(dr. aaron king) if you have diabetes, getting on dexcom is the single most important thing you can do, and it's covered by medicare. before using the dexcom g7, i was really frustrated. my a1c was stuck. (female announcer) dexcom g7 sends your glucose numbers to your phone or receiver without painful finger sticks so you can make better decisions in the moment. so easy to use, and my a1c has never been lower. (female announcer) dexcom g7 is the most accurate cgm. call now to get started. . good monday afternoon, everybody. welcome to "power lunch. alongside contessa brewer, i'm tyler mathisen we're continuing to watch apple's big event, the worldwide developers conference out in

california and we're going to get reports from cupertino throughout the program as any news develops plus, a heated debate on which many people have strong opinions tipping culture. everywhere you seem to go lately, someone turns a screen and asks whether you would like to give a tip, 15%, 20%, more. are we paying for service or subsudding workers' salaries that's the question at the heart of an increasingly hot debate. >> or is it a test of what a scrooge you really are let's get a check on the markets. the dow lower after friday's big rally. down a third of a percent. you have the nasdaq composite up a third of a percent news is coming out of apple we're watching that stock, $3 trillion market cap level, it first hit that milestone early in 2022 and it looks like we're headed back there. we're also watching shares of coinbase, the stock down more than 10% after the s.e.c. filed

charges against binance for securities violations. and shares of bolero are jumping today. it looks like investors have some optimism to spare steeple is adding the company to its select list, saying the company's tie-up with lucky strike was massively overlooked by investors you see what i did there >> a spare, a strike let's get to steve kovac in cupertino. what have we heard so far, steve? >> tyler, no headset yet that's probably coming in a few minutes. right now, an update on the mac business most importantly, apple has transitions fully away from intel, the last model of the mac still running intel chips has been replaced with a new chip called the m2 ultra, a really fancy way of saying it's a super powerful chip and apple no longer needs intel to power macs also on the mac front, we have mac os sonoma, the new software

likely coming this fall for the all mac books and mac desktops some cool features there including a lot of video conferencing stuff that other apps like zoom can tie into. one thing i saw, you give a thumbs up gesture and get a little reaction on the screen like the confetti falling over and things like that and then ios 17, the new software for ipads and iphones, of course, and a lot of interesting personalization features, and now tyler, i know going into this, everyone is asking what about ai not necessarily chatgpt like service coming out of apple yet, but what they did do, they're using ai and protective tix to make that keyboard predictive text better. >> in other words, i start typing a word and it finishes it for me >> exactly they're going to use the same transformer technology that chatgpt uses, for example, a lot of that similar technology is now going to be powering your

keyboard, so it can predict what you're going to say next >> what you have just described, steve, may be really, really important. it may be particularly important to apple fans. it may be really important to geeks and nerds. but is it really important to the average customer in other words, is the new chip going to be that revolutionary is a new operating system going to be that amazing to me is my experience going to be that much better >> it's not going to change drastically, and this is what we have seen out of ios for the last several years iterative updates, for example, i message is going to get a lot of cool updates for different reactions and sending emojis and things like that all of this, tyler, builds, it keeps you stuck in the apple ecosystem. imessage especially. i would note they opened up a lot of the ios 17 presentation with imessage because that's such a sticking point that keeps people on the iphone it's almost like they're

building their own social network. as we talk about competition with meta on the headset front, they're also competing with meta on the social networking front >> thanks very much. let's shift our focus now to the stock that hit a fresh new high today. trading at $182 a share, up more than 40% this year will apple's push into mixed reality, perhaps ai, catapult it again beyond that $3 trillion bogey? joining us now, dan ives, managing director at web bush securities it seems like that's only a matter of time before it happens. $13 away or $14 away now per share from that number >> the golden number, we continue to view going into this year $3 trillion was going to hit again. you're actually now, this is just another flex the muscle moment for apple when you look at this product cycle, and i believe with iphone 15, it's really a mini super cycle we go into, because you have 250 million iphones that haven't upgraded in four years

