facebook headquarters in menlo park, california 11:00 a.m. here. "squawk alley" is live ♪ ♪ good morning welcome to "squawk alley." with me here, facebook shares rising slightly. the company lost more than $60 billion in market cap in the wake of the data scandal brian acton weighing in on the crisis it is time, he tweets, #delete facebook facebook of course acquired

what's app in 2014 for 16 billion, $19 billion not helping matters. we've yet to hear from ceo founder mark zuckerberg. isaac is a tech correspondent. good morning mike, i am curious about what you think happens next as far as what mark zuckerberg has to say and get to the core of what the scandal really is here facebook's rules, their api rules allowed for this type of data to be collected back when this happened, but this researcher collected ostensibly for noncommercial purposes was anybody collecting this for commercial purposes back then? >> yes, this is the sort of problem that facebook finds itself in right now.

so i have been talking to a lot of programmers and developers in the valley in the past week since this dropped and, you know, a lot of the practices that this researcher was doing totally abided by facebook's api platform rules for app developers who want to access user data, pre2015 i think a lot of companies that had apps that used facebook platform back then are nervously shifting around and looking at each other, saying when are they going to tell everyone this was widely common practice >> it wasn't all research, some was companies trying to make money. >> absolutely, for profit companies, startups. facebook played fast and loose with a lot of user data for a long time. only in 2015 did they start to realize that maybe we should tighten rules up a bit >> kevin, it seems like facebook

is almost like a toddler with super powers, you begin to realize, it doesn't realize its own strength looking years back judgment was off on what the rules should be around massive data stores. what do you think mark zuckerberg ends up saying that perhaps gets him and facebook out of the cross hairs. >> there's a play book you go back to johnson and johnson, early 1980s corporate america followed this play book pretty successfully. look at general motors, pepsi and others key greenlingredients. act quickly. you can argue they haven't acted quickly. take responsibility. they haven't taken responsibility on this particular issue and show you're bringing transparency, what are you doing about it, provide more detail, and hold yourself accountable. bha does it look like. looks like having an independent auditor or report. facebook would prefer to handle

this themselves, and that scenario than to have european or other legislators tell them how to handle the crisis. >> which they're about to do anyway >> this is opportunity for mark to step up what we have seen before is when the company was mortally in danger, we saw this with the shift from desktop where facebook was dominant to mobile, mark was able to mobilize the company and shift the company really dramatically and transformtively. can he do the same about privacy now, given where facebook is at? >> it is an interesting point. perhaps the best way to do this, maybe part of the reason they haven't been out there on it is because this was kind of allowed back then. facebook has to defend something that it was doing as business practice maybe now can say you know what, we've changed privacy standards already, this doesn't happen any more, shouldn't have happened in the first place and can wrap

themselves in the mantles almost like apple would that work? >> i think that's a good plan. kevin points on how you would normally handle a crisis, you're exactly right. and were they in i guess their peak top of the game, they would be doing that now. i think probably what's throwing them is the fact that so the times broke the story the chief security officer planned on leaving, was clashing with top management at facebook over disclosure of some of this stuff last year, the year before, and so they're grappling with a few things one, they have to sort of apologize for lax approach to privacy, and two, at least appear that they want to be as forthcoming as possible, which is kind of unclear if they want to be that forthcoming in a lot of what they're trying to do right now. >> kevin, as much as we would like to say that they should come out, take responsibility, say essentially we're going to do what it takes, we look at the

other situations, wells fargo, equifax, came out with what they thought was the problem, and later came out with worse violations or something more to the story. we all said why didn't they have the story straight before they came out. >> that's presumably what they're grappling with, trying to get their heads around this, be able to communicate about it in a way that gives people confidence this is happening within the backdrop of 12, 16 months of loss of confidence in facebook, dating back to the election, fake news, russian manipulation there. facebook has not over that period of time particularly given regulators and legislators. apps that your friends installed could collect data about you there are user settings in facebook which i went into

