a company like amc, you mentioned suddenly pivoting, prospecting, doing gold and silver. it's like you have a business on fire here, and then you're just distracting with something bright over here thinking that people will forget about what is over here. in amc's case, what was the strategy become a mean stock? that's like saying your strategy is to win the lottery. then, you know, you have peloton, same thing. when you think about what's a good value, a lot of analysts saying peloton, down more than 80% over the last year, great value right now because it can only go up well, value from what? from where it was last january when everyone was going to buy a peloton and they were going to pay for it for the next 26 years every month? i mean, that's what was priced in you have to really look at that reality. >> i love your skepticism and your healthy gdose of it we talk about it, and i think a

lot of people are scratching their heads, what is going on here you look at a peloton, and i understand what you're saying, what is the value? what is the proprietary technology you have the new ceo, barry mccarthy, who has a lot of experience in subscriptions and software you know, you have to look at those two differently, right when you look across the spectrum, what could bring value? where are you sort of less skeptical? what is the good thing you think someone out there is doing >> good question i think, actually, to focus on peloton, so barry mccarthy, you know, he comes from -- he was the cfo of netflix and spotify these are entertainment companies. they're subscription based peloton, i think one of the things that held it back from getting really big and mainstream is it is intense exercise if you have a group of 100 americans in a room, and you asked them to raise their hand if they do the exact same strenuous workout, the exact same type, every single day or multiple times a day and have done that for the last, you know, multiple years, you might

get a couple of hands. if you asked, who turns on the tv a couple times a week or listens to music a couple times a week, you're getting more than half turning it into an entertainment play makes a lot of sense to me. >> laura, it is an interesting and important thing you're saying about be careful about these plot twists. but let's explore for a moment the moments when these plot twists have actually made sense for companies and why. i think about apple kind of moving into the ipod and the shift they made for making an ipod for windows people thought, this is a mac company. turned out not to be adobe acquiring macro media and trying to be an enterprise company. people thought, adobe isn't an intersenterprise company it is now. netflix moving into streaming. is there some degree, perhaps, of unpopularity of the move, but also compatibility with the core mission of the business in a lot of these pivots that do end up making sense >> i mean, i think all of those

were great examples you gave you certainly had a lot of doubters you mentioned apple, a lot of people said, you know, the iphone would take off. the ipad they were definitely wrong when you look at a company like peloton, i just think it is a different story. this is an exercise company that was built as something aspirational, and they have this amazing cult following, which is ne people who love the lifestyle. it is now like an equinox gym. suddenly, it costs the same as a planet hollywood fitness you'll get more people in to pay to subscribe, but you risk turning off the very gold mine of customers you had initially that made the company what it was. >> the gold mine of customer i wonder what you were referring to there, laura. thank you. as always, we'll talk to you soon south korea's app store

launch targeting apple and google goes into effect today, forcing both companies to allow third-party payments in their stores what does that mean for profits at the companies? co could the u.s. be next steve is joining us to discuss this is something that apple warned would be a security issue potentially. you know, maybe this is a test case for the rest of the world >> yeah, it's -- first of all, jon, this is the first major economy to really go after the app store in this way. there's something going on in the netherlands right now, but that's really narrow to dating apps this is all apps accepting in-app payments. we know google is going to get around it. we don't know what apple is going to do. we can look to what they're doing in the netherlands for guidance basically, they figured out a way to still collect a large commission, 27% in the netherlands from these dating apps, and you can expect, based on what google is doing already in korea, it is going to look probably similar to that apple, of course, they point to all the security investments and the payments they've made to app

developers over the years. all of that is true. in fact, they paid more to developers last year than they've ever paid. still, this is a real threat to their profits, especially as legislation around the world in major economies including the united states are looking at these issues >> yeah, steve, the u.s. lawmakers have been looking at the same issue there's this debate about whether to open up the app store. where does that stand at the moment, and what kind of precedent does this first market now give us? >> yeah, this is the kind of thing that worries apple and google i mean, they found a way to skirt around it. the klobuchar bill, which we've been discussing for maybe the last almost year or so, that seems to be the one that's the most worrisome to the tech companies and the app store markets. again, we haven't really see major tech legislation come out of the united states it seems like the most effort is behind the klobuchar bill i was talking about. >> seems to me there is pressure in digital ecosystems these days we can talk about idfa and

