apple says apple pay will start on monday.introduced the new ipad air 2, the thinnest tablet in the world, they say. how important are these announcements? joe brown is here from "wired" magazine and paul kedrosky is here, along with john edson of lunar. this will allow for burst selfies, so not just one selfie in a row. think for a tablet selfies need to be that much encouraged. >> wi-fi and other things -- >> it is easier to unlock the bigger iphones. important for authenticating. touch id is a big deal. faster wi-fi is very good because people are using them as laptop replacements. thinner. they say you can stack two on top of each other and it is still thinner than an original ipad. >> paul, are you still feeling meh? >> i am still meh. it has not changed very much. they are going on relentlessly about thinner as if it is the only thing that matters in the universe with respect to tablets. none of this changes the fundamental problem which is the purchasing cycle for tablets is much slower than phones. making these devices

we talk about apple pay. apple pay for e-commerce is a really important thing.he idea you can go to groupon using your thumbprint so groupon never gets here credit card,, that is a big deal. ipad-specific use cases are starting to bubble up. >> you caught up with people at the event, including gene munster. >> we had a little tim cook tim, not caught on camera, and also some gene munster time., listen to what he thought about today's announcements. >> a lot of increment of things. there was a little surprise in terms of apple pay. that was the real news, how much progress they made in the last month. >> did you wonder when they would come out with it? >> we expected it in the month of october. 10 500 banks and retailers, the mid-more progress in two months than ebay has at point of sale. >> but that was not point-of-sale, that was connection to the banks. >> the 500 was the banks, but they announced 10 additional retailers at point-of-sale. that is the piece ebay has had a tough time with. >> why do you think that is? is it really the name brand of apple, for so

we have apple earnings. apple is not only one coming out with earnings. we have chipolte and some others as well. texas instruments. we have very busy hour. fasten your seatbelts. "after the bell" starts right now. liz: as we wait on both chipolte and apple let's get to today's market action. joe durant, united capital ceo, here to toll you why you should stay away from the very thing a lot of you are attracted to right now. not brad pitt but treasurys. bob phillips, spectrum management group, says why you should be wary of small caps so stay away from those. peter kenny, warns of more volatility in the next couple weeks. bob iaccino in the pits of cme. we begin with you, bob. ibm we know what happened this morning. they missed, they warned, it was a total mess. look at the dow in the last final hour, crossed the unchanged line 12 or 13 times. it was really trying and made the grade here. what does that bode for tomorrow? >> i think one of the things you have to worry about is the way that the s&p and nasdaq are behaving right now. they're doing this litt

. >>> how about them apples? apple beats the street with strong demand for its iphone and says next quarter will be even better than it expected. >> third quarter earnings were disappointing. they weren't what we expected. we saw some slowdowns. >> big blue bummer. ibm's latest earnings were not what the ceo expected. she also ditched the company's profit road map, dumped its chip unit and by the end of the day the stock had its lowest close in three years. >> but should you own it should should you buy it here? one of our guests who recommended ibm shares is back to answer that question again tonight. all that and more on "nightly business report" for monday, october 20th. >> good evening. a lot of buzz on wall street today about the disappointing earnings from tech bellwether ibm, sending shares of big blue tumbling and nearly wiping out the modest gains made in the dow today. we begin tonight with the after the bell earnings from another tech giant, apple. it was like night and day. apple trounced wall street

to apple pay.vs didn't reply to e-mails asking why they disabled the nfc systems that process apple pay. rite aid acknowledged it's not accepting apple pay. what's important to think about retailers may not be taking a swipe at apple pay but apple pay partners. rite aid and cvs were not among the retailers that partnered with apple pay originally though their point of sale systems would allow clients to use it. what both drug store chains are a part of is a group of retailers called the merchant customer exchange building its own app linked to client's prepaid card or bank account. this means payments will go right from the customer to the merchant and merchant won't be paying fees to credit and debit card processors, visa, mastercard and american express. for years retailers have complained about the fees some taking the processors to court. the processors have been working to improve their value proposition to merchants but with forester research estimating mobile payments will hit $90 billion by

