>> from the heart of where innovation, money, and power collide. in silicon valley and beyond. this is "bloomberg technology" with emily chang. ♪ emily: i am emily chang in san francisco. coming up in the next hour, instagram taking a pause on the kids site after continuing concerns about the platform's impact on teens and children. parent company facebook is not abandoning the idea completely.

we will discuss. what about youtube? youtube ceo susan wojcicki tells me she believes google's popular video platform is beneficial to teens. part of my sit down with her about content issues in russia to the possibility of reinstating former president trump. and, text messages tell all. we are getting an inside look about the relationship between elizabeth holmes and her ex business partner and ex-boyfriend sonny balwani. we will bring you an update on the trial as she faces 20 years in prison. first, let's get a look at the markets with kriti gupta. kriti: a down day in the markets and an even worse day for technology stocks. you can see behind me, the sea of red. a really important part of this is the big tech selloffs. the nasdaq, it really dropped,

and you saw big tech stocks come back up, apple, amazon, microsoft paring some losses. what did do well, of course, a lot of the cyclical trades. this is pretty interesting because it came in tandem to those yields. i want to connect the dots because you have to talk about tech and yields together. at one point, going back to february, you had an inverse correlation. tech really sold off and hit the broader index. today, a much more positive correlation. so, why are you seeing yields higher, tech lower? it has everything to do with month end rebalancing, reallocating to what really did not do so well, of course pulling some money out of treasuries as well. which brings me to some of the subsectors we have to look at.

i mentioned tech broadly is underperforming today, so you did see semiconductors, biotech in on that trade. what outperformed was chinese adrs, u.s.-listed chinese stocks. today, they really stole the cake. emily: with facebook under fire for potentially being toxic to teens mental health, the ceo of youtube says she believes the video platform can be beneficial to adolescents' mental health. i spoke to her for an upcoming episode of studio 1.0. here is what she had to say about the recent wall street journal investigation into facebook. susan: we do have a panel of experts that we work with to help us understand, what are the different ways that our products can be used, how do we face some of these challenging issues to

make sure we are getting the best advice. we certainly do see, for a lot of really tough issues, that youtube can be a valuable resource. body positivity, mental health, we see a lot of creators talk about mental health and that, for a lot of kids, it d stigmatizes and enables kids to talk about what is happening and what is going on with them. we take it seriously and look at any sort of third-party research on the topic. emily: the potential long-term impact of youtube on teens and children, whether it is toxic or addictive, is that something you wonder about or struggle with, not just as a ceo, but as a mom? susan: that is one of the reasons we actually have worked hard to give parents as many options as possible so parents

can decide what is right for them and their family, whether that is limiting screen time, the content they actually have access to. even allowing parents to say, these are like the 10 videos, my kids can only see these 10 videos. that is important for us to give the parents the tools to decide what is best for them and their family. emily: how much do you internalize the criticism of youtube's content? do you take it personally and how does that influence the decisions that you make as ceo? susan: i want to be doing the right thing. i care about the legacy we leave. i care about the world that we leave to our children. i care about how media is consumed by the next generation and by everyone today. i really have put a lot of time and effort to make sure that we are acting responsibly. there is always a balance between the free speech and

being responsible and taking down content that we think could lead to some real world harm. so, i think whenever you are in a position like that, there is going to be a lot of criticism but our goal will be to continue to experts and devolve. emily: more of my exclusive interview with youtube ceo susan wojcicki coming up. as we mentioned facebook is , pausing its work on instagram kids, the initiative aimed at users under the age of 13. this social network has come under intense scrutiny for the potential negative impact of instagram on teen girls. facebook says the pause will give the company more time to work with experts, policymakers, and regulators. the head of instagram said, "i have three children and their safety is the most important thing in my life. we are announcing these steps today so we can get it right. earlier this month, several

