Speaker 1: So we've made progress on pretty much every front, and
Speaker 1: I think it's worth it's worth hearing about that progress
Speaker 1: from the team, and they will also ask answer questions,
Speaker 1: and I'll look at my x feed as well see
Speaker 1: if there's any zingers in there that I can answer.
Speaker 1: But the I guess the main message we wanted to
Speaker 1: convey is that the advertising technology for X only Twitter
Speaker 1: has improved dramatically so that the targeting is actually appropriate.
Speaker 1: So previously there really wasn't any targeting, so people basically
Speaker 1: see spam ads meaning and a spam ad is an
Speaker 1: ad that is that doesn't meet the user's needs, whereas
Speaker 1: an AD that is that meets the user's needs if
Speaker 1: it's a product or service that they want, especially when
Speaker 1: they want it, that is actually content. So our goal
Speaker 1: is to move as as quickly as possible to having
Speaker 1: ads that for products and services that directly meet the
Speaker 1: needs of you users. And we're looking for actually very
Speaker 1: specific product ads. So we certainly welcome we welcome brand advertising,
Speaker 1: we welcome sort of general message advertising. But the thing
Speaker 1: we're actually asking advertisers to do is to is to
Speaker 1: now consider doing ads for very specific products and services
Speaker 1: so we can actually connect users with products and services.
Speaker 2: That I would make their lives better.
Speaker 1: And that's we finally have the technology to do that
Speaker 1: by using AI matching.
Speaker 2: Essentially, we.
Speaker 1: Look at what users do publicly, you know, what, what
Speaker 1: do they interact with, what do they like, what they've
Speaker 1: what posts they view, and and then that creates essentially
Speaker 1: the set of interests of the user. And then the
Speaker 1: same thing with the ad. We see what what users
Speaker 1: pay attention to what ads and then and that essentially
Speaker 1: creates a profile for that ad, and we correlate the
Speaker 1: user interests with that particular product of service, and that
Speaker 1: results in radically better matching. And but this year, a
Speaker 1: number of times I've talked to people and I've said
Speaker 1: how many times for how many years have you used
Speaker 1: x RA Twitter?
Speaker 2: And they might say as long as ten years.
Speaker 1: And I'll say how much have you bought on x
Speaker 1: in even going back to when it was Twitter, and
Speaker 1: they'd say almost nothing, if not nothing. And we want
Speaker 1: to change that completely to where you can even go
Speaker 1: on x and you look forward to the ads where
Speaker 1: you're actually interested to see what ads show up, because
Speaker 1: they're going to be for products and services.
Speaker 2: That you want.
Speaker 1: And and that's that's the sort of nirvana goal that
Speaker 1: we have here, and we're using grock AI to help
Speaker 1: achieve that goal.
Speaker 2: That's that's really fundamental. And then we've also been asked.
Speaker 1: About as related to grock, if somebody has a query
Speaker 1: on groc, should we perhaps have some advertising there. We
Speaker 1: we haven't done that yet, but we are working on that.
Speaker 1: But yeah, Number number one request of advertisers is very simple,
Speaker 1: which is to put product and service, very very specific products,
Speaker 1: very specific services on the system so that GROC can
Speaker 1: match the your products and services to you know, the
Speaker 1: six hundred million monthly users that we have on the system,
Speaker 1: and when you when you consider total number of users
Speaker 1: on on the X system, it's closer to a billion.
Speaker 1: Some only will come in every you know, three months
Speaker 1: or something like that, but total live people with accounts
Speaker 1: is about a billion on the X platform. And it's
Speaker 1: also very much worth emphasizing that the users on the
Speaker 1: X platform have the highest buying power of any audience anywhere, so,
Speaker 1: you know, so certainly have a lot of respect for
Speaker 1: the advertising platforms on you know, TikTok or even snap
Speaker 1: Chat and others, but very often the user base is
Speaker 1: very young and does not have the money to buy things.
Speaker 1: Our our user base consists of the smartest and wealthiest
Speaker 1: people in the world, so it's a no brainer to
Speaker 1: show them stuff.
Speaker 2: Anything they see they can buy.
Speaker 1: So it is a it's it's the wealthiest advertising demographic
Speaker 1: I think of any platform social media, orial media on Earth,
Speaker 1: and I really want that message to resonate. Something that
Speaker 1: I think is actually very important is is to actually
Speaker 1: let the let the grock API, let the grock AI
Speaker 1: actually figure out the right targeting. Sometimes advertisers want to say, okay,
Speaker 1: we want to target men or women of a particular
Speaker 1: age or something like that. But but actually, if you're
Speaker 1: i mean, for augment's sake, let's say you're selling gardening tools,
Speaker 1: you just care that somebody likes gardening. You don't care
Speaker 1: if they're an eighty year old woman or twenty year
Speaker 1: old men that you just care that they they're interested
Speaker 1: in gardening.
