>> from the heart of where innovation, money, and power collide in silicon valley and beyond. this is "bloomberg technology" with emily chang. emily: coming up in the next hour, a judge throws out a critical california law backed by the biggest gig economy companies. prop 22 allowed uber, lift,

instacart, and doordash to classify their workers as contractors instead of employees with full-time benefits. now it has been ruled unconstitutional. plus, it is not just space x, there is a whole host of companies vying for the market. one of them is firefly with its first launch on deck in two weeks. we'll ask the ceo what he has on elon musk. disney racked up $125 million in online revenue from "black revenue -- black widow. actress scarlett johansson has already sued them. we will get to that in a moment. first, the market started the week in the green. optimism over vaccines. ed ludlow, take it away. ed: the s&p 500 index up by 0.9%. really, the gains were in

technology stocks. the s&p 500 index up 1.5%. a nice sea of green, we like to see that on a monday. optimism around vaccines really driving a recovery for the u.s. economy. my bloomberg terminal, take a look at this chart. the s&p 500 index making gains as the fed continues to add to the balance sheet. the jackson hole symposium this week. the feeling as we look at some sort of mood music at least. the other big story, this landmark u.s. regulator full approval for the pfizer biontech vaccine. president biden speaking on monday, saying this may spur mandates for employers to get their employees vaccinated. american depository up nearly 10%. the other big story, the decision by california courts to throw out that ballot decision

that people voted to treat gig economy workers as contractors. interesting, what we saw initially monday, a drop in those stocks come all down. by close of play on monday, uber up more than 2.5%. it was really just doordash that struggled to negate those losses. wall street essentially saying that they expected some short-term losses, some volatility, some pressure. really, this will not move the needle much. emily: ed ludlow, thanks so much. the hotly debated california law that voters passed last november has been ruled unconstitutional. companies uber, lyft, doordash, instacart, lobbied heavily. it allows them to classify workers as contractors instead of full-time employees and benefits that come with that. california judge says this law

is unenforceable. what does it mean for their drivers and business models? josh, this came out late on a friday. as i understand, pretty unexpected. how much of a surprise was this? josh: this was a big friday night surprise for a lot of people who saw this lawsuit as a longshot, a challenge for union organizers to overturn the law. but the state judge sided with these challengers saying that the proposition is unconstitutional, crucially because it contradicts the authority that the state legislature has under the constitution to govern the state's worker contribution system. prop 22 deemed these workers to be contractors and not employees, which excluded them from protections including

workers comp. a judge said that the ballot measure went too far in disrupting the rights that the constitution specifies that the legislature has to govern the workers compensation system. emily: this particular case was pushed by drivers themselves and california state council, a spokesperson said, for two years, drivers were saying democracy had not bought. spokesperson noah edwards and saying it ignores the will of the overall ami majority of voters -- overwhelming majority of voters. we will appeal and we expect to win. the ober ceo, whenever i have spoken to him, has said repeatedly that drivers one more flexibility that dna contractor provides. they have provided additional benefits for the drivers as contractors. what is your take for how this

impacts the long-term and short-term sustainability for their business model that depends on the structure? >> these companies, their variable costs are very high because they have to keep incentivizing to bring drivers to the platform. now it is putting into question, what is the business model? can they keep a certain set of drivers to operate on the platform and they have to give benefits, so that could add to the fixed costs? we knew that variable costs were high. the more they have to pay in terms of benefits, that will add to the fixed costs. for a company of uber's size, still not profitable, that puts a lot of question marks around the sustainability of the business. what does it mean to keep this business profitable for the

long-term given that we don't even know what their operating structure will be a few months down the line? emily: a judge says the law is unenforceable. uber says the law is still in effect. is it in effect or not? what does it mean for drivers on the road at this moment? josh: procedurally, first, the judge needs to issue an order that matches what he has said in the ruling. once that happens, it is certain that there will be an appeal and we have reason to expect that the ruling could be put on hold, taking effect while the higher court and potentially the state supreme court reach their own conclusions. there is no reason to assume that what happens friday -- what happened friday will or won't be the ultimate outcome. it all depends on the legal struggle that will take place

