The company at the heart of the AI bubble

Hello and welcome to Decoder. I’m Nilay Patel, editor in chief of The Verge, and Decoder is my show about big ideas, and other problems. We have a special episode today – I’m talking to Sundar Pichai, the CEO of Google and Alphabet. We hung out the day after Google IO, the company’s big developer conference, where Sundar introduced new generative AI features in virtually all of the company’s products. It’s an important moment for Google, which invented a lot of the core technology behind the current AI moment – the company is quick to point out the T in chatGPT stands for Transformer, the large language model tech first which was invented at Google. But openAI and others have been first to market with generative AI products — and openAI in particular has partnered with Microsoft on a new version of Bing that feels like the first real competitor to Google search in a long time.  So I wanted to know what Sundar thinks of this moment – and in particular, what he thinks of the future of search, which is the heart of Google’s business. Web search right now can be pretty hit or miss, right? There’s a lot of weird content farms out there, and AI-based search might be able to just answer questions in a more natural way. But that means remaking the web, and really, remaking Google. Sundar is already going down that path – he just reorganized Google and Alphabet’s AI teams, moving a company called DeepMind inside Google and merging it with the Google Brain AI group to form a new unit called Google DeepMind. I can’t resist an org chart question, so we talked about why he made that call – and how he made it. We also talked about Sundar’s vision for Google – where he wants it to go, and what’s driving his ambition to take the company into the future. This is a jam-packed episode – we talked about a lot, and I didn’t even get to Google’s AI metadata plans, or what’s going on with RCS and Android. Maybe next time.  Links: The nine biggest announcements from Google I/O 2023  What happens when Google Search doesn't have the answers?  Microsoft thinks AI can beat Google at search — CEO Satya Nadella explains why  Let’s chat about RCS - The Verge  Transcript: https://www.theverge.com/e/23484772  Learn more about your ad choices. Visit podcastchoices.com/adchoices

12 Maj 202342min

Brian Chesky, the co-founder and CEO of Airbnb, was previously on the show in 2021. Back then, Airbnb was betting big on long-term stays for remote work amid the pandemic, and Chesky had just restructured the company to a more functional organization, getting rid of the divisions it had before. Now, the pandemic is ending, Airbnb has itself adopted a hybrid policy, Chesky’s back in the office several days a week, and they’re two years into that new structure. So that’s pure Decoder bait. I wanted to ask Chesky how that restructure is going. Has it really made the company more agile and cohesive like he hoped? Has the bet on working from anywhere paid off? Links: Brian Chesky's tweet announcing the summer 2023 launch Microsoft thinks AI can beat Google at search — CEO Satya Nadella explains why  Samsung caught faking zoom photos of the Moon Why the future of work is the future of travel, with Airbnb CEO Brian Chesky Credits: Decoder is a production of The Verge, and part of the Vox Media Podcast Network. Today’s episode was produced by Creighton DeSimone and Jackie McDermott and it was edited by Callie Wright. The Decoder music is by Breakmaster Cylinder. Our Sr Audio Director is Andrew Marino and our Executive Producer is Eleanor Donovan.   Learn more about your ad choices. Visit podcastchoices.com/adchoices

9 Maj 20231h 4min

Ben Smith is the former and founding editor-in-chief of Buzzfeed News, the founder and editor-in-chief of Semafor, and the author of a new book called Traffic: Genius, Rivalry, and Delusion in the Billion-Dollar Race to Go Viral, which is about the rise and fall of the social platform age in media, through the lens of Gawker Media and Buzzfeed and, in particular, their founders, Nick Denton and Jonah Peretti. I say the fall of the social platform age pretty literally: just before we spoke, Buzzfeed actually shut down Buzzfeed News, saying it just wasn’t making enough money, Facebook and the rest are all in on vertical video, and the chaos at Twitter means a lot of baseline media industry assumptions are now up for grabs. Ben and I talked about a lot – where do journalists build their brands now? Where does traffic even come from anymore? What’s next? Of course, we talked about Semafor as well. Ben and his co-founder, Justin Smith, raised $25 million and launched a news website, newsletters, and events covering the US and sub-Saharan Africa, with plans to expand into other regions. I wanted to know what lessons from Buzzfeed Ben brought into Semafor and, honestly, how he’s thinking about building an audience instead of just trying to get traffic.  This is a good one. The book’s great, too. Transcript: https://www.theverge.com/e/23470662 Links: Traffic by Ben Smith What Colors Are This Dress?  TikTok - The Verge Is Substack Notes a ‘Twitter clone’? We asked CEO Chris Best - The Verge MyPillow CEO’s free speech social network will ban posts that take the Lord’s name in vain - The Verge Former Facebook Workers: We Routinely Suppressed Conservative News Cambridge Analytica: understanding Facebook’s data privacy scandal - The Verge 28 Signs You Were Raised By Persian Parents In America Here's The Powerful Letter The Stanford Victim Read To Her Attacker More Than 180 Women Have Reported Sexual Assaults At Massage Envy Macedonia’s Pro-Trump Fake News Industry Had American Links, And Is Under Investigation For Possible Russia Ties Watching Silicon Valley Bank melt down from the front row, with Brex CEO Henrique Dubugras - Decoder, The Verge  Credits: Decoder is a production of The Verge and part of the Vox Media Podcast Network. It was produced by Creighton DeSimone and Jackie McDermott with help from Hadley Robinson and it was edited by Callie Wright.  The Decoder music is by Breakmaster Cylinder. Our Editorial Director is Brooke Minters and our Executive Director is Eleanor Donovan. Learn more about your ad choices. Visit podcastchoices.com/adchoices

