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welcome to "squawk alley." i am jon fortt with me, morgan brennan and david faber. carl is on assignment. mashlg markets are mixed, the nasdaq coming off a sixth straight week of gains, as the last faang name, alphabet, is set to report earnings today after the bell. up already 8% for the year the faang names, however, are in correction territory, down more than 10% for the 52 week highs apple, facebook, amazon trading down 20% joining us for a closer look at the names, david rolf, and tom lee. happy monday to you both tom, another in a by tuy the dip move to the extent we had dips. >> i think last year's stocks in that waterfall decline priced into recession

earnings i think are showing more speed bump than economic contraction, and the fed's turned less hawkish. i think with positioning, that's the best odds since 2009 i think people should be buying the dip. >> to what extent are you watching earnings, getting new information or are they confirming your mindset coming into the year? >> well, i think that they've allayed the word fears i think people thought trade and the shutdown and the decline in markets, and even some regions, even the fed showed contractionary dynamics, but it is a decent earnings season so i think it is good news overall. >> david, your read from the fed and how it effects the outlook for the year >> i might take the other side from tom no doubt about it, the market discounted weakness, given that sharp decline that we had in september, and we were so oversold that by some measures

it was like you could go back to beginning of prior bull markets, the beginnings of bull markets, it was so oversold but it is interesting now that fed chairman powell is much more dovish, similar to where prior chairman yellen was, which set the stage for the 2017year for the stock market, but i think what's different and it is significant is i still think we need to digest fed tightening. certainly the market, the stock market sniffed that out, but we're even starting to see internal data in employment surveys, consumer confidence within those data points, we had three or four months of weakness so i think stocks have to earn the sharp rally they've had. the market has only recovered half of its decline.

you look at the ten year, yields have gone up 25% i think the bottom market is telling us something. >> i want to dig into that a little more. the idea of what it means for earnings, you have latest estimates, q1 growth now expected to grow half a percent. could we see an earnings recession this year? >> i think so. >> what does it mean for stocks and valuations >> more cyclical ones have to earn their keep. almost all big tech stocks have individual stories where there's weakness tonight, we have alphabet. that corrected, that stock corrected pretty hard. i would argue the core alphabet, core google is probably the cleanest growth story in tech, but i am from the show me state. i think each individual stock and sector has to prove itself and show that maybe we're not in earnings recession i think it is a 50/50 toss >> tom, your thoughts? >> we've had the biggest five day rally in high yield in

history. high yield is a great leading indicator for equities only 30 points from breaking above the 200 day, and our clients are flat to short markets, right people took a lot of risk off. people are positioned as if we had recession. if we don't have recession, you have a lot of chasing that will happen you have to bet more on positioning. the market is not demanding. >> you mentioned best odds since '09. give me some indications why >> few things happened that only happened in '09. we had reversal from the fed, a huge de-rating in equities aaii sentiment turned massively negative, minus 28 that's a rare reading. and high yield had a rare decline. and again, start of this year,

biggest rally in the entire 40 year history. >> david, are you really from missouri >> yeah, st. louis former ram fan >> easy to be a former ram fan this morning i suppose what's it going to take this year the sign post you're watching that might change your sentiment on how much the market has to prove and digest tightening? >> i think some key industries like auto and housing have to firm up a bit. i think big cap tech has to continue i mean, they're so overowned and so owned and so many portfolios. look what we saw with estimate cuts, a little negativity. again, i'm of the mindset, while i love the rally, i'm not going to take for granted the rate of change since december 24th is going to flip. we're going to get the same type of gain through the end of the year i know we're looking at 2020

earnings, but out of the last -- tom probably has the number on the top of his head, last 15, 20 years, how many calendar years did you see over the course of the year analyst expectations didn't fall. it is rare so there's a lot to be proven out there. and again, i'm rooting for more of a rally, i'm not taking this rate of change or pace for granted. >> how important is the faang trade to all of this and big cap tech to see a sustained rally here >> very important. faang represents the pride of american business enterprise like financials and health care. faang should work well this year because it is an odd year, we're bullish on faang they're showing that despite the economic speed bumps you're seeing, they have better visibility than the average company. i think people should be betting on faang. >> faang or big cap tech in my eyes they're doing

