. ♪ caroline: i am caroline hyde, this is "bloomberg technology."ff a up, twitter caps tumultuous year with another misstep, but this time it has company. how a social media giant is struggling. plus, the commercial space race that could be set to lift off under donald trump. how peter thiel could be the x o deep space exploration. and two tech titans sound off. first, our lead. twitter is struggling with its video advertisement. the company discovered a software bug that overstated how often video ads are viewed on android phones. this is the latest misstep to shake faith in video advertisements. it comes after facebook revealed its struggles with video advertising and raises questions about the lucrative business of online advertisements. joining me is our guest host, brad stone. welcome. is it another hit to twitter? brad: let us start out and address what i call the twitter paradox. the year has been horrible, the stock is way down, executives are leaving, and yet somehow it has never been more important to the public conversation, . trump waged

. ♪ caroline: i am caroline hyde. this is "bloomberg technology."pple and ireland wage war on the european union. we will have the latest. plus, and on my lender taking it slow after a rough year for fin tech. we will hear from the ceo. nintendo shares tumbles after the company released a game for smartphones. why super mario run may not be so super. first to our lead. apple said the case and island had no basis in law and they are confident the ruling will be overturned. the fight between apple, ireland, and the commission has been building. margaret vesta expired -- explained why this could be a long fight. >> we will continue to disagree on the decision because of the fact that we have different legal traditions. i have learned that in the u.s. it is absolutely the order of the day for a business to negotiate tax breaks with the state where it is situated. we have had a prohibition to do that since 1958. when a clash of understanding about how this should be played out. caroline: we are joined by david rosenblum. also in new york, our guest host

. ♪ caroline: i'm caroline hyde. in four emily chang. this is bloomberg technology.resident obama vows to retaliate on the election hack and urges president-elect trump to take the kremlin's actions seriously. we will have more on obama's year-end news conference. and apple's $14 million in back taxes forcing changes to international tax laws. we speak with bloomberg technology reporter alex webb. and german hotel bookings all --booking site trip i'll go booking site trivago climbing in its debut. will be company's edge be enough to woo u.s. investors? first, to our lead. president obama vows the u.s. will take action against any foreign government that meddles with the election. in his final news conference he reiterated russia was responsible for hacking the democratic party in the run-up to november 8. pres. obama: based on uniform intelligence assessments, the russians were responsible for hacking the dnc and that as a consequence, it is important for us to review all elements of that and make sure that we are preventing that kind of interference through cyber at

caroline: i'm caroline hyde in for emily chang. this is "bloomberg technology." coming up, rupert murdoch gets $14 billion from the television empire he has always longed for. we will analyze the proposed merger. the road ahead for tech in the u.s. with donald trump in the drivers seat. commerce secretary penny pritzker joins us for an exclusive. a real-life robot going to war in a virtual space. we will introduce you to the augmented reality battlefield. first, our lead. 21st century fox has reached a preliminary deal to buy sky for $14.1 billion. shares closed down more than 2%. sky shares closed up 26%. you will remember rupert murdoch owns 29% of sky and has been trying to increase his stake for years. joining us for more on this deal is alex sherman. thank you for joining us. i remember six years ago when this deal first emerged because there was concerns about the phone hacking scandal that embroiled rupert murdoch then. why is sky such a tasty asset? alex: it is a little different today than six years ago and did not when the world of the news scandal hit.

. ♪ caroline: i am caroline hyde, this is "bloomberg technology." tumultuous year with another misstep, but this time it has company. how a social media giant is struggling. plus, the commercial space race that could be set to lift off under donald trump. how peter thiel could be the x factor two deep space exploration. wo tech titans sound off. first, our lead. twitter is struggling with its video advertisement. this is the latest misstep to in videoth advertisements. it raises questions about the lucrative business of online advertisements. is our guest host, brad stone. is it another hit to twitter? out andt us start address what i call the twitter paradox. the year has been horrible, the stock is way down, and yet somehow it has never been more important to the public conversation, depending on how you view donald trump. onhas waged his campaign twitter and the media is it up. -- eats it up. it has found its place in public discourse. the vp ofer hand, product has left, you mentioned the cto, this is really anthony noto's company right now. he i

