ism emily chang and this bloomberg technology. coming up, how will politics shape tech into the presidential election? we will talk with senator blackburn on capitol hill will stop us come out of that first-quarter revenue missed estimates, but the company did point to strength in the cloud.

uber's idea kicks off this week and one of the world's biggest right hitler's set to deliver on -- and onethis year of the world's biggest right ride shares set to deliver on the debut this year. [no audio] pressure from lawmakers in the united states and abroad. we will have more on the first-quarter results of of of it later in the show. first, talking about the politics.on of

thank you for being here. >> thank you. >> you have taken an interest in tech legislation. what do you think tech is getting right with are they getting wrong -- and what are they getting wrong? >> they provide an information service that people enjoy and they change a lot of transactions in our lives. however, if you look at the lack of privacy enforcement, people are beginning to figure out, they are data mining, tracking, following. they are sending my information out and they are big at companies. i don't like that. i want them to only access information that i give them explicit permission to see.

i don't want them following me and how is it they can monetize my information? then, so that information to the retailers? people have a lot of questions about this is this model and it is why they are saying it is time for congress to do datahing about privacy and security in the virtual space. >> what should congress do when it comes to privacy? benchmark that let's talk from and say take from the browser act. this would require an individual in for permission to opt sensitive that is sharing an opt out for nonsensitive information.

it would be regulated by the ftc . >> do you think europe and gdpr has a good model? >> i think it is a little bit too restrictive. my preference is to see the internet remain a place where innovators can hop on and innovate. we have to bear in mind that the 1995, no one thought about apps or mobility in the sense that we have mobility now and they never thought about convergence. now, you see that and it is on a handheld device. you take it with you everywhere you go and we need to make certain that individuals that are going to use that spectrum, they have the ability to innovate and we should not have and that are restrictive

going to limit new interests into the marketplace. >> there have been growing concerns about social media. think social media is suppressing views deliver early or not deliberately? >> ears were -- here's what i think. the way they build the algorithms that are doing the data mining and the question should be to facebook and twitter, do you subjectively manipulate your algorithms? int we have to realize is silicon valley, a lot of people have a more liberal bent. and theyg that to work

probably tilt left instead of being down the middle and we know they don't tilt right. >> you had a pro-life ad that .as taken down what have your conversations been like? they are lobbying here and want your support. >> a couple of weeks ago, twitter publicly apologized to me. the question is, how do we get to a point where pro-life language is inflammatory? anddid they make a decision then it took them a while to put it back up? this is the question that needs to be there. people need to know that if this is the new public square, they

are going to be able to express their opinion and that the public square is going to be foropriately monitored toulated -- or regulated keep out those things that do not serve the conversation well. shooting at a synagogue in california. some would argue that the platforms have done a lot to combat terrorism and isis, but hasn't done enough to combat white supremacy? what you think? >> there's no place for hate speech, hatefulness, this kind of action on any of these platforms. they will have to be diligent in deal with those things. likewise, many of us spend a lot of time working on human trafficking and sex trafficking, working to shut down entities like back page, working to make

sure we tamp down other entities . one investigator told me you stop to back page, but then we have the mom-and-pop's. thatnt to make certain your information is safe online and we definitely want to make certain that our children are safe online. >> senator warren has been calling for a breakup and she has support on both sides of the isle. think they- do you need to be broken up? >> we need to make sure they are responsible to the americans that are using their platform and also they are not acting in servethat is not going to

our consumers well. we don't want an individual's private information to be made public. we want to make certain that data security and breach notification provisions are in place. we want to make certain that individuals have the toolbox they need to protect their virtual users. >> would you say breaking up tech or antitrust is a start #>> i think it is something we will look at -- is a start? >> i think it is important to look at. as someone who is a life touch regulator, i think we need to do .hat first and foremost then, we can move on and look at other things. work on these

companies and if they are going to consider themselves in the source, maybe they should hire a news director. you have called net neutrality socialistic. what do you mean by that? >> when you put the government in the first spot and that, we don't want to do. the internet is not broken. it is not need the federal government to fix it, so what we would like to do is make sure we preserve an open internet. against throttling. what we want to make certain is before we make a decision on prioritization, we are talking with innovators. when you talk with people that , they will sayai

let's move very slowly. the nextknow what innovation will be as 5g comes the marketplace. iswe know that senator biden running. he talked about charlottesville. do you have any concern about biden or any other democrat question mark >> they will go through the primary, choose the nominee and then we will have that race. first womanhe senator from tennessee. you supported the kavanaugh

