>> good morning. welcome to "squawk box" on cnbc we are live from the marketsite in time square andrew is out today but sitting in for him today is tom farley, you know him as the former nysc president and cnbc contributor the dow hit a new high again yesterday. this morning, you are looking at green across the board dow up by about 23 and s&p up by about 4 and nasdaq up by about 15 in the treadsy market, the 10-year yielding 1.938%. getting closer to that 2% mark

we haven't seen for quite some time i can deal with two, three, i don't know eight -- >> if it is going up for the right reason >> it has been good so far there is a lot of floating rate stuff around tensions in hong kong escalating overnight. a flash mob. more than 1,000 people wearing office clothes and face masks blocked roads in the central district as police fired tear gas as well as at two university campuses carrie lam said that the protesters are selfish we'll continue to monitor the updates as they come in. >> that's after yesterday when she said they are her enemy. >> enemy of the people >> i think i am as a member of

the media. although not comfort as a member of the mainstream media. am i really part of the mainstream media >> yes hello. an update now on the controversy over the apple card. goldman sachs denies gender bias but says it will re-evaluate those who received lower credits lines to begin with. it may be because existing cards could be combined with a spouse's account leading to lower availability boeing said to deliver the

737 max next month and could start commercial service as soon as january this is near term. boeing shares as a result rose sharply. pushing the dow to negative territory from positivetar territory. i meant by the end of the day. the company said it has completed a test of the new flight control software in a sim simulator. we'll talk to a boeing share holder later this hour on this front. okay, we know they've completed one of five check points, it is still the faa that will make the final determination. the other issue is will there be

heightened training required for pilots the chairman said they expected one regulator to assume the flight at the end of the year. >> you are saying it was weird because they put out later dates. >> because it wasn't up that much early on. there are some new increment al comments about when or how it was going to be reintroduced >> anybody buying into this is reading the tea leaves of the faa. >> it was up quite a bit from where it was that day. >> i thought he did a really nice job i was sitting at home watching it

i thought it was very, very credible >> what time do you go into far point? >> i usually work 11:00 to 2:00. >> you are really busting your as >> far point, tom farley >> that's right. and i'm a partner at third point. >> you didn't pay anyone for that >> no. it is a good name. >> did you pay yourself. >> $6 million. sold to to myself. >> u.s. regulators considered grounding southwest planes because of gaps in safety records. at issue are safety and repairs for foreign aircrafts. saying they had found dozens of

repairs performed before it bought them. southwest couldn't produce documentation saying the plaebs met all safety standards disney officially entering the streaming war today. the launch of disney plus. looking to capitalize on popular franchises that iger has acquired likepix ar, marvel, star wars. the service will cost $6.99 or $12.99 monthly bundled with hulu and espn plus. subscribers can get the service free for the first year. we'll get an early view of the offerings and talk about this big gamble late in bob iger's tenure maybe his biggest gamble to date they used to get a lot of money from netflix now they are going to do it

themselves >> that's the guest we had on saying it is becoming very si siloh. you'll have to pay each one for the content. >> i have verizon unlimited plan i'll get it free i want to get this downloaded. every verizon customer with unlimited data >> you can use far point for that >> that's personal i can watch star wars when i'm on the subway. >> write it off. you have a partner, get him to pay for it >> in my special interest company, all the banking costs, come out of the principals personally >> no way. >> who is your accountant. >> that business model has evolved. all the money comes in from investors sits in a trust

account. >> you are sowing investors. >> this isn't a pitch. just explaining how it works. >> sounds like a pitch >> it is a public company traded on the stock exchange. >> so you can't. >> that would be a no. >> when we get you back, we'll get you ready for the day ahead. what you need to watch ahead of the hope president trump set to give a speech at the economic club of new york today we'll tell you what to expect. obvious.

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what are you doing back there, junior? since we're obviously lost, i'm rescheduling my xfinity customer service appointment. ah, relax. i got this. which gps are you using anyway? a little something called instinct. been using it for years.

yeah, that's what i'm afraid of. he knows exactly where we're going. my whole body is a compass. oh boy... the my account app makes today's xfinity customer service simple, easy, awesome. not my thing. welcome back, investors will be keeping close watch of president trump when he addresses the economic club of new york expected to talk about the china trade talks and to announce another delay on tariffs on cars let's talk strategy, our next guest says stocks could rally.

chief investment strategist. you think yields will continue to push higher too >> i think so, becky i think there is a lot of stuff going on with the trade agreement and presidential impeachment stuff. i think the main thing driving things is that economic data is turning out better than feared i think that is driving both yields and stock prices higher people have found out they are under allocated risk the ghost of recession kind of peeked in august since then, yields have bottomed out around the world also the leadership has really shifted away from low ball defensing and to cyclical areas to international markets you

think this will be the story too? i think the international market has some catch up to do efrp time in this recovery if they've had the recovery pick up and international markets have picked up in the united states you are the only person on the planet who thinks that might be working. you think that is a positive and rekindling those have had less and less impact >> i think it was a big assumption to make that they

suddenly stopped working sooner or later, they are working on the impact. >> there is a one-year lag you think about it as we tightened a lot now we are about a year past the time bond yields started collapsing about a year later, we are seeing a pick up now how much room do they have with only 13 to 13.5. what you are saying makes sense i don't understand how we are in that world you are saying both are going to increase, how much interesting to me how long they have outperformed already even the china etf have matched the

spy in this country since may despite the trade war. some of this going on without getting attention when you think of taking the german bund from plus 80 to minus 80. a lot of stimulus in terms of the capital. we have depressed multiples and earnings both could turn upward even though the rate is rising, you think the dollar could weaken, and that could be a assume in terms of exports and multinationals >> a few aspects our gdp growth rate held up a lot better

our yields have held up better and then inflation expectations, when that goes down, it really benefits the dollar. when that goes back up, it retards the value of the dollar. when the dollar comes down, you bring commodity prices up. you praise inflation expectations and bond yields the rest of the world is much more composed by industrial manufacturing, commodity oriented enter prizes in the united states. we are service based inflation benefits the rest of the world more than it benefits us not only do you get a weaker dollar but raising commodity prices >> we were with talking yield d

and looking at almost 10% on the ten-year if you think it is a signal of positive things. >> i think it is a signal of positive things. by comparison. in march of 2018, we have a 22 times earnings on trailing earnings that were rising. we had almost a 3% interests your today, we have about 20 multiple with about 1.9 trezy there is quite a bit of room there. particularly this wall of what i call worry warts that have held a lot more cash. if you slowly convince them of winning more >> i think it is helping part of that is they haven't turned bullish that brings a lot more capital

to the market. i still think there is room. i think we'll see the treasury around 3% again. >> it will be okay probably we'll see how this plays out >> we have this fear of what hatched happened in japan for 20 years even if we go above 2.5. >> the difference between us and japan. >> you can still have babies. >> that's true japan went into an inflationary abyss. they were coming over and buying up our golf courses. >> 30 rock >> we were enjoying their polite no one was there to help them. today, the world is in the same boat they are all massively easing

policy >> i think we'll have a revive al in inflation. >> meaning the good news becomes bad news with all of this massive easing >> i think so. but there is a lot of good news before it becomes bad news every recovery we've had has ended in some sense of overheat hitting it. >> bottom line is there as well. >> we are starting to have productivity pick up we are having the labor force rate pick up we are having a house hold inflation boom we have a strong balance sheet with personal savings. we have a manufacturing session we could revive. odd to have that much left this lace in the cycle. >> thank you for coming in it is a lot warmer here.

>> a bunch of clients back here he told me that's why he's back here. >> the clients are the secondary part he was here to see you >> we are your most important client >> i'm getting out before the cold wave comes here >> it is coming. >> cold from all the warming after the three year hiatus, the zagat guide is back.

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>> time for the executive edge this got us relaunching. in print today after three year hi hiatus is the 2020 zagat guide >> when were you on? >> after the acquisition march of last year we bought it from google google bought it from the founders in 2011 we acquired it last year i thought you were on before then when you had brought it

back >> no. i don't think i came here to tell us our plans. >> at this point, it is going to be coexisting. one is the community rating and infatuation does the panel >> we have a team of people in our cities that they operate in and write the reviews from their point of view. zagat has always been user generated. that's how we made the book and will build the digital platform. >> the book is here for good >> we bought it to continue to push the brand forward in the digital platform zagat started in 1979 so this is

an anniversary so hang on to this one the first time we printed a book it comes out today from here, we'll see where it goes and assess from there we even talked about it before the cameras started rolling. books are nice what we've seen and heard is that they really want this back. it has been gone for three years. we are excited to give it back >> what call can i do with it? >> you can text us with an app it is a discovery platform we had a big audience on instagram. the whole thing is about restaurant discovery helping you find restaurants starting with a certain scenario business dinner, first dates and

dates with your significant other are different. we try to get specific about the situation and back you into the best restaurant. >> social media savvy, were you all linkedin >> we started in new york and were only in new york a long time but instagram really helped us become a global brand moving into other cities, that was part of that google buying zagat really helped us. >> google lost money >> no idea >> what did you pay? i can tell you what they paid? >> i can tell you it was not what they paid >> was it less >> we can tell you less for sure >> money that would fit in a

bread box. >> if i text you, can you get me a table near a waiter. >> no. we stay out of the residence servations we'll help you to one of the platforms that does. we are just about the recommendations. >> how many cities >> 25 with the infatuation and zagat will relaunch in 25 cities and go global after that >> when we come back, burger king is betting big on meat alternatives here in the states and europe take a look at yesterday's s&p 500 winners and losers

