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tv   Squawk Alley  CNBC  December 1, 2020 11:00am-12:00pm EST

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issue. they're turning it back around on congress. if you want to keep the programs going, bring back legislation to do that. so that is where the fireworks are. but as far as investors are concerned, they heard what they wanted from the fed. there is more work to be done on the recovery and we're going to be there to do it. >> yeah. we know that the treasury secretary is going to talk to speaker pelosi later this afternoon. he said a little while ago we'll see if the bipartisan effort by a by cammeral group of legislators can get anywhere on capitol hill meantime, we'll monitor the hearing. it is 8:00 a.m. at amazon headquarters in seattle. it's 11:00 a.m. on wall street and "squawk alley" is live
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>> dus good tuesday morning i spoke with aws ceo exclusively last night covering a wide range of topics. you'll hear about all hour including data warehousing and the emergence of snowflake in that space which by the way runs on aws here's what jasy said about whether there is room enough for snowflake and aws -- sorry, snowflake competitor from aws red shift in the market.
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>> i think it's unquestionable that there's room for both snowflake and red shift to be very successful and grow to be very, you know, a lot larger than both of them are today. we launched redshift back in 2012 and it was the first data warehouse built for the cloud and continues to be the largest data warehouse in the cloud. and, you know, snowflake built a data warehousing offering as well that is also strong offering and largely runs on top of aws we work just as hard for snowflake in trying to make it easy for people to use redshift. from our perspective, if customers want to run on snowflake for their data warehouse on top of aws, we're just as happy with that as if they're willing to run redshift on top of us these are very, very large market segments, jon and there is such a large transition happening right now from on premises data warehouse
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providers to cloud data warehousing providers that there is room for a lot of companies to be successful >> well, it is wide enough for redshift and snowflake take a listen. >> the ceo said this multiple times. he said it in the earnings call in june that they would have really had a hard time getting through the early surge of the pandemic without relying very significantly on aws you know, then he just said it again in a press release today that, you know, where they named aws as their preferred cloud provider sig significant majority rubs ns on aws. the overwhelming majority of what they do on the cloud is run on top of aws. >> a lot more our exclusive with
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andy jassy all hour including an partnership between aws and apple and parallels between what aws is doing with chips and what we've seen apple doing with chips. guys, it's interesting amazon is really trying to make an ecosystem flex here so much runs on aws. they're making the case that the company should build on top of aws and do that freely with retail, that's an area where some competitors including microsoft and google have tried to make end roads saying, you know what? you don't want to be paying amazon as a retail competitor even in the cloud, diedre. >> right there are so many potential conflicts of which which is what the antitrust regulators are looking at amazon at large is a platform for e-commerce, for companies in terms of cloud but they can also be competitors as you talked to andy jassy
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about their competition with snowflake. jon, it's interesting how he says it's fine, whatever twunt use. as long as it runs on aws and they did have what a seven year lead in the cloud market they are the biggest player by far. so much runs the first leg of the cloud wars is infrastructure. the next leg is services this is where amazon, aws is facing a little bit more competition, carl. >> indeed, jon and to the degree you talk about a flex, gis ti guess the only question is who is on the wrong side of that flex. >> yes there is always this sort of competition for the boldfaced names. zoom during the pandemic is one of the boldest of those boldfaced names. and the conversation about who are they really relying on for the services oracle had put out some press releases about oracle cloud infrastructure and zoom's use of that. the cloud infrastructure not always used in the cloud though.
