tv Squawk Alley CNBC September 15, 2017 11:00am-12:00pm EDT
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performing stock on the s&p 500 after the software provider provided down beat guidance below expectations technology is certainly a sector to watch that does it for this hour of "squawk on the street. let's send it back downtown for the new york stock exchange for the start of "squawk alley." back over to you guys. >> dom, thank you very much. good morning, it is 8:00 a.m. at facebook headquarters in menlo park, 11:00 a.m. on wall street, and "squawk alley" is live ♪ ♪ good friday morning, welcome to "squawk alley." i'm carl quintanilla also with us, jean muenster and
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in san francisco, steve vasella. >> tech under fire from all sides, and it starts from facebook new report from propublica says the social network enabled ads to target people who expressed interest in topics like jew hater or history on why jews ruined the world so-called promoted posts and news feeds of about 2,300 people facebook has since removed that feature, pending review. then there's google today, now the subject of the class action lawsuit from former employees claiming the tech giant discriminated against women in pay and promotions this comes on the heels of a labor department investigation alleging the company systemically underpays its female employees and also new this morning, online lender announcing the ceo will step down and give up his board seat effective immediately. he immediately planned to oversee transition of power following reports of sexist
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behavior at the start-up what do we make of all of that so far this has been a political story, maybe these tech firms have to lobby up it's a whole different environment in washington from what they experienced during the obama administration, but at some point does it become a stock story where this actually impacts the business >> i don't think so. you know, you're going to get the stock bouncing around on these reports and people are going to wonder if something's wrong with the culture, and if you think about google and their kind of culture and what they've been through more recently about the employee who kind of spoke up and separately about what facebook is doing and the advertising, both of those, these are good companies that are trying to figure it out and inevitably these issues come up. like you said, when the facebook case is under review, so i don't see any issues longer term for investors here >> i'll push back. why? why wouldn't users, the 2 billion users of facebook feel
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safe on a platform like that, and what about the advertisers >> well, there is some mistakes in terms of how they were showing these ads, so it's understandable if users would be concerned if this wasn't under review and facebook wasn't making changes, so my response to that is they are addressing the problem and, you know, let's see in three months where things are at >> steve, this looks to me like a new sort of hack in a way. people were using facebook in a way that it wasn't originally intended to be used in order for computers to automatically generate those offensive key words, but does this get to an issue around something in the past that has been an advantage for facebook they have fewer than 20,000 employees right now, despite the huge market cap. google has 72,000. apple has more than 100,000. facebook hasn't been structured in a way that someone can have an eye on all these issues steve, does that have to change? >> you know, i think that's
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exactly what's going on here i think you have -- what you're identifying is that facebook has really over the last two or three years become this very dominant platform for how people get their news and to your point, it's been largely driven by engineering and design but this notion of how do you actually censure some of these things and make sure the hate speech isn't surfacing, and when you have 2.5 billion people basically on a platform, absolutely it's going to be vulnerable to attacks like that, so i think what you've seen already is them almost doubling the size of the team that's going to be looking after this stuff, the management team is definitely activated around the topics i don't think this was a question of bad intent i think it is one where there is oversight issues, i think it's absolutely the case they can apply some technology to this, but in the interim they are going to have to throw human bodies at this and really snuff it out >> really, john, you think they
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get a free pass because of the algorithms did it? >> i think this was a case -- my understanding is, people entered as their job title or employment offensive terms like jew hater not like they put that as their interests and facebook allowed that and that was how it was targeted so it's awful either way, and it kind of shines a light on why facebook is trying to use artificial intelligence down the line so they don't have to have people watch all this, but it's a problem they need to address before a.i. is going to be ready. >> and by the way, we're going to talk to julie in a moment, who did this story and did this entire investigation some categories ended up with an audience that was too small, so another category was suggested for the ad buyer, in this case, the reporter so we'll talk to her about the intricacies of how this all worked out >> and how facebook is responding i want to get more on the google case, though details on the google class action let's bring in josh lipton, who's been following it. good morning, josh
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>> sara, the complaint filed in san francisco slamming google for paying women less than men for similar work a lawyer for the three former google employees who filed that suit says there are many more women expressing similar concerns >> we've been contacted by over 90 women and interviewed dozens of women, and these three women have stepped forward to be on this class action complaint, but they are simply representatives of many, many more women >> for example, plaintiff kelly rizuri joined google sales in 2012, says she brought in a lot of new revenue for the company despite that success, though, she was kept in a lower paying position than her male counterparts a google spokesperson responding, "we work really hard to create a great workplace for everyone and to give everyone a chance to thrive here. we'll review in detail but disagree with the central allegations. this isn't the first time google
