emily: i am emily chang in san francisco. this is "bloomberg technology." in the next hour, our exclusive interview with president trump's 2020 campaign manager, also known as the secret weapon who ran 5.9 million facebook ads for trump in 2016. his strategy for reelection amid concerns about the russian meddling. plus, amazon finally gets its footing after a rough start. with technical ditches -- glitches on prime day, we will break down how many shoppers

flooded the site and what they are buying. should netflix investors be worried? second-quarter results could be flat. to our top story, it is no secret that president trump ran perhaps the most successful social media operation in presidential campaign history. so much so that it has been unknownhen relatively campaign head was elected to rerun his entire campaign for 2020. now that the campaign is accused russia,ding with something the president denies, but on trump administrated tuesday, russia did meddle with the 2016 election. brad worked closely with facebook and twitter to hone the campaign's micro-targeting strategy. one other company he worked with was one at the heart of facebook's recent data scandal, cambridge in a leg up. we sat down with him for an exclusive interview at a marketing association event in

california to talk about the groundwork. take a listen. >> my focus rightn midterms. you have to understand for 2020 holding the house and growing , the lead in the senate is important. to get the agenda of the president done so we have a great platform for 2020 is important to hold those seats. what you see from a campaign standpoint is producing a supportive role in that. we are not taking a lead role, a supportive role. we've money, options, content and creative things we can do to help. we can help from a geo television standpoint and in other ways. we want to make sure we do everything in the president's campaign and committee to support them and do everything we can to hold the house and the seats in emily: what are lessons 2018. you've learned knowing what you know now? what will you be doing differently?

in 2016, i did not have a basis for information. i came in with a clean slate which was an advantage for me. emily: you have never run a campaign? >> i ran a campaign, but never a political campaign. lots of product campaigns. i had great support. the republican national committee came in. i had jared kushner by me and he was my boss, and was great. we would bounce a lot of ideas off of each other. they are an amazing family. and i had the best boss in the world. he was always leading the right direction. what i really learned was how important it is to understand the data. i knew that going in now, and even more now to learn to ask questions to those who have experience doing it.

i've been doing a considerable amount of reading and with pasting lectures, going back hundreds of years. i've done everything i could to educate myself and this will be a much more grind it out, long-haul for me as campaign manager. i also believe the president can finish what he is going to do by getting rid of the unfair balance between china and the continuesblems, if he to grow the economy the way he does, with wages continuing to improve. as he continues to solve national security issues to make the world safer, i don't know if it will take a lot of work. i don't know how this is going to work. emily: you made 5.9 million facebook ads. hillary clinton made a 66,000. will you make that many again? marker --er precise micro-targeting. >> we will have to see what the playing field is.

some days i wake up and think facebook, google, twitter, will maybe not play fairly. emily: what you mean? >> maybe they want to make the api harder to do those things. right now facebook used to be that we could put an ad up in a few seconds, now it takes a couple days. it's hard to put up five point 9 -- five point 9 million ads when you cannot use the api automatically. i brought it up as one of my items i was frustrated with. i said this is a kind of change that is biased towards us. understanding how our technology works, you created a rule which made it more difficult for us to use that. that is a frustrating standpoint. i don't think we won't figure out a way to get it done. right now, he is more popular than election day. he is the most popular republican president in modern history. i think we will see a successful trump in 2020. emily: it's ironic that you are

frustrated by facebook, when they playedbelieve a critical role in winning you the election. facebook one in a lot of ways. facebook is the .1% that delivered his message. if facebook did not exist, he would be a lot tougher. facebook has connected the country, rural cities across the country and different types of backgrounds. it is doing exactly what it is designed to do, connect us all. i think facebook is also a liberal company, maybe it's management is not, but it has been based in a place that is extremely biased. northern california is not eastern kansas. their employees have bias. this is in everything they do. they will have to swap that and

try to kill that. i think facebook is trying to kill it. the question you're asking is whether or not they can crush that. i do not think they can. inherent bias is significant and it is up to me to be a leader in our party and somebody running the campaign to make sure the companies are held accountable and that they do everything they can to kill the internal biases and provide an even playing field for the companies. -- for this country. emily: what about twitter? >> they did not contact me back from the letter we sent. i've spoken to mr. dorsey a couple of times. i feel the company is more squandered with bias. i think the platform itself is not useful with putting out press releases and for the press to figure out what is going on in the country. emily: and it is ironic that twitter is the president's megaphone. >> it is great for press

trying to convince someone on twitter is like going to a bar at 1:30 a.m. right when they turn the lights on and sell something to somebody. if you can do that, you can sell something on twitter. facebook is more like a church on sunday. emily: there is concern on facebook engagement and trusted social media, what are the digital platforms that will matter most in 2020? >> i think youtube from google will play a bigger role. as we move to internet-based shows, the continued use of watching television content on tv, i'm sorry, on the internet is a significant change from tv. i think youtube will play a role, a larger role than 2016. emily: how so? >> where eyeballs go. you can only place ads so many times. if you are watching facebook for four hours, and next year is three hours of facebook and one hour of youtube, that changes. i think youtube continues to work on the platform and make improvements.

