>> i'm shery ahn with an update of the top stories. legal challenges to president trump's immigration order look set to intensify. sources say netflix and twitter are expected to file a brief setting up their opposition to the ban. other companies including airbnb, uber, and salesforce, may join their efforts. samsung may be the latest foreign company to sign up to president trump's american manufacturing. according to the economic daily, it will start producing appliances in south carolina, with a new plan set to make refrigerators and washing machines.

takata may plunge by the daily limit after the company emerged as its top bidder. takata says a company recommended a bid over that of another. key is the world's fourth biggest airbag maker but has just over 4% of market share. currentlyres are untreated after falling for the last two sessions. global news 24 hours a day powered by 2600 journalists and analysts in 120 countries. let's get you a check of the markets. afternoon trading just getting underway in hong kong and china. asian markets all in the green. this is bloomberg. ♪ caroline: i am caroline hyde. this is the "best of bloomberg technology." where we bring you our top

interviews from this week in tech. coming up, snap filed for an ipo, $3 billion, the details ahead. plus, apple sales at an all-time high and facebook sees mobile ad revenue pop. we break down the big tech earnings of the week. and the inside track on ge's digital pivot, the ceo shares how the biggest manufacturers turned to big data and won. a bloomberg exclusive interview. this week, snap filed its long-awaited ipo with an initial price of $3 billion, planning to raise $4 billion for a market value of $25 billion. the parent company of snapchat is the first u.s. social media company to go public since twitter. the ipo is the first opportunity for outsiders to get a close look into the company known for

its culture of secrecy. we caught up with the bloomberg technology reporter. and the managing director of general capitalist, who also happens to be an investor. >> i was looking at revenue of $404 million last year, and a net loss for the same year of $514 million. you can see how much cash this company is burning. i bring that up because we have seen the headline daily active users, the revenue number, but we did not have a sense for how much they are having to spend to get there. this is the first glimpse that investors have to take into account. can i balance the amount they are spending with the opportunities they are pitching when i'm trying to get to that $25 billion market valuation?

caroline: when you are looking at the business model in general, we are seeing a secretive company having to disclose significant losses, but that valuation? can it be vindicated? >> the thing i started looking at intently were the risk factors. there are familiar things. there is the competitive landscape. the fact it keeps getting copied by facebook and instagram, companies with more resources and reach. there are issues like founder control. alex mentioned we will have to see if we want to bet on this company long-term. the founders will retain the majority of voting control. the user growth, after twitter's ipo, that is what people are talking about. user growth at snapchat is 158 million daily users, more than twitter has, but a little bit more than instagram has for the product that copies snapchat.

>> exactly. instagram has 400 million overall. caroline: we have a fascinating approach from you, the cofounder of evernote. but also, now in your role as a vc. general catalyst is an investor in snap. is the timing right? what makes this attractive? >> i do not want to say too much of what the company has not been revealed. we are super excited about snap. very few companies change consumer behavior as they did. maybe three or four over the last decade. so they are in extremely good company, a consequential product, and amazing execution. so i think the enthusiasm for the ipo bodes well for the rest of 2017. caroline: we have a company

exiting -- investors, how excited and willing have they been? >> this is a down time for tech ipo's. there has not been a lot of new issuance out there. that does bode well for the snapchat listing, and they have not been able to make a big bet with a lot of shares offered that promises returns and big growth, which is what snap is pitching here. and as may kind of cycle through, looking at the first few pages, we do see a lot of looking back on the past development. we don't see a lot of roadmapping going forward. there is strategic vision, but again, to sarah's point, when you look at the information that investors will digest, you have the numbers, and you have to believe the story management is pitching throughout the roadshow when you are considering opening your pocketbook. caroline: you didn't go public. what are the trepidations as a founder when looking to go to the market? why is there not as much meat to

the bone as the potential of snap? >> i think it is always a trade-off between access to capital and how much distraction there is. and as a ceo and founder, you pick the best combination of that. where we were at at a smaller scale, it was easy to have as much access as we needed on the private markets, and going public is a lot of work and kind of a distraction because you wind up having to be more open and match wall street time estimates. snap is doing amazing innovation. look at all of the products they have built, augmented reality, wearables. they probably have more stuff that is in a longer timeframe then quarter to quarter. >> snap said its performance will be "lumpy". that they will have to make fits and starts of investment in new products, and their revenue growth may not be predictable. caroline: it is the addiction as well.