nomination. how much progress the think hasn't made and how much do you think still needs to be made? >> my hope is that they need to movement has helped this be a haversation that people and i think it is a good thing that our children and grandchildren are not going to be fearful, to bring it up when they have had someone acting appropriately to them. i think that is a good, healthy thing. >> last question about the mueller report. attorney general barr is going to testify on capitol hill this week. would you want to hear from him? >> i think what you're going to or what i would like to know is how we got to that point. you have this dossier that was paid for by campaign funds and

it was used to get a isa warrant warrant. our concern should be about the coulter of the fbi that allowed individuals to think such actions were ok. it is not ok. >> do you want mueller to testify before congress? >> most people say he did his job and when you are in say noee, they will conspiracy, no collusion, the one question they have is how we got to this point. , but inton participated will tell you in tennessee, they are talking about jobs, the economy, secure the border, when we will get rock band in our community, those are the questions they have. >> thank you for stopping by.

up, google feeling the heat after hitting a record high. shares are tumbling following a first quarter earning support. bloomberg news, you can check us out on the .adio app this is bloomberg. ♪

afterhabet shares falling its first quarter missing estimates, sparking concern. some toing shipping digital rivals. for $30eet was looking

billion. google is usually the first place consumers go when searching for problems -- products but that has changed with competition amazon. , colin.us to discuss think of the overall take away here? concern about increasing headwinds from the competition. >> first, 17% growth is not horrible. but the search ad market is maturing. they have been after it for 20 plus years, so this is at a point where they are getting diminished returns and i think the other thing is amazon is a

much bigger part of the digital advertising ecosystem. if you are looking at this as an optimist, you are saying that google is doing pretty well now that there is even more competition. if you are pessimists, you are looking at this as amazon dominating. amazon is capturing a greater share of those search ad dollars from -- from consumer goods for retailers selling on any of the marketplaces. that's a me, is a little bit of a warning sign and to me, amazon is just getting going. they did not have the latest but they are really just getting going were most of

the money is just coming from search advertising. >> they have been rating in some of their spending. also, i have a chart here which shows what is happening with margins. you can see margins getting slimmer over the last three quarters. i did speak to the alphabet ceo earlier -- cfo earlier. fx.blamed the number on she said the year-over-year growth rate also reflects strong 2018. in response to the amazon question, is amazon becoming a bigger threat because more consumers are starting to search directly on amazon and she said they continue to see searches across.

what you think of the arguments question mark >> if you are looking at this quarter, you mentioned comparisons. basically, there are a lot of changes that affected the last quarter. if you look at the revenue growth the last two years, you saw they had changes for the product and the growth accelerated and now, we are seeing deceleration. has competition really taken? we don't think it has yet, but it is a warning sign going forward. ofhink it is more a function all the changes done in the mobile search and you to search a fading, so the -- so it needs to reflect that. >> the ceo of google speaking on an earnings call talking about about how theyg

are focused more on quality content, getting videos off the platform. what is interesting is she did not mention youtube right off the bat. she talks about revenue coming from the play store and mobile search and when i called her on that, she said youtube is doing great. seem likedoes not there's any plan to break out these numbers. are you concerned about youtube? moderating this content is going to lead to increased costs. >> it is separately hurting margins because it is such a laborious process to maintain quality content through youtube, but am not really concerned. you look at some of the data we published. video viewing content is going to increase and a number of , irs people spend weekly

think as people view more video content, you will have more advertisers go after that content, so i'm not super worried about youtube. it is more on the cost they will incur unless they are able to automate that and take some of that spending and try to automate the process of getting good, quality content. heard about senator blackburn talking about her concerns about privacy. in particular, google has been at the crossfire of some of these privacy issues. i asked her if she is concerned about the backlash against the tech and what she said is we look to build for everyone and make sure they address the need of users and whether that has to

do with policy or content, we should continue upping the bar on ourselves and that is the way we approach it everyday. how much do you think analysts are concerned about regulation from capitol hill. we are releasing a big crackdown in europe. >> that was shown in earnings this year as well. we saw that with facebook as well. i think fines and not the biggest concern. the biggest concern is what comes next. thehe u.s., we've not been impact really taken to expectations yet, but in europe, it is greater. whatever we are seeing without a bit right now, it is about showing growth. they have to really shine some ,ight on cloud, waymo, youtube

islly show them the company firing up pretty soon. continue to follow any headlines as we get them. thank you both. coming up, spotify also out with results. what that means to the global competition next stop this is bloomberg -- next. this is bloomberg. ♪

heidiu're ready for listed ipos for 2019. initially filed in december for likely be second weekend and just like this year's big-name tech ipos, losing money. revenue came in closer to $1.8 billion. spotify the coming the first

music service to hit 100 million subscribers. of room to lots grow. coming up, bloomberg kicks off its roadshow. this is bloomberg. ♪ so with xfinity mobile

