the democratic national convention. chairwoman debbie has stepped down after the revelation of e-mails of party officials that it clinton over bernie sanders. the theme tonight is "united together." a primetime lineup -- heavy hitters from the party. massachusetts senator elizabeth warren will deliver the keynote address. first lady michelle obama and senator cory booker will speak. bernie sanders will speak as well. the latest cnn, orc national survey has donald trump hillary clinton 44% to 39%. the libertarian candidate gary johnson johnson has 9%. cnn says that trump got a boost from independents. have beenian swimmers

barred from the upcoming a lipid games following recent allegations of doping and a cover-up by -- olympic games following recent allegations of doping and a cover-up by russian authorities. global news 24 hours a day powered by 2600 journalists. i matt miller. this is bloomberg. ♪ emily: i'm emily chang and this is "bloomberg west." historic, and tech deal marks the end of yahoo! as we know it, and a cyber scandal on the eve of the democrats' big week. and we will focus on the men leaving apple's worst kept

secret project. first to our lead -- yahoo! buying-- price and yahoo! four $4 billion. this concludes a seven-month project that began in january. the deal also effectively ends the turnaround efforts of yahoo! ceo marissa mayer, whose appointment in 2012 was celebrated by wall street and silicon valley, or she is staying on for now. i spoke with her today and asked what horizon could do for yahoo! that yahoo! could not do as and then the company. take a listen. >> i think there is tremendous scale from the different assets they have been investing in. and we have reinvented our products. we have tried to make yahoo! mail perfect for the phone, very proud of where yahoo! mail, that client is today. the same thing is true for news, weather, sports, finance. we have our cornerstone

applications that when the user's use them, they engage with them, they love them, they engage with them every single day. for us, verizon has tremendous distribution. that is one area that we are excited about. it's just a huge amount of scale. you plan to stay. what role do you envision in this new entity? will closeely -- we in q1. my immediate priority is seeing the transaction through the close, but also watching the assets andr asian the equity stake we have there. moving forward, we will figure it out. it will probably look different. we have a lot of time going through the acquisition process leading up to the announcement. we have been in the auction process.

we will sit down with the folks at verizon and aol this week. as versus integration plans. i love yahoo! and it's really important to communicate the next chapter. emily: you came here with so much possibility, so much hope you're it you wanted to restore yahoo!, bring search back. how do you feel about this outcome? it. feel very good about yahoo! is a company that changed the world, and not very many companies can change the world. if you think about it, before yahoo!, the internet was a government research project. the e-mailumanized andunt, popularized search real-time media. that's really amazing. for me, it is how do you take all of those hysterical -- historical moments and have the paradigm shift to mobile, and when you look at the businesses, we are proud.

a billion users, 600 million coming through mobile. that has tripled over the last three years, in large part, we think, because of the quality of the products and the investment we have made, and there is an incredibly powerful transformational company that .as changed the world it's incredibly important. obviously, this transaction is not just about the strategic deal for yahoo!, but also unlocking value for our -- our shareholders. this was an opportunity to kill two birds with one stone, so to speak. emily: do you think having an activist investor made it harder, make your job harder? >> i think the company has various active agendas around it, around the past few years. at i think you should always be

open to challenge, always open to scrutiny. elements certainly that become more of a distraction. but the challenge is not something i would shy away from. emily: uncertainty -- >> you have to stay focused through it. i'm really proud of how the this executed through process, through this uncertainty. we have exceeded our goals for the first half of the year and we want to keep that momentum going. we will have that for the operating businesses in the future. emily: you said if you have three more years, you could turn this company around, you could want a choke up list. do you think you could have done more if you had more time? i think we could have

accelerated growth. that is the part of the deal with verizon i'm excited about. base is up 55% over the last four years, with mobile usage tripling. we have a large legacy business that has been declining. i'm incredibly power -- incredibly proud of the growth we had. we can go to $1.6 billion of revenue. that we can keep in either scenario the amazing growing and i'm proud of the acceleration of that effort. want: what do you really to do next? will you be a public company ceo again? i know you love products. do you want to be abc? do you want to start something of your own? involved in a product

that change the world. i got that at google. i got that at yahoo!. i love all phases of the company. managed google -- i 100,000's, and i love all phases of the company. i love, you know, the effort and the energy and the hard work required to stem decline. is so, you know, all of that really exciting to me. but it's really about being able to be part of the company that will transform culture and transform people's lives. have three children. your decisions around parenting were highly scrutinized for whatever it is worth. but how has -- that is such a big accomplishment. how has motherhood changed you and change the way you lead and your approach to business? >> i think you learn so much

