♪ emily: welcome to "bloomberg technology." i am emily chang in san francisco. u.s. stocks rising to record highs. investors optimistic about signs the trump ministration may fast-track vaccines and treatments for covid-19. this on the first day of the national convention in north carolina. president trump has been officially nominated for a

second term. the president also receiving , the companytok suing the federal government. let's talk about how the markets are digesting this. abigail doolittle running us. -- joining us. apple has been one of the companies driving the rally and apple just notified some employees that they plan to reopen a number of retail scores by the end of august. walk us through the day. again, recognize. hopes about a fast tracking of the vaccine and treatment. abigail: lots of optimism. the s&p 500 up for a third day. while it is nice to think that it has some of the do with the fast tracking of the vaccine and plasma therapy, it is interesting that the only major nasdaqo close down, the

biotech index. the nasdaq 100, the new york faang index. course if youof own that stock into the close today, you are eligible for the 4-1 split which will take place next monday. that does not create any value but it seems that it is somehow more attractive. certainly attractive, the fact that they plan to reopen some of the stores they had closed. also, let's remember that quarter they put up, really stellar, even though there is not an outlook. over the last five months, apple is a double. i say it is stunning because this is the largest company in the world, largest publicly traded company in the world.

this is not a penny stock we are talking about. apple has more than doubled in about five months. you can certainly make the case that the fundamentals are very strong. at again, valuation at greater than decade high. the pressure is on an to continue to perform. meantime, we are looking at to that stock split for apple. tesla looking forward to a stock split. but, a down day. abigail: they split the same day apple on monday. it's interesting, because you have this momentum in these retail investors. in on the stock before the split happens. tesla, not so much. also not receiving the love, zoom down 2.6%. schools startas

to reopen. the company said they had resolved the technology problem. , that one seemed encouraging around the idea that the economy is going to reopen and also the stay-at-home trade causes some concern because outside of apple, some of the other big temp -- big tech companies just about flat. doc you sign receiving positive mention from wells fargo. netflix also down. one other software stock, oracle. more sources saying that they are likely to enter the race for tiktok u.s. assets. as you were mentioning last week, of course larry ellison, the founder, is a supporter president trump. perhaps that could make a bid for oracle perhaps easier.

total speculation of course but there does seem to be a political connection between larry ellison, oracle the possibility of buying the tiktok , and president trump. emily: so, obviously, we have the republican national convention happening this week. this news late in the day that tiktok is officially suing the u.s. government. what are you going to be watching in terms of moves at the rnc continues throughout the week? abigail: i would be surprised if there were many market moves related to the rnc at all. some commentary expecting president trump to perhaps stepup the rhetoric on joe biden and, lara's. harris.iden and kamala bid foraw some kind of bonds that would suspect -- that

would put some more uncertainty. the vix curve points to a big spike in volatility. where the volatility is even greater is around technology. you have these technology stocks soaring on the year. suggestingd 30, things could get interesting as we get closer to that election. emily: abigail doolittle for us in new york with the breakdown. we will be watching the market moves. thank you. tiktok suing the trump administration to challenging u.s. ban on the company and forcing the sale to a u.s. company. in theainst the backdrop wall street journal today that facebook ceo mark zuckerberg sounded the alarm about chinese tech companies and tiktok in particular to president trump in a private dinner.

with more on that, david kirkpatrick, or contribute to editor and author of "the facebook effect," is joining us. interesting to note that zuckerberg potentially stopped concerns about -- potentially stoked concerns about tiktok. david: zuckerberg is clearly very concerned about tiktok and he has been for a long time because it is the most genuine new competition he has received for a long time in the united states. busy as of continues to grow. i think what is interesting is that he has made conflicting statements about what he really wants. the wall street journal today reported that particularly in meetings with senators, he specifically was advocating a , based on the idea

that it was a national security threat and also that it was just unfair that facebook should be banned from china but tiktok should be able to operate here, which i think is a question argument. with the president, he is certainly expressed his concern about chinese companies having more opportunity in the united states as well, and made the argument that the u.s. needs to support companies like facebook to counter the threat of u.s. technological dominance. is it that unexpected that mark zuckerberg come if he has an audience with the president, would use that audience to express concern about a company he sees as a threat?

