♪ announcer: from our studios in new york city, this is charlie rose. rosem just lower, charlie is a way on assignment. a gum and open fire from the 32nd floor from a hotel in las vegas last night. at least 50 people were killed and more than 500 injured as of this taping. it is the deadliest shooting in modern u.s. history. the gunmen has been identified as stephen paddock of mesquite, nevada. he has -- is believed to kill himself up for swat team

got to his hotel room. here's a look at the cbs evening news coverage of this case -- the events. >> america is a nation in mourning tonight after the deadliest mass shooting in modern u.s. history. good evening. it happened late last night just behind me. that is the 43 story mandalay bay hotel and casino. say a heavy yearly a heavily armed man broke fireds and fire down -- down on thousands of people attending an open-air concert. many fled down the street behind me here. you can see bloody footprints on the sidewalk and the close they -- close -- clothes they let the

hand as they literally ran for their lives. at least 59 people killed, most of them by the gunfire occurred . police say the gunman, stephen paddock, killed himself before they arrived. they have found no links to terrorism. we have extended coverage tonight. >> country music star jason aldean was on stage on the firing began. shortly after 10:00 local time, it took a full 20 seconds for people to realize this was not fireworks. then, came chaos. the sound of automatic weapon fire mixed with pandemonium. >> the shooter caused several .imes gail davis held on a police

officer for life. >> some people ran and others sought cover behind walls and gates. others, thrown in the open. >> everyone was laying on top of each other trying to get out of the way. the shots just kept coming. >> we just need to get people over to the hospital. >> meanwhile, the police searched for the gunman. >> we are taking gunfire. there is debris coming over our heads. >> it is coming from the mandalay bay on the boulevard side.

>> the shooter, identified as 64-year-old stephen paddock was firing from four football fields away through two windows, 32 stories up. swap officers moved in. >> everyone needs to move back. >> inside, where he had been a just since last thursday, they found 19 weapons. >> he had killed himself. we will have to go through our body warned camera and video to see whether we engaged in at the same approximate time or not. >> gail davis says the terror seemed to last forever. >> i have never been that scared

in my life ever. >> even when people managed to get out of the enclosed area out of here and work running down the street, they were still running in fear with the sound echoing off the buildings all around them. >> we're just beginning to end the identities of the victims. carter evans is following that part of the story. carter: you can imagine what the triage must have been like. inferences arriving one half. ambulances arriving one after the other. in all, more than 500 patients were transferred to local hospitals. not all that were wounded arrived in ambulances. -- in any direction they could

climb over walls, on top of each other and hotel lobbies trying to get out of the line of fire. gail davis was at the concert. >> this girl had been standing right beside me and she had fallen. at she stood there and she first, grabbed her stomach and her hands were bloody and she back.oked and felt -- tom mcintosh was shot in the leg when a andnger stop the bleeding growth to the emergency room in the back of the truck. i'm trying to keep my wife moving. >> more than 100 gunshot victims poured into diversity medical -- university medical center. >> these patients were some in a fast weny coming in so , did what was called damage control which was stopping the

process of dying and we did that all night. >> by morning, more than 50 people from the route 91 concert were dead. like 29-year-old sonny melton -- , a lasrlson hartfield vegas cop who coached football. hundreds more survived and was and with hospitals running short on resources, they put out a plea for blood. >> you look outside, there's all kinds of people that want to donate blood. they will give blood as much as they need. >> this is university medical center. it is the only level one trauma center in the state. last night, they took in 100 for patients. four of them died and 40 have been treated and released. >> earlier, i spoke with two brothers who were watching the concert just steps away from the band. >> did people realize what was

happening? >> no. when we first heard the couple of sounds, we did not know what was going on. cowboy boot at her and you could see something punctured the boot. you could hear the first round s go off. >> how long was the shooting? >> at least 10 to 15 minutes. >> as this was happening, what did you see? >> we just seen people coming from all different angles, trying to find safety. ground. people on the i saw people littered everywhere. tears, glass breaking -- it was just noise. it was pandemonium. we were waiting for the shots and they finally stopped. gate open.s a

no one knew what to do. there were people everywhere. >> you must be in shock. >> physically, we are thankful and fortunate, but mentally as residents of the city and fans, it hurt. it is really a mental trauma. you never want anything like this to happen. >> are cbs news justice and homeland security correspondent has been working his law enforcement sources and here is what he found out about the gunman. >> after stephen paddock checked into the mandalay bay hotel last thursday, investigators say he next three days gambling in the cache ofd stockpiled a 19 weapons. two of the guns were on tripods.

