florida high school to be held without on 17 counts of murder. authorities say 19-year-old cruz opened fire in the same school from which he had been dismissed. he also reportedly had ties to a white nationalists group. a member of the militia group called the republic of florida told the associated press that the 19-year-old previously took part in paramilitary drills with the organization. the senate has rejected a bipartisan proposal to provide 1.8 million undocumented immigrants brought into the u.s. as miners a path to citizenship. the measure was six boats shy of the 60 needed to advance -- six votes shy. the bill themselves as common sense coalition. health officials say the flu vaccine is not effectively protecting older americans and others against above that is causing most illnesses. the cdc said the vaccine is only

36% effective overall in preventing flu illness severe no to send the patient to the doctors office. global news, 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. parenti and this is bloomberg. chang and thisy is "bloomberg technology." coming up, peter till silicon valley retreat. on he is pulling the plug the bank and setting up shop in l.a.. and google's new plan to eliminate pop-ups. -- and then the new punishment for repeat offenders. and the ceo of the biggest

supplier of semiconductor hardware expects the industry to keep booming. we will get perspective from applied materials gary dickerson later this hour. billionaire peter thiel is calling it quits in san francisco. he is relocating his personal funds and their 50 member staff to los angeles. according to the wall street journal, the tech world's best-known conservative and trump supporter has discussed resigning from the facebook board. peter thiel set off a firestorm when he supported donald trump in the first place. talk about that, but first, what do we know about this? >> it sounds like he's moving his staff to l.a. and some are staying in san francisco. they are already kind of set appear.

here a few house years ago and is said to be just calling it quits. just: is he leaving because he is not well, or why is he doing this? >> not according to what he's told some of the people we have talked to. he's been saying that silicon that there are, economic conditions here that make it very expensive and just not a good place to start a business anymore. , many haveentive is reported he is starting a conservative news network. l.a. is a pretty good place to start a media company. there are a lot of conservative news organizations based out of there like breitbart, drudge. emily: do we know anymore about his media plans? >> it still seems pretty early but he's also looking to buy gawker, which is not necessarily

related. ellen, the wall street journal also reported he considered resigning from the facebook board and at the least, there was a big tiff between himselftings and thiel about his support for trump. because thielt supported trump that he was unfit to serve on the board. others reported that mark zuckerberg asked hastings and thiel if they had leaked information. it just seems like there was a lot of friction on the board. it could be related to one of his other complaints about silicon valley which is that it's overrun by groupthink, everyone thinks the same and there really isn't an acceptance of other kinds of thinking and united felt the same way about the facebook board. facebook is in an

incredibly difficult position. they are under pressure to make dramatic changes. obviously the accusations that meddling on facebook could have swayed the election. mark zuckerberg came out when thiel supported donald trump and -- do you think any of this has to do with some of the struggles that facebook is facing right now? is thathing about thiel he seems to feed off of friction. it doesn't seem to reflect any plans for him to actually leave that board. it's just part of his personality to the -- to disagree with people. i think he feels especially like a pariah now after the election and is relocating to l.a. to have some distance. i'll think he will remove himself entirely, he will still

be a partner -- a partner founders fund, which is his big vehicle. emily: what does it mean for founders fund? thiel is a big name there. >> he still has to approve the margin of positions that founders fund takes he has other investment vehicles but this is the one that people are most familiar of an think most frequently of when the hear the name peter thiel. emily: houston is this happening, his move to l.a.? has a house there so he is essentially moving now. real estate of the investment firms is happening in the next month or so. it's all pretty imminent. remains to be seen when it actually happens, but it's deathly something he is thinking about.

-- definitely something he is thinking about. e.u., according to the facebook is not done enough to change restrictive user agreements, calling for stronger rules to punish companies that don't the law. -- statement said both should allow users to appeal when their accounts are removed. up, google is launching an ad blocker for its chrome web browser. we will discuss, next. and if you like bloomberg news, check us out on the radio. this is bloomberg. ♪

continues its comeback. the cryptocurrency hit 10,000 again after a selloff in january sent the coin plunging from its record highs of almost $20,000. optimism for cryptocurrencies is increasing as a flood of news on regulatory crackdowns has been replaced with more positive headlines. pop-ups, or play videos with the sound on or ads that follow you as you scroll on the site,

