Bloomberg Tech

2026-05-13 · Hosted by Caroline Hyde, Ed Ludlow · Bloomberg / iHeartMedia

Executive Summary

Korean markets sank on a Facebook post by South Korean policy adviser Kim Yong-bong proposing a citizen’s “AI dividend” funded by taxes on AI profits, sending the KOSPI down as much as 5% before paring losses and dragging Samsung and SK Hynix down roughly 5%. The chip-led selloff spread globally with the Philadelphia Semiconductor index on track for its biggest drop since late March, compounded by a hotter-than-expected April CPI print of 3.8% year-on-year. Nvidia CEO Jensen Huang was reportedly not invited to join President Trump’s China trip with Xi Jinping, signaling Blackwell chip sales to China remain off the table. CME Group and Silicon Data announced plans to create a futures market for compute power, calling it the “new oil.” Sam Altman took the stand in the OpenAI-Musk trial, and SAP CEO Christian Klein discussed the company’s new autonomous enterprise AI platform.

Key Stories & Changes

1. Korean AI Dividend Proposal Roils Markets

  • South Korean policy adviser Kim Yong-bong posted a 2,500-word Facebook essay proposing a citizen’s dividend funded by AI profits

  • KOSPI fell as much as 5% before paring losses after the president’s office said it was his personal opinion

  • Samsung and SK Hynix both closed down around 5%

  • Samsung is on track for ~$220 billion in profits this year; SK Hynix not far behind — roughly $400 billion combined from just two companies

  • Samsung facing potential labor strike as union demands bigger share of profits

  • Not a proposed tax — a discussion of how Korea should redistribute AI-driven windfall

2. Trump-Xi China Trip — Jensen Huang Notably Absent

  • Top US tech executives including Tim Cook, Elon Musk, and David Solomon expected to join the China trip

  • Nvidia CEO Jensen Huang reportedly was not invited despite his lobbying for Blackwell chip sales to China

  • Signals US permission for Blackwell sales to China is not coming soon

  • Trump priorities have reversed from last October’s Korea meeting when Blackwells were “top of mind”

  • H200 processor (less powerful than Blackwell) is the current ceiling for China-bound exports

3. Chip Stock Selloff

  • INTC: Intel — -10%+ — Took breather after 200%+ rally since late March; short interest near 52-week high

  • NVDA: Nvidia — -8-10% — Off on China trip absence; market cap had reached >$5T

  • AMD: AMD — Lower — Gaining share with lower-priced GPUs

  • MU: Micron — Lower — Memory names hit hard

  • Philadelphia Semiconductor index on track for biggest drop since last week of March

  • SOX was up 70% year-to-date through yesterday’s close and 140% over trailing 12 months

  • Intel added $400 billion in market value over six weeks; multiple at all-time high (100x estimated earnings)

4. CME Launches Compute Futures Market

  • CME Group partnering with Silicon Data to create a futures market for computing power

  • Terry Duffy of CME calling compute “the new oil”

  • Will allow tech firms and investors to hedge against price moves in GPU/compute capacity

  • BlackRock CEO Larry Fink at Milken: “I actually believe a new asset class will be buying futures of compute”

  • Brings institutional traders to a market previously only accessible via OTC benchmarks

5. Sam Altman Takes the Stand

  • Sam Altman testified in Elon Musk’s OpenAI lawsuit in Oakland courthouse

  • Musk wanted absolute control of OpenAI early on — at one point sought 90% equity stake

  • Altman testified Musk thought OpenAI had “0% chance” of succeeding when he left the board

  • Cross-examination probed Altman’s personal investments including stakes worth roughly $2 billion in Helion Energy, Reddit, and Cerebras

6. SAP Autonomous Enterprise Platform

  • SAP unveiled new autonomous enterprise platform at SAP Sapphire conference

  • CEO Christian Klein cited customer wins: 30% improvement at one customer, 10% inventory reduction via agent-to-agent coordination

  • Partnering with AWS, Microsoft, Nvidia, Databricks, Snowflake for harmonized data layer

  • Differentiation comes from SAP’s context layer with 7.5 million data fields and thousands of business processes

7. eBay Rejects GameStop Takeover Bid

  • eBay rejected GameStop’s $56 billion offer as “deeply non-credible nor attractive”

  • Offer was $125/share (50% cash, 50% GameStop stock); eBay trading at $107

  • Concerns about whether combined entity could remain investment grade

  • Could escalate into proxy battle or hostile takeover

8. Ford-CATL Battery Plant

  • Ford opening nearly $3 billion battery plant in Marshall, Michigan

  • Uses CATL-licensed lithium iron phosphate (LFP) chemistry

  • CATL is on Pentagon list of companies supporting China’s military (as of 2025)

  • China controls 80% of world’s battery capacity; CATL has half of that

1. Sovereign Wealth and AI Distribution Debate Goes Global

Kim Yong-bong’s Facebook proposal lit a fuse on a debate previously simmering. OpenAI has floated wealth-distribution funds in the US, California has proposed a billionaire tax, and Samsung is negotiating with its labor union for a bigger share of AI profits. The conversation about how governments capture and redistribute AI-generated wealth is moving from think tanks to policy circles globally.

2. US-China Tech Decoupling Hardens Around Advanced Chips

Jensen Huang’s exclusion from the Trump-Xi delegation is a clear signal that Blackwell sales to China are politically untenable for the foreseeable future. The H200 represents the new export ceiling. Simultaneously, Ford’s reliance on CATL-licensed LFP technology highlights the inverse dependency — US automakers need Chinese battery IP to compete in EVs, threading a needle between security concerns and competitive necessity.

3. Compute Becomes a Commodity Asset Class

CME’s compute futures launch validates Larry Fink’s prediction that compute will trade like oil. Combined with reports of “coconut,” “avocado,” and “mango” seed rounds (multi-hundred-million-dollar pre-product rounds for AI researchers), capital markets are explicitly pricing compute scarcity and AI talent as distinct commodities.

4. Momentum Trade Loses Air After Parabolic Run

Today’s chip selloff reflects exhaustion of momentum buyers rather than fundamental deterioration. As guest Kim Forest put it, “you just run out of buyers, even momentum buyers can’t continue.” Intel’s 200%+ rally since late March drew short interest near 52-week highs, suggesting professional shorts are positioned for a deeper unwind. —-

Sentiment Analysis

Overall Market Sentiment: Cautious / Cooling

The mood was that the AI/chip rally was due for a breather — speakers framed today as a “shakeout” rather than a regime change, while noting that valuations and positioning had become extreme.

Risk Factors Highlighted

Korean political risk to AI supply chain: Policy maker’s AI dividend proposal shows how single political statements can trigger 5% moves in concentrated Korean tech market

Momentum unwind in semis: SOX up 70% YTD through yesterday creates positioning risk if buying exhaustion broadens

Sticky CPI inflation: April core CPI at 2.8%, headline at 3.8% — fed rate cuts increasingly off the table

US-China tech decoupling: Jensen’s exclusion signals continued Blackwell restrictions; CATL Pentagon listing creates legislative risk for Ford battery plant

Intel valuation risk: 100x earnings multiple with short interest near 52-week high

Iran/geopolitical pressure: Ongoing conflict feeding inflationary pressures

OpenAI corporate governance: Sam Altman’s $2B in personal investments creating congressional scrutiny and IPO overhang

Mega-seed funding excess: Researchers raising $500M+ pre-product creates capital allocation risk

This episode was covered in today’s The Market Signal — 2026-05-13, a cross-source synthesis of multiple podcast reports.

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