♪ ♪ [thunder rumbles] ♪ ♪ >>> it's deja vu for softbank.building another stake in the firm after pushing for changes four years ago. deidre bosa is digging into the story for today's tech check. deidre? >> kelly, let me first tell you why this is happening. soft bank's market value is 90% is worth some $123 billion, more than the entire market cap in tokyo, of $85 billion. then you have the vision funds, which are back on the block, t-mobile, it's net asset value far surpasses what investors think the company is worth. according to a source familiar, elliott has built a position worth more than $2 billion is pushing for softbank to do a $15 billion buyback as a way to narrow that back by boosting softbank share price and acting as a sign of confidence. whether they are willing to buy into that new strategy, more than an open question. over the last few years, he's been building up his war chest to go on the offense and pursue investments in ai. arm a big part of that war chest. according to this slide, he's looking past even agi to asi, tha

take a look at softbank as well. the softbank agm is underway.will be keeping an eye out for details. for the next big move, they are going to look at ai. this is what is moving in terms of global market movers as well. i lot of red on that screen also. we will be back in a few moments with more. this is bloomberg. ♪ want to save on some of the biggest names in streaming on the network made for streaming? x marks the spot. now you can add the new xfinity streamsaver™ that includes netflix, peacock, and apple tv+. that's xfinity streamsaver™ for just $15 a month. all your favorites. all in one place. only from xfinity. for more watching and less spending... x marks the spot. do it all on the network made for streaming, and bring on the good stuff. >> don't worry about that share price stuff. i was born to realize aasi. agi stimulates agi and drives evolution. paul: the softbank group founder speaking at the company's annual meeting. let's get more on what we heard from that meeting with our technology editor in tokyo. masayoshi son -- masayoshi-sa

this ambitious vision from son about asi and the future of ai and what that means for softbank.ou connected away from the fact that at the end of the day, investors want returns. they've seen strong gains on the share price. we've seen a 60% rally in the share price so far this year. that comes on the back of a 124% rally in arms holdings. investors want to see share buybacks. that will be useful for them. although, the share price growth has been strong. ed: it's hard to pick out what the prevailing factor is in the market right now. we talked about the concern with valuations. nvidia trading at 45 times 12 month forward earnings. we will look at apple later. if you take softbank, like many investors, there seems to be a wholehearted belief you have to be in ai at all layers of the stack and if not, you will be left behind. fiona: we cannot get away from this idea ai has driven such a strong rally in ai stocks and obviously that bled out into record highs in the s&p and the nasdaq this week. at the end of the day, there might be a sense perhaps the ai trade right now is overhyp

. >>> and we'll talk roari about g kitty's return and softbank and how it handles its cash. it's june 5th, 2024. you're watching "worldwide exchange" right here on cnbc. ♪ >>> good morning. welcome to "worldwide exchange." thank you for joining us. we're going to start with a check of u.s. stock futures. right now you can see that trend continuing. a modest start to the futures right now. it looks luke the dow would open just about 35 points higher. the nasdaq up around a quarter. we're checking the bond market following yesterday's cooler than expected jobs data. showing the fewest job openings in about three years. take a look at yields. the benchmark at 4.34. it's fallen about 15 basis points this week. it's something we'll be talking about shortly. fixed income coming up in a few minutes. we're looking at oil trading at its lowest level since february. trading lower once again. wti, down about a quarter of 1%. brennet crude, pretty much a similar story. both of them at around 80 buck as barrel. around 85 for brent crude. >>> let's get a check on some of this morning's to

. >>> and softbank makes its latest bet on a.i. ey are putting their money to work when we return. at least, not the way it could work. your people are buried in busy work. and you might be thinking... can ai make it all work? it can. on the servicenow platform, ai transform your enti. your people work better, your customers are happier, and todd... well... he's practically euphoric. practically. so, let's get to work. (♪♪) >>> welcome back to "worldwide exchange." time for the global briefing. investors in japan are concerned over the yen currency. we have jp ong with that story and more. >> reporter: good morning, frank. it was not a cheerful day across asia with most stocks ending in the red. there is a lot of reasons to be a little bit more cautious. we start off in china. from shanghai to hong kong, all closed in the red. failing to impress on profits. growing lower at the 4% growth reported in april which raises more concerns of the chinese economy, second largest in the world, starting to slow down. still a lot of questions

. >>> i want so talk about softbank, because elliott is back at softbank. it's an "ft" story. they're there with a $2 million stake, pushing for a large buyback. will they get it? maybe not to the $15 billion tune that they want, but there is a hope that they will get them to pay some attention here. they were there back in 2020, our viewers may recall. then they owned about $2.5 billion, similarly pushing for a large buyback. they got a good amount of that as well or some of it, at least, at that point. softbank, a different company now. so much of its future really is based on its ownership of arm. remember, there's only a small percentage of arm that trades. the rest is owned by softbank division fund. we don't talk about nearly as often any longer. a lot of the holdings there being sold over time given what was a lack of real performance. >> right, right. >> and you can see arm holdings is up. but softbank, also up rather substantially, on this story, again, of the pressure being f applied to some extent by elliott. we'll see whether and how large any potential buyback is.

