♪ chang in sanily francisco and this is "bloomberg technology." , a second the fda covid vaccine officially saying is safe moderna shot and effective. this comes as the u.s. surges

past 200,000 cases per day. online retailer wish prepares to doordash as at&t and pullback again. dick costolo joins us for his take on investigations and a new investment in health tech. first, u.s. stocks climbing today. senate majority leader mitch mcconnell congratulated president-elect biden for the very first time publicly and is meeting with house speaker nancy pelosi has a stimulus package as we speak. abigail doolittle has more from new york. how did the markets respond to optimism around a new package? abigail: a new package and moderna's vaccine. the fda has found their vaccine to be safe and effective. trading up stocks 3%.

it's best day in three weeks. the nasdaq 100 finishing up almost as much. star sector technology today, apple up today, the best day in two months. nikkei,usual report, which tends to be bearish on apple, bullish today, saying they expect the company to raise iphone production 30%. you saw the whole apple complex trading higher. chip production such as skyworks up. financials and energy strong as well. after hours, some exciting news. advanced merger talks. possibly some m&a and the cannabis space. tilray down kind of sharply. possibly some relief for

investors in this space. broadlyingly, stocks climbing higher. on the day, something similar to yesterday with shares of moderna and pfizer trading lower on the news. vacciney, pfizer's starting distribution in the u.s.. down one point percent today. positive news that the expectation of the emergency authorization will be given on thursday and hopefully distribution in the not so distant future. incredible amount on the year. the stock is absolutely soaring on vaccine optimism. incredibleas been an rise. thank you so much for that. the fda, as abigail said, says

moderna's covid-19 vaccine is safe and effective. an advisory panel will be looking at data this week and a recommendation could make the vaccine officially approved for use in the united states. if it is so wonderful to hear updates personally over the last few weeks, tell us, what is the latest. where do things stand between moderna and the fda? was another important step on the way to the upcoming thursday meeting of the advisory committee of the fda. following the precedent set last , it should hopefully produce an answer very soon.

the college that we worked with. for health-care care workers and more broadly, immediately. we are very much awaiting that moment. is approved by friday, how many doses do you believe will be shipped during that very first week the united states? not have the specifics because that is changing as well depending on what day it is. what we said quickly as there will be some 20 million doses by moderna for shipment in september. that is the number we have been working towards. go outt of those will first, several million doses followed by doses after to fill that goal.

moderna has said you could potentially make up to a billion doses by the beginning of next year. how many of those based on what you are seeing in the supply chain do you think you will be able to make? noubar: we have said 500 million to a billion doses. under certain circumstances, we may be on the high end of that. we will be watching for demand. one of the things we still don't know over the next weeks and months is how many of the vaccine will get over the finish line. that only safety but efficacy sufficient for broad adoption. int will have a role to play dictating how much volume each of the vaccine manufacturers needs to make it can make. capacity is one thing. utilization will be another.

us tostill early for determine exactly where that will be. we have certainly made a lot of upfront investments to be in a position to reach those goals .hould we need to emily: if you can share any more details about capacity, are there any particular ingredients that are in, let's say, short supply. do you have everything you need maybe ao that 750, billion doses, based on you see right now? noubar: based on what we see now and what we have committed to with our partners, governments that have preordered vaccine and we foresee ordering in the near future, we have certainly the supply chain in place. let me commend the close collaboration with our ows colleagues who played a key role

thensuring we had some of supplies we needed. the system is in place. there may be disruption, there may be surprises. but right now, certainly the 200 million doses that have been secured by the u.s. government and whatever we foresee for the rest of the world, we are in a pretty good position to make. the key, supplies are being secured. as we go along, we may increase those. emily: your production, which hasbeen an incredible feat, been watched with great fascination. how's moderna been able to get a leg up on pfizer by producing more doses? noubar: i can't speak to the specifics of what pfizer has been doing. but i hold the company in the highest regard, being quite an

old, established company. this vaccine comedy messenger rna vaccine, is something moderna has been working on for 7, 8 years. the whole technology, we have worked on for 10 years. space, weer in this have vaccines we have tried in trials that are being pursued for other diseases. the hundreds of millions we have invested in production and optimization all have supported us in what we have been trying to do in a short timeframe. it comes on the heels of technology, investments, analytical investments.

