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tv   Bloomberg Technology  Bloomberg  November 3, 2021 11:00pm-12:00am EDT

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>> from the heart of where innovation, money, and power collide in silicon valley and beyond, this is bloomberg technology with emily chang. ♪ emily: i am emily chang in san francisco and this is bloomberg technology. coming up, a tale of two failure, mistrust and the hot housing market. now twitter and tiktok users are raging against the real estate firm as it looks to sell $2.8
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seven thousand homes for a whopping $2.8 billion. the message of the digital protesters -- don't buy them. why? we will have the details. plus, much more than sneakers. this company hit the public markets, hitting a $2.1 billion market cap. we will speak to the ceo. and the demand for ride-hailing is back -- lyft reporting a jump in quarterly revenue and saying it will turn a profit for the year. we will speak to the president and as give driver supply can keep up. all that in a moment. but first a look at the markets. a new record after the fed signaled monetary policy will stay flexible. kriti gupta with us for more. kriti: it is all about the fed. tech outperforming, leading the s&p 500 to a record high all because the fed stayed on message. $15 billion of tapering to start in the next month and continue the next couple of months.
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that is what marcus needed to hear, specifically tech stocks which have been sensitive to inflation concerns. the s&p 500 up 0.6%. the nasdaq up a whopping 1%. ,yields higher as well in anticipation. i want to get to earnings, and hit a bit of the micro, because qualcomm just reported a pretty upbeat forecast. shares up after hours. a lot of this coming off surging 5g demand. remember, the ceo made a big effort for this company to diversify some of their suppliers. so some of this beat is because they have been more insulated when it comes to the supply-chain crunch. a different story when it comes to etsy, dropping after hours, 2.6% lower after the market closed, everything to do with that e-commerce boom in 2020 starting to fade. they gave a lackluster forecast into the holiday period following the likes of amazon. i want to hit zillow. taking a massive hit today, 25%,
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after saying it was going to halt its house flipping business altogether. this comes, 7000 homes as you mentioned, but also looking for $570 million in write-downs. so a lot going on. it is taking with it some of its peers, redfin and opendoor, emily thank you for that roundup. what was once a hot housing project for zero has become a total nightmare. the real estate company is pulling the plug on its tech-powered home flipping operation, shares plummeting since the news. the company now trying to offload 7000 homes to institutional investors for 2.8 billion dollars. to walk us through this we are joined by bloomberg's partridge clark. you broke the story that zillow was causing its homebuying business. we have seen the stock plummeted. now this muse that they are offloading homes. what went wrong?
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patrick: still hard to say. a big part of what went wrong was that they bought homes for more than they could sell them for. simple as that. they leaned into the very rapid home price appreciation this year. prices cooled on them, they went to sell homes and they couldn't get as much many as they wanted. along with they didn't have enough workers to repaint the walls, replace the carpets, do whatever at the repairs they wanted to do before they sold the homes. at the end of the day, they decided that they were wrong once in a big way and it was too big a risk that they would get bigger in this business and be wrong again. emily: what zillow got into this business, i remember thinking, that sounds like a hard business? was this really a legitimate business? patrick: it could be a
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legitimate business. the problem they want to solve is real, it is a real pain to try to sell your house especially if you're trying to buy a home at the same time. if somebody comes and gives you a cash offer and gives you flexibility for what you will set your closing date, that can take a lot of the headache out of it. whether you can buy homes for people at a price where they feel like they are getting a good deal and you can still make money on the other side, is the question. zillow clearly struggled to do that. emily: this twitter and tiktok protest, folks saying don't buy zillow homes. why is everyone so up in arms about this? patrick: it has been a really tough year and a half if you want to buy a home, particularly if you are a first-time homebuyer looking for an entry-level-priced home in phoenix or dallas or vegas or nashville, the types of cities that are seeing a lot of pain-migration.