myself yesterday to turn off for myself, under the little arrow in the top right of facebook, you go in. my settings were checked so i was allowing apps that my friends were using to still collect data about me. even with the crackdown on practices, it still exists. >> that's why i wonder is this in effect pandora's box that facebook opened years ago and if they close it, damage is done. jon fort in 2018 is not different from jon fort in 2014. if my information got out back then, and as you say there are dozens, thousands, who knows how many app developers were gathering data this way, could facebook continue to have problems like this month after month forever? >> i think this is why, i totally agree. i think this is why they get caught off guard when privacy scandals blow up like this because this is how they've

operated for years, right? so when all of a sudden people start to understand how facebook uses your data, how they collect information, how some of these are turned on by default, i think there's probably a private meeting in management where they're like haven't we told people this a long time, not been reading the manual or something? it is hard to craft a pr friendly response. >> something buried, whatever i agreed to when i signed up in the excitement of finding people, sure like i check back on that. last thing i was going to say as well, this is something that we talked to the analysts last hour on it, they said we don't think it will effect advertise error the busine -- advertisers or users >> there are a few things at risk for facebook. we surveyed readers, only 20% of

readers have confidence, trust them with private data that's a big issue for the consumer base. regulators and legislators, also a problem. if you were to shift off facebook, if this was a threat to the business, where would you go to connect with friends you might go to instagram or what's app both are owned by facebook and connected to facebook and share data with facebook and are connected to facebook advertising machine. so i think we're several steps away from this being a mortal threat to facebook, but obviously one the company needs to take very seriously >> move fast and break things. sounds cute when it is a startup, but when it is an 800 pound gorilla in your house, a little different mike, kevin, thanks. we have breaking news out of washington let's get over to elon >> leaving a meeting with

republicans on a deal to keep the government funded after they run out of money friday. senator chuck schumer saying they're close to a deal. >> we had a very, very good meeting and we hope that everything will be done. there's some language has to be gone over in a few areas, but we hope we'll be ready to go in a few hours. >> reporter: some of the items still being hashed out, as of that meeting, were proposal to tighten background checks for gun purchases. also talked about a fix for the so-called grain glitch in the tax law that favors co-ops over private companies. they want a tax credit for that. house democrats feel they're on a glide path to a vote tomorrow. the wildcard in all of this remains the senate we'll see if the senate can get its work done before the friday midnight deadline. back to you. >> all right

they're there, despite the weather and everything must be serious about this thank you very much. still ahead. one of mark zuckerberg's outp e outspoken will join us says the facebook chief will go down in history as a tragic figure will talk about why. and top companies in the country to work for. we have new rankings the dow down 25 points, s & p and nasdaq with slight gains back in two. there's so many opinions out there, it's hard to make sense of it all. well, victor, do you have something for him? >>check this out. td ameritrade aggregates thousands of earnings estimates into a single data point. that way you can keep your eyes on the big picture. >>huh. feel better? >>much better. yeah, me too. wow, you really did a number on this thing. >>sorry about that. that's alright. i got a box of 'em. thousands of opinions. one estimate. the earnings tool from td ameritrade.

in market focused on regulatory concerns for tech companies, two unicorns making a debut. spotify and drop box going to debut on the nasdaq this friday. drop box boosting ipo price range by $2, citing strong demand so far. joining us to talk about this, tech analyst at da davidson which initiated coverage of drop box before the ipo, and luke ventures joins us as well. good to see you both tell us how to think about drop box here as it comes public. we should mention $2 increase is

now 18 to $20 price range. you came out with $22 price target on it what are the comps, what's the opportunity for drop box and i would like to know what happens if it is priced at 19, opens at 28 what did you tell clients to do? >> thanks, that's a good question i mean, just to start out with, from my perspective, drop box is a high growth software company you have to comp. it to high growth software players, workday, service now, and from that vantage point dropbox trades at a steep discount even with raised range. given investor preferences today, investors want a combination of high growth and good profitability, and dropbox crosses both those buckets one of the fastest to pass a billion dollars in revenue doing it with 16% margin

good balance of growth and possibility. as we learned last friday, ipos can be unpredictable pop on day one i'm not in the game of trying to know what will happen day one. from longer term perspective, you can see some of the numbers out there prove to be conservative for dropbox, and there could be off side to estimates and off side to that price target from here. >> and gene, how should we be approaching spotify here, both because of unconventional way it will be listed and we really don't know how it will trade initially and thinking about where it sits in the whole new media world. >> big picture, spotify is the leader in stream music 71 million subs. next biggest, apple music at 38 million. they're declining the churn from 7% to 5% a month

