150 dollars off and free shipping too. sale prices are available right now. go to buyleesa.com today. you need emily: i am emily chang san francisco. this is "bloomberg technology." in the next hour, amazon is in the sights of eu antitrust investigators. will they follow in google's footsteps and face it? jeff bezos in an interview on why he does not take meetings before 10 a.m. home where retailers caught up in tech retail disruption. we hear from neil montgomery on

how social media is boosting engagement. to the top story, amazon is in the sights of the european union trust investigators. they are looking at how the online retail giant collect data from other retailers selling on its platform. and specifically whether the data gives them an unfair advantage. withore, we go to brussels natalia. talked to us about what the eu is looking at here. is still very early days, but they said particular concern is whether they are looking at amazon's dual role as a platform and a merchant in its own right. the question is whether they might have access to data or information about customers and that could give them an advantage as a merchant and better compete with those competitors.

eu antitrust regulators have looked at amazon before, what did they look at previously or find? they have looked at amazon in the past, but the company was able to escape relatively unscathed. 2016, the company escaped by settling an investigation into their e-book service. last year they were also ordered by the eu to pay back 250 million in allegedly unpaid taxes. the bucketrop in compared to what the eu asked apple to pay back which was 13 billion. apple and mentioned we have also talked about how for bets, the eu has been aggressive in pursuing big tech. what is the likelihood it does resolve in a formal pro? is the most eu

aggressive regulator when it comes to regulating big tech. silicon valley is getting used to -- or getting to know the eu antitrust chiefs quite well. of onet recent example of the decisions was in july when they fined google one billion euro fine for the second record fine in less than a year. there are questions that this is just the beginning for amazon and they can be next. through theus timeline. when will we know more? said, it is still a preliminary pro. they are in the process of asking questions at the moment. they sent out questionnaires to other companies and retailers to gather more information. if they see deeper concerns, they might open what is called a

formal probe. would pick up at a faster pace. investigations do take a long time. they can take years. as google knows, this has been going on for almost 10 years once they started the preliminary probe into google over its behavior. but theake a long time, signs are definitely pointing in that direction. emily: interestingly, amazon is one company that trump has attacked. he clearly has his eye on it. we have a question on whether this will lead to antitrust in the united states. how much have the steps in europe impacted what we see in

steps being taken by regulators in the rest of the world when it comes to big tech? it is fair to say that you has played a significant role in influencing other jurisdictions around the world in terms of regulating big tech. i would say there is a big difference in the eu versus the u.s. that you can't move quicker with the antitrust investigations versus the u.s. that is partly because of the way the system is set up. the eu can take these unilateral decisions, where in the u.s., authorities have to prove their court in case -- excuse me, prove their case in court before they move ahead. while there has been debate in the u.s. about the role of amazon and google and facebook as well, it could take even longer before we see significant action there.

emily: say this does progress. is a fine the recent -- ultimate punishment or is it changing business practices? in an antitrust investigation, the eu has the power to find companies as much as 10% of its annual revenue. case, that does amount to quite a lot. more significantly, for these companies, the eu regulators ask them or order them to change their behavior. this move to open an initial probe into amazon's behavior suggests that the eu is taking platforms and the way they treat rivals that operate on those platforms.

that is a bit of a shift. see theyogle case, we are asking platforms to treat the other competitors equally despite the fact that those competitors are using the platforms to extend their own reach. emily: natalia in brussels, i know this is one you will follow for us. thank you. founder, chair, and ceo rarely speaks to the press but he sat down with david rubenstein for a conversation about the company and his philosophy on management. take a listen. >> usage around with your team but you do not like meetings before 10 a.m.. >> i like to get eight hours of sleep. >> and you don't like power points, why is that? >> i get up early, go to bed things inike to do the morning like read the newspaper, have coffee, do breakfast with my kids.

so, i have my puttering time important to me. that is why i said my first meeting for 10:00. i said my high iq meetings before lunch. mentallygoing to be challenging, that is a 10:00 meeting. by 5:00 p.m., i cannot think about that today. let's try again tomorrow at 10 a.m. [laughter] on sleep, i get eight hours of sleep. unless i am traveling in different time zones, sometimes it is impossible. i am focused on it and for me, i need eight hours of sleep because i think better, my mood is better, i'll of these things. as a senior executive, what do do -- paid to to do? you make a small number of high-quality decisions. your job is not to make thousands of decisions.