members of congress wrote to facebook, urging them to drop instagram kids entirely. what do you make of instagram making decision now? making this decision now? >> i think they are realizing that the backlash is too big right now for facebook to unveil a project like this. i think they are recognizing this group and trying to work to address it. i think they are not actually backing down from a central premise of the app, which is the reason they said they are wanting to do it, is because young people are getting on instagram anyways. and facebook might as well give them a safer product. so they are just recognizing they will have to develop this product a little bit more before they can actually launch it. emily: a couple of months ago, i asked, why shouldn't instagram for kids terrify me as a parent? he kind of doubled down there. take a listen. >> we knew we would get a lot of

scrutiny over this and a lot of criticism. fundamentally, it is the right thing to do, pushing forward, figuring out how to build a version of instagram for kids that is safe, that deeply empowers parents so they can have oversight and control and keep them safe. emily: in his blog post today, where he said we would be backing away from this for a moment, he mentioned youtube for kids. what is the difference between an instagram for kids and youtube for kids? naomi: i think part of what has come out in the reporting from the wall street journal is that there is definitely a significant number of kids who feel like scrolling through the camera-ready photos on instagram makes them feel worse about themselves, particularly teen girls struggling to be confident about their appearance and their body. youtube, there is definitely problematic content on youtube

and misinformation, but it is not a get decked out a platform that is as geared toward celebrities posting their seemingly perfect lives and promoting that kind of digital popularity contest in the same way that instagram is. i think that is one of the biggest issues. emily: it is interesting that he invoked his own children in the response today, which is something that student wojcicki -- that susan wojcicki also talked about. meantime, facebook has pushed back more broadly again on this reporting from the wall street journal and the fundamental contention that instagram knew it was quote unquote toxic for teens. this coming from facebook's of research saying it is simply not accurate that it is toxic for teen girls. the majority of teen girls who experience these issues report

that instagram made it better or had no impact. what is your take away from this statement? it is not the strongest argument. naomi: that may be facebook's best argument. that there are some factors that we are not hurting kids. for some people, we may be hurting them when it comes to their self-confidence. but, i think we should expect to see facebook to continue to push back. there is a congressional hearing on thursday where one of facebook's top executives who has been working on this issue will be testifying. we should expect her to be defending instagram and facebook as a place that is safe for young people. we are also expecting facebook to be releasing more research on the topic. emily: thank you for your insights. coming up, logjam in l.a. we will take you live to the

port of los angeles to show you the global supply chain crunch in action. this is bloomberg. ♪

emily: bloomberg has learned that treasury secretary janet yellen has declined to return calls from the beleaguered head of the international monetary fund. this indicates that the biden administration's withholding of support for her goes beyond some of the public statements it has made recently. she was accused earlier this month of improperly intervening in a world bank report in her prior job there. she has tried to speak with yellen but has failed to get

through according to bloomberg news sources. the pandemic has turned the world of global shipping into a tailspin. it is putting increased pressure on transportation hubs including ports like the port of los angeles. this is the nation's biggest gateway to asia. it is grappling with record back laws. -- backlogs. it is also where we find ed ludlow, with reporting on the situation. give us the situation from the port of l.a. just how bad is the shipping crisis? ed: it is as worse as it has ever been. there are more than 60 container ships in the bay over my shoulder, waiting for a berth here in the port. they are waiting on average 9.5 days to be able to enter the port. when they do, as you can see behind me, they are staying there for some time. they cannot get the containers off the ship fast enough.

there are multiple reasons. a labor shortage among truck drivers. there are also bottlenecks downstream. america does not have the best rail system. l.a. in particular has a massive backlog at its rail terminal because that is the gateway to the rest of the country. 40% of container imports coming through the port of los angeles. emily: this is a global story having ripple effects around the world. ed: a big part of it is the point of origin, which is china. seven out of 10 of the biggest ports are in mainland china. simply, what we are seeing from policymakers is that they will not hesitate to shut down those ports completely if they are concerned about the spread of the delta variant. that causes a backlog or aa -- or delay. at the same time, there is a demand question. you have big e-commerce giants ramping up and restocking ahead of the busy holiday season because they don't want to be left in a situation where the shelves are empty.

