cory: live from pier three in san francisco, welcome to "bloomberg west" where we cover technology, innovation, and the future of business. i'm cory johnson. here they check of your bloomberg top headlines. 150 people are presumed den -- presumed dead after a crash in the alps -- the flight was flying from barcelona to dusseldorf. the plane plunged 30,000 feet in six minutes. german wings is the low-cost carrier owned by lufthansa. >> the maintenance standards inside the live tons of group is very high.

as long as you have your maintenance schedule in place and follow all the procedures together with the manufacturer, there's no issue with the age of an airplane. cory: the white house says there is no indication of terrorism, but investigators are puzzled that the crash happened in broad daylight and in good weather. israel denied a report its bite on nuclear talks between the u.s. and iran. "the wall street journal" had the story. speaker boehner: i was surprised by the report that information was being passed on from the israelis to members of congress. i am not aware of that at all. cory: talks with iran are expected to resume on thursday with john kerry traveling back to switzerland to meet his iranian counterpart. russia policy foreign minister may join on friday. president obama has welcomed the

new afghanistan president. he wants to keep u.s. troops in afghanistan for longer but president obama wants to withdraw nearly all of them by the time he leaves office. sales of new homes hit a seven-year high in february. the commerce department says sales rose 7.8% to an annualized rate of 539,000. again was driven by a record 100 53% increase in the northeast and a 10% gain in the south will stop the data is running counter to other figures that showed the industry being heard by winter weather. standard general has run -- has won the bid for radioshack according to people familiar with the matter. standard general was radioshack's largest shareholder through a rescue loan to the doomed company late last year. radioshack filed for bankruptcy protection last month.

now to the lead -- google poaches one of wall street's most powerful women. the morgan stanley chief financial officer is ditching the big apple for silicon valley. she will become the new cfo at google and will replace a retirement -- retiring patrick fish at. she's a long time banker and grew up in the bay area and sits on the board at stanford university. she's the second high-profile banker tule for silicon valley. is leaving wall street for silicon valley and bigger balance sheets latest trend question mark joining me now is linkedin's vice president of talent. this is an interesting move. i don't know if it says more about wall street or more about google. >> it is an interesting move. the hot topics down here are deals and gender diversity is a

super hot topic, so google choosing a woman to be the cfo is very powerful. but it's an opportunity for any cfo to take on because they're so much going on a google right now. cory: i was maybe a little bit snarky, but i looked at the balance sheet of both companies and google has 40% more cash equivalents than morgan stanley. it's hard to imagine going to a bigger financial powerhouse, but she's done that. >> absolutely. and if you look at the diversity of opportunities she has in the different industries she can play and through google, it's got to be exciting for her, whether it's solar energy driverless cars, google has their fingers and lots of different things. it looks like google is saying we want someone who can drive some growth and new deals in new areas for that business because she brings a great portfolio to the team. cory: i think deals may be the

keyword. i know her as a banker and doing a lot of ipos during the.com bubble, but it seems to be as much of her background as a financial officer. >> it is interesting. i'm not sure google put a time of thought into this because they care about culture and the executive team chemistry. the outgoing cfo posted a blog recently talking about wanting to make sure he was sticking around for a transition, but the key chemistry you need as an executive group to whether what is in front of them is important and it will be interesting to see how that works. the team that is in place right now has been there for some time and this element will take time to take hold. in a community of developers, the biggest fear developers have is that the cfo will tighten the reign of new idea generation or budgets to try new things.

that's going to be one of the things the google staff is going to watch carefully -- how actively is she going to be putting controls in place are not? cory: tightening the reins and googles, those phrases don't go together. it's a place known for its beneficence to its employee. you were right down the block at linkedin. and you describe what it's like to be around the google campus and be around a company that spends so liberally on its employees in every way? >> i have to tell you when we were building linkedin in 2009 we were physically surrounded by the google complex and it almost got to the point where we had to have conferences about how to not get run over by the google buses which are shuttling hundreds of employees to and from san francisco. they are a fierce competitor for talent and not just talent -- world class talent.

