-- to google in doing this? >> guest: one, you only have to manage one privacy policy, and they would also say that they're able to provide more targeted services and more useful services to their users. so, for instance, if you are using their gmail product and you are inviting people to a party that they may know who some of your friends are based on your interactions on a google social network and suggest friends that you might want to invite, and they're able to do that because they are working with you both on their social network as well as their e-mail product. and for the user what they would say is that it provides the user with one single privacy policy rather than having to navigate 70 different ones and that it provides the user with a more consistent, uniform experience across all of their different platforms and where they can get more targeted information advertisements at each platform, so it'll be a better experience for the user as well. >> host: before we introduce our other guests, what is th

facebook is a competitor to google and i think we can understand a lot of what google is doing today in terms of their gaining control over ultimately what is a battle for advertising dollars. both companies rely heavily on advertising dollars. that's their core business and they need to provide services that will draw users but no other company is in google's position which is why we maintain this focus. >> but as private companies if they're clearly state whag their policies are up front, shouldn't they be allowed to proceed? >> well, i think they can if it's fair to the user. i mean we have to understand for example how these policies operate and one of the business concerns that the federal trade commission has always been sensitive to is the notion of bait and switch and it operates in this field. a company can say to we have a great privacy policy, we respect your adapt, and the user says that sounds great i'm going to pick you guys, and they build up a big address book and they build up a social network and they build up preferencess and then a few months later a year later th

google is not interested in creating competitors for use of google services. it is completely consistent with their model to keep the information internal. this actually underscores the significant march 1 decision. like google did in addition to changing the terms of service and inducing the privacy protection for internet users, it also consolidated its control over so many of these key essential internet sectors. that is troubling to me. not only for privacy reasons, but also for reasons of competition and innovation. i think the internet does comprise -- with new firms can come along with a new idea and what google is doing now by combining policies is making it more difficult for others to participate in the internet economy, and the thought that somehow it is a benefit that they are not disclosing user data to third parties, it is actually a reflection of their income as much control as possible. >> this is what is so frustrating about this conversation. you have acknowledged that google does not share and it is not in their interest to do so with third

is it apple or google? here's some of the responses we've received. michael clements cast a vote for google. jessica remains neutral. she says, their value is their ability to challenge one another. user don't drastically change that business. don't forget to tweet us your responses. we'll reveal all of the tweets. we've got a lot more ahead on google's earnings after the close tonight including reaction to the company's conference call. management is focusing on when they get on the phone. >>> then sell in may and go away? not this year according to credit suisse barbara reinhard. >>> and how about drug sanofi? i'll have the ceo with us telling us what is in the pipeline. you're watching cnbc, first in business worldwide. [ male anno] citi turns 200 this year. in that time there've been some good days. and some difficult ones. but, through it all, we've persevered, supporting some of the biggest ideas in modern history. so why should our anniversary matter to you? because for 200 years, we've been helping

report that google put out there right i went and it's really interesting is f.c.c. wanted to cover some of this stuff up at the same time you have google who is exposing themselves as liars. well i don't know if i'd go that far i mean if this was a nobody in a in a position of decision making authority approved will. capturing a few snippets here and there of a wife i conversations i mean this was this was an engineer brady and it actually is kind of a little technical idea if any if this was a policy of the company the d.o.j. what a lamb that was nothing more than a twenty five thousand dollars fine that didn't happen googling google's offense if if there is one is to have to give a lot of authority to engineers and that maybe not enough oversight but so you think probably there were no real privacy violations that they didn't violate any kind of loss of the will have been in a lot of trouble of what this around the world right we've seen a lot of other foreign governments go after google we saw a judge here in the u.s. role that google can they can go after them i

google is working with macy's, home depot, and even mall of mark for google maps on android maps. >>u're moving, you can see if you're going in the right direction or wrong direction and find if the bathrooms are clothes by or behind you or in front of you instead of wandering around. >> reporter: shoppers are used to looking for signs to see where they are. but not anymore. if indoor map makers have their way, they will be able to pinpoint your location within five to ten meters. search store layouts, escalate tors, and bathrooms on on a google map. some companies, such as point inside, can even direct you to specific i'lls within stores to find items such as peanut butter or toilet paper. >> as maps get better and better, this will be part of the every day experience. >> reporter: while google's indoor maps do not point to dealers and discounts, they see the application providing much more in the future. imagine searching for mack crohn knee while in the supermarket and being able to find not only the aisle but also a coupon. >> people have discovered naturally by using the applica