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so if you are in that housing market, the appearance of the zillow and competitors, plus the large single-family rental companies, imitation homes, american homes for rent, a bunch of private equity players, you see these giant institutions with billions of dollars that can come in and make a cash offer for a house. meanwhile, you have to go through this more completed process of getting a loan, if you are a low down payment to borrower, you have to get the home appraised. i think it is a widespread frustration with institutional presence in these hot housing markets. part of it may be that the institutional presence isn't well understood. was zillow really making it harder for a regular person to buy a home? you know, possibly in some ways.
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but in some ways, they may have been making the experience of the housing market better for people. but it is a very emotional issue. it has sort of attracted vertical heat from both the left and the right -- political heat from both the left and the right. if you ask zillow directly, did you not like the optics of this business? i have not heard anyone from zillow say, yeah, that was the issue. but it is a fair question. this is a company that does have a beloved consumer brand. it is only a few months ago saturday night live was making a sketch about how browsing zillow listings was like the new adult past-time. emily: right! [laughter] patrick: i have to think that calling people on twitter and tiktok does not feel great. emily: if they need a
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pick-me-ups, they can go back and watch that snl skit. it was really funny. but a 36% drop in the stock. not funny at all. patrick clark, great reporting from you on this. meantime,, alphabet's self-driving car unit waymo says it will begin mapping new york city streets. this will pave the way for the potential deployment of its autonomous taxi service in one of the most dynamic urban environments in the country. expanding operations to new york shows waymo is stepping up efforts as rebels like cruz make progress on competing services. coming up, a sustainable shoe company leaps in its debut after and upsize ipo. we will catch up with its cofounder and ceo next. this is bloomberg. ♪
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emily: allbirds, known for its sustainable shoes, who just gone public in and up sized debut. more than doubled briefly during trading after its initial public offering. the listing is one of 417 on u.s. exchanges that have raised an all-time high of more than $137 billion according to data compiled by bloomberg. that does not include spacs. for more, i want to bring in the allbirds founder and ceo. joey, a huge day for you after a
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long journey. what is the plan for this new capital? jodi: quite a big moment for the company after being only five years old, we have the great fortune of having a lot of the employees out of the day and we will do a little celebration. we will continue to put one foot in front of the other, so to speak. our proceeds will go to a couple of areas of growth. the first is retail. we are growing at a very good clip now that retail is recovering significantly and traffic in the stores is looking great in almost parts of the country now. we will be building a lot of really great stores around the country. we are also focused on a couple of key international regions, a couple in asia and a couple in europe. we are focused on doubling down on what is a great start, but a really small one in those
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markets. emily: shares up 92%. are you looking at that number and thinking we should have raised the price so we could have raised more money, or maybe we should have another direct listing? how do you think about that? you are mostly celebrating today but is that at all in the back of your mind? joey: you know, it was a very difficult thing to quantify. this was all a bit of a black box. i always said i have never going to be that kind of idiot ceo but that has that kind of a pop. but as we have gone through the process, we had an incredible amount of demand from institutional investors in a way that was quite overwhelming, it was a very -- really rewarding roadshow experience, talking with dozens of investors that were world-class. two factors that made the uncertainty just a lot bigger, the first is we are a retail brand, and people have come to love our products. a lot of those people like to be retail investors too.