what's happened to facebook and others that are trying to make money off of advertising apple putting the pressure there. then there is pressure coming to bear on apple's ability to take a share of transactions through the app store. seems to me like the advertising pressure has had a much bigger impact thus far than the kind of app toll pressure has. what's your take >> it is a little different. again, the advertising theme, the idea you mentioned, yes, facebook warned about $10 billion getting knocked off. it really depends on the developer, though, with the payment roles that are being considered the smaller developers, the ones that make under 1 million bucks a year, they're only paying a 15% commission under apple's new rules. it's really the somewhat larger ones, spotifys, the matches of the world that are really upset about this because it is really putting a dent in their profits. in a lot of ways, especially in spotify's case, they are direct competitors with apple in streaming music.

they see it as apple advantaging its own platform over others. >> indeed, that is the argument. steve, thank you. >> thanks. it's a beden of bears when t comes to semiconductors according to our next guest. nvidia 40% off highs we'll discuss. "tech check" is just getting started.

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and not just for my shows. switch to xfinity mobile for half the price of verizon. new and existing customers get amazing value with our everyday pricing. switch today. let's get a gut check on netflix. nathanson takes the price target down to 350 bucks. the note asks one question, and that is, what is netflix' total addressable market it is estimated the company reached more than 60% of all north american broadband based and paid tv subscribers already. it is virtually tapped out in the u.s. while they ote, untapped potential in less developed countries, jon, that would mean lower revenue per user going forward. >> yeah. international, an important source of growth for them for sure meanwhile, semi stocks broadly have been slammed recently with stocks down 24% since january.

geopolitical tension in ukraine, worries about china and taiwan have the chip industry re-evaluating a long-term concern, their global interconnected supply chains we have more on how that could affect semiconductor companies ch >> with china on pace to be the world's largest chip producer in less than ten years, so made in the usa losing its luster among semis. the share of manufacturing capacity located in the united states is actually plunging from 37% to 12% >> we've stumbled a bit in the innovation game. the most advanced chips, those below 10 nanometers, those are all being produced in east asia. >> russian sanctions raise fears a chinese invasion of taiwan could be next, like jon mentioned. weighing on the sector in the past month a.m. d, micron all down double

digits taiwan semiconductor down 6% the house is working on tax credits for domestic production, but they need to come together despite just announcing a $$36 billion investment in europe, intel is going to invest in chip factories in ohio. taiwan semiconductor is building a chip manufacturer in phoenix s samsung is building in texas keep in mind, this push to regionalize supply chains is meant to address long-term chip challenges, not the short-term shortage we're facing right now. >> thanks. now our next guest has been speaking to investors who fear there might be a bigger pullback ahead for semiconductors, calling the space, quote, a den of bears, unknown. joining us, citi's chris danely. what should you be focused on the longer-term strategy, who

has access to production, who is likely to have cutting-edge process technology since there's so much short-term volatility stock wise >> yeah, for most investors, they're just concerned about the next year or two versus the next five to ten years. i think people are, you know, rightfully so, trying to figure out, are we going to head into a recession or not are we just seeing a little bit of plateauing of demand? like you mentioned before, we're in a pretty big shortage for semis here most companies i spoke with last week, i met with boainvestors a companies, the companies i spoke with are booked out for this year and booking into next year. they were saying, hey, if there's a little bit of a relief in demand, it'd actually be a good thing, just since there's so many shortages out there. >> we're at this moment, chris, aren't we, where not only are there challenges on the manufacturing side, but the nature of what's being designed and demanded is shifting, as wel there's so much demand from

customization from the hyper scalers to the data center side. then there's so much shifting even on the client side in pc, as we see apple leading with the m1 chips and others moving into more heterogenius computing. where we end up, even before those 5 to 10 years out, is probably going to be pretty different. >> that's a good question and a good point i think this is more an extension of the trends we've seen over the last decade plus, where many of the new designs -- let's just say a majority of the new designs are going to foundry. like you mentioned, a lot of that foundry is done out of taiwan samsung is emerging as a foundry power, and you've seen all these moves that intel is trying to do to become a foundry, as well really, this is just what we've been seeing the last 10, 15 years. the majority of growth manufacturing wise is on foundry versus integrated companies. i wouldn't say this is anything