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a little terminology issue there. amazon trying to make clear when it comes to operations in the cloud, zoom is mostly, carl, relying on aws >> well, guys, three tril wrlion meeting minutes expected from zoom this morning. an enormous number to be doing in the cloud >> speaking of zoom, guys, shares obviously down. you can see from your screen the phenomenal rate of growth that zoom had seen over the course of the pandemic does appear to be moderating. that has the share down a little more than 13%. we have two guests joining us to talk about what comes next for zoom thank you so much for the time g to see you >> thank you >> thanks for having us. >> let me begin with you the two things really that stood out for me were gross margins and then the number or the revenue contribution from accounts with less than 10 employees. is that where the focus should be or is it somewhere else
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>> you know, that was one of the benefits of, you know, this pandemic less than ten employees going, you know, that revenue is around 30% revenue. i'm more excited about the -- you know, the employee segment the enterprise segment, that's where we think the growth opportunity will come. if we look at the 100,000 and 12-month revenue right now, still, you know, pretty small amount it's at 1300 customers there's a lot of opportunity as we go into the work from anywhere environment zoom is a tool to work you know, they're changing i'm more excited about that. and in terms of gross margins, this quarter may -- is impacted because k-12 and, you know, they offer three surveys.
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i think that will be bad once we go back next year. >> that's interesting. that's a goint the way they gave back in a way to some education communities. i guess city sees the small account dynamic as a fuel for growth others say well that's the cohort that is likely to be less sticky, the least sticky in 2021 >> well, you know, they bifurcated trends and they had strength and that is ultimately what is going to help drive growth longer term it's become a life blood for a lot of small businesses, right this is hour you're interacting with your customer today i think that has, you know, longevity to it and the flip side of that is as citi pointed out, you have strength in enterprise there is 100,000 annual revenue customers. so i think they're really
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hitting on all cylinders still there are a lot of questions about going back to work and what that means to the numbers and, sure, there are going to be some segment that's are negatively impacted on the margin, education will be one of those t way think this is a long term tail wind for the company we didn't even talk about zoom phone. that is the next leg opening up a huge marketplace >> if you have to it in pick, there was a gross margin story the cfo on "squawk box" this morning saying that that was mostly about their cloud usage and that they were actually working to build out their own cloud infrastructure capacity. i wonder, as will says, zoom phone, the next leg of growth, should they be spending money on
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the cloud infrastructure here or reinvesting in phone and other growth engines >> i think locker term it is beneficial to them to have the own data center. so definitely a marginal one last quarterer is 68%. definitely an opportunity to improve there. this is the time to maybe invest a lot of opportunities they need to capitalize on this momentum you are know, we have rarely seen a company which has become world renowned in just six weeks which took years for us. they give that market presence this is an opportunity for them to invest and also i think immediately rely on this cloud platform but ultimately the data center which will have improve to gross
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margins. >> does it make sense and i'm thinking about gross margins they're delivering above 300% growth more services, more capability, higher share of wallet for people to do more on video not worry about, you know, spending potentially hundreds of millions of dollars on infrastructure >> yeah, that's a good question. they're going to try to emphasis they shot up 75% just massive numbers of $3.5 tr - 3 1/2 trillion annualized minutes. they help them do. that they're trying to invest as aggressively as they can they're trying to open up the
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rnd centers. the revenue is growing the longer term expectation is where they will be as a percent of revenue the other thing that gets missed on this story is in addition to the strong revenue growth, there is a huge operating margins and cash flow cash flow is close to 50% that is going to stack up to anywhere in the economic world this is the most profitable. >> right and in terms of that valuation you touched on this just a moment ago but what is the next leg so is zoom phone to justify that lofty evaluation, does it evolve them into the unified communications platform that some investors say it needs to become to justify that $100 billion plus market cap? >> yeah. so when you look at growth opportunity, yes, there is the cross of zoom phone and even
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that is an interesting area. once you go back to the hybrid environment, zoom phone should be more interesting. and also growth opportunity right now, that's going to take up a segment of the revenue. a lot of the opportunities are there. and if you look at 30% growth next year our analysts say there is still 60% growth next year. so it can double in terms of what we're thinking now. it is still a high growth story at this point. >> finally, will, i don't need to make more of this than i need to but the founder and ceo did not join the web cast, i believe he said he had a personal conflict arise which doesn't really happen that often. do you think any selling is related to that?