(laughter) for google.gle makes $25,000 in the amount of time it took know say the words "twenty five thousand dollars." they won't cooperate with an investigation about the inadvertent-- or not-- collecting of citizens' personal data and the fine is less than what you would get for a particularly flashy n.f.l. touchdown dance. (laughter) by the way, we would show you footage of someone doing an n.f.l. touchdown dance but the n.f.l. would charge us more than $25,000 to do that. why don't we just have the n.f.l. run these inquiries. look, comically low fines aside, googoogle and jeff neely better check themselves before they wreck themselves. they're asking far date with the a.g., the attorney general. nation's top prosecutor, our last line of defense. no stonewall jackson is what they call him. you go in front of that guy... look how he backed up congress when they were searching for full disclosure on the a.t.f.'s fast and furious mexican gun running scandal. >> the department does not intend to produce ad

google we did see interesting call buying in earnings. google is all over the road. we saw a bunch of 7050 calls, about 5,000 of them traded. somebody who thinks there is still upside for google and a big upside what they that would take. what did you see in apple? anybody reaching for upside calls in apple? >> not so much in apple. in intel, it's a huge buy. not a sexy name, but a company like intel. >> on thursday, not trading options for this thursday, but valuations are not stretching with the cash. >> coming up here, facebook in the news as the social media giant agrees to buy photo sharing network instagram and shares of shutter fly fell on the news. >> if you follow them, you are very familiar. >> these are all over that. this is this kind of strikes me a little bit like you tube when it was bought by google. everybody started to say who is next and who is out there. once you have that product that you have that ecosystem where everybody is in, there is not much else competition-wise. if you started to look for other people, i don't think it's out there. shutt

daniel sieberg works with google marketing and media outreach across google plus.author of the digital diet. just a quick primer, what is it. >> google plus is a new way that anyone can engage with an audience or followers on google plus for small businesses, businesses of any size. it's a way you can post photos and video, engage with customers. you can do a video chat through something called a hangout, which we can get into in a little bit. it's a new way to leverage all of what google offers in one place through your google plus page. >> if i'm on facebook, why should i be on google plus as well. >> there are differentiating factors that are part of google plus that i think stand out. we talked about this idea of a hangout or a video chat. you can bring in up to ten people and engage with those customers in realtime. they can be anywhere and you can have that kind of relationship with them. you can do it internally for your business as well. you can work from home. there are circles, which people may have heard from, that's the idea of separating out your custo

google platforms like g-mail, google docs, picasa and google plus...eople who use ny of those or - programs."drive" is the latest move by google to define itself.it launched social networking site, google plus, nine months ago.and g-mail remains wildly popular.but many analysts say google will have to keep evolving too stay on top in the tech woold. i'm alisoo kosik in new york. -----end-----cnn.script--- a fashion choice... met with controversy. was kicked out offher prom... because of her dress. dress. 3

brian bolan has been following the google story. he's growth stock strategist at zacks.com and he comes to us from the c.m.e. group in chicago. great to you have back, what do you make first of all of this stock split, increasing the number of shares, lowering the per-share price but not giving up any control of the company. >> i say good move by them, they look at what they have to give up and what they are going to get in return. they're going to get a lot more retail investors buying into a name that they wish they would have bought at around $300. and now they're going to get that chance. >> they do that all in a very googlesque way when they don'tive up any more control, any more ownership to the company because no none of these new shareholders will come as voters, right? >> right, no vote so there is really nothing to lose here in the situation. >> let's talk about the numbers we saw here after the close. a good report, more than $10 of earnings. pay clicks were voninger, costs per click were down s that a worrying trend? >>

