Netflix and the bedtime headphone conundrum

Hullo, it’s Alex in London. The search for the perfect headphones is a struggle for an insomniac like me. But first...Three things you need [View in browser]( [Bloomberg]( Hullo, it’s Alex in London. The search for the perfect headphones is a struggle for an insomniac like me. But first... Three things you need to know today: • Apple shuffles the hardware team [responsible for audio]( • Law enforcement strikes a blow at the [LockBit ransomware gang]( • Tinder expands its [ID verification program]( A market opportunity This might be a weird thing to admit, but I listen to Netflix while I sleep. Yes, you read that correctly. I listen to Netflix. I line up a show, turn audio description on, switch my iPhone display off, put on my headphones and press play. And I wonder if the practice represents an opportunity to which tech companies have not yet fully woken up. Choosing what to play is a challenge. It has to be interesting, but not have so compelling a narrative that I’ll stay up all night listening, as I’ve learned the hard way. Seinfeld works pretty well. So does Brooklyn Nine-Nine. Yes, Minister on Britbox is a favorite. The intro music can’t be too loud or else it’s liable to wake me up just as I doze off. The clapping in the Friends theme had that effect. I find it’s a good way of disengaging my brain. And if I wake in the middle of the night, I’m less likely to embark on a spiral of anxiety about the bills I’m yet to pay or impending story deadlines. Instead, I can listen to Jerry Seinfeld whining about, well, [nothing](. If I’m not listening to a Netflix show, it’s an audiobook or a podcast. If it’s a strange habit, I know I’m not alone in practicing it. I have friends who do the same. And Kit Harington of Game of Thrones fame [told a podcast last month]( that he listens to Harry Potter audiobooks while sleeping. In fact, 51% of American podcast listeners tune in to “relax before going to sleep,” according to a [2019 study]( from Edison Research. Interestingly, [subsequent editions]( of the report stopped capturing that data, presumably because the podcast companies who pay for the study don’t really want advertisers to know that a sizable chunk of their listeners aren’t actually awake. Back in 2017, Netflix Inc. co-founder Reed Hastings said that sleep was his company’s [biggest competitor](. Calm.com Inc. has built half its business on sleep stories. If tech and media companies know that sleep can be good for their content businesses, however, hardware is a different matter. Yes, there are all those sleep trackers, from the Apple Watch to Oura Ring and $1,600 smart mattresses. That [sleep tech devices market]( is expected to grow to $95 billion in 2032 from $18 billion in 2022, according to Global Market Insights, a research firm. But I’m talking about headphones. Because if finding the right show, audiobook or podcast is half the battle for insomniacs like me, searching for the right pair of headphones is a separate challenge. Over-ear headphones are a non-starter. Apple’s AirPods and the like have a habit of falling out in the middle of the night, not to be seen again until the morning. Earbuds that connect to each other with a cable and via Bluetooth to a smartphone are the sweet spot. The ones that I’ve landed on are the Adidas RPD-01s, which are manufactured under contract by the Stockholm-based Marshall Group AB. They’re in-ear, but not noise-canceling, so I can still hear my toddlers yelling in the middle of the night. And they’re flush to your head, unlike the Beats Flex, which dig in a bit. Annoyingly, Adidas no longer makes them. And just as annoyingly, each pair only tends to last eight months or so before giving up the ghost. So I’ve spent the past few months desperately buying up the last remaining stock. There are some alternatives out there, like the Kokoon nightbuds that start at $285. Others swear by Zero Audio's Carbo Tenore Wireless. I'd still like to see more headphone-makers thinking about this market. Go on, do an insomniac a favor. —[Alex Webb](mailto:awebb25@bloomberg.net) The big story Japan is betting $67 billion in the hopes of becoming a [global chipmaking powerhouse once more.]( Growing US-China tensions make Japan’s chip business essential when it comes to aiding the country’s economy. One to watch [Watch Bloomberg Technology’s interview with Hack VC managing partner Alex Pack.​​​​]( Get fully charged Self-driving startup Recogni has raised $102 million in funding after expanding into designing [chips for generative AI.]( Palo Alto Networks reduced its annual revenue forecast, sparking concerns that the cybersecurity software company’s clients [are reining in spending](. As the demand for EVs slows down, Rivian needs to show investors it can [stop burning cash.]( A judge ruled that TripAdvisor can move its corporation [from Delaware to Nevada.]( Verizon is borrowing $1 billion for the sixth time since 2019 from the [green-bond market.]( Hack VC raised a $150 million fund despite crypto [startup funding downturn.]( More from Bloomberg Bloomberg Technology Summit: Led by Bloomberg Businessweek Editor Brad Stone and Bloomberg TV Host and Executive Producer Emily Chang, this full-day experience in downtown San Francisco on May 9 will bring together leading CEOs, tech visionaries and industry icons to focus on what's next in artificial intelligence, the chip wars, antitrust outcomes and life after the smartphone. [Learn more](. Get Bloomberg Tech weeklies in your inbox: - [Cyber Bulletin]( for coverage of the shadow world of hackers and cyber-espionage - [Game On]( for reporting on the video game business - [Power On]( for Apple scoops, consumer tech news and more - [Screentime]( for a front-row seat to the collision of Hollywood and Silicon Valley - [Soundbite]( for reporting on podcasting, the music industry and audio trends - [Q&AI]( for answers to all your questions about AI Follow Us Like getting this newsletter? [Subscribe to Bloomberg.com]( for unlimited access to trusted, data-driven journalism and subscriber-only insights. Want to sponsor this newsletter? [Get in touch here](. You received this message because you are subscribed to Bloomberg's Tech Daily newsletter. If a friend forwarded you this message, [sign up here]( to get it in your inbox. [Unsubscribe]( [Bloomberg.com]( [Contact Us]( Bloomberg L.P. 731 Lexington Avenue, New York, NY 10022 [Ads Powered By Liveintent]( [Ad Choices](