>> live from pier three in san francisco. welcome to "bloomberg west." i am cory johnson. violence in ukraine is pro-russian rebels ignore a cease-fire. the rebels shelled ukrainian divisions. too much and 50 miles north exploded during a pro-ukrainian rally. at least he does people were killed in a ukrainian attack. the us government says it arrested -- ukraine government

says it arrested four people. the obama administration has officially told a texas judge it will appeal his ruling temporarily brought -- blocking the president's immigration action. the decision block the administration's plans to process applications that led us many as 5 million immigration's stay in the u.s. also taking aim at brokers. the administration is pushing a proposal to require advisers to abide by a standard and will make it harder for brokers to push extensive -- expensive products like higher neutral bonds. >> it is really unfortunate the white house would engage in this type of political discussion when in fact, they're really taking the side of the 58 million households and the registered representatives all

across the united states to get the education that they need to save for retirement. >> the white house says the goal is to and backdoor payments to help rocher's. the pharmaceutical industry guide is buying pharmaceuticals for $10.1 billion, the biggest acquisition yet. taking a chance here. one of the big drugs is up for fda review. here is the ceo on that drug. >> we feel quite comfortable this is the case and will be approved. terms of timing, we are hopeful for the spring. >> still focused on small and medium-sized acquisitions going forward. the tito's republican commissioners of the fcc want to delay this week's scheduled vote on net neutrality. demanding the chairman tom

wheeler release the three engine two page proposal to the public. they want to table the vote until -- until the public has seen it. chairman wheeler says it will keep the internet fair and open. to the lead, it is a critical time for the pay-tv industry. subscribers are leaving satellite-tv s company like dish network are scrambling to find ways to make up for lost revenue. founder charlie is returning as the ceo of dish, replacing a 65-year-old who just announced his retirement. and raising the states arguably more than any country in the history of technology, $50 billion on special without really saying what it will do with it. joining us from new york is alex sherman, but first, let's go to the s&p i q senior analyst. i know you are just on the call for dish.

there are a lot of questions out there about what they will do with all of this. anything cleared up? >> i suspect that was the dominant theme throughout the call. we left the call not closer to any potential clarity on the strategy here. a number of offers on the table potential partnerships monetizing through potential sales of the spectrum, we still believe building out the network is the least possible path here. the result of the last auction it kind of reshuffled the deck and we think dish is much more attractive as a potential partner to maybe t-mobile and sprint. i still believe there are a number of options here that have opened up as a result of the latest acquisition.

>> alex chairman, who covers deals as well as anyone, i wonder, does this make them a likely acquirer, partner? what is your take today? >> i think dish has always been a likely partner. that is part of the strategy and partially why he renamed himself ceo today. charlie has been sort of behind the scenes in the past few years, orchestrating the strategy of dish and working on buys and now the auctions most recently. now the the added a accumulated storage, it is time for stage two, to have the reveal. of course it did not going anywhere in 2013, but the time has come in 2013, but the time has come again where they will likely make their next wireless

move and i think charlie will probably try to either partner or acquire an existing wireless carrier, t-mobile, brought up on a call a few minutes ago. again, he denied he was interested in acquiring t-mobile. i'm action that is probably option number one for him as we go to the next few months of the year. >> also during the call he said something about the existing spectrum they have will give him's -- him coverage of 70% of the united states. to do what with? do they just want to be a mobile carrier? >> the plan is to use their new tv product, video over the internet, and bundle it in with the wired this -- the wireless network. charlie on the call reiterated, the whole plan for dish is to have some sort of mobile video product. that is what he thinks the next iteration of dish network is. he wants to get away from simple pay-tv satellite dish and get rid of the acquisition cost

every month for every person that they sign up, because you have to install the satellite and pay for the satellite, move it online, push it to mobile video, where he sees the future of the business going, and that if he cannot do any of that and no one will play ball he will have to think about selling the spectrum or selling the company. >> during the call i wonder, as it relates to what the project is, is that enough for a $50 billion cost of special acquisition? >> the simple answer is no. it is still very early in that world. it over the top video pier no one is really sure of how the economics of that will evolve long-term. what is clear is that it kind of gives them kind of a plan b to kind of defend themselves in a potential kind of attrition in the pay-tv universe which is an