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do we know why he was absent >> yeah. that's a good question, carl i don't have the background on that i don't think the selling is related to that he has a great team around him there. i think it's just a classic case of, you know, sky high expectations he beat revenue by 13% i think there was some expectations that probably even above where they deliver >> yeah. >> understood city and will, thank you. definitely one of the key stories of the morning g to see you both >> thank you >> thank you for having me >> still to come, what to expect from airbnb's debut as they kick off the road show later this morning. and we'll also have more from our exclusive with amazon head of cloud andy ssjay. we're back in just two minutes
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getting a breakdown of this bipartisan compromise proposal on covid-19 relief we have more >> hi, carl. a group of bipartisan lawmakers from both the house and senate have proposed a new coronavirus relief package that they're hoping will help restart the talks on capitol hill. the total cost of the pack sages
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$908 billion, $180 billion for unemployment insurance, $288 billion for the paycheck protection program, $45 billion for the airlines and other transportation as well as $16 billion for vaccine distribution as well as testing and tracing and also it includes some form of negotiated liability protections for businesses and this bill would last through about the first quarter of next year now we're also told that this bill includes about half of nonhas been repurposed from the c.a.r.e.s. act less of the funding from the $908 billion package would require nundi new funding from congress and that is important to give broader support particularly among republicans now the lawmakers reached the leadership of both parties on this legislation they have not been saying whether they'll support it they would like to find a path forward. the white house is briefed on it as well.
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they said that the treasury secretary offered some guidance and some device on the package but has not weighed in on whether or not it stands a chance of being approved by the white house. the but, guys, we do know the treasury secretary will be speaking over the phone with house speaker nancy pelosi at 1:00 p.m. today. both about government funding and covid-19 relief package. we'll see what comes of that back to you. >> thanks so much for that airbnb kicking off a path to an ipo today filing an s-1 and launching the road show. leslie picker, i'm so accustom to seeing you in hotel lobbies at the road show this year is different >> yeah. this time i'm here in my kitchen. it's going to be a virtual road show for airbnb like all ipos of the pandemic era of airbnb is starting a week and a half of zoom meetings to day with investors
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there is a small fraction of the overall holdings on the high end of the price range disclosed today, the founders including the ceo hold states around $3.5 billion each. now airbnb is asking investors for valuation of $35 billion on a fully diluted basis at a $50 a share pricetag i'm told by a person familiar with the matter that that $35 billion figure is applicable to earlier rounds of funding. it comes more than double the $18 billion value airbnb got from an emergency round of funding in april of this year. after the pandemic reeked havoc on the travel industry it is slightly higher than airbnb's prior valuation of $31 billion from a 2017 financing. airbnb saw a huge drop in
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bookings at the on set of the pandemic as tourists hunkered down at home in the third quarter, airbnb's business snapped back pulling in $1.3 billion on the top line although that figure is still about 18% shy of 2019 levels while unprofitable for most of the year, airbnb did post profits in the third quarter in a video message to investors through the net road show website today, airbnb says the demand during the pandemic is characteristic of its resilient model. i can expect that word resilient to be part of many conversations it has with investors throughout the next week and a half. >> i was going to say, kind of the poster child for resiliency amid the pandemic. what a wild year it has been leslie, i heard you talking to becky earlier this morning about what is next for airbnb. it's the oldest unicorns, right? there is something beyond home sharing. yesterday kara swish wears saying that perhaps airbnb could be the amazon of travel?