microsoft wasn't in faang. does that represent growth or does it represent established technology companies >> well, one, they represent quality companies, arguably blue chips now. you can make an argument faang and large cap becomes secular like health care and staples will because of labor supply we have written about it in many reports, the actual flood of prime age workers has disappeared. u.s. tech companies are global leaders. >> david, tom, thanks for being with us. >> thanks. >> thanks. coming up, apple continuing to bring the fight on privacy to facebook, removing the social network to its own apps. does it matter kara swisher joins us next on her latest column. we have a lot moresqwk le saight ahead. stay with us

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welcome back to "squawk alley. apple accusing facebook of privacy breach, banning the social network's research app that paid users to track mobile activity temporarily pulling the plug on access to its own internal apps as well sets up a big rivalry in tech or adds to a big rivalry. recode editor and "the new york times" contributor, kara swisher

asked does apple stand against facebook matter. kara, great to see you let's start there. does it matter >> i think my point in was making is people don't seem to care because facebook stock continues to go up, they continue to do well, advertisers use them all of the various things that happened around the company, whether it is the russian situation or the continually privacy snafus, and a couple more recently again, it happens every day. you wonder if anything matters except that they make money. and that was the point i was making, even if tim cook is bringing these up over and over again. >> i wonder who wins in all of this i can't help but think it is google google has a business relationship with apple. they, too, saw suspension tied to privacy, but it didn't get the same type of attention they also in all of the rivalry between facebook and apple, zuckerberg encourages people to

use android devices. are they the biggest winner? >> i don't know about that, i think google just behaved better, they admitted the problem and worked it out. they have a more cooperative relationship with apple. obviously there are privacy issues around google, a lot of them, especially on both services i think the question is how can you repair the relationship between apple and facebook secondly, do people care about privacy, when is there going to be a moment they do. one thing that was interesting, someone tweeted a story about whether anybody is buying what tim cook is selling, which is a focus on privacy and i said i'm booiuying becaus think it is important, and it went viral, that comment i made because i do care. does it matter to wall street or anybody else. >> kara, this incident between apple and facebook and google reminds me of a diplomatic spat

between countries. >> yeah. >> and seems different from others that we've seen between tech companies in recent years because it is not about marketplaces like amazon, apple stuff over app stores, and it is not about app performance, like the apple, adobe stuff over flash. this is about data are we in a new era of diplomatic back and forth about data perhaps >> well, it's interesting because they don't compete really apple never had it successful, remember ping a million years ago, never had a successful platform at social, so they're actually cooperative because the iphone and facebook apps go together, instagram, what's app. not liking the business plan of facebook which is what apple was saying, and it is in apple's interest to say privacy is important because it is a selling point for their devices. i was doing something on apple today and amazed how many times they asked me about something i was doing, and i was sort of

happy about it the question is can they find a way to work together to figure out a way that facebook is more aware of privacy issues and apple doesn't have to scold them i don't think tim cook wants to be the privacy scold of silicon valley, or maybe he does, but i think it is not a great role for him, and ultimately it will be done by regulators obviously. >> there was a bit of a back and forth between you and peter pham whether it is apple to tell users of iphones what they can and can't do with their phones, which people on the facebook side would argue hey, that's what they're doing the other side is to say apple makes a promise to users, here is what's allowed and here is what's not and others need to respect that is that how you see the two sides boiling down >> peter is funny, a typical apoll gist for facebook and their behavior and silicon valley i love peter, but apple made rules and facebook broke them.

