far covered. leaving every competitor, threat and challenge outmaneuvered. comcast business outmaneuver. alisa: i am alisa parenti in washington and you are watching "bloomberg technology." here's a check of your first word news. president trump is in california inspecting prototypes for his proposed border wall. he was asked which party was the hardest to climb. he said they want to break the flow of illegal immigration. >> delegating his responsibilities after the work they to deputy john sullivan. tillerson was fired today by president trump. life my return to private is a private citizen, as a proud american i am proud of the , opportunity i have had to serve my country. alisa: president trump is

nominating cia director mike pompeo to replace tillerson and ofpeo is a former member congress. pompeo.pel will succeed she will be the first woman to lead the agency. florida prosecutors seek the death penalty for nikolas cruz for the mass shooting at marjorie stoneman high school. the 19-year-old will be arraigned tomorrow. in pennsylvania, rick saccone is in a tight race against democrat conor lamb for the house seat vacated by -- former congressman tim murphy. global news 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. i am alisa parenti. this is bloomberg. "bloomberg technology" is next. ♪

emily: i am emily chang and this is "bloomberg technology." coming up, the broadcom blom shout -- broadcom bombshell. why it went all the way to the white house and why it failed. coming up, the broadcom blom plus, tillerson's out at the white house, and tech loses a strong advocate for diplomacy. what the firing means between the property fight -- intellectual property fight between beijing and washington. the gig -- caps economy, allowing owners to rent out their cars. it was supposed to be the biggest tech takeover ever, but now it is dead. the hostile takeover of qualcomm has been blocked by president over, citing concerns security. saying there is credible evidence that leads me to believe that outcome acquiring qualcomm might take action that threatens national security of

the united states. what happens now? i want to welcome back ian king, who has been following this deal for months. and, brooke sutherland, who covers industrial companies. ian, how sudden and unusual is this? ian: yesterday we were talking about how it might drag on, based upon the fact, the ceo of broadcom was in the pentagon yesterday afternoon, trying to explain himself, trying to find a way forward. a matter of hours later, the white house says, no you don't, that is the end of it. emily: unexpected? ian: we expected it to go further, certainly. emily: what implications will this have the more broadly on m&a? let's start with tech in the tech industry. brooke: the clear signal the government is sending is, u.s. tech is off limits to foreign buyers. this is not the first deal that has been blocked under president trump's administration because of national security concerns.

if you remember, canyon bridge capital was trying to buy lattice semiconductor. that was blocked by trump. the broader implication is that it is not necessarily china that is the problem. at the end of the day, broadcom's nationality plays a conr control in cfius' cerns. they were worried broadcom would use cost cuts and cut broadcom's rmb. that has much broader implications on m&a because that is what companies do when they do large m&a's. they cut costs. that is now off the table and considered a national security risk. there is a ton of companies that were looking for deals and have to hit the pause button while there are divisors try to figure out what to do. emily: is there any way forward or is thism's bid, definitely dead?

ian: they have not formally given up yet. they are considering what to do. emily: meetings with who? between themselves, while they decide. the only way forward for them would be to launch a legal challenge to this. but even then, according to what we have been told, the most to they would get is an explanation of why. emily: what is the explanation of why? ian: that is a matter of conjecture. is, they about cfius don't have to explain themselves. they say security concerns, that is it. more broadly than that, they did say we don't like the fact you believe we don't invest in technology. that is a security concern. the definition of what is a concern has spread. emily: brooke, this administration has sent up red flags about non-foreign takeovers. we are dealing with that with at&t-time warner. talk about what this means for m&a and general. brooke: the signal being sent is

that this administration is going to take a much tougher look at all types of m&a which , is not necessarily what we expected going in. trump pitches himself as a great deal maker, yet he is pushing aggressively against steel. the interesting thing with time warner and at&t, this is a vertical integration deal. they don't necessarily have a lot of overlap. notorically the u.s. does look at that as an antitrust statement. they look where they overlap. it is an attempt to shift and -- shift of the purview to look at vertical integration in the same way european and chinese regulators do. we have this expanding definition of what is a national security concern. you're going to see that expand further. there's legislation in front of congress that would allow cfius to look at joint ventures, minority transactions real , estate transactions, and to further define what a national security issue is to include technology and all sorts of other issues.