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>> good morning. welcome back to "squawk box. green arrows across the board. s&p 500 up by 3, dow up by 20. >> chipotle extends carne asada

was able to source some additional supply. the weirdest thing is that crazy spicy chicken sandwich >> the popeys one. >> sounds really good. i haven't had it >> how good can it be. >> i like how they've been trolling chick-fil-a they brought it back on a sunday they are like ha ha. we brought it in >> very successful place, chick-fil-a. i can't help put think about that mcrib they have a mold parts is parts >> not all parts is good burger king is bringing a plants based burger to 20 markets in

europe it is not the impossible whoper that is a hip here in the united states the dutch company is going to supply a new soy based rebel whoper the impossible burger has not been approved in the eu. it requires further testing because it contains geneticly modified ingredients burger king's u.s. sales rose by 5% in the third quarter. the biggest increase they've seen since 2015. restaurant brands and unilever shares are up a little bit >> so that's not really a impossible or beyond meet

burger it is a veggie burger >> some are really good. ever tried morning star grillers those are good. >> why would i >> low calorie >> that's a reason >> it is not like the impossible burger where it is the same. >> i like regular burgers. >> the 3 g guys. they need some good news they've had a rough run. restaurant brands has not done well so good for them. they've had a terrible 12 to 18 months. >> coming up, boeing is talking deliveries and details on plans for the max jet. disney plus launches today

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>> boeing shares rose sharply after the company said the 737 max may return to service sooner

than expected. the company is expected to report october orderers and deliveries at 11:00 a.m. eastern. someone will be waiting and watching >> that rally sparked by the belief many people had that they are close to the end in terms of getting the max fixed and back in service there are a number of hurdles the company still needs to overcome this sparked shares to move higher faa certification is expected by mid-december the faa will go first and followed by other regulators around the world deliveries can resume once recertification is in place. pilot training rules expected to be set by mid-january. if you are an airline that has received your max update, the fix is in place, the delivery has taken place, pilots have

been trained, you could see service by the end of january. don't expect southwest and american to immediately put it in the air it is off the schedule until likely early march united similar to what we've seen from southwest and american and in the u.s., not only about getting the planes parked and waiting to be updated but the pilot training that is the big hurdle from them and coordinating the schedules and deciding when do we believe there are routes we will find people who quantity to fly the max. you take a look at shares of boeing, the company will be reporting its october orders and deliveries, 11:00 a.m. today we'll see if there is any change on the backlog of the 737 max. you've got other aviation related stocks that moved higher

in conjunction with boeing spirit for example make the fus lodges for the 737 we'll wait to see what those deliveries look like when they come out head of faa talking in washington, d.c. around 1:00 p.m. eastern time. >> that's a big deal what he thinks about it is more important than what we hear from the company. >> obviously i'm not sure how much color he'll give he made it clear when there was this incident of whether the information was shared with the faa. he made it clear, he was not happy with boeing. i'm not sure how much he'll get into that. certainly people will be watching his speech to see if they can read anything into the position of the faa. >> right now for more, we are joined by david bonson

they are earn roughly 35 billio shares of boeing for their investors. sounds like details need to be worked out >> there are i expect other hickups to come the whole thing is messy you have a company with a balance sheet that was at no point threatened here. i've never seen a company have such a difficult year, be the source of so much understandable attention, negative and yet the stock is up 14% on the year. we talk as if this has been this

collapse well off the highs we trend the position on $414. now in the $350s, it is still up not only on the year but the last couple of years $10 billion cash on hand we believe they are going to get through this but it won't be an easy ride. >> what was the good news yesterday. it was clear as mud to me. maybe good news yet the stock ripped >> a good question the answer is that there has been expectation the news was coming and return to service would be delayed the news came that it would not be delayed beyond january. they expect things to rev up in december and be flying in january. some estimate it could be kicked off to april or may next year. the idea three or four months further is not on the table is

what is on the table yesterday >> ralph nader came on and talked about the structure of the plane. if you take it all the way to the scream, what does boeing look like worse case scenario for the max? >> the ultimate tale risk, you can't price it in. if ralph was correct, i don't think anybody would be ordering boeing airplanes >> i'm saying the 737 not coming back much much longer time >> they are generating $13 billion of profits on $100 billion of revenue it is a good margin business and one of the best generators in market history it has been the best returner of capital since about the year

2000 many people have owned boeing long term have a dividend that is almost what they paid for the stock year over year they are a diversified company in terms of 737 max, it would redefine the company how do you price an event into one single stock i don't think that would ever freely happen. if it had, i think it would have been worse for the company they've managed the process well i don't agree with mr. nader's a saesment of a plane built to fall out of the sky. you are talking about a couple of outlier events that were very, very unfortunate it is a good company and a good plane. >> have you been adding? >> we haven't raised the target rating we've kept it steady we wanted to recognize the risk. but we didn't lower the waiting

through it we stayed at same as the beginning of the year. >> that target is what >> 2% of our dividend portfolio. >> thank you it is called swine slurry. >> that's what they make mcribs out of >> you heard from the chef >> i did i looked it up i'll read this later to you. >> please don't. >> i think this is an exaggeration anyway buried in an obfiscation of riched barbecue sauce it says eye balls. >> people are eating breakfast >> they are not eating the mcrib. search out the mcrib

coming up, the big day is here >> bacon >> bacon is like health food disney plus is going to launch about 45 minutes ago we'll take a look under the hood after the break. >> announcer: don't forget to subscribe to our podcast you'll get interviews, original content and behind the scenes access look for us on apple podcast and subscribe to squawk pod today. datadog has become the modern monitoring and analytics

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it is -- i mean, it's an historic day we're all going to remember this day. disney streaming service officially launching less than an hour ago. you were playing some "simpson's" music. >> "star wars" and "simpson's" they loaded right up it looks like the netflix user interface but no glitches whatsoever i downloaded it. popped right up on the verizon wireless phone service. >> paid for -- you write it off with your company. >> i do not. >> i do not. >> the latest entrance into the streaming apple service. steven beck, cg 42 and george salai, international business editor at the hollywood reporter they're missing out on what they used to get from netflix, right? is it going to be replaced by

this >> yeah, it's going to be replaced by this netflix is highly vulnerable based on our surveys, 30% of their user base currently in the u.s. that's 60 million households right now. about 30% of those are vulnerable to switching in the next three months. >> george, do you think iger i feeling really good right now? do you think he thinks this is a pretty big risk late in his tenure >> well, i think he is very comfortable that this is the right direction for the company but he knows that the next few years the company will be losing out on earnings and will be not profitable for this service. he'll hope to get to enough subscribers quickly enough maybe 2025 he can make a profit off of this and show that this was the right call. >> 2025. what would be a good number of subscribers by 2025, george? >> some research that i just heard last night was about 100 million globally disney said it could get up to

90 million by 2024 and i think they're hoping that with the low price they have, the strong brands, pixar, marvel, disney, et cetera, that they can get a lot of subscribers early on and they'll worry about the profitability somewhere in the coming years. >> that's a strategy, steven, that probably bob iger's the only one that could do that because he has a long track record, he has a lot of faith built up with the shareholders somebody new wouldn't be able to do the same thing. >> and he has a massive amount of content that people want and want to watch. our estimates show 45% of current streaming subscribers are planning on signing up for disney plus over the course of the next three months. that puts them well on the way to their goal. we think out of the box they're going to just really kill it and, again, it's obvious it's all about the content it's about "star wars," it's about marvel, it's about pixar, it's about the disney catalog and that's something that the competitive set in terms of

netflix as the main one just can't match. >> can i ask one question though look, it seems to me that this is a good deal for anybody that's got kids in their family, however, it may mean that i am not going to be buying the dvds to this point. >> that's true. >> i can see other ways that it will start to cannibalize other profit streams. >> for $6.99 i probably own every one of these. >> as do i. >> it's a shift but it's a shift that's inevitable. whether they were licensing that content or somebody else or having a direct relationship with the consumer, they're opting to have the direct relationship with the consumer and give them the wealth of content that they have and content that they have in the pipeline, it makes complete sense to go direct >> i was a little surprised to hear you say that netflix users will switch. in other words, you're not saying they will add disney, they will switch. >> in the beginning they'll add disney, but here's the thing about the current subscription business

there's no lock in if you're not using it and you don't want to have it anymore, spending 15 bucks to not watch something isn't going to happen. you're going to see netflix have to respond they're losing two of the main shows that people watch on their network, "friends" and "the office." the other one is "stranger things." that's great are you going to put "stranger things" up against the franchises of "star wars" or marvel i don't think so they have to find content that's unique to them to keep people watching if you're not watching, you're not subscribing. it's that simple. >> george, have you written a story on the new golden age of hollywood for writers and producers of content and everything else? is it happening? how is it not happening if -- are you working on that piece? >> we've been writing this for the last couple of years it seems like every creative wants to get into the streaming space now, whether it's with apple or with disney or somebody

else everybody is excited about this. money companies are throwing at creatives right now we'll see a little bit of a shakeout when we see what kind of original shows work in the streaming space, what kind of feedback disney and others get from fans. you'll probably see a little bit of a pick and choose approach in the coming years saying, hey, let's keep going with these kind of products. let's cut up the content that's not making a difference for us in the streaming space >> is being an agent out there pretty good right now, do you think? who should you focus on, writers, producers, actors all of the above >> anybody -- one of the things i always hear from people out of hollywood is anybody with a voice. anybody who has something to say that they think can really, you know, be a branding piece for new streaming service, something that people can gather around, like the next game of thrones, if you will, so to speak everybody is looking for that hit show. >> big agencies have packaging fees it seems like individual people should maybe get a discount on

what they've been used to paying for so many years with all of the -- maybe with all of the packaging fees >> whining >> i'm thinking they should share the -- >> share the wealth? yeah i'm not expecting that any time soon from my agent bombasti bombastic butchkin. >> you remember that >> totally. when we come back, investing in space we've got a special report on the te olastut of this world opportunities.

