paul barrett of "bloomberg businessweek."thes complete story new issue, available on newsstands and all your mobile devices. coming up, the original soul man lends his voice to bluegrass. ♪ >> this is "taking stock." newsroom for the headlines. >> silver lake management stands to make more than five times its investment in alibaba after the record-breaking ipo, according to a person familiar with the matter. silver lake is the biggest technology-focused eye out firm. today -- buyout firm. roger goodell rejected calls for his resignation. he did admit to making mistakes. >> i got it wrong in the handling of the ray rice matter. and i am sorry for that. i got it wrong on a number of levels, from the process that i led to the decision i reached. >> he says the league will get its house in order and strengthen its conduct code. scotland voted to stay in the 103--keeping the 3-7= -- union intact. >> my next guest has more than the decades, 50 years in music business, under his belt. he started as part of the rhythms and blues duo

bloomberg businessweek sits down with apple's executive team. we will tell you the real story behind the apple watch coming up . also ahead of the iphone, apple's latest mobile a system. overhaul a complete and ios eight is a refresh of the new design with a lot of updates, including apps, keyport options, messenger app, easier integration, updates, and more. downloads could take a while with a massive spike in the ios 7 release last year. what will it be like developing for ios? now, -- thank you both for joining us. you have already gotten to see it. what is it like? unlike the ios 7, a refresh of the operating system in the u.s., these are just a lot of fun little things that make it more enjoyable to use. the syrian integration finding out what songs are playing. thes really fun and makes os a lot more interesting to use. >> how is it different for developers and will it be different for users? >> yes. it is awesome. in a matter of a few weeks, a few modal apps. -- mobile apps. it is a way to get knowledge and information. >> isn't ios's big

"bloomberg businessweek's" brad stone and i took it for a spin. let's do it. what do we got?mewhat expensive but fun toy. it is made by a chinese company. it is the phantom 2 vision plus. it is a drone. they have a camera in the bottom. you have a great game controller and you take videos. >> tell me about dronies. that seems to be the next big thing. >> i guess a dronie it is the drone version of a selfie. you fly your expensive drone up in the air and take a picture of yourself and then you post it on twitter. >> it is not the easiest thing to do. you have been working on it for a few weeks trying to figure it out. >> it is not that easy to configure. they can make it more user-friendly. practice is rewarded. i made the mistake of flying it without much practice and had some crashes. >> i have heard of some people who lost their drones in the bay. >> this is the sort of classic journalism. >> twitter has a dronie account. companies are using it for marketing? >> i am starting to see dronies from burning man this year out in the nevada desert. it is more of a fad maybe than

bloomberg businessweek tackles the subject with the pile of old consultants.rhythms to a jvlate the likeliness of wrestler getting into harvard. the fact that this business model exists shows the competitiveness of the industry. >> we can be overly what if with numbers. we can't reduce college admissions to algorithms. aspect to humanistic the admissions process. this or my experience. students with perfect test scores don't necessarily get in. good thing. we are looking to build robust and talented communities that contribute to the community. generally, mathematical algorithms, i believe in mathematics, but i don't think overly focused. 6%,dmission rates are comparable to winning the lottery. talk about anxiety out there. how much more are students and parents sweating the college admission process than five years ago? >> the best way to dissipate anxiety is arming oneself through information and preparation and rigorous long-term study. this is good for our society and country. it will make us competitive worldwide. we simply don't want to pander to anxiety

businessweek. sam grobart and cory johnson. thank you all.m english teacher to china's richest man, we have the story of alibaba's colorful fan there -- colorful founder. ♪ >> when it comes to alibaba there is one man synonymous with the company, just like steve jobs was to apple or jeff bezos is to amazon. he is the founder and chairman of alibaba group. now he is china's richest man. it is not quite a rags to riches story. his first job paid him $12 per month. now he is worth $22 billion. moss --exactly is jack jack ma? take a listen. singing on a stage before thousands of employees, jack mott is not your average corporate chairman -- jack mott is not your average corporate chairman. -- he left the classroom to ride the internet wave as china's economy opened up in the 90's. first he started china's yellow pages. he persuaded 80 peoples to give him $60,000. he then recruited 17 partners and alibaba group was born. him even though he is over five his larger-than-life personality has helped alibaba grow into the e-commerce giant it is today.

