>> live from pier 3 in san francisco, welcome to "bloomberg west.” we focus on innovations, technology and future of business. i'm cory johnson. here is a check of the top headlines. ed fed president william dudley said the timeliness of an interest rate hike will be data dependant and uncertain. >> the likely pass of short-term interest rates after liftoff is just as important as the timing of liftoff. here i anticipate a path will be relatively shallow. head winds in the aftermath of the financial crisis are still in evidence, particularly with the diminish availability and tougher terms that we see for residential mortgage credit.

cory: dudley said recent economic headline head winds like the jobs report are temporary. new data shows the biggest part of the economy is holding up service industries. they are roughly on the same page as february. real estate firms, rental companies and management support firms among those service industries report the strongest growth last month. president obama spent the weekend defending the framework agreement over the iran nuclear program. he said the accord does not mean the u.s. will forfeit military superiority or fail to protect israel. here is the president speaking to "the new york times" president obama: what i'm willing to do is make the kinds of commitments that would give everybody in the neighborhood, including iran, clarity that if israel were to be attacked by any state, that we would stand by them.

cory: meanwhile, iran's state news agency said the ayatollah had full knowledge of the nuclear deal. some iranian hard liners criticized the agreement saying iran gave up too much. greece is stepping up efforts to find allies in the u.s. and russia as bailout talks with e.u. creditors remain stuck. the finance minister said he met with the i.m.f. managing director in washington and reiterated a repay of payment $94 million later this week. meanwhile, the greece prime minister is heading to moscow later this week to talk about food exports and other issues. "furious 7" proving to be a hit at the box office, raising 146.3 million, biggest opening weekend ever for an april film. not just because the franchise producer comcast but driving shares of imax to 52-week high.

about 1% of the box office sales were in imax theaters, setting a record for imax in april. now to the lead, an easter egg from tesla has the stock zooming today. surprise announcement good friday, when markets were closed, tesla announcing first quarter delivery numbers. tesla delivered 10,030 electric cars in the quarter which exceeded the initial forecast by 530 units. and going forward tesla will publish the number of new car deliveries within three days of the quarter's end. he said it's an effort to thwart what he calls inaccurate sources of information used by others to project the deliveries. but unlike carmakers, tesla will not release monthly figures or tell us where the cars are being sold, as other companies will. but it helped boost the stock pricing up over $400 million. analyze raising stock targets but what does it tell us about tesla's business? joining us from washington, and via skype from palo alto, a new

book "tesla and space x and quest for a fantastic future" comes out next month. ashley, the changing delivery of metric seems to be a play out of the elon musk textbook. is this something we have seen in the past and will see in the future, the way numbers will come out will continue to change? >> he always likes to do things his own way and elon tries to surprise people as much as we can with these numbers. it looks like now they're trying to set up kind of a more consistent way to deliver the number and under pressure to be a little more like rest of the industry. it seems like they will stick with ford but elon likes to, like you said, task up these things at surprising times. cory: other carmakers released monthly numbers of the these are strong numbers from tesla.

most cars they ever sold in a single quarter. what do you milwaukee of these shipment numbers for the model s? >> first of all, thank you for having me and good afternoon. i will tell you certainly they're above our expectations. we were looking for 9,000 units for the quarter. more importantly i think it sets up well the conversation around demand. it's hard to sort of poke poles right now if you will in the demand thesis because they have continued to scale quarter in and quarter out. so we tend to focus more as a result on the supply side. neither of the obstacles near term are going to be more clearly evidenced in their production ramping. we saw obstacles career themselves in the fourth quarter, which led to a miss. so it seems to us this delivery number is an indication, maybe soft indication production continues to scale relatively steadily. cory: james, do you think used cars were included in this number? >> i do not. i do not. i do not believe they would add those in at this point. cory: so used cars are just mystery number because they

