caroline: this is "best of bloomberg technology." we bring you our top interviews from this week in tech. coming up apple and ireland wage , war on the european union. it is over a tax bill. plus, blackberry doubles down on software, and the move is paying off. we dig into the struggling company's latest report of the ceo. and online lender sofi taking it

slow after a rough year and pushing back plans for an ipo. the ceo joins us. to our lead, apple is challenging its $13 billion tax bill from the european commission. apple says the case has no basis , and they are confident the ruling will be overturned. the fight between apple, ireland, and the commission has been building. margrethe vestager, the european competition commissioner explains why this fight will be , a long one. margrethe: i think that we will continue to disagree on the decision. also, because we have very different legal traditions. i have learned that in the u.s., it is absolutely the order of the day for a business to negotiate tax rates with the state where it is situated, and we have had the prohibition to do that since so you have a 1958, clash of understanding. caroline: we discussed the

latest development's with david rosenblum of nyu law. he spent years at the treasury department covering international tax law. also, david kirkpatrick and bloomberg editor at large cory johnson. >> it was interesting, because it explained the history of this tax regime and the different pieces of apple and which pieces of apple should be considered irish were considered irish, and , which are not. there are two ways to look at the news of the day. one is whether this backwards looking thing, looking at the way apple has paid taxes might , bode differently for the future of apple in other countries as it relates to getting taxed in the eu and taxed in ireland. it is a long piece, but it gets into how this business, apple claiming certain parts of their

business, were not really in ireland even though some money might have passed through ireland, therefore, should not have been taxed there because they were going to be taxed somewhere else. so it is about what business was irish and deserves to be taxed in ireland. caroline: thank you for joining us. give us a sense of apple claiming they were selectively targeted by the eu here. do you think they have a case? >> yes, they have something of a case. i think that it is true that the investigations have focused to some extent on u.s. companies. on the other hand, it is probably also true that u.s. companies have led the world in aggressive tax planning, so i don't find it particularly surprising. caroline: david kirkpatrick, weigh in and give us a sense of your reading of the tea leaves. is there potentially tax warfare going on between the u.s. and europe?

>> i do not think it is quite to that point. but i think it is a confusing situation of where i think apple has been extremely aggressive in how they structure themselves when they face these tax jurisdictions is an interesting question, and whether it is appropriate that they should be so fine tuning their own structure when they are simply trying to do business around the world, you know, it is legal, and the united states, at least. it is turning out that maybe it is not legal in europe. where these companies have to have a positive carrying of the flag around the world, we might question whether it is to our benefit that they are so aggressive in other jurisdictions. caroline: give us the shareholder opinion. surely, for many, the shareholder would say it is the company's obligation to prioritize profits. >> in the context of a donald

trump presidency, when we might have a big tax rate prescient -- tax repatriation holiday you , have companies like intel, apple and others who have set , this up to make the best of a that situation. you wonder whether the repatriation holiday might not be such a big deal for them and they might not be so willing to bring cash back because they found another way to get around these laws. caroline: that is a key question for the next administration. there is much under discussion from a global perspective. the oecd was lining up to get tackle this can worldwide and get all countries singing from the same hymn sheet. is that the way we can move forward that there is some sort , of agreement worldwide?

>> what is missing in the apple debate, and it is partly an answer to your question, is the fact the oecd necessarily reaches consensus at a high level of generality, and the issues come up at a factual level, so that applying these general concepts to the particular facts at hand is a real challenge. i don't think it is possible to reach international agreement on the kinds of issues we are talking about, and i might add that not withstanding the commission's decision, 130 pages released today it is , pretty slim on the actual facts of what happened. it has a great deal of history about the dispute, about the oecd, state aid, a lot of legalese and background that makes for tedious reading, but i was looking at it to find out what actually happened here. boy, you look in vain to find

out how it was that one of these companies, asi, booked about half of apple's profits in 2015. commission says apple had $54 billion in profits in 2015, and asi booked somewhere south of $25 billion. >> i thought it was fascinating reading for that same reason. i agree. they did not lay it out chapter and verse, but there was so much great detail on that, and it was interesting to see they could assign so much profit to that particular region when obviously they had a global business here at it was not all happening in ireland. caroline: what is the broader expectation? who wins out in this particular argument, and what does it mean for amazon, starbucks, ikea, other companies being analyzed by the european commission?

