i'm emily chang. every weekend we'll bring you the "best of west," interviews with the power players in global technology and media companies that are reshaping our world. apple is dropping more hints about upcoming products. in the company's third quarter earnings release, c.e.o. tim cook said we are incredibly excited about the upcoming release of ios 8 as well as other new products and services that we can't wait to introduce. on top of that, the c.f.o. said it will be a "very busy fall." the buzz about new products, specifically bigger screen iphones comes as apple reported a 6% gain in revenue and 12% gain in profit in the third quarter. fueled by rising iphone sales. for the latest on apple's quarter, our editor at large cory johnson spoke with alex. and gene muenster, who has been covering apple since 1995. cory started by asking gene which part of the earnings report stood out! >> two things. first is the growth margin was much better than expected which is a sign that the underlying profitabi

i'm emily chang. amazon's first smartphone starts shipping today just hours after the company reported its largest poorly last the 2012. from gadgets like the fire phone to price wars, we will look to see if amazon still has time to prove to investors that it's investing will pay off. officially launching in new york city today. the company will be launching and in the streets of all five new york city boroughs. we will look at what concessions make.had to china, having issues with qualcomm. whether qualcomm can force chinese handset makers to pay up. first, to our lead story of the day, new questions from investors on whether amazon is really primed for future success. willhether the spending ultimately be worth it. shares are getting hammered today after the company posted a $126 million second order loss, its largest since 2012. in addition, there are concerns about amazon cloud computing business amazon web services. google and microsoft started a cloud price for. amazon will start shipping its fi

i'm emily chang. had this hour -- they are the two dominant read -- real estate website --zillow and trulia. the news of zillow acquiring trulia said the shares up for went up less than 1% for zillow. tells mef blackberry right now his company has no buyout offers on the table. he pins the chance of a successful turnaround in terms of adding value at greater than 80%. former republican vice president candidate sarah palin has launched her own online tv network. the sarah palin channel will cost about $10 a month and offer news, video chats, and behind the scene video. founderspeak with the that help launched the channel. to our lead story of the day -- online real estate rivals the low and are joining foist -- are joining forces. 3.5 billion for dollars in an all stock transaction. the sites will continue to operate under their current names, so they are not combining brands. both sites allow house hunters to find information on homes, rentals and generate revenue by selling ads, particularly to real

i'm emily chang. the federal trade commission has sued t-mobile, accusing them of adding bogus charges. t-mobile placed unauthorized third-party charges on bills dating back to 2009 in a practice known as cramming. the t-mobile ceo calls the complaint unfounded and without merit. google is boosting its music services. the service select songs for users based on a person's activities. unlike other music sites like pandora, it is curated by humans rather than algorithms. terms of the deal were not disclosed. a single better has won the government did going auction am a purchasing the entire kaisha of almost 30,000 bitcoins. as part of a larger pool of the virtual currency seized from the website. the auction attracted 45 bidders. the lot of bitcoins was worth about $19 million at current prices. to our lead story of the day, for the second time in less than three weeks there is a major shakeup in twitter's top executive ranks as the company tries to boost future engagement. anthony noto has been named a

i'm emily chang. is the ipad merely a tool to consume content? o, one company is trying to change that. wons one of nine apps that a prestigious designing award. joining me right now is the founder of storehouse, a former senior designer at apple. a storytelling app. what does that mean, how do you use it? >> storehouse allow people to share videos, pictures, and text here people wanted to tell stories that went beyond a single photo, what also did not want to write a blog post, put photos and videos together and lay them out in an interesting way. >> is like an extended version of imovie? >> it allows you to create something closer to a magazine article but allowing some video in their really as the multimedia element to this. >> ipad sales are dropping. you are only on the ipad. is that a concern, will you expand beyond that? towe are looking to expand the other platforms. we do still think the ipad is a great device. when you look at how the younger generation adopted it, we are hope all that it will open a creation for a lot of people. >> you

