leaving every competitor, threat and challenge outmaneuvered. comcast business outmaneuver. hyde,ne: i am caroline this is bloomberg technology, live from boston, showcasing the innovation, diversity, and power of the regional tech economy. coming up, boston has become a standout city for testing self driving cars and we are at rides indoor track getting a look behind the scenes. we speak with the ceo.

plus, as the pace of autonomous driving moves rapidly, how are companies factoring in safety? we hear from someone on the forefront at the toyota resurgence into. and our exclusive institute with racy and ceo tom kennedy, explaining my boston remains one of the best pools of talent in the world. first, to our top story. in the race for autonomous vehicles and premises, boston is one of the handful of cities leading the charge to test self driving cars. in 2017, the city launched a testing program on public roads in the seaport district. first selfre lyft's driving pilot kicked off and start up optimus ride recently relocated its headquarters. we got an inside look at the indoor track at optimus ride. >> this self driving vehicle start up is on a roll.

the company is optimus ride, a play on the transformers robots, and it is located in boston's seaport. s small fleet of test vehicles is navigating an indoor city. >> this is our indoor test track. cityll it optimus because it is the size of several city blocks. we can reconfigure the track by changing the lane markers and change it to any intersection we want. a five way interception, a typical four-way intersection with stop signs. >> the ceo and cofounder brian says optimushin ride is not focused on long-distance, but on the last mile of transportation. right now they are testing at union point, a nearby housing development, driving residents to the local train station. this is different from companies such as uber, testing autonomous

driving for longer trips. the recent the vestry and arizona shutdown testing in boston just for a day. optimus ride restarted after safety reviews. >> there is a goal of educating the public. whenever you have a new technology, you have to educate the public. we believe if we start in a medium speed environment, 20, 30 miles an hour, it is much better than high-speed. adoption has to start at those speed regimes. >> this m.i.t. spinoff has about 60 employees and chin expects 150 by mid-2019. they plan to expand their fleet of electric vehicles to 50 by the end of this year. >> we also expect the growth to be nonlinear, especially around engineering, specifically an aeronautics, computer vision, machine intelligence. >> with more than $23 million from investors, optimus ride is searching for more partners. >> we have many partners and are

adding more as we go. one of the big partners is nvidia. for self the top cpus driving cars, so they are a great partner for us. they build all the computers they go into our vehicles. we have other partnerships with the perkins school for the blind here in watertown, massachusetts , a big advocacy group for equitable mobility. >> optimus ride plans to remain private. the biggest challenge will be competition with the giants to release self driving cars, not just manufacturers like volkswagen and hyundai, but also google. caroline: joining us for more is ryan chin, ceo of optimus ride. we were just hearing the competition is on. who is going to be first to actually make money with this? where in the food chain to use it? >> we said right away. atare already deploying

union point here in massachusetts. we believe it is actually the world's's first revenue-generating pilot, which provides validation of technology and markets. they are moving people autonomously, providing service to a client. that is important for validating the market. for us, the market segment itself, being able to deploy in these medium speed environments where we can provide the first and last mile, is a real problem that almost all cities have. caroline: the problem all cities have, governments are having to invest in better infrastructure for making congestion ease. they are investing billions. should governments be investing more into this part of the food chain to make autonomous car is more of a reality? at the moment, it is a lot of private money. >> historically, governments have. the u.s. government, they gave a lot of funding through darpa in the early days for the original testing and development of autonomous vehicles.

literally hundreds of millions of dollars 10 years ago. than the industry took those ideas and ran with it. we need continual investment, not just research, but also infrastructure. we need policies that enable autonomous vehicles to be deployed. there are different policies in different states. have you get uniformity? we have seen some countries, like singapore, push very hard for this. that is where governments can play a big role, how do you provide an environment that allows this to be commercialized? caroline: would this be a better economic bet than putting millions into drains -- trains? >> the believe we have is that self driving is the key disruptive technology for the 21st century. if you are able to deploy autonomous vehicles, you solve many problems. , abon emissions, congestion lot of the other issues of too much parking in cities, by enabling shared, autonomous, electric economy to have an.