police and the fbi are now trying to determine a motive. >> we are shocked and dumbfounded about this. >> the killer's brother says he was interviewed by investigators for about four hours. >> the fact he had those kinds of weapons -- where did he get automatic weapons? >nothing. no religious affiliation, no political affiliation. he just hung out. >> stephen paddock was an accountant. gambledsay recently he and was also a license hundred -- licensed under -- hunter. he sold multiple properties over the state the last four decades. his father was on the fbi's most wanted list. until last night's mass shooting, stephen paddock's only

run in with the law-enforcement was this 2009 parking ticket. >> it was well planned out and it took a lot of strategic thinking. >> a former fbi for color says he may have been planning the attack for years. >> he had a view of the concert and he probably had gone to other rooms in specifically chose this room. there was likely surveillance before the event. >> a search of his home turned up 18 additional weapons, thousands of rounds of ammunition and explosives. isis claimed responsibility, but investigators have found no link. encounteredple who paddock recently are also having a tough time believing he could have committed mass murder. >> as soon as i saw the name it , was instant recognition.

>> stephen paddock purchase a gun from the shop owner back in february. >> if something doesn't feel right, we will do everything we can to stop the sale and none when up from any of the staff that don't with him. -- his mesquite, nevada home. >> we have not had any run-ins with him in the past. >> he was a nice guy. he was kind of quirky, but a nice guy. him ashbors describe quiet, social, and having an on sense of humor. >> it is kind of unbelievable to think someone in our community could go out and do something like this. it is unbelievable. >> he was a licensed under. hunter. he lived here with his

girlfriend, who is out of the country and law enforcement believe that this time she was not involved.

♪ >> joining me now is a former homeland security adviser to george w. bush frances townsend. , welcome.

there were so many scenarios you considered. was this one of them? >> absolutely. during president bush's term, we had the shooter at virginia tech. he obtained a gun and killed students at virginia tech. i was there with president bush after the shooting when he went to meet with the families and victims. it is just her if it. discard it leaves on the , it can't be understated. >> talk about the white house response and what goes into this . >> you hear this all the time. first reports are always wrong. you can imagine people in the white house hearing that this is retiree,ale, 64-year-old. you say this makes no sense.

the first reports of injuries and death, that number has been climbing all morning. i suspect it will continue to increase. what you are trying to understand is what is the motive. is this somebody who has a mental health problem or was there something driving him that we need to understand. you need to talk to everyone, especially in the last 72 hours. all of that will paint a picture. right now, you can be assured that the atf is doing everything they can to trace the guns. wha how did he get the guns?

what was he doing with automatic weapons? >> there was a first response on the scene and first response and we saw the president state earlier. >> the president, what we expect in that first statement is to unify the country. to comfort those who are grieving and inspired law-enforcement to continuing -- continue the tough task. remember, law-enforcement loss of these one colleague and another injured. the president has to be a comforter and i think that is the tone the president struck. >> we keep hearing about the profile. what is that profile and what is it from we would hurt so far that surprises you the most? >> i think the age of the shooter is quite surprising. you expect this to be someone younger, someone disgruntled, someone disaffected. it may turn out this was a disinfected loner, just an older person. it just doesn't make sense.

they don't know very much about this individual. he did not seem to be close to his family in florida. we have not painted the picture of him yet. >> the fbi felt compelled earlier at a news conference that the local police announced so far they see no international connection to terrorism. this is after isis tweeted saying they served as an inspiration for some sort of coordination for the attack or that he converted to islam immediately before. why did they want to do that? >> as you say they distributed , this on a channel called telegram and on twitter and the fbi wanted to be clear there's no evidence to support that.