i'm emily chang.ringing charges against amazon. they are saying that they do not implement measures to prevent children from buying items on their parent's account. amazon offered refunds for unwanted purchases. in a new memo to employees, "we willella writes reinvent productivity to empower every person and organization on the planet to do more and achieve more." that microsoftw sees plenty of opportunity in mobile. he says in the next few years we will see many more categories above. microsoft will be on the forefront. amid a new report that microsoft may still have a bright router selling its windows operating system. sales fell just under one percent in the second quarter, the smallest quarterly drop in two years. shipmentss the tablet declined for the first time ever. what is the future of tablets? pc? microsoft? joining us from boston, we have the ibc chief analyst. the pc may be alive, but it sounds like the tablet is dying? what is going on? is theseou're finding categories are settling out. i

i am emily chang. amazon ups the ante in its digital book dispute, proposing authors get to keep 100% of the proceeds from digital book sales. but has shut says not so fast. many authors are speaking out against it. we will tell you have a stalemate is impacting the businesses of both companies. some of the biggest names in technology and media are in sun valley idaho for the annual allen and come me summit that kicks off today. among them are bob iger and warren buffett. no major deals have come out of it but consolidation, especially the pay-tv industry is expected to be a major focal point. germany wasn't the only big winner in yesterday's world cup semi final -- turns out twitter was a big winner. there were more than 35 million tweets sent during germany's blowout against brazil. twitter says there are 580,000 tweets per minute as germany was scoring five goals in an 18 minute span. now to our lead story of the day -- it's the latest your in amazon's bitter battle. amazon is making a direct appeal

i am emily chang. is the resume program legal and constitutional question any reports of the surveillance of foreign internet activity is indeed. the board wants changes to better protect privacy rights of americans. rise of the chinese smartphone maker sold 26 million -- shows no signs of slowing. they sold 26 million in the first half of the years -- of the year. they are inching closer to the top two smartphone makers, lenovo and smart some. mike honda is being challenged in the district of silicon valley. we'll be joined to talk about why he is running and the inequality debate here in the bay area. we have a special guest host for the hour. we have the cheapest creative officer for -- chief creative numeral -- new,. how is that going? >> great. we just signed to istanbul. these going all over with festivals of innovation. >> what you mean by festivals of innovation? >> we turned the meeting inside out. you can go in and see the company in its native environment. " last year was a host company, and

i'm emily chang. every weekend we'll bring you the "best of west," interviews with the power players in global technology and media companies that are reshaping our world. am is dropping more hints about upcoming product. tim cook said we are incredibly excited about the upcoming release of ios 8 as well as other new products and services that we can't wait to introduce. on top of that, the c.f.o. said it will be a "very busy fall." the buzz about new products, specifically bigger screen i spphones comesst as they reported a 6% gain in revenue and 12% gain in profit in the third quarter. ory johnson spoke with alex. cory started by asking jean what part of the earnings report stood out! >> two things. they are reiterating this product line. new categories. products and services in the back half of 2014. they started this expectation almost a year ago and we're now at -- this is a critical window now in next six months to get some of those products out. that is the real takeaway. >> alex, let me ask yo

i'm emily chang. first a check of your bloomberg top headlines. yelp reported a profit for the first time as a public company. yelp reported $2.7 million in net income. sales rose 61%. more small businesses advertised on its website and mobile app. average monthly visitors rose 27%. amc networks is in talks to acquire a 50% stake in bbc america. the deal would allow bbc america world wide to keep control of the channel while cutting overhead. bbc america is available in 80 million u.s. households and airs shows like "the musketeers." twitter shares soared 20% today following a strong earnings report, its biggest daily gain since the day after its ipo. the ceo says changes made to the service are working. he says revenue rose mostly because users spent more time on twitter, and the audience for tweets beyond twitter itself is more than twice its active user base. and edward snowden temporary asylum in russia is set to expire tomorrow. he has requested an extension. coming up at the bottom of the hour,