and, also the cover of bloomberg businessweek.today, so go and buy it. ♪ >> good morning everyone. i am tom keene. futures. really not a bad day. we're going to the jobs report here. already looking at early october? rushing september. >> it was actually cold this morning. cold for everyone waiting in line at the apple store. you paid a visit at 330 this morning? >> 3:32. i was our reporting in front of the crate and barrel building. i put some filter on to give it some pop. it was not nearly as beautiful as that photo. >> as you pointed out, this his, 13 blocks along, factors longer than the line that we solve for the iphone 5. with as is david kirkpatrick -- there is clearly some iphone 6 effects going on here. what distinguishes it from what has come before it? >> clearly, people have been convinced i the android ecosystem that a bigger phone is what they want. i am not even sure. i think it is surprising how much enthusiasm there is. if someone with an iphone 5 -- if the battery life is better, i will be happy. maybe it is tha

military analyst, joining us from new york, and from bloomberg view, our person from bloomberg businessweeki will ask you on the congressional action. is this going to be a big part of the story, or it does not really matter at this point, because the president is going to proceed anyway? >> more of the latter. the last forget, over 55 days, there is an election, and they are posturing more than anything else on capitol hill. they will clearly support arming and training some of the syrian opposition, but there is not going to be a big fight over a long-term resolution. >> you heard the speech and the strategy the president has laid out. how reasonable do you think that this will be a reasonable strategy on some time horizon that americans will accept? >> absolutely. listening to the president's speech, we got a little bit more than we had in the last couple of weeks, but that does not say much, because we did not have much in the last few weeks. majord out the four components, humanitarian assistance, supporting the iraqi security forces, defense, and the counterterrorism campaign, but he

businessweek" brad stone. we will be back with more from " bloomberg west." thenow for market's," lima julie hyman a. an interesting week with a lot of ups and downs. -- i'm julie hyman. from late day rally yesterday's decline that was the worst since july. today's gains in the s&p 500, the most in five weeks among other reasons we saw the gdp revising higher. ♪ bloomberge watching " west" where we focus on technology in the future of business. yahoo! acknowledges they received a letter from an activist investor urging them to take steps to create shareholder value including cutting losses in the display ad business. in response, marissa mayer says we have maintained and will continue to maintain an open dialogue with all the bear shareholders as part of the strategic initiative to drive sustainable shareholder value reviewing the letter carefully and look forward to discussing it with them. has greatyer says she confidence in the strength of yahoo! business. how is yahoo! news the display ad is this doing? would it better for them to abandon? an experto josh

. >> you wrote a cover story about bill gross for bloomberg businessweek. what did you learn? >> it was evident when i spent time with him for a few months, that he was quite unhappy and frustrated. there was a lot of tension internally that was weighing on him. he was being distracted from invest thing, which is the thing he loves to do. tough time with a lot of scrutiny and gossipy press coverage. he felt very personally stunned by this. he was battling a lot of problems that founders of successful companies find, that he was a great investor that was so successful that he suddenly found himself in charge of running a enormous in organization. management is something he does not want to do or is particularly good at. startedpoint there use to be some friction. >> what can you tell us about bill gross personally? has been a noted stamp collector, once owned the world's most valuable stamp. he is a practitioner of yoga. he founded this firm 40 years ago. simple guy, from his own description. he is an introvert. a social guy who likes to go out in the evenings. he gets up extre

this week, "bloomberg businessweek" writer brendan greeley talks about this and why the treatment has not gone through human clinical trials and why there are so few doses on hand. brendan joins us now on this exclusive story. this is really disturbing. why hasn't come to the market sooner? because the u.s. is bad at being a pharmaceutical company. we have to do research for certain drugs that have no commercial value, so the problem with ebola for a commercial company is that nobody needs a cure until suddenly everybody needs a cure. it is not like lipitor. there are two agencies that do this. one on the pentagon side and one on the civilian side, so the agency that picked up zmapp in 2010 with the intention of moving a forward got it stuck in contracting for two years, so what this means is we said yes, we like this treatment, we think it is interesting, we would like to promote it, and then we could not write a check for years, so our reporting shows we lost two years. it is two years lost. >> how much is actually out there? >> it is gone. there were a limited number of doses, give

