# AI Disruption, Chip M&A, and Fed Shifts

**Podcast:** Bloomberg Daybreak: US Edition
**Published:** 2026-02-04

## Transcript

Bloomberg Audio Studios, podcasts, radio news.
Good morning.
I'm Nathan Hager.
And I'm Karen Moscow.
Here are the stories we're following today.
Karen, we begin in Washington, where after just four days, the partial government shutdown is over.
That was President Trump at the Oval Office bill signing heard live on Bloomberg Radio.
Bloomberg's Eric Wasson reports lawmakers now have just nine days to come to an agreement on reining in ICE agents.
Sources say Tehran wants the talks to focus only on Iran's nuclear activities and not its support for proxy militias in the Middle East and its ballistic missiles.
But I'll be honest with you, you got to get back to running the country.
Software stocks.
And Bloomberg's John Tucker joins us with the latest.
John.
And Karen, the theme that seems to have gripped investors is that AI is going to be able to do much of the stuff that software companies do, making their products far less important.
That was reinforced when the AI firm Anthropic released an AI tool that does legal work.
It looks like a case of sell now and ask questions later.
Add to that the fact that investors are growing impatient about returns for all that CapEx spending.
John, thanks.
Big tech earnings continue today.
When Alphabet reports this afternoon, we get a preview from Bloomberg's Tom Busby.
Google's parent company Alphabet expected to post solid revenue and profit growth for last quarter, with its cloud computing division expected to get a big boost from the release of its latest Gemini AI models, which it also integrated into its Google search and its Chrome browser.
Like rivals Meta and Microsoft, a big focus for investors, though, is all the spending it's done on AI infrastructure and efforts to power its data centers.
Bloomberg Consensus calls for revenue of 11.4 billion dollars on earnings per share of two dollars sixty five cents.
Tom Busby, Bloomberg Radio.
All right, Tom, thank you.
Well, sticking with earnings, shares of advanced microdices down more than seven percent in early trading.
The chipmakers report topped analyst estimates, but its sales forecast underwhelmed investors.
It's a sign that AMD is not making the kind of AI inroads that some investors anticipated.
Another chipmaker is soaring in the pre-market, Karen, that's Silicon Labs.
Those shares are up more than 32%.
The Financial Times is reporting Silicon Labs is in talks to be acquired by Texas Instruments for around $7 billion.
Nathan Bloomberg News has learned NVIDIA is nearing a deal to invest $20 billion in OpenAI as part of its latest funding round.
It marks the chipmaker's single biggest investment in the CHAT GPT developer.
OpenAI is looking to raise up to a hundred billion dollars in funding for a new round, with much of that coming from large tech firms.
The Swiss lender reported stronger than expected earnings and also announced a three billion dollar share buyback.
But client inflows for its wealth management unit fell well short of expectations.
We spoke earlier with CEO Sergio Ermati.
The investment bank is growing uh uh well in the areas where we want to compete.
Uh asset management is doing a good job, and the Swiss uh business is also holding up well despite the low rates or negative rates almost environment.
And uh and we're making uh also good progress on the integration.
Uh eighty-five percent of the Swiss clients of Credit Suisse have been migrated.
We are delivering on our capital returns, so I can only be happy to be honest.
UBS CEO Sergio Ermati says the bank broadly maintained its previously signaled financial targets for the year.
And a notable central bank move, Karen.
Federal Reserve Governor Steven Myron is stepping down from his post leading the White House's Council of Economic Advisors.
Myron had been on unpaid leave from his White House role after President Trump nominated him to the Fed board in September on a temporary basis to fill a vacated seat.
That drew criticism from Senate Democrats who said Myron on the Fed undermined the central bank's credibility.
Time now for a look at some of the other stories making news in New York and around the world.
And for that, we're joined by Bloomberg's Michael Barr.
Michael, good morning.
Good morning, Karen.
An ongoing search continues for the 84 year old mother of today's show host, Savannah Guthrie.
Nancy Guthrie was reported missing in Pima County, Arizona Sunday.
Investigators also found evidence showing there was a nighttime kidnapping.
Police now trying to determine if alleged ransom notes are real.
Pima County Sheriff Chris Nano spoke to reporters.
You were asked if there was any ransom, and you didn't say no.
You said we're following all leads.
Does that mean a ransom has come in?
We are following all leads we have.
That's all I can tell you.
We get we've got hundreds of leads.
Sheriff Nano says Nancy Guthrie relies on medication that she has to take daily.
Events like what you will see around the World Cup and the Olympics as well.
There are no known no planned ICE or immigration enforcement operations that are scheduled around the Super Bowl or any of the Super Bowl related events.
