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CNBC Exclusive: CNBC Transcript: Twitter President of Global Revenue Adam Bain Speaks with CNBC's Kayla Tausche Today on "Squawk Alley"

WHEN: Today, Tuesday, June 23rd

WHERE: CNBC's "Squawk Alley"

Following is the unofficial transcript of a CNBC EXCLUSIVE interview with Twitter President of Global Revenue Adam Bain on CNBC's "Squawk Alley" (M-F, 11AM-12PM ET) today. Following are links to the interview on CNBC.com: http://video.cnbc.com/gallery/?video=3000390891, http://video.cnbc.com/gallery/?video=3000390899 and http://video.cnbc.com/gallery/?video=3000390950.

All references must be sourced to CNBC.

KAYLA TAUSCHE: WELCOME BACK TO "SQUAWK ALLEY" FROM THE FRENCH RIVIERIA WHERE THE CANNES LION FESTIVAL OF CREATIVITY HAS SHIFTED ITS FOCUS TO ADD TECHNOLOGY WITH COMPANIES LIKE FACEBOOK, GOOGLE, TWITTER AND MORE INVOLVED IN THE CONVERSATION THIS YEAR. WE'RE JOINED EXCLUSIVELY RIGHT NOW BY ADAM BAIN, WHO IS THE GLOBAL REVENUE OFFICER OF TWITTER. AND WHAT A TREAT IT IS ADAM, TO HAVE YOU AND WHAT IS SUCH A BUSY WEEK FOR EXECUTIVES WHO ARE HERE ON THE GROUND.

ADAM BAIN: WELL THANKS FOR HAVING ME. I'M REALLY EXCITED TO BE HERE.

TAUSCHE: YOU'VE BEEN AN ATTENDEE OF CANNES SINCE YOU JOINED TWITTER.

BAIN: THAT'S RIGHT.

TAUSCHE: IN SOME FORM OF THIS JOB ABOUT FIVE YEARS AGO. HOW HAVE YOUR CONVERSATIONS WITH YOUR CLIENTS AND YOU AD PARTNERS EVOLVED OVER THAT TIME?

BAIN: WELL LOOK, CANNES LION IS THE TIME OF THE YEAR THAT FOCUS ON CREATIVITY AND INNOVATION. AND WE CERTAINLY FEEL LIKE WE'VE GOT A MAJOR PART IN THE CONVERSATION AROUND CREATIVITY. IN FACT EVEN JUST YESTERDAY WE WON A GRAND LION ALONG WITH OUR PARTNERS AT VOLVO CARS FOR A CAMPAIGN THAT THEY RAN ON TWITTER DURING THE SUPER BOWL. AND YOU KNOW JUST FIVE YEARS AGO WE WERE JUST STATIONED OVER ON THE BEACH WITH ONE CHAIR AND A TABLE AND DOING MEETINGS WITH CMOs, SO WE'VE COME A LONG WAY.

TAUSCHE: AND YOU HAD PRETTY MUCH NOTHING IN REVENUE AT THAT TIME, EITHER.

BAIN: WE'VE COME A LONG WAY. WE DID $1.4 BILLION IN 2014. GOING FROM 0 TO OVER A BILLION IN ONE OF THE FASTEST REVENUE RAMPS OF ALL TIME. I DON'T KNOW OF ANY OTHER BILLION-DOLLAR-PLUS AD BUSINESS THAT'S GROWING ANYWHERE CLOSE AS FAST AS TWITTER IS.

TAUSCHE: YOU DO HAVE SOME NEW PRODUCTS THAT WE'VE GOTTEN A GLIMPSE OF BEFORE THIS YEAR'S FESTIVAL. FIRST, PROJECT LIGHTNING AND THEN PRODUCT PAGES. TALK ABOUT THOSE TO THE EXTENT THAT YOU CAN AND WHERE THE FOCUS FOR ADVERTISERS IS, WHERE THE OPPORTUNITY, I GUESS, FOR THEM IS.

