emily: a big win for ebay since spending off paypal -- sp inning off paypal. welcome back to "bloomberg west ." we have a great show coming up for you. i will be spending -- sitting down with michael dell. we will talk about the future of reddit. we are talking about ebay, of

course, first earnings out since spinning off pay about -- paypal. it looks like the spinoff has been a good thing for paypal so far. role at della big world as well. what is your take on some of the numbers? >> it is impressive. we are entering this area where we are seeing more and more numbers coming out about online shopping. the number of people who will spend online this year is expected to rise by a significant amount. providesof site that that kind of capability is going to be a big deal. the challenges how do you compete against an amazon? it is sort of like the replacement for classifieds.

when you think about the role -- people have a lot of things they need to sell. ebay is a place to do that. they have brought on a lot of retailers and there are people who do look for alternatives to amazon. a lot of potential growth for them outside the u.s. emily: shares are up 8% in after-hours. what does ebay become without paypal? is this just an auction site? challenge. it is a great question and there is no easy answer with regard they will -- with regard to what they will be able to do. hopefully, they can carve out a niche for themselves. various resales of items. you can see them offering other

types of services and they would expand into other things. that is a possibility down the road. thank you so much. as i mentioned earlier today, i got a chance to sit down with michael bell. --rosoft created the most microsoft and dell are competing more than they ever did before. i talked to michael about all of the interest dell is going to have to pay as well as his relationship with microsoft. are they friends or are they for enemies -- or are they fri enemies? michael: the intent is to drive

the platform, and we come in with a product that is more affordable, but we can sell 100 times more, great. dell makeare seeing the biggest tech deal in history. microsoft has done a lot of smaller deals. why not a bigger deal? is it too risky? michael: this is the stuff she lives for. >> that is not the way i think. emily: is it something you would consider? >> we have a very clear vision of what it is we are trying to get down. i want to stay true to that.

that we have is our organic bet always. we will look at any opportunity that fits with where we want to get to. i ask myself each day, i do not want to be in every part of the tech industry. i want to be in things were microsoft has a unique contribution to make. that sense of purpose and identity is what makes companies successful, not just doing everything. that is what will drive whatever we do organically. emily: on that note, we have been talking about the unicorns and these valuations which are going up and up and up. michael: there are some different things going on. when i.t. moves just from the

realm of making companies more efficient at doing the old things into this digital transformation, it is a game changer for new industries. valuations making sense, are they all going to work out? probably not. but there are some fabulous new companies being created. emily: say there are 150 unicorns, how many of them are real? satya: both sides of this argument have their point. ,here is this book that i read she has written a fantastic book around the natural business cycles of financial cycles that fund technology. it has been true from the industrial revolution to today.

you have these blooms and busts -- booms and busts. the beauty of over funding, lots of ideas get to flourish. out of that, they will eventually have to be -- there will have to be a correction, a bust. but there will be 10 or 15 very successful companies. that is what is great about the american entrepreneurial system. that is what fuels the competitiveness of this country and i think we should celebrate that. investors have to have caution because you have to make sure that you know there is a boom and a bust and the cycles are always going to be true in our economy. emily: where are we now? >> if i get time that, i would not be sitting here. emily: earlier today.

reddit cofounder is with me now. you have been doing some panels here in addition to recently .oing back to reddit full-time i want to talk to you about what we just heard. 10 or 15 unicorn surviving out of 150, that is far lower than what i have for it from some of the more skeptical people. what do you make of that? >> i'm an investor in some of those unicorns, full disclosure. i think yes, business cycles are a real thing. these things are cycles. i really do think that what a lot of these companies are doing is transformational. we all take for granted the role the internet plays in our lives and we are only seeing the beginning of the effects. i think this is what the industrial revolution was.

this is the internet revolution. emily: private companies and at the same time, we have dell buying emc in the biggest tech deal ever. our dell and microsoft leaders or are they followers? : there are only a handful of companies that are doing that awesome kind of leader type stuff. i have lots of issues with facebook, but they are shipping world-class software, a leader type position. i also say this, at reddit, i think you cannot discount the fact that there are lots of --panies that have clearly that have been working at this for a while that will take advantage of the fact that incumbent start losing sight of

their focus. the great thing about the free market is that you do not know what to expect. i would not count any company out. we will be watching. alexis, you are going to be with us for the rest of the show. i want to talk about some other things going on in technology today. slowing growth and rising cost driving a wave of consolidation with two deals worth nearly $30 billion. billionearch, a $10.6 deal. the combined company will opt annual sales of eight point $7 billion and will become the second-largest chip equipment company. that deal was dwarfed by western digital's purchase of sandisk.

my one-on-one with michael dell. he tells us why he is never getting into mobile phones and how he feels about carl icahn. i will leave you with one stock on the move today, and that his twitter, sales fell more than 5% today. developers conference today, a billion people received tweets embedded in other sites and apps. twitter reports earnings after the bell on the 27th.

