♪ >> live from pier 3 in san francisco, welcome to the late edition of "bloomberg west," where we cover the global technology and media companies that are reshaping our world. fox chairman rupert murdoch blames time warner for refusing to engage in talks. instead, fox has authorized a $6 billion share buyback. disney reports gains of profit and revenue in the third quarter, thanks in part to movies like "captain america: the winter soldier."

the biggest gain among the company's five divisions. consumer products also performed well. we will hear from ceo bob eiger -- igweer. and mark your calendars -- apple is set to unveil its latest iphones on september 9. we have complete details on apple's media event coming up. to our lead story -- rupert murdoch pulls the plug on his time warner takeover bid. 21st century fox withdrew its roughly $80 billion offer to hbo, turner,r of cnn and more, instead authorizing a $6 billion share buyback. murdoch said time warner management and its board refused to engage to explore an offer which was highly compelling. additionally, the reaction in the share price since the proposal undervalues the stock and makes the transaction unattractive to fox

shareholders. the news sent shares of time warner plunging in after-hours trading and sent shares of fox higher. our editor-at-large cory johnson joins me in the studio and our senior west coast correspondent jon erlichman is also with us from the disney lot in burbank. you have been speaking with the fox camp. what do they had to say about this? >> over the last few hours, we have heard people ask the question -- is this gamesmanship? is fox making this announcement in part to put more pressure on time warner and ultimately do come back to the table and try to get a deal done with time warner? my understanding is that is not the case. certainly, the decision to put a lot of money behind a buyback would speak to that. look, the reality is -- and you heard from rupert murdoch in that statement -- the stock price of fox felt pressure after they made this announcement. everyone was wondering if time warner would increase -- cn increased offer from fox, which

potentially would have put more pressure on fox's own share price. they believe in their own business, so they are walking away instead of getting into a potentially long battle to acquire a business. ain't overer, or it until it's over? >> this is rupert murdoch we are talking about. if you believe rupert murdoch has looked at the bigger strategic plan he has had in five years to change his company, made a single offer out there and said, "you know, .evermind i'm going to take my ball home." that certainly indicates a company that was taking all of its tools and taking away from a potential acquisition. but as you said, $80 billion, $75 billion -- this was a bid that was largely to me about writing a stock check, levering up the combined entity in a greater fashion, so they are using some of their cash to

shore up their balance sheet over an undetermined period. stockaid it eventually buyback. as we know, most do not happen when companies announced them in the same full way that companies announced them, so i'm not convinced this is not just one move in their bid to put pressure on time warner, and that pressure is felt by a falling stock price -- it's worth noting a falling stock price on the same day time warner announces earnings, and the ceo has to face off with investors, some of whom will be ticked off that the stock is down so much in after-hours. >> rupert murdoch not a guy who goes down quietly in any situation. what about you -- could this be just another move towards the ? timate endgame >> cory has an excellent point, and it may be true, but at the end of the day, you are still talking about very big doublet companies, who cannot get in the business of playing games. certainly, there's a possibility that time warner could report

results that do not please investors. you have seen the stock selloff in reaction to fox's decision to walk away, and indeed, the time warner, be on but it starts with the decision not to engage with fox. they could have chosen language that suggested they would be willing to entertain an offer from fox at the right price, but they never said that. i think fox is looking at what would eat an uphill battle, saying that they do not have time to waste on something like this, nor can they worry about if they were to walk away, someone else coming to the table. not that any names have surfaced in terms of who might be .nterested in time warner >> i think part of that is the potential other bidders are busy, so we did not have atypical bidding war where rupert murdoch announces his first bid, and others countered .s comcast, dish, at&t >> right, comcast involved in trying to board time warner cable.