can change the conditions that are more compatible than would have otherwise been the case. five years ago, we had processes that also had to be kept at ultra frozen conditions. importanty that is an part. another important part is the people. andres,ership of juan with many years if not decades of experience at novartis. the leadership that he and his broad team provided was absolutely essential for a small company. usually, small companies have less experienced leadership put to this kind of test, everything being done for the first time. they have done this before in ator pandemics, simply not moderna.

emily: the onboarding of manufacturing facilities perhaps. our work at the nih was vaccine development, the science of spike proteins, the years of work we have done together on vaccineng mrna as a technology. and has been well described much appreciated by us and every person who will receive our vaccine. beenn the other hand has deeply involved in supporting and advising the work that moderna has done to produce at the scales and distribute. that has been essential. i cannot overstate the essential role it has played.

the old organization i think played an important role. inortunate that we have been a rather politicized environment where every single action ends up being interpreted in multiple ways. hopefully will come out of a politicized environment relatively soon. what they have done is an essential part of what we are doing today. emily: what are your plans for online dating -- for unblinding the study? giving people who got the placebo the actual vaccine. noubar: that was discussed last week. i am sure it will be discussed in the upcoming meeting. that is something that we will determine jointly with the fda in concert. that on oneake sure hand we get the emergency supply

of the vaccine out. we want to make sure that proper licensure is branded. -- is granted. when you balance what is fair and ethical for the participants of our trial and other considerations, it is something that will be discussed and determined and made publicly available. emily: there are some lingering concerns about side effects, reactions. the fda says it cannot rule out a relationship between the vaccine and bell's palsy. obviously, that would be in a rare instance. what can you say to people at their who might have these concerns in the back of their minds? noubar: i think the key is to collectedical advice, as much information as possible,

and keep in mind that any vaccine is a trade-off between known risks and unknown risks. in this case, we have two known risks. exposure to a virus that has significance and sometimes severe consequences on health, or some rare side effects that may be seen and have been studied and compared between various trials and the placebo groups. all of that information goes into the fda's determination, advisor determinations. in the medical profession looking at all of that, looking across the board, and all of .hat in the end, it is not as though we can wish this virus away. we have to protect ourselves broadly.

a molecular mass of sorts. we talk about a vaccine being the best math in the sense that it protects us with our immune system. questionsese are fair that have answers. they are all about treating the risks of the virus and consequences with the risks inherent in any vaccine including this one. emily: cofounder and chair of eyan, thankubar af you. we will be following that meeting on thursday. coming up, the eu cracking down on technology with new rules to prevent the spread of harmful content and our conversation with -- nex [ sigh ] not gonna happen. that's it. i'm calling kohler about their walk-in bath. my name is ken. how may i help you?

hi, i'm calling about kohler's walk-in bath. excellent! happy to help. huh? hold one moment please... [ finger snaps ] hmm. ♪ the kohler walk-in bath features an extra-wide opening and a low step-in at three inches, which is 25 to 60% lower than some leading competitors. the bath fills and drains quickly, while the heated seat soothes your back, neck and shoulders. kohler is an expert in bathing, so you can count on a deep soaking experience. are you seeing this? the kohler walk-in bath comes with fully adjustable hydrotherapy jets and our exclusive bubblemassage. everything is installed in as little as a day by a kohler-certified installer. and it's made by kohler- america's leading plumbing brand. we need this bath. yes. yes you do. a kohler walk-in bath provides independence with peace of mind. call to receive $1,000 off your kohler walk-in bath. and right now we're offering no payments for 18 months.