." ♪ >> i am emily chang.his is "bloomberg west." ,oogle gives us an update saying that citizens have the right to be forgotten online. google has received more than 90 1000 google requests according to a person familiar with the matter. they have looked at more than half of those cases. they have asked for more details in about 15% of cases. the news comes as privacy officials from across the eu meet in brussels to consider new privacy guidelines. it is official. lyft is fist bumping its way into the big apple. they are making positive progress with local and state leaders. the pink mustaches will hit five boroughs tonight at 7 p.m. to be able todo get on the road? miller has followed this story very closely. matt, what exactly did lyft agree to to make this happen? >> i feel that they sold all of the principals out and decide to become a regular cap company with an app. >> how very new york of them. >> exactly. i don't see how any of this progress is progress or positive. there are only allowed to use tlc, t

i am emily chang. amazon is known for being secretive but the company has gone public with its ongoing e-book price dispute. amazon said its primary goal is to lower e-book prices and create more money for authors, but will this admission actually leave the 2 -- lead the two sides to an agreement? alibaba is in talks to become an investor in snapchat. alibaba has been increasing investments in u.s. companies in the run-up to an ipo. for snapchat, it could make the photo disappearing app the next member of the $10 billion valuation club. an essay weaker -- nsa leaker edward snowden's temporary asylum in russia is set to expire tomorrow. a bill to review surveillance practices has cleared the house and goes to the senate. we will have a look at how snowden's revelations have changed the fields of business and government and you. objectivees its public in a dispute with hash the group over e-book prices. has been going on since may. in a blog post, amazon said its key objective is to lower e-book prices.

i'm emily chang. ahead on "bloomberg west," more on my time warner reject it the initial takeover offer of more than $75 billion. time warner ceo expressed concerns about fox's structure, who would run the company, and the future of cnn that would have to be sold. cnn could fetch as much as $8 billion on the market. ebay seeing a rise even though ceo john donahoe called the corridor "challenging." changes in how they showed e-commerce search results weighing on the business, but the paypal unit showing solid growth. apple has agreed to pay 450 million dollars to settle allegations that it conspired to fix e-book prices. the trial between them and 33 attorney general's was going to start this month. apple just paired with ibm to improve enterprise business. to our lead story of the day, rupert murdoch looking for a new piece to his media empire and he's hoping time warner is the perfect fit. time warner has rejected the initial bid and murdoch is said to be willing to pay more to get the owner of hbo,

i'm emily chang. this spending is not stopping at amazon. jeff a's is is still sinking money into everything from building ash from the film centers to amazon prime to the new phone. amazon post a loss of $126 million, its largest since 2012. operating expenses totaled $19.4 billion, edging out revenue. investors may be losing patience with the spend first strategy. shares are tanking in after hours. winning me in the studio is cory johnson and our bloomberg news reporter who covers amazon. and a bgc partners technical analyst. colin, shares are down almost 10%. what is your take? >> when the shipping is free, the profits don't come easy. this is a tough quarter for amazon and you are seeing a new pattern developing in 2014. when they print the quarter, the stock has been trading often used to snap right back. it has been slowly grinding off and we have losses, close to $20 billion in revenue and you can't make money? for the september quarter, we've got a bigger loss in the june quarter, so investors

i am emily chang. hadas no assets, has never any revenue, and yet it is up 28% today, 35,000% in the last few months. does this company, with a more than $5 billion market cap, really exist? the microsoft the ceo has unveiled his first vision statement as ceo. u.s. to shift the company from devices and services to productivity, mobile and cloud. this comes as the decline in pc sales is slowing as tablet sales start to fall. it was an uber ride one man will never forget, saying it was like an episode of "cops." it took off to avoid idc taxi inspector and started racing down the highway. he said he physically tried to get the driver to slow down and old out -- got out when it pulled to an exit ramp. market cap greater than established tech companies like zillow and yelled. -- yelp. cynk technology is up today and is sort of 35,000% since may. but it is unclear what exactly it does. it is associated with a website which claims to be some sort of social marketplace. the company lists just one employee and

