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tv   Bloomberg Technology  Bloomberg  November 7, 2017 5:00pm-6:01pm EST

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north korea. the southtrump: as korean people know so well, it is time to act with urgency and with great determination. implement unust security council regulations and cease trade and business entirely with north korea. >> it is election day for some in the u.s. as virginia chooses between a democrat and a republican for governor. in new jersey, republican lieutenant governor is challenging a former democrat to replace the outgoing governor, chris christie. in new york, bill de blasio is up against a republican challenger. the pentagon has been aware for at least two decades about failures to+++
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history to the fbi. it includes information the air force did not report about the texas church shooter. the pentagon is now reviewing the telley case -- kelley case. global news 24 hours a day powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. "bloomberg technology"' is next. ♪ >> i'm cory johnson from new york. this is "bloomberg technology." coming up shares of snap are in freefall in after-hours trading after a crummy earnings report. plus, alphabet's soup driving int chauffeuring people minivans without human backup drivers. we have a progress report from the ceo. congress continues to make the case for holding big tech more accountable.
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we will talk about the efforts to hold internet companies legally liable for the content on their platforms. but first, to the lead. snap with disappointing results. the analysts are always wrong anyway, but the users numbers are really bad. daily average users, 170 million. less than the 180 million analyst estimates. shares tumbling after the results. down in freefall 17%. a lot of people were expecting this, but the only analyst we want to hear is right here. diss you analysts. look, analysts get these wrong. 24% of the flow was short going into the quarter. these numbers are weak. >> in fairness, when you look at the color commentary around the
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, you could have arrived at the numbers they posted, but with the street has once some benefit of the doubt in trying to give them some hope that engagement that some of the new features are going better, but i think the takeaway is when you look at the facebook google the wobbly, there is no silver bullet. -- duopoly, there is no silver bullet. cory: the daily users is a lot of people, but nothing compared to twitter and an infinitesimal amount compared to facebook. is less than instagram instagram stories. that "only numbers from instagram, but last report is 300 million on instagram using instagram stories. this 178 million users a percentage of fact, just 2.9% growth on a sequential basis. that is weak.
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james: it is not great from about the same time, you have to think that they have so much opportunity to engage these users. they have all of these publishers trying to forge relationships with them. it is more raw content, and there is a discovery aspect that is not there with the after ephamoral nature. snap has all of the users. i think they are there number one worst enemy. they are not capitalizing and monetizing on the engagement and the users they do have. you could draw the same parallel to twitter. cory: they are losing money on every sale. they have negative gross margins. again, negative gross margins. not negative operating margins.negative gross margins . it costs them more to deliver dancing hot dogs than they get revenue from dancing hot dogs. d, and their hosting costs went way up again.
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james: there are areas of criticism that i give you credit for criticizing, but on the host inside, i do not think that is quite fair because they -- at the same time, the opportunities, the business skilled in the way it was supposed to, you would see much do yo deeper leverage directory. cory: i wanted to start in the nba, but it did not work out that way. your point, if the revenue was going, we would not be talking about this, but the rising cost per user, $1.18 per user, by my calculation. that number is way up from the $.84 last time. there seems to be no skill to this business.once they got over 100 users , you would think the cost would fall off and they can continue providing the service, but with the filters out there, it is costing them more to do it. james: there is no scale because
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the moderation and the growth curve is a lot steeper downward then you would like to see. $1.17 this number. 39% from last year. that is a number that should be growing in the triple digits. cory: 35% year-over-year. james: it is not great because you are so early in the growth curve. these numbers need to be posting at a bare minimum in the triple digit territory. cory: when i try to say something nice. that is your duopoly thing. i have been thinking about the way i started my career in the magazine business. one of the claims to fame was putting out a 584 page issue of sports illustrated previewing the olympics. sports illustrated now no longer chock-full of ads. a tiny thing. they are going to facebook and google. is seems like facebook and
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google -- it seems like facebook and google alone. james: i think the it effect is potentially shrinking the overall advertising because you are not seeing the big brands advertising as much as they need to because they go to the private label. you think about the three biggest advertisers are finance, auto, and consumer packaged goods. consumer packaged goods is going private label. services and auto as well. the pioustructurally, shrinking -- pie is shrinking. cory: talk about shooting themselves in their own foot. they cannot get around the problems with the android. most smartphones in the world are android phones, and they have technological problems to put it kindly providing snapchat on those phones. james: almost all of the
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problems i would argue are self-inflicted like the android issue. that should be done. they have a great search functionality, but people don't know about it. the maps feature is very interesting, but people don't know about it. maybe this new app format -- maybe this new app format they are rolling out will fix things. cory: the last one i will tell out there. ng priceof the fawni they got over this stupid glasses, exactly my point, who would not want that besides you? $40 million write off in the corner for those glasses. $40 million of worthless inventory that i think anyone could have probably predicted. except for you. do you really where those? james: i bought those for research purposes, but it is actually quite entertaining to format whole circle or -- circular format.