over the next several months as the companies struggle to convince several judges that this judge got it wrong. emily: the companies are battling efforts like this in other states as well. for example, massachusetts. there are discussions going on in new york. josh, what do you see as the longer-term outcome given that this is such a critical part of how these companies operate? josh: these companies are in a global struggle and have been for years over the locality of their business model, that these workers are contractors and not employees with full workplace rights. prop 22 was a huge deal not just because of how it shields the companies from legal liability but also as a political victory in a time that in the federal level in the united states, democrats are in control and have the potential through legislation, enforcement, and regulation.

the companies are trying to export something like prop 22 via ballot measure in massachusetts, via talks they have engaged with to try to reach a compromise in other places like new york. for the moment, prop 22 is in place but has an asterix. while the state cannot trump federal law, what happens in the states and whether the companies can establish a model that is more to their liking will help shape the national debate about this issue. emily: what does this mean for riders? one interpretation is that riders and people ordering food face higher ride costs, higher food delivery costs. will this get passed on to us? mandeep: it is very likely. they have pressure from investors to show profitability. this is what they have done with the surge in pricing, passed on

all the costs. i think the only silver lining, guess what, you are not going to have new competitors enter this market. one thing is very certain, that this is a hard business to operate. food delivery, ridesharing. ridesharing was showing signs of profitability but this whole thing, the judgment tries to show the profitability of ridesharing. even today, i think -- that is a sign that you are not going to get new competition and that i think could be a positive for the likes of uber, lyft, and doordash. emily: definitely something we will continue to follow. thanks so much. coming up, bitcoin briefly topped the $50,000 mark for the first time since may, recovering from a very disorderly plunge

three months ago. will it last? we will talk about that next. this is bloomberg. ♪ ♪

emily: bitcoin has gone over $50,000 for the first time since mid-may. the world largest digital coin now up 72% since a july low. the value of the total crypto market has risen almost a trillion dollars in the past month. this march to $50,000, is this sustainable or just a blip? >> great question.

it is very much sustainable. i think what we have been seeing over the last couple weeks is this crawl toward this 50k mark. this is very much a price point. a theory of inching closer to 3.5k as well. in terms of the price rise here versus april, as you mentioned before in the recent three months all-time high, is really what accelerated the price rally. we saw a lot of call option buyers come in and accelerate the price point beyond 50k. what we were seeing in april and we are not necessarily seeing today is leverage. you're not seeing these leverage long. funding rates are marginally positive. you are seeing levered call option demands still at lows.

i think the narrative here is that there were few notional bullets that were able to move this price point. that being said, if you look at what i consider the major statistic, cryptocurrency dominance. if you look at it going dominance, compared to -- look at bitcoin dominance, compared to a theory dominance, that narrative is reflected today. it is really the excitement across ethereum and protocols where there is measurable cash flows. it is very much this diversification across different protocols. emily: you are on institutional coverage. what are the risks? the regulatory signals we're getting from the sec.

aya: at the end of today, institutional investors want clarity around cryptocurrency. regulation is very much top of mind. this is something that we are all excited to see which direction the sec goes and we are going to work with those requirements. i think it is exciting for institutional investors. there are a lot of people who still cannot access the space. that will open up a much larger use case and players into the space. emily: a lot of people are arguing, bitcoin versus ethereum . one of the original investors in coinbase got into some trouble from what he said on our show that some maxima lists did not like. >> it is probably better to be

agnostic. the reality is it is better to create platforms to enable things that are actually useful. software engineers who come into our offices every day and say, ethereum is not the platform to focus on right now. emily: he got a lot of flak on twitter for saying folks should be agnostic rather than partial took either or. is it going or bust, or no? aya: let's take it one step further. let's diversify outside just bitcoin and ethereum. today, in the traditional world, you would not just invest in google for search, facebook for social, and youtube for video. you would get a diversified

portfolio across those three. we are seeing that nft's, a different blockchain than a theory on -- than ethereum. following the london, and the uncertainty around proof of work proof of stake, institutional investors are looking for ways to diversify and hedge against that uncertainty. but we are seeing, comparable alternatives, lawyers that include the luna ecosystem, cosmos, avalanche, as well as a number of others in addition to all of these in addition to nft's and the metaverse.