. ♪ ♪ caroline: i'm caroline hyde in for emily chang. this is bloomberg technology.ing up, $14 billion from the television empire he has always longed for. we will analyze the proposed merger. the road ahead for tech in the u.s. with donald trump in the drivers seat. commerce secretary penny pritzker joins us for an exclusive. a real-life robot going to war in a virtual space. we will introduce you to the augmented reality battlefield. first, our lead. 21st century fox has reached a preliminary deal to buy sky for $14.1 billion. shares closed down more than 2%. sky shares closed up 26%. you will remember rupert murdoch owns 29% of sky and has been trying to increase his stake for years. joining us for more on this deal is alex sherman. thank you for joining us. i remember six years ago when this deal first emerged because there was concerns about the phone hacking scandal that embroiled rupert murdoch been. why is sky such a tasty asset? alex: it is a little different today than six years ago and did not when the world of the news scandal hit. but other is consolidat

♪ caroline: i am caroline hyde.his is the "best of bloomberg technology," where we bring you all of our top interviews from this week in tech. coming up, the u.s. hits russian officials with sanctions over what washington says was an unprecedented attempt to interfere with the presidential election. plus the rise of the robots with , u.s. jobs in the crosshairs. we'll discuss whether humans and a.i. can peacefully coexist and we'll take a look at the biggest tax break news from 2016, from personal a.i. assistance to reusable rockets becoming a reality. but first to our lead the obama , administration has imposed sanctions against russian officials and state institutions in retaliation for hacking democratic party emails. it's the first public retaliation for what u.s. officials said was an unprecedented attempt to interfere with the 2016 presidential election. we spoke with former cia analyst and now senior policy adviser for the counter extremism projt. >> there are nine people and entities mentioned on this sancti

caroline: i'm fascinated.king about the new areas of business that are coming to you, the utilities, for instance. what about countries? you are the attacking countries? -- who are the attacking countries and who are the countries who want to help? nicole: we are working on a global basis. we have customers deployed in over 90 countries already. in terms of the attack sectors and vectors, it's pretty consistent. i think we are all fighting the battle. what we have come to realize is the problem of cyber security is still unsolved. i think until we have ceo's companies on a global basis saying, i have holes in my network, and maybe the attacker is already inside, and i need a different approach in trying to build a wall around the outside, or thinking we are smart enough to guess what the next attack is, as attacks get more targeted. until we wake up to the fact on a global basis that we need to start looking inside our network, we need self learning technology to tell us what's normal and what's not, we will n

caroline: thank goodness. we used it a lot in 2016.ory: i have the uber of whatever should turn around and walk out of the office because it's been played out in the markets too. chris: and see cyber security. cyber security has been commission critical for a while but as we've seen state sponsored hacks during our election, people are realizing this is a bigger problem than they thought. caroline: some money has gone into supporting the smaller rounds, the seed funding. you say it's getting pretty hot out there. what is the funding scenario like that if i am an entrepreneur looking for money both here in the bay but also outside? does it feel easy? is it too easy to get cash? chris: well, it's a great time to be an entrepreneur. it's great for v.c.'s. there have been massive funds raised in 2016. so while the funding pace has slowed, there's certainly an increased capacities for v.c.'s to fund. they can only sit on their hands so long. cory: a lot of the money we're talking about, these big rounds, late rounds for uber erest, they wer

caroline: plenty of hacks throughout the week.ou were at the heart of helping build the backbone of what is now cyber security policy. what is missing? what more needs to be done to help protect companies and the government? >> the industry and the government need to come together and work effectively. we don't have a national policy on how we deal with a major nations they attack. we have to find a way to bring them together and defend the nation in cyberspace. the nation,ending does that mean retaliation? >> clearly the nationstate comes after the united states, we need to respond, swiftly and with clarity. you don't have to respond in cyberspace. but you do have to respond. it is critical the united states respond swiftly. caroline: it's interesting, rex tillerson, he obviously had relationships with russia in the business community. what does it mean for relationships from a diplomatic standpoint? >> >> tillerson is the ceo of a major company. they had dealings and russia and oil dealings. he built relationships for that. as s

caroline: i'm caroline hyde. this is bloomberg technology. alibaba's credibility crisis, the sequel. jamie dimon opens up. the ceo speaks exclusively to bloomberg and discusses dealing with disruption. and after another lackluster year on the tech ipo red carpet, a star-studded lineup. but first to our lead. a fair punishment or political power play? alibaba is named on a u.s. blacklist for featuring confi counterfeit goods on its site. back forassing step the company. shares slid in thursday trading, with analysts suggesting the move was politically motivated, given heavy-handed rhetoric on china from the incoming u.s. president. alibaba's ceo, daniel zhang, wrote, we will not focus on whether it was fair. we will focus on how we improve. we also need to recognize that protectionism is ever present around the world and influences that are not free-market oriented coming to play. joining us now is our guest host andthe hour, bob o'donnell, bloomberg reporter selina wang. how embarrassing is this? in october, they took drastic steps to reduce

