good morning, it's 11:00 a.m. at ibm headquarters in new york. it's 11:00 a.m. on wall street and "squawk alley" is live ♪ good thursday morning. i'm carl quintanilla we look for a potential stimulus deal again there is a look at faang names, jon. dow is on pace for the best week in two weeks

and s&p 500, nas in six weeks. >> yeah. we'll start with tech. more broadly, ipos and big tech valuations have been surging culture questions continue to brew in silicon valley as well i want to talk about that and a lot more with long time venture capitalist whose newest venture is a private and middle school with entrepreneurship baked into the curriculum draper associates founder tim draper joins us now. tim, good to see you i want to start with your take on these markets i was talking just yesterday to the founder of rike. he said he isn't going public this year because he underestimated how well the ipo market was going to perform in a pandemic has that surprised you and what are you saying about it to your portfolio companies? >> absolutely. i was blindsided i didn't realize that the government was going to print

$13 trillion it has been strong for bitcoin and it sure has been good for the public markets particularly the tech stocks that have benefitted from that and i think people -- many people took that money and invested it. and so the individual investor is back in the market. the valuation seemed high. but, you know, the -- when there is momentum like this, it just keeps -- it keeps rolling. i suspect that there will be some great wave of new technology companies coming into the public market. going public costs so much money now because of all of the regulations. the only companies that can really go public are the ones that are $5 billion market cap or greater otherwise, its too expensive it's $5 million in legal and

accounting fees just to comply with all the regulations that came from sarbanes oxley and everything since then. this is an interesting time. covid-19 has changed a lot of things it's been very good for a lot of the online businesses. and not just the obvious zoom and amazon but also the vr companies are really exploding the remote medicine companies are exploding. and the bitcoin and related companies are exploding. >> you mentioned bitcoin one of those plays in your portfolio is coin base which also brings me to a subject i want to address with you which is silicon valley culture. brian armstrong over at coin base put out a blog post not too long ago that's been controversial. asserting that coin base itself

isn't going to debate causes or mill candidates internally that are unrelated to work and that employees shouldn't expect the company itself to represent their personal beliefs externally now this is interesting to me because in a way this is classic silicon valley this is steve jobs he did not do social activism. but partly my question is, has the need -- has the environment changed? what about when it comes to states, localities where a company has facilities or puts on events. i'm thinking of north carolina and ballot propositions. does this new generation of workers expect companies to have values that perhaps go beyond the product mission? >> i don't think so. i think, you know, brian's got a company to run it's a very exciting company it's very dynamic. it's driving towards a new decentralized world. it's driving towards a better

world. when eventually doesn't have geograph geographic borders eventually is a world that where there is open, fair, free trade everywhere, it is -- it is a great mission he's on. and to get distracted as an entrepreneur, to get distracted in various political meyers, i think would be a big mistake i think brian is right there and other companies have gotten -- they're very large companies in the silicon valley. when you get bigger, then you do feel that obligation to all those employees and figuring out how to respond to various activists and what to do there so, yeah, i think -- an entrepreneur, boy, they have a single mission it's up against changing the world. and usually it's a small -- much

smaller group of people and they're making a big impact. >> but tim, it sounds like you believe he did the right thing for his company. but when you advise your entrepreneurs, the companies that you're investing in as a whole, how do you tell them to think about the importance of standing for something other social issues? maybe not what canned indicate the ceos are voting for but more taking a stand on black lives matter we've seen companies speak up on social issues in the past year >> it's very clear to me that diversity is a great benefit to every company that we backed i mean, in fact, i think pretty much every company we backed at least 90% of them usually have at least one immigrant, usually have at least one woman. it's a great mix of people that

start entrepreneurial ventures it's remarkable how many women now are starting entrepreneurial ventures we favor that because they're unique they're starting businesses. women who are starting businesses are far fewer than men who are starting businesses. so those women are clearly quite extraordinary. so we do back them but i don't try to impose any kind of values, particularly values that come out of the press because they're -- there's a shiny object today and then another one tomorrow i think these guys have to be thinking 15 years ahead. and they've got to have a mission and they've got to bring everybody into that mission. and they almost have to ignore them to be the rhetoric that is happening in the news to make something extraordinary happen i mean, elon musk says we're going to mars. you know, that's a focus that's a drive

