leaving every competitor, threat and challenge outmaneuvered. comcast business outmaneuver. ♪ alisa: you are watching "bloomberg technology" and here is a check of first word news. the white house says there will be no summit meeting between the u.s. and north korea without concrete actions that match the promises made by pyongyang. sarah sanders also says washington made zero concessions in agreeing to the meeting. governor rick scott signed a school safety bill passed by the florida legislature in response to the apartment school shooting. it raises the minimum age to buy rifles from 18 to 21 and extends a three-day waiting. for hamptons to include long guns and bands devices for automatic fire. president trump's legal team

wants a special counsel with robert neil or, setting a person familiar with discussions. it would involve an interview with the president to be used as leverage to expedite a conclusion into the russia investigation. former trump campaign aide sam nunberg arrived in federal court after he mocked testifying to the grand jury in a series of television interviews, and he now says he produced emails and other communications requested by mueller and called the whole affair a digital moment. global news, 24 hours a day, powered by more than 2,700 journalists and analysts in more than 120 countries. i am alisa parenti and this is bloomberg. ♪

>> i am caroline hyde and for emily chang, and this is "bloomberg technology". how the world's most notable startup is up to one and a quarter billion, plus bitcoin with a 20% plunge and shares, what will attract the dive and the world's most allowable cryptocurrency. and kicking the habit, will speak to the founder of a startup that wants to help smartphone addiction. caroline: first to our lead come at the nasdaq rallied capping a 11% gain as investors poured back into the markets. now is a return to form for tech titans which briefly lost their luster after markets convulsed last month.

given by headlines on tariffs and the surprise announcement of a possible summit with president trump and north korea's kim jong-un -- for more let's go to roaming bostick. romain, what drew up the vibe today? romaine: here we are on the ninth anniversary of this global bull market and looked like it was running out of steam and yesterday we got encouraging news on north korea and encouraging news that the tariffs were not going to be as bad as they were going to be. this morning we got the jobs number that suggests that this goldilocks economy we have been and is going to sustain a little bit longer. all of the major indexes rallying today in the dow was up significantly, the nasdaq hitting record highs, and even

s&p raising much higher. we saw a big move higher, not only for today for major indexes, but look at what happened for the week as a whole. nasdaq up 4.2%, and we even saw continued rotation back into the small cap growth space. the russell 2000 up more than 4% this week, and think about where we were on february 1, the day before the market correction happened. then you look at the drop on february 8. you have recouped most losses. caroline: i see your chart and raise you one here in europe. it is fascinating with the tech stocks coming back into vogue. there is also money pouring into those stocks from europe and some of the etf's exposed to it. i'm going to hop onto my terminal -- one day of outflows this year, just one single day, and other than that, that

information-technology sector, half a billion dollars added so far this year. has it really been a drop back into that amazon's and apples? romaine: tech has shown a lot of leadership in this rebound we have seen since the february 8 low. i have another chart i am going to show you, that is g #btv 5254 on your terminal. if you like at that white line, it is the nasdaq 100, and it shows the s&p -- and look at how they all drop in tandem on february 8 and the rise back up. the white line is separating from the pack and it shows

investors are pouring back into tech names. you talk about the etf in europe, you are seeing it in other etf's in the united states. it is about all of these big cap techs. this is where people see confidence in the market and were people are putting their money. this is where we could see a bit more of a run in this bull market as we head into monday and next week. caroline: fascinating stuff, we thank you very much and wish you a great weekend. a familiar pitch to debt investors -- a charismatic leader with no real cash flow. on friday it was uber, the company seeking a $1.25 million loan best and the new ceo attended the meeting in new york a month senior management, telling investors why this is a good deal despite ongoing losses. for more, let's bring in sally who covers corporate finance a new york. and our guest post for the hour