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so we expected some activity, but it is really hard to understand what is going to come in the aftermarket in retail. that was really hard to read. being such an authentic leader in the esg space, that resonated very strong in the investment community, and we reached a number of different pockets of capital that i think businesses are not as focused on and stakeholders that are not financial, don't have access to. so, really difficult for us to quantify what the impact was and how they were going to come in at the ipo and the aftermarket, and what is going to happen from here, frankly. we are encouraged by all the demand. that is all we can go to bed happy for the outcome. emily: sustainability has been the key principle from the beginning. an average pair of allbirds have a carbon footprint 30% smaller than a typical pair of sneakers. curious what kind of supply issues, supply chain issues you might be seeing now and how you are navigating them. if we want allbirds the
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holidays, should we be ordering them now? joey: we got you now, and we got you later. we wouldn't have gone public today if we had had disruptions in our supply chain. we had a fabulous outcome from our teams' effort and some good lack. fortunately we had the. inventory in place to serve everyone this holiday and interact year. that was a big factor in having very little uncertainty from the supply chain, and receive retail recovering, tourists are coming back, and we have such an exciting product portfolio. real running shoes that we just launched, and a number of other exciting products, which are the best of the company has ever offered to consumers. so a great backdrop for us to come to market. emily: allbirds been an issue. the uniform is like a patagonia fleece and a pair of allbirds. i am curious how do you keep on
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trend and make sure this is what people still want to wear? joey: we have a really broad base of consumers, geographically dispersed across the country and around the world. we are finding that this health and wellness orientation of our customer is quite young, it is much more female than it is male , and we find our residents with a really broad group of customers and consumers, a lot of them in creative industries. and as we continue to innovate, continue to broaden our assortment, i think we are meeting a lot of new customers and finding that much of the stuff we put out today is resonating with particular audiences. given we are a growing brand, we can really start thinking about how to design and create great products and great experiences for customers and tailor-make them. emily: good to know you have your customers now and later. especially in a busy holiday season. thanks so much for stopping by.
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coming up, a dire warning from the top u.s. cybersecurity official amidst a wave of cyberattacks against critical american infrastructure. what can be done to stop it? we will discuss next. and as we head to break, let's up 5% in late trading should the look at shares of qualcomm up 5% in late trading should the, world's largest smartphone chipmaker giving a stronger-than-expected outlook for the current quarter. that was lifted by surging demand for 5g devices and the company's new push into markets. we will talk to the ceo right here on "bloomberg technology." you don't want to miss it. this is bloomberg. ♪
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emily: all right, we are watching ethereum. a record high. up about 500%.
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bitcoin up 120%. now there is a talk of an ether etf early next year. and a warning from the director of cybersecurity at the infrastructure security agency, the american way of life faces daily threats of ransomware attacks to the country's infrastructure. i'm joined by a security expert who served in the white house during the george w. bush administration. what do you make, of these latest comments from cisa? i am sure it seems obvious to you, but it seems difficult to get folks across the administration on board. jamil: sure. the cyberattacks, one of the challenges with these ransomware attacks is there are coming from a lot of -- as they are coming from a lot of groups. the question becomes, what of the government's role? the attacks on colonial pipeline
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, the attacks on, hospitals and on water supplies, food supplies, we have seen the ransomware spread in ways that really affect the average day-to-day lives of americans and that has got them exercised about it. that has had the government paying a lot more attention. so you see the government talking about how it needs to do better on its own defense. how to make that more effective and get better at specific vulnerabilities that the government has, and how to address those immediately. emily: i am thinking of an attack in a hospital in alabama where a baby nearly died because hackers disabled computers and medical staff could not monitor them. the ceo of microsoft told me that cyberattacks are the new pandemic. is that how you would describe it, and how do we get everyday people to understand how big a threat this is? jamil: satya is exactly right. there is a pandemic around the
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globe. we see these attacks spreading broadly than we have ever seen before and coming after critical infrastructure. take the case of this young woman who came in in 2019, comes into a hospital in alabama she has her child, everyone was focused on, the cyberattack a lot of stuff was going on. they are not able to communicate effectively and there were less eyes on the baby's heart monitor. nine months later, the baby passes away. terrible incident. you could tie it back to some of these incidents. there are even more direct ties if you think about what might happen if our water supply was affected or if power went out and services were not available. as we are seeing this we are realizing this is a concrete challenge for people. part of the problem, emily, we have become accustomed to lots of cyber reaches, our data lost, our identities gone. people have become so jaded when it comes to cyber hacks but these attacks are different because they affect critical
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infrastructure and make it unavailable eventually for some period. emily: there is an organization called blackmatter, a ransomware is a service that the government claims it shut down this week. is it a win? jamil: it is hard to know. we have seen other services shut down, we saw our people go down. some of them are rebranding themselves, they have seen some of their compatriots take it -- taken down by law enforcement. one of the things about black blackmatter, they were ransomware as a service. so they may be shut down, but they are still doing things on their own. why was it shut down? was it an allied nation? was it another eastern european nation? we don't know for sure. but their claim is that law enforcement came after us.
