didi is in 400. does didi have a shot in china? i am biased because i am invested in didi.r has to fight like a chinese company would. it's impressive. has having been said, didi been around longer, knows china better, and has more coverage in cities with quite better service . it will be interesting to see what uber does after a few more years. this when we look back at story, will china be its waterloo? i like what jerry yang did when he was a yahoo! when he did the deal with alibaba, joining the forces of teedo companies to do better in china. is it possible for uber -- no. the possibility exists. di peace treaty and china, you're predicting? uber eats, and what do you do? look at the dominant players in key countries. but that's really up to travis, the ceo of uber, to see what he wants to do. brad: tim, in washington, so many chess moves on the chess board right now. with an eye to the future of autonomous cars -- do you think isle's investment in didi related to apple for plans to develop an apple car? tim: it's definitely one of those relationships like it out down t

didi is targeting a u.s. in 2017, but the timing will depend on the outcome of its battle for market share with uber in china. the latest funding round valued didi at 26 billion dollars, while uber comes in at $65 billion. didi does have the china advantage. the company claims it controls 99% of the country's mobile-hailing market. didi is denying these ipo claims. first of all, let's start on the ipo. what do we know? >> the report is from us, 2017, we could be considering an ipo in new york, depending on the competitive environment with uber. there is definitely some wiggle room. emily: didi has denied the report. eric: it is still pretty speculative, but it sets up a timeframe for when we should be thinking about an ipo. emily: you just spent several weeks in china, and i know you use both services. what did you think? >> i think it's pretty clear that there is one service that needs to work on quality a little bit. uber does have some ways to go in terms of quality. emily: how so? >> drivers arriving on t

emily: didi has denied the report.still pretty speculative, but it sets up a timeframe for when we should be thinking about an ipo. emily: you just spent several weeks in china, and i know you use both services. what did you think? >> i think it's pretty clear that there is one service that needs to work on quality a little bit. does have some ways to go in terms of quality. emily: how so? >> drivers arriving on time, knowing the city. didi has a little bit more of an edge because they are supposedly paying higher wages, therefore getting drivers who know the city better. these are all telltale stories in beijing. people tell you where a lot of far away, androm, they come to the city for the first time. they don't really know the city. there is a lot of work to be done. emily: i was in beijing, and i used both services. i didn't see a huge difference, but i think if we had gone further out to the city edges, it probably would have been more difficult. what do you make of apple's investment? cyriac: i think it is probab

what do we know, and what did didi say?e report is from us, 2017, we could be considering ipo in new york depending on the competitive environment. there is some wiggle room. emily: didi denied the report? >> yes, but i think it sets up the timeframe. emily: you just spent several weeks in china. you used both services. what did you think? >> it is pretty clear that there is one service the needs to work on quality a little bit. the other one obviously, too. uber has some ways to go in terms of quality. drivers arriving on time, knowing the city. didi has an edge because they are paying higher wages. therefore they're are getting the drivers that know the city better. a lot of people tell me, and these are telltale stories in beijing, where drivers come from outside, far away. they come to the city for the first time. it is their first job. they don't know the city really. there is a lot of work to be done. i think it is not true that they have 99% market share. emily: i did not the huge difference, but i think if we had go

didi chuxing. reports are swirling that didi is targeting a u.s. ipo in 2017.hing the company denies. founder and -- we spoke to the founder and are bloomberg reporter. emily: what do we know and what did didi say? >> the report is from us, 2017, we could be considering ipo in new york depending on the competitive environment. there is some wrinkle room -- some wiggle room. denied theidi report? >> yes, but i think it sets up the timeframe. you just spent several weeks in china. you use those services. what did you think? thereis pretty clear that is one service the needs to work on quality of little bit. the other one obviously, too. drivers arriving on time, knowing the city. edge because they are paying higher wages. they are getting the drivers in those cities better. a lot of people tell me, and these are telltale stories in their gene -- stories in beijing, where drivers come from far away. it is their first job. they don't know the city really. there is a lot of work to be done. they have 99% market share. emily: i did not the huge difference, but i thin

