emily: dick costolo, the former ceo of twitter.e're going to hear more from him later in the show. uber is handing over the keys to its business in russia. the company and the google of russia are merging their ride hailing businesses. they will invest and take more than a third of a stake that will be valued at more than $3.7 million. coming up, reddit is among the 70,000 organizations protesting the rollback of net neutrality. we will hear from co-founder alexis ohanian. plus, prime day has termed from -- turned from a marketing scheme to a record raking event -- record-breaking event at amazon. we will take you behind the scenes. this is bloomberg. ♪ ♪ tech giants are stepping up the fight over net neutrality. a host of internet giants are joining forces to protest the rollback of net neutrality rules. earlier this year the sec voted to start unwinding net neutrality rules put in place by the obama administration. on one side, internet service providers who largely favor less regulation. facebook, google, netflix and other tech

for more reaction on the shakeup, we spoke to dick costolo who returned to the startup world as cofounderf a personal fitness platform. dick: i have a lot of confidence in the team over there. i am sure he is a great addition to the team. emily: they reported their first quarterly loss during the we've seen a new strategy unfolding. do you expect any change in strategy with a new cfo? dick: those guys are pretty focused and have unclear on what they are working on. i expect that to continue if they are promoting the way they are. emily: what do you think of the new coo? dick: i think it's probably anthony taking on more of a day-to-day operating role moving fully into the coo role and they need somebody. emily: let's talk about the trump administration. there has been a lot of noise. i am curious about somebody who has started many companies, what is it like starting a company under the trump administration? dick: this feels like one of those questions we should have when we are walking along the pier. to be perfectly honest, it's not that different when you're in the day-to-day trenches

our interview with dick costolo.hs in on how silicon valley will fight back against -- culture. e sports draws major investors. we will hear from kraft. this is bloomberg. ♪ ♪ emily: back to my interview with dick costolo. we discussed tech's ongoing gender problem amongst a string of sexual harassment allegations in the rising criticism of growth culture in silicon valley. dick: i do get is probably understated and underrepoted. is probably way worse than we have seen so far. i think that again, to be blunt about it, in a lot of cases the investors in some of these venture firms are simply ignoring it and paying lip service, but ignoring it and funding enterprises anyway. it is widely understood some of these issues were things that had been said in the background and yet new funds were raised and on and on and on. i think until the capital being committed l by these -- by these p's is invested more directly in women running these firms and maybe gender specific funds or people of color funds, you will continue to s

emily: dick costolo, chorus fitness ceo, former ceo of twitter, great have you on the show.nk you. coming up, we are on the ground at the taobao festival. which gadgetsou the youngest consumers in the country are gravitated towards -- gravitating towards. this is bloomberg. ♪ emily: alibaba is taking a page from the amazon go cashless convenience store by showcasing a similar concept in its chinese hometown. bloomberg tv not asia correspondent stephen engle got a use -- a look at the taobao maker festival that features other new retail strategies that integrate online with off-line shopping. reporter: the taobao maker festival is where the virtual world meets the physical. someone hundred eight taobao 108 taobaod -- some vendors selling, millennials by all kinds of stuff. the festival, in its second year, is doubled in size of last year's. showcase off-line -- for the online sellers without the crippling brick-and-mortar overhead. whether it is the latest in eye-popping design or body stocking virtual-reality combat, the taobao festival represents the youth driven consumer e

plus, dick costolo's comeback.he former twitter ceo returns with a -- to the startup scene with a new focus on fitness. he joins us for a wide-ranging interview from everything from twitter's newly hired cfo, to the culture in silicon valley. amazon echo hits all the right notes on its way to the top of prime day's bestseller list. how the tech giant double down on the discount bonanza to push the digital assistant into more homes. first, to the lead. that is the email bombshell coming out of washington involving president trump's eldest son, donald trump junior. trump junior used his twitter account to reveal a series of email exchanges with a british publicist, showing he was promised damaging information about hillary clinton at a meeting with a russian lawyer during the presidential campaign. donald trump junior said in a statement that he had released emails "in order to be totally transparent." president trump came out with a response through spokeswoman sarah huckabee sanders, that trump junior is "a high-qu