new. >> yeah, so, chris, let's talk about that a little bit. you spoke to investors who said that they were bullish on intel because it serves as a hedge against a chinese takeover of taiwan of course, it does have that more attractive valuation. but when you talk about the foundry plans, those are years out. even the investment it is doing pail pales to a tsmc. >> they mentioned global foundry, actually the largest u.s.-based foundry that's mainly trailing hedge but it is a hedge, as well the intel front, we've been on record for many years -- remember, intel had a foundry effort for the last 10, 15 years. it really hasn't gotten off the ground for a variety of reasons. number one right now, that i behind the leader, taiwan semi, in terms of manufacturing. in our opinion, they need to get that fixed first and foremost before trying to become a foundry. then, number two, you know, the foundry business model and the foundry servicing is totally

different from microprocessors, right? intel pretty much controls the standards that go on in microprocessors and pcs, versus the foundry which is a much more, hey, mr. and mrs. customer, what do you like i'll make it for you that's a big change. bottom line, they need some foundry people to run that business versus intel people. >> got it. chris, thank you coming up, adobe ceo shantanu narayen in a cnbc exclusive. you don't want to miss stay with us alright, so...cordless headphones, you can watch movies through your phone? and y'all got electric cars? yeah. the future is crunk! (laughs) anything else you wanna know? is the hype too much? am i ready? i can't tell you everything. but if you want to make history, you gotta call your own shots. we going to the league!

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welcome back to "tech check. i'm jon fortt with dierdre bosa. jd.com helped power things higher on the index. you can see it up almost 2% at the moment plus, 22 of the innovation etfs, 35 holdings, hitting 52-week lows this week we will break things down with the man behind the short ark etf

later this hour. first, an update with rahel solomon. >> good morning. here's what's happening at this hour oil prices accelerating their already rapid decline. now down about 8% today. 25% from last tuesday's highs. supply concerns tied to russia's invasion of ukraine are easing, while demand concerns are rising because of the increase in covid cases in china. here in the u.s., high gas prices drove a jump in wholesale inflation last month however, the increase of 0.8% was lower than expected. consumer prices were up 10%. airlines are leading the s&p 500 after carriers raised revenue guidance they're forecasting a strong travel rebound from the pandemic pullback delta and american up 8%. stocks in china getting hammered by the latest covid lockdowns there. plummeting 6%. the shanghai index sank 5% this as tightening covid measures threaten to disrupt

manufacturing and trade. jon, back to you. >> thank you. now adobe kicking off the first day of its digital experience conference, adobe summit, this year fully virt chvirtual. trends over covid showed consumers spent $1.7 trillion online during the pandemic, which underscores just how important the digital economy has become joining us exclusively from the first day of adobe summit in san j jose, adobe ceo, shantanu nar narayen. good to be with you as the summit kicks off i want to start with your announcement around metaverse tools. what is it you're arming the ecosystem with, as far as building 3d immersive environments, and what demand are you seeing from folks that led to this? >> always a pleasure to be on your show, jon thanks for having me

adobe summit is going to be our largest summit in terms of all of the announcements to your point, you know, we are all seeing, frankly, that a number of the things we did in the physical world are now being done in the virtual world. many people refer to that as the meta metaverse. so as companies think about what their brand is going to be in this virtual world and the metaverse, as they think about how they want to create content, we've published a playbook so they can be metaverse ready. the idea is how do we allow them to create the engaging experience they want increasingly, the things that we did in the physical world are being done virtually and the excitement associated with that is quite tremendous. we also announced a new product line, adobe substance, you know, with 3d modeling to help people get prepared for this. >> finally some substance in the metave metaverse. looking forward to that. now, i want to ask about the digital economy, as well you see inflation affecting how

much people are spending, and you guys were able to break this out, as well how much of this has been a pull forward during the pandemic, and how do you see the momentum that we've experienced over the past couple years continuing? >> i see the experience continuing to have the momentum in the marketplace, jon. it is pretty simple, really. it is that, you know, the digital tools that are available, whether you're a b to c company or b to b company, in order to engage with your customers or whatever channel that they want, are better than ever before. and, frankly, the consumer expectations of how they want to engage with these companies is also increasing. and with, unfortunately, all that's happening in the world, i think we're just going to see more and more people say that digital is the engagement that they prefer. you know, the big theme of the summit this year is what we are calling making the digital economy personal