when you are looking at 158 million daily active users, they are going back every hour, minute. >> right. they are so engaged. >> the engagement is the behavior change. this is why it is a good time for snap to go public because they have done something to transform the way people live their lives. and it is morally great to give everybody who wants a part of that in opportunity to do it. caroline: sticking with snap, how does the app make money? >> don't know how an app that sends disappearing pictures makes money? you are not alone. the first thing to note is that snapchat is not just selfies. now they are pitching themselves to investors as a camera company. >> and unlike facebook and twitter, snap is not just about ads. core to their concept is

creating content. and that is what revenue generators are all about. >> lenses, you are straight into the camera. brands can pay for filters that you can overlay on photos and videos and send them to a friend or group. >> geo-filters overlay the where and when that the businesses and people can pay to include a app. i can also send my snap to a feed which my friends can see. which brings us to our third revenue generator. our story. >> our story is a group of feed that snap goes through and grabs publicly posted snaps and puts it into one video feed. we have seen this around in events like the women's march or donald trump's inauguration. >> every day people are not the only ones uploading snapchat. enter discover, starting in 2015, brands started uploading

mobile magazines that create stories in a more millennial-friendly version. with ads slotted in between, of course. >> you can't forget the spectacles. you can grab these for $130 at pop-up vending machines around major cities. you take a 10 second videos and it goes straight to your snapchat app. >> and let's mention for a second that advertisers for a while have been wary of using snapchat, because they are insistent on vertical video ads, when advertisers are used to the horizontal shape of tv. they are warming up to it. >> how does it work? the true test will come in the years after snap goes public, because the revenue model is only a couple of years old. caroline: coming up, fitbit struggling to maintain momentum. the stock taking a hit this

week. more details ahead. plus, we dive into apple earnings. ceo tim cook said the company's services business will be the size of a fortune 100 business in 2017. here he is with more. >> it was our best quarter ever for services. with almost $7.2 billion in revenue. app store customers broke all-time records during the holiday, including $3 billion in purchases in december alone, making it the app store's single best month ever. ♪

caroline: fitbit had a rough week, plunging 16%. the company is eliminating 6% of its workforce because of falling demand. that is about 110 jobs. the fitness tracker is forecasting full-year revenue grew 17%, down from a previous forecast of 26%. and another big mover for the week, apple shares popped after reporting first-quarter revenue of just under $78.5 billion. that is up 3%. also encouraging investors, a beat on iphone unit sales, 78 million units in the quarter due to strong demand for the iphone 7, and its services business saw 18% revenue growth. that includes itunes and apple pay. a principal analyst with forest research joins us with more. >> iphone sales make up the majority of apple's revenue at this time. while the we look at global smart phone subscribers, that

number will grow about 50% over the next five years, but apple makes a lot of money selling phones, unlike some of their competitors. if we look at the markets they are pursuing, middle-class and upper-class, that growth will not be as high. when we take that into account, it is doubly impressive, the numbers that they have posted for 2016. caroline: what was coming across was they are doubling down on the services area, doubling the size of this unit, which is as big as a fortune 100 company, they say, doubling that over the next four years. how much do you think that services is the right bet for apple? >> it is absolutely the right bet, until they start selling other appliances like refrigerators and cars, there are only so many smart phones and apple tvs and smart watches you can sell. i think there are some areas like apple pay where there is low consumer adoption, a love -- only 11% in the u.s., but a lot

of services on the upside. caroline: when you look at the other products they sell, the cfo saying this is ipods, apple tv, a new product from last year, but do they need another product? the watch looks like it is selling relatively well, a record fourth quarter? >> i don't know if they need another product. smart watches are only a fraction of total wearables, but they will be as large -- about 40% in five years, so there is a lot of upside as we move from 18% of u.s. adults owning a wearable to 29% in four years. caroline: i think also what struck me was the lack of mention of china. particularly from the cfo. brazil is going well, turkey going well, but china seems to be a slow down area. are they right to focus on china or switch to india? >> getting back to the point,