i am caroline hyde.inds down, some believe uber and snap's value is fair, and others warn of a bubble. we spoke about just that. take a listen. >> i do believe and agree that we are at the highest level of fund formation and company formation, and at the highest level of innovation and disruption, and that will continue going forward. a lot of these companies will not be able to be funded going forward, but there will be a subsection of them that will create interesting things that change the way we work and operate. emily: a lot of companies have delayed going public, valuations have soared, a rise in so-called unicorns out there. how do you feel about that? >> our belief is there should be fewer instances of unicorns out there because the majority of the m&a happens under $1 billion and few companies are going public. if a company expects to be a unicorn, there better be a high probability they can go public given the business model. otherwise, when growth moderates which happens to every business even

"bloomberg technology" is next. ♪ caroline: this is "bloomberg technology," i am caroline hyde.m setting the stage for a giant legal battle around the globe that could last several years. matt lawson is covering the case for us and joins us from washington along with david kirkpatrick. let's first stick with matt. tech companies move at the pace of lightning speed, but it seems that legal disputes never do. how quickly could this be resolved? matt: the next up is an appeal from the european commission decision that goes through the general court in luxembourg and appeals take two years or longer . after that, another opportunity to appeal, and that could take another two years. five years that people keep fighting and there is no ultimate resolution, and that looks like it is the way things are going. caroline: david, you're talking to technology chief executives, leaders of business, is this decisionsthat puts at risk or are we focused on donald trump potentially helping companies repatriate some of this money? is a strong, enthusiastic view in business generally which you have

caroline: we have had the u.s.have in 2016, germany, france, the netherlands, a wide range of political events happening next year. how is the institute preparing itself? guest: nice campaigns we've seen a lot of totally fake stories do really well on social media. in the italian case it was ballot boxes allegedly stuffed and birds found in an imaginary town. i think this is a problem of international scope and i believe that facebook is looking to roll this out internationally. the network has members from across the world and they are eager in keen to see this rolled cautiously and carefully but in other markets beyond the united states. caroline: should other media or large social networking this, whate adopting about the likes of google and its unit youtube. how will other social media giants potentially tackle this? guest: google announced a fact check tag. it is looking at ways to help more accurate information surface to the top in search. it famously had the problem after the elections with the false story

caroline: thank you for joining us. give us a sense of apple claiming they were selectively targeted by the eu here. do you think they have a case? >> yes, they have something of a case. i think that it is true that the investigations have focused to some extent on u.s. companies. on the other hand, it is probably also true that u.s. companies have led the world in aggressive tax planning, so i don't find it particularly surprising. caroline: david kirkpatrick, weigh in and give us a sense of your reading of the tea leaves. is there potentially tax warfare going on between the u.s. and europe? >> i do not think it is quite to that point. but i think it is a confusing situation of where i think apple has been extremely aggressive in how they structure themselves when they face these tax jurisdictions is an interesting question, and whether it is appropriate that they should be so fine tuning their own structure when they are simply trying to do business around the world, you know, it is legal, and the united states, at l

caroline: great to have you.ing the ongoing technology that will continue to be unveiled i'm sure will make discussions throughout 2017. dennis yang, thank you so much. udemy's ceo joining us. another tech company filing for an ipo. they plan to list on the map -- on the nasdaq. the san francisco-based company helps businesses track how well their apps are running so they can respond swiftly to slowdowns or crashes. facebook and google reigns supreme in the 2016 cap wars. facebook nabbed the number one spot with more than 126 million average new users per month over the last year. a 14% growth. not to be outdone, the company known for the world's most popular search engine, grabbed the most spots on the list. coming up, we will continue our focus on the tech breakthroughs of 2016 looking at reusable rockets. the hits and misses next on bloomberg. ♪ caroline: on today's funding board, rent the runway confirmed it raised $60 million, led by fidelity investments. this comes after a strong year for the fashion tech s

