Bloomberg Businessweek Weekend - October 31st, 2025

Episode Overview

In this episode, hosts Carol Massar and Tim Stenovec guide listeners through a jam-packed week in business and economic news, focusing on the themes dominating the current landscape: big tech earnings, the AI investment race, the evolution of U.S. industrial policy under the Trump administration, shifting consumer behavior, and building trust online. The hour features in-depth interviews with leading analysts, company executives, and innovators including Mark Mahaney (Evercore ISI), Poonam Goyal (Bloomberg Intelligence), Kate Gulliver (Wayfair), Jimmy Wales (Wikipedia), Eugene Kang (Archer Meat), and Rob Simulcare (NY Roadrunners).

Key Discussion Points & Insights

1. Big Tech Earnings & The AI Spend (02:14–11:37)

Focus: Meta, Microsoft, Alphabet, Apple, Amazon—AI Capex and Wall Street Sentiment

Guest: Mark Mahaney, Evercore ISI (04:36–11:37)

• AI Investment Skepticism

  • Meta’s stock drop was linked to aggressive CapEx and expense guidance (“Zuckerberg was very clear… he wants to be the AI leader. He’s going all in on superintelligence, and investors are cautious.” – Mark Mahaney, 04:43)
  • Wall Street uncertainty stems from the unclear end market for “superintelligence,” intense competition (Google, OpenAI, Microsoft, Apple), and Meta’s lack of enterprise AI offerings (06:19).

• Meta’s Historical Agility

  • Despite skepticism, Mahaney remains positive, noting Meta’s successful historic pivots (mobile, AI for core products, shift from Metaverse) and strong advertising growth (07:40).
  • Quote: "I'm going to give them the benefit of the doubt that they could probably deploy AI to create new products." – Mark Mahaney (07:28)

• Wearables as the Next Platform?

  • Discussion of Ray-Ban Meta smart glasses’ surprising success but skepticism around wearables going fully mainstream.
  • AI’s ultimate promise could be “personal digital assistants”—autonomous AI agents simplifying complex life and purchasing decisions (10:19).

2. Amazon Results: Margin Pressure and Growth Engines (11:43–14:47)

Guest: Poonam Goyal, Bloomberg Intelligence (11:55–14:47)

• Amazon’s Earnings Standouts

  • Strong sales in all segments; AWS growth “the bright spot” with 20% gains.
  • North American retail margins remain under pressure due to Amazon’s strategy to keep prices low and continue investing in fulfillment speed.

• Advertising as Profit Driver

  • Amazon’s ad business grew 22% YoY with 75–80% profit margins, seen as the next $100bn revenue business.
  • “That’s a high profit business... that’s flowing right to the bottom line.” – Poonam Goyal (13:54)
  • Ad revenue primarily from product placements, but streaming ads (Amazon Prime) now a growing contributor.

3. U.S. Industrial Policy: The ‘Sovereign Wealth Fund’ Debate (17:00–23:44)

Guests: Joe Doe (Economic Statecraft), Josh Wingrove (White House Correspondent) (17:07–23:44)

• Federal Investment Expansion

  • Trump administration extends strategic investments to nuclear (Westinghouse reactors), quantum computing, and previous stakes in Intel, MP Materials, Lithium Americas, etc.
  • Discussion on whether the U.S. is, in effect, running a sovereign wealth fund, picking industrial “winners.”

• Policy Implications

  • Concerns about the government picking winners & losers, and long-term direction—whether this approach will endure beyond the current administration.
  • “There is a sort of trajectory here... quantum is something they’re sniffing around.” – Josh Wingrove (18:01)
  • Debate over the CHIPS Act’s scope and Republican comfort with increased state intervention (21:10).

4. Nvidia and Nokia Partnership: Accelerating American Telecom (23:50–27:54)

Guests: Jensen Huang (Nvidia CEO), Justin Hotard (Nokia CEO) via Ed Ludlow (24:12–26:45)

• AI & Telecom Transformation

  • Nvidia acquires 2.9% of Nokia, aiming to embed Nvidia hardware/software in millions of base stations worldwide, ushering in AI for 5G & 6G.
  • “For national security reasons, for economic reasons, our industry should be built on American technology.” – Jensen Huang (24:33)

• Administration’s Role

  • Supportive policy climate enabling U.S.-centric innovation is a “big change” behind partnerships like Nvidia-Nokia.

• Nvidia’s Independence

  • With a market cap surpassing $5 trillion, Nvidia is notably not in need of government support or investment, unlike other strategic sectors.

5. Consumer Spending & Wayfair Snapshot (33:08–43:55)

Guest: Kate Gulliver, CFO, Wayfair (33:08–43:55)

• Consumer Trends

  • Wayfair reports strong Q3 results, driven by share gains in a flattish furniture category and continued consumer focus on promotions.
  • “Our consumer is typically a woman, mass market, and she needs those promotional events to really come in off the sidelines and get excited to shop.” – Kate Gulliver (33:36)

• High-End Resilience

  • Growth is strongest in luxury and specialty (Paragould brand). Physical retail stores (over 50% new customers) are a customer acquisition bright spot.

• AI/Tech Efficiency

  • AI is enhancing both customer personalization (Decorify and Discover tab) and internal productivity—Wayfair’s legal team notably streamlined via AI.
  • “Every employee in the company, not just in tech, is actually enabled with AI tools and AI resources... really nice efficiency.” – Kate Gulliver (40:03)

• Labor & Restructuring

  • Ongoing focus on lean operations, multiple restructurings in recent years, and refocusing tech staff toward AI initiatives.