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emily: do you think the current administration understands the severity of these attacks and has a concrete plan to tackle them? jamil: the organization has long experience from nsa and cyber command, the leader. she was at goldman sachs recently. the cyber leader, former deputy of n.s.a., and the deputy national security adviser joyce is back. and paul and others, you have the ideal team to get this right. you see the government doing stuff on its own side. the key is how does the government create that interplay between the public and private, industry with government, create that collective security? asking one company alone to beat the russians or the chinese, it is completely ineffective. it has to be a team sport.
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now that they have gotten this team together, we have the freedom to do what they need to do which is the nation together, bring industry together with government and really engage in collective defense. emily: are ransomware attacks going to get worse and then potentially get better? what is next? jamil: we have a lot of folks on ransomware. but ransomware is part of a larger malware problem we have had for a long time, and i do think that malware problem will get worse before it gets better, in part because we need this collective defense capability. what we also need, though, is exact costs from our adversaries. in some cases, the chinese, russians, north koreans, they are helping fund these criminal groups and allowing them to operate. you have to treat cyber criminality the same way you treat terrorism, which is we will hold the nations that allow them to operate liable for the actions of these actors. until we start imposing costs, and get our defense better,
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unfortunately, i think it will get worse before it gets better. emily: that is pretty extreme, to treat cyber criminals just like terrorists. why? jamil: right now the way it is working is, in china and russia, we have long seen a lot of interplay between cyber hackers, cyberattack curves, the criminals, and the government. a lot of the times that guys are working for the government. they will go home and hack in their free time, trying to make money for their own pocketbooks. they are also paying off some of these nationstates. so that is part of the challenge. we have long seen it in russia. we are seeing it in china. we know they know that is happening. if we don't hold them accountable, we will see more of this. that is the fundamental challenge. emily: ok, jamil jaffer, founder and executive director of the national security institute at george mason university, thank you as always. coming up, the recovery is on in the ride-share business. i will speak to the president and cofounder of lyft after a strong third quarter, next. this is bloomberg. ♪
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emily: welcome back to " bloomberg technology." i am emily chang in san francisco. 1-2 got back to the markets with kriti gupta, looking at ride-hailing companies. what are we looking at? kriti: lyft blowing us away. but we have to start with the macro. the fed talking about a $15 billion taper. taking some of the tag subsectors, semiconductors, chinese adrs, the tech heavy index, even the nasdaq arotech index in the green.
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it did not start the session that way. real turnaround story for tech and the broader benchmarks. i want to talk about activision, this will be a major story, having its worst day, 14% loss. it is all the way going back since 2008. this after two of its highly anticipated games were delayed, and on top of that, missing their earnings estimates. and a triple whammy, getting downgrades from several of wall street's ranks. not a good day for act revision. i want to get to uber. lyft coming with an very at eight forecast, 73 percent year-over-year jump in revenue, 15% increase in riders. and the cherry on top, they think they can turn a profit at the end of the year, or for the full year, even before taking out taxes, etcetera. this is really good news for lyft. you can see an 8% gain intraday
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and taking with it its competitor uber, of course. emily: kriti gupta, thanks for that. now let's talk to the man himself, and impressive showing from lyft. clear that ridesharing is recovering after the pandemic moves slowly into the rearview mirror and life returns to some semblance of normal. i'm joined by the president and cofounder of lyft. john zimmer. let's start with rider demand. obviously, people are riding again. what are the more specific trends you are seeing? john: so we had to million more riders this quarter than the previous quarter. that is great to see. as you mentioned, 73 percent revenue growth year-over-year. people are eager to get back out there. at airports specifically, we saw triple the volume than what we saw a year ago. things are coming back. they're not all the way back -- there are markets like san francisco where we are still 60%
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down from that peak in q4 2019. but even with that, able to hit those adjusted ibitda profitability numbers that we are happy with, and more to come. emily: airport rides were a strong driver. i'm curious how dependent lyft is on business travel. you know, just in case the pandemic isn't totally back in that rearview mirror and we see another surge, as ashley over the holidays. john: to put the airport number into context, i believe pre-pandemic, it approached over 9% of our revenue was airport trips. we are already at 8%. so still more to go,, that it is coming back in that -- and it is almost where it was prior. emily: anecdotally, wait times still longer than they were the pandemic. at one point you see that coming down and being more reliable, and back to the way it was?
