Speaker 1: This is absolutely nuts. It's only about half of the amount of prepackaged drinks. The average us household consumes in a year about 5,000 total, each one of them, primarily a bunch of water and that water, which is increasingly precious is generic. You've got water at home. Why is it being to you from around your region, around the country, sometimes from around the world. And what about the energy? It takes to bring that to you? How much CO2 is generated [00:00:30] in moving water all around the place to a household that already has water. A startup in Silicon valley called Canna says, wait a minute, let's keep the water where it already is. And let's just move the flavor around to make this less of an environmental nightmare and radically expand choice and personalization. Speaker 2: Every home in the industrialized world has water. So, you know, the concept that [00:01:00] we came up with about three years of ago was can we take just that 1% that differentiates water into coffee, tea, juice, soda, beer, wine, liquor, whatever, and just shift the 1% and then have people use water in their home and effectively make a beverage printer. Speaker 1: Let me show you where some of the magic lives. Here's the key water. You have have water by having this coming out of your tap. That saves a huge amount of containers of beverages that are [00:01:30] mostly water being shipped all over the country. Sometimes all over the globe. Here is your spirits, alcohol for alcoholic beverages. This cartridge here has sugar for sweetening drinks that need that. Here is a CO2 cylinder. These are pretty common. We all are pretty familiar with those already. And then the one you can't see up inside here is where the magic really lives. It's this big array of, of, uh, little cells of about 84 different flavor compounds, but just elemental building blocks, not something you get off the shelf at a grocery store like vanilla, [00:02:00] but just the kind of molecules that make flavors. And those are blended into this unlimited number of drinks. Speaker 1: Now the dirty little secret about what you taste when you have a drink, whether it's something as different as a red wine to a white wine, is that there aren't that many components that make it that different. You may think, oh, these are like completely different molecules. Not really look at this chromatograph where they've taken a look at the molecular flavor [00:02:30] structure of red and white wines compared overlaid on each other. Notice how they spike and go null in kind of the same places. That means they have a lot of very similar sorts of flavor cues that make you taste. They're not nearly as different as you might think. Speaker 2: There's about 500 unique molecules that are grown by the plant that are in the Oak barrel, et cetera, that ultimately contribute to the flavor profile of that wine. Those 500 unique molecules. When you add 'em all up, they're only about 1% of the [00:03:00] mass of the wine, but those 500 molecules that turns out aren't really what's needed to flavor the wine. That's just what nature gave us. It turns out you can take most of them away and end up with maybe 30 to 40 compounds and a consumer would not be able to tell the difference between the reduced wine and the original wine, Speaker 1: Which of course will make a lot of wine. The ops heads explode. But overall, this is the same approach of streaming compressed video or compressed JPEG images that have revolutionized media. Speaker 1: [00:03:30] Now, as you move through the interface on the can machine, you're gonna find that it's not unlike today's streaming television and experience. You've got bands of areas of interest or commonality. And then when you go horizontally across those, you'll find the drinks or the shows in this case of what is in each of those aggregations. What you will also notice here is brands are not ones. You know, here's a small Southern California based beverage brand. This one's entry, [00:04:00] oh, search. They're not even in the food or beverage business yet. They have a branded beverage tab here because they're focused on the health of sharks in the ocean. Therefore they can bring about a drink that ties into the environmental promise of this device and have the proceeds from whenever you make one of those drinks go to their funds. I sampled drinks that ranged from a cold brew coffee to a tasty blueberry cooler that wasn't even blue to an alcoholic mimosa that I added wellness ingredients to at my [00:04:30] own ironic whim. Each one was quite good if different from the conventional version, but that variation is sort of the point Speaker 2: Personalized choice, their own version. Something that they can relate to. That's a smaller niche, but more one to one. So if we have a million beverage brands, instead of 150 on the store shelves, everyone will find a beverage brand that they'll love. They'll find something that will be a better fit for them individually versus being participants in the lowest common denominator solution that the big brands created for all of us. We all buy Coke. We [00:05:00] all buy Pepsi. Doesn't turns out people don't want that anymore. Speaker 1: And like social media platforms, Canada's system will support a wide network of creators and recommenders who will make beverage micro brands through the machine and its platform. And they'll share in the revenue when you pour yourself one. Now TikTok shenanigans are one thing, but it remains to be seen. How many of us want influencers, friends, or select to be our beverage taste makers, Speaker 2: But you'll try it. And so if someone, something that you know, and trust is representing [00:05:30] a brand is representing a consumable for you. You'll try it. And as long as it tastes great and provides extraordinary value, you'll stick with it. Speaker 1: If enough consumers wrap their heads around can it's targeting what they say is 400 trillion leaders of water used and 540 million tons of CO2 created annually in the global home beverage business. Speaker 2: It doesn't make industrial economic or environmental sense anymore to take water and put it in glass and plastic bottles and [00:06:00] ship it to stores and then ship it to people's homes and waste all these resources and have everyone have to pick from the same 50 brands. It makes no sense in this world. Speaker 1: Great. What does it cost several answers to that question? First of all, Canada has just opened a up the door for pre reservations, a $99 pre reservation signs you up for a launch edition machine of which they'll make 10,000 at a lower price of $499. Each later, they go up to 7 99. If you buy one after [00:06:30] the first 10,000. But the key thing here is what does it cost per drink? Unlike electric cars or plant based proteins can wants to enter the market cheaper than the existing beverage market. They think about 25 or 30% cheaper for a given beverage in real money, 29 cents, kind of at the bottom end. If you just want this thing to give you a carbonated water, it's CO2 in your tap water all the way up to a little under two bucks for a total premium top shelf cocktail. Remember it's got alcohol in here as well [00:07:00] for that purpose. Now paying for all these drinks is going to be a little bit of a mind bender. The cartridge that has the ingredients that makes them is no cost in a sense you pay per drink at those different price levels, but the cartridge arrives just as a background service. That's, it's very different than an inkjet printer where you pay for the cartridges. And that's a fixed cost with a lot of waste perhaps built in. Speaker 1: Now, look, it's [00:07:30] a lot of fun to have all kinds of drinks available and have them in a new way of exploring and making them creatively. But of course there are challenges to any radical change, something that we normally deal with others. Simply, first of all, the sheer amount of choice. Now we've learned lately through the way we consume music and video, that choice is our thing. Personalization is what we do, and we're less interested in just grabbing what everyone else does off the shelf. You've also got the introduction of a new machine into so many households. It's gonna be a bit of a learning curve, but we've also [00:08:00] lately been buying a lot of beverage creation machines. So that table seems to be set as well. And then finally there is the issue of brands. We use brands as shortcuts to find what's good. Speaker 1: And that's why so many of us do a lot of the same thing and why brands spend billions to become big ones, but Canada is rolling the diet on the idea that we want to see brands of beverages that are tuned to us, and also come from voices that maybe are not traditionally beverage makers. Would you trust an athlete [00:08:30] who you really like to recommend a sports drink doesn't seem farfetched, or how about some kind of an organization that really knows the environment? Well, to tell you about a drink, that's good for the environment or maybe a medical clinic in your community that says this is the healthy beverage for you and the kind of health conditions you are dealing with. All of these are radically new vectors in terms of making beverages, something that doesn't have the least common denominator label stuck all over it.