>> in a rational world, and unfortunately we don't live in a rational world, that in a -- but in a rational world apple , wins in the dispute with the commission because the , commission is advocating assigning all of this excess profit to the branches that apple had in ireland. and frankly the branches that , apple had in ireland had nothing to do with most of this money, so the commission is -- the commission and the united states are looking at the world from two very different perspectives. the commission sees these individual companies, asi booking $25 billion, and we see a branch in ireland and there is no real head office here, therefore all the profits should go to ireland. that is sort of what the commission is saying. the united states sees it differently. we see asi as a branch, not a separate corporation. it is a part of the top-tier

company which has branches all , over the world, so from a u.s. tax analysis of this, it is a much more complicated situation than the commission sees, and that is because of profound differences in the way we look at tax laws. i think you will find similar , but not identical structures , of other high-tech companies in other countries and maybe some in ireland, and they will all be a little bit different from each other, but they all pose similar questions. caroline: coming up we will hear , from the blackberry ceo john chen as they boost forecasts with a new focus. that is next. and facebook takes on fake news, but will it work? we had to italy later this hour. this is bloomberg. ♪

caroline: a couple of headlines in the auto sector that caught

our attention this week, all highlighting how this industry is seeing massive changes thanks to new technology. fiat chrysler announced the first, production of 100 minivans that will join the waymo vehicle fleet. they will have self driving technology, including computers and sensors. meantime, a new study reveals a large amount of motorists shut down self driving technology in their car. according to hyundai, half turn off emergency brakes and lane departure warnings. drivers don't fully trust the technology. nevertheless, blackberry is opening a research center for self driving cars. the move raises the probability of government backing the software unit. and speaking of blackberry, the company boosted 2017 earnings outlook and posted an adjusted profit margin for the third quarter of nearly 70%, its highest ever. we caught up with john chen in ontario and asked him whether

these margins are sustainable. >> a normal growing software company could definitely do better than 70%, yes. it will take us a while to get there, but it could do it. caroline: how about the software revenue growth? you said that will be 30% this fiscal year. 30% growth for next fiscal year as well? ,>> no, now the number's are getting pretty big. i think the market is growing somewhere around 10% or 15% this year. caroline: it is renowned that angela merkel has used the blackberry, the belief in the security the blackberry offers. how in this sad time of increasing cyber thick -- cyber security threats and concerns -- is there a concern? >> i guess in a certain way the answer is yes. it has to be yes. i see a lot of discussion,

people try to get their arms around security and cyber security. mobility is one of the biggest vulnerability points. this is where we are the number one player, where mobile meets security. there is a lot of conversation and we feel comfortable on where , we sit with customers. caroline: you announcing just yesterday, a new research center in canada the focus on , automation and driverless vehicles. this is a really crowded space. you are up against apple, not to mention the automakers. how do you fight within this competitive space? >> i don't fight with them at all. first of all, about a month ago we announced a transaction or an agreement with ford motor company, providing software to

help them build the next-generation car. i will let them tell you what the next-generation car is, but we are helping them to do that. we have engineering people helping them. they are using our software. this is just an example of what the autonomous driving innovation center will focus on. all the automakers will be our customers, our partners. all the tier ones, like lg, panasonic, samsung, they will be our partners. they have already been our partners, and we are very proud of the relationship with them. we are not setting this up to compete with the automakers, to compete with tier ones. in fact, we are embracing an open standard. we want to build the foundation so cars can be put safely on the road. caroline: automation is something that we have been

discussing, and announced yesterday but not long ago, we , saw another announcement from blackberry, a licensing deal. you are letting the chinese partner build the hardware. how much of the relationships with china at the moment are under threat with president-elect trump? are you cautiously optimistic or concerned about the direction of u.s.-china relations? >> that is a very complex question. let's start with technology. i provide all the software the majority of all the security secret source is in. so there is no truth that if i build my phone in china by a chinese partner that my phone will not be more secure or less secure, whatever the right english is. our security is paramount. we do not have any issue with that. we control all the software and the security software associated with it. we also have an office that manages all of these devices in canada.