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john: good progress on that front as well, 45% year-over-year growth on the driver side. we are zooming out and looking at just the labor market more generally this quarter. we looked at the hospitality and leisure sector as well as the retail sector. and what we saw is that from january to september, our driver actives grew five times faster than labor in those other , call them comparable industries. so i think we are seeing, yes, there is still a pandemic, workers are still coming back to work, getting off those ui benefits. but our type of work, where you can turn it on and off whenever you want and still have the flexibility that people appreciated during the pandemic, i think will do well going forward, so we are happy with those growth signs we saw this quarter. emily: what can you share about what you are spending on driver incentives? that has been obviously a big initiative in order to get things back on track. john: we said that q2, not just the quarter we reported on, but
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the previous quarter, was that peak on that spend on a poor ride basis. there will always be some aspect of balancing supply and demand. but we feel like we hit that and we can taper off some of those extreme investments that were related to the pandemic. emily: prices are still higher. we are still not quite there yet. and it is not just lyft, it is uber as well. are you at all concerned about ceding shares to uber because they also have food delivery? and that is the way for hooking customers? john: we are not concerned because one, it has not , happened. we have maintained share. and we are not going to -- back-and-forth between the businesses, the companies are very competitive, we are very competitive, and we want to serve our customers and customers better than anyone. we will not do that through
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price work, we will do that through better services, better strategy. emily: there is a wider conversation about wages. any time dara khosrowshahi is on the show or others, i am getting feedback on twitter from contractors, drivers, who want to be paid more. what are you doing to make driving a compelling job , especially over the holidays, when there are other opportunities out there? for example, amazon hiring thousands of temporary workers to get them to the holidays? john: if you look at the actual earnings of drivers and the flexibility, again, it is like an atm in your pocket. with lyft, you can turn it on and off when you want. there aren't any other comparable jobs outside the gig economy where you can get $20 to $30 an hour on average and do it whenever you want. and within the gig economy, ride-share has historically on average, had higher earnings than any other categories.
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so we will always work to do better, always work to serve our drivers better than any other company, and we are doing that with different features we are bringing to the market. . and also a lot of marketplace tech that isn't seen by the customer or ride because they just see it as a simple button to request a ride. we are building a lot of data science and technology underneath the hood that allows us to increase utilization with drivers and also increase their earnings. emily: waymo is now mapping new york city, potentially a step forward for self-driving cars. i understand bikes are also seeing a week there. what are the more interesting trends in alternative and newer forms of travel? john: in new york city specifically, we now own city bike which makes up 40% of our ride in new york, a pretty decent sized transit system in its own right. we saw that the bikeshare
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business where we have exclusively in new york, did really well even in the pandemic. it is obviously an individual, open-air form of transportation. we are continuing to get more density in new york with our bikes. we launched lyft first ground up , built ebike, which has been really popular with those who have had a chance to use it. on the autonomous side, we are years off. but it is a category we feel incredibly well-positioned bring to our customers as well. . emily: you are a new year's eve driver. are we going to hear you -- are we going to see you driving and what sort of traffic are you expecting over the holidays? john: absolutely. like you say, i am driving for lyft every new year's. i expect to be very busy this year. emily: all right, john zimmer, always good to have you. we look forward to that tweet on january 1.