i'm emily chang. warner is looking for user growth and counting on the internet to deliver it. the network is aiming to expand its audience while maintaining its ties to cable providers. so what exactly is time warner testing right now and how does it relate to the recent fox takeover bid? jon erlichman joins us now from l.a. with more on that. what is time warner testing? >> this company has a much to think about now. a fox bit is front and center but they have to think about how people are going to be consuming the content down the road. in the case of hbo, you've got a business that while incredibly profitable, falls inside the traditional world of cable will stop we've all heard the stories of young people who need internet and broadband access. a landline and cable access package, not so much. i'm not going to give away names but i was talking to a young producer in this segment who said she's using someone else's hbo password to access hbo go in conjunction with her broadband. hbo thinks how are

i'm he will -- emily chang. ahead, we are following this hour two major developing stories from around the world. first, israel has launched a ground invasion of the gaza strip, with tanks and troops rolling into the embattled area. t aims to end hamas rocket attacks. it's israel's first significant offensive into gaza in five years. from israel to ukraine, where a malaysian airlines plane that's cashed near the border with russia. ll people on board are dead. ukraine said the plane was shot separatists. ssia those rebels deny responsibility. and google and i.b.m. are out with earnings. i.b.m. posted a 2% drop in revenue but the declines were smaller for some business units. to our lead story. israel has laumped a ground invasion into the gaza strip, its first significant offensive there since 2009. it's aimed at stopping the miss aisles fired into israel from hamas, which is in control in gaza. israel has also authorized the callup of 18,000 additional troops. israeli prime minister benjamin netanyahu says the

i am emily chang. lyft put plans on hold.ter the new york attorney general and finance superintendent sued at the last minute, claiming that lyft violates state and local law. it will not be bumping in new york this weekend. but they hope to roll out the pink mustache is very soon. what is it like to be a lyft driver? >> lyft is trading in the hills of san francisco for the cobblestone streets of brooklyn. the startup typically requires a four-door cars, they made the exception to allow me to drive in style. >> why did you pick brooklyn and queens rather than manhattan? >> the need for transportation is greater. you have 95% of taxi pickups happening in manhattan and airports. there is a need for affordable transportation here. >> the company received $250 million in series d funding and is burning through some of that cash offering the first two weeks of rides for free. >> we are building the scale of an international highway, international railroad. it is a massive opportunity. >> lyft is more of a social experience in a li

i'm emily chang. ahead this hour, the ambitious agenda of netflix. the streaming company is planning aggressive international expansion as well as bigger and bolder original shows. this coming after netflix passed the 50 million subscriber mark and posted a big rise in second quarter revenues and profits. silicon valley is becoming a must visit location for potential 2016 presidential contenders. days after rand paul rallied conservative tech workers, former secretary of state hillary clinton is in town meeting with executives from twitter and facebook. making thursday night football as popular as monday night football, that is what cbs is trying to do as it gets ready to air its first season of thursday night games. the chairman of cbssports tells us the network is devoting more resources to every thursday night game than any game except the super bowl. for our lead story, netflix says it now has more than 50 million subscribers because of hits like "orange is the new black" and "house of cards" brin

i'm emily chang.his is rickie fowler --"bloomberg west." qualcomm earnings are causing the stock to tumble today. they are having trouble collecting licensing revenue from china. the president told bloomberg that this is an issue the company is taking care of although he admits the timing to get those payments is uncertain. amazon'st for earnings, content is a big area of focus and spending -- in spending for the company. they are spending on original programming to help it compete with streaming services like netflix and hulu. jon erlichman recently caught up with the man leading amazon's original programming efforts. he is with us from the l.a. with more. what did he have to say? >> this is an interesting guy, roy price. he has been with amazon for a long time. this is a company that is not afraid to spend, whether on the warehouses or devices that ultimately get sold at cost, or now whether it is making original tv shows. this is not a cheap business. if you want to be a standout, there are shows t