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and still save hundreds of dollars... do you guys sell other dogs? now that's simple, easy, awesome. customize each line by paying for data by the gig or get unlimited. and now get $100 back when you buy a new lg. click, call, or visit a store today. this is bloomberg technology. i'm emily chang. uber's ipo has had the home stretch. in its filing friday, it plans to sell 180 million shares in what is expected to be the biggest ipo this year. executives and bankers will hit the road this week to promote the stock ahead of its pricing. joining us from new york is pierre. the way the offering is currently priced -- this could and likely will change -- looking at maybe $4 billion valuation.

more than that, potentially $91 billion on a diluted basis. is that right? pierre: it is. it is where the ipo range is getting at. --ly: so, why do you think not as high as $120 billion that bankers were touting a few weeks ago. why do you think that price has rised? pierre: the price has rise because a key challenge -- an ipo today, it continues to grow very aggressively. a couple of things they will not be able to demonstrate very straightforward to investors today -- its long-term growth potential and its ability to get to profitability in the short-term. uber will have to continue to invest in growth.

that growth is going to be difficult for investors in the near term because growth drivers will continue to be sketchy. there are three ways uber kim bro. the for -- can grow. the first one is to add more users to the platform, but there is a limit to that. the second way they can grow is to get users to use the platform more and spend more on their platform. take more rides. and otherg uber eats services. these drivers, i think it is going to be very difficult today. for uber to attract investors y they need to have an attractive range for investors to take the risk to wait a couple of years before getting better visibility on the long-term growth potential of

the company. a couple of years to see th e company break even or profitability. emily: let's talk about how big you think the main business, the ride-hailing business, can grow. a bloomberg opinion columnist pointed out the key business really is not growing that much anymore. maybe that the market for de facto taxis is not that big. uber and lyft, you can make the argument of transportation revolution, but in some cities, car ownership is increasing over time. how big do you think this market really is? what if it is not as big as some people think it will be? pierre: it is a fantastic question. a fantastic set up, because there are two ways i could respond to it. the first one would be to tell you, if you look at miles heavyed by individuals,

users of ridesharing today are itng ridesharing are using less than 4% for travel. subway, andse bus, personal cars. from that perspective, you can say uber will grow forever. you can make the case that ridesharing is the most efficient way to manage personal transportation. the other way to look at it is uberat the numbers that reported in recent quarters with they can showcase very good growth in terms of users. the users are growing more than 10% quarter on quarter. well beyond 30% year on year. stoppeder of users has growing three quarters ago at

5.5 rides per user. that is the reason why they are concerned about uber's growth. you can say uber is not right much anymore in the new york. even in the u.s., growth is slowing down, but at the same time there is a massive growth potential ahead of us. key is going to be the component on the stock. how do i answer it? as long as you have fast growth in the number of users, it is difficult to see the growth in usage, the number of rides per user because these new users you are adding to the user base are just starting to use the service. they have a low monthly usage and putting down the average number of rides per user. what you need to do in order to buy into the ipo is where the user base of uber is going to

slow down, which is not going to be in the near term, then you will see usage creeping up and growing over time. that is something you cannot really see today. emily: lots of unanswered questions. we will see how they answer those on the roadshow. pierre, thank you for stopping by. well, watch out, amazon. you are not the only company looking to launch one day delivery. walmart has announced it too will launch a 24-hour delivery service without any membership fees. shares have showed some recovery since amazon initially announced their competing delivery strategy. productivity startup front is betting big on the future of email, but can it compete with other platforms? how the company is looking to reinvent employee communication, next. ♪

emily: it is time for our work shifting series where we took a look at how companies are leveraging technology to improve productivity and workflow. one startup tackling this challenge is front. the company helps teams collaborate more efficiently over email. the startup aims to cut down on the number of emails that flood impacts is -- inboxes by allowing users to work off internal threads. joining us from san francisco to discuss is the ceo and cofounder. thank you for joining us. please tell me how you can cut my emails down. how exactly does this work?

