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tv   Bloomberg West  Bloomberg  July 21, 2014 1:00pm-2:01pm EDT

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>> live from pier three, this is "bloomberg west. president obama on air flight 17. he said russia will further isolate itself from the international community must convince his ukrainian rebels to let investigators collect remains as evidence. the former secretary of state hillary clinton is in the bay bea today where she will visiting the headquarters of
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facebook and twitter. twitter, she will speak with employees and the event will be live streamed from her twitter profile. at facebook, she will host a live q&a on the facebook page of her new book. football season is coming soon and we are gearing up for the first season of monday night football. sports on why the network is promoting -- devoting resources to any of the game but the super bowl. to our lead story of the day, president obama is trying to increase pressure on russia and the shooting down of flight 17. international investigators and evidence from the crash site in eastern ukraine. >> if russia continues to violate sovereignty and back to the separatists, then russia will only further isolate itself
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from the international community and the costs of their behavior will only increase their it >> the british prime minister david cameron after president obama's thoughts says if parliament does not act, it is time to make our influence felt. peter cook has the latest. time we're first hearing from the president since friday. he seems to be stepping up the rhetoric. >> that is some of the european leaders set up theirs is as well. to trying to push and prod nominally support the international investigators on the scene of the tragedy, but also to de-escalate the crisis to remove his support for separatism. we heard specifically on that front saying for the first time, putin himself bears direct responsibility to the action.
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>> russia and president putin in particular has direct responsibility to compel them to cooperate. that is the least they could do. >> he wants clinton to do much more, to de-escalate crisis and u.s. and russian troops off the ukrainian border. he wants the entire situation dealt with much quickly than vladimir putin has been convinced to do it. now, he feels a lot of the international public attention to havesure is starting an impact. that is the sense from washington. >> we're looking at reports that satellites have captured imagery of rockets taking off from the ukraine. does the u.s. have more direct
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evidence of russian involvement? >> no smoking gun just yet. nothing i've heard from officials just yet here in washington. they say they have a lot of circumstantial evidence. signs as to who was actually controlling the missile system in question. the best evidence so far has secretom the ukrainian service, the security service, releasing pictures of what they say is the missile system on a flatbed truck. headed for russia over the weekend. those are some of the things officials say they have looked at. a lot of circumstantial evidence of the system in place. one thing we have not heard from united states is they believe separatists were trained by russians on this system. the russians made this system
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so they share responsibility. >> any sign europeans are prepared to back the sanctions? >> they are getting a lot of encouragement on that front from david cameron and others. he has been talking about the russian defense sector. we had holdouts in the last couple of weeks. sanctions being tougher than the europeans in particular. italy counts on russia so much. for tougherng down sanctions. a big meeting of foreign ministers, that could be exciting. >> peter cook, stay with us. i want to ask you about another big story we're following today. hillary clinton is visiting headquarters will -- where she will visit executives. she continues to promote her
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book. will she be able to buddy up with silicon valley? me inohnson is joining the studio. she has been here a couple times in the last few months. i saw her speak in january. >> this is a regular stop for two things. people ontop for bookstores. it is an interesting change where it is almost offered as an employee perk. they're making appearances in these big companies, particularly social media companies it is also for democrats raising money and getting ready to run for office. there is speculation hillary clinton is doing just that. chris is there any thing special
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about hillary clinton here right now? >> cory said this is an opportunity for democrats in the technology community, the chance for her to strut her stuff in front of the audience and raise a few dollars if she does decide to run for president. the $12 million she has taken in since she left the secretary of state post. it is getting a lot of attention, her book tour. to havenot heard her the attention in that environment. >> she joined twitter last year here in her twitter bio. referring to the question, will she run, tbd.
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>> when she ran last time six yearsrack obama staged a lotbama important early fundraising in the valley. i remember barack obama, not a nationally well-known person at that time, a first-time senator from illinois, saying not only where it -- not only was the money there, but the ideas would resonate in big ways. recognizing, if she will win the white house, made is a lot of money he recently, twitter's ipo. >> one challenge for hillary clinton, silicon valley, always interested in the nest -- next big thing, the new interesting
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thing on the scene. hillary clinton does not necessarily check that box for a lot of people in silicon valley. she is not the new purveyor of ideas. the box forcked enough people in silicon valley, in particular young people? that is one of the reasons she is out there, to make the case that she can. >> i want to also ask you about another story about the relationship. he is reportedly considering -- considering the job. what is your take on this? >> every time these kinds of about come out talking the silicon valley company, it is usually not good news and does not end up in a deal. it would not surprise me at all
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to see jay carney in a corporate technology job. it is something he would like to do and a change of pace. these deals have a way of blowing up if they get out too early. i would not expect a check to be in the mail just yet here in a negotiation is underway. >> it is not unheard of. .oe lockhart collects he was at oracle briefly. the first report about him going to oracle's when he went to oracle. it might be more notable, the fastest way to not get a job at apple is to publicly announce you are looking for a job at apple. they like to keep the cards to the chest. >> something we will continue to follow. tori johnson, our editor at large. thank you for joining us today. a huge week of earnings and netflix kicks it off today.