and as a user, i can attest this is a wonderful service, but as a stock i think this will have a huge challenge to it the reason is twofold. first is on profitability side no secret, 79% cost of goods, compare to -- they pay a ton back for content to artists and record labels, makes sense, but not a good business model. compare to apple service margins or cost of goods sold for services, 22%. much lower than 79%. so i think what you have is head wind on the business model and separately competition, and differentiating the service is getting more difficult in the future love the service, but i don't think i love the stock. >> what if the market looks at it like netflix for music, gives it the same kind of room to grow into evaluation that they give it >> if spotify is successful

coming up with original music content, the catalog, the back catalog for netflix, maybe that's why it hasn't done as well there are some proprietary music library, i think that problemability is low, but that would be the difference. >> here's the issue with both spotify and dropbox, they're smaller companies that say we're taking on the behemoths that are in our space, google, amazon, apple, in pretty much both their cases, and the argument is they're platform agnostic. why aren't the giants going to absolutely squeeze the profitability out of both companies? >> it's a good question and i think the big thing with dropbox to your point, it is platform

agnostic you talk about microsoft 1 drive, works best with office 365, maybe doesn't play nicely if you use g suite and adobe products, and similarly with g drives for business use cases, you go through the dropbox pitch, that's where they get a lot of success. of all their 11 million paying users, 30% of dropbox business users. 50% are on an individual plan, using drop box for work. that platform agnostic story is where it is, and ease of use from customers i talked to in the space, people like dropbox, they think it is easy to use, easy enough my mom can use it on an individual basis. getting the same ease of use to businesses and teams is where it is going to be when it comes to teams, they want to make the decision to buy products they want to use. this is not driven by the cio of

the organization >> see how the street treats them both in coming weeks. thanks for your time today. >> thank you. and when we come back wall street will be watching as jerome powell heads to the first fed meeting. what he could say and how the markets react. the dow and all of them stuck in neutral this snowy day tires arspnie inng in new york city stay with us r got the brakes looked at? oh yeah. no. at cognizant, we're helping today's leading manufacturers make things that think and do automatically. imagine that, a world of new digital products and services all working together for you. can i borrow the car when it's back? get ready, because we're helping leading companies see it- and see it through-with digital.

welcome back it was a last minute change. will the new fed chair create a change of his own. let's get to the headlines from the fed. >> jerome powell, five years governor of the fed, presiding over his first meeting as new

chairman of the federal reserve, will craft his first policy statement and take questions from the press for the first time in what will be the 28th press conference by a fed chairman while it is not majority opinion, lot of folks think he is set to signal tighter monetary policy after he said in congressional testimony head winds were tail winds for the economy and warned about overheating. >> by continuing to gradually raise interest rates over time, we are trying to balance the two things, and you know, achieve inflation moving up to target, but also make sure the economy doesn't overheat there's not a lot of evidence, no evidence the economy is currently overheating. >> here's a list of the challenges three or four rate hikes, impact of tax cuts and stronger growth, both domestically and overseas, rising deficits may have impact on fed plans to reduce balance sheet, and how hawkish is he about the inflation question goldman, sachs decided public remarks by fed officials is a

broad shift in the outlook towards potentially faster pace of tightening. expect median dot to show four hikes in 2018. here's the fed forecast we'll be looking at today, currently 1.4%, going to 2.127, hitting 3 in 2020. see how that's updated today get median forecast from members of the fomc. while powell may be inclined to follow the path set by former fed chair yellen, doesn't have that option. the situation changed. we'll see how the new chairman and new fed board reacts in real time, and mike will be watching how the market reacts in real time to those states >> market is idling in advance of that. when we come back, our next guest says mark zuckerberg pledged to rid the world of disease while ignoring the jsease he is spreading. heoins "squawk alley" next