those are the things you are able to do right away once you have the system working. caroline: you talked about infrastructure needs and regulatory harmonization. are they the two key roadblocks to seeing more revenue-generating pilots? >> i don't think so actually. the way you can deploy now, you can actually do it. you can do fly in these locations, like we have already, by working with the right groups. when you have those in place, you create a showcase for regulators to see, we have a system that works. you can see the system mark. that lubricates the environment for you to actually begin to diploid in other locations. caroline: how much of a setback was the death in arizona with the uber car? you had to stop for a day, but how much harder is it to win hearts and minds? >> a day or two is not a big deal to not be testing. we have talked to the city, talked to the state about our

testing regime, how we create levels of redundancy. we have two test operators on the vehicle. we also talk about how we recruit and train our drivers. that was very important for setting the stage of what we do in terms of functional safety. once you have that in place, people kill -- people feel confident. the other key part is education. we feel the best way to adopt is to deploy through pilots. once you get actual users and they feel the system works well and is solving a problem, that spreads. it is a build it, they will come attitude around deployment. caroline: where are you taking the revenue cut? how are you being paid for the software you are building? >> we provide mobility as a service. the client, in this case the developer of union point, is providing amenities, self driving mobility amenity, to the

tenants of the development. the passenger does not pay but the client does as an amenity. if you go to a university campus, students don't pay for the shuttle. modele providing a b to b for self driving and it is starting to validate itself through the number of clients we are starting to negotiate with. caroline: you are working with partners. what other partners would you want? you already said nvidia is providing the chips. to eventually makes the most money out of this? everyone is going to be fighting for the data. who ends up making -- >> hopefully self driving companies are one of the key winners. that is going to be important. the other key players are the car companies themselves. oem's, tier one suppliers. our company focuses on developing the software and integrating the sensing into the vehicle to make it drive autonomously. caroline: do you want more

vehicle suppliers to come to you? >> of course. we can take any vehicle and integrate our technology. we have built self driving trucks, self driving sedans, forklifts. we have built all vehicles of various sorts, scales, and even powertrain. being vehicle agnostic is pretty important, because the market will dictate what vehicles you have. caroline: talked to us about your vision for optimus. we know you have raised money through the november close, $18 million. is more money needed to continue to see more of these vehicles? >> it is obvious you need more money to scale. every major business needs to do that. if you look at the funding that has been raised for other self driving companies, there is much more money needed to be able to scale, that's for sure. from our point of view, scalability is proven through pilots. once you have that, it is easy to build the capital you need.

caroline: you don't need anymore? >> there is a need for more money always, whether institutional, strategic funding. it is part of the whole ability to be able to scale. once you have minimal viable product, as they always say, you are able to seek the right capital that you need in order to scale. we think we have a very scalable product because we are not only vehicle agnostic, but the environments we have are everywhere in the united states, everywhere internationally as well. every city has a problem of the first and last mile. every city has challenges with congestion. if you can solve those through one example, the whole world can see it and you can export that. caroline: thank you very much. thank you for hosting us as well. ryan chin, ceo of optimus ride. meanwhile, shares of cisco are falling in after-hours trading

after third-quarter revenue came in at $12.5 billion. $.56ngs per share were versus estimates of $.65. cisco also gave an of the forecast for fourth-quarter sales, a signal of healthy demand for equipment and software. for some context, cisco shares are still up 18% this year. , china'searnings news most popular social network, tencent, posted quarterly earnings that beat estimates, income jumping 61% and users exceeding one billion. tencent owns the giant we chat messaging platform. coming up, facebook ceo mark zuckerberg is getting ready to face the music on the other side of the atlantic, next. and if you like bloomberg news, check us out on the radio. bloomberg radio app, bloomberg.com, and in the u.s. on sirius xm.

