OOMPH.
NOT AT LOT OF FOLKS AROUND
TODAY.
LET'S BE HONEST WITH THAT.
I WANT TO STAY ON ON THE BIG TEC
I WANT TO STAY ON ON THE BIG TEH
NAMES.
MIXED BAG.
BRING IN RAY WONG, CONSTELLATION
RESEARCH FOUNDER.
RAY EVERYONE IS GETTING EXCITED
ABOUT 2019.
WILL BE A BIG YEAR FOR TECH
IPOs.
I WANT TO GO DOWN TO THE LIST OF
ONES YOU'RE LOOKING AT.
LET'S START WITH UBER, RIGHT?
IT IS PROBABLY THE MOST VALUABLE
UNICORN OUT THERE.
AND I GUESS THE PRIVATE
VALUATION IN THE 65 BILLION
RANGE.
HOW WOULD AN IPO LOOK TO YOU ON
THIS.
>> YOU KNOW, HAPPY NEW YEAR.
UBER IS HOT, RIGHT?
75 MILLION RIDERS.
TALKING ABOUT 4 MILLION DRIVERS.
THIS IS BIG, PROBABLY A BIG
GRANDDADDY IPO HAPPENS IN 2019.
ANYWHERE 60 BILLION TO
120 BILLION THEY'RE SAYING OUT
ON VALUATIONS.
IT'S A WIDE RANGE.
I THINK THEY'RE COMPETING WITH
LYFT TO GET OUT FIRST.
THAT WILL BE EXCITING TO SEE WHO
GOES FIRST AND HOW THEY REACT.
SUSAN: DOES IT REALLY MATTER?
LYFT IS WHAT, ALMOST 10 TIMES
SMALLER THAN UBER.
THE BOOK RUNNERS, RAY, LOOKING
FOR SOMETHING RICH,
120 BILLION-DOLLAR VALUATION FOR
UBER FOR A COMPANY LOSING
BILLION DOLLARS A QUARTER NOT
EXPECTED TO BE PROFITABLE FOR
YEARS?
>> HOW FACEBOOK STARTED.
NETFLIX GOT STARTED.
MASSIVE BASE AND SERVICES PUT ON
TOP.
YOU'RE SEEING IT WITH UBER EATS.
OTHER ALTERNATIVE TRANSPORTATION
AREAS.
THEY'RE GAINING GROUND.
THE REAL QUESTION ARE THEY
GETTING MONTHLY ADOPTION AND
GETTING AVERAGE REVENUE PER
USER?
I THINK THEY ARE.
THEY HAVE DONE A GOOD JOB DOING
THAT TURNING AROUND A LOT OF
ISSUES GOING ON BEFORE WITH
TRAVIS.
CHARLES: OF COURSE, THE
COMPOSITION OF THESE IPOs, HOW
MANY SHARES, HOW MUCH THEY
RAISE, HOW MUCH MONEY THEY
RAISE, THE SHARE PRICE OFFERING,
LET'S NOT FORGET FACEBOOK.
AS IT STARTED, DEMAND WAS THERE,
THEY KEPT INCREASING AMOUNT OF
SHARES, RAISING OFFERING PRICE.
INCREASING AMOUNT OF SHARES,
RAISING THE OFFERING PRICE.
THE STOCK WAS A DUD, A DISASTER
IN THE FIRST COUPLE MONTHS OF
TRADING.
ARE YOU CONCERNED, AS, THAT
THESE BIG HYPED NAMES COULD
ACTUALLY NOT NECESSARILY BE
GREAT INVESTMENTS FOR AVERAGE
INVESTORS OUT THE GATE?
>> I THINK OUT THE GATE PEOPLE
WILL BE SLOW.
PEOPLE WILL BE WORRIED WHETHER
THEY HAVE THE USERS.
THEY WILL LOOK AT LOSSES.
BUT OVERALL, WHAT WE'VE SEEN BIG
TECH, HAS THE PLATFORMS, BUT
OVERALL THOSE PLATFORMS PROVEN
WINNER-TAKE-ALL MARKETS.