BAIN: SURE. SO I'M INCREDIBLY EXCITED ABOUT THE PRODUCT THAT WE HAVE IN THE PIPELINE. YOU KNOW, IN MY FIVE YEARS OF BEING AT THE COMPANY I'VE ACTUALLY NEVER BEEN MORE EXCITED ABOUT WHAT WE'VE GOT COMING OUT. THERE WAS SOME NEWS THAT CAME OUT LAST WEEK AROUND PROJECT LIGHTNING. I CAN'T SAY TOO MUCH ABOUT IT, BUT ESSENTIALLY WHAT IT IS IS HOW DO WE ORGANIZE CONTENT IN A BETTER WAY FOR CONSUMERS? HOW DO WE MAKE IT REALLY EASY TO FIND STRUCTURED, ORGANIZED CONTENT ON THE PLATFORM? AND I THINK FROM WHAT WE HEAR FROM MARKETERS, THEY WOULD LOVE THE OPPORTUNITY TO BRING THEIR MARKETING MESSAGES IN FRONT OF CONSUMERS IN THAT WAY.

TAUSCHE: WHY WAIT UNTIL NOW TO DO HUMAN CURATION WHEN IT SEEMS THAT THAT HAS BEEN THE WINNING SOLUTION FOR SO MANY COMPANIES UP UNTIL NOW? NOT ALGORITHMS.

BAIN: YEAH SO WE WILL BE BRINGING ON HUMANS TO CURATE CONTENT INTO THESE CHANNELS IN PROJECT LIGHTNING. AND YOU KNOW WE THINK THAT ULTIMATELY IT'S AN INTERESTING BALANCE BETWEEN BOTH HUMANS AND ALGORITHMS TO FIND THE RIGHT BALANCE OF BRINGING CUSTOMERS, ESSENTIALLY CONSUMERS, ONTO THE PLATFORM.

TAUSCHE: VISITING YOUR CLIENT SUITE HERE WAS QUITE A TRIP. THERE'S A PERISCOPE WALL, THERE'S A VINE WALL, IT'S VERY VIDEO-CENTRIC. IT'S NOT VERY TWITTER FEED-CENTRIC. SHOULD WE READ ANYTHING INTO THAT ABOUT WHERE YOUR FOCUS IS?

BAIN: WE'RE ABSOLUTELY MAKING A MAJOR MOVE INTO VIDEO. IN FACT, LAST WEEK, TO THE MARKETING WORLD, WE MADE A PRETTY BIG ANNOUNCEMENT FOR VIDEO. FOR BOTH CONSUMERS AND MARKETERS, WE'VE LAUNCHED AUTO PLAY VIDEO, ESSENTIALLY INSPIRED BY VINE FOR THE LAST TWO YEARS. WATCHING HOW CONSUMERS WERE EXPERIENCING AUTO PLAY VIDEOS ON VINE. WE BROUGHT THAT OVER NOW INTO TWITTER. CONSUMERS LOVE IT, SO PEOPLE LOVE IT ON THE PLATFORM. THEY ARE TWO AND A HALF TIMES MORE LIKELY TO FAVOR TWITTER NOW BECAUSE OF AUTO-PLAY. AND IT'S GREAT FOR MARKETERS. VIDEO COMPLETIONS WENT UP 7 X. BRAND LIFT AND SENTIMENT WENT UP ALMOST 20%. SO IT'S INCREDIBLE IN THAT WAY. AND THEN FOR MARKETERS WE ALSO MADE AN INDUSTRY CHANGING MOVE WE THINK, WHICH IS WE ANNOUNCED THAT WE WILL ONLY CHARGE MARKETERS WHEN THE VIDEO BECOMES 100% IN VIEW. AND SO WHAT THAT MEANS IS WE JUST DON'T THINK IT'S RIGHT FOR OTHER FOLKS TO CHARGE WHEN ONLY ONE PIXEL OF AN AD COMES INTO VIEW FOR ONE MILLISECOND. SO WE'VE GONE – WE'VE STEPPED OUT FROM THE REST OF OUR PEERS IN THE INDUSTRY AND TAKEN WHAT WE THINK IS A BOLD MOVE. WE DID THAT IN CONJUNCTION AND COORDINATION WITH A BUNCH OF AGENCIES LIKE GROUP M AND ALSO IN CONSULTATION WITH BIG ADVERTISERS AND MARKETERS LIKE UNILEVER AND THE CMO OF UNILEVER, KEITH WEED.