quality of the decisions might be lower because you are tired or grouchy. it is different if it is a startup company. if amazon was 100 people, it would be a different story, but amazon is not a small company. our senior executives live in the future. none of the people who report to me should be focused on the current quarter. i tell people, as soon as i have a good quarterly conference call or something, and most people like our quarterly results, i will get people to stop me and say congratulations on our quarter. i say thank you, but i am thinking the quarter was baked three years ago. right now, i am working on a quarter that will reveal itself in 2021 sometime. that is what you need to be doing. you need to be thinking two or three years in advance. to make 100d

decisions today? if i make three good decisions a day, that is enough. chair, jeffn's bezos, with david rubenstein at the economic love in washington. you can see more of the interest due -- interview on bloomberg television. we will have more later on in our show. later on, how elon musk him or tois leveraging technology keep his company relevant. if you like bloomberg news, check us out on the radio. listen on the bloomberg app, u.s.,erg.com, and in the sirius xm. this is bloomberg. ♪

emily: as more retail shifts online, one of the fastest-growing segments is home where. the market is growing 15% annually meaning some have to adapt. in the first interview of a new series on retail disruption, we spoke with crate & barrel's ceo and asked how social media is changing the way customers engage with the brand. >> i think i'll retailers at the moment, especially ones like ours that has a 56 or old heritage has to transform for the digital era. our customers increasingly interact across different channels and crossed social media, so one of the things i have really driven as an agenda is ensuring our brand is delivered consistently whether it is on instagram, pinterest,

or digital services such as ones that offer online design services. our customers are changing and we need to change. technology has a -- has been a big driver. category thats a customers love and there is more interest in interior design and our customers, everyone is an amateur designer which is great. we can embrace that. >> let's speak for a moment with your consumer going online. serving your customers online? has your e-commerce business grown in the same way your advertising business has? >> it has. over 50% of our advertising is online which was a shift from two years ago. also, our e-commerce is 47% which surprises people. >> would you expect that for

large government expenditures. >> exactly. it shows how comfortable customers would become. that tends to be higher with established brands that are trusted. they know us for our quality, but 47% is a high-growth number. >> and you are expecting it to go higher? >> i am. i might be 50% or 60%, and expect it will not go higher than that because there will always be a customer who has a convenience purchase made in the store or somebody that one something today. >> you mentioned about leveraging technology as well. of has ai and other areas the business help you make business decisions when it comes to crate & barrel? >> that is probably the most exciting part of our business now. we are able to leverage customer data in a way that we would never be able to before. one of the things we talk about

is one customer view on being able to map the interactions with customers and give them a highly personalized experience online or by email. customers expect that from us. someone comes to our design studio for consultation, our expert can see what others taste, what is their browsing behavior, and that is hugely important in us offering the absolute pinnacle of customer service. >> does this differentiate you from the competition? the competitive landscape has changed now that you have pier 1 and others. big home departments are offering -- increasing their home offerings. >> all caps addition is a good thing. the home industry is growing well and i think customers

increasingly have choices and mix and match their products and rooms. have hadind, and we healthy growth over the last couple of years -- >> what kind of growth? >> we don't publish how big it is, but it is in the mid-single digits and high single digits. last year was 8%. we are happy with that level of growth. what we are seeing is customers come to us because they expect a certain level of service. emily: that was crate & barrel ceo speaking with emma chandra. we will continue taking a look at tech disrupting that world later. coming up, amc wants to keep the walking dead on its feet. how the network plans to expand the series to keep up with competitors. and "bloomberg technology" is livestreaming on twitter. chnology, and be

sure to follow our global news network, tictoc, on twitter. this is bloomberg. ♪ ♪