2 Maj 20231h 11min

We’ve got a special episode with Alex Heath, deputy editor at The Verge and a familiar host for Decoder listeners, and David Marcus, the CEO of Lightspark. That’s a company that just launched a service to make fast transactions using Bitcoin on something called the Lightning Network. David was previously at PayPal, and then he led Meta’s big payments effort that went nowhere, but he’s got a lot to say about where crypto and payments are right now. Links: Launching the Lightspark Platform Facebook tells Congress how it thinks Libra should be regulated - The Verge The leader of Facebook’s stalled cryptocurrency project is leaving the company - The Verge Transcript: https://www.theverge.com/e/23460507  Credits: Decoder is a production of The Verge, and part of the Vox Media Podcast Network. Today’s episode was produced by Creighton DeSimone and Jackie McDermott and it was edited by Callie Wright. The Decoder music is by Breakmaster Cylinder. Our Sr Audio Director is Andrew Marino and our Executive Producer is Eleanor Donovan.   Learn more about your ad choices. Visit podcastchoices.com/adchoices

25 Apr 202350min

Travis Katz is the CEO of BrightDrop, a subsidiary of GM that makes electrified delivery vans with an eye toward rebooting all of how delivery works. BrightDrop has pretty big partnerships already, with names like FedEx, Verizon, and Walmart committed to its Zevo 600 van, and it’s got big ideas for making the steps from the van to your door more efficient as well with something called e-carts. Katz says there’s a huge demand for delivery especially as online shopping keeps getting bigger, but the transportation network is at capacity, and you can’t just keep throwing more trucks and drivers on the road, or making city streets wider. His plan is to redesign the entire system to make it more efficient. So I wanted to know how he’s attacking that problem and making it manageable, all while getting buy-in from customers that won’t really accept delays or increased costs. BrightDrop is a wholly owned subsidiary of General Motors, so I also wanted to know how that works, what he gets from being part of the big company, and which parts slow him down. Lots of classic Decoder stuff in this one. Links: GM’s electric delivery van just set a world record — with me riding shotgun - The Verge  Transcript: https://www.theverge.com/e/23451134  Credits: Decoder is a production of The Verge and part of the Vox Media Podcast Network. It was produced by Creighton DeSimone and Jackie McDermott with help from Hadley Robinson and it was edited by Callie Wright.  The Decoder music is by Breakmaster Cylinder. Our Editorial Director is Brooke Minters and our Executive Director is Eleanor Donovan. Learn more about your ad choices. Visit podcastchoices.com/adchoices

18 Apr 20231h 11min

It is fair to say that Substack has had a dramatic week and a half or so, and I talked to their CEO Chris Best about it. The company announced a new feature called Substack Notes, which looks quite a bit like Twitter — Substack authors can post short bits of text to share links and kick off discussions, and people can reply to them, like the posts, the whole thing. Like I said, Twitter. Twitter, under the direction of Elon Musk, did not like the prospect of this competition, and for several days last week, Twitter was taking aggressive actions against Substack. At one point you couldn’t even like tweets with Substack links in them. At another point, clicking on a Substack link resulted in a warning message about the platform being unsafe. And finally, Twitter redirected all searches for the word Substack to “newsletter.” Musk claimed Substack was somehow downloading the Twitter database to bootstrap Substack Notes, which, well, I’m still not sure what that means, but I at least asked Chris what he thought that meant and whether he was doing it.  It’s tempting to think of Substack like a rival platform to Twitter, but until the arrival of Substack Notes, it was much more like enterprise software. With Substack Notes, the company is in direct competition with social networks like Twitter. It’s shipping a consumer product that’s designed to be used by Substack readers. It is no longer just a software vendor; it’s a consumer product company. And that carries with it another set of content moderation concerns, that, after talking to Chris, I’m just not sure Substack is ready for. Like, I really don’t know. You’ll just have to listen to his answers — or really, non-answers — for yourself. This is a wild one. I’m still processing it. Let me know what you think. Okay, Chris Best, CEO of Substack. Here we go. Transcript: https://www.theverge.com/e/23445916 Links: Can Substack CEO Chris Best build a new model for journalism? - The Verge Now live for all: Substack Notes Substack Content Guidelines Welcome to the new Verge (re Quick Posts) Can Mastodon seize the moment from Twitter? - The Verge Twitter’s newsletter tool is shutting down in less than a month - The Verge Elon Musk on Twitter: "@BretWeinstein 1. Substack links were never blocked..." Casey Newton - Substack Notes Platformer on Substack    Can we regulate social media without breaking the First Amendment? - The Verge How to buy a social network, with Tumblr CEO Matt Mullenweg - The Verge Newsletter platform Substack raises $65 mln in Andreessen Horowitz-led funding round | Reuters Substack Drops Fund-Raising Efforts as Market Sours - The New York Times Substack Wefunder Substack Notes, Twitter Blocks Substack, Substack Versus Writers How much money do we think Substack lost last year? - The Verge Learn more about your ad choices. Visit podcastchoices.com/adchoices