it is putting an already strained supply chain under more duress. emily: ed ludlow at the port of l.a. we will keep watching your reporting. for more on the supply chain crunch we are joined by the ceo , of shippo, which makes software that simplifies the logistics process. great to have you back on the show. how would you describe the shipping crisis right now and how much worse it can get? >> thank you for having me again today. we work with e-commerce businesses in the u.s. to ship their product from the warehouses to the end customer. our customers are affected by what ed was talking about because they cannot get enough inventory into the country right now. when they are shipping from their warehouses to the end customer, they are having other trouble along the lines of shipping providers are at capacity. we are seeing delays especially ahead of time the seasonality

ahead of time with the seasonality coming up. what we have been doing or what we have been advising our customers is to make sure they have backup plans access to , multiple shipping providers, and that they are able to connect to as many different shipping providers as possible to be able to still reach their customers on time. emily: anecdotally, obviously, things are late, unavailable, things arrive and are damaged. how are you expecting this to play all this holiday season? will these kinks work themselves out to the end of the year or not? >> we are expecting all of the shipping providers to be at capacity and we are expecting customers to use more shipping providers than before to reach customers. we are also expecting our customers to try to ship out their product earlier than before. i think that is actually a great strategy.

the sooner you can ship your products, the more time you have to see that items still arrive before christmas. we are expecting our customers to have holiday sales earlier than normally. for our customers to make sure that their customers are buying way ahead of time. emily: on another note, you have 80,000 green cards set to expire on september 30 in the united states. i know that you have navigated this process as a non-us founder and i'm curious what you thought it's -- your thoughts are given how my tech workers this impacts and what you think the should do about this. >> i am in the u.s. as a german founder. i am only able to be here because i have a visa. it has been really key for other foreign founders that i know to be able to get access to a visa as easily as possible. we have a ton of key members in the company who are also green cardholders.

some are in the green card process and had to leave the country recently. i think for the u.s. to remain a key hub, these policies have to be in favor of knowledge immigrants from around the world. emily: thank you for giving us a look at the broader shipping industry, what is happening. appreciate you stopping by. coming up, more of my exclusive interview with youtube ceo susan wojcicki. a status update on unbanning president trump, and accusations that the platform is censoring content in russia. that is next. we have another busy week ahead. on tuesday, amazon will announce a slew of new devices and products. memory chipmaker micron will report fourth-quarter results on -- fourth-quarter results.

friday, the disney world theme park in florida celebrates its anniversary. this is bloomberg. ♪

emily: this week, google will try to reverse the ruling that struck at the heart of the tech giant's ability to make money. it will tell judges in luxembourg that the european commission was wrong to impose a fine and antitrust order. the ecb demanded changes to what it called google's anticompetitive contracts. google's youtube says the company still sees free speech as a core value despite a controversial move in russia. the social media giant recently removed some videos from russian opposition leader alexei navalny. ceo susan wojcicki said it was

-- has not said whether the move came in response to a request from moscow. here is of my interview with susan wojcicki. susan: one of the things that is important to us at youtube is the fact that we do enable so many voices and we do enable people to express themselves and celebrate the freedom of speech. we certainly -- that is a core value of ours. when we work with governments, there are many things we have to take in consideration, whether it is local laws or what is happening on the ground. there is always going to be multiple considerations that we have to take into consideration. emily: navalny said that youtube deleted one of his videos. was that at the request of the russian government? susan: we certainly get requests from governments.

we look and consider, why are we getting the request, what is actually happening on the ground, and based on a whole bunch of different factors, we make a decision. those are not always requests that make sense for us to honor but in certain cases, we will honor them. in that country. emily: will google ever leave russia like it left china? susan: i think we want to make sure that we are working and starving audiences like we can. when there is an issue with a government, we will do our best to work that out. i am hopeful that we will continue to work out what we can. emily: we have seen mark zuckerberg, jack dorsey testify before congress multiple times. i have heard it said that youtube is getting a pass. do you think you should be up there testifying? susan: i think we do get a lot of scrutiny. i really -- i feel like there is a lot of scrutiny.