about yourself and having children. my children are just amazing. being a mother is incredible experience overall. -- i havened that quality time with my kids, but i love to work. i love to have impact. i love to talk with them overall about it. my parents were over this week and yesterday, my son came out and he said, ok, so you are going to go and do your board calls and then i am going to play ball and we will have dinner. and i was like, ok, and my parents were laughing that my three and a half-year-old knows when my board call is. but to me, it has been a blend of my style. i get my quality time with them and watching them grow and learn and my background was artificial to watch at, and

your own children learn is just incredible. but it's also -- i love to work. i love to have a big impact. i love to have that space to bond with them over, and for me, it is really important to keep going. up with a to come blended working style that incorporates them, but still allows me to prioritize is important. how conversation with yahoo! ceo marissa mayer there. of next, we will dig deeper into marissa mayer's tech legacy with an exec who was there from her formative years at google. -- $4was $4 million billion a steal? what verizon gets out of this deal. plus, sprint posting its 16 straight quarter of subscriber gains. investors to get is a sign of progress for the ceo who has been using aggressive

promotions. this is bloomberg. ♪

emily: picking up on our top story, the end of yahoo! as we know it -- after months of speculation, verizon is buying and for the time being, seo marissa mayer is not going anywhere. our guest worked alongside marissa mayer at google, and also joining us, the former head of yahoo!'s global business department, and with us for the bloomberge hour, hour contributing -- our bloomberg contributing editor. you know her very well. this was the outcome she was opening for in the beginning all

these four years ago. how much of a success or a failure is this outcome for her? >> yeah, i think it remains to be seen what happens over the next six months for sure. i think she has committed for at least the next six months, to see through the integration with verizon. it's a disappointment for me, i think for a lot of entrepreneurs. we came in, she came in with high hopes. she probably would not say, but it's got to be sort of disappointing to her, and yet it could still turn into a success for the next chapter with verizon. you worked for her, worked at yahoo! -- is there hope for yahoo!, or is this a declining business? >> i'm quite hopeful in terms of the combination of assets with regards to aol and yahoo! under the umbrella of the verizon partnership. the platform is fantastic. they understand the business. they really get it. they know what they are

investing in. if you combine the two, and media, the challenges that google and the challenges that google and facebook own the lion's share of the market. how do you take your unfair digital mediat in advertising. that will be the way to judge the failure or success. we spoke to tim armstrong this moment on bloomer television. take a listen to what he had to say. -- on bloomberg television. take a listen to what he had to say. of aol,ombination verizon, and yahoo! is a very strong partnership. people focus on facebook and google, but if you look at the hundreds of media companies, internet companies, being number three with an opportunity to gain market share is what this deal is about. for the verizon site of the

house, this is a very smart top. at you look at the five internet companies in the world, their valuations are in the hundreds of ilion's. has gotten into this space for an investment of around $10 billion. i think if you look at this and we are number three with a very reasonable investment and you have a very hard-working team of people at yahoo!, at aol, and verizon, are going to work well together, this is a very strategic deal, a very important deal for the future. i think our market share is only going to grow based on our opportunity to scale. emily: david, some are saying 4.8 alien dollars is a steal -- $4.8 billion is a steal. others are saying this is aol time warner part two. what do you think? david: i think tim's point is a very legitimate one. if you believe this has

atential to be with -- to be contender with those other two. $10 billion is not a lot of money for verizon to get into a completely new business, getting away from being a dumb pipe. but i think google and facebook have shown what it is. it is extremely sophisticated technology that allows targeting of individuals based on deep knowledge of who they are. that is the thing yahoo! fundamentally lax, and -- fundamentally lacks, and aol badly.ess, but lacks they do not seem to be at the level of competing with facebook or google with online advertising. on the other hand, they could be a small growth business compared to the other to do. for $10 billion, not a bad deal.