Speaker 2: And that's what groc can figure out.
Speaker 1: So historically you have to do these yesses based on
Speaker 1: demographic breakdown, but you don't have to do that anymore.
Speaker 1: You can literally just let the AI do everything and
Speaker 1: it actually ends up with a better outcome.
Speaker 2: So that's I'd encourage, you know, just just let the AI.
Speaker 1: Do its thing and and it'll it'll find your product,
Speaker 1: it will match the product service to the user's needs,
Speaker 1: and and that'll actually be the best best outcome if
Speaker 1: you advertise a part to service that the user needs
Speaker 1: when they want to, that's the ideal moment. So like,
Speaker 1: let's say, in speaking of reply ads, that there's a
Speaker 1: reply thread discussing auto insurance and someone's maybe unhappy with
Speaker 1: their existing auto insurance provider, and they're discussing, you know what,
Speaker 1: what what the other options are? That would be the
Speaker 1: perfect location to put an car insurance. It's like, what
Speaker 1: about us? Because that's that's that's both what somebody is interested.
Speaker 2: In and when they're interested in it. So reply ads
Speaker 2: can be very powerful.
Speaker 1: Talking really just means reducing the probability that an AD
Speaker 1: is spam for a user, then an AD is not applicable.
Speaker 1: We do actually care about the aesthetics of ads. That
Speaker 1: a beautiful AD is actually quite important to us because
Speaker 1: if an AD is ugly or strident, that damages our product.
Speaker 1: If somebody's scrolling through and they see an AD and
Speaker 1: that that ad is jarring, and and you know, just
Speaker 1: really upsetting or ugly, then that actually damages our user
Speaker 1: experience and that damages our products. So we actually want
Speaker 1: to favor ads that are beautiful. So that just just
Speaker 1: clear that that that ads will will receive, you know,
Speaker 1: a slight boost if they are aesthetically I mean, we're
Speaker 1: not talking about the need to win some contests or something,
Speaker 1: just just not jarring and ugly. So I have a
Speaker 1: personal aversion to are and ugly ads, and I'd actually
Speaker 1: rather make less money.
Speaker 2: Then if then have you.
Speaker 1: Know, strident and ugly ads in the system, and then
Speaker 1: we are changing the cost of an ad proportionate to
Speaker 1: how much vertical space it takes, just as a full
Speaker 1: page ad in a newspaper costs a lot more than
Speaker 1: a quarter page ad. The smaller the ad is, the
Speaker 1: more ad impressions will get for a given dollar. But
Speaker 1: even in that case, so I think, you know, there's
Speaker 1: could be a lot of blank space around the ad itself.
Speaker 1: It should really be the image should be shortened to
Speaker 1: be relevant. There's no point in having a bunch of
Speaker 1: blank space around that we wanted. General brand advertising can
Speaker 1: certainly find, but that doesn't require much targeting if it's
Speaker 1: a big brand. But for specific products, Like so your product,
Speaker 1: you know, helps people sleep better, and that obviously would
Speaker 1: be the ideal time to show users and add for
Speaker 1: your product. It would be if there's any discussion about sleep,
Speaker 1: or if they've made some comment about like not getting
Speaker 1: enough good sleep and maybe the a sleep you know
Speaker 1: mattress would solve their their issues.
Speaker 2: That's that's obviously would be perfect.
Speaker 1: And then you know, I'm particularly looking for unregretted user purchases.
Speaker 1: So a user sees a product or service, buys a
Speaker 1: product or service and it's and it solves their need,
Speaker 1: then I think we've done something fundamentally good.
Speaker 2: Yeah. Yeah.
Speaker 1: If if people have received a product or service that
Speaker 1: has made their lives better so even that they have
Speaker 1: no post post purchase regret, in fact, they're happy, then
Speaker 1: we've done a good thing for the world. So that
Speaker 1: that's our goal. I'd really advise to be as specific
Speaker 1: as possible. So even if you've got say a large
Speaker 1: number of products, my recommendation would be to put what
Speaker 1: you think are the most likely products that people would buy,
Speaker 1: because if you give sometimes if you give people too
Speaker 1: much choice, they're like, I don't know what to do here.
Speaker 1: You know, maybe just give them what is probably the
Speaker 1: best choice and then they can always you know, maybe
Speaker 1: go to the website and change that or something.