it's incredibly hard and incredibly frustrating when you are in a new tech company trying to establish self and you don't have the google brand or the assets they have will stop at one point, google makes more in a day or hour that a lot of these companies make in a year, so it's hard to compete against that. this is where there is that hold cool factor they will be facing as they continue to grow. is it a cool leading-edge place i can go as a top-notch developer and make a difference and do something new that will be impactful or am i going to get lost in a sea of other engineers? that is one of the challenges google faces as they get bigger. cory: i'm slow to connect the dots and draw lessons from anthony noto leaving goldman to be the cfo of twitter, but i wonder what it means in a world

where the top graduates of the top is this programs, whether it's harvard wharton, nyu, leaving -- the great desire was once to go to wall street. the great engineers wanted to go work on the nuclear programs and now they all want to go work for google. >> it is still the wild west. this is one of those things i think you appreciate. i've been living out here for 20 plus years. there's still this sense of freshness and excitement and there are tons of new opportunities and the chance to make something different. i think what's different about moving from a reputable investment bank where i'm sure the compensation was great is to come out and put your hands in the garden and help old something really special that can fundamentally change the technology landscape. both of those companies -- twitter is proving they can do it and google has proven it again.

now we are going to see if there's more space for that and that's got to be attractive to be able to come out here and do that. cory: my experiences you put your hands in the garden and it comes out smelling like -- we will see. let's go to julie hyman with some breaking news. she's not there. there is some breaking news -- the plane crash in the french alps -- apparently the black box has been discovered in the plane crash. the plane went down in perfectly clear whether, without any turbulence and clear skies. the black box has been recovered. pictures of the debris field show it scattered over a very big area a couple of kilometers wide stop it is interesting that they have found the black boxes quickly. we will continue to monitor this breaking news from the swiss else and see what the very latest is.

"bloomberg west" will be right back. ♪

cory: this is "bloomberg west." i'm cory johnson. lawmakers fighting to protect kids digital rights and facebook hopes to break news faster than others. first, some top headlines. george soros calls the greek financial situation a long festering problem mishandled from the beginning by all parties. speaking to bloomberg tv in london, he said it's a critical time for greece and the euro. george: to push greece out of the euro would hurt itself. >> is it a 50-50 possibility? >> i would say so.

cory: he also spoke about the conflict in eastern ukraine and citizen was disconcerting issue on the world stage will stop he said ukraine will the terrier rate and the oligarchs will come back into power. hungary jumps back into monetary easing after consumer prices in the country plunged the most since the 1960's. the hungarian currency has gained more than 5% against the euro, one of the biggest gainers in eastern europe. and a weather pattern that has kept the east cold and the west warm this winter is keeping the u.s. relatively free of tornadoes will stop there have been just 20 tornadoes in the first few months of the year compared with an average of 130. this month, there have been none. urologists say march has not been this quiet since 1969.

the schools use technology and parents and educators of a new problem to worry about -- data collection on their kids will stop to congressmen are interested in putting limits on the way companies can use the data they can collect. one of the sponsors joins us now. thank you for joining us. this is interesting and like so many issues we talk about here on bloomberg it's a weird one. it's confronting a lot of parents and i don't think they realize what's happening when their kids log on to the school's website. >> we hear a lot from parents concerned about what is happening with their kids personal information. there are no federal laws against it being sold without permission and these are minors we are talking about, marketed to specifically with private information that was entered. we seek to empower parents as representatives of their children to be in a position to know what information exists, to be able to delete it if they want and we are working on a

draft federal law that will hopefully accomplish just that. >> i was shocked when my eight year old said to me a few weeks ago, daddy, i love to google. unbeknownst to me, she goes to my laptop and searches random things on google. knowing what i know about google's approach to gathering customer information and marketing to them, it's a disconcerting thing and i wonder how common that is. >> you are probably wondering why you are receiving all of those my little pony adds. cory: friendship's magic, i don't know if you are aware of that. >> on one hand, the educational technology is exciting. the appropriate use of information so that kids can be challenged, where are they in reading and what are the diagnostic products -- problems they have?