i don't think it is any more complicated, facebook knew they were breaking them and so did google and then they fixed it. they were just enforcing the rules and it had effects by cutting off some apps, but apple put them up quickly. i don't think it was them being big brother, telling people what to do. they were enforcing rules on the platform and i think that's fine the question is if it got out of control, obviously they have a more strict app store, much more strict rules than other sites do, although it is not perfect, so i think peter was wrong on that issue. >> and seems to me apple has to walk a fine line one hand, it has privacy rules, it wants to enforce them how aggressively does it enforce them in terms of the app store on the other, it has a case in front of the supreme court that it is arguing against in terms of the app store being monopoly. >> absolutely. i'm not sure that's going to pass, there are google and other places to do that, but the question is do they want to be

the regulator of silicon valley. kevin ruse wrote an interesting piece on this also which was does he want to be the privacy chief officer of silicon valley, tim cook i don't think he wants to be and i don't think they want regulation to come in so heavily. another executive at another company that sort of gets hit by this because they're in tech, called it the facebook contagion. like they do something and we all get sick i think the scrutiny it pulls in, both google and facebook, is not good for silicon valley. the question is how can we figure out a way all these companies think hard about issues around privacy or whatever the issue is and work more cooperatively together because they all have to interact, no question. they have to be together or they'll sink i think together. >> kara swisher, always great to get your thoughts. thanks for joining us today. after the break, five years ago under skeptical eyes,

nadella became the ceo of microsoft. we will look at his tenure first, take a look at the worst performing stocks in the dow today in today's session pfizer, united health, exxonmobile among them a lot more "squawk alley" still ahead. don't go anywhere. so, servicenow put your workflows in the cloud, huh? mmhm. your employees must love you. [ chuckles ] thank you. you could say that. i love you. servicenow works for you.

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welcome back today in tech history, five years ago satya nadella began tenure as microsoft ceo. the stock is up and it is a recognized leader in cloud nadella lauded for refocussing on enterprise customers as main drivers of profit and consumers of drivers of scale in cloud and mobile era cnbc has been there every step to bring you the story has it always been sunshine and rainbows less than a week before the first broadcast interview as ceo, nadella said something at a conference, asked how women should ask for raises.

he said what worked for him, don't ask, trust it will happen. >> sort of obviously in the last four, five days reflected a lot on it. it has been a humbling thing one of the things to become ceo is to be bold and right. >> preview of the times up move, clap back was swift on those comments and his response. he said he was bold to go to grace harper but wrong fair to say sentiment from employees and investors only improved since then. two-and-a-half years ago, microsoft announced plans to buy linked in for $26 billion. silicon valley company that had the sort of roots that would never have embraced pre-nadella microsoft. >> linked in is a multi sided market there's linked in membership and that member along with office 365 usage. these professionals are using

office 365 on one side and linked in on the other side. that's one massive opportunity for us to increase engagement. >> jeff wienner was next to him in that click, still at linked in reed hoffman still there, this acquisition came after the move to buy mine craft maker. now the challenge is going head to head with jeff bezos over at amazon on the cloud. still maintaining microsoft enterprise roots >> yes you have to have some scale around the capability, whether it is the ai capability or cloud capability but i view it as the next phase is not about celebrating just mega scale players, it is who can really translate their scale into mass impact >> and as he said, today amazon and microsoft are neck in neck in the market cap race, both

around $800 million in today's trade. next challenge is how to manage the you era of execution in the cloud. lots of acquisitions, lots of partnerships, somber -- some better than others. can he make the right big purchases to drive the strategy forward? >> you mentioned this the top of the show, we talk about faang trade, but microsoft is the other big outperformer, big movers in terms of the dow and s&p to the up side in recent years. a hat to him and leadership and new energy he brought to the company. >> amazon stock quadrupled in the same time period, but it was a smaller company, had big expectations microsoft was left out of the faang type tightened platform discussions, now it is front and center >> i think it would be in his interest to continue to do