we don't have any interest in outsourcing those things. the net of all that is i would not be concerned about security. as related to what the united states government policy is and where the trade issue is going to go, nobody really knows the answer to it. i heard an earlier guest talk about putting a tariff on developing countries. i assume the guest is referring to china and the currency manipulation situation. or at least being accused of that, all that discussion going on with the president-elect. i assume that cooler heads is going to prevail and we won't get into a trade war.

caroline: would you work with the trump administration like you did with bush? >> absolutely. like everybody said, he is the president now, he will be. anything to help the country, we definitely will. caroline: that was blackberry ceo john chen. coming up, facebook rolling out its third-party fact checking system to combat fake news. now it is getting help. we will speak with the director of international fact checking. and coming to a pub near you, the world's first beer brewed with the help of artificial intelligence. can machines really brew a better beer? this is bloomberg. ♪

caroline: since president-elect to donald trump that with tech leaders, we have not heard from many of the attendees, and the

silent perhaps speaks volumes since trump has not had a strong , relationship with silicon valley. tim cook finally spoke out this week about the meeting. he explained why he attended the meeting, saying "we engage when we agree, and we engage when we disagree. i think it is important to do that because you don't change things just by yelling." since the u.s. election facebook's outlook on fake news , has evolved. the company recently pulled a 180, turning to third-party fact checkers to flag false stories, but is it enough? we discussed facebook's new strategy. >> the pointer institute has developed a code of principles for nonpartisan independent fact checkers. facebook decided in order to be a third-party fact checker on the social network, at a minimum condition you will have had to , sign on to our principles. caroline: so facebook is the

arbiter of who is a third-party fact checker? >> correct. signing on to this code of principles, which requires transparency, is a necessary condition to be a third-party fact checker on facebook. caroline: many people signed up to the international fact checking network have been pushing for mark zuckerberg and facebook to take these steps. are the steps announced enough? >> we are in the early days. i hope you don't think i am dodging the question, but the reality is we have will have to wait a few weeks to see how this works out. there has been a lot of pressure for facebook to do something. we need to see how this works out in practice. in theory we think it is a , welcome choice, but it may not be effective. >> in terms of where it could initially be tackling stories

that are obviously false, but the more misleading articles potentially that come across social media and catch wildfire, do you think that will he able to be blunted to some extent? will we see those sort of misleading stories pushed down? >> it is important in the first stages, and facebook and a third-party fact checkers are aware of this, that the concentration be on the 100%, totally fabricated stories. you know, the pope endorsing donald trump, those stories are the ones that did really well by the social network this year, and those are the start of where the fact checking can have an effect. when we start going into the grayscale and the half-truths, it will be more complicated and , there are other platforms to do that. i am convinced this experiment could have a beneficial impact

if it weeds out the totally fake stories. caroline: how important is this as we enter 2017, the u.s. election in 2016, and we have germany, france, the netherlands, a wide range of political events happening next year -- how is the institute preparing itself? >> i would add in the election this year and the brexit campaign and the italian election. in these campaigns we have seen , totally fake stories do well on social media. in the italian case, it was the stuffedoxes allegedly and votes found in an imaginary town. i think this is a problem of international scope, and it is believed that facebook is looking to roll this out internationally. the pointer international fact checking network has members from across the world, and they are all eager and keen to see