because youtube is part of google, sundar has testified a number of different times and answered many questions on youtube. if i were asked to testify, i would go and testify as well. emily: how often are you meeting with lawmakers or have you met with lawmakers personally? susan: we meet with lawmakers regularly across the globe. there is a lot of regulation in all countries of the world, and we want to make sure they hear our point of view. we understand this is an important area that deserves a lot of scrutiny but we want to make sure we are having conversations about what is the best way to make that happen. but i do worry about our unintended consequences. there may be regulation that is well intended but has a negative impact on our ability to innovate our ability to create , jobs, valuable services, and content. that is what i worry about. emily: what would you propose? mark zuckerberg says he welcomes

regulation. is that your position or is it something else? susan: i recognize that there will be regulation because of the size and significance. in a number of cases, there are laws that are proposed and they actually would have a lot of unintended consequences. we have worked hard to communicate with government what those unintended consequences are to make sure we preserve the good parts but remove what is potentially problematic. emily: more of my exclusive interview with youtube ceo susan wojcicki later this hour including her thoughts on whether president trump will be reinstated on the platform. coming up, putting the iphone 13 to the test. mark gurman shares his first impressions of the device. and, take a look at the south korean entertainment company bucket studio. shares up more than 70% over the last three days. the company holding a stake in

the agency that represents the lead actor of the new netflix hit. investors want a piece of the success. more after this quick break. this is bloomberg. ♪

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emily: welcome back to bloomberg technology. let's get more monday market action from kriti gupta. >> we have talked about for months, for years even the rise of e-commerce. today is a momentous occasion for one of the biggest companies behind the rise. that is alibaba. the market cap of one of the biggest e-commerce companies in the world. market cap of walmart, which has been rising on their adaptation. you can see the fall you have

seen for the stock as a result of the regulatory scrutiny in china showing the wrigley toy -- showing the regulatory scrutiny does weigh quite a bit more than any new innovation for the company. interesting to see whether this will turn around. it has dropped quite sharply from its february peak. i want to go to individual stories stateside because there is a lot going on. tech leading the way down. i want to start off with micron. we have earnings coming out. one of the most underperforming semi's of the year. today, positive territory by a big margin. 1.5% analysts expecting they will signal some major strong demand in the earnings report. you have netflix ending flat on the day. earlier, leading the drop in the session. a lot had to do with the global fan event. you had to bank of america saying they had few announcements. not enough for their taste. i am leaning -- i am waiting for quite a few shows to give me updates. microsoft and amazon, a lot of that has to do with technicals

. microsoft dropping below its 50 day moving average, ending the session on the technical level. amazon cut at morgan stanley. this saying they're going to be facing pressure on the rising headcount and rising wages. not the best thing you want to hear from a company. let's end it with what to hear for the rest of the week. that is the bond market. the 10 year yield at the spike of the edge of the chart. investors worried about whether or not that translates to tech. emily: thanks so much for the update. now, more of my sit down with the youtube ceo. in january of this year, the world's biggest video platform suspended former president donald trump from posting indefinitely. the move following the insurrection at the u.s. capitol. youtube explained his messages could incite violence. i asked her about the thought process behind that decision and what will happen next. >> it is something we see that is incredibly important.