>> have not. >> they have not upgraded. the golden install base at cupertino is what differentiates it what you're really starting to see in terms of cook, this is an apple on the offensive, not defensive. i think when you look at ar/vr, that's the tip of the iceberg to a broader ai strategy that goes at developers and in my opinion some of the parts, the services business alone is worth $1.3 trillion i don't believe the stock stops here i think this is one we're just getting started relative to where we see it. >> here's my question. if services are that important and becoming more important, how does this ar/vr, a new chip, an emoji and predictive text bring you back to more services? >> a great question. look, a lot of times, cook and apple, they're playing chess others are playing checkers. i think what you're really trying to do here is developers into that ecosystem build more apps, more games, more in

fitness, more in health. what this is further doing is just more revenue from the consumer on the services side that's going to be $100 billion of annual revenue as you go into the next 18 months i think that is a big part of the rerating that we have seen in apple for the last two, three years. >> their core product is the iphone, that's their big money maker. you said there are -- what did you say? how many million >> 250 million iphones, 1.2 billion have not upgraded in four years >> two of those are in my house. >> two belong to you, one belongs to me. what's going to make me make that leap to say, okay, i'm ready now to spend x hundred, x thousand dollars my iphone isfunctioning just fine the screen is still there, it's working fine it takes pictures. what's going to get me to spend that money to jump to the iphone 15 >> that's the question that cook

and kucokucupertino ask every d. if you look, the chip in my opinion is the most undervalued innovation that's ever happened in apple >> their chip? >> their m2 chip is the best out there. and ultimately, they have beat intel at their own game. you look at the speed of the technology in terms of what we see with the iphone 15, you look at the photography, at what i believe is going to be integrated ai that is further into the ecosystem battery technology and really more and more from a carrier perspective. it's incentivizing from a cost perspective, do the trade-ins. we want you further into that ecosystem. that's why despite the macro, despite their back against the wall in december when i think you had a lot of bears coming out of their caves now they're in hibernation mode, the stock about to hit $3 trillion, and this is just another flex the muscles moment for apple. >> you're not already an owner of apple stock, is this still a good place to get in >> i view it continued as a

table pounder because my opinion, this is just starting the next leg from a services perspective. as well as a mini supercycle you could argue on some of the parts this is a $3.5 trillion valuation or more. that's always been our contention >> let's go to the ar/vr, whatever, reality thing. there are numbers out there that make these headsets that they seem to be ready, poised to introduce today. really, really an expensive item $2,000 to $3,000 item. who is going phi that? who is going to want that? and how big a product -- at that price point, how big a product does that imply this can be? >> the initial needs are so expensive, how are they ever go to sell so many? this is just the first iteration. we think coming out of the gate, 150,000 units would be the initial unit but ultimately, the next

iteration, just like the watch, just with airpods, then you go into the millions because price points come down, $1200, $1500 who they're focused on right here, not me and you it's developers. developers right now, there's a game of thoens going on for developers google, microsoft, because of the ai ecosystem so what apple and cook are talking to developers today, this is just going to be the first set. another platform to build on from a gaming, fitness, and other -- >> they're really trying to compete with microsoft and meta and others for these developers and their talents, yeah? >> because right now, any developer, this is not crypto type, it's all about ai because in my opinion, it's the biggest transformation i have seen in technology in the last 30 years. apple is not going to be on the outside looking in with the strongest developer community out there. they're talking developers here. it goes back for the first time in really eight, nine years. now you have a new product announcement

remember, go back to airpods it's a fantasy that they're going to do 10 million per year units. two years later, they did 100 million units. it goes back to apple continues to be in my opinion just an unparalleled install base that flexes their muscle yet again despite the macro. >> and their products, i have to say, are operate as close to seamlessly as i think anybody's in the world does. >> it's the gold standard. and that's why many of us say they have been working on ar/vr seven years, how come they don't release it they don't release things until it's perfection. that's why you're looking at a $3 trillion market cap >> great to have you in studio we'll bring you news as we get it out of california >> as apple shares have now hit a new all-time high, they're dragging or lifting the broader markets higher as well the s&p 500 hitting a new nine-month high today.