>> of course. reinventing emails for the way teams work. if you are in a setting where you have team meets, we can help you. the way we can help you is we are introducing collaboration, workflow, automation accountability in your inbox. so, in a way, you are betting your future on the future of email when you have a lot of backlash against female. people who want to get rid of female altogether. how do you combat that? mathilde: you can hear a lot of email is dead. i think there are a few things to be said. the first one is i think that email might decrease year-over-year for personal usage, but if you look at the areber of emails that shared in a work environment, they keep increasing year-over-year. some people that believe email

is dead is more of a marketing speech. the reality of how work gets done is communicating with people outside of your organization and even people inside the organization, you often used email. i'm very confident it is not going away anytime soon. emily: let's talk about the competition, in some cases, big competition. slack, google, microsoft. how do you take on companies like that? thinkde: yes, so, i google and microsoft is one thing, and slack is something else. aboutis really synchronous communication. if i need to ask you do you want to have lunch with me? slack might be a good tool. anytime you are speaking with people outside the organization or if i am asking you on the

status of the project, email is better. we use slack at front. i do feel like companies also and some time for deep work thinking. if all of your communication is happening on slack, that might not be the best way. google and microsoft are doing email. they have focused on team collaboration. for them, it is a hard thing because they have millions of users. they can launch a separate product, but i don't think it will happen anytime soon. if you look at how email has evolved, in the past 15 years, innovation has happened. the last one was 2004, gmail introduced threading and that is it. i'm not worried about competing against google and microsoft and slack. emily: you released a new

workplace efficiency report. tell us more about what you found in terms of trends in the workplace. mathilde: sure. there are a few things we found out. peoplen one is -- we see save an average of six hours every week. impact of saving time. people find more fulfillment and meaning in their work. if you reduce the amount of time they spent on low impact things like triaging your inbox and flagging emails, they can really focus on what matters most which is thinking strategically about their job and providing impact. i believe that when we think about the future of work, i think what's going to happen for automated.ks will be then, human beings can focus on

what is unique about them being a human being which is complex tasks, deep work, strategic thinking. that is how they will find more and more meeting to how they get work done. emily: front ceo and cofounder mathilde. we will keep our eye on your company. thanks for stopping by. intel shares fell for a ninth straight session following the company's weaker than expected earnings. last week, the company cut its full year revenue outlook, predicting the group will post its first decline in a decade. shares have dropped as much as 13% over the last five sessions. the longest streak of losses since september. coming up, 22 movies in and marvel is the undisputed box office king. how the latest adventures installment is destroying the box office and why imax is hoping this is not the final endgame. we will continue to monitor output that's call.

one segment of slowing growth at youtube. >> youtube clicks continue to grow at a substantial pace in the first quarter. the rate of youtube click growth decelerated versus a key one last year, reflecting changes we made an early 2018 which we believe are added to the user and advertiser experience. ♪

were: shares of imax supercharged in early trading monday, rising as much as 4% to the highest level in seven months, all thanks to the latest marvel blockbuster. a movie that is rewriting the records set by its predecessor, infinity war. staggering numbers for imax showings alone, $92 million

globally, more than double what star wars took in during its imac debut and over half of this avengers windfall coming from china. to tell us more about the success, the ceo is with us in new york. thank you for stopping by. give us some color on the imax view of this latest avengers opening. how many screenings, how many seats did you have? how many were sold out? rich: i don't know the exact numbers but we have about 1500 theaters in 80 countries. this really was a global phenomenon. countries,rds in 50 which is just mind-boggling. china, we didn 13% of the box office in the country on only 1% of the screens. this is the culmination for us of many years. we have been involved with all of the -- a lot of the movies leading up to a avengers. there was a heritage, a connection. the movie was filmed by imax

cameras. if there is a way to see it, most fans wanted to see if the way the russo brothers wanted them to see it. emily: we are just talking about opening days. what is your outlook for the rest of the showings? rich: it is always hard to say. $1.2 billion overall for the movie, $92 million for imax. if you look at history, it would suggest at least two multiple going forward. in china, there is something very encouraging not many people have talked about which this year, the may day holiday which is usually one day is four days starting this wednesday. i think that should give it some positive momentum. and the rest of the world outside the u.s., may day is a holiday as well so we are pretty encouraged. you look at the cinema score, a+ . you look at the sellouts, all of the world all the time. in the u.s., i think our