former twitter ceo was -- dick costolo was on the show yesterday.was talking about the meeting between the tech leaders in -- and president trump in washington. he suggested the president isn't listening. he might be holding these meetings, but not listening to what tech leaders have to say. what is your message to the administration? alexis: right now, we are primarily focused on the congress. we think that especially regarding net neutrality, this is something they legislature can accomplish something that is bipartisan and what americans want. actually never taken a check to d.c. before, we will next month now that we have a policy team forming. we want to make relationships with senators and relationships. we have not had any meetings yet with anyone on the executive side. but our focus is where we can make immediate impact, and that is the legislative. emily: what is the latest on reddit? you returned to the company. alexis: i've got to give credit to our cofounder and ceo, steve hoffman. we came back full time a little over two years ago. he h

on alphabet and the sector, joining us from one market out west, twitter ceo former twitter ceo dick costologood to have you back. >> yeah, thanks for having me. >> dick is the ceo of fitness start-up core. what do you make of our conversation here this morning, dick it's being colored in a way by some rotation into more industrial names but is there a reason to worry about costs and margins at some of the tech giants >> i think the cost that's traffic acquisition koflt that's google is experiencing on mobile are something to keep an eye on. look, for the most part it was another strong quarter from them they seem to be making great end roads into their cloud work as well i have every expectation that both google and facebook will continue to be the advertising juggernaut that they have been in the past couple years >> how would you be balancing, especially on earnings calls, how much to tout other bets? we asked an analyst why not be a little more self congratulatory on wamo, for instance? he said because it's early is it really early >> well, it's funny. and some sense they've been working

we're joined by the former twitter ceo dick costolo, get his take on the competition.d to talk to you. good morning once again. >> thanks for having me back >> the bullish take is that revenue down 5 is better than the prior down will 8. that somehow that represents an inflection point do you think that's true >> well, i'll tell you the thing that jumped out at me from the earnings announcement was that the comment that daily active users are up double digit growth for the third quarter. so the question, and i don't know the answer to this question, but the question is, if the monthly active users are flat because they're churning weak users, people who show up once a week or once a month, in favor of new users who are coming and highly engaged, they're daily active users, that bodes well for a revenue obviously, you're highly engages users are coming back more and more and seeing more potential advertising. so that comment and they didn't say the specific percentage growth or the specific number, but that comment that daus are up double digits for the third quarterer

i was speaking to dick costolo about this earlier this week. twitter, he had to contend with facebook. take a listen to what he had to say about the prospect of snap. >> i think they will continue to show fascinating insights that will be copied by others. they will have to figure out how to uplink bigger players like facebook on the ad side. emily: very cautious about competition from facebook. what do you think? >> i think evan had this story we would be the product innovators in have to keep updating the app to keep ahead of facebook. that has not proven true yet. i think we need to see. facebook is a good copycatter and are not embarrassed to say it. their stock price took an even bigger beating when they went public. you come out, you have a lot of shares tied up, there is a lot of anxiety, and your stock price takes a beating. it is not the first time we have seen it. it worked well for facebook. it did not work well for twitter. we will have to see. emily: uber backing out of the russian market. it will still have a stake in the company.