TAUSCHE: WE OBVIOUSLY SEE SPONSORED VINES, AND THIS IS TALKING ABOUT USER-GENERATED VIDEOS, NOT AD VIDEOS OF COURSE. WHEN WILL WE SEE PERISCOPE BE MONETIZED?

BAIN: SO ON THE VIDEO SIDE AND ON TWITTER, THERE'S ALL KINDS OF REALLY INTERESTING OPPORTUNITIES FOR MARKETERS TO GET INVOLVED. IN FACT SOME OF THAT CONTENT IS ACTUALLY BEING PROVIDED BY THE USERS THEMSELVES. WE DID AN ACQUISITION OF A COMPANY CALLED NICHE, SOMETHING I'M SUPER EXCITED ABOUT FOR MARKETERS. IT HELPS SOLVE THE CREATIVE PROBLEM. HOW DO YOU ACTUALLY CREATE CONTENT FOR PLATFORMS LIKE THIS IN A RAPID WAY? SO ESSENTIALLY THERE ARE ALL KINDS OF CREATORS WHO HAVE QUIT THEIR DAY JOBS AND ARE ACTUALLY PRODUCING CONTENT DIRECTLY FOR VINE AND OTHER PLATFORMS LIKE THAT INCLUDING PERISCOPE. AND NICHE IS A SOFTWARE PLATFORM TO CONNECT THEM. IN FACT IT HAS BEEN SO SUCCESSFUL THAT HP HAS RUN A TV CAMPAIGN JUST OF VINES THAT WERE SUBMITTED BY THESE CREATORS.

TAUSCHE: YOU TALK ABOUT HOW AUTO-PLAY VIDEO IS SEVEN TIMES MORE LIKELY TO BE WATCHED. THERE ARE A HANDFUL OF STATISTICS THAT SHOW THAT THE TYPE OF VIDEO WE'RE LOOKING AT NOW IS SO MUCH MORE EFFECTIVE AS A MARKETING TOOL THAN BEFORE. BUT THERE'S A QUESTION OVER WHAT METRICS WE USE AND WHAT METRICS ARE ACTUALLY MEANINGFUL TO ADVERTISERS. WE'VE BEEN HUNG UP OVER MAUs AND NOW SNAPCHAT AND EVEN FACEBOOK AND INSTAGRAM TO A CERTAIN EXTENT ARE SAYING YOU KNOW WHAT? WE HAVE SO MUCH ENGAGEMENT, WE'RE GOING TO TALK ABOUT DAILY ACTIVE USERS. WHAT ARE THE METRICS THAT YOUR ADVERTISERS ARE SAYING ARE THE MOST MEANINGFUL TO THEM? WHAT ARE YOU FOCUSED ON?