while google has done to the search algorithm to what youtube at the top, they continue to put a lot of focus and understand the value of that platform. we are watching closely and using it for a lot of things now. we are probably using it more now than 2016. i think it will increase trend. emily: how will you divide your budget between digital tv and others? >> it is too early to make that decision. you never know. youtube could blow up. we are all watching youtube on our phones. it will change my budget. the day i had to make my budget decision and make it with the team is the day i will split that up. that might change hour-by-hour as we see the data, in a. i hope that google is paying attention to what facebook and twitter are doing. they are even a bigger company. their ceos invest their time and races.irectly in the

mark zuckerberg has been better at staying less biased in his own personal views. he has a view of what he believes a progressive america is but he tries not to , influence politics as much. there are people that try to directly influence it. i will be curious to see if they will be able to swat down the bias within their companies and keep youtube as an equal playing field. right now, conservatives are already saying they have been shut out of youtube. videos are devalued. conservative messages in america are important. there is still a lot of faith-based people and they believe in what that means. i hope google would not cut that out. emily: you have been accused of crossing the line, of suppressing the black folks. you hired in cambridge analytica. when you look back -- >> i have been accused of it or bloomberg said it?

emily: bloomberg wrote a story that quoted campaign officials that there were attempts to suppress the black vote. >> an anonymous trump campaign official, right? no, that is something that we did not do. do we show negative ads? yes. did we have any kind of direct intention to suppress anyone's vote? no. emily: you also hired cambridge analytica. going back and looking at that, did you think there is anything you did that crossed the line? >> the way we used cambridge had nothing to do with anything they have been accused about. they ran a polling operation for us. they had taken a lot of the quality staff from an operational standpoint from the -- from governor walker's campaign. i had to hire cambridge to do it. one thing that has never been accounted for is the $5 million

that you see is a tv buy and not a data buy. emily: the president's summit with president putin yesterday, does that cast a shadow over what you are trying to do? >> no. i think this is a successful president who's trying to make the world safer. i think what the president is doing will be greater for 2020. emily: your leaders in your own party saying this is treasonous and disgraceful. >> no, we have rhinos within the party saying that. you'll long-term see, time after time he is showing he is right and making the world safer and the economy better. i believe him. emily: the president is taking vladimir putin at his word that russia did not meddle in the u.s. election. he seems to believe the

president of russia over the u.s. intelligence community. >> you'll have to ask him what he believes. emily: what do you believe? >> that is not part of my job. my job is to support the president. you will have to ask him on that. emily: as you work towards reelection, you are meeting with the president a couple of times a week. how do you handle the special investigation? >> there is a legal team that sits and works on that. that is not my goal. this now, the data shows does not resonate with americans. very few people are connected with it. it has no effect on polling numbers and president trump's have nothing but increased since this investigation. america sees it as this fake story on collusion. i continue to say there was zero collusion. it is such a joke, at least for my part in the campaign. i think i played a major role so i know it is not part of it.

i will continue to say that any foreign entity that metals and elections should be held accountable. meddles in elections should be held accountable. emily: the trump campaign message aligned with very much what russia was also trying to disseminate. president trump in july 2016 saying russia, if you're listening, i hope you can find the 30,000 emails that's when -- that 20 missing. that is the very same day when the russians try to access into the system. did you see any evidence when you were doing what you were doing? anything that seems suspect? >> i don't have complete access to everything in the company. -- everything in the country. that is why we have intelligence. i will tell you, from everything i saw, there was no collusion and nothing we did with them. we ran a legitimate campaign and we did everything the right way.