we have leaned into in every way we possibly can. and i would say that first of all, we treat all public figures and all public leaders the same as we treat any individual. meaning that everybody is held to the same standard. so we definitely held president trump as we would hold all other presidents and all other elected officials to the same standards we hold our creators and anyone else on youtube. emily: was that difficult for you as the ceo of the company? that is a big responsibility. >> i mean, yeah. it is difficult, but it is very important. we also are global. we are dealing with leaders from all over the world. there were a number of leaders and there continue to be a number of leaders that host or

there are content -- where there is content that may be a violation of our policies. we hold a consistent standard across what we do. emily: youtube was the last platform to ban trump and you have stated he will be reinstated when an elevated risk of violence has subsided. how and when specifically will you make that decision? >> we will make that decision based on a number of different factors whether that is events in the news, signals we are seeing from the government, and we will certainly continue to evaluate that based on a large number of signals we see. emily: will he ultimately be reinstated? >> we have stated we will reinstate him when we believe there is no risk to the public safety or public danger. emily: there are concerns that especially as we get closer to 2024 that president trump is ramping back up again. does that concern you? how are you preparing for that? a potential new wave of trump.

>> we are focused on responsibility across the board. that has had a number of different steps that we have taken in terms of how we look at our policy, our removal. how we raise up content. how we have monetization. our goal would be our standards would apply to all countries, all politicians and everyone will be held to the same standard. emily: the youtube ceo. coming up, pandemic -- the pandemic's impact on women in the work lace. we are going to be joined by the cofounder and ceo of lien in to get a data-driven picture of how covid-19 has weighed on women. let's take a look at netflix shares lower monday. the video streaming company hosted its global event that provided some detail on upcoming content. bank of america wrote that the

event had very few new announcements on release dates of upcoming seasons and content of 2022. we will keep following. this is bloomberg. ♪

emily: women are burnt out. that is one of the findings of a report on women in the work place conducted by leanin.org. this is the second study carried out during the pandemic. it shows that while women are stepping up to be crucial leaders, their work is often going unnoticed. joining me now, the cofounder and ceo of lean in and a senior partner at mckinsey.

great to have you back. you do this report every year. this is the second year you have done the report in the middle of the pandemic. when it comes to women being burned out, what interesting trends are you seeing especially when you compare women sentiment to men? >> the burnout rates are higher and worse. that is what you are getting. women told us over the last year 42% are experiencing burnout. that number is higher than men and higher than last year. the interesting part of the story is why. one of the things that is important to realize is over the course of the last 18 months, women have worked harder in the work place than men and they are often times less recognized. what i mean by harder is when the workplace disappeared and we had to re-stitch our ability to work virtually, we had to figure this out in the midst of the pandemic. women stepped up to the challenge.

they were more likely to help their teams figure out boundaries between work and home. they were more likely to provide the emotional support. they were more likely to help them actually figure out the virtual model. for all of that, only a quarter of them felt formally recognized in terms of their promotions, in terms of their pay raise or just even the way they were recognized in the performance review. emily: one of the main concerns is women backsliding in the pandemic. losing the progress they have made at work and at home. rachel, i want to bring you in. are you seeing that women as a result of the pandemic are actually falling behind? >> that is what is really interesting. we went into this year of disruption not sure what we would see. as lorraine has said, burnout is on the rise. we should be concerned about it. it is a bellwether for the impact the pandemic is having on women and all employees.

the other thing we saw, there are small but important gains in the representation of women. we are still seeing advancement in the pipeline. underneath that, there remain two big problems. we still have the broken rung we have been talking about for years. women are less likely to be promoted to manager. the first critical step up into management. as a result, we are not able to make sustained progress because there are too few women to promote into more senior leadership roles. the progress mostly overlooks women of color. they continue to lose ground at every step in the pipeline. they lose more ground than white women. and more ground than men of color. by the time you get to c-suite, only one in four leaders is a woman. only one in 25 is a woman of color. this balance of seeing some modest progress in the pipeline but this continued burnout is something companies need to be aware of.

emily: as we move to a remote work world and that is the way the world is going, there are thoughts this could be great for women because it offers them more flexibility. on the other hand, it can be hard to raise your hand. hard to be noticed when opportunities are coming up. what do you see as the potential con to a remote work world for women? >> the biggest thing is companies don't recognize a remote way of working is something everybody wants. in our research, 90% of men and women said they would at least like one day a week that is remote. what companies have not fully done is they have not stared into, what does a remote workplace look like? that would allow you to start to answer the questions you are looking at. what are the new different times -- different types of inequities? some people who are remote and some people who are in person. does that mean the people in person have a leg up? does that mean they get more coaching and mentorship?

