watching all year. it's been a phenomenal year for all of us. >> it really has. it's been great joining us, josh, jenny, always great to be with you. hopefully this show helps out our viewers make investment decisions. you are fantastic along with the other investment committee members on "halftime." it's been pleasure and an honor to fill in with you. and we're going to put a close to this very special holiday edition of halftime. a little warmer and fuzzier than the show normally gets. that's going to do it for halftime. "the exchange" with contessa brewer starts now. welcome to "the exchange," everybody, i'm contessa brewer here. a.i. was the big story of the year. now it needs to grow up. that's how our market guest put it is. she tells us where there are big opportunities in the a.i. trade. what gets overlooked in the a.i. trade? jeff killburn joins us for one

name and why he thinks there's upside ahead. plus insurance stocks have soared this year and so have property insurance payments. and the name's best position for gains in the new year. we begin with bob at the new york stock exchange. >> contessa, happy new year. not so happy for the stock market. take a look here. we started positive and right about 11:00 eastern time, things just started heading south here. the dow industrial is way down by united health. basically it's tech. goldman also a little on the weak side. we did see a rise in long term bond yields this morning. the good news is the yield curve is steepening. right now even on the advanced decline line, but when you have weakness at tech, it's a problem. so some beaten up sectors were

doing better this morning. that's good. a little rotation. but you see tech here, when that's weak, you've got a problem, particularly when big tech is weak. that's what we're seeing. your usual names here. nvidia, tesla, microsoft, alpha, all weak throughout the morning. the average gain is 1.3% in those seven days, but guess what? we're down in the opposite direction. the s & p 500 is up 24%. back-to-back gains of 24% is pretty rare. but a lot of this is front end loaded. we saw most of the big gains in the first quarter, second quarter, and it's gotten a little weaker in the fourth quarter. look, only 2.5% up in the s & p 500 for the fourth quarter. that's because tech has only seen very modest gains so far.

here's the s & p tech index. it's up 3.5% or so since the quarter began. not too far from where the election started. if you look at tech here, there are the big names that have had some big moves. broadcom, for example. amazon, alphabet. but when you start getting past all of this, it gets notably weaker. underwater for this quarter including microsoft, micron, amd, some of the chip makers have been rather poor this quarter. we've got a lot of the old timers on the floor. we're going to be singing wait until the sun shines nelly. led this for many, many decades. 1:45 we're going to be singing that. and art's sons will be leading

that. i'll be here joining them as well. it's a great tradition, contessa, and with art gone, it's good to have his sons here to lead that. >> this is going to be a very, very bittersweet moment for you, and for everyone that has been so accustomed to seeing art leading that song. so we'll see you in about 40 minutes there, bob, thank you. my next guest says this is a super interesting chapter in the a.i. story, if it's a coming of age story. here's the part where you send your kid to a fancy school. you invest in hundreds of thousands of dollars in this kid's education, and now it's time to see what job they get. in other words, 2025 is the year that a.i. needs to grow up. for more, let's bring in julie beal, who is the market strategist at cane anderson. i love this. it resonates with me. it's like show me the money. what are we going to do to see a return on this investment, julie? >> yeah, i think it's pretty staggering when you think about the billions of dollars that have been invested in terms of

maturing this technology. right now, we're still at the infrastructure layer. but at some point, many investors are looking at how these companies are spending their cap x dollars and they want to see a return on investment. so far, where we're really seeing a.i. have a benefit is it's just making things more efficient. you really need revenue generating opportunities in order for enterprise to really get excited about this kind of technology. i think until we see that, you could see greater and greater skepticism around investor appetite for this level of, you know, spending. it's pretty exceptional. >> let me put it to you another way. do you suspect that this is in any way an a.i. bubble? that there are use cases, and we're going to see them unfold, but it's just not ready to see the kind of returns that some investors may be expecting? >> yeah, i think that's a great way to put it. i think that the long term