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i'm a little skeptical or at least we need to see a lot more at the start of the year, the ambitions were certainly intact. it still had that higher valuation. but amid the pandemic, the ceo pulled back on a lot of the more ambitious projects so investors, a key question zshgs that show fiscal discipline or does that sort of eat into its longer term ambitions, jon we know they have a pretty good team that has been there for a while. so how easy or difficult would it be to restart those ambitions if they do recover and even greater way? >> yeah. yeah i don't know if we still got leslie i'm curious about what this pandemic setup, leslie, has done to just the way investors might approach this company. it seems like in a way you shake the rework questions about are they overhyping? right? they actually experienced this
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pandemic plunge. we see a snapback. at the same time, maybe you escape a bit of that uber issue of mission creep, you know, all this talk about, you know, flying cars and autonomous driving. does airbnb get to just focus on what it does and do investors just focus on that as well >> he i think that's a wonderful question i was actually talking with a banker yesterday who advises on ipos i said, you know, with all the ipos coming, how do they value these things this thing is such an anomaly. when you look at the financials, some companies have gotten a tremendous boost even though airbnb's financial dozen look pretty similar at least in the third quarter to where they were in 2019, they say in the video that people are traveling differently. they're staying longer they're staying close to home. so what does that look like? 2021 assume things go back to normal do people as they go back to normal, is there some kind of pent up demand to stay at a
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marriott or hilton i think that is part of the key question they also talk about their total addressable market and they did not really mention too much on the real estate question they talked a lot about short term stays, longer term stays. nontourism experiences tourism experiences. so it will be interesting to see kind of how they see those factor into the plan which up is wards of $3 trillion >> right it's a massive market. and what is interesting too is that you see some of those traditional -- the traditional hotels and also the online travel platforms like expedia and bookings go further into home sharing the so perhaps a suggestion that they too are making a big bet on this market. one question i have from the s-1 is the state of experiences business so maybe we will learn more about that on the road show.
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this is air big ambitious project. back to you. >> dow is up 344 we're hanging on to 3669 on the s&p 500. keep an eye on bitcoin today the wild swings continue another new high doesn't quite get to 20 k. we're going to watch that. currently holding 19 k hi, my name is sam davis and i'm going to tell you about exciting plans available to anyone with medicare. many plans provide broad coverage and still may
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this will be the first opportunity that apple developers will be able to build application ands leverage the cloud by leveraging and i think they'll be quite excited >> we will tell you why apple developers are paying close attention to that news next. more from our exclusive with aws ceo andy jassy in just a moment. stay with us ♪ and never brought to mind ♪ should auld acquaintance be forgot ♪ ♪ and auld lang syne
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welcome back here is your cnbc update for this hour. "the new york times" is reporting that trump lawyer rudy jui giuliani has discussed being pardoned with the president. giuliani tells nbc news the report is "a lie, 100%." china says the spacecraft has landed on the moon if all goes well, the robot probe will will gather four pounds of moon rocks and bring them back to earth overseas in germany, two are
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dead and 15 seriously injured after a man drove his car into a pedestrians zone the 51-year-old driver has been arrested and being questioned by police brazil, a city of 220,000, has been overrun by a heavily armed gang video shows residents showing hooded men firing rifles in it the street and multiple banks were robbed and hostages have been taken you're now up to date. that is our cnbc update for this hour jon, back to you >> thank you and to kick off this year's annual aws reinvent conference, amazon web services announced a partnership with apple they're going to run apple's system which should allow new work flows for developers, something that no other cloud provider is offering i talked to amazon's head of cloud andy jassy it is the number one cloud provider in the world in terms of market share. also amazon's most profitable division
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aside from that partnership, we discussed the push deep near the chips and the semiconductor sector including nvidia's purchase of arm, relationship between nvidia, amd, intel, and aws. aws, remember, makes its own server chips as well here's what andy jassy told me >> building a chip is not for the faint of heart it's hard to do. and it's really expensive. there are a lot of up front costs that you may or may not get back it really depends on how successful you are of building the chip there are relatively few companies that have the economics where it makes sense for them to build chips. but there are enough of them that i expect that you'll see a lot of different chips over time which i think is great for customers. i think that if you go back ten years, you know, there is really kind of one cpu chip provider and one gpu chip provided who are primarily providing all the chips. and, you know, while we all have