how did apple pay go on day one for apple partners? -- you guys are a partner with apple pay.hat are the numbers so far? >> it's too early to say. we are really excited. a good step for you was on the day. the newmes more people customers getting cards. >> is this a new business where -- are trying to get people let's say i have a chase credit card and a wells fargo credit card. is this a chance for you to win share with customers? what it allows us to do is help them use it in a mobile way. can you move the card from the back of the wallet to the front of the wallet? >> i don't think it's a singular option. it's more of a holistic option. a consumer's my digital experience with chase is better and we can give them different offers and the experience is -- we recently rolled out our chase mobile app. centric.digitally 40% of our customers log into their mobile app once a quarter. helping me work in a digital world. getting any aren't data out of this transaction because that's how apple has structured it. to use, it's simply one click and i can buy something with apple pay. i

apple is gaining strength. feel that apple is gaining strength.hink they would do extraordinarily well. the interesting thing about apple tv is that apple keeps refusing to build the tv. everybody keeps predicting there will be an apple tv you put on your wall. they don't build it. i believe that they don't build the tv goes back to the smart fun, which is a upgrade cycle is two years. the upgrade cycle for tvs is five years or 10 years. the tv will become a jumper for a field to the smartphone. real to theff smartphone. is a low margin business. >> what is the future of elon musk? >> obviously he will build the iron man suit. [applause] [laughter] in the suit, he will fly to mars. he has some work to do between here and there. guys, threeree founders who are really revolutionizing. industry through we have all these people who are incredibly well-known known and built these amazing companies. he is one of those. musk -- youelon talk to them and their ambitions and aspirations are another step up from the rest of us. audacity -- look at anyone's -

big one is apple.street is eager to see if they can turn the tide and expect $1.31 on sales of $39.9 billion and ending the regular season up a couple of percent and then texas instruments, also again in focus is ibm's chip move over that stock, as well. texas instruments you can see there finishing the day at least in the regular session up by 1.5%. back over to you. >> thank you. >>> we'll get the results of apple and t.i. right after this break. stay tuned. ings in a whole new . it's in this spirit that ing u.s. is becoming a new kind of company. one that helps you think differently about what's ahead, and what's possible when you get things organized. ing u.s. is now voya. changing the way you think of retirement. (vo)solver of the slice.pro. teacher of the un-teachable. you lower handicaps... and raise hopes. and you...rent from national. because only national lets you choose any car in the aisle... and go. you can even take a full-size or above, and still pay the mid-size price. (pro) nice drive.

one question, and everybody will laugh given where apple is today, is whether samsung was first and apples next or whether apple can maintain the unbelievable profits and price points relative to the entire industry. and it comes down to the eco system. is it powerful enough people will shell out that much nor a phone. >> and shoummy is the next big company coming out of asia. >> boy are they right. >> a think a lot of people that compete against them are very scared. certainly a lot of moving parts there. samsung feeling the hurt today. we also want to get a check on the markets which are mixed at this hour. the dow sees outsized gains largely because of the visa. remember that is a price-rated index and visa responsible for most of the games gains on the dow. solar shares are fully rally mode. after hours yesterday one of the reasons why the stock was on fire. visa adding 125 points to the dow right now. shares of dream works slipping. even though earnings topped estimates. it is unclear why the stock is down. maybe because ceo threw cold water on the takeover speculation. especially ru

besides that news about the steve jobs movie and apple's earnings, apple also released apple pay. will it change the way we pay for everyday stuff? that is next. ♪ >> welcome back to the best of bloomberg west. apple pay is here. apple rolled out its long awaited platform on monday allowing people to use their new i phones and i pads to pay for items at retailers including mcdonald's, walgreene and whole foods. not everything has gone smoothly. a blitch at bank of america has caused retailers to be charged twice. for more on apple pay we spoke with the cofounder of google wallet and coceo of retail start up index, as well as vice president of product. i started by asking jonathan how successful apple pay can really be. >> i think it has a lot of potential. they control distribution of the handsets. they have the program if all their phones. they did a great job with partnerships on the banking side. i think on the whole is valueadded services. so it's very clear they can do tap and pay for terminals that are already enabled. but the question is where is the value at, where is the