or is there something here that feels unethical to you about this? david: i don't think anything unethical particularly. but the thing about policy and facebook is that. much anytime facebook expresses it is reallyiew, because facebook would benefit if that were the change. that is not shocking, except that in the case of facebook where we are essentially talking about the de facto communications platform for the planet and to a very large extent for the united states, things that affect facebook affect the public dialogue more broadly, affect politics, affect the mood of the country even. when a company like that is self interested in his policy positions and statements, you have to be a little bit suspect for what it says. whereone more case

facebook's sheer scale and power is problematic. another thing that is interesting to note is that facebook is the largest lobbyist of any company in washington. they spend more last year on lobbying than any other country -- any other company in the industry. they are out there making a lot of noise. emily: there is the potential national security threat of tiktok that president trump has expressed concerns about and there are conflicting opinions about whether it really does threaten national security. then there is the threat that tiktok poses to facebook. given that it is reaching potentially a new audience with new features that facebook has already tried to copy but just does not have yet. david: i think long-term, it could be a significant market

threat to facebook in the united states. one thing has been -- one thing that has been noted about microsoft attempting to buy it, microsoft already owns linkedin if you want to talk about two social networks that have no overlap, it is linkedin and tiktok. so they would have young people and more serious adults. it would give them the opportunity to migrate tiktok users to linkedin down the road potentially. facebook is unable to generate enthusiasm among american teenagers for its own core products. instagram is a little different but there is evidence that tiktok is taking market share away from instagram among teenagers as well. in terms of national security threat, as much as i think that u.s.-china tech competition is a

real policy challenge, i don't think tiktok is a real national security threat in its own form. emily: that was going to be my next question. thank you for answering, david kirkpatrick, founder of economy -- founder of techonomy. coming up, apple gains. ofy announced the reopening some stores in the united states. details on that, next. this is bloomberg. ♪

emily: apple plans to start reopening u.s. retail stores that have been closed over the last several weeks due to spikes

of covid-19. had closed all its stores, then reopened some of the stores, then closed some of the stores again. now they say they are going to be opening some stores by the end of august. but, by appointment only. what is your take on this? julie: i think it is a positive move. i think there are certainly a couple of things in play. first, following state and city guidelines in terms of limiting the number of people in the store. the second thing, that this does not spread too much from touching services as through the air. things like electronics, phones, watches, where people want to touch it and feel it, despite the fact that the chances of catching something from touching

a device are very low, how do you keep a device like that safe? is that is very much part of the appeal to the consumer? inly: how much does an person visit in a pre-covid time actually drive? consumer julie: electronics as one of the highest relative sales numbers. the consumer experience influences sales. i go into the store. i see it, love it. i may go home and see it online. and i am more likely to buy other accessories. emily: we are looking ahead to the four for one stock split coming up on monday. that will not necessarily have a dramatic impact on investors. what is your outlook in general on apple the second half of the

,ear as the pandemic continues you are still seeing limited store openings, and you have a lot of people suffering out there who have lost their jobs and don't have money to spend on a new device. a mix ofthink it is both. there are a lot of things that play in apple's favor. the economy is very split. certainly, this has been devastating to 10 or 15% of americans. but they are also in scenarios where we are seeing a great uptick in things like telehealth services, education, and more. so for some circumstances, there is more demand for technology devices and hardware than there was in the past due to the number of people accessing services remotely these days. emily: meantime, the dispute

between epic games, a maker of fortnite, and apple, continuing to be in the spotlight. lots of hostile words flying back and forth last week. apple claimed in a court filing that epic wanted a special's ideal. epic claims that apple has been holding them hostage. who is on the right side here? julie: i think everyone is trying to do the best for their shareholders. apple is doing what is best for its shareholders. it started out to build this ecosystem and platform and put the rules in place 11, 12 years ago. it is possible to get around the app store. browserg them into the -like companies such as amazon and netflix have done. but that creates friction in the process for consumers and you will lose some consumers along the way. the terms are very similar across many of the platforms.