that is what parents want. where we get into trouble, and this is what we hear from parents and school districts in many cases have thrown out the baby with the bathwater -- what about this information my eight-year-old has entered into as being sold without any disclosure to meet. we don't know who is marketing this information to my child or in what way using this information. that's a legitimate concern that parents have and i think it is important where able to get the utility of the educational software we want and at the same time protect privacy cory:. the marketers make the argument that if they know what is on the other end, they can protect that child because they know what's going on but their ability to monitor that is changing faster than the law can adapt to it. >> and there's certainly no problem with them knowing it is a child, it's around the unique

characteristics of the identity of the child and that's where parents have trouble. again, in their home environment, parents can consent to their children using sites. presumably if you're child uses google you know they are doing it, but at school, schools operate in place of parents. what ability should they legally have to acquire and sell your child's personal information without your permission as a parent? it is currently the wild west out there and it's a violation of parental rights in the privacy of the child. many of the educational technology companies that are good actors are at least somewhat on board with coming up with reasonable standards that can make sure parents have confidence in the privacy of these products. cory: you guys have only released a draft of the bill. have you encountered any horror stories in your work that might change the former bill?

>> i think it is just a matter of fine-tuning it. it was drafted by a number of leading privacy experts across the country. we also consulted with major providers of educational services and there are some tweaks and fine-tuning going on. it was modeled after a fairly successful california law as one of the states that led the way trying to thread this needle in balancing premises with reaping the advantage of educational technology on behalf of students. cory: i wonder if you've come across some bad actions by any companies out there or if it's more of a prophylactic where you are looking ahead? >> the key thing is that it's in the eye of the beholder. what one parent deems tolerable another might find completely inappropriate. if there are sites and services being marketed to their child based on private and personal information a family may be

deeply offended or feel their privacy was violated. the key is to empower parents on behalf of their children to have this information at their fingertips and have some control of the data that flows out of their child during the day at school. cory: thank you for outing me as an -- as a "my little pony fan." "bloomberg west" will be right back. ♪

cory: i'm cory johnson and this is "bloomberg west." giants, dragons and princesses dissented on san francisco last night -- it was the season five year of "game of thrones." the show takes place in an era bereft of technology. but the geeks, dweebs and nerds of silicon valley -- it's a strange thing. i went to the red carpet premiere last night and talked to a lot of the people about what this show means in an era of technology when this show is so anti-technology. i spoke with the game of thrones author george r r martin, and talk to him about the notion of technological information and how it's not just a given in human history. >> the romans had the idea of steam but that -- but they did not come up with a steam engine. the chinese had fireworks and

gunpowder but did not make them into guns will stop is not necessarily inevitable progress. >> the creators weighed in on how game of thrones is helping hbo as that business is changing with a much more digital focus. >> our show skews younger, toward people who might be more likely to want to experience hbo in this new way as opposed to through the cable companies and i'm sure that plays a role. also the fact that the show travels very well overseas. cory: i had a chance to speak with some of the show's main characters. peter king glitch had some interesting thoughts about how technology is affecting the game of thrones audience. >> their brains are shutting down a little bit.

you don't need to remember your mom's own number. it's crazy because it's right there. what do private detectives do? back in the day, they had to go down the rabbit hole and now you just go down the internet and find out anything about anybody. >> napoli manual talked about how she learned the sacred languages she's required to speak in the show. she taught me how technology is helping her do that. >> he sends me all my lines and then he records it and i have it written down phonetically. it's just repetition to get it right. we have amazing dialect coaches on the staff. cory: the first episode of season five aired -- season five airs on april 12. is facebook becoming the new face of journalism?