and the people who join him are going to try to get us to mars and that's a big mission and it can't be distracted by, you know, whatever happens to be popular in the press one day or another. >> tim, on bitcoin, square today says its bought $50 billion of bitcoin. i just wonder where you think we are in institutional acceptance of the currency right now. >> yeah. it's just starting to take off that way it's just starting to be institutionally accepted and that's quite exciting. and you know that -- we know it's a better currency but we're always projecting out. we just know it's better it's not tied to any political force. they can't print $14 trillion of them just tomorrow

there are only going to be 21 million of them ts a great store of value but it is also much more flexible the if you need to send money overseas or pay employees that don't have bank accounts if you need to spread money to many, many people through some sort of a smart contract and those -- and the amount of money is -- are these many, many micro payments the dollar can't do that so it's just a better currency and it doesn't cost you the extra 2.5% to 4% every time you swipe a credit card. you don't have to pay the banks 2.5% to 4% anymore because bitcoin is frictionless. yeah, it is a better currency. and as the institutions recognize it, it's starting to really grow. and that's very exciting

and i think once they surrounded it -- surrounded the block chain by putting accounting systems in and taxing ability, once that happens, then there won't be a need to use any of the other currencies of i'm very excited about what could happen. >> we'll look forward to those developments, tim. thank you. good to have you tim draper the. >> my pleasure >> always great to hear from tim. regeneron requesting approval for the antibody taken by president trump. >> it's been a real whirlwind the last few weeks for regeneron and eli lilly which is developing a similar treatment it was a few weeks ago that we saw the first data on any of the antibody drugs that is from eli lilly

if you take a look at the journey that the companies have been on, regeneron presented the first data on the antibody cocktail last week and then president trump was treated with that drug on friday and then just last night regeneron said they were fig for emergency use authorization a few hours after lilly said the same if the drugs get cleared by the fda, there is going to be a couple issues with accessing them first is that they're given by iv infusion. so the they're not particularly easy to take like a pill, for example. the other is that supply will be limited initially. the companies have told us for regeneron they'll have 50,000 doses available initially, hoping to ramp that to 300,000 and for lilly, it will be 100,000 in october so the question then turns to which patients will be eligible to get the drugs the results that we've seen are

in people who have been recently diagnosed with the disease and most likely the high risk patients either by age or underlying conditions will be the ones who could get the drugs. they're also still in trials for patients who are in the hospital with more severe disease as well as preventative therapy for people who are at high risk because of exposure in nursing homes or in people who live with somebody who has been diagnosed with covid-19. so quite a journey we've seen in the last few weeks we'll see what the fda does now. the guys, back to you. >> great meg. thank you. now as we head into break, streaming company fubu opening for the first trade and moving higher we'll have the ceo later this hour stay with us

fubo vice president mike pence and kamala harris had their one and only debate and we have the highlights >> the debate between the presidential candidates that boiled down into a shout fest between the two nominees, now we see the vice-presidential candidates in utah much more calm, much more respectful debate between the two vice-presidential candidates the issue at center stage was the covid-19 virus, right? both candidates lambasted the other one for the response kamala harris said that the pence and trump administration had abjectly failed in the handling of. this pence for his part criticizing joe biden for being against the initial travel restrictions related to china saying the virus response would haveeen e unr a biden nistration therre ents of policy tancat were discusse last night malaris cusing on healthcand ts pre-exng ction condn, hrt disease, xisting abetbreaancer, they're ng fou if you love one has pre-existi conon - >> they're cominfor you're under the ag 26 your paren cove, tre coming for y economy saying t truence administra is g to revive this omy hey here's what he sd.>> pdent truml ameca growing e v ed rery that's undey rinow will continith four more yes ofprent. >> and, john, now itot c the commissiondebates said thornihat ey want to to ll val debate betwjoe n and donald that one was sedulo be person but becathe esident haconted the coronavirus, th're the president telion morning thoughectihat. saying he't goto w his time in a virtual deba so t clear at this t whether theygoin be any presidential cle, >> yeah. of course then biden said he's not sure what's going to happen because in his words the president changes his mind every minute so we'll have to wait and see. aim eamon javers, thank you. >> dominos is on track for the worst day since march. comps did beat we were looking for $14.06 the there is increased pressure, higher wages for front line workers. we'll talk about that. (♪ )

