will withdraw from the north american free trade agreement. the canadian loonie and mexican peso fell on the reports that the white house says president trump hasn't changed his position on nafta. meanwhile, the president welcomed the norwegian prime minister to the white house today. he called norway a, quote, " great customer" for its purchases of u.s. military equipment. forident trump said funding a border wall with mexico must. be part of any deal immigration agents raided nearly 100 7-evleven convenience stores patrol and immigration agents raided nearly 100 7-ele ven convenience stores. sergey lavrov met with his irani and counterpart to discuss the situation -- his iranian counterpart to discuss the situation. he pledged support for the

iranian nuclear deal. global news, 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. i'm alisa parenti. this is bloomberg. "bloomberg technology" is next. ♪ emily: i'm emily chang, and this is "bloomberg technology." coming up, our conversation with u.s. transportation secretary elaine chao. her approach to regulating autonomous cars. our conversations with the ceo's of arm holdings and turner. a member of congress is calling out apple's ceo over the company's response to batterygate. senators john -- senator john thune speaks out.

first, u.s. stocks fell for the first time this year. the s&p 500 index, snapping a six-day rally, that was the longest since october. abigail doolittle is in new york. what brought this on? abigail: with the record highs we have seen for the major averages this year, last year, the averages since 2016. after the big gains, investors stepping back a little bit, especially before earnings season kicks in. that said, we saw some real weakness in the chip sector. down for a second day in a row row, the -- thin a worst since december. there was some pressure. ongoing concern around the chip could be that there has not been a record high since 2000. if we happen to the bloomberg and take a look, this is the

stock over the long-term. we see that it is trying to bust above that last record high. unlike the major averages, this is considered to be a tell by some of the most sophisticated investors in the world. if we see weakness for the chip sector, that could be a tell of some sort of weakness ahead. emily: anything intervening to the weakness? certainly for the nasdaq. ebay down in a big way, it's worst day since october, 2016 -- its worst day since october, cee nasdaq. 2016. by 300,000 small and medium-sized businesses last year, so there could be some fear that they are migrating away from these other platforms, ebay and etsy. down, ebay and etsy standing out in a big way, underperforming those small declines for the major averages. emily: all right. bloomberg's abigail doolittle,

thank you so much for that update. let's get to the consumer electronics show in las vegas and the technology that is changing transportation. i would like to welcome the secretary of transportation for the trump administration, elaine chao. welcome, secretary chao. thanks for joining us. you spoke with abigail earlier. reports about the president possibly pulling out of nafta creating jitters in the market, bringing down railroad stocks, car stocks. how might this impact the transportation business in the united states? secretary chao: well, trade is really not within my lane, so to speak. vegas,e at ces in las and i'm here to promote innovation and creativity, which is the hallmark of american genius. we are preeminent in the worldwide economy because of the high tech contributions to technology and information technology. and being here has been just magical. there is so much energy and so

much innovation. so, the role of his administration at the transportation department is to make sure that we are not one-- not, one, hampering the growth of innovation and creativity, two, that we are examining our own regulation to make sure that our regulations are not slowing the rate of innovation. innovation is very important, but we want to make sure that it is done in a way that is responsible, that promotes safety, security, and, of course, privacy as well. point.sorry, one other 94% of accidents occur because of human error, and if we have self-driving technology that can really introduce safety on our roads -- and, of course, self-driving technology can certainly give the elderly and people with disabilities a tremendous freedom and a much better quality of life.

