52-week high and having its best week since december. leading the way palo alto networks, cy man tech, fireeye up. cnbc analyzed a week following the hacks. now, we'll send it back to carl and the gang for the start of "squawk alley." >> thank you very much. good morning. it is 8:00 a.m. at amazon headquarters and w headquarters. 11:00 a.m. on wall street. and "squawk alley" is live. ♪

good morning morning. welcome to "squawk alley." back at the desk on a monday morning. governments and companies around the world working to contain the fallout from a global cyber attack that disrupted operations at factories, hospitals, and governments in 150 countries. c by the attack. saying the attack should serve as a wakeup call for governments. joining us this morning, aspen institute's isaacson. and now the chief information security officer at cyber security firm xtera. good morning to you both. what was your first reaction upon hearing about this? >> it seemed like it was predictable. we saw in march with the publication of what were purported to be tools stolen from the nsa.

it wasn't going to be long before cyber criminals took those tools. so we're seeing something that is preventable but takes work to prevent. it's not enough to know about the threats that are out there. we have to do something about it. >> did this have longer legs than you first expected? >> i didn't see that the impact would be this wide. and it shows the planning that went into this. this is an integrated multi-phase attack. it's not just something someone threw out there. it was designed to maximize profits and impact. so we're seeing something from a deliberate, organized, planning, strategic group. >> we have health inspectors for restaurants to make sure there are no rats crawling around. we knew this patch was out in march. dop we need government regulators that check in at hospitals, communications providers and make sure they've installed the patches that, say, microsoft has put out? >> i don't think that's workable. we have agencies already promulgating a number of

burdensome rules that places need to follow. the problem is executing. there's no way we're going to have enough regulators to go around checking each of these systems. it's a matter of replace iing te strategies that we have now. in the past, we used to have office buildings with people inside and all of our infrastructure inside. it was easy to keep out the bad stuff. now we have hybrid environments where we have data centers with part on premises. these infrastructures are harder to defend. we need a new way of thinking about it. there are some technologies out there that can be used. they need to be developed. they need to be deployed. and enterprises need to start thinking about a different approach like perimeter or some other approaches that we think are more effective. >> we're looking at some of the stock prices on the firms. they're soaring today. what stands out to you on this

attack? >> what stands out to me is that we're saying this over and over again week after week where there are hacks either by non-state actors, criminal state actors. from sony to the russian hacks and the chinese hacks. and now this. what we have is a fundamentally insecure internet. and it didn't have to be that way and doesn't have to be that way. when the internet was created in the 1960s and then when tcpip protocols were created in the '70s, they were not designed to figure out where they were coming from. i think at a certain point when it gets to every week something that's undermining democracy costing huge sums of money, we need to find a way to say let's create a more secure base level architecture. people like jim clark who helped invent the first browsers created a secure socket layer. it tells the website what it is.

if you could create and you could have a company that started creating more secure networks in a fundamental level, i think that would be the next big thing in huge stocks. >> does that seem possible to you? or is that the ultimate collection problem? >> he's absolutely right. the fundamental flaws which authenticates after you've entered the network. there are technologies i mentioned software defined perimeter where you were authenticated. so we have the answers. it's a matter of deploying the answers to the enterprises. it's not easy to do, but it is possible. and it's a matter of replacing some of the old architecture. if you think about it, the fire wall was introduced in 1994. we're in 2017. so trying to retool some of these old technologies to fit the new infrastructure is really the most expensive and difficult challenge out there. >> some people are saying that this is an example of why government shouldn't stockpile these vulnerabilities because,

you know, the nsa did it and then it got out. maybe this is why we can't trust the federal government with ios source code which is one of the solutions the government was looking for to get into, say, a terrorist phone. give us the source code to the iphone then we can figure out how to get into these things. what if that got out? then everyone with an iphone would be vulnerable, right? >> definitely. i think it's very dangerous to have these source codes come out. but as you're saying, it's a complex problem. we just watched on your network the north korean missile. most of those have fizzled. why? i suspect it's because, you know, we were able to do cyber attacks on north korea. but you're right. i worry about the fact that the government holding the secret keys to everything, nothing stays secret this day and age. good point. >> right.