emily: amc wants to keep the walking dead alive as the zombie apocalypse -- alive. they are trying to do several spinoffs to keep the series going for another 10 years. the series is the latest to expand into a franchise following marvel, star wars universe is, and this is as tb withtes -- tb competes other platforms like video games. streamingeep up as services bring more and more original content to the scene? here to discuss is lucas shaw. -- is itmart strategy a smart strategy to double down on something working to come up with new content like netflix is doing? lucas: it may be the only option they have at this point. if you look across the amc universe, it is by far their

most popular show. even though viewership has fallen, the most recent season, it was the third or fourth most popular show among the demographic advertisers care about. at the same time they put out this new universe with different movies and shows, they will try to find the next original hit. many swingstake as as netflix, so they have to lean on something they know works for the time being. emily: i was one of those walking dead viewers that was watching at the peak and i do not watch it anymore. is there a risk in overextending the franchise and its falling flat? lucas: there is absolutely a risk. most of the sentiment i saw on social media was negative. that is anecdotal but is --bably -- it is not

reasons whyof the you see amc and list a both-party to help them reduce the risk and help them give it a fresh spin or amplify the message. if they were to partner with disney or someone like that, it's good general it -- generate more excitement. emily: i think of other shows ending on a good high notes like game of thrones. path likenot see the this? they are probably only going to make one of them. hbo will try to do something similar with game of thrones that amc is doing with walking dead. you have a franchise that is so itular, why would you let die when you see disney have such success with marvel, star wars, and others? to your point of overextension, people will probably get tired with some of these.

tried it withures monster movies and paramount pictures is trying it with transformers. if you are one of these big companies and you're are nervous with who will keep coming in and sign up for your app, you will try to turn one of your most valuable properties into more. emily: netflix took home 23 emmys. can these other networks and streaming services continue to compete with the billions and billions of dollars netflix is investing? lucas: they can if they are big enough. the disease of the world, comcast, at&t's of the world which is now time warner, they have the money to compete. it is a question of how much they want to spend. amc is much smaller. on a project by project basis, amc is probably not able to spend quite as much as netflix.

we see a lot of these networks i just the way they approach talent which is the subject for a story i do and little bit -- in a little bit. emily: the bachelor has been on for almost 20 years, how much longer does amc think it can keep walking dead alive? a very smarto is guy and said they will try to keep it alive for 10 years. the sources i have talked about plan isd to said the to have at least a couple of movies which could lead into series. is eight years. if these have success, that could be five or six years for each series. emily: lucas shaw, thank you so much. bloomberg learned the long battle for control of the u.k. sky satellite broadcaster they be settled in abbreviated auctions starting saturday.

the two bidders will be comcast and fox. disney has beat out comcast to bring -- by most of fox's assets. if fox is the winning bidder, disney would get control of sky. volkswagen faces more competition in the race to roll out self driving cars. now one of the world's largest auto part surprises -- suppliers is getting in. on building a battery-powered delivery van to drive on its own. take a look at this. a new concept design for an autonomous car may remind you of something in your daily life and make you wonder why. inspiration for the easy pro came from a lunchbox. it is slated to hit the road around 2030 and while the 16

foot long robot will not need a driver, it will have a cost years -- concierge on board. bezos --, more just jeff bezos. that is bloomberg -- this is bloomberg. ♪

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"activecore, how's my network?" "all sites are green." all of which helps you do more than your customers thought possible. comcast business. beyond fast. emily: i am emily chang and this is "bloomberg technology." p.s.a. probably safe to say that zion, only the second u.s. publicly traded company to cross that $1 trillion mark, would have never hit that milestone if it accept selling just books. how did jeff bezos' creation get so big? take a listen to his explanation in this interview with david rubenstein. >> what compeled you to sell things more than books? >> we started selling books, we started selling music and then videos. then i got smart, and i e-mailed a thousand ramdomly selected customers and asked them besides the things we sell

today, what wu like to see us sell. that answer came back incredibly long-tailed. it was whatever they were looking for at that point. one of the answers was i wish you sold windshield wiper blades because i really need them. i thought to myself we can sell anything this way. so then we launched electronics, and toys, and many other categories over time. the vision became -- you read the original business plan, it was just books. >> your stook at one point was $100, and it went down to $of. >> at the peak of the internet bubble, it peaked around $100. then our stock went down to $6. $6 of in om $113 to