13 Apr 20231h 8min

Brex CEO Henrique Dubugras found himself playing an important role during the Silicon Valley Bank collapse. Brex is what you might call a neobank — not a traditional bank but rather a financial services provider that helps companies manage how they spend money, corporate cards, travel expenses and the rest. In the middle of the SVB collapse, Brex was more than just a spending management company. It was also a safe place to park money. Brex saw billions of deposits in a very short period of time, giving Dubugras a bird's-eye view of what was happening — and what was happening was not great for the banking system, especially in Silicon Valley. (Our own Liz Lopatto has been covering this in depth.) I wanted to hear Dubugras' perspective on SVB both as a fintech CEO and a founder himself, whether he thought the crisis was rational or just a panic caused by group texts and easy-to-use mobile banking interfaces, what he thinks will happen to the startup ecosystem next, and how much of an opportunity all this was for Brex. Dubugras is a young CEO. He just turned 27. He really surprised me with his depth here, and he will probably surprise some of you as well. Okay, Henrique Dubugras, CEO of Brex. Here we go. Links: The tech industry moved fast and broke its most prestigious bank  Liz Lopatto - The Verge  A fintech CEO is trying to raise more than $1 billion to fund bridge loans for startups impacted by the Silicon Valley Bank collapse Robinhood Users Say The Trading App Won’t Cash In Their Profitable Bets Against Silicon Valley Bank  What Is A Neobank? – Forbes Advisor   Transcript: https://www.theverge.com/e/23433504  Credits: Decoder is a production of The Verge and part of the Vox Media Podcast Network. It was produced by Creighton DeSimone and Jackie McDermott and it was edited by Callie Wright.  The Decoder music is by Breakmaster Cylinder. Our Editorial Director is Brooke Minters and our Executive Director is Eleanor Donovan. Learn more about your ad choices. Visit podcastchoices.com/adchoices

4 Apr 20231h 2min

Chris Cocks is the CEO of Hasbro, a company that just turned 100 this year. Hasbro is a huge company, making everything from Transformers to Lincoln Logs to My Little Pony and Monopoly. It also makes Magic: The Gathering and Dungeons & Dragons, which are massive and growing businesses. Chris was the head of that division, called Wizards of the Coast, before he became the CEO of Hasbro overall last year. Since then, he’s started the process of restructuring the company, which is pure Decoder bait.  He’s also dealt with some crises: He’s fended off an activist investor that wanted him to spin Wizards of the Coast out into a new company. The Magic community was upset that too many card sets were being released, including rare collector cards that could suddenly be bought by anybody who had enough money. Then, an attempt to change the open gaming license for Dungeons & Dragons led to a fan backlash, and Hasbro walked the entire plan back. We talked about these challenges, how he handled them, and what it means for toys and games to have such passionate fandoms. It really changes how Hasbro operates. He’s also selling off part of eOne, the company’s TV and film production company — we get into why and how he decided to do that. Chris is a lifelong gamer — you’ll hear him talk about that history several times. And he’s also keenly aware that toys and games have become an adults’ market as much as a kids’ one, and that changes the company’s business strategy. This is really a remarkable conversation: toys are a big, complex business. Links: Chris Cocks Is Hasbro’s Gamer in Chief Chris Cocks Statement at Hasbro Investor Day Hasbro strongly refutes claims it is ‘destroying’ Magic: The Gathering Dungeons & Dragons finally addresses its new Open Gaming License Hasbro CEO on D&D fiasco: ‘We misfired’ on the OGL but have ‘since course corrected’ Magic: The Gathering Becomes a Billion-Dollar Brand for Toymaker Hasbro Hasbro Puts Newly Acquired TV Brand Entertainment One (eOne) Back Up For Sale Transcript: Credits: Decoder is a production of The Verge, and part of the Vox Media Podcast Network. Today’s episode was produced by Creighton DeSimone and Hadley Robinson and it was edited by Amanda Rose Smith. The Decoder music is by Breakmaster Cylinder. Our Editorial Director is Brooke Minters. And our Executive Producer is Eleanor Donovan. Learn more about your ad choices. Visit podcastchoices.com/adchoices

31 Mars 20231h 10min