-- let me start off with you, fascinating in the way uber is going to the markets, bypassing banks. sally: that is one of the reasons why it is a unique deal. rather than what is typical in the market where a company goes for a bank to investors, in this case it has got directly to them and asked to pony up one and a quarter billion dollars loan. that is not the only way it is unique. leverage loan investors make a decision based on financial metrics, and one of those key wants is a measure of debt related to earnings. if you look at uber, one of the measures of earnings was negative last year -- it was negative $2.2 billion, so investors don't have those metrics that they live by, so that the make their decision on

slightly different things. the charisma of the ceo and the whole dream andreotti of uber, in a similar way we have seen with tesla and netflix. caroline: i want to talk to alex about the things we have seen. we have seen a similar theme going to the equity market, bypassing banks. is this a theme or a one-off? alex: they are doing it for different reasons -- and they are asking, do we need the banks? if the spot the spotify process proves to be a success, and someone like uber goes down -- caroline: and what about some of

the things said at this meeting and what he didn't say? alex: sally writes that the ceo said that uber is improving its governance in the second half of next year and at the same time he is not giving was details that sally outlined. she had feedback from some contacts of how that line was received in the room. sally: i think there was a certain lightness in the financial details on one of the calls, but the company did get into more financial details. presumably investors can get a little more work to make the decision. a lot of investors are saying because of the nature of the leverage loan market at the moment, it is wide open and borrowers have a real opportunity here. that is perhaps white uber is a good to do it -- uber is able to do it this way. caroline: they went more the regular way, but this time they are paying more over the

benchmark. sally: they are paying more than the average borrower of these risky loans at the moment. that can be expected, and that is the premium has to pay based on a more elusive financial metric that it is putting towards investment. the consensus is that this deal will get done. caroline: alex, talking about the elusive financial numbers. we have a few stats. they have a loss of $4.5 billion in the previous year. devin looking at the level of $3.5 billion -- talk to us about the deal we are seeing on the graph. alex: it was reported earlier by colleagues saying that uber is divesting southeast asian assets and is taking it on and uber one get a stake.

one of the biggest shareholders is softbank. there is questions in the past of what softbank gets to collaborate. one wonders if there is pressure going towards now and try to find a solution for all parties. caroline: uber has its fingers in many of those. alex: a lot of people are expecting that companies will own particular regions and not be global in every sense. and this points to that direction. caroline: alex went is sticking with us for the hour, and our thanks to sally. now coming up, bitcoin continues its rocky straight. will the cryptocurrency bounce back.

we will discuss next. and if you like bloomberg, check us out on sirius xm. this is bloomberg. ♪

♪ caroline: and the latest revolving door, occam says -- downgrading the role of its previous ceo and demand central of its fight to stay bob a

hostile takeover bid by qualcomm. henderson has been on the clock on boards's 2016. a story we continue to watch, bitcoins slumped more than 20% amid scrutiny in the u.s. and japan, and the attempted theft, and the bankruptcy trustee has started selling the funk exchanges to repay creditors. joining us -- it was a world when -- whirlwind of depressing news for bitcoin. perhaps more regulation could mean more institutional bias for the long-term? >> investors are worried that regulators are going to shut down the coin altogether and will see headlines that they are

cracking down on crypto, which is it wrong, but something it will not crypto lawyer once said put me we should frame it as that sec is cracking down on fraud, which is their job. they are try to protect investors, and when there is more regulation, institutional money is more likely to get into the space because you hedge funds and height net worth individuals we need to comply with regulation and he to be careful about money laundering. when there is more regulation, these types of firms are more likely to come to the space and their toes into the water. caroline: you are talking about some of the phishing scams -- some go from retail investors and you also see phishing scams affecting the biggest exchanges. how do investors protect themselves?