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if they capitalize on that, maybe there is an opportunity, but the resources were not put behind it the way they needed to be. cory: always great analysis, great work. james: thank you. cory: coming up, alphabet taking over in the driving space. we will hear from john krafcik. this is bloomberg. ♪
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cory: did you see what happened to shares of blue apron today? the stock was down more than 20% today, hit a record low after the ceo talked to the investor conference and said there were concerns about the profit margins at any with the helmet center. analyst rossport sandler downgraded the stock to three dollars. blue apron having all kinds of problems out of the kitchen. self-driving car units have been making progress the last few years. waymo has announced they will start shivering people in minivans without the safety drivers. the staffers who are there to make sure nothing goes wrong. they are testing out the actual autonomous service in phoenix. mark sat down at the lisbon summit with john krafcik and they talked about the progress
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of tech driving tech. >> we have been at this a very long time.it has been more than eight years working on fully self driving cars. we learned that experience is the best feature. over those eight years, we have driven 3.5 million miles autonomously. we have been learning an awful lot as you know in a virtual world, we have now driven over 2.5 billion miles just last year. and now we are to the point where we are driving really 10,000 miles on a daily basis autonomously in the cities in which we are testing and 10 million miles every day representing driving of 25,000 cars every hour of every day. we got it down to the point of confidence. that confidence allowed us to go forward internally with what we just showed the world today in phoenix, arizona. >> you have had success with
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your volunteers in phoenix for almost five years now. talk to me how that program is going.what are participants like ? what are the major lessons you have taken away? john: yeah. we started the program earlier this year in the spring. the first signal that we had something special was the overwhelming demand. we talked about the possibility that these folks can help define the future of mobility. we had 10,000 applications to join the program within the first play for hours. right now, we are in this position where there is a lot more demand for seats in our cars tha we can actually providen, which is not a bad problem to have, but we are learning a lot from these guys, the intricacies of pickups and drop-offs. they have helped us refine that in car user interface and what we share with the users on the screen. they have helped us determine what is the best way to get them to the start of the -- get them
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to the location of the start. mark: you said the commercial service is coming soon. it will take the shape of a ride hailing with a mobile app. any reasonh lyft, for not working with lyft? john: we have a lot of partners we are working with in the space. and, fca, autonation, davis. we will share more about what we are doing with our partner lyft going forward. we will help each other with the launch of new products. stay tuned for details on that one. mark: you also started testing vehicles recently in michigan to deal with snowy weather. what is the next market? cities like phoenix? more challenging areas next? john: well, phoenix is a big
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place. there is a lot of interesting and very challenging parts of phoenix that we will be driving and including the downtown area as we roll out our technology, but i think it is a good vet to look at the places we are testing right now and imagine those will be likely the next candidates for us to rule out truly driverless capability. mark: something about a truly driverless that we talked about in the past is you are taking the driver out of the front seat. lyftnies like uber anfd employ a lot of drivers. what response ability will waymo play there? john: i think it is something all of us in the space need to think about pressure. -- for sure. we are adding a lot of jobs as we are developing this technology. there are a lot of of people we need with our partners and davis and waymo to maintain these
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vehicles, to work on our high technology and the cameras and the radars. so there will be a lot of skilled trade positions available at companies like waymo in the future. the other thing to keep in mind is that for the most part, the people who are using our technology right now in arizona are replacing personally driven miles anyway. the great bulk of the miles we will be driving as waymo, the driver, will be replacing drivers that. us would have driven otherwise. mark: talk about you mentioned you are reimagining with the inside of a car will look like. is that the case? these vehicles will not necessarily look like they do today a few years from now? john: well, just about every car that has ever been put out to the world has been primarily designed for the driver, right, at the primary focal point. it really does open up a lot of interesting possibilities when