also josh green of "bloomberg businessweek."op 10 stocks you don't want to miss after this break. ♪ >> welcome back. you are "in the loop." liu.betty it is 26 minutes past the hour which means a bloomberg is "on the markets" and we are in the final moments before the opening bell. the jobs report is coming in worse than expected. let's count down to the top 10, the only trades and stories you need to know. olivia sterns and julie hyman joining me. number 10, boeing. shares rising in the green market. deftly marketed and $11 billion order for the going 737 jet. the airline after going to make a new version of the plane that squeezes in morsi. -- more seats. >> i was going to say, this is -- >> is for the low cost, long haul. >> i don't want to go for low-cost long-haul and be squeezed in even more. >> this is a man who suggested paying to go to the loo. number nine, share of this by a former company plunging in the premarket. the company terminated development of a diabetes drug after it discovered misconduct by some employees. -

our special guest businessweek's brad stone, with the byte today. what have you got? >> 152.e number of days that amazon and has shipped the book company have been fighting. what does that mean? a lot of authors are suffering. a group of authors including james patterson and stephen king took the fight to do bezos' boss undermining their ability to support their fans. >> very quickly, your book is published by hachette. do you worry about this? >> curiously it is not being harmed by amazon right now, but i do worry for the new authors whose books are not available for pre-order. amazon is making it more difficult for them to make a living. thanks for watching this edition of the show. we will see you later. ♪ >> from bloomberg world headquarters in new york, this is "bottom line." today the number of people killed by gm technicians which is maybe much higher than initially estimated. how scotland's independent voters may affect the biggest industries. how now maybe the time to invest in vintage watches. to our viewers in the united states and those of you joining from around

samloomberg businessweek's grobart hands on with apple watch. for more on the walk and everything that happened at apple, i want to bring in a special roundtable of guests. as well as cory johnson is still with us from cupertino. within is gene munster -- him is gene munster. in the roomher gene today. i wanted to ask you -- will you wear this watch? >> no. this is the first apple product where i'm not rushing out to buy it. >> why not? >> it doesn't feel like a company product to me. i don't think it has the emotional connection with me. i'm an average watch wearer. i have a lot of watches. i have a lot of analog watches. i spend a lot of time thinking about watches and how they relate to me as a human being. this watch was not speaking to me. it felt a little bit too early and too premature. >> you and i talked a lot about the challenge of wearables because what we wear is an expression of who we are and what we like. gene, how do you respond to that? he is saying flat out i ain't going to wear this thing. a critical starting point for wearabl

bloomberg businessweek's always stylish sam grobart. us, leslie picker who covers ipo's for bloomberg news. and our editor at large, cory johnson. how similar was the process to buying something from amazon or ebay? >> it is an entirely different process because it puts amazon and ebay based on individual customers dealing with retailers. in this case, i am my own business and i am dealing with another business, in this case a manufacturer, who is coming back to me with specifications and timing and deals. much in the same way you would deal with somebody if you were buying auto parts, or computer motherboards. there is much more back-and-forth. as a result, you have to know what you are looking for as opposed to browsing through a catalog. >> you got the pants in two days. does alibaba have something similar to amazon prime free shipping? >> they do not. in this case, the shipping cost almost as much as the pants themselves. we had them air-ship using dhl, which cost almost $2000, which is about $500 less than making the pants themselv

businessweek named him business person of the year in 2007.e was one of time magazine's top 100 influential people in 2009. ma may only e 49 but he has already done a bill gates. and retired as ceo of the company he help found. and took an "the thing about jack ma and the thing about alibaba, he is not particularly an inventor. what he's done is he has come in and used existing technologies and beaten others at their own game. so, that's really what his genius is." estimates on his wealth vary one ranks ma as china's 29th richest man. at 4 billion dollars. forbes says number 6 at nearly bloomberg has him 4th in china no matter. his ranking could greatly change by the price of the shares and options over the long run. he's also noted for his ma has already established a charitable trust fund worth an estimated around two percent of his share options of alibaba. which could fund the trust north of 3 billion dollars. with the rest of the money he and alibaba raise from the i-- p-o. expansion is certainly on the cards. jim boulden, cnn, london. a