we ran a completely legitimate campaign. some people did not like what happened and so they have to make conspiracy theories. that: are you worried americans can be manipulated by foreign powers? does that concern you? >> i think americans are smart enough. i never believed that they will be manipulated in their thoughts. emily: do think voters will still trust social media ads if you use them again? >> i continue to think that using social media an advertisement for all businesses and political campaigns will be an important way for people to vote for trump in 2020. emily: going into the next couple of years will be a hard swap for you. what is one thing voters care about that is not being talked about in the mainstream conversation? >> i think the media is so

infatuated with their conspiracy theory and they forget to notice the economy is getting better, world is getting safer. more people last month quit their jobs in the history of the united states. the reason why is because more opportunities than they have ever seen. people are waking up thinking life for the better, a better chance for them, better choices for the children. when that continues to happen, i think trump wins in a landslide. the press does not want to talk about it, it doesn't matter. people will wake up and feel it. emily: had you deal with the unpredictable tweets and a president that seems that he cannot be controlled. or maybe he can be? >> i think there is one person that controls imperfectly. that is himself. emily: it is frustrating as his campaign manager? >> some days i wake up and say why. but then i talked to him and say yeah. even the times i question it, he continues to be right.

i don't do that as much as early on. but, he has a heck of a high batting average. he made himself a beautiful family, a wealthy man, a president of the united states, and i think he is solving the country's problems. if this style is the way that things get done and my children have a better opportunity, i will support it for the rest of my life. emily: on the back of the meeting, do you think he looks strong or weak? >> i think there is a small amount of the media that has a lot of power and likes to make the message the way they want to make it. they think they can control it with written word. emily: you are called the secret weapon in 2016, what will be the 2020 secret weapon? >> donald trump. emily: that is not a secret. >> it will be because he will come up with something new. emily: will trump win in 2020 and by what margin?

>> i think 2020, trump will win , but i will not start predicting margins yet. emily: that was the trump campaign manager. after the interview, president the president did retreat from his statements saying that russia did meddle in the election but then said it could be other people also. this is bloomberg. ♪ emily: top republican lawmakers

attacked one of the legal protections most prized by social media companies.

they're questioning whether google and facebook should be held liable for content posted by users. bob goodlatte asked the companies why they should be treated differently from hotels who face legal responsibility illegal action on their property. the controversial role of social media in the presidential election is one of the issues we raised with trump's campaign manager. for more reaction, i want to bring in a reporter intimately familiar with the winning presidential bid and wrote the book on the man who held parsca in stevejob back 2016, bannon. josh is a reporter with bloomberg businessweek and, josh, i know you had been listening to the interview, anything about that surprise you given the events of the last 24 hours?

josh: what was fascinating about the interview was the degree to onch parscale seemed intent bullying companies in silicon valley saying they are riddled , with bias. he is essentially trying to appoint himself or trump as arbiters of whether or not they are actually biased. if you look forward over the next year between now and 2020, we will see a lot of pressure from republicans and the white asked trying to get beast companies to their wealth. that will be really interesting to me. emily: give us a sense of how tough this guy is, with a president who can't be , who make statements and retreats from them in the very same sentence. josh: it drives a lot of staffers crazy. but not his campaign manager. he is used to rolling with the punches. if you hear the praise he gives to trump, that is the way trump likes to operate. he is somebody that best when he announced he was read running the campaign, that shows

-- he was re-running the campaign, that shows you how much faith trump has. both in parscale, and the people around him. emily: he testified behind closed doors for the house intelligence committee. he told us he has not been contacted by robert mueller. does that surprise you? josh: it does if only mueller , has been so thorough in the range of trump people he has interviewed. on the other hand, maybe mueller will still call him. maybe he doesn't think he was involved in whatever investigation they think is most likely to lead to collusion or instruction of justice. -- obstruction of justice.

in the meantime, brad is preparing to run his reelection campaign under a new set of rules. i think you heard him say in the interview that those are more difficult and, it sounded like to me, more frustrating for republicans to work through. that is partly because these companies like facebook and twitter and so on have been working so hard to get rid of the fake news and propaganda that really infected our around. emily: in so many ways, the hand that fed and feed. josh, thank you for weighing in. much more coming up, including reactions to amazon's prime it day pick up. if you like bloomberg news, check us out on the radio. this is bloomberg. ♪ eck us out on the radio. this is bloomberg. ♪ emily: much more coming up on

"bloomberg technology." we will talk to the managing partner at loup ventures about his open letter to elon musk. bloomberg tech is live streaming on twitter. check us out there. this is bloomberg. ♪ phones have made our lives effortless.