surely not. we have to take a look at how we rewire work. that may also mean looking at performance reviews. how do we equip our managers to not just look at the input. did you show up? actually, what were your results? we saw corporate results were fantastic. companies did really well. they have to say, who is driving that? in many cases, the answer is the woman. emily: companies right now are reformulating policies. they are going back to the drawing board. i wonder what the advice is for managers in this moment. i think a lot of people see a report like this and they wonder, what can i do differently? maybe i am not the ceo but i have a team or i see certain things are happening and i don't know what to do about it. what advice do you have for managers in this moment? >> this is such a good question. one of the things we see is managers really feel like they are showing up.

women are doing better but all managers feel like they are showing up. they say they are checking in on their team's well-being. they are helping them manage work and life balance. if you look at what employees are saying, that is not the case. the numbers drop. what is happening is managers are not being explicit enough in how they check in. they are perhaps not doing it with enough consistency. one example might be instead of asking are you burnt out or how are you feeling? get really clear about it. are you green, yellow or red when it comes to workflow? having people rate how they feel on a scale of one to 10. you are creating space for the really important conversations to have around burnout and well-being. you're also able to track some of that over time. it is really managers continuing to do what they are doing but doing it with more consistency and doing it in a way that is more explicit.

emily: a trend we have in talking about on the show is the great resignation where you are seeing men and women leave companies in droves because they are taking this moment to reevaluate. are you seeing a lot of women in particular resign and do you think those women will come back to the workforce? >> in the corporate sector we are seeing more of a pause. i would call it the great reflection. it is incumbent on companies to decide whether they want to wait that out or they want to interrupted and make sure women stay. we have not seen one in four women leave the workforce but we see the burnout. we see the work. you have to ask, what would you do to retain those women? what would you do to make the return on investment for them to stay more attractive? what the data shows in many examples is there is a gap between positive intent and

action. i can think of lots of examples. managers say they want to be allies. if you ask a basic question, have you given an opportunity to a woman of color, less than 20% of them actually do it. there are many examples like this. it is really getting at, what is the day-to-day experience? we have to start to bridge that gap. otherwise women will go to your competitor or they will start another business. emily: there you are. giving it to us straight. the new women in the workplace report out today. the largest proxy advisory firm is urging tesla shareholders to reject two board members who are standing for reelection. institutional shareholder services are urging their rejection because of compensation to nonexecutive directors.

coming up the latest on the , trial of elizabeth holmes. we will get a status report on the not so steamy text messages between her and her ask business partner. plus, the evidence of a breeze -- latest film in the marvel franchise let the box office for a fourth straight weekend. it surpassed black widow to become the highest domestic earner of the pandemic. this is bloomberg. ♪

>> the 13, 13 mini, 13 pro have

arrived. i've had some time to play with the latest features. here are my big takeaway so far. transferring data over from my iphone 12 was seamless using the new direct transfer tool over wi-fi and bluetooth. the most immediate improvement i noticed in usage was the speed of flying through apps, opening apps and swiping through the home screen in addition to playing games. the smaller size in the display cut out is noticeable when you compare it to an iphone 12 or earlier. i don't think it changes the user experience. the camera system does appear immediately sharper and more capable. i really like the new photographic filters feature. cinematic mode is cool but gimmicky. i cannot help but think both new camera features could have been added to the iphone 12 with a software update. apple needs to sell the new hardware. one thing you will notice is the phone feels heavier. that is due to the chunkier battery and the upgraded camera