emily: i will pass that on to gerry. thank you so much for joining us there and putting a stake in the ground. in other crypto news, visa has bought a digital avatar for $50,000. type did crypto punk -- titled crypto punk 7610, it is a female character with a mohawk. it is one of several financial institutions in the last year to lend legitimacy to the crypto world. back in march, they said they would experiment with using a type of cryptocurrency to settle transactions. coming up, the covid-19 vaccine from pfizer and biontech wins full approval. how this will help stop the spread of delta, next.

plus, wednesday, a quarterly report from salesforce, now that the acquisition of slack is a done deal. the pc market with dell. peloton numbers also out thursday. here how the company aims to continue growth despite a setback for me safety recall. we will bring you the details and analysis across the mall. this is bloomberg. ♪

emily: president biden says full approval of the pfizer biontech vaccine could clear the way for companies to impose vaccine requirements for employees. the fda granted approval of the vaccine for ages 16 and up. so far, the shot has been

allowed under emergency authorization. it is the first vaccine to be fully cleared by u.s. regulators. pres. biden: today i am calling on more companies in the private sector to step up the vaccine requirements that will reach millions more people. emily: joining us for more, emma court, who has been covering this. what does this mean for businesses? have we seen more businesses step

fully authorized? emma: there -- businesses being empowered, we have already started seeing that come out of the government come out of other places. i think there is a real expectation that it will intensify even in the coming days. there has been some hesitation around this vaccine, these vaccines being emergency authorized, the idea being there is some gray area around whether you could require this for people. start getting cleared away with the approval today. emily: there also seems to be a great area around boosters. a lot of folks wondering, should i get it sooner? a lot of people taking matters into their own hands, getting it anyway. what are you seeing here? emma: we are already seeing people take this into their own hands. even with the guidance for immunocompromised last week, people saying we need to protect ourselves. the question here, when is the right time to do this? we heard from government authorities that they chose this eight month timeframe after your second shot based on the science. it may well vary a little bit but this is the best guidance we have now. emily: obviously, i assume we

are expecting moderna to be on deck? emma: the short answer is we don't totally know. we know that pfizer submitted its application in the may timeframe. that was a couple of months ago. these things can take about eight months for the fda to make a decision. i know everyone is looking toward the moderna and johnson & johnson decisions next. emily: what are you focusing on at this moment, given that we have this full authorization. do we expect this to encourage or convince folks that have not gotten the vaccine yet to get out the door and get their shot? emma: this is a really essential question. i think there is a lot of hope that this will get people who have not been vaccinated. more than 30% of americans have

not had one shot yet. you do here frequently among this on vaccinated population, the idea that these vaccines are not approved, they have not been held up to the stringent government regulatory standard. now that that is starting to get cleared away, it remains to be seen how compelling that is. some people have talked to that remain unvaccinated have cited this emergency use authorization. i have said, let's say the pfizer vaccine gets approved in the coming weeks, does that change things for you? invariably, they have said no. i think there is some reason to be skeptical about how much this changes the game and based on the fact that the fda really rushed to get this approval and do the review, you may start seeing this new timeframe of, what about this quick approval, how do we know this is legitimate? i think that will be the next

kind of new wave of arguments. emily: bloomberg's emma court. thanks so much. coming, taking on spacex in the commercial space race. i will speak to the ceo and cofounder of firefly aerospace as his company prepares to launch its falcon rocket for the first time. this is bloomberg. ♪