apple makes it a lot of money selling phones. they are profitable. they want to sell phones profitably. you have to look at the markets where there is the most upside. china is a tougher market, but they have done well. but not where their biggest growth will come from. caroline: would india be the right sort of country given the average earnings power in india is less than china. do they have as much of an opportunity in that country, do you think? >> i think there is almost more of an opportunity in india. if we look at the growth of smartphone adoption in china, 50% over the next five years, but in india, that will almost double. if you look at each market, about one billion people, the middle-class and upper-class are still very large markets, even bigger than the united states. a lot of upside. caroline: staying with apple, a bloomberg scoop. the company is designing a new chip for mac laptops. the new chips would take on more

functionality currently handled by intel processors. they are already used in the latest macbook pro. facebook earnings out this week, and mobile ads continue to dominate the company's revenue. we will break down all the numbers next. ♪

caroline: now to facebook earnings, a 51% jump in sales to $8.8 billion, topping projections. the big driver, advertisers continue to push to reach consumers on mobile phones. the social network's user base is continuing to grow, 2 billion monthly active users reported. 1.75 billion users using their smartphones. this move solidifies facebook's position behind google. >> i am sure there are some people who would be upset that the numbers aren't even better than they are, but come on, i think that analysts were

expecting incredible results, and pretty much everything beat it. we have 25% of the world's population using the platform on a monthly basis. i cannot see any clouds there. caroline: amazing. on a daily basis, three times the u.s. population. that is 1.2 billion people addicted to this particular app. david, dig into the growth of drivers. when i was speaking to the cfo, he was trying to point out that it's business is mobile, now 5 million instagram. that is big growth. david: they are doing superbly on mobile. when i look at growth drivers and think about where they are, the real prospects going forward, it is the truly global nature of their business. if you look at the growth in asia and the rest of the world, africa, latin america, they are doing surprisingly well, and this is where i've thought their long-term potential was, because they make 10 times more per user in the united states than they do in asia, and yet, the opportunity down the road to

build those numbers more to parity is real, so they are getting faster user growth in those regions and making more money per user. so, i would start there. their asian revenue was up 59%. that is really impressive. and the rest of the world, 52%, so even though the numbers are small compared to the u.s. and europe, there is opportunity long-term. caroline: the potential needs feeding. we are hearing the cfo saying they are not backing away from the view that they do need to spend aggressively. it seemed to be the head count, 34% ramping up in the fourth quarter, and they will accelerate that more in 2017. are they spending wisely? >> i think so. i mean, to achieve innovation, whether ad products or expansion, you have to have the resources to do it.

if you have the cash, that is where to spend it. the idea of ad product animation -- innovation goes hand in hand with feature set innovation, and that will change as they cloak global markets as well. the expectations in asia are different than the u.s., the u.k., and europe, so you have to invest smartly and get the best engineers to do it. yes, i do think it is smart. caroline: david, what about the move to video? video is what sheryl sandberg and mark zuckerberg have been bringing up. still mobile, still video, and there is a wall street journal piece out saying they may be developing a tv app. is video still hot? david: i think that is where they can compensate for this problem where they have saturated our news feeds, particularly mobile, with as

many ads as we could handle. so either they have to charge more per ad or grow their user base, or find other kinds of ads that make more money, and video ads can do that. i thought the journal piece suggesting that they could have a set-top box, a tv app, but my guess is they would like to have some kind of app that allows you to watch tv and still be on facebook on tv. they have tried various versions of this in the past, but it has not worked. if they can make it work and show us ads while we're watching tv, they can continue raking in more dough. caroline: mark zuckerberg saying he will seek original content deals and is still putting video first. melissa, i will find a cloud in the silver lining.