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what will the reports tell us about business in silicon valley? that is next. ♪
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>> welcome back. i'm emily chang. some of silicon valley's biggest names are opening up their report cards this week. netflix and texas instruments release their earnings today. about thewe learn companies we did not know before? cory johnson is back with us. great to see you. netflix first. will we see another surprise bump in subscribers like we saw last quarter? >> that will be the most important question. most people do not like price increases. muchink it did not cause
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impact at all. for the rare for a company this size. west approaches to look at the company and not the stock. i love quarterly earnings reports because we find out companies cannot spin anymore. we find out the content commitment costs. means they aret smartly paring away expenses they might have and recognize there are limits in the future. costs original content, they claim to not be a will to calculate. unusual accounting
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around this. until the show is produced a year from now, you cannot put it on your balance sheet either. >> they say, disney, we want to run the swan princess three for the next three years. then their account decides they cannot put it on the balance sheet. >> we do not know what the original content is. there is nothing nefarious going on with accounting. there is a lot of disclosure about the company. most of the companies i look at, there is a lot of disclosure. where the margins keep rising and the important third thing they announced the new european launches in the back of the last year. , one of therges risks in the next quarter. >> what about facebook also
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coming up this week? will the conversation be mobile? we know deals have gone up 60% from zero in the public. >> we are starting to get tougher year-over-year that we will see in the next three quarters. revenue growth went from six percent year-over-year to 80% year-over-year. seeing revenue growth deceleration. the rate at which it decelerates determines what happens in this stock. re: talking late next year or early next year? and those auto way video as. >> i look at it and i see it is accelerating. the growth and revenue per average user, the daily user, has picked up as mobile has caught up like a flywheel. the numbers have been really present.
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you look at google, seeing a struggle because of the prices, and you do not see the effect of them. >> i will give you a slightly different point of view. is itvantage of facebook was all gravy. google is in the backswing of this. byy were already heard mobile comparisons because they had effected desktop monetization. now with google, you are seeing revenue growth just modest. we still like google as a stock. we prefer facebook but google >> the quarter for apple is interesting because last quarter was interesting. it was thought to be a block quarter. the question is, could there be a surprise there? aboutentally, it is
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looking for the fall of new devices. we will probably not see any of that. it will be a moment to marvel at the model that is apple, the cash operation, profits, the biggest stock in the world. >> all right. thank you, as always. we will be following the numbers later today. rolls-royce is no longer just a name for luxury. new coupe is one of the technologically advanced cars on the market today. we get by me will next. -- behind the wheel next. ♪
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>> welcome back. we look at how technology is changing the future of transportation. rolls-royce vehicles are known for their luxury features but the rate is also one of the most technologically advanced cars today. >> this is the rolls-royce rate, that,000 hatchback who has incredible classic design. powerful and rolls-royce that is ever been able to reap the dutch produced. you have got these suicide doors, super luxurious shag carpeting, and handstitched leather.
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then you can see a rolls-royce umbrella. ♪ it is actually more high tech than almost any other car in the market today. the most exciting future as far as technology is concerned is satellitee gps and systems work with the transmission and the headlights. quarter,e going into a -- a corner, the satellites use a gps system and realize you will turn and it aims the headlights into the corner to make it easier for you to see. the other cool feature is even off,u're headlights were
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you'd still be able to see a d or a child who wandered into the infrareduse it has an night vision system and eliminates any life form through a heat signature and gives you an audible tone if you are on a collision course. another decision the rolls-royce has perfected for the car, the adapted cruise control system that allows you to set the car at a certain feed even in toper-to-bumper traffic determine how far away you stay in front of you and what distance you want behind you. this kind of technology now that rolls-royce is owned by bmw will eventually tripled -- trickle-down that the average wealthy person can buy. >> bloomberg's very own matt miller always in style.
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military defense technology and advance alert technology is being destroyed on both sides. we will tell you about some coming up. ♪ >> it is 26 minutes past the hour peter guber television is on the markets. i am matt miller. at where the indexes are down across the board, doing better earlier this mind. the dow jones industrial average is down 45 points compared to the loss of 100 point this morning. restaurantald's and operators. investigate chicken and beef that had is fired mcdonald's and kfc and peace. restaurants not to use those products. ofs may lead to a shortage
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menu items but if you do not eat there, you will be better off anyway. bloomberg west will be right back. stay with us. ♪
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>> you're watching "bloomberg west. cory johnson. thing gaza is escalating with death tolls climbing on both sides. the health imitation is claiming more than 500 palestinians have been killed since last week. the idf has lost 18 soldiers. in the technology helps efforts to avoid more casualties? an apt creators joins us now from skype. an apt warns israel is of a coming strike.
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we are also joined on the phone. gentlemen, thank you for joining us. i will start with you. we heard a lot about the technology of the iron dome which tells prevent israeli from the rocket attacks. can you explain how this was from a technological perspective? >> you calculate that should decorate.
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about twice the speed of sound at least. it in the sky.d so. let's let me ask you. the missile-defense system was really a response to other systems in the past. i wonder what new technology you are using with red alert that was not possible in the past. >> red alert, it was created two years ago before i started working here. technology that any use at anyr could date. we are not using anything so sophisticated here. we have a number of people subscribing to our apt.
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we see the technology. we have to get the notification out as fast as possible. that is the technology here. it has to be fast because it is basically saving lives. have youind of pickup seen an activity since the latest escalation? has been a sharp increase in downloads, especially in israel. .e had total 80,000 downloads mainly people in the south were bombarded over the past it is years since it is available. because everyone is a target now in israel, andriy, we have over 300,000 ios and also we have an ios actually available thanks to the israeli ambassador. also, we have seen a large increase in downloads as well.
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been a huge demand for the app in the past couple of weeks. >> when it comes to the effectiveness of the iron dome, i read differing reports. some say 90% effective in terms of intercepting rockets and some say more like 30 or 40%. will you say? this to theay number, we have about 2000 workers now. more [indiscernible] then we see now. i'm talking about losses [indiscernible] just think about it. they should have landed somewhere.
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some of them [indiscernible] and some of them don't. say theynow, i would sawented -- we interceptions. to 90%.close >> let me ask you a question and maybe it is not an easy one. you have written your app in a way to try to help people be safe here at i wonder if you consider the fact it also makes it easier in some regards for israel to sustain the attacks and go on and the terrible
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suffering of people, many of whom are civilians who have been affected by this. does your app make it easier for israel to go on the offensive? traded toner and i save lives. you have to understand, they're targeting civilians. i was a commander in the army. we only target terrorists. we're not targeting anyone else. it is unfortunate innocent people were killed. i know firsthand that we are only targeting terrorists. that is the only thing. we have sometimes been in cases where our whole lives are in onlyrdy and not terrorists. i know firsthand, we need a nap because they're targeting civilians.
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hand, they're not looking at civilians so much. and number of -- >> a number of children have been killed. i would like to ask you a last question. if they had sophisticated missile technology, could the technology be to better target -- >> in gaza will [indiscernible] but saying that, i want to point out an important fact. it insight should begin investigations.
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there is no way to beat them except by contemplation. let me stress this point. every order that comes out on the gaza [indiscernible] it can be destroyed. it could have stopped that fire about one hour. the cost of human life would be remembered so we cannot do it. human shielding. >> all right here and i yourciate you sharing perspective. a missile-defense x bert in israel. thank you both. elon musk is not the only one to transport. we talked with an organization that could shoot you from new york to beijing and just two
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hours. that is next. ♪
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>> welcome back. we turn now to our series for we look at how technology is shaping the truth -- the future of transportation. a way to get between cities hundreds of miles apart. very quickly. one organization has an even bolder plan. cory johnson is back now with more. tube transport technology, the transport for space travel on earth, they call it. tube transportation could get you from new york to beijing in two hours. why not? ceo joins us from colorado. talk to me about this. when elon musk proposed a hyperloop system, i thought it was ridiculous. you will tell me i was wrong?
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>> actually, traveling in that environment is the most proven form. most of us have been traveling that way our whole lives, traveling 6-7 in our lives. it is actually very proven. also, traveling in the pipeline is also proven for cargo. throughe four tons pipelines, kind of out of our mind. more than trains and trucks and aircrafts combined. that's how long could such a route feasibly go? >> cp3, if it is built -- et3, if it is big -- built to the same standard, they could be networked together on a global basis, and that would allow a
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from southravel america, up across the united states, across canada, but , acrosshe bearings siberia, across to china, through india, and across ofope, and across the strait gibraltar to africa in four hours. >> what does it feel like to be in such a thing? will you imagine it felt like? is designed to be as close to possible to the best form of transportation we have come up with before. cars have won the global transportation market. we have adopted car sized vehicles so it would be just like traveling in your car. instead of accelerating for a few seconds, you could accelerate for 20 seconds or you could accelerate for three minutes to get up to 4000 miles
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per hour and then you would coast. it is almost silent. collects why drive in the car, would any injury to the tube cause a catastrophic event? including the people? >> of course, et three is subject to the same types of andogical forces roads bridges are subject to. there are occasionally earthquakes and acts of god and terrorism that could do -- we could do very little about. they are just focused randomly in different areas. less than one percent of transportation related fatalities come from those types of sources. most transportation fatalities
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result from failure to control a vehicle or conditions of travel. travel in the evacuated environment in those tubes offers a lot more protection and much safer and must -- much less reliance since it is magnetically -- magnetically levitated. >> we appreciate your time. emily. >> i cannot wait. sunday and monday football are hugely successful. football on thursday night faced hurdles. on the thursday night package. ♪
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>> welcome back. cbs is home to sporting events like march madness. this fall is the new home of thursday night football.
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adding to its lineup of sunday games, jon erlichman caught up with the cbs -- sports chairman to talk about the network investment in thursday night football. he joins us now with more from l.a.. >> this is a story we hear all the time. big data between the broadcasters for sporting rights in the case for this deal for thursday night for all. they are seen as a big winner. they will share the rights for the network for the game has existed. the first question i had was, what was your reaction when you were awarded these rights and what was your reaction to see the ceo and here is what he had to say. >> on we finally got the call, he gave me a hug and i gave him a hug and he said to me now the real work again than he is right because it is a lot of work the new franchise. we still do up to seven days -- games.
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we gotbeen for me since the package about 85% of my job just on thursday night football. new graphics, new music, new technical facilities. facilitiesg more than any other game other than the super bowl. >> in terms of numbers, the thursday night game was averaging somewhere between 6-8,000,000 users. audiences, do you have any expectations? i do not like to get into specifics for ratings. i think our ratings will be good. i think we will do healthy numbers. so much of the ratings in football and any sport depend upon how good the game is. you have a competitive game at 11:00 in the fourth quarter, -- if you have a blowout, it does not. >> thursday night is a one-year
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deal. the league was offering that and you're totally fine with it. anything that would prohibit you even during the season to discuss with the league, possibly extending this if things go well? >> possibly, we talk to the nfl almost daily. anytime they want to talk to us about extending a one-year deal him a we will make ourselves available. lot and adjust production is the season goes along. it is important to remember we are producing the second half of the season for the nfl network. beyond broadcast, talk about cable. every broadcast network today has a complementary sports channel. abc has got espn and fox has one. -- fox sports what do you want to do with this network to make it unique and stand out?
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>> it is not fully distributed right now. the passes anden invested hundreds of millions of dollars into the program because that is not our business model right now. other companies decided to create their sports channel as leaders in the near term. it is good for their company. we have not gone out and acquired major league baseball and world cup soccer. we have a plan. at some point, we will get there and be competitive. we are just not there yet because we do not invest so much money that we lose a lot of money. and will be very valuable and relevant and it will be a good sports network. >> probably in the months to come, nba rights will potentially be up for grabs soon. there are negotiations taking place already. interest ine any
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the nba as a destination? >> i love it there it i think it will be a great product. they have done a good job showcasing it. we do not have room right now and are scheduled for a full slate of nba games and unless you are willing to make the an entire slate, we will probably not be able to bid on it. i would love to, but we have golf a lot of weekends from january through the first week in april. we have college basketball in december, january, february, and so it is probably not in the cards. >> fox got everybody's attention by showing a strong interest in time warner. what was your reaction to the announcement? to comment onke other people's acquisition plans. what is interesting is whenever somebody talks about what they
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acquisition or a merger, sports is always somewhere near the center of the talks. has ast that time warner many good sports properties as they have, i am sure it is some kind of factor in many discussions that will be had going forward. >> the sports chairman there with jon erlichman. much money does cbs make from nfl games? do they share the information? >> they will share that they are profitable. that is impressive when you are spending $1 billion alone on sunday football. combination of ad dollars. they are generating more fees now from pay-tv operators. i think lastast -- year of the top 30 rated shows on television, something like 28 or 29 were football games. they feel it is a calculated bet . >> all right. our senior west coast correspondent. hang on. is time for the bwest byte,
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where we focus on one number that tells a whole lot territory, what have you got? >> number is seven. it better be for the nba all-star new york knicks come has formed anwho investment fund to invest in technology startups. he was number seven. come on in. the water is warm. he is partnering with a guy named stuart, an investor in a couple of startups. john, i believe there is an accident -- in l.a.? you do not have to go looking at the companies. stay courtside like the warriors do. >> apparently, no outside investors. >> yes.
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luck. >> and seven tech partners. thank you all for this -- for watching this edition of the show. ♪
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..
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>> i am mark crumpton, this is bottom line, the intersection of business and economics with a main street perspective. today president obama says --sia must present evidence and then pallet is -- palestinian casualties rise arian bill ackman discusses his next move in the battle against herbalife. to our viewers in the united states and those of you joining us from around the world welcome.

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