less than a year. my shareholders meeting started with a one-word sentence. ouch. >> most of the internet companies from the dot com era went out of business. you $6 of in less than a year. my survived. how did you survive? >> that whole period is very interesting. the stock is not the company, and the company is not the stock. as i watched the stock foul from 113 to 6, i was watching business metrics, profit per unit, everything you can imagine. efects, et cetera. every single thing about the business was getting better. emily: selling pretty much you can think of has another massive every single thing about the business was benefit for zion. advertising business is gaining faster than expected in a market dominated by facebook and google. it would generate $1.4 billion in ad seals this year. zion e our guy who covers

for us, and the c.e.o. of jump hot, a market analytics player that watches clicks. what do you think led to this surge in ad sales? >> it is fascinating. we have seen a shaft from google to zion. today over 54% of all product searches that occur on the internet now occur on zion. once you get to zion, we have seen a strong growth of sponsor placements. it has increased from 3% to 7% in the last 18 months, and you can see the revenue that bloomberg report today as a direct result of that. >> that is not great for google. do you see zion taking share from google, or is the pie getting bigger? >> i think the two are converging. zion, we did some additional analysis at jumpshot that shows the time a consumer searches on zion or google to the time they buy was shorter on google.

35% of those purchases were made in five days. on zion, only 20%. zion is becoming a place for product discovery, and google product g from discovery to the purchase. they are going away from zion to google. >> how much of a threat is this to facebook, which is really in the number two position? >> it is definitely a threat. the big thing that advertisers want is that proximity to the purchase and that tracking, knowing ok, if someone saw this on zion, are they getting it? whereas facebook would be seen more broadly as kind of the brand awareness, the digital equivalent of the billboard you pass on the highway. but a big thing of zion that your oh divest just mentioned, everyone has heard of show

rooming, this notion of going to a store, try it out, you like it, find it on zion and buy it there balls you get a better price. another phenomenon is reverse show rooming. you need a product, you go to the star, you want to buy it there, you just want to learn more about it. you may search on zion before making that purchase. that is where zion's search engine is driving these purchases not even just on zion but in the stores of its competitors. >> darren, what are some more specific trends within the product searching that you are seeing that might be surprising? >> it is fascinating. we give you that 54% of searches occur on zion. once you get to zion, 90% of the product views are the result of a search. people aren't messing around with merchandising placements and banner adams. once they get the search result, we found that 2/3 of the clicks are on the first

page. if you are a brand. you know the majority of your customers are serving for your product on amazon. you know that once people get to zion, the only thing they are doing is typing in a product search really. and once you have that search result, you have your competitors' product, zion's private label products. it is a very confusing world for a brand today. >> spencer, we talk so much about privacy with respect to google and facebook, but now we e-regulators e-regulators look the data that zion is collecting from other retailers on its platform and whether that gives zion an unfair view into shopping habits. how serious do you think this is? >> i think it is very serious. zion really doesn't want anybody looking under the hood. it is interesting that they are taking a closer look because the concerns you hear from merchants are -- and it generally depends on the size of the merchant. if you have a new product and you just want exposure, zion is

amazing for you. you can introduce it to hundreds of millions of shoppers around the world, far better than on your own and far more cost effectively. but as the sales grow and you are not such a prominent brand that you own the customers, zion has visibility into those sales. we have seen example the of them mimicking products that some of their third party merchants were already selling on the platform. so to that extent it is going to see if the e.u. can come up with them having any kind of advantage. that being said, it is not that different from say wal-mart or target that have their own private label things and have visibility into the big c.p.g. brands that are selling. they have that visibility, but zion has the broader scope of inventory and the more granular level of visibility. not just things people buy, but the things they are searching for and not finding. >> do you think customers --

there has been this sort of shift towards privacy, and it is kind of a super trend, if you will. do you think that privacy concerns could actually impact behavior on zion? >> i think it is always going to be a balance with customers. they are going to want that data privacy, but at the same time, if that impacts the friction that is in the shopping experience and makes it harder to actually get the right product easily, then that is not going to be viewed well at all. it is always going to be a balance. and what retailers, as big as zion or smaller retailers need to do is constantly look at the data to understand and test those trends. >> where is the zion ad business going? what are the projections? >> well, i think i have seen projections as high as $25 billion and it is just going to keep growing as it adds inventory, adds more products.