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john: thank you. emily: coming up, funding to women took a step backwards during the pandemic, but now it may be starting to rebound. we will talk about this and more with beyond" the billion, a company mobilizing investors who pledge to fund female founded firms next. this is bloomberg. ♪
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emily: women-founded startups were disproportionately impacted by the pandemic according to a new report revealing that as deal value increased in the u.s. startup ecosystem in 2020, it fell for women-founded companies.
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let's talk with our guest, the cofounder and managing partner of "beyond a billion," a company serving a global consortium of investors who pledge to invest in female-founded companies. the numbers proved true, that women actually backtracked during the pandemic and especially women entrepreneurs. what are you seeing in the numbers? shelly: it is very true what you just said, 2020 was clearly not a great year for female founders. in fact, we saw that filing dropped by 3% instead of the record year that we had in 2019. . deal count dropped 2% even as the overall market increased 60% during the pandemic. so this was clearly a troubling, troubling set of data points. yet we are really happy to report that 2021 is a very different story.
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emily: how different is 2021? looking at the numbers, look like the numbers are going up. shelly: women are shuttering their records for prior years. women have in 2021, in the first three quarters, compared to a full year of 2019, women have increased -- funding has increased to female-founded companies by 70% to $40.4 billion. up from 23.7 billion in 2019. that is in contrast to the overall market increases of only 43%. so women are bouncing back. you can see the nice numbers bouncing back starting in december,. we are also seeing exit values increasing by 144% to 53 point $8 billion, compared to only 102% increase in exit values for
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the entire market finally in terms of exit volume, we are seeing a 12% increase over last year versus 3% for the overall market. emily: so progress is progress and should be celebrated. but how do we make sure we don't slip back to our old ways? shelly: that is a good question. one of the key drivers of this change is not just that confidence levels have gone up or investors are feeling better about where they are deploying capital? the key too is that we have a really significant increase in the number and percentage of female check writers. today there are 15% of all gp's in the u.s. are women, up 3.5% from 2019 and growing faster and faster. in our consortium of over 100 venture funds, we see over 80% of them are women and people of color and we couldn't be more excited, because we know that
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when women are check writers, they generally over index towards female founders. emily: there is still a huge perception problem. we men founders are seen as a less safe bet even though they typically, a riskier bit, even though women typically and historically deliver high returns per dollar invested. how do we close that gap between perception and reality? shelly: thanks for bringing that up. that is such a critical point that is often lost. as one of our male partners has said, women are the most underrepresented asset in the world. investing in women is an incredible opportunity. if you care nothing about equity and only care about returns, you have got to be investing in women for the reasons you mentioned.
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we know they are both personal biases and systemic biases in the ecosystem. we are not going to fix all the personal biases, that will have to, and it's on or through the outcomes we deliver through female-founded companies. but what we can do is fix some of the systemic biases that are built into the systems. three of the top ones are, first of all, ensuring there are women in the deal flow. you cannot imagine, even among our own consortium where we have funds pledged to female founded companies, they tell us they haven't managed to more over a period of time as we track them, we find have not changed their processes. you have to change your processes. you keep doing the same thing over and over, you will keep it in the same results. number two is ensuring that women are getting through to be considered for due diligence. being in a deal flow and front in front of an investment committee is another thing.