we will talk a lot about apple. karo, you first, given the huge selloff we now underway stocks lunging almost 300 points right now, what do you think is really behind the selloff? >> i have said for the last year stocks might be a bit high and that there is a lot of risk. i do not think there is one specific thing. the international situation is obviously pretty bad. oil prices, of course, have fallen off a cliff. have, profits in this country are somewhat questionable. based on low interest rates. you had a harm -- a high market for a number of years. you have to expect these things. you could ask the other way, what caused the market to go up? 80, 90%. >> so you think this is the start of a correction? >> i do not know. it is like asking me if i think the farmer's life will shoot another seven in vegas. there are too many variables. i just think, on a macro level, you can predict the trend, and that trend, shall we say, there is a lot of risk. >> a lot of risk comes from europe and obviously germany not looking so

how did apple pay go on day one for apple partners?ning me, cory johnson and workingigital director with apple pay. what are the numbers so far? >> it is too early to say. we are really excited. i'm still looking at the fun numbers. it is interesting. a good staff for you on the day, seven times more people added their car to apple pay the new customers were getting cards. >> this is a business where you are trying to get people -- i carry a chase credit card or lots of other credit cards. let's say i have a chase credit card and a wells fargo credit card and an american express card. is this a chance for you to win where the customers card is not their preferred card? towhat it allows us to do is put the cart into their wallets and help them use it in a mobile way. >> i get that you want to use it everywhere possible. can you move the card from the back of the wallet to the front of the wallet with apple pay? is that a singular opportunity? >> i think it is more of a holistic opportunity. chase is a digital centric bank. when a consum

it has been a big day for apple. the company's new big data system apple pay is live. now fourth quarter earnings are blowing past estimates. revenue in the quarter, $42.1 billion, a 12% gain. the company reported net income up 8.5 billion. the company sold 38.3 million iphones in the new quarter. up 16%. that includes about a week of the new iphone six and six-plus but ipad sales are down again. joining me our editor at large cory johnson and in new york, anon in boston. it seems to be a tale of two products. the iphone blowing it out of the water, the ipad disappointing. what's your takeaway? >> the ipads were meant to be weaker than expected. there was a new product coming. the product has been getting stale, tablet use has been growing. people are starting to figure it out. there's a screen with a larger pc that can doa a lot. hopefully the product refresh and ipad refresh helps reinvigorate that trend. >> cory? >> there are a lot of reasons for that. it's growing at a pace we've never seen great big companies pace. on a very consistent basis. >> and ahead of the h

then it took on apple with its first smartphone. and just like apple, xiaomi has introduced new products every year with great fanfare. how did xiaomi writes so far so fast? first, the price. at $270, it costs less than half of the cheapest iphone in china. then there is the business strategy. it sells directly to consumers online with limited quantities available. a recent one-day sale in china brought in $241 million in orders. when its flagship product launch last year, xiaomi sold 100,000 phones in under 90 seconds. xiaomi plans to expand outside of china to 10 new markets and triple shipments from 19 million to 60 million phones by the end of year. and they've just dropped the "little" from its domain name, proving this $10 million startup disturbing to think a lot bigger. for more on xiaomi's rise, i want you to meet the program director at idc. his team put together this report on the top five global smartphone makers. and cory johnson is with us in studio as well. ryan, how did xiaomi do this specifically? is it because of t

we always compare to it apple. but apple is -- and apple a huge company but apple is very focused.es a small number of products. anyone who's been to korea knows samsing is in construction and does all kinds of things. and chips are an enormous part of it. what they have to do to consolidate on the chip business is not something i'm very much schooled in. i don't know. but on the phone business, obviously they are going to go low end because they are being challenged there too. but there are statements to me seem to express continuing concern about high end, high margin phones which is why where they compete with apple. >> a lot of viewers drawing parallels betweens some i samsu what a sony he has probd with in music business. but that's another day. >> right. >> you reviewed had cano. this is a kit that essentially allows kids to build their own computers. when i was a kid it was a microscope or something else. >> a perfect analogy. that is what this is. it's 150 bucks. you get this fully done board called a raspberry pie which people use for experiments and so forth. but you get