BAIN: WELL SO THE ULTIMATE THING THAT MARKETERS CARE ABOUT ARE RESULTS. AND THAT'S WHAT WE ARE SINGULARLY FOCUSED ON, IS HOW DO WE DRIVE THE BEST RESULTS ACTUALLY MOVING PRODUCTS ON SHELVES FOR THOSE CUSTOMERS. IN TERMS OF REACH, THERE ARE ONLY A HANDFUL OF COMPANIES IN THE WORLD WHO REACH OVER A BILLION PEOPLE. I'M HAPPY TO SAY TWITTER IS ONE OF THOSE COMPANIES. NOW, THERE ARE OVER 300 MILLION PEOPLE WHO LOG IN, AND CONSUME TWITTER CONTENT ON TWITTER. BUT THERE'S OVER A HALF BILLION PEOPLE WHO COME TO TWITTER IN A LOGGED-OUT STATE. YOU'RE PROBABLY SEEING SOME OF THIS NOW THROUGH THE NEW GOOGLE SEARCH DEAL WHERE TWEETS ARE INTEGRATED WITH INSIDE OF SEARCH AND THERE'S OVER A BILLION PEOPLE THAT WE TOUCH IN SYNDICATION. THAT'S CONTENT SYNDICATION AND AD SYNDICATION. NOW FOR MARKETERS, WE JUST MONETIZED THE LOGGED-IN STATE LATER ON THIS YEAR WE'LL OPEN UP LOGGED-OUT AND IN SYNDICATION FOR THAT OVER A BILLION.

TAUSCHE: WHAT DOES THAT MEAN? WE WILL MONETIZE THE LOGGED-OUT?

BAIN: SO WE'LL BRING OPPORTUNITIES FOR MARKETERS TO TARGET AND BRING RELEVANT ADS TO CONSUMERS IN THAT LOGGED-OUT STATE.

TAUSCHE: WHAT TYPE OF LONG SHOTS ARE YOU MAKING? BECAUSE I IMAGINE THAT ON ONE HAND YOU HAVE THINGS THAT YOU'VE BEEN WORKING ON FOR A WHILE, THAT HAVE BEEN IN THE PRODUCT PIPELINE AND THINGS WHERE YOU SAY YOU KNOW WHAT, TWITTER NEEDS TO MAKE A BIG BET. THE NFL COULD HAVE BEEN ONE OF THOSE. WHAT ARE YOU DOING THAT'S A BIG BET?

BAIN: WELL WE THINK RIGHT NOW THE CORE THING THAT WE'RE DOING IS MAKING TWITTER EASIER TO USE. AND I THINK FROM A CONSUMER STANDPOINT, THAT IS THE PRIME DIRECTIVE FOR THE PRODUCT TEAM. AND THERE ARE THINGS LIKE PROJECT LIGHTNING WHICH I THINK ARE A MASSIVE MOVE IN THAT DIRECTION. THE OTHER THING THAT WE'VE ANNOUNCED IN TERMS OF VIDEO, IS A BEGINNING PART TO THE FUTURE. CERTAINLY BOTH CONTENT AND MARKETING ARE BEING FUNDAMENTALLY CHANGED BY DIGITAL VIDEO AND WE CERTAINLY HAVE A HAND IN THAT. YOU MENTIONED THE NFL, THE NFL WAS A PROUD PARTNER WITH US OVER THE LAST COUPLE OF YEARS.

TAUSCHE: DID YOU BID FOR THE RIGHTS TO THE LONDON GAMES?

BAIN: SO THE NFL WAS A PROUD PARTNER FOR US OVER THE LAST COUPLE OF YEARS IN A PLATFORM WE HAVE CALLED TWITTER AMPLIFY. JUST THIS PAST POSTSEASON WITH THE NBA, WE ALSO DID A PROGRAM WITH THEM. SO WE THINK SPORTS IN PARTICULAR IS A REAL NATURAL TO BRING VIDEO CONTENT ON THE PLATFORM. WE ALSO HAVE A MONETIZATION WAY THAT THE LEAGUES OR THE BROADCAST PARTNERS WITH US CAN ESSENTIALLY GENERATE A WIN-WIN.

TAUSCHE: WHAT YOU'RE OUTLINING NOW SOUNDS LIKE A PRETTY WELL LAID PLAN. EVEN THE BEST-LAID PLANS CAN GO AWRY. I'M WONDERING WHAT WENT THROUGH YOUR HEAD WHEN THE STREET HAD ITS REACTION TO THE NEWS THAT NOT ONLY WOULD DICK COSTOLO BE STEPPING DOWN, BUT THAT TWITTER WASN'T GOING TO BE CHANGING ITS STRATEGY. WHY WAS THERE SO MUCH PESSIMISM AROUND THAT?