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you imagine no specific driver other than waymo is the driver. no human driver. we have taken our first shot at that with our firefight prototype. going forward, yes, we can imagine a lot of really interesting possibilities as we expand, and i mean the collective we, all of us working in the space. as we expand to provide more applications and use cases for this technology, you can imagine the vehicles becoming more specialized. imagine a vehicle that might be person.for just one another vehicle might be perfect for a larger group of folks. some might be designed with sleeping or napping in mind. some might be food related cars you take on your way to a venue. truly endless in the future going forward . cory: that was waymo ceo john krafcik talking to mark bergen. coming up, investors left $1 billion in enters. what jeff bezos is funding of
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blue origin is different. we will bring you the details on that, next. this is bloomberg. ♪
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cory: well, the private race into space is heating up, but the billionaires on a mission i try some different routes. all of the spaceships will go straight up. we know that. jeff bezos's sold $4 billion in stock in amazon and is using most of that money to personally
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support his space company, blue origin. different business model from what elon musk is trying at space x or richard branson at virgin galactic. little would try to quickly move in their space business and commercialize the business. do you live here now? >> i do now. cory: i have not seen you lately. this is really interesting that bezos, who has not sold stock in amazon for most of the time he has run amazon, which is why he is one of the richest men in the world because it is the value of the stock that keeps them that way, he is now selling stock to own a different enterprise. isthat points to blue origin his absolute passion project. he is in this unique position even more so than elon musk. he can basically go, i want complete control over this, and the way you do that is to not have outside investors and also not chasing revenue out of the start. cory: in the case of richard
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branson anyone musk, they are cumulative their fortunes. -- accumulated their fortunes. all in different ways. jeff bezos started a hedge fund business but made his money at amazon by owning and keeping his amazon shares. elon musk selling shares in money-losing businesses long before they had any hope of success, whether it was tesla or spacex or paypal even when he worked there. that was not yet a profitable business when he got out. he and community losses for all of the businesses, enormous. richard branson sold all leases of businesses like virgin america or other things, but it seems to follow the philosophy of bringing outside contributors to the businesses and bezos going it alone. tom: bezos is in a better position than anyone else because of the funding. even though he is selling a billion dollars worth of stock, that is a small proportion of
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his whole holdings. the interesting thing is what elon musk is doing. when we first started looking at the story, is he pledging shares to support spacex? he is using shares to support the city before he brought in tesla. if you think spacex, because they managed to build his business, not a sinkhole of money. cory: maybe it is my of session a former hedge fund manager, but it reduces the flow of the stock if you locked up shares, which raises the cost of shortselling, but also some costs to cover. tom: that is getting very technical for me. cory: a huge short interest in tesla. someone is getting paid to hold the stock. is an interesting thing. how far along are these guys in their efforts? it seems they are all making very great progress in their
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efforts. tom: i think so. spacex is an operational business for the last 10 years at least. blue origin is looking a lot of progress. what they are not tried to do is get customers yet.maybe next year they might send tourists to space. spacex is that neither leader in trying to commercialize it. out of choice, blue origin is pretty much like in stealth mode and doing the same thing. cory: richard branson is in a great because he wants to put his mother, who is 93 years old, on the first flight. he wants to do that. he might get enough light himself. tom: i think he said he will be certainly among those customers. maybe next year might be the time. tesla, theyt unlike managed to secure a lot of that business with big deposits from some of those future astronauts if you will. tom: yes, it is enormously
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popular. just members of the public putting down hundreds of thousands of dollars. for futures deposits models, they have been able to fund and get the operation up and running. cory: i checked, and richard branson's mother is in fact 93. good to see you. thank you so much. coming up, banks and companies have long used the 1996 law to shield themselves from what their users post online, but that could change if some people in congress have their way. we will talk about that story, next. check out my show on the radio, " onomberg markets" on siriu, sirius xm. ♪