emily: we have been getting some developments out of the stimulus meeting happening between house speaker nancy pelosi in senate majority leader mitch mcconnell. kevin mccarthy, house minority leader, saying he thinks there has been progress. they have in taking a quick break and they will be back at it. again, we are following stimulus talks between both sides of congress. meantime, the european union is unveiling sweeping new rules for u.s. tech giants. with threats of billion-dollar fines and even potential breakups. margrethe vestager, european commission executive vice president, says the harsh consequences are quote justifiable. she spoke earlier in brussels. margrethe: what we worry about is competition and a fair

marketplace. we have been consulting extensively, talking with everyone. we have experts, member states, businesses, organizations. they worry about being able to do fair business. this is our worry. of course, we are balancing things. which is why we think this is quite a proportionate proposal. maria: when you were explaining some of the measures, you said this is not targeting anyone in particular and you hope you don't have to fine anyone. but you could see 10% fine. is this something you are looking to do if needed? ms. vestager: i think that anyone would want to comply with legislation that has been passed by our legislature here. why wouldn't you want to do that? but it is also good to have an incentive. fine of 10% on a

your turnover. maria: could we read that as a warning? ms. vestager: in my work, as competition law enforcer, i have seen a lot of practices that have been damaging for other businesses. now we say sort of in general, these are the things that you must do. these are the things that you should not do. i think it will bring a bit of balance into the marketplace. that is what we need. this is actually a bit more than just competition law enforcement, this is beyond addressing unfair trading practices. we have seen that a matter how vigilant we are, we need to work hand-in-hand with regulation in order to have an open and contestable market. maria: as far as the gatekeepers, companies that may have too big a position, you may look at breaking up or asking a company to disinvest or split up

their business? some look at that as almost a nuclear option. are you willing to use that if needed? ms. vestager: i think we will have compliance. i think it is proportional, reasonable. i think it is what you would expect if you are an investor. if they are not, it is a fine, another fine. expect that we should go there. but as the last resort, i would say that it is justifiable. not something you are expected to do anytime soon. ms. vestager: i hope not. a marketplace is what we want to achieve. maria: moving away from competition, internet that really controls the organization.

something that can confuse the public is equally important for the european union. with facebook, we have seen a lot of fake news as far as the covid vaccine. what have we heard about how quickly they will take it down and if they will be held liable. ms. vestager: i think we have had good cooperation with a number of the platforms to make that they get sort of official vetted information. say this isates to take they also have it down. they also have to tell the people behind it. it is important for us that what is illegal offline is also taken down as a legal online. freedom of expression is also obviously key. emily: margrethe vestager,

european commission executive vice president. still ahead, we will bring you some of the tech trends and stories watch of 2020 in our new segment, power up. this is bloomberg. the usual gifts are just not going to cut it. we have to find something else. good luck! what does that mean? we are doomed. [laughter] that's it. i figured it out! we're going to give togetherness. that sounds dumb. we're going to take all those family moments and package them. hmm. [laughing] that works. wannit's timeight and for aerotrainer. a more effective total body fitness solution. (announcer) aerotrainer's ergodynamic design and four patented air chambers create maximum muscle activation for better results in less time. it allows for over 20 exercises. do the aerotrainer super crunch,

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>> no tech company exemplified covid-19 related demand more than peloton this past year. last quarter, the company's sales group more than 230% from the year before, showing how much demand there is for the company's bikes and treadmills. the company announced a cheaper bike that comes in under $1900.