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fubo tv goes live at the new york stock exchange. shares up about 8% they priced 18 million at 10:00. that was the middle of the range. the ceo and co-founder joins us this morning just moments after the first trade. david, congratulations good to have you >> thank you very much for having me. >> i think every viewer understands sort of the fundamentals that are driving the business model here. but give us a sense of why sports and size of the subbase at least right now >> yeah. so the tail winds are very strong we sit comfortably at the intersection of, you know, television, the shift of tv ad dollars to connected devices and sports, obviously is driving that for us. we just revised guidance higher. so, you know, we're looking to end the year at 480,000 paying subscribers with a growth rate of 50%

st. >> 50% and when we say sports, what kind are we talking? and, i mean, sports rights don't come cheap. >> fubo is a sports first paid service for family we offer sports news and entertainment. the company leads with the sports you know, we have over 50,000 sporting events on the platform. it's a paid tv replacement service. we obviously carry ton of sports programming. including rsms >> david, you raised your guidance for subscriber additions for the third and fourth quarter i'm curious where the subscribers you think will be coming from. i think it's worth pointing out that reed hastings said he expects a lot of the growth that netflix have in the first half of the year with a full forward from later in the year are you experiencing any of the same thing do you think thaur going to be a whole new swath of consumers looking to switch over come q-3

and q-4? >> that's a good question. we didn't experience the type of groenl we wa growth we want to see in q-1 and 2. cable, cord cutters have held off until the start of the sports season. they pick up the virtual subscription we think the tail wind is very strong we have college football starting up in the next few weeks. and we feel we're going to be strong into the end of the year. >> david, i wonder to what extent you think sports is going to be wide open for you? you have amazon. you've got the likes of twitter and facebook and google to some extent competing out there, bidding for content. are they going to cause problems for you driving up your costs or do you think by combining sports under your brand you have an advantage? >> you know, we have a clear advantage. like i said, we're aggregating over 50,000 sporting events. sports is very expensive space

it ta it takes a lot of money to aggregate this content you know, our platform is very solid. we've been expanding our sports and entertainment line up. we feel we're ready to go and obviously consumers are excited about the service. >> i'm curious, david, who you think your competition is now. we are seeing more skinny bundles. it is those skinny bundles it is the lukz of hulu and disney tv or more companies. >> look, we have great relationships with our media partners you know, effectively, we're looking to tract customers o looking to attract customers out of the legacy ecosystem. there are 11 million customer that's pay for cable or satellite. and, you know, we have better bundling we have better pricing we have a better user experience and, you know, we're serving sports in 4-k. we did a deal we announced with fox, fox nfl thursday night will be carrying all the games in 4-k. there are not that many services

able to carry sports the cost of sports continues to increase our customers understand the service and willing to pay to get all the sports they need on one platform with a great experience >> david, is congratulations on the opening trade there. a little bit of steam here as we've been talking, up 15% david gandler of fubo nice to see the shot at nyse now >> pelosi said there is no stand alone airline bill without a comprehensive bill we'll watch that in the moments to come. markets have come off the highs. st. >> yeah, certainly something we have to keep an eye on in those stimulus talks meanwhile, shifting gears over to political ads they could account for at least 3% of facebook's estimated third quarter revenue here in the u.s. according to new unless from cnbc h we have the details ari, tell us about the

increasing political ads spending and how much of that is a result of the fact that platforms like twitter are simply banning political ads this season. hundreds of millions of user off the u.s. they've been able to add instagram. they've obviously got mess efrpgefrpmessenger and what'sapp. the same things that companies are using to reach people in the far corners of the country based on age and demographic and interest, political campaigns and using. they're far more third party campaigns. as we said in the story, facebook is the only game in town at the same time that has become that much bigger.