industrywide phenomenon. what you are seeing now is kind of trying to hedge their bets and trying to keep their auction -- options open and make themselves a little more indispensable, especially since some of the content providers themselves are taking the content online. when you talk about wireless question came up whether the wireless strategy and online video strategy are independent and i think in some ways, the spectrum dish is acquiring can become even more vulnerable in the over the top video universe world where the industry is now gravitating to >> and remember, that $50 billion valuation, which came from bloomberg reporting, that is not what charlie spent on the spectrum. that is just what we are value -- evaluating it hat. the idea here is that he would buy it for cheaper and then theoretically sell it or use it and he would have a higher valuation at the fact. >> let's talk about one of the

methods he acquired that. dish partnered with tiny and barely existed businesses to qualify for a small business exemption in the auction. was that discussed? there was a question going into the call, that is a fairly amazing thing they were able to get away with. >> i think it was not expressly access in the discount you are expressing. i do not think what they did is any different than the traditional way they approached the auction. if you look at rules, i think there is flexibility in that regard. i think the bigger question is you know, what does this massive spectrum do, and they are now looking at kind of a spectrum play, as opposed to a core pay-tv business, which we saw is a very mature industry. you think about the next year or

so, how this will all play out in terms of what views they put will determine whether it is justified or not which is kind of why we are neutral on the shares at this level. >> right. thank you very much, as well as alex schirmer, we appreciate it. we will be right back.

>> i am cory johnson and this is "bloomberg west." here are tops -- top stories. an annualized rate of 4.8 million. rising prices, putting more first-time homebuyers on the sideline. port workers up and down the west coast are getting back to work today, finally, trying to

clear a backlog of ships piling up all over the place. union and port owners restate deal last week in a contract cutting the labor movement in half. it will take at least six to eight weeks to clear the backlog. the oscar for best documentary has got to citizenfour, the film it tells the story of edward snowden and follows him as he leaked details which had a big impact on world technology. his girlfriend appeared on the stage and snowden himself released a statement saying he hopes the oscar will show people that ordinary citizens working together can change the world. we will have more on the oscars coming up, including a look at the adding -- the editing technology. a former venture capitalist and current read it interim ceo is suing a former employer in her lawsuit and says she was pressure to have sex with a coworker and spent -- who spent

five years retaliating against her after they broke off their affair. the firm says the affair was consensual and the conduct was never complained about until much later. what is the case say about the coulter of silicon valley and the place of women in silicon valley? joining me now is law professor kevin williams and bill from can. -- and bill. what do you make of this particular case? >> in some ways, this is quite different than what we have been hearing about from silicon valley. on the one hand, i just completed a survey of women in stem and one third reported sexual harassment. most of what we heard of with women in silicon valley is much more subtle stuff than what went on here. women being called aggressive as opposed to assertive. women having to prove themselves over and over again. we have situations where we will

see in trial what comes out, but that there were literally quite different business rules applied to men and two women so that is this rules directly relevant to, -- womento comp, not being invited to corporate only business dinners. this is different than what has come out before and it was the kind of thing going on in law and medicine 20 or 30 years ago. >> till, is this case really an outlier from what we know as subtle and pervasive things affecting women in silicon valley? >> not necessarily in my view. the bottom line is the courts look at each situation case-by-case to read it is hard to look at trends as would a law professor p when you're in the trenches, you look at exactly what happens here. direct evidence that statements were made to her and that she was denied compensation, that she was sent to siberia, that

men were promoted over. it is somewhat typical i think of most sexual harassment cases, and particular silicon valley or no silicon valley, women faces all the time and it will be a situation of what the jury feels has really occurred and how they want to dole out the damages, if they think this was a problem. >> i do not want to take the devil's's argument here, if the case proves -- she certainly alleges she was sexually discriminated against, and indeed she was a crummy employee. is the -- if the case does prove that is it still useful to look at the issue through the lens of this case or is it damaging to do so? i sit is important for a number of reasons. she did not even allege sexual harassment as one of the claims. what she alleged was retaliation it once she brothers to people's attention they say she did not