BAIN: SO DICK HAD BEEN AT THE COMPANY FOR ABOUT SIX YEARS AND NOW LEAVES THE COMPANY IN A STRONG AND RESILIENT PLACE. THE TEAM ACTUALLY IS VERY FOCUSED ON THE PRODUCTS THAT WE HAVE SET AHEAD. YOU KNOW WHEN I LOOK AT THE PIPELINE IT'S ABSOLUTELY INCREDIBLE. WE'VE STARTED SHOWING THE MARKETERS HERE WHAT'S COMING AND THE EXCITEMENT THAT YOU FEEL IN THE ROOM WHEN WE SHOW THEM WHAT'S COMING IS JUST PALPABLE. JACK JOINS US AS CEO, AND ON JULY 2NDAND IT'S SOMETHING I'M PERSONALLY EXCITED ABOUT. JACK AND I MEET ON A WEEKLY BASIS TO REVIEW THE BUSINESS AND ALSO TO TALK ABOUT PRODUCT AND I THINK THERE'S NO ONE THAT'S BEEN THINKING ABOUT TWITTER, THE PRODUCT, LONGER THAN JACK. AND ALSO THE BUSINESS.

TAUSCHE: ARE YOU OF THE VIEW THAT HE CAN DO TWO JOBS AT ONCE?

BAIN: I'M INCREDIBLY EXCITED TO HAVE HIM COME BACK INTO THE COMPANY IN THE CEO ROLE. I'VE SEEN WHAT HE CAN DO WHEN HE PUTS HIS MIND TO IT. AND SO IT'S SOMETHING I'M PERSONALLY THRILLED ABOUT.

TAUSCHE: YOU DESCRIBE MORALE AS BEING STRONG, RESILIENT, EXCITEMENT SURROUNDING THE PRODUCT PIPELINE. I'M WONDERING FOR SOMEONE WHO IS A VETERAN OF THE COMPANY, YOU'VE BEEN THERE FOR FIVE YEARS, DO YOU SEE THE NEED FOR STABILITY FROM AN INSIDER? OR OF CHANGE FROM THE OUTSIDE? WHICH IS THE BETTER PATH?

BAIN: SO WE HAVE AN INCREDIBLE AMOUNT OF PRODUCT IN THE PIPELINE THAT'S COMING OUT. THAT'S WHAT REALLY GETS ME THRILLED. WE'VE SHOWN THAT TO SOME OF THE CMOs AND THE AGENCY HEADS OVER THE LAST COUPLE OF DAYS AND THE FEEDBACK FROM THEM HAS BEEN THAT THIS IS A DIRECTION THEY'RE GOING TO SUPPORT. SO WHEN WE TALK ABOUT RESULTS FOR THOSE MARKETERS, WE TALK ABOUT HOW WE MOVE PRODUCT, WHERE WE ARE GOING IN TERMS OF THE OVERALL PRODUCT ROAD MAP AND ULTIMATELY YOU KNOW, THE FUTURE FOR TWITTER AND ALSO OUR OTHER SUPPORTED PRODUCT LINES AND IT'S SUPER EXCITING.

TAUSCHE: BUT WHAT NEEDS TO CHANGE ABOUT THE COMPANY'S COMMUNICATION WITH ITS EXISTING INVESTORS AS POTENTIAL INVESTORS AND THE PEOPLE WHO HAVE BEEN SO VOCAL AROUND THIS COMPANY?