thank you for letting me say all that. emily: yes, secretary chao. we are going to get into self-driving cars. if the curious -- if the president pulls out of nafta, which has a huge impact on the transportation industry, do you see any risks there? do you have any concerns about what the impact might be? secretary chao: i do not think that will have any impact on the promotion of innovation and technology -- in technology. that is something we are very focused on right now. on the trade issue, that's not my lane. i'm concerned about promoting innovation in technology, america's preeminence around the world is in our contribution to innovation and that's one of america's greatest competitive advantages. emily: so, let's talk about the future of self-driving cars. some have said that the government, the federal government has been a bit too hands-off when it comes to

ensuring safety versus promoting innovation. how do you balance that going forward? secretary chao: well, you know, while we are here at the ces site, the one millionth drone will be registered. so, drones are here to stay. self-driving technology is part of the near future. it is coming a lot faster than some people expect, and a lot slower than others, but it is definitely coming. so, our role is to promote the benefits of this new technology while, as you mentioned, balancing the concern with safety. we have lots and lots of ways to ensure that this is done in a responsible way. one of the things that we are doing today, at 845 -- 8:45 a.m., we have posted a request for information on four modes of transportation to see what regulations are hampering the

growth in innovation, in technology. what we should be doing within the federal government to reduce the unnecessary barriers to innovation in the transportation sector. so, that's one way. secondly, we have issued guidelines on september 26 on automated driving systems. what do states have to consider when they are looking to legislate autonomous vehicles? we also started a program -- pilot program in drones on october 26. the white house issued a new initiative. how can we test drones so that the testing of drones doesn't go overseas as they are now? many drone testings are occurring in australia, england. we have wonderful facilities here in the united states, so we want to encourage the safe

testing of drones in this country. so, another example, right now, drones cannot fly over the heads of people and also drones have to be operated within the line of sight. there are now 50,000 new jobs for people who fly drones. that's a job categorization. it was unknown five years ago. so, lots of things are happening. the federal government has a role in ensuring the safety, the security, the privacy aspect of this new technology that is developing. emily: one of the interesting were looking at is that that's on the road have nine -- thata deaths on the road have actually hit a nine-year high. i'm serious if you have any concerns about the rise of connected cars -- i'm curious if you have any concerns about the rise of connected nine -- that cars. could they be more rather than less dangerous? secretary chao: no,.

i don't think so as i mentioned -- no, i don't think so. as i mentioned, 94% of accidents occur because of human error. if we have a self-driving technology, hopefully there will be greater safety on the roads. as you mentioned, there is anxiety. 71% of americans feel that they're uneasy with this new technology. i'm here at ces also to challenge the tech sector to share their information and to help bring along the rest of america. as a former secretary of labor, i'm also very concerned about the dislocation in jobs. i'm convinced that, in the long-term, the new technology will create new jobs. 50,000 new jobs have been created being a drone operator. that's not -- week never had that category until just recently -- we've never had that category until just recently.

there are also people who lose their jobs because of disruptive technology. we have a role, responsibility, obligation to lead on social issues such as this as well. so, this is part of the message, along with the two unanswerable announceables i just mentioned. emily: you mentioned earlier today that the faa is concerned, secretary chao, about the number of drones that are flying. we know that only a fraction of drones that are out there are actually registered. how concerning is that, and what are the faa's concerns, more specifically? secretary chao: all drones have to be registered, including hobbyist drones. some people don't like that. but we -- they have to be. the current law requires that they be registered. the u.s.as to -- and department of transportation, one of our great challenges is

to integrate these drones, one million of them now, safely into our national airspace. because as i mentioned, drones are here to stay. drones are very helpful. we saw how helpful they were in the hurricanes, harvey, irma, maria. the flyovers, the safety inspections -- they were in valuable. value also in the flyover inspections with the wildfires in california. so, there is a very public benefit of having these drones and the functions they can perform. but once again, at the department of transportation, our concern is safety, security, cybersecurity, and privacy issues. these are issues that we cannot do ourselves. it informationc from the private sector and partner with all stakeholders in the nonprofit and public sectors