nearly everyone has been annoyed by an ad on a web browser, and now google is making some changes to fix this on its own web browser. the vice president of google chrome had this to say in a blog post. for more i want to bring in the ceo source point and the former head of google marketplace. what is your reaction to this? >> i think they're coming from a good place and people are really looking at google to clean up the web. that being said, it is relatively heavy-handed and it's making it more difficult for publishers to drive revenues in order to keep their business sustainable. when he are in a bad state and it's just getting order. the userom perspective, though, these pop-up ads are of pain and it is hard to get rid of them. exit certainly is, and advertising has gotten very

aggressive. the real future of online publishing is asking for user choices. emily: who would say, yes, i want a pop-up? peoplee's only very few that can drive subscription revenues, so there needs to be that idea of free in terms of what is the value exchange. emily: there's plenty of other options, aren't there? >> there certainly are other options. that being said, beauty is in the eye of the boulder. google is sort of almost single-handedly painting a brush of where these particular ad formats are bad. there may be plenty of instances where they are not bad. emily: how does it compare to policies on other web browsers? >> mozilla and private mode ,akes out all the advertising

others take out all the advertising. the largest browser in asia also takes all of the advertising out. is?y: what about safari >> in private mode they take out all the advertising. everyone is trying to find the balance between being harsh and keeping users say. emily: talk to me about it from the publisher's perspective. you have something you want to advertise. what are publishers deciding between behind the scenes at one of the costs and benefits of their way? >> the benefit from a publisher perspective is revenue. it have to choose the user experience that will monetize that particular user while at the same time, keep them coming back. that is the balance that publishers have to weigh every day, and article, and every day.

unilever wants to make sure they are in well lit environments that lynn credibility to their products. they want to have those clear and forms of articles it just makes sense for them. emily: is it realistic, or just a threat? one ceo yesterday was talking about setting those policies and procedures and getting people into reviewing as much content as possible. there are trying to do a good job. it is not realistic to have every piece of content reviewed by a human. we have to do some commendation humans ins as well as order to review that content. emily: right now it's just a threat, but do you think that kind of concern about the content on facebook will actually hit the bottom line of

facebook? >> until they get systems and processes and procedures click clearly in place -- procedures clearly in place, or maybe a small hit, but they will -- work hard in making these good environments for advertising. >> think you will see a resurgence in subscription services. you will also see choice and transparency in the transactions that happened between content creators and consumers and we will see a wide variety of unique pieces of technology that will offer users to be in control of their data, be in control of their attention and actually compensate publishers for that content in a much more innovative way. emily: what is coming in terms of the hierarchy of these platforms? some have suggested that amazon could actually surpass facebook.

google is clearly in the league but they could surpass facebook has a platform for advertising. next you also have to think they are superstrong in subscription services. prime,bably subscribe to it's not only the next day shipping service, but you can watch tons of content and you can read tons of content included in that subscription. so they are really out ahead of you. i think you will see more subscription services both with micro-payments as well as macro payments into the future and it will balance advertising and subscription in terms of making publishing sustainable long-term. emily: thanks for stopping by. cisco shares jumping out to a 17 year high on thursday after a bullish forecast.

cisco is promising increases in revenue after sales rose for the first time in eight orders to almost $12 billion. the company is reducing its reliance on the shrinking market for high-priced hardware and pivoting to software and services. ceong up, we speak to the of hotel tonight. what they are doing to stay out of competition in the battle for your bookings, next. and we are live streaming on twitter, check us out. this is bloomberg. ♪

chair said to be the subject of an internal probe that's investigating whether she acted improperly to help sinclair broadcasting purchased attribute station. to push for policy changes benefit the maryland-based broadcaster. sinclair's trying to buy tribune stations in 32 markets. it's being reviewed by the fcc and boj. the accusation absurd. in the increasingly crowded marketplace for online hotel booking, one company was an early entrant in the space. alex caught up with hotel tonight ceo to get the latest on how their continuing to rise

above the competition. take a listen. because weifferent are mobile only and we initially focused on the mobile only use case of last-minute rooms. that's how we got a foothold in got a lot of customers use in us and we have expanded since then to take on more and more cases. our customers are now using us for all of their hotel booking. so easy to book at the last minute and get you the very best deals because we use mobile to target the deals at the right customers. humansmember if background was interviewing the ceo of travelocity and it struck me how similar a lot of these companies are. i hear you on the last-minute booking, but it seems like a very crowded space. how do you take market share bookings.com, travelocity, hotels.com, as you go forward? we focus on bringing