interviews with you, judging from the success he's had and many interviews you were able to conduct, i think it has gone well, don't you? >> as usual, keen insight. >> thank you >> that's the perfect place for me to bring up before we move on that we were digging through archives of your past interviews with satya found this clip from nadella's first live interview on cnbc before he was named ceo. >> as a silicon valley guy, i don't wear ties. you have to let me do a little something, otherwise it is blue and gray >> you got to change this there or -- >> i'm going to try to stick with it, see if i get away with it >> for context, that's right before i moved to new york he was commenting on the color in the shirt he liked the shirt i might be able to say i influenced his fashion choices satya nadella is a snazzy dresser now. >> he is he is throwing shade my way though, one of the guys with the

tie and blue suit. >> no, no. >> he is a rebel with a cause. he is still not wearing a tie. >> there you go. let's go to another rebel with a cause, sue herera with the news update. >> thank you, jon. good morning, everybody. here's your news update at this hour the pentagon has confirmed it will deploy over 3700 more to s troops to the mexican border as trump is pushing for stronger border security. five people are dead after a small plane crashed into a single family home in southern california casualties include the pilot and four people on the ground. the cause of the crash is under investigation. pope francis has become the first pontiff to visit the arabian peninsula. he was greeted by the crown prince during the 48 hour trip, he is set to meet with muslim and political leaders. and the patriots have been the super bowl champs less than 24 hours, but some people are

thinking about next year's champion west gate las vegas ranked the kansas city chiefs on odds on favorite to win it all next year 6 to 1 new england, los angeles, new orleans share the second best odds you're up to date. that's the news update, guys back downtown to you morgan >> gosh, everybody wants to move ahead into the future. let's stick with the present now, enjoy the win that happened >> you know how las vegas is they never do that they're thinking forward >> sue herera, thank you >> you got it. european markets, meantime, are closing. dom chu has more of today's action. >> major markets are generally lower with the cac an underperformer some bigger individual stock movers include julius barr, earnings results fell short of expectations it announced a cost cutting

initiative that's anticipated to cut head count there by 2% in 2019 over 2018 irish airline ryanair lower as well they posted a 6% drop in air fares in the final quarter last year and wire card moving higher after the payment company said review from an outside legal firm found no conclusive evidence of criminal wrongdoing by employees which were alleged in a report by the financial times earlier on on the macro front, brexit related developments, the british pound spiked higher, giving back some gains traders continue to follow headlines closely on any progress on a deal or contingency plans in case a no deal brexit happens. we'll continue to watch the pound. morgan, back to you. >> dom chu, thank you. when we return, the winners, losers, big surprises. we got ratings numbers we're going to look at those and

ads and brands that made the biggest impact last night during the super bowl we have a lot more "squawk alley" straight ahead. dow is down 26 and the s&p up 3. stay with us ♪ ♪ 'cos i know what it means ♪ to walk along the lonely street of dreams ♪ ♪ here i go again on my--- you realize your vows are a whitesnake song? i do. if you ride, you get it. geico motorcycle. 15 minutes could save you 15% or more. ♪ ♪

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the krn another record year for super bowl ad spending, one 30 second spot going for $5.2 million early ratings are at a ten year low. julia boorstin has more on which brands got the most for their buck >> reporter: verizon won on twitter and youtube. the spot featuring first responders, part of a documentary, drew the most game day views on youtube it reached 60 million views. verizon's tweet about the spot was the tweet that drove the most video views anheuser-busch spent $59 million, getting attention for bud light mashup with "game of thrones" that drove the most tweets per minute during the game and attacking rivals for brewing with corn syrup, saying bud light does not brew with corn syrup. amazon was the runner-up in

terms of spending, spending $25 million. drawing buzz for this amazon alexa spot with 38 million total views. the second most views on youtube yesterday alone. now, it is not just ai driven connected devices, robots starred in the turbo tax ad and another for michelob and this one featuring serena williams, more women had spots this year than last year, brands look to connect with women that comprise nearly half of super bowl viewers another trend, the streamers out in force, promoting upcoming shows, and youtube tv promoting live screaming skinny bundle by sponsoring the kickoff show on cbs. the streamers rely on the most popular live tv event of the year to give people alternatives to traditional tv. but the game was not as popular with years past, ratings down 5%