i am emily chang.ff init was not lyft new york city -- it turns out it was not lyft often new york city. it has to work out its legal issues. earlier i spoke with the tlc chairwoman on the phone. i asked about her position on lyft. withr position has been lyft that we welcome new technology. we welcome innovation. we have even gone to court to fight for the right to allow passengers to use their smart phone to hail a taxi. when it comes to safety, vehicle drivers, weetting cannot undermine the taxi system and the hiring system in new york. we have standards that must be met. in order to operate in new york city, lyft must meet those standards. leadership claims their safety standards are even better than new york city taxi standards. for example, the driving age is 21 whereas for new york city driver it is 19. how do you respond to that? >> they have a list of what they say is improve safety standards. when you strip away -- it is not true. there is continuing vetting under the tlc system to make sure

i'm emily chang. we are getting a fresh look at the numbers behind some of those tech most talked about businesses, from linkedin to go pro. we will have more on linkedin and go pro in a moment. first i want to talk about tesla . the electric carmaker's second quarter earnings, sales rising 55% among more than $857 million. the company posted a $62 million lost. tesla told -- sold nearly six is 700 cars in the second quarter cars in the second quarter. it is teaming up with panasonic to build a so-called giga-factory. the plant will produce lithium iron batteries, which has been a challenge for tesla. cory, what is your take on the numbers? are they good, not so good? >> yes. there were some numbers that were good and some numbers that were not good. there were some things that were weird. let's give tesla credit where credit is due. they showed a revival in sales. the company has seen a decline in sales in a quarter over quarter basis. march quarter going into june, you thought maybe in the early par

i'm emily chang. ahead this hour, a federal privacy panel calls the nsa's prison program legal and constitutional. in the report says that foreign intel internet surveillance has helped protect the nation's security. the panel wants to make sure the nsa is not spying on american citizens and is recommending some changes. massive sales numbers, the four-year-old chinese company xiaomi takes aim at apple and samsung. they sold 26 million smart phones in the first half of the year, quadruple the amount from the same period last year. xiamoi is hoping to sell 100 million phones in 2015. shares of shutterfly soared 15% after reports that the online photo company is looking for a buyer. they had hired partners to find possible buyers. shutterfly is on track to post its first annual net loss since 2006. we have a special guest joining us for the day. that is the chief creative officer from newco, also the executive producer of the web 2.0 conference. and the cofounding editor of wired magazine. and the list

i am emily change -- emily chang. sending people to mars within 10 years? how realistic is this?chief technology officer for inspiration mars and worldview enterprises. i asked how far away we really are from humans landing on the red planet. >> well, landing on mars is a real trick. i think we are much closer to getting people within mars's orbit or flying by mars. i think that that would be a great near-term goal. landing on mars will take some technology development. we landed this sort of one-time amazing mars, an accomplishment. one of the things we learned from that was that landing a five-time is -- five-time lander with crew on board would be tricky. it is difficult, but it is no more difficult than of apollo was one of apollo was announced. probably less difficult, actually. on the scale of hard, not that hard. >> you have got a lot of different companies working on this. who is going to get there first? >> i think it will have to be a team effort, you know? spacex has gotten where they have gotten by working with nasa , funding and technical expertise. they have done an

for more, emily change spoke with jeff and neil, the managing director at general catalyst partners. kneel was previously at time warner investments, where he worked with various groups, and emily started by asking what he thinks of the proposed deal. >> i think this deal makes a lot of sense for fox, and what i think jeff has done over the last 10 years is shed poor assets and increase shareholder value for time warner. i think for fox, it makes sense, because they're buying a crown jewel asset. for time warner, i can see why they think they created a lot of values, so they're pushing back on closing the deal at this pofpblete >> jeff, you've been reporting on this from the very beginning. you know how this started to come together. give us some of the details. >> it all starts with a friendly lunch in new york in early june. jeff gets together with chase cary, and chase drops the idea on him of a big merger. he raises three really big issues. one is, what's the plan for you? your contract is up in roughly 18 months. second, i think my share holders are going to have a concern about