emily: marissa mayer is staying on. take a listen to what marty -- martyd to say walder had to say this morning. >> this is different. it's important that we spend time with the leadership team this week. it she will be key to successful integration. i will leave it at that. we will come back when it seems right, but is premature to talk about. emily: it sounds like she is staying for now, but what you think is really next for her? >> sure. withhave done integration ale well, so they have some experience. that leads me to be helpful. there is no chance that marisa is going tuesday at verizon. i don't think that is a culture fit in the long-term. i think she is committed to the transition. she says she is going to help

yahoo! enter its next chapter. i don't think she said anything .bout finishing that chapter that -- people saying emily: do you think she would want to do that? says but i think there will be the opportunity to can it or that for sure, perhaps in the right partnership she would fit in. i hope that she stays on the product side, building something herself. but i am excited. we are going to see the next chapter for sure and i don't because going to be in verizon. do you think she will do a good job? >> i think the challenge is understanding the target audience. thehe reviews point,

audience for advertising was based on brands and advertisers from madison avenue. they have a model around consumption on mobile applications. but a lot of innovation occurs. particularly in native advertising. search was threaded and much more elegantly and the applications through the applications built under leadership. she dobut what did wrong? >> ultimately it was a turnaround, and without that asked areas him a it was challenging to write the -- without that experience, it was challenging to right the ship. the advertising peace and never really stuck. they have the text that that is quite sophisticated and you combine that with search in native advertising within noble, and is essentially an opportunity -- within mobile, it is essentially an opportunity to grow within the race. you think thewhat

legacy of marissa mayer is at this point and to the end of ?ahoo! this historic icon of silicon valley. david: it will always be historic. it's just a question whether it's a declining history. i think she gets the credit for taking an extremely tough task on. nobody thought it would be easy to turn around yahoo!, and let's face it, she did not exactly turn it around. i thought it was great in your excellent interview with her -- and congrats on getting that, by she talked about the thinke, which i do not the world has focused on that figure if it is accurate -- and i guess it is if she is saying it. she has very much been the victim of sexism from the day she walked in there and with the extra scrutiny, people talking about the wrong things, partly because she was a woman, and i

think that made her job somewhat harder. but it's imperative to listen to our in your interview and hear that she has come out of this pretty formidable, i believe. i think she has got a great future. emily: do you guys think investors were harder on her because she was a woman. >> i don't think she failed because she was a woman. harderbut were investors on her because she was a woman? was public scrutiny more intense because she was a woman? >> yes, i think there was more public scrutiny on her being a woman. some of the personal stuff was really hard. always talking about what she is doing with her children, her work from home policy and judging that. that has got to weigh on her. so, i'm sure that there was a component. i wish that there were more women in leadership. unfortunate she was a lightning rod for attention. andras,ll right, many,

david patrick, are contributing editor -- you are staying with me. who is responsible for the hackensack on the democratic national committee? some are going to russia. this is bloomberg. ♪

emily: now to a stop we have been watching. -- now to a stock we have been watching. microsoft -- a bump as analysts have been boosting estimates for the semiconductor maker for the last two weeks. and shares of nintendo over 70% today, the most since 1990. this after the company announced

that it will only see limited financial benefits from the worldwide smash hit pokemon go. up -- cyber security pointing to the russian government over the dnc hack attack. what will officials be looking for? if you like bloomberg news, check us out on the radio. this is bloomberg. ♪

matt: you're watching bloomberg west. your first check of word news be the democratic national convention is underway with reports that hillary clinton's campaign has asked

bernie sanders to encourage his supporters not to boo. tos held an urgent meeting come up with a plan to avoid or quell disruptions. heels that a the cyber security breach revealed staffers favored hillary clinton and try to undermine bernie sanders. the b wasserman schultz has stepped down because of that. bernie sanders is scheduled to speak tonight. gleason fort myers florida say an overnight shooting at a nightclub was not an act of terrorism. at least two people were killed and 17 wounded. the victims ancient in ray -- victims range in age. police in munich are questioning a friend of the teenager who went on a shooting rampage last week. speculation he may have known about the plans for the attack. the 18-year-old killed nine people on friday before killing himself. michael jordan has long

discouraged sharing his political views but he discourages -- he writes, "i have been deeply troubled by the deaths of african-americans at the hands of law enforcement and angered by they cowardly targeting and killing of police officers." global news 24 hours a day powered by 2600 journalists and analysts in one hundred 20 countries. this is bloomberg. 830 tuesday morning in sydney and i will hand it back to bloomberg's paul allen to look at the market. : trading about 1/5 of 1% following declines in the u.s.. futures indicating a modest

three point gain on the local market. shareholders and other creditors will collectively take a $260 million hit on that. this media reports in japan that the government is going to double its fiscal stimulus package to ¥6 trillion. >> just a final word on south korea gdp. a slight rise expected to 2.9%. bloomberg tv and sydney australia. ♪ is investigating