from last year, based on preliminary ratings numbers. back to you. >> julia, you did have "the washington post," not amazon at all, not part of it, but they were behind that ad in favor of journalism was bezos, do you know, did bezos do that out of his own pocket or "the washington post"? i guess it is the same thing >> remember, it is the same thing. bezos owns the post, not amazon that owns the post some tweets, journalists complaining that's not necessarily the best use of money for them >> you stay there. let's bring in general motors marketing vp mike jackson who helped coca-cola, pepsi and coors, now runs a mobility service provider to the automotive industry and brands mike, as somebody that once worked for coors, start there with this attack from

anheuser-busch in terms of using corn syrup, do you think it was effective? >> i thought it was hilarious because for the most part everyone is looking around the room trying to figure out beer, does beer have corn syrup? it was a little bit of positioning from budweiser's perspective to take on miller and coors in that spot i don't know how effective it was. i clearly don't believe corn syrup is an issue from someone that wants to enjoy their favorite beverage. >> especially not if they have a soda next to it and drinking that watching the super bowl which a lot of people probably did. one of the things that struck me about the latest super bowl commercials, i don't miss the sexist and crass in this slate there were some bad ones, but there were good ones, and good ones didn't fall back on old troeps

>> a lot of brands did a good job, positioning themselves around key messages. you look at the audi ad, toyota with tony harris was well done, obviously microsoft getting a lot of buzz around the notion of its products appealing to children with disabilities that enable them to participate in the gaming community so again, i love the positive messages out there and the fact there are over 80 celebrities in the scheme of ads was pretty fun. >> mike, to that point, what would you consider to be winners and losers and more than that, how are companies that doled out $5 million plus seeing commercials as winners or losers because we hear about things that are controversial, but is it social media traction, sales over certain amount of time? how do they quantify that? >> well, i think a lot of brands

have their particular objectives for being in the super bowl, but a couple of examples i would like to use is verizon, right? verizon is a telecom player, participating, competing heavily, spending a lot of money against at&t and t mobile and sprint they took the opportunity to deliver a message that was very powerful it was delivered in a series of ads that broke online before the game and the spot they ran featuring the coach, anthony lin, was very powerful as well conversely, t mobile resorted to their traditional messaging. sprint resorted to their traditional messaging. i got to believe that verizon was one of the big winners just in the way that they positioned themselves around a message around first responders. and then conversely, you look at

the number of new brands that participated in the game and whether you liked that spot with serena williams, these are brands that are looking for awareness and not shy to spend money on the biggest stage in sports >> julia, go ahead >> i was going to say, we saw that verizon did win the day when it came to views on youtube as well as tweets on twitter, and we are increasingly seeing brands to invest to support that investment in the super bowl spots. so they're spending 5.2 million on a super bowl spot, they want to invest elsewhere, in ads on youtube, twitter, and facebook to drive people to that message, whether it is a longer version of the ad on youtube or more tweets to spread the message more broadly, they want to be sure they get the most possible out of that 30 second spot investment and with ratings down, the way they maximize that return on investment is off tv

>> yeah. that's what i was going to ask how much buying a super bowl ad isn't about getting the ad seen on the super bowl, it is about marketing your marketing, getting people to watch on youtube, facebook, getting a conversation going that then propels your brand in some direction. >> that's absolutely important, jon. i think the way they think of it, the super bowl ad is the center piece, that's what they are building towards we saw a ton of them released ahead of time, some had teasers ahead of time. they think of the super bowl as the centerpiece of something they want to live before and after, and they need to invest often months of planning to make sure that they get the most bang for their buck sometimes they start teasers months ahead of time we're seeing that this is all part of the annual strategy for the brands interesting to look at bud light, the fact they killed off the bud knight as part of

partnership with "game of thrones," that's getting buzz. and think of bud knight as being a longer trajectory of the ads how is this worth it how many people are talking about it, how does it fit with last year, what we do this summer, et cetera. >> all right we're going to leave it there for now. lots more to discuss julia, mike, thanks to you both. >> thank you >> the bud knight might be back. like the "game of thrones" character. why door dash workers may not receive tips you give them rick santelli, what are you watching i am looking at the board, see interest rates a bit elevated, several basis points across the curve stocks are somewhat mixed. the dow especially close to the flat line. do you think stocks will be higher or lower if rates were much lower this morning? that'shawee into wt 'rgog talk