emily: qualcomm a-shares dropped on this news, broadcom shares only slightly down. our executives in san diego celebrating? they still have a lot to figure out. ian: you are absolutely right. this is by no means a victory parade for them. they won by default. the competitor was disqualified, did not convince their shareholders to vote. to that shareholders meeting, which was canceled at the last minute, they were losing. it looked like the board was going to be taken over by broadcom. this is something they're going to have to address pretty quickly. emily: what our next steps for qualcomm? ian: qualcomm needs to get the apple situation sorted out. we have been talking about this for more than a year. they are in a massive legal dispute with one of their biggest customers, saying, we don't want it pay you for

technology licensing revenue. that is a massive importance for them. high margins, that pays for their r&d. they need to get that back to get shareholders back on their side. emily: talk more about the broader markets and how they might react to this bigger idea that this administration is not going to be friendly to m&a. of many kinds. brooke: one big open question out there is qualcomm's acquisition of nxp. we are still waiting for regulatory signoff from china. it has been more than 15 months. question whether china was purposely dragging its feet as retribution for trump because of the steel and aluminum tariffs. now this feeds the fire and it will be interesting to see what happens with of that. aboutwas also a question the marvell deal. one of the company is based in bermuda. is that a national security risk? it opens the floodgates for all

of these questions and different dynamics that advisors never previously had to consider. emily: broadcom executives are meeting among themselves, what is next for them, should they decide not to move this forward? ian: the point you make is an important one. broadcom is an american company, according to them. they were based in singapore for tax purposes. broadcom itself, they acquired in the last two years, is an american company. he is a malaysian born person but he is a u.s. citizen for 20 years and has top security clearance. calling them a foreign entity is a stretch in their opinion. the least according to the arguments they have made. the concern here is that if their policy is to buy new companies and to grow that mechanism, are they allowed to do anything? emily: do you think they will appeal? ian: i have no sense one way or the other.

it has been a difficult race to project. emily: so you still can't take a day off, is that the bottom line? ian: [laughter] emily: you are watching, hourly. ian king, thank you. brooke sullivan, thank you. after years of focusing on large customers, sales force is doubling down on their small is this base. they are rolling out a new product package called essentials. small businesses make up a third of salesforce's customer base. they edged out competitors like oracle. they are expensive but to pursue and maintain, unlike smaller enterprises. coming up, we discuss a surprise shakeup in washington. namesent trump has new for the state department and cia. this is bloomberg. ♪

emily: apple could be the first company in u.s. history to hit the $1 trillion valuation mark --a and all time high of 90 $922 billion. in spite of a lackluster earnings report, apple shipped fewer iphones than expected. they are up and hovering at a new record high. a huge shakeup today in the heart of the trump administration. rex tillerson is out and cia director mike pompeo is on his way in as secretary of state. president trump fired former ceo former secretary of state rex tillerson because they did not agree on the iran nuclear deal, and he hired the first woman to head the cia. here is what trump had to say about tillerson's successor. pres. trump: tremendous energy,

tremendous intellect. we are always on the same wavelength. the relationship has been very good and that is what i need as secretary of state. emily: for more reaction, i went to get to washington with the founder of the foreign a security institute. and senior adviser to senate , foreign relations committee. we will talk about what this means for business. but first, what is your reaction? >> the president and >> tillerson did not get along or -- the president and rex tillerson did not get along. mike pompeo has had a great relationship with the president. cia, looks like he will have that going as secretary of state. emily: earlier this month former cia director tweeted this about president trump. he said you show an amazing albeit unsurprising ignorance of how technology, automation, and the evolution of economics and

society has transformed the world. your simpleminded policies with tariffs have the ability to seriously damage our future prosperity. obviously, we don't know how mike pompeo is going to lead. tillersonoes rex being out, someone who supported foreign diplomacy, what does this mean for a change in policy and an impact in businesses? jamil: mike pompeo understands technology well. he served on the house intelligence committee, where he was a leading voice on the sharing act, between private and public sectors. pompeo understands technology. i think he will be a positive trend in that direction. quote is unfortunate, a lot of bipartisan back-and-forth between former cia directors and the president. this is what it is, but i don't think it is about technology.

rob joyce, number of other folks, nominated undersecretary of state for cyber -- pompeo wants to stay in. emily: does president trump understand it and does it matter? jamil: president trump is a ceo of a big company, and i don't know what the president's knowledge of cyber is. he has hired people who understand the issues. the man uses modern technology in a pretty aggressive way so , you have that going for him. emily: how do you think the relationship between silicon valley and washington will involve as a result of this? we have been reporting that relationship has been on paul is -- has been on pause since president trump was in the administration.