caroline: but video might be different.ger against in years gone by that perhaps they cut the market to drive out competition? try there has been no scouting. the argument is they make this argument 100%. in video failed, and mobile they underestimated. it was nothing to do with qualcomm's actual power then. there were companies stronger than qualcomm in the past. qualcomm had the right technology at the right time. that gave them this initial lead. there are arguments about what they have done with this market power, but the technology decisions and that's that were made -- bets that were made were made a qualcomm. caroline: bloomberg technology's ian king and editor-at-large cory johnson. facebook and google rained to bring in the 2016 app wars. they dominated the list of the top cap according to nielsen -- app according to nielsen. facebook was number one with more than 146 million average unit users. not to be outdone, the company known as the world's most thelar search engine grabs fifth spot on the list. gmail also ma

. ♪ >> on caroline hyde. this is bloomberg technology.oming up, the obama administration's parting shot it russia for hacking during the u.s. presidential election. plus the roadmap for cable tv in 2017. our big network mergers the blueprint for streaming media? how the at&t and time warner marriage could be the new norm. addiction. now to our lead. the obama administration brings new sanctions against russian officials and agencies were trying to interfere with u.s. presidential election by hacking democratic party emails. the president said all americans should be alarmed i russia's actions. the data and disclosures could be only directed by the highest levels of the russian government. meanwhile a spokesman for the kremlin says the russian reaction will create quick discomfort for the u.s. and the sanctions aren't attempt to undermine the obama administration. extremism, counter senior policy advisor who was a former analyst for the cia. bothrful to have you joining our program. the u.s. has aimed certain peoplens at groups of and indi

. ♪ caroline: i am caroline hyde, this is "bloomberg technology." holiday cheer echoes for allison.hoppers got mobile. sony apologizes after it twitter account is compromised. why we are becoming numb to cyber attacks. steve ballmer unplugged, america's richest ceo sounds off on everything from the rise of donald trump to how his relationship with bill gates apart. now to our lead. toshiba came roaring back this holiday season. consumer confidence can a better-than-expected, giving it its biggest game -- gain. were -- amazon reported its best holiday season yet, having shipped one billion items. rose --after it's at app rose to number one. retail, and our editor at large, cory johnson. i have a new woman in my life, alexa. cory: really. amazon is very fast and loose with the numbers they published. 25%ctation was for year-over-year sales growth. yearsold nine times more more alexa devices than last year but we don't know what they sold last year. it is estimated that they sold about $1 billion of alexa products for perhaps very little profit. it could be a much larger number now. be

caroline: udemy is helping upscale workers.s the government plan on trump coming in in less than a month with a focus on rescaling -- re-skilling? retraining has to be part of the education and that is what we do. if you think about it, there are two do things we think about. the first is this notion of lifelong learning. people are working in little bit longer and a lot of the conversation around education is really only in the early stages of an individual's life, but because the world of work is changing quickly, people need to constantly learn new skills. the second piece is the most important and valuable skill and individual can have going forward is the ability to learn something new because it will be really difficult to predict the future world of work. caroline: i want to know how some of the fighting back of disruptive industries who have seen the effects worldwide not just in the united states, but in germany and the united kingdom, taxi companies fighting off the likes of uber, but change is coming. do startups and

♪ caroline: this is "best of bloomberg technology."e bring you our top interviews from this week in tech. apple and ireland wage war on the european union. plus, blackberry doubles down on software, and the move is paying off. online lender sofi taking it slow and pushing back plans for an ipo. first, to our lead, europe is challenging apple with its $13 billion tax bill. the fight between apple, ireland, and the commission has been building. margrethe vestager, the european competition commissioner explains why this fight will be a long one. margrethe: we will continue to disagree on this decision. also because we have different legal traditions. i have learned that in the u.s. that it is the order of the day for a business negotiate tax rates with the state where it is situated, and we have had the prohibition to do that since 1958, so you have a clash of understanding. caroline: we discussed the latest developments with the david rosenblum he spent years at the treasury department covering international tax law. also, david kirkpatr

delicious. >> marie-caroline: amazing meal?hings in senegal today? >> man: how are things? what kind of things? >> anthony: is the environment good for business in senegal now? is it getting better? i mean, there seems to be a lot of money coming in dakar. you see buildings going up, somebody's building. >> marie-caroline: they key thing for me will be the development of, uh, business and because when you look at all these young people in saint-louis and there is no companies to employ them. let the young people take a big part of the power, which is not in our tradition, but we need the young people to be, to be strong. >> anthony: if you could compare yourself to someplace else in, in another major city in the world, the new york of west africa? >> man: the hong kong of west africa. >> anthony: ah, oh, ouch. [ laughter ] yeah, you're, you're right. [singing] [singing] [ applause ] dad: maybe he's really focused. mom: maybe he likes spinning the wheels. dad: maybe he just loves trucks. announcer: preoccupation with objects is