because earlier today, it looks like facebook did lose out in court, oculus intentionally built on stolen technology. $500 million, the damages they will have to pay. that is a quarter of the price tag of what they bought it for in 2014. is this of particular concern? melissa: oh, gosh, i don't know. of course it is a concern. it is a court ruling that will hit the pocket book. that is always a concern. i do not want to minimize that. and of course, oculus being an engine for innovation, anything that questions its source code is going to be of concern, but $500 million is something that will continue to be litigated for a while, versus the growth for the core platform. i am sure it is a concern. is it a dealbreaker? i can't see it as being that. caroline: david, what about fake news and how much zuckerberg has been trying to respond to this,

potentially awkwardly to begin with, but now with some fervor and perhaps trying to orchestrate how he interacts with his own user base. david: it is a concern to the intelligentsia. it is not a concern to the average facebook user. mostly they want to be entertained and diverted, and they are. i do think facebook is taking the issue seriously. i think you will see them taking more and more measures to try to avoid seeming to compound the partisanship that is so big a problem in so many societies around the world. the problem is they are so global and operating in so many languages that this problem is global, even the russian interference in the media, so it will not be easy to get a grip on this right away. i think they will over time. could i quickly -- on oculus, i

think oculus is looking like something they overpaid for. unlike instagram on which they got a spectacular deal. palmer lucky who may take some of the blame for this lawsuit loss, also some embarrassing behavior around politics. maybe they are regretting their association with him. on the other hand, they have brought hugo barra in to take over oculus. i think he will be a great leader for that part of the company. caroline: coming up, tech mobilizes against the travel ban. we cut through the confusion and chaos and analyze the opposition out of silicon valley. a reminder, all episodes are now live streaming on twitter. check us out at @bloombergtechtv weekdays at 5:00 p.m. in new york, 2:00 p.m. in san francisco. this is bloomberg. ♪ ofoline: the head

president trump's national economic council has taken aim at the dodd frank law, stopping banks for lending. cohn says the administration will attack all aspects of dodd frank as it looks to boost jobs growth. banks working get again, to be back in the lending business. dodd frank stopped banks from lending to small and

medium-sized businesses, and to entrepreneurs. reporter: indonesia's economy grew at a slightly sewer pace than the economists estimated. gdp rose nin 4.94%. rates were cut six times last year, but growth is still undershooting the 7% target. now, a chinese dealmaker could be closer to purchasing the singaporean warehouse owner. sources say he has won the ceo.ng of golp's blackstone and an investor group are said to have made nonbinding bids. global news 24 hours a day, powered by 2600 journalists and analysts in more than 120 countries around the world. you are watching bloomberg. let's now check the markets trading in the asian-pacific today. reporter: asian stocks trading at an 18 month high with asian

banks following the overnight rally with wall street. investors snapping up developer and construction spots on bets that property related spaces will be safe against inflation. china stocks in hong kong are on the up with insurers leading. up about 5.8%. and on the shanghai composite, of about 0.25%. agriculture is rallying after the policymakers in beijing shared plans to reform the industry. now closing lower for a third day, down .1%. the yen gaining, and the nikkei 225, up 1/3 of 1%. apple is soaring the most since 20143. yamaha has followed the most in four years after the latest

results. we are live from london at the top of the hour. this is bloomberg. caroline: welcome back to the "best of bloomberg technology." president trump's integration ban is fueling outrage across the tech sector. immigrants from seven predominantly muslim countries have been restricted. his next order on immigration could be an even greater blow to u.s. tech, targeting the work visas that google and apple use. addressed sean spicer the reform efforts. >> we have seen a lot of action on reform education, whether it is that for spousal visas, there is an overall need to look at all these programs.

you will see through executive action and through comprehensive legislative measures, a way to address immigration as a whole and the visa program. anna: we caught up with the bloomberg politics white house team leader in washington for more. order is a much bigger threat to silicon valley than the order that trump issued on friday. although, this visa order could be more popular among average americans than the immigration order on friday. there's been, especially in congress among republicans and democrats, there has been concern that tech companies have -b process, using it to recruit overseas engineers at the expense of american ones. essentially, used the h1-b to suppress salaries for tech w orkers in the u.s. anna: we saw pictures from the

protests over the weekend. there has been fighting talk coming back from president trump about the reasoning behind these particular demonstrations. perhaps, the chaos at the airports. >> for sure. he says that this order was entirely aimed at making the u.s. safer, comparing it to a refugee --raqi compared it to the iraqi refugees in 2012 by president obama. in 2011, the obama administration had evidence that iraqi refugees could be planning attacks in the u.s. two were arrested in kentucky before obama issue that order. in this case, the trump administration have not asserted that there is a specific or credible threat to the united states. they simply imposed this order and claimed it has to be in place for security reasons.

