Bloomberg Businessweek

The people, companies and trends shaping the global economy. Watch Carol and Tim LIVE every day on YouTube: http://bit.ly/3vTiACF.

SpaceX is marketing itself to IPO investors as an artificial intelligence play targeting a $26.5 trillion potential market opportunity, signaling its intention to wrest business from investor darlings whose valuations have soared.

The company, formally known as Space Exploration Technologies Corp., leaned heavily on its ambitions in the ever-expanding AI market in its initial public offering filing Wednesday. Out of a $28.5 trillion total addressable market across its businesses, SpaceX sees AI opportunities accounting for 93%, with enterprise applications accounting for the vast majority. Space, Starlink internet and mobile would contribute close to $2 trillion.

Elon Musk’s rocket, satellite and AI company is effectively basing its pitch for the biggest IPO in history on the idea that it can capture a huge share of the market from the likes of OpenAI, Anthropic PBC and Alphabet Inc.’s AI systems: technology that will eventually automate large swaths of white-collar and administrative work, creating a massive market for software that can perform digital tasks traditionally handled by humans.

On this episode, Carol and Tim speak with:
Ed Ludlow, Bloomberg Tech Co-Host
Gautam Bhandari, Co-Founder, Managing Partner & Global CIO at I Squared on data from the ISQ OpenInfra Index, showing survey results of financial advisors who work with alternative investments
Tripp Hornick, Principal, Quince Street Strategy on national security, critical minerals policy, global supply chain risk mitigation of the Trump administration
Dr. Danish Nagda, CEO of Rezilient Health on Rezy AI health care platform and health care technology
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Active managers who briefly looked like they might finally have their moment earlier this year are once again confronting a familiar problem: a market rally driven by a tiny group of tech mega caps that diversified portfolios simply can’t keep up with.The share of mutual funds outperforming the S&P 500 this year has plunged to just 28%, according to the latest data from Barclays, down from over 60% at the end of February. After benefiting from a rotation out of high flying technology shares and into the broader market, stock pickers are getting left behind as money floods back into a narrow group of AI-fueled heavyweights.

For more on the generally bearish, Tim Stenovec and Emily Graffeo speaks with Thomas Thornton, President at Hedge Fund Telemetry and Alexandra Semenova, Bloomberg US Stocks Reporter
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Nvidia, the world’s most valuable company, delivered a sales forecast that drew a lukewarm reaction from investors, even as revenue from data center operators continued to surge.Sales in the three months ending in July will be about $91 billion, the company said in a statement late Wednesday.
Though analysts estimated $87 billion on average, projections ranged as high as $96 billion, according to data compiled by Bloomberg.
For instant reaction and analysis, Bloomberg Businessweek Daily hosts Tim Stenovec and Emily Graffeo speak with:
Ed Ludlow, Bloomberg Tech co-host
Paul Meeks, Head of Technology Research at Freedom Capital Markets
Jay Goldberg, Seaport Research Partners
Kunjan Sobhani, Bloomberg Intelligence Senior Semiconductor Analyst
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The people, companies and trends shaping the global economy. Watch Carol and Tim LIVE every day on YouTube: http://bit.ly/3vTiACF.

OpenAI is preparing to file for an initial public offering in the coming weeks and is targeting a public debut sometime in the fall, according to a person familiar with the plan.

The ChatGPT creator is working with Goldman Sachs and Morgan Stanley to make a confidential IPO filing as soon as Friday, but the exact timing remains uncertain, the person said, asking not to be identified because the information isn’t public. OpenAI said in a statement: “We regularly evaluate a range of strategic options. Our focus remains on execution.”

OpenAI has been laying the groundwork to go public as soon as this year as part of a broader effort to raise more capital and pay for its costly push for more chips, data centers and talent, Bloomberg News has previously reported. Rivals Anthropic PBC and SpaceX are also preparing for listings. SpaceX’s IPO paperwork may be made public as soon as Wednesday.

On this episode, Carol and Tim speak with:
Ed Ludlow, Bloomberg Tech Co-Host
Kurt Wagner, Bloomberg News Senior Technology Reporter on Meta Begins 8,000 Global Job Cuts in AI Efficiency Push
Patrick Clark, Bloomberg News Real Estate Reporter on Wall Street Takes Its Cut of $34 Trillion in US Homeowner Wealth
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The Golden State Valkyries have made sports history by becoming the first $1 billion franchise in women's sports. In just its second year in the league, that makes the Valkyries the first-ever women’s team in any sport to reach that valuation. Jess Smith is President of the WNBA team Golden State Valkyries. She speaks with Tim Stenovec and Alexandra Semenova.
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