Speaker 2: But if you try to give.
Speaker 1: People as as specific as solution to the problem as possible,
Speaker 1: I think that's the right way to go. Yeah, and
Speaker 1: you can, you can upload several several products, but but
Speaker 1: it's you know, and it's I think it's like sometimes
Speaker 1: the product carousel. That's okay, but you really you really
Speaker 1: want to just you only have the user intention for
Speaker 1: maybe a second or two, and you want to just
Speaker 1: have that. It's like, okay, it's this one, go for it.
Speaker 1: And you can put in different products and see which
Speaker 1: ones are more resonant. But we're trying to be as
Speaker 1: as precise as possible, so so we have the highest
Speaker 1: product that grock has the highest probability of matching a
Speaker 1: product of service with product product or service with the
Speaker 1: user's actual needs. Yeah, in fact, you can do you
Speaker 1: can do that right now if you if you if
Speaker 1: you use grock and you can actually ask grock just
Speaker 1: go you know, maybe use grock expert Mode. And I'd
Speaker 1: recommend this to everyone because you can do it right now.
Speaker 1: Is you know, maybe you can post a probably the
Speaker 1: best way to do this, certainly for copy, for text copy,
Speaker 1: you could say what is the best way to represent
Speaker 1: this and and ask GROC to give you some recommendations.
Speaker 1: You can literally just do that on groc and the
Speaker 1: X app or the groc app or grock dot com
Speaker 1: and I think you'll see some interesting suggestions because grock.
Speaker 1: Actually one of the big advantages of the GROC AI
Speaker 1: is that it's connected to the the the X system,
Speaker 1: so it actually understands the X system. It's ingested the
Speaker 1: entire it's done training on the entire X you know,
Speaker 1: all of the public user posts it's done training on,
Speaker 1: so it actually has a good a good sense of
Speaker 1: what people respond to already. You just literally asked Rock
Speaker 1: right now. Yeah, I mean, so we have sort of
Speaker 1: what I call grock, you know, grock. Imagine it's kind
Speaker 1: of version zero point one, kind of beta. And so
Speaker 1: you can take any image and and and turn that
Speaker 1: into a six second video with the with rock right
Speaker 1: now in like sixteen seconds, and you can you can
Speaker 1: you can grock will it's somewhat will randomize it, so
Speaker 1: you can actually do manyferent videos and generally the video
Speaker 1: is going to be a little bit more compelling than
Speaker 1: a static image, and you can also give rock com
Speaker 1: matching custom instructions. This is just kind of I literally
Speaker 1: call it boson zero point one of the our product.
Speaker 1: We've got a much more sophisticated version coming out in
Speaker 1: two or three weeks where you can which way you
Speaker 1: can add voiceover, you can add in fact, technically right
Speaker 1: now we just added a future where you can do
Speaker 1: some voiceover, so it's worth trying out.
Speaker 2: Like basically, I check.
Speaker 1: Update your grock app and your AX app almost every
Speaker 1: day because we're rolling out upgrades and features and bug
Speaker 1: fixes almost every day. And yeah, you'll just be able
Speaker 1: to say that Grock just make me a video ad
Speaker 1: or an image ad or whatever or text ad that
Speaker 1: is that accurately describes my product and it is likely
Speaker 1: to appeal to the audience based on what Grock knows
Speaker 1: about X, and it pretty much knows everything about X,
Speaker 1: then yeah, it should be super easy to create a
Speaker 1: text image or video ad. You can upload any image
Speaker 1: right now, including an image of your product, to two grock,
Speaker 1: so you can do it from your phone in like
Speaker 1: five seconds, so any or or from your browser you
Speaker 1: can take You can take an image of your product
Speaker 1: and turn that into a video and then you can
Speaker 1: actually say, now add something new to the video. But
Speaker 1: things are evolving very quickly, so like you said, up
Speaker 1: they trap almost every day and there'll be new features
Speaker 1: and functionality. The rate of evolution is very fast, and
Speaker 1: we are implementing that. We are seeing a little bit
Speaker 1: of where the same ad is shown to too many people,
Speaker 1: the over frequency issue. In fact that that was just
Speaker 1: raising that with Roman Uh right before this meeting, and
Speaker 1: we should see a significant proven to that by Friday.
Speaker 1: We're actually pushing a change that reduces the over frequency
Speaker 1: problem literally in two days. This's clearly times when a
Speaker 1: single users shown the same ad far too many times,
Speaker 1: Like it's so you know, one hundred times type of thing,
Speaker 1: and that's that's silly. So we're going to iterate until
Speaker 1: we see, like what what actually results in an effective
Speaker 1: and purchase experience. You know, past a certain point, you're
Speaker 1: really just you know, being a dead horse.