this rolled out cautiously and carefully, but in other markets beyond the united states. caroline: that was the director of the institute fact checking network. the world's first beer root with -- brewed with the help of artificial intelligence is on sale in the u.k. four beers have been made. each recipe based on customer feedback through a mobile app. we went to find out if machines can really brew a great beer. ♪ >> how do you like your beer hoppy, bitter, dark? ,brewers have been trying to find the perfect recipe. could it be that computers can do it better? youe were talking about how

can do this more constructively, and it was right in front of us. >> his epiphany led him and his friend to develop an algorithm that turns customer feedback into a better beer. the process goes something like this -- a website printed on the back of the bottles directs drinkers to a survey that asks them questions about their taste preferences. the ai bit comes next. >> that data goes into our reinforcement learning algorithm, which is called abi, automated brewing intelligence, then the algorithm takes all this information and then comes up with a recipe and gives the brewer a recipe. >> enter the very human brewer who acts as a last line of , defense if the ai goes rogue. >> most of the time it is bang on. sometimes it will throw a completely random thing at us. some of it is just not possible, and that is where you still have that human aspect to it.

>> humans brew the beer and drink it, too. >> kind of like seawater with cranberry. >> if you use an algorithm, when -- won't did out tasting middle of the road? >> i like it the more i drink it. >> customer feedback -- it can be fickle, but the technology points to a future of tailoring products to the people who use them. >> there you go. >> in the future, the same technique could be used for other products like coffee, chocolate. the one i really love, perfume. >> so get ready -- in the not-too-distant future, you will be able to give your feedback on just about anything, for what that is worth. caroline: still ahead, unicorn valuations -- will we keep seeing valuation skyrocket in

2017? we will hear from one investor who is not so sure, next. and if you like bloomberg news, check as up on the radio. you can listen on the bloomberg radio app, bloomberg.com, & areas -- sirius xm. ♪

>> welcome back to the best of bloomberg technology. i'm caroline hyde. 2016 winds down, the massive evaluation emerging. uber and snap's value are fair and others warn of a bubble. emily chang spoke with accolade partner about just that. take a listen. >> i do believe and i agree that highest eing what the level of fund formation and company formation but at the we are at, we believe the highest level of interknow vacation and disruption. i think that is going to continue going forward. a lot of these companies will

not be able to be funded going do, rd, but the few that there will be a subsection of them that are going to create interesting things that really way we work and operate. > now, a lot of companies have delayed going public, valuations have soared, there has been a unicorns, so-called unicorns out there. how do you feel about that? belief is there should be fewer instances of unicorns out there, primarily the majority of the m billion, pens under a few are going public. if they plan or expect to be a be a high ere better probability they can go public. otherwise, if they're growth everytes which happens to company eventually and they're not profitable, they won't be able to go public. their valuations will get crushed. there has been a focus on optimizing valuation versus exits. we hope that changes going

forward. >> that said, you guys are investors in a number of funds. they have a lot of unicorns in their portfolios. does that concern you? you look at the top have the ms, they unique ability to invest in the elite countries, lyft.ook, pinterest, uber, for those manages and companies, there is a market for those companies to go public. the broader venture community, unless you are in the elite companies, we believe that m and a is the ostly likely outcome for those portfolio companies. in ason horowitz, one fund particular that made a big splash, there is controversy about how good their returns have been so far. do you have any concerns there about the performances? >> we don't have any significant concerns. we see the numbers. they delivered very good returns course of the firm's

life partly because they have some of to invest in the elite companies i just mentioned. we're very bullish on them. when they entered the develop capital game, they changed the dynamic but offering recruiting, as p.r. and sales pipeline by introducing strategics to companies. daily basis, they'll fortune 50 ands, 500 companies and for a number of them, the introductions are a portion of their sales pipeline. as you talk to entrepreneurs, that's a game changer. over and over again. overall we are very pleased, in t returns and investing some of the iconic companies and changing the way venture capitalists operate. firms are mimicking the types of services their offering. >> until you decide which funds to invest in and how venture compares to the other sectors that you're on?used >> we invest in a mix of venture and ol and growth equity