we see tech executives meeting with them in washington, but not a lot of engagement, otherwise. jamil: there's a real challenge about technology and the relationship with washington, d.c. it is important to rebuild that relationship. they are on the verge of regulation. people like elizabeth warren talking about regulating major companies like google and facebook. that is a real problem because the best part of our economy is modern technology. the idea that washington knows best is wrong. they have an opportunity to work toward a collaborative relationship. i think they should take advantage of that opportunity. emily: what about the broader signal this sends about foreign diplomacy to the world? how will this affect the united states relationships with other countries, this change in power? have ayou can say you

secretary of state that has the back of the president. the president sees eye to eye with. whether the blame goes on tillerson or the president, the president was elected. you want to secretary of state and president on the same page. i think you see more of that with mike pompeo and that is a good thing for american international relations going forward. emily: are you optimistic the next year will be slower on that front? now that the president has made this one dramatic change? jamil: one can only hope it becomes less dramatic. we have seen tremendous turnover in the white house. that is not good for diplomacy, foreign policy. hopefully this is the last of the big changes. at the end of the day, you want stability in leadership and policy. hopefully we see that going forward.

we have seen decent stability in the defense department. hopefully we see that in the state going forward. emily: great to have you on the show. coming up, blue apron continues to tumble after its ipo european , one kickstarter is looking to expand. this is bloomberg. ♪

emily: european meal kickstarter

gousto has $40 million of new funding to expand across the u.k., but with blue apron trading at all-time lows since going public, how does gousto plan to stay fresh? caroline hyde is standing by with the gousto ceo. you are in the same bracket, trading all time lows. there is concern about this area of the market. yet, here you come with $40 million. >> fantastic, they have been oversubscribed as a funding round. we had a great reception. what is important is one billion u.k. alone in the and 70% are home-cooked. so this is an absolutely enormous opportunity. we have the best value proposition from bill choice the

-- to the price point, to delivery options. therefore we have an amazing customer loyalty and managed to oversubscribed the round. caroline: you are looking at the u.k. but you have hello fresh , which has its footprints in the u.s. and germany, and you have others who may not be on your scale but they have your desires. how do you fend off the competition? timo: i have a vision for the next 10 years and i believe there are huge seismic shifts in consumer behaviors. we are building ai and automation and technology capabilities to capitalize on those shifts in consumer preferences. we are taking a very long time horizon. whereas other smaller players are being opportunistic on building capabilities. caroline: is the market therefore going to be between you and hello fresh? what about amazon coming in?

timo: what is really important, we obsess over you as the customer cooking dinner, we want to make your life easier, and healthier. amazon, we are talking apples and pears. amazon is for everyone the lowest price point, selling the most items. it is a different league, they are a retailer. we deeply personal line -- personalize the offering. we sell 29 meals on a weekly basis and have automated capabilities and so on. it is different from a value proposition point. i am feeling quite good. caroline: talk to me about how you wins -- how you win the hearts and minds? what are you doing to make it a better proposition? offers the most choice in the market globally. this means not only is a fantastic for you as a customer but it means i see what you look , at and what you choose, and what you buy.

30% of customer ratings give me a huge richness of information, more than any other company in this market has. i can make sure that i write trends earlier than anyone else. we use ai to personalize the offering. caroline: when you are hiring, because you are doubling your headcount, you have a 371 employees at the moment, in the u.k. -- how many are going to be engineers? timo: a big chunk, we are doubling our tech team the next six to eight months, faster than the overall company. machine learning phd's and math grads, i deeply believe their designs will power every single part of our business. it is deeply integrated into all functions. we empower people, giving them access to data. it is not just a few specialists. caroline: you raised more than 50 million pounds overall, is that enough?

are you have to -- will you have to go for another round? it is a deep-pocketed industry. yes, i could be profitable today. however, if you look at this up -- opportunity, a 10 year shift in the market, 1% of the billions of meals eaten means you build a 5 billion revenue business just in the u.k.. i am feeling quite good about the amount we raised. it will allow us to get profitable and beyond and build an outstanding customer proposition and widen the castle around the castle as it grows. caroline: thank you so much for spending time with us in london. emily: thank you caroline hyde in london. coming up, just months ago the broadcom ceo and president trump were chummy at the white house. but things have changed.