the economy front and center president trump set to deliver a speech in new york today we'll tell you what investors expect to hear. huawei battles the u.s the company is willing to pay up one of the company's top security execs live. plus, snap chat just added new glasses that allow you to add crazy effects to their videos but there's a catch. they are very expensive. we've got the details as the second hour of "squawk box" begins right now. good morning and welcome back to "squawk box" on cnbc i'm joe kernen along with becky

quick and we have a cnbc contributor. he is flush at this point. cnbc contributor. >> new york stock exchange. >> that's why i intduced you to come -- i think you can cover your first month of disney with your appearance today. disney plus. >> that and once a week i can get a latte. >> maybe and disney plus all right. u.s. equity futures at this hour are indicated higher again there's been the default position for these pre-market futures for the last month it seems like it's green just has been. yesterday when it started red only came along and ended posi alet's get you caught up on some of the other headlines this morning. small business optimism rose in the mo that monthly index from the national federation of independent business came m at

102.4. that was up 0.6 from september small businesses are still creating jobs, expanding their e will delay a decision on whether to impose tariffs on cars imported from the european union. that's according to e.u. officials who say they have solid indication from the white house that tariffs won't be announced this week. the president is in new york today where he'll be giving a speech to the economic club of new york it's going to be taking place at noon eastern time. it may address u.s. china trade as well. the president, in fact, tweeting just in the last half hour, economy is booming seems set to have yet another record day possibly we'll see. the dow finishing yesterday at a record close its ninth of theyear joining us now, gihan above little our own mike santoli is with us as well. gihan, bracket capital your goal was to take international money and connect

that with some technology stalwarts out in silicon valley and upstarts. >> that's it we focus on growth and late stage private companies. the likes of uber, wework, sp e spacex that's where we focus our investor's capital. >> in the last three months what do you make of what's happening and how does it affect whether your businesses -- some things are even more attractive. >> we have a long volatility strategy we have a lot of tactical allocation we are looking to invest on the second market buying early from employees. when volatility increases and uncertainty increases, we've seen that, it produces a lot of interesting entry points. >> there must have been a lot of interesting things you've seen in the wake of wework. >> we weren't an investor. >> all of a sudden, employees are like, hold on a second >> that's made that conversation a lot more interesting

they thought they were investing in companies that might go public the average is 10 to 12. within that you see interest to access it. >> they think the private space got out of whack. >> yes. >> do new highs in the public markets start to bring confidence back to the private markets? or does it not matter? >> it's been a little bit bifurcated you can go back to 2014 and say the private markets is where all of the aggressiveness, the growth was happening it's almost just that they're not in sync in terms of when we're hitting new highs for valuation. what's interesting about the public markets is they've walled off what they would perceive as excessive valuations and new ipos or they've not received them well. look at the direct listing of slack. >> if we get ebullient, does the new ipo market re-open >> i think it's still open it's a matter of being more selective. i don't think new highs in

themselves the way we're rachetting to new highs tells you that we're ebullient necessarily. >> no. >> if we get there, yeah >> 3500 on the s&p people are going to start thinking -- this is still not the most loved market, is it, that you see? >> we had a guest on this morning saying everything is great. >> he's rare he's rare. >> all around the world is fine. >> gihan, there is a mania that overtook the silicon valley public markets are terrible, we can do everything better than public market investors. i think that's been proved a little bit silly i look at a number of the companies that you invest in and i would put them in that kadri, ai airbnb, lyft, uber they have developed business models, ready to go public they've chosen not to go public and i think it has harmed many of them. is that a threat to your business model >> you know, it really, like all things, depends on entry points as well, right we're not investing pre-ipo post

the announcement, we're three to five years out if things have gone well we're deep in the money by the time that conversation is starting to happen it is true i think there's this new asset class. it's somewhere between venture and public markets, right? late stage private companies that would have been public in any other sort of space and time and so we're kind of in and out trading actively in the secondary market on some of these names. it's less on long-term only buy and hold for the existing portfolio, volatility can affect it negatively it presents entry points and we've gotten more active. >> you like lyft better than uber >> we did. >> did change your mind >> exited a while ago. >> you had lyft? the impossible food phenomenon is going to continue >> absolutely. >> big deal. >> that's a big -- that stuff is right. i think impossible foods and even its competitors sitting out in california you can very clearly see that this is a very, very strong and

growing macro trend. >> what about coin base, crypto? >> i thought you'd ask yeah, we're still an investor in coin base. we're an investor ina variety of picks and shovels so to speak around the crypto universe we don't track it the same way day-to-day that bitcoin investors would. these are intermediate to long-term holds. we are very bullish and we continue to hold. >> if it went away, it would seem like coin base would go away. >> it's highly leaf verivered. >> if it works, it's huge. >> that's right. >> they've made their bet. >> that's right. >> what is the next thing that i don't know about that you can tell me? and that's not a very high bar, but what do you think -- you're out there. your ears to the ground. you've located out there for a reason. >> yeah, absolutely. it's important to be close to the deal flow.

there's a lot happening broadly speaking in the world of artificial intelligence. that's a high level word there are interesting things happening with machine learning, audio interfaces the way we might interact with audio will be less the screen and more audio-based things. there's a lot of very interesting technology and i.p. being developed there. we've been placing investments in that space in recent months. >> we hear from ann winblad. steel pipes. it's not something sexy like social media it's something like enterprise software. >> that actually makes money. >> the place to be. >> yeah. unit economics, to your point earlier on wework, what we have seen in private markets is kind of a retrenchment and refocus on companies with strong business plans and sas and b2b businesses. >> the t-mobile guy, is it based on the hair? >> i wasn't in the room for that conversation but it's --

>> do you understand that? >> i think it's more than the hair. >> they look alike >> they're brothers. >> that's what they came up with is there any synergy between t-mobile and sprint. >> i don't get it. they're going to be $100 million company. is masa going to support john leaving t-mobile to go to wework who's going to run t-mobile/sprint? >> there aren't a lot of ceos that have that '60s hair he's the only one. >> flowing locks >> no. i can think of -- >> who else? >> michael furtick. >> that's not a ceo. >> he was at reputation. >> yeah, okay. he may be in the running who knows. >> richard branson. >> branson branson. branson might. okay that's just a -- >> bill mcdermott has great hair but we're talking long hair now, flowing locks? >> we're talking where you just put the guy right into wework and it's like, wow, we don't miss a beat. >> to your point, tom, is it considered a project as opposed to running this company long

term for wework? is he going to be put there to do a retool and then -- >> is this a jack dorsey is he going to run both companies? >> right >> because of what you're describing. >> that's an interesting -- >> that was my first reaction. otherwise, it doesn't make sense to take a gia way from a $100 billion company where he's done a fabulous job. >> it's all the same guys that have been involved in this marcello. >> michael combs, yes. >> gihan, good to have you here. santoli, come back i know you will. >> for you -- >> i know you will >> you're not here for me, you're here for him? >> well -- >> he was at barons. >> if you want the -- >> he loves barons he loves barons. you still read that. >> barons was great this weekend. xerox article. honeywell. what they're doing darrius with the software. >> he read the entire magazine. >> yeah. >> all right when we come back this morning's top corporate headlines including the launch of disney plus plus, could 5g give a boost

to sports betting? those stories and much more. "squawk box" will be back after a quick break. don't forget to subscribe to our podcast. you'll get interviews, original content, and behind the scenes access look for us on apple podcasts or on your favorite podcast app and subsibtoquk d dacre sawpotoy. robinhood believes now is the time to do money. without the commission fees and account minimums. so, you can start investing wherever you are - even on the bus. download now and get your first stock on us.

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what are you doing back there, junior? since we're obviously lost, i'm rescheduling my xfinity customer service appointment. ah, relax. i got this. which gps are you using anyway? a little something called instinct. been using it for years. yeah, that's what i'm afraid of. he knows exactly where we're going. my whole body is a compass. oh boy... the my account app makes today's xfinity customer service simple, easy, awesome. not my thing.

welcome back, everybody. check out the u.s. equity futures on this tuesday morning. you'll see there are still green arrows we've paired our gains but the dow futures are up 12.5. the s&p gave back a little ground yesterday but it's indicated up by 1.5. nasdaq was also down yesterday but it's indicated up by 6 points right now in our headlines, disney plus is launching today. the streaming video service will cost $6.99 a month disney has spent more than $3 billion on technology and content to launch that new service. disney shares so far this year have picked up quite a bit of ground they were trading around $105 when the year began. right now trading at $137.75. officials in states that allow sports betting now say that the advent of faster 5g

wireless service could be a big boon to the industry wall street journal says the faster response time could allow the way for in game bets and perhaps wagers on every play 4th and 6. do they make it? i can't even -- >> would you get drawn into that world? >> no. i only do one thing. >> the outcome of the game >> the outcome of the game. >> with the points >> although the other day it looked like one team was going to win and they asked me five minutes left whether i wanted to set the for $20 less than i was going to win do you want to cash out now? >> no, i didn't. it went all the way down to the very end where they were on the 1 yard line and i would have lost i had wished that i -- but it's amazing. >> the more you bet, the more you lose the more the house wins. you can't win. >> wait a minute, the house usually wins >> yeah. it's called vigorous no matter what happens.

>> do you have evidence of that? is that a factual -- >> i have a doctoral degree. >> we all know that and here we go -- look who's playing tonight. >> we all think we are greater than average, don't we >> if you break even, i'm happy. you're so engaged. i think all of the sports teams are going to be worth more it's fun you don't live in jersey >> no, i live in new york city. >> so you can't do it? >> go ahead, nanny, nanny. [ audience booing you can -- boo-boo users will receive estimates they say you don't know the gender or status she said the disparate in goldman said that it's looking

into credit card accounts. >> coming up, huawei the battle for the u.s coming up next $96.7 billion. that's the total venture of capital deals through the rsfit three-quarters according to data by pitch book. make fitness routine with pure protein.