>> the only game in town and yet at the same time, facebook is starting to put some limitations around political advertising no new political ads the last seven days before the election banning political ads after the polls close. do you think we'll see more of them in the next couple of weeks before the election? >> there's no question they're under pressure it's why you see seemingly a new announcement every day of you have the announcement this week on tuesday that they're not going to allow -- that they're banning groups and pages. that is not advertising. that is organic content. but feeds into this same idea that facebook is this center of misinformation you've seen them take steps in terms of what kinds of ads voter suppression ads are not allowed. the if a candidate declares them self to be waynea winner, that't allowed. they're taking steps they're few and far between.

he. >> thank you for that he is watching facebook he points out and julia points out, a remarkable turn, julia, in just the past few weeks i'm thinking back to banning other platforms. adjusting the stance and now facebook like everybody is having to read some political tea leaves not just about the election but about how congress views them, how the public views them and when we see every day some of the top trending pieces of engagement on their platform. >> they're facing krit succritin so many different fronts there is this question of not only are they being fair in the way they're treating different types of content but it is really an open platform or one that needs to really take stock and fact check the kund ind of content that is being shared and in ads. jon, what are you watching now >> i'm wondering whether

that .6% of revenue that i think zuckerburg said he expected political ads to be was just way off on the estimate other what is going on there? but moving on, take a look at airlines as we just mentioned, house speaker pelosi just saying there won't be any stand alone aid for airlines without a comprehensive deal attached. that, of course, wouldn't be stand alone. american airlines ceo doug parker is going to weigh in on that next. so stay with us. some companies still have hr stuck between employees and their data.

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welcome back, everybody. i'm sue herrera. here is your cnbc at this hour hurricane delta is strengthening as residents get ready along the u.s. gulf coast. maximum sustained winds are now 105 miles per hour h delta is expected to make land fall in louisiana and texas on friday. in a milwaukee suburb, protests after a black police officer was cleared in the shooting of a black teenager outside a mall the teen fired first but an independent investigation found did he not shoot at police and recommended firing the officer the green bay packers say they will play home games without fans until infection rates slow down.

packers ceo mark murphy urging everybody to wear masks and take the pandemic seriously ncht . in hong kong, a 700 pound piece of chinese art sold for nearly $42 million blowing away sotheby's estimate of 10 to $15 million. bidding took more than an hour you're up to date. that is the news update this hour carl, back to you. >> all right sue, we'll see you soon. sue herrera. airline stocks are definitely on the move here as speaker pelosi says there will be no stand alone airline bill without a comprehensive covid-19 relief bill adds that mnuchin said he knew the president would end stimulus talks by tweet. phil lebeau has a special guest now that can comment on some of this phil >> let's bring in doug parker from american airlines joining us from washington doug, you practically lived in washington over the last month, month and a half what is your reaction to the news that speaker pelosi says there is no stand alone airline

bill coming? >> well, obviously breaking news so i don't have much -- what to go back and see exactly where this stands. now, look, it's consistent with what is going on in this process for quite some time now. that is huge bipartisan support for extension of psp for the airlines and there has been for quite some time. but a frustrating process by which we' which we're trying to get it enacted. we had starts and stops and two days ago the president tweet that he was calling off all relief talks and then several hours later sent out a tweet saying he supported air line relief we'll go see what this means what i know is this. the there is enormous bipartisan support for extension of this payroll support program. and there is enormous understanding of the you are general for this look, we're -- we support a larger bill.

we think that makes sense for the economy, of course and that's where we're headed. but what we know is if it that can't happen before the election, that's going have a serious serious detrimental impact on us to help the country come out of this coronavirus pandemic. >> let's talk about that will you start cutting service to certain cities? have you started cutting service to certain cities? you already laid off 19,000 -- or furloughed 19,000 how long can you wait until you bring them back? i know i'm throwing a number of questions in there of but the nuts and bolts, what happens next >> yeah. of course we are we have already discontinued service to 13 cities we extended that -- those cuts through the month of november. we hoped to restore that service to those communities in november we thought there was a possibility that psp would be extended by then but just in the last couple days we extended those -- discontinuation of that service. and those are just individual small markets.