what is next in the chipmaker's relationship with washington. this is bloomberg. ♪ mom, dad, can we talk?

sure. what's up, son? i can't be your it guy anymore. what? you guys have xfinity. you can do this. what's a good wifi password, mom? you still have to visit us. i will. no. make that the password: "you_stillóhave_toóvisit_us." that's a good one. seems a bit long, but okay... set a memorable wifi password with xfinity my account. one more way comcast is working to fit into your life, not the other way around. retail. under pressure like never before. and it's connected technology that's moving companies forward fast. e-commerce. real time inventory. virtual changing rooms. that's why retailers rely on comcast business to deliver consistent network speed across multiple locations. every corporate office, warehouse and store

near or far covered. leaving every competitor, threat and challenge outmaneuvered. comcast business outmaneuver. is 11:29 in hong kong. ion debra mao with the first word headlines. noble says they reached a binding cap with creditors on restructuring its debt. along with the deutsche bank and ing, taking those in agreement to 50%. support for the deal, which would hand support to creditors and is opposed by leading shareholders. japan is exploring the possibility of talks between prime minister shinzo abe and kim jong-un. the government wants to review its policy on north korea, in

light of president trump's surprise decision to meet kim. and kim mayon discuss formally ending the korean war when they meet. lawmakers in singapore begin public hearings wednesday on tough laws to combat fake news. the government is debating introducing a similar robust approach, as it has with illegal drugs. singapore already has laws ,gainst incitement of religious libels, and issues considered a threat to national security. >> i am sophie kamaruddin with a check on the markets. asian marks are healthy, a four day bent. financials are the biggest drag on the hang seng today. shares in japan continuing to slide as investors weigh fundamentals.

japan's bond risk has fallen to a one-month low. secretary saying the removal of tillerson won't have a negative impact. we do have the latest set of data from china. shanghai shares falling a second day. chinese 10 year yield on the rise. officials are saying 6.5 growth is achievable. they are assessing what it means to xi. let's check in on currencies. i want to highlight what is going on with the chinese yuan. it is on the rise, along with the chinese dollar. pompeo is a hardliner when it comes to trade. the yen picking up steam, along with a gold. iron ore edging to $70. steel futures easing losses in shanghai.

china's top steelmaking city ordered cuts that could last through october. g #btv 7964, we are seeing inventories rise in china, which could impact steel markets. ♪ emily: this is "bloomberg technology." i am emily chang. back to our top story, a hostile takeover of qualcomm was stopped, and the president's basede for singaporean qualcomm was a simple this u.s. , tech is not for sale to a foreign bidder. national security aside, the timing raised eyebrows because it was being reviewed by the powerful committee on foreign investment in united states, which under the trump administration has killed at least nine at takeover bids of u.s. companies by foreign firms. here to get us through the legal weeds, --, and with me here is

matt larson who covers tech litigation for bloomberg intelligence. tony, i want to start with you. ian king noted earlier this is a company based in the united states, but some asylum in singapore. arguing it is a foreign company may be marquis. we know this was an unusual announcement for the president. what do you make of it? i think it is extraordinary in the normally when cfius issues come up, the party issuing control is domiciled or located in the country that is at issue from a national security perspective. there is a disconnect between the side of concerns about china and the buyer or proposed buyer of qualcomm. emily: matt, talk about the extent of broadcom's business in china. broadcom's revenue

comes from china. emily: so does apple. matt: a lot of international companies. emily: maybe not 50%. matt: it feeds into this five g race -- 5g race. it is almost as much of a u.s. protectionist decision on behalf of the trump administration as it is about security concerns. who will lead the way? huawei has a lot of tech, lot of leadership in 5g development, as does qualcomm. they want to keep those holdings u.s.-based and away from foreign investment. emily: tony, what is broadcom had waited until their full u.s. relocation was settled? tony: i think that would be a little bit of a different scenario, but i still think that

given the concerns over the race technology, there could have been a potential review there as well. continue to cfius creep and expand its jurisdiction in transactions, it thinks it has the ability to review. i suspect this would end up firmly in their crosshairs even in that scenario. i asked ian earlier, he does not know, is broadcom going to appeal? what is the legal case here? matt: you could certainly appeal the executive order. the question is, are those dollars well spent on lawyers? even if you appeal that successfully, what is going on with the cfius review, is there too much legal overhang, and how much bang for your buck are you going to get? the question for broadcom is going to be whether those are wise.