google plus as well?well, there are differentiating factors that are part of google plus that stand out. we talked about the idea of a hangout or video chat and you can bring in up to ten people and engage with those customers in real time. it could be anywhere and have that relationship with them. you can do it internally for the business. we have seen some people work from home, and talk to the office through that kind of video chat through google plus. there are circles which people may have heard about through google plus, and that is the idea of separating out the customer. so say you have vip customers, and you know, you want to treat them with a little bit of sort of special, so you can offer them something that only they see through their google plus stream. those are a few of the ways that it stands out a little bit. >> got it. so i am segments people, and i don't have to send one message out to everybody. >> which people respect and like that, because they don't necessarily want to be lumped in

use it for google docs and it will work with your existing google accounts.s, if goes on the drive. >> that's a lot of stuff to be out there. but, you know, and even with that, i say that because some of the legal mumbo jumbo from google this weeks raised some eyebrows. is there worry that google could possibly sell your information? >> sure. that's part of the problem. when you look at their competitors like microsoft and drop box, they make it very clear you own your stuff. they're giving you permission. they're not going to do anything with your files and you own it all. google's services are more broad, and depending how you read it or how you interpret it, they might be able to use it in advertising or they might be able to sell advertising on top of it or do other things with your content. so that has a lot of people concerned. to be clear, this is something google does with all their terms of service, so they make the same claims of service with google and g-mail docs. i think by google but were created maybe in microsoft office or kree yaited some pla

google is very concerned. facebook coming public at 100. google is concerned.eing public? five reasons. facebook is more powerful. the secret will then be out in terms of head to head search that the facebook experience is a better experience. google's primary product has an inherit flaw and facebook's social search engine is a better mechanism for getting what you need on the internet. google doesn't have data with users that facebook has. in a situation like this, you will get bold predictions. the bold prediction is interesting. this is what you will hear and you will look at if you check this out. microsoft has a plan here and the plan is that microsoft will put bing in the hands of facebook after facebook goes public. they'll take more facebook shares. this is an important thing here. the idea that microsoft has been funding losses at bing, microsoft shareholders want to know what's the long-term plan. we'll see if this comes to fruition. clearly very interesting. if you could attend one of these meetings, this is what you would be told. this is the pitch

google takes it much more seriously. the european investigations found these were serious violations, emails of people having affairs talking about their sexual orientation, web browsing, very, very invasive. unlike europe, we have adopted the position that if i surrender data to google for one purpose, i abandon all expectation of privacy for it in all purposes. this is called the third-party doctrine. the supreme court justice sotomayor in a case involving g.p.s. tracking said that doctrine has to be considered. that's true. unless it's reconsidered we're vulnerable regardless of what happens. if google can get my location by looking at my android smart phone. it doesn't have to spy outside my house. more broadly america is going to have to ask itself howell it can protect privacy and take it as seriously as the europeans are are or we're about to see a massive clash between the european and american notions of free speech. >> suarez: what would you want to. >> know? why would they want to collect this foreinformation

in google today it was up over 122%.virtually double where apple was, and people are protecting with apple, but they are not bailing on apple, at least not yet. >> right. >> you talk about asymmetric risk in the market with an event this apple quarter. if these guys as much as sneezed the wrong way into the clean "x." this is going to be tightly wired. 17% of the xlk are the tech etf is apple. a huge percentage of the s&p and really represents why the s&p is outperformed something like the russell 2000 on the drawdown in the last couple of weeks. >> let's move on to the next trade here. the health care the biggest bubble since housing? citigroup says u.s. health care spending is growing faster than incomes and our cost of care has doubled the average of other developed countries when you take a look at drugs as well as procedures. let's bring in one of the authors behind this very fascinating report, citigroup economist stephen weiting. i take a lack at report and look at all the data it is very clear that health care as