>> right, and they are dizzy with regulatory hurdles. comcast made the case that there acquisition of time warner cable will lead to more competition in the industry. that is clearly not happening. we are seeing big media companies gobble up other media companies, but they cannot go out and make a bid for time warner itself right now while they are trying to acquire time warner cable, and that changes the logic of the bidding war we might have seen in another era. to whatll be listening time warner's ceo has to say tomorrow when time warner reports earnings. sticking with media, disney reported third-quarter earnings today. sales were 12.5 billion dollars, up 8%. net income up 22%. disney saw bright spots in movies and merchandising sales. you spoke with disney's ceo about disney, of course, and also about time warner just after we found out that this bid had been withdrawn. i mean, it was a big corner for disney, but how could

you not want to know how bob iger would react to an announcement like this. here's what he had to say -- >> i just heard that news as well. my reaction is a quick one. i can only speculate, but i'm guessing that the offer that was made, as we know, was not well received. rupert, i'm also guessing, must have determined that unless time warner was willing to engage, he was going to have a hard time accomplishing what he wanted to accomplish. tough to do under hostile circumstances. again, i can only speculate that rupert did not want to pursue it under hostile circumstances, but i do not know that for sure. >> could you see any opportunities for the walt disney company as part of this, whether there's an opportunity for you to jump into the mix here, or are there in the assets that time warner has that interest you in some way, shape, or form? >> we do not typically comment about the potential for an acquisition.

it should not mean that we are interested in this, and they have some great assets, by the way. we like content, but that, again, should not mean that we are looking to acquire them or any part. >> what about the landscape overall? what does this all mean for the consumer? even before there was this discussion about fox and time warner, we were talking about two major deals, pay-tv consolidation deals with comcast and time warner. what does that mean for the consumer? >> i don't think the merger of two similar content companies like time warner and 21st century fox necessarily would have any impact on the consumer at all. i don't think that's what it's about. i actually do not really believe that the combination of some of the distributors is really about the consumer, either, although i understand that selling point arebeen made by those that combining. i don't think it is really about

the consumer. i think it is about gaining thoseand creating economies of scale and not necessarily passing those .conomies along to the consumer there may be some value on the technology side where some greater investment in technology may ultimately be a benefit to the consumer, but i do not view those combinations as being consumer driven. >> as we look at your business, and performance was pretty strong across the board this quarter -- let's start with espn. a huge part of the profit story of disney. when we heard that fox was interested in time warner, immediately, people look at what fox means for spock -- forc sports. how do you stay competitive when you are on top? >> am obviously pleased with performance this quarter. we had significant growth in

most of our large businesses, so i think this is a quarter that we consider among the best if not, as i said, the best. in terms of staying on top, it is pretty obvious from our strategy and assets we believe you have to make great content. you have to either create or nurture great rands and franchises that in today's world with so much consumer choice -- more than we have ever seen before -- content not only has i think brands are very important. "guardians of the galaxy" is a great example of that. people say it came out of nowhere because those characters were not well-known. the title was not well known, but the marvel brand has become something that -- at least in -- reallyer's' eyes means something and should be trusted because they have a track record of making really good films. in today's world, that serves marvel well. it serves disney well and will

continue to serve companies in this space well. chairmanas bob iger, .nd ceo of the disney company >> jon erlichman, our senior west coast correspondent, great interview there. coming up, apple gears up to announce big screen iphones on september 9, but are these phones apple's next blockbuster roduct? we'll discuss next.

"bloombergback to west." i'm emily chang. apple he will -- the mystery of when apple will unveil its large screen iphones appears to be fall.

analysts are predicting that apple will sell a record number of handsets during this launch due to consumer demand for larger screens. not one but two new iphones with even bigger screens. this one is 4 inches, right? >> moving up two levels, i feel. over has lost market share the years to companies like samsung and others who have introduced bigger devices. there is an appetite for these, so they are going to take advantage of that. >> do we think they will keep the original screen size? >> that's a good question. i imagine they will have some models that do have that size. the question is whether it will be something entirely new or them keeping the older models. for thedoes it mean ipad, given that ipad sales are already slowing down the? >> ipad sales have been slowing

down over the past several quarters, and part of that is because people are doing more and more everyday things on their phone. a bigger phone is i think, good enough for a lot of people to browse the web or shop for something or look at their ace before twitter -- things like that -- look at their facebook or twitter -- things like that. says that next fall is going to be the biggest, most exciting release of products for apple ever -- or in the last 25 years, which is practically ever. is there anything more, or is it iphones? ew >> they are dangling a little bit to keep people excited. ultimately, we will have to wait and see what people do, but there is expectations the on these phones, which there is a lot of pent-up demand for -- theseations beyond