caroline: fascinating analysis, alex wayne. thank you for being with us. u.s. tech leaders came together in a unified movement over the weekend in response to the immigration order. .aitlin th has this reporter: mark zuckerberg was one of the first tech leaders to speak up. on friday he wrote, like many of you, i am concerned about the impacts of the recent executive order signed by president trump. we need to keep this country safe, but we should do that by focusing on people who actually pose a threat. netflix ceo wrote the next day, trump's actions are hurting netflix employees around the world and are so un-american it pains us all. uber's statements grew in intensity over the weekend after early backlash to surge pricing airport. the ceo tweeted, the travel ban

is against everything uber stands for. any driver that cannot work because of the ban will be compensated for lost earnings. we have set up a $3 million illegal defense fund as well. lyft is also promising to donate $1 million over four years to the aclu. ceo ise airbnb is offering free housing. elon musk also weighed in, remember, the spacex ceo was born in south africa. he tweeted, the blank entry been from citizens from primarily muslim countries is not the best way to address the country's challenges. he asked followers to read the immigration order, saying let me know specific amendments. we will present to the president. at least half of the top 20 u.s. tech companies were founded or are currently led by an immigrant. among those, microsoft ceo, google's ceo, and apple's ceo

all issued statements condemning the travel ban, and supporting their immigrant employees. theline: now, for more on tech industry i want to bring in bloomberg technology senior executive of tech coverage and the managing editor of asian tech coverage. will anything tech stand up unified in anger, it seems? >> this is a massive repudiation of the trump administration. enormousalley derives strength from immigrants. going back to andy grove at intel. number two, these are blue state companies and their employees by in large did not want to see a donald trump resident. they are reacting very negatively to this immigration executive order. i think they are putting a lot

of pressure on their leaders to take a stand. caroline: steve jobs himself is the son of a syrian. tell us where we go next because there is much concern building among those tech leaders that next it will be the visas analyzed and maybe executive ordered against. >> yeah, these work visas are popular with tech companies and they help to bring in workers from around the world, either for short-term or longer-term assignments. to beb clee clear, we saw a draf an executive order that has not been signed by president trump. it could be modified. there are a couple things that are very clear. the work visa programs do not work to the original purpose of their legislation. two, the changes are consistent with the kind of populist statements that president trump has made. it looks like trump and congress will look at a variety of

reforms aimed in the direction of giving american workers more priority and paying the workers from outside more money, instead wageinging in lavroower workers. caroline: this adds more fuel to the fire for those tech leaders. it is only december 14 that we saw the tech leaders in the room with donald trump. will that all unwind? >> not at all. this is why we keep seeing eric schmidt going to the white house and mike elon musk -- and why elon musk sees the need to be on the business council. they want to sit at the table and they want to push their agendas. visa programse t is priced in silicon valley and that is why they are trying to advocate on their own behalf. caroline: is there any update to the timing of this?

i know you said the executive power is not quite as strong on this front, but could we see this as soon as this week? >> there is speculation about a coming relatively soon. it will be difficult to tell, given the backlash against the original executive order on immigration. i do think you will see a split h1-b betweenover the u.s. companies paying overseas workers and the outsourcing companies which have typically brought in workers pay less money. i think the reforms are aimed at splitting those two and looking at the differences. if there are fewer visas that go to the outsourcing companies, there could be more available to the apples and googles, and other tech companies bringing in specialized work. caroline: brad, when we are looking at some of the action we are seeing. this seems to be an interesting

tact some of the tech leaders are taking. they are not speaking up directly, but perhaps, trying to put in place help for those affected. >> not to interpret this cynically, but tech ceo's are trying to to strive and with that donation, the pledge of support for refugees, brian chesky hit a home run. lyft donated $1 million to the aclu. and poor, sad uber, kind of stumbling. there is not a lot of rationality behind this "delete uber" campaign on twitter, but the anti-trump crowd concluded they were not being supported on the immigration executive order. here they are stumbling to strengthen their own statement. a little bit of optics at play here. caroline: we heard from another big tech voice on the travel