ome buy-out, technology and healthcare. we are modeling 5x plus funds. that's because on the growth and buy-out side, a number of managers have net funds to us with shorter time for liquidity, risk. we are looking for those funds due to the longer timeline and increased risk. >> charging into the biggest asset management in battleground exchange traded funds. he san francisco-based bank is considering launching its first e.t.f., but is it too little too late as the competitors have a major leg up in the market? caught up with danny and kirkpatrick from new york. >> this is a struggling time for active managers. they're seeing an immense amount outflows.

inflows are going into e.t.f.s, it's the new breed of e.t.f.s that wells fargo is looking at that is taking off. this is the hot new product. if wells fargo wants to be part of the next generation of this is something they have to be in. frankly, a lot of people are surprised that it's taken until year, actually, the next three to six months that wells one of going to launch these products. >> they try to differentiate themselves to strategy. us about the way in which they're doing that. >> we got to break it down on types of e.t.f.s. quantitative-based based around computer ago go rhythm. withoing to pick the stock the most momentum and the cheapest stocks. from there you go to multifactor things and those lumps them together. i'm not going to just use one of these factors. i'm going to use a couple of them.

so this is really an idea whose time has come. his is well wells fargo is entering in. if you look at this chart here, not as re growing, but much as smart beta market as a whole. goldman sachs really has the here. that's going to be the biggest competition. into e hoping by getting this front, they can differentiate themselves from others out there. maybe a bit of me too coming from wells fargo. david, you like the fact that catching on, right? >> to apply algorithm approaches tools that ordinary investors can get access to. techniquethe kinds of that have been confined historically to the highest net worth individuals, the biggest and this is a great way for ordinary people to nvest in a much more sophisticated fashion, basically allowing the software to of stocks thates eally wouldn't historically be

assembleable. the software is selecting for ifferent variables and do things in real time that is much more so fist indicated. that is a grocery store company, it has gone up in certain conditions and down in relation to ons in something else. i think that's a great thing. point, i think that's really compelling for these companies. really great report taking some of the best investors over the years, taking warren buffet break it ound you can down using algorithms, people have dreameduldn't having an investor working for them like warren buffet, they buy the products and get essentially the same returns. active versus passive. the last one in terms of the into e.t.f., what made wells fargo mace a trick stand on that u process? >> talking about wells fargo is sensitive because they seem to a bunch of mistakes in

recent years in their larger business. that they esting would not have been in the sort of advance of this kind of whole that they're in the thick of the tech community out there. start-ups thatof certainly are pressuring companies like wells fargo and finally they're responding. i think we're going to see a ton of innovation coming from tech to investing. >> coming up, twitch is taking heavyweights of video streaming, facebook and youtube as the company looks beyond gaming. catch up with the c.e.o. next. i.p.o. e plays out his timeline and discusses what is expanse. for global this is bloomberg ♪

>> the c.e.o. is making good on is $50 billion promise to the u.s. he will invest $1 billion in one

eb, as a pledge to president-elect donald trump. the investment is expected to new e almost 3,000 engineering and manufacturing and support jobs in the u.s. over the next four years. start-up said it $1.2 billion. as al finance better known sofi. the san francisco-based company hunt for the additional funds to raise $500 million in additional equity. one of the is fastest growing online lenders. we caught up with the c.e.o. take a listen. get was wonderful to support and existing investors we are doing is using it for the budget sheet. e learned the need to have a balance sheet and originate during periods of market dislocation. we continue to expand that as

we're profitable in creating the balance sheet today. you're raising more money? raising more money and one of the biggest challenges is sheet challenge where we place production. $16 and $20 billion originated in loans. deep pocketed relationships with investors that are in the business of buying loans is helpful. the round.talyst for >> you started off in student oans and moved into new products, mortgages, life insurance. what other products will you bring online when you get to finance? >> today we're very heavy on the mortgages, personal loans, refinancing. management, wealth insurance is an important component to that. in 2017, one of the biggest we'll bring to market is the credit card. e deliver a full service of solutions to our member base