apple is investing $1 billion in two uber's china rival, didi.ht hailing service - ride hailing service has received the biggest offer it has ever gotten. what is the significance of this, from apple's perspective or from didi's? >> this is a huge deal. we reported earlier that didi was in talks to raise $2 billion, but apple made this enormous investment, really coming out of left field. this is the single largest investment didi has ever received, and it is unusual for apple to be putting money into a starter. anna: unusual for apple to put money into the start up, but they have done this, typically with smaller businesses, more aligned to spaces they already operate in. what is apple's motivation? are they trying to find new avenues to explore? think to understand why apple is doing this, we have to take a step back and look at the context, the struggles they are facing. they are facing a slowing consumer smartphone growth in china, their second-biggest market. earlier this month, we saw them get hit by regulations from china. ibooks and imovi

didi received $3 billion from apple.t the motivation behind the move. ♪ [ soft music ] e.t. phone home. when you find something you love, you can never get enough of it. change the way you experience tv with xfinity x1. trading day. let's bring up the numbers. 8%.are down by . the ftse 100 is down by .6%. friday the 13th, not a great start to the markets. uber'ss set to help china rival, didi. putting $1 billion into it. . the thing. i thought apple was investing a driverless car. why are they doing this. what is the motivation from tim cook's point of view. caroline: they have a $200 billion cash cow. and they need to put that to work. i feel like this is talking up with the services sector. they keep on talking about the billion users. they can suddenly have 3 million users using apple pay. suddenly, they are able to expand their presence in china. they might not be selling the iphone's like they wanted to, but they are getting their services into the chinese user. big bet onthis is a bet bet o automotive and transport

didi in china. lyft here.nk what you are going to see is more and more of these getting stronger because the network affects players in favor of the local giants. emily: i want to touch on regulatory issues in thailand. thailand recently ordered you and uber moto off the street. how will you handle regulatory issues like that? anthony: grab bike is pushing the boundaries of innovation. and as a company like grab that constantly pushes innovation, for sure, policies take time to catch up. going back to how i have learned from my family business and being in southeast asia for 60, 70 years, we believe working with the government and being transparent and innovating policy together -- when we ask ourselves are we doing something better for the country? are we helping make transportation cheaper and better for people? if the answer is yes, we will continue to work with governments to innovate. emily: because you have these partnerships, does that mean you will never expand in the united states or china or india? a

the tech giant investing one billion dollars in chinese ride sharing service didi. and amazon has a huge anti-trust problem. and wait until you hear what he has to say about jeff bezos. friday may 13, 2016. "worldwide exchange" begins now. ♪ ♪ you ooh ooh ♪ >> good morning and welcome to "worldwide exchange" an cnbc. i'm sara eisen. >> i'm wilfred frost. friday the 13th. that a thing out here as well. >> happy friday, yes. >> ooh ooh ooh what's going the happen to markets? >> the markets are down. that friday the 13th spook. yesterday we were mixed. saw the s&p slightly positive. the nasdaq slightly down and the dow was flat. looking at pretty much mixed flat performance for the week as a whole. which given the extreme negativity we've seen in the retail is not too bad. we are called lower by about .4% which equates to 80 points for the dow. the u.s. 10 year. 1.724% rite naught. >> global market picture. europe, strong gdp numbers. double what analysts were expecting in terms of annual rate. not doing a lot to help the indices. declines across the board. italy the h

is uber going to prevail or will didi and others prevail?we think that uber deserves the credit for being the most ki these company out of silicon valley that is competing in china, and we admire what they have done as well. >> hans, it is interesting that qualcomm put $280 million in china and announced that they would at the beginning of the year after trouble with the government over time. intel says it will invest $5.5 billion in manufacturing there, in the joint venture over the years, and cisco, $10 billion, and this is the pattern of the u.s. companies having trouble over in ki na and maybe when they get too big, the government says, hey, we don't want you to just extracting the value from the huge population, but you have to invest as well, and curious thoughts there, and also the thoughts on why this particular company? it seems that didi in particular is driving a lot of the mobile usage, and there is a potential for the apple particularly in the mid-range of the smartphone market to perhaps gain an important developer partner if i