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partnerships with them and we work collaboratively with them, you know, the cycles were just longer people had to wait two, three years to get new instances and new compute platforms from them. if you just look at what changed, even the last 18 months, just think about what we talked about with respect to the chips and the inference chips. people and customers are now getting brand new instances and capabilities every few months. that will change what is possible for customers. >> speaking of, the graphics heavyweight that you mentioned is nvidia. nvidia poised to perfect arm are you comfortable with that given the work that amazon, aws has done on chips? some. >> we're optimistic that nvidia will continue on the path that arm is on. the reason that arm is so
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successful first in the mobile space and now increasingly in the x 86 space and server space is that it's been open and they have allowed people to kind of build new chips. you know, very cost effectively and create, you know, really a very fast cycle of innovation. so we're very optimistic that will continue to be the case we believe it's an incredible opportunity for everybody in the community. and we have a strong partnership with nvidia. we'll continue to evolve that. >> what is the relationship with intel now? are you able to work on things together >> absolutely. we have a very strong relationship with intel and with amd. and we'll continue to collaborate across all of their new generations and aprocesses that they're building. you may see surprises too in what we build together and what we announce together in the coming weeks >> the surprises in what they build and announce together. carl, i wouldn't be surprised if we see some more chip news
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collaboration between, you know, amazon, aws, the likes of intel and maybe others >> i was just thinking, jon, it's probably the nicest thing someone has said about intel on our air in three or four months. >> yeah. >> ouch. >> intel has been having some trouble when it comes to getting their next generation chips out. you raily caneally can't sleep . this nvidia-arm thing is interesting. he is optimistic that nvidia will be a good steward of arm. i shouldn't parse words too much i didn't say confident the i did press him a little bit more on that and what he wants to see it is an important issue >> yeah. you know, he did sound confident. i think remember that this deal still has to get through the antitrust regulators >> you have one of arm's
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co-founders saying this zeile will be deal will be a disaster. but when you have amazon saying they're not too worried and they think that nvidia can grow arm and keep it as a switzerland in the chip space that, bodes pretty well, jon >> yeah. he said optimistic though. he didn't say not too worried. it will be interesting to see how that plays out i also talked to andy jassy about the pandemic and lessons learned from a leadership perspective and personally during covid-19. here's what he said. >> there are so many things that, you know, that we all learned over the last nine months i mean, i think there is some personal things and there is some leadership pieces the i think, you know, on the leadership side, i think that it's really changed the way that we all thought about hiring. in the past we tried to hire people on locations where we have critical mass because we thought it is better for people's career development. and easier for them to
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collaborate. but since we've all been forced into being remote now for nine months, i think we realized if you have somebody in a particular location that is willing to work the hours to collaborate, you can do it effectively. it changed how we thought about hiring you know, it's changed, i think, how we thought about all of our remote teammates you know, typically most of the meetings largely take place if one physical location. and then there are people plugging in remotely but where, you know, they're a little bit off to the side they can't participate in the meeting as fully as you'd like with everybody being remote and everybody just getting one square, et meait means we have contribution on a much more level playing field. it really chaufrpged tnged the s we've had and discussions and when we go back to having meeting in person, we're going to incorporate a lot of thingses we learned in the virtual meetings to make sure we're
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getting engagement from all of the remote teammates i think it also changed the way that we thought about how you have to invent, you know, i think that in many ways invention is one of the hardest things to do virtually and that's because invention tends to be sloppy you know, its not like you can organize 45 minutes and say we're going to invent this product right now. what typically happens is you're talking about an idea and then the initial idea is not the one you end up with and they interrupt people and they get animated and then you finish the meeting and you don't really quite get there but three people leave the meeting and start working on a white board outside that conference room all of those things are much harder to do virtually, especially because the technology while so much better than five years ago when two people talk at once, it really cancelled out the side so people don't interrupt each other you don't rift the same way. it's really changed the way we think about how we drive
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innovation and solicit information from our builders and the type of meetings that we run and how long the meetings run. so a lot of things that i think we learned in the process. and, yeah, i would say personally that, you know, two things that i blerlearned about myself, i miss being around people you know, i miss being around physically around myteammates lot more than i already thought i would. you know, for whatever reason, it's just really different to be interacting virtu interacting virtually than in person there is bonding you get being in person. i many is that and then i also think that it's just -- i think human beings need things to look forward to and i this i that the pandemic, for good reason, have robbed all of us of so many things that we're looking forward to and i think you have to find new things you can't just keep working intensely like, you know, so many people have done.