this is bloomberg. ♪

caroline: welcome back to a bloombergion of technology, live from the optimus ride headquarters in boston. facebook ceo mark zuckerberg is preparing to head to europe to answer european lawmakers' questions about how the data of 2.7 million europeans ended up in the hands of cambridge analytic up. for more, let's turn to sarah frier. by thissurprised

decision they will accept europe's invitation? >> next week is a very important week in europe, because that is the week gdp are goes into effect, the privacy regulation that has caused facebook to make a whole bunch of changes to privacy settings for users, not just in europe but around the world. zuckerberg is going at a time when he really needs to be on the good side of this division of government. caroline: interesting, so timing is everything, may 25 when the general data protection rules come in. what about the fear of missing out being felt by the u.k. politicians. we got some angry tweets. sarah: that is such an interesting back-and-forth. that committee has been asking zuckerberg to appear over and over. yesterday facebook responded to their questions at length but was very evasive about the idea

that zuckerberg would come testified, actually said he has no plans to go to the u.k. and they were disappointed in the government that they did not find facebook answers to be sufficient. was a strangeelt thing for a company that has been under investigation to say that they are disappointed. here is a tweet today from that committee. i will read it to you. we remain open to mark zuckerberg giving evidence via video link or in person. him not appearing is not just a snob to the comments, but more importantly, a snub to the u.k. and millions of facebook users who deserve answers." that pressure is not going away despite zuckerberg's intent to ,mooth things over with the eu which i should mention is going to have a behind closed doors -- going to have him behind closed doors. caroline: fascinating what the damien collins mp has been

saying, who leads that committee. cap to us about the news we are getting not only from mark zuckerberg but also be keen whistleblower who drew this to attention with regards to cambridge and what about and -- cambridge analytica and the data scandal. it seems to be revolving around russia. sarah: wiley in front of congress said it is possible that the facebook data that was given to cambridge analytica could have been shared with russia, in part because it was so hugely -- so easily accessible. facebook says there are 200 other apps they're looking into that could be similar situations, so we will see what happens. caroline: fascinating the reaction today. thank you. coming up, our exclusive interview with tom kennedy. we discuss why the company has

stayed in the boston area for decades. this is bloomberg. ♪

caroline: welcome back to a special edition of "bloomberg technology" in boston. is a global leader in technology solutions. being a global technology with more than 64,000 employees, we asked ceo tom kennedy about the decision to remain headquartered in boston. >> numerous universities, m.i.t., harvard, boston university, university of massachusetts, tufts, a whole set of university that provide the technical skills required to work in the industry and help to develop the next generation systems and solutions that will

be able to compete in a global marketplace. caroline: what are the next generation of system and solutions? >> the whole area of machine learning, artificial intelligence, and how you apply them to your product solutions is a whole new wave of capability we are looking at significantly and putting those products into our solutions that we provide customers. caroline: 3-d printing? >> we call it additive manufacturing, which opens a new door for companies relative to their supply chain. we build those products within their company, so it is a whole new dilemma in terms of figuring that out. and if manufacturing is going to change the way we do manufacturing in the future. one of the things that has changed in terms of technology, for years we thought we were on a linear curve in terms of technology. one of the aspects was called moore's law, every 18 months you double your processing speed. in today's world, we are on an exponential curve.

some of the technologies, one of them additive manufacturing, but also machine learning, artificial intelligence, nanotechnology. all of these technologies are coming together at the same time that are really going to change the way we live and work and do business in the world in the future. caroline: as a business leader, how do you ensure you are ahead of the curve and the startups? >> we hire the best people, and the best people are in boston. we hire from the best universities and the best universities are in boston. caroline: what about the talent diversity? so much focus on the fact that you need the best talent, but you need to ensure it is the right working environment as well, women, minorities. how are you focused on that? >> we find to get the best product development, it helps to have diversity of thought and have a diverse team putting those products together, because our customers are diverse. to be able to provide the right solutions, it helps to have a diverse team.