haven't told us anything about used cars, other than they are selling them at their dealers? >> i think you have an option. if you want to go to a tesla show room and wait for the presumably six week to nine-week model s wait period or there are some relatively new i should say demo, equivalent would be demonstrator version at a traditional dealership. you may have an opportunity to purchase those. i do not believe those are being captured. they would have been captured initially as sales to the dealership level is my guess. cory: you mentioned the growth number. listen, real quick there, the growth number down to 2% in a sequential basis. except for the negative quarter they had, that's the slowest growth rate they have ever seen. what does that tell you? >> tells me that they are actually on track from a production standpoint. they're looking to ramp from

just under 1,000 units per week on the assembly line, leaving 2014, to running at a 2,000 a week rate by the end of this year. i think the problem they had in the fourth quarter was in part driven by a little bit of an overreach. they were actually over 1,000 units per week during the quarter. there was some west coast shipment issues as well. they had to fly in parts, that was a bigger drag on gross margins. to see them sort of fall back into a more steady ramp i think actually bodes very well for not only the production and delivery ramp this year but from a gross margin perspective, our outlook. cory: ashlee, let me ask you about that overreach? china strikes me as well they sold more cars in norway than they did in china in the last quarter, despite elon's focus on china, visits to china, james used the word he overreach certainly reaching out to china. how does this fit into the character elon's shown us over the years in the way he's run

other businesses? guest: well, there's no question elon sets aggressive time lines for things, aggressive projections for things. in my book we kind of talk a little bit about he's kind of conscience with this and when they started they thought they would go from nothing to sending the first rocket up in two years and it ended up taking seven or eight. elon talked to me about that was a mistake and trying to rein themselves in over time. in china and tesla, i think tesla thought the market would be stronger. i think everyone thought the market would be a lot stronger. elon is definitely a celebrity of sorts at tesla. so they thought the interest would be there. it hasn't even been close. on the other hand you see this quart he come through with the numbers it has so they're making up for a lot of demand that we expected to come from overseas. cory: finally, james, you mentioned production issue and i think that's an important condition of this company. the global equities researcher has a note about of friends of his who ordered cars or told the cars would not be available until the end of april, and

already shipping at the end of march. but that tells me the backlog wasn't what it used to be and they don't need to expand production because they have cars or inventories gone from well over $300 million of finished goods. doesn't that tell us there isn't much of a back log and they don't need to increase production right now? they have plenty of production as it is? >> it might tell me that i need to find new friends. i don't know that i have the same proprietary check that he does. at the end of the day, i think we're embarking on pretty unprecedented transition here, right? number one, every other manufacturer in the world is downsizing production. tesla is on the upscale. and to the point on china, by the way, ashlee is absolutely right when it comes to expect aces and elon perpetuating these lofty expectations. bear in mind they have not j.v.'d with anybody in china. i think that's the impediment they ran into as opposed to demand-driven, executed-related problem.

look, i think model x is coming. there's going to be some consumers that remain at bay as a result of that and i do think the streamlining of production is making for shorter and shorter delivery times and that may be something that's sort of evidencing itself in my -- sounds like my competitors' analysis. cory: james, steeple, a big book on elon coming soon. rush to the book store, wait outdoors. wait until "bloomberg west" is over. coming up -- we will talk about the company that turns five years old. five new products. interesting future. talking about amazon versus ebay as well when "bloomberg west” continues. ♪

cory: i'm cory johnson. this is "bloomberg west.” well, xiaomi celebrates five years with five new products. sling tv drops the ball during march madness, because it drops the ball, march madness, the

basketball. we have to talk about satellites as well. first, check of the bloomberg top headlines. electronic trading company virtu financial moving ahead with an i.p.o. the idea shelved after the book "flash boys" by michael lewis accused high-speed traders of rigging the market. virtu trying to raise $14 million, turned profit of $190 million last year in revenue, a 9% increase over 2013. and toshiba's setting up a committee to look at possible accounting irregularities. the japanese chipmaker and electronics company said it may have underreported the costs of some projects. and irobot wants to sell robot lawn mowers. it's asking the s.e.c. for permission to sell the lawn mowers guided by radio waves. there's a cash. they are running at fierce opposition from astronomers, national radio observatory. they're asking the s.e.c. to