outlook for artificial intelligence is very strong. it's existential in how it's going to impact how we talk to one another and how we relate. but right now, the data walls in terms of running out of data to train these models on, it gives me some hesitation, but we're still spending really aggressively. so that mismatch has to be resolved pretty soon. i think investors will eventually start to lose patience. we're not the most patient bunch i would say. >> we've seen the housing market sort of frozen in large part because mortgage rates have sort of stayed so high. where do you see that in terms of investment opportunities for 2025? >> i think housing -- so many average americans see their house as the primary asset that they have. it's where they derive a lot of their sense of their own wealth. i think the challenges we have right now is a real mismatch in terms of the inventory that's

out there and what people are willing to pay. so many of the less expensive houses that were out there really got sucked up during 2020 and 2021 and flipped. now you have this entry level buyer that doesn't have lots of options in terms of where they can find the right kind of house. i think this is going to favor dreambuyers homes for the next year, particularly if interest rates remain high. >> the dreamfinders homes is one of your likes. you also -- you like advanced drainage here from wms. why? >> yeah. i think when you think of a portfolio, i think a lot of portfolios today have more tech exposure than they may really recognize or realize. i think it's important to compliment technology with slightly less cyclical, less sexy industries. i think it focuses on water and infrastructure, which we all

know needs investment. it has more earnings durability through an entire market cycle. i think that's an important compliment i want to add to your portfolios. you don't just want your high fliers, you want your steady eddies through an entire decade. >> okay so the buying real things, and you say like pools, people have to buy pool chemicals if you've got a pool. >> yeah. the thing about pools once you have it in, you have to buy those chemicals for it. even in tough times. and pool has this distribution advantage. again, it's not sexy, but it's the time of business you want to have in your portfolio, because it's going to support you in tougher times. >> it's amazing if you spend any time on social media, you can see trends emerging, especially among younger consumers. but i think too for senior citizens, you can see what

grandmothers are doing on social media as well. the market for quiet luxury, for expensive things that shout i spent a lot of money on these, and all of these dupes. where do you see opportunity in terms of investment when you're looking at these trends that are developing on tiktok and other places? >> yeah, i think it's amazing how much good information i have gleaned on tiktok. one of the things that was really interesting to me was someone raised this point. boomers right now, they were in a very different dynamic where luxuries were genuinely very expensive. if you bought a tv, it was several months rent. now the necessities are what's expensive. rent and groceries are the things that are really expensive for the average person and the tv is just a fraction of your month's rent. and that's created this really weird dynamic, where people i think barbell their spending. they want better value and then things that are built to last and are willing to spend money

there. then they want the cheap goods that they can get that are disposable. i worry about companies that are serving things in the middle. i think that's particularly true in apparel. your gaps are the places where customers just don't see the same level of value they expect, and they would rather spend more for the super high end or less for the disposable. >> julie, thank you for your suggestions for 2025. >> thanks very much. we all know the famous line that greed is good from the movie wall street. but look, turns out gridlock is better. look at this chart. stocks are set to post their best two year stretch since the late '90s. and it brings us to our next story, how very little the 118th congress has done, or been able to get done. with the new congress set to begin friday, let's go to washington. emily wilkens with whether we can expect things to be different next year. maybe if the result is that good, if there's a correlation, maybe it's better if they just

don't do much. >> contessa, we'll definitely be seeing exactly how much they get done next year. they want to do a lot. and of course you have the republican trifecta. it's good news for lawmakers hoping the next congress is going to be more effective than the previous one, because the bar is pretty low. the last two years, 503 bills have been enacted and became law. this was either them passing on their own, or getting clumped together and passing. you compare that to previous years. you saw more than 1,000 bills get passed in the last three sessions of congress, including the 116th where there was split government. this session, of course, lawmakers in the house spent several weeks battlingthe speaker, not able to move any bills. daniel shoeman, the executive director who works with gov track says we could see similar issues in the next congress. >> the reality is that republicans in the congress are split.