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welcome back, everybody. u.s. equity futures are higher dow futures up by 22 points. in our headlines today, disney plus is launching today. the streaming video service is going to be costing $6.99 a month. disney has spent more than $3 billion on technology and content to launch the new service. also, we've been talking a little bit about huawei. is rewarding its employees for riding out the ongoing black listing by the u.s the telecom giant will give staff working to navigate that standoff $286 million in

bonuses. the company says it's going to double pay this month for nearly all of its 190,000 workers joining us right now is andy purdy. he is the chief security officer of huawei technologies u.s.a andy, thanks for being here. >> welcome the reason you're paying your employees is to keep them from jumping ship is it getting more difficult sledding >> it's a commendation for how hard people are working and the stress people are working under. we have to move forward and we're determined i guess it's a thank you. >> the fcc really doubled down last week on their concerns about huawei they are now saying that they're not going to loan money to any of the telecom companies, especially the rural ones, who in the past have taken that money and gone ahead and used huawei and zte equipment they are saying not only will they not give them money for additional equipment, there's a very good chance they'd like to see them rip out the existing huawei and zte equipment because

they think it places a security threat what's your response to that >> this is one of the ways u.s. government actions arehurting american jobs. the customers have proposed it to the government and we're happy to talk to the government about effective measurements that can be implemented, the kind that allow nokia and eriksson to do business in the united states despite their connections. >> the problem is that any chinese company would be forced to cooperate with the chinese government if they were asked to do so and they would not be allowed to tell their customers they were doing that what do you say to that accusation >> well, as henry kissinger once said, even paranoids have enemies. so it's a complex situation. but the fact is, look at what the european union is doing. look at what germany is doing. they know there's real cyber security risk. they're going to implement measures to address the risks

that come from all vendors china can implant hidden functionality and malware in everybody's products we have to make sure everybody's products are implemented. >> you said china could do this. what do you mean trust through verification if there's a back door, it's a high bar to know that that's been put in. you have -- would it be constant checks of what's happening with it >> that's why you have the kind of testing mechanisms that bsi, the agency in germany is studying there are mechanisms as the former principal deputy to our director of national intelligence says. back doors, i can test for those. they can be tested all updates can go through the independent evaluation process that's how we make sure that huawei products eeraren't bad >> by your own admission, if these back doors can be forced to be coded in, i can understand why some u.s. regulators, some

officials would say, forget it, it's not worth the risk. >> but the fact is, our competitors have the same risk china and four other nations in the world have the capability to virtually implant hidden functionality in back doors in everybody's products let's not be distracted by china or huawei. to be safe we have to evaluate everybody's products. >> our relationship with china is more frayed than with those other nations. >> nokia and eriksson does tremendous business. close connections on the ground where china could theoretically implant hidden functionality they're not different in that sense so we need to take the measures as the former head of the fcc said, admiral simpson. we can't be distracted we have to evaluate nokia, huawei and eriksson products. >> you're a spokesperson for the company. yeah, they can make us do it and they can make everybody else do it, too. >> the defense is we need to

learn the lessons from the kinetic warfare. in cyber space we need to be ready as a nation on our allies. we as the last great bull wart of freedom and human rights. we have to implement these relative to everybody's products and the telecom and mobile operators. that's what's necessary regardless where the companies are headquartered, regardless where they're plfrd. >> settimanufactured. >> one of the reasons why you're having a difficult time in the u.s. they complain about the forced technology transfers and the unlevel playing field for these, let's say american companies, to go compete directly in china so i think there's a lot of viewers and business people who would say, well, that's probably a good thing that huawei is having difficulty in the u.s. because we have an extremely difficult time in china. >> as you know, that's one of the primary agenda items for the trump administrations in the trade talks. and the concern that china is not a rule of law nation we see that china is making

steps towards. i'm not saying implemented they've implemented additional protections for intellectual property they've created an appellate court. they've lightened the forced technology transfer. those are moving in the right direction. i agree. that's a major concern that's one of the reasons the trump administration, both democrats and republicans actually, are very concerned about that our private sector and the private sector around the world is concerned about it. >> if there is not a solution that comes any time soon, what will it mean for huawei? how damaging has this been >> well, not very. you see our third quarter year over year results were up 24.4%. profit of 8.7% the fact is, we're doing fine. how much of an impact? it's not clear the american jobs, both our customers, but more importantly 200 american companies are waiting to sell non-strategic parts to huawei. 11 or 12 billion a year. 40,000 american jobs are at risk and if we have to, we will go over seas and buy them right now we're able to make our

5g technology with no american components we want to come back we want to continue to partner with google but if we're forced to, we'll go elsewhere. >> do you think this is trade talks? do you think this is security? what do you think the issue is >> because of the trade talks the u.s. government won't talk with us. there's a continuum of people and their hostility with china some would say don't allow anybody to sell to china don't allow anybody to sell to huawei economic superiority is critical to military superiority. so they want to try to hurt china. but we have to not cut off our nose despite our face. if we hurt americans to hurt china, we haven't improved our position we need an industrial policy to figure out whether and how we want to compete in 5g and 6g >> andy, want to thank you for your time today. >> you're welcome. still to come on "squawk box," wall street bonuses are poised to decline. those details next. then why would that guy at t

mobile with the hair, why would he want to leave t-mobile to run wework tom farley do you want an opinion >> yeah, i do. let's talk about it. plus, google entering the health care arena and raising privacy concerns in the u.s. those stories and more when "squawk box" comes right back. new york state is taking business to the next level. supporting innovative companies that will shape tomorrow and building workforce development and tuition-free college programs to generate the talent companies need. with a $150 billion investment in state of the art, modern infrastructure, and a nation-leading commitment to low-cost clean energy, new york is doing more than any other state to build for the future of your business. new york state, the state of the future. learn more at esd.ny.gov. to take care of yourself. but nature's bounty has innovative ways to help you maintain balance and help keep you active and well-rested.

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what are you doing back there, junior? since we're obviously lost, i'm rescheduling my xfinity customer service appointment. ah, relax. i got this. which gps are you using anyway? a little something called instinct. been using it for years. yeah, that's what i'm afraid of. he knows exactly where we're going. my whole body is a compass. oh boy... the my account app makes today's

xfinity customer service simple, easy, awesome. not my thing. good morning and welcome back to "squawk box" live from the nasdaq market site in times square u.s. equity futures indicated up the nasdaq indicated about 12. >> that will drive you nuts before it drives me nuts. ♪ ♪

>> the little kid thing. >> all right in our headlines it finds wall street johnson associates predicts that equity traders are likely to make out the worse debt and equity underwriters are forecast to see a 10% decline. this comes as the banks are focused on cost cutting. workers at hedge funds and private equity at investment banking advisory firms might do okay the report says they could see bonuses increase by about 5%. back to the story that we mentioned earlier. wework, "the wall street journal" says they're in talks with john legere to take over the office sharing startup i guess you have some comments, tom? do you understand?

can you explain? >> i'm very confused. >> you're confused you have this deal where you're putting together two giant companies. you need to get the deal completed. >> right. >> considerable risk to getting it completed, then you need to effect the merger integration that has massive synergies and you have a ceo that does a really good job. why would the softbank group, which as we nomar sell clare and others own sprint encourage john legere to leave the helm of that integration to run a business, wework, that frankly has less potential? it's a business that rents office space on long-term leases, leases it out to people like me on short-term leases it has tough competition in the u.s. in the form of regis. it doesn't have a particularly bright future. i'm quite confused is this a jack dorsey situation where they're talking to him about running both that would make more sense to me although neither makes a lot of sense than him just running one.

>> you just described how much work and attention it's going to need to merge the two companies. don't you think wework also has some -- >> yes. >> -- needs some tending to? how could you do both? >> i guess i have a lot more optimism about wework as a business and investment than i do the combined t-mobile and sprint you're taking a proven operator, a guy who hoos moved verizon from 4 to 3, you're pulling him out of that and putting him into a less interesting role. >> you don't -- i have i'm just told that we have a prepared side by side you don't think this is what caused it, do you? >> it could be related >> there's leather jackets, there's -- >> i mean, is it that simple the guy can step right into -- but i don't think the last guy had a great track record toward the end, right maybe we ought to get like a bald guy >> is there a way we could super impose one of those we t-shirts

on legere? >> cgi >> it's interesting. it's not immediately obvious why experience at t-mobile would translate into wework business model. >> if this is softbank making a decision that, hey, we've lost face on wework we have to prove this as an investment, we have to -- >> that's what it seems like. >> they've got an $18 billion investment >> yeah. it feels shortsighted. it feels shortsighted to me. >> it's -- number one, i would not be john legere, i would be legere he is a great singer has great tunes, doesn't he? >> yeah. >> all right >> john legend >> legend. not legere different guillen materially the great space race morgan brennan is going to join us with the story of out of this world investments. hey, morgan.