details on that story next. you can watch a streaming on your tablet, phone, apple tv, and is tv, you name it will stop -- you name it. ♪

cory: you are watching "bloomberg west" where we focus on information, technology and the future of business. crews have found one of the lockboxes in the flight of a plane that crashed in the french alps. the plane had 150 passengers and crew when it went down. here's the french president. >> it is a new tragedy. we are going over this tragedy. we need to find out all the causes and tell the relevant authorities, spanish as well as german and the families of the

victims. it's a sense of morning we feel because it is a tragedy that took place on our soil. >> german wings is a low-cost carrier owned by lufthansa. german chancellor angela merkel will be heading to the site tomorrow. the european economy shows signs of a rebound with the ecb launching its bond buying program. activity picked up last month according to the purchasers managers index. here's james bullard speaking in london. james: the ecb quantitative easing event was major in monetary policy. it is a large program, and open ended program, which is something i have argued for in the past. i think it will be as effective as other qe programs have then in other countries. cory: he said the stimulus program is the main driver of the dollar.

in the united states, consumer prices rose .2% for the first increase since october. despite the increase in the rate of inflation, it remains well below the fed has stated target of 2% as it weighs its first interest hike since 2006. and will special license plates help tesla boost slumping sales in china? tesla says its cars have been approved for a special license plate program. model as buyers can apply for a program that sets aside 20,000 license plates for new energy vehicles. regular license plates can be difficult to obtain in china because they are restricted in an effort to curb pollution. dreamworks may be headed for another loss. some wall street analysts rx resting fear that its newest feature will lose money when it opens this friday. is the only released -- only

release planned for dreamworks this year and four out of their last six have been money losers. is facebook the future of news? 1.4 billion users have turned the network into a powerful source of internet traffic and generated millions of clicks on various leos and new sites but according to a new report, the social network wants to do more than generate traffic. they are in talks with news outlets to have their content within facebook itself will stop what does this mean for the future of journalism? joining us is the director of the new journalism lab at harvard. this is an interesting story because on one hand, it acknowledges people are starting their interneting -- i made up that verb -- on facebook. >> absolutely. facebook has an obvious interest in getting you to come back and not getting you to leave. that news -- that was told

around linking. they say websites of the publishers are sub par and their mobile experience moves too slowly and bringing that content into facebook can give a better experience for users and make facebook more money along the way. >> i have heard mark zuckerberg talk about this notion as facebook as a newspaper, where facebook is the place you can get all the information relevant to you and will guide you to the things that matter to you. is that the goal here or do they just want the ad dollars, the few ad dollars journalism is providing right now? >> i think they think that news is key to making facebook a more than daily habit will stop the on that, facebook has two huge edges over publishers. one is scale, which is so enormous stop they also have the best set of user data available. they know what you are

interested then, they know what you have been looking at and they think they can use that data to sell ads that are more targeted than the new york time -- the "new york times" or buzz feed. they want to make sure there is good content for their users and they want to come out ahead in the end. cory: i feel like the biggest risk here is not giving people what they want, but giving people what they don't know they want and the things they need to know as a citizen in society. i realize that debate has been around for hundreds of years in the hallways of journalism outlets, but with facebook so clearly driven on monetizing clicks and putting relevant information front of people that the stories that enrich our lives won't happen if facebook is the provider or decider of what we see in the news. >> i think that is a very real

point. people say i want to know what the "new york times" thinks is important. so much of our discovery of news comes from the social platforms which can be wonderful but rely on your friends or the people who you choose to follow to be our guide through that. the more that shows to facebook, that's a real concern. the flipside is they are able to figure out what's interesting to me in a way that one newspaper editor in manhattan is not able to and that's the trade-off. cory: we've seen a long history of aol, yahoo! and google trying to organize our news for us. is this effort different? >> it is different. google news is one parallel that brings in many new sources into one searchable database stop the differences once you find out

the news, it sends you to a link to go to the website. the difference here is they want to keep the entire experience within facebook and that's why there has to be a business deal and that's why companies like the times are interested in getting that trade-off. cory: it seems idiotic if the publishers are handing over the keys to the kingdom. if user habits form around facebook as the gatekeeper facebook can determine exactly what the future of pay will be for these media outlets. >> i think you are right and that's very risky. any publisher going into this will want to look into what kind of results it's producing both financially and in terms of user behavior. news organizations have been thinking about that -- retaining the customer attachment point.