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has had to deal with these complaints companies already under investigation by the u.s. department of labor over claims they didn't fairly pay some female employees there was also that controversial memo by the engineer who argued that innate differences could in part explain the lack of women working in tech. for its part google said it conducts its own rigorous annual analysis and there is no gender pay gap at the company guys, back to you. >> all right, josh lipton, thank you for the update on that google class action. we're also watching apple. starting today customers can place their orders for iphone 8 and 8 plus and the new tv, shares bouncing back today, up more than a percent, leading the dow after falling for three straight days. leading the dow today, i should say, and for the year. gene, how do you gauge demand? do you think customers are going to wait it out for the x >> it's a perfect situation for
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apple, because as long as the lead times, we have a research team and we've looked at the lead times this morning on the iphone 8 about a third are two weeks and greater, a third are delayed and a third on time. the point is this, there are already delays for the iphone 8. the reason investors love that is because when we're not at supply/demand equilibrium, your imagination can say what is the true demand and your imagination is higher than the real demand i'm a believer the stock is going to pull back in the near term, but i wonder if it won't pull back as much as i thought because investors can now hope for the best >> steve, from an investor perspective, how closely are you watching the iphone x? what demand for that is and how developers should respond based on whether huge masses of people have the capabilities in that highest end model versus the others >> well, i think this is the perfect situation for apple. so, as was just outlined here, you've got a situation where apple said, lack, we've got this
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incrementalist strategy on these -- on this platform, and iphone 8 is a very logical step forward from the 7, and that incremental strategy has been a cash cow, it's worked very well for them, but i think what's really about the x strategy is, we've been saying, hey, apple, show us the wow factor here, what's going on? we want to get more here, and i think it's absolutely the case there's an audience that's willing to pay for that, and, of course, apple's saying we'll be near the future in two or three years here, but there's a price to pay for that time travel and you have to spend $1,200 for it. i think there's going to be huge demand for the x, it's a great example of segmentation in the strategy working bmw has a 7 series, 5 series, 3 series, and many in between. this is going to be an example they demonstrate there's a market for a high end product here and i think it also boxes out zbo google pixel is about to get launched here, so this is apple, i think, asserting their dominance on the
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air game, not just the ground war. >> gene, i saw a headline that suggested you said 20% of consumers would opt for the x over some of the other models. >> yeah, 20%, and we think that the 8 is going to account for about 25%. i think that that is initially what we came out with at the response was we're too aggressive i think what we're seeing today with the lead times, that's the right number i want to hit one important topic, which is will consumers pay for this, and look back to 2014 when the iphone 6 came out. asps jumped 15% during that period we're going for asps to jump 9%, so there have been times when apple owners have stepped up, and i know the $1,000 price point is a magical barrier to get over, but i think that people are going to be surprised, investors are going to be rewarded for higher asps in this next cycle >> all right, last story we want to hit with you guys, there's a
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lot of good ones out today, uber and lyft on the cusp of new funding. reports alphabet is in talks with lyft regarding an investment of up to $1 million at the same time softbanc is nearing talks with uber. as an early uber investor, your thoughts on the fact it looks like a lot of these tech firms want a piece for these guys. is it a good match for uber? >> i think the match is perfect in terms of the capital being deployed soft bank has a $100 million fund they are trying to invest here and uber, i think, has demonstrated that their evaluation, while many folks were sort of, i think, questioning whether it had maybe pulled back from the last $65, $70 billion evaluation, i think it's held up what you have is an investor in softbank saying we want to invest in this asset, but we can't get enough of it they are -- they are getting some discount, of course, we
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don't know what that is today, but i would assert that discount is smaller than maybe what some folks have expected. or asserted. so i think what you're going to see here is they are going to take a very large position and it will probably be made up of a big chunk of primary shares and i think they'll scoop up could be up to $10 billion of secondary shares >> sounds like you've heard some buzz on this do you feel confident that the discount that softbank would be getting is less than some of the reports have suggested of up to 15% to 20% >> i've been surprised at how well the prices are holding up there are a number of groups that sort of pulled together in the value to see if there were ways to pick up secondary shares and kind of cost average their way down, and all of these conversations sort of came back with numbers that were much higher than, i think, anyone expected softbank has larger capital to put to work, so maybe they are slightly less price sensitive, but i think what you'll see is
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this is a company that is going to still hold strong on evaluation that's well north of that last financing. >> all right, gentlemen, we have to leave it there. thank you so much for joining us and weighing in on all the hot tech topics this morning gene munster, steve vasallo. behind the scenes with the largest aviation police force at l.a.x. also turning up the heat on equifax, elizabeth warren wants some answers later on, more on facebook's advertising issues we will talk with the propublica reporter who broke that story. and we're watching markets record high on the dow, the s&p, the nasdaq, and s&p is only two points from 2,500. back in a minute at fidelity, trades are now just $4.95. we cut the price of trades to give investors even more value. and at $4.95, you can trade with a clear advantage.