the site becomes more cluttered, and it becomes more important for you to advertise. they have this carrot and stick approach with merchants. if you don't put your product on zion, they may try to make their own private label. if you do put your product on zion, you have to advertise it to differentiate from all other folks. and even if you advertise, you have to advertise aggressively so someone doesn't sweep in and take that key word from you. it is a sweet spot they are in because they have so many customers and a very profitable place because they can build this on their own platform without having to instress test a tremendous amount of money like they had to do with their warehouses for the e-commerce business and the cloud business. this is a low investment revenue opportunity for them. >> darren, you are smiling and nodding. it is like a rock and a hard place. >> i would not want to be a brand imaginer at a c.p.g. company right now because i think you are between a rock

and hard prays. the same way the ecosystem of companies sprung up around google search when it started to dominate people's online behavior, you are going to see the same thing for zion serves. people will need non-zion sources to help them understand what they are supposed to do. >> thank you. spencer, as always for us in seattle. emily: when we come back, researchers and futurists may be sounding the alarm on artificial intelligence. what about using a.i. today to make some money? we will talk to an expert from morgan stanley. that is next. this is bloomberg. looberg.

emily: a platform for sharing code. gitlab raised $100,000 in funding can gives it just over $1 billion. the customers include intel, ali what what and nasdaq. microsoft bought rival github in june. artificial intelligence is everywhere. in our cars, phones and now even our wealth management. those in the industry say a.i. tools are a game changer allowing for better synergy between clients ants managers. will a.i. technology mean less jobs for a.i. -- for wealth managers? here is 0 the chief analytics

and data officer for morgan stanley. you are in town to speak the an a.i. conference. what is morgan stanley's vision of the implementation of a.i.? >> first you have to start with what we believe is a.i. proposition for financial advice. that is a trusted relationship between financial advisors and their clients. we have done analysis, and even in 2018, people still want to talk to their advisor. engagement is the number one driver. the question becomes how do we make that vizquelor better at what they do? how do we augment their processes and their capability to deliver the best vice to everybody this their book in an efficient way. artificial intelligence does very things that are specific in technology that help advisors do that in a very different way. >> how does the rise of a.i. impact hiring? do you need to hire less advisors in the future? more revenue?

>> it makes us have to hire more data scientists, that is number one. there is an opportunity. we fundamentally disagree with the proposition that humans are going to go away as a result of the technology. i think that this concept of comparing the human versus the machine is just a flawed choice. human the do things that ultimately humans do in really powerful ways, and technology does things in technical ways. how do you marry those two things together? again, going back to the value proposition, our advisors when we are talking with their clients is where we create value. the more we do that, the more value we are going to create. this is about creating better synergy in those relationships as opposed to trying to eliminate human thought from the process. >> if you are hiring more data scientists, does that mean you are hiring more data signists or less? >> it is not the folk. our focus right now is how do we get our advisors to deliver

the best advice to our client. that is the long-term value proposition. >> what is the biggest risk to using a.i.? >> people ultimately are concerned about the transparency of the decision making. these algo rhythms do a lot of math behind the scenes. it is equally as important not to just deliver good ideas but transparency of why the ideas are delivered to the advisor. it is the rendonning behind it. >> based on your research so far, will we see better returns as a result of a.i., and how much better? >> listen, we can't predict future returns. i think that is a very difficult thing to do in the marketplace. >> but a.i. has been around now. >> it has been around a long time. it is important to talk about where a.i. has limitations. part of the challenge of machine learning and artificial intelligence, it is as good as the predictive value that you have.

