Bloomberg Intelligence Podcast – Episode Summary

Episode: Intel Shares Fall on Report Nvidia Halts Production Test
Date: December 24, 2025
Hosts: Paul Sweeney, Christina Aquino (sitting in for Scarlet Fu)
Notable Guests: Kim Farrest (Bouquet Capital Partners), Erik Larson (Bloomberg News), Seema Shah (Sensor Tower), Liz Hart (Newmark)

Overview

In this episode of the Bloomberg Intelligence podcast, the team delivers deep analysis on several breaking business news stories. Starting with the impact of Nvidia halting a production test with Intel, they discuss broader implications for AI chips, evolving questions around AI ROI, and the future direction of tech markets. The show also covers a significant legal decision impacting H1B visa fees, looming tech and healthcare labor issues, retail and streaming trends during the holiday season, and the state of U.S. commercial real estate.

Key Segments & Discussion Highlights

1. Intel, Nvidia, and the Evolution of AI Chips

[02:32–08:07]
Guest: Kim Farrest, Founder & CIO, Bouquet Capital Partners

• Intel’s Setback and Industry Impact:

  • Intel shares dropped following a report that Nvidia halted a test using Intel’s advanced chip production process.
  • Kim Farrest, whose firm is an Intel investor, says, “I'm not terribly worried about it...I believe that this is probably a good thing ultimately as they probably gain intel probably gain a lot of knowledge about what's right and what's wrong with the process.” ([03:04])
  • Farrest notes Nvidia’s dominance isn’t insurmountable and competition in chipmaking is healthy for the sector.

• Broader AI Market Competition:

  • The AI hardware landscape is diversifying; new entrants challenge Nvidia’s perceived monopoly.
  • “The very best thing that capitalism does is create a competitive environment…Even last year at this time because 2024 was the year of Nvidia, everybody thought it was game over…And yet here we are looking at a whole slew of not only new competition for the training kind of chips, but there's...other uses for it. And guess what? We're going to need other chips.” – Kim Farrest ([04:31])

• Evolving Questions on AI Investment:

  • Farrest stresses investors need to focus on practical returns:
    “I came from software and the reason why I sit before you is because I worked at AI companies that weren't asking the question, how much does my solution cost and what problem am I solving and what's the cost of that problem?” ([05:49])
  • She warns the cost to train AI and its ROI is unclear; the “bubble” risk remains.

• On AI Timelines:

  • “It's going to take way longer than anybody thinks – way longer.” – Kim Farrest ([08:07])

2. Legal News: H1B Visa Fee Ruling’s Broad Implications

[11:51–17:33]
Guest: Erik Larson, U.S. Legal Reporter, Bloomberg News

• Background on Ruling:

  • A federal judge upheld a $100,000 Trump-era fee for H1B visa applications.
  • “The president put this fee in place, sort of surprised everyone with it…targeting immigration, saying that individuals who are using these particular visas were taking jobs from skilled American workers who could do those jobs but get paid more, essentially.” – Erik Larson ([12:24])

• Tech & Healthcare Sector Reaction:

  • Big corporations have not yet sued, possibly waiting for outcomes of pending cases.
  • States (notably California) and unions have filed multiple lawsuits, especially over healthcare workforce impacts.
  • Larson: “There's just a huge shortage, especially when it comes to hospitals, nurses. And these tech companies say that this creates innovation...It's impossible to really say. Both sides are pushing pretty hard here.” ([14:07])

• Practical Fallout:

  • Ongoing litigation and potential confusion for employers and workers.
  • “For now, I mean, this ruling makes it pretty clear that this might be the law of the land for a while.” ([15:26])
  • Shortages expected in hospitals and for specialized tech roles if fees stay.

3. Holiday Retail Trends & Streaming Industry M&A

[21:25–30:52]
Guest: Seema Shah, VP Research & Insights, Sensor Tower

Retail & App Market Observations

• Sluggish Consumer Traffic:
  • “...Figures are slower than they were in the prior years...sort of a skew to value...team moves of the world, there's a sort of seen a resurgence, but also like wholesale and other value players...” – Seema Shah ([21:41])
  • Ad spend and discretionary spending are both down, indicating softer retail performance.

Streaming M&A: Warner Bros Discovery Bidding War

• Major Competitors:

  • Netflix and Paramount (with Skydance) are in the race to acquire Warner Bros Discovery.