susan lee plains what didi is what it means for apple's future. >> didi chuxing means hong kong commute literally in chinese. they have 99% market share when it comes to taxi hailing, 99% when it comes to private car hailing and they operate in over 400 cities in china. you compare that with uber which operates in 45 to 50 cities in china and anyone that's ever traveled to the mainland, they know that didi chuxing reigning supreme. they also let you book buses. they have this innovative service called hitch which allows to you book a chauffer. so you can book a designated driver to you, which will take you and your car safely home. now, if you're wondering who's behind didi chuxing, we have l alibaba, and jean liu, la nova's founder, and they haven't had a problem when it comes to raising money because ten cents alibaba, two of the largest tech giants in china were some of the early backers. now this company is valued at over $20 billion, coming from $6 billion just in february last year. so, they've come a long way. they have a lot of cash on the balance sheets. about $3 billion at the

both he and the president of didi took a ride in a didi taxi.nd he was posting pictures of his experience on his wabo account to his 800,000 followers. once they got to the store, they ended up holding a roundtable with app developers including the founder of another important chinese company, they ir versio of groupon, and tim cook was stressing the importance of the government's role in developing the internet. now, of course, tim cook's visit has been widely expected. the company has been coming under tremendous pressure for a variety of reasons including the slowing economy, a lot of competition in the smartphone industry and then finally, of course, the government clamped down on some of its services, such as ibooks and itunes. as well as the fact they lost a trademark dispute here. there's an expectation that tim cook was going to come here and resolve all of these issues. and so far the chinese media have been reporting he's expected to meet with high level government officials as well as internet companies on this trip. >> all right. eun

it is a very big is this that didi has built up -- business that didi has built up all stop -- builtdo your clients still think apple is a growth story? guest: one of the biggest debates is how far extended do that apple replacement cycles get. is probably 27 months or 28 months. that seems to be the biggest debate. left apple or not? tendency tol have a extrapolate things too far out. the reality, you take the 20% , and the 14%one 6 iphone 6 esta klein, that's probably not the right way to look at it either. s decline, that's probably not the right way to look at it either. carol: we should probably take a bake -- apple should probably take a break and invest in other businesses. is that fair? : i think it shows a change in direction. it was not too long ago when tim cook sent an e-mail saying, don't worry of china stock rall as china is actually a real problem. china stock rallies, china is actually a real problem. a smart phone refresh cycle. if that stretches out longer and longer, that is a fundamental change for apple. i agree that the quarterly numbers are only that, but the m

she did talk a lot about what didi his to offer.t didi has to offer, and moving forward is a potential of the market, but she was also hopeful for a lot of collaboration, and i brought up apple k and talking about car technology, and she said nothing specific on the table at this time. and one of the things that is interesting about her business model as compared to uber or others is that they do look at sca scale. so when she was talking about the moving beyond taxis, she was describing having buses going from point to point so that you would invest in the technology so that you could meet the supply and the demand and match it so that 40 people who need to go someplace in china can get matched and then you have a shuttle going from point to point. and that kind of technology and innovation is something that she was pushing, and she is hoping to get ideas from apple in that way. >> all right. a lot more than just a billion dollar windfall. lots of things on the table. thank you, eunice eun for bringing us this important note. >> it

uber is a fraction of the size of didi there. some remote just comments, saying they are still beating uber in market shares. it doesn't help them and trying to pull back against didi. caroline: look on it -- betty: what kind of impact does this have on china for driverless cars? alex: when the ceo of i do in our office a couple of weeks ago in oury do -- baidu office a couple of weeks ago, they may place their technology into a third-party vehicle. china itself has its own self driving car. say -- we don't know what's going on. if you can crack the hardest market in the world and trying out for a particular driver behavior, you can help in markets where things are more rigid trad. caroline: a when iphone sales are slowing down. alex webb, thank you. a fascinating story between didi, uber, and apple getting involved. the european markets end of the day of higher, they managed to call back is earlier losses. that's it, happy friday. ♪ >> welcome to "bloomberg markets." scarlet: good afternoon. i'm scarlet fu. alix: stocks appear m