phones. new product categories like a wearable device. will that eventually come out and time for the holiday? these are the things people will be looking for. but this is the time of year and things start to gear up, the end of the summer coming into the fall, making sure the store shelves are stocked for the holidays. >> what does history tell us? do they normally have multiple product launches in the fall? i know there is normally at least one. >> a most exactly the same day last year, they introduced the iphone -- the second tuesday in september. that was followed by ipad debuts . they have a few events between now and the end of the year. >> what about tv? i was just talking to someone who said it's never going to happen. >> it is out there. there is an update in the works to the hockey puck apple tv device -- the set top box. whether or not they do a full

panel tv -- that is an open question. there's a lot of reasons not to do that. it's not a particularly profitable business to get into. with the set top box, you can kind of look into those existing devices. the bigger question with tv comes down to the content and getting those deals worked out with cable companies or and media companies. that's really where the problem is, not any technological issue. >> we've been covering how samsung has been losing global smartphone market share. they just got surpassed in china mi.the upstart xao what opportunity does apple have to win some of samsung's market share? what do analysts think will happen once these iphones are released? >> the expectation from analysts is that this will be the biggest iphone release ever, that there is a ton of pent-up demand for these devices, and that could samsung'sy reach into

market share. samsung is kind of in a unique situation and that they tried to be the phone company for all people. they have the high-end with the galaxy line and the lower end which have been popular, but now they are getting squeezed. apple continues to be popular at the high-end, and now they have these upstarts that are challenging them at the high-end, so they are in a challenging period for themselves. >> we will be there. thanks so much. the fishermen of discovery channel's "deadliest catch" risked their lives to catch crabs. we'll ask one of the stars about tonight's big season finale. ♪

>> i'm emily chang and this is "bloomberg west." the fishermen of "deadliest catch" are set to battle an arctic hurricane in tonight's season finale, marking a close of the 10th season of the discovery channel hit show documenting the lives of crab fishermen. the show is also up for 4 emmy nominations. for more on what makes the show so popular, i'm joined by my partner, cory johnson, and one of the stars of the show, keith colburn. congratulations on the show. i hear it is going to be an epic finale. give us a hint what we are going to see. >> the season in general was difficult for all of us. we had some severe weather, and it ended with -- i guess you would say with a bang. if you are going on a roller coaster ride, that last drop,

that is pretty much what tonight's show will be about. we got hit with an arctic blast. basically an arctic hurricane and had some serious issues on a number of votes. at the was actually dock. you could be 300 miles from shore and in jeopardy or 75 feet from shore and be in jeopardy, but that is just the bering seas weather.- >> having watched your show, i can see why you would be in landlocked dallas today. what is it that makes the show so successful now? i get the dramatic elements, the suspense, the thrill, but why is it such a big hit here in 2014? >> you know, i think a lot of credit has to go to everyone associated, the cameramen on the show. they have increased and improved

everything with specialty shots and everything else that more or less capture what we do even in and yeare year out and an even more detail. they do a better job of following stories, so they are slowly but surely really bringing a documentary about fishing in alaska to life on tuesday night on discovery channel. >> how realistic is the show? i understand your job is incredibly dangerous, but how much are you putting yourself in the situations for television, and how much would you find yourselves in those situations without cameras? >> we do not put ourselves in any situation for television or television cameras. my insurance alone is astronomical. if anything, i take even more evasive action to try to prevent accidents, injuries, getting caught in a severe weather system because, to be honest, as

much as everybody loves to watch it, i don't. those are my guys. those are the lives i am a sponsor before. we do nothing for the cameras. we basically go fish, and that's what we do. >> keith, you were a ski bum in lake tahoe before you did this, i'm told. why do you keep doing this what now that you've got other options? >> we know you've got a family at home. >> there's better things to do in the world, no? >> there are, but i'm actually going into my 30th year. this will be my 30th anniversary . i am a fisherman now. i did not know or plan or a that at some point in my life i would become a fisherman. when i first started, i loved the sea but then i hated the work. and then i learned to like the work and i still love the sea.