Speaker 2: It's kind of pointless.
Speaker 1: I guess generally when any product breaks with especially AI,
Speaker 1: but really almost any product or any kind of new thing,
Speaker 1: if it's it's going to trend on X almost immediately,
Speaker 1: so you can kind of tell if a product is
Speaker 1: going to be successful actually because it's going to trend
Speaker 1: organically on X in a big way.
Speaker 2: And I guess we would also see it with.
Speaker 1: Rock, you know, when people ask Rock questions, you can
Speaker 1: see that frequency spike when there's something new and interesting.
Speaker 1: We do think that immersive video ad advertising is important
Speaker 1: and that that will be a significant focus in the future.
Speaker 1: So if you're in immersive video, you should see a
Speaker 1: massive compelling video ads. And then the same thing is
Speaker 1: true with when when people do search with l MS,
Speaker 1: at least with GROC, which we should show people products
Speaker 1: that they would find interesting. If they're a false famous
Speaker 1: manner in our system, we will that that ad will
Speaker 1: be struck from the system.
Speaker 2: That it would it would it would work well.
Speaker 1: I don't know about nuances, but if if, if misleading
Speaker 1: claims are made, then the then that ad will be
Speaker 1: struck from the system and that advertiser will be banned
Speaker 1: from X. We actually have GROC assessed the scamminess of
Speaker 1: an AD, so there are far fewer scamming ads that
Speaker 1: actually come through because Grock's pretty smart and GROK gets
Speaker 1: smarter over time.
Speaker 2: So if an AD is misleading.
Speaker 1: You know, GROC I think is going to figure that out, yes, right,
Speaker 1: telling ads without being misleading. There have been a lot
Speaker 1: of improvements behind the scenes, So admittedly the interface is suboptimal,
Speaker 1: but in terms of matching, there's been there have been
Speaker 1: significant improvements behind the scenes, and we have seen advertiseacy,
Speaker 1: you know, double or triple the conversion rates that they
Speaker 1: so we're seeing even a few months ago. So it
Speaker 1: may not on the surface appear like there's a lot happening,
Speaker 1: but there's certainly a lot happening beneath the surface. I
Speaker 1: don't believe in disruption for the sake of disruption, and
Speaker 1: I mean, frankly, for the X system.
Speaker 2: We're just trying to get.
Speaker 1: To where we were at a level of capability that
Speaker 1: is kind of industry standard. The sort of the old
Speaker 1: Twitter advertising system basically had no targeting, so it was
Speaker 1: just kind of random spam, and we're trying to get
Speaker 1: to and we're making progress rapidly to the point where
Speaker 1: we're showing our users products and services that they actually
Speaker 1: want to buy. So we're coming from a kind of
Speaker 1: a tough position but making rapid progress to showing users
Speaker 1: products and services that they actually want to buy the
Speaker 1: acid test, being that you're on the X system. If
Speaker 1: you're on the X system for several hours a week,
Speaker 1: you should have probably bought something or certainly seen as
Speaker 1: for lots of things that you'd want to buy. We're
Speaker 1: trying not to inject editorial into advertising apart from the
Speaker 1: fact that we want ads to be esthetically pleasing, to
Speaker 1: be beautiful, and not to be shrill in any way,
Speaker 1: and we want them to be accurate. That's that's and
Speaker 1: and matched to a user's needs.
Speaker 2: That's it.
Speaker 1: So Yeah, to be to be clear, like, we're not
Speaker 1: saying that an AD needs to be winning most Beautiful
Speaker 1: out of the Year award, but but that it just
Speaker 1: can't be extremely ugly and strident.
Speaker 2: That's all.
Speaker 1: So if if Grock determines that an AD is you know,
Speaker 1: just shrolls strident, ugly and discordant, it will receive a penalty.
Speaker 1: But it really an okay AD will not receive a penalty.
Speaker 1: It doesn't need to be winning any you know, major
Speaker 1: aesthetic contest. It just needs to not be aggravating. Yeah, absolutely,
Speaker 1: Grock will do this dynamically. So this should just happen automatically.
Speaker 1: Just put the ad in and it should react automatically
Speaker 1: to any anything that's happening in real time.
Speaker 2: So and with that, yeah, thank you for tuning in.
Speaker 2: We're working hard to make x.
Speaker 1: A a great platform for advertising, ultimately the best advertising,
Speaker 1: the best platform for apazing and appreciate your support.
Speaker 2: Thank you,