let's get to mike santoli with a closer look at the setup for the markets. >> hi, contesy pretty familiar pattern. you have apple along with microsoft, a couple other large socks insulating the s&p 500 from a pullback. friday, a very strong day across the board. very big gains those are actually settling back a little bit but because of the strength of the mega caps, the fact a majority of shares are down on the day is not reflected in the market cap weighted s&p 500. the high for the day in the s&p was 4299 i think .28, so if somebody was waiting at 4300 to say we're not getting through here on the first attempt, but still looks like a pretty good breakout. only last august did we trade above the 4300 mark. really for a few days. now, take a look at apple relative to another recently red hot part of this market. semi-conductors. you see actually apple kind of surpassing semis right now semi-conductors in a little bit of a pullback after this very strong run my observation over the years is when apple's outperformance over

the broader market or tech in general gets to an extreme, sometimes the market is kind of running out of fuel. maybe keep an eye on that. maybe a culmination moment with this excitement over the developers conference, at least in the short term for apple getting to this threshold. take a look at energy. another story we haven't talked about a lot. last year's huge winner, crude oil. this goes back a couple years. the $65 to $70-ish area has been important for quite a while. you can take a look all the way back to 2021 it's held here a few times maybe this is the bottom end of the range. clearly a big round trip around the ukraine war. but here so far holding, even though today's gains don't look like a whole lot probably good news for the inflation picture if not for the oil producers. >> mike, thank you for that. coming up, the port in a storm. west coast ports being disrupted after a breakdown in wage negotiations jane wells is live at the port of long beach, looking for

ripple effects hi, jane >> hi, contessa. yeah, the largest terminal at this port today told truckers don't even bother coming in, as the talks drag on. and yet we have also learned that a popular alternative route for shippers outside the west coast is facing its own challenges we'll have that when we come back ahhh! icy hot pro starts working instantly. with two max-strength pain relievers, so you can rise from pain like a pro. icy hot pro.

. we're watching continuing disruptions in the west coast ports after a breakdown in wage negotiations led to a union worker no-show friday.

it could have ripple effects across the economy jane wells joins us live now with more. what are you seeing today, jane? >> reporter: well, contessa, two terminals at the port of long beach told truckers this morning don't bother showing up, including the tti terminal behind me, the largest here. but as you look over there, they have three ships there, and the one on the right, dock workers are working that ship. so they have enough labor for one ship and it is possible that they'll open it up for truckers later this afternoon now, it is the latest development since friday when the port of oakland shut down due to a lack of dock workers. shippers claim there were no-shows at other ports up and down the west coast where 22,000 dock workers have been working without a new contract for nearly a year. here in long beach today, it's not clear if the work action was planned or if terminals were just being proactive, neither side will say. next door at the port of los angeles, we are told that business is usual today. this is all happening, though,

as cargo volumes are dropping every single month this year at the major ports. in part because shippers have been rerouting away from the west coast to get away from whatever may happen here but as contentious as negotiations may be, let's go down memory lane it's not as bad as the bad old days of 2015 when a long slowdown cost the economy billions of dollars or even 2002 when dock workers were locked out for ten days and president bush had to intervene. the biden administration is monitoring the situation, but here's an interesting twist to that strategy of redirecting traffic away from the west coast. the panama canal, guys, is now limiting how heavy ships can be going through the canal because of drought and el nino, the water levels are down. that may be a less attractive alternative now. >> oh, yeah. and what about consumers, like, are we going to start seeing an impact because the stuff we want to buy isn't actually showing up