there's not a lot of rear movement or side to side when it comes to fishing. colburn, captain on "the deadliest catch." season finale tonight on discovery channel. thank you for joining us. ♪

>> you are watching "bloomberg focus onre we technology and the future of business. here's a bright idea -- one team claims it has invented the first ultra efficient led light bulb .ith a dimmer system built in please enlighten us -- light bulbs have become kind of confusing. there's the new energy-efficient kind, the old incandescent kind, which actually look a lot better. what kind of light bulbs can we use? >> not to mention the gnarly

compact fluorescent bulbs were acting polite quality is terrible. but they say these bolts can serve up to 88% of electricity and last 20 times longer than regular bulbs. the company ceo joins us now. this is your life. this is pretty bonkers looking. it looks like a rubik's cube or something. talk about your design and what makes it special. because led is not a particularly new thing, although they are getting better in terms of quality. around thevation is energy efficiency. everything we do is around energy efficiency, including the unique shape. the shape of the lightbulb is to mimic done that way the look of an incandescent light bulb. >> again, why this shape? >> it's actually a dodecahedron. every side is kind of the same shape and every internal angle is the same.

it makes it very structurally forward. every single side is the same shape. every single angle -- particular?shape in what makes it more energy-efficient? 's is itroblem with led emits light 180 degrees, and in we hado it 360 degrees, to fold the light into the shape to have a go in all directions. this is custom custom-designed by our engineering team. chips.om package the led the chipskes themselves different? >> its new led technology, much better than incandescent. cfl, like you said, contains mercury and are very harmful to the environment. >> for the people who do not know, those are those curly cue

life. that have longer i believe they have terrible quality of light, like doctors office bright, and have mercury inside of them, so if you break one, you've introduced a toxic environment into your home. >> exactly. led technology is much different. it operates much more efficiently and operates a lot cooler as well. >> this is a lightbulb. this is a light. let's see what we've got here. just like a regular light bulb, same size socket in everything. >> this is actually very unique. we created a lightbulb that news without a dimmer switch. it is pretty dim right now. there it is light. >> you just flick the switch often on very quickly, and it will slowly start to ramp down. at any point, if you want to lock in on, you just flip it off and on again. >> how does it work? >> we have a custom microprocessor built into the lightbulb. when you first turn it on --

you've got to turn it on first, and then it takes three seconds to ramp up. at any point, flick it off and .n, and it will lock in you got to do it real quick. on -- off/on. >> that's really clever. >> the purpose is for the energy efficiency aspect. people do not realize when you do your lights, it helps you save a lot of energy. at 50% brightness, it uses only a quarter of the energy. instead of using 10 watts, it only uses 2.5 watts. >> i assume some people get sticker shock when they look at the cost of an led light. >> right now, we have in him kickstarter for 40 three dollars, including free international shipping. >> that's actually cheaper than a lot of led lights out there. >> the prices are actually dropping about 20% every year. >> one of the issues in the back 10, 15, 20 years has been color.

i went on this crazy staycation day where i got so frustrated with the lights in my house that i went on amazon and ordered every single different kind of led light and took another day to try them out. we first introduced them, we had it around -- it was kind of a cooler white. we upgraded it to a very warm white. -- mimicsy minutes the incandescent look. it does not have that hospital field. >> is also a color rendering index. where is this on that? >> this one is about 80. pretty good. for consumer lighting, this is a new standard. >> really interesting stuff. finally, kickstarter. talk about the funding of your business, where you are, and why kickstarter is the way you guys have been going. >> we have a lot that we owe kickstarter. if it were not for kickstarter,

we would not be a company today. we had a kick starter last year for the world's most energy-efficient lightbulb. we have a kick starter event going on right now. we've sold -- we still have about 30 days left, and we are at about $120,000. it's amazing to get support from people that really kind of believe in our cause, and it has helped us get on our feet. you would get from venture funding? >> we actually did get some venture funding earlier this year. there's a lot of big players out .here for the led market >> i am all for better light. thank you very much. >> i've been looking at your calendar, and i noticed you do have a few more vacation days, so if you want to take another day off, i would gladly have you over to my house to try out some light bulbs. i do have a few stubborn lamps.