so if this was stolen, leo, from the nsa which microsoft says it was, what else does the nsa have? how many types of things are there, these malwares? >> it's an extraordinarily troublesome concept to think the weapons made by the nsa can make it into the wild and attack infrastructure. this is something the nsa has to look at internally to address the potential insider threat in its own networks. but it hasn't been proven. however, the thought of it needs attention. i think we need congress to really take a look at it. >> one last question for you, walter. you walk in on a monday, see all these cyber stocks higher. the etf having its best day of the year. what's your impression when you see that? too little too late? >> definitely too little too late. one thing, i was at a graduation this weekend with robert gates the former cia and defense director. he said we need internationally a new geneva convention,

something microsoft said as well. in which we know how to deal with the question of nuclear proliferation. not only perfect at a it but we have a general international agreement. we do not have that in the cyber realm. nor do we know how to react in the cyber realm. >> well said, walter. hopefully we can get there in some way. it's good to have you two gentlemen together. thank you. >> thank you. do want to check in on the markets. the nasdaq and the s&p are both hitting record highs this morning. in fact, the s&p is half a percent higher. that's more than it lost last week. starting to see these moves getting a little bit bigger. helping drive the nasdaq higher, cisco upgraded to overweight seeing its best day since february. in fact, it's goldman sachs and j&j. shares of tesla under pressure. downgraded to overweight citing growing competition from companies like apple.

also one of the most noted bulls on tesla. when we return, in the wake of the cyber attack over the weekend, how social lending giant is keeping data safe. and tracking amazon 20 years since becoming a publicly traded company. where jeff bezos might take it next. and the battle of a.i. when "squawk" continues in a moment. finding time to get things done isn't easy.

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♪ well, this weekend's massive cyber attack has companies focusing on how they protect user data. joining us now is joanne bradford the coo of sofi. welcome. nice to see you. >> thank you. good morning. >> good morning. so as a company that does lending and wealth management, you have a ton of people's sensitive financial data. how do you protect that in an age where we're seeing attacks like this one today and this weekend? >> yeah, well, we do a couple of products. we have student loan refinancing, personal loans, mortgages, and investment accounts. so we have lots of information. we monitor all the time. we have in place measures, extra

authentication for consumers. and have not had any issues to date. so we hope we can keep it that way going forward. >> generally the whole industry is built around more online lending and online finance. is it more or less vulnerable than traditional banking? >> well, we think that we're less vulnerable because we actually have just one control point. the only place you come to sofi.com is one place. we don't have branches which make it less points of vulnerability. but really for the consumer it's more about speed and ease of use and getting things done quickly on your mobile device, et cetera. so we feel good that we have a point of entry for the consumer. >> i think you guys at sofi made it clear you don't want to be a bank. but you recently acquired zen banks which will give you the capability to offer checking,

savings, more credit card-like services. where is that headed beyond the type of service you already offer? >> yeah. our goal is to make everything easy for consumers. our consumers care about a couple of things. their careers with their relationships, and their money. your money is something you want to use every single day. so we will get to a place where we can take deposits. we're pursuing a couple different avenues right now. but eventually we will be able to take deposits. you need somewhere to put your paycheck and get your money from. we'll have that eventually. we'll be the first unbank bank. >> yeah. i'm curious what you're seeing in the mortgage business which is a sort of new area for you. and who your target audience is for that. >> mortgage is 10% down and you

can do everything online. our consumers really like that. they find it's easier to do it, they call it customer service folks. as well as mort ganls. and mostly ease of use, competitive rates. services and benefits we offer. we know that your career is the financial engine of everything that you do and your salary drives it. you're talking about the record highs in the dow. i don't know if the people in those companies have record salaries now, but we're going to start to help them this week think about asking for raises because most people don't. when you get a raise, you can buy a better house or when you refi a house, you can put money towards doing something you want to do in your life. >> yeah. wage growth obviously something we keep our eye on closely. joanne, a lot of people believe loan growth in general at any kind of -- from any kind of