there's a fashion that want to go further with some things, and a bundle of republicans that are more traditional republicans that have more traditional notions of what they want to do. and as a consequential, mustering a majority of republicans to actually do things is going to be difficult. >> with republicans in control of both chambers in the white house, you have chip roy, really hoping they're going to have a more productive two years than the past two years. >> now we're going to have the house, the senate, and the white house. now is going to be the time to put up or should up. so we'll see what republicans can do. >> republicans already have a very ambitious agenda. planning to run on energy policy, more security bills and of course they have the debt limit to raise, the tax package to take care of. in less than three months, we're going to have another debate on funding the government. and of course, there are still

factions within the republican party. i think the big question is can president elect donald trump really unify everyone and get them to move forward together. or are we still going to see the debates we saw the last two years? >> debt ceiling to raise or eliminate all together as some lawmakers have suggested. while we have you, what's the latest on the treasury department's computer hack? >> obviously this is the u.s. treasury department, noting that a state sponsored chinese hacking operation was able to access the desktop computers through a third party software. this is according to a letter seen by cnbc. the letter says hackers were able to access certain unclassified documents on those laptops. the company said in a statement that it involved a remote support product. they said none of their other products were impacted. they notified the numbers of customers involved. they also said in the statement

that no other of their beyond trust products were notified. law enforcement has been notified and they are supporting the effort. they disclosed the incident on their website when it happened in early december. since then, they have been providing updates as they looked into what happened. the treasury department has also weighed in with a spokesman saying treasury takes very seriously all threats against our systems and the data it holds. they note over the last four years, treasury has bolstered its cyber defense. this is not the first time we have seen government employees targeted in an attack by chinese state actors. and of course, there's a lot of concern about what this could mean for the future of our government and what, if anything needs to be done to prevent some of these attacks

from getting in. as well as what these hackers saw and what data going forward. >> just saying it wasn't classified material doesn't really nail it down. was it taxpayers' personal information? information of the employees who are working? you're right about that. and really a lesson, a cautionary tale to companies and businesses all across america that the intrusions are still happening. emily, thank you. appreciate it. coming up, defending against disasters. the insurance industry is racing to adapt to a worsening wave of wildfires and other natural disasters. we'll tell you how regulators are reacting and what investigators need to know. as we head to break, the s & p is trying to avoid its first four day losing streak to close out a year since 1976. what will it take to go for a three-peat? we're going to lk ooat how to position ahead of the close. "the exchange," back after this.

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and sent the state's insurance market into a crisis. now california has joined at least a half dozen other states forcing insurers to do their best before disasters happen. >> advanced fire resistant materials and lots of defensive space or areas clear of plants. light a flame. within minutes, the difference is clear. >> amber resistant vents, dual pane temper windows. these are great features that buildings can have to be wildfire prepared. >> reporter: 45 million residential buildings are in high risk wildfire areas across the nation according to the insurance institute for business and home safety. because embers fly, it's crucial to act in concert. only california and utah have state codes concerning wildfire exposure. california is just now joining about a dozen states mandating

discounts for what insurers call mitigation. >> if we're serious about having a robust insurance market that's there for people when disasters happen, we need to put in place mitigation efforts. >> in florida, it's hurricanes, and the entire town of babcock ranch is built to with stand them. solar power and building designs to resist 150 mile-an- hour winds. when hurricane helene hit earlier this year, many homes built to the most recent codes withstood the storm surge. >> mitigation absolutely makes a difference. you can see properties elevated against water damage. they have tie-downs on their roofs. they have updated roof shingles. all of these things make a material difference in property vulnerability. >> that has a real impact on whether or not homeowners can get insurance and how much they could pay. premiums could be marketably cheaper, by as much as 70% when homes are significantly

elevated. but in the end, the investment to defend against disasters could make a difference between a home that's still standing -- and one that's not. >> and when communities come together to install mitigation measures, it also matters to the insurers. good news for insurers. january 1st reassurance rates have declined by 5% to 15%. of course it's been a great year for rate increases for insurers themselves. shares of progressive, hartford, willis tower, all up. lemonade and root have seen even more exponential growth in their share price this year after a couple of not so great years. so how do you play it from here? for more, let's bring in josha shanker, senior insurance