google enters round to in federal court this morning. kate is in san francisco where the technology giants are in a battle over intellectual property >> this showdown is expected to continue in just a few hours with a battle. it is between oracle founder ceo larry ellison and google c. o'leary page. oracle says google by lated copyright's when it developed its android system using copyrighted java programming according to oracle. but google says " we are confident in our defenses ". oracle's plans not only go beyond copyright and patent law but also threaten the entire job a community, software developers and the goal of making systems work together smoothly ". cnet says it could be right but the battle could end badly for the entire valley regardless >> it will be such a flurry of litigation that it will stifle innovation to some degree and slowdown products in things that you expect to come out of silicon valley and other technology centers. >> the case is expected to unfold over the next eight to 10 weeks and the trial will start agai

this is the google and/ oracle trial where google claimed oracle used a license where it shouldn't havee android. they played a part of the deposition of larry page by david boyes. that was riveting in the sense that boyes was making the point that andy rubin had googled other executives where would you be -- rubin's team says we must need a license. well, they're on the stand explaining his understanding of java and that people do, indeed, need a license to use certain parts of java. in this case if you're going to write your own version, as google did, you need to get a license and buy a test kit to make sure that stays compatible. the case that, yes, indeed, google did need a license and that he was wrong in the part of the deposition that they showed. but, of course, google will argue the other side when they cross-examine allison. back to you. >> john, we're looking at oracle at intra-session highs. how do you trade oracle? >> i think that's kind of an ancillary thing, and i think the real story with oracle is this is a winning company when it comes to earnings reports. go back and

drive is the latest by google to define it se. it launched google plus nine months ago and g mail remains widely popular. many analysts say google will have to keep evolving to stay on top of the tech world. >>> a popular city flea market raided sunday night looking for people selling knockoff designer items. we have the latest with jamie costello which starts right now. >> they're strong guys. that's what they're there for. >> the trial for a pair of neighborhood watchmen take as turn when the alleged victim refuses to testify. >>> tonight the details in the stabbing of an 8-month-old baby at the department of social services. >>> plus, it's prom season. how will you keep your teenager safe. a little bit of backup on the beltway. you know what, we're outside a little windy but very nice day. first, here's meteorologist wyatt everhart with your first forecast tonight. wyatt? >> crystal clear, a quiet weather this evening, maybe take

and it's wrong to the silicon showdown between oracle and google coming up boats a year is google coming up boats a year is th[ tires squeal, engine revs ] ♪ ♪ ♪ [ male announcer ] not everything powerful has to guzzle fuel. the 2012 e-class bluetec from mercedes-benz. see your authorized mercedes-benz dealer for exceptional offers through mercedes-benz financial services. it was in my sister's neighborhood. i told you it was perfect for you guys. literally across the street from her sister. [ banker ] but someone else bought it before they could get their offer together. we really missed a great opportunity -- dodged a bullet there. [ banker ] so we talked to them about the wells fargo priority buyer preapproval. it lets people know that you are a serious buyer because you've been credit-approved. we got everything in order so that we can move on the next place we found. which was clear on the other side of town. [ male announcer ] wells fargo. with you when you're ready to move. the money everyone is tuesday april 17th tax a.m. sunday del ham for invalid code is nearly 630 now will be

here's how you voted. 36% google will miss on earnings. 32% google will beat. 32% google will report in line with expectations. almost an even split all of the way around. >> sounds like ten people voted in that poll. hopefully the number is larger. >> we'll see what happens. turns out pc isn't dead yet. sales worldwide shipments of personal computers rose by nearly 2%. far more than expected. there's bad news. shipments of computers to key markets like u.s. and latin america declined year over year. these numbers are interesting nonetheless. better than expected in a segment of technology that was for all intents and purposes left for dead. >> i'm not that impressed by 2% growth. it's better than negative or flat. >> that's the most true thing you can say. i'm not sure that means that there's a renaissance going on in the pc market. it means that analysts were wrong on the expectations. doesn't mean anything more than that to me. i much rather be in the tablet space. >> if you're a holder of a dell or hp, sea gate maybe, you have to feel pretty good about these numbers if you are ho