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workings of security at l.a.x., home of the largest aviation police force morgan >> they spent $2.5 billion on protection every year, but with more than 81 million visitors and 2.2 million metric tons of cargo, including iphones moving through this airport last year alone, technology is key to keeping this critical infrastructure safe. >> there's where you can really see the clarity. >> reporter: we're in what's called the airport response coordination center, or arc. various agencies monitor cameras, social media, and intelligence leads for possible threats. >> this is a 24-hour center that really controls ground movements and all that takes to make an airport like l.a.x. work >> reporter: what does all this stand for? >> represent threats, significant issues that are going on all over the country right now. >> reporter: wow >> they may or may not be fully
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actualized at the end, but these are what people are responding to kind of in realtime >> reporter: what's the exclamation point? >> there you go. >> i see protests >> perfectly timed, thank you. >> the 3500 cameras are just one example of the high-tech hardware there's populating los angeles international airport's 5.5 square miles of territory. the force also equips officers with portable radiation detectors and periodically screens vehicles with a truck that can sense dirty bombs and other forms of harmful radiation from hundreds of yards away. and, yes, guys, dirty bombs are very much a concern for airports like l.a.x., so to learn more about that, check out our full story on cnbc.com. back over to you >> fascinating stuff thank you, morgan brennan. and when we come back, the latest on the massive equifax data breach and what senator elizabeth warren is saying about the hack "squawk alley" is back after this
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as we said earlier, dow record high, s&p record high, and the nasdaq, as well. among nasdaq movers, nvidia is the biggest s&p gainer of five-plus percent as we see a squeeze in bitcoin, amd is following suit, did have research on nvidia, as well. >> raising the price target and, yes, seems to be the beneficiary. when bitcoin goes up, it's one of the minors and that has benefited the business and the stock, after a rough week, i will say, for bitcoin. >> longest losing streak in more than a year for bitcoin. >> floyd mayweather just came out in favor, though don't want to be on the other side of him. >> generally not, no and senator elizabeth warren and 11 other democrats pushing for new consumer protections legislation after that massive
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equifax data breach. this follows many cyber experts warnings of weakening protections. joining us now, joel brenner, senior adviser, as well as former head of u.s. counterintelligence under the director of national intelligence welcome to you joel, i wonder the context in which you put this equifax breach and what needs to happen now. seems every consumer should just assume that our information is out there now and it's just a matter of making sure that criminals don't ruin it. what should legislators do in this new environment >> i think, first of all, i agree with you i thought for some time that the notion that this data was private was regrettably an illusion i don't say that because i welcome it, i just think it's an unpleasant fact. we've got some really serious unanswered questions about equifax's behavior in light of a
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patch was issued on march 6th and they don't seem to have responded to that, but i think the legislation, the bills that i've seen so far, and it's very early in the drafting process, have been focused on things like notification and what not, and i think that's more of the same and isn't going to do much i think people should focus on not just why the breach happened and equifax's behavior, but on why the consequences of a breach like this are so bad why is it, for example, that somebody using my name can open a bank account in north dakota where i've never been without talking to me? >> yeah. >> why is it that it's so easy to steal people's identity based on the kind of information that's been stolen i think if we begin to look at that end of it, that we might do more than simply focus on the cyber insecurity, although i'm happy to go into that if you want >> well, joel, it seems to me we're in an era now where credit