balaton also announced a treadmill -- peloton also announced a cheaper treadmill but that new model does not launch in the u.s. until march. apple made record revenue from several products and services and transformed nearly its entire product lineup. it added new iphone models, a bunch of new ipads, the new-home pond many, and new -- the new homepod mini, and headphones. apple's competitors did not let the iphone maker have all the fun. android launched a new security camera that flies around like a drone, multiple new echo speakers, and electric controlled eyeglasses. tvew speaker, a chromecast

dongle. facebook launched a quest vr headset. sony and microsoft announced nexgen councils. these technologies will continue to play critical roles in many of our lives. i'm mark gurman. this is bloomberg. ♪

emily: this is "bloomberg technology." i am emily chang. the mental health industry is receiving a lot of venture attention as companies recognize the remote workforces need support more than ever. one company seeing a spike in demand is modern health, a platform that provides mental health care solutions for employees. the company raised an additional $51 million in funding. joining us, co-founder and managing partner, dick costello. good to have you with us on the show.

there are a lot of opportunities out there in health tech. why did you decide to double down on modern health? dick: first of all, i will backup. one of the greatest things having run twitter as scale is you see after you leave, some of ,our most amazing employees go and one of the great leaders in the product team at twitter ended up at modern health. we realized we needed to get to know the company. secondly, there is been a massive trend towards adding mental health as one of the benefits of corporate programs in addition to dental and vision, but like physical health, more of a realization that wellness and stress can be such a hit on employee productivity. it's not just your sick.

there's a whole spectrum of health and wellness. we've seen from twitter and other companies we work with this need to extend employee benefits programs to mental health services, including everything from on one-on-one sessions with therapists to group coaching sessions and other software modules. modern health is a company that provides the entire spectrum of those services. we had two of our twitter leaders there, and they are accelerating growth. trend in the industry made it a no-brainer. emily: the pandemic is one thing, but we are expecting this work from home period to extend for some companies indefinitely. jack dorsey has told employees they can work from home forever. how concerned are you going forward about making sure that employees have the support they need given the fact that many of them will have been staring at the same four walls and same

screen for at least the last nine months, if not years to come? dick: you just said it. when we come out of the pandemic, there has certainly been a realization that you can be productive from anywhere, and that is not going to go away completely. we aren't going to see 100% of people returning to offices. unless you were on another planet, you can realize the stress everyone has been under. not of human connection, just staring at the same four walls, but homeschooling, the stress of being a parent while schooling your kids, and having a job is compounded to the usual stress of working really hard in a fast-growing company and dealing with the day to day grind of your job. of productivity lost in six days and burnout, every company has experienced it.

we think covid has only accelerated this. the demands for services, the stress employees are under, and i don't think that goes away when the pandemic is behind us. emily: you have been investing for a few years now since leaving twitter, and i'm curious going into 2021 and the unprecedented environment, where are you placing your bets? dick: remarkably enough, considering adam and i've built what we consider to be a we are sorttwitter, of agnostic to where we invest in technology. we are probably not doing a lot in hardware because we don't understand supply chains that well, and one of the things adam focus on is to go going to places we understand.

we know's the fact that more about consumer tech, so we know the right questions to ask and finer reasons to say no, but we have ended up investing in enterprise without really a preference for it. that will probably continue. there is so much momentum. i think some people thought the party was over, but there are so many problems that need to be solved. every company in the world is becoming a technology company or needs to become a technology company. you look at companies like twilio, okta five years ago, you would've said, sure, they are a couple billion dollar companies, but they could never be $10 billion or $20 billion companies. now they are growing and growing. these companies can grow forever, and we love them.

emily: let's talk about that. wish is poised to go public tomorrow, the e-commerce retailer. they price to their ipo at $24 a share at the top of the range. i'm sure you have been following airbnb and doordash, both pulling back after their exuberant receptions on wall street. even brian chesky was at a loss for words when we told him that the shares had doubled at the opening. are these valuations in line with potential, or are they insane? dick: brian's experience gave me ptsd. i had the same reaction the morning of our ipo. i think that some markets are underpricing risk. valuations are high. i say that because you have the hard brexit right around the corner. it looks like that is going to be really rough for the u.k.,

meaning no deal brexit. the political strife in the u.s., the ongoing political strife, this k-shaped recovery, benefits running out, lots of evictions from landlords around the corner in january. the market seems to be ignoring that, which is weird, but it's been that way for a number of years now. having said all of that, we have been talking about valuations being too high for almost 10 years. you could go back to a couple examples. raised their platform a couple years ago, people thought the valuation was crazy based on the annualized run rate. any external observer who didn't understand the business would have looked at that and said, those investors are insane. that now looks cheap. those kinds of things happen,

and then the experience with one or two of them makes people not want to miss out on the next one, and a pile into the fifth, sixth, seventh company in big numbers, and they aren't all going to work out. markets are under appraising risk, but they have been doing it a while. it's going to continue to happen until there is a big 10% to 20% correction. emily: do you see a correction coming? are you telling your entrepreneurs, raise now while you can? dick: no. i'll tell you what we tell them. it's sort of the same thing we told them a couple weeks into march during shelter-in-place. make sure you found an operating plan you could move to in the immediate future that is a 25% cut. is a massive externality that comes alongside this pandemic that tells us

everything is shutting down? make sure you've got that plan in place so if something like that happens, you are ready to move instantly. obviously, a lot of companies found themselves in the position where they had to move instantly, airbnb being one of them. what we have told ceos and cfos is, put a "what if" plan in place. we need to cut by 25% and make sure we have enough runway for x years. what does that look like? let's be able to move to it quickly and nimbly if that happens. it's hard to just say, do it. for four years, it seems like the market has underpriced risk, and here we are higher than ever. emily: scrutiny is rising on big , through the ftc

facebook, suggesting whatsapp and instagram should be unwound. as someone who competed against facebook for a long time, his facebook to powerful? is it anticompetitive? i had an awesome wavy set of hair before i started competing against mark at facebook. i think all the tech companies are under increasing regulatory scrutiny. i think that is going to be a global reality. the challenge for these companies is they don't really cooperate. there might be some cooperation between teams, but because they compete so directly and generally and so fiercely and in many cases for talent and getomers, they just don't together and share information or work together and collaborate like competitors in other industries do. the challenge for these companies is they are kind of

going in one against many, against all of these governments, and not collaborating, and that is going to result in making it easier for regulators to come after them. companies won't necessarily know what each other are saying or doing. they are probably saying things like, shouldn't come after me for anticompetitive practices. here's a list of the things apple or twitter is doing. that's not going to serve them well and is going to be a problem for the industry in general, and is going to result in many more of them being strict we regulated then we are even talking about today. emily: president trump has spent much of his time in office using twitter, exhausting twitter employees i'm sure, accusing the company of anti-conservative bias, arguing for section 230 to come to an end. what is your outlook for twitter under a biden administration? does the drama died down when he leaves office? dick: the drama never dies down

on twitter. that's the reality. -- every user of the platform has 10 great ideas that are obvious to that user that twitter should do to "save" twitter, and they usually include silencing voices that think things other than they do or engaging in the prohibition of speech that they think should be prohibited, and the company has to balance those strong points of view. it's probably not going to make life just a bowl of cherries over there. there's always going to be some next issue the company has to deal with that we don't know about today, and it will be a new kind of issue that the industry has not had to think about before and will struggle with.

that happens every couple of months. probably, it's a little easier on them because you won't have someone who's got them directly in their sites shouting at them every day, but the drama won't go away. there will be some other set of issues that the company will have to deal with, and it will continue on a regular basis for the foreseeable future. emily: i had a feeling you might say something like that. dick, always appreciate your sharing of your prior experiences to us. thanks for coming back on the show. coming up, solarwinds. a texas-based software maker has become the epicenter of the most sprawling cyberattack on the u.s. government in recent memory. solarwinds, and why did hackers target them? we are going to find out next. this is bloomberg. ♪

emily: government agencies and major corporations outside the united states are reviewing their computer systems for signs of security breaches, this after the u.s. government was hit by one of the most audacious cyberattacks that inserted malware into software updates from texas-based company solarwinds. joining me is william turn still. why didsolarwinds, and hackers target them? william: solarwinds is an i.t. company.