6. Building Trust in the Digital Age: Wikipedia’s Blueprint (47:32–57:53)

Guest: Jimmy Wales, Founder of Wikipedia (47:32–57:53)

• Why Wikipedia Works

  • Trust comes from a focused mission—building an encyclopedia, not engagement or controversy. Social media lacks this anchoring purpose.
  • “Purpose... Wikipedia has a very simple purpose... And that’s very different from social media.” – Jimmy Wales (49:18)

• What’s a Fact?

  • Old-fashioned reliance on reliable sources—academic research, quality journalism. Media’s financial struggles have encouraged bias and eroded trust.
  • “Sources matter... that’s what people want from Wikipedia.” – Jimmy Wales (51:18)

• Transparency & Funding

  • Wikipedia’s banners denoting article disputes are a transparency model. Funded by small individual donors, not large interests—ensuring independence.

• Reactions to Criticism

  • Wales on Elon Musk’s “defund Wikipedia” tweet: resulted in a $5 million donations bump—”You can text Elon… tweet about us again to the end of the year” (55:10).
  • His real interaction with Elon is cordial—even when public persona is combative or performative.

• Adaptation to Technology

  • Commitment to adapting, preserving independence, and fostering trust for Wikipedia’s next hundred years—even in an AI-driven world.

7. The Protein Craze: Archer Meat’s Meteoric Growth (61:00–72:38)

Guest: Eugene Kang, CEO, Archer Meat (61:00–72:38)

• Protein's New Popularity

  • Traditional protein snacks (meat sticks) are resurgent as "portable, dense, protein-packed snacks." Growth outpaces category and demand surges with GLP-1 drug adoption.
  • “We're growing 100% year over year...over $500 million in revenue in the next 12 months.” – Eugene Kang (64:08)
  • Products in Costco, Whole Foods, Walmart, Target, Starbucks, 7-Eleven.

• Business Model & Risk

  • Profitable, growth funded by debt and early minority private equity (66:01). Commodities hedged amidst record beef prices; input prices would have spiked 40–50% without (67:49).
  • Manufacturing remains U.S.-based, combining automation and human labor.

• Competition & Expansion

  • Competes with big legacy brands (Jack Links, Slim Jim) and premium upstarts (Chomps, Vermont); plans further distribution and new product lines (bison, other proteins).

8. New York City Marathon: Economic Engine and Community Spirit (75:07–86:35)

Guest: Rob Simulcare, CEO, NY Roadrunners (75:07–86:35)

• Event Scale & Planning

  • Annual participation: 55,000+ runners; planning begins more than a year in advance.
  • “We’ve already been planning the 2026 marathon now for several months.” – Rob Simulcare (75:52)

• Why It’s Special

  • Brings together New Yorkers and the world—the city “cheers for strangers,” creating a singular communal spirit (“You don’t see that every day in New York City” – 76:55).

• Lottery & Accessibility

  • Half a million apply; 55,000 selected. Specialized paths for entry exist, such as running nine qualifying races as a New Yorker.

• Economic Impact

  • Direct impact: $700 million to the city; $1 billion with all NYRR events—exceeding the combined impact of Mets and Yankees games.
  • “That’s actually more economic impact than all of the Mets and Yankees home games combined.” – Rob Simulcare (79:42)

• Diversity & Inclusion

  • Significant expansion of Athletes with Disabilities participation, with major partnerships (Achilles International) and inspiring stories highlighted in new documentary film “26.2” (83:38).

• Continuity & Tradition

  • 50th anniversary of the five-borough marathon (2026) on the same iconic route; community and perseverance remain central themes.

Notable Quotes & Memorable Moments

• Meta & AI Spend Context:
  • “We don’t really know what superintelligence is quite yet… there’s probably going to be more than just one winner.” — Mark Mahaney (05:00, 07:25)
• On Wikipedia’s Trust Model:
  • “Our headline are so boring. There’s no clickbait… the article on Thomas Jefferson’s called Thomas Jefferson.” — Jimmy Wales (49:58)
• Policy Direction:
  • “The United States federal government is comfortable with having a pretty broad reaching portfolio… that they believe are significant for national security.” — Joe Doe (19:48)
• Business & Protein Trends:
  • “We’re growing 100% year over year… over $500 million revenue in the next 12 months.” — Eugene Kang (64:08)
• Marathon’s Social Value:
  • “It’s a day New Yorkers come out to cheer for total strangers… Everybody wants them to succeed.” — Rob Simulcare (76:55)

Timestamps for Key Segments

• Tech Earnings & AI Spend: 02:14–11:37
• Amazon Earnings/Ad Business: 11:43–14:47
• Industrial Policy/‘Wealth Fund’ Debate: 17:00–23:44
• Nvidia/Nokia Partnership: 23:50–27:54
• Wayfair/Consumer Snapshot: 33:08–43:55
• Wikipedia/Trust: 47:32–57:53
• Protein Craze/Archer Meat: 61:00–72:38
• NYC Marathon/Community & Impact: 75:07–86:35

Tone & Takeaways

The episode maintains a lively, conversational tone throughout—quick with industry asides, friendly teases, and accessible explanations. Guests are direct and insightful, providing both data points and storytelling.

If you missed it, you’ll walk away with:

• Context for the market’s reaction to big tech’s AI spending,
• Strong illustrations of the evolving relationship between U.S. government and industry,
• A real-world view on consumer behavior from Wayfair’s CFO,
• A masterclass on building (and protecting) trust online from Jimmy Wales,
• Real stories of entrepreneurial growth in the protein snack segment,
• And a celebration of New York’s community spirit through the iconic marathon.

Bloomberg Businessweek Weekend - October 31st, 2025: Your comprehensive wrap of the week’s economic forces, business leadership dilemmas, tech investment trends, and the lighter moments that bring communities—and listeners—together.