it notes the large gap between softbank's large asset value, a lot being a.r.m.son would rather use its tap at all to invest in the ai companies, and at least one thing is similar from last time when he deployed the vision fund, some $100 billion. the vc community agrees that valuations in ai have become inflated, so it's interesting to think about what masa son may do. i'm told it won't be sort of the straight late stage investments that we saw with the vision fund, but, again, strategic, potentially strategic m & a that goes in tandem with a.r.m. >> the activist wants a buyback. he wants to be a vc. deirdre, thanks so much. we appreciate, it deirdre bosa. >>> tyler will bring us more big-name guests from the hamptons on "power lunch." don't go anywhere. ♪ music ♪ ♪ unnecessary action hero! ♪ ♪ unnecessary. ♪ was that necessary? no. neither is missing your daughter's competition to do payroll. with paycom, employees do their own payroll so you don't have to miss your daughter's big day. time to shine. get paycom and make the unnecessary unnecessary. the future i

they did not tell me softbank is buying this business for 3 billion u.s.talk to us about that. >> it is may be part of the bigger funding round. there is a new funding round for perplexity ai. it is a company often spoken about on in the same sentence as google. a lot of startups have tried and failed to challenge google over the years but it is looking shakier of light. we hear from sources is softbank we knew wanted to make a big ticket into an anti-company. perplexity could be the one. it has only been around two years but is looking for funding. this round could be $250 million. softbank but in between 10 and $20 million at a valuation of $3 billion, so tripling what it was previously. that does make perplexity now possibly the most highly valued company in the industry. certainly, one to watch. tom: talking about you, spacex, we got a bit more severe in terms of how valuable this company is. >> we are seeing possibly another tender offer on the way. employees on the inside could be able to sell shares at around $112 apiece. we last reported on a tende

another day, another ai start-up, this time it's softbank, the japanese tech investor.e to break down the details for today's "tech check." a source familiar confirms that softbehavioral is go-- they're going on the ai offensive and perp perplexaity is a darling in the -- it did so largely in late-stage rounds, inflighting valuations, many of which were ultimately unsustainable. another buzzy has struggled with competing tiff turnovers. it found a lifeline from a group of investors including john parker and co-2 manage, that many traditional vc investors considered to be silicon valley outsiders. so this space is as hot as ever, kelly and tyler. the real north star is openai, which has overcome many, many controversy, many leadership challenges to sign deals, and it's even proving to provided them with some competition for the likes of microsoft, even. >>> i think it's so exciting that so much money is being poured into startups, some with little to show for it. it's this idea, and perplexity as an example, it has a business model, it charges a subscription fee for a mo

less softbank's start with sounder health care -- founder health care on where to harness ai for theealth sector. one company who is expected to bring up is tempest ai that is backed by softbank that analyzes medical data. south korean chipmakers are about to get a financial boost. the country is going to inject $90 million in support to build out the semiconductor industry starting in july. eligible firms can tap the program at the lowest rates as countries worldwide are moving to make chips locally due to global supply chain concerns. those are some of the new stories we are following. i want to get to crypto. strike is now launching in the united kingdom. delighted to say that the ceo jack manners joins us now on bloomberg technology. i found this interesting. without boring you with that, i moved to america six years ago. at that time when i was covering technology london in particular i would say and the consumer base was much more focused on fintech and crypto. six years on you guys have made the move, why? jack: simply put we view bitcoin as a paradigm shift. i think that bitc

other braking lines coming through from softbank as well.rebuilding a stake and soften, pushing for a buyback. that copy listed in tokyo. the stock price jumping on the back of this report coming up 5% on the back of this. the state is worth more than 2 billion u.s. dollars according to reporting from the financial times and they are again pushing the activist investor for a buyback worth as much as 15 billion u.s. dollars. accordant to reporting from the financial times, the stock railing over in tokyo on the back of that news. we'll get were details on that in the hours ahead. european parliament actions are getting more tomorrow. we will have a look on the war in ukraine and how the threat of russia is playing a part in the boat, that is next. this is bloomberg. >> president joe biden is planning to meetings with ukraine's little ms. less he in the coming weeks. the u.s. leader is seeking to telegraph solidarity with kyiv in the war against russia. the president will meet zelensky this week in france on the sideline to the 80th anniversar

. >>> elliott management targeting softbank again.t's pushing for the company to launch a $15 billion buyback. the report says elliott is currently engaged with softbank management. he tyke a chance. they ramped up the pace of buy backs. >>> ee because is going to drop american express cards as a payment operation because of, quote, in this woirds drn plan to note phi customers about the change the week. i assume there's not an america express. it's american express? >> yes. >> the "n" was just not there. >>> overnight, there's a suspension of asylum claims allowing u.s. authorities to reject those who enter the country unlawfully. the ban will remain in effect. the number of crossings has dipped to below 1,500 people. >>> israel has waged an influence campaign. it says the co-vertz campaign used hupp drawn up hundreds of it. it focuses on larms who are black and democrat with posts urging them to continue funding israel's military. chatgpt was used to create many of the posts. i guess this is done all the time. it's a little troublin