holmes steppedh into the lions den tonight speaking at a wall street journal conference to defend against accusations that her startup has misrepresented its lab test. elizabeth: i read what was written in the article and we think it was this leading and faults -- misleading and false. allnteract with the agency the time. we have chosen to take a pass that is hard and i believe in it strongly because it is the right thing to do and i personally worked very hard to change the law in arizona to allow individuals the right to order lab test directly and i cannot

do that without knowing that the tests offered are of the highest quality. emily: she did not pull any punches, calling the journal of tabloid and send the paper failed to provide the proper context for the way therabos measures the effectiveness of the tests. is leaner really better? hp finalizes its split, dell is taking on tens of billion-dollar's debt to buy emc. deal.itman criticized the in an interview with me earlier today, dell fired back. more than $4.5nt dividend and interest expense.

is ap will -- if hp were to go private, it would spend $2.5 billion -- i am talking about the whole hp as it exists today. -- herd save two point argument is ridiculous. i think if one goes and does the math and compares what companies are spending today on shery purpose interest and dividends -- on share repurpose, interest, and dividends, i feel very comfortable with the decisions we have made an even more so on attacks adjusted basis. emily: will we see dell making mobile phones? why not? michael: this has been a very difficult sector. one of our competitors got in say space and -- let's just

there is one company that does really well in mobile phones and a whole bunch of companies that don't. emily: you must be talking about apple. michael: we are not planning to get into the mobile phone business. emily: you took this company private two years ago. is there one thing you miss about being a public company? michael: no. i am sorry, there is nothing i miss about being a public company. it is so much easier to operate a private company. i will point to couple of things. dell with our customers a survey. our net promoters scores are at the highest they have ever been in our company's history. we also do an employee survey

across all of our 100,000 team members. dell.called tell those scores are at the highest years weer in the 15 have been doing this. when you lineup the investments we are making, innovation, rmb, with our leadership and ownership and they are completely aligned and there are no disgruntled activist shareholder's telling the company what to do, it is extremely powerful. our people are very energized. emily: what do you think of the carl icahn's of the world? michael: there is a role to play for activists and investing. anything taken to extreme can be a bad thing. i do not have a particular icahn.s for mr. icon --

emily: how does the board change? michael: there will be changes that will be detailed. fiorina mentioned carly . she is remembered for that deal. how will we remember michael dell? is the: i think this second act in what i am pretty excited about as our future. hopefully, you will come back next year and the year after and we will have some interesting things for you. emily: my interview with michael dell earlier today. at this moment in time, he is trying to pull out the biggest merger and tech industry -- tech

history. he is staying in pcs. how will we remember dell? we started building reddit and we started building it on a dell laptop. it will always have a soft spot for me. hady: a lot of people who dell laptops do not have them anymore. alexis: he has the ability to try something like this and actually make it work. quickly traded companies have to make those -- publicly traded companies have to make those big kinds of acquisitions happen and they rarely go well. but when they do, they can end up eating very successful. -- being very successful. emily: he did tell me that he is all in.

we will talk to you a little bit more about reddit after this break. reddit launches its own new site. is it an attempt to take on buzzfee? ♪

reddit became front-page news this summer when alan powell tried to clamp down on harassment. reddit recently launched its own new site. back with me is the cofounder, now back at reddit full-time. ted.nt to start with upvo how is it going?

alexis: our editor has done a great job. we have generated over 900,000 unique sites. we are well on track for our goals for the first month. we wanted to prove a straightforward thesis. these aggregator sites have really built businesses out of harvesting this content. how can we do that faster and better? emily: you have jack at twitter trying to reformulate the product. 300 million plus users. how do you see yourselves in a world where twitter exists? alexis: both platforms have a role to play.

just seeing how when you bring that founder mentality that, you can reinvigorate folks. one of the things that has been so great was just seeing this company start growing, doing the things we should have done over the years. grow -- tomanaged to be the top -- the 10th biggest site in the country. powell may clamping down on harassment a huge priority and it did not work out with her at the helm. they brought back you and steve. i see how that sends a strong message about founder ceo's, but what does that say about diversity? the tech industry has a harassment problem and a

diversity problem. only 70 orare still so people. around this time next year, we will be able to publish our first report and it will be reflective of the kind of company we want to be. emily: where do you see reddit's place in the social media ecosystem? alexis: word-of-mouth is where everybody wants to influence. it is why we do the things we do. in the day, it had to be around the water cooler or around the dinner table. today, it is reddit. we want to the best job we can to get as many people as possible joining those discussions. emily: we will be watching. great to have you on the show. thank you so much for watching

us. we will have a lot of earnings tomorrow, don't miss it. ♪

announcer: from our studios in new york, this is charlie rose. lewis is here. he is among the most dominant defensive players ever in nfl history. for 17 years, he terrified the opposition. he is a ravens all-time leader in tackles and fumble recoveries and was named super bowl m.v.p. in 2001 and played his final game in 2013. he writes about his journey through life and the nfl in this -- "i feel like going on." welcome