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♪ emily: welcome back to "bloomberg technology." i'm emily chang in san francisco. another day, another sack. richard branson's other space company, virgin orbit. what can you tell us? >> really committed to this model. a small launch divider, as opposed to virgin orbit. evaluation at $2.3 billion,

generating almost $500 million to invest. should be done by the end of the year. when you get spac, you see modest gain around 2%. many of the last session. this is not your typical rocketry. virgin orbit sends its rocket up on the fuselage of a boeing 747. around 45,000 feet, the rocket detaches, ignites, makes its way into lower orbit on a similar arc to what you saw in the virgin galactic spaceship. custom boeing 747. it is interesting to look at key investors on this deal. especially private investment in

public equity because boeing is part of that, plowing money into this. boeing has its own launch using standard rocketry. it is interesting they were involved with this deal. we will have two virgin-branded richard branson-backed companies the end of this year. emily: very crowded launch space market. for more insight on the commercial space race, let's speak with another launch provider, tom markusic, firefly aerospace founder. it is a growing, small satellite launch market. tell us how firefly compares to spacex, virgin orbit, rocket lab, other players. tom: thanks for having me. i am talking from the national space symposium. some of the heritage companies are here today.

how do we compare to spacex and the others? i would say spacex is a first generation company trying to find new ways to get to space more efficiently and at lower cost. firefly and other companies are second generation. some of the people who worked in the first generation companies struck out on their own. spacex is trying to open up access to space. emily: you got your first launch coming up in a couple weeks. talk to us about what you will see and are you ready? tom: we are super excited. we have been at this four years. the alpha rocket is ready for its inaugural lunch. we had a test where we held of the rocket down for 15 seconds, let it run, make sure systems are ready to go. we are excited about launch on september 2. we will let her go. we think we will get into orbit

a few minutes afterward. emily: talk about beyond this. this is a whole new economy kicking off. it is your first one. you won a critical lunar lander project from nasa to take tenpay loads to space in 2023. paint the bigger picture, the bigger vision. tom: space is clearly open for business now. it is not just about exciting technology, it is about exciting business opportunity. firefly is not just a rocket company, we are an end to end space company. we can get you to space. our lunar lander program can help you land on other celestial bodies. in doing that we expect to capture large parts of the space transportation market in general. it is an exciting time to be involved. firefly is excited about the

full spectrum of space transformation. emily: blue origin and spacex are in this argument over their lunar lander and nasa's contract. what is your take, and how do these issues impact momentum into space? tom: momentum is a keyword. we are part of the artemis program. we are proud to be part of that. we want to see things move along as quickly as they can. after moving the program along quickly, this recent challenge with the contract, the gao responded quickly in trying to resolve the problem. we are hopeful of the next stage that it will be resolved quickly so the artemis program can move quickly. emily: speaking of blue origin, we were in texas covering jeff bezos'launch into space.

a lot of blue origin engineers are leaving the company. one became your coo. why is that happening? tom: i think there is a lot of movement within the industry. i was an early spacex employee. i was also a virgin employee that helped launch the rocket you showed earlier in the video. i also worked at blue origin. there was a lot of movement in second-generation companies. people are finding roles where they stepped up within different companies. we all feel we are part of a larger new space movement. it is not about one company. we will see movement between the companies, the people who have that mindset. emily: you worked out blue origin, spacex and virgin

galactic before starting firefly. i would love to know, how would you compare them as places to work, given there is such competition for talent? tom: they all have their own unique bent. it has to do with leadership of different companies. they may have a different vision then jeff bezos or richard branson. there is a different vision for each of those companies. firefly is setting out to build a company that is impactful and transformative as spacex was. that is what i have tried to do in firefly. we have made a lot of progress. emily: what are the biggest milestones in the space race from a firefly or others that we should be watching that will define the next decade of space travel and exploration? tom: you are going to see a lot of lunches out of virgin orbit