i'm emily chang. we are heading inside johnson & johnson. hosting early-stage startups, hoping to find the next big thing in health care. we will talk about how technology is changing their business. the company planning to stream concerts live on yahoo! starts tonight with the dave matthews band. we will get an update on how the marissa mayer turnaround is going when the company reports earnings today. major job cuts coming at microsoft. the tech giant is planning its biggest round of layoffs in five years. people with inside knowledge say the cuts are likely coming in the nokia unit as well as in marketing. of innovation, johnson & johnson may not be the first name that comes to mind, but these days, the pharmaceutical giant is taking a page from the tech industry. like other big pharma companies, j&j used to develop drugs the old-fashioned way, internally. today the company is collaborating with outside startups, inviting them into their incubator lab in la jolla, california. as part of our special

i'm emily chang.onsumes a new place to content. more than half of the time americans spend consuming digital media is now done through mobile apps. of digitalfound 60% media time was spent on smart phones and tablets rather than desktop computers, up from 50% a year ago. the kinds of challenges does is bring to traditional media? john battelle of newco with us. last year in particular, what is the biggest challenge that has emerged when it comes to building a media company that people want to consume? all, there is an extraordinary complexity to the media environment now. if you are an entrepreneur creating a media company, you have to think not just about one or two distribution channels. you have to think about 10 or 20. not just mobile distributional, but apple, android, 10 different flavors of android, cross-section section with so many different devices. how are you going to present on different pieces of glass, as small as a watch and large is a big tablet, and even now television? complexity me

i'm emily chang. after the supreme court ruled that the area business finally it's the rights of broadcast networks, they have suspended operations. in a blog post, the ceo called the ruling a massive step back for consumers. he says the journey is not done and aereo is busy mapping out its next step. how do investors know when a disruptive tech committee will be a huge success or when they might lose it to government regulation? we spoke to a venture capitalist who has weighed these risks over the last decade to started by asking how he makes a decision to invest in companies with regulatory concerns. >> you think about commercial drone, as well, so everyone chooses the market they are going to either create or disrupt. when you disrupt, you have things to deal with it when it comes to aereo, they must have chosen to go after the cable providers thinking that there was a shot. personally, we would not have taken that bet because they're very litigious. that is what happens good with commercial drones

i am emily chang.ry weekend we will bring you the best of west, the top interviews with power players in global technology and media companies that are reshaping our world. it is the next chapter with amazon's bitter battle with machete and they are making an appeal to authors. they have proposed letting authors keeping 100% of revenue from e-book sales. the idea is the lack of revenue would force both parties to get a deal done. machette said it is -- amazon responded with his own statement saying -- i spoke with bloomberg industries director paul sweeney and ron josey and i asked ron to set the stage for us. >> it is one of multiple partners at amazon and each partner is on a multiyear deal and it was up later. here we are, and there is a bitter dispute. from my perspective, it is more amazon, i believe by taking a greater share of the dollars. probably pricing e-books. i look at amazon as focusing on what consumers can do and machette is probably looking to protect interest. >> would you echo that,

i'm emily chang.ow cheaper than a new york city taxi, after announcing they will slash prices by 20%, after they have cut prices by 25% in boston. what this reveals is more about uber's pricing strategy. is a company we have talked about a lot. what do you make of this? >> i think they are trying to take some market share in new york. one of the things people don't realize about uber is that places where there's a good cap taxis, theyccess have struggled to gain market share. the only way they can do it is either offering luxury cars or cheaper rides. i think they are offering cheaper rides right now. >> it's a polarizing company. you have customers who love it and customers who hated, drivers who hate it. is that going to continue question mark >> i think so because uber represents a custom -- a company that represents a lot of essential services where government provided it are getting replaced by private technology and i think we are afraid of that future where the government has much less control

i'm emily chang. one day after a missile shotgun -- shot down malaysia airlines flight 17 over eastern ukraine killing 298 people, president obama says this outrageous act of unspeakable proportions underscores the need for peace and security in ukraine. >> evidence indicates the plane was shot down by a surface-to-air missile that was launched from an area controlled by russian backed separatists inside ukraine. we also know this is not the first time a plane has been shot down in eastern ukraine. >> the president also says there is no question russia has been lending support to the rebels and warns of more sanctions unless russia stopped training and arming them. he also calls for all parties to allow a fair investigation of the crash which the president says killed at least one known american citizen. bloomberg correspondent peter cook joins us now from d.c. the president stopped short of blaming russia so far. >> he walked up to the line but did not cross it in his comments a short time ago, calli