something new to customers every time they open the app, so it is better and better every day. a lot of small improvements and big improvements. that's how we are going to win. when you look at the incumbents most ofdesktop players, their efforts have gone into improving the conversion rate of their marketing and marketing efficiency. but providing a great experience for the customer is where we're going to win. >> when you talk about expanding across all of customers needs, the likes of airbnb, they've businesseting customers as well. what are you doing to grab that business share? how is that change in customer apple site -- appetite going? quakes we found out of the gate withid product market fit

business travelers. they like to save money and time. you can book a hotel in just 10 seconds and know you're going to have a great place to stay. will continue to invest in that, tools to make it easier for travelers to share their itineraries with coworkers. i love airbnb. it's a very complementary product and business to us. when you look at them, it's going to be a longer lens of stay, further in advance. for us, it's a lot of business travel and weekend getaways at the last minute. there are going to be many winners in this market. >> geographically, where have you had the most success and what is next for hotel tonight? >> we are operational in 30 countries. the u.s. is our largest market, followed by europe, which is growing nicely for us.

also in latin america and mexico is one of our fastest-growing countries and we are putting resources into that. have raise some cash. in terms of e u say you are investing in rmb. are you going to need more cash on the balance sheet? >> we are profitable as a business. we've had some great investors support us and continue to support us. right now it is about focusing capital, andthat making a unique and different product experience. mobile allows us to have the best customer experience. can have a one-to-one conversation with our customers. we can use all the technology going into the mobile platforms. because we are only mobile, we can do location-based targeting.

>> so you are throwing out a bunch of things that i know a lot of your competitors would be jealous of. you have sold to companies in the past. what is next for hotel tonight? do you want to stay independent? do you think someone like google could come along and gobble you up for their portfolio? important for us to deliver incremental revenue, which is different than our competitors. we work hard to provide the targeting, the tools and services so they can feel it about every booking being incremental from hotel tonight. an hour loyalty of hotel partners is incredible. emily: that was sam shank.

coming up, the ceo of the biggest supplier of semiconductor hardware x the industry to keep blooming. we will get perspective from gary dickerson, next. this is bloomberg. ♪

>> start with a check of your first word news. president trump address the nation one day after the worst school shooting in the u.s. in five years.

president trump: later this month i will be meeting with the nation's governors and attorney generals. we are making our schools and our children safer, that will be our top priority. >> the president did not call for any action on guns. nikouthport a, 19-year-old on 17ruz has been booked counts of murder. democratic and already leader chuck schumer tweeted after the vote saying in part, if the president would stop torpedoing partisan efforts, a good bill would pass. to answeron refused questions during a closed-door meeting today with a house panel conducting the russian rope. the panel's top democrat says the white house strategist only agreed to answer 25 yes or no

questions that had been written other white house. former advisor bannon reportedly invoke some kind of presidential communication privilege with his refusal. meanwhile bannon met with robert mueller over the course of two days reportedly answered all questions presented by the special counsel. south africa's new president said today he will try not to disappoint the people of his country. after being officially sworn to moveice, he promised the south african government passed its years of corruption scandal. president jacob zuma, who resigned wednesday. when one is elected to this type of position, you basically become a servant of the people of south africa. i will seek to execute that task , andhumility, faithfulness with dignity as well.

>> the possibility of a ..s.-turkish clash loomed trying tollies are to mitigate some of the worst tensions in years. secretary tillerson is wrapping up a five nation middle east trip and says the u.s. and turkey share common goals in that country. global news, 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. i'm a alisa parenti. or of bloomberg technology with emily chang is straight ahead. ♪ appliedhis is yousef: materials reported first-quarter earnings. the highest analyst

estimates and get a sales forecast that shows the electronics industry remains bullish about future demands. i spoke with ceo gary dickerson and ask how long the company's sales run can continue. take a listen. >> this is really the most exciting time in the history of electronics industry. technology is transforming major industries. transportation, health care, entertainment, retail, all those different areas. really is the foundation of those major industry transformations that will generate 20 and the economic value. our semiconductor business, are displayed business, they are firing on all cylinders and it has never been a better time to be a shareholder of applied materials. emily: how long do you think you can keep up that kind of growth? >> if you look at the technology transformations that are

happening, over the last three years, for all there has been $80 billion invested in changing transportation. all the major industries will change in fundamental ways. and you see smart devices. natural language processing, all the smart hubs in our homes, eight chips in every one of those devices. the silicon content is increasing as we go through these transformations. really our business is fundamentally stronger than it has ever been. if you look at these trillions of dollars of changes that are happening in these major been more, i've never optimistic about the future that i am today. emily: sometimes investors looking at the long-term worry that when things are this good that there could be supply glut thing crashes as in the past. should they be concerned?