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emily: welcome back to "bloomberg technology." shoppers are brushing aside that technical glitches that marred the opening of amazon prime day. sales in the first 10 hours grew at a faster pace that's lanier. -- pace than last year. amazon sold millions of devices that work on the electric voice activated platform. we have jump shot ceo joining us. they deliver digital intelligence from the most valuable platform. here with us in san francisco brad stone. brad, does it appear that amazon -- amazon made a full recovery? brad: it does.

let me tell you the slow cooker. i tried to buy it five times . i don't know what it does. i was told to buy it because it was on sale. emily: i have one. i don't know how to use it. brad: last night, the site went back up. i bought it. apparently my colleague estimated that many zone forfeited $99 million in sales. they recovered. emily: would you agree a drop in the bucket? >> yeah. if these are compared to other we see the releases, things happening but it is not expected from amazon. if you look at the numbers now, the early numbers, they will hit a record. it will show up in the guidance as well. emily: you track 100 billion

devices and you're looking at shoppers behavior. what did you see? how much did this glitch as far as ung tell hurt them? >> we did not see that the glitch hurt them too much. we think they still have an incredibly strong start to the day. we've seen some really strong growth with some of the products they've got like own private label product. amazon echo, amazon fire stick and lots of other products. emily: brad, what are the bright spots? >> the bright spot it's a big promotional day all around the world. they've turn whole foods into a effective showroom. but not only for amazon but amazon prime. front and center, the amazon website and app are home grown products. not just the devices like the echo that we all know about, but all of amazon's white label goods and home and beauty and furniture. everything else, it's look, they've turned july into one of the busiest shopping days.

emily: i did speak to amazon prime vice president about whole foods in particular. i asked can you get consumers excited about deals on chicken breasts and strawberries as you can on the insta pot. take a listen of what he had to say. >> i said at the time this was our most important benefit launch. the adoption of prime members is for deals and early signs in lead up period to prime -- prime day has been truly phenomenal and very humbling. emily: how much do you think this is a win from the whole foods side of things? >> if you look at the room they have in whole foods, they have 60 million plus. the fact that he mentioned it's the fastest benefit launched that they have seen. it's running ahead of internal target. they have a lot of room to scale

-- a lot of room to scale that. it's just using some of these promotions helps them. it i think will be longer term in scaling their business while maintaining profitability. emily: darryn talk about the broader trend aside from this glitch. what products won? >> lot of those amazon private label products. it is an interesting trend. what our data shows about 88% of those private label products are commodity products. brands that cell batteries and things like that. there's still lot of room for them to grow. are those more brand conscious products like women's apparel and home furnishings. we've seen a strong focus on that. we've also seen some really strong non-amazon competitors make a dent in that market. emily: brad, you wrote a book on amazon. you've seen the evolution of the relationship between amazon and the third-party sellers. do you think this pushing of its

own product the batteries, baby wipes, is that going to alienate some of the merchants who are beholden to amazon? >> they have fewer and fewer options. i think amazon is aware of optics. they put out a press release trumpeting number of sales. amazon wins either way. this is the brilliance of the model. they have their own private label products. this is the first place people go to shop. amazon increasingly as an advertising business where it profits in selling product placement to third parties. they want to send a message that this rising tide. emily: do we have estimates how big this private label business is for amazon? >> we believe it could cost $40 billion by 2025 conservatively. the reason why we say that is, if you look at the retail industry, for any retailer to

have private label it's 13% to 20%. amazon hits that target. with other retailers they struck a balance between pushing their own and selling others. amazon could replicate that model for the last two decades. that's the strategy from a margin perspective because these are higher margin products. they know what product categories they can push without upsetting the ecosystem. they'll be strategic about it. emily: they're pushing categories they have been historically weak in, like a para: -- like apparel and home furnishings. are those categories that amazon can do significantly better in? >> i think it will be a slow start. furniture, you saw, they are lagging in that segment. but apparel, they've done pretty well. what you end up seeing once they focus on a few mainstream

categories start hitting saturation rates, they would have to move into these other categories. it's not a choice. it's not an option. but the pace will be a function of how they can do to profitably. emily: given number of devices you guys are tracking. who's amazon's competition? >> back to the point you guys were making. there's some interesting category where is amazon is struggling. we did some analysis. macy's.com, which most of us would say is not nearly the e-commerce that amazon is, sells more michael cores and clinique brands. there are some opportunities they can take advantage of. emily: amazon added four new countries including australia. what is the significance of this on a global scale, given that alibaba had moved. >> these are countries, singapore, the netherlands were the other three.