>> reporter: hey, joe. well, this one is for you because i am betting that you remember the apollo program. it was engines like the ones behind me that saturn 5 that launched american astronauts to the moon this is one of the reasons that huntsville is known as rocket city, but there is more to the area than just space and we have e earyomg aerinupft thbrk. ng. the problem is corporations and the people who run and own them have purchased our democracy. here's the difference between me and the other candidates. i don't think we can fix our democracy from the inside. i don't believe washington politicians and big corporations will let that happen. the only way we can make change happen is from the outside. for me, this comes down to whether you trust the politicians or the people. and if you say you trust the people, are you willing to stand up to the insiders and the big corporations, and give the people the tools they need to fix our democracy.

a national referendum. term limits. eliminating corporate money in politics. making it easy to vote. i trust the people. and as president, i will give you tools we need to fix our democracy. i'm tom steyer, and i approve this message.

weveryone, looknk isn'tat your phones. the design thinking, the digital engineering, security, blockchain, and we will be first to market! yes. when we do we launch? unfortunately, in 2 or 3, hours. why the delay? cognizant is helping banks use digital technologies at scale to advance speed to market.

welcome back, everybody. the renewed space race has one u.s. city cashing in it's rocket city, huntsville, alabama. that's where we find our morgan brennan. rocket city has been a moniker for how long, morgan >> reporter: since the 1960s really since the 1950s with the launch of the first redstone rocket before that it was the watercress capitol of the world, becky. huntsville's very much a government town, and that's thanks to redstone arsenal which is its own census designated place and the area's top employer also thanks to nasa and the marshall space center has $4 billion impact on madison county

resurgence in defense spending and burgeoning commercial space economy is fueling the growth. there's more to this story as well it's called rocket city u.s.a. home to the highest concentration of engineers per capita, an education system that teaches s.t.e.m. starting in elementary school and the long standing ties to aerospace. >> we have legacy. so our aerospace heritage, we work hard to make sure we maintain that. 400 aerospace companies in our market very rich concentration of them and a lot of expansion in that. >> reporter: now huntsville is a manufacturing hub catering to more than the federal government. >> polaris spent money to open a factory here after vetting 100 sites across 16 states scott wein said it was an easy decision. >> i think the long standing commitment to engineering that's been in huntsville for so many

years, since world war ii really, and then with the redstone arsenal there and the army stratcom there as well, there's a good infrastructure of personnel. >> reporter: polaris isn't alone. ge aviation opened advanced technology and lg technologies is building a plant. toyota's engine facility and the joint venture with mazda is building a $1.6 billion factory set to open in 2021. even tech is taking up residence with facebook building a data center. >> i think one of the reasons we've been successful is we've always been, you can call it picky, we call it selective. >> reporter: so basically bragging rights backed by big numbers. from 2000 to 2017 the huntsville metro area has seen population, jobs, and wage growth that have been twice the rate of the

nation also, unemployment rate that is a staggering low 2.1%. guys >> good football players, too, morgan thank you, morgan. >> reporter: yes, that, too. >> for a closer look at investing in space, let's welcome chad anderson, ceo of vc firm space angels. chad, the point that i guess you need to get across is that this is not a 20, 30-type endeavor that you're doing right now, but you need to convince me that there are near-term profit potentials for some of these companies that you're investing in once you do that, give us the nuts and bolts about what some of these companies actually do it's fascinating, but it seems like it's still a ways off into the future. >> there is a ton of activity over the last ten years. there's been $25 billion invested into 500 space companies. unique space companies over the last few years before that there wasn't a whole

lot of anything going on entrepreneurially speaking it's all very new that we've seen the barriers to entry come crashing down in space x and they've brought transparency to the market by publishing their pricing. this is what's enabled all of the new startups and companies to come in. >> it's not a vc space ship. you're one of the biggest vc companies and you do $30 million. they're talking about $100 billion ep did he ever is expected to be 30 million out of 100 billion, you're not -- it's not a vc really type space yet. >> i would argue that it absolutely is. >> why didn't you put more than $30 million into it? >> because we're ten years into it spacex brought down the barriers to entry there was a dozen privately funded space companies in the entire world before 2009. spacex came along and we've seen new companies building on the

back of that access to space so we have invested in more space companies than anyone else on the planet. i can tell you there is money to be made here, especially in the early stages. >> but let's say it's 100 story building i would say we're on the second floor, aren't we >> that's where we're trying to make it. it's very new. >> yeah. >> we're definitely not on the first floor. >> resigning like living quarters on the moon, right? >> yeah. so space today is a very large market we make a lot of money from space data if you think about gps, it's a great place to start >> right. >> gps was initially funded by the military, there was a lot of infrastructure and investment. there was companies like magellan, trimbol, made use of that, propagated that. we've seen what the tech community has done with that most of the venture returns that we've seen are driven by companies based on the gps signal the same thing is happening with

geospatial intelligence and satellites going around the planet taking images. >> for what kind of use? >> all kinds of things agriculture. this is new. we're seeing the demand is coming from agriculture, insurance, construction. you can think anything that's a big asset that you want to monitor at a global scale, different channels. >> i've paid close attention to the virgin galactic acquisition. i run like chamas that merged with virgin galactic the retail was very supportive institutions were more skeptical, uncertain about how many people will want to pay a lot of money to go to space and take what may be some safety risks on and so forth. are you bullish on space tourism as a business? >> so i think that this is a very exciting thing to happen and it's great to see that one of these new companies is going out and making -- you know, taking the bold, brave stance and going public i think running a human space flight program on a quarterly

schedule is going to be challenging and we'll see how this plays out we're not invested in the sub orbital space. we are interested really in the data that comes from space geospatial intelligence. >> would you like to go up in space with virgin galactic, you personally >> i certainly would i've already done the training so i'm not a ticket holder now, but i do think that both that i recall offering and blue origins new shepherd vehicle are both very compelling. it would be a lot of fun >> you >> no, i don't -- just because of fear. you know, that -- >> yeah. hello? that's the rest of us. >> that sounds mean. >> what else would it be you got something else you're doing? >> no, i've got -- yeah, fear. fear abject, overwhelming -- >> i could get over that though. data if there's a whole bunch of safe flights, i could get over it

and, yeah, it would be fun. >> you don't jump out of airplanes, do you? >> no. fear. >> zip line? >> yes. >> that's as bad as it gets for me really deep bunkers like -- a tough course anyway, thank you. good luck. first floor. >> thank you second floor >> second floor? >> sikd floor. >> okay. >> ten years in. >> ten years in. a lot of up side. when we come back, microsoft president brad smith will join us live. plus, don't forget to subscribe to our podcast you'll get interviews and behind the scenes access. not what we talk about in the commercial breaks though, but you can look for us on apple podcast or your favorite podcast site you can subscribe to squawk pod today. see ya ♪ ♪ ♪

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welcome back, everybody. the supreme court is going to be hearing oral arguments today challenging the deferred action for childhood arrival program known as daca. the court's decision to affect hundreds of thousands of dreamers in the united states. president trump tweeted, many of the people in daca, are far from angels some are very harened tough criminals. if the supreme court remedies with overturn, a deal will be made with dems for them to stay. joining us now is microsoft president brad smith microsoft, we should point out is the only company that is a plaintiff before the supreme court to defend daca

the company has more than 5,000 employees who are dreamers brad, thanks for being here. >> thank you >> before we jump into the heart of this, let's go to the president's tweet. i believe he's incorrect if you're in daca you could not have been committed a serious crime, is that true? >> you're correct. you must have documents and have arrived in the united states before 15 years old. you have to have lived here five years. you have to be a high school graduate or veteran and you cannot have committed any crimes so you are correct >> microsoft is the only company listed as a plaintiff. to we had other companies in support of daca. >> the very day that daca was rescinded back in 2017, we said we would stand next to and stand behind our employees as you mentioned, we have more

than five dozen employees who are dreamers doing great work for our company. and the opportunity 0 rose beginning with princeton university and a princeton student to bring that case we brought that case and as you pointed out it is now one of the cases before the supreme court today. >> three courts on this have ruled. however, the president seems to think the supreme court that has more supreme justices on it will rule in his favor. what do you think the odds are >> well, this is our fifth case as a company before the supreme court. you never know when you walk into the room where the justices stand. the truth is you don't completely now when you walk out of the courtroom either. i will say, i feel good about this case. i think our legal argument is clear. we're not arguing that there's no way for the administration to rescind daca, but we are saying it wasn't done in the right way, in this instance it was put together quickly.

it was put together on a very narrow legal rationale that we don't think stands scrutiny. and from our perspective, this is an important opportunity to, frankly, encourage all of us, whether in the executive branch, congress or the public to keep focused on what we're ultimately going to need, a legislative solution and a permanent pathway to citizenship for these dreamers >> brad, ultimately, i suspect we're going to need a congressional fix here in order to do that in the dreamers' favor, you're going to have to win the hearts and minds of the american electorate and public yesterday, we did polling that said illegal immigration is the number two concern across the united states' electorate. and i think in some corners people view daca as a form of amnesty. and in that respect, it sets a bad precedent. so when i say hearts and minds, really appealing to compassion

and empathy, these are people effectively told now you're here, certainly not illegally, but perhaps even legally do you think the hearts and minds are being won? do you think that battle is being won or not >> i think the american public wants to see some immigration reform they want to see border security but they also want to see the kind of steps we're talking about for daca this is not an everyday immigrant. these people came as children. you know, let me describe one of our employees. he arrived in the united states when he was 4 months old grew up in poverty got a computer science degree from cal poly. is now doing important work on our a our azure technology supporting the united states and the pentagon it would not only be cruel to support someone who a country

they have lived in since 4 years old. it's bad for america it's bad for immigration, it's bad for the economy. these are good people. 650,000 daca residents, well educated, serving in the united states military, serving in this country every day. >> brad, even if you win, though, even it just leaving it up to the administration to find a different way of rolling back daca >> well, the truth is, as you all have noted, there will come a day when we need congress to come to terms with this issue, when we need a bipartisan solution on the daca issues. now, this case is still, i think, of great importance if the daca rescission is upheld by the court, that means that all of these people would be thrown into limbo next summer, and we would be trying to go to congress in the middle of a presidential campaign. that is not a recipe for, you know, reasoned bipartisan action i think we need and we hope the

supreme court will uphold the ki case that we won below we will ultimately have to find our way to congress. we would love to do so sooner than later, but we need to be politically realistic. we have got to see the right time come together to protect these people >> brad, thank you for joining us >> thank you coming up, president trump is in new york today to give a speech on the economy. later, our newsmaker michael dell will join us later. you're watching "squawk box" on cnbc