[cheers and applause] next up, japanese investment group "softbank's new ai makes angry customers soundbut the technology does not change the caller's wording, only the pitch and inflection of the voice is softened. perfect. so now you'll get totally normal human comments like, [calm, friendly voice] "listen, a-hole. i've been on hold for three hours. your business makes me want to smash someone's face with a brick. eat a bag of ass." [applause] next up, a.i. is now everywhere, and it is producing so much crappy imagery and unreliable information online that there is a new word to describe it. "slop", a broad term that references shoddy or unwanted a.i. content in social media, art, books, and, increasingly, in search results. now, i know it's hard to keep track of all the new terms, but just remember "slop" is "mid" and does not have "rizz," so we're not "gagged" for "slop", because it is not a "low-key goated" "situationship" with "vibes." nailed it! [cheering] nailed it, cole-bert! you're not old. another prime new source of slop is google, who recently launched ai overview, which ca

softbank's vision fund is investing in perplexity ai.are investing between $10 million and $20 million into the startup. that's part of a larger $250 million funding round that shuffles perplexity's valuation to $3 billion, making it one of the most highly valued companies in the industry. spacex, it is notching a $210 billion valuation as are selling shares at $212 apiece. it boosts the value of the space and select company from $180 billion back in december, making it the second was valuable startup in the world. joining us is katie ruth. it is the most valuable in the u.s. ever. katie: bytedance is the most valuable in the world but for the u.s., spacex surpasses its own record. it's at 210 billion dollars, up from 100 dollars in december. ed: there is such intense interest in spacex and getting a piece of it. it is worthwhile for our bloomberg technology audience around the world, explain the mechanics of how the tender offer works. why us learning from sources the share price is important in the math. katie: that is insiders like em

avalarahhh ahhh ahhh ahhh ed: softbank travel app is said to be planning a $400 million ipo in the united sources say the start is eyeing a launch in july with a valuation of between $7 billion and $9 billion. a final decision has not been made. ai startups in silicon valley are stepping up efforts to stop a california bill that would place public safety guardrails on ai, saying it would curtail innovation. the bill aims to mitigate catastrophic risks by future ai model such as weapons develop meant. the bill has until august 31 to pass the measure. u.k. tech tycoon mike lynch has been found not guilty of all charges. he was accused of using accounting tricks to dupe hewlett-packard into buying his software startup for $11 billion in 2011. the outcome marks a redemption for lynch who argues he was used as a static goat -- as a scapegoat for the deal. caroline: extraordinary. let's talk to rachel graff about this. here is a man who advised several prime ministers in the u.k. and was a pinup for what he could be and then he completely fell from grace. is this the redemption? rachel: he was

chip names and how they perform taiwan semi conductor, brand-new record, japan's advanced test, softbank all moving higher in asia trade. if you look at the markets overall, we have the ftse 100 barely showing again i'm talking about europe in the asian markets in the red, japan's lightly higher in people might say we need to profit take. >> there's no sense of that, two things you have a fundamental driver in certain areas of the market and very rapid earnings growth, technology, 16% earnings growth and on top of that you have another phenomenon by psychology and momentum that is driving the chain at the moment, until that breaks we have good things to come. the yet the equity market approaching $60 trillion in valuation. at some time and some point that may give a positive value investors it is the earnings under technology and psychology weighing of the markets favor. liz: i swear to our viewers working to move beyond nvidia and a second but stock twits put out a tweet and i want to show show our viewers it shows how absolutely wild the increases in the market cap have been. they have

yes i alibaba. 100% private only and if i was owned by lot of the foreign investors softbank has a verynow that what the model was trying to map out was the relationship between you know farms and in the regulators and as as between farms and also the the top leaders like me you see farm actually are not passive players. i mean businesses they they do a lot of things underneath the table i mean, like here, you know, you have a lot of formal lobbying channels. but in china they have to rely on inf channels through information intermediaries, political inrmediaries to try and achieve their policy objectives. so i do give the quite a lot of discussion in the and then in trying to unravel the state business relationship in china. but there definitely interests are intertwined with a lot political elites and in that's a way they can see political protections in the chinese system. and last question about antitrust enforcement. the private i mean, the jd dot 5 already brought the case against alibaba for the chinese woman to business practice. ear they finally delivered the decision right i m

. >> softbank's vision to fund is investing in ai.he latest bet on one that he deems crucial to securing his legacy. complexity is a u.s. startup starting to stink which itself from the ai chatbots while providing real-time information. amazon is launching an online storefront for low-priced apparel and home goods. the plan to start shipping home goods directly to consumers from china. amazon is sought to hold its ground. it previously encouraged chinese merchants to use logistic services that cap merchandise of u.s.-based warehouses. this is amazon's biggest move today to capture the rise of discount upstarts. elon musk space x will sell insider shares in and offer higher-than-expected price. they will be sold at $112 apiece that values the company close to $210 billion per that's up from when they last got evaluation in december. a source says the jump in value is due to significant demand. the valuation is a new record for an american private company and that's your bloomberg brief. jonathan: we will check in and about 30 minutes.