to be put on trucks? >> well, there are some delays cnbc has learned maybe up to two weeks now, and those cost money, which will probably be passed along to you, but most interesting to me, i'm hearing that in hawaii, folks are stocking up in toilet paper at costco because they're concerned that goods coming from here might not get delivered there, though we're told that is not a reasonable concern at this point. >> when do goods for the holiday season start to arrive and could this affect that >> pretty soon, tyler. we're already getting back to school, some holiday will happen after that the ports will tell you that the disruption so far are really minor. but if they continue to build and if negotiations don't go anywhere, we may see some more major action again, nothing compared to what we saw back in 2014, 2015. can i show you one thing really quick because i have never seen

it before? it's new here. see that yellow crane? at the bottom of that crane, that black thing, that is a spacex booster, which you know, landed on one of those floating platforms to be reused they bring it back here, at least to be stored for now i have never seen that here before i don't know, i thought i would point that out >> this is the advantage of live television and jane wells thank you, jane. that was awesome >> you're welcome. >> thank you all right, further ahead, technology tipping the scales. most people are happy to tip, but new payment technologies are letting more businesses ask consumers to give a little more. even in industries not seen as tip worthy and it's leading to some fatigue and a big debate plus, a policy change. last week, we discussed state farm's big move in california, no longer offering new policy sales because of wildfire risks and other things now another big provider doing the same we'll be rightac tl u which one and why.

(fisher investments) in this market, you'll find fisher investments is different than other money managers. (other money manager) different how? aren't we all just looking for the hottest stocks? (fisher investments) nope. we use diversified strategies to position our clients' portfolios for their long-term goals. (other money manager) but you still sell investments that generate high commissions for you, right? (fisher investments) no, we don't sell commission products. we're a fiduciary, obligated to act in our client's best interest. (other money manager) so when do you make more money, only when your clients make more money? (fisher investments) yep. we do better when our clients do better. at fisher investments, we're clearly different.

welcome back to "power lunch. let's get a quick check on the bond market with rick santelli in chicago rick >> hi, tyler indeed

prior to 10:00 eastern, interest rates were higher across the treasury curve twos through 30s something happened at 10:00 eastern to alter that. you can clearly see now we're close to unchanged across the entire curve what was it? it was data. whether it was s&p global, ism, the data was on the weak side. so look at the ism prices paid three-year low at $56.2. and the employment gauge dips under 50 at 49.2, to find a lower level of employment on that index, you have to go back to june of '22 the response was swift look at a two-year note yield. look at the way it dropped granted, it has recovered, but as i said earlier, at 449, we're hovering basically unchanged and fed fund futures if you recall, we were hovering 55%, 60% with regard to what would occur at the july meeting. well, now the july meeting, as you see the july futures, they

popped a bit on the 10:00 data they have eased back just a smidge, but for all practical purposes hovering right at the 50/50 mark and for the june meeting, it's half that at 25% at least for now, and it changes every second with every trade, we're not looking for a hike in june and on july, it's a close call despite the stronger than expected job creation we had on friday contessa, back to you. >> thank you very much, rick oil trading about to close for the day. prices higher after saudi arabia decides further to cut production pippa stevens joins us with more >> this was really the surprise of the weekend this was saudi arabia acting alone outside of the broader opec plus group. and they decided to implement a 1 million barrel per day production cut in july that could be extended further out. saudi arabia's energy minister called it a saudi lollipop, basically saying - >> what? >> saudi lollipop, basically

saying it's a market sweetener and comes after oil prices have not been doing so well and heading lower. apart from that, opec and its allies agreed over long and contentious meeting to ratify their april production cuts to next year. remember, this is the third time saudi arabia specifically has cut production since october they cut in october, april, and now in july once again so they really are the leader here in taking action even when some other members don't want to the third thing that came out of that meeting was an adjustment of the quotas with the uae getting a higher quota next year >> we're seeing wti right now at $72.14, up half a percent following that news. we're going to go back out to the apple developers conference under way in cupertino. let's get to deirdre bosa with the latest >> the moment we have all been waiting for, tim cook just came