to address these very important issues. emily: now, secretary chao, the administration has faced an unprecedented number of distractions, whether it's the russia investigation or this explosive book by michael wolff. now we see reports that the infrastructure package could be slipping to next month. when do you think things will start falling into place? we've beenhao: oh, working on the infrastructure proposal for quite a while and very diligently, i might add. we hope to have the infrastructure come out around the state of the union, which is january 30. we -- the infrastructure always came third. it came after the affordable health care act. it came after the tax reform bill. and then it is now the third item that will be legislatively considered. but one of the most difficult parts is, how do you pay for it? so, there is not an agreement yet. we want to work with congress on a bipartisan basis to address the deteriorating infrastructure

of our country, because, obviously, it has impact on our nation's productivity and competitiveness. emily: all right. u.s. transportation secretary elaine chao, joining us from the consumer electronics show in las vegas. secretary chao, thank you so much for joining us. we have much more from ces for you. our interview with simon segars and john martin, later this hour. coming up, the future of net neutrality. legislators and the trade group that represent the likes of google, amazon, and facebook are preparing to undo the sec's vote -- fcc's vote to repeal the law. this is bloomberg. ♪

emily: a legislative battle is brewing in washington in response to the repeal of net neutrality. democrats in the senate are using a little-known law to debate in the hopes of undoing the actions of the fcc. it won't be easy. it may be impossible. the house and senate are still republican-controlled. this comes as the internet association announced it plans to act as an intervener in the upcoming case in the fcc's boat to repeal net neutrality -- vote to repeal net neutrality. joining me, ceo michael beckerman. thanks for joining us. why are you joining the lawsuit or offering to join the lawsuit, but not filing your own? >> we are going to be party to the case, so that's what it means to be the intervener. there are petitioners in a number of civil society groups. we will be an intervener, which makes us a party to the case, so we will have strong standing and

be very involved in the litigation. emily: it's been interesting to watch how this stance on net neutrality by various tech giants have evolved. as some have come out forcefully in favor of, some opposed. then you have some like reed hastings who came out pretty strongly on the side of net neutrality, then said, well, it's important, but it's not their primary battle. why the indifference? >> i can tell you all of our members care about this. they are all very engaged. they have pushed us to be the tip of the spear for them fighting this, both in congress and at the fcc and now in the courts. it matters to all the companies, netflix included. emily: is there a sense of defeat? now we may have bigger issues to worry about? >> this is still fundamental. this is a fundamental protection for consumers that are companies care about and the future of the internet and what it looks like years from now. i don't think this is over, by a

long shot, but still, it has to go to the courts. we will see what congress does. emily: you worked closely with these companies. what are the folks at facebook and google saying? >> they want us to be as involved as possible in the case. that's why we announced we will be an intervener. it's still early in the process. these rules are not in effect yet. right now the rules have been they areo we know what doing, but the office of management and budget has to review it. then the fcc publishes it in the federal register and sends it to congress. 60 days after that, it will become actual rules. when they are published, it sets the clock on the cra, the litigation as well. emily: what is the process for the lawsuit and potentially undoing what was just repealed or redoing, i should say? >> the fact that they are redoing it, we do think -- i have to be careful not to tip our hand on our legal strategy.

the fact that they overturned this so quickly, the fcc has to show they are not being arbitrary and capricious in this new rule. the market has not changed in a negative way since the 2015 rules went into effect, so we think we have strong standing in court to reverse these rules, because, you know, the service providers are investing in their networks. nothing that has changed since 2015 for these rules to be rolled back. so, we think they will be overturned. nothing is guaranteed. we are fighting really hard. emily: one thing it seemed the commission didn't pay enough attention to was the public comments that were proven to be fraudulent, which were largely in favor of the repeal of net neutrality. do you think moore should be made of that? what happened? vote, if it came down to a vote or a ballot initiative of some kind, an overwhelming majority of americans, both republican and democrat in every community, support strong net neutrality.