lily: you have seen a lot of these phishing attacks where fraudsters will expose as exchanges and say we are giving away free crypto. so you see exchanges warn their customers about this type of thing, and you can do a lot to protect yourself. you can use exchanges that has customer support. some of these don't even have customer support numbers, so you should think about that for you get a big chunk of your money to them. another thing is that exchanges with transparent and respected and its midteens. a lot of exchanges don't even have transparency of who the ceo is or who was on the board. that is another thing to think about. and also, secure your phone with two-step verification and be

careful of using public wi-fi and clicking on things in emails. that is just a couple of things. caroline: it is fascinating and terms of bitcoin, we all talk about it because it is the biggest by value in terms of crypto assets. i am going to jump into my bloomberg right now, you can see that because it is one of the biggest players and they are also futures contracts, you see shorts building up, they have contracts out in terms of pressuring this shortselling, the view that institutions are taking that the bitcoin can fall further in terms of futures. what about other crypto assets? hedge funds think crypto can fall further, are we seeing a selloff in other crypto is like ripple? lily: we are, actually. crypto moves a lot of time because investors have a hard time separating all of these

corns from one another, which is understandable because it is still a nascent market. the list of all the different coins and what they have been in the last seven days is a wall of red. the whole market is worth around 360 billion, which is 100 billion less than it was worth seven days ago. they tend to move altogether. caroline: and it might not work in tandem with the market issuers. lily katz, great to have you break it down for us. coming up, sxsw is underway, and it is not just a showcase of the hottest new gadgets. this is bloomberg. ♪

♪ caroline: as to their attempts to combat trolls, jack dorsey said the company is trying to make her vacation an option for everybody -- verification and option for everybody, they are rethinking and reworking its verification process. twitter has faced criticism of the blue check on people's accounts from protecting anonymous accounts to verifying white supremacist. speaking of twitter, the event that put them on the tech map, the sxsw festival kicks off on friday, and this year's portion appears to be the search for the hottest new startup, and the focus this year is the intersection between society, politics, and technology, and the social responsibility to police content and a deep dive

into cybersecurity and the me too movement. alex what is here with us for that hour, you came back from living in san francisco and you know what sxsw stands for. how is it placing this year, because it doesn't have the best track record and diversity. how does it see its role? alex: it is a big hardware conference, and you anticipate what is going to be in the next round of consumer products. and towards the summer and autumn you get the sun valley conference -- and that really is the bigwigs, slicing and dicing big deals, multibillion-dollar deals. moving into the spring you have the more cognizant of these two, and there is software things, and higher-level discussions.

caroline: we had breaking tech news, intel considering a possible bid for broadcom. we are going to the end to this headline, being reported by the wall street journal that intel is considering a possible bid for broadcom. you have qualcomm think i'd up by broadcom and now intel is eyeing up broadcom in itself. we see broadcom gaining 5% on the report of intel weighing that offer. so look out for broadcom on the market open on monday. let's get back to alex on sxsw and what it stands for in between sun valley and ces. what about where we see -- apple, instagram, and you'd even have the london mayor coming to sxsw, trying to pitch the ways of london as a tech destination.

this year they are doing a mea culpa -- with facebook needs to prove in taking down terrace content, and culture and ethics. how do they do that? alex: there's been a lot of talk about ethics but has been theoretical. now it seems that this has real substance and they can see the things they do has an impact on the real world. in silicon valley, you think about move fast and break things, but maybe they moved too fast and broke the democratic process, so they need to engage in how to fix and how to do it. caroline: we will see what 50 panels will be discussing on gender and diversity. that was alex went breaking it all down for us, and he is not

going anywhere. and yet the two in for all of our supper southwest coverage, including -- that breaking news we brought you, intel considering a possible bid for broadcom. it is reported by the wall street journal. we already see the market reaction in after hours trade. now it is up 14 points, and intel coming down by 3/10 of a percent. more on that story next. this is bloomberg. ♪ mom you called?

oh hi sweetie, i just want to show you something. xfinity mobile: find my phone. [ phone rings ] look at you. this tech stuff is easy. [ whirring sound ] you want a cookie? it's a drone! i know. find your phone easily with the xfinity voice remote. one more way comcast is working to fit into your life, not the other way around.