back on stage and he said his famous one more thing, and then he introduced the mixed reality headset that everyone here and beyond has been waiting for. it's called the vision pro he says it is a new kind of computer that augments using the most natural and intuitive tools. he put it into context, the evolution of all the other apple products we have seen. he said in the same way the mac introduced us to personal computing and the iphone introduced us to mobile computing, the vision pro will introduce us to spatial computing. it came along with a video, people in their living rooms with this device you could see the person's eyes through the device it looks like a tintding where you can see the eyes if you want to you're looking at it on the screen this is the video we just saw that led to a lot of cheers behind me at apple park. we're getting more details, showing people in their living rooms looking at a virtual or augmented reality screen

we're getting all these details in real time exciting, guys again, the same questions. is apple going to be able to do what meta and others have not been able to that's the big question. as i look at the stock price, it has ticked up, but it's been pretty steady throughout the entire presentation. >> partly because a lot of this news may have been anticipated we heard it was going to look like ski goggles indeed, deirdre, it looks like ski goggles. when you're listener to the developers cheering for it, do you have any sense of what opportunities it gives them to design programs and apps and different immersive experiences? >> that's essentially who this presentation is for. we don't have any details yet. we're not expecting to know necessarily how much this thing is going to cost but the point of doing this, the wwdc, is to tell the developers that it's ready for them to start building the apps. and there's someestimates that within a few years, the devices,

the apps for this device could be up to one-third of the app store. there really is a huge opportunity here and the idea, too, that apple has built this huge ecosystem that developers have been building for in terms of the mobile platform for so long, that's going to carry over to this augmented reality or mixed reality device i'm sure the developers behind me are very excited, thinking about what they can do as we see more of this come out, like you said, a lot of this was anticipated, but we're listening. and where believe behind me, tim cook and his team are explaining what it can do, how it will be different. it's those details developers are listening for. >> steve kovach, i know you're sitting there with deirdre, and deirdre and dan ives talked about this as fundamentally directed as developers the proof will be what developers will be able to develop for it and whether those products are enticing enough to individual consumers to pay the

money. is this really a product aimed at developers, not the general public >> i think the vision is for it to eventually be for the general public right now what we're seeing in these demos is basically ipad apps kind of surrounding you in this virtual space in front of you. so they're showing common apps like photos and movies and having this immersive experience one of the shots they showed someone sitting on a couch and kicking back and watching, scrolling through their photo library, even web brousing kind of in a window floating in front of you these are not new ideas, tyler we have seen this from meta, from some of these other augmented reality headsets, but it's going to take the developers and people here to try this and see if it can level up from what we have seen before i am seeing also, i would also kind of note that instead of controllers it looks like this thing is mostly controlled with

hand gestures and voice instead of a physical controller like we have seen from the likes of meta >> that really pushes the ball forward as well. i was just thinking, you know, in terms of what apple already offers, in terms of services if you look at the fitness apps you have, you have it up on a screen but if you're doing yoga, and you're trying to follow what's on the screen and you're doing down dog, it doesn't work. so it seems immediately obvious to me that for people who practice yoga a lot, wearing a headset where you're seeing the instructor makes a lot of sense. i imagine there's probably a lot of health applications that could come with this as well what about the business utilities? are you hearing developers chatter at all about the way that it might be used for business, steve? >> yeah, that's something that this category has been talked about for a long time. even remember google glass going that far back talking

about using this augmented reality technology for business in the work place, this is something meta touted with the reality pro headset, saying you can get work done in this virtual environment that surrounds you instead of having one screen, you can have many screens around you also to your point, fitness is another thing people are talking about. i don't know how comfortable it would be to exercise in a real way with a heavy, bulky headset, but we also have to talk about, we still don't know a lot about what this devise is capable of they're just now getting it out. we haven't really heard the full pitch yet, contessa, which is really going to be compelling because right now what we're seeing is more elevated version of what we have seen from competitors so far >> you know, one thing that occurs to me, deirdre, maybe i'll turn back to you. a lot of these devices, one of the things that occurs to me is that a lot of the devices that we have tend to advance the idea of isolation, social isolation if i'm on my phone, i'm not