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monitoring, there are some services where you can get it for free if somebody opens up an account or tries to open up an account under your name and social security number you get notified for it, but -- but in the digital world, does that need to change, does something need to change around the actions that consumers have and how much they have to pay to fix these problems with our information? >> well, the options that consumers have are much too narrow and it will be interesting, for example, i saw late yesterday a suggestion from someone at the american enterprise institute why isn't everybody's credit locked by default and then opened as an option that would give consumers an enormous amount of power over this kind of thing but i want to focus on the behavior of the institutions at
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which these fake accounts are being opened because that, i think, is where some really totally unacceptable behavior is taking place and i go back to my example, why is it that a bank will open an account in my name without ever talking to me, or transfer, wire out of my account all or most of the money in it, which is not a transaction in the normal course of business, without talking to me and i think if you looked at the liability at that end, you'd do a lot more than continuing to focus only on credit options and on the cyber insecurity, because we're not going to be able to do as much about that as we would like >> joel, that raises a question for me, it's a policy question that's up for debate now, the consumer finance protection bureau under fire from some on the right saying it's unnecessary or redundant or taking too many liberties. do we need within the government a watch dog over these sorts of
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issues, not just having to do with credit, but also having to do with personal information, digital hacking? >> well, i think so. but the question to me is what powers it's going to have, and that's a hard one to discuss, you know, in a two-minute segment. my focus now isn't on the consumer protection bureau it's on the ftc. the ftc has powers that protect consumers in two ways. it protects against unfair trade practices and against deceitful trade practices. deceitful is if a privacy statement tells you a merchant is handling your data in a bad way, they'll come down on them like a ton of bricks, but lately they've been focused on the unfair trade practice issues and the federal courts have upheld their power to treat terrible cybersecurity as an unfair trade practice that is having a ripple effect
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now, what i'm watching is whether in this case they are going to focus on the behavior of patching and not patching and so forth and really ramp up the standard of care in this issue that would be a big deal >> indeed, those are some changes we need. thank you, joel. joel brenner, senior adviser still to come on the show, facebook under fire. we'll speak with the reporter who uncovered the social network's controversial new ad practices when "squawk alley" returns.
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good morning, once again, everybody, i'm sue herrera here's your cnbc news update at this hour. according to sky news, british security services have identified a suspect involved in the london train bombing, which occur this morning's commute there. the explosion injured 22, none of them seriously. police are calling it a terrorist attack president trump had this to say from the rose garden >> we have to be very smart, we have to be very, very tough, which perhaps we're not nearly tough enough, but that is just an absolutely terrible thing in fact, i'm going to call the prime minister right now
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we have to be tough. we have to be smart. >> paris police say a knife-wielding assailant tried to attack a soldier at a major subway exchange, but was quickly arrested no one was hurt. the incident took place at a station in central paris and almost 20 years after its launch, nasa's cassini spacecraft made its final voyage into the planet saturn nasa deliberately crashed the spacecraft into saturn to ensure it didn't crash into a nearby and much smaller moon. that is the cnbc news update this hour. let's get downtown to "squawk alley. a 20-year mission, carl, amazing. >> incredible, incredible. thank you, sue let's get to seema mody at post nine and get the european close. >> a down day really across the board for europe news of north korea's second missile launch over japan and the london subway explosion, a lot for investors to digest. overall, though, european markets are experiencing one of their best weeks since july.