your focus in this week's issue a bloomberg survey -- of bloomberg businessweek is this take.overnment is bad at everything and we are particularly bad at this. ebola,inds of diseases, hemorrhagic fever, there is no profit in them for pharmaceutical companies. >> because not enough people contract the disease? >> the problem is, nobody needs suddenly-- until everybody needs it. there is no market for it until there is a catastrophe. the government is very bad at figuring out how to make research, which it pays for and is good at, and turning that into actual drugs. we look at the pipeline for z-mapp, the therapy that has been used. it has not gone through clinical trials. that is not an accident. the research grants from nih in 2005, it took those research grants into 2009, and then it went into what people call the valley of death. drugs that are sponsored by government research money that cannot get turned into an approved fda vaccines and therapies, because there are no agencies that are either funded well enough or have the expertise within the government to march it throu

brad stone of bloomberg businessweek is here with a special bike today. what have you got?the number of apple employees at the last year. it is about twice what apple had three years ago at the beginning of the tim cook era. they're adding 30-40 retail stores worldwide. also, tim cook is bringing in a new kind of employee. the beat acquisition with dr. dre. he is really interested in bringing in a new perspective. part of this is obviously selling watches, understanding fashion. but tim cook wants diversity of thought. >> would you think apple employees have doubled, and yet, they cannot get the iphone 6 -- fixed. >> maybe it is a function of high demand and other suppliers. apple is doing a lot more. when we think they have got two models of iphones and ipads, they're making more products. he used to be a look at them all on one quarter of the table, and they are gradually now doing more. >> one of the things i have heard is that some people do not think working at apple is as cool as it once was. what sense have you gotten from people? >> it is a different kind of employe

check out the new issue of "bloomberg businessweek." coming up next, apple debuted a smart watch.e will ask what new technology and innovations there are four fashion. we will be introducing a designer next on "taking stock." ♪ >> luxurious fabrics and intricate design. just a few of the things that come to mind when you mention the name. she has transformed her name into a top-notch brand that is favored by such individuals as madonna, angelina jolie, and beyonce. her 2015 condition -- collection debuted yesterday at new york fashion week. thank you very much for being here. we have to go a little back in history to understand how you came to new york fashion week and it has to do with a tablecloth, doesn't it? >> yes, absolutely. >> tell me, tell everyone about this tablecloth and what magic you pulled off. >> when i was a young girl, i was a seamstress. one day, i ran out of fabric and i took my mother's tablecloth and said let's cut it and make something out of it. it was an amazing dress and i went and everyone was raving about the dress that day. i decided i would become a f

. >> bloomberg "businessweek's" brad stone. that was fun.for this edition of the best of "bloomberg west." you can catch us monday through friday 10:00 a.m. and 3 nm the west. 1:00 p.m. and 6:00 p.m. in east. we'll see you next week. ♪ >> coming up, possibly the most amazing medical discovery this century. a miracle ingredient known to be critical to every aspect of your life and has been shown to ensure strong bones and optimal brain and prostate and maintaining an adequate level of

. >> bloomberg businessweek's sam grobart.e is -- sam, i am still waiting for my pair of purple pants. a quick reminder, oak coat bloomberg west w"ill bring you "the alibaba story", a half-hour special. that is airing tonight at 9 p.m. eastern time and pacific right here on bloomberg television. seven-time grammy winner pharrell williams has plenty of things to be happy about. he will tell us about his latest project in tech, media, and music next. ♪ >> welcome back to "bloomberg west." pharrell williams is having a massive month. he is having a massive career. he kicked off the nfl season with a performance of "happy," launched a new fragrance and partnered with twitter. we sat down with him to learn how he is building his empire and using technology to do it. we have more from new york. what is he like? >> he's really cool. he is an a credibly tech savvy celebrity. his website is called 24 hours of happy and helped launch his song to the top of the charts and he performed at the itunes music festival is promoting twitter to

. >> bloomberg "businessweek's" brad stone. that was fun.r this edition of the best of "bloomberg west." you can catch us monday through friday 10:00 a.m. and 3:00 p.m. in the west. 1:00 p.m. and 6:00 p.m. in the east. we'll see you next week. ♪ >> the following is a paid program. >> i am courtney thorne smith. don't change the channel, because in the next few minutes you will learn about a breakthrough product that can help take years off your appearance. here's the thing. you don't put it on your face. want to learn more? stay with us. next, a paid presentation from perricone for cold plasma sub d. the first of its kind treatment for the area of your body that can actually age most. your neck. hosted b

. >> bloomberg "businessweek's" brad stone. that was fun.t does it for this edition of the best of "bloomberg west." you can catch us monday through friday 10:00 a.m. and 3:00 p.m. in the west. 1:00 p.m. and 6:00 p.m. in the east. we'll see you next week. >> in the middle of the mojave desert. one of the most storied cities in the world. this is las vegas. where fortunes are won and lost, where lives are made and destroyed, where the house always wins. until it can't. >> a lot of pain and stress out here. >> one gambler preyed on the casinos in its weakest moments and walked away with more than $15 million in a single winning streak. people say you plarf

but domestically there was an article in "businessweek" and "the wall street journal" about the former united states senator as you know who calculated what america would be like in the recovery or the other post-war recoveries. he calculates approximately 14 million more americans working and the per-capita income in this country would be $6000 higher. a pretty dramatic difference between the president's record and that which he campaigned on. the president said he bring america together. we be unified. sleep the post-partisan type presidency reaching out across the aisle and so forth. these things have not succeeded again. and i wonder why. from your perspective, i have my own views of course that from your perspective wide as the president failed to unite us, failed to work across the aisle, fail to get this economy going on a timeframe. the private sector will fight his way almost anything and find a way. that's what our innovators and people do but it has taken a long time. i wonder from your perspective why has it been so unsuccessful? why has it taken so long for people to get j

he really brushed that off even though i see today there is a "businessweek" headline that says jeff musk because he would like to start working on a rocket engine for a boeing rocket. of course, it's elon who is in the rocketship business too. he brushed off those concerns. i'm not even thinking about the domestic guys. in fact, i specifically asked him which adversary are you worried about? >> he's like, i'm not worried, listen to who he's looking at now, and he's looking at spacex. >> on the international front, we battled the russians and, you know, putin announced several months ago that he's going to add $30 billion to the russian space program in part to compete against spacex. liz: that must have felt good. >> yeah. yeah. [laughter] liz: now you've got more security. >> yeah, exactly. liz: can you imagine, melissa, vladimir putin so concerned about what spacex is doing -- melissa: right? liz: yeah, i mean, it's fascinating. melissa: it is, although i wouldn't want putin as an enemy, so i'm glad he feels confident about that. liz,very cool. thank you so much. what's coming up

we also have paul barrett of ""bloomberg businessweek."uying merck of germany sigma-aldrich based in st. louis. the price tag is $17 billion. $140 per share. , theg up in the next hour executive board chairman ed merck of germany will be joining us to discuss the transaction. in the next hour of "bloomberg surveillance." a 17 billion dollar deal. this is "bloomberg surveillance." we will be right back. ♪ >> good morning, everyone. "bloomberg surveillance." later on "bloomberg surveillance," we will speak to the two executives involved in the merck-sigma-aldrich deal. and adamscarlet fu johnson. time for the morning must-read. >> my morning must-read is on last week's historic vote in the u.k. to scottish discs -- decided stay in the 300-plus year union. ,s far as policy is concerned britons have deluded themselves into thinking the system of government could survive with a little tinkering here and there. there will be more tinkering now that the scottish have decided to stay within the union. david cameron has made many concessions to mak

i want to point out, bloomberg businessweek is now available on newsstands. out the cover story about how blackstone is the most profitable deal in history. this is "bloomberg surveillance ." ♪ >> we have some breaking news. alibaba's ipo is set to be covered at all price points. set to plan closing its books early after its ipo has been covered. >> the food was finally good yesterday. muchreflection of how demand there is to get in on china's biggest e-commerce company. sells more stuff than amazon and ebay combined. >> let's walk through the ipo process here. they put out a red herring the days before digital and they put a price grab -- a price bracket. there is a raging debate between and the bankers and five or six major institutional holders. over where the price should come. by no means am i speculating. i would suggest with this -- we gom, we don't go up to a 72ish and it opens. 18 times, which is 10 times -- serving filet mignon today. >> covered at all price points. twitter question is relevant right now. who is the most effective this week? preside

thanks for "bloomberg businessweek" for this chart. france is pretty close.t of western europe leaves quite a bit to be desired. >> thank you for putting this up. adid not know that there was minimum 2% gdp threshold to be a nato member. >> you said there are 28 members. >> only four meet that requirement. grease and dystonia i was surprised about -- estonia i was surprised about. >> greece actually spends money. for all of its problems. as we look at u.s. defense spending, i just want to say about the 4% of gdp, let's focus on gdp right now. 4% repeats itself. that was the latest growth rate. are we literally growing at 4% in this country? reality, nor was q2. we think that once the debt settles from the volatility, you are going to slip back into this 2.5% growth trajectory and that is what we have baked into our forecast range. >> we had this spending number four july that was a disappointment. >> it was. on the back of that, we had to/are -- we had to slash our numbers significantly. areumer fundamentals actually in perfectly fine shape. would people have

joining us now to discuss it is brendan greeley, was just written about it in bloomberg businessweek.den have tried this. what happened? >> it did not work. it is really difficult to enact a tax on wealthy people. sweden started taxing wealth in 1911. and decade after decade, they .dded loopholes if you had for his holdings, they were not taxable. if you had equity in your own company that was not listed, it was not taxable. >> art, antiques, that sort of thing. >> exactly. more than 4%unt to of gdp. and when they finally got rid of it, it was 0.16 percent of gdp. the problem is, the people with money have enough power to grind these taxes down to nothing. >> what specifically about this country was a good setting to try this? >> over the last 10 years or so, he has been working with a lot of economist in a lot of other countries to figure out what inequality looks like in various countries. we have a bunch -- a much better record of that family used to. columbia is one of the worst. >> for income inequality echoed >> and wealth inequality -- for income inequality? >> and wealth inequ

i want to bring in our bloomberg businessweek economics editor peter coy.ought it down to zero, things are be great. is this true? thehis is an old idea, corporations are pass-throughs, and ultimately owned by people, so why not tax the income when it is paid out to people in the form of incomes and capital gains touch mark it does make a certain on offense, the problem, when you double tax dividends, corporations pay tax for the income, and the people that pay -- receive a dividend pay tax again. the problem is if you eliminated the corporate income tax, as harvey golub wants to do, you would create an enormous incentive for people to convert their personal income into corporate income. we would all turn ourselves -- betty liu incorporated, right? yes., >> you would not pay dividends, they would be taxi and -- tax-free, and the government would not have any more money. >> it would create the biggest tax poll in history. that is why it has not been done until now. if you're going to have a personal income tax, you need to have a corporate income tax. if you

. >> on this article you wrote for hope will bloomberg businessweek," is this the first time we hearde clock family? >> is the first time i have ever met helga glock along with her husband started this company in the 1960's and their garage in a suburb of vienna where they ran a secondhand soviet era metal stamping business. they were making household items like her and runs another things and eventually glock was given the opportunity to design a handgun and that became the iconic glock semiautomatic 17 round large capacity handgun that has redefined the gun market all around the world. ago, thefew years husband fired his entire family , his wife and three adult children and said you are out and i have a new wife and brought her in. she is 50 years younger. >> he's in his 80's? >> he's now 85. there's a natural question of succession as to who will inherit this billion dollar franchise. mrs. glock and her three children that they had devoted their lives to the company with the promise at least implied that they would have some role in its future. now they are out and they are suing.

i think sam grobart's work on "bloomberg businessweek," on the executives of apple -- did tim cook andjumpstart this the combination at ebay? that is the most under hyped announcement of apple's big announcement is that they are getting into payments. that is probably the most powerful part of the ecosystem. >> we have been fixated on the size of beef on. that is not a full stop it is iwallet. >> management with ebay have been telling positional -- potential candidates that they will split up the two companies. this preceded the actual apple announcement will stop having said that, they all knew that apple while it was coming out at some point and would be a big threat. >> gerard cassidy, this goes to what you study, since andrew jackson in the failed bank of the second united states. these executives at ebay, they have to respond to activists. large,ve to respond to institutional shareholders looking at 1.9% per year. >> i think that is absolutely true and you will see more activism in the u.s. banking industry, particularly amongst our universal banks if they are unable to deliver re

