>> live from pier three in san francisco, welcome to "bloomberg west" where we cover innovation, technology, and the future of business. the senate will vote as soon as tuesday on a bill to approve the keystone xl pipeline and bypass the opposition i president obama. here is wisconsin republican ron johnson. >> i'm a blue to easily pass it in the senate will stop whether president obama signs of rot, the onus will be on him and then the people will see the republicans are not the party of

no. it's pretty much the president and harry reid being the one-man party of no. >> mary landrieu push for keystone ahead of her election runoff next month. berkshirefett's hathaway is buying duracell from procter & gamble. the deal allows buffet to wind down his position in procter & gamble which he has been cutting for years. the transaction also fits with the strategy of narrowing focus for procter & gamble. steve ballmer has just made a significant gift to harvard university, his alma mater. the size was not disclosed, but it will allow harvard to hire 12 new professors in computer science. it is the school's fastest-growing major. he also got a new -- a tour of the new facilities harvard is building. taylor swift's management team is taking issue with spotify's comments that she would have

made $6 million this year. he said the label received less than $500,000 in the last year from spotify. he said swift made more from streaming site vemo then spotify. the amazon web services conference is going on in las vegas right now, but there is even bigger news today. hette have ended their standoff. exact terms were not disclosed, but they said it will allow the publisher to set prices with financial incentives for the french publisher to keep them low. amazon also promised to restore titles that they had the delay -- that they had been delaying. 's book is still temporarily out of stock. --ning us from amazon web amazon web services conference

in las vegas is cory johnson and by skype, the founder of the ideological company that has been involved with publishing were nearly 50 years. we don't know the details of the deal how but both sides say they are pleased. what is your take? i think everybody is glad it is over and i think the other side of relief is from simon & schuster who did the deal with amazon in the last few weeks. simon & schuster made a deal where they can pull the prices and the nightmare for them would have then nobody else did and amazon would be cutting everyone else's prices and there's would remain high. i think simon & schuster is beased that amazon seems to moving toward similar deals with all the publishers were publishers will be setting prices. theori, you are at conference right now. any indication why the breakthrough?

>> the amazon web services business really stands separate from the book publishing business. but the publishing business runs on the very same server. this conference is focused on the technologies that make the internet in all technology work. as it relates to this settlement, both of these companies badly need each other. there was a suggestion that amazon sales were hurt i this deal. the books are still important to needs the largest book retailer in the world if they are going to sell books. they both needed a deal to work, but they needed it on terms that would benefit them in the long-term, not just this quarter or this year. >> some say they lost 90% of their earnings. i spoke with malcolm gladwell before this deal was done and all five of his books sold on amazon -- take a listen to what

he had to say about how much he had lost. >> it has cost me a lot of money, that's for sure. .t breaks my heart a little i had thought of amazon as in partnership with writers and for a company to try to make a business point by turning its i have sold through amazon millions of books. i have contributed mightily to ieir bottom line will stop would have thought they would have seen me as an asset will stop me and other writers have wrought people to their site in droves. and now they have turned on us. is to say the least a puzzling strategy for a business to turn on its assets. i would love to have a conversation with jeff raises the self-destructive

nature of this particular strategy. >> we did reach out to gladwell for comment. it's unclear how much he thinks this is a win. overnight, the price of his latest book trop about seven dollars, so it is temporarily out of dock. other titles from gladwell, saying they will take one to three weeks. so muchauthors who lost money along the way, how much of a win is this? >> from the sound of it, it is a when. the authors from major houses. win forit's a independent authors to because the major house looks will be priced with a real differential between them and the indie books. i guess everybody wins, assuming the deal is as we understand it where the big

publishers are going to be able to maintain the price differential that they have been trying to maintain, which was the source of the argument in the first place. x sales have been locked in the course of this dispute which has been going on for months. those sales are not going to be made up. last six ort in eight months is unfortunately lost all stop >> what is your take on how this plays out going forward? they just did deal with simon & schuster. is the question over how oaks should be priced, how flexible books should be when it comes to models, is that debate over? think it is about control and one wonders what it means for procter & gamble and their ability to sell products on or others who sell

goods on amazon in their ability to control prices. it's a fundamental change for amazon where they have been about cutting and lowering prices for their customers, suppliers be dammed. it's a big change and might suggest other changes in the future of the things that are sold on amazon. cory johnson at the amazon conference in las vegas. ideologicale ceo of company for weighing in on the deal today. you can catch more of my interview with malcolm gladwell. don't miss the full edition of studio 1.0 tonight only on bloomberg television. up next, the pilot who survived the virgin galactic crash telling his amazing story. find out how he lived after the spacecraft broke up in midair. ♪

>> welcome back to "bloomberg west." i'm emily chang. the sole survivor of the virgin galactic crash is sharing his remarkable story of survival. he said his parachute opened by it tells after he was thrown into the air nine miles above earth will stop joining me now from washington is bloomberg news reporter alan levin. how did he survive when his spacecraft is integrated midair? >> it is a really amazing and remarkable story. still only have sketchy details but his story is starting to emerge will stop he says the spacecraft disintegrated around him. he was not wearing a pressure suit which astronauts and fighter pilots normally wear at at about 50,000 feet or there about.

essentially no oxygen, not enough to sustain life, so he is thrust into this environment and your body remains conscious for perhaps nine to 12 seconds after being thrust into that thin air. somehow, he managed to unbuckle his seatbelt. was critical because the parachute doesn't work unless you are free of your seat. the parachute deployed automatically. >> it is absolutely incredible, especially when you think about the fact that this spacecraft had no escape hatch, right? but it wasxit doors, to keep the atmosphere constant. with carbon fiber,

so it's a resilient structure, but it did not survive the early deployment of its raking system and it did break apart. in termsre we learning of his conversations with ntsb investigators? what else are we learning about the cause of the crash and why did it happen? in all of these investigations, it is still early, but we know this aircraft has a very unique system for reentry, that causes it to behave almost like a feather. it just sort of floats into the atmosphere and it does so by moving a giant room at the rear of the spacecraft into an upward position. up as they were rocketing into space when it's not supposed to be deployed. that broke the ship apart. there's an awful lot to be

determined before they look at the underlying causes will stop >> when is the next launch? had particular engine, they a lot of hope for. do they plan to stick to the plan and just change a few things? far, they are building another -- another spacecraft to replace the one that broke apart. hard dates for testing, but they have said they plan to continue the program. i a lot will depend on what the investigation finds. tofor example they need redesign, that could slow things. there's a lot we don't know at this point. >> thank you so much for sharing that amazing story with us today. tech giants from apple to google have reported this up pointing

diversity numbers about their workforces. but how do the numbers of women and minorities affect the lives of the tech workers themselves? that's next. ♪

>> welcome back. companies from apple to microsoft are trying to be more transparent about their struggle to get women and minorities into their workforces.

the biggest names in tech all reported diversity numbers this year reviewing that men make up about 70% of the workforce that apple, google, facebook and twitter. when you look at the technical workforces for these companies, blacks and hispanics make up a combined x percent in the united states. how do the numbers shape a tech workers experience in silicon valley? first of all, you heard positive stories and you have heard horror stories all stop what stood out to you? >> i think the thing that stood out the most is that it's not about a big instances of racism or sexism. nobody's going to come up and say i'm not going to hire you because you are a woman, it is the little everyday things that happen like being mistaken for someone's earl friend at an being excludedor

from a conversation the guys are having during their fantasy football discussions when you are just not included in that will stop it's more the unconscious bias that causes grating over time and causes people to feel uncomfortable. >> we also have with us and airbnb engineering manager.

not speak about diversity. if you talk about it, it's not -- it is going to ruin your career. you don't want to become an activist. >> as you have gotten to this place, hasn't always been so positive? has it been challenging? had toerent women have front experiences. to didmportant for women together and talk about their experiences and how they have been successful. had to front experiences. i have been trying to make it so that things are even better for and have been feeling this

way. >> you see companies like facebook improving their policies for women on maternity leave and allowing women to freeze their eggs which is quite controversial. some say that's actually a step in the wrong direction. what is your assessment of how well the companies themselves are handling this problem? >> i think every silicon valley executive will tell you this is a priority. the question is what it feels like on the ground for individuals healing with other individuals on a day-to-day basis. who makes the sly comments or the joe that rubs them the wrong way and adds to their experience. is more thanissue just an issue of releasing the numbers and saying you're going about tainting's

the organization which is going to take some time. >> how do you feel about airbnb's approach to diversity? >> i think we are trying to do our best. women in the organization, trying to meet up for lunch and making sure if they have concerns that they are heard. we are also partnering with a number of different organizations. i had the pleasure of attending this rogue ramp run by the state department where these women from the middle east and africa came and visited and i felt there was so much her us to learn from them. two things that stood out -- one of them was in rwanda, the parliament is 63% women. the women from the middle east said they don't have a problem with verse of the come in that is actually 50-50 there. have really enjoyed these

collaborations. >> how much do you think is a pipeline problem -- that there just aren't enough women engineers available and how much of it is a problem farther down the line? >> i think we need to affect each stage of the pipeline. it's important to get little girls excited about it at a very young age, through middle school, taking computer science classes, and in college, making sure people are added equal footing when they start. theyve done studies where have created an introduction to computer science last and that helps to increase their numbers will stop it's important to tackle each stage. industry, wein the want to make sure women stay in tact and don't leave. it's apipeline problem, retention problem, and i don't think we can deal -- we can single out a single one. >> thank you for sharing your

first-person views. it's not the easiest thing to do. a great piece from sarah frier today. sony just announced a new web based tv service for the playstation console. we will talk about that in an exclusive interview with the president of sony and attainment america when we return. >> time now for bloomberg television on the markets. we want to get you caught up on where stocks ended for the day. as little bit of a ho-hum trade as far as the s&p is concerned. points and the30 nasdaq up .1%. ♪

>> you are watching "bloomberg west was quote where we focus on innovation, technology, and the future of business. today, sony announced playstation view homages days before the anniversary of the launch of waystation for. joining me to talk about the new tv service and that aid us on everything playstation is the ceo of sony computer entertainment america. west." how"bloomberg does this work? >> it was a surprise

announcement. etaill be going into a service later this year in key markets like new york, chicago and l.a.. it is bringing all the tv you want to watch across your internet service, into your playstation into your home. andhat channels can i watch who are you partnering with? >> we have content provider deals with a lot of the majors -- nbc, fox, cbs. about 70 channels will be available in those key markets at the end of the year. looking to bring every channel you would expect. ask how difficult is it to strike those kinds of deals? becausekes a long time you are doing something completely new. innovation occurs all the time but innovation in television has not occurred for a law law -- for a wild. >> how much is it going to cost me? >> we are going to find a way to

bring that to you with as much transparency in price as possible. inre are no contracts come will just be a monthly subscription. >> no price yet? you are also launching exclusive content. >> we have an exciting series based on the graphic novel we hopepowers will stop to come to market in the early part of 2015. >> and you shared with us some onlusive behind-the-scenes one of the shows. >> we have the company that makes "the walking dead." we were able to go with them association with sony pictures. this is our first foray in and

we think it is the heart of the playstation users. >> netflix was there, amazon is there, and it is expensive. >> it cost some money by bringing together our huge base of waystation users, we like to think people play games 24/seven. but they don't. ceo of this been division for less than a year, you have been at sony for a long time. now that you are in this position, how are you putting your stamp on the company? been with playstation since the clinton administration. but working through the network division that we established here in san francisco and allowing me to take that experience into playstation come a, i think i have long road to the place i need to be. >> you say you sold more than 13.5 playstation 4 consoles

worldwide. what is it going to be by the end of the calendar year? >> by the end of the calendar year, it will be a larger number. >> how are sales going? >> we have been the top next gen console for the time. we have some key titles coming out and a huge amount of activity rolling into black friday and christmas. we are the top-selling next generation consoles worldwide and we plan to maintain that. >> microsoft says the xbox one has sold 10 million units. how do you intend to keep the lead? think the pricing is spot on for a product. i think the content is what sells it. people want game consoles because they want the content. >> what are you expecting over the holidays? >> we are expecting everyone who has not made the jump on the previous generation to come

across. "little bigike planet, which is one of the few next gen family early games where -- special holiday titles? >> the big thing will be family friendly games. >> what is your assessment of the health of the console business overall and how concerned are you about the rise gaming?e and social >> anything that brings people into the concept of gaming is a huge advantage. playstation itself will be celebrating its 20th anniversary, 20 years of playstation across the world. means just about anyone 15 or above has had a console in their life. is becoming mainstream and it's only going to grow faster.

>> how do you want to put your own stamp on the playstation business? >> i want to really open up that tenant will stop we have captured the vast majority of connoisseurs and the hard-core market. how do we brought in that market? something like playstation view is the way we broaden the market and bring everybody into the playstation experience. >> this is a market that seems ripe for disruption. how do you see this business evolving? trying toave apple get into this business, but so far, nothing announced and not successful. >> it is a tough place to break into. when we started this adventure we had expected a faster route to market. but you had to strike these partnerships in the year

question mark >> more than that. did it take? >> it has been a long time. it's time to bring something to market that has not done to market before and to bring stakeholders in and teach them this is the new way to get to new customers. a lot to talk about in nine months on the job will stop >> there is a lot going on. >> forget robots that can take your job, how about robots that can wear your clothes? we will introduce you to the latest innovation in soft robotics, next. ♪

>> i'm emily chang and this is attorney 14est." winding down, sam grobart tremolo -- traveled all over the world to look at the exclusive

technologies that are disrupting innovation. today, we met rebecca kramer who is creating soft robots that can integrate directly into your clothing. this is the year ahead. >> when you hear the word robot, a typical image comes to mind -- robot today all share something, they are rigid, often made of metal or plastic which makes it difficult to perform delicate tasks. but that may be changing thanks to a fairly new field called soft robotics. >> a soft robot would be exactly what sounds like -- robot made of soft materials and in many applications, that makes perfect is rebeccaop >> this

kramer. she runs the fabrication lab that purdue university where she and a small team are looking to create a different kind of robot -- one you can wear. ask our bodies are really soft and we want to wear robots or technologies. it makes sense to integrate the technology into what we already where, which is our clothing and the wearabletop >> robot is not a new concept. workingers have been with exoskeletons for some time, but they are typically made of clunky, hard frames and battery packs. rebecca and imagines wearing a robot you wouldn't even know was there. >> if we think about what might exist in the far future, i think of completely integrated skeletons that will exist with our motion and do so seamlessly so we don't even know we are wearing the technology. but in the simplest definition, a robot consists of two parts --

sensors that can monitor things like motion summit temperature and light on and the motor or muscle that creates movement. case, our sensors are further along than our actuators. turns out making mechanical muscles out of soft parts is incredibly difficult and solving the problem comes down to one thing -- materials. materials cannot be ignored. it's a central component to how the robot functions. depending on the material, the robot will behave differently and stretch differently. >> a number of options are being explored that may help create movement. orngs like pressurized gases chemical compounds called hydrogels. one of the more successful demonstrations is made from a metal that can be programmed to remember it shape. we're looking at robotic