they had great shareholder reviewm until this cfius came up. it looks like the ministry should will do what they can to thwart broadcom's attempts, so that there may not be as much appetite for a hostile takeover. it is a little bit of a strategic decision. but it is looking bleak. emily: tony, what happens now to the cfius review? tony: it continues as it has, as to other potential foreign acquirers of u.s. businesses in the u.s. assets. with broadcom specifically, there has only been one suit in the history of the cfius process, and that involved a chinese-controlled enterprise that purchased some windfarms that were too close to u.s. restricted airspace, adjacent to a military base. interestingill be to see if broadcom explores the courts. because that case settled. there's not a lot of definitive

court rulings around what happens if you appeal. process of the cfius for buyers going forward, we have seen reticence from chinese clients during the trump administration to engage in the cfius process. i think this confirms their worst fears, that in the tech sector there's going to be , significant headwinds for chinese investors looking to acquire assets or access to technology in the u.s.. emily: talk to us about that, what are the additional implications for business from china? tony: i think it is going to be a challenge. it is interesting because if you look historically, notwithstanding the headline-grabbing blockages are busted transactions, chinese purchasers have bad and 80% to 90% success rate going through the cfius process, but it tends to be in sectors outside of tech

and semiconductors. i think you will continue to see chinese acquirers looking to do business and continue to grow their u.s. footprint, but i think they will end up having to pick their spots in figure out what makes the most sense and think long and hard before pushing the high-tech sector. emily: when it comes to qualcomm, we know there are engaged in lawsuits around the world, apple specifically. how is qualcomm's case looking? matt: the shareholder related to, is it the licensing segment, which was previously 1/3 of their revenue, 2/3 of their profitability, can they get it back on track? they have 34 lawsuits globally and we start to see decisions and key trial dates coming up, likely china and germany will be the first to weigh in and in the second half of this year.

there is a suit in the united states that will begin trial in june. a decision is expected in december. we will see this dispute with apple take shape. resolving that feud and getting qtl back on track. we will have an idea where it is going by the second half of this year. it will take a lot of time. emily: matt larson, thank you so much. and tony balloon, thank you both for joining us. yahoo! could be on the hook for punitive damages over a 2013 hack that exposed all 3 billion of its users. a u.s. district judge ruled that victims of the data breach can seek damages because yahoo! executives did not do enough to protect consumers given what , they knew about the breach. earlier this month, yahoo! reached an $80 million settlement from investors from concealing the hack to artificially inflate the price of yahoo! shares. coming up, from ransomware to cryptocurrency hijacking,

cyber security threats are still an enormous concern around the globe. we will hear from the chief technology officer at mcafee to talk about what trends the company sees across the threat landscape. if you like us, check us out on the bloomberg radio app, and sirius xm. this is bloomberg. ♪

emily: the chinese and like sharing startup just raised

millions in its latest funding round. alibaba is leading the financing according to the company, does , -- this is the largest funding round. together, they represent 90% of the bike sharing market in china. in a new report, security firm mcafee highlights rising cyber threats from mobile to hacks torency ransomware. what are the trends in cybersecurity and what should users be looking for in 2018? for more, our chief technology officer at mcafee from plano, texas. let's talk about cryptocurrency hacking, this coincided with the popularity around bitcoin, with the price and rise of cryptocurrencies. what exactly is happening here? that is right. we need to recognize that cyber criminals are looking to optimize their profits. as cryptocurrencies explode in price, cyber criminals are going

to look to focus on how they could either steal cryptocurrencies or take over individuals computer currencies, mine essentially create cryptocurrencies out of thin air as part of optimizing their business model. emily: what is being done to address this? steve: a lot of what we are focused on is looking for what is the underlying technology that the cyber criminals are using. we are focused on looking at how do the applications that the take over a computer to perform the crypto mining actually work? detect that and prevent them from running, essentially giving our customers along with the rest of the industry focused on how do we stop the cyber criminals from going after this sector of attack? emily: what about ransomware? have heard about increasing ransomware attack.