hasf you look at what didi done so far, it is with alliances. they have expanded overseas themselves, so what they are offering for users, for if you go to the u.s. on didi, you can use services from lyft. angie: how is the services? what do they can be -- what are they be concerned with in china? >> china is always on the back of their mind, the slowing economy. specifically, when will they make a profit and become profitable and how the business model will be going forward? they said last month that they will be soon profitable, operating income wise. and they are making money, more than -- in more than 200 cities right now in china. angie: good job raising this story. thank you. ipo looking possibly at an in new york. chinese shares have hit a two-month low after a disappointing april. it highlights the challenges for those trying to reform the economy, cut capacity and encourage credit. tom joining us from beijing. what is the data telling us? tom: it tells us that some of the main drivers of the economy are calling for a reversal origins --

in china, didi claims to have more than 99% of the right -- ride hailing market.hey boost more than 300 million users to my completing 1.43 billion rides in 2015. grab dominates in southeast asia with the presence in 30 cities across six countries and a fast-growing motorbike service. meanwhile, gett, which grew at 300% last year dominates in europe. as these startups scramble for supremacy, it is still too early to tell how the ride hailing wars will play out. emily: now to get a sense of how the ride hailing wars are shaping up in southeast asia, i caught up with anthony tan. grab has raved $700 million from investors and has over 50% of the market share in private cars across the core region. take a listen. >> grab is the largest mobile tech platform in southeast asia, we have very localized services. so imagine, we have taxis, cars, and motorbikes. that is right. as you know, motorbikes is, you jump on right behind and it navigates you through the traffic that you would imagine any big city would have. so we get to give back to .5 hours of -- 2.5 hours of comm

apple and didi can work together. also, this could be helping some of the automotive goals of apple. they have been hiring automotive experts and maybe working on a self-driving car. >> this makes sense on a couple fronts. number one it allows apple pay to spread throughout china. it does build goodwill with the chinese government. look at all the cash apple has overseas that they cannot bring back to the u.s., including china since they generated $58 billion in revenue last year. scarlet: we will go back to global politics later. a controversial candidate claims a presidential victory in the philippines. t boone pickens shares his opinion of hillary clinton's energy platform. up next, highlights from the week's top company news from dollars to doughnuts. ♪ scarlet: this is "bloomberg best." i'm scarlet fu. let's continue our top business story starting with the resignation that rocked the online financial sector. >> lending club founder and ceo has resigned after an internal review to determine the company's business

emily: didi, for example, is scheduled to target and ipo next year. what about you guys?hony: right now, we are targeting to build more value and we have bold ambitions. we always think of how to find great partners. obviously, ipo's is just one of the many options on the table for us. emily: my interview with grab ceo, anthony tan. -- hpe sawa pe shares surge this week. what it means for business and the ceo. plus microsoft hits a deck on , the smartphone business with job cuts planned for the department. is this the right move for the company? we will discuss, next. ♪ emily: shares in hp enterprise -- y: emily: shares in hp enterprise have been riding high this week after the company said they are spinning off the troubled services business and merging it with computer science corp. in an $8.5 million deal. it focuses on service and storage for customers. we spoke with our analyst for more details. what is your first takeaway on this deal, is this something expected? >> no, it was not expected, but it makes sense to be honest. to have one part of the entity focus on har

didi has 300 million passengers registered and over 11 million rides a day. apple wants to boost its presence in ace's biggest market and has planned to enter the automotive sector. tymoshenko cook told chinese media that through investing in didi, apple wants to learn about special segments in the chinese market. let's go to new york for insight on that story with our finance correspondent. good to see you. so what do you think apple hopes from this investment? >> a lot of speculation going on on wall street what tymoshenko cook tries to achieve for himself. he pointed out this investment might help to learn more about the chinese market, especially about transportation and maybe also the car industry than apple itself was working quite a bit to its driverless cars. maybe that could be an option to push that forward even more and then there is also some speculation that apple might try to implement apple pay even further. one thing is for sure, $1 billion, for us it's a lot of money. for apple, not so much. they're sitting on roughly $230 billion in cash, so

he's already visited one of his company's stores there and taken in a ride on a didi car. a live report from that is coming up. >>> first on this day in history, 1951, the first regularly scheduled transatlantic flights between new york and heathrow in london began. today there are 45 airports in north america with routes to europe and more than 40 million seats were offered in transatlantic flights this year. thank goodness, so wilfred can go home like last weekend. >> absolutely. we're back in a couple minutes. don't go anywhere. ♪ ♪ (singing) you wouldn't haul a load without checking your clearance. so why would you invest without checking brokercheck? check your broker with brokercheck. wearing powerful sunscreen? yes! neutrogena® ultra sheer. unbeatable protection helps prevent early skin aging and skin cancer with a clean feel. the best for your skin. ultra sheer®. neutrogena®. >>> good morning to you. welcome back to "worldwide exchange." we have asia up, europe down. thankfully u.s. futures are up. we were down half a percent last week, depending which of the three