the issue we are facing -- not just raytheon, all technology companies -- is how do you get a diverse workforce in today's environment when there are not a lot of women coming out of universities with science and technology and engineering degrees? that is an area where companies are working to drive and fix a solution. caroline: how are you helping drive it? >> we are heavily involved in science, technology, engineering, and math activities. one program we just started is with the girl scouts, working with them on stem initiatives and a stem badge so if they do user and, they wind up with a stem badge for the girl scouts. caroline: where are finding talent pools my regional perspective? china is producing more and more great talent. are they coming here to study, to live? are you putting parts of your business and other parts of the world to ensure you can harvest that talent? , folksre global company in the united kingdom, london, scotland, folks across europe,

asia-pacific. company inanded australia, raytheon australia, and have activities in the gcc in the middle east. we do have a global level of talent around the world, but the united states has some of the best universities in the world. many of our employees worldwide have attended universities in the united states, and boston is a key area where schools provide that background and talent capabilities to help any business go to the next level in a global marketplace. caroline: how can boston make sure it remains a number one talent pool? >> it needs to ensure it is business friendly. boston has a growth. we continue to work transportation issues relative to getting people into and out of the city. and we continue to maintain the university structure that provides affordable and high-level education, especially in the sciences. caroline: you talked about cyber security concerns.

do you feel the focus at the moment in terms of the u.s. on p is the right way to look at it? >> i think we have to protect our ip. you have to protect your inventions, you new technologies , to compete in the international marketplace. if folks are stealing that ip and replicating our technologies and undermining you, it impacts the business. caroline: when you say your presence in gcc and the middle east, a topic of conversation has to be geopolitical risks. how does that affect you as a business? >> we operate worldwide. every day i am constantly becoming a geopolitical expert relative to what is going on in the world, because what is going on impact day-to-day business activities. caroline: that was our conversation with raytheon ceo tom kennedy. coming up, we will talk about the path forward for self

driving cars in boston and around the world. we will cover the waste improve vehicle safety -- cover the ways to improve vehicle safety. later, how can technology improve the transportation in the river city? we discussed the boston's transportation commissioner. ♪ oner. ♪ mom you called?

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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. caroline: welcome back to "bloomberg technology." i am caroline hyde. we are broadcasting in boston this week and have set up shop today in optimus ride headquarters. we have been discussing the fastest-growing emergencies -- industries, autonomous driving. many predict that the majority of cars will have self driving capabilities sooner than you think. will the road be safer if humans are no longer behind the wheel? for moore, john leonard, toyota research institute vp of automated driving research. wonderful to have you here. will humans not be interacting

with vehicles? at the moment, you are working with a jewel sort of project. professor and.t. i have been involved in this technology my whole career. i have the opportunity to work with toyota, who chose boston as a place for its new research laboratories, for access to talent and the technology network. we are pursuing a dual strategy, something we call show for, fully self driving, but also something called guardian, which is a human driven car but an autonomy system in the background ready to take over to improve safety. it would is that mean just be a step toward fully autonomous vehicles? --ld the interim period me be that there would always be a human behind the wheel? >> i think there are many paths. self driving is the space race of the 21st century. we have the traditional oems,

these startups, the tech giants. hats.are many different have clear to me we will human cars for a long time, the average cars on the road for at least 10 years. the interaction of humans and machines opens up interesting challenges. caroline: to the humans inherently make them less safe? >> great question. a lot of accidents are due to human error, but human skills are very complementary to ai technology. humans are bad at monitoring them to autonomous system for a long time. a car can do 90% of the job, -- can do 99% of the job, but you have to be ready to jump in. where's technology can be vigilant and help the human in an unexpected situation. i think about making left turns. i have a teenager learning how to drive in the boston area and we have challenging intersections. the question of how you get the experience to make decisions, is