you tracked a 59% increase, including acceleration towards the end of last year. now that we know more about ransomware, how do we combat it? steve: the first thing to recognize is from a cyber criminal's perspective, ransomware is a great crime and part of the reason is they are paid directly by the victim. unlike things like data theft, where a cyber criminal would then need to sell the stolen dita -- data to monetize it, ransomware is a clean crime. a lot of what we are doing to defend against ransomware is to understand all of the different types of attacks, either holding data for ransom, or in corporate and health care environment holding systems for ransom until , a ransom of a large amount is paid. simplyour companies

paying these hackers off? onceere any way to not pay the attack has happened? steve: it is a great question. the advice we give is if you can , recover from a ransomware attack without paying, it is a far better process. backing up your data so that if it is a database-ransomware attack, you can recover and not pay the criminal. or if some other system is held for ransom, being able to restore its service is a much better outcome. we recognize that companies are often put in very difficult situations where sometimes they do look at paying a ransom as one of the means to get back in business. every organization needs to make that decision on a case-by-case basis. emily: health care has become a new target for breaches. what trends are you seeing? steve: we see a diversification

of breaches were cyber criminals are now using all sorts of techniques and they are going after a much wider variety of targets. for example, in the health care industry, a report talked about a more than doubling of the tax against health care providers. part of the reason for this is they are often running older systems and not using best practices. the impact be severe. we did one aspect of the study where we found things like medical images for patients were sometimes directly exposed on the internet. in some cases, those images were using formats that included things like patient personal information. we have also seen things like the weaponization of data. the report talks about what we call face click malware where information warfare is attempting to abuse social media

by making fictitious stories, get lots of likes in order to grow their credibility. emily: what are you saying when -- seeing when it comes to the rise in malware? are we talking exponential, will we see that plateau at some point? steve: part of the challenge is the barrier to create new strains of malware has come way down. we are seeing a much more rapid pace in bad actors building new forms of malware. in a report we call out that every eight pieces of malware are created every second, which is essentially a doubling of what we saw from our last report just a few months ago. emily: why is that? why have the barriers come down as awareness about it has increased? asve: part of it is, just

defense technologies continues to evolve, the technologies that bad actors used to build malware has also evolved. take for example the ability to use technology like artificial intelligence. we are using artificial intelligence in the cybersecurity defense industry in order to detect attacks, but similarly, bad actors are using the exact same technology to make their attacks more severe or to identify victims. or to automate things that used to require human intervention. emily: a lot more fascinating stats you guys pulled up in your -- pulled in this new report. thank you so much for stopping by. coming up, gm doing for cars what airbnb has done with real estate. their car sharing ambitions. this is bloomberg. ♪

emily: gm is taking a page out of the home sharing playbook. they plan to start a pilot program this summer which will enable car owners to rent vehicles when they are not using them. they will list cars on gm's maven platform and share revenue with it the automaker. joining us now for more details is david welch. how exactly will this work? david: gm will take cars owned by people they sold them to. could be a person just water car aand-new, or has had it for little while, offer them a chance in wherever cities they will launch. maven rents cars as a zip car does. people want them for a few hours. they have an app that will connect people who need a car with a gm's own network.

maven'sl put it on listing. iteone who needs a car uses for as long as it is available or as long as they need. gm and the owner will split the revenue. gm has not been clear on how they would split the revenue. emily: gm has been doing a lot of experimenting and made a big investment in ly theyft have a relationship with maven. . what is a signal about their strategy going forward, partnerships versus g.m. owning that, going forward? david: they do own a piece of but then gm did not participate. they have relationships with uber that are nonfinancial. they rent cars to uber drivers in certain cities. they bought kroos automation, their self driving car unit in san francisco developing , autonomous vehicles.

gm wants to be involved in everything you can imagine in terms of mobility. by working with uber and lyft they are involved with ride hailing and ridesharing. by starting this app, they will be in peer-to-peer car sharing. maven is in regular car sharing. there will be robo taxis through kroos automation. so they are dabbling in everything to see how people get around for the next decade and beyond. emily: what are the insurance risks that come with this? given anyhas not specifics. we got ahead of them on this one. one of the turo, peer-to-peer card sharing companies. they have a couple of insurance partners who ensure -- insure the vehicles. it is insured by one of these partners so that the car is

covered while this rental situation is going on. this is basically a competitor to avis or hertz, they do have insurance in the same way those carriers would. emily: we expect other carmakers to follow the trend? tesla has hinted that peer-to-peer car sharing as well. david: elon musk talked about it in 2016. some of gm's competitors, daimler, is invested in turo. another invested in getaround. gm is the one actually experimenting with it. emily: bloomberg's detroit bureau chief, david welch as , always, thank you for joining us. that does it for this edition "bloomberg technology." we are live streaming on twitter. that is all for now. this is bloomberg. ♪

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