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i am brian sullivan in for scott today for the halftime report at noon eastern do you know the stocks and sectors likely to lead the market backs to all-time highs we dig in. and one trader's argument, better places to invest now in the usa, talking about developed markets, not emerging markets. and the goldman, sachs call that will make you want to look at

the name all of that is coming up on the halftime report, noon eastern. morgan brennan, that's right after your show. >> it is right after our show. looking forward to it. thank you. let's get to cme and rick santelli for the santelli exchange hey, rick. >> good morning and thank you. i like to go to the movies sometimes people aren't honest about what tiepgs ypes of movie like some don't like horror slasher movies but like to go to them, may not be a fan of tear jerkers, especially the guys they're not into it. all alone, sometimes they like to watch those movies. i think investors have the same issues with interest rates the common refrain is that rising rates, rates moving higher will zap investment whether it is in the stock market or other areas, some of the alternative investments, loans, all of it i get it but it doesn't seem to be the

way the facts bear out look at a three month chart, ten year note yields versus the s&p 500. it is safe to say at this point in time, given the landscape of central banks, globalism, slowing of economies is effecting the bigger economies, some bigger economies like germany, france, italy are slowing, so it is big ones slowing, but the real essence is i look up at the board today, i see rates up i see the stock market, put the nasdaq off to the side, it has been having choppy times, doing better, but the s&p and dow aren't barn burning and aren't far from the unchanged line. the point is, if you looked at the boards and holding the same equity positions you are now and rates start to drift lower, that would make you nervous i think rising rates aren't necessarily great if they move too fast

what we are looking at now is basically steady, firm rates many of you out there saw in the last week we traded down on closing yield to 263 last thursday we saw 255, rnts many under 268 where we closed last year, a handful. the fact it came back i think is good news. but the best news of all is don't worry so much about treasury supply and rising debt. from a morality or political standpoint, they're important. from a market standpoint, if you're an investor at a time where equities have bouts of nervousness, fixed income space, high quality paper, whether corporate or sovereign, will find a home. as you look overseas and think mario draghi has to create a euro bond to get rid of negative yields, all of that uncertainty does a lot, dissuades the notion

that big debt means rising interest rates, i think it means firm rates, maybe the best thing for the economy. jon fortt, back to you >> rick, i'm going to pick it up here you mentioned uncertainty. i have uncertainty you mention tear jerkers is there a go to for you >> yeah. i think right now the best go to, anything on the interest rate complex are high quality corporate or sovereign i would stay short on the yield curve. no need to take big curve risk, right? >> i meant a movie, rick santelli >> oh. you meant a movie. >> we'll continue this conversation another day thank you. >> all right >> can't judge what makes a man cry. meanwhile, delivery startup door dash and in sta cart, both are using tips paid to individual workers as partial substitute of wages, rather than

boost of income. a practice that consumer protection groups said is deceptive to not only workers but to the consumers as well in other words, when they say if you get a $10 tip, it all goes to the worker, it all goes to the worker, but might be substituting for pay they would have gotten otherwise, it is not on top of regular pay in every case >> i have so many questions about this i feel like i want to dig into it more. what does this mean in terms of taxable income and the fact that consumers don't know their tip is not being factored in as bonus for workers is troublesome. >> that's the bottom line. when i give a tip, i am tipping the worker, not the employer >> exactly >> they're taking the tip. there ought to be a law. clarify that if you want to do that, fine, but you have to explain it to me then i hand them cash. >> certainly you can do that maybe that's the better way to go, instead of leaving the tip

on a credit card >> i think they ought to stop doing that personally. >> that's wrong. major household names in tech are expected to make market debuts later this year could it be a record year for ipos and later, 15 years of facebook a look back at the early stages of the network and what comes next more "squawk alley" after a quick break. the latest innovation from xfinity