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we had one big european fund say to us, when women come through our doors, they get treated absolutely equally. i said, that is great, how many female-founded companies have you invested in? they answered in the beginning, none. so i said, you may not have thought about what it takes for women to get to and through your doors before the even face your investment committee, even assuming your investment committee is unbiased. so there are many things we need to change to ensure female founders are invested in. emily: so what happens in 2022? any predictions? is it a better year for women or not? shelly: we are optimistic about 2022 because we see one of the exciting things that i sort of mentioned earlier is the increase of exits. in fact, 2021, if we end the year in the direction we're going, it will be the 11th straight year for female-funded companies to exit faster into
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the broader market, with generally higher value for dollar invested. investors have to be thankful for that, right? we see it among our own funds that have begun to invest in for -- in female founders and have increased their investments and they are seeing more and more exciting outcomes. we already have eight female-founded unicorns in the portfolio companies. we have many others scaling rapidly to successful exits. so we think that success breeds success, that is what we like to say. emily: far-right, celebrating the progress here, and hope to see more of it. "beyond the billions" founder and managing partner, shelley porges, thank you. coming up, how levi's is handling the supply chain crunch and bringing on new technology for their products. as we head to break, let's check on etsy. shares down 2% after results giving a lackluster forecast
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, suggesting growth is hard to sustain. etsy's sales doubled in 2020 as consumers turned to online shopping site through the pandemic. this is bloomberg. ♪
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emily: welcome back. i am emily chang in san francisco. the supply chain crunch ain't easing up, and it is affecting
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virtually every business , including levi's, the company that literally invented bluejeans over a century ago. i caught up with the president , the cfo, and the ceo to talk about how they are powering through the crisis and what they have learned from the pandemic. >> you think of supply chain, think of two broad buckets. one is sourcing and the other is commodity and cost. on the sourcing side, very early on we said we don't want to put all our eggs in one basket. we source across 24 countries. not from any single country do source more than 20%. you talked about cost. given our global buying power, we have already negotiated the first half of the year, a very low single-digit inflation. one thing that has been so hard is really resonating with customers. we continued to take pricing, even during the pandemic. the brand today has racing power. emily: levi's 2021 full year
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revenues are on track to match 2019, fulfilling the company's pledge to emerge stronger from the covid crisis. >> we committed a the middle of the pandemic that when our revenues got back to pre-pandemic levels, our margins would be up more than two points , and we have now delivered on that. emily: but with the virus still weighing on consumer confidence in supply chain's, and inflation surge around the globe, this is not time for any retailer to relax. sue: as you look forward, i think the biggest question is, who will take the learnings from the pandemic versus who is just going to go back to what they did in the past? >> i think over time, because of the learnings people had during the pandemic, there is going to be thinking about, how do you globalize your supply chain? do you concentrate in a few countries question what do you diversify? do you bring some products home?
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one of the programs we started a couple of years ago was using lasers to finish your addendum product. it used to be done by hand overseas. now we bring in the blanks and finish it closer to market. so we are in the process of expanding that program around the world. i think people need to just think about different ways of doing it, and i believe technology will play a key role. emily: speaking of this new laser technology to finish the dining products, -- there addendum pro-dex, -- their denim products, i figured i would check it out. take a look. >> you can come down here and we all love our damaged and distractive genes. emily: that wasn't even the coolest part. so i'm going to see my damages on there? oh my goodness. that is amazing. >> you can see it happening in real life.
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emily: like that. a distressed pair of levi's that needs one short wash to be ready to wear. these technologies are already in use and already delivering results. >> we have reduced the amount of water by almost 90% across most of our product line over the last 10 years, saving billions of liters of water. finding new ways of finishing the genes that are just more sustainable -- finishing the jeans that are just more sustainable. emily: how long can you recycle the water for? how long before you have to dispose of it? >> with the laser finishing that we use in many of the factories, we can recycle the water virtually endlessly. >> on the right, these are traditional washing machines. they use a lot of water. on the left is an ozone-driven washing machine with no water. so it washes the dance exactly, and -- the pants exactly. using this technology, all our factories now use that technology. if you look at how much water we have saved since 2011, it is
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approximately 13 billion liters of water. emily: that was the levi's cfo, and the president and ceo talking to us just down the street at levi's headquarters in san francisco. do not miss the premier of "chief future officer" featuring singh later tonight at 9:30 p.m. new york time, right here on bloomberg television. that does it for this edition of "bloomberg technology." make sure to tune in tomorrow. we have the qualcomm ceo and eric schmidt of schmidt futures. and of course, the former ceo of "lone wolf". -- of the nobles. -- ceo of blue wolf. you don't want to miss it. this is bloomberg. ♪
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>> the following is a paid program. the opinions and views expressed do not reflect those of bloomberg lp, its affiliates, or its employees. announcer: the following is a paid presentation furnished by rare collectibles tv, llc. kim: in a letter dated back to december 27, 1904 to the

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