epic charges its developer to use its platform. so i think this is a case, on , fighting the battle on behalf of smaller developers and the overall marketplace. but apple also needs to win this battle because they don't want to lose control over how they monetize the platform, the ecosystem, and the services they put into place. we are continuing to follow each step of the way how this plays out. always good to have you on the show. thank you. coming up, across the u.s. and some countries, even as gyms start to open, the craze for at-home fitness, could it be here to stay? this is bloomberg. ♪

o emily: while peloton has become a workout craze in the pandemic, the company tonal is looking to keep it popular. some places begin to open gyms like new york, happening today. doing this, the founder of tonal, aly orady. thank you for joining us. it is basically a digital at-home tracking system, it tracks your progress. how does tonal standout? only completethe solution if you want to strength

train at home. it uses digital weights. it replaces every machine in the gym. it has coaching built-in, which is a combination of our coaches broadcasting out of our studios and ai that personalizes every workout to our members. it is really the only complete solution and it uses the most advanced strength training technology ever created. emily: while there are a lot of father who would like to take advantage of -- a lot of people out there who would like to take advantage of at-home fitness, it is expensive. how much does this cost and how can you make it more affordable? is betweense unit hours $.95 for the actual -- is $29.95 for the equipment. accessories, all

bundled together, for $149, you can get the full experience of a gym and a trainer. so, what has demand been like in the midst of the pandemic, and as we come out of backeople can start going to jim's, like in new york today. aly: demand has been really great. we had a good holiday season. coming out of the holiday season and new year season, we were expecting to roll into summer. 3-4 xe seen about a increase in demand. our holiday season was eclipsed by sales in the month of july. we have upped our forecast for the year by more than 2x. we are preparing for this demand to sustain. begin tore seeing gyms

reopen, they are opening with limited capacity. i think, in the last six months, people have just had to build new habits and new ways of working out. they have built them outside the gym, alan. extension, it just accelerated. this is here to stay. emily: mirror is an at-home fitness company that got bought by lululemon. harvey -- how are you feeling potential m&a deals, partnerships at this time? aly: we intend to drive tonal ipo andway to -- beyond. we are just looking at building the biggest business we can. if you are passionate about fitness, go to tonal.com and apply.

emily: i know you are hiring actively. what sort of product enhancements do you have coming down the pipe? aly: tonal is very much about meeting the strength training needs of our members. people use it to do everything from improved strength to athletic performance. we are continuing to increase what we offer. we recently introduced yoga, we recently introduced interval training for cardio. to address all sorts of different goals. and then making lots of investments in ai. we recently released live feedback. of we just have a lot more that type of stuff. emily: tonal founder and ceo aly orady, thank you for joining us. coming up, software companies expected to make a strong

showing, going public this fall. we will preview the ones to watch, including doordash, which says it is pushing forward with a q4 plan. this is bloomberg. ♪

emily: welcome back to "bloomberg technology." the food delivery startup doordash expected to go public before the end of the air. -- year. debuts for pelletier, unity technology, asada could happen before fall. unity.a, we saw a flurry of filings today including snowflake. walk us through companies now publicly filed? >> today has been crazy. asada -- nity,

doing a direct listing. all of them did filings revealed today. it has been an exciting day for people who follow venture backed technology ipo's. palantir as we -- we have reported is coming up and airbnb and doordash are slated for fall. emily: doordash filed earlier this year but according to our reporting we confirm they do intend to go public in the fourth quarter. what we known about the financials given the amount of impact covid's had on their business as we believe to the upside? >> sure, doordash announced february day planned to go public right before the coronavirus situation changed

the united states significantly and doordash has been considered an essential business and a lot of regions and so it has been helpful for people not able to eat out at restaurants anymore, getting food delivery at home and they are expanding into grocery delivery. what can imagine that would help their revenue. they have historically been unprofitable. sources tell us that may still be the case. it will be interesting to see when their financials become notic since they have flipped their ipo filing yet. how covid has impacted their business. we hear from sources that they are planning to go public in november or december. timing with these things could change but now that is their plan, to be in the final months of the year. emily: and tell us what we know so far about palantir's ipo?