financial institution is beginning to roll over. that we're in this late cycle economic stage, savings rate is bumping up a bit. is that born out in your data? >> well, you know, we created this refi several years back. you know, student loan debt and refiing it is a big business for us. personal loans have many use cases. home improvement, credit card consolidation, all those thunin. we've doubled our business. we had our record quarter last quarter which was pretty amazing for us. and so our mortgage business is on a tear. and our investment business is growing quickly. we do it differently. you don't have to go into a brampbl. you can come right online and get to it. we offer different benefits. we don't see an impediment to growth for a long time. we'll be happy to take your loans from all those folks that

want to make you go in and stand in line. >> any update on the ipo plans? >> we have no update at this point in time. >> there is one thing that you guys do differently also is you have these mixers in new york, l.a., and san francisco. you don't have branches, but you help your members meet each other and date. what is the purpose beyond -- behind that and what kind of a cost is that going to be going forward? >> so tomorrow night we'll be holding an event in new york city where we'll have 400 people talking about how to get a raise meeting each other, having drinks. what people really care about are networking, meeting people that are like them that have the same kind of career ambition. and we're really focused on doing those all over the country. it's a pretty low cost expense . and what we get from it are large referrals, great word of mouth, and a real understanding of our customer set. we'll do raise week in eight

cities this week and teach people how the to get raises. give them tips because most people.net ask. it's the financial engine to your career. and about your career, relationships, and money. it all goes together. i don't think any financial institution really approaches it that way. >> joanne, thank you for joining us to talk about the moves you're making. joanne bradford is the coo of sofi. >> thank you so much. have a good day. dow's up 85. let's get to seema mody for a flash. >> zcitron research has taken a short position. exact sciences. new research report says the stock will be cut in half saying it is pushing a cancer test that is inferior but its own admission and loses money doing it. we reached out to the company for a comment.

andrew left will be a guest on "half-time report" at noon eastern. crude hovering right around $50 a barrel. the impact of opec's latest move next. and then taking on alexa. apple's latest bet on artificial intelligence. "squawk alley" is back after this. nd just by playing air guitar. the baby's room won't build itself. and her paw won't heal on its own. we're allng forward to something. synchrony financial can help your customers make it happen sooner. so she can plug into her dreams... and they'll have a new addition for their new addition. whatever you're working forward to, even if it's chasing squirrels, synchrony financial can help you get there.

apple acquiring artificial intelligence lattice.io. they use technology to turn dark data like raw text and imannals into usable information. apple says they do not discuss the purpose or plans. a lot of people wanted to read into this. hard to do on the small deals. >> it's hard to do because this is at the intersection of so much of where technology is right now. trying to take raw info from the real world whether in a camera

from your car or in a picture of a map that apple or google flew over a city and turn that into something searchable that you can ask alexa or siri about. >> i think it also speaks to the broader trend we talk about every day. which is the fight is on. amazon, microsoft, siri, versus watson versus alphabet to build up their a.i. teams as big as they can be. there's still this fight for the consumer product. amazon seems to be ahead for now. clearly theirs works more at each company. >> intel is investing more to understand for driverless car data and those sorts of things. how to get this data in the real world to the computer in a way that we can do something with it. when we come back, much more on that massive cyber attack. cyber stocks are surging this morning in reaction.

plus it has certainly been a wild ride. amazon marking 20 years as a publicly traded company. what's in store for bezos and company next? i love how usaa gives me the peace of mind and the security just like the marines did. at one point, i did change to a different company with car insurance, and i was not happy with the customer service. we have switched back over and we feel like we're back home now. the process through usaa is so effortless, that you feel like you're a part of the family. i love that i can pass the membership to my children, and that they can be protected. we're the williams family, and we're usaa members for life. call usaa today to talk about your insurance needs.