>> yes, apple has been very clear.were said when introducing this we don't know what you bought, where you bought it or how much you paid for it. >> and not so with google? >> no, but that's very much apple's positioning here. that's typical of people of late caring about their credit card security. the system is phenomenally designed. even if you look at things like the fact that the payment on the phone it happens at a center. before people were bouncing around entering other codes and as. it was harder. apple have finally taken the combination of security plus user experience do make it both a better experience and more secure. >> john carlton, co-founder of strike and christina cordova, 4el8d of business development there. i can't wait to try it myself later on too. karl i kahn, a huge move on the board of the ecommergs -- e-commerce giant. details on that next. ♪ >> ♪ >> welcome back to "bloomberg west." i'm emily chang. venture capitalist mark is stepping down from ebay's board of directors after a very public ba

apple has said apple pay, the payment service, launches on monday. also, an update on the apple watch. watch kit is a way for developers to make apps for the apple watch. that will roll out next month. that is november. tim cook saying the watch still expected in early 2015. he says every day i look forward to that day. so this is an important detail because developers now have a couple of months at least to figure out what kind of software they'll want to build for this watch. apple is usually announcing platforms like this in the summertime. but for the apple watch, they are rolling this out in november, giving developers their first chance to get creative and really figure out what kind of apps to deliver for that in november. and again, apple pay coming on monday, tyler. >> all right, jon, i'll take it back. and apple is positive right now by 17 cents. >>> the market rallying back in a big way from a big selloff earlier this morning. the dow is positive by 16 points on the trading session. so is this the time to buy stocks? joining me here on the

and apple pay. will it change the way we shop much like the first ipods changed the way we consumed music. national executive pete has hammered it out. he'll be here with the answers. liz: with just 23 minutes until the closing bell try to look past ibm one stock, but, of course, it's a positive day for stocks overall let's go to nicole petallides. i want to here about some big time winners here. >> we have some big winners. i just heard one guy said, if it weren't for ibm we would be up 200 points. not quite, but we'd certainly be in some positive territory. talk about some of the winners we've seen today. the -- the market has improved in the last few hours. hasboro did so well. they have the marv he will they have the transformers. sesame street. disney which is a dow component. and the airlines are doing very well. you're seeing names like love, which is southwest airlines. delta also a winner. there are really a lot of winners. some of the tech names are coming under pressure, but the market ha

, now on apple tv and amazon fire tv. -- can apple do it better?n do that because apple has figured out how to become better margin hardware. >> let's talk about market share versus mind share. has most of the market share, but apple has most of the mind share. is that a fair assessment? why would that be happening? if there is all of these people using android phones? theou have seen this from engineering economy, to the creative class. new innovative apps come out on androi apple first, because it s the platform for the creative class. you do not have to be the first, you just have to have the right ecosystem. >> would you say that apple is not the first, but the best? the most creatively -- they foster the best creativity right now. they are the ones that people think of when they want to release an innovative product. apple is going to have to keep that market share of. up./ >> thank you. it is time now for the bwest byte. what do you have? >> 1 to 20. in 20 germans have a credit card, compared to the average per person.has 2.2 why would the cr

you have to admire apple for that. >> we admire apple for a lot of things. guy, is there any chance as we go forward and get new apps for the tablets and ipads that we will have some something that can replace a keyboard? which is i think what keeps a lot of people who would like to simply carry an ipad from doing that. you have to have a laptop. it's easier to have it all in one unit. are there any apps that will help with that. >> there are more keyboards and better keyboards and now you can integrate and select your own kind of keyboard for your ios device. i think a lot of it is just getting acclimated to how these things work on an ios device or any smart device. i think it is a matter of just learning to do it. i don't think that is a make or break kind of issue. >> are you expecting anything out of apple that nobody else is expecting? like a big surprise? >> well you always hope for that. right? so the logic tells you, the street tells you it is going to be a better ipad. it is going to be a better imac. apple pay is very exciting. but then there is t