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really led by the financials, despite today's decline, the stock 600 banking index is up about 3% for the week, as yields tick higher. the exception, though, has been the uk stock market falling for a fourth consecutive day worse weekly performance since august 11th. blame, the surging pound today one of the bank of england policy makers known for being dovish has signalled he might vote for a rate increase this comes one day after the boe stated it could hike rates in the coming months. pound at more than a one-year high right now on the flip side, the russian central bank cutting rates by a half a point to 8.5%, noting that inflation is starting to come down to 4%, while the economy keeps on growing the bank also said it might be necessary to cut rates further during the next few months the u.s. dollar rising against the russian ruble. moscow down about half a percent. we'll finish with the stock of the day in europe, and that is
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retail giant h&m rising after same day sales have gotten off to a good start, although mark downs have capped third quarter sales at 5%. stocks still higher around 1.7%. guys >> seema, thank you very much. facebook's ad platform allows customers to target their content to the right audiences, but our next guest found some of these hypertargeted groups included anti-semitic categories julia angwin joins us this morning after her piece dropped last night good to see you, welcome back. >> great to be here. >> i'm curious about the origin of the story idea, because i think most people understood you could target very small audiences, but kind of assumed they would have taken measures to eliminate these kinds of categories >> yeah. i mean, i was surprised, too, to find this. this really came to me from a tip. somebody sent me a screen shot of the ad-buying platform with the words "jew hater" and showed you could buy them
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and i thought it was probably a hoax, so i went online and looked and it did seem to be there. then i thought it's probably a bug, so i'll try to buy one and it won't go through, but then i bought one and it went through, bought another one and it went through, bought a third and it went through then i called facebook and said why are you selling the ability to target your adds at jew haters and they've taken it down since then, but it shows what happens when you don't have oversight over these categories. they automatically, the computer generates them based on what people write in their profiles so they apparently didn't know it was there >> were they generated based on what people wrote in their profiles in areas where you tend to write about your interests? or did they enter this information in places that intended to fool facebook? and i'm wondering, is this something that you would expect that facebook should have caught based on the way people normally enter their interests, or is this somebody trying to trick them >> well, i don't know how many people are aware that what they
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write in their facebook profile immediately becomes an ad category, so i'm not sure if it was an intentional trick, but it does seem like the way this happened is people wrote in, the jew hater was listed as a field of study so maybe as a joke or to express their views people wrote in their field of study as jew hater. and then when we wrote that into the ad platform, facebook automatically suggested a few related categories, such as why jews ruin the world and which people also wrote in fields of study. i don't think these are legitimate fields of study, but i'm not sure if they were intending it for ad targeting or some other reason. >> julia, of course, as you said earlier, they did take this one down is this something you think can human beings be an essential roadblock to these kinds of categories >> yeah. facebook took down -- when we first contacted them they said
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they'd take down just the ones we mentioned, but then last night or early this morning they announced they are taking down all the self reported ad categories until they can figure out a review process to put into place. i think what's surprising, they are essentially an ad company. if there's one thing they probably should be policing, it would be the things they sell for money, and the fact that they didn't have a review system in place or not a particularly good one is surprising >> really quick, ten seconds left, is this something unique to facebook, or do google and twitter and all these other kind of platforms have the same capability >> we looked at the other platforms, but they didn't have a similar type of thing. twitter has rudimentary categories and google you can basically bid on any key word for search, but they don't limit that at all. so you could type in anything on to that platform, so it doesn't have any constraints >> julia, definitely an eye-opening piece.
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our thanks to you. >> thank you >> julia angwin joining us from propublica now let's take a look at shares of oracle reporting a beat on both the top and bottom lines, but the stock is being pressured by a weaker than expected current quarter forecast, especially when it comes to cloud, guys platform as a service, infrastructure as a service, but some analysts are saying they were expecting oracle to project a cloud quarter up, say, 49%, 50%. they projected up 41% to 45%, and what we're getting used to here is the cadence of the business a lot of times these contracts get negotiated in the fourth quarter, which we're entering, and so renewal comes up and the money starts getting paid in q1. so some anl isalysts are sayings doesn't really shift our overall look at the company, if they are bullish, they are remaining bullish, but investors not sure. does this mean there's a slowdown here or a new cycle lots of new cycles to get used to in tech
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we saw it with adobe, oracle used to have a big fiscal q4 in the middle of the year, but now the cloud, we say it changes everything, on the financials not just the tech. >> the initial gut reaction was a buy on this after hours yesterday. >> and it may yet be when people digest it. still to come, president trump has a new target this morning, espn. legendary sports agent drew rosenhaus joins us to discuss next plus, did you miss ray dalio talking about north korea at cnbc's delivering alpha conference earlier this week >> i think that this can have geopolitical implications. in other words, what korea can reshape what the whole asia region is like countries in that region think who am i going to be affiliated with, how does that work so this will have implications all through the -- all through the region >> now you can listen to the