. ♪ caroline: this is "bloomberg technology."p, the obama administration's parting shot at russia for hacking during the u.s. presidential election. lust, the roadmap for cable tv in 2017. how the at&t and time warner marriage could be the new norm. and the ai addiction. we will look into the exploding voice-activated smart speaker market. now to our lead. administration brings new sanctions against russian officials and agencies for trying to interfere with the u.s. presidential election by hacking democratic party males. in a statement, the president said, "all americans should be alarmed by russia's actions. these could only have been directed by the highest levels of the russian government." meanwhile, a spokesman for the kremlin says the russian reaction will create "discomfort" for the u.s., and the sanctions are to undermine the trump administration. joining us is a former analyst for the central intelligence agency. wonderful to have you joining. the u.s. has aimed certain groups of people and individuals. could you give

caroline: how about the revenue growth?ou said that was going to be about 30% on track. 30 percent growth for the next year? john: no. now the numbers are getting pretty big. i think the market is growing about 15% next year. we are committed to grow faster than the market area we are comfortable about that. caroline: anglo marco always used a blackberry because of the security in offered. you seen a pickup in demand? actually, in a certain way the answer is yes. discussion,of people trying to get their arms around security and cyber security. mobility is one of the biggest vulnerability points. this is where we excel. it we are the number one player in that space. conversation. we feel very comfortable with where we are. carolina: talk to us about the mobility strategy. you said the focus on automation was driving vehicles. it's a very crowded space. you are up against apple and the tech giants as the automakers. how do you fight in the space? john: i don't fight with them at all. signed aonth ago, we transaction with ford

caroline: that is what is so notable. not only is the speed slow, but it is particularly slow within the country's angela merkel is worried about. in italy, just 4% of the alerted are tackled within 20th percent. in austria, 11%. this is a country that very closely had a notably far right presidential candidate winning. these are countries that people are very worried about and they want to see a greater tackle against the hate speech to drive back populism that angela merkel and the eu is worried about. emily: michael, you have taken on this issue for a good part of your career. you lead reputation.com for a very long time. what do you make of how the eu is handling it, versus the united states? >> first of all, this topic is very hard for american viewers to understand because we have a very expansive understanding what the first amendment of free speech means in the u.s. that is not the case in europe. it is important to understand that is not the case in europe. in europe, speech is not protected. including political

lucas shaw and l.a., caroline hyde in the studio. thank you so much.ing up, andrew mason earned his fame as groupon's founder. now he is founder of the tour. his interview coming up. and by reminder, all episodes of bloomberg technology are now streaming on twitter. this is bloomberg. ♪ emily: airbnb is turning down the volume around the world. earlier this week, the company released a report agreeing to enforce limits on rentals in london and amsterdam. it also dropped a lawsuit against new york city and praised new rules in new orleans as a potential nationwide model. these moves mark a shift in airbnb's priorities. the company needs to start getting along with regulators in order to prepare for an eventual ipo. airbnb has also taken a big step towards becoming a full service travel company, rather than just a home rental site. the new platform called airbnb trips will give travelers tools to plan their entire vacation. airbnb has partnered with experienced companies including d tour, the bay area-based mobile lab for audio tours. it is founded by th

caroline frost is joining caroline frost isjoining me now on the phone, the entertainment editor at the huffington post. thank you for joining at the huffington post. thank you forjoining us. we are hearing so many tributes to carrie fisher. how is she being remembered? there are two schools of thought, of course the dedicated star wars fan base which is worldwide and tireless and has been devoted now for four decades and will show no signs of abating with the tragic news today. i'm sure more people will make sure they go to see the star wars original trilogy, summoning tributes will be coming in. fans will be wanting to make their feelings felt. so there are those people in the world and then all the other people who love her as being one of the few remaining old hollywood stars, with her parents debbie reynolds of course and the star wars role was not the most defining thing about which is extraordinary when you considerjust how defining that was. what would she have been proud of, because everyone immediately thinks about star wars but she was involved in so much more. she was the fi

caroline: obviously they both need each other.his week, alexis thisas decided to give bonus for low income pensioners and tax relief for some affected by the refugee crisis. theidn't go very well with creditors and the european stability mechanism threatened to put on hold the short-term debt relief measures that were decided. angela merkel also needs alexis tsipras. 2017ast thing she needs in is for him to play whatever the election card. you very much in brussels. joining us on set, tim graf. as caroline was saying, the last thing angela merkel wants his early elections in greece. there's talk of uncertainty around the election calendar in italy. we know a lot of the political events that are going to take place. this remains a big point of concern for those watching the european economy. tim: i think the ecb had to acknowledge, not directly, those concerns last week. but where monetary policy isn't the only game in town in the u.s., i think it still is in the eurozone. you cannot count on governments to support economies as eff

mark: caroline, thank you in paris.to get back to this russian ambassador story we have been telling you about. the russian ambassador has been taken to the hospital and ankara. he has been hospitalized. given the news, the lira has weakened against the dollar after the russian ambassador was shot. foreigns the russian ministry and it's also confirmed that the ambassador has been shot. the initial news came from cnn-turk that said he was attacked attending an ankara art show. the ambassadorot shouted about aleppo. thelso saying that ambassador has been seriously wounded in the attack. saying he has been brought to the hospital. this is bloomberg. ♪ mark: live from london and new york i am mark barton. julie: this is bloomberg markets the european close. mark: want to reiterate that news we are confirming that russia says its ambassador to turkey has been hospitalized with a gunshot wound. a number ofd agencies reporting this in detail. bloomberg now confirming the ambassador has been shot. the earlier breaking news that

caroline: and that's notable.lownly has the speed been aboutly, 4% of the alerts hate speech are tackled within 24 hours. be 100%.pposed to in austria, 11%. over the weekend we saw -- this is a country that very closely had a notably far right presidential candidate winning. these are countries the eu is very worried about. they want to drive back populism that i glimmer coal and the leaders are so worried about. emily: michael, this is an issue you have taken on for a good part of your career. you have tackled these kinds of issues. the eu you make of how was handling it versus the united states? michael: it's a good question. this topic is very difficult for american viewers and businesspeople to understand. we have a very expansive understanding of the first amendment. that's not the case in europe. it's not the case in europe. speech is not perfectly protected, including clinical speech, inciting speech, and hate speech. there is a long history of radical violence in europe that has been met with legislation a

. ♪ ♪ caroline: the u.s.ed or a chinese hackers of making over $4 million in illegal profits after hacking several new york law firms. it is alleged they bought shares in five companies. some transactions involved intel and a drugmaker. is sec filed a complaint and pushing to free the assets. from hacking to events like theit and donald trump, tech world is shaken. dependent on globalization, the industry saw core principles upended in 2016. some in the industry foresee a potential brain drain from tech hubs. you will be the winner and the loser? me is the cofounder and partner of a venture capital firm specializing in growth stage investments. thanks her joining us. -- thanks for joining us. hasn't beenlogy helped equally across the board. will this remain a key topic of discussion? >> i think it will. globalization and technology and innovation have had huge benefits over the years. beenbenefit has not equally felt. if you look at how d.c. dollars have been invested, it is just a handful of places that have

. >> and i'm caroline roth. these are your headlines. >> reporter: prime minister renzi said to resign after the constitutional form is rejected. investors shrug off the result taking the ftse higher awaiting next steps. >>> and reports suggest that bnbs will meet with investment banks to review the $5 billion cash call today. >>> and italy's five-star movement is saying they are ready to form a government in the wake of the vote. they claim that democracy has won. >>> but the populist wave breaks in austria as voters reject the far right candidate handing victory to the other candidate in the election runoff. >>> good morning, everyone. we'll look at the points out of the eurozone, 53.8 versus a forecast of 54.1. slightly lower than expected. the numbers is up from the previous month. i should also point out that the italian sector saw the momentum out of france and germany. all the worries about the eurozone and economy are not valid if you look at the services sector entirely. solely. >> you say that, but we