it safe for me to go? but also the social interaction problem. a lot of times you have to way that other drivers. those are challenging for machines to solve. aioline: how will the inherently nudge the human to say, ok, now you need to step in? stop drinking the coffee, stop listening to music. >> i believe driving is something we should be paying attention all the time. current technology like automatic emergency braking, a car can slow the vehicle down. imagine a more broader set of capabilities where the car might take evasive maneuvers. stay on the road, don't hit things, don't get hit, you could dramatically reduce accidents. going back to the left turn, let's say teenager or elderly driver went to go when there was a car coming. the autonomy might step in and prevent them from going. it might have a perceptual

awareness that can help a human who is looking back and forth, trying to say, is it safe to go or not? caroline: what is your view in terms of when that will become andy and in use on the road when we will have full autonomy? >> the question of when is so hard to answer. i tend to be more on the contrary inside, i think it will be longer than other folks. toyota is pursuing all product opportunities. i can't say any specific dates. it is not so much a question of when, where. there are limited deployments happening, for example arizona, south boston. technology -- some folks have ,ommented, some journalist think of an early cell phone coverage map. initially they might only work in big cities in overtime grew to larger areas. autonomy might relate slowly out of certain urban centers, but it might take longer than people think. caroline: is regulation the hurdle? >> regulation is an issue.

that i'm not really an expert on regulation. purely the technology aspects, things like interacting with police officers and dealing with snow that we get in boston. there are a lot of technical challenges, road construction. challengesechnical that need a lot of work if we are going to achieve the equivalent of the 2018 cell phone coverage map of the u.s. for full autonomy. it could take a long time. caroline: what about the infrastructure, 5g? >> vehicle to vehicle communications are not part of our current mandate. we are thinking about machine learning, harvesting data, interacting with people. toyota has recently announced it is introducing communication chips in all vehicles soon. i want every tool in the toolbox. i think of cards can communicate and help each other out of tricky situations, maybe we can get -- a social good will

emerge. perhaps unfriendly boston drivers, their cars will be friendly and help each other navigate. caroline: from the cars. it is great to have you here. thank you for talking us through the technological challenges, john leonard with the toyota research institute. united states senate has voted to restore the obama era net neutrality rules. the vote was 52-47 in favor of reinstating the roles that would keep internet service providers from throttling speed and favoring their own content. the fcc voted 3-2 along party lines to roll back the regulations late last year. wednesday's victory for net neutrality may be short-lived. the house is not expected to take up the vote, and even if they did pass the bill, it is expected that president trump would veto it. coming up, what you need to know about a boston-based startup

that is shaping the future of transportation, not on the road, but the sidewalk. later, it is not just a plain, it is a car. we speak to the ceo looking to take you from the tarmac to the clouds. this is bloomberg. ♪

caroline: in the race for the future of transportation, one startup is focusing not on driving but on walking. piaggio fast-forward, a boston division of the italian company known for a vespa scooters, is developing a robot to carry cargo and follow a pedestrian.

gita, a robot designed to identify and follow you. >> gita is a personal mobility assistant. has a cargo bay which holds approximately 45 pounds. a was created by the ceo of piaggio fast-forward. >> our goal is really to enable pedestrian-based lifestyle, allow people to walk more, better, further, and faster. you throw the goods into a vehicle and start walking. >> the company is a boston-based subsidiary of piaggio, the italian creator of vespa motor scooters. >> our brief was to invent something new, a vehicle you have not seen but that could be the equivalent maybe of a disruptive vehicle like the best but was in 19 -- like the best the -- like the vespa was. >> the target consumer is

similar. >> we are looking at a consumer buyer as our target, the kind of buyer who would want to have a vespa scooter. >> the price tag to start, around $3000. >> one of the defining features of the way cities are being redesigned is the growing importance of the destiny and only areas, areas not accessible to cars and trucks. we think that is a trend that is going to expand over the coming century. gita is a vehicle designed for those environments. >> piaggio fast-forward has a vehicles andotype expects to complete its first generation production models this summer. ceo predicts 10,000 vehicles will hit the market by early 2019. will have think gita useful applications in suburban environments, where people would like to walk that the distances are sufficiently great as to