♪ alisa: i am alisa parenti and you are watching bloomberg technology. here's a check of first wrote news. the white house says no meeting will take place with the u.s. and north korea without concrete action and promises from pyongyang. >> the secretary-general is encouraged of announcement of a meeting with theand the democratic people's republic of north korea to hold a summit meeting by may. he commenced the leadership of all concerned and reiterates his support for all efforts towards the peaceful denuclearization of the korean peninsula in accordance with relevant resolutions.

alisa: relief workers tried to take advantage of the low and fighting in the syrian countryside of ghouta were attacked while delivering aid. video footage shows an airstrike while supplies were being unloaded. an estimated 400,000 people are said to be trapped of the damascus area suburb in more than 100 people have been killed since the russian backed government assault was launched last month. british investigators are retracing the movement of a former russian spy and his daughter as they try to discover how they were poisoned by a nerve agent. police have cornered offsides including his house, a car, and the cemetery where his wife is buried. they were found unconscious on a bench in the u.k. on sunday. australian prime minister pays the thursday signing of a sweeping free trade agreement with the 11 pacific countries

after the u.s. withdrew from the accord. >> this will supply substantial access for australia and all the other countries of the tpp, including 11 nations and our own. the deal is now signed and it is something to which the u.s. would return at some point in the future and to which other countries can join. the day has expressed interest post-brexit. alisa: the human rights chief at the united nations suggested that the philippine president should consider some sort of psychiatry evaluation. they cap the philippine as part of its members suggest to take strong action after recent criticism of top human rights defenders. global news, 24 hours a day, powered by more than 2,700 journalists and analysts in more

than 120 countries. i am alisa parenti, this is bloomberg and more of "bloomberg technology" a straight ahead. ♪ caroline: this is bloomberg technology and i am caroline hyde in for emily chang. the big tech news that intel is considering a bid for broadcom. alex went is still with us -- talk to me about this, it is a huge deal. $100 billion -- we are seeing the reaction in our trade, it is up almost 5% on this news. >> if you want to assemble the pieces together -- the data center is strong in pcs and weak immobile, in a lot of ways it would give mobile exposure. they are not existent in wired

connections, so broadcom -- this is their strength. if you would to -- if you want to assemble pieces of the high and make a conglomerate of the chips in different sub sectors. data center computing and pcs -- this would be the logical combination. there are obviously regulatory pitfalls and this would be an enormously complex deal to get through the market. there are equity components involved here, but the pieces of the puzzle seem logical to assemble.

whether there is appetite in the market for this from intel shareholders remains to be seen. caroline: remind us of the merry-go-round going on. alex: it is a game of musical chairs. you have a company being acquired by qualcomm and qualcomm is in the process of a takeover of broadcom. further up the chain we have intel. with broadcom being involved with qualcomm, it muddies the water -- and one wonders if intel has a similar ambition of getting involved with broadcom makes it more difficult for not come to acquire qualcomm, and they are a big rival in the u.s. caroline: fascinating in terms of whether or not they can afford it. what your perspective on the cash they get to play with here. you talk about regulatory concerns, but intel has a big cash file here. >> absolutely. the question is -- the financial

structure, one of the pieces -- the logic being the conglomerate been able to assemble the different pieces, and you want to have a large and complete plate across different industry verticals to play with. do you want to be the chip maker for almost everything? from a market cap perspective,.com is only 100 or so billion -- acquiring a smaller company and qualcomm, which is a little bit on the ropes. the question is what does intel what to do in terms of assembling its large conglomerate, or is it going to be a data center's front company

or does it want exposure to pcs or this weakening handset market? or does it want to have exposure across all of these subsectors? caroline: that's get more expertise, we have brock sutherland also joining us. let's get your take because this could be an enormous deal and we see shares of.com move in after-hours trade. >> the funny thing about this situation is i don't know if we have seen a more three dimensional check going here. it is fascinating to watch. it is realistic and totally normal for intel to be taking a look at the spread of a culmination of the biggest players in the industry which would pose a significant competitive threat to intel and it is natural for the company to get involved and take a look at what is happening here and see if there is a role could play whether that is breaking up the.com and qualcomm deal or being a buyer itself. alex: look at the best-performing chip stocks right now and it is the likes of