prime day is like at avenue. it's another way that they can enter these new markets. and also raise their profiles. emily: thank you so much. texas instruments has ousted the ceo over code of conduct. he resigned after less than two months on the job. they say the violations are related to personal behavior that is not consistent with our ethics and core value. not related to company strategy, operations or financial reporting. crutcherrer's predecessor will resume the role on a permanent basis. netflix's after disappointing result likely to be more scrutiny for big term firms. can the industry keep up bullish sentiment after outperforming the broader market this year? ♪

emily: netflix is disappointing 2nd quarter report raised big alarm among investors tuesday. the shares tumbled as much as 14 percent, the biggest drop in more than two years. the results were surprising because of netflix's massive growth last year which showed no signs of slowing down. overall big tech shrug off the news. nasdaq hitting new record tuesday and looking at the bigger picture you can see from the chart, large cap tech has easily outperformed the s&p 500 in the last few years. do netflix's results signal that there should be more caution going into the earning season? here to help us answer this question is my, chief global strategist, and our very own

bloomberg opinions. all, shouldst of the rest of the investment community be concerned about oater big tech companies not living up to expectations over in the next couple of weeks as a report? >> we need to step back for a second realize how important it's to the tech sector. and to the overall market. anyone needs to care about how performances will be. i've been continuing to over weight tech for few years including this years for all sorts of reasons. if you look at the fang index, at a market cap elated basis, it's at a higher p.e. than it was back in late january before all the volatility erupted there. the stock price is not the index level for the fang. it's not quite as overextended above working support as it was back then. it is certainly up there. i think -- regardless of what you might think about the

individual companies, it seems like right now for the earning season for the other guys that are going to be coming later next week, really, the stars have to line up ready perfectly. lot of caution is here. longer term, i would expect that any dip in amazon and facebook and google, will be pretty aggressively bought. emily: there's still a question whether netflix's subscribe is a blip or a speed bump or is it part of longer term trend? >> the interesting thing was it wasn't just the weakness in the second quarter. netflix was forecasting a decline in third quarter subscriber numbers. and subscriber additions. maybe the company is being conservative with its forecast seeing what happened with its second quarter falling shy of its own guidance. it's interesting that we were

talking about sort of two soft quarters in a row for netflix. which makes a little bit harder to argue the blip scenario. emily: now, michael, we had an analyst at bernstein saying crowded trades are priced for perfection. stocks don't react much to incremental positive news. negative news has much more pronounced effect. yet, we've seen stocks run up and up and up, even in the midst of volatility around facebook and controversy around the cambridge analytica. even facebook has bounced back. what should investors be skeptical about? >> there's a fair amount of caution that's been coming with this rally since the facebook scandal erupted back in late march. you can see that and the options market. if you look the ndx, that actually has a much stronger than it is for the sb exports.

additionally, if you look at the level of ndx volatility relative to vix it is in that top 10% and it's been that way for some time. people are playing this recovery from the facebook scandal, that rally. they're going into it with a fair amount of protection. which i think is healthy and may mean whatever dips we get over the next few weeks out of earnings season are not quite as dramatic. emily: if you take a closer look at the numbers, evaluations are still incredibly high. take a look at the ceo earlier on bloomberg television. >> netflix and tesla, my goodness, does any marginal buyer of netflix or tesla look at valuation all ratios or the story? in both cases they qualify as a bubble. being a bubble doesn't guarantee they'll underperform

long term. it makes it awfully likely. emily: are netflix and tesla in a bubble? >> look, those are two stocks that never traded based on their valuations. you either believe those companies are going to be big or you don't. you do not care what you are paying in price to trade earnings. those three stocks are the exception. if you look at companies like microsoft, google and facebook are not terribly expensive stocks. those companies have enormous earnings and enormous earnings growth and earnings profit margins. profit margins are coming down for those companies, at least at facebook and google. some of the tech giants are really expensive. not all of them. emily: you summarize netflix as a religion. showing cracks in the foundation and now people are asking questions about it. expound on that. >> you put tesla and amazon in

that religion bucket too. either those are stocks and investment stories, but either you believe or you don't. the problem with those kinds of narratives if you have these data points like an earnings miss, it called into question the entire belief of the faith system. emily: could this religion analogy be extended to other big cap tech stocks like facebook or like apple, like alphabet, like amazon? >> there's nuances within all of these religion type stories. if you look at facebook and amazon, facebook in particular, also google, they have these -- they've been awarded these qualify monopolistic high-growth positions. cameinly, those positions into question back in march and april with a congressional hearing.