block the plan saying the plans for bandwidth will interfere with telescopes. telescopes they're using to map the milky way. chinese smart phonemaker xiaomi turns 5 years old today. the fifth largest smartphone vendor in china, overtaking samsung last year for the full year. to celebrate, xiaomi is launching five products, scale smart power strip, smart tv, smart home but not smartphones? is that the strategy for xiaomi's global domination? joining us hong kong hans tung managing partner of g.g.v. capital and early xiaomi investor. really hans, what's up? phones, i thought they made phones. what about the phones? >> cory, you know xiaomi is never just about being a phone company. it's really a lifestyle company. it's all about lifestyle. so it's aiming towards selling interesting products that will show up in the home of buyers in china and other emerging markets as well.

so we see a wave of new products coming out aimed at the smart home market with these users. cory: interesting they would do this. i guess, again, this is selling hardware too. i thought what xiaomi said was we're going to sell hardware with virtual no margin. we will make it up by selling services and software later on. is this yet another sort of portal to more software and service sales? >> that's exactly right. these gadgets are interesting for a smart user who wants to have a better lifestyle and once you have more data and other users through a variety of gadgets and gateway, you can offer more services on top of that. cory: so when are we going to see these services? >> well, i think on the phones you are already seeing that. it has its own app store. becomes a gateway for apps integrated to the xiaomi phone and you would see that over time in the smartphone business as well.

cory: i guess i'm wondering about the services that will be xiaomi specific. a lot of apps in the xiaomi store, i think most of the apps in the xiaomi store, are the same kind of apps that can be used on h.t.c. phones, samsung any android phone. and their ability to customize android really sent clear to me. what are we seeing in china first? then we can talk about the rest of the world. >> i think in china, if you have a xiaomi phone and xiaomi known quantity and there's a contact list, it's a different task that allows you to call anybody you want for services. whether it's banks, whether it's grocery stores, whether it's utilities and so forth. all of these numbers are integrated well with the xiaomi contact list you have. and offer new numbers you may not have in your contact list that would be helpful to you. all the numbers you need to reach, one click away. that kind of interesting integration is what they're experimenting with different services. cory: you're an early xiaomi investor. they have certainly done quite

well in asia. i wonder when we look, we heard expectations for indy while they expect 9 million phones sold this year, that's a fraction of what other carriers or other phone makers expect to add in india. there are plans for the u.s. as well. i wonder about the true scale, global scalability of this model. what do you think their biggest competitive threat is internationally? >> internationally they are -- it's a young company, as you know. predominantly being china. so learning how to be more a global operation. i think their goal for india initially would be more modest but based on feedback i have from my friends in india, people love the company xiaomi. the products at mass market prices. i think it's being cautious but i think they will be doing better than what they're projecting. certainly that's been true for china as well. cory: hans tung of g.g.v.

capital. early investor and it's early in beijing as well. appreciate it. amazon have been fighting ebay for decades. but now maybe it's working. we wil have that store -- we will have that story when "bloomberg west" continues. ♪

cory: cory johnson. this is "bloomberg west.” while third party sellers are key to ebay's business and now becoming more important to amazon as well. amazon added 2 million sellers last year. ebay added virtually none. but they have 25 million versus 1 million. is ebay in trouble here? david, tell me about what we are

seeing. what dynamic are we seeing where amazon doubles its users but they're still a fraction of what ebay is doing? >> sure. ebay's been around a long time as you know. we see consumers moving more towards the convenience amazon offers. both ebay and amazon offer a lot of selection on a lot of value but convenience is really the name of the game online. we see amazon pulling away from the convenience category especially around logistics and speed of delivery. cory: you say that but then why does amazon have 2 million compared to ebay's 25 if logistics are so difficult on ebay? david: sure. remember ebay is an open platform so anyone can sell on ebay. on amazon you have to become an approved seller. so part of the appeal of amazon from a consumer perspective is the bar to become an amazon seller is a bit higher and