amd and nvidia. it is a valid question to ask, to what extent do investors have an appetite to go after a conglomerate rather than a focused stock? >> another point to make on this issue -- they have assembled this conglomerate and brought several companies and divested noncore segments quickly. they have a different is gna profile compared to qualcomm, intel, or any other companies in this landscape. this is part of the mo for broadcom for a while, and intel has not historically been super successful at large acquisitions in terms of integration and

effectiveness. it remains to be seen whether intel can successfully pull this off. i think that will be telling from an investor reaction perspective. caroline: what about regulation here, are you anticipating regulators will be looking at that? brooke: relators typically focus and overlap, and they are looking at more vertical integration and we saw that with the at&t and time warner deal and what the pushback will be with something like cvs and aetna. so companies are trying these deals but relators are taking a closer look. you are looking at mimicking the european model where they could look at a broader view of the market. alex: one name we haven't mentioned directly is apple. apple may be supporting the

broadcom bid for qualcomm. by doing that, it makes the strength of the chips going into competitor smartphones is not as good an apple is able to develop more in-house, which gives them an edge. one has to wonder what apple's sentiment is and where they would prefer the chip will fall at the and of the day. >> i think apple would prefer a fragmented market across the board so they could pick one supplier against other to get best prices and not have any strategic alignment of a key component with any given supplier, be it qualcomm, broadcom, or intel. caroline: brooke, as you see the merry-go-round continue, how will investors vote on this particular element? we saw a movement in the board of broadcom and qualcomm and whether or not we want to see voices will allow these deals to go through?

what will we hear from the investor base on monday if we have a realistic it coming from intel? brooke: i think they will vote with their shares and we will see what happens with intel shares on monday -- and in the case of qualcomm, the shakeup we saw today wasn't so much a shakeup that a reshuffling of members and what their roles are. am skeptical that will be enough to swing clock on shareholders who are already critical of management and want some sort of change, whether or not this deal goes through. caroline: fantastic, what a lineup. sutherland, and alex wood is sticking around with us. we are breaking down that news of a potential big of broadcom coming from intel. we talked to a man who is trying to cure your device addiction.

next. this is bloomberg. ♪

♪ caroline: have you seen the latest tweet? it is the constant rush to check your device as soon as the notification pops up. in to instant gratification but some type smartphone prediction to depression, with teens and parents saying they feel addicted to their mobile devices, there's a constant quest to break that mold. ironically there is an app to cure at addiction, so how does it work? to answer that, i am pleased to

welcome the founder. is it working? >> yes, rewarding them with commercial presses from market brands, we started this two years ago when we were students. we were sitting in class and will work dissatisfied and always checking our phones. wanted to create a solution that fulfilled the need of instant verification that we get on instagram. we launched it in norway after 18 months and got 40% of verification. caroline: so you come from

norway, and come over to london and have money from funding. >> in total we raised a hundred thousand -- 800,000. caroline: are they becoming addicted to becoming less addicted? >> if they do that, it is good, because they are using their smartphones more consciously. we want to focus on the u.k. market as next milestone for our company. we launched last week and is widely adopted across the u.k. and we opened it up for 170 universities. the feedback has been good. what is also interesting is to see how student communities have been spreading the word for hold and the word-of-mouth of fact --

we are grateful for that. alex: as far as i understand it, there is a 20 minute increment and you get a voucher for a cinema ticket. clearly you guys are not a charity, how do you make your money from this? >> the business model is simple. hold is it alternative channel for marketing. instead of using marketing channels of other platforms where the message is a source of destruction, but when you watch youtube and you get interrupted. hold can increase the end-users quality and well-being. they pay a subscription fee monthly. alex: that is particularly interesting because there is a discussion in the u.s. when you look at facebook and google and it is about user engagement and it allows them to push brands towards potential customers. you seem to be doing the