bring it to their attention, but what she said is once she brought this to many people's attention, the coo, the set of -- the head of the hr they basically were not responsive or they were inappropriate. for example, she alleges that one partner suggested a one-on-one lunch with the man who she alleged harassed her it is not a professional way to handle that kind of a complaint. really important messages for employers are that if you have an employee alleging either sexual harassment or gender discrimination of any kind it is very important to take it seriously and get on it immediately, to conduct a really thorough and responsible investigation, and act on it. quite i would say doc except -- >> d i would sayuh -- >> i would say duh.

is it not healthily to have this discussion even if it is the case someone is a comedy invest to gator -- investor? i've no idea. >> basically, every one of these cases, you have the same situation. the employees are saying they have been retaliated against. that things have happened. and the employer saying there is a legitimate business reason. that is a given. the investigations went on and what is really striking to me is the fact that the case is actually going to trial. there will be a lot of inquiry into the way the company does business p are no one likes it when people look into the way you make salami. on the other hand, a lot of personal issues will come out about her life and distress caused by other things including her relationship with her husband and her motivations. really, nobody wins. the cases is less about money and more about vindication and position in the industry and trying to not accept each

other's position. most of the time, these cases do not make it this far. there is definitely bad blood. >> quickly, one of the initial principles of the company stated they would return to their highest ethical standards here does that matter a lot? it was one of the first things that came out of the trial. classes good being in the child and when you are brought to task -- >> good being in the trial or when you are brought to task regardless of the company, it will take a hit. it is probably a good spin at this point. >> thank you so much. "bloombert west" will be right back. ♪

the business of business travel. partners with starbucks. starbucks is the most commonly expense restaurant for the 27 million restaurant that do their expenses concur. they now offer reward points. the chief product officer joins me right now via skype. i answered my own question, but why starbucks? >> you have heard howard schultz the ceo of starbucks, referred to starbucks as your third place. it is not your home, your office, but your third place. our data shows us that it's absolutely true. we do about 10,000 transactions at the moment in business meals and business meetings alone. the same not really a starbucks guy, but that is not really for me. i want to backtrack and little

bit and talk about what your main business is. some people might know the trip it is this common interesting one, but the expense is this is fascinating. >> absolutely. we are laser focused on the simple and perfect business trip. every day, we get up and think about the way auto works in terms of business travel. absolutely taking the effort out of expense reports. >> how business -- how big is the business ultimately? when you look at the core business, who buys it? wesley c customers from the individual, using some thing like trip it all the way to the largest companies in the world to hundreds of thousands of employees. it is effectively anyone looking to take the pain out of travel, or looking to get a handle on expenses just trying to take some of the pain out of the process, or companies trying to

manage that process and get more visibility, get it integrated into their payroll and erp systems, and really remove a lot of the paper and manual processing. >> we saw -- we talked about -- i was surprised with a hilarious comment, ripping your company and she said, concur is only a tiny module. s&p spent all their money on it. i went down to my car and thought, s&p bought concur and maybe tomorrow, they will buy very clean. explain. explain to me why concur is anything more than a module in software? what can get it to the point where it is a really big business? >> there is no disputing the fact that the travel industry itself is a multi-trillion dollar industry. the great thing about business travel is like you and your

viewership, the pain of taking business trips when things do not go well, when there are delays and connection issues -- >> i've got to cut it off there. thank you very much. we will be right back. ♪

he's out there. there's a guy out there whose making a name for himself in a sport where your name and maybe a number are what define you. somewhere in that pack is a driver that can intimidate the intimidator. a guy that can take the king 7 and make it 8. heck. maybe even 9. make no mistake about it. they're out there. i guarantee it. welcome to the nascar xfinity series.

>> the big winner at the oscars last night was "bird man." that and all of the best pitcher nominees were edited it edited using avid technologies. it is going through interesting business change. joining me now is the avid ceo. lewis, congratulations, although you are in a no lose position there. in spite of all of the advances of your competitors, you are holding onto market share with

the biggest movies out there. is there something about the technological change of your competitors where they are not getting something? >> avid started by digitizing the filmmaking process. now that the whole process is fully digitized avid has an advantage because we are anchored at the beginning. we tried to change with the times as the business model has changed, which is fairly significant. we stayed in the lead position as a result of staying along with it. >> talk about how those movies were made differently than movies we would have seen five or 10 years ago. >> the business model first of all has changed dramatically. not only how you create content today, but how you optimize and monetize it. it takes somebody like the grand budapest hotel, wonderful winners last night, west anderson had to shoot that all over the world, primarily in london germany, and here in l.a., using cloud-based

collaboration for editing and distribution and marketing the content, management, really incredible technical compliments. that is one example. bird man, i am here in mesko city the day after the oscars. they are so happy here. think about the complexity of that movie. hopefully you have seen it. it looks like one continuity's som but was shot over multiple tracts. they give it the illusion as though it was one story. that is the kind of thing happening with media technology today. classless talk about the cloud and how that process is very different. what is happening right now as it is being shot? we know what a movie set looks like and what the directors look like shooting a stuff and in the stuff comes out of the camera angles off that camera in a digital format and then what happens to the content then? >> that is the interesting thing and is probably the most important change is moviemaking.

what happens after, marking it tagging it, making it available to multiple distribution channels globally and evenly with multiple languages is how the business model has changed significantly. the digitization of the file record coming off a camera all the way to your consumption on ipad and iphone and internet skype, whatever you have the rights to the business model has changed and is causing media companies to change and rethink how they cut movies and how they produce them, and also who they hire in the technology they employ. it is an interesting time for media because of all the changes. >> is the pace of finishing a movie faster because of the cloud-based technology? >> absolutely. let's think about tom cross, who did that -- did "whiplash." they wanted to get that show out for sundance because it is an indie film. they finished production and one week later were able to

demonstrate that film at sundance. that simply was not possible before in the traditional model. it is fully digitized and you have software like ours to allow you to manipulate that sequence quickly it is really what moviemaking is all about today. it is really exciting. >> i wonder in terms of the map where people are who are working on phone that it changes how quickly you can work. you can work around the clock, but also this notion of what you pay people that you can maybe find cheaper people than you have to be stuck with an hollywood even though they are in new york. >> exactly. you can optimize your cost structure through labor, but it is also more the savings on travel. if you could attract the best anywhere in the world who happen to be in germany or mesko or wherever it might be, the fact that you can work

collaboratively still protect and secure the file and all the other components, that is really the key. yes there are also potential cost savings, but the cost savings, you do not have to fly anybody around anymore and do not have to do as much on location because of technology allowing you to add so much to the richness of the story. >> you look across the other countries and silicon valley are there particular things you are able to aro for your business? other software and technology companies? >> it is amazing. love your location there. i live right down the street there. cleanse and we have get -- got to get you in mesko? but please tell us come when you look at silicon valley, where do you see the innovation you're trying to steal those for our company. >> avid was born and raised in

media. we try to look for the latest cutting-edge technology. we have major offices in silicon valley. we are in 140 different countries around the world. we have to adopt those in media savvy ways. there is a lot of great security and technologies, but we have to adapt it to the needs of the media industry specifically to her what happened in sony, that is front and center on our client's strategies today. question did. thank you very much, from mesko city, from down the street. thank you. we will be right back. ♪

>> the future of fish food. half of the fish you eat probably comes from a fish farm, but the source of food for those fish farms is in danger. sam takes a look.

>> the oceans are magnificent and huge, but certainly not forever. especially the way we are fishing. we are running out of fish. the reason is simple. we have been taking them out of the water faster than nature can put them back. at this pace, the oceans could be out of fish by 2050. in recent decades, we stopped getting many of the fish we eat from the ocean and started raising them in fish farms. there is a problem. to feed our farm fish, we have been going back to the oceans to pull out huge quantities of smaller species. >> sardines and anchovies, they bring them in and grind them up take the oil out and becomes animal feed. but there is limited supply of fish in the world. >> many fish populations are already at dangerously low levels. without their food stores --

source, fish could be off the menu, permanently. classes in issue of common sense. there is a problem in an obvious solution. we are at the forefront of fine and if an way to raise fish in agriculture. >> bill and his colleagues are working on an idea they hope will help out the planet and ensure that fish farming has a future. >> this is where you store them. >> yes. >> what is it made out of? >> algae, pistachio. flax oil. >> they developed the first completely vegetarian fish feed to be used commercially in the u.s. >> we are trying to keep away from using the ocean as an unlimited resource for free fish

pier the cheapest possible way to put a pellet together has been to use the ocean. an unlimited amount of free fish. it is extremely limited and we are finding out just how limited now. >> before, it was to get rid of fish meal completely from the diet of our farm fish. how you do that is a little more difficult. a quick search on the internet came up with a few search papers. >> i always liked fish. i have got a trout farm at home and a 300 gallon green aquarium. i am kind of a fish freak. i call it a passion and some people call it upsets of. bill calls me and asked about fish meal free diets, plant diet spirit i said, yes, i have one. fish and attrition for the past 30 years has been looking for replacements for fish meal. we know we can eliminate fish meal from fish diets and still have healthy and fast-growing fish.

here are some of the containers that hold the ingredients we use in some of the diets. >> one of the first things i was told was that fish do not need ingredients. they need nutrition. an intelligent, balanced set of ingredients that formulate a perfect protein or the right amount of fat. >> we have evaluated frisch -- fish meal free feeds. most species are considered carnivorous, i do not think we are turning a carnivorous fish into a herbivore. what i think we are doing is taking soybeans and corn and algae and turning that into me. -- meat. we are not changing animal. we are just changing what they consume. >> you can see they hate it. >> yes. they're obviously not interested in it at all. >> you realize what a technique it is to make a pellet float board -- instead of sink. it is a fine art.

>> the guys are very happy with the way fish are been performing . the products are well accepted by the chefs in san francisco. >> the colors right. the texture is right. from a health standpoint, it is enriched in omega-3's. it tastes like what it should be. like a wild fish. i'm just a big fan. i think and foresee this as the future in sustainable fishery. >> there is a downside to all of this. a plant-based feed costs twice as much and that is an adoption of the diet at least for now. it will not be long before going vegetarian is the only option. >> we have been treating the ocean as a seemingly limitless

supply of free fish, as a given. if we do not have a backup solution, there will be a lot of hungry people. >> fish food. that is sam with a first episode of our new series "the spark." "bloomberg west" will be right back but first, some stories. security is tight in europe and the united states after al-shabaab issued threats. troops calling for attacks all over america. here is jay jones. >> if anyone is planning to go to the mall of america today they have got to be particularly careful. there will be enhanced security that will be apparent. >> federal security as well. request enhanced security there. quite such a bob taking response

buddy for the 2013 attack that killed 57 civilians. it is more expensive than ever to visit mickey mouse. disney is raising admission prices to its magic kingdom. tickets are now 100 five dollars. disney land prices also up 3% to $99 or not 100. just 99. rival theme parks including universal studios and seaworld where they also have fish. and volkswagen, the 450th and final. the finale it will be on display next week. the average selling price of the supercars, $2.6 million each. mark crumpton is up at the top of the hour to it what have you got? >> thank you. international bailout creditors are waiting to hear from greece as the country finalizes a list of reforms demanded in exchange for a four-month extension of

financial assistance. does the reality facing greece trump the rhetoric of government officials who took office less than a month ago riding a wave of anti-austerity sentiment? and did you stay up to watch the end of the oscars last night? it clocked in at three hours and 40 minutes. we will get an envelope as he grazed a telegraph -- telecast receiving mixed reviews. corey, did you stay up? >> i did and i should not have. it is ruined out here by social media because it is on a delay out here. so many hours later, you know everything that artie happened. you're just watching to see what people war, i don't know. request it was interesting, but it was long. classes like the other super bowl. alright we will check that all out. thank you for that. and now we will be right back. ♪