i suspect there will be more of that to come from us and other airlines if indeed this relief is not passed. i'm certain there will be. wi we're delaying the decisions and there will be much less service to larger communities. we've all been, you know, with the psp extension. what that did was gave us the funds to keep people employed that there wasn't enough demand in the air line to keep them employed there wasn't enough demand for airline service to keep them employed but having them as a pass through to pay all the government employees, that allowed us to serve more markets than we would have otherwise and with the, i think the absolute perfect intent which is to keep this critical service in place so as the economy rebounds we're here to help the economy rebound. what happens once airline employees particularly pilots are furloughed or out of work

for any period of time, any significant period of time, less than a month, they're no longer current in training. and we have pilots in the wrong seats when it comes time to -- when the economy does rebound. we're not going to snap back and bring the people back. it will be months before we're able to get the airlines back to the right side and demand wants. so it's a big problem. we can't continue to wait. the if forced to, of course, we'll discontinue service to a lot of markets and we'll be much slower to rebound and help the country rebound from this pandemic >> doug, you got the speaker on one side on the other side, this joint statement today from senators saying that airlines should start or in some cases continue to take advantage of low interest long term loans does the industry start now to talk more about issuing fresh equity and zmet. >> yedebt

>> this is not about liquidity, carl we at american, all of our competitors have more than enough liquidity to withstand this the senators, i say we have he normo norm enormous support, they're in the minority that is opposed to this is and dwindling minority but nonetheless, that's they're view and fair enough it's just not the proper view. what others understand is this isn't about, you know, we don't need access to more loans. the c.a.r.e.s. act did that for us this is a demand driven problem. we airlines will be fine this is about maintaining critical instra frfrastructure the loan program expired and no one is asking to be extended and payroll support program which was a pass through of the government paying us to pay about half of our salaries of all of our people so that we

keep people employed greater than we have work. so that as demand returns, as it has gradually and hopefully will will continue to in the future, this critical service this critical infrastructure is in place to let the economy rebound. and, again, almost everyone understands that >> i think there is such huge support. >> doug, i think -- to your point, to say that you need more aid but liquidity is fine, i'm sure you agree that optically that is cloudy >> yeah. there's confusion, no doubt about it but again, this is not about getting more liquidity into airlines it's a pass through from the government to keep us to motivate us to keep people employed that we wouldn't otherwise, to continue providing service to communities that don't have sufficient demand for us to continue to provide service. but we agree to do so. in exchange for pass through

that's keep our people employed. that's what this is about. and that's what it continues to be about that's why it's so important this is bigger than just trying to keep airlines afloat. this is about keeping critical infrastructure afloat for our company to bring country. >> the issue you talked about the amount of time it will take to ramp back up and get employees back engaged i think is important what is your sense of the broader economic impact of cutting off service to smaller communities? because business happens through those flights. business happens around those airports what will happen over months if that happens >> yeah. again, everyone appreciates, hopefully we do, the importance of the air hin busineline busino commerce once we're smaller and harder for commerce to return we're at a point where unfortunately, you know, people

are beginning very slowly but people are beginning to return to work. people are beginning to talk about having their people travel again. and unfortunately, that's all going to get stimied as we are, you know, having done for six months now thinking about all those people employed, we're going to find hundreds of thousands of people out of work and then getting more importantly getting to where they're not current with their training so that when it does come time and when people are looking to start flying again, we're going to be -- we're going to delay that process by several months we simply won't have the ability to fast back as fast as the demand snaps back. >> doug, you said that demand is starting to gradually return as we head into what used to be a busy holiday travel season, at the same time so much uncertainty and concern about a second wave, what are you seeing right now in terms of demand >> well, gradual improvement we have to put numbers around that in had the second quarter, the

revenues of american airlines were down 85% year over year in the third quarter, they're going to be down about 75% and as we look to the fourth quarter, we currently estimate there will be down about 65% so that's gradual improvement. but, you know, incredibly low base and resulting in still 65% declines in revenues nine months later. and a business that has, you know in, good years 10% margins. i want to stress that while we're seeing improvement, it's really slow. it's almost entirely leisure based. but what we know is over the coming months, you know, as quarantine restrictions from cities start to go away, as business does start to move again, as we get closer to things like a vaccine and as we get into next summer, i fully believe, you know, six months from now we'll be looking into a situation where we're flying our airplanes and needing the people we're not going to be able to do

