>> welcome to lunch money, where he tied together the best stories, interviews, and videos in business news. what's take a look at our menu in politics. the senate prepares to pop -- to vote on the budget passed by the house last week. we are talking about the robots and drone delivery men. >> bloomberg television is on and using a face print instead of a fingerprint. the market. the rkets are trading. stocks are rallying here on and the hobbit crushes it at the at:.y ahead of the today weekend box office. and the nfl legend talks coaches, injuries, and whether -- ahead of the today. college players actually get paid. points,aq is up 28 the senate will vote on the $1 trillion budget agreement trading at 4029.

approved by the house last week the proposal would reduce the ofid fir is ls budget deficit by 23 million -- $23 billion and would eat -- would ease spending cuts by $63 billion over the next three years. e semiconductor industry soal in r this year. another stock we are watching is many in washington, the strategists, they are taking the truly oh. bright side, congress got the real estate website has lost something done. >> we could have been bigger but this is washington and we just it is compared to eight a grandver get percent to use truly up. compromise, that is not in the cards. i think the deficit will another company we are keeping continue to falter magically for an eye on is ups, the world's the next two or three years. going to bes is not largest package delivery company is now in its busiest season as it ramps up for the workload for the holiday season. we took a look at how the outlays, the new focus is going shipping houseve to be on revenues. of i think we will see growth as ace -- i think growth will be a pleasant surprise. businesses fornd can handle all those kinds of volumes. the market, we now have some predictability and stability. ofs deal goes until the fall 2015. with that kind of soup -- that

kind of stability, i think it removes headwinds for the economy. a year ago today we had enormous headwinds. none of those headwinds are present right now. this is going to reverberate for weeks and months to come. is one player that emerged as a big winner, who is a popular player in both wings of the republican party, was paul ryan. it was a big week for paul ryan. >> wall street applauded the effort in washington. jimmy dimon was quick to praise the architects of this deal, struck by revisited its patty murray and paul ryan. >> i sent an e-mail to patty murray and paul ryan yesterday, easily saying thank you. may the lord bless them. if we keep doing this, collaborating, i think america will move real rapidly.

murphy -- senator murray and were presented if >> i am now joined by carol ryan spoke on the deal yesterday. spectrum of two massar, who went inside the world port earlier this month. always a busy time, even busier possible government shutdowns in during the holidays. 2013. that is not good for anybody, not good for the country. you spoke to the cfo of ups last week. >> i think the grand bargain puts everything on the table. >> it is a heck of a lot more than that. i catch up with those senior we can take steps exec -- i caught up with those senior executives. towards reaching a point where we deal with those tougher issues. >> i asked for what may happen >> the season between in the senate this week. harry reid sounds optimistic thanksgiving and christmas has six less shopping days. that some sort of budget is going to pass. >> we talked about them not what typically happens when the calendar is compressed as you committing suicide by not see a lot more on a daily basis. toexpect our average volumes passing the budget. be up eight percent on it day and dick durbin told cbs's per day -- on a day per day face the nation that democrats still need the support of their paces. colleagues across the aisle. >> the struggle is still on in the united states senate. >> today's peak pickup day.

we will need eight republicans we're talking 34 million to come our way. packages. i feel like we will have a good morrow is peak delivery. strong showing from the democratic side. we need good bipartisan support -- tomorrow is peak delivery. to pass it. and you have the cymer 25th, peak air day. >> i think it is important we >> interesting. have this agreement. i would have thought it was i am particularly sensitive about the military. cyber monday. i've talked to our military thank you for joining us. leaders. they say we badly need this we will be back on the markets relief. in 30 minutes. bloomberg west is up next. don't expect politicians to actually start playing nice anytime soon. >> i think no one is satisfied with the way our current deficits stands or the current level of spending. certainly part of the budget copper mines looks to both mandatory and discretionary spending. overall at the economic health of the nation and how we are spending our money on the government side. that is going to be an ongoing continuing debate. >> what are the long-term prospects for this deal? >> the fact that it is not bad for the fiscal situation, it actually does some good from the economic perspective by replacing some of the sequester with better cuts -- most

importantly it shows bipartisan cooperation on some of the budgetary trade-offs. i think it is progress. it is obviously disappointing that it is not a real deficit deal. doesn't do much to improve the >> live from pier three in san fiscal picture. they really have to learn to walk before they run. francisco, welcome to the early edition of "bloomberg west," where we cover the global here is a baby step and i think we need to imply that -- need to technology and media companies applauded. that are reshaping our world. i am emily chang. our focus is on innovation and technology, and the future of business. it replaces the sequester, part let's get straight to the of the sequester, in the short rundown. run with some longer-term cuts. companies like facebook and walmart are developing the is, youere our economy facial record -- regulars and don't want to do too much deficit reduction now. technology to be used from go witht want to let it everything from security to advertising in google now owns the cheetah and other robots offsetting that in the future. it adds some certainty. from boston dynamics as it buys another robotics company we clearly haven't dealt with the debt. at least we are not going to shut down the government. the way it has been in the past, there has been no certainty as