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some of the private companies may go public this year. could this be a record $100 billion year for ipos? bob is back with us. that would be quite a number >> we'd never done it. we got close in '99. close in 2000. the ipo observers are optimistic for 2019 there's some justification there's an outside chance 2019 could be the ultimate. for that to happen, a lot of things have to go perfectly. first, no more government shutdowns. second, market conditions that exhibit very low volatility and most importantly, a public appetite to buy very large ipos at potentially very inflated prices renaissance capital estimates there are 226 private companies looking to go public in 2019 that's a lot market value, close to $700 billion that could translate into north of $100 billion

raised for the full year in the ipo market a hundred billion dollar raise in a single year, never been realized the closest we came was 1999, 2000 that represented the height of the dot com boom when just shy of $100 billion was raised those 226 companies might include 119 companies that would be classified as unicorns. those are evaluations over $1 billion which are the bulk out there and includes well known names like uber and lyft this is the good news. the bad news it's not clear who's going to buy all this stuff. the constituency for ipos is a lot smaller than it was in 2000. a survey out today notes in the price is not right, survey participants made it clear there were alternatives to going public an ipo seems to be fairly far down many seems to believe that tech companies will merge with

another company or remain private over going public. that's an al teternative that'st there. lots of ipos translates into lots of choices for ipo buyers that tells me there's some pressure on the pricing for these companies out there. it will be very interesting to see what happens >> the criticism has been criticism used broadly many of them have stayed private through their biggest growth period not allowing the public to benefit or participate in that enormous growth. >> the earnings, i think the big growth premium in most of these major companies has passed >> people will still line up to buy uber >> they might line toup to buy uber but i mentioned 226 potential companies out there. maybe an air b and b out there it will depend on the valuation that they are getting. nobody will give them pass

because the name is uber and softbank is behind them or anybody else is behind them. the ipo buyers, i mean the buyers have exhibited a lot of discipline in the last year and been willing to pass or let stocks down on big names if they think the valuation isn't there. it's going to be tough >> when you see comparisons to 2000, are we at a market top >> i don't know if we're at a market top i think this is the year when everybody realized we are sitting on investments in these companies, private investments in these companies that are north of ten years in some cases. the models are not based on staying in companies for ten years. they were supposed to get out sooner they haven't been able to. there's been a good reason for them to stay quiet they realized they have to figure out an exit strategy.

i think, david, this is your field, i think a significant percentage may opt for an mna route if that's available. i don't know how you feel about that but it's definitely an alternative. >> i don't have a feeling any way or the other thank you. >> pleasure. we'll be back in less than three minutes. the dow up and the s&p is as well stay with us ♪ ♪hold on, i'm comin' ♪hold on, i'm comin' ♪hold on don't you worry,♪ ♪i'm comin' ♪here we come, hold on♪ ♪we're about to save you i'm comin', yeah♪ ♪hold on don't you worry,♪ ♪i'm comin' figuring it out... not that fun... and like my dad, you might want medicare supplement insurance, too.

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mplgt we told you what happened five years ago, 15 years, mark zuckerberg created facebook. after going public in 2012 the stock tanked losing more than half of its value in the first three months of trading. the stock today is one of the most valuable companies in the world. major acquisitions helped spurn user growth. the stock continues to mostly rise up more than 300% since that ipo speaking of facebook, be sure to tune in tomorrow early facebook investor sits down with us all hour on squawk

alley to talk about his new buck zucked on the early days of facebook and its creator >> i have to take a look at it >> that will do it for squawk alley with the dow pretty much flat let's turn it over to bryan sullivan for the half. i'm brian sullivan in for scott wapner google's parent company reports tonight big technology refuses to lye lead us back to market high the big question is if the stocks can't or won't lead these markets, who will?