amazon did that to ensure that there's a quality of service and delivery that consumers experience on the platform. cory: this has bane long-running battle. going back probably at least to like '95, '96. from the very early days when amazon recognized ebay, while essentially very different, was a competitive threat. indeed that's probably why ebay bought paypal in the first place because they were afraid amazon would scoop it up. what was the dynamic that changed in the last year? >> well, in e-commerce it's about selection, it's about value and it's all about speed of product delivery. and back in 2005/2006 when amazon started offer prime, that really became the gold standard in terms of what consumers expect in terms of getting products in two days reliably and without additional costs. and amazon has invested considerable amounts of capital in building out their distribution centers and they're really unrivaled in terms of

their distribution cast today. this is why prime has become such a popular program. our research indicates something on the order of 40 million prime subscribers today. so that becomes the default mechanism for people to do their online shopping because they already have an account with amazon, they've got prime. they know they will get the package and two days and start and end their shopping process on amazon for that reason. cory: if i were selling on amazon, i would be worried if my business is focus, i would be worried once i got successful amazon would just take over my category and start selling on their own. that's not a concern ebay merchants have. does that start to get real when the business is selling on amazon half scale? david: it's a legitimate concern and it has happened to sellers from time to time. the flip side is that's where the consumers are shopping. so if you don't sell on amazon you can certainly make that decision but you're also giving

up a substantial number of potential consumers. cory: yeah, and we have seen certain retailers, brad stone's wonderful book "the everything store," he talks about the knife maker and how they steadfastly refuse but amazon was consistently -- or at least sales of wusthof knives consistently showed up on amazon, even some they were concerned were not the real deal, might have been counterfeit. david: yeah, that's a legitimate concern. a lot of brands and manufacturers historically have thought twice about selling on amazon but the reality is more often than not their products are already being sold on amazon. it's a potential gray market. and as a brand or manufacturer when that happens, you don't have control over the consumer experience or even the product as you pint out. it may not be even legitimate product. we see a significant shift where a lot more brands and manufacturers are embracing marketplaces, in particular amazon for that reason, they want to control the experience for the consumer. cory: david spitz, president and c.e.o. of channel adviser. thank you. coming up web tv, sling tv.

it's all in the air, just like ncaa. we will talk about that next on "bloomberg west.” ♪

cory: this is "bloomberg west," where we focus on innovation technology and future of business. i'm cory johnson. let's check bloomberg top headlines. world central banks are holding less foreign currency reserves than they have in quite a while. local reserves falling to 11.6 trillion last month from a record 12 trill an in august of last year. the job may be overstated due to strengthening dollar, it does mark a shift from 2004 to 2014. central banks increased their currency reserves by five-fold. japan's mizuho is in talks to hire as many as 200 employees

from the world bank of scotland. people familiar with the talks part of mizuho's acquisition of the portfolio to expand operations due to declining japanese population and near record low interest rates at home. saudi arabia's oil minister said the global demand for oil is improving, as lower prices boost usage. this comes as the country raised open prices in may to asia. finding companies warrant the hike, despite a current slump in oil prices. indianapolis mayor greg ballard said it will take years for his city to overcome the damage from indiana's religious freedom law. the law was amended to protect gays and lesbians from discrimination after an outcry from the business community. here's the mayor on what future events might still come to indy -- mayor ballard: going into the future all of those people have their sponsors and their board

of directors to report to and they have to make those decisions. will we take a hit on this? absolutely, don't think there's any question about that. and it will take years of rebranding to make sure people understand once again who indianapolis is. cory: ballard said the backlash is much larger than what he and indiana politicians expected. and in indianapolis, ncaa men's final four was this weekend. turner cbs said the last two national semifinal games had 41.7 million viewers of 24% over last year. second game of the night wisconsin against then undefeated kentucky was the most viewed final four semifinal game in 19 years. in my opinion one of the best in 19 years. more than 6 million people tried to watch the event on a live stream. but for those trying to watch the final four on one of those live streams, dish's sling tv they saw an error message that left many frustrated. bloomberg reached out to sling for a statement and they said, quote, despite our best planning we experienced an unprecedented combination of new signups and high number of viewerships.