that there is a government investment in uber in didi in china.ou have a situation where you have a government investor and you have apple trying to get along with the government in china as well. there are common investors in the same company. then you have this interesting bidu and here of alibaba invested in the competitors. that actually compares to the part which is now apple and the chinese government . this is like politics at a very high level. emily: we asked about the relationship with the government and how open regulators are to the idea of a car sharing service across the country. take a listen to what she had to say. >> the chinese government has been more and more open to us. .upply issue is the top issue the chinese government understands we need to utilize the existing resource to put into the commute system so people can travel. emily: china's government has made it impossible for companies like facebook and twitter and google to succeed in china, could they do that same thing to uber? >> i think there is a huge economic need for

it could dovetail well with chinese consumers using didi as ride.o, apple has its secret car project titan that it's working on. that could be a natural partnership with didi further down the road and also apple looking to get in the good graces of regulators in beijing who recently shut down apple's online books and movies services. apple's iphone sales in the 1st quarter in china were down by over 25%. now, this comes as a very big blow to uber, which is also trying to grow its business in china. it's been losing money doing so because didi has been discounting its rides rather heavily forcing uber to do so and now that didi has a whole lot more money coming from apple it will make it tougher for uber going forward. the commerce department is reporting retail sales in april were up 1.3%. that was stronger than expected. and that's providing a little bit of help for the stock market. now, department store chains have not been part of that. we have heard from macy's, kohl's and today j.c. penney and nordstrom with weaker sales. the stock market tryi

in china, didi claims to have 99% of the market.ts close to 300 million users in over 400 million cities, completing 4.3 billion rides in 2015. and grabs dominates in southeast asia with a presence in 30 cities and a fast-growing motorbike service. meanwhile, get dominates in europe. as these startup scramble for the from of the, it is still too early to tell how the ride hailing wars will play out. >> now, to get a sense of how the warts are shaping up in southeast asia, i caught up with grab's ceo. grab has raised $700 million and has over 50% of the market share in private cars. take a listen. >> grab has the largest mobile tech plant. we have very localized services. so, imagine we have taxis, cars, and motorbikes. >> bikes. >> as he know, motorbikes, you jump on right behind and it navigates you through the traffic, as you would imagine. so, we basically give back two and a half hours of commute time too many citizens. >> you have an interesting personal story. your great-grandfather drove a taxi. your grandfather brought the a

didi is a $20 billion company. one of the top five most valuable start-ups in the world, according to cb insights. controls nearly 90% of the private car hailing market in china, completing 11 million rides a day. creative strategies says the investment could also please the chinese government at a time when we know that government has taken a tougher line with apple. regulators there have now suspended apple's online books and movies services. this news does come as apple is under real pressure. that stock down some 13% this year. down more than 30% from its all-time high of 135 hit last spring. just yesterday company briefly lost its spot as the world's most valuable company to google parent alphabet. among the worries q2 sales in greater china dropped 26%. but highlighting another reason this investment could make sense, if apple is serious about creating its own car, this could give the company a way to learn a lot more very quickly about the tastes and preferences of the chinese consumers. guys, back to you. >

he and the president of didi, jing lu, shared a didi taxi. they went to the store together.es of his experience to his wabo followers of which he has 800,000. once he got to the store the two took part in a round table discussion with app developers including the founder of another important chinese company, the chinese version of groupon, it's . he was stressing mainly the importance of china's app developers for apple's ecosystem who is also talking a lot about the importance of the government's role in developing the internet. now, tim cook's visit here was widely expected because of the challenges that apple faces here now including the slowing economy, more competition and the smartphone industry and then of course the recent clampdown we've seen by chinese government, regulators on apple's services such as itunes as well as ibooks. the expectation has been that tim cook's visit was really meant to try to iron out some of these issues. the chinese media are still reporting he is likely going to be meeting with high-level government officials as well as internet companie