besides that news about the steve jobs movie and apples earnings, apple also released apple pay. will it change the way we pay for every day stuff? that is next. >> welcome back to the best of bloomberg west. apple pay is here. am rolled out its long awaited payments platform on monday allowing people to use their new i phones and i pads to pay for items at retailers including mcdonald's walgreen's and whole foods. not everything has gone smoothly though. a glitch at bank of america caused some to be charged twice. about 1,000 transactions were affected. for more, we spoke with jonathan wall the cofounder of google wallet and coceo of retail data starter index as well as product tonight. how successful apple pay can really be. >> i think it has a lot of potential. i think they've done a great job with the eco system. so they control distribution of the handsets. they have the security in their phones. they did a great job with partnerships on the banking side. i think kind of the thing people are asking about is the value added services so it's clear they can do tap and pay for t

apple is certainly focused on where they can move product there as well, but for apple, i think it's about the overall ecosystem, so they are making plenty of money on their iphones. >> what does it actually mean for apple overall and google overall? >> there are two important points, and you guys hit on it in your intro. 1 -- the impact of the large smartphones is huge. remember that a lot of the growth in the tablet market over the past few years has been in the smaller seven-edge tablets. that is the category in particular that gets hurt by large smartphones. >> do we know that yet, or do we suspect that? >> i think we know that to some degree. there is a reasonably solid fact on that front. there certainly is on which tablets have sold, and there's a little bit more speculation than on what the impact is going to .e qualitatively, i have talked to a lot of people who have said 6w they have gotten an iphone i've hadre using their a lot less. i think the question tomorrow is what they will do with the ipad mini. see moree are going to specialization and tablets. we are going to see

apple pay is rolling out today. is it relieve the end of the credit card -- really the end of the plastic credit card? ♪ >> i am emily chang. to the robin hood conference, where attendees a thousands of dollars in ticket to hear advice from the best and brightest minds in the industry. could affect the future of payments. stephanie ruhle joins us now live. thank you. i'm here with ari summers, the ceo of jpmorgan chase's consumer bank. branches, who is going to branches today? >> good question. all thee question i get time. it is very important to our customers, 90% of our customers use our branches, and visit several times a quarter. the way they use him is very different that deals with no. the transactions they used to have to come to the branch to do, deposit, payment, to ask a question about an account, they are using some of the technology that we have developed. they're coming for different reasons. 50% of deposits are happening outside of branches, how is jpmorgan chase rationalizing that you continue to ope

whatever. >> how about apples now. >> he can be apple pickers. >>> coming up, apples.ow awesome they are. besides being a healthy fruit, they are a truly american fruit. >> we have some facts about apples. even how you can catch a buzz from them. now you've got my attention. you're watching "world news now." >> announcer: "world news now" >>> haven't done this yet. you said you'll take us. this time of year, apple picking is a top of the weekend to-do list. thousands of families venture into the orchards. today starts national cider week. >> it's one of my favorites and one of the many benefits of apples. there's plenty more you may not know about apples. >> reporter: apples. there's more to them than meets the eye. with more than 70 million tons produced worldwide, it's one of the most valuable fruits here in the u.s. and they don't just keep the doctor away. they keep that waistline down. a new study published by science direct says apples promoets a friendly gut bacteria which stabilizes the metabolism and makes you feel full. >> it may stimulate the right microflor

, you see sustained demand for the apple 5s and the apple ic. >> apple is making more money on these devices than anyone. if you look at markets are, they will continue to lose market share and you will see people like xiaomi and others gain market share. but it is where you make your money from. they've got very different business models. >> what about samsung reporting its worst quarter since 2011? how big a threat is samsung facing? are we going to see their dominance truly challenged? >> in terms of market share, you will continue to see it come down somewhat. you have to keep in mind that samsung is in the majority of the markets around the world. whereave the threshold retailers will continue to cell phones. when you look from an investors standpoint, they will not make as much as they made on each device in the past. they will come to grips with that reality. >> apple might have 20% or 30% global market share, they will have 80% of the profit in the business. companies like xiaomi will be operating with a 1% profit. they will sell a lot of phones and not make any money. >> sam