capacity was 85% over the weekend for a three-hour movie, which means more or less only the front rows and the sides were not there. it looks really good. emily: no studio seems to disney's success with the blockbusters, but would you be concerned if disney collapsed windowing and put some of these movies on this training service sooner or first? rich: i wouldn't because imax is all about a cultural, social experience and the best technology available in the world. i think this proves the theory of the theatrical experience. i think for these blockbuster movies, people want to go with their friends. they want to see it first. they want to be excited. they want to go to the water cooler or whatever that analogy is an talk about it. they don't want to tal watch it on their phone. i think for the right kind of

movies, mid-level budget films, streaming, it is perfectly fine. if any movie ever proved the value of that the ethical experience, this is it. emily: netflix has started to make a lot of noise in the movie business. some award-winning noise. i know that theirs is different from yours, what would you be open to working with them on an event at some point? rich: we would be. the big issue is the windowing. today, it is three months. imax, although it is a technology company, it is housed within multiplexes with our partners be exhibitors. i think if they came to agreement with netflix on what the right amount of windowing was, we would. a few years ago, we tried an experiment with netflix which was not very successful as of the windowing issue. my own feeling is over time, i

think the actual windows will shorten to some extent and there will be in agreement to the exhibitors and netflix. i think partly because of the consolidation in the industry, there will be a desire to get not only netflix, but amazon and hulu and apple movies, but it has to do so in a way that both the exhibitors and streaming companies a great. emily: apart from china, it looks like india and japan are your next big growth markets. what do you think the opportunity is there and how much will streaming constrained that opportunity? rich: i don't think streaming is constraining the imax opportunity at all. our screens are eight stories high and it is an out of home social experience. i think it is a completely different thing, so it will not constrain it at all. japan, we started late there, but the traction we have gotten

is incredible. there is a 10 day holiday in japan beginning in the next couple of days. i think that will be very strong. india also was a much more recent growth market for us. we have been much more constrained by how quickly we can do a buildout than anything to do with streaming. i think it is an apples and oranges kind of thing. emily: imax ceo rich. good to have you with us. we will be watching to see what the avengers rakes in next weekend. rich: thank you. emily: meantime, apple said it pulled several parental control apps because of security and privacy concerns. the company also refuting a new york times report that apple removed the programs in an attempt to eliminate competition with its own screen time tools. apple argues these apps give control and axis over a device's user location, browsing history to a third party and in clear violation to the company's app

store policies. mark gurman joins us now from l.a. what is your take on this story? mark: two things. one, apple makes a valid point. these applications are using a technology which is pretty improves -- intrusive for computer applications so it makes sense to pull them off of the app store. this is something that has been going on for over a year where apple has been slowly purging any type of application that uses that technology. the question is which applications that have that technology for the past several years, what kind of impact have they had on consumers? that is what we need to find out. emily: apple released a rare statement saying we did it for a simple reason -- they put user privacy at risk. parents should not have to trade of their fears of children device usage for privacy and security. it makes sense but it is also convenient given that apple has

made privacy a big issue, has focused on screen time. do you see that? mark: it is convenient and the timing is very interesting, but i happen to actually believe apple on this one. i'm not sure what the benefit to apple would be removing competing applications. screen time is not something apple makes money off of. it is integrated into ios. it is really a lose-lose situation for apple if they are pulling applications. i truly don't believe that is the case. emily: we have about 30 seconds left. apple earnings coming up. you will be all over it. what are you watching for? mark: we will watch for ifo revenues. the latest estimates i saw was year-over-year iphone sales could fall about 20% so that is pretty significant. we are going to see another annual overall sales decline. we will be watching to see when i will start turning around. emily: we will be checking in

with you for the numbers tomorrow. bloombergs mark gurman who covers apple from l.a. that does it for this edition of bloomberg technology from washington. we are live streaming on twitter. hnology. out @tec follow our breaking news network, tictoc, on twitter. this is bloomberg. ♪

paul: welcome to daybreak australia. selina: i'm selina wang in san francisco. sophie: i'm sophie kamaruddin in hong kong. we are counting down to asia's major markets open. ♪ paul: the top stories we are covering in the next hour -- u.s. stocks touch a new high at the start of a data rich week. financials lead the gains in the s&p 500. google's parent a loser after hours and shares tumble after

first-quarter earnings reveal