it is about identifying trends in the marketplace. if it hasn't happened in the past, technology is not going to pick that up. the invest process is still going to require people to come to work in the morning and talk about what is going on in the markets and think ahead. >> how is morgan stanley doing it better than others? >> first of all, vice and investing is one -- advice and investing is one part of the evasion. that includes talking to clients about dealing with parents with early stage dementia. and talking to children and offering safe driver courses. we are about the entire investment process. an advisor comes to work in the morning and they ask the fundamental question, who do i engage today and what do i engage them about? what the a.i. allows us to do is number one, figure out what

best to engage that client on. and number two, using machine learning, figure out what the client is responding to. everybody is different. this is not about offering you something similar to people who look and feel like you in a certain zip code. his is about offering advice to you. >> there has been a trend toward c compression. will that continue to go down? >> i think if we can continue to offer value to our client, which is really the ultimate question, i actually don't believe that to be true. as locks as we are offering advice that clients value, i think they are going to continue to come to us. this whole concept like we are trying to compete with a machine, we are trying to make people better at what we do. to be clear, the a.i. is very, very far away from being able to talk to you about what to do with a child that was just born with autism. those are very, very unique situations, and that is so much of what the financial advisors

are delivering to their clients today. >> when do you see a mass adoption? >> we have employed our alternative -- our artificial intelligence platform to our 16,000 financial advisors for six months. they are at it every day. adoption rates are high because they see it as an augmentation to their business. >> jeff, thank you so much for stopping by. >> thanks, emily. emily: one stop wedding registry site zola makes wedding planning easy, but getting zola started wasn't so simple. the co-founder tells us about the trials of fundraising next. this is bloomberg. bloomberg.

emily: when shan-lyn ma first began pitching her online wedding side zola, she said three out of four investors turned her down. it didn't immediately resonate with most venture capitalists. today, zeal has raced more than $140 million and has expanded its offerings to over 60,000 products and experiences. it includes services beyond gift rebelling industry, including guest list management and website creation. she sat down with us to tell us how she got there. fundraising is never fundraisi most fun part of starting a start-up, particularly if it is a product where you are pitching a product that is primarily serving a female audience, and you are pitching it to a v.c. industry that is

primarily male. they got married 15 to 20 years ago. and even then they didn't really do much of the wedding planning work. >> they would tell you this straight up? >> well, i did certainly hear v.c. say i got married 20 years ago, and my wife seemed fine with the registry, so what is the problem? i don't understand. but those were not the v.c.'s that we ultimately had invest in zola. it was harder to show that emotional connection to the problem and how the product sold this better than anything else. we soroka used on how is this business model innovating how we are redoing retail, and we had the numbers to show it, and they absolutely got it. >> talk to us about some of the numbers. i was taken aback-to-back by how big and valuable the

wedding industry is in the u.s. and globally. >> it is a $100 billion industry in the u.s., and globally it is a $300 billion industry. when you think about it, weddings is one of the few industries remaining where we haven't seen a dominant start emerge r or disruptor to take over the market. zola is the best company to be that disruptor, and we will do that. >> and people spend how much to a wedding on average? >> on average in the country, it is $pa,000. we all are in new york, the average is higher for a wedding here. it is about $75,000. >> when you talked to these v.c. guys who didn't get it and said this wasn't a problem 20 years ago, my wife or partner dealt with this.

this becomes problematic when you are a woman witching a woman century product. let's face it, most of the investors out there are going to be men. >> my number one piece of advice here is that it is never personal, so don't take it personally. pitch, get the feedback, do your best, and keep going. and what i found is that in the early days i would get very emotionally invested in every single no, when the reality is there are so many other reasons why an investor may not invest in your company apart from you, or the team or the idea. it might have to do with when their firm is, their position in their team right now. it might be they have just invested in a competitor. there are so many reasons. it is just a matter of how can you find -- you really just

need a few people who have a very shared vision, and people that you think will be the right partners for your business. that part of the equation is just as important as getting a term sheet. and when you have that, that is one of the best, most impactful things you can do for your business. emily: that was zola co-founder shan-lyn ma at the bloomberg event. that does it for this edition of "bloomberg technology." tomorrow on the show, do not miss our interview with the gap c.e.o. in exploring the future of retail. i am emily chang and this is bloomberg. ♪

>> welcome to daybreak australia. shery: i'm shery ahn in new york. sophie: i'm in hong kong. we are counting down to asia's major market opens. ♪ haidi: here are the top stories. banking syste -- banking tops listing that. amazon is planning thousands of cashierless stores. the escalating trade wars claim