in china, didi claims to have more than 99% of the right -- ride hailing market.y boost more than 300 million users to my completing 1.43 billion rides in 2015. grab dominates in southeast asia with the presence in 30 cities across six countries and a fast-growing motorbike service. meanwhile, gett, which grew at 300% last year dominates in europe. as these startups scramble for supremacy, it is still too early to tell how the ride hailing wars will play out. emily: now to get a sense of how the ride hailing wars are shaping up in southeast asia, i caught up with anthony tan. grab has raved $700 million from investors and has over 50% of the market share in private cars across the core region. take a listen. >> grab is the largest mobile tech platform in southeast asia, we have very localized services. so imagine, we have taxis, cars, and motorbikes. that is right. as you know, motorbikes is, you jump on right behind and it navigates you through the traffic that you would imagine any big city would have. so we get to give back to .5 hours of -- 2.5 hours of commut

didi and lyft could merge.yft has a relationship with ford. >> it's like everybody versus uber. >> the apple store down the street, we're one block that way -- >> uh-huh. >> remember the fao schwarz store, they may take that over, too. remember we said, who can afford to take over that store? apple. >> right next -- >> literally right next to it. >> the "new york post" which happens to get it right. they have a great little picture of tim cook on the big -- on the -- >> that's a cool space. >> from the movie with tom hanks. >>> let's get back to the markets, bond markets, and traders are going to bech whatting this afternoon and the fed probably listening. we have the economistic at ubs and chris vesler, fund manager and co-portfolio manager. you don't think necessarily june is the liftoff for the next rate, you think september is more likely. i know that. but this certainly is a little bit unexpected, since we saw june across the table. let me ask you, i've seen the point made that central banks, with countrie

long before reaping the returns of its billion-dollar investment into chinese car hailing service didit timing depends on how this market share with uber plays out in china. it currently values at 26 billion u.s. dollars and the company is backed by two of the big chinese internet three. uber may have a bigger valuation but didi dominates chinese market and has operations in 400 cities with 14 million drivers and 11 million rides per day. no word on the price of exchange or banks when the company decides to go public. here in europe, let's check on how markets are doing. there is low-volume because a lot of the weakest markets are closed. the dax in germany is closed for trading. we are closed in switzerland as well. the stoxx europe is down 1/10 of 1% and the ftse is down as well. the cac is down as well. taking a look at oil on the back of that goldman sachs call, we see supply and demand equal out pretty quickly with a huge jump in brent and the same thing in wti. it has been 3% so brent is trading at $49.07. take a look at gold and silver. john vail was talking about the bid in gol

it operates a phone app called didi.efore it came along, pretty much the only way to get a cab in this country was 0 to head out into the street and try and hail one. along came the app and changed everything. there it is, you can see the taxis there -- that are available in this area. and here's my cab. out for a walk? that was -- now, with this phone app china's people have been able to leap-frog into the future. one day they can't order a taxi at all. the next they're communicating with the driver, can see the driver's real-time location. now you should try hailing a demab a major chinese city. you can't get bun -- one because the drivers are all taking app bookings. however, uber has made a big, expensive push into china and it the very popular with more affluent customers. didi has responded with its own premium car service. now with the extra injection of money from apple it's hoping to expand its service and stave off any challenge from uber. jane: the ganges is india's great and sacred river but you can also add

chinese car hailing service didi is considering a u.s.po after receiving a $1 billion cash injection from apple last week. welcome to "countdown." i am anna edwards in london. manus: i am manus cranny in dubai. you will kick it off with china. i know you like a chart. anna: i have a chart for you. today, equities bouncing this morning, rebounding from a one-month low. the sales tax increase in japan is one factor, maybe hopes for stimulus in china. chinese stocks gaining a little in the session. we had a rough month of april. , over the weekend industrial production, retail sales, investment, and new credit. i have a chart here showing bloomberg dvt for china, a monthly tracker through the deluge of data. gdp justnth of april, 6.8%, below 7%. 7.1% is where we were in the month of march. manus, that's one of the things the markets are dealing with, a slowdown in china, but also constantly reevaluating expectations from the fed. manus: absolutely. we will get minutes from the fed. that will be the real linchpin of this week's trading. for m