lens. so far, the iphone 13 is a nice upgrade for anyone coming from an iphone 11 or earlier but i cannot really recommend it to anyone with an iphone 12 unless you get a seriously good deal from one of the carriers which have upped their promotions to sell more devices and get more subscribers. emily: don't forget. you can sign up for markets weekly newsletter at bloomberg.com. let's get an up on the trial of elizabeth holmes. the founder of theranos is accused of conspiracy and fraud. if she is found guilty she faces , up to 20 years in prison. the prosecution continuing to put forward its case. among the latest witnesses, former u.s. secretary of defense james mattis who told the court he admired elizabeth holmes and was captivated by her promise to revolutionize blood testing. joe rosenblatt has been in the courtroom for every minute of

the testimony. how revealing was his testimony? >> it was quite revealing. to me, what happened remains something of a puzzle. it has been mostly filled in over the years but there are missing pieces. one of the pieces is the board. james mattis did a good job of explaining his role, which was deeper than i imagined. he was actually quite involved. he explained this one piece in particular where elizabeth holmes is accused of in the indictment. it mentions her mentioning that the blood testing device is used in a military setting. on the field in combat. james mattis said flatly that is not true. by the end of his tenure on the board, he did know what was true anymore.

it was devastating testimony to imagine yourself as a juror and a four star general is testifying against the defendant. it was a big day for the prosecution. emily: we are also learning more about the relationship between elizabeth holmes and her ex business partner, her ex-boyfriend. getting this information from their texts in all of their glory. when text for example, you are breeze and desert for me. my water and ocean meant only to be together, tiger. he simply responds ok. the next text, i worked for six years day and night to help you. i am sad where you and i are. i know you are angry in your way and upset with me for not doing. i am responsible for everything. all have been my decisions. what do you make of these exchanges? >> this is a very interesting exchange. prosecutors spent a lot of time

on a lot of different texts and emails between the two. at times it seems almost salacious. and kind of gossipy. you wonder why they are doing it. i think i understand why. it is kind of the careful dance prosecutors have to do in this relationship. let's step back for a minute and explained that he was the president of the company. they were indicted as co-conspirators. they are codefendants. let's remember that their trial had to be split because there is indication elizabeth holmes is going to blame him for what she did. that she was so controlled by him that she did not have possession of her own mental faculties in such a way she could have perpetrated this fraud. there is a careful dance going on. elizabeth holmes is on trial first. she is the defendant. prosecutors have made a real

point of explaining the power she had and the responsibility she had that makes her culpable. they have to intertwine the two of them because they are guarding against this defense that elizabeth holmes might throw up. if the two of them are operating together, they can be separated -- they cannot be separated and she cannot blame just him. she cannot point the finger at him if they are working so closely together. this presents a softer side of sunny. there has been a lot of testimony about how difficult he has been. almost a tyannical leadership. this presents a softer side. i think it makes it more difficult for lisbeth holmes to point the finger at somebody who is so difficult and controlling that she had to do what she had to do. i think that is a harder argument to make if sunny is

seen as a softer guy exchanging soft words with elizabeth in these difficult moments. emily: just about 30 seconds left. in your view so far, how successful how the -- how successful has the prosecution been in showing elizabeth holmes could be guilty? >> all of my best criminal defense sources said she had a difficult road ahead of her. to me, the prosecution has come out harder hitting, stronger and the case is so carefully constructed, it has been surprising how strong it is. it is even stronger than i thought it would be. emily: extremely specific in its level of detail. thank you. we will check in with you as the trial continues. you are inside that court room every time the court is in session. that does it for this edition of bloomberg technology. tomorrow, we are going to be joined by the ceo of next-door and the amazon senior vice president of devices and

services. plus, more of my interview with the youtube ceo. we'll be talking about the creator economy and vaccine this -- vaccine misinformation. i'm emily chang in san francisco. this is bloomberg. ♪

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manus: your top story this morning. yousef: stock split after a jump on treasury yields. two fed presidents are retiring following embarrassing revelations. manus: china's industrial profit growth slows further. will this force the pboc to take further steps to loosen conditions? yousef: