still with me, alex barinka, who covers ipos for bloomberg.x, step -- set the stage for us here. why is first data so important? why is it worth so much? alex: for a few reasons. this is kkr's biggest equity bet ever. this company was taken private back in 2007, as you said, in that area of big ipo's. they struggled through the recession, they replaced the ceo several times. they finally got this guy, "mr. fix it" on wall street, and he has been in control since 2013. now kkr is looking to make money back on their investment. billion in $3.9 equity. right now, as of the price range that came out this morning at the high end of the range, their stake is looking to be about $5.3 billion. on the surface, it looks like they are winning on this one, but that is the stage here for how big of a bet this is for kkr and how much is riding on this ipo pricing and trading while going forward. emily: it's interesting -- as we have seen all this market volatility, companies are still going public this year. jay, i'm curious -- what other companies out ther

joining me now is alex barinka, who covers ipo's, and the bloomberg head of global technology, brad stonelet's dive into the numbers. square is making money but it's not profitable. brad: growth is slow, which i was surprised to see. the starbucks partnership, wow. emily: can we talk about that? because that actually cost them money. brad: there is a long history of starbucks being a poor partner to technology. groupon gave black marks to starbucks as well. not surprising, jack dorsey has talked about it being a bad deal. the deal isentioned going away. if we cannot rely on starbucks, what can square rely on? >> an interesting part of the filing was looking at the breakdown of how big the customers are. in the slides, there is a slide that shows customers bigger than $500,000 in revenue are growing. it looks like they are trying to move into a bigger ballpark, let's say, of customers. instead of just the small merchants that you typically think of as typical users of square. you would expect that would be one of the areas they are moving into. and the notoriety of being a public company m

brad stone, our bloomberg global tech editor, alex barinka, who joshs ipos for us, and greylock on the phone. shares of clover -- of first to date are set at $16 apiece, below the $18 that was expected. coming up, is netflix losing momentum? ♪ netflix shares take a hit in after-hours trading. they have recovered a bit now. investors are reevaluating the stock after reed hastings video streaming service missed on fronts.key analysts have been looking for millionllion -- $1.25 in profit. hi.ning me now is neil soc also joining me is the ceo of them io. neil, i want to start with you. .- of zimio neil, i want to start with you. netflix is blaming credit cards. neil: people have not renewed their credit cards and arematically subscriptions dropping off. i think people are also reevaluating whether they want to sign up for netflix again. it may be season by season or show by show. some people might sign up during orange is the new black or house of cards and drop off later. narcos and watching i think it is great. do you think the content is just not as good? is doing well, as is daredevil.

sarah frier, alex barinka, sarah, i want to start with you.he engineer wanted to follow up by saying he got a call personally, but found out through his e-mail first. he did not get to that message in time. what are you hearing from some of these people? sara: there are several people who said that is how they heard. to be fair, it is hard when you have employees working from home. you have to hope they pick up their phone. you have to tell them somehow so you do not find out from a password reset. emily: one of the problems we have been talking about is twitter and some of the reporting that sarah has done is that a lot of people at twitter seem to have overlapping responsibilities. people came up through different regimes, some of them are working on the same things come slowing things down, what are you hearing about? sarah had a great story about the need for more urgency when it comes to redeveloping some of twitter's projects and getting out there quicker. we have seen moments come out recently. that is the thing where you can see releva

joining me from new york, the david austin professor of management with m.i.t., and alex barinka, areloomberg news reporter who covers ideas. alex, what are you hearing from your sources today about what this means and what it does not mean? alex: i can tell you about the state of play in the last few months. we have reported that according to our sources that they were planning on moving forward with the ipo with or without jack dorsey. our sources told us that the bankers think the company is healthy enough to go on. but one thing to keep in mind is this ipo process includes a roadshow, and they are out and-pitching the company. it does raise questions for investors -- are they comfortable buying into new public shares at a company where it is not certain at this time whether or not dorsey will be there? those will be the big things we are paying attention to when it comes to whether or not square becomes a public company in the fourth quarter, which they were planning on doing as of three weeks ago. emily: james, let's talk about the near term -- let's say he is doing both jobs. st

look, alexe you a barinka. they priced below $16 a share. the ipoe is around level.this will probably be coming down to what investors are looking for in the report today and there's not a lot of estimates out there yet, because we know what underwriters are take somecompanies time before they start raiding the stock. we will really be paying attention to guidance looking forward. something they are looking for. also, a lot of debt. proceeds from that offering would pay that down. they're looking for cues of what management has to say. getting those levels down is really important to them to keep up with the competition. betty: why do they have so much debt? they got taken over by boom oh at the lbo heights. they struggled through recession and held onto a lot of that money. they have been setting on all of this money and all that cash goes to servicing. >> they have all of these big core clients. they work with all of the banks. they do due process payments. they have a bunch of different payment services, fraud prevention. we do all of the basics for you. let's fig

one engineer posted this. , alex barinka, sarah, i want to start with you.ineer wanted to follow up by saying he got a call personally, but found out through his e-mail first. he did not get to that message in time. what are you hearing from some of these people? sara: there are several people who said that is how they heard. to be fair, it is hard when you have employees working from home. you have to hope they pick up their phone. you have to tell them somehow so you do not find out from a password reset. emily: one of the problems we have been talking about is twitter and some of the reporting that sarah has done is that a lot of people at twitter seem to have overlapping responsibilities. people came up through different regimes, some of them are working on the same things come slowing things down, what are you hearing about? reporter: sarah had a great story about the need for more urgency when it comes to redeveloping some of twitter's projects and getting out there quicker. we have seen moments come out recently. can is the thing where you see relevan

alex barinka is back to recap what has been a busy week for ipo's and no ipo's. alex: and has been a busy week for me, but there have not been a lot of ipo's. first data is an interesting one. you heard julie talk about that we had some weeks of gains for the s&p 500. i was talking to matt yesterday and he says it is a rested rise. that uneasiness is allowing people to step back and wait on the sidelines and not as silly want to take a chance in a new stock. for the likes of albertsons, a supermarket with low growth and a lot of debt, that is not necessarily an attractive thing to jump into. you also have to keep in mind that we are coming to the end of the year here. andortfolio managers investors are looking at where they are, is now the time to take it that on new shares when you seen a lot of these price under or trade down? people seem to say probably not. betty: if you can wait, maybe you should wait. does that mean the window is closed for the whole year? alex: there are a few companies doing better. albertsons and first data have not done as well. the buy