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president trump set to speak on the economy today we'll tell you what to expect on the trade wars and how the impeachment hearings could impact the markets a whole new world. ♪ a new world >> disney jumping into the streaming wars we've got early reviews and what it means for the competition. and a pc pioneer, dell founder michael dell will join us live agency the final hour of "squawk box" begins right now. ♪

good morning, welcome back to "squawk box" here on cnbc live from the nasdaq market site in times square. i'm joe kernin along with becky quick. andrew is off today. our guest host, tom farley, u.s. equity futures are up today. in the green, a little bit anyway we'll see what happens as the actual regular session starts, right at 9:30. at east the bond markets opened today. we didn't have that yesterday to trade from up about 19, 9 on the nasdaq there you can go the bond markup, 194. and cbs out. >> out with the earning, it looked like the number is an adjusted 95 cents, that's adjusted with the 92 cents that the street was anticipating. $3.357 billion the company talked how the

affiliate and subscription fees up 12 fees from network-affiliated stations and the revenues that came from it advertising revenue was down by 7% in the third quarter of 2018. the company says that's when they had record political advertising sales that were fueled by the 2018 midterm elections. we know what's just around the corner wonder what that might mean for all of this. very quickly, taking a look at cash flow, cass flow was $127 million compared with $137 million compared to last year. trying to look through they say the decreases over that period of time, the nine months for this year versus the nine months of last year mainly driven by increased investment in content and nonrecurring income tax payment in 2018. take a look, shares down by 8 cents. let's get you caught up on other stories that investors are talking about today. more tensions in hong kong overnight. a flash mob of 9,000 people

blocked roads in the central district police fired tear fashion and trying to break up the protests. carrie lam speaking at a regular media address said that the protesters are paralyzing the city and said that they're self-ir. boeing said it expected to accept deliveries of the 737 max planes as early as next month. and the airplanes could be expected to start service as near as january. boeing has completed tests of the software with the faa in a simulator. that's just one part of a checklist that's required to return planes to service you can see boeing's shares down 0.4% after being up sharply on this news. and today is launch day for disney's new streaming service disney plus. disney spent more than $3 billion on technology and content prior to the launch. the stock has already been up a

couple times this year based on this news that they've been awaiting for today and president trump is set to deliver a highly amended speech at the new york economic club today eamon javers joins us. i ask you to go out an a limb. >> okay. >> are you expecting president trump to talk up the economy today? that's something, are you willing to -- >> i'll put on my pundit tree hat and the answer is, yes this is going to be a victory lap, right the president wants to talk about the economy. wants to talk about the records we've seen in the stock market over the past week what everyone is watching for here, to see whether or not the president is giving any hint on china trade. there's a report in reuters this morning that the president is expected to hold off on eu auto tariffs. i'm today, though, that is not in the draft of the speech that's been circulating in the white house today. he is going to make that announcement we don't know if he's going to

make it today. it's scompeblgexpected to not b speech what is in the speech, joe, all of the highlights including on the screen, president is going to talk about lower taxes, deregulation, fair and reciprocal trade he always talks about that word reciprocal he's going to talk about record low unemployment, rising wages, soaring confidence all of the pieces that he talks about the trump economy as we go to marine one, the helicopter, the president talks about these as well. this is a formal way for the president to wrap up all in one big speech and, of course, everyone is watching to see what he says about china. >> have you seen a draft >> i have not seen a draft i've talked to people who have seen drafts. >> you have talked to people who have seen the so-called leakers? >> that's right. it's our job to -- >> i understand that how much do you actually think

you know about what's in the speech a lot or -- >> i think i know about four sentences. i don't think i know much. they've been keeping this very close to the vest. i've been pinging everybody trying to get an indication of what's in there. whether he's going to say anything significant on china. whether he masshas a rabbit in hat. >> do you think this is a last-minute decision >> they're all last-minute decisions in the white house the president keeps it down to the wire and very keen and keeps it to the last minute. anything that's happening today we're not hearing or fed >> do you have an idea that he wanted to come before the economic club of new york to make a speech is significant in itself he has something >> right, the venue itself would suggest -- >> who is the lead author this week >> donald j. trump >> like everyone else, i find it a lot more entertaining when he speaks off the cuff. >> yeah. >> are you expecting them to read a speech or donald trump in

a rally? >> i think both. we're expecting him to read the speech but the president is a master of commenting on the teleprompter he'll say "that's so true, that's so true." or he goes off on a jag. >> is it possible that he goes off on one of his patented -- is he going to call someone little or something like that >> absolutely. >> i think for the economic club in new york -- >> i don't know, there are a lot of little people in the room maybe somebody -- little michael bloomberg was the most recent. >> i heard a person that was called little in this administration >> the three of us were in davos three years ago when trump came. that was the happiest i've ever seen him he was walking around the room like say returning -- >> he knew i was going to interview him. >> he's moved out of new york. and he will assail new yorkers at times but it was clear in that community, coming back as the

president of the united states made him very, very happy, proud and at home. i think this is that square to some extent. being in the august new york economic environment >> even though he's a florida resident >> this is a person who ultimately wanted acceptance of the new york financial league. and never got got iit, despite f the billions -- despite the names on the hotels he was never accepted as a true insider now, he's the ultimate insider he gets to walk in that room, not just agency a member, but sort of the king of the room >> eamon, thank you. let's bring in david whetsel who is the director of the monetary policy at the brookings institute. vince rinehart who is mellon's chief economist. vince, what are you anticipating to hear from the president today? >> i haven't gotten the draft of the speech either. but i think we can pretty much

know there will be a strong point to job creation income, of a well-performing economy. what i'd like to hear like most investors, we're kind of needy we'd like to hear the direction of the u.s./china trade dispute. we'd like to hear support for the effort on the hill the past usmca deal with the mexico and china and we'd like but not likely to not hear about auto trade because anything he would say about auto trade probably would be negative. >> david, let's run through the list, in terms of the mcaa, it's up to the house to take action on that. but the other two items are unilaterally under the president's control. that's trade with china and the auto sectors in terms of the eu tariffs that may or may not go on >> that's right. i think people in the audience all know how well the economy is

doing. they all know there's a risk for the economy going forward. for the people in the room, there's a lot of focus on whatever he says about u.s./china particular. i think the auto tariffs are alarming to a lot of people. i'd go with what eamon says, he's probably not going to use this forum to announce one thing or another i think the focus will be largely on china i think one thing that's interesting, all of the people who sit behind him at the new york economic club, the board of directors, how many decide not to come today because they're not comfortable with donald trump i've heard there's quite a few >> i'd be surprised if there was an empty dias. >> you're getting out the popcorn, is that what you're saying >> no thanks >> getting out the popcorn to watch. vince, let's run through the idea of china. now, he may not touch on the issue of car tariffs for the eu. but there are questions that will be asked afterwards, as

well my guess is among the questions would not only be the eu potential car tariffs, but also what he thinks about the fed and where they're they h're headed right now. is that something to push or rock the stock market even higher >> on any given day, the president could resort to twitter to send his message about the fed. hopefully, we don't hear about jerome today because it's not particularly productive the problem for the fed is they have to base policy on an outlook. and the outlook importantly depends on what donald trump is going to do on trade they just can't say it out loud. >> what do you mean? >> would you be able to write an fmoc statement that said we put insurance easing in place because we were worried the president might do something bad on trade >> right, right. >> really hard to do so, they have to be quiet about

that >> hey, david, we have watched yields start to push back higher looking at the ten-year almost at 2% today. the ten-year at 2%, i should say. that is something that a lot of our guests today have said, look, that's because the economy is improving and things look good what do you think about where it's headed and potentially what that means? >> well, i think the risk of recession has receded in the minds of forecasters in the market that's a good thing. i think the fact that the fed cut interest rate 75 basis points gave the economy a lift i think therisks remain. the two big risks, one, trade war with china resumes i think it's interesting it was september 2016 when he was running for president that trump went to the new york economic club and made this very hostile protectionist speech it's interesting what he says there now. that's one risk. and the other thing is the global economy is slowing down europe is particularly weak.

and china because of what's going don domestically i think that remains a risk. for now, my feelings is people are doing better earnings are going strong. i think that's the missing link right now. >> david, do you think this is likely to be some sort of a policy rollout, though >> no. >> no? >> no. i think this is rah rah, look at the great job i'm doing as an economy. you are lucky you have me as president. i think that's the message >> i'll be there today keeping score for the markets if he pushes on-- >> you're going with david and not going to show up >> i'll be there and i'll be on the dias, i'll be on the dias for the jack mott speech >> and i'm on the board. >> you're going? >> yes >> no facial expressions you show up behind him, and

we'll all know what you're thinking >> my question is what will he say about china will cause the markets to jump because investors will be excited? or is there anything they can say? >> yeah, i think if he's optimistic and says we're close to a deal that will cheer people, i think that's what he's hoping for or if like bob lighthizer saying we're not getting anywhere they're wrong. i think people will be disappointed people want to know what are the odds that we get a cooling-off of the trade war in the next few months i think the president knows how important that is to the market and business investment. he has to triangulate this he has to worry about his base people in the community and ordinary citizens think it's time to get tough with china but he has to be careful not to spook the markets as we goes into the election fight. >> david, thanks for your time >> you're welcome. >> eamon, see you later.

coming up, could they be the new goggles and facebook and tech pioneer michael dell joins us for a wide-ranging conversation on the biggest headwinds and tailwinds facing his sector stay tuned you're watching "squawk box" on cnbc when we were looking for a roommate, he wanted someone super quiet. yeah, and he wanted someone to help out with chores. so, we got jean-pierre. but one thing we could both agree on was getting geico to help with renters insurance. ♪ yeah, geico did make it easy to switch and save. ♪ oh no. there's a wall there now. that's too bad. visit geico.com and see how easy saving on renters insurance can be.