ban. on monday, bloomberg tv canada caught up with blackbird ceo. he shared his views on why he opposes the ban. visas arestand the protecting the u.s., in terms of but i of the country, thought the -- this is quite an extreme move and one that came quite suddenly. caroline: chen said the travel restrictions were too broad and confusing. our exclusive conversation with the general electric ceo. and if you like bloomberg news, check it out on the radio. you can now listen on the bloomberg radio app, bloomberg.com, and in the u.s., sirius xm. this is bloomberg.

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caroline: after a long courtship, snap has chosen a suitor. they plan to live shares on the new york stock exchange, instead of the nasdaq this year. that is according to a person familiar with the matter. there were technical glitches at nasdaq the impacted facebook's trading debut. general electric has recently been focusing on software and analytics. what can we expect from the industrial company in the future? general electric chairman and ceo jeffrey immelt sat down with us for an exclusive interview in boston. to be in the software business, it was the recognition that our jet engines provide this continuous stream of data.

we made the decision that we wanted to model the data on behalf of our customers and not relegate that to somebody else. that led us back into the chain of adding software talent, building software platform. our theory is every industrial company will have to be a software company. we want to lead that path in the is how we have invested. i have had to relearn. one of the things, when you are running geo, is you always have to say, why not us? it is kind of like, what is next? let's try. we brought in a lot of people from the industry to help us. i have had to learn new ideas. that -- how do you deal with that? ge has got a famously strong culture. hockey playing elements, which is not the same -- >> we have had to change. you have got to recruit the talent.

you are never going to hope to do that. and then you have to get people that are comfortable, with the kind of speed and culture of silicon valley, the way people get paid, the fee that would you have to go, people have to learn to live in a horizontal and vertical world at the same time. then we have to bring the visual people. if you are in an airplane at 35,000 feet, do you want to think the people who made the engine quit their company every five years? no. you have to bring a little bit of the industrial thinking at the same time. >> what would ge look like in 20 years time? jeffrey: i think we will still have an industrial core, but we will be a big software player. i would say, i don't know that we will be broader as a company or be in more industries, but we will be much deeper. we will go from information all the way through how things get made. i think you are going to see a

ge that is deeper, maybe not broader. john: so, the same industries. jeffrey: and analytics, making the parts through manufacturing. john: did you say 3-d printing? getting back to getting back tr global point, one of the things that analytics and manufacturing, is they democratize the supply chain. you can do in a factory with 300 to 500 people what it used to take 500 people to do. we are investing in both of these in a substantial way. john: i think i asked you about this 16 years ago, the idea of a conglomerate. you are now a much more focused company with perhaps the arguable exception of the one you used to run, the medical services bit. that seems separate. jeffrey: the genesis of our

medical business comes from the global research center. we invented the x-ray tube 100 years ago. the life sciences work comes out of the research center. all of this rests on a common core, which we call the ge store. jeff: is the core still taking people back to the -- jeffrey: management is key. one of the things today is, nothing is general anymore. when i first became ceo, we were in pet insurance, media, we may jet engines, that's too hard today. i think you have got to have this combination of depth and breadth. you need managers that are more technical. we have had to reshape. geo: the old system, with -- in working with nbc

jeffrey: it is much more constrained today. we want people to be brought, but they also have to be deep. caroline: that was ge chairman and ceo jeffrey immelt. coming up, uber's ceo slams on the brakes. all the details, ahead. this is bloomberg. ♪