it in the near future. we find ourselves getting a lot of people out of training. >> doug, it's phil again one last question for you. within the last half hour, boeing, airbus holding a joint press conference they've done undependent studies looking at the trans mission poll built of germs, covid-19 within an aircraft they say independently, they reached the conclusion it's safe to fill every seat as long as passengers are masked following safety procedures. i know you're filling every seat on your nights you're not guaranteeing an open seat and the flying public mshgs people who just don't feel comfortable flying they just do not feel that it is safe how do you get over that hump? how do you convince people that you've seen studies and you guys have done your own research and you believe it is safe to fly? >> yeah. well, look, the studies will help, hopefully. it is entirely safe to fly those studies prove it

there other studies coming that will prove it. the combination of xens environme extensive cleaning and masks and air flow going through hepa air filters has air that is better than you'll find anywhere else that you're going to find yourself so all those things come together it does make nig saflying safe. flight attendants in american airlines flying three times a day, three, four days a week have lower covid-19 rates by the national average by a wwide mar and lower rates than our ground employees. it is safe to be in the air. that we know to the extent that people don't fully understand that, we'll keep working on that i will say i don't think that's the biggest issue about demand the bigger demand issue is there is just simply not anything -- there's no reason to travel. there is no reason to fly. if you have to quarantine yourself when you fly to new york for 14 days, yoo nourt goi you're not going to travel f your business is not sending you

on business trips, you're not going to travel. there say lot of demand for leisure traffic to beaches and mountains and things like that people are willing to fly when there is something to do we just need to get the country open again and when that happens, we need to have the airlines here to facilitate that and if we don't get this psp extended, we're not going to be able to provide that essential service. >> doug, thank you for coming on obviously, so many headlines on the tape to respond to really appreciate it >> absolutely. >> phil, thanks to you our phil lebeau. as we head to break, instacart announcing a new round of funding this morning. the online grocery delivery company now worth $17 billion. that is the same as airbnb you can catch the details on cnn.com. wl rhtalley"ilbeig stay with us

stock trading app robinhood growin growing faster than traditional brokerage houses >> we have new numbers to help put that in perspective. according to analysis by jmp securities, the stock trading app is growing at five times the rate of rivals like e- trade robinhood's account growth expanding at 50% the td ameritrade, 13% account

growth charles schwab closed that deal to buy them this week. based on mobile app down loads, robinhood now has 15 million accounts that's a bump of two million from the last publicly released figures a couple months ago. the new stats put robinhood in the lead beating schwab and t.d.'s total account numbers the account size of the e-brokers is way bigger. charles schwab's client holds $250,000 and robinhood clients are about $5,000 for robinhood, catching up to or beating the incumbents is likely but jnp calls the first step in disrupting wall street jmp walks through the start-up's longer term plans based on some conversations with the cfo he's a former amazon executive as well. the firm says based on how engaged the robinhood users are, they could easily get into other areas of banking and become a "more comprehensive part of people's overall financial lives. they call i had the single money

app. robinhood already heading in that direction with cash management and a debit card as well for now, still no word on an ipo for robinhood which was last valued at $11.8 billion. jnp says they're putting the vc dollars towards beefing up compliance and customer service after a couple outages to keep up with demand back to you guys >> yeah. one of the biggest stories of the year for sure in markets thank you so much. as we go to break, speaking of banks, take a look at shares of eaton vance, skyrocketing after being agreed to be bought by morgue morgan stanley that is days after morgan stanley completes the acquisition of e-trade we'll talk to james gorman coming up. we're back in a munn

ibm announcing today it will spin off its manager service company into a new company here's what he had to say about ibm's priority after that. >> we are maniacally focused on hyper cloud. we believe we can deliver strong growth with the company, with the financial flexibility we will create through this transaction for the company to be able to grow. that's what i'm committed to i'm committed to sustainable growth and accelerating growth over time on those