• Potential Impact of Mergers:

  • “Netflix is the leader by far. Nearly 50% of all monthly active users globally are on Netflix. For Paramount…it’s only 4%, with HBO around 10%.”
    • Netflix + Warner Bros: would further cement Netflix’s dominance
    • Paramount + Warner Bros: would elevate Paramount to Disney/Amazon Prime levels.
  • “For Netflix, [the deal] gives them the opportunity to maybe jumpstart their subscriber growth...HBO is really the fastest growing international streamer that we follow.” – Seema Shah ([23:53])

• Regulatory Landscape:

  • Concern over monopoly if Netflix prevails; less so for Paramount.
  • “...I think that it’ll be viewed potentially as uncompetitive just because if other streamers also start consolidating, there’s fewer, fewer options for consumers…” – Seema Shah ([26:44])

• Industry Consolidation Outlook:

  • Disney’s Hulu buyout cited as another example.
  • Competition extends beyond streamers: “They're basically competing with anything else. That takes time...short form video and social media…” ([28:06])

• Future Risks & Trends:

  • Ad-supported free streaming (FAST) services, especially those with live sports, are gaining ground among younger, budget-conscious audiences.
  • Paramount may struggle if it fails to win Warner Bros: “They are by far one of the smallest…It's going to be very hard for them…unless they really bump up their content and have, you know, a show that's in the zeitgeist.” ([30:16])

4. State of U.S. Commercial Real Estate

[34:24–40:15]
Guest: Liz Hart, President of Leasing (North America), Newmark

• Market Rebound & Segmented Growth:

  • “2025 was really the pivot year. It was the year that we started to have positive absorption across the country halfway through the year. And we're heading into 2026 on quite the optimistic note.” – Liz Hart ([35:03])
  • Trophy office spaces in NYC are highly in demand, with double the demand over supply.
  • Class A office markets expected to see rent increases, while lower-end markets struggle.

• Retail & Wellness Trends:

  • “Retail is looking pretty strong. Again, it's a story of outperformance at the top of the market…Wellness is really expected to be a standout in 2026.” ([36:13])

• Industrial Sector Strength:

  • New construction and intermodal cities like Dallas and Phoenix are thriving, thanks to reshoring and near-shoring trends.

• Challenges:

  • Long-vacant retail spaces face pressure to reinvent: “If your space has been on the market for a couple of years, you really have to look at repositioning it…” ([37:12])

• San Francisco Comeback:

  • “The demand is back at pre pandemic levels, mostly driven by the technology industry…certainly led by the AI companies. In San Francisco, you have OpenAI Anthropic being two standouts there…” ([38:01])
  • 2026-27 expected to bring stabilization and new growth as old leases expire.

• Suburban Markets:

  • Some suburbs, especially those tied to job growth, are performing well.

• Outlook:

  • San Francisco remains Liz Hart’s “up-and-coming” city for 2026, with Dallas and Houston also showing continued momentum.

Memorable Quotes

• “What the very best thing that capitalism does is create a competitive environment. Even last year...everybody thought it was game over. There was no way for any company to be able to compete with [Nvidia]. And yet here we are looking at a whole slew of not only new competition for the training kind of chips, but we're broadening out...”
  — Kim Farrest ([04:31])

• “Sorry to tell people that it has to solve a problem less expensively than the problem itself. That's just it.”
  — Kim Farrest ([05:49])

• “I don't think we're asking that. The price of training these large language models is incredible. And I'm not sure that investors are really asking the questions that need to be asked, like who's going to pay for this and what's the return and all of those kind of good things.”
  — Kim Farrest ([05:49])

• “There's just a huge shortage, especially when it comes to hospitals, nurses. And these tech companies say that this creates innovation, having more diverse views from backgrounds coming in from around the world that are people who are deeply steeped in the tech sector. It's impossible to really say. Both sides are pushing pretty hard here.”
  — Erik Larson ([14:07])

• “If Netflix acquires Warner Brothers, it becomes even larger and more likely that people will not be able to get caught up with them…for Paramount, the addition of HBO is huge…It gives them access to tentpole content like the Game of Thrones, White Lotus. It puts them into the higher sphere of streamers…”
  — Seema Shah ([23:53])

• “Well, certainly in that part of the trophy market, we would expect it to be elevated in New York City and across the markets. But as you're kind of referencing, rents aren't going to be going up across every single sector at the trophy, definitely. And in the class A market…we'd expect rents to increase there, but it's not going to happen across every single part of the category. In the lower end, we're still struggling.”
  — Liz Hart ([35:41])

Conclusion

This episode provides a comprehensive tour through current market turbulence and opportunity—covering key developments in semiconductor competition, the challenges facing AI business models, regulatory risks and labor supply in tech and healthcare, a rapidly changing media landscape, and hopeful signals in commercial real estate. The conversations are candid, grounded, and often peppered with direct challenges to consensus thinking, whether about the AI investment cycle, labor supply, or the allure and dangers of market consolidation.