one, unless you work for one of the big service providers, thinks these rules should be rolled back and you should have isps controlling the internet, blocking, throttling, and deciding what happens. the comments were good to have people see that. the fcc did what they did. again, a majority of americans support the rules, and we will fight to bring them back. emily: you have states throwing their hands up, washington, new york, california, saying we can make our own approach to net neutrality. what do you make of giving states the power? >> the internet is a borderless medium, as you know. we think this is something that does need to be dealt with at the federal level, and we do appreciate and will work closely with states to find things that they can do. ultimately, this is better dealt at the federal level, because, again, we are talking about the internet and not something that can stay confined within the borders of a state. emily: michael beckerman, ceo of the internet association, thanks

so much for stopping by. coming up, a u.s. lawmaker is not happy with apple, prodding the company about the company's slowing iphones. we hear from senator john thune next. and bloomberg tech is livestreaming on twitter, @technology. this is bloomberg. ♪

of congress is calling out apple over its handling of slowing batteries in older iphones. republican senator john thune wrote a letter to apple's ceo, asking for details on how the company is handling custer, -- customer complaints.

in an interview on bloomberg television, thune said he was disappointed with apple's response so far. >> there are a lot of customers and consumers who have observed and noticed changes in these apple devices. the fact that they would have those devices degraded in terms of their capabilities without them knowing why is what we are trying to get at. u.s. expansion plans have hit a bump in the road. a deal fell through, due to what many say is political pressure. they were set tohave hit a bump. announce their february.ip phone in the cancellation comes weeks after the u.s. senate and house intelligence committees reportedly sent letters to the fcc, arguing that huawei was a security threat -- to the sec, arguing that huawei was a security threat. adultshed forward that

-- employees are adults and deserve freedom. at netflix, it worked. we talk with patty mccord next. you can listen to the bloomberg radio app and on sirius xm. this is bloomberg. ♪

alisa: i'm alisa parenti in washington, and you are watching "bloomberg technology." here is a check of your "first word news." the death toll from mudslides and flooding in southern california has risen to 15. dozens more were injured.

24 people remain missing. turned hills stripped of vegetation by wildfires in two rivers of mud -- into rivers of mud. they will seek to delay -- thathree-judge panel ruled the state's districting plan was unconstitutional and gave the gop an unfair advantage. the former cia director, john brennan, says c is surprised by the lack of public outrage in the u.s. over russia's alleged election meddling. conference in new york was the scene when -- to provide reports on possible foreign interference in advance of upcoming elections. south korea's president says he is willing to meet north korea's kim jong-un under the right circumstances, but moon jae-in vows to never except north korea's nuclear weapons program.

the comments came a day after the first high-level talks between the two nations since 2015. global news, 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. i'm alisa parenti. this is bloomberg. it is just after 5:30 p.m. here in washington, already 6:30 in the morning in hong kong. we are joined by bloomberg's david ingles with a look at the markets. here in north america and wall street, we saw investors hit the pause button on all of those gains. what's happening out there? david: that's going to happen here. you look at futures right now. as early as late wednesday in the afternoon session in asia, you already saw a lot of these industries in the asia-pacific hit a consolidation phase, trading sideways. it does seem very likely that we will get declines at the open. new zealand and just about every single stock on that index -- graph -- it's not exactly a bellwether

for asia. futures across a lot of the big markets opening in the next 19 markets -- 19 minutes signaling declines. retailers are very much in focus at the open. have a look at what we are seeing across other asset classes. oil, as it pertains to transport stocks, a negative correlation today. the bond bleed, we are seeing early thursday. i'm david ingles in hong kong. more from "bloomberg technology" next. ♪ emily: this is "bloomberg technology." i'm emily chang. patty mccord helped define the modern workplace at netflix.