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♪ alisa: i am alisa parenti in washington. you are watching "bloomberg technology." the senate intelligence committee interview with donald
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trump jr. is being delayed. the panel wants to talk to others who attended the meeting first. jared kushner, paul manafort have been interviewed. syria informed diplomats in germany attending a u.n. acclimate negotiations they will join the paris agreement. the u.s. is the only to pull support. -- u.s. can officially lead leave the pact in 2020. the crackdown in saudi arabia expanding. the kingdoms of central bank ordering them to free hundreds of accounts linked to the investigation. in brussels, former catalan igdemont, carles pu vowing to defeat the spanish nextnments "oppression" month. he fled after the parliament was dismissed. the first country to give women the vote now wants to close the gender pay gap. new zealand's new prime minister
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said her government plans to achieve a equity for women in public service within four years. global news 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. i am alisa parenti, this is bloomberg. it is just after 5:30 p.m. here in washington. 6:30 in the morning in hong kong. we are joined by david ingles with a look at the markets. good morning. david: a very good morning, it is dark and early in hong kong. a few things we are watching across markets, let me start with the currency markets. we are coming into the asian session with the dollar recovery. essentially back to levels this time yesterday in asian, the euro is below 116. $.76.ssie, closer to you have china trade on top of everything else, tracking in the
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asia-pacific, 70 companies have earnings, we will continue to track that. a soft start to the trading session in new zealand, 0.7% lower. when you look at futures, we're looking for applause after the strong rally tuesday. , there has been strong momentum from the equities session. -- section. a lot are at decade highs, overbought in some cases. i am david ingles here in hong kong, more from "bloomberg technology," next. ♪ ♪ is "bloomberg technology." i am cory johnson, in for emily chang.
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the 1996 communications decency act, cap's companies legally liable for content posted to the website. but that may change. check out what dianne feinstein had to say about it. >> you bear this responsibility, you have created these platforms. now they are being misused. and you have to be the ones to do something about it. this i am joined with existential threat to technology with bloomberg's joshua brustein. this is a big deal. it was seen as a forward-looking thing saying, let's have the same laws as publishers, let's open up this world so companies have to be responsible -- do not have to be responsible and you can let the internet florist. senatorwhen you hear feinstein saying things like, you are responsible for this content, that has not been the case up until this point.
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if we see some action in that way it could change the economy of the internet. cory: what likely change could happen? joshua: the problem from big tech's perspective, being responsible for content, there is too much content for them to watch as it goes up. it would really be a policing nightmare. the reason the senators are bringing this up has to do with the questions about russian interference. cory: russian interference in the election, no question about it. i would disagree with that statement, they companies can afford it. google has to monitor youtube, which songs are being used, and songpay rights to the owners. so someone is managing those things. but it might hurt small companies who are lacking resources. google and facebook are not lacking resources. but startups and smaller companies are. joshua: there is oh is a tension in tech policy questions.
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google and facebook are in good position to face any regulatory cost. but tech as a whole would be in a more complicated position. we will see exactly how this plays out. the first battle in this had nothing to do with the russian interference. it has come via a sex trafficking law. traffickingr sex victims won a law that makes it easier to go after platforms that enable sex trafficking. cory: then we have the issue of the dark web, everything from pirate roberts to all sorts of illegal activities, guns and human trafficking, drugs, and beyond. joshua: what happened last week as, the internet association, trade group for the big tech companies, dropped its opposition to this bill, that would put more of an onus on
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tech platforms to watch for six trafficking -- sex trafficking. they drop to their opposition. it is largely interpreted as the has turnedosphere against tech. they have really been fighting that bill hard and thought maybe this is the hill we want to die on. cory: the thing that happened with russia, the fake news, from what we understand, were russians and their agents, creatively causing chaos and leading people to vote with their worst intentions. the other thing, people retweeted that stuff. initially it may not have been seen, but the retweets. the least they can do, they could say, you were re-tweaking fake news. so maybe people would have the responsibility.
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but it seems the internet companies have been reluctant to talk about the ways their services work to amplify news and ideas. joshua: absolutely. they do not want to claim responsibility for what is going on in the platform. they would really like this to be seen as a conversation we are facilitating, have at it. we will provide the tools behind the scenes. it seems theorts, information, in drips and drabs. only a certain amount of people saw these, the number got bigger. they would not share the content, saying they couldn't. eventually they could. they did not want to talk about how their service worked. people who retweeted or reposted this stuff bear some responsibility. i am sure facebook could, if they know how many impressions were garnered, could know who was doing this joshua: -- doing this. joshua: you have to wonder if
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they were going to have this conversation, maybe it would have been better to put everything on the table, take the hit, have a conversation. instead, we have had the conversation over and over with each consecutive revelation. cory: not as big a deal with the congressional election in a year. but these issues are not going away. thank you very much. we will hear from arm holdings ceo's simon segars about the m&a landscape and a microchip market. this is bloomberg. ♪
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cory: that in july, british chipmaker arm holdings was purchased by softbank for $32 billion. a big price, but arm holdings can be seen in much of the
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market. from the webd us the summit in lisbon to talk about the relationship with softbank and the m&a business. simon: this is a huge deal for hasindustry, consolidation been going on for quite some time, driven by cost pressures, the r&d intensity of producing advanced devices. this will be a huge transformational deal for the industry. >> do think it will get past the regulators? -- do you think it will get past the regulators? simon: there is obviously a lot of complexity. it has a long way to go. is something they have to work out between them. >> talk to us about softbank in your changing relationship. you are on the board of directors. would you consider yourself still a u.k. company? 3 -- company,m is a global
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the largest amount of employees are based in the u.k. we are spread all around the world. the semiconductor industry is spread around the world. we have people in places where they can work with our partners closely, in the right time zones, speaking the right language. we have engineering, r&d centers, around the world, where we attract the best talent. we are a global company, headquartered in the u.k. the acquisition by softbank -- it is still true today. >> will it be true in the next few months? it looks like the talks are failing right now. you have talked in the past about your concerns for a hard brexit. now that the u.s. is talking about lowering tax rates in the u.s. is -- and europe is mired in brexit talks. simon: we have looked at the various issues that affect us.
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it is primarily about being to attract talent. headquarters, a large number of our employees are there. we have benefited from employing people across mainland europe. our expectation is that it will get harder as a result of brexit. but we are not planning on making fundamental shifts in moving out of the u.k. we have done analysis on that. did not look like they would be real benefit to that. i think we will stay roughly in the shape we are now. >> ai and web security, big theme at the summit. i know you do see risk to businesses posed by artificial intelligence. what are those risks? really, we are looking at a world of opportunity that comes from ai. we are heading into a world where sensors distributed from chips will be everywhere and anywhere.
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they will generate a massive amount of data. with computing spread through networks, computing in the cloud, there is the ability to analyze that and gain real insight. that leads us to a lot of ai. i think there are lots of opportunities there. ofh billions and trillions connected devices, there are real potential security risks. it will come across the whole industry, to really think about that. think about how the world of computing will be different in the future from what it has been in the past, and we need to rethink security models. exponentiallygrow could rise. >> it sounds like the area you could be looking at, acquisition targets. you have softbank, and wider purse strings give us an idea of your targets. throughout our history we
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have looked at acquisition as a way of accelerating our strategy. we are looking at this world of super distributed computing. we are looking at how we manage these tiny computers that will make up the internet of things. and we are looking at acquisitions that will help us deliver a platform, so that remotely distributed devices can be managed through the lifeline and have their security observed and monitored, and actions can be taken if there is a security issue. over the last year, we have acquired four companies. it allowed us to develop connectivity to the internet of things, but identities on chips, all of which are helping solve security problems. there are targets that will help us deliver on this technology, and we will look to bring them in-house as well. >> do you have a blank check from softbank? there are highly accredited company, they are not afraid of spending money. what kind of sum could you
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spend? is there a big deal in the offing? do you have the money from a 10 pound do that, pound toa 10 billion 30 billion pound deal? simon: we have a pretty reasonable amount of cash on the balance sheet, over one million pounds. we have always had the ability to raise more, if we wanted to. from all my dialogue, it is about moving fast. it is, not being constrained. if there is something we wanted to do, i am sure we would find a way to finance that. cory: that was simon segars, arm holdings ceo. draftkings moving beyond betting platforms, and into streaming big-time sports. this is bloomberg. ♪