analyst at b of a securities. josh, it's great to see you today. it's been a great year. why do you think -- how do you think they are positioned going into 2025? >> well, first of all, thank you for having me on, contessa. i want to start with return on equity. going into 2025, it's going to be quite excellent, but it's been a hard few years for these insurance companies. you recall, auto, which drives all of this, everyone stopped driving during the pandemic and it caught some of these insurance companies offguard. if you had been paying out of pocket for your insurance, you know your insurance has gone up a lot over the last couple of years. that's because the insurance companies weren't making money off of early on. now these companies have moved to a place where they will be

profitable in 2025. while that hurts the wallet of the average american, the insurance companies can't not make money. they're in this to make money. some people are saying, gee -- go ahead. i was saying that some of the things, look, they've made enough money here, can they cut prices? it tends to be pricing almost never goes down, but we think there will be some flattishness. >> wall all state said they were starting to see some retension issues. meaning people were starting to shop around for other car insurance. and when you have had rates increasing the way they have been, it means more companies are interested in getting into, for instance, auto insurance. we're seeing the same thing in reassurance, right?

the reassurance rates have skyrocketed. you get more companies saying you know what? it seems like a pretty profitable business to be in. everyone watching also has a personal stake whether it's for the business that they're running or for their home and auto. a personal stake in how much you're paying. >> i think that's right. look, in terms of new incumbents coming in, do you trust the brand that you've never heard of before when you're looking to buy insurance. companies spend billions upon billions of dollars over multiyear periods in order to create knowledge of the brand. two, you have to have a long

track record. you can win a lot of business by having the cheapest prices, but you may not be making any money. one of the funny things about insurance is, it's easy to grow and have a lot of business. >> your best insurance ideas for next year, progressive. those shares right now up 50% year to date. that's pretty impressive. you're looking at r and r. which is a reassurance company and core bridge, an interesting life insurance company, a spinoff of aig. but one that has really been able to make hay while the sunshines, no matter what the rates are doing. >> yeah, those are the top ideas. they're each in different sectors. progressive with the huge market cap is probably the most interesting. you see it up over the last year, and that's true. not so much over the last three months though, i think there's

opportunity in that. i think the investor in general is viewing that it's time to jump ship a little bit too early. we expect that progressive is probably increased in the next year as the company grows. the company has top line growth this year and in the 30% range next year, within the 20% range. they take all their expenses and amortize them, and actually the market improves when that happens. yeah, price is probably flattish next year, but margins should actually expand, and we can then catch the market by surprise. the stock has done well for ten years for progressive. it will be another year, it will be 11. >> renaissance rates up. and core bridge has had a very good year. i'm having trouble. can you guys pull up that year to date chart again?

i'm having trouble seeing it in my fact set. josh, great to see you again. thank you for that. >> thank you. take care. still ahead, we're wrapping up the year with a look ahead to the biggest questions in a.i. for 2025. has the pace of progress already peaked in 2024? what's next for silicon valley and the tech landscape for 2025? there are some feelings you can get with any sportsbook. ohhh! the highs! no, no, no. the no, no, noooos - oooooooo! the oh, oh, ohhhhs! now whatcha wanna do with this? but the feeling that, no matter what, you're taken care of.

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welcome back to "the exchange." i'm pippa stevens with your cnbc update. ukraine's air force said a russian air strike hit the ukrainian capital of kyiv overnight on tuesday. russia's defense ministry said its forces successful from targeted a ukrainian air base and shot down over 60 ukrainian drones over several regions. a u.s. district judge says bob menendez will be sentenced at the end of january. the judge rejected the ex- senator's bid to delay his sentencing after being convicted of bribery and other