>> i am cory johnson and this is bloomberg west. from dinner to dry cleaning there is an app for that or something. coming up with all kinds of solutions to problems you did not know you had, including her laundry. -- your laundry. doing a want and faster than ever before. they promise pickups within an hour. they pick up your dirty laundry and bring it back clean and folded. they are doing this in los angeles and other cities. not new york city. the ceo joins the right now jordan, why not new york city, home of the chinese laundry? >> thing for having me. good morning. it first started in los angeles, where we are headquartered, and

we now offer services in six cities from u.s. to los angeles san francisco, washington ec chicago, boston, and oakland. we know this is one of the largest markets in the country if not the world. i think we will get there eventually but we have found massive opportunities all across the country. >> can you convince me this is a technology company? >> absolutely. it is an on-demand dry-cleaning and want tree service. you pick up your mobile phone or visit our website and place an order selecting a pickup and drop-off time and someone will pick up your laundry and return it back to your house 24 hours later. what really happens is a lot of magic on the background. you pick up your stuff and he goes to our dynamically routed drivers and brought back to one of our distribution centers where we image tag every single garment, and once we go through all of that, -- >> rett -- let me bring it back

there. you image tag every sock and every pair of underwear? really? >> on the try cleaning side yes. for quality control, we make sure the garments they give us we bring it back to you or it on the wondrous sight it is more difficult to tag the garments individually. we take larger photos to show overall what he have to make sure we give you back your stuff on time. >> how does that compare cost wise to it the corner laundromat is doing? >> from a price perspective, we pretty much in the median price range. you could easily compare us to your local neighborhood dry-cleaning or laundromat. we are looking to continue to lower prices and use the scale of our software and technology to do that. your first question was, are we really a technology company? the amount of technology that happens in real time, it is really immense. >> you have gotten interesting

investments. you have got competitors but investors like aston cooker -- ashton kutcher. tell me about that. >> yes. we have had amazing investors. we really have great investors. they really picked a winner and we continue to show that as we are certainly the leader in the market. with our success comes a lot of copycats. we have seen that in the san francisco market as well as new york and london. but we know this is difficult, a difficult industry to tackle it we focus a lot of time and energy on building technology that allows for a seamless experience. we felt strongly we would continue to leave the markets -- the marketplace in the industry to request i'm glad ashton kutcher finally has his laundry problem fixed. thank you very much. we appreciate it. the bwest byte is one number

which tells as a whole lot. the number is? >> 1.9 billion. it is a lot of something. how much apple has decided to spend on two data centers overseas. >> that is intriguing given the fact citizenfour one last night for best documentary care we found thanks to edward snowden that silicon valley businesses like apple were getting hacked by the nsa. >> because they are full of data. >> the data is kept here in the u.s.. it will not happen if they're building it in ireland. >> exactly. companies like apple said they wanted to build a more data centers overseas and more safely there, supposedly. but there is a lawsuit right now between microsoft and the department of justice where microsoft has decided to fight back against an order and that they have to give up data. in a center in europe to the

government. >> he even though the data is in new york, the nsa wants the rights. we have heard from other companies i talked to the ceo of semantic last week about 10 days ago and he said european customers were saying they wanted more assurances they would be kept out of the u.s. that it was making it harder to close a deal. >> they do want more insurance which is why cases will be watched all over the world. people really want to see how it turns out. the other reason is because they are making a point. they are saying the u.s. government will not let us repatriate the billions of dollars. they are up to 150 billion dollars. expanding and growing outside the u.s. >> thank you very much. we appreciate it. the latest headlines all the

time on your phone and tablet early we will be then we will see you tomorrow. ♪

>> i am mark crumpton. this is "bottom line, the intersection of as an economics with a mainstream perspective. to our viewers here in the united states and those of you joining us from around the world, welcome. we have full coverage of the stocks and tories making headlines on this monday. peter cook follows developments as time starts to run out for funding of the department of homeland security. more details on the so-called