didi is chinese for beep-beep, and chuxing means mobility. to say they're moving beyond taxis to all sorts of transportation. >> that's a good explainer, eunice, thanks so much. >> great report. >> of course a day after jack at the white house unannounced, tim cook today moves onto india where he tweets great to hear from some of india's top ios developers, innovative apps and ideas for the future. >> this is green field, they are just now getting to the kind of infrastructure system that will allow them to be able to use the fancier phones, but i will say this, remember they have mom and pop stores. it's not like you're go to go -- go to verizon and have a big contract, but grass roots, good brand, you know i think india is going to be very big. a lot of people feel will be the biggest country in 2020. so i again am a believer in apple and think it should be owned, not traded. i don't like this quarter. i don't like the fact we have high profile guys downgrading it. makes no sense. because this is a bad quarter. >> right. >> i think target d

. >>> meantime, uber's rival didi chuxi chuxing. highlights from that visit with tim cook. good morning. >> reporter: good morning, sara, i'm outside of headquarters of didichu zing. she was playing host to tim cook. they've seen countless possibilities for future collaboration. this is what she had to say. >> joking with my team, it feels like a speed date. we got to know the apple team. they got to know us not too long ago but we clicked very quickly because the two companies share the similar philosophy. we both care about community. we both want a clabive culture. that gives a lot of common ground. in the same time, in china, we actually share a huge overlap in customer base. our driver base, our passengers they use apple and iphone a lot, ipads. so they're intuitive. >> reporter: and just like with so many other chinese companies, didi has 300 million users. 14 independent drivers. 11 million trips a day. but the company from their perspective is just getting started. this is what she said. >> right now, we have coverage in 400

chinese car hailing service didi is considering a u.s.eiving a $1 billion cash injection from apple last week.

amy: a baltimore police officer is acquitted of all charges in the 15 death o of freddie gray who didiedspinalal injuriest

francine: china's biggest ride healing at, didi, they are said to be considering a u.s. ipo. talk us through the details of that. dede might belike trying to escape the traffic jam of the mainland chinese ipo process and go to market in the united states as early as they can to raise the funds they need for the next stage of expansion. theink one thing which excitement around this story underlines, contrasting that with the concern about the growth data that we saw over the weekend, is that this is now a two-speed economy. so much as an is him about the industrial sector, so much optimism about this technology-driven consumer economy. is, do theestion consumer driven firms, like didi, do they have escape for the city, or are they going to be dragged down by the weakness in steel and heavy industry and exports? thank you -- francine: thank you so much for all of that analysis. if you have twitter, go check out tom's twitter account. he puts some great stuff out there. our next guest has concerns about china. let's welcome michael metcalfe, global head of microstrategy at stree

it could be a smart stand alone investment, because didi is a $1 billion company with the private carailing share in china. on the call last night, the company's president says it breaks even in 200 of the 400 cities that it operates, and the partnership with didi might help apple to expand some of the services in china like apple pay, and if cook is really interested in developing a car, then this partnership could give him a lot more data about the can xhi -- chinese consumer, and this is on worries of the futures growth, and so, down some 30% from the all-time high of $135 last spring. some of the worry is because of the tougher line that china has taken with apple. recently shutting down the company's online books and film services, and, in fact, that is one reason that carl icahn told cnbc that he sold the stake in apple, and so with this investment, cook could be trying to buy some goodwill with the chinese reg yu ulators to keep relationship healthy and strong. back to you. >> thank you, josh lip tton. josh brown, apple pierced $90 and managed to get above it kw quickly. >> yea

general motors took a 500 main andars stake in lyft, apples bet on didi kuaidi.ters are leading the pack? fueled by mega funding, uber make it all the headlines, but lyft is taking on its rival in u.s. cities and through international partnerships. claims todidi kuaidi have 99% of the market, boasting close to 300 million users and over 400 cities, completing 1.4 3 billion rights in 2015. grab dominates in southeast asia, 30 cities across six countries, and a fast-growing motorbike service. , which grew at 300% last year dominates in europe. start of scramble for supremacy, it is too early to tell how the right hailing wars will play out. rishaad: let's have a look at that subject, grab the biggest competitor in southeast asia, six countries, including singapore, thailand, and vietnam, more than 300,000 drivers. groep has picked up only 700 million from investors. even so, the ceo says their local emphasis will keep grab ahead of its rivals. >> grab is the largest mobile tech platform in southeast asia, look alive services, so imagine taxis, cars, and motorbikes.