caroline: what an honor. it would be a great joy.be wonderful to be set in your place, having an amazing backdrop. the seasons definitely worked out for you. caroline hyde, with us from berlin. give her very warm welcome. that does it for this edition of bloomberg tech. next on the show, arianna huffington. focusing on scientific solutions to stress. ♪ . . ♪ from our studios in new york city, this is charlie rose. --rlie: we begin with china donald trump's unprecedented call what the taiwanese president has put u.s.-china relations into sharp focus. it was the first time since 1979 american and taiwanese leaders have spoken in a break from diplomatic practices. trump said it was a routine congratulatory call, but on sunday night, he criticized china's military and economic policies in a series of tweets. in china, and editorial warned the united states risked a

caroline: back to you, ramy, in new york. ramy: all right, caroline. ♪ ramy: i'm ramy inocencio."bloomberg markets." ramy: we're live from bloomberg world headquarters in new york in the final hour of trading of 2016, plus covering stories in chicago, washington, london as well as moscow. here's what we're watching -- president-elect trump praises vladimir putin in a tweet moments ago. mr. trump said mr. putin is smart holding off actions following u.s. sanctions. and the s&p is expected to close 10%, returning to a green after a slight dip in 2015. which stocks will power the index next year? and bank stocks have soared since donald trump defeated hillary clinton for the white house but we'll tell you why bigger bank profits won't mean less layoffs. where will stock fin ishes, abigail has the answer for that. abigail: i don't know if i have the answer but we have a strong suggestion here which is that the last hour of trading here for stocks in the u.s. of 2016, we're looking at declines. not so modest declines either. we actually have stocks at lows. dow, s&p 500, nasdaq are lo

adam and caroline hyde from berlin.ed for a more seamless international inking system and it is interesting aheadurope seems to be when it comes to financial technology. why's that? caroline: it seems to be this perfect storm. you have the banking sector dominant and right next to it on the cusp of where the bloomberg office is is where tech city begins. you have these startups able to own -- work alongside or get into level 39 or canary wharf. there is some great companies coming out of london. i would be able to go to any bank account or any into them and take out my money without having to pay any sort of ff -- fx fees. there are some interesting companies maneuvering things. things that i need right here right now. ended up going for n 26. you needed a passport. get my money out of hsbc without paying a penalty? no. emily: as an american it was easy to set up a bank account. the regulatory issues are much and steep in the u.k. broader europe. i assume that is because people travel a lot cross-border. how would you d

>> caroline shively, thanks, caroline. >>> and the president-elect is spending new year's in florida.arlier today, played a round of golf at his club in jupiter, florida. he also left the press pool far behind. peter doocy is the with the president-elect live in florida. so peter, what's been going on? >> reporter: gregg, as you know and everybody out there watching knows, 2016 was a really good year for the trump family. and now the president-elect has a special holiday message for anybody that tried to slow him down on his way to the white house. he tweeted this today. "happy new year to all, including to my many enemies and those who have fought me and lost so badly they just don't know what to do. love!" this morning, some of mr. trump's allies in congress were coming to his defense, explaining that just because the president-elect posted on social media that he thinks vladimir putin is a smart person for waiting to respond to u.s. sanctions until president obama leaves office doesn't mean his foreign policy is going to favor putin for no reason. republican congressman sean duffy

us, we've got "sweet caroline" neil diamond in our kitchen. >> hi, neil. >> merry everything. >> same back. >> congratulations on the new

caroline is it yours? john yes! she's not slept with anyone else. robbie's got this new girlfriend cheryl hellooo! i'm cheryl, how do you do? raff she's moving in with him, apparently. gillian right. lawrence can i go and live with my dad? caroline i really don't think that's a good idea. gillian have you not got a date sorted yet? alan it's her sister. she can't decide whether she wants her at t'wedding or not. muriel alan buttershaw! celia he's gone and invited ted, his brother. lawrence mum. dad went out. can you come and get me? gillian (whispering) i've offered to organise the wedding for them. and i said you'd help me. john where is lawrence? caroline don't tell me something you're gonna regret. gillian i murdered him. eddy. narration last tango in halifax ♪ [upbeat music] ,

caroline, i want to talk to you about another story we are following.potify, the music streaming service based in sweden, has given up on efforts to buy soundcloud, according to techcrunch. spotify is said to have walked away over fears that acquisition could negatively impact its ipo reparation. spotify is an eagerly anticipated tech ipo for 2017. , lucas us from l.a. shaw, who covers entertainment and music streaming. you understands it, why did this deal fell apart? lucas: soundcloud has been the year.ale most of it has a huge user base, one of the biggest music services in the world, but it struggles to make much money. spotify seemed like a possible acquirer, but people close to spotify always said that muchcloud wanted to do money. we ran a story over the summer that said that soundcloud spires -- soundcloud's founders were looking for as much as a billion dollars. caroline, that's interesting, because you recently interviewed the ceo of soundcloud, and he had something different to say about whether he wanted to stay independent. it's noticeable,