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there are a lot of people on our team have done as well you need to have balance you need to other things can you look forward to. so those are probably some thing is learned during the pandemic >> and, carl, we also spent some time discussing whether or not we thought that the hand shake was going to come back into business interaction and what the state of conferences would be next year but we agreed that he and i are looking forward to sitting down in the same room and doing an interview like this as soon as possible i don't know i get the sense there say bit of this shift back and forth. some people are saying oh, it's never going to be the same its just as good remote. i don't know cloud technology is good but even amazon's cloud chief is looking forward to doing stuff in person. >> yeah, jon i was going to say as he was talking, i was going through the transcript of your interview. that bit about innovating virtually and how difficult that is because it's such an organic process, you can't schedule it i mean, he said it ten times
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better than i can right now. but i think that's one of most interesting things i've heard. we heard that virtual work life has limits on say productivity on mondays and fridays it's hard to onboard new employees. but that is a new wrinkle that i've not heard before. >> and, yeah we heard a bit about that from adobe's ceo early on about just how if you're continuing something that's already in process, that's one thing. but to start something brand new, that's tough to do remotely they're going to continue to invest, adobe is, in their san jose headquarters and, you know, i asked jassy about hq 2 with all that remote work stuff z that mean that all that hq 2 stuff is for nothing he said, no, absolutely not. those locations still important. it just means people won't necessarily have to come into the office every day in those places >> you know, amazon has always done things a little bit differently than the big tech
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peers offer their employees fre lunches, lots of perks, resting areas. amazon has a banana stand in seattle which is very proud of but not the same kind of perks for the employees. so didn't exactly sound like a ringing endorsement from jassy about that work from home virtual work in the long term. carl, that invention point so important. he was certainly know being at amazon and creating aws i like that anecdote. you go out in the meeting and they rift on a white board how do you do that virtually do you have breakout rooms do you get the same invention? >> i think the big amazon employee perk at this point might be amazon stock. >> there you go. >> meantime, you heard us break this earlier on squawk the nasdaq asking to approve a
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new rule that requires diversity on corporate boards. 2,349 companies listed will be required to have one woman and one minority or face reprecushions. you can read more on the story wee nbco 'rback in a moment ♪ ♪ ♪ ♪ ♪
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interesting setup this morning at senate banking as the fed chair and treasury secretary talk about potential stimulus even as we get a parallel track
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compromise proposal from various senators steve liesman is watching all this >> good morning. yeah, fiery hearing going on focusing on the controversial decision to treasury secretary steve mnuchin to end emergency lending programs sharon brown blasted him for his decision saying the trump administration is trying to sabotage the economy on its way out the door >> you should know, mr. secretary, one of the biggest banks and largest corporations need money, the allies in washington spring into action while the rest of the country needs investment and support, you want to pretend we just can't afford it. you cited congressional intent as a flimsy justification for your decision. i can tell you right now we didn't intend for struggling businesses to have to wait over three months vo to hato have ac the life line. >> mnuchin said he was acting about i what he believed to be the letter of the intent and law of congress and not xaend
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xendixen extending the programs beyond december 31st. >> the senate provided unprecedented authority to the secretary of the treasury in giving you $500 billion. the statute is very clear. as a matter of fact, find it implausible that any member of this committee believe that in voting for the cares act that you were authorizing me to invest $500 billion to make loans. >> for his part, powell was dragged into it. he wasn't asked about the failure to extend the program. he did have a warning about small businesses and about the economy. >> there are a lot of small businesses that are at risk of going out of business during this winter which could be a tough few months at the same time, we're getting this news about the vaccines which are more effective and they've come sooner. so there really is, you know, in the medium term, upside risk here >> powell did say he wanted the programs as back stops he said his meeting with speaker
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pelosi this afternoon and looks forward to reviewing the $908 billion proposal, bipartisan senate proposal for covid-19 aid. >> thank you yes. i'll take it the ceo of online retail platform big commerce is just moments away after a record breaking cyber monday. quk le iba itwere. "sawaly"s ckn o. it's down to the wire,
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the team's been working around the clock. we've had to rethink our whole approach. we're going to give togetherness. logistically, it's been a nightmare. i'm not sure it's going to work. it'll work. i didn't know you were listening. if you believe it, we are
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keeping our eyes on shares of blackberry this morning. once the pride of canada it's up more than 50% after partnering to develop an intelligent vehicle data platform that puts blackberry shares at their highest level since may of 2019, some years from its heyday there's more "squawk alley" in just a moment. don't go anywhere.