i think everybody talked about the digital economy. we've talked about digital transformation i think the tools really allow us now to make it personal how you deliver that compelling, engaging experience for every individual i think that's really the theme of what we are going to try and talk about with our customers at this conference. >> got it. in case anybody is wondering, why is jon not asking shantanu financial questions? you have earnings in a week, so i recognize you're in a quiet period i'll talk about what you can talk about one of those things, apple just made some announcements in the past few days. last week, i believe around their homegrown, home-designed chips and performance of those shantanu, you and i have talked over the years specifically about how the cloud push at adobe wasn't just about distribution, it was also about changing how quickly your eng n engineering are able to spin out features for new platforms and

products can you talk about the expected impact, right, that you see platforms like this having, and how adobe is able to respond engineering wise to getting software built that takes advantage of that? >> absolutely, jon first, i think apple's announcements last week were truly exciting what they've done with their own line of chips, you can never have enough, you know, network bandwidth, never have enough power. our engineers will find ways to take advantage we were pleased to be part of the announcement with some exciting things we have done in our video space. so when you think about the ability to render all of this video in realtime, when you think about what we've been able to do with photoshop, in terms of the models and being able to analyze all of these pictures in r realtime, there is so much more that apple is enabling through the innovation that they're delivering were thrilled to be partnering

with them across all their different devices. it is similar, frankly, to what we've been doing with nvidia,as you're familiar. so much of this rendering is happening in the cloud what that is also enabling is this whole team of collaboration. pa because with people not being in the same location, when you have to collaborate with people, unless the performance is snappy, it is going to be less than desirable so i think it is enabling not just new features, but it is also enabling people to work together so much better and so much more seamless than ever before >> shantanu, it is dierdre i wanted to ask a broad question i think you are in a good and unique position to cut through some of the market noise we're contending with every day here we've seen a round trip journey for many of these software, high growth names, almost, you know, like the digital transformation of the pandemic didn't happen. i wonder, what do you expect to see in tech and cloud adoption over the next 12 to 18 months? >> well, dierdre, i think, you

know, the secular trend in terms of clouded option is not going to change. and i think what people have perhaps spent more time thinking about is short of how you navigate some of the uncertainty that's happened, thinking about the cycles more than the secular trends that are happening. the ability for people to have location independence associated with their data. the ability to provision on behalf of clients as quickly as we can now with the cloud. the ability for us to make sure that, you know, we have data with the sovereignty that you expect in each of the locations, but you can still take advantage of it. there's just so many fundamental advantages of the cloud that not just adobe but other companies have taken care of and i think people are maybe focusing a little bit more on, you know, what those business cycles look like every time they see an announcement, opposed to the secular trend, which ily will be up and to the right. >> shantanu, tell us about the

kind of partner ecosystem within adobe experience cloud i know in summit you're going to be talking about buy online, pick up in store shipping and payment services. layered on top of this we talked a little bit in the past about how you and shopify are in similar spaces, enabling businesses to deploy these kinds of services. how heavily are you leaning into that how different is your approach and strategy from the likes of a spotify? >> jon and dierdre, what we've really been focused on in terms of innovation at adobe is what we call the adobe experience platform it's the realtime customer data platform you know, while we are biased, we think we are, you know, years ahead of the competition so what that allows us to do is basically say that we have this realtime platform that makes the data actionable. you can deliver that personalized experience in milliseconds when you have this compelling platform that, as you know, we built with our partnership also

with microsoft on azure, what that allows us to do through the api economy is actually have many, many partners say, how can i either make sure that my data, whether it is transactional data, whether it is behavioral data, is all going into the unifying platform, and then for services that you want to deliver based on that platform, whether it is support, whether it is commerce , to your point, we can light up and hydrate all of this information. so i think the real binding work we did was delivering the adobe experience platform. we announced on tremendous adoption of it through some really bluechip customers. what that enables us to do is light up the partner ecosystem including, you know, we now have a new health care offering for that regulated industries, which previously did not think about digital engagement, they're also coming to the party and saying, this is the only way in which we can engage with kus customers. what enabled this partner ecosystem is the fact we have this platform where people can

both insert the data as well as pull out the data as appropriate. then, you know, for all of the companies like ibm, like exsentra, who are delivering services, it allows them to innovate on top of our platform. exciting announcements in that particular space, as well. >> yeah, i see that on health care you have walgreens with you there it a the adobe summit, as well we'll look forward to earnings in a few days. shantanu narayen, ceo of adobe, thank you. >> thanks for having me. if you're looking for some tech stocks that are inflation proof, amazon, ebay, and google. s safehachb haven stocks. all names down sharply since january like moest of tech read the full transjipt. we'll be back in a moment. ly me♪