good morning once again, everybody. i'm sue herrera. here's your cnbc news update at this hour. venezuela's opposition is blocking the main streets of caracas and other cities in protest against the government of president maduro. at least 38 people have been killed during the unrest.

france's newly announced prime minister eduardo philippe has moved into his new offices meeting with his previous occupant. earlier marcone appointed to bring in new faces. a conservative candidate dropped out of iran's presidential election to back a hard-liner narrowing the field of those hoping to outseat rouhani. and we end on a sad note. former chairman and ceo of viacom's paramount pictures brad grey died of cancer last night in his home in california. he was a top deputy and confidant of sumner redstone. he was 59 years old. that's the news update this hour. back downtown to "squawk alley." carl, back to you. >> all right. sue, thank you very much. cyber stocks as you probably

know by now surging in the wake attack. >> new targets are being reported today in korea, japan, and taiwan. more than 200,000 computers already impacted across at least 150 countries. big concern here has been that these numbers would only increase as people return to work today and new variance of this malware comes online. take a look at fireeye, syman c symantec. others include fedex and renault. cyber security firm avas says the ransom note looks like this. oops your important files are encrypted. you will not be able to access them anymore until decrypted. it used in old versions of

microsoft as an offensive cyber weapon. chief legal officer saying this attack provides yet another example of why the stockpiling of vulnerabilities by governments is such a problem. russia's vladimir putin also weighing in. pinning the blame on the u.s. for this attack. saying to the media in beijing, malware created by intelligence agencies can backfire on its creators. guys, back to you. >> all right. thank you, josh lipton. joining us now for more, roger mcnamee. welcome, rog ferroger. >> good to be. but tough day, huh? >> it seems unlikely governments are going to stop stockpiling cyber tools, cyber weapons. it seems like the nuclear arms race. but what should we expect to happen from here? i mean, i think it's kind of mind blowing that this got out there. >> jon, i think that's exactly the point. it's not like this was a new

kind of hat. people have been doing ransom ware hacks of this kind for ten years. the bitcoina agngle and the low ransom price allowed them to scale it globally to the thing we're seeing right now. there are unintended consequences of technology we never used to experience that are now happening at huge scales. this is not the only kind of one we're going to see. and the question is who is responsible when one of these things happens? and you look at this and there's blame to go around. and the thing that troubles me is that the industry in general has historically been so optimistic. it's said, hey, none of the consequences of what we do are going to be that big a deal. we'll fix them and move on. the realities now are getting these places where there's huge economic cost and health cost to people if the hospitals. so i do think we need to have a conversation and not just about these kind of hack. >> also joining us, former fbi agent in charge for cyber.

now head of the cyber defense practice for k-2 intelligence. welcome, austin. who do you think has released these nsa tools into the wild and why? do we get any sense from how this is spread and the impact? >> it's hard to say right now. i know law enforcement and intelligence community worldwide are looking hard to find out who's responsible. but i think the most important piece is to understand really why this has been so successful and so widespread. and it boils down to the fact that organizations are still not doing the basic security hygiene that's necessary to prevent the widespread of attacks. >> is it that simple, roger? if you just brush your teeth, you won't get cavities? >> to be clear, the architecture of windows is at least a portion of the problem. because windows came into the world where there was a huge

base of applications for future generations of operating systems. in order to make that stuff work with it, they had to be open with other platforms. apple's operating system and ios are structuring in a way such the applications are more segregated. it's harder to do this kind of hack on an apple platform. there are other hacks you can do on apple. end of the day, i go, there are clearly things consumers must do to protect themselves. but i would like to have the conversation and not just here. i would like to see it also developing around google and facebook relative to the economy and all the costs, if you will, that come from getting people addicted to their smart phones and apps and doing that 24 by 7. >> fireeye up 9% now. also proof point up 9%. is that what you're talking about? they need to buy more of these kind of deafens rain shower they're not doing basic updebts when it comes to business? >> no, i think it's still the