at a certain point, does that become a losing argument? a lot of people's habits have shifted. do you complain about that or do you try to engage with them on the platform they want their news on? cory: i don't want to join the chorus ripping on buzz feed, but either gets interesting they are optimized on clicks and were one of the first journalism outlets being vetted for this business. >> i will defend does feed a little bit. they do a lot of stuff that does not meet the standard of "the new york times." but they have this to tears of content. the equation is different for buzz feed because they don't do traditional advertising. having your content appear on his feet is different from the new york times which has a pay wall camesa obstruction model and entirely different cost structure. it's a different measure. cory: thank you very much.

"bloomberg west" will be right back. ♪

cory: this is "bloomberg west." i'm cory johnson. amazon's video gaming internet source twitch has asked users to change your passwords after a hack. let's look at the nfl -- this is interesting -- this is the day the nfl announced it's going to make its game between the buffalo bills and jackson jaguars free to viewers around the world on a digital platform. we have not been told which

platform but it played in china and in the wee early hours here in the u.s., but this is a signal moment. it is the nfl. here to talk about that is the -- is jason can't and shall be holiday. talk to me about what this means from a business standpoint? what are we talking about when we talk about one game and the business of broadcasting in the nfl? shelby: this is pretty minor. it's a game between two pretty charitable team. it does not seem like huge news right now but it's a critical moment for the nfl because it represents the nfl continuing to push its own platform continuing to grab power from the tv networks, and continuing to realize they can control their own media air -- their own media empire. the nfl network a sickly said to cbs that you can broadcast half

of these there's night football games, we are going to put the other half on our own network and by the way you pay for all the production costs. the nfl is continuing to put content on their own networks and they realize this is the most lucrative thing you can put on television. nfl games in 2014 average 17.6 million viewers per game and accounted for 40 of the 50 most watched shows in the fall. these games have three times more viewers than the average primetime programming. if the nfl can take more of that revenue, why wouldn't they do it? cory: shelby, stop hating on the buffalo bills. but -- date -- this is intriguing because there's no bigger properties and nfl games will stop >> that's right.

the nfl games are the most valuable programs on television and as a goes to the internet, it will be the most valuable on the internet. it's just the tip of the iceberg for them. >> why would they do this? >> it's a test. the rights for television have been locked up for a long time. there are a few games in which the nfl can experiment and test what the nfl can do. i think the international peace should not be understated. think about the ability to reach fans around the world and develop an international audience with a game that's not a big game. it's 9:30 a.m. on a sunday and they contested in the marketplace worldwide. >> what is it the nfl doesn't know that they can find out by doing this? >> just the fact that the games being distributed through the internet creates unbelievable opportunities. the next generation of sports fans don't care how the content

gets to them. they don't care for its coming over cable, satellite or wireless. they care about the programming. using the internet as a different just review should channel is one thing, but using it to interact with the fans and experiment around their programming in the game, there's a phenomenal opportunity and they need to be ready for it. cory: can you talk about this game, this international game in particular. is this important for the nfl? shelby: having it in london is important. broadcasting it in china is an interesting strategy for the nfl. there was a study that said the percentage of fans interested in china has jumped to 7.9% from 1.7%. that's 31 million extra people in china who say they are nfl fans. china is a huge market and russia is a growing market. if they can put these games