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crypto prices remain volatile, and investors have started putting their digital assets to work now earning passive income through a process called staking kate rooney has a deeper dive. >> reporter: you may have seen the stories about cryptocurrency mining it takes huge amounts of energy and computing power to create new bitcoin. some cryptocurrencies are doing it differently, allowing people to put up collateral instead and substitute capital, the stake, for computing power mining any new cryptocurrency is

really about verifying transactions in the traditional fi al finance world, that responsibility might fall on a bank or payment network. bl blockchains rely on a community of people to do this it keeps the networks up and running. proponents say it is harder to hack because there is no single point of failure in this alternative to mining, people still need to validate transactions instead of racing to solve math evasions like in bitcoin mining, they put their money on the line it incentivizing those involved to play by the rules because there is a risk of losing the money. in most cases, the bigger the stake, the better chance that group or individual has of being picked to approve the transaction. in the end, winning. the reward, new cryptocurrency to up their chances, some are pulling their assets together. a regular investor who already owns a cryptocurrency can add theirs to the pile, and the leader of the group approves the transaction. everybody gets a slice of the reward in the end. the downside, if the transaction

has inaccuracies, if they're a bad actor or didn't run the software properly, you can lose that pile of crypto. this new way of doing things is being used by some of the up and coming blockchains, like avalanche and cardano. ethereum is transitioning to this proof of stake model. coinbase, kraken, and crypto.com are among the companies letting investors put their money into these staking pools. they're offering 4% to 10% yield. one question, how should this be taxed? the irs hasn't come up with clear rules. >> i have a lot of questions let me start by saying that if you do put your cryptocurrency up for this process, you can't actually access it, right? how long, typically, do you put it in, 12 months with prices being so volatile, you can't really do anything other than watch it either decline in value or go up in value? >> exactly that's one of the risks.

depends on the protocol. there's some that only have you lock it up for a matter of hours. some, it could be up to six months we've looked at the price of bitcoin and what's happened there in six months. if you're locked into one of these staking pools, you can't take your capital out. like you said, it may end up falling. on the upside, if it grows, you get the 4% to 10%. >> is this something coinbase can do after they can't really have the interest yielding accounts >> yes. >> another way to give investors yield? >> they mentioned this on the earnings call. brian armstrong talked about staking as an alternative to trading revenue. other exchanges are moving that direction. kraken is one of the exchanges doing that they're looking to this as an alternative form of income >> thank you for breaking it down for us. kate, we'll talk about it more in the future. if you're hungry for crypto content, "crypto world," before breaking down the latest moves every day. coming up on "tech check," we have more on google don't go anywhere.

alright, so...cordless headphones, you can watch movies through your phone? and y'all got electric cars? yeah. the future is crunk! (laughs) anything else you wanna know? is the hype too much? am i ready? i can't tell you everything. but if you want to make history, you gotta call your own shots. we going to the league!

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revenue up 69% year-over-year. 90% of analysts have the stock as a buy this might sound familiar, shares are still down 70% from recent highs "tech check" is back in two. fte. oh yeah, we gotta take off. you downloaded the td ameritrade mobile app so you can quickly check the markets? yeah, actually i'm taking one last look at my dashboard before we board. excellent. and you have thinkorswim mobile- -so i can finish analyzing the risk on this position. you two are all set. have a great flight. thanks. we'll see ya. ah, they're getting so smart. choose the app that fits your investing style. ♪♪ what happens if you ever need to miss work for a long period of time? why would i miss work? i don't know. you could sprain your ankle, throw out your back... get hit by a school bus. or a regular bus. get kicked by a horse. fall off a ladder. bathtub mishap. polio. boating accident. stuck by a fork. rabies. wolves. scurvy.