she wrote a now famous 124-page missive called "netflix culture: freedom and responsibility." it's been viewed 15 million times. silicon valley hasn't always been the picture-perfect image of maturity. patty mccord joins us now from new york. thank you so much for joining us . what was it about netflix specifically that you think enabled them to pull this off and actually pull it off well? patty: we worked on it for a long time. culture deck you referred to i didn't write that -- the culture deck you referred to, i didn't write. we paid attention to it. we didn't just assume he would have a great culture that would stick around and be the same forever. we realized we could innovate and evolve the culture of the the sames long -- at time as we were innovating and evolving the product itself. emily: now, in some cases,

having the right rules, when it comes to netflix, means having no rules, like unlimited vacation, which is the policy there. do you think it more is about hiring the right people or creating the right structure? patty: it's absolutely both. if you create a structure that --s you need people who have who like a lot of responsibility , they like to have a lot of judgment in their work, they want to make their own decisions, then you have to hire those people who do like to do that. and it's not everybody. i wrote my book not as a memoir about what we did at netflix. i wrote my book because i think some of the principles we applied apply to everybody at work today and that we can all think about work differently going forward. emily: looking at silicon valley specifically, we see many examples where this industry has tolerated brilliant jerks, or so they are called. looking at former uber ceo

travis kalanick -- when you look at that situation, obviously, he helped build a $70 billion company, but what went wrong? patty: people get enamored in their own success. a lot of these companies received lots of money, and it was a growth at all costs scenario. when you grow fast and you are rewarded for doing that, then you assume that you are doing it right. so, these things happen when things are going extraordinarily well. we had a bit of a different circumstance at netflix because, at the time that we started coming up, we didn't have a lot of money, we didn't have a lot of freedom to be able to go outside of the boundaries, because we had a lot of work to do. sometimes, i think it happens because you're kind of overcompensated. you have so many people doing so many things that you stop hang attention to good this -- stop paying attention to good

discipline and good efficiency. emily: the idea of the young, brash founder or engineer or product guy is a stereotype that people buy into, whether it is investors who fund them or companies that hire them. how problematic is this idea that that is what is ideal? patty: it's problematic across a lot of industries. i consult now to small startups and large corporations, and i talked to people around the world. and i see it over and over again. some of it is human nature. when you are successful, you think, i want to surround myself with other successful people. i want them to be smart. i want them to be articulate. i want them to be fast on their feet. i wanted to be just like me -- i want them to be just like me. like hires like hires like. i got interviewed earlier in the week. the woman was asking me about how interesting it is that some of these men who were fired for sexual harassment charges are being replaced by women.

we were talking about -- i hear in the silicon valley all the time that the reason we can't have women in management positions is a pipeline issue. there are not enough qualified women to take the jobs. in each of these cases, there are women already in the room. she is sitting right next to him, matt lauer, at his desk. i don't think we have to look that far to find really qualified, capable women in our workforce. emily: amen to that. i want to ask you about another silicon valley issue. a lot of companies, from facebook to google, provide these amazing perks. meals around the clock, transportation services, gym services. you can bring your pet to work. you can get a haircut at work. netflix, on the other hand, as i understand it, was fairly light on these kind of perks and encouraged people to go home when you are done with your work. do you see anything problematic

about this sort of campus mentality? patty: i have to tell you, it is pretty sweet here at bloomberg in new york. emily: we do have some fancy stuff. i don't get to bring my dog to work, but, other than that. patty: you know, i think anything can go overboard. i worked in silicon valley for over 30 years, and i've seen the pendulum swing more than once. so, the problem, for me, was too many perks, taking care of people, everything from their laundry to their transportation -- you have to figure out what things make the company efficient and effective and what things treat people like children. so, i understand the trade-offs people make. i understand the transportation issue in the bay area. transportation is really difficult, and we don't have the infrastructure you have here in new york to get people around. but, you know, some of it just seems silly to me. it might be just because i've seen the rich times and the poor times.