buddy to bring in our from bloomberg businessweek who was at the apple announcement the other day.eaction? >> i thought it was a huge event. to bring out two new phones and a watch is a lot more than the is a, like, here modification for the iphone and an upgrade to the mac processor. it really felt like tim cook's show. and remember, these are products of have been developed long after steve jobs. we are out of the jobs pipeline and starting to see the apple that cook is leading. a coole is obviously brand. surely, they won movie stars using their product on tv. ofapple has made billions dollars off hollywood. i am including the music is nice with that. but they're integrated potter -- integrated product of tablets and phones was the killer. it drove sales but not as much revenue as hollywood would like. i have always felt that although they are a creative led company perspective, they are a hard company to work with from a partnership perspective. >> because they always win. >> when we were at nbc, one of the big arguments was on variable pricing. it's very different than the rel

the united states has pledged to help combat this deadly disease but a report in bloomberg businessweekws how unprepared the government is here for a potential outbreak. brendan, where are these failures taking place. there is a drug -- >> there is an idea. the problem is the government has to be a pharmaceutical company. we don't have a choice will stop the government has to be a pharmaceutical company. i will walk you through why. for viagra and lipitor, there are markets and the reason to develop that drug and invested billion dollars. you don'tor anthrax, need it unless all the sudden everybody needs it will stop there is no natural market for it until there is a catastrophe which is why the government has to get into the business of sponsoring research and the pharmaceutical company operation of taken an idea and moving it through clinical trials. >> the u.s. government has proved its capable of doing many things but has proved itself and that in doing many other things. based on what you have seen and what you know, could the u.s. government do this? x yes. of peoplewo teams worki

here is charles kennedy writing in "businessweek" identifies crumbling health systems. hear his voice of america in a story on the 20th of august noting the three most effective west african countries share weak health care systems. the world bank in a press release last week identified weaknesses in the health sector and suggested that limiting ebola and its economic impact could be done by investing in the health sector. so, why health systems and why don't we talk about it with other diseases? it's not that we don't talk about it with other diseases but we don't focus on it in one reason for that is that we are at the limit of all we can do with ebola. there is no specific treatment or cure. there are no specific preventative technologies and there are no vertical solutions. the things that we are good at in global health tend to be things like disaster relief. they tend to be specific interventions that in ebola we don't have any of those options so we are left with this remainder bucket where what we are saying is to health systems. in fact the health system is nec

great story yesterday by "bloomberg businessweek" reporter on the same topic.an amazing thing happening. we are seeing a lot of pushing kinds of jobs. we see the governor is working very hard. china.ally going over to local mayors from alabama going over to china. you have done a ton of work. you have written a number of papers on this trend for boston consulting group. >> right now it is very small, but we expect there will be more companies coming over from china very clearly because the economics are very good for them. you see golden dragon and basically it would be virtually impossible for them to ship these things from china at this point in time because the costs have changed in so much. so they are coming to the u.s. like any other country would come and we will see a lot more of this over the next 10 years. the chinese are going to invest in the u.s. because of great opportunity. >> i have to ask you because in your report, you say the u.s. and mexico are rising global starts when it comes to global manufacturing. what does the usb to do to keep the ed

we're talking about apple because "bloomberg businessweek" on their cover story this week did an interviewceo, apple's ceo tim cook. tim appears to be on a roll. he launched the iphone 6's and the apple watch, and they announced they will have a whole well.neup of ipads as michael, is tim cook now on a roll here? >> i think tim cook has recognized that apple needs to keep introducing new products. over 40% of their revenue comes from the iphone, and they need to do everything they can to increase their presence in their ecosystem, but the jury is out of what is what -- of what will happen with the apple watch. it is an exciting announcement. everyone was hoping to get one and see them, but the devices over $300, and it is not subsidized. your iphone, your carrier pays a lot of money and a big piece of it whereas the iphone is a separate device. >> it only works in conjunction with the iphone, which is subsidized, so by proxy at sort of is. you think the apple watch can eventually drive sales of the iphone? >> it is yet to be seen, and i think we will see a lot more devices that are on the