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the pain for kathy woods' ark fund continues down 60% over the last year, but that has actually been good news for some in particular tuttle capital's

etf, a fund that betts against ark and joining us now, the man behind sarkk matthew tuttle, cathy woods has put her name on the line to bet on american innovation and you're putting yours on the line to short that. is that something you're comfortable with, to short american innovation? >> yeah. so remember we're not necessarily shorting innovation as much as we're providing investors a tool that we think is a better hedge than the other tools out there so it's un-american not to have choices. i mean, you look at the nasdaq, the s&p. you can short those opinion what ark has done is they've created this speculative technology category there's never been a way to short it and we're providing investors a tool to be able to

do that. >> matthew, the subheader on your website is etfs reinvented. how are you doing that >> so what we're trying to do is things that nobody's ever done before so what sarkk is, it's the first etf ever to go inverse another etf. we've got the first-ever pre-merger stack etf we have the first ever etfs on the destack index and the fomo etf. it's never been done before. >> what does it say about the market that we're short etfs we've been on this road for the etfing of the market and the ideas that have formed these so what does it say about the markets that we need to short them

>> so it says that we're in a totally different environment that we've been in since the depths of 2009 where, you know, the fed was propping things up and everybody was making money and things were great. now the fed's pulling away the punch bowl we need some better tools out there, and i mean, i'm hearing on twitter all the time from retail guys who were saying thank you. sarkk is the only thing in my portfolio that's green you saved my year and you saved my quarter it's a different environment we need different and better tools. >> matthew, why create a short ark etf before you create a short fomo etf >> to me they're kind of one in the same speculative technology is an area that we know that in a rising rate environment and maybe a recessionary environment, a higher inflation

environment that's just going to do awful, and so to us, this is a much better hedge. we've got some ideas on the, you know, the fomo stuff, the mimi stuff, that's been savaged as well stay tuned there i'm sure we'll be doing stuff in that arena, as well. >> wonder what kind of feedback we'd get for short meme stock etf. >> i think people would like it. >> some. >> all right >> midterm elections just a few months away. make your vote count nbc's plan your vote tool is now live key information on the voting rules where you live like registration deadlines and mail-in voting info. head to nbc news.com/plan your vote for more. "tech check" back in a moment. . i need indeed. indeed you do. when you sponsor a job, you immediately get your shortlist of quality candidates,

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alright, so...cordless headphones, you can watch movies through your phone? and y'all got electric cars? yeah. the future is crunk! (laughs) anything else you wanna know? is the hype too much? am i ready? i can't tell you everything. but if you want to make history, you gotta call your own shots. we going to the league!

if you're unhappy with your salary, you're not alone so are most google employees according to a new internal survey obtained by cnbc that show many are questioning their employer's ability to execute. 87% gave pachai -- google well

known for its perks and the cafeteria, the sprawling campuses it seems like employees are getting restless as everyone is getting ready to head back to the office at least part-time. >> this is fascinating to me, dee, especially given that we're in this remote, hybrid culture, right? in silicon value, companies for so long, not all of them a lot of them tried to create these comfortable playgrounds of free food and drycleaning and ping-pong tables and what not. when you don't get to enjoy those from home and inflation is going up and when you see your friends getting jobs at start-ups or even public companies that are offering them more equity do you get a little fomo >> yeah. it's interesting because you think about an alphabet as well as amazon did that stock split

or are trying to do the stock split and approved by the board. amazon one of the reasons they cited was to give their employees more flexibility so it seems that those perks just aren't having the same kind of pull as they used to, jon also notable that alphabet is not scaling back its campus plans they continued to build. >> they're not the only ones microsoft also building out and renovating campus up in redmond. so this remote-only idea that's out there, clearly not going to be remote although it is going to be a hybrid world and these companies are sticking with the campus expansion plan, but they're adjusting, i think, the design of those to fit the reality that we're in. i do want to mention the markets before we close out the hour the dow higher by almost a percent. s&p by 1.25. nasdaq by 1.75, and boy, marvel and oracle leading tech to the upside from two different areas,

dee. >> jon, i'm going to join you in person tomorrow and the day after. >> oh, yes >> we are finally meeting almost a year after "tech check" was created. i'm heading east. >> not meeting for the first time, of course we've met, but it feels like it's a reunion for sure looking forward to that. and with that, this distanced "tech check" comes to a close. "halftime report" starts now all right, jon thanks so much welcome to "the halftime report." i'm scott wapner front and center, why one big-time investor thinks we're close. one committee member making a major market call and we'll debate that, t think joining meo the hour, degas wright, josh brown, and pete najarian, market rebellion.com. a bounce of just shy of 2% and