those factors stress our system. kentucky looked a little stressed too. sling tv went on to say while the viewing experience was spot on for a variety majority of the customers they were able to rebalance traffic loads for those affected and improve experience for the remainder of the evening. i spoke to the c.e.o. last week before that game and started asking about sling tv and why they added hbo of all things to their lineup. >> well, first of all, huge collection of movies from the some of the largest studios and then some of the best original content out there. like "game of thrones" and "silicon valley," which will both be premiering on sling tv april 12. cory: talk about sort of demographic overlap, because also offering espn, that's the crown jewel of most cable networks certainly and also one of the most expensive costs. what is the overlap between hbo and espn? are they complementary? very different audiences?

>> well, it's clearly very different content but i'm not sure i would say it's different audiences. if you look at the demographics we're going after, which tend to be younger but it's not exclusively younger, they love sports, they love movies and they love the original productions hbo has. so we think they're quite complementary for this demographic. cory: i think that's what i was alluding to. what are the demographics? what is the sweet spot for the market for sling tv? >> we think about three categories. first is cord nevers, younger people, millennials. second is cord cutters, which if you look over the last four years, there's been about 4 million people who cut the cord. and final one is what we call supplementers. these are people that have paid tv already and actually subscribe to sling tv on top of their current paid tv subscription. cory: is that what you expect? you expect in terms of you will have more cord cutters than nevers from millennials that never really had cable?

>> you know, we think it's a mix. obviously, the number of millennials who are getting out and getting their first home that's been increasing for a number of years. that's one of the reasons you have see paid tv penetration decline is because when they get their first home or first apartment, they're not taking paid tv like the generation before them. that's certainly a big and growing demographic and market opportunity for us. like i said already, we know cord cutting has been happening four, five years. the number of cord cutters increases every year son that's an increasing pool for us to fish in also. cory: i wonder if we're going to see a day when the cable companies are really the providers of internet access but not the providers of content so much because we have got so many other options, whether it's sling, whether it's netflix, who knows what we will have down the line? >> you know, we saw that trend start 20 years ago with the launch of satellite tv. satellite tv was really the first over-the-top service if

you think about it. it was the first competition for pay tv. and ever since the launch of satellite tv 20 years ago, you have seen a decline in cable tv subscriptions. so as more and more competition and more ways come for people to consume content, i think you will continue to see that shift. but obviously the cable companies are very well positioned with broadband. as things shift from traditional pay tv to over the top and streaming, cable companies tend to have the best broad band networks and they will benefit from it. cory: yet you have companies like comcast chief among them, making enormous investments in content whether it's nbc universal acquisition or continuing offerings in video on demand or something. does that company stand out as sort of the one exception to the way the trend of the industry?

>> you know, i think they do stand out principally because of their scale. even stand alone as comcast. but certainly if they were able to successfully complete the merger with time warner cable, it would be unprecedented scale in broadband and also video delivery. and then owning one of the largest movie studios and owning a significant number of pay tv channels gives them scale across many, many different areas of the pay tv sector. cory: since you brought it up, in your opinion, should they be allowed to complete that? some say scale, others would say monopoly? >> yes, i'm in the others camp about monopoly. i think it's too much scale. it's unprecedented. if that merger were completed, they would have over half of the truly high-speed broadband connections in the country and past something like 65% of the homes. it's too much scale for one company. especially a demand has ambitions in video when we know consumers want to consume more and more over the top. we actually do oppose that merger. we don't think it's good for consumers or the industry. cory: and you don't think the other technology offer any realistic competition in terms of broadband? the argument the way the numbers

are counted, comcast looks like it's bigger than it is but there are other competing technologies that get high-speed to the home. >> well, i think the s.e.c. widely realized they needed to reclassify broadband as being 25 megabits and higher. below that, especially if you think about how streaming is developing, multiple tv's in the house. 4k coming which requires even single stream 15 mega bets or higher, you need more bandwidth. and today's broadband minimum is 25. by the way, five years from now it will be much higher than that people will need. the definition of 25 mega bits they're dominant. and that's the thing that concerns many of us in the industry. cory: that was sling tv's c.e.o. roger lynch. bmw's crash-proof car, that's what they say. we're going to talk about the challenges of designing such a thing when "bloomberg west" continues.

♪

cory: this is "bloomberg west.” i'm cory johnson. will self-driven cars make our roads 100% accident free? commercial satellite celebrating its 50th birthday. we will talk about that in a little bit. first, bloomberg top headlines. advisory firm i.s.s. has tough words for both wynns, steve wynn and, ex-wife -- c.e.o. of wynn resorts and ex-wife elaine wynn. they're both battling for seats on the board of the i.s.s. is advising shareholders to reject elaine wynn's bid for re-election to the board and also advising shareholders to reject the company's two nominees saying the company had manifest failures of governance. health care ventas is buying ardent medical. the price tag $1.75 billion in cash. ventas plans to spend off most of ardent's facilities no an

independent reach. the c.e.o. called ardent the deal we have been waiting for. columbia journalism review said "rolling stone" magazine failed to follow basic journalistic practices in its reporting of an alleged gang rape at university of virginia fraternity party. the review called the story a journal list tick failure. the magazine retracted the article but said no one involved in the article will be fired. the fraternity is planning legal action against the magazine. is it possible to eliminate auto accidents to make the roads 100% crash free? that's the dream of the self-driving car with companies from google to traditional automakers working on this technology as it evolves. this week's segment of "the spark" we will look at innovators looking at seemingly unsolvable problems. we visited a dealership in munich to test what could one day eliminate car accidents.

reporter: nobody likes to think about it but the truth is every time you get behind the wheel of a car, you're risking your life. no matter how cautiously you drive, you could end up becoming a statistic, one of the more than 1 million people who die in car-related deaths globally each year. but you know, you have a life to live and places to go so you take that risk again and again. it turns out, however, one automaker is working on a new kind of car. one that could help reduce that risk to zero. i have come to munich to visit b.m.w. here as its research and innovation center, the company is developing sensor technology that can do something very simple but also very important prevent a car from crashing into anything.

what happens when this car starts to close in on a stationary object? >> it waits for you until you get too close, until you have a certain threshold and then it starts braking for you and prevents the collision. reporter: shall i get behind the wheel? >> yes, please. reporter: ok. so i should just start driving towards that? >> yeah. reporter: ok. i'm going to floor it. it just stops. it just stops. i have to do that again. >> the way the car works is it has really, really precise laser scanners that perceive where the obstacles are and how big they are. the system builds up a map and then estimates its movement inside these obstacles. and as soon as we get too close, it brakes for you in a comfortable way if it can.

it slams on the brake if the situation gets really critical. and therefore prevents collisions. so before we test the car in the real world, we assimilate whether it be algorithms work the way they were intended to. as we can see, the car slowed automatically down in the assimilation and therefore avoided the collision really really well. the ultimate goal, of course, is to prevent any collisions at all. how far we can get with that depends on how many people will actually use this kind of technology. when we have 100% of the cars equipped with collision avoidance, there's a good chance that we can almost prevent any kind of accident. you can see here we set up an obstacle course. reporter: because we have seen how the car performs when it's approaching something from the front but the system is monitoring the sides of the car, the back of the car, every which way around it. >> yes.

reporter: ok. so at first, i will drive like i know what i'm doing. around this way and if i were to be a little bit too close -- >> your door. reporter: it could really mess up my paint job. this system is still just a prototype and it doesn't always work perfectly. but it is the beginning of something. as computers and sensors in cars become smarter and more precise, they end up doing more of the driving while people do less and less. some years from now that could mean our cars drive themselves but in the near term, it's going to mean safety systems that can make up for all of those human flaws that get us in trouble on the road in the first place. we're talking about systems that never hesitate, never get distracted, and see in all directions. the crash-proof car isn't quite here yet. but it's coming.

cory: that was bloomberg's sam grobar. coming up, we will talk about the first commercial communication satellite launched 50 years ago today when "bloomberg west" continues. ♪

cory: i'm cory johnson. and this is "bloomberg west.” satellite business is booming. tech companies like google and facebook launching satellites to focus on internet access. tv companies launching satellites to focus on 4k tv and national reconnaissance center launching spy satellites to focus on us. an entire business started 50 years ago today when intelsat launched the first commercial communications satellite. it was called early bird. satellite had a fixed position by the equator and opened communication between europe and north america. the c.e.o. stephen spengler joins me now. hopefully wearing a party hat. no party hat or candles. happy 50th anniversary anyway. what was satellite like and how is it different from what you're putting in the air today?

guest: well, it was very different than today's satellites. early bird was only about 2 feet by 2 1/2 feet in size, 76 pounds total. and it carries about 240 phone channels, phone circuits and one television channel. that was it. if you compare that to today's satellites, today's satellite are over 6 ton in mass. they're probably about the size of half of a football field when you stretch it out and it's capable of 100 gigabits or more in terms of capability. so dramatic changes over the last 50 years in satellite communications but it did begin 50 years ago today. cory: i guess i asked the wrong question. the right question might be, what's similar? why is this still relevant that the punch cards you use to program the thing and computer tape and the calculations made with slide rules and pencils got that, but what is the same

about the way communication satellites worked 50 years ago first one and satellites today? >> the concept of having communications satellite in geo synchronic orbit in a fixed location across the globe is something that is really driven in an entire industry. now there are hundreds of satellites in that orbit serving a wide range of applications. you touched upon them at the beginning. so that basic architecture is still valid and still vibrant well into the future. what is changing, however, is the power and capability of these satellites. they're much more capable today than they were at that point in time serving wide range of applications, broadband applications, television applications, government services and mobility. and so while the basic concept is the same in terms of its orbit, capabilities of commanding dramatically through innovation on the satellites themselves and on the ground

technology. cory: i'm also curious about the drivers of your business. one of the biggest drivers in 2015 and how have they changed over the last few years? >> for our business it's really driven by globalization. it's driven by the global economy. it's driven by the huge demand for broadband connectivity and internet connectivity around the world. in remote parts of the globe as well as mobile platforms. airplanes, on ships, moving vehicles, different types. and so whenever customers need high performance bandwidth and high performance connectivity whether on the move or in remote or disadvantaged places of the globe, this is where our business comes to the floor and really is what drives our business. cory: intelsat c.e.o. stephen spengler really cool stuff. we appreciate your time. thank you very much. focusing on one number that tells us a whole lot. here to tell us a whole lot is our tech reporter. what do you got? >> more than 30 million. cory: more than 30 million is not a number. it's a range. >> it's a number --

cory: 30 million is what? >> number of people who viewed the snapchat live. it used to be called our story. it's the compilation of all of the videos from the users generated around this specific event. and they are extremely popular. to put 30 million in context for you, that's like as many people as watching most award ceremonies. that's around the same number of people that watch the olympics opening ceremonies. so it's a big number. so in conjunction with that snapchat has been able to charge very high rates for its advertising. they have this new discover product, i'm sure you -- cory: they started to become serious advertiser, maybe serious revenue for this big business. >> yes, they're able to charge double what youtube and hulu can for advertisements on their discover business, which has channels from people like comedy central and "people.” cory: sarah frier, thank you very much. that's not quite a byte but still a good buy.

we will be back tomorrow. hope to see you then. ♪ .

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