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adyen. business. not boundaries. it reported that 95 million people shopped online only from thanksgiving to cyber monday it's expected to be another huge week of e-commerce platform. brent, it's good to have you back on the program again. what can you tell us about gross merchandise value? earlier you said the pace of growth had slowed around the spring what have you seen over the last few weeks? >> growth is spectacular, whether in dollar terms or in consumer spending, 2020 will be
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by far the biggest year of e-commerce growth in history predictions are roughly e-commerce will be up 32% overall this year but we're seeing on bigcommerce sales running 75%, the vast majority being driven by same-store sales growth, just success for businesses >> who are the big winners are they stores that have been on bigchers fommerce for a few s already? what are you seeing for store creation >> store creation exploded at the start of the pandemic. larger companies are in the first month or two a bit paralyzed trying to figure out how to adapt new reality but have come back very strong now small, medium all doing very
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well and we're noticing sporting goo goods, automotive and apparel. >> the infrastructure big commerce uses, you announced a migration to google platform are you going multi-cloud? this is cloud week on "squawk alley" on cnbc with reinvent happening. how are you thinking about that strategically? >> we've had spectacular success working with google. this is the seventh straight year that we will have zero down time for any of our stores globally during cyber week so the performance, the page speed of google cloud platform we think is -- >> how much of that move is because amazon is a frenemy, i get you could say, in retail
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they compete as well as serve some of your customers how much tch wof it was for the technical that you just talked about? >> remember that roughly half of all amazon's sales are by what they call independent sellers or marketplace sellers and they themselves are reporting that the cyber week sales of their marketplace sellers are up like 60%. they're growing faster independent sellers on amazon are growing faster than amazon's first party sales. we promote to all of our customers who consider amazon as a sales channel that supplements your branded web site. amazon cloud or aws is a great platform, too, but we chose google cloud a couple years ago. >> right, but, brent, amazon is a retailer as well as an e-platform
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that was a comment made yesterday. i wonder do you think that third-party sellers can go all in on am sfwlon azon or is thera reason for them to be a little bit wary >> most it not all can -- it may not be all of your inventory but there is a strategy for most companies. i spent many years at ebay before i ever came to bit commerce i would say the same thing, ebay and amazon are fantastic supplemental channels. it enables our companies to take the inventory from the branded store, cross list than amazon wish and other places. so it's really about figuring out which subset of your product line sells best and how to sell best through those marketplace channels if you're a business and you say, hey look, i don't want anything to do with amazon,
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ebay, wish or other marketplaces, then you're basically going to avoid getting your product in front of about the half of all consumer spend online that happens on those marketplaces we really encourage companies to be open minded and consider being aggressive about all of those. >> brent, thanks for that. fascinating as we take stock over what happened over the first holiday weekend anyway let get to the judge carl, thanks so much welcome to the "halftime." i'm scott wapner front and center, your money what does it mean for the december setup we debate that and joining me are stephanie link, josh brown, john najarian, off to a strong start. stobs hi stocks higher across the board, s&p and nasdaq all hitting record highs today we are monitoring a couple o


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