WHO WILL JUMP IN AFTER UBER AND
LYFT?
THE THIRD PLAYER WILL HAVE A
TOUGHER TIME.
THAT IS WHAT HAPPENS IN ALMOST
ALL THE WINNER-TAKE-ALL MARKETS
IN TECH.
THE OTHER PIECE, THIS IS A BIG
IPO SEASON.
WE'RE TALKING LIKE 200 BILLION
IN POTENTIAL IPOs COMING OUT
OF THE GATE IN TERMS OF
VALUATIONS.
WHEN YOU LOOK AT THE BIG FIVE,
COMING OUT FROM UBER, PALANTIER,
AIRBNB, LYFT, THESE ARE BIG
NUMBERS COMING OUT TO WATCH.
CHARLES: DO YOU HAVE A FAVORITE
YET, RAY?
DO YOU WANT TO KIND OF SEE WHAT
THE OFFERINGS LOOK LIKE?
>> I ACTUALLY THINK AIRBNB IS
THE ONE I THINK WILL DO BEST OUT
OF THEM.
THE REASON IS, BECAUSE OF THE
BASE AND BECAUSE OF THE MARKET.
THE CONSUMERS THAT ARE ON
AIRBNB, TEND TO BE MOVING TO
MORE USAGES, MORE VISITS.
THEY HAVE SHOWN HOW THE MODEL
WORKS.
MARRIOTT HAVE TAKEN NOTICED TRY
TO COMPETE AGAINST THAT.
OF COURSE IT WILL BE INTERESTING
TO WATCH PALANTIER BECAUSE IT IS
SUPER HYPED BUT THE THING WITH
PALANTIER, THEY HAVE GOTTEN INTO
BIG GOVERNMENTS AND GOT A LOT OF
CORPORATE CEOs TO TAKE A LOOK
AT ANALYTICS AND BIG DATA AS
THEY GO TO DIGITAL
TRANSFORMATION.
THERE IS A LOT OF HYPE AS THEY
OPERATE BECAUSE THERE IS A LOT
OF SERVICES BUT THERE IS A LOT
OF MOMENTUM WITH COMPANIES AND
TYPE OF PEDIGREE COMING OUT OF
THAT ONE.
THAT WILL BE INTERESTING TO
WATCH AS WELL.
CHARLES: BEFORE I ASK -- YOU GO,
RAY, "BIRD BOX," NETFLIX
THRILLER WITH SANDRA BULLOCK,
VIEWED BY 45 MILLION ACCOUNTS.
WHAT WOULD THAT MEAN FOR NETFLIX
BECAUSE THE STOCK IS HAVING A
GOOD SESSION TODAY?
>> MONTHLY USER GROWTH.
CAN YOU SEE THE BAGS IN MY EYES.
WE'VE BEEN WATCHING IT ALL
WEEKEND.
THAT IS HOT.
1/3 OF NETFLIX USERS, 1/3
ACTUALLY DOWN LLOYDED IT.
WE DON'T KNOW HOW MANY OTHER
PEOPLE WERE IN THE ROOM
WATCHING.
ORIGINAL CONTENT, PAYS
8 BILLION, 12 MILLION INVESTMENT
IN QUALITY, I THINK THEY WON THE
CHRISTMAS SEASON.
THIS IS THE NEW TV.
CHARLES: REAL QUICK, SOMEONE
EARLIER SUGGESTED, ONE OF OUR
GUESTS THIS IS THE KIND OF MOVIE
THINK ABOUT DEBUTING IN THE
FUTURE ON BIG SCREEN?
>> THAT IS TRUE.
THEY STARTED DOING THAT.
THEY STARTED PUTTING RELEASES
ONE TO TWO WEEKS EARLY SO THEY
COULD QUALIFY FORS CARS.
A COUPLE FILMS DID THAT EARLIER
THIS FALL.
I THINK THAT WOULD HELP THEM GET
THE BUZZ.
EARLIER GUEST WAS RIGHT.
GET THE BUZZ AND HELPS ACTORS
NOMINATED FOR AN OSCAR.
ACTUALLY HELPS WITH RIGHT TYPE