a massive hack attack on the democratic national committee. leaked e-mails shows committee members favored hillary clinton and undermined bernie sanders. the revelations have been distracting day one of the convention with attendees chanting and booting from the floor. the hack has been traced to -- joining me now my cohost for the hour, david kirkpatrick. here with me in san francisco, a former white house director of finance security policy legislation. where does the fbi begin here? what are they going to be looking into? they are going to be looking for more data to figure out who did this. attribution is very difficult but if they can get more forensic evidence and potentially some other sources of intelligence to corroborate

that, that will make a stronger case. it certainly is inconsistent with russia's overall am oh. how hard is it to find out where they got into the system, how they got into the system, and what the motivation is? >> in terms of finding evidence of an intrusion, typically you can find evidence of malware. they have covered their tracks, they deleted their data, they manipulated data. >> this has been incredibly disruptive to the convention so far. emily: trump has been piling on here. what has been your take on the story? >> i find it tragic from many angles.

the thing i've been thinking about, and kris can comment on this, maybe we are at the point of e-mail and security where if you are not one of the biggest players you simply cannot make thinks secure. facebook and google are encrypting everything. .ere you have hillary's server now we see the dnc's internal e-mail system. it strikes me that people who use primitive technology are going to get primitive results. i can't help but think about the fact that donald trump refuses to use e-mail. chris: you should be operating as of a breach were going to occur.

in this case the internal e-mail's adjusted a culture that was much different than was mentioned -- than was messaged externally. you shouldn't assume data privacy. >> i spoke to the notorious megaupload, who last year told me cryptically that julian assange would be killer clinton's widths -- clinton's worst enemy this year. kim: i would have to say it is julian. fori'm aware of roadblocks her. emily: using julian assange is going to be the worst nightmare for hillary clinton? kim: he has access to information. information? kim: i don't know the specifics. emily: he doesn't think wikileaks is behind the hack,

but he thinks there is more to come. deleted overry 3000 e-mails. i suspect those deleted e-mails , and i'm convinced wikileaks has been deleted clinton e-mails and more. what is your reaction to that? chris: i think it is fair to assume more will come out. i think what secretary clinton has going for her is she has generally held under the micros -- she is generally held under the microscope all the time. emily: david? : she is clearly -- she ishat she is clearly reeling from each successive revelation. be now operating as if everything we do in e-mail is a potential open book?

is that how bad it is? is pretty bad. we encourage our clients to invest in data security and take great care. what youto be certain say can come out on the record. it has to be consistent with your organization strategy. emily: how should the u.s. respond? chris: if indeed attribution can be made with any sort of confidence to the russian government, this would be a significant intrusion. it undermines a political institution in this country. to do that is well outside the norms of the international system. it should require some type of government response. emily: it is like a new cold war.

david bank it reminds me of watergate. it just happens it is a foreign power. then all the bizarre reports between the trump campaign and chump himself and putin administration. in sovery weird right now many ways that none of us could have foreseen. i think this thing is tremendously destabilizing. this has to be taken super seriously. chris: it reminds me of the manchurian candidate. emily: thank you for joining us. david kirkpatrick, you are sticking with me. another story we are watching, china is tightening its grip on information industry. companies,e including -- to stop original news reporting. the web companies will be allowed to only carry reports

from government controlled print or online media. coming up, everyone is jumping on the electric car bandwagon, including the u.s. government. all the details next.

emily: the obama administration is said to share -- set to shell for electric car charging stations coast-to-coast. driver'slp soothe the fears over the range of electric cars. industry,f automotive carl brower who joins us from

irvine california. we have david kurt patrick -- we .till have david kirkpatrick how do you think this will actually be? helpful.it will be it comes from two elements. it comes from the idea that cars don't have as much range as they would if they were internal combustion engine vehicles, and there are not as many places to charge them. if they can address those issues, they will greatly enhance the potential appeal for electric vehicles, and we are rangeto see 200 plus mile vehicles in the next few months. now there will be a bigger network of charging options. you basically have knocked out the two big range anxiety issues people feel. emily: it is certainly a big that from the white house. what is your take david? --id bank it is -- eve

david: it wouldn't hurt if we had bridges that were allowed to go over the rivers and canyons and such. i think it is a sign that the government is responding to what is happening in tech that we don't see the government doing. emily: another story, apple lead itsb mansfield to very on secret secret applecart efforts. guy at the known economy, what do you think of this pick? is a great pick because of his history with the company. it is proof that the worst kept secret in silicon valley is eventually going to result in some apple and four-wheel transportation. the company has a history of