we have been reporting on some losses. we believe they have been experiencing and yet they are still pushing forward? >> that's right. last week there were a lot of lakes about palantir. we got hold of their financials. million on $742 million in revenue last year per our reporting. but they are going through with it. we expect them to go public soon. they are doing a direct listing. we broke the lid news friday -- we broke the news friday, they modified the model and are making it a hybrid direct listing ipo. because they are still doing walk ups, which are normally something you see with ipo's, where more shareholders are not able to sell most of their shares for many months after. and we believe that is partly to prevent a lot of sellers potentially selling all at once, when palantir goes public. so that will be interesting, to

see the first hybrid direct listing walk-up model. emily: now, certainly we can expect there is some pent-up demand here, because there has been a pause over the last three months on public listings. but how much pent-up demand? to raise allenough of this new capital from public markets for a bunch of tech companies? now, a lot of companies are eager to go out because the stock market has done so much better than what people were thinking several months back. there were very few ipo's in the second quarter and so that is why there has been the backlog and many feel now is the time to go public so they are all doing it at once. it remains to be seen what will happen. optimisticley is these new tech stocks will perform well, as have older tech stocks.

roof, bloomberg's katie you have your work cut out for you over the next couple of months as these companies get out of the gate. thank you so much for that update. meantime, breaking news now, amgen and honeywell are all going to join the dow jones industrial average index. -- salesforce, amgen and honeywell. this has been prompted by apples 4 for 1 stock split which will reduce the index weight in technology. we note tech stocks have been doing well. salesforce replacing exxon. amgen repressing pfizer. honeywell will replace raytheon technologies. -- amgen replacing pfizer. a changing of a guard for dow jones that will happen by august 31. there are signs the trump administration could fast track

vaccines and treatments for covid-19. the fda is working to expand access to a treatment involving blood plasma from recovered patients. hopkins to a johns bloomberg school of public health vice dean about it. >> there is an advantage in theory to the antibody treatment. you are getting antibodies that can fight off the virus. this concept has been around for over 100 years. it was used to stop measles outbreaks in the early 1900s. the idea is that people who have recovered, they have recovered in part because they have neutralizing antibodies. and you can take them from that person and give them to someone else. edit may help with the infection, but also to prevent someone from becoming seriously l. -- and it may help. research has been adding up that it has a benefit for patients with covid-19. probably the earlier it is used,

the greater the benefit, which is what has been seen in history. but that have not been able to complete a definitive randomized controlled trial of sufficient size yet to know for sure. >> to be clear on the therapeutics, and no one doubts the efforts of antibody scientists and vaccine scientists. convalescent plasma is for people who are already sick, right? >> not necessarily. actually there is a clinical study at hopkins for people who have just been exposed. so it could also be used, for example, if there is one person sick in a household, you quickly give it. -- you quickly give it to the other people. at least exposed. and then you see if the other people do not get sick if they have been given the plasma. and you have to wait for the result of studies to see if that is actually true. it is promising. it is not going to be perfect. if it has an impact it is going to the various tools that

doctors have to help. >> something else in the toolkit. of us thetein latest thinking in school reopening. in london children will be going back to school in early september and it is a question of how long they stay there for many parents. what is the latest thinking of doubt how you manage the risk is rotting back to school? >> let me say one quick thing on -- manage the risk surrounding back to school? >> one quick thing on convalescent plasma. there is a discussion on whether it should be authorized. but i do not take it is a good idea for the president to announce in a campaign style event attacking the integrity of the fda. it would be a much better to have this discussion outside the kind of political theater. on schools the latest coming from the united kingdom, a major report showing their initial experience in june three opening schools, and finding that, as predicted, the biggest risk