BAIN: THERE'S DEFINITELY A DIFFERENCE BETWEEN WHAT WE KNOW TO BE TRUE ON THE INSIDE, AND WHERE WE SEE THE COMPANY GOING IN TERMS OF THE PRODUCT ROAD MAP AND ALSO WHAT THE PERCEPTION IS FROM THE OUTSIDE. TOTALLY UNDERSTAND THAT. AND IT'S ULTIMATELY GOING TO BE SEEN FOR THE WORLD THROUGH THE PRODUCT THAT WE SHIP. SO I THINK ULTIMATELY WE'RE HEADS DOWN RIGHT NOW SHIPPING PRODUCT AND THAT'S ALL YOU CAN DO.

TAUSCHE: I'VE LOST COUNT OF HOW MANY PEOPLE HAVE COME ON OUR AIR AND SAID WHEN IS ADAM BAIN'S FIRST DAY AS CEO? WHAT DOES THAT MAKE YOU THINK WHEN YOU HEAR PEOPLE SAY THAT?

BAIN: I'M ECSTATIC THAT JACK IS COMING BACK AS OUR CEO ON JULY 2ND. HIM AND I TALK EVERY WEEK ABOUT THE BUSINESS, YOU CAN'T FIND A MORE COMMERCIAL CEO THAN JACK. HE'S RUNNING A TERRIFIC BUSINESS-TO-BUSINESS COMPANY. HE THINKS ALL THE TIME ABOUT BRANDS AND MARKETERS. IN FACT A BUNCH OF OUR MARKETER PARTNERS KNOW JACK AND ARE EXPOSED TO JACK. SO IT'S SOMETHING THAT I'M REALLY EXCITED FOR HIM TO COME BACK.

TAUSCHE: WOULD YOU WANT THE JOB, THOUGH? IT'S AS SIMPLE AS THAT

BAIN: YOU KNOW I'M SUPER EXCITED ABOUT JACK COMING BACK AND I THINK FROM MY PERSPECTIVE I'M DOING THE ONE THING THAT I KNOW HOW TO DO, WHICH IS SCALE THE REVENUE FOR THE COMPANY.

TAUSCHE: DESPITE WHAT SEEMED LIKE POSITIVE SEEDS HAVING BEEN SEWN IN AT LEAST THE RECENT PAST, THERE ARE A NUMBER OF WALL STREET ANALYSTS WHO HAVE DOWNGRADED TWITTER STOCK IN JUST THE LAST FEW WEEKS SINCE WE GOT THE NEWS THAT DICK WOULD BE STEPPING DOWN AND THAT JACK WOULD BE STEPPING IN. WHAT ARE THEY MISSING?

BAIN: WE'RE JUST GETTING STARTED. WE'VE GOT A LOT OF WORK TO DO FOR SURE. BOTH ON THE CONSUMER SIDE AND THEN ALSO ON THE REVENUE SIDE. I THINK FROM OUR STANDPOINT ON THE REVENUE SIDE, OUR BIG FOCUS AREAS OUTSIDE OF VIDEO ARE IN THE DIRECT RESPONSE BUSINESS. IN THE AD BUSINESS THERE'S REALLY TWO ENDS, THERE'S THE BRANDED BUSINESS AND THE DIRECT RESPONSE BUSINESS. MOST BIG COMPANIES START BY GOING AFTER DIRECT RESPONSE MONEY. AND THEN THEY TRY AND LATER ON TO LADDER UP TO LEGITIMACY INTO BRANDS. AND WE REALIZED FIVE YEARS AGO THAT THE BIGGEST BRANDS WERE ALREADY ON TWITTER. SO WE DID SOMETHING IN OPPOSITE OF EVERYBODY ELSE, WHICH IS WENT OUT AND FOCUSED ON THE BRANDED BUSINESS FIRST. AND NOW WE'RE JUST TURNING OUR ATTENTION TO DR.

TAUSCHE: WELL, HOPEFULLY YOU'LL COME BACK SOON, ADAM. IT WAS GREAT TO HAVE YOU.

BAIN: I WOULD LOVE TO DO IT.

TAUSCHE: ADAM BAIN, THE CHIEF REVENUE OFFICER FROM TWITTER. GUYS, BACK TO YOU.

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