layered approach. technology is not the only answer. we're still seeing, you know, health care organizations over in europe still using windows xp operating system. you know, microsoft had to do a kind of emergency patch to push out for these types of environments. patching in large networks has always been a problem and timeliness of pushing out those patches. but we're still looking at layered approaches. meaning the proper technology, the building the proper wall around your organization. but educating your employees. making sure they're not clicking on spear fishing e-mails and making sure there's proper segmentation and control of privileges inside the organization. it's a layered approach. >> right. austin, i just -- i wonder short of government regulation, how do you force people to be better at that sort of thing?

any idea quickly? >> i don't think we should have to force organizations. here's a perfect example. you wake up in the morning, come into your system on monday morning. and you're completely locked out. it's financial. >> right. you shouldn't, but then when you want to go to the hospital and the hospital is infected, if you have to, i don't know. austin, thanks for joining us. >> my pleasure. >> also today roger while we've got you, amazon is celebrating 20 years as a publicly traded company. now the fourth most valuable u.s. company. what a long, strange trip it has been. what is most remarkable to you about this. it was about books when they started out. then they seem to take othver a of retail. now it's cloud. what's the lesson? >> i was part of kleiner perkins when jeff bezos made the first pitch. it was all books. and you just think about how far they've come.

i look at amazon web services as the single most compelling, if you will, start-up that's been going on in tech over the last ten years. and the notion that a company that began as a retailer, the most important infrastructure player for the industry as a whole is astonishing. i think amazon has a lot of good days to look forward to. eventually they get to repeat the strategy microsoft did with windows where it went from operating systems into applications. amazon is hosting all the best applications. how long would it take them to go from zero to number one in e-mail, for example? or how long would it take them if they decided to make security a really, really, really important element of what they're doing? i think they could replace microsoft in a lot of these applications. so this isn't the end for them. >> you think they could destroy rivals at will? >> absolutely. there's no constraints today. no trust.

there's absolutely nothing to stop them. >> a lot of people are talking about the dominance in amazon right now and some of its business. tremendous market share it's captured whether it's shopping or cloud. but as a stock, it hasn't always been so beloved. this is a company that did not prioritize making profits and still has started making profits but not so much so. given analysts a lot to be confused about. how did they convince investors? >> if you look at the thing you're talking about, they've got to be convinced right now. the fourth largest character. a in the world. but there are times when it's i don't confusing. even though i've been there from the beginning, i've been totally confused. but you look at it today and the simple explanations are the ones. they are changing the way retail works globally. and they are changing the way the cloud works globally. those are two great places to

be. >> they're counterintuitive in a dangerous way. back 15 years ago, conventional wisdom was microsoft beat apple because they were light and they were all software. around the same reason. if might it not be a big stumble. >> that is clearly what the fall yur mode is which sprites me, jon, is that eventually they're going to be such a large prk of it the only guy on the other side is going to be amazon. and in that things, the one who is all of the demand side has power. if you're wondering what the limit function is on google's model, it's to be able to say i like that price but i'm going to

put two zeros in before the integer fall and we'll cut the price by 99%. and they will have that power eventually. >> what could go wrong? >> if they stumble, who knows. but if they don't. >> what could go wrong? >> clearly if something happened inside the web services, that would be it for the stocks. if the customer suddenly had a lot of failures, people hacking in there and that would be a disaster. and i think that their business model can be under all the because i think eventually we'll have more regulation relative to employees. they have a lot of employees. right? like anybody with lots and lots of employees. that makes them heavier with most tech businesses. because i think those are the things. i don't think they have any issues relative to retail per se

other than regulation. and in aws they have all the issues other big guys have in that space. so far they've weathered them with very few bumps. so we don't see thas the set. >> see you soon. europe's going to have a decent close here. let's get to seema mody. >> that's right. take a look at the picture behind me. markets making historic moves in europe with the german dax and london ftse hitting all-time highs. take a look at the minors getting a lift after xi jingping over the weekend there will be more than $100 billion in financing to support china's infrastructure mother -- agreed