i've tried a few different light bulbs, but certainly not every one available. >> i cannot figure of a better way to spend my day than at your house testing out light bulbs. i'm here for you. you know that. >> good to know. coming up -- is africa the next frontier for technology? companies like ibm and ge think there's a chance it could he. we'll hear wide next. ♪

>> welcome back to "bloomberg west." i'm emily chang. president obama is hosting several dozen leaders and just announced $14 billion and commitment from u.s. businesses to invest in africa. among those making the pledge -- ge and ibm. our international correspondent hans nichols is there and joins us live. take it away. >> thanks so much for having me.

i am joined by the ceo of ge in africa. thank you so much for joining us. we just heard $14 billion in new deals. walk us through that. where is it going to be? >> it's going to be $2.4 billion over the next few years. it's going to be across a number of different countries and a number of different areas. focused on localization, capacity building, skills building as well as investment and facilities for us. it's a combination of some manufacturing assembly facilities that we will see in algeria, nigeria, angola, south , a customer innovation center in south africa, some skills building and localization work in mozambique. ethiopia will be doing some local assembly. then continued growth in ghana, côte d'ivoire, francophone africa, so it will be a pretty broad-based investment.

>> you are basically taking across the map and almost hit every region. you have a good sense, then, of just africa-wide growth. i know it's hard to talk about sub-saharan africa as a single unit, but are we talking about 4% growth, 5%? >> it's probably up more towards 6%. total,% to 5.5 percent and the growth is tremendous. it is everywhere, and it is a combination of obviously everybody talks about resources, but it is a broadening of economies as well. we are seeing more manufacturing, more added value manufacturing being done. >> what types of products are being done? seeing locomotives in south africa. we see jobs here in the u.s. that make engines. we shift into south africa, so it's about a 50/50 split on

content. in nigeria, we'll be doing subsea oil and gas equipment as well as some power generation packaging. in angola, it's going to be distributed energy. in algeria, which is northern africa, it's going to be gas turbine manufacturing. in ethiopia, it will be health care. some ultrasounds as well. again, we will do final assembly in country, so it is a pretty broad range of products and countries. >>, and he employed do you have -- how many employees do you have now? >> we have doubled in the past few years, so hopefully double it within the next three years. >> so 4000 by 2019? >> hopefully sooner. >> art is mostly gas-fired, coal-fired, some hydro? without power and electricity, africa is not going to continue to grow. there needs to be a portfolio of fuels that drive the power,

whether it is hydro, wind, geothermal, gas, coal, even, as potential, the other so from our perspective, we are but wegas and steam, need to get the fuel to where the power is needed. we are putting a couple of , when in westher africa, one in east africa, to try to do a holistic approach to power generation from fuel to the utility. it is just not typical of what we do. >> give me that project. >> it's called ghana 1000, working under the power africa u.s. government. will be signing a grand later million.about $400 we are putting in development capital along with some u.s. partners, and we are going to continue to grow that and do the whole holistic view of it.

>> ghana next article before -- in next door to côte d'ivoire. have you issued in the advisories to your employees? >> we do not have any employees in those three countries right now. but we have put out our own medical advisory about the virus, etc. from our perspective, we are obviously very concerned, and we take the health of our employees very seriously. many countries, not all of them paragons of stability or good governance. what more does africa need to do in individual countries to convince investors that they can make a long-term investment? >> you are hitting on one of the biggest things, which is the perception of risk versus the reality. a lot of it is around political. the aspect of having your contracts, projects continue across multiple administrations is absolutely key. we are seeing that in many of

the countries. the stability on the political system -- you know, they are still relatively young democracies. when you think about us in the first 59, 60 years, so there's a lot of growth, but then you have seen tremendous improvement. governance, transparency, rule of law -- all of that has been proven pretty well. >> but stemming in kenya, where you are based, there are some challenges. >> yes, there is the security aspect right now with some of the terrorism things, but we understand that we are in 160 countries around the world, so we know how to do that. we understand the best thing for all of that is to grow the economy, get people employed, continue to see the growth, then people are happy and they want to continue to be part of the solution. part ofs like you are the solution. you are certainly part of the

growth. thank you for joining us. with that, we send it back to you in san francisco. >> thanks so much. enough foodthere's for everyone is one of the world's major challenges. next, we are joined by the founder of a startup that has found a new way to make eggs. ♪

>> i'm emily chang, and this is "bloomberg west." how about eating scrambled eggs or an omelette minus one ingredient -- eggs? wait, what? a san francisco-based startup is creating plan happen -- plant-based and alternatives.

they have won the support of bill gates. what is the technology behind the company? joining me in the studio is hampton creek founder. i just try the mayonnaise for the first time today in preparation for your arrival, and it's really good. >> and you try the chipotle or ? gular >> i tried the chipotle. this is the most incorrect -- politically incorrect thing to say, and i'm all about estimates, none of this low-fat stuff. it's really good. >> you think like most people live. it's part of why we started off with mayo. our big idea is that food just needs to get better. food needs to be healthier and more affordable, and we are starting out by saying there are 400,000 light species around the world, and we can use them to make everyday food a little bit better. we don't have to talk about all this helpful stuff and

sustainability stuff, although we deeply believe in it. but the trick is figuring out a way to make a good thing actually work for you. >> isn't mayonnaise made out of, like, all eggs? what is in their? >> eggs are part of the food system and most of them do not come from the best place. they come from places that are not the safest. some environmental issues. we identified one piece of this food system to make better with plans. giving youan egg that nice texture you want to be able to make a good potato the product from canada. we work with farmers in over 41 countries around the world and identify these plants using all the school data science and biochemistry, and we use them to make them better starting but not ending with the conventional egg. >> is it healthier?

>> it does not have any cholesterol. you have a hamburger that suddenly has 18% less cholesterol because you are using this instead of the other one. 30 one million americans have egg allergies or sensitivities, .o good for those mothers no antibiotics associated with it whatsoever and a little bit less saturated that. .> you also make cookie dough this has no egg in it. you are selling the stuff now. you've got a new retailer. >> we do. we been really fortunate to combine this a loss if he is making food better for everyone with the technology that takes -- that makes awesome products. -- be going to beginning beginning this movement with target on august 24. one of the best retailers in the world that really a line with why we're doing this in the first place.

>> other grocery chains on board -- safeway, whole foods. >> the top two grocery stores in america. we got kroger. we are the top-selling mayo today and whole foods. we are launching with walmart. an incredible amount of traction. >> what else can you make without eggs? are we going to be eating steak chicken? -- fake chicken? >> we have all these issues in our food system. of diabetes. we have foods that could just be more sustainable across the board and use less water. we are identifying plants that are better than sugar, plants that could be a hyper source of protein for people in the developing world, and the more we look tom of the more we find things that just make things better. >> i think i may have to throw out the fast food that i have stored up at home. you guyseep our eye on

and watch what is coming next. it is time now for the "bwest byte," one number that tells a whole lot. with us as well. >> what you tell us for a change. give me a byte. very benevolently allowed me to provide the byte today. the amount i chose was 100 million dollars, the amount that beyoncé and jay-z's tourists inspected to bring in -- tour is expected to bring in. theve to give my props to cameramen. i was on air win these tickets went on sale, and they bought some extras for all of us. there's been a lot of speculation about whether they are going to remain married, but i don't care. i just want to see them perform. >> you will see them. jon? >> so excited. tell us what is going on with

their marriage. >> marriage aside and following on your mayonnaise segment, they are still the real deal. you are still going to see them regardless. i think they put on a big show here, but i have no scoop for you tonight. >> i'm not sure cory quite understands our love for be and jay -- bey and jay. >> i know you have a theory that they stayed together as a couple until the end of the torah. >> this is the second to last day of the tour in the united states, and then they are going to paris in september. if they are going to keep up the façade, they have to do it for a few more weeks. >> i think we should send you to paris to see those shows as well. >> i will go to paris, and you can change all the lightbulbs bulbs in my house. how about that? my mayo with me.

thank you all for watching this edition of the show. we will see you later. ♪

>> welcome to "money clip." we'll full coverage of the africa leaders summit in washington dc. companies are pumping $14 billion into africa and we will hear the numbers from the summit. israel pulling out troops from gaza as a three-day truce takes effect. so far it is holding. reverend jesse jackson gives his report from silicova