talking to contessa. i'm on my phone. if i'm using one of these vr devices, is there going to be a social aspect where i can communicate with or interact with other -- imagine this, interacting with other human beings as opposed to sitting there in my wonderfully immersive environment with my goggles. >> well, that's why they're tinted, right, tyler they are showing off the feature where you can see the eyes through it that's probably speaking to exactly what you're asking about, the idea this is so immersive and you can shut out the whole world around you since we heard about this thing, we knew it was going to be mixed reality. the key word being mixed there so it's not going to be entirely virtual. it's going to be augmented it's going to make use of the space around you as well as anything that the goggles or the headset can deliver to you can will say, i'm waiting and steve would agree with me, waiting for the why. why do we need this? and i think apple has to really

articulate that. there's been talking, do they need a killer app? because i think that's maybe where meta hasn't been able to break into the mainstream. we don't have a really compelling reason as to why we would wear these things. certainly, there's cases in terms of gaming, even virtual meetings and apple talked about that a little earlier. but i think if this is going to be a big platform shift like cook was saying with the pc and the mobile phone, i think we really need that compelling reason and him to tell us why we're going to be using this >> that's a really interesting point. i think back to many points in apple's history. where, and maybe this was particularly acute or true under steve jobs, where apple seemed to know what we wanted before we knew we wanted it. fair point >> yeah, that's exactly fair and that was kind of his whole mantra look, this is going to be more of an experimental type thing,

tyler, than anything else as far as a platform shift, this is not going to happen overnight. still dominated by the iphone, apple sales are. look, they spent a lot of time talking about ios today because that's still their most important platform they do need these developers to make the experiences, in order to encourage people to buy one of these new headsets, the apple vision >> steve and deirdre, thank you both for joining us on that breaking news. let's go to the break, but of course, it's that time of year when the networks across nbc news shine a light on people who inspire america. this coming weekend, people like lebron james, eva longoria, and others will be featured in a network special airing saturday and sunday all this week, cnbc will showcase business leaders who inspire as well. chobani here now, the billionaire ceo on how it all started and his advocacy for hiring refugees. >> when i started, the first goal was, can i keep this alive?

can i pay the employees salary, can i pay for the farmers? when i called my lawyer, i said i'm going to buy this factory. he tried to convince me how stupid this idea was he said you have no money. you basically don't have money, and you have no experience right? both of them were true so i think the chance of succeeding in there, very, very small. it wasn't until late 2008, early 2009 i realized that i had started something that people really wanted. and this has enormous amount of potential. by 2012, we exceeded a billion of sales in that little factory. >> i think this is one of the most elicious. >> a couple years ago, we extended ourselves into the oatmeal business and creamers. get excited about coffee

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we move to electric vehiclesering already shifted into high gear that's creating another big business around charging, all those new batteries. diana olick explains in her continuing series on climate startups >> with ev adoption accelerating so too is the need not just for charging stations but services all those charging stations. unlike fixing an old gas pump, some companies are using smart technology to service and learn from the stazs in order to improve the systems. >> as with any new technology, the ev charging business is hitting some bumps in a recent survey, a quarter of ev drivers said they have had problems with faulty public charging stations. that's why maintenance companies

like charge enterprises, smart charge america, and a california based startup called charger help are expanding at lightning need >> it's been a little crazy. >> camille terry founded charger help barely three years ago and is now servicing ev charging stations across 17 states. working with partners such as tritium and utility like duke energy and southern california edison she says her company has already touched over 10,000 stations but it's not just about fixing them when there's a problem. >> you need to be able to understand how the station is behaving in the field, you need to understand what issues may be happening in the car and in the charging stations >> using proprietary technology, charger help tracks information on how stations are being deployed and how they're working. in order to improve reliability and to build more reliable and sustainable infrastructure >> i think that data set can be helpful to network providers, manufacturers, and even to governments. >> it's what attracted investors