to back that extension of a production cut into the first quarter of 2018. all seeing gains of 1% or so. later today in berlin, german chancell chancellor. macron's selection offers the opportunity to bring dinetism to the development. the meeting comes one day after the party -- that regional election victories in germany won't necessarily translate into merkel winning a fourth term in the fall. so stay tuned. >> yeah. more european elections to put on the calendar. thank you. coming up, shares of trivago taking off. we'll talk to the company's ceo. but first rick santelli, what

are you watching today? >> you know, i'm watching how the markets continue to deal with ongoing crisis issues. i had bill isaacs on, former fdic chair today talking about government-sponsored enterprises. they might be stabilized, but a whole new promise has arisen. that's what we're going to talk about after the break.

coming up today on "the

half-time report" what now. are the stocks just getting too expensive to buy? and one of tesla's most followed wall street analysts makes a big move today. he downgraded the stock. and citron's andrew left is with us. that stock tanking this hour. carl, we'll see you in a bit. >> all right, scott. thanks. let's get to the santelli exchange with rick. hey, rick. >> hi, carl. you know, as i look at the markets, the obvious story for 2017 is there's a lot of things to look at that aren't right. but one thing we can look at that doesn't make sense to everybody that seems all right are the markets. the markets are rangish, but they're holding gains at least in terms of equities, rates? they're not at the highest of the year. but they were higher than they were five or six months ago. and they're significantly higher

than we were about a year ago. so what exactly is going on? many call what's going on in government both domestic and global this kind of gridlock. but it isn't gridlock. it's kind of 3d gridlock. yes, there are plenty of problems that need addressing. very fewi getting solved. but the notion those in power won't get much work with what they end up on their plate seems to be a condition or a set of conditions that the market can live with. so let's look at crisis management. you know, stabilizing versus actually solving problems. as we talked about this morning, when we had the crisis, the first thing that needed to be addressed was the factory that processed many of the ingredients that baked the crisis cake. the government-sponsored enterprises. freddie, fannie in particular. now, the crisis occurred. they were stabilized.

then they were neglected. then a whole new landscape popped up. and then a new set of problems arose. and put an asterisk and the old problems never went away. now, if you think about the gses that's the way bill isaac talked about it. in 2008 there was a conservatorship. 2010, a whole new set of rules came about. a new landscape. with that new landscape came a lot of problems. money that was generated by the government-sponsored enterprises in conservatorship. remember, never really restructured. they were stable iessed. then the bounce occurred. part two, the new landscape. there was money. it was grabbed. the new landscape is now they need money, the treasury spent the money, and not necessarily on anything that had to do with housing. now we have two sets of problems. but whether it's government sponsored enterprises, cyber threats, cyber attacks,

espionage, isn't it the same? the original problem is the russians seem to be breaking in and hacking into various forms of our government especially in election year. yeah. now the whole new landscape makes it all about politics and presidents. do people in areas of our government feel safer? problem not solved. that problem exists and the new landscape comes with it. i don't know how this ends up but whether it's deficits and entitlement reform, seems like everything we elect officials to do falls into this category. back to you. >> tied a lot of threats together there, rick. thank you. still to come, the ceo of trivago. the stock getting a big boost. more than 13% this morning. overall markets s&p and nasdaq in record territory. dow up 72 points. we'll be right back. finding time to get things done isn't easy.