and a lot of activity -- launches out of virgin orbit and a lot of activity. it will be really exciting to see all these new entrants in the field. other developments, spacex is such a huge vehicle and can be so transformative in moving the large-scale infrastructure we need to do the most ambitious exploration program. i am excited to see the next couple years. emily: fascinating. we will follow that and all those milestones you mentioned. tom markusic, firefly aerospace cofounder and ceo, thanks for joining us. coming up, how does a four day 32 hour work week sound to you? i will speak to a congressman who wants to make that the law. representative takno will be

joining us. we will have coverage of jackson hole. there are concerns over the surge in delta variance cases, but we can still expect robust conversation around inflation, the taper timeline, and ongoing impact of covid-19. we will bring you all the action, including a speech by jay powell, this friday, on the west coast. this is bloomberg. ♪ ♪

emily: the five day 40 hour work week is pretty much standard in the united states and has been for decades, but some companies including microsoft and unilever

have been experimenting coding -- cutting it down to four days and 32 hours per week. congressman takano wants to make this the norm. representative, thank you for joining us. a lot of people, this legislation has brought a lot of debate to read why do you think this is so important? rep. takano: we are hopefully coming out of a pandemic that has put a lot of us in a new work environments. a lot of people working from home. it has revolutionized the way people work. people are used to a flexibility will -- flexibility they would not have dreamed possible before the pandemic. as we come out of it, people do not want to go back to the old way of doing things, which was great, but are interested in

creating something new. there is a big openness to the idea of continuing the flexibility many workers had when they discovered working from home. emily: how much of this has to do with flexibility, and how much with trying to have people make it livable wages for fewer hours or get paid more money for the hours they are already working? rep. takano: the conversations that are happening most in earnest about the four day work week are in the non-hourly worker environment, the so-called exempt workers. people who don't -- are not subject to the our wage laws -- hour wage laws. companies in a text space like kickstarter, they are looking at a four day eight hour a day work

week with no loss in pay. they plan to pay these people the same and are piloting that four day work week. one thing to look at is whether the productivity remains the same or increases. some for luminary experiments have been done by microsoft japan -- preliminary experiments have been done in microsoft japan and iceland. they have reduced the hours. in scandinavian countries they work a 37.5 hour workweek. it is a different conversation for hourly workers, but it is a debate i want to start. i want to see us moving the entire country to a 32 hour workweek, not just certain sectors of the workforce.

emily: it sounds great for a lot of people, but i am sure you have business leaders that say this will hurt productivity. what is your response? rep. takano: that is why i am interested in the pilots that are happening. particularly in the tech space, where the reduction in the workweek has shown there have been some benefits for employers as well. employers have less overhead if they are open only four days out of five. they have a utter, more -- better, more motivated workforce. they may save on medical claims because workers are less stressed and better able to attend to their health. workers find they are paying less for childcare because it is one day less a week they are paying for childcare. there are ways in which workers

and employers can benefit from a reduced workweek. the government of japan issued guidelines encouraging employers to move towards a four-day workweek. emily: are they in congress actively engaging with you on this and the future of work in general? rep. takano: say that again. emily: are there others in congress actively engaging on this legislation with you and changing the future of work in general? rep. takano: yes, of course. i sit on the educational labor committee led by chairman b scott -- bobby scott. the whole issue of the changing nature of work, how work will change in the future, global ai and technology. i have cosponsors of the bill.

i suspect my colleagues will find out what a tremendous response this bill is getting and how it is resonating with the public. we will have more folks signing onto the bill. i am gratified by the response it is getting. emily: speaking of shorter hours. i would be remiss if i said you we shouldn't -- should be in california by now. do you see this major infrastructure bill passing this week? do you think it will be packaged with the budget bill? rep. takano: infrastructure and reconciliation are like love and marriage, they go together. i expect they will be together. i am not clear on if we will vote on final passage. what i do know, we can't do final passage of the reconciliation bill until we market up. -- mark it up.