charges. the ex-senator's wife is being tried on similar charges. it looks like new york city's congestion plan is set to begin next weekend. the judge largely rejected new jersey's challenge to the plan on environmental grounds but said the federal high administration would need to weigh in. contessa, back to you. thank you, pippa. tech stocks rallied this year on the a.i. trade, but has the pace of progress peaked? it's one of the biggest questions for a.i. in the new year. let's get more on today's tech check. >> it was amazing how quick that debate shifted from just niche research circles to mainstream discourse this year. it will have major implications for the a.i. trade next year. they spent much of december rushing to ship as many products as they could. there was openai's 12 days of

ship mass. google had at least 10 releases. but that is just the beginning. in 2025, a new a.i. paradigm that values use cases over technological leaps that will shift the entire landscape and could end up with the winners and darlings. the key to that will be advancements in reasoning, which openai put this way. having a bot think for just 20 seconds in a hand of poker could train it for up to 100,000 times longer. you're doing a lot more with less. a different kind of progress using the existing models that requires a new kind of hardware that could disrupt the dominance of gpu-centric hardware. the shift will also put the focus on open source and small language models as businesses start to realize they do not need the largest, most compute

heavy models to deliver the best value. smaller models have proven faster and cheaper. open source models are also becoming more attractive, because they're affordable, and accessible, and potentially scale better. yesterday we discussed china's deepseek model that competes with some of the most advanced western models. it was built for a fraction. cost in a fraction of a time. that development alone, contessa, is going to have huge implications for the a.i. trade next year. >> it's sort of like what you see pharmaceuticals going through when they invest all the rnd and then at some point, the generics come in and compete, and they do it cheaper and easier, because somebody else has already laid the groundwork. >> that's a good analogy. we don't know. that could be the incumbents that continue to win next year or some new players. we don't know what openai are working on now. >> thank you. happy new year. >> happy new year. coming up, the bond markets close at the top of the hour t fo tt,da bubereha we're going to look back at the year that was

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the yield on the ten year, just about 4.57 right now. my next guest sees it hitting 5% before coming back down. he's betting the move could lead to some equity repricing in the first quarter as a result. for more, let's bring in jeff killberg, a cnbc contributor. jeff, it's good to see you today. talk to me a little bit about where you see the interest rates going into 2025 and what kind of impact you have that playing on the markets? >> contessa, good to be here. i know my view isn't currently the happiest of new years, but i think it's quite healthy. i go back to where i cut my teeth contessa. i started at the chicago board of trade. you look at just today's session. we can't take too much out of the last session of the year,

but we are seeing yields elevate. we're seeing the sell from the futures. i think the 10 year note moving to 5% is in contrast to what the fed wants. they've moved their balance sheet below $7 trillion. they still have to service that debt and that cost of that debt is all tied to interest rates. i think with the ten year note moving higher, that's going to be a lag effect on equities. i think in the bigger picture contessa, when you see some of those high-flying, higher baited names, i think it's welcome to see some type of revaluation in those mag 7 names, as well as tech 7 names in general. >> there's been so much a.i. euphoria this year for investors. you're looking at one particular name that's not a pure play. this was our chart that we kicked off the exchange with today. but another that could have a real benefit from a.i. what is it? >> well that's tesla. it's interesting. i got a lot of lovely remarks

on twitter when i was talking about buying tesla in 2023, and early 2024. but if you through the data of the a.i. component, that's where tesla is going to reward investors. here in this moment, i think there's more upside. but it's going to be contingent bohn what lens are you looking through? i go back to looking at how we're seeing different a.i. levels scrutinized. microsoft was scrutinized due to cap x. they were making the investments on a.i. however on the other side of the pond, we were seeing facebook, better known as meta, making massive expenses in the cap x for 2024, and that has not been scrutinized. i think we'll see some rebalancing, because investors in 2025 will want to know what all of this a.i. euphoria is it actually producing revenue? they're going to want to see