create a resistance, or they often involve moving around with kids. so having fleets of these vehicles could also allow people not to have to reach for the keys to the car. >> gita's competition is limited , but there are a growing number of companies working on delivery robots. that everyone is on board. san francisco band those robots on sidewalks last year. >> there only competition inasmuch as we are both interested in sidewalks. the reality is they're robots are designed in a different way for a different set of use scenarios. first -- is autonomy autonomy for humans. what that means to us is a focus on human centered design, creating vehicles that don't replace human functionality but expand them. >> the company is expanding, too.

>> currently around 35 full-time employees. we are expecting by the end of the current calendar year to be closer to 100 total. we are in a very active growth phase as we move towards essentially moving gita into production and out onto the market. >> and moss, bloomberg, boston. caroline: you want one? let's cover the bigger picture of initiatives, roads, and public transportation in boston. we caught up with the city transportation commissioner and discussed how the tech industry is helping to improve transportation throughout boston. >> we have a great environment for testing new technology, for identifying cutting-edge ways of enhancing mobility. we released go boston 2030, a cutting-edge mobility plan for long-term growth for the city. a hallmark of that is how we

engage the public in helping to form what future mobility will look like. caroline: what will it look like? what is the technology underlying it? >> a lot of the technology is around connecting points of mobility and using data in a smart way to help inform how we shape transportation policy decisions, whether it is around enhancing our public transit system or utilizing adaptive technology to communicate with vehicles and with mass transit andcles, buses and trains certainly autonomous vehicles part of the mix. caroline: talk about autonomous vehicles. 's self driving car testing program has been put on hold since the tragic event with an uber killing a woman back in march. where do you see that coming back online? is it the right decision to have it on hold? >> in boston, we did take a pause for testing.

we have three companies actively testing with us now in the seaport location where we are. after that incident, we paused testing. we regrouped with our partners who are testing and we really make sure they are adhering to the safety protocols. so we actually have resumed testing. they are really great partners for us in terms of being transparent about what those testing protocols are and making sure that as we roll them out, we are forward thinking and safety is our number one priority. caroline: what sort of key elements do you want to see to enhance safety? >> we want to make sure they're adhering to the protocol we established, which is there is a safety driver in the vehicle at all times as well as a system person gathering data on how the system is performing. so there are two separate functions and there are always

making sure the vehicle is operating in a safe mode, adhering to all the normal driving protocols, whether it is adheringtification and to speed limits and crosswalks and things like that. required to submit reports to us on a regular basis , which is all available to the public. all of our testing protocols are on the city website, all the information you want to know about how boston has taken the lead on this is on our website. caroline: why do you want boston to take the lead on this? >> it is important to make sure your mobility systems are not only functioning optimally for current conditions, but also take into consideration what the future landscape will look like. in boston, we have great partners with our universities. autonomy and optimus and active. we have a very fertile

environment for encouraging creativity. caroline: what about the environment for bike sharing? this is an area like blue cross. it is interesting in other cities, we're seeing a rise in. bike-- a rise in dockless sharing, which can be efficient but can cause chaos. how are you managing that? --any program that includes improves mobility options, a bicycle, walking, public transit, is terrific. we have hired an active transportation director a couple years ago in boston. she is responsible not only for the bike program but all these active transportations, ensuring we transport -- we incorporate mobility options into the street design. we have a great program with blue cross blue shield, which sponsors our bike share system. that is a dock system and we have been thoughtful and strategic in how we provide

opportunities for bike share in all of our neighborhoods in building a network so folks in downtown boston can visit outlying neighborhoods and that those folks have access to bike share. caroline: that was transportation commissioner gina fiandaca. coming up, taking to the skies. just how soon will it be from when you pull out of your garage and wind up in the clouds? we find out next. this is bloomberg. ♪

