deirdre bosa has the details in today's "tech check. >>> we have always known that softbank would gon gen-ai. they talked about it for a long time many took it that softbank would invest as a conglomerate the nikkei is looking to develop over large ai model. >> the models of today cost about $100 million, plus or minus factor two or three. i think we're going to see models trained in the next year are going to be about a billion dollars. and then 2025, 2026 we're going to go to 5 or $10 billion. and i think there's a chance it may go beyond that to $100 billion. >> that is just a huge amount of money. and softbank has reportedly planning to invest less than a billion dollars over two years if it's right the cost to build one would raise 5 to $10 billion as soon as next year, a billion dollars is far from enough but there's another camp of experts that believe costs will come down thanks to improvements in hardware and alga rhythmic efficiency and more competitive pricing. either way, though, tyler, seema, it's not surprising that masa son is ambitious. this could represent one of the

never mind that this coincides with deirdre bosa's arrival.'s watch them starting with chips, intel amd, hit hard by china telling their telecom companies not to use foreign chips. >> it's bad for technology stocks when i leave san francisco. that's what happens. >> i'm going back next week so maybe we'll see what happens. banks, of course, we've been watching a close eye on them, dragging on the markets. jpmorgan, costing the dow nearly 75 points following its results. citigroup and wells fargo are lower. energy stocks are lower today and that's despite a gain in oil driven by fears of escalating middle east tensions. israel is reportedly planning for a direct attack fromman. threats, those geopolitical fears adding to a long list to the markets where we started the show. >> it's similar to when you had the ukraine war going on initially on the weekends, risk off. so get your hedges up, sell what you need to, before you go into the weekend. see what next week brings with earnings. people surprised at the jpmorgan reaction. go into the weekend

deirdre, thank you deirdre bosa >>> we're going to end on the chips and intel.or us. >> we had texas instruments earlier this week and that report was less than expected with many wondering if the bottom for non-ai segments is near when i talk about non-ai we think intel, pc and server segments both are highly dependent on i.t. spending budgets. citi points to a pc recovery in march and the launch of windows 12 later this year that could be a driver for a pc refresh cycle. other positives, mobile business, given intel majority shareholders that could add a bump in other business sesments. investors remain skeptical, no surprise, intel under performing other chips down 30% year to date with the smh up 20% that's a huge discrepancy. even if server sales are improving, competition from amd is a headwind for intel. secondly, intel's new foundry business, which will be operating as a separate business with this report, has deeply negative gross margins, profitability is a ways out. intel, though, will tout its new ai chip which aims to compete with amd and nvidia q2

we'll start with deirdre bosa. >> i've been listening to your conversations intently zuckerberg raising these concerns over gen a.i. that applies for google as well revenue contribution is still unclear, but for google it is expected to show up in the cloud. continues to spend bill, warning that capex spend will be larger. how does sundar pichai protect search ads while embracing gen a.i. and chatbots? look to core search advertising numbers. the advertising numbers were lower than expected and some thought, uh-oh, gen a.i. is pulling away from search google, too, needs a new ceo they still don't have one. potentially an announcement tonight. we'll be listening maybe a small chance of this, some are looking tonight for a dividend especially after meta sur surprised markets by issuing one that could offset some concerns around spending. it has withheld for a long time. >> jim, what are you expecting you're a shareholder >> i am not expecting a reaction in either. the multiple differential is too wide but if that corrects by maybe microsoft coming down and google going up they all have ir

welcome to "power lunch" alongside deirdre bosa, welcome. nice to have you here on the east coast.rough start to the second quartercontinuing today with the dow down about 479 points right now. unitedhealth, a huge drag on the index, costing the dow more than 200 points all by itself. changes to medicare rates weighing on the health insurers today. we'll have more on that coming up. >>> big tech also tumbling today. the nasdaq down more than the s&p on a percentage basis. and the so-called speculative tech trade is getting hit particularly hard. it's a bad day for cathy wood. her arc innovation fund is down 3% and tesla, one of her biggest holdings, and its falling after delivery numbers disappoint. >>> we also have coin base fallin

along with deirdre bosa, i'm tyler mathisen. welcome to power lunch. stocks are down a little bit dow down 480 points after cpi came in hotter than expected. the dow is down as i mentioned nearly 5 # 00 points right now. we will go to steve leaseman now with the feds minutes. >> minutes to the federal reserve march meeting show there was general agreement that the fed policy was at the peak and almost all judged it would be appropriate to reduce rates if the economy evolved as expected. hold that thought. they later go on to say that participants did not see it appropriate to reduce the rates if they were not confident that inflation was falling towards the 2% target. a lot of that is in the statement. what we see in the minutes is the beginning of a debate between hawks and doves on how to think about the inflation numbers that have come out above expectation two months in a row before this meeting. you have a wing of hawks that we have heard publicly saying things like the recent inflation reports have reduced participants' confidence p that inflatio

welcome to "power lunch" alongside deirdre bosa, i'm tyler mathisen.tocks falling today, but off the worst levels of the session. the dow down about 150 right now -- 158. the focus on two big market events tomorrow. the latest read on inflation, and the minutes from the last fed meeting. >>> the other big market driver after the fed, chips. nvidia is lower by 3% today and down 13% from the high hit at the end of march. one threat to dominance, more companies are working on their own custom chips. google the latest to announce it. more on this coming up. >>> but we begin with intel. it also announcing a short time ago its plan for enterprise ai. kristina partsinevelos joins us with more. >> intel is taking aim at nvidia chips by u introducing ai chip which they claim is better at inferencing, better at power efficiency nvidia's h 100 chip the main chip choice among companies building ai systems and the chip we have been talking about for the last year or so. but intel's gowdy 3 ether net network. pat gelsinger just mentioned about an hour and a half ago