that they don't need to go they needlse for what from a financial standpoint. >> i come from europe where i banking with, in germany, we united kingdom, plenty of other start-ups. is this where the competition is competition s the coming from the banks as they start to work out that this is where they need to get ahead? >> we see much more competition from the banks. we're going after a very rich 25 to in terms of that 45-year-old customer demographic. it's important to the banks in those f building relationships. whether it's student refinancing mortgages, oans or we're seeing much more bank competition today than a year ago. to differentiate through our profit proposition. of these all different products. how long until you take the to the germany and u.k. talk about international expansion.

> we're doing australia first and then to the broader asia as well. it's the same value propositions, delivering speed and convenience and alignment and transparency, something that of these in a lot markets for this millennial-type customer. > what have you done in terms of setting yourself apart is helping foster the careers of some of these students. ou have the entrepreneur meet and greets, people come to your house and get to understand you advice. given how do you scale that, and indeed, how much is hurt by when clubot things like lending not doing quite so well in the press? does that hurt you from an investor and a consumer point of view? >> we have 200,000 members, if my house, i to would have a lot of trouble. we don't do that. of offline events, events,e gone to offline career services to get reemployed or the entrepreneur program where we help people the dating ies or

vents which are oversubscribed for our members, more household units to sell mortgages out of that. part of a differentiation. the community is beginning to support itself. up the events with our support, but not a situation where everyone is coming to my house. day.ose were back in the >> back in the day. >> talk to me about the regulatory perspective here, though. looking at the united kingdom finally listening to what is happening, and looking what is happening in cloud funding, we're talking about the forward h is a very thinking open regulatory environment. here do you see regulation changing here and for your business? >> we're optimistic about the regulatory environment over the years.uple of the initiative to do a lending charter is a step in the right direction. we can move away from the regulation we have today and do regulator.ational we hope more comes as they get more comfortable with the ndustry and the people involved. >> i.p.a.2017?

>> i always get in trouble when coming.'s we want to go public, it's important for the business. of y we have the luxury being profitable and growing at the clip we're growing at. hard to determine when we'll do that, but we'll do it when it sense.he most >> now to twitch, stepping into the video live streaming gold the amazon owned video platform is looking beyond branching out its streaming offerings. competition n the of facebook. e asked about the expansion beyond video gaming. going e always, i think, to be video game seven trick twitch and always love video games. we're super excited to expand and bring creators using the technology we have in the community. >> how will this expand?

you using the creators already expanding their knowledge base and their variety of scope or is it actually people to the platform? >> we have been experimenting with the creative category on for more than a year now and what we've discovered there, while there is a ton of crossover, you do see lots of gaming creators also wanting to arts, also wanting to do comedy, wanting to be, you know, artistically creative. you also see new people coming in who have never created before who now feel like, oh, here is a place for me. it really is a mix of both. there is slightly more people crossing over from the existing but we ies coming in, have a lot of people in the existing communities, so i think we will see a , ton of new people creating. that's our goal. we would like to get a lot of on the le creating platform. >> how do you go about doing that? investing in marketing or

the platform? focus on the product. we like to think that the product should speak for itself we want to have a great product for creators that make sharing your deo, passions really fun. the other thing we do is we heavily in a team teams at rtnership twitch. help grow them to the point could become a twitch partner. they have the opportunity to and get their channel access to special events at twitch and so i think that we have a great product and try to make sure we're out in evangelical icing it. the most prominent thing we have done with amazon is twitch prime. t's a twitch-oriented part of amazon prime. it calls with all of the amazon