NFL's Chief Security Officer Kathy Lanier, the mayor of San Jose next door to Santa Clara, says he too has been told by federal agencies there will be no immigration enforcement that could disrupt Super Bowl events.
A Doberman Pincher named Penny won best in show in the 150th Westminster Kennel Club Dog Show last night.
The four-year-old beat out six other finalists at the show at New York's Madison Square Garden.
Global News 24 hours a day.
And whenever you want it with Bloomberg News Now, I'm Michael Barr, and this is Bloomberg, Karen.
Thanks, Michael.
Time now for our Bloomberg Sports Udate.
And for that, we bring in John Stash Hour.
Thanks, Karen.
A bunch of trades ahead of tomorrow's NBA trade deadline.
James Arden goes from the LA Clippers to Cleveland.
For Darius Garland, a swap of point guards, veteran Jaron Jackson goes from Memphis to Utah.
He was with the Grizzlies for eight years.
Point guard Mike Conley moves from Minnesota to Chicago, and Center Nicola Vukbucevic goes from Chicago to Boston.
U.S.
flag bearers at Friday's opening ceremonies will be Bob Slitter Frank Del Duca and Speed Skater Aaron Jackson.
That's your Bloomberg Sports Update.
Stay with us.
More from Bloomberg Daybreak coming up after this.
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This is Bloomberg Daybreak.
Good morning.
I'm Nathan Hager.
The partial government shutdown may be over at four days, but an even tougher fight remains on Capitol Hill over funds for immigration enforcement.
House Speaker Mike Johnson says he's ready for it.
They say they want a real negotiation with President Trump and Republicans over immigration enforcement policy, and we are happy to have that debate.
Good morning, Nathan.
Uh yeah, the fight is probably going to be a very big one.
Um, the gap between the Republicans and the White House on the one hand and Democrats on the other is still very large.
So despite the fact that they came to this agreement to reopen uh parts of the government that were shut down, um, there is only now nine days to come to an agreement on restrictions that Democrats have demanded on immigration reinforcement.
The problem is that Republicans are not accepting many of those demands.
Those include things like no uh immigration enforcers uh officers not wearing masks, no identification uh wearing identification, stopping roving um operations in cities, and uh for the most part, Republicans don't want to agree to any of these.
The Democrats uh for their part say that they are not going to accept anything that does not, you know, meet some at least some of those demands.
So it's very likely that next week we could be seeing another partial shutdown that would affect the Department of Homeland Security.
How would that uh partial shutdown affect the Department of Homeland Security specifically?
Because we understand that uh even if there were a shutdown, ICE and Border Patrol are are still funded under the uh tax and spending cut law, right?
Yeah, that's right.
So there's unlikely to be any major disruptions to ICE or Border Patrol because of the funding that was passed last year.
Um those agency, those operations could still tap into that funding uh for some time.
Um what would be affected very quickly would be uh TSA and also FEMA.
Um so those so people working in those uh services would miss a paycheck uh after if there's no funding agreement by the end of next week.
And that of course could be quite disruptive, particularly for anyone who's planning to travel to fly.
We could see some uh major news later on this month when Bill and Hillary Clinton testify about their Jeffrey Epstein ties to the House Oversight Committee, a subpoena against a former president is is almost unheard of, Alex.
Yeah, that's right.
It's uh it it has happened before, but it's an extremely rare event.
Um, and you know, this is obviously going to be a very high profile hearing.
At the moment, it is set to be uh behind closed doors.
It will be filmed and recorded, but uh they won't we won't see it live.
Um that of course could still change, but that's how it's being done right now.
And um, and uh certainly uh yeah, it's it's a very significant event given that we've not seen for many decades a former president uh uh testifying to a congressional committee.
Why the focus on the Clinton specifically by the House Oversight Panel, as far as we understand.
Um the well, the focus is really their ties to Jeffrey Epstein.
Um certainly we know from the files that were released by the Department of Justice, and also prior to that, that there were close contacts between Bill Clinton and Epstein um, you know, in in previous decades.
Uh for his part, the former president says he was not aware of any crimes that Epstein committed and uh you know didn't was not involved in any wrongdoing.
But the House Oversight Committee will want to really check what those ties were and how that might have affected federal um uh uh enforcement in terms of investigating Epstein and his ties to various parts of the government.
This is Bloomberg Daybreak, your morning podcast on the stories making news from Wall Street to Washington and beyond.
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I'm Karen Moscow.
And I'm Nathan Hager.
Join us again tomorrow morning for all the news you need to start your day right here on Bloomberg Daybreak.