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welcome back to "squawk box," everybody.

you've been watching the futures this morning the dow is up by 20 points we've been in the green all morning long s&p is indicated by 2, nasdaq close to 10. the closure to the apple card goldman sachs has denied accusations of gender bias lowering the expected limits goldman's retail bank ceo says the company does not know your marital or gender status during the application process. the disparity in credit lines may be because existing cards or supplemental cards under a spouse's primary account which could result in lower personal credit history goldman says it's looking into the ways for family members to share a single apple card account which could address the issue. google's issues with health care is raising quality concerns "the wall street journal" found that google collected patient records for millions of people across 21 states

it didn't notify patients or doctors. the initiative is code named "project nightingale." it's an initiative that represents doctors, offices and other facilities "the wall street journal" report says at least 150,000 google employees have access on tens of thousands of patients including names, data like health histories. google is trying to use ai and machine learning to improve patient care and lower costs it says the health records won't be combined with any consumer data it's actually not a violation of hipaa because it's used to improve patient access and care over time but you can understand how they're concerned about this when patients and doctors aren't notified it's happening. when we come back, disney joining the fray launching the over-the-top video streaming service. we'll tell you who is poised to

capitalize "squawk box" will be right back. ♪ still to come -- a technology pioneer on the industry's biggest challenges and opportunities. dell founder michael dell joins us in minutes with his views on tech sector growth, deal-making and headwinds out of washington. stay tuned you're watching "squawk box" on cnbc platform in the cloud age. when we started datadog nine years ago, our mission was to break down silos and bring teams together. nearly 9,000 of the world's most innovative companies rely on our platform daily to run their business and delight their own customers. we see a massive opportunity in the years to come, and as we celebrate today's milestone, we are even more excited about the future. congratulations datadog.

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i am alfa romeo. welcome back to "squawk box," everyone the futures this morning have been indicated higher. dow yesterday was up, thanks in large part, to boeing, which came out with news that it anticipates it could see some commercial aircraft back in the air. some of the 737 max that's been grounded by the beginning of the year, sometime in january. you can see right now, dow futures are indicated up once again this morning by 21 points. that's off of the new high set yesterday. nasdaq up by 11.

s&p, by 2.5. disney longtime streaming service disney plus rolls out today. it's got big implications for the company line and streaming, too. julia borinstein joins us. >> reporter: that's right, today's centerpiece is disney. and disney strategy, disney plus for $70 a month or $70 a year has ten original series and two original films that launched along with 700 tv episodes and films. these are disney's flagship brand along with pixar, "star wars: the last jedi" and national geographic. disney's shares have gained about 17% and netflix has lost 19%. today's launch isn't just about competing with netflix and hbo max. it's part of disney's advertising strategy disney is bundling with who in

espn and it does have ads. and now disney is opening to gross digital ad audience competing with viacom's pluto tv, youtube and peacock. disney has projected that the digital ad market will be worth over $50 billion by the year 2022 and growing hulu by offering a discount with disney plus is one key way to tackle that market. becky. >> julia, thank you very much. by the way, with its streaming context, how is it going to compete with netflix joining us is rich greenfield, technology analyst at lightshed partners and jim stewart, a columnist and cnbc contributor jim, what do you think, in terms of the pricing, what's it mean for disney >> well, i think the pricing is

aggressive >> aggressive meaning low? >> meaning low it's shock waves, with the whole media when it came out with that price. look, they're investing for the long term. i think that's smart they're going to get a massive base in there. and as we've seen netflix raise prices, when they can, they'll raise prices it's kind of amazon strategy is that everybody wants to put into play which is, you know, trust us, this is a long-term investment and there's going to be some high costs and it's going to pay off. i think that's clearly the strategy >> rich, are investors going to be patient >> disney is telling the entire world the cable bundle is dead they're just owning it, right? instead of fighting it and trying to battle with investors saying no, no, it will be okay, they're literally saying we're putting our best streaming on.

they're telling us, fx content, it airs on fx, if you have charter or context, a few hours later, it's going to be on hulu. you don't need a cable bundle to watch "american horror story." all of it is on hulu without the need for cable i think this is disney acknowledging that the future is streaming. the only problem is they have this part called espn and there's no strategy for what happens with espn. they just have the right spot. >> are the investors out in the next several years or is there a turn that says hold on a second dollars being traded for a digital time? >> this is a real challenge, becky. you're trading big profitable cable networks that people bought whether they wanted them or not people watched dvds whether they wanted them or not big markets -- you'd have to be

literally not on planet earth to know disney is not happening and companies like netflix are only focused on the future there's no balancing disney is getting more aggressive between prices. jim just talked about, they're getting more aggressive than people expected them to be >> yeah. >> but this is still from an investment standpoint, earnings estimates a year ago for 2020 were $8.30 now they're sub-6, and some say $5 it's a challenging execution >> it sounds like betting the house, right, jim? >> this is relation father they're abandoning the cable and they're also abandoning the concept we make it and we distribute it. now they're going into full bore with the streaming

that is i new business for them. >> does that mean they're gathering information and finding a way to get some of this back on the massive database >> i assume so that's the digit sal world >> right >> that's what every tech company has done it's been the holy grail i think it's definitely part of the strategy >> what do they need to charge when, you know, declining cable bundles, what will they eventually need to charge for disney plus to be as profitable as they were last year what's the monthly price >> well, there's two aspects one is when do they put their best content on to disney plus right now, their best content is still going to the movie theaters so if you want to see "frozen 2" it's in theaters and itunes sand amazon and six months after theatrical. if they end up with day and date like netflix is doing with movies like "the irishman" they

could charge $15, $20 a month. >> you got to remember i was thinking through, i own every one of these dvds. if i don't have to buy the dvds anymore, if i don't have to do those things there's more than one or two revenue streams that make an impact >> that's true the question is what's the future ric original programming is there. i got up the 6:00 a.m. this morning and watched -- >> you got up at 6:00 to watch that >> i did they make you wait a week to watch the next episode there isn't a lot to do. i think the low price is emblematic of the fact that there isn't that much new content. >> ala apple, right? >> i do think disney has a cost advantage here because they own so much of their property that they develop on their own. >> they have their own library >> bidding war is going on with

apple, amazon. the money they're shelling out is massive disney is not getting involved in that. they don't have to do it that is where they're very good on production and capitalizing on intellectual property in terms of where this price ends up, i think a lot of that is how many of these things survive fun end up with three major streaming services, they're going to start moving the price up pretty dramatically >> the other thing to think about, most tv shows that have been successful in history have not come from movie franchises if you think about the most iconic tv shows that you love go all the way back in time the only one that jumps off the page is "m.a.s.h." that started as a movie -- >> that started as a movie >> "american graffiti. >> oh. >> the idea that you're creating original movie ideas

movies into tv shows is something new. we'll see how well disney does the big part of the strategy is to take movies, mandelorean. >> and these are never been iconic tv shows that the whole world feasted on we're going to see how well it does, my first impression of man mandolauren. it's a mass audience the way avengers feels mass audience >> are large sports going to be on disney plus >> well, they have espn plus and there are live sports. it's more niche sports not like "monday night football" on last

night. the court cutting 4% decrease year over year in q3 2019 is what we've just seen reported comcast, your parent company, increasingly focused on the broad band and moving away from the video business it raises the question how many video cable subscribers there will ultimate eyly be. >> because of sports >> the 44 are the die-hard sports fans. the problem is is that a business for a business like espn hard to support multiple dollars of dollars of football when you only have so many subscribers. >> live sports is keeping everybody afloat you don't think that exists anymore, even with a property like the olympics or something >> look. i think it keeps a reason for these channels to exist. the question is, if you're not a sports fan, why do you need to bundle the best content, apple tv plus,

"stranger things." >> the first thing i go to on tv is through the guides to see if i want to watch that then i go to the others. >> i don't think that's the behavior of a younger person >> ooh >> morgan brennan said you remember "the apollo." >> i said, i do remember, morgan and it wasn't tom hanks. julia, will it be referred to as the good old days where we are some days? >> there will never be a business as profitable >> will there ever be new days for disney >> if you're a consumer right now and you're watching content, you'll have more options if you are selling shows -- >> what about -- >> well, i think -- he has a couple more years left on his contract

what we're going to see here is this transition where they're going to try to make a lot more money from this direct to consumer model and trying to figure out how to monetize that advertising piece that i mentioned remember, if they're not sharing that ad, they're really going to be targeting ads digitally, able to understand who their consumer is and make those ads so much more valuable on hulu and espn plus, the bases of opportunities down the line to benefit from that one-to-one relationship with the consumer. i think it's going to be a couple years of tough competition and aiger has talke about the high costs five years from now, we'll not see the streaming services we'll see it whittled down and new bundles, right >> i don't think will ever be a business as profitable as people

paying $9 a month. it was terrible for consumers because consumers hated the cable model they were locked into it. and now it is a golden age >> it's like that new poll out over the weekend saying they plan on taking 3.8 different subscribers and willing to f iiy $40 for it anyways so we're right back there. >> nobody has to install a cable box. wait on hold you literally click on and off, you pause your subscription. it's literally that easy youtube tv lets you actually pause. if you pause for six months, they keep your dvr in the cloud. they encourage you to pause. >> disney is already getting to the point where they lock people up for three years is that going to be the point that you can no longer do it on a month-by-month base to

maintain revenue control or know what's coming for the course of the year >> it's hard to lock people. i remember wwe early on, my colleague brendon ross covers it they tried to lock people in for a year people hate being locked in. people like the ability to choose -- directv, remember, used to try to lock you in for a year i do think we're in the world where people expect, table stakes is an ability to cancel at anytime there are people who have the money to afford a long-term plan i took the four-year plan do for disney plus. that was a great deal for $4 a month. i think it's hard to get away from that. >> rich, jim, thank you for joining us for those of you at home desperately googling for sports coats that jim is wearing, that is not a sports coat that is a suit >> it is a suit >> did you notice that

>> nice. >> it is but it works -- i thought, wow, that's a great sports coat holy-moley, those are pants. >> you can wear it either way. it's very flexible >> that's a good idea. all right. coming up -- would you do that >> yeah. >> i think you could >> yeah. all right. the next wave that could become household names. we're going to talk about the hottest new companies attracting attention around the world as we head to break, make sure to subscribe to our podcast, squawk pod to get interviews or on your favorite podcast which is word which is like two years old. stay tuned we'll be back. gentlemen ♪ for the drive to create a new kind of family car, that became a new kind of race car. for the drive to rebel, zag. for the drive that's inside you.