fabrics right now because you can get them as liars will stop you literally use a sewing machine to incorporate these into fabric. but what you see here is the shape memory alloy sewn into a cloth will stop when you apply a current to the wires, it causes them to curl up and pull the foam block with it. robotic fabric is getting some big attention. the research has received funding from nasa for its potential and space exploration. future applications may include smart athletic wear like yoga pants that could correct your form or rehabilitation clothing that can help patients regain mobility after injury. can take away small percentage of the energy that goes into every step, over long distances, you could really enhance endurance. is exciting to think we might be able to change someone's life

one day. >> it's not just about ringing a new product to market, it's about what is possible. it has the potential to completely change the way we interact with machines on a daily basis. if what they are doing is successful, it may not be long before even the word robot has a very different meaning. >> that was sam grobart there. beat sure to turn into the year ahead special where we will look at 10 innovations that will change everything you know about tech, food and medicine. mark crumpton joins us now with a preview of what is coming up at the top of the hour. >> the battle against islamic militants in iraq was the topic on capitol hill today. the joint chiefs chairman, martin dempsey, raise the possibility more american troops could join the fight will stop what are the ramifications and

will congress and the american people go along? bill cohen will join me. looks pretty ominous behind you. what's going on? >> our indian summer is over. foggy and rainy here. but he will see you soon. still ahead, the newest tools for biologists -- a robotic rover dressed up as a baby penguin. we will show you what it's used for, next. ♪

>> welcome back. i'm emily chang. does -- scientists who study wild animals want to get as close as possible without stressing them out or disrupting their natural behaviors will stop one possible solution is

remote-controlled rovers. scientists said they remote-controlled rover disguised as a baby penguin into a colony of notoriously shy emperor penguins will stop joining us now is the head of that study from the university of strasbourg. with us via skype, straight from france. i did not realize penguins were so shy. are about the challenge you facing and why penguins are so afraid of humans. emperor penguins are shy because they huddled together to huddled together to save they needthe cold, not to have a territorial defense. because they don't have a territorial defense, they are very shy. >> how did you build this robot and get these penguins to not

sniff it out as being a fake? companyrked with the which was making a movie from the bbc and we had a common they wereill stop interested in using a a animal to get the image and we had a similar idea to get the information. we built aether, which was -- fake camouflaging a rover. ask what kind of data were you able to collect that you would not have gotten otherwise is to mark >> i must confess that the first one we build did not work. seemse you have seen, it

the one that has so much interest all over the world was very attractive. they even tried vocalization to communicate with it. revolutionary could this kind of robot the in other situations and other animal observations? >> it is very important. ist we found with penguins this threat due to human presence does not exist with the rover. they only react when those penguins which are territorial when thehey only react thing when is approaching. i think we are paving the way

for a new approach and of course it will have to be adapted to each animal species. that's how do you plan to adapt this robot that you have built even further? iswhat we want to do now understand the functioning of the colony. they are huddling together. we don't know how and it is. approaching penguins to read their electronic tag will enable us to answer those questions. study andting incredible video there. thank you for joining us. bwesttime now for the byte, where we focus on one number that tells a whole lot will stop cory johnson is back

with us from the amazon web services conference in las vegas. what have you got? >> are you playing craps? at thein las vegas amazon conference here in las vegas. people, would you pipe down? >> oh my goodness. >> ticky percent is the bite. the business is going fantastically. 10,000re over programmers here in las vegas thening about amazon and scope has been impossible to fathom. it's really changing the face of i.t. and this megalomania where amazon is coming to dominate what the internet is.

one of the reasons it is hard to track is because they keep cutting prices. they've cut prices 42 times since 1998. whatre's the question -- does amazon have to do with a gondola? >> not much. but i figure when in rome or >> that means you are off to the craps tables after this will stop i knew it. >> i've got to pay for this amount. >> could you do some shopping for me? >> you can take care of the shopping. >> cory johnson, having fun and las vegas, as we would expect him to. the full episode of "studio 1.0 was quote with malcolm gladwell tonight.

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