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zblinchts the stock seeing a boost b on the heefls a strong first quarter report. if ceo joins us this morning from dus l dofr. ever since the ipo, seems like consu consumer's wlingness to pay for travel has gotten stronger. the fe now is long that lasts. >> so, see, i believe that there's a strong trend for

traveling any way. that might be disrupted, maybe in between, but in the long run, there's a strong travel. because if you're looking at what people pay for it right now, for what that do they spend their match up, you see a lot of products, actually, that will get cheaper over time. so i think people will not spend so much of their money for pruktds anymore. and they will spend it for experiences. so i see the trends to travel unbroken and it will go on for the next you know, decades. one of the things people mentioned first about now is the amount of money spent on marketing. the return on the saad spend. how long does that last? do you have to be more aggressive if that's possible? >> see, you know, for us, it's all a data game. we want to learn peopto get peo into the ideal hotel. whatever is necessary for that, we will try to get that. so, it's not only about you

know, more revenue in the short run. it's also gamather ingathering and being able to get everyone into their ideal hotel. so that's why it's important for us to stay aggressive frk. we said we want to be profit a e profitable. >> if there's any company that i would think could make a case to do social advertising, search advertising, it would be you gois. it's travel, yob line and yet, i see your commercials on tv all the time not that i'm complaining. what is it that you get over tv still that you can't get thro h digital? >> see, i think tv is just a enormous channel, right, with an

enormous reach. still, within enormous reach. i think that people still have not figured out how to use it and what we've done different is that we do it like we do performance marketing, tv markets and i think that's what we do different. we try to do it continuously and we do tv markets like others do performance marketing. i think that's what it makes a difference for us and we see lots of potential to grow into tv, build up our brand to see this long lasting effects. we are able in the last couple of year to build up our brand, a very strong brand, nearly without any additional investment. so we have not taken up any money in the last eight years or so. we may to the work as the performance channel. >> it's you're not the only one advertising on tv. it's such a competitive industry. expedia, which is a big shareholder, has a number of brands. price line, these companies are getting bigger.

how are you posting 68% revenue growth in that competitive environment? what kind of data are you get something. >> see, this environment was competitive even in ten years ago, so when we went in ten years ago and had very small, you know, growing on a very small base, people were saying hey, how can you grow, this is a super competitive market. i don't think it's super competitive. it's more in the performance channels, but on tv, i think not so many people really approach it the way we approach it and i think that will change. but we will keep on learning, keep on improving. and so you know, i think we will, we might be able to keep our you know, our position for a couple of more years and i don't see so many tapping into the same ideas that we have there. >> and if you're looking at

travel by sector, in other words, airline, hotel, cruise, how would you put those on a ladder, on some spectrum? where is the growth the strongest right now? >> so, i think when you're looking at like the offline online conversion, then there is still enough head room for hotels. so, right now, and i think that's something we can't imagine because we don't use this way, but only one-third of all hotel bookings is right now happening online. so there's thirds still not happening online, so that's an enormous growth potential for the hotel market, so i would think there is the highest growth possibility, because monmost is coming from offline versus online conversion. you don't have that so strong in like sports for in rental cars and i think that's really good for us because we are focusing so much on hotels and we just want to create an amazing product just in hotels.

and maybe we were lucky, had a good foresight couple of years ago. >> paying off. that's for sure. appreciate your time. thank you for squhojoining us o quarter. the ce of of trivago. >> good looking stock. another story today, the self-driving car unit has signed a deal with lyft. calling for the two companies to work together to advance technology. interesting timing. especially as waymo has sued ub ber for stealing trade secrets. and guy, perhaps that's the big take away here. this is just a blow and slap in the face to uber from both of its big competitors and adversaries. >> and google, as investor in uber, lots of shifting loyalties and unclear when the self-driving thing becomes a real revenue and profit general

rart. >> this gives you a window to the fact they're thinking of using it for these ride sharing companies. you wonder how it's going to transform. >> all u 11 sectors are hire. cisco, we get earnings later in the week along with other names in the retail space. back to the judge at hq. welcome to the halftime report. i'm scott wapner. our top strtrade this hour, up, and rayway way, why tech keeps rallying to new record highs. with us today, joe, josh, steve, pete. begin with the nasdaq rallying today. serm names hitting new highs today. pete, apple, amazon, netflix, adobe, sales force, all hitting new highs today. >> we've been talking about how the technology space as well as some of the other sector,