we budget minute to minute. i think it will have some improvements for the economy. one of the downsides of this deal is it really takes off the pressure of looking the key issues here. population ande retirement and how to reform the tax code and ways that will generate new revenues. those are the hard issues and the ones they keep on punting. but we have been doing is we have been governing by crisis. at each crisis moment we have not really made progress. there are no foreseeable crises in the next couple of years. it will not force them to do something but it also may mean the people who are interested in getting a deal can come together and start working thoughtfully. >> that sounds good. now the we are starting to see some dealmaking in washington, what is next? >> they would deal with immigration reforms and a bigger budget deal. it was a huge vote. to think there are 218 votes for an immigration deal and a bigger budget deal that

deals with jobs and the deficits later. getere we -- there we optimistic about 2014? >> we need to make sure the temp limit as ae debt nonevent. i hope it will be. i think we may be in for a decent, not great, but he since 2014. the nonfederal sectors of the economy are growing north of three percent. >> coming up, amazon gives us a glimpse of drone filled skies. before he had to break, the president and his family got into the holiday spirit over the weekend, participating in the annual christmas in washington charity show last night.

m a this is lunch money on bloomberg television. we are streaming live on bloomberg.com, your tablet, and smartphone. jeff bezos cracked open a can of worms when he appeared on 60 minutes earlier this month, showing charlie rose the opto copper. this is the drone that can supposedly deliver amazon goes to your doorstep. >> oh my god. copters. are octo bere's no reason they cannot used as delivery vehicles. i can show you how it works. >> are you talking about delivery here? >> there is an item going into the vehicle. i know this looks like science fiction, it is not. this is early. it is still years away. delivery andf hour

we can carry objects up to five pounds, which covers 86% of the items we deliver. >> i'm an optimist. before 2015n't be because that is the earliest we could get the rules from the faa. my guess is that is a little optimistic. could be five years? amazon is not the only company looking at the possibility of drone packages. >> we have been looking at drone technology for four years now. we have seen many companies that experiment with drones. i think we will pay attention to drone technology. technology is not that far away. i think regulation is years away.

i think technology is an extraordinary challenge. this is further out in the future than we like. >> five years? >> i would say 10 years. >> that is a long time. what about ebay? >> we are not focusing on long- term fantasies. we are focusing on things that will change the consumer experience. >> there's one clear negative vote against drones. we have another one for you. other companies drone on about their risky experimental new methods of package delivery, only groupon is looking forward by looking back. >> the technology is proven and tested. we are talking about principles of package delivery that has been around since the time of king arthur. that guy knew about keeping precious cargoes safe. >> i heard this ominous whistling, like something was coming towards me, and i thought it was a bale of hay or a hot cauldron of oil. it turns out it was my package from groupon and i got 35% off my wireless headphones.

i did not even have to come face-to-face with a flying scary robot. draw the line at creating autonomous robots that buzz by your house, week up your sleeping baby, and takes pictures of you while you are in the shower? i don't know. great deals,out great service, and medieval catapults. >> coming in 2014, the groupon livery catchable. delivery catapult. >> defense companies love the idea of drones. here is the ceo. we found in the wars that the utility of drones is really valuable. i think there are commercial applications. we have some regulatory and policy issues to make sure they are operated safely. we are working with nasa and the faa to find those right systems

to make sure that when these drone deliver those packages they do it in a safe manner. >> how they can the drone business be? when.stion is not if but bigger that is a question. >> it is about getting it right from a regulatory standpoint. >> that is correct. >> pretty high tech stuff. in other company is delivering its newest drone to the army this month. it is called a maverick and if you are standing on the ground it just looks like a bird.

>> surveillance cameras able to recognizing -- able to recognize your face as you walk down the street. details are coming up next in our text segment. later, the world's most famous anchorman, why it is hard to walk down the street without seeing ron burgundy.

>> intech our focus is on the price of privacy. facial recognition software is turning science fiction into reality. >> it looks for the landmarks, like our nose, ears, eyes. --uses skin checked your skin texture, also, to act. as long as we can detect a few

a these landmarks we can make match. >> facebook, walmart, apple, lockheed martin -- lockheed martin are looking for uses of this technology. your face print could be a huge tool for marketers. what is being done to protect your privacy? to draft a new voluntary rules of conduct. goal is to come up with an agreement by june. remember the movie "minority ," training this world -- or training this world -- portraying this world aware -- thiscould target world where cameras could target advertisements with facial

recognition. geolocation technology is everywhere. internet giants can match photos to individuals like facebook's -- like facebook. thes one of the pioneers of industry, he calls it a disruptive technology and a perfect storm. the technology is a game changer to some extent. automatically creating a searche, it allows us to and retrieve and create links. >> this could be big bigness that big business. on research company says the reach $6.5et could billion by 2018. as for safety, the rest of cyber attacks is growing. details.an has the >> look at something called full z. ofs your full set

characteristics online. you are talking about your full name, address, date of birth, and cell phone security number. it also might include your bank account information, credit card information, other types of credentials. would you hear about these various hacking situations is frequently -- situations and frequently includes -- it does get more expensive. >> what that suggests is that they are not- going to use it, they're just going to resell it. >> in some cases, yes they are going to resell it. when you are talking about who might be buying and selling this information, you have the hackers on one hand and on the there was one --

case that happened earlier this year where the hackers were in russia. it is big chunks. we're not talking about very much for these individuals. >> where else could they be buying your data that you do not realize? >> there was an interesting situation in new jersey, a settlement between the state and thatmond mining company was also doing a deal with a company called axiom. are notmpanies necessarily buying or selling your information to steal your identity for nefarious purposes. it is to do analytics on your identities. they track the history of you going to a particular website and try to figure out what your

trends or characteristics are as a consumer. they then sell that information to somebody else. >> big debut on the italian stock exchange. details are coming up and and archie manning on the pay for play debate. that is coming up in sports. >> it's 26 past the hour, which means bloomberg tv is on the market. stocks are rallying on monday. the dow jones up 132 points. the s&p up by about 11 points. points viais up 27 this comes after we have had the

biggest fall for the s&p since the summer. a couple of big stocks we want to tell you about, first his twitter. now they are in the red. perhaps wealth -- wells fargo downgraded their stocks this morning. we are shares in aig. it is the second largest in the world. the real focus will be the meaning -- it starts tomorrow and ends on wednesday the fed will start to taper of those meetings. think the fed will start to taper on those meetings. >> create your own playlist or

download and watch online. >> and exclusive interviews and special features you will not see on tv. download the ipad app.

>> we are streaming live on bloomberg.com, your tablet, and smartphone. after a weekend of mass protests country'saine, the resident is on the way to moscow in south africa, a 30 foot high statue of the late nelson mandela was unveiled today.

the statues on the grounds of the union building where he developed -- where he delivered his inaugural speech. yesterday inuried the village that was his childhood home. and google dives even deeper into robotics. this is a company whose robots can climb and even run 25 miles per hour. boston dynamics makes robots for the u.s. military. google says it will honor those contracts and does not plan on seeking new defense deals. no word on the price tag. with going to start virtual currency. matt miller has been covering the 12 days of bitcoin. today he looks at putting some in your retirement account, using a new trust with start up second market. read more in this -- read more on how you can invest in this.

barry silver is a guy whom i have been talking about this with -- been talking about this for a little bit. he started second market. >> private shares of what they hope our soon-to-be public companies. >> it was made famous by the facebook ipo. it was active in a lot of other ways. he started this investment trust it raised about $70 million so far. 90 people have invested in it. you have to be a credited investor or an institution in thereto invest in it and are ways to get in through investment trusts. several financial institutions allow people to invest in them indirectly as long as you invest a minimum of $25,000. it is possible.

>> the question is by the time you request that you retire, is bitcoin owing to even be around? >> he makes the point that this is a very risky investment. you are either going to lose all your money or it will be a very meaningful return. it is highly speculative. >> we have a way you can spend your bitcoins. it made its debut on the lawn stock today, rising 40% above the offering price. there are 27 buyers for every share of the ipo. the company is valued at $5 billion. montclair is hot. what about retail in general? let's ask the author of "bargain fever." increase saw the sales in november, it was 1.3%.

that is the lowest it has been. >> is it just bricks and mortar, no amazon yes? >> have you been to a store recently? have you felt the palpable desperation? >> what does that mean for the post-christmas sales? lot of people hold off on buying things until december 25, when the real discounts begin. will it be more extreme this year? >> it will be like rummaging in a bizarre. it is going to be a frenzy. i think it will be interesting to see how they review the whole season in january. >> does your bargain fever transcends the luxury brands? clock speed is more evident at the luxury brands. everyone assumes massmarketed -- mass markets were discounting. it was secretly the highest and brands that were cutting prices.

i hope they have their fingers crossed. they are all lying. >> if i drag scarlet to the the chanel booth am i going to see a 30% discount? >> they can do what many people can't, which is lower the risk of growth. so many brands are being bullied by wall street to show growth. that is the enemy of fashion. >> before we get to j.c. penney, does that mean montclair will be forced to do the same? >> once you put yourself -- it -- her the paradigm boyfriend was the one, the real- life mr. big pushed those labels and a push for more growth. they discount the upper label brands? i know i am going to go to walmart.

if you are making eight figures you are not going to walmart. your sales assistant has called you and said private sales have started a week before the regular sales, would you like to shop secretly at 40% off before joe blow can walk in and grab something cheaply? smartly aseing used a reward for loyalty. has done itkson again. we are could take a look at his winning strategy for the hobbit trilogy. we sit down with a college football hall of famer. we also asked him about the pay for play debate.