>> everybody remembers pc and in 2000 andack 2010. you have a computer on your desktop, everybody waiting for the upgrade of the operating system. then we went to mobile social media. every holiday season there is a war or mobility leadership. everyone is carrying a camera and a data center in their pocket. now you are going to an even the overallption in economy with transportation, health care, entertainment, retail, all these things changing in fundamental ways. emily: so you think supply will be a problem? >> i think the industry will continue to grow significantly over the next several years. i think supply will be ok. -- if youthe demand look at profitability of our customers, profitability has never been better. that is an indication that supply is typed. i really think the whole industry will remain very

healthy. dataieve that ai and big are the biggest changes in our lifetime. that battle for leadership is the battle of our lifetime. that will play out over the next several years. but no matter who wins in that ai war, applied materials is really at the foundation. we are providing the materials and innovation for those new technologies. for us, the future has never been brighter. atly: so investors looking results as an indication of demand for the future. for smartphone demand just are not good. what is going on there? >> units are not grown up but content is grown up. if you look at the electronics industry as a whole, over the last or years, a percentage of total spending has doubled within applied materials. content is increasing and our role in enabling those infections is also increasing.

emily: there is always talk about china playing catch-up in the chip industry. how soon do you think chinese companies could become rivals to the current giants in the industry? >> applied materials has been in china for over 30 years. we have a very long history. our market share in china is very strong. last year our revenue was around $3 billion. .hina has a strategic focus they are the largest consumer of chips in the world. they want to have security in their data centers. so they will continue to invest. if you look at where they are investing, domestic companies in 2018, they are investing more in trailing edge rather than leading edge geometries. that's where the majority of domestic investment is going

right now. even look at leading-edge technology, i would look at the analogy of korea and japan back in the 1980's. in that transition, it took many, many years for korea to grow their memory business to the leading edge. i think it is many, many years before that happens in china. but we do think investment will continue to go up. we don't see any hockey stick happening anytime soon. emily: that was applied materials ceo gary dickerson. administration -- the white house said the attack launched in june 2017 by the russian military. the white house press secretary warned of international consequences for such an attack. coming up, more for coverage at the tech conference this week. we'll hear from george john about policing online content

and investing in ai. watch us online, interact with us directly. on you can contact us twitter. this is bloomberg. ♪

emily: coinbase customers are after diceconcerns

one customer explain how they purchased a number of currencies for $500 and were later charged $1500. we reached out to coinbase for a statement. the company responded, where investigating an issue were some customers were incorrectly charged. we will be reviewing all card transactions for the last few weeks to ensure all affected customers are notified. coastal ventures partner george john built a successful career in marketing. what is he make up the controversy about policing content? we caught up with george at the todman sachs tech conference discuss that and investing in ai. take a listen. >> there are some monetary consequences, there are a lot of good-natured computer sciences who are trying to help people

find content that they would like to read. unfortunately, that creates a yourtumbles where you -- view of the world is different from someone else. other kinds of content. it's part of that good-natured, and bad actorsl, in the system. computing where everyone has intrusion detection and other forms of computer security. i think we just had not thought about these open forums and people think about security there as well. othert are some of the unintended consequences of the technology? honestly, with some of these brainses, with computer

the size of the planet, that develop mastery in getting people to go ahead and buy the cookies or shop for things in my not be out of for or even getting interested in a political candidate. something to think about in terms of the messages people receive and how they can be conceptualized. like other forms that advertise, some are less understood. so it's reasonable to have protections for consumers. >> how should companies like facebook and google and twitter protect themselves from some of these negative side effects that you were just talking about? >> it is facebook and twitter's job -- is it their job? boughte's some kind of should be go find that

guy and punish them in some way? i don't know the right way, honestly. it feels like some of these companies from the outside but thesemove slow, are hard problems and it's a bit of cat and mouse. you put in filters and the bad guys somehow figure way around it. ai can adapt with the bad guys. >> i want to get your take on the ethics of helping these out. how do you make sure they're not inherently building by us to their data with the algorithms they are writing? >> i think we have evolved from the days when you might just survey everyone in the office for facial recognition. it is understood that you need a sample of the population you're actually trying to work with.