>> france has issued an ultimatum to uber. pay drivers more or this new legislation would set minimum wage equivalents for drivers. the country wants an agreement as early as next week between the drivers union and ridesharin g company. a mediator has been appointed. if talks fail, france will recommend a legal minimum for driver pay based on time and distance traveled. meantime, uber ceo travis businessquit trump's

advisory committee. his participation on the council prompted blowback on social media following president trump's controversial executive order. uber.noble into a #deleter u -- it snowballed into a #deleteuber campaign. >> they got a lot of blame for seeming like collaborators for joining this advisory council, which elon musk is also on. the backlash for uber has been strong. caroline: it seems almost unfair in that respect. other ceo's have not had this backlash. also, uber continued to service jfk airport during other taxis striking. service asntinued to

well. it feels as if this is a storm bay failed to deal with properly. >> there are a lot service as well. it feels of factors. bad started off with a reputation. there was not a lot of goodwill with people. it underestimated how much this product that exists in big cities, where many of the users are out for the protests. it underestimated how strong a stance it needed to take. caroline: we did hear from travis kalanick, promising to put forward concerns from users to the president directly. what can he do now if he is not on the council? >> yeah, it is a bit of an about-face on that. he did speak with trump. we have not figured out exactly what was said. he will not be able to attend the advisory meetings. he will not be able to voice those concerns. caroline: that was eric

newcomer. we also caught up with brad stone, who was been following uber and airbnb for years, and wrote about them during his most recent book "the upstart." >> it really is remarkable how these two companies started eight years ago. both founders were kicking around at the inauguration of barack obama, talking about their crazy ideas. the book intertwines the stories, very similar and representative of this last wave of silicon valley innovation. unlike the previous tech franchises, like facebook, microsoft, and google, it was a fight for both companies in every city. it was iconic how they did it and why these ceo's had to be a little different. they are not the introverted technologists, but they are storytellers and had to put together these political coalitions with travis kalanick from uber, bringing our

totomers to support them create these international companies. caroline: you talked about how their characters were different compared to the founders of google, microsoft, and apple. they were extrovert and that did not always sit well with the big investors. >> that was fascinating for me. we consider venture capitalists to be the soothsayers, but it is hard for them to see the future as well. 150 of 155 investors who got an email in 2010 about a company called uber cab did not even apply to the email. it seemed like it was going to be a fight. the ceo's seemed different. they were not share. investors were not sure they could trust travis kalanick. he had a reputation as a thatist, but it turned out is exactly what they needed. a lot of people were embarrassed to say that they missed out on

these huge companies. caroline: interesting that travis kalanick himself is perhaps not always trustworthy by sum of those outside of silicon valley, but he aligned himself with donald trump to some extent. rub are not ar afraid to up close to authority. >> this is the source of the backlash, the delete uber campaign. travis is on this business advisory council, along with elon musk and the ceo's of ibm a nd nike. they want a seat at the table. yet, we have to say that people have a little bit of an ambivalent relationship with uber. they seem to be willing to expect the worst from it, for whatever reason, probably because of a lot of the history in my book. and all a misunderstanding over the weekend because uber was facilitating rides to jfk, but so was lyft. nevertheless, they tweeted a

message, saying they were not going to turn on surge pricing. it was construed as an advertisement and now we have this mess of an anti-uber campaign. caroline: it is something you document very well. pr masterstroke gone wrong. what is fascinating about now is the new administration. airbnb is actually a threat to one of donald trump's home business lines. how much has he spoken to or for or against these upstarts? >> donald trump is the world's most visible hotel owner. perhaps not a great position for airbnb. they were closely aligned with the obama administration. chesky had a close relationship with the president. the challenges these companies have faced have been fundamentally local. cities and states are governing their future. the threat with trump is he

could get on his twitter soapbox and create some problems for airbnb. it would be a conflict of interest because he owns hotel companies, but that has not stopped him in the past. i think this is why we see travis from uber stay on the business council. they want to further their agenda. elon is on the council as well and has an agenda as it relates to alternative energy. he does not get the criticism and uber does because it is high-profile. caroline: that does it for this edition of "the best of bloomberg technology." we will bring you all the latest in tech throughout the week. do not miss our interview with alo ceo tim armstrong this tuesday. you can see bloomberg technology live streaming on twitter. that is all for now. this is bloomberg. ♪

anna: the travel ban remains a suspended. obamacare gets an extension. the markets care about one thing, dodd frank reform. lepenne declares her candidacy. will france find new hope? anna: and the brexit battle continues. prime minister may faces a fresh challenge.