didi has like 99% market share in china totally overtaking uber. puts uber in a box.nk it is -- that is on taxi sharing and private car driving -- they own a huge part of the market. the question is whether apple can actually be in the chinese market. whether this binds them in a better way. or by the way whether it creates all sorts of not anti-trust issues in china but whether i could see uber start screaming in the united states and other regulators that somehow apple is going to be trying to help these other guys. >> when you look at these investors -- china's investment corporation. a lot of chinese companies to me there could be a political whiff to this. to be alongside -- >> -- >> -- line them with the chinese government in china. >> -- great for them. i think it's great. -- >> what is the intention? is the intention political or -- >> -- combination of both. i think it is a great move. the question i have though is whether uber is going -- when something bad happens to uber in europe or the united states they are going to somehow say that if didi does busines

ramy: when we talk about didi, we have to talk about uber, with both of them brawling in the world'st popular -- populous country. we talked to didi's ceo about whether they could both coexist. >> i would like to more focus on myself, rather than looking at others. i think the industry is in a more infancy stage. there's a lot of room for everyone to grow in the market. but for us, it is more to focus on what we have to achieve. ramy: can they both exist? can this duopoly exist? here in the u.s. we have uber otherft and a couple of ones. david: in china, the chinese company will always have a huge advantage so i would not bet on uber. the chinese government can intervene on the side of the local player. ramy: let's talk with keith. i want to ask you about valuation, the $25 billion valuation. does this concern you david -- does this concern you? keith: i would have to look at their financial performance to decide what they are worth. they are a valuable company, but i cannot opine on that without inside information. tech two of the top four companies in the world are right hailing se

apple placing a bet on uber's rival in china, didi.e biggest investments in software and services. it gives apple a chance to forge alliances in the biggest single market outside the u.s. francine: thank you. we now talk productivity and we go to new york. this is really just a ploy to get tom king to admit and capitulate that europeans may you more productive in certain cases than the u.s. we brought in the big guns. on his day off. a european working on a day off. get a hard time because we have more holiday, but we are not less productive. not at all, but there is difference between productivity and competitiveness. when you think of the french economy, 35 hours and high taxes, it is not an issue of productivity. that is how much you produce each hour you work. of that, european economies are very high. perhaps because we work fewer hours. tom: i do not disagree. the french have arguably the highest productivity in the world. they made a decision out of world war ii to work less hours. how much do you observe the 35 hour work week i

is didi actually worth $25 billion?avid: if uber is worth $60 billion, i think ultimately it is their biggest global competitor. those companies might ultimately consolidate. the chinese market is so important. i think if you do it right, you can lift off from there and go global, and i'm sure that's what they want to do. ramy: when we talk about didi, we have to talk about uber, with both of them brawling in the world's most populous country. didi'stalk with president about whether they could both coexist. >> i would like to more focus on myself, rather than looking at others. i think the industry is in a more infancy stage. there's a lot of room for everyone to grow in the market. but for us, it is more to focus on what we have to achieve. ramy: can they both exist? can this duopoly exist? here in the u.s. we have uber and lyft and a couple other ones. david: in china, the chinese company will always have a huge advantage so i would not bet on uber. the chinese government can intervene on the side of the local player.

and didi fits into that strategy as well. >> what's the time frame for this happening.t doesn't happen overnight. and yuber is also present in china, but didy is much bigger than u verse. >> they did that wither siri, with the chip company that helped them design their own processor, they did that with an app recommendation engine. this is an investment in a company acquisition. mostly because china say big market. >> what about extending an olive branch, if you will to regulators or win them over as an act of goodwill? >> i think when you look at the chinese companies they all cross-invest in each other. it's a kind of ownership structure that we have in the west where competitors are generally competitors. and it helps them with relationships with chinese companies. it helps them with chinese government relationships. it helps with pr for chinese friendly companies with consumers by making investments in chinese companies. >> let's talk about berkshire hathaway investing in apple. that gave a boost. lifting the dow as well. a lot of people said, look, he made this inv