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we have one to two fires a day and when you respond together and you put your lives on the line, you do have to surround yourself with experts. and for us the expert in gas and electric is pg&e. we run about 2,500/2,800 fire calls a year and on almost every one of those calls pg&e is responding to that call as well. and so when we show up to a fire and pg&e shows up with us it makes a tremendous team during a moment of crisis. i rely on them, the firefighters in this department rely on them,

and so we have to practice safety everyday. utilizing pg&e's talent and expertise in that area trains our firefighters on the gas or electric aspect of a fire and when we have an emergency situation we are going to be much more skilled and prepared to mitigate that emergency for all concerned. the things we do every single day that puts ourselves in harm's way, and to have a partner that is so skilled at what they do is indispensable, and i couldn't ask for a better partner. good morning once again. sue herrera. here's your cnbc news update. a suicide bomber in afghanistan killed at least 29 people today dozens more injured. the attack came as they celebrated the persian new year. boko haram extremists returned most of the 110 girls

abducted from nigeria boarding school last month. witnesses say they warned residents never to put their daughters in school again. here at home, texas police have identified the suspect connected to a string of bombings in austin two law enforcement sources close to the investigation tell nbc news the suspect is a 24-year-old. earlier this morning, approached by a s.w.a.t. team, he died after detonating an explosive device in his car. the east coast as you well know getting hit with the fourth nor'easter in less than three weeks. 75 million people are under winter weather advisories from indiana to maine that's the news update this hour spring is coming i promise. back downtown to jon >> thank you, sue. >> i don't believe you. >> you don't believe me? >> no. i'm over it. >> i am not the groundhog, but the groundhog was right this time he was right

>> yeah. i think the groundhog is still taking revenge on de blasio's new york that's my theory thank you, sue this is "squawk alley. i am jon fort with kelly evans, mike san toll ee look at the major averages, treading water, maybe making snow angels outside. the dow is pretty much flat, s & p and nasdaq flat. critics in silicon valley are speaking out, including our next guest that tweeted mark zuckerberg will go down as tragic figure, he claimed to change the world as he maimed his country. pledged to rid the world of disease while spreading his disease. >> thank you nor having me

first time on the floor. >> some pointed criticism of mark zuckerberg which gets to the heart of who he tried to be for a couple of years with the company. probably don't need to go further than new year's resolutions, they were gratuitous this year feels like a reminder, this is an important business, one that may have turned out in ways you didn't want. >> business people are no longer satisfied to build and run good businesses they insist many cases on changing the world, sign at new york stock exchange. he is the perfect illustration of this. people like mark zuckerberg use the idea of changing the world and the glow it gives them, a sense of heroism it inspires to

be ruthless consolidators of their own power and privilege the way the rockefellers and carnegies of another age were, and i'm going to be the fool who sits on the new york stock exchange and says we need a revolution around the idea of change and what change is, we cannot outsource change to billionaires. >> one of the elements of this sense of mission that zuckerberg and others had is we're going to create a neutral tool, platform, can be for good or ill he is giving away a lot of wealth, that's part of the whole -- >> to an llc >> why is it to say something 2 billion people found use for, there are trade yochs. >> i don't think there's a person that says facebook shouldn't exist. no sensible person, just as there are not people take cars

shouldn't exist or, you know, housing shouldn't exist, but they should be regulated all these other things from our clothes to car seats our children are in to computers that don't explode on the desk are regulated. >> what kind of regulation are we talking about with facebook feels like everybody is quick to say we need to do something, but what is that specific targeted thing. >> are you on facebook. >> i quit two years ago. >> are you on facebook >> no. >> are you >> i am. i am the only normal person here >> always one. do you feel you have a meaningful choice to switch to a competitor >> there isn't a real competitor for what facebook offers i was nt to push back on the opening premise about changing the world. it has become the bumper sticker in silicon valley. steve jobs said it, google folks known to talk about changing the world. it is capitalism, it changed the world. maybe everybody doesn't like the

details how it happened, but isn't this naivety silicon valley is libertarian about data, technology, believing smart people automatically make the world berry v better eventually. >> it is an idea that spans both sides. mark zuckerberg and donald trump by my estimation are people with different moral character probably, but they have been ensnared and we have been ensnared by the same idea that rich people are somehow specially incorruptible, able to transcend their own interests. i don't think they're bad, but they have interests and interests need to be watched over which is why you have regulators and government. when we outsource the job of making a better place to people who we are also asking to do the hard work of running a company and make it successful, we know what a grind it is when we assign them a further task of bettering the condition of humanity. >> i don't think he would say