like blue bear capital >> charger help has data across network, across communication networks, across charger type, across geographical location all of these sort of components and issues and factors play a large role in determining why or how a charging station isn't working. >> in addition to blue bear, charger help is backed by energy impact partners jff ventures, exalon foundation, and l.a. clean tech incubator investors liken the company to the valvoline or jiffy lube of the future but it's the smart component that is so much in demand the next frontier could be home charger repair, which would open up an enormous and expanding market >> you and i have been talking a lot about this intersection between real estate and housing and insurance premiums we just got news about all state deciding not to write new property insurance and commercial policies on the heels

last week of state farm doing the same thing i'm looking at analysis that shows riverside county, california, so california has wildfire risk, we know that. this would be considered the fourth most vulnerable to extreme wildfire risk in riverside county yet new construction grew 242% in that county is there just this disconnect between what housing developers want, housing needs, and what the crisis and climate restrictions are >> there's absolutely a disc disconnect, and you see it all up and down the east coast on the water where you see water levels rying and flood risk increasing we got the hurricane flood risk report last week which showed while almost the same number of homes are at risk, the reconstruction value is up nearly 17% because of inflation, because of labor costs that's why you're seeing insurers like all state pull out

of california, because they're looking at the same costs for reinsuring, and in addition to that, california has actually had lower insurance premiums for homeowners but higher reinsurance premiums, and the reinsurers are the ones who insure the insurance companies. the companies are saying look, we can't afford this because of those added costs. yes, there is a housing shortage and people want to live where they want to live. we have been talking about this disconnect forever look how much housing is going up on the coast of florida repor nc nt.ood to talk to you mo "weluh"ex

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we have a few more updates from the apple worldwide developers conference. this time involving disney steve has the details. steve. >> yeah, tyler disney shares were at session low until we saw bob iger take the stage and they hit a session high for the day disney is going to be a major part of the vision pro headset from apple disney plus will be there on day one. sounds like disney has had exclusive access to the headset and they were able to create a lot of experiences i saw monday night football, for example, i saw some nba content

on there, and of course, star wars and marvel and experiences around that. the theme that's really developing here besides the specific to disney is this is clearly a position as a kickback, high-end entertainment device more than anything else and disney's presence here, of course, is exemplary of that, tyler. >> so i'm going to be able to get disney plus programming on this device. is there any indication as to whether there will be other programming -- i assume i'm going to be able to get apple plus television on it, right >> they did mention -- they did say apple tv plus, for example, will be part of it and also one part of the capabilities of this device is to change the experience instead of watching on a tv, you can actually create a virtual movie screen in your living room, even create a different surrounding environment. and they said it can make it feel like the screen you're watching is like 100 feet tall, tyler. it's supposed to be a different kind of movie watching

experience, and it sounds like disney is going to play a big part 3d content as well, tyler. >> 3d content. what about the resolution of these screens? in other words, the picture clarity or vividness, et cetera. what do we know about that >> they haven't -- in fact, they're talking utthat right now, that right now, tyler we don't have the details on that. >> how do you like that? >> reporter: i know. you should run the show. we'll get more clarity on the specks and capabilities soon. >> more clarity, that's what we'll get. >> this is when reporting gets in the way of reporting. >> exactly steve, we'll hear more about that in a little bit thank you very much, steve kovach. still to come, has tipping mereen out of control or a so of us cheap skates? we'll talking about that when "power lunch" returns. but, to e the complexities of modern work... [phone: turn left.] ...you need more than technology.

