emily: twitter's board needs to discuss the ceo search. who investors want to see in charge? i'm emily chang and this is "bloomberg west." billion loan a $2 against alibaba's stock. system gaining traction with corporate giants like cisco and unicorns like spotify. all of that ahead on "bloomberg west."

twitter shares are up almost 2% and the board meets to discuss its next ceo. we told you yesterday that jack dorsey is a front runner but he's already the ceo of square and investors want answers. in the three months and see search started, the stock has taken a hit, dropping 21%. in the meantime, twitter is restructuring its theme. his new title will be twitter's head of consumer products. will we get any more details today? sarah frier has been working this story with me. governancerate professor at the mit's sloan school of management. i'm going to start with my favorite tweet of the day -- a photo of twitter's headquarters saying is that a white puff of smoke, just like when the pope

it announced. are we going to hear anything today? sarah: last time we had a critical board meeting when dick costolo was out-of-doors, it was announced a week after. it could be a few days before we hear anything. that case, nobody knew for sure. sara: there were not people like us poking around. thatve heard for a while vick was on the way out. ck was on the way out. that's a decent amount of time to get done. all signs externally point to thatbut we wrote yesterday see whether that is concluding.

emily: it certainly looks like jack is taking on ceo responsibility as well. -- guest: i think there is the internal desire to be put in the same place as google or facebook. clearly a lot of change needs to take place at twitter and jack dorsey has those credentials. perhaps it is wishful thinking but i think he is on the short list. investorsestment -- want jack but you can only have one full-time ceo job. it has been done before. steve jobs did it. he was more than human. what do you think about jack dorsey's decision here? guest: i think it will be tough especially as square prepares for its ipo. twitter does need to go through

a lot of changes. and growth is flagging engagement is flagging but there is so much potential in this platform if they focus on their ecosystem and focus on tweaking the product to make it more user friendly, it could be a huge success. that points directly at jack in terms of his leadership ability, but there is the chip on the shoulderhip on the which will make it difficult to concentrate. you onhow bullish are the future of twitter given that user growth has been lagging. been pretty -- i would agree with the real-time information. that's the longer-term perspective. i think where the rubber meets the road is that twitter is

overly focused on monetization rather than the product. what we are seeing and hearing is there's a sense of urgency and an effort to work really hard on the products and applications. we will see that with some new products and application enhancements. when it comes to square, there's no indication he is leaving square either. sara: this is a company when you have filed for an ipo and square has not said they are going to go public -- it's harder to make these executive changes. matterse company that very dearly to jack dorsey, as does twitter. he has been splitting his time about evenly between the two. for the ipo, it is a concern. alix: what are your main concerns? jack dorsey is doing

both of these jobs. that's the reality is long as this search goes on. does twitter need to make a decision now? sinan: it is necessary that the decision be made today. it's much more importantly than making this decision quickly is making the decision correctly. as a shareholder myself, i would prefer they wait and get the right person in the right moment with all the right circumstances and constraints then rush to make an announcement to appease the market for some reason. i think this is a much more long-term business draghi. it tok in order for succeed, it's going to take a long time frame to implement the changes that are necessary and i don't think that something a quick fix announcement himself. it will require months and months of hard work and i agree the product is the key.

the potential of twitter and the current state of twitter, there's a huge gap between these two things. there are a lot of things that can be done with the product will take time. alix: when you walk in here, you mentioned nobody saw marissa mayer coming when she became ceo of yahoo! so that's always a possibility that there is an amazing out tighter that we don't know about yet. we've seen some restructuring in the product category. moree going to see shakeups at the top? i think so. there are good people at the top of that urgency, that relevancy among users needs to be protected and enhance. costolo was on the chopping block for some time before the announcement and i think a lot of time has gone by for them to think about the

profile of the ceo they would like for the longer-term. i more in favor of the decision sooner rather than later. alix: we are watching for that white puff of smoke. thank you all for joining us. another stock we are watching today is alibaba. joseph mann and the vice chairman are planning to raise more than two billion dollars through a margin loan against the company's stock. the loan may be announced as early as this month and the money race may be used to fund alibaba plus office. alibaba has seen its stock tumble over the last three months as investors use it as a proxy for concerns about slowing sales growth in china. given the recent market turmoil, here's a potential silver lining for silicon valley. the founder of skype says recent

turmoil will probably make the tech industry stronger. a conference yesterday, he's a great companies are created when the market is so good and market volatility shakes out those who shouldn't be there. he had advice for startups saying founders should raise money whenever they can even if they don't have use for the money immediately. you may rubber, he cofounded skype in 2003 and was part of group that sold it to microsoft in 2011. just ahead, more government agencies are using open source, but is it the cure? we will talk with get hub, next. employee at -- one spacex is using virtual reality. ♪

emily: turning now to coding and developers -- open source is increasing its presence in the government sector through federal and military agencies. is then balter with get hub. in the open source government right now and how does it work? ben: it is code for the source code so that others can read and

improve that. websites available for hackers and onto pers to improve and sharing code between agencies or between agencies and government contractors. the nsa andy would pentagon want to open source anything? it used to be that open source was kind of a discussion. but developers today are growing up and learning to code in a world in which open source is just how you build soft where. to find aard-pressed startup that isn't based on open source in some way. so long as the secrets stay out of the source code, open source is no less secure than closed source software. emily: so what is possible if the government opened versus more software that isn't ?ossible now