so, it doesn't -- i want to link what we do and how we treat people to our successes as businesses and to the delight that we give our customers and our clients. and if you focus on that, then you rethink some of that stuff. that correlation that people assume that, if i make employees extraordinarily happy, they will be extraordinarily successful -- i'm not sure i really buy that. emily: all right. patty mccord, author of a new : building aful culture of freedom and responsibility." thank you so much for joining us. coming up, we will hear from simon segars on the continued fallout from that massive ship security flaw. that's next. this is bloomberg. ♪

on tuesday, we reported on a japanese astronaut who said he has grown over 3.5 inches since arriving at the space station. he says he has grown just under an inch. while it is normal for astronauts to grow well in space, they can return to a normal height when they go back to earth. we continue our coverage of the microsoft -- microchip security flaw affecting nearly all of the world's devices. says about 5% of chips made using its designs are vulnerable to the potential hardware hack.

we spoke with arm holdings ceo simon segars from ces earlier today and asked how concerned consumers should be about these issues. simon: clearly, the security issues are quite serious, quite fundamental about the way that microprocessors have been designed for many years, decades in fact. and it is really important that people understand that, as security updates get pushed out to their devices, it's really important that they get installed, that the software gets updated to provide maximum somection against what person might do in trying to exploit these laws. it is a very sick for -- these flaws. it is a very serious issue, one we are taking seriously. we are thinking about how to design and mitigate against issues such as this. we are working closely with our partners to make sure that the software mitigations are distributed, that people are using them, that people are

installing them correctly, and that we can provide a maximum safety to any user of our electronic systems. emily: how long before remedies are fully in place? simon: i think it's going to depend on which system, which type of device you are talking about. for some, it's relatively straightforward to update devices. in other cases, there is a vast number of companies involved in the overall supply chain to get products to market, so it may take some time. it's really going to be case-by-case. it's going to be up to the individual oem's of the products who needed to take on their software and get it pushed out to their customers. exactly how long that is going to take is hard to say, but everybody is on this with a huge sense of urgency. emily: android updates are pushed much more haphazardly than apple, which means some older phones might be less stranded. how much of a concern is that? do you feel android is more at risk? the things about

some of the older devices is that they contain less sophisticated processors, which are must less -- much less susceptible to the security issues we have seen here. there are a vast number of android devices using cpu's from arm which are not susceptible at all to this security issue. it is nott -- accurate to say every phone that has ever been manufactured is at risk here. emily: when it comes to the hardware, is there a fundamental way for you to redo your chip architecture to avoid this? simon: the hardware features can dictate how much risk there is. so, going forward, it's obviously -- anything that is easy to work around, we are going to do that. some of the more sophisticated features, it's about the combination of the hardware and software that determines whether there is a risk introduced or not. what you are going to see going guideline as much a

to how to write software to use microprocessors in a safeway. we are in the new world of security. security risks are changing. the definition of what safe looks like really has changed. we have to do a fundamental rethink of this. emily: i'm terry is how much of a wake-up call this has been for you -- i'm curious how much of a wake-up call this has been for you. as it raised any concern that the chip industry is just too concentrated -- has it raised any concern that the chip industry is too concentrated? simon: we have been looking at the deployments of our processors in safety critical systems, insecurity critical systems for many years -- in security critical systems for many years. we've always been looking at, thinking about how might a hacker get into a system, trying to stay two steps ahead of how bad actors will try and exploit systems and try and learn as

much as we can from the research that goes on in the very broadway. -- broad way. this is another case of a security issue that has been uncovered. it is much more hardware fundamental than others in the past. many security issues you see talked about are down to software and the way software is written. this is more the interaction of the two, so it is a little different. one thing to take away from this whole incident is the way the industry has come together and collaborated in a really positive way. the issues around competition have been put aside as the industry has worked together to try and mitigate this issue. there are going to be new issues in the future, and the industry needs to react in the same way, in a very positive way. emily: do you think the way the industry has consolidated so much over the last several years could actually be a negative, especially when considering just how widespread this flaw is? there's two ways