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entire discussion between mr. dalio and mr. andrew ross sor kin at delivering alpha.com. we'll be right back. because, when you really, really want to be there, but you can't. at cognizant, we're helping today's leading media companies create more immersive ways to experience entertainment with new digital systems and technologies. get ready,
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became wall street's biggest bull t it is our call of the day. half-time reports starts top of the hour see you in about 15. >> looking forward to that, scott, thanks. and it's been a rough start for the nfl. overall week one ratings fell 13% from a year ago, but cbs's les moonves saying the nfl is still the best property on tv. >> i'm really not concerned. if you looked at the sunday night game, that was up. sunday afternoon was down a bit, but we were in the middle of the biggest hurricane in decades, so when you see, you know, millions and millions of people watching the weather channel, i think the nfl is still the best property on television. i'm not worried about a decline. >> well, joining us now, legendary nfl agent drew rosenhaus. drew, president tweeting about espn earlier today, you know, sports couldn't get sunk by the internet, by concussions is politics going to do it
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>> i don't think so. the nfl is untouchable it's just such a great property. it's like disney, it's one of those deals where people just love the nfl, like anything else there's always going to be minor fluctuations, but it's the best form of entertainment. it's the most popular sport. it's wildly entertaining there's unlimited great football playoffs, there's a never ending supply with college football the nfl's not going anywhere as an agent, i make my livelihood from the nfl. i'm not concerned in the slightest. i agree with the cbs president, that everything is still great >> drew, we're getting some overnights on thursday night football this is, obviously, early days, but a 7.0 rating, up 37% from the average of last season's thursday night games is thursday night going to surprise to the upside >> i think that's encouraging.
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listen, those are encouraging numbers, and we'll take it i think as the season goes on, the ratings will improve, because the quality of play will improve. early in the season offenses are still getting their act together, teams are trying to get their synergy, chemistry, timing down, so there's less offense, more defense, not as entertaining to the common fan things are going to get more exciting, more scoring, more higher point volume gains, and i think fans will be enjoying that plus, the matchups become more attractive, as well, as we move into the season. >> but back to the trump tweet for a moment, drew, he says espn is paying a really big price for its politics and bad programming. people are jumping in in record numbers, apologize for untruth after that post. of course, called him a white supremacist. not the first kind of political scandal that robert lee thing that was such an odd decision by espn earlier this year, of
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course, the colin kaepernick refusing to stand for the anthem do you think this is having any kind of impact on ratings? >> well, it may. i mean, this is an extraordinary time that we're in with politics and there's a lot of racial tensions and a lot of issues that are in the forefront of our society. much more so right now than in the last several years so, it's a part of sports. it's a part of everything that's going on today and it will affect some. there's no question that that's something that is going to have an impact perhaps on espn or ratings. i think it's, again, something that is very important there's a lot going on in our world today. the cbs president before our interview talked about the hurricanes i live here in miami beach we were affected by irma most people weren't interested in the national football league
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anywhere within the south because of this storm. that's understandable that that's going to affect ratings, and whether there's politics involved with some of the things that are going on relating to all the political things, sure, that's going to have a temporary impact with some people. >> lots of change -- >> ultimately, sports prevails go ahead >> it seems to drew rosenhaus, thanks so much for joining us when we come back, al roker is going to join us at post nine to talk about extreme weather, a new book he's written. dow's up 41 points "squawk alley" continues in a minute
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after hurricanes harvey and irma devastated the caribbean, texas a florida, forecasters are watching another storm in the atlantic jose expected to regain hurricane strength its threat to the east coast is still unclear. joining us at post nine for his insight on that and a new book, al roker, "the author of "extree weather. why do this? >> i've had teachers come up to me and say the topic that's number one with our kids is weather. they all want to know about weather, especially elementally cool kids. i thought this might be a fun book to do for kids and for adults who have kids who are asking them about the weather. >> i notice you don't shy away
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from climate change in here. it's mentioned, but not necessarily the focus. it's really about how do these storms form? what are they? >> yeah. are we in for more extreme weather? is that part of the reason >> my rationale with climate change doesn't moan there's going to be extreme weather that the likelihood, that the potential is greater because we are seeing a change in our climate, and i think the big -- the big disservice was calling it global warming. what it means is we're going to see more extreme weather shifts and more extreme changes, more cold, more hot san francisco, just recently said set its all-time record high, 106 degrees. these are weather things we're seeing stuff going on now that we have not seen. >> including the hurricane season that we're currently in we were just tracking jose right now on the screen. we're right, right in the middle of hurricane season? >> just coming off what would
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be, you know, meet logically the peak of hurricane season goes until november 30th and we don't -- this is a non-el nino year which basically means there's less sheer to tear these things apart so we've got jose and two more what we call investigation areas. one is now a tropical disturbance, so we've got a few more weeks seeing a lot of activity in the atlantic. >> you know, my kids are 8 and a big push in school is they call it s.t.e.m., science and math, so i think they are going to be a lot more receptive to meteorology and how storms are formed. >> weather is a great introduction to the natural sciences whether it's meteorology or ecology or geology, all the oceanography, i mean, it's all interchangeable and it's all intertwined and so with al roker's extreme weather we kind of give them a taste what have that is so as they get older they can dive deeper into it.