factor for having a problem in schools is the level of community spread. for communities with a lot of virus circulating, they had more problems in the schools. it was most likely the teachers bringing it in and passing it on to other adult, or adults bringing it in and passing on to other adult. it was really kids passing it to adults. of course it is important to follow precautions, and have plans in place for when there are positive cases, and not be surprised by that. so i think what we are seeing with the emerging data is consistent with two principles. print cases down in the community. and just bring cases down in the community and be prepared to go online if cases pop up. joshua sharfstein from that johns hopkins bloomberg school of public health, supported by micro bloomberg

founder of michael bloomberg founder of bloomberg lp. itsone company is using technology to replant hundreds of trees and burned in wildfires ready across the united states. we talked to the ceo of drones seat next. -- drone seed next. this is bloomberg. ♪

more than one million acres in california have burned as firefighters battle two of the largest blazes in the states history, forcing thousands to flee their homes. there far from under control. park,sin redwoods state california's oldest, has endured extensive damage, ignited by lightning. with hundreds of trees being hoping toone seed is assist in reinforcing efforts. the ceo is with us now from seattle. grant, thank you for joining us.

there are people across the state in imminent danger. our skies are filled with hayes now from these fires -- with haze from these fires and we are losing so many trees. we nearly lost the oldest state park in california. talk to us about how expensive that damage is? and how difficult it is to re-create hundreds of years of forest? personal.is is can give a nod to folks being impacted. i investors and colleagues impacted have suffered tremendous loss and people are feeling that pain. one way it can be quantified and it is painful for me people saying it is a fire season. this is likely to be one of the coolest years of the next 100 so we are not headed for a bright future. what we are trying to do about it is, we reinforced with drone

force after a fire. these are big eight foot diameter and they carry a heavy payload. we are the first and only faa approved to operate in that manner. the way we do this is we are paid per acre as a service. we focused on post wildfire. because all the weeds and things that would shade and kill trees are gone. we are helping people affected access capital through carbon credits. last time we were on this program we announced a contract with the nature conservancy. we are working with timber companies and governments as well. i'm pleased to announce today that the cofounder of tesla has joined our board as an observer. some of their reason for the traction we are seeing beyond there is a crisis is there are big things happening in the carbon credit market with carbon credit futures and i'm excited to talk more about that. emily: so, before we go there,

how soon after a forest burn do your drones go in? or can your drones go in, to plant the seeds of a new one? insurance.te like for customers on contracts we can be on site than 60 days. int shortcuts a big problem, the sense of normally you have a wildfire and send seeds to a nursery. the nursery, depending on how long you tell them to grow, it is one or two years, the new useract labor, and people manual labor with shovels, superheroes, go out and plant these trees. that is if you have the funding. if you do not have the funding you have to go to a grant agency and other send that as another year. you get potentially two or three years before you are able to reforest. for example some sites with the paradise fire are just now getting reforested this year. what we are able to do is be out there in 60 days for customers already on contracts with us.

then we have drones, so they fly and navigate the terrain faster. six times faster in many sides today. -- at many sites today. emily: you are working on expanding and california. living here and a fire danger zone, especially the last three years, each or has gotten worse. each year the fire season seems to start earlier. it sounds like you are saying it is only going to get worst -- worse for the next 100 years? how much of our forests are you expecting to burn down this century? >> and this is what has to change. seeing,y we are normally rely on natural regeneration, or seeds in the soil or left in the crowns of trees after low severity fires to do the bulk of the regeneration. in some cases we have gone out with one or two-year-old trees from nurseries. what is happening with catastrophic moderate to high

severity fires, we are seeing increasingly that wildfire damage, it is not coming back as forest. it is protestant early phase tall bush. what we need to be able to do is build capacity to reports faster. because -- to reforest faster. because when your rate of burn exceeds her ability to plant or for nature to regenerate, there is a future in which if you do not correct and start going to afforestation, or planting more than you lose, you are potentially going to see a future where california does not have forest. we can fix that but we have to build the tools. emily: now, let's talk about the carbon credits you mentioned earlier, and how this is becoming more attainable for customers who want to access it? >> yes. what was previously that one of the big problems beyond the long supply chain and manual labor as the access to capital. that has changed in the last 18