they make a product called solarwinds orion, which allows companies to monitor. you can see when a server or router goes down, but because of the nature of this software, it peers directly into a network. it has a lot of access. that means if you were, say, a russian intelligence agent trying to sneak malware into all of the u.s. federal government, solarwinds would be a great place to start because they provide their services to all five branches of the u.s. military, countless government thecies, more than 400 of fortune 500's. to pulla genius hack off and one of the great feats of cyber espionage we have seen in a long time. a tried and true

methodology, or is this something new, the way this was executed? william: this has been a problem in cybersecurity for as long as i can remember. if you can hack something that is part of the update tool, you can trick your target into malwareally downloading . think about updating your iphone, right? you are unknowingly downloading a virus or malware into your system. emily: how worthy the hackers able to infiltrate, and how damaging was the ultimate attack?

william: that's a great question because we don't know. reuters reported sunday about the treasury department, and every day since, we have learned about new agencies that have been targeted. we've learned about treasury. we've learned about dhs. state department, pentagon. more will come out. it's impossible to say. we just don't know right now, but this attack has been going on since at least march. it's hard to know exactly when they got to what agency, what they took, and why. emily: what has the u.s. government response been so far? william: it has kind of been a mixed bag. cybersecuritye krebs was fired.

the national security advisor robert o'brien is cutting short and international trip and coming back for an emergency meeting with the national security council. i think they are kind of coordinating an all of government response, hopefully, the intelligence committee, the office of the director of the national intelligence put out a statement saying they are working on the response, but it remains to be seen how well that is going. emily: thank you so much for that update. it is certainly fascinating as we get more details about how this hack was pulled off. coming up, and much-anticipated podcast is set to debut on spotify. next, produced and hosted by a couple that has recently tried to stay out of the public eye.

that is next. this is bloomberg. ♪

what is ahead for entertainment in the new year? a royal welcome, you could say. spotify is teaming up with prince henry and the duchess of sussex meghan markle to produce and host a podcast. with more is our entertainment reporter lucas shaw. tell us everything you know. fars: everything we know so is just a little bit, but it is still big news for spotify. the company announced a this morning that the duke and duchess of sussex would be shows andd producing

signed a multiyear deal with spotify. the first of those shows would arrive next year. they didn't say much beyond that, but i am starting to look meghan asd harry and following the obama playbook. they are using their fame and influence to make projects that orh mean something to them potentially entertain viewers and listeners at home. --ly: how much are hairy and harry and meghan going to be involved? lucas: spotify didn't say a ton other than the fact that they would be hosting. the obama signed this overall deal with spotify, and their first show was michelle talking

to some of her friends and other people that interested her. there was comedian conan o'brien. you could see meghan do something similar to that, or they may decide to host a show in which they explore some topic that is of interest. the world is their oyster in that regard. i can't imagine they are going to be full-time podcasting. they have a philanthropic fund. they have family to worry about potentially in the long term. i think it's just one of many parts of their media arsenal. netflix has clearly had a banner year even given the production issues caused by the pandemic. new shows keep coming. there just was a new season of "the crown," which made me wonder if there is any awkwardness, given "the crown" is a pretty brutal take on the

royal family -- could that impact this deal at all? lucas: it did not seem to stop them from taking netflix's money, although very few things do these days. the next season of "the crown" is the one that will deal with diana's death, and there will be a season after that, which one assume would deal with her children. this is a case where netflix has written a large check for the two royals to do whatever they want. emily: as somebody who watches "the crown" with great fascination, definitely take willwhat their be on the modern-day royals. lucas shaw who covers entertainment for us in l.a., thank you for that update. that does it for this edition of "bloomberg technology. asia" is: "daybreak

coming up next. this is bloomberg. ♪

>> welcome to "daybreak asia." i am shery ahn. >> we are counting down to asia's major market open. asia will look to extend wall street's rise as congress moves towards a new virus relief package.