ben: the idea is twofold. the u.s. federal government's largest single purchaser of code in the world. think about a space race for software. this is taxpayer-funded code. you and i asked taxpayers are paying for this code in the type of challenges agencies face are not unique to one particular agency. the source gives them opportunity to solve the problem once and solve the problem across government. we are seeing a lot more presidential campaigns open sourcing information. can you give us some examples? ben: we have presidential campaigns on both sides of the thub. using gi the sanders campaign has their apps online, so if you want to volunteer from your living room,

you can do that by logging on and making some changes to improve the software they use to reach out to voters. githubyou are the government evangelist. how are you working to convince the government that they should be using this technology? ben: my role is to make sure when government agencies want to take their first or second step into the world of open source, that they are successful and have a good experience. unlike startups, which are a little more nimble and can easily join the open source community, government agencies are bureaucratic and process driven. when a government agency looks to bring on open source methodologies, the technology is the easy part. it's not a matter of being able to publish out the code but using open source as a vehicle and rethink their internal business processes and workflows , which is where i come in. alix: interesting.

thank you for bringing us that story. this week, we are focusing on emerging leaders in virtual and augmented reality. today, we focus on the 13th employee hired at spacex. he's using his background as an innovator to alter the way we socialize. most think one of the amazing things virtual reality enables is for people to feel like they are in the same place together. what we do is we bring people all over the world together in shared spaces and allow them to share things and experience things together. the first thing we hear from people is when they see an avatar is when can i get to look like me? if you represented in a way that doesn't look natural, the user's attention gets drawn to the thing that's wrong with the

avatar, so we make it as abstract as possible so users attention is drawn to the things that are right. watching things together feels like you are part of a crowd and you feel like you're surrounded by lots of other people even though you may be alone in your house. the super bowl is a perfect example of things people like to watch in groups. we had about 200 people come in on super bowl day and watch the stream on what seemed like a movie theater sized screen. this is typical of people wanting to consume content together. isre still this question of it going to be something only for the extreme gamer? we see that emotional experience you can have, connecting with someone thousands of miles away is going to transcend that and make it something more mainstream. emily: tomorrow, we will show you how virtual reality is being

used to change the face of journalism. coming up, how much could a messaging app improve your productivity at work. matchingmmate watching websites were syrian refugees. i want to leave you with some footage of the latest artificial intelligence project -- a school for robots. check out the story on bloomberg.com. ♪

seen: many if you have these tragic images on your twitter and facebook the. this three-year-old boy is one of at least 12 syrians who drowned attempting to reach greece. the image has become a symbol of the syrian refugee crisis. according to you and refugee then 2500 people have died trying to cross the mediterranean to europe stop our special bloomberg by today is 25,000 -- that's the number of refugees currently seeking asylum in germany and a couple in berlin is working to do something about it. they launched an online roommate mapping service that pairs refugees with citizens seeking roommates in germany and austria. more than 700 have signed up and there have been 124 successful matches. in the fast-moving world of

enterprise messaging, some players are sending out. the big name in the space but another player is grabbing attention. still in its early stages and having raised $12.5 million in its series a, it serves an impressive list of clients like united airlines, spotify, the u.s. army. joining me to discuss the plans in the messaging space is the lua ceo. it's interesting because the origins date back to hurricane katrina. tell us how you started and developed the project. michael: i was working with a country providing communications to first responders in louisiana and began to realize the critical break in the workflow was a lack of communication in the mobile devices. we have expanded into enterprises across the world. emily: what makes it that are

michael: mobile devices are being used more than ever. it was developed for the mobile device first. 89% of the u.s. is now using their mobile device and most of them are citing messaging as their primary workflow tool. we have seen a really rapid acceleration growth in the last statement. emily: you have a range of client, so i want to talk about the u.s. army. what is it that fits their needs? michael: the biggest workflow has been communication in the field, especially as it has evolved to better technology in the field. another great example is united airlines. they are a group we have been working with, helping with airport efficiency as that has

begun to improve the travel engine -- travel industry. like: you have companies spotify that uses both lua and slack. michael: as it was introduced into the engineering team, the comments around it was for the sale side and marketing side, it was too noisy and designed for the desktop worker first. we have been able to scale with them and continue to grow that relationship. emily: the holy grail of enterprise mutation has been increasing activity, getting rid of e-mail pileups. what is missing in corporate communications right now? how do we become more efficient more efficient?

michael: i think it's about how you use the communication tools. managementhin an suite. without being smart about the way you can indicate, big feature is not just the messaging but the international conference calling, the ability get 10 orne click and 20 people on the phone allows you to have less meetings. the small inefficiencies are with many e-mails going around. shaving seconds across the workflow to matter if you are at a hotel or work in a financial institution, we use our mobile devices more than anything. emily: do you think e-mail is going to die or is it here tuesday? way anyone ina the world can communicate with anyone else. say when we client

get an e-mail or slack notification, it's a bit noisy but every time we hear a lua being, it is critical and begins to relieve your inbox. 40% or 50% ofve your workflow, when you look at your e-mail inbox, it is a relief. emily: we will be watching you guys. thank you much or joining us. that does it for this edition of "bloomberg west. tomorrow, is this the droid you are looking for? we will be joined by the newest toy in the star wars franchise. ♪

stephanie: good evening. i'm stephanie ruhle. john: i am john heilemann. with all due respect to those who thought kanye west would be the one to take out donald trump, not going to happen. mr. trump: kanye west, i will never say bad about him you know why? he loves trump! john: do you like heilemann? stephanie: the h? john: happy bowling the day. the religious rollcall and scott walker's national anthem, but first, donald