that risk factor seems to have faded pretty far from the landscape. if you look at a tesla religion story, they don't have the demonstrated high margin, high earnings growth status. they're just an exciting company making an exciting product. i think there's a very large difference there. it may look at the surface same sort of cultish, maniacal fervour which supports those stocks. the defense of facebook's monopoly, that's a fortress that will be hard to untangle. emily: michael purves with weeden and company. a willoomberg opinion shir be trying to untangle it over the next couple of weeks. thank you. when we come back, what prompted opentar analyst to pan in letter to elon musk for bad behavior?

this is bloomberg. ♪

emily: in an open letter to elon musk well known wall street analyst said tesla ceo shaking investor confidence with concerning behavior over the last six months. he said, " your behavior is fueling unhealthy perception of your leadership, thin-skinned and short tempered." he join us on the phone now. welcome back to the show. why did you write this letter? why go out on a limb like this? >> emily, it came from investors who we talked to about the tesla story and they felt that it was important that this message get out. these are supporters who believe in musk's visionary and leader and feel he has a great opportunity.

he is jeopardizing the opportunity. that is why we have decided to take this step, really so the investors opinion could be heard. emily: you list a few different behaviors you find concerning. give us more specifics. what is it about elon musk's actions over the last few week and months that concerns you most? >> it has been going on for about six months. it kind of started with outburst of analyst on now famous march 2018 earnings call. frustration was short sellers that's always a red flag when company start to get in debates with short sellers the broader media. this e-mail exchange a month ago , then it simply crossed a line with the message tweet earlier this week. at that point, it had got to a point where it is jeopardizing some of the confidence in investors. that's an important part of

tesla's success is to have investors that are willing to continue to fund the company with capital. it's a very capital intensive business. emily: that was a tweet disparaging a critical person in rescue operation of those young boys from a flooded cave in thailand. you want elon musk to apologize. what exactly do you want him to apologize for? >> i think it's really this last tweet where the apology is necessary. we said, that really stood out as inappropriate. but the apology is a first step. what is the second and third step is taking maybe a sabbatical from twitter and also just focusing his energy on their mission which is a great mission. which is accelerating the globe and adoption in energy. that mission gets lost in everything going on. in his role, it's particularly important because tesla to date, doesn't do advertising.

the potential consumers opinion of the company is being formulated by how he engages with twitter. which is not healthy at this point. emily: you're in an interesting position. as in analyst yourself you need tesla and you need elon musk to engage with you. have you heard from musk, have you heard from tesla since you published this? >> we have not heard from them. i am optimistic that he will read it. i'm not optimistic that we're going to get an apology. in other words, i'll be surprised if we get an apology. but i do think he is going to slow down and i am willing to bet that his behavior on twitter is going to change going forward. emily: how optimistic given you about what is happening in that tent. how they are working to get production under way and meet the targets that he has set out for tesla. many of which they have already missed. do you think they can get it

together and meet some of thee -- these production goals before end of the year or not? is he too distracted? >> he's not too distracted. he needs to -- that's the irony, by him tweeting this stuff out gives him the perception he's distracted. the company is making measurable progress that's 5000 a week number. that's probably wasn't sustainable. i think they really had to throw everything they had to get that across the line. you probably will see a greater loss than expected for the june quarter because of the amount they had to spend to get to that. if you look at the production numbers in the exiting, the average production model 3 in the march quarter was about 650 per week. we think it will be 4000 a week in the september quarter. we think they're making the appropriate progress there. this is one step. them figuring out a more efficient way to build cars faster and more profitable. i think lays the foundation for

other models. i think they are making the right progress against that target. emily: should musk stop tweeting, full stop? >> no. i think he has a way to engage with customers through twitter. what needs to stop just ignore the shorts. you start to engage with the shorts. you will lose that battle. focus on the production side. anything out of bounds like we saw more recently, that's the stuff that needs to stop. he can tweet all he wants about , for example, the things they're doing to improve the production, if it's focused on the right piece of advancing their mission. i think there is still a place for him to do it. i think he needs to take a break. emily: gene munster on his open letter to elon musk. we'll be watching the tweets. that does it for this edition of "bloomberg technology" from san

francisco, i am emily chang. this is bloomberg. ♪ two, down and back up.

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>> the following is a paid presentation for the power smokeless grill. what if we told you it is possible to enjoy the juicy, succulent food you enjoy every day without firing up your barbecue, standing in the cold and refilling propane tanks. introducing the power smokeless grill. the only grill with smoke extract and technology. watch as it sucks up the smoke like a vacuum. five start