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♪ it's been a tough year for some high-profile companies that took the plunge and went public in 2019. just take a look at uber and lyft, those stocks broke down by 40% since their ipos the startup boeing, well, you've seen the performance for this year of course, what about the little guys that get overshadowed by bigger players that seem to suck up all of the capital attention. our very own kate rooney joins us it talk about the new bets. it's great to see you. >> we're0 st comprised of early

startups these names are part of a $30 billion wave of funding that's gone to young companies this year alone each are scored on metrics like scaleability and sales growth. not all from the tech hub of silicon valley, though we've got entrepreneurs in ten different countries, six u.s. states, one from d.c a quarter are led by a female founder. fintech and cyber security were the early winners for early investments. multiple winners, early defense force alumni and going up against amazon for cashier-free shopping. despite the big names, big names are starting to come in. you've got sequoioa. the company hechacite bought by

microsoft. and some of these team sob chto cheaper than the frothy ones like upstarts like uber. >> kate, that's where the action is we were hearing from an investor earlier today, if you get in early, that's still the place where you can make money >> absolutely. we've seen interesting names there's a lot of corporate capital. qualcomm and big names like kleiner perkins. cyber security and enterprise software seem to be the big bets for them this year >> kate, we should say our very own kate rooney who starts with "squawk box" and now we're watching very proudly in silicon valley great to see you, kate >> you, too. coming up a special

interview with tech luminary michael dell we'll get him to weigh on the heat on capitol hill and much more stay tuned you're watching "squawk box" on cnbc ♪ only one thing's more exciting than than getting a lexus... giving one. this is unbelievable! >>it really is. the lexus december to rembember sales event lease the 2020 rx 350 all wheel drive for $419 a month for 27 months. experience amazing at your lexus dealer. dana-farber cancer institute discovered the pd-l1 pathway. pd-l1. they changed how the world fights cancer. blocking the pd-l1 protein, lets the immune system attack, attack, attack cancer. pd-l1 transformed, revolutionized, immunotherapy.

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welcome back to "squawk box," everybody. the futures this morning are indicated higher but they're barely hanging in the green right now. dow futures up by 3.5, s&p up by

2. and nasdaq by 4. the new decade of technologies that can help firms utilize and gain insight from data joining us michael dell, founder and ceo of dell technology michael i don't know if you're ears were burning. we were just having a conversation about one of the things that you're introducing today. that's what we want to ask you if you can explain in layman's terms. i just read it to tom farley an on-demand consumption-based azure delivery model for the industry's broader structure portfolio that combines flexible payment models from infrastructure solutions from edge and end points from core to data to cloud. i said, i don't think michael knows what the hell -- you built a pc in your dorm room are you tech savvy enough to understand exactly what you're doing? and you can explain it to tom,

becky and me >> sure. well, great to be with you all good morning look, what we're doing is creating the infrastructure for this incredible explosion in data that's occurring in the world. and what we're really talking about is how do you automate this infrastructure. so organizations can focus on outcomes and results from all of that date. you know, you know what's going on in the world today is that everything is becoming intelligent and connected. and that data, along with artificial intelligence and machine learning is being used to create better outcomes for all kinds of organizations, for the whole society. so, you know, this is largely called the digital transformation but behind the scenes, it requires a mixed generation of autonomous infrastructure. we're allowing our customers to consume that any way they want >> that's the thing.

>> on-demand bashes. so there you go. >> instead of one size fits all and you pay a huge amount of money. this is consumption-based, on-demand. you need it, you get it, that would be a big step forward from what's around right now, is that right? >> pay as you go you know, i think if you've been watching our business, you can see that it's been transforming. you know, last quarter, our deferred revenues grew 17% year over year, to $25 billion. operating income grew 30% year over year. so the growth in software and services has been significant. and we've changed our business in the last, you know, five or seven years, pretty substantially. and we'll be talking about that. and also our 2030 goals that we've laid out for ourselves we do this about every ten years. we just retired our 2020 legacy of good goals.

and now we're setting forth a series of moonshot goals around advancing sustainability, cultivating inclusion, and transforming lives and around data privacy these are the things we'll be talking about today, in addition to this idea of autonomous infrastructure we're introducing a new product which especially is, you know, a cloud in a box that scales from the smallest organizations to the largest. and, of course, it can be consumed on demand >> it sounds like, michael, that you're edging it like amazon web service business or microsoft azure. is it competitive of those businesses, collaborative, a little bit of both >> it's a little bit of both with the vm cloud foundation vmware being an important part of dell technologies, we've

extended our multinetwork structure to all of the clouds the other thing is there's this boom that's starting in edge computing where everything in the world is being connected so, you truly have this environment where data and applications are spread out all over and organizations need a multicloud infrastructure. and dell technologies, along with vmware is really at the center of that >> so, michael, can i switch gears for a second you know, you're one of these billionaires, that everybody's talking about. i have no doubt your dorm room was goldplated. doubt your dormm was gold plated and born on third base. >> cinder block dorm room as i remember it, and, yeah, we had -- everything was made out of metal and concrete. so that, you know, we didn't destroy it. >> how many jobs -- how many employees at dell? >> 157,000

>> oh. >> tens of billions of shareholder value. >> you're a bad guy. you're a bad guy you're one of the bad guys. >> what do you think about being a bad guy? >> well, i think we need more entrepreneurship and we need more new business creation and, you know, we always have been a proponent of, you know, a fair and free and open market we recognize that has got to be balanced by the public interest and a lot of what we're talking about with our social impact goals, this is not first time we did this, right? we did it a decade ago and we have been caring about these things for quite some time, i think if you look at the number of jobs that have been created, by the free enterprise system, you know, this is the best thing, you know, going and, you know, we believe it is important to preserve the

entrepreneurship and the risk taking that has allowed the creation of all of these incredible businesses advancing the world forward. we're fortunate in the united states to have, you know, a lot of the world's greatest company s. >> for now >> do some of the companies dyi deserve a lot more closer scrutiny self-regulation? >> well, that's not my area of expertise, joe i'm not a regulator. so i'm not going to weigh in on that i do think that companies have a duty and responsibility to be clear about what they're doing with customers' data certainly in our case, customers own their data, we don't use the data, don't own the data and we're inconsiderably transparent

about that and always have been. i think that's, you know, a good standard that many companies are adopting. >> michael, as you may remember, it bugs me a little bit when you were at the nyse, you talked about how you enjoyed being private and didn't want to be a public company, has your perspective changed at all. >> we had fun with that. >> you beat me up pretty good. has your perspective changed at all? >> well, as you know, we're public now and, you know, we're -- our business during the time that we were private transformed considerably we acquired emc and vm ware and pivotal and grew more than $20 billion in revenues. evolved the business substantially and it was the right time with the strength that we were seeing in our

business, to bring all the shareholder interest together, and, you know, align for the future and kin continue to stay offense. happy with the position we have now. as i mentioned earlier, earnings in the last reported quarter up 30% year over year so, you know, we're doing well. >> i've known you a long time. i'll ask you anyway. what do you think of the prospect of an elizabeth warren presidency what would that mean for technology for the economy for u.s. business the entrepreneur spirit that helped create lots of great businesses around the world. the free enterprise system, fair, free and open markets,

and, you know, i'll work with anyone and everyone who wants to advance those goals. >> okay. i told you. >> okay. >> i've known him a long time. michael, thanks, thanks for coming on today, we appreciate it and good luck explaining all that stuff to people like us anyway, thanks >> thanks, michael. >> thank you >> let's get down to the new york stock exchange. jim cramer is standing by. jim, it is disney plus launch day. what do you think about what this means for the streaming wars and what's to come? >> i think everyone likes to sample things. i looked at the program this morning and i can say, well, 20 years ago i would have loved it. to me, it is no thank you. don't feel any need for it >> it is a good value for them not everybody is the same. i love the espn plus i know rich was saying espn is a danger zone. i play fantasy football.

espn plus, without it, i don't think i can win. to each his own. won thing i lo one thing i love about this, i can put together my own bundle it will cost me less that's the way of the world. i think it is super for the consumer. >> what does that mean >> and what does it mean for any of the companies, though >> i think that disney -- they had no choice, they had it take some sort of action, the bundle is old school. i think that this is a very smart move by iger because he has all this -- what jim stewart said, has all this intellectual property, and it is very inexpensive for him to make programming versus apple i thought a lot of good points were made by your discussion this morning and i do think that jim stewart is right, that the competitive advantage they have over apple, over amazon, i was watching the jack ryan production, that's paramount, which is viacom, that costs a fortune. i would much rather be in a situation like iger with --

where everything is paid for >> okay. jim, thank you and we'll see you in a couple of minutes. >> i think michael dell is a great american there, i said it. >> i agree i agree. folks, make sure you join us tomorrow right here on "squawk box" for a special interview with billionaire investor paul tudor jones at 8:00 a.m. eastern time. stay tuned "squawk box" will be right back. do you have concerns about mild memory loss related to aging?

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discovered the pd-l1 pathway. pd-l1. they changed how the world fights cancer. blocking the pd-l1 protein, lets the immune system attack, attack, attack cancer. pd-l1 transformed, revolutionized, immunotherapy. pd-l1 saved my life. saved my life. saved my life. what we do here at dana-faber, changes lives everywhere. everywhere. everywhere. everywhere. everywhere.

final check on the markets, up 7 1/2 that would be a new high president will speak at the economics club today, probably likes new highs when he's talking. thank you. we'll see you again and make sure you join us tomorrow. "squawk on the street" is coming up next. ♪ i feel so close to you right now ♪ ♪ it's a force field ♪ i wear my heart up on my sleeve ♪ good morning, welcome to "squawk on the street. futures largely unchanged here as the market awaits the president speaking at noon we'll look for any news regarding u.s. china trade, relief and more. road map begins with the latest volley in the streaming wars, disney enters the