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>> you've written a book which is old school. you're a multi-platform guy. i see you on periscope how has technology, both technology in your hand and in the audiences hand change the way you communicate about weather and the way you understand it. >> one of the big things that happened i took my son who is 15. just went down a few months ago to cape canaveral to see the launch of go 16 which is a quantum leap in weather forecasting and whether satellites it's literally like going from black and white tv to hd we get more data and more quickly and that's really going to make a big difference in our forecasting, and for folks, you know, we'll have these in our hands. you can be your own weather person, but i think what people are seeing is they want context. they want somebody to put this in context look, in the last two weeks the weather channel has had their highest ratings since super storm sandy. they were the number one network across the board because
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people -- even people who weren't affected by it wanted to find out what was going on, so i think there is still this hunger for weather, and i think people want context they want to understand what's going on. >> i've got to ask you about media because you've had a production company for years you've got almost 2 million followers on twitter you're on television every day where do you -- when you have an idea, which pipe do you first think of when it comes to distribution >> i think at the end of the day, whatever screen somebody is watching, they want -- they want good characters. they want a good story, and they don't want to feel like they are wasting their time and so i -- i just think -- it starts with the idea and after that maybe you -- maybe it's something that's only five minutes. that's great it will be great on twitter or on facebook or on youtube, but maybe it's a long form thing and it's going to be on cnbc in the evening or it's going to be on -- on any number of platforms, but you've got to start with the idea first. >> i'm just looking through the
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book here. the pictures are amazing you describe a lot of different storms, cyclones, winter storms, drought. you travel to these places when they happen. which ones scare you the most? >> each one has its own beauty and its own terror at the same time i mean, you know, we got to see -- you probably saw those pictures from the hurricane hunter looking down at the storm. i mean, look at the beauty of that, but it belies what's underneath a tornado to me is one of the most frightening things because it can turn on a dime. i've covered the aftermath of tornadoes, and you can see three homes that have about completely wiped off their foundations and two homes right next to it that are fine they are so capricious. >> i've got to ask you about some viewers are curious have we reached a limit on a day forecast in other words, 10, 12, because some of these cones really were misleading in the early days, right? >> they, but i think what -- what it really means is
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everybody needs -- within that cone or close to that cone needs to pay attention it. as we learned -- look, the cone -- pretty much it encapsulated the areas that got hit, but i think people focused on the little spinney -- >> you said this on "nightly ". >> they focused on that and not the cone, and -- and it changes too much and we said it would traverse the length of florida, and my golly, from the keys all the way to jacksonville we had damage so it's one of those things i know people -- look, we're never going to be 100%, you know, five or six days out, but we're getting close to where you -- i mean, you look at what harvey did the cone, the path was all spot on so i think we are getting close. >> finally, this is a big economic issue, and for a lot of the companies we cover here, they are paying increasing attention to the effects of climate change and this kind of extreme weather. what do you say to business
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people what they need to know to be able to prepare for these risks? >> i think, okay, let's take the politics out of it i don't -- i don't want to get involved with that what i will say is to any business or any consumer you have to think about weather resiliency, okay how are you going to weather the storm, and what are you going to do after i mean, look, the city of miami, miami beach, has spent millions and millions of dollars a raising street and putting in pumps, whereas tampa has done none of that they dodged a bullet this time they just did a simulation called hurricane phoenix, a direct hill. 2,000 simulated people died. billions of dollars in damage. most of our population lives along the coast. >> yeah. >> al. congratulations on the book, always great to see you. >> let get to the judge and "the half." all right, guys, thank
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