deirdre bosa takes a look for today's tech check. hi, d. >> hi, tyler. tech investors that are feeling nervous about the recent sell-off, free cash flow is the key metric to watch this earnings season and it is to pay down debt, reinvest in business or return capital. and mega-caps have more of this than ever and this looks at the free cash flow at the end of 2021 versus now for the big six and it could raise the potential for a dividend or buyback boost that could underpin results in the coming week. wall street loves dividends and buybacks. typically, tech companies reinvest for growth and that's changing and meta surprised the street by issuing its first-ever dividend leading to speculation that google might do the same. b of a is forecasting that apple will re-up its buyback and increase the dividend by 5%. mega-caps have put the cash piles to work by acquiring companies and the current regulatory environment has been tough tore get deals done and we've seen that and that could be more reason to return cash to shareholders. it's counterintuitive, tyl

along with deirdre bosa, i'm tyler mathisen. welcome to power lunch.down 480 points after cpi came in hotter than expected. the dow is down as i mentioned nearly 5 # 00 points right now. we will go to steve leaseman now with the feds minutes. >> minutes to the federal reserve march meeting show there was general agreement that the fed policy was at the peak and almost all judged it would be appropriate to reduce rates if the economy evolved as expected. hold that thought. they later go on to say that participants did not see it appropriate to reduce the rates if they were not confident that inflation was falling towards the 2% target. a lot of that is in the statement. what we see in the minutes is the beginning of a debate between hawks and doves on how to think about the inflation numbers that have come out

welcome to "power lunch" alongside deirdre bosa, welcome. nice to have you here on the east coast.'m tyler mathisen. rough start to the second quartercontinuing today with the dow down about 479 points right now. unitedhealth, a huge drag on the index, costing the dow more than 200 points all by itself. changes to medicare rates weighing on the health insurers today. we'll have more on that coming up. >>> big tech also tumbling today. the nasdaq down more than the s&p on a percentage basis. and the so-called speculative tech trade is getting hit particularly hard. it's a bad day for cathy wood. her arc innovation fund is down 3% and tesla, one of her biggest holdings, and its falling after delivery numbers disappoint. >>> we also have coin base falling along with bitcoin and therapeutics losing a third of its value after the cholesterol drug caused side effects in a trial. >> all right. today's action a signal maybe that the market is turning just a bit? those seven big tech names that carried the market last year, they're starting just a bit to fade. in fact, they've been fading f

i'm deirdre bosa. morgan brennan and jon fortt are off. dow lower while the nasdaq's losing streak hitting three weeks. we've got much more ahead. nvidia ceo jensen huang is about to give a speech on artificial intelligence at oregon state university. we're monitori

welcome to "power lunch" alongside deirdre bosa, i'm tyler mathisen. today, but off the worst levels of the session. the dow down about 150 right now -- 158. the focus on two big market events tomorrow. the latest read on inflation, and the minutes from the last fed meeting. >>> the other big market driver after the fed, chips. nvidia is lower by 3% today and down 13% from the high hit at the end of march. one threat to dominance, more companies are working on their own custom chips. google the latest to

busy day alongside deirdre bosa, i'm tyler mathison. glad you could be with us.in the past ten. >> jp morgan after the results of citi group and wells fargo, also following their own reports. we'll have more on those banks congress up. is the market still fed-obsessed or is it now becoming earnings ob obsessed? is that all the session back, nvidia helping to drive yesterday's gain. what's the real driver here? we have the dcla joining us for the full hour. let's begin though with mike santoli at the new york stock exc exc exchange. >> it intensified for a bit. we did get a little bit of a bounce, and whether it's just technical or a little bit cute, the s&p 500 bounced off it

deirdre bosa joins us now. how important is this event tomorrow? know, with all the narrative where it's gone over the last, i don't know, seems like forever at this point, they need a boost. >> it's like musical chairs, right? that's why these events are so important because it's a chance for each of the mega caps, whether that's google, whethe that's microsoft, whether that's apple at wwdc to really tell investors and developers and customers how they are going to give them an edge in generative ai. so google's event, the stakes are really high. it has to have a really consistent clear message. when we think about the last 12 to 18 months, how google has been talking about generative ai, it's kind of been all over the place. we started with -- now we finally have gemini. in the same way that microsoft has used co-pilot as a name for its family of ai generative ai tools. google's going to have to do the same thing with gemini, and it has an advantage here because a lot of google applications are cloud native, right? like work space. so it can get

announcing its first ever dividend and a $70 billion stock buy-back let's get more on the numbers with deirdre bosa. >> hey, mel. the call is still under way. the q&a should be beginning soon no surprise, the ceo spent a lot of time talking about his a.i. strategy i want to highlight how the company says it's navigating generative a.i. in search ads, its cash cow he says he's encouraged by what he's seeing so far, including an increase in search usage the chief business officer went a little further, saying that ads are, indeed, finding a place in gen-a.i. products and confident that the opportunity will expand. he also made a point to tell investors that google isn't just search ads anymore he noted that youtube and cloud will have a combined run rate of over $100 billion, suggesting that growth of those units will increase, as well. now, he's also keeping efficiency front of mind, investors loved this he noted head count growth, which was a reduction year over year, and monetization he listed a number of paths to make money but it is probably google's first ever dividend that is most exciting to