i'm emily chang. ahead this hour, apple to work with ibm to create business software applications for iphone and ipad users according to a statement. it will be tailored to work with ibm data analytics and cloud services. ibm will sell apple to its customers and apple will offer customer service for the apps. ford ceo alan mulally joining google's there's. he was appointed july 9 and will serve on the google audit committee. the former auto executive engineered a turnaround at the auto maker by globalizing models, cutting costs, boosting technology. it is unclear if he will play some role in the self driving car program. yahoo! will return cash to shareholders when it sells stake in alibaba. they will use at least half of any proceeds from the sale to fund the project. yahoo! reported quarterly earnings showing the company still struggling to deliver growth while contending with popular rivals. they will sell 148 million shares down from the originally planned 208 million. now to the lead story of the

i'm emily chang. coming up, we will take a look at samsung as profits in the smartphone market share slide. can the world's largest smartphone maker whether competition from chinese company and apple? lead story, the t-mobile has been making waves in the wireless industry for its turnaround and now the uncarrier is proving to be a popular acquisition target. profits, aported french company has made a takeover bid. is offering $15 billion in cash for a state in t-mobile which would be financed with debt and equity. it has the support of leading international banks for this purchase. the news sent shares of t-mobile soaring and sprint plunging. sprint have been pursuing a t-mobile.f i spoke with the outspoken ceo john legere about sprint's deal, listenore the iliad bid, closely to some clues he gives about t-mobile's future. >> in q1 we announced contract earlym, the launch of termination fees and that caused an aggressive spike. among other things we did today, we raised our guidance for subscribers fo

. -- i'm emily chang. we are heading inside johnson & johnson. hosting early-stage startups, hoping to find the next big thing in health care. we will talk about how technology is changing their business. the company planning to stream concerts live on yahoo! starts tonight with the dave matthews band. we will get an update on how the marissa mayer turnaround is going when the company reports earnings today. major job cuts coming at microsoft. the tech giant is planning its biggest round of layoffs in five years. people with inside knowledge say the cuts are likely coming in the nokia unit as well as in marketing. of innovation,

i'm emily chang.bay announced second quarter after the bell reporting impressive gains from its paypal division in big growth in mobile. there are problems traditional -- in the traditional auction business. they are having a tough time competing with amazon. editor-at-large cory johnson is here with me in the studio. amazon sales grew three times as much. had someay acquisitions that should have added to sales. i was thinking of the social numbers and it really represents a lot of the trends we were reporting back there in the winter when it was so cold. billion in revenue, 13% rise, very impressive. million net income meaning percentages have gone up. one of the interesting things in this quarterly report is ebay's discussion of cyber security, so expensive and a quarter that sales and marketing costs have been higher in the past. >> they did have the hack attack. >> that raised cost in the quarter and the suggestion is that will not happen next quarter. >> paypal did well and that's not really a su

>> welcome to "bloomberg west" i'm cory johnson in and in new york for emily chang. twitter and a big earnings announcement today -- turnaround plans look like they are working. the cost love planning to add services to keep users engaged and a looking gauge when you look at the numbers, posting their biggest time of user growth since 2013. he on a year-over-year basis, monthly active users up before percent. 221 million -- that's about 9% sequentially. 320 $4urging 124% to million. the company losing in the gap earnings, down a lot, but once you strip that out, you see the company profitable when you stick out the stock conversation and as a result, the stock is going bonkers in after-hours trading. has twitter really fix the problems vexing their growth? twitter is a former director of platforming in san francisco and my friend david kirkpatrick joins us via skype him upstate new york. -- i lookedtoday hard for anything that looked negative and i can usually find something. i didn't see anything particularly bad here at all. this is a banner quarter for them and wh