inverse. is there a risk that facebook or google see what they have done and still zero ideas? >> there is the risk in that, and we see there are a lot of companies involved in the space. promoting conscious phone use, and we really like to see the bigger tech companies taking responsibility, but also the brands. at the end of the day, the brands are fueling this arms race for your attention. caroline: how are you finding it is actually working? you hit a sweet spot and set up the company a couple of years ago, and you are seeing the tipping point of demand -- will

we see new companies forming that stop playing up on the addictive nature and desire to keep checking devices? >> when you introduce new technology or new product, most often people get out of hand on how to use it and how to really interact with it. it is a learning process. the smartphone was introduced 10 years ago and wasn't an entity guiding people on how to use it properly. we think it is going to be a lot of companies involved in the space and what to take part of it. caroline: here in the u.k. dale already scaling back, and great time having you on this evening. and alex wood, fabulous to have you throughout the show. coming up, it has been one year

since a digital manage knowledge company went public. next. this is bloomberg. ♪

♪ caroline: it was nearly one year ago that you went public -- and it is a different is the story today as the stock tumbled as the company posted fourth-quarter numbers. here to tell us more about the last year is ceo, howard lyman. what is the company to do, euros and yet shareholders don't seem to be impressed. why the selloff? >> the stock today ended where we were last week, so we think investors continue to focus on the long-term. the huge tandem that addresses

the market of $10 billion that we have in front of us and the rise of ai powered services like siri, and alexa, we feel great about the quarter. we feel great about our progress and where we are positioned for the coming year. caroline: do you feel great about your share price that hasn't budged from that $11 mark? how do shareholders feel about that? howard: it is about the long run, we are not a crm in the cloud. we are seeing and witnessing the rise of ai powered services. when you look for things today -- you get structured and direct answers. if you ask siri where the nearest mcdonald's is she will tell you the answer directly. this is a shift of consumer information.

it is a big deal for huge enterprises that make large investments on websites. for 20 years the website was the centerpiece, but now they need to be found. this new category is an evangelical think about a new category and we remain focused in the long run in long-term opportunity. caroline: a new category to provide perfect information, businesses make sure the location is correct and building in the ai -- where is the opportunity there to keep on increasing your growth? 30% year on year growth in revenue, will that skill more and see a faster pace of growth as companies understand opportunities? howard: our last year we grew 37% and see a total greenfield in this $10 billion opportunity. we are going to grow -- we see twitter 30 goes come and we added more logos last quarter. we have seen a 57% increase and we feel there is incredible

momentum in this category. not just the intuitive shift from voice search, which makes up 20% of all queries, but also the fact that when we look for things across alexa or siri or these devices, we get structured and direct answers. we drop on our platform, $1.5 billion driving request to customers last year and we drove billions of search impressions. the stats are staggering and the world is waking up the digital management knowledge and we feel great about not only the corner, but the upcoming year and the long-term trajectory of this macro trend in ai services. caroline: you are going into a company and pitching away and talking to me about artificial intelligence and how you deploy it.

what are you selling to companies and how will that evolved? howard: every one of the services, whether it is google home or facebook, they all have three layers. they have their ui, that is how they engage in the world and is the algorithm to the site which answers to give you. and then they have a knowledge layer that is a brain like database that contains all the facts they know about the world and how it is related. for a big company like mcdonalds, they have to make sure that google assistant knows where all the mcdonald's are and all the different calories in their menus and all the different pieces of their knowledge graph in order for google to give an answer. that is where we come in and deliver amazing results. we saw 11.6 driving -- 11.6 billion driving directions. caroline: come on again in the future.

thank you for joining us. we are live streaming on twitter and check us out at technology at weekdays. that is all for now. this is bloomberg. ♪

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