besides that, apple announced apple pay will start on monday and showed off ios 8 and mac operating system . os 10 yosemite. for more on apple's big day, i was joined by joe brown, paul kedrosky, and president of the global design for lunar. take a listen. >> it has become a real -- it is easy to unlock and get things when you are authenticating. security is very important right now, especially to apple. it is a really big deal. faster wi-fi is very good. especially people using laptop replacements. they are thinner. you can stack two of these on top of each other. and it is still thinner than the original ipad. >> how are you feeling? are you still feeling mac? >> i am still a mac. it is what we thought we would see. we are seeing it. i saw on my twitter stream about how they are going on about thin, as if nothing matters. none of it changes the fundamental problem that the purchasing cycle for tablets is much slower than phones. there is been a real loss of momentum. --ing the devices that are thinner is not really going to change all of that. the fundamental problem they have been in th

in an open level -- letter to the apple ceo tim cook, apple is trading at half value and that the companyate shared buybacks. mr. icahn, his son,

and apple is in a great place. but we know china is a super important market for apple. whatever they do together is going to be big. >> isn't there a problem that everybody seems to love alibaba. it's gone up so high, near highs since the ipo. j.d..com which people used to love is pretty far down. is baba the better buy here or other competitors who are getting overshadowed. >> you really do need to look around. alibaba is this bright shining star. and i have said before on one of shows here that it is an unknown because we don't know how it is going to play in the u.s. which is a key expansion area for alibaba. >> in the morgan stanley they talk about alibaba services and cloudy as being the next expansion areas but they have an interesting chart that shows even though they do so much more than transaction volume than amazon, amazon is able to make more money in terms of revenue. and i'm wondering if you think the china commerce model t revenues are so much lower than here. >> you see a revenue mix shift. so there is a better monetization of the user base. i expect to

apple doesn't keep data. data doesn't go to retail years that is totally true. >> i think this is a terrific first step and time will tell how widely it is adopted both in the retail community and consumer community. gerri: so interesting. retailers may be impacted less than you think particularly department store retailers because if you have one of those cards that gives you points or something, saks fifth avenue, neiman marcus, macy's, all these companies have those cards, joe, to you, they're not playing, right? there may be a segment of the audience out there who won't watch the technology because they're too busy building up points with the department store credit card. >> that is very possible but at the same time there will be a lot of millenials like me who love walking out the door with nothing but their smartphone and promise that would bring and who will love apple pay. gerri: adam, last word. >> last thing, that retailers may welcome along with their affinity card. the fact it is not happening ri

used by apple. that's another big reason to upgrade systems which means more business for verifone, i think they are going to make it so retail customers will demand apple pay. if that happens, there's no way retailers can hold back from giving orders to verifone, for the chip enabled systems and demand for communication systems to communicate with apple pay, i think we could be witnessing a major upgrade cycle for payment terminals well in extent of what we've already had. for example, right now 30% of terminals in the country are emv compatible. at the very least we're talking about $250 million incremental revenue opportunity and expected to earn $2 billion next year and i think that could be very conservative. they are a high quality, beaten wall street estimates for the last four quarters. i expect the company to be able to poeflt 9% annual sales growth over the next few years and dramatically boosting margins. a number of initiatives designed to improve operational efficiency. let's put it tog

some places like apple indicated that might be true. in microsoft's case, here again, we have a situation where despite the fact we have elevated volatility in the market, these "options action" aren't that expensive. i don't mind them owning into catalyst. they are priced with the market being maybe squishy is what i would call it. >> squeezy is what dan said. squeezy, fishy. be sure to tune into the interview with microsoft interview monday morning 6:00 a.m. on "squawk box." >>> karl aconhad an especially tough time of it. we'll explain why. stay tuned. . >> it's great to be a billionaire unless you were uncle karl icahn. dan, what do you think, do you think he will unwind some of this? listen, here is a guy who has been an amazing investor for so long. some things you can't bully around. he got what he thought he wanted. so the stocks are going lower. to me, it's a function of the market we are working on. >> net flicks. my expectation is we will learn that icahn probably paired his positions there. as far as herbalife. the long-term