isette: i think dick costolo overstating how much they know.they do diligence in a firm, they will make 20, 30, 40 -- who knows how many reference calls? typically it is around that number to find out beyond the quantitative, who is this investor, what is their track record, what is their i.r.r., do we like the geographic focus, you get into questions of character and judgment. questions are asked. when i was speaking to an lp source last year -- last week, this individual said, it seems like there's a code. i was told, go talk to these three people about this individual, and you will find some things out. this individual then said, and i called these people, and it was like the "twilight zone." maybe there is a code i'm not picking up on. i just talked to someone just now who said the worst reference you could possibly give someone is, oh, they're a great guy, i have worked with them, super experienced, hang up the phone. that's the worst you can say. what you really want to say is, you know, i wouldn't hesitate to back that person again. i wo

coming up, a look inside dick costolo's life after twitter.on. an army of tens of thousands of tech companies, reddit us on the joins

we will interview the former twitter ceo dick costolo on bloomberg technology, about 40 minutes frome it we will certainly ask him. -- will that siegel report to jack dorsey. seen the new twitter strategy unfold over the last year or so, with a focus on live video and partnerships. see a big expect to change in strategy, but when it comes to numbers, ned siegel will have to a drought how to make money off the new strategy, how to drive -- drive advertising revenue, attract advertising revenue to these new live video partnerships that they are striking. of course, a lot remains to be seen with the next quarter of twitter earnings. will they keep up user growth? adam bain had revenue -- the teams locked up for a long time with that first quarterly loss. that was an important warning sign. born to note that twitter has 328 million users. we have talked about snap breaking its ipo price all day long traits not only has 166 million users. big growth challenges ahead, happy not toobably be in the spotlight that it once was, and snape is stealing the heat. twitter shares have been on the ri

you want to stay tuned, because emily will be speaking to dick costolo.to talk about with them. the russian government apparently trying to help donald trump out against hillary clinton. this according to emails sent to the president's eldest son. how investors are responding, next. this is bloomberg. ♪ julia: it is 12:00 p.m. in san francisco and 8 p.m. in london. i'm julia chatterley. scarlet: i'm scarlet fu. welcome to bloomberg markets. ♪ julia: we're live and bloomberg world headquarters in new york. over the hour, here are the top stories we're covering. in politics, uproar over donald trump junior's controversial 2016 meeting with a russian lawyer after he released a string of emails. of thetions correspondence and the encounter ahead. meanwhile, the email drama fueled a trading blitz earlier. the response to recent political tensions show traders are still taking some cues from washington. more findings and the annual report ahead. and we go to the close of trading, let's get a check on markets with julie hyman. i called it a blitz. julie: that is

the former ceo of twitter dick costolo is back.ll digest the results out of alphabet forget man versus robot. it's tech ceo versus tech ceo on the subject of ai. we'll get one last check of the markets. when this bell rings... ...it starts a chain reaction... ...that's heard throughout the connected business world. at&t network security helps protect business, from the largest financial markets to the smallest transactions, by sensing cyber-attacks in near real time and automatically deploying countermeasures. keeping the world of business connected and protected. that's the power of and. costolo. >>> strong earnings are propelling the subpoena stop a new record high with energy, materials, and some of the other cyclical sectors leading the way higher energy is being helped by a 2% jump in the price of crude oil extending yesterday's gains after saudi arabia said they would limit oil exports in august that's putting some at least energy on pace for the best days since july 3rd here. today's leaders include philip exploration, trans

later on the tech landscape with dick costolo do you is down three whuuuuuat?rtgage offer from the bank today. you never just get one offer. go to lendingtree.com and shop multiple loan offers for free! free? yeah. could save thousands. you should probably buy me dinner. no. go to lendingtree.com for a new home loan or refinance. receive up to five free offers and choose the loan that's right for you. our average customer could lower their monthly bills by over three hundred dollars. go to lendingtree.com right now. >>> welcome back to squawk on the street markets, s&p and nasdaq did hit a new record high briefly. dow down about 9 points. oil behaving well here above 47. that's where our road map begin with the markets but both the s&p and nasdaq breaking through a nearly two decade old record. >> the president has tough words from the attorney general and we might hear the next few minutes as 32 million more people would be uninsured under the new senate obamacare repeal bill. >> plus the rails are in the red. union pacific slipping after they disappointed yes