months to two years. previously you had to wait 25 years to get carbon credits from a new reforestation project, you had to wait for the trees to grow to get your money out of the project. that project could not come pete with five years of compounded interest from another project so nobody did it. -- cannot compete. -- before it could not compete. credits andex-ante climate action reserve and others creates this and in one or two years verifies the trees are surviving and then issue a conservative baseline. over the next couple of years if you exceed the baseline and carbon sequestration credits you get the credits back. so that opens a huge market. it is a $215 billion local carbon credit market. it has been growing three x over the last three years. . the u.s. is barely in it. the eu if you look at what if

the u.s. did enter it? companies have committed to go carbon neutral but it is still getting their bass lines on carbon credits. microsoft alone which has pledged to go carbon negative enters, it will take 60% of the voluntary craddock supply. -- the voluntary carbon credits apply. -- microsoft alone would take up 16% of the voluntary carbon credits apply. this will drive market action so we can connect reforestation to capital and a get way that has not impossible before. emily: fascinating work -- that had not been possible before. emily: fascinating work that we will continue to monitor. the ceo, thank you. still ahead, equity and equality in silicon valley. how lack venture capitalists look to confront racism in tech capital. that is next. this is bloomberg.

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emily: the national conversation about race and inequality has been front and center the last few months. fewfocused has left the black venture capitalists in silicon valley trying to create opportunities for others. we have the story. you profile a number of black venture capitalists who have made in silicon valley the question is, how do they make room for more? you talk about quiet racism? the quiet racism of silicon valley, why do you describe it that way? >> thank you for having me. we described it as quiet racism

because one of the venture capitalists we spoke with at g-v, formerly google ventures, says that racism in silicon valley is more insidious than in other parts of the country because it is invisible to perpetrators and bystanders. this is a place that is politically progressive. it sees itself as being very much on the right side of history. and yet, it has had these persistent issues, when it comes to inclusion. of people who come from traditionally marginalized groups, including women. emphasizewanted to that there are many people including prominent venture capitalists, who have not seen the exclusion of black and latin acts people in the industry -- the industryle in

as a suggestion that their systemic racism playing out. emily: in the same way the few women in venture capital sort of had to bear the burden of sound in the alarm, and trying to make space for more to rise, you have even fewer black venture capitalists trying to carry that torch now. what do they say the problems are? and what can be done to elevate more people? nico: there are several problems and one problem is that in ,raditional mainstream vc firms that are prominent there a partnership model in which they have to all a great to add someone to the partnership. and often, those firms just do not add people who have not been in their networks for a very long time. so, part of that includes not adding many people who are black

and so that is one of the problems, that are not many black people who have the ability to make investment and therefore create change. one of the problems is, the black of a family and friends around for black entrepreneurs. hunter $50,000ne $150,000 on average, and that means a startup can get up and running before goes to traditional investors to get funding. without that there are a lot of companies that do not seem as frome as their peers, white or other entrepreneurs. so, some of the vcs are saying we should fund these companies earlier. we should make up for the fact that there is systemic racism in the u.s. and many black or latin x entrepreneurs may not have

friends or family who can devote money to a risky best. -- bet. emily: we will have to leave it there and i urge you to check out the story at bloomberg.com. that does it for this edition of "bloomberg technology." ♪ you doing okay?

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everybody wins. now that's simple, easy, awesome. say xfinity sports zone into your voice remote today. haidi: good morning and welcome to daybreak australia. i'm haidi stroud-watts and we are counting down the major market opens. shery: good evening from bloomberg world headquarters in new york, i'm shery ahn. haidi: wall street extends an all-time high on optimism of a fast tracked virus vaccine. the s&p 500 and the nasdaq rising with covid-19 not being a drag on u.s. growth.