>> we are streaming live on bloomberg.com your tablet, and your smartphone. i am adam johnson.

we start with the weekend box office. took an close to $74 million. frozen finished second with about $22 million. anchorman fans, this is your big week. ron burgundy is everywhere. at the pr machine. >> a movie that came out of nine years ago and earned a respectable $95 million is about to spawn a sequel that may be the comedy hit of the holiday >> that is the dumbest thing i have ever heard. >> let's get the obvious out of the way, anchorman became a cult classic. >> i dig, we all dig. >> i haven't seen the sequel yet

but already it is a marketing juggernaut. a half since the movie was announced there has been a museum exhibit, a tv commercial for suvs. they even renamed a college. movie tie-ins are no new thing. this is ron burgundy for espn . ferrell andke will director adam mckay are no strangers to media. their comedy website already makes $30 million per year. the other reason is ron burgundy is a character that comes along once a decade in >> i love scotch -- a decade. >> i love scotch, here it goes down, down into my belly. selling us.e is durango's, that there is an ice

cream flavor named after him. it probably won't tank. you can be sure to see this kind of marketing on lots of other movies. a strategy does not work unless you have the goods. weinberg and he is kind of a big deal. --putting ron burgundy every everywhere is part of the story. great content as others. the media giant behind this movie. >> there is a lot going on. at the end of the day it starts and ends with great content. ist you see in anchorman to great content. is an incredibly engaging character. there has been great buzz about the film. having great content and aggressively marketing its a you can distributed across platforms

is the name of the game. we think in the world of living the multiple platforms, wired weather, and mobile. we are seeing people consume things in different way. they are really today's digital water cooler. it is where people gather to talk about things they love or hate. certainly entertainment content is at the top of the rankings. >> do we need to get more integrate it with 2013, be it what do you want to make sure you don't miss the boat on? >> at the end of the day everyone competes for consumer time. if there is one game, it is how do you get more of the time and attention? -- inr that is in a movie

a movie theater, in front of we are very focused on research. i think as a media network company we do more research than anyone in the world. demographics, whether it is a kids demographic or nickelodeon brand or mtv , and the adult demographics are round things like comedy central. we are studying not only what they want but how they wanted. it is important to maintaining your mind share with them. >> from one american pastime to another, archie manning speaks with pimm fox. we have the best of that interview next.

>> this is lunch money, we are still alive on bloomberg.com, your tablet, and smartphone. onsports we are folk missing

-- we're are focusing on football. panthers lead the jet. the jets now dropped to six and eight. pain at the giants stadium. the seattle seahawks shutout new york 20 3-0. -- 23-0. it was so bad. , archie of manning manning joined pimm fox last week. this is how he got his start. >> i have been through playing football for 30 years now. dealey reason ibo remembered i played was two of my sons played in college and still play in the national football league. i am a mississippi boy. , played football there graduated, met my wife there.

i loved the experience. we had good teams in college and i was fortunate enough not to get drafted -- fortunate enough to get drafted to play football for the new orleans saints. i was fulfilling my childhood dream of being a professional athlete. there are things that most people forget. they forget i play football but the fact that my sons play has -- get me up. >> what you think about all this talk of paying college athletes? >> i don't think the players need to be paid. i think i'll -- i think college education is a wonderful we weren't.

don't worry too much about pro ball. enjoy the college experience and get that education. most players aren't going to go into pro football. that, -- the main thing is get a degree in college education. corrects as a former athlete and -- >> as a former athlete and father, he was asked about excessive rust flip excessive roughness and concussions. andxcessive roughness concussions. we need to make sure we get back -- i think football is a great game. there are a lot of life lessons for young men to play the game of football. our games have to be safe. we have to start at the youth

leagues and getting back to teaching. theright way to tackle, not missiles were spears. i think football is addressing that and trying to get it right. >> no i in team. kids to play aor lot of different sports. i don't think you should specialize when you are 10 years old. parents shouldn't get involved -- parents should get involved. i think if you play a lot of sports it is really good. you aree line -- if playing tennis or golf, those are individual sports you can go up there and be as good as you can be. a small, basketball, football, hockey, these are team sports most of the time, that is

what we are at here in the business world. you are a team. and people who don't know the concept, don't appreciate the concept of teamwork and leadership, they are not going to be successful in business. watch the interview on bloomberg.com or on our award-winning tablet app. lighting the christmas tree in st. petersburg square.