opportunities. our next guest is warning that a house subcommittee anti-trust report could have very dangerous implications for facebook, alphabet, apple and amazon tim is a cnbc tech council advisory board member. he submitted to congress's proceedings but was not involved directly in the creation of the anti-trust report. thank you so much for talking to us today now that you've had time to read through those 450-plus paeges, m first question to you is what do you expect to happen next? >> i think two things will happen next. first there's going to be a lawsuit filed against google i think everyone knows that, expecting that next week or the week after then there's going to be a lot of pressure for a suit to be filed against facebook i think this report has a lot of damning stuff on facebook's

acquisitions facebook is furiously trying to get out of this. the last thing i say is i expect there will be legislation introduced i think a lot depends on who wins the next election for that meeting. >> tell us what you mean by that in terms of your expectations of what a biden administration would do in terms of anti-trust and then for facebook of course, you're referring to the course that there's this ftc inquiry and a possible lawsuit that could be filed by year end, right? >> that's right. so i would expect in -- let's talk about a biden administration we said three things i would expect that they would continue to prosecute the case against google, which hasn't been filed but most people know is going to be filed i would say there would be a strong chance that a case would be filed against facebook by the federal trade commission they have reached very far along in their investigation and i think the current administration is going to hand it over to whoever wins

and finally if the democrats win the house and the senate, i would expect there to be comprehensive anti-trust legislation pro $. th -- produced that doesn't mean it would necessarily pass and that has implications actually for amazon >> tim, it's john ford i don't really get the argument against some of the acquisitions that facebook made instagram was tiny when facebook bought it. they could have decided to stay independent. they departmeidn't have to sell facebook what'sapp had zero revenue so by what rationale could lawmakers say to facebook you're a big social network so you can't buy these little companies, even though they want to sell to you. >> i think they would point to

the precedent of standard oil saying it's illegal to eliminate a competitive threat the court dumped a huge number of documents suggesting mark zuckerberg ears goal now the what's app is something could turn into something that could eat their lunch. the docks are full of anti-competitive event it's different when someone says let's buy this as a hobby or this could improve our product >> is it fair to look at zuckerberg's e-mail and say he -- instagram was mobile only and facebook was getting criticized for having weak mobile it might have been competitive with what facebook wanted to be and what instagram wanted to be. what'sapp had a bunch of users

but wasn't creating a social network per se >> in a lot of ways they were in adjacent markets it's like microsoft when microsoft got in trouble because bill gates thought these guys are going to become the future, so we've got to control that before it controls us. i think it's the same. i think the thinking would be the same, they were afraid these guys were going to eat their lunch. the fact they were strong on mobile makes the case stronger because facebook feared they would eat their lunch, take over their market with their dominance in mobile. >> tim, you very briefly mentioned amazon i want to make sure to get your thoughts on how you think amazon can be regulated in terms of how it treats sellers on its platform and apple and its platform with the 30% fees >> this is a little different anti-trust that's a little in the weeds, but this would be a new regime, almost like a common carrier

regime that would say, hey, when you run the marketplace, you can't spy on your competitors or, you know, maybe you can't sell in direct competition with them there would be rules with pow they run their marketplaces. i guess that is the sort of most big, new significant thing coming out of this house report. first endorsement, at least by the democrats of sort of we need to have more rules for these online marketplaces. that's what i mean by that >> tim, thank you so much. we know we'll be talking a lot more anti-trust going forward. >> see you later >> yeah, that's for sure, julia. and who knows what policy changes might happen as a result of the election. meantime, you can see that the markets have come off of their session highs after the speaker says that there will be no stand alone airline bill without a comprehensive bill and said even

she's not sure what the status of ongoing stimulus tax lks is the point. didn't go negative 3433 continues to hold and 28,320 and change. let's go to the judge headquarters and the half. carl, thanks welcome to the halftime report i'm scott wapner front and center this hour, is it time to go big by going small? the russell 2000 dramatically outperforming this month is that now the best play for your money we debate that josh brown, jon sn ajarian, shannon saccocia and jethro townsend are with us the dow coming off its best day since july, was building on those