look, i think we have to understand that isis is on their heels. they are losing territory in iraq and syria. they are not winning and they are looking for publicity. positive publicity. that is all this was. >> are you surprised the fbi did that at all? >> no. they will not rule that out. they will look at his cell phones, computers i think that , it was the right thing. if there's any connection, certainly of now there is no connection to terrorism. president moves to las that isd at this point the plane on wednesday. when you are correlating all of this inside the white house, where you thinking question mark >> the and most important thing

first is you do not disrupt the investigation. >> certainly the president wants to go. momants to encourage forstmann and local politicians. he does not want to disrupt things. as of this morning, they were still recovering bodies from the scene. what the president will likely do, you will look for a venue far not to wait that he does not disrupt the recovery efforts strip.n the las vegas tohe talked about trying heal, about trying to find light in darkness. he noted scripture. what do you expect to hear from him moving forward? >> i think you'll hear similar

sorts of language wednesday when he is in las vegas. pretty quickly the conversation , will turn to an assault weapon .an all of that is coming. in the first 24 to 72 hours, you want to keep the focus on the recovery efforts. >> and security efforts in las vegas hotels? europe, africa, india began screening individuals as they came into the hotel and screened her luggage. it is quite common outside the united states. that really lends itself to this. mandalay bay is connected to a mall. there's no way you can imagine trying to screen people and their luggage coming into this complex it is too big. . >> it is not just hotels, it is restaurants sometimes. there are a lot of places where you go through a security

screening to get in. >> it is easier when you have a hard target like an airport we can control the promoter because you control the number of access points. something like this is very difficult to do. you imagine if a screen luggage, if that is all you're able to do that might have been able to see the weapons broken down or the condition, but i think we will have a conversation about where the balance is now host the las vegas shooting about how we screen hotels. >> where were lone wolves on your list of security concerns or fierce -- fears in 2006 to 2008 versus now? >> 2006, and that timeframe we

were still worried about al qaeda and iraq. the more organized groups. it is not we did not fear lone wolves, but they were not high on the list. i think we have seen an increase in lone wolves. have seenly why we practices for doing things like an active shooter. >> how does the coronation work at this point between them and the feds? >> they will have a joint terrorism task force. what it does is coordinate all the local and state efforts. for example, the fbi brazen the -- brings in the atf. they all help with any international leads. they may help with forensics. the processing of computers. there's all sorts of ways the

crime scene is logged that the fbi can help with because the massive size of the thestigation will a trip capability of anyone in las vegas. >> francis, thanks so much. ♪

inhe going to the giant 2002, but they have focused on the cloud. he has generated more than $250 billion of market, making microsoft the most viable technology company in the world. thes called hit refresh, quest to rediscover microsoft soul and rediscover the future for everyone. charlie cole and how to the book come about? when he took over, did you realize i've got a challenge and that challenge i have is to find corporation?of a

it was what led it to its greatness. satya: the idea of writing the way.came in a convoluted when i think about the journey, it is hard to find books that are not written ex post. most of the books are written as look backs. ballmer i went to steve and i asked him if he was going to write a book. he said no, i'm into the future. on the thinking of the things going -- i'm thinking of the things going forward. accompany are going through this part process, continues the process of this

renewal. let me reflect on it. it is not a destination we reached, but they continued process. -- unanswered questions cause me to write the book. the thing you brought up, is due companies have a soul? i need to answer that question in a compelling way for myself and our employees and customers. that is where i had to go all the way back to the formation of the company and reflect on the product. ?harlie: what was in its genes satya: exactly. i was always a big fan of joseph campbell. i think everything that is our identity -- the first product we , when i think about

-- in fact's context just this monday i was talking about how we are taking tools and our visual studio tool and bring it to the quantum computer. obviously a lot has happened between the all tear and quantum. what comes naturally is creating tools crating technology so that , others can create more technology. are these tools primarily software? the magic of what bill, paul, and steve all recognized was that software is that most malleable of resources that humankind has found that can be applied to any challenge and you see it. in today's world, it is probably more relevant than even in 1975 when microsoft was founded because of the prevalence of

digital technology in our life and work. charlie: when a company somehow seems to be -- god knows microsoft had a lot of money. it had made a lot of money. but there was a sense that either it had become complacent or lost its way or simply other companies had run past it. in the world of technology, it had leapt forward. can you look at the company that you work for and say, we had become complacent? we were where we were because we lost what? beyond our soul? beyond what made us great? satya: some of these comparisons are interesting. in some sense, you could say the distance between us and our