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cory: sports betting giant draftkings will stream top-level european basketball this winter. this moves them to compete with yahoo!, twitter, and smaller companies, all vying. they big-money big money transforming draftkings into a one-stop shop for sports. what thelly anticipate customer wants and provided for them. we hear from our customers they would like to experience everything in one place, but it is hard for them to track down where they watch the games, play the fantasy sports games. having it in one place makes it easier. the idea is, we have a sport many of you are familiar with and have not played before. many play nba basketball and draftkings. but they do not play any other
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basketball sports. if they do, it is quite rare. there is no reason why. the biggest reason has not happened because they cannot watch the game so easily. this is hopefully going to fix that and getting millions of people playing on draftkings to watch. >> do think it will bring in a stream of new users? in the past, there was a focus on advertising. you said there do not need to be that focus anymore. is this offering a way to bring in new users? jason: it is possible. to get existing users to adopt the game and play it. there may be a benefit to new users coming in. you can watch one game for free every week. but to watch more games, you have to be playing on draftkings. it is meant for people playing the fantasy sports. is your expectation there will be a significant boost to revenue? or is this just an early stage at the moment? jason: i think this is the
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earliest stage. we love that they are innovative, they want to experiment, try something with the company trying to blaze new trails. when you look at the future in terms of sports, everyone is already streaming, everyone is playing fantasy sports. why not have them in the same place? general, all experiences related to media and gaming will be in the same place and more seamlessly accessible to customers. we are trying to show it enhances the customer experience, increases engagement, revenue. demonstrate that, there will be other sports eager to work with us. question. my next if basketball is successful, are there any sports in the pipeline? perhaps from the u.s. audience -- what is your current thinking? jason: there are many leagues internationally that are quite popular that would be interested in gaining a u.s. audience. football, as we call in the u.s., soccer, is the most
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popular sport in the world. but many leagues that are popular, the u.s. does not follow. in the u.s., there are many broadcasters who have invested tremendous amounts of money and rights are and are creating subscription streaming packages and are looking for different ways to distribute the product. we have the customers they want. they would hopefully be interested in partnering with us. anyone who owns the rights, whether it is the leagues themselves, or those who invested in streaming rights, would be interested in investing with us. >> this seems to be one example of draftkings' recent commitment to new media, original content, beyond the original sports platform. a lot of that is focused on talent hiring. could we see more partnership with content creators, with perhaps to build up that new original content following --
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offering? jason: absolutely come you will see more partnerships with content creators and own content rights. it is an arguable, a link between fantasy sports and content consumption. every stat shows fantasy sports players want to consume a lot of sports content. it stands to reason, if you make it easier and more accessible, they will want it. cory: jason robins also talked about his plans for global expansion. jason: i think you will see it expanded take europe, australia. that could be one ucs. we started preliminarily looking at asia and latin america, still in the early stages evaluating those opportunities. to date, we have done more work on europe and australia. after that, there are fantasy sports played through many parts of africa. it is a worldwide phenomenon. eventually we would like to be everywhere. >> a part of accessing new
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markets is understanding and complying with regulation. in the u.s., you have been leaders in discussing regulation and trying to put it for -- push it forward in terms of consumer protections. how difficult is it to do that? not just a push for regulations, but when you look at new markets, understand it, comply with it, and present a business case for going there, with that in mind? jason: it just takes time. what we found, most regulators around the world have been very much willing to look at this in a different way and say, what does the customer want and how do we get it to them? people around the world want to play fantasy sports, they want to play them. you mentioned the maltese license in january. that is a great example of where we were to the regulator to create a new set of licensing. we never licensed skilled games before.
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thingk it showed it was a that was a pent-up need for. that allowed us to expand through parts of the e.u. >> as part of that initiative you have a new officer, who had a lot of experience in his previous role. when you hired him, you said part of it was about breaking into new markets. what was the thinking about bringing someone like that in? >> if you look at what dish did, they did the same thing we are trying to do. they created new industries that came with new regulations, they had to work with new lawmakers. they had to focus on, how do i innovate and educate lawmakers so that innovation is possible? i love the way he and all great people in this space look at it. -- how dohow to wield we allow a business to innovate, how do we crate a path to do that? he has done it for decades that dish. -- at dish.
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we are excited to have him do it at draftkings. cory: that was jason robins talking to bloomberg at the web summit in bloomberg -- in lisbon. that is it for "bloomberg technology." check us out weekdays 2:00 in the west coast. from new york, this is bloomberg. ♪ is this a phone?
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announcer: from our studios in new york city, this is "charlie rose." we begin tonight with the cbs evening news coverage of the shooting in the texas church that took lace yesterday, killing more than 20. >> somebody ran in, started shooting everybody. >> cellphone video shows the victims and chaos that spilled on the front lawn of the first baptist church after the suspect, 26-year-old devin kelley, went on his horrific spree. yellow tarps covered one of the 26 who died. >> it is unbelievable. >> he took the video. >>

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