they're trying to make the world a better place >> my question around competitors, there's a question around monopoly. i was in a senator's office, he said i want to go after them as monopoly, i don't have statutory authority to do that that's number one. you look at the russia stuff if they are tv stations like this are heavily regulated in what they can do in election, they understand your power facebook has power too they have none of the regulations that bind you. do you feel constricted? no, it is part of living in democracy. >> isn't the court issue a democracy with citizens that are apathetic, ill informed? >> yes, yes. when i say outsourced. it is not the person you outsource to that's the only one responsible. >> but if citizens aren't holding politicians accountable, you hold the platforms accountable, it will break. >> i broke this book, winners take all, not to address zuckerbergs of the world i don't know they're persuadable by me.

i wrote it to persuade the rest of us to not outsource the job of change to billionaires. i hope, i wrote this so people can see out of the fog of a culture that tells them change trick el trickles down. many of us at the table wouldn't have been here 50 years ago. many of us, i wouldn't be in this country >> are we examples of the point that the change can be i don't want to be on facebook and i don't need to be >> no. my point is we are much of what is decent, great, humane about society is not the result of rich people throwing us a few bucks, it is a result of movement and laws, made it safe for women to be in the workplace, that makes the roads not like roads in other countries, make our schools functional, that make our infrastructure that allows all of this to run trustworthy do you know how many countries can pull this off?

not many >> you think it is because of big smart government >> i didn't say big. the common institutions that allow us to have a society, and if you have been to places where there aren't such institutions and there are still a lot of smart people, you will know the difference isn't intelligent people most poor people have a lot of smart people in there. money doesn't translate into decent society. >> you want facebook regulated like a media platform when it comes to election related speech. >> yes. >> think they should be busted for being a monopoly is there more? >> in terms of the russia thing, should be understood, there should be transparency they should not be self regulated. another fourth area is abuse when there's hatred, white supremacy, people are driven to suicide or cyber bullying and racial hatred, white supremacist

groups, using this platform to be organized do you allow yourselves to be -- >> i am thinking of what the regulatory response looks like. >> part of what's wrong with the culture, we think it is hard we regulate every industry but this i am not the person in charge of that we literally regulate everything you look at the car seat for the two children. >> plenty of people say why do we need such expansionary response to something to decide not to use. >> when you say expansionary, you go into their heads. >> who's heads >> the heads of people that don't want to be regulated who says it is expansionary. it is doing the job of the government to protect people and where they need to be protected has moved. it just moved. that's all buying into their

premise that they're free spirits out there. who allowed the internet to be possible who did early development work >> al gore. >> department of defense and al gore working in his cave we tell a selective story how we got here that is frankly a billionaire story that isn't justification to leave them alone. we are journalists, we shouldn't buy into that so easily. >> the man pulling the strings thank you for joining us. >> thank you for having me >> it is not out you can make my mom happy, preorder "winners take all." >> what happens if you become the billionaire? >> if you know about the writing industry, you will know the odds of that are like less than 20% yeah >> thank you for your time. >> thank you for having me. still ahead, the editor in chief of linked in joins us with a list of top companies to work for this year. first, rick santelli, what do you have your mind on today? >> the fed, all about the fed today.

we're going to discuss the sixth potential increase which brings the range to 150 to 175, we're also going to talk a common topic, deficits and how it may be connected to the federal reserve after thbrk.e ea ♪

feel that? that's the beat of global markets, the rhythm of the world. but to us, it's the pace of tomorrow. with ingenuity, technologies, and markets expertise we create the possible. and when you do that, you don't chase the pace of tomorrow. you set it. nasdaq. rewrite tomorrow. got a news alert on tariffs out of washington, d.c let's get to kayla tausche >> want to give you details about the package of tariffs the white house is planning to