caroline: talk about global economy.la theand , currency has collapsed and created problems in the country. megan: there is a nice chart that talks about hyperinflation in venezuela. other countries have experienced it, like zimbabwe, germany. ranking, venezuela is in the 23rd most severe period of how much the currency has deflated over time. carol: it goes back to 1795. fascinating.pretty oliver: you can see trends within it, as well. ok, let's talk about the story in the business section which is focused on industry not having good sustainability. megan: we take a look at what has been done a cost high super luxury brands. there is a section that talks how they are and looking to make pythons in their fashion more sustainable. part of that is if you are going to grow or have or maintain a sustainable source. this is important stuff. fashion is one of the industries we frequently look at. think of leather, access, and luxury. it goes across brands and you can look at where you can change this, make an impact. everythin

caroline is live with the latest. caroline? >> reporter: the trump team is really smacking this down and the intelligence committee along with it. the statement reads, "these are the same people who said sudan hussein had weapons of mass destruction. the election ended a long time ago in one of the most biggest electoral victories in history." "the new york times" says findings by the intelligence agencies that it was done to help mr. trump was based in part in the belief that the russians also hacked the republican national committee but never released those e-mails. the rnc strongly denies they were hacked. >> they were told very high up within "the new york times" that this was not true, that intelligence agencies that we are working with confirmed that we have not been hacked and yet they chose to ignore that because they wanted to write a story to fit another narrative. >> senator chuck schumer released this statement today. "that any country could be meddling in our elections could shake both political parties to their co

. >> ♪ [ music ] ♪ >> they are feeling the christmas spirit in hampton and caroline is really feelingd, thank you. >> many people here actually sing her praises. >> i see. >> i will give them whatever i have. >> caroline inspired all of these gifts to be donated to families that have some christmas tree. >> these barbei doles -- barbie dolls were donated by her more. >> she's truly an angel. like a giving person. someone who has been trying to make a real difference in our community by getting involved with the kids around here. she's been stepping up to help us out. >> caroline and her husband started a non-profit that adopted 500 christmas. >> we want to see the babies ride out of here on the bicycles. >> they reached out to community friends to volunteer to help turn this community center gym into a holiday party full of food and warmth. for some of the volunteers it was a good chance to learn about the true christmas spirit. >> i feel great. >> the true gift was not a bicycle or a barbie. >> the family has been a tremendous blessing. >> and it's this tremendous act of kindness tha

haidi: caroline connan there. caroline: it was quite a surprise that this paris court of justice.de found guilty of negligence. overturn it a year later in 2008 when she had the possibility. the president of the court said that given that christine lagarde was a lawyer for 20 years and that she received warnings from the french investment agency, she should have got more information and known that she had a little chance to overturn this initial arbitration. however, given the international status of christine lagarde and the financial crisis at the time in 2007-2008, the president of the court decided that christine lagarde would receive no sentence, no jail time, and no fine. i talked to the lawyer of christine lagarde, patrick, who told me that he was 80% satisfied with the verdict. caroline connan, bloomberg news, paris. haidi: coming up -- rishaad: is it a hedge fund or ponzi scheme? the allegations against platinum partners. that is next. this is bloomberg. ♪ haidi: welcome back to "bloomberg markets: asia." that is get a quick check of some of the headlines we are following

. >> caroline shively is live with the news in the nation's capitol right now and caroline, how electors would need to switch their votes to change the outcome of november? >> reporter: 37, harris. mr. trump got 307 in the election and he needs 270 to win. so if 37 turn away, there is no official winner and this thing will head to the house of representatives for a decision. but listen to this eelector bound to hillary clinton. democrats are under pressure from some corners as well to vote for a republican other than trump with the goal of sweeping someone else into office. >> i don't know what i'm going to do monday. i may vote for secretary clinton, or i may vote for a republican that -- that 37 republican electors would want me to vote for. >> reporter: and that would be unprecede unprecedented. it is rare for a single elector to switch votes. the last time was in 2004 and that was thought to have been a mistake, harris the states with laws requiring electors to go with the voters' pick. >> that is where it is murky. there are 29 states that bond the electors to the candidate chosen i