competition, if that is the lens through which we view it, and the late 1990's and even early 2000's, there was daylight. are 4, 5 competing every day, and i like that. having more competition is a good thing. that is how capitalism works. i don't think we should measure ourselves with the distance we have between us and the competition. you said it well, we are all kind of different. we all have similar capabilities. we have different identities. what comes more naturally to us is the market sizing technology so that others can use technology. that is what i want us to be really good at, to rediscover the things that are innate in us, but yet reinvent

ourselves for today's context. this is being driven primarily from what and the of what other people have achieved. that to me is a truer measure of a company's progress. charlie: when you think about culture in a company, you think about an environment that lets individuals, stimulates them to be better than they had ever been, to reach their highest potential. that's what a culture does in a company. it makes them not want to disappoint not only themselves, but the place that they exist. satya: that's right. one of the things i have is when you are a startup, you are looking for your success. that hit. once you get traction and you have the hits, then you have this beautiful thing that

happens, which is the concept of the product you have created, the capability built around that, and the culture that came with it all are in this useful virtuous spike. you are growing every quarter and year. the product is getting better. your culture is being reinforced. then everything starts, because everything that once grew stops growing and at some declines. jobs saidie: steve something like this, sometimes companies are afraid to lead, so they try to add to, increase the thing that brought them there rather than being able to think clearly with a blank sheet, so they can't really re-create something that is totally fresh. some part of them is connected to what they know and what has been so successful. satya: it is absolutely right. at the same time i think it

would be a real big business mistake if you don't take product line extensions. most profitable businesses are usually product line extensions. charlie: apple is a perfect example of that. satya: right. but clearly the time comes when you have to recognize that even the product line extensions, which are obviously much better for the top line and bottom line , are not going to suffice. that is when you have that clean blank sheet. in our case, we've gotten over the years -- when i joined the company in 1992, microsoft was a pc company. how could you ever be a software company? low and had to bring in new people. i was part of that generation -- they had to bring in new people. i was part of that generation.

and now you are one of the giants in the field. satya: that's right. we caught some waves, we missed some waves. but one of the measures i have is am i competing with a brand-new set every five years? on that measure, if you look at it from microsoft from 1975 to now, we have completely taken out that existential threat. charlie: everybody knows that ai is here and it is powerful. how do you see it, and how do you find microsoft's connection that will enable microsoft to achieve its potential? anotheri is not just feature. it is a fundamental technology to havegoing

significant impact in our lives. charlie: explain for most people what ai means to you. thea: to me it is technology that perhaps will empower us more so than any piece of software we have created. i will give you an example. a very simple example. we have now the capability to have software that can recognize objects. speed ande any real say, this is a cup, this is a book, that is charlie. he is smiling. just imagine that ability to recognize objects in motion and relay that to someone with visual impairment. in fact, a colleague of mine uses this app that we developed called seeing ai.

it basically gives anyone with visual impairment this toting-edge ai capability interpret the world. she now can go into our cafeteria and tells people for the first time she can order with confidence because she can see the menus, check out the ingredients. she can go to a conference. she says, i can now walk into a conference room with confidence knowing that that is the right one. i'm not barging into a meeting i wasn't invited to. for her, ai is really empowering. charlie: restored site. satya: completely. and it is making her fully as they as a employee of microsoft that's fully participate as a fullyee at microsoft -- participate as a employee at microsoft. ai has allowed children with ticks left korea -- children

with dyslexia to read. that is empowerment. any technology is going to have unintended consequences or even create displacements. let us not be afraid of it and what good it can do. charlie: you also find -- i'm a little bit about this, enough to ascurious -- the power of ai a medical tool, not only because supercomputers analyze more things that have been done better than anything else, but because of the power to look at things, it can look at pictures of your face and see differences that are relevant to medical diagnosis. satya: completely. one of the things the university of washington -- charlie: facial recognition and magazine recently. satya: -- they are partnering with us on using, for example,