we will be voting today or tomorrow on the procedure for both. week holiday rule. -- we call it a rule. i do not believe we will act out infrastructure before being able to pass the reconciliation bill. i believe both are intact. emily: thank you for the status update. love and marriage, love the metaphor. representative mark takano will follow that workplace legislation. details in a lawsuit between a scarlett johansson and the disney. all the details from l.a., next. ryan reynolds' latest comedy is the top comedy in the u.s. it fought off challengers like "paw patrol."

it had a purely theatrical debut and is almost 50% higher in sales than expected. this is bloomberg. ♪ bloomberg. ♪

>> it is not so much about the moon and mars, though that attracts attention. it is about the earth. these data sets have huge value. the transportation value enables the creation of new data on our planet. it is the unablement of sustainable agricultural practices. emily: he was talking to us on "bloomberg technology" last week about the importance of data.

while the department of agriculture says it wants to integrate its high resolution satellite data to help the government agency better access crops for the growing season. it was founded in 2010 by nasa scientists and provides data to 600 clients and other government agencies. for another story on combating climate change, ikea will offer renewable energy to swedish households as it diversifies its business. take a listen. >> the electricity is a part of this clean energy service. the purpose for this new business era is to continue to create this biggest movement in

the world for renewable energies. we will add even more products. we have solar panels we so. and soon, the electricity subscription. it really fits that ambition we have to, within the frame of life at home, the most important place in the world, we can add more value to our customers to live more sustainably. this is a big part of the climate positive strategy ikea has for 2030, that we will remove and reduce climate emissions more than we emit in

our entire value chain. emily: ikea, really interesting. details continuing to emerge in this -- the lawsuit between scarlett johansson and disney. the hollywood actress suing the movie studio saying she was cheated out of potential earnings when "black widow" was released simultaneously in theaters and online. disney has taken in $125 million in online sales alone. what does that number actually signify? is that a lot, and what does that mean for scarlett johansson? >> the studios are not generally saying a lot about how much money they are getting in these online purchases. "black widow" came out in theaters and online for an

additional $30 the same day. it was a surprise disney said in the opening weekend it had taken in $60 million. this new number is more than twice that. for those who want to know how big a deal online purchases can be and are, this puts the number roughly 4 million people bought it. emily: disney is filing and asking this case to be sent to arbitration rather than be litigated in public. scarlett johansson's lawyers are saying, why do they want is litigated out of the public eye? an accusation they are trying to juice disney plus subscriptions. what do you think? chris: they are trying to increase disney plus subscriptions with this strategy, a strategy born of the pandemic. not a lot of people are willing to go into theaters. the studios are in this chicken and egg situation.

people are not going to theaters if they are not good movies to see. but if they put out a good movie and miss with the surge of covid, it will be difficult to make money off it. of course disney wants to keep this under wraps and not have a highly public trial. in fact, there are arbitration clauses in scarlett johansson's agreement. it seems her lawyers to liberally sued the parent company rather than marvel, which was the studio that signed her agreement. in an attempt to get this public, rather than a more private setting. emily: interesting. we will follow the twists and turns of that one. chris palmeri, thank you for that of debt -- update. that does it for "bloomberg technology." next week we will preview cloud services. and the former vmware co-coo.

we will also talk to the ceo of bioworks. i am emily chang in san francisco. this is bloomberg. ♪

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>> we talk about those npl's. will they stay high? >> the second covid wave hit india hard. i would say almost 15 days of the quarter were impacted. that has come through on the portfolio side. we saw higher than expected numbers in the quarter. we do believe it is transitory. we have only seen positive transformations in the second half of june. july is better than june. the demand, 98%, has already reached 99.5%. there is a year on year recovery.

>> crypto, you have a world of young people that want their own financial system and their own culture. and it is very powerful. i am a big believer in it. >> very good morning and welcome to "daybreak australia." >> i am sophie kamaruddin in hong kong. we are counting down to the open. >> i am shery on the top stories this hour. u.s. stocks rise. the fda pfizer approval could lead to more vaccine mandates. >>