producing effective devices and this will be a departure of what they have done in the past. exciting forremely anyone who was to get around in an apple device. emily: knows a prize they will bring out the big guns, but do you think they can catch up? david: i doubt it to be honest. look at the role they play in smartphones, they totally capitalized by doing something first and everybody ended up copying them. unfortunately we already have tesla playing that same role. the entire auto industry, and karl will agree, has been put on morning. apple can do all at once but it is somewhat trailing behind other thought leaders. what can they bring here that is fundamentally different and that

area go they might be able to build a very beautiful car, but that is something tesla seems to be doing a very good job of. a -- whether apple is distinctively able to have a huge impact in autos. emily: there is skepticism about elon musk and his long-term plan where tesla would come out with six vehicles in total. think? aredo you these plans pie-in-the-sky? he is looking at the right things. unfortunately there are a lot of state -- a lot of people looking at those things. uber has piloted most of the industry to try to build their version of autonomous vehicles.

it would make perfect sense for them to do it. nothing to suggest they have any real advantage over these other companies. they still have to finish part one of the plan. they haven't gone there yet. emily: several stories we're going to continue for discontinued to follow. david kirkpatrick, bloomberg contributing editor. another story we are watching, twitters sports portfolio is growing. twitter agreed to pay $10 million for the rights to stream 10 nfl thursday night games. and now a separate deal with the mba to stream behind the scenes and -- scenes videos

we will tour the pizzeria that has robots cooking the pies. pharma. we are talking that conversation at seven point 5 a.m. in new york. this is bloomberg. ♪

>> star trek beyond sword to number one in the box office. a new and million dollar open over the weekend. the secret life of pets has dropped to the number two spot. ghostbusters and the low-budget lights out tied for third. speaking of the big screen, amc

entertainment has resumed its shopping speed. company after shareholders rejected an earlier bid. amc also agree to buy a european theater. amc is owned by the chinese conglomerate -- pizza, a former silicon valley executive with a love of pizza and robots is on a cuesta make a better pie. robots that make pizza. explains.tsk >> there are a million little details. pizza that was made by team of robots.

is the we're doing here first. on a mission to disrupt the pizza delivery business by using mostly robots. >> the journey starts at the top of the line. system to allow humans to work together. it gets pressed and spun and put on the line. she spreads carefully and spreads it perfectly but not too perfectly, so it looks like a product. and get down the line the toppings applied. carefully takes the dough, and takes it off the line and moves

it into an 850 degree double-decker oven. >> this oven is just a prebaked delegate pie. changell make -- will the industry is they plan to cook their pizzas on the road, while being driven to the customer, in these tiny little ovens. whileyou cook the pizza it is being delivered, not only you get the freshest pizza --sible but you get the that's a pretty cool business. comes open. press the button again and in clockizza is objected -- store comes open, press the button again and your pizza is ejected. >> he was president of video .ames giant zynga >> to see around here is our on-site machine and fabrication

shop. we use it everyday when we need a thing that no one has ever done before. i have made prototypes for all of our racks that load in and out of the truck's. made hundreds of little widgets that help the robots with different tasks. the fabric of the company we built started in this room. made may seem like a be fooled,but don't there is a lot of profit in robot made pizza. >> imagine a business with virtually no labor. you can start to see how incredibly profitable that can be. >> for now there are still more humans and robots working there. count the many contractors that are trying to get the start of fully running. >> it is going to be a long time

before machines reach the point where they can do everything a person can do. probably not in my lifetime. it is an economic inevitability that certain types of jobs will be replaced by machines and ai. emily: that was olivia. and/or shares nearly up 6% picked a coin people familiar with the matter the company hired an advisory firm on its strategic options. an activist investors pushing for a sale. the wall street journal reported that the owner made an offer of $15 per share. no plans to sell the company he founded. on this day, say goodbye to the need of 3-d glasses in movie theaters. 3-d tech creates multiple

parallax barriers in a single display using lenses and mirrors to deliver a range of angles across the whole theater. while the system may not be market ready, researchers are optimistic about the idea of spec free 3-d theaters. tomorrow do not miss full coverage of earnings reports from apple and twitter right here. that is all from now from san francisco.

♪ announcer: from our studios in new york city, this is charlie rose. turley bank we begin this evening with the republican national convention in cleveland and look back at what happened after the four days there. we begin with the acceptance speech by donald trump. donald: isis has spread across the region and the world. is in ruins and our ambassador and his staff were left helpless to die