prime benefits, free shipping, but also on twitch benefits. that's been awesome for our creators. lot of moneyrive a into their pockets. it's awesome for customers. amazon prime is a great product. the twitch add-ons are really great. we try not to force it. far, we're gaming so in the learning phase. i'm absolutely positive has we amazing we'll find things to do with amazon. on growing that community. >> the community that you have already that loved you for the are they e of things, worried about the expansion, worried about perhaps losing the u.s.p.? >> we started worried when we beyond gaming ng whether the community would embrace that. have.esome thing is they we ran a survey asking people what do you think about twitch nongame content, is it good for the platform. creators agreed or

strongly agreed with the tatement i think twitch adding more content than just gaming will not only be good for me, platform.e whole >> that was the twitch c.e.o. tech gadgets hich the best? this is bloomberg. ♪

>> this holiday season as the all encompassing smartphone is for ominant electronics consumers, we look at other gadgets that could be the winners and laggards of the season. being a one tphone

are shop, other gadgets having a hard time gaining traction this holiday season. fitbit have cautioned investors by lowering their holiday sales forecast. september, fitbit rolled out two more devices. hey had weak holiday sales guidance and lost a third of its market value as a result. people in the u.s., u.k. a australia who would want fitness tracker don't use the device. lousy says it expects a holiday season and recalling new drones. c.e.o.o. -- demand has been waning for consumers. retail has never been better. street, darlings of wall

companies have fallen short of their promise. assistants are jumping into compete against smart phones, personal assistants this holiday season. to 12 imer straits 10 million virtual assistants could sell during the holidays a potentially rosier picture for the devices than go fitbit are offering. a littlek tech gadgets bit more. first of all, which home gadget should i get to solve all of my when i'm at home? >> two options at this point. it's the google home, which just a few weeks ago and echo.here is the amazon it comes down to which system you're in. you're on an iphone ecosystem, you can tap into both. use the echo or the

other with the iphone. you want toandroid, google, home device from that can take advantage of the android functionality and the ecosystem. gamer or s a bit of a artist, should i be getting into virtual reality? hat is out there that i can purchase in holiday season? >> v.r. is super early. you need to hook it up to a p.c. it's a big endeavor if you're a big fan into the v.r. stuff, if you're a consumer like i'll speak for myself, i wouldn't want a big p.c. over time, they'll shrink, able to wear them, buy them off the shelf. consumer, a eing a smaller kit, but google has heir own, it's sort of the fabric headset, it's less than $100. to the new pixel phone. consumers are getting a

for the experience time being. over the next two, three years we'll see more advanced from other companies. we reported that apple is orking on their own a.r. glasses, a lot to come. v.r., lookingre at more at the inside of cars, iphone, one heir key product that you'rewriting about? the mac, is that what you're referring to? we had a big story today about the mac. i'm sure you read it. there is a lot of detail in taking at the mac is back seat to iphones, apple watches, other products. mac is 10% of pple revenues and the others combined for 75% in this 2016 iscal year that just ended, it makes some sense. don't forget that macs, mac are a key group of people

ho rebounded apple out of the brink of bankruptcy in the late 1990's. it's an important market. should expect that a company as rich as apple and resource-filled as apple should able to walk and chew gum at the same time. they should be able to get a new year. every they should be able to get new macs out the door. are are lagging and people taking notice. >> not holding our breath for an soon?e anytime >> definitely not now at the end of this year. early mac book pros in november, but they're planning a in 2017, a upgrades of i-mac and faster versions the mac book pro and the 12-inch book. >> now that does it for this edition of the "best of technology." we'll bring you all of the atest in tech throughout the week.

tuesday, theco founder will weigh in on companies moving germany on to post-brexit. remember all episodes of broom streaming one live twitter. check it out. that's all for now. this is bloomberg. ♪ >> i sent him a dimon and

detroit michigan. budget emojis $100 million investment in the city. to discuss whether the strategies used here to be replicated elsewhere. wax i think it would be a total waste of time. >> enough you want be part of he gave his take on where president trump can affect real change. >> it is an corporate taxes. although properly. we will be having that in america. >> that is