when you do radiotherapy, the radiologists spend quite a bit of time planning the regimen by looking at images. they have to make sure they get the tumor and not the healthy organs. before we talk about replacing radiology, let's talk about how do we empower radiologists so that they can spend more time with the patient, give them relief from the tedious task of the accurate job they have to do a finding the tumor and putting the regimen? those are the kind of things that state-of-the-art ai consult. -- can solve.ve charlie: there are machines that can make analysis that are every bit as accurate, if not better, by looking at images. satya: that's correct. in certain narrow fields. i don't think we have a generalized solution for it, but yes, if you train a machine to do a very specific task, it can

do that very well using some of the latest techniques of deep learning. but it doesn't mean -- one of the things that is amazing about human beings is still not replicated will -- replicated is you canlicatable learn one thing to get better at something else not directly related. machines are much more never. state-of-the-art ai is getting close to achieving that ability to take something -- in fact, one of the first places we observed this was in skype translate. we brought these three strands of technology, speech translation machine , with this new deep learning and gave it skype data.

you can be speaking in chinese and i could be speaking in english, and we could be having a real-time conversation without interpreters. that is fantastic. once you teach a chinese and english, it will get better between german and english. how does that happen? that is exhibiting -- charlie: it will get better at german and english. satya: that's right. that transfer learning, the ability for machines to transcend one domain -- which kids do. kids can learn something in math and apply it in physics. that ability is something we have much more innately in us. machines are getting there, but not yet. charlie: what is deep learning? satya: it is one of these the 1980's,hat in it was new role networks, desk it was neural -- it was

as a way forks people to do recognition using a technique. it went out of fashion, but some researchers were doing it. then, around for five years ago, we had enough data, enough to give power and also new algorithm checks and techniques that people in academia were building, and they all brought it together, and now we have the ability to do speech recognition, machine translation, object recognition, computer vision in particular, and it is amazing. human level perception, one of the things we talk about, how we can do speech recognition better than humans can. that is because we have figured neuralt having the deep network is like having parts of our brain tuned for perception. charlie: you can create a

machine that can recognize speech better than i can recognize speech cosmic -- speech? satya: that's correct. if you break down all of the things we do with our brain, one is perceive. second, we think. cognition. then we act, planning. one could say we are very good now at some perception tasks, better than the human brain. i think we have a long way to go in general cognition. we can train it for some narrow things. some of theain, things that are happening with autonomous cars and so on is fascinating to see, but still a lot more to do there. when you put all these three when we arrive, at what people call artificial general intelligence, that is the frontier. i personally believe we are ways off from that, but we are on the right road. charlie: tell us about what quantum computing is.

it is a big part of your future. satya: this is one of those things. charlie: it is something bill talks about. satya: bill started microsoft research in 1995. he decided this speech recognition thing is important. let's start now. it is 2017, where it is now possible for us to do better speech recognition than humans. i think these are long-term projects. we have actually been at this quantum project for already a decade. amazing. this is pretty we have brought the fundamental breakthrough in math required to stabilize these qubits, fundamental breakthroughs in physics that are required to create the accentuation of the stable cubit, and a new way to figure about computer science

because all of the assumptions of computer science are no longer true. you completely think of it differently. the reality, why do we need it? for all of the abundance of computing we have -- someone was telling me the first supercomputers were 13,000 transistors. x that is coming out will have 7 billion transistors and it. you could say, wow, that is amazing. but yet, when you think about all the computing power we have in the cloud or devices, we can still find that catalyst -- we can't still find that catalyst that can absorb the world's carbon and solve global warming. we can't five that material that is superconducting at high temperatures so we get have a lossless power grid. we can't even model the enzymes that produce food. in some sense -- charlie: but they are working on everyone of those problems. satya: that's right, they all

require more computing power. charlie: and time. satya: that's right. time is what we don't have. the classic computer can solve this. all we need is the time from the big bang to now, which we don't. --t is this quantum computer of the simplest metaphor i had to explain what it does, say you are in a corn maze. i want to find a path. the classic computer will trace a path, hit an obstacle, retrace, starting new pass, on and on and on. these are such hard problems that you could go on for all time. except for the quantum computer, you take every pass simultaneously. computer.ultimate your ability to get solutions will be so much faster. charlie: what is the question you would most like to see answered? satya: i think the real challenge for us -- when i think