whether that's gathering medical data for a broad community or otherwise. i think that is well understood. there was news in the last few someone was watching guys forcing her students to watch black mirror. it encouraging people to think about it. parter youerating worked with several startups. is this a catch phrase that a startups are adding to their label or are you seeing the advancement of ai truly first with these companies? it is a grad student and a professor coming out of stanford or something like that. ok, i hear. but there is real technology and it's actually quite exciting.

company built a device that can take your ekg and detect atrial fibrillation on the spot. one company is a mental health that helps therapist interact with patients in a way that the therapist can get alerts from the ai system saying the thing they just said is a likelihood of someone who is likely to have self harm in the future. there is a lot of real technology behind these things in real applications that fit in with them. you see the technology right now? interestedinvest -- in finance as well as the agricultural sector. >> food seem simple, you throw things together and cook it.

by using this engineered plants proteins instead of actually growing a cow, you use only 10% of the water, space, and greenhouse gas emissions. they are doing things like -- i like the areas that have real science in them. emily: that was george john of coastal ventures at the goldman sachs tech conference. coming up, are continuing a help the tech plays the influence game in washington. the right tonb won operate in cuba. this is bloomberg. ♪

emily: nokia is monitoring the health of its fitness tracking business. they got into it two years after purchasing a company for $212 million. the move allowed it to make and sell wearables, sleep trackers and more. the review could result in a sale of the division as nokia times it focus on networks and patent licensing. now a story were following in the nation's capital. looking at how airbnb uses the power of lopping to win big in cuba. obama2014, then president began the process of restoring relations with cuba, but his successor has been calling for limits on american travel there and restrictions on commercial ties with the nation's.

but airbnb one an exception to keep operating there. how did it happen? brody.to bring in ben i remember when airbnb made this big splash in cuba and obviously it's a quickly growing market for them. how did they pull this off, given the political headwinds? the things you've basically do when you're doing a tech lobbying campaign issue hire some folks who can get a meeting and they go to the relevant bureau and basically say, look, here is why we think you should do something a little different, a little narrower than what you are planning and here's how maybe can justify. you can cut off relationships with hotels, but would it not be great for the cuban people, they said, if americans to stay in their residences? we don't know who else could of been lobbying for this but it seems like that's how they pulled it off. inly: where does airbnb rank

the lobbying hierarchy? amazing thingshe about this, they do this with what would be considered relatively low-key campaign the. -- campaign. when you're looking at a company like google, they are spending $18 million last year on lobbying. this is a much smaller effort, a little sliver of influence that they win in seemingly and got what they needed to have done with relatively little effort. google'slk about lobbying efforts. it's often been appointed contention given how much money they are spending their and the influence that they have. when you're counting by spinning, google is deathly the winner in technology. it's interesting, my colleague

covers google, and we have been looking at these disclosures. it looks like they are going back to the house and senate. that is the norm, that's what a lot of companies do. you are always seeing lobbyists on the hill. google is back and from some of the lobbying it was doing at the federal trade commission, the sec whenever some net neutrality issues and other communication things. it seems to be focusing on beating back some of those probes it is seeing in congress as well as locking in some business opportunities that come out of other experiments. emily: walk us through one of these meetings. how do they go? prioren if someone has a relationship with someone in the institution coming can see previous camp -- campaign workers, chiefs of staff, and make a call.

what they bring is one of these education issues. here is why you might not have realized it could affect us. informalbe an conversation. just write this car out. a lot of times it works, and a lot of times it doesn't. >> i know you're working on future stories about lobbying and tech. walk us through some of the stories you are working on. >> as these companies get more can they go all the way to the top? it turns out they can't. just how much they are doing that is what we will be looking at. emily: thanks so much, ben brody. that does it for this edition of "bloomberg technology." speak to industry

leaders from sports, media, and tech ahead of nba all-star weekend. interviews with steve ballmer and mark cuban. oft does it for this edition "bloomberg technology." that's all for now. this is bloomberg. ♪ we use our phones and computers the same way these days.

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>> an update of the top stories. yours equities closed with the rateay explore it pace of hikes, and the growing number of economists c4 increases this year -- four increases this year. boosted the most since 2010, the signal that it remains resilient, the value of holdings and notes rose by more than $126