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welcome back the rise of technology and tablets have made it more convenient than ever to tip and consumers are feeling the heat a lender tree survey shows 60% of americans say they're tipping more because of technology while 24% say they always feel pressured to tip as consumers face higher prices, many are questioning where the extra money is going when asked to tip at self-checkout, just tip for the heck of it

many feel they're supplementing the low wages businesses are paying workers and they're not happy about it for more on that, we bring in matt schultz from lending tree and to find out why these tipping prompts are everywhere matt, what kinds of businesses are presenting the opportunity to tip that didn't before? >> really literally almost any business you can think of because of the proliferation of these point of sale tablets. it can be anywhere from a gas station mini-mart to a handyman to really anything you can think of rachel did a story talking about how people are asking for tips at self-checkout keself-checkou.

>> i think i might draw the line at the self-checkout line. i'm doing the thing. i'm bagging the thing in a place i had to bring a bag because they don't even give me a bag anymore. now i'm getting angry. >> you're not alone. it's not the only place where people are feeling like nobody is doing any work either it's happening online too. >> what? >> those tips don't even go directly to workers. they say they go to support gener gener general operations it's pushing the limits of what a tip is. >> you're saying you order something online and it gives you a question about whether you want to tip? >> take a baby formula retailer. it says they'll expedite the processing time from 24 to 12 hours. theoretically it's doing

something, but you're already spending so much more than a year ago and people are up in arms about it. they feel that tipping has reached a tipping point and they're not wanting to subsidize wages anymore. they think it's an excuse for businesses to pay workers less it's gotten out of hand. >> matt, one of the survey results from lending tree was that 41% of the people who responded said they've changed their shopping behavior because of the tipping expectation can you explain that >> yeah. it's really kind of getting at what rachel was talking about where it seems a little bit too much we're all perfectly fine with tipping wait staff and housekeeping at a hotel or a the d delivery guy when it comes to other situations where we're not even having interaction with people,

you can see where people would get upset like that and people tend to feel powerless sometimes as it relates to dealing with businesses one way they can flex a little bit is to vote with their feet and change where they spend their money. some of that's going on for sure. >> rachel, let's talk about the etiquette of tipping let's say i order food and there's a dlelivery person who brings the food. i'm happy to tip that person and i tip liberally. let's say i pick up the food at a restaurant and a person has it in a bag there and that's it should i tip in that case or not? >> this is where people are feeling so confused. they like to think of themselves as generous. they are generous. it's because they're encountering these prompts everywhere they go for every single service provided to them,

that's why they're getting frustrated do you tip when you're picking up from a restaurant maybe some people do, but people are drawing new lines for themselves because it's become a question of affordability. it's not only one of etiquette anymore. it's cutting into people's budgets. >> how does the staff know if there's -- if i'm a staffer and i collect or i look at a check or i collect a cash tip, i know how much the tip is. how do the employees ever know how much tip money has come into that establishment or how much -- >> some of them watch you. >> or how much of the uber tip i add goes to the driver, matt >> i don't have a good feel for exactly how much that is i'm sure it varies by company, but what it really is about is that feeling of being forced we all feel generous and in the

case that you were just talking about about picking up takeout, one thing you could look at it as is a relationship builder if it's a place you're going to get takeout from regularly, you may want to tip a little more and get better service. >> i'm curious what you think the -- rachel, what do you think the hazard is for businesses that decide on an ipad to put the do you want to tip 20%, 25%? 10% on some of them isn't even an option. >> businesses are starting to hear pushback from customers i spoke to a plant store and one of the customers at this plant store, it's made her hesitate about whether she's going to buy her plants from there again because she feels guilty

pressing no tip even when that's gone to pick out the plant herself. it's people choosing other places. >> rachel, matt, thank you for joining us fascinating conversation. >> i believe a 25% tip for both of them. >> let's tip them. >> thanks for watching "power lunch. "closing bell" starts now. contessa, thank you. welcome to "closing bell." i'm scott wapner live from apple park we begin with breaking news from apple's worldwide developers conference the company rolling out several new products today including vision pro, that much-hyped head set. just as the stock hits an all-time high. here's your score card dow's been red for most of the day. nasdaq was not you see the major averages are all in the red there's apple. that's a