announce tomorrow. it would penalize china for theft of intellectual property details from a senior white house official and person briefed on the plan. the package unveiled thursday will include tariffs but not restrictions on chinese investment in the u.s. or student visas, the president the sources said will be briefed again in two weeks to consider follow on action, based on impact of the first phase. one of the president's worries, sources say, the impact on u.s. universities will be too severe. the exact timing of the announcement tomorrow and amount of the package of tariffs is still in flux. he sought tariffs on $60 billion in goods but by law, penalties must be limited to what the u.s. trade representative finds to be the harm done to the u.s. economy by unfair trade practices. on capitol hill, ambassador robert light hieser says the final is on the president. it is to inflict maximum harm on

china and limiting impact on consumers. there are several details floating around the white house about how you would get to the goal, but we will have more details as we have them. we should get the final package tomorrow back to you. >> all right back to you for that thank you very much for detail on trade measures. get to the cme group in chicago. rick santelli is there on fed day. hey, rick. >> hi mike it is fed day. fed days are always exciting proof is that markets tend to drift of late in the last several plus fed meetings now that we are moving in accommodation, it has been rates higher even though that's in today, we haven't settled into the 290s since 22nd of february every trading day thereafter, today would be day 19. we should see a 1.50 to 1.75

rate here's an issue on deficits. everybody is all of a sudden nervous am some of us nervous about them much longer point is, if you have a friend that's fallen on hard times, maybe his job was lost or pay was cut, and you lend him some money, instead of putting it to the purpose of controlling things like debt and loss of income, the individual buys a luxury product like big screen tv or goes on luxurious vacation, how would you feel to some extent, the fed takes on that role. you look at when rates were 0 to .25, december 2018 to december, 2015, that's a total of seven years for seven years, a lot of unintended damage was done one of the biggest is that the low rate enabled deficit spending how did it do that in the same example as my analogy, things that would have

helped the economy may not have been done because the economy was slogan it was used to makeup spending or raise spending in areas that didn't have direct connections to economic growth of the economy the fact that we are raising rates should mitigate that factor to some extent. kelly, back to you. >> thank you rick santelli in chicago. dow up about 57 points, now a quarter percent gain in the averages more "squawk alley" after this but i'm not standing still...

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linked in has the top companies to work for. amazon with the top stop, alphabet, and uber falling from number 5 to number 12, and twitter, dropping all the way down to 43 joining us to discuss it, dan ro roth, linked in editor in chief. dan, to set the table for this a bit, about 550 million users on linked in all together, roughly 150 million in the u.s seems like this list uniquely turns more to power than happiness, right not measuring how thrilled people are to work places but how much they're showing on linked in they want to work certain places and maybe people

aren't leaving. >> we're looking at actions. what are actions job seekers and employees take that tell us where they want to work. we look at when a company puts up a job listing, how many look at the job, how many are applying looking at are you following employees or following company employees or the company itself then we rook at retention. once you're hired, do you stick around these billions of action x we take we want to know what things people are doing to tell wrus they want to work and will make them stay. >> valuable data for companies, certainly. getting talent and keeping it are two of the top metrics when a company needs to get off the ground ground >> it is a talent game especially for the engineers you want to have something to offer them part of that is the sizzle around the company if you can say we're number one on the list of companies where people really want to work, that

feels important. especially in the really competitive area of getting the best engineers >> it would seem in your methodology, being the company that's doing a lot of hiring, taking over new markets is going to have their rise in the ranks but what are the common threads about these employers in terms of what they're offering anything besides the money >> it is, one thing, it's not the purse. ping-pong or how much, how great the food is in the cafeteria it's about career development and how companies are getting behind the employees and how investing in them. the companies at the top of the list are doing things like skill development or work from where ever it is they want to work you're doing things like investing. social campaigns to give back. people want to feel like they're working for a place that matches their own social giving beliefs. >> so what's interesting iningt these companies are looking for in employees they're looking for people that

are mission driven it's a little retro. they want company men and women. people coming who want to work there for a long time. who love the company's past and history. who know the values and missions they are looking for employees who walk in spouting their mission and values >> do you think employees function that way or just pretend to to get hire snd. >> there's going to be some who go get the company of the tattoo on their arm when you want the job, you go in knowing those mission and values >> oracle moved from 26 to number nine. known to have a very aggressive culture. to certainly take care of people at the top but sometimes, i hear that people at the lower levels can be b seen as expendable. how does a company like oracle move that quickly up the ranks what does it show about i don't know, hereeither its expansion how people feel about it

