Marketecture: Get Smart. Fast.
00:31:28 · Chris Harihar, Ari Paparo
[00:31:28] S2: For sure. The YouTube members are kind of interesting to me just given how... Like, I I will say YouTube is an ad heavy experience. Mhmm. They are rolling out features every single day for creators, for advertisers. It feels like they've jammed a lot in there. And and I do wonder what's going on in terms of in terms of that slowdown. But YouTube seems... YouTube is is absolutely massive. You see the pressure that it's putting on a business like Netflix. And I feel like they have... They're still possibly scratching the surface on how to make more money off of YouTube and we'll, you know, we'll see. I think more premium programming is... You know, like there's gonna be more investment on that front. We'll see. But YouTube, it's kind of interesting just given what the experience looks like today. [00:32:11] S0: And now we don't have in the notes, the show notes, the... What I think is really big news, which is that Instagram's going to be doing long form content and coming to your TV. You know, this is something we talked about in our annual predictions episode, Eric. We were thinking YouTube... I mean, Meta was gonna get into... I was thinking Meta was gonna get into CTV as a... As an ad network. We knew they were doing something, but I I think they have a very viable opportunity to displace some YouTube viewership, with long form content, you know, broadcast on a... In an app on a TV.
00:32:11 · Ari Paparo, Eric Franchi, Chris Harihar
[00:32:11] S0: And now we don't have in the notes, the show notes, the... What I think is really big news, which is that Instagram's going to be doing long form content and coming to your TV. You know, this is something we talked about in our annual predictions episode, Eric. We were thinking YouTube... I mean, Meta was gonna get into... I was thinking Meta was gonna get into CTV as a... As an ad network. We knew they were doing something, but I I think they have a very viable opportunity to displace some YouTube viewership, with long form content, you know, broadcast on a... In an app on a TV. [00:32:45] S1: Absolutely. And we might give you that prediction by the way, because, you know, like, getting the consumer app and getting that at scale, like, is the way you build a a big CTV business. On the meta front before we get into the other stuff, Chris, are you a Muse guy? Yes or no? [00:32:59] S2: Love Muse. Muse is Muse is actually [00:33:02] S1: Interesting. In [00:33:03] S2: in in the time that I've like played with AI tools, ChatGPT was like, when I first wrote a press release for me or Claude, was like holy shit, like this actually worked. Muse is the other moment for me where I've I've... I was... I'm just blown away. I use Muse more than... Possibly more than any other AI platform right now on a daily basis. It it is mind boggling how much it can do and how good it is at... From a harness perspective in terms of understanding and remembering tasks on an ongoing basis. It's it's shocking to me how good it is.
00:33:03 · Chris Harihar, Eric Franchi, Ari Paparo
[00:33:03] S2: in in the time that I've like played with AI tools, ChatGPT was like, when I first wrote a press release for me or Claude, was like holy shit, like this actually worked. Muse is the other moment for me where I've I've... I was... I'm just blown away. I use Muse more than... Possibly more than any other AI platform right now on a daily basis. It it is mind boggling how much it can do and how good it is at... From a harness perspective in terms of understanding and remembering tasks on an ongoing basis. It's it's shocking to me how good it is. [00:33:38] S1: You might need to do a call with our friend Ari over here. [00:33:40] S0: Yeah, I might need a tutorial, I just... I'm just having a hard time with it. [00:33:44] S2: I have it sends me talking points for for conversations with... My wife doesn't know this, but every day at 5PM sends me talking points for conversation for conversations with my wife that night, where we talk about our daughter because it's it's ingesting all of these school emails, and it's putting things on my calendar and it's it's in... From a work perspective, it's hugely helpful. It runs our daily monitoring for a number of our companies at this point that we're working on. It's it's fascinating how good it is.
00:33:44 · Chris Harihar, Eric Franchi, Ari Paparo
[00:33:44] S2: I have it sends me talking points for for conversations with... My wife doesn't know this, but every day at 5PM sends me talking points for conversation for conversations with my wife that night, where we talk about our daughter because it's it's ingesting all of these school emails, and it's putting things on my calendar and it's it's in... From a work perspective, it's hugely helpful. It runs our daily monitoring for a number of our companies at this point that we're working on. It's it's fascinating how good it is. [00:34:10] S1: Let's move on. Microsoft. Won't spend too much time on this one. Basically, Microsoft kinda advertising business search is... Search and, you know, ads like LinkedIn and and Bing, growing basically the same rate as Google, 12%. So less than half as much as Meta. But the story here with Microsoft similarly to Google is the cloud. Azure up 48% year over year, just, you know, big numbers. So to your point, you got two legs in the stool. There's, you know, I think a strong story to be to be said here. And Microsoft just wanna keep going. [00:34:43] S0: I'd love to learn more about their ad business. It seems like a big agglomeration of random things. Have Bing, the old app Nexus, like, just don't know what what's going on there. [00:34:52] S2: They've got what the... They've got games in there. It's like, what is happening there?
00:34:52 · Chris Harihar, Eric Franchi
[00:34:52] S2: They've got what the... They've got games in there. It's like, what is happening there? [00:34:56] S1: Yeah. Exactly. Right. Right. Yeah. Xbox. Okay. Alright. We gotta get with the stuff that our friend Ari is all over. So FreeWheel and Universal ads are going to NBC instead of Comcast. And Mike Shields drops a report that Warner and, I guess, SkyDance now, instead of Warner Warner Paramount is looking to drop FreeWheel. What's going on in the world of FreeWheel?
00:35:22 · Ari Paparo
[00:35:22] S0: Yeah. So I I was very confident this was going the opposite direction, and I believe it was. When when Comcast announced the split of NBCU, I I had talked to people, and they all said, yeah. It's FreeWheel's obviously staying with Comcast. Comcast is the tech company, and NBC is the media company. And my understanding is that there was a lot of lobbying and discussions and negotiations, and the NBC team really wanted this. They really wanted FreeWheel and Universal be part of their, side of the equation. It makes a little more sense because NBC is the largest customer of FreeWheel by probably a pretty large margin. And the other... Their peers, meaning people like Disney, have their own ad tech stacks and are going to be executing against that. So they didn't wanna be arm's length. I think for FreeWheel, I mean, I have tons of friends there. I I talk to them all the time. It's not the best look here in that FreeWheel is going from what they wanted to be. The vision was Google for TV, which is like, in... We wanna control the TV monetization world. We wanna help the broadcasters make more money and blah blah blah, have a network of all these people participating, and now it's feeling a little bit like a captive ad tech company for one giant client. Now they they have other clients, and and the beeswax business, I think, is really successful with many clients. But fundamentally, the consolidation of the traditional broadcasters and the vertical integration with ad tech has made the reason for being a FreeWheel a little less obvious, as kind of a big standalone tech player.