about america's unique history, one of the things i most admire about this country is never in our human history was it possible for so many people to live with so much surplus and wealth being created. in other words, it was the most egalitarian society ever known to man. one of the things is the lou color aristocracy -- the blue-collar aristocracy. that is a uniquely american phenomena. the question is, how can we get back on that path? how can we create economic surplus because of technological breakthroughs, but how can that economic surplus translate into equitable growth? if you said equitable growth somehow is a trade-off from economic progress, we will have of all worlds, which

is our economy will stall and we will not have any increased equity. if we can really come up with this balance where there is new technology that is creating more surplus, that more surplus without loss of human dignity is creating wages and jobs, that is the challenge of our time. charlie: did i read this correctly that between the kind you became ceo, there has -- millionpreciatio appreciation and microsoft markets? satya: that is what the market will say. but i don't think stock markets are indicators of leading success. great work happened before i became ceo. i am not an outsider. i'm not just someone who dropped in from mars.

at that in you look terms of where microsoft has grown, has it been primarily in creating new markets? in the cloud, other things? rather than simply expanding a larger high from windows? in fact, if you look at our revenue -- and still windows is a big part of our business and will continue to be because people do need large screen and need to create. that is where we want to innovate. that said, we now have a very big business in our productivity and communications that span all devices. we have a big business with linkedin and the social network. charlie: $28 billion, giving you what? what did you want from linkedin?

look at it, we have one billion users of office, one billion users of windows. what is a commonality? they are all professionals. they are all working. linkedin is a professional network so we wanted to bring , the world's professional cloud along with a professional network so we can help people all over the world who are professionals get more done. that is the fundamental realization. charlie: when you look ahead, tell me what you see around the as 2035? as early satya: anybody who does forecasting in tech, you cannot

trust them. having said that, i do speculate on these three technologies. we talked already about quantum and ai. the one we didn't talk about is mixed reality. this is the other area we are very excited about. when i walked into my office and put on my hollow lens, i see all of these screens that i have set up. i essentially have an infinite number of screens. this is the first medium where we have found the ability to mix what is real with what is artificial. we were talking about medicine and surgery. doctors at the cleveland clinic are being taught anatomy using thehollow lens -- using hololens. they don't need a cadaver. they can have a hologram that can be resized. charlie: so we are talking about

virtual reality? satya: that is one modality. there is also augmented reality. you can be fully immersed or posh early immersed -- or partially immersed. that is why we collect mixed reality. if you want to be in the augmented or virtual reality worlds, it need not be these two stark choices. you dial the amount of immersion you want for the application. another great example is forward has always made cars -- hasrd always made cars. ens, are now using the holol being able to see the model as it is being built, annotated. charlie: architects. satya: architects, that is amazing.

design. design over anything is never going to be the same because you could be using any of these programs and see the output of what you're designing right next to you as a hologram. that is what i think is going to be absolutely game changing. the things you did as ceo is you brought bill back. he was always there in heart, but he found a significant part of his time in terms of philanthropy and global health and u.s. education. you wanted him to do what? that: one of the things founders have is this magical power to be able to bring the best out of people. when someone says, go meet with bill and talk about artificial intelligence, you can be sure of one thing. one is that they will bring

their a game to that meeting. and bill will be very intellectually honest in giving them feedback on what he thought of their work. that is invaluable to me, to set high standards. that is what we really wanted. that is what bill does. meshows us the mirror, shows the mirror everyday on how we can be better. are we ambitious enough? are we long-term oriented enough? let's make sure that we are going towards the future with the right ambition, and founders can really bring out the best in a company. charlie: the book is called "hit refresh, the quest to rediscover ul."osoft's so satya nadella, ceo of microsoft. thank you so much for joining us. see you next time. ♪

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♪ alisa: i'm alisa parenti. you are watching "bloomberg technology." president donald trump visited storm ravaged puerto rico today, shook hands with the san juan mayor he insulted on twitter, relief costs could strain the and remarked relief costs could strain the federal budget. his visit was to show his commitment to rebuild the island that remains short on food, water, medicine, and other supplies nearly two weeks after hurricane maria. defense secretary jim mattis told lawmakers that it is in the u.s.'s strategic interest to remain in the iran nuclear deal that president trump has said he would like to scrap. mr. trump called the agreemet