of looking at that. there is a lot of consolidation and there are a relatively small number of failures. with a relatively small number of parties involved, it's much easier to coordinate a response. one of the reasons we are seeing the software get pushed out is the because of the complexity -- is because of the complexity and diversity of the manufacturers involved. emily: that was arm holdings ceo simon segars. coming up, john martin, what he has to say about the potential at&t and time warner merger. a feature i want to bring to your attention, our interactive tv function. the it at tv on bloomberg. you can watch an interview, go back to it, send us a message, play along with the charts to show you on air. this is for bloomberg's of drivers only. -- bloomberg subscribers only. ♪

emily: back to the consumer electronics show in las vegas, where we were joined by turner ceo john martin. we asked about the possible warner and time whether he has spoken with folks about what the priorities would be if this deal gets done. take a listen. john: i think the benefits of a turner and more broadly speaking time warner connecting with an at&t is right now premium content companies are racing -- trying to pick up more scale technology, more data, more ability to reach our fans and know who are -- our fans are. at&t's data, their tech platform, have really significant advertising opportunities that we -- it's going to supercharge the strategy that turner has been on. at&t's directv subscribers and

its tens of millions of mobile customer relationships will provide us new and innovative ways to get our content and products directly to mobile customers. i believe the next five to 10 years the fastest growth in video consumption will be from mobile. those are going to be the priorities. drive advertising. make it addressable. find out who are fans are. reach more and more people over more and more devices. emily: there are major regulatory challenges, however. disdain --oes cnn's does trump's disdain for cnn play in this deal? john: it would not be right for me to speculate. we are focused on running turner. we have teams of people working diligently and hard to make sure the deal closes. we are planning for that day to

happen. we can't wait to get going. emily: fox news and msnbc have made gains on cnn, largely driven by sean hannity and rachel maddow. what can cnn do the buck that trend? do you think this model is sustainable? model ishink cnn's sustainable. if you look across the three networks you mentioned, all their ratings are up. cable news ratings in 2017 were the highest they have been in years. yes, depending on the particular on whatand depending the particular subject matter is, it might be possible that msnbc does a little bit better or it might be possible fox news does a little better. cnn completed its best year in 2017 ever. record year. it's been a top 10 ad-supported cable network for five years in a row, something it hasn't been able to do in 22 years. the cnn business model has never been stronger.

i don't think there has ever been a more important time for cnn's place as it relates to journalistic integrity and what it means not only to the country, but to the world. i'm incredibly proud of what the leadership is doing and what are journalists are doing every day -- what our journalists are doing every day. we have no plans on changing trying to be the best journalistic organization in the world. emily: at&t has talked about slicing up shows, making them more adaptable from a lot of hints. is that something -- for a mobile audience. is that something you would consider doing? john: absolutely. it is something we would consider with or without at&t. breaking down the long form format to shorter shows, making them available on mobile devices, maybe changing the windowing of some of our shows, making them available on alternative devices before they show up on linear tv -- all of this are ways we -- we have to stay connected and engaged with our fan base.

we will be experimenting with a lot of different ways to do that. does: beyond news, what your pipeline of original shows look like and how will spending on original content in 2018 impaired to last year -- compared to last year? john: spending will probably be up little bit in 2018. turner spends about $4 billion per year on programming. it's a pretty big scale budget. a significant chunk of that is sports. we have relationships with major league baseball, nba, and march madness. our pipeline of original shows looks really strong. later this month, on tnt, we will be preparing "the alienist," which is a pretty significant project for us, one we are really proud of from a critical standpoint, and we would find a -- we hope it finds an audience. we are the only cable network company in the united states with three of the top 10 cable networks. all eight of our original shows

that have been put on the air over the last few years have been green lit for additional seasons. we have not had any that have been canceled. we feel like we have a lot of momentum and a lot of wind at our back creatively, and we want to keep that going. emily: that was turner ceo john martin. that does it for this edition of "bloomberg technology." livestreaming are on twitter. check us out, @technology. that's all for now. this is bloomberg. ♪