. >> the apple c.e.o. tim cook is expecting record holiday sales avenue they sold more than 39 million iphones this quarter. >> tragedy for total. the c.e.o. died in a plane crash in moscow. good morning, everybody. welcome. you're watching "the pulse" live from bloomberg's european headquarters. we're here in london. i'm guy johnson. >> i'm francine lacqua. this is our top story. g.d.p. came in ahead of economist estimates and dashed some hopes for large scale stimulus in world's second largest economy. >> bloomberg economist tom joins us from beijing with details. first of all, are we being overly aggressive when we said there was a surprise on the upslope? this is still the weakest data we have seen since 2009. >> i think that is a good way of looking atice, guy. 7.3% growth in the third quarter was slightly better than 7.2% expectations but only really marginally better. if you dig into the details of what is behind that number, what you see is continued weakness in the domestic economy. real estate ha

>> is apple doing what apple does best, and they will optimize that payment flow, and they are partneringanks to make that happen. because of that, we saw an uptick in interest in bitcoin. >> how does chinese operations affect you? >> we would like to operate everywhere in the world, but when governments take a stance that they do not want it to be used, obviously, we have to abide by that. >> how can someone like arthur levitt help with legal issues? >> when we talk with arthur, what we really want to help him with or have him help us with is how you get the banking industry to sort of warm-up to using this technology and what do we need to do -- what are the steps we need to do to accomplish that? i think he will sort of work that courts. that's the goal, and we will figure out what other steps we need to take to make that happen. >> if you say we are in the fourth bitcoin bubble, how many will there be? >> i think there will be bubble after bubble. what happens is you get a lot of interest for one reason or another. a lot of people decide they want to buy them, and this might be their

apple has been unchanged while the market is selling off. it's also occurring right at the pass top, normal reaction. we like apple on the long side. >> i'd say on the chart the momentum is waning a little bit. it's made a series of higher highs and lower lows. so you'll really have to see some blowout gross margin guidance to get the stock going forward. >> don't you want to own apple going into the fourth quarter? payment launching on monday. >> payments will be a 1% thing, the watch -- the watch to me -- >> 1%, look at the size of visa and then you can think of the market share. >> at some point don't the stock at current prices it is count some future things that we don't even know yet. >> got a question out there.cou some future things that we don't even know yet. >> got a question out there. send us a tweet. and check out our website. it's better than netflix and hbo combined. here's what is coming up next. >>> which tech stock could be this serious trouble when it reports earnings next week? >> if i told you that, i'd haha to kill you

so today apple launching its new mobile payment service, apple pay. it's going to be at some 220,000 locations across the u.s. whole foods, macy's mcdonald's, and here's how this service is going to work. users can step up to the checkout terminal, hold up their iphone 6 or iphone 6 plus to a special payment terminal and with just the touch of a finger, that transaction is completed. what apple is trying to do here is take advantage of that mobile payments market which is expected to quadruple to $90 billion by 2017 according to forester research. i did have the chance to speak with apple's eddie q and he talked about how the service is safer, easier, faster. he said that traditional payment methods and how it's more secure. take a listen. >> all of us right now are having to deal with all of these credit cards getting exposed and your credit card gets canceled and got to get a new one or even worse, your card has beens used somewhere and now you have to, you know, which transactions did you not do to get a credit for and we wanted to create an enviro

and, of course, we're waiting on apple, so how does that apple pay work?re going to talk about apple, show the stock, but then we are going to be speaking with pete par l of marble. he has the iphone 6, and he is going to demonstrate right here, live, how apple pay works. some 200,000 stores across the nation have signed up for i've been hearing from boutique owners even in new jersey who have gotten calls from apple saying, please, sign up. this is very interesting. it will become a new order of the world, but how much is apple getting paid from your transactions? stay tuned, we're going to demonstrate it all, melissa. melissa: i'm just impressed you can say pete par el of marble. my hat is off. liz, thank you so much. we had to show you this. this is what i wanted to leave show with. my producers stopped me, for some reason. [laughter] dozens of fall enthusiasts carved out their giant pump kips and went -- pumpkins and went behind the stem. the eager competitors had to collect seven balls around the lake before racing back to the finish line. so this was