revenue and be held accountability. that's where some of the overstressed names have some vulnerability in 2025. >> it's sort of like the b attitudes of jeff killberg. the healthcare materials, you're seeing some opportunities, and the dog of the dow, boeing. why are you getting into boeing? >> if you remember back after a really rough 2022, i had a nasty of the nasdaq trade. one of those names was nvidia. nvidia is up about 850%. i don't think of the names i'm presenting have that a.i. flare. but if you look at boeing, it's been oversold. right now, we don't own these sectors, we're waiting, but being very selective. if if you look at materials, and energy and some of these names beaten up like a boeing, i want to own a boeing. we essentially own it, because we believe boeing is still

essential. yes, it's been a tremendous amount of headwinds for the company, but we think it will come back into favor when you see some of these large market cap way. we go back to the top 10 names. nearly at 40%, when you see all of these index etf's have to rebound, that's where some of these will arise themselves. i think of boeing, sherwin williams, lily, and also pfizer, which has had a really rough year in healthcare. it's not going to materialize today on new year's eve. it may not materialize in january, but i think overall, you're going to see sector exposure that allows sector opportunities moving forward. >> jeff, it's great to see you today. and i'll look forward to seeing you in the new year. coming up, the celebrations have already kicked off around the world. let's show you a lot of sydney, australia. the opera house with the fireworks overhead. just an amazing way to kick off

our view from around the world. the new york stock exchange, getting ready for one of its own new year's traditions. bob is there live. >> it is a tradition that goes back to the 1816s. singing on the floor of the new york stock exchange on the time trading day of the year. especially poignant this year. we are fortunate to havert a's family with us on the floor, former and present members of the new york stock exchange are here as well. we'll be back with the annual singing of wait until the sun shins,shines, nelly. good thing you don't need to fingerstick. how's all that food affect your glucose? oh, the answers on your phone. what if you're heading low at night? [phone beeps] wow, it can alert you?! and you can even track your goals.

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time for a century old new york stock exchange tradition, with roots back to the 1800s. bob is back on the floor with the traders and some very special guests. >> contessa, barbershop singing on the last day of the year goes back to the 1860s.

in the 1930s, traders began singing a 1905 song, "wait till the sun shines, nellie," that promised even better times during the depression. art cashin led the annual tradition of that singing. with art's passing, we're honored to have art's family with us today to help lead that tradition. here for the annual singing of "wait till the sun shines, nellie," peter cashin and art cashin iii. take it away. ♪ wait till the sun shines, nellie as the clouds go drifting by we will be happy nellie don't let me hear you

make a sigh wait until the sun shines nellie by and by ♪ >> there are probably 154 members of the new york stock exchange with us here today, but most important, art's family is here today. you're art cashin iii here. your thoughts on this day, when we commemorate your father and you continue the long tradition. >> we want to thank the nyc and everyone that has come together to honor him. the big things of his legacy is the charity work that he always did through the floor. as far as "the exchange" dinner christmas fund and the fallen heroes fund and all that stuff. when people remember him, i think that's one of the things he would really want to be remembered for. >> and peter cashin, of course, the important thing here is continuing those traditions and the annual singing of wait till

the sun shines nellie. your father was involved in so many causes down here. i know you feel the same way about him and what a beautiful funeral you had for him, commemoration and the outpouring of love that came was really exceptional. your thoughts right now. >> thank you. yeah, i can't thank you enough for all the years of friendship that you've shown my dad. i think this is not just a tribute to my dad, folks. this is a tribute to the men and women who've worked down here for well over 100 years. this is one of the most charitable places i've ever been. i know wall street gets a bad rap sometimes, but the charitable work that came out of this building was just outstanding. it's a tribute to all of you that came down here today. a tribute to my dad, and not just that, but a tribute to the good men and women who have worked here all the years. thank you so much for tuning in today, and for spending a few minutes with us. >> it's hard to describe. thank you. and a lot of people who have

worked down here almost as long as your father and feel the same way about that great charity work. it's hard to describe how much your father meant to this place and he means to all of us. lid martin is the president of the new york stock exchange. you've been so supportive of art and his family. thank you so much. your thoughts on continuing this tradition. >> it's very important for us to respect tradition. we respect our tradition. 232 years old institution, who's never lost sight of its north star. art was the soul of this place, but it's important for us, for all of us to come together to honor his memory, not just celebrate his memory, but also celebrate the future. >> and briefly, we've got to go, but nyse 2025, what can we look forward to? >> strong markets. strong markets, reopening of