caroline: welcome back to a special edition of "bloomberg technology," live from the

optimus ride headquarters in boston. speaking of ride, there is one bit of future tech we have been promised for years, and our next guest is racing to make it a reality. the flying car. in massachusetts startup is working on a flying car, a drivable plane. how will they be regulated and how soon will it be before the rubber no longer meets only the road? i welcome the ceo of terra fugi a. the first flying car to the market, still aiming for that? >> we should be delivering our first product the middle of next year. caroline: are they a driving plane or flying car? >> that particular product has wings that fold up, so you park it in your garage, drive it to an airport, unfold the wings, and take off. caroline: how do you ensure the pilot is harnessing safety, focused on safety going forward.

this is a whole new neighborhood that needs to be regulated. >> we need to meet the regulations by the national highway safety transportation group as well as the faa. the person driving has to be a licensed driver in the u.s., and when they are behind the stick when they are flying, they have to be a licensed pilot with the faa. the safety aspects are a challenge because we need to have the automobile safety , allts, seatbelts, airbags of that is part of our testing process and requirement. when you're in there, we need all the things that go with that, including a parachute. when you are in the air, the last resort is to pull the parachute and come straight down and land safely. caroline: how are the regulators about this? is it easy to negotiate with them? >> we were one of the first to be in this space and will certainly be the first to have a

road-able aircraft. there are some challenges along the way. in some cases, we need to get the regulators to compromise. for instance, an aircraft andshield is acrylic and automobile one is safety glass. strikes thed windshield in flight, the safety glass means you can't see. we needed to have the faa and highway safety folks compromise to allow us to use an aircraft quality windshield in an automobile, and they did. caroline: we are seeing pictures of the vehicles. the transition is the one that is coming on as soon as next year. what about the tsx aircraft? how does that change the rules of transportation? >> it is a much different design. for that design, it is a tiltrotor kind of vehicle, a different development, actually much more challenging to come up

with that one. what we have done now is decided that the second product we will produce is going to be an urban air mobility vehicle, a flying taxi. tiltrotor small vehicle on the back motor for the time being, because we see a real opportunity with urban air mobility. caroline: you have just been to the elevator event. this is getting a crowd in space next it is -- next? >> it is. i think we are in a unique position. at the top of the boeing and airbus, clearly excited and interested that this is likely to be a new market for them. they have acquired some of the start up companies and are fully funding them. at the other end, there are lots of small companies that are startups that struggle for funding. we find ourselves in a different situation. we are now owned by the largest manufacturer of cars in china, who are fully funding us, but we

don't have the other aspects of big companies like boeing and airbus, so we are very agile. caroline: the chinese company, how much money does it take? >> it is in the hundreds of millions of dollars to get you fully developed into this process. caroline: what about autonomous? >> it is different for cars and aircraft, but in some aspects similar, both under development for a long time. we are taking them to approach that says, we are going to start with pilots in the vehicle, something the faa can certify immediately and we can put into the air space right now. with the aspect of autonomy in the vehicle so we can demonstrate that capability. when the faa or other agencies are ready to accept that, we can take the pilot out. to get into the market, we are taking a different approach. taxi, a fouran passenger and one private

vehicle. when we are ready, we will call the pilot. caroline: dates when that will come? >> we are flying the first prototype next year and looking to deliver around 2023. caroline: thank you for making the time for as. that does it for this edition of "bloomberg technology," live from boston. tomorrow we will be at the historic fenway park speaking with none other than boston red sox president sam kennedy. also the boston celtics president. that is all for now. this is bloomberg. ♪

>> a 10-year treasury pushing to 3.1%. >> the russell 2 o 00 hitting an all-time high. pimco are chasing post retirement income in australia's grain population. >> china's economic advisor in a four-day trip to washington.