>> oracle built a public high school on their property and are doing s.t.e.m. a school that's focused on s.t.e.m. you talk about the idea of employees working at a place where the company believes in what they believe in that's one of them but oracle's doing, they are involved in a lot of different areas. one u thing suzy has called out in the past, is that people want to workplaces where they are taking on hard emissions the average length of time anyone stays is five years so you're going. you're doing a tour of duty. you're investing in something and you want something to look awesome on your resume you said to say i tried to do this thing around cloud computing. i rolled out this project. i owned this that is more important sometimes than how hard a company works! they don't care about quality of life why would amazon be number one this is a company known for people working crazy hours and having incredibly high

standards. it's about having an impact and having something incredible on your resume. >> got to ask about facebook that company is under fire data has a lot to do with it is this scandal going to show up in the data? are you already seeing ways that employee engagement on facebook is shifting as it's under fire >> it is our list and the data collection end of january we are not seeing that in -- >> you are >> we haven't looked yet, but i think that if you look as an example, uber last year was five uber had hard year the year before we know that a company's brand and its employee brand are tightly connected, but there's a lag where if the companies had a rough year, it starts showing up in the numbers we'll look close to see where facebook ends up next year >> i was going to ask about twitter. >> took a hit and became a less exciting company for people. they moved down on the list. >> ooefb though it seeps to be b, now that sentiment in the

marketplace has changed. so i don't know how quickly that you know, tracks back to how the people looking for employment feel about it. >> we should see it in the number by next year. but i think that's the question. when you go to thanksgiving or family reunion or hanging out with your high school friends and si work at x company, you want them to be like, wow, you do that's really cool >> i think mark zuckerberg's comments today are going to be very important he's got many audiences, but his employees should be top of mind because you want them to be feeling incredibly proud of where they were. >> and ibm topped 20 does that fall into the bucket of take on hard projects or a wow, you work for ibm story? >> it's a good question. i think there's a lot of examples where i be bm is taking on hard. talking about how they are talking on hard problems you can work in what feels like cut i cutting edge area. they also do something where they really give back. they tell you you can work somewhere else pro bono. offer to drop people in

different environments where their know how can help solve really hard problems t not just about sit iting in a cubicle and trying to find next big thing. you're helping people, too >> i didn't see snap on the list >> no, i didn't either >> all right >> anywhere. >> thanks. >> thanks. >> top 50 list >> stocks at session highs you see the dow up 142 s&p 500 up about a half a percent. dow going for a fourth gain in five days as we live up to the anunme at 2:00 stay with us d in the nation, we need to work together. we need to do it more often to help people that need help. ♪ ♪ i'll stand by you. fvo: he's encouraged other people to look around and notice one another and take the time for each other. that's his gift. ♪ i'll stand by you.

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well as we head toward noon, the market's no longer snu eer neutral. up u in the major indices about a half a percent some stocks doing better though. pandora and twitter, useded to be losers. each up about 5% >> and yet look at the market. it's up 120 on the dow, too. >> facebook up 1.6%. so people are trying to figure out if maybe we had kind of this crescendo of concern about facebook >> perhaps zuckerberg not such a tragic figure after all. >> right >> despite the huge mark to market losses.

>> that jury remainso out we haven't seen a big comeback since the 2% nasdaq day yet. >> still caught in the middle of this range fed today, maybe that's the thing the market's been waiting to least get a sign and get out of the way >> if you're on the east coast, be careful on the roads. now it's time to drive into the half with scott at headquarters. and welcome to the halftime report i'm scott wapner top trade this hour, facebook under fire the fallout from the data scandal growing. already this week, more than $50 billion in market cap wiped out but, it's the silence of mark zuckerberg drawing more criticism today. still one well-known hedge fund manager is speaking out. brad is the founder and ceo of a firm best known for its high profile investment in united airlines, but they were early investors in b facebook, google and he