the ipo indell. >> let's hope on the ipo. as a long time observer, that's what we need. hopefully have a happy 2025. thank you all for coming. the old timers here at the new york stock exchange. happy new year, everybody. contessa, let's hope it's a good one for all of us. >> bob, absolutely. just so you know, there were cheers and a rousing round of applause here when the song concluded. thank you to bob and all of those on the floor. coming up, the big business of youth sports, we're going to check in with the company that's using tech to simplify the experience and take it to the next level. we're back in two minutes. sic. are you okay? i'm incredible! so many in-network docs on zocdoc. this one never rushes appointments. and that one makes patients feel heard. booked! sick! you've got options. book now.

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or become one. wait, can i do both? let me ask my mentor. of course you can. bring someone along on your journey and see where it takes you. there are about 73 million children in the united states and nearly 60 million of them play sports. that industry is now worth $37 billion and expected to nearly double to 70 billion by the year 2030. with all of those young athletes come a lot of opportunity, especially where organization is concerned. let's check in with one of the companies and how it helps coaches and parrots organize the scheduling process. team snap ceo joins us here today. so this is a really interesting company that helps the team

coaches and the parents and the managers all get on the same schedule. where's the growth in that? >> yeah, so contessa, first off, thank you for having me and happy new year. the macrotrends and tail winds behind youth sports is only growing in momentum. you start to layer in the parents, the families, the owners of all these league operations, you're touching well over 50% of the united states population. technology is only helping to infuse that growth overall. a younger generation of parents are starting to come up. they want everything accessible, on the mobile device. and those operators need to run their business as an effective small to medium sized business in the united states. >> who's paying the subscription fee? >> we have kind of a dual model. we have an offering that is focused on the consumer, the independent coach. and there's a direct to consumer offering that we brought to market about a year

ago, through the acquisition of a company called mojo sports. we announced that on one of your peer shows in "squawk box" about a year ago. that's allowed us to bring a content offering into our 2 million active daily users. whether it's at parent or the coach subscribing to the viewing with the really around coaching and development. >> how important are girls in the broader sports? >> it's a big group overall. making up 34 and 38% of youth sport participation respectively and that's only continued to grow throughout our numbers in 2024. >> let's talk about investing in youth sports. where do you see activity going in 2025 where youth sports are concerned? >> i think we're at the cusp of a period of time here where

there's going to be significant consolidation, both on the programming side. in march of 2024, you saw starting the unrivaled company, bringing together league operators. cal ripken baseball, and flag football. then you've also seen it on the technology side. that's going to accelerate. when you zoom out across all sports tech, you see about 7 billion of new funds announced in 2024. you saw about $34 billion in overall activity. $5billion of that was through mna. >> it seems weird to talk about gambling and youth sports in the same sentence, but the other thing is name image likeness, states allow high schools to monetize the opportunities here. how is your company and other companies playing a part in that? >> so look, nil is an example

of how kind of through professional collegiate, high school, and all the way down through youth sports where advancements will continue to come downstream. we are seeing significant adoption. you said 39 different states across the high school age bracket. and we're starting to closely manage that. right? especially through a lot of relationships we have with major national sponsors. we do allow kind of a sponsorship aspect of our platform where companies like a jersey mikes or a verizon or a toyota can directly invest in sponsor youth club organizations and we've brought $14 million of direct investment to those clubs. >> are you looking at an ipo. >> not quite yet. we're not to tt hasize yet, but we're going to get there. >> thank you so much. that does it for "the exchange." i'm going to walk over to the other side after this quick

break. we'll be right back.

hello everybody. welcome to power lunch alongside john ford. coming up the trading year is coming to an end and it comes not with a bang but just like a shrug and a meh. this is the year without a santa rally. we will take a look at what it could mean for markets in the months ahead. and pres