online to the point we have been talking about, everybody can watch them. much as people add in the u.s. it's anyone with a mobile phone so this is a huge opportunity for the nfl. cory: i hear the nba talking for years about expanding in china. the nfl has alluded to a but cannot even expand into los angeles successfully. is this what expansion is going to look like to grow these brands and fulfill for example the l.a. clippers, putting a $2 billion price tag on this? >> there is an emerging audience there and the ability with the internet and content, the way it can travel especially around live events, you can find new fans quickly and there are a lot of people outside the united states who have not an exposed to the nfl and a way that and -- in a way the internet will be able to open the platform with

them. cory: i don't know if you can experience the buffalo bills without shoveling your driveway to get there. >> frankly, it's not about the game. we need to move past the matchup. it's about the experience and the internet possibility to reach new fans and experiment with new ways to deliver that content. the smartest media companies, and that is what the nfl is they are investing in what is that next experience for sports fans? one of the troubles with delivering live sports is there is delivery delays, bandwidth issues what do you do with that experience on a smaller screen? the sports fan wants live sports on the biggest screen available and the internet can bring new opportunities and interactivity, but there needs to be continuing

development to make sure it's an experience for the next generation and this affords that opportunity. cory: i think screen size is an issue. that is something that were all the desire to get it in a different way, seeing it on a big screen is important. shelby: seeing the game is better than not seem to game. i was talking to some television executives about march madness and they said the more viewers are comfortable with the technology we have, they will watch it on their devices will stop the nfl realizes that. i was crunching some numbers earlier in the games in the 2014 season did about $13.6 billion in revenue. that's about $14 million a game. that is money that nfl can cut out of the tv networks and go straight to the fans. there is definitely money to be made and whether you are watching on a big device, you

will be watching the game. cory: thank you both very much. let's check some bloomberg top headlines -- office depot ceo roland smith will earn $47 million after the company upon sale to staples closes. he's only been on the job 16 months. the filing whoever is the ceo of staples will be fine. ebay gets ready to split into two companies and announces some details. the incoming ceo and incoming paypal ceo each will get $14 million in annual comps. ebay is going to give them a $38 million package just to walk into the door.

fox is reviving the sci-fi show "the x-files." the actors will reprise their roles as fox mulder and dana scully. they discussed being how being part of the franchise changed her career. >> i did not see it as this decision -- i was not in the habit of auditioning for television. but you are right because it was such an interesting and compelling female character like no other i had seen on television at that time, i decided to go along for the audition which led to me being cast and led to that character playing a large part and science fiction playing a large part in my life. cory: the x-files originally ran from 1993 to 2002. "bottom line" with mark crumpton

is coming up at the top of the hour. mark: there have been reports of some progress in the arabian nuclear program talks with several sticking points remain. among them how long should the deal the question mark should the international community be allowed to conduct snap inspections and should sanctions relief be granted before evidence of compliance? robert einhorn is a nuclear arms expert and senior fellow at the brookings institute. he will join me next hour. cory: "bloomberg west" will be right back. ♪

cory: the bwest byte is one story that tells us -- is one number that tells us whole lot. spencer silver has it. spencer: 100 million. as the number of users which has

stop twitch just announced yesterday it was hacked, so they are still working through the details and have released only a small amount of information, but they have 100 million users and put out a general warning requiring all the love them to change their passwords and sent an additional e-mail warning people who were effected that portions of their credit card number could have been compromised as well as their name -- cory: i've never realized how successful twitch is online. next it has a huge audience, 100 million subscribers and people who are gaming enthusiasts will go and watch people play video games and interact with them. it is a very devoted audience. cory: interesting also because amazon has generally been hacked free. you can get the latest headlines all the time on your phone, tablet, on bloomberg.com and on

bloomberg radio. we will see you tomorrow. ♪

mark: from bloomberg headquarters in new york, this is "autumn line." -- "bottom line." 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 stories making headlines. su keenan follows the commodities beat. peter cook is at the white house as president obama and