the latest of which is "googled." but every one of these books has really dealt with communications and people who are changing the nature of communications. want to start with a little historical overview to get this thing started, which is it's been about 50 years since the advent of the digital age and its impact on content. for the first 25 years of that period in the digital age, the format of the content in dirgitl form was discussion. it was the early days of the internet with the bulletin board systems and then eventually online services with the well and leading up to consumable like aol in which people formed communities and were on chat rooms and bulletin boards and discussion groups and everything was shared socially in terms of information and discussion. in approximately 1995 with the advent of the mosaic browser and other things, there was a dramatic shift in the way the internet worked. and that is the worldwide web and protocols of the web. and the reason i think that was a huge shift is that it shift

is this what's going on with google?a year ago and if you look at the top tech companies they said there's been some shift on that. so that's the first thing i think that there's been a difference -- especially like with apple now. separately this is functionally a stock split versus a dividend. i know practically it's -- or functionally it is a dividend, but for all practical purposes, it's a stock split. >> and, gene, investors have typically been okay with google co-founders keeping control within the company. but as we were discussing earlier, in hard times they may pick on that a little bit more. what's your feeling on how the split works out and how investors read it now and in the longer term? >> i think now it's more of a nonevent. in talking to investors after the news came out yesterday, they were more interested in what the growth rate was and what's going on with the paid clicks and cpcs. so i would say that's the primary focus. eats just something new we have to get our head around. as far as getting the con

googling for profits. day left to trade. ahead of the earnings report and a monster move on the news. fast money topes great money. bob we're to talk about his new deals from cone certs over the internet with a major tech company. live from the nasdaq market site, this is fast money and let's get straight to the decade low. this was on the close. this is an important level and having impacts for stocks from coal, steel, the entire energy complex. >> that gas is going to hell in a bucket. at the end of the day, this was good for usa. what is bad for the producers is also very good for a lot of the chemical names. there is a trade off this to trade. if you look at the substitution effect from coal into nat gas, people are coming back. we talked about the volume and you see the interesting opportunities. shut down by vhp. >> in terms of the input costs. 2011, nas gas about 25%. a huge lift. >> a huge benefit and we love the story on a more broad basis, but to have this cost benefit and to have it extend out further and up a lit

it's not just the documents you create in google docs.ent on your pc you created with another program. things you've taken pictures of. places you've been. bringing all that together in a storage product that's a little different. up to this point people have been doing that with other companies. drop boxes, ever notes. it will interesting to see whether they -- >> my old high school classmate eric schmidt sat behind me in algebra class until they figured out he belonged in a different class. testifying today in that big case between google and larry ellison's oracle. what's going on? >> very interesting case. oracle trying to argue that google basically stole parts of java that they shouldn't have. google trying to make the argument java was really supposed to be free anyway. up to this point google has had a pretty difficult time on the stand. andy ruben was up earlier today before eric schmidt. now eric schmidt is up. it's coming out that sun microsystems which oracle bought which created java wasn't always so happy with the way google

google grew earnings 25%. apple at 13.5% or google at 15 times. who are you going to buy?l you buy it? >> if i had -- we don't buy the stocks we cover. if i had an opportunity to buy it at the ipo price, i think it's going to end up being a good investment over the long haul. it's a big platform. it's growing and i think they are just getting started in monetizing it. i think it will be like google, not a straight line up, but there is a lot of opportunity inside facebook. >> daniel, always great to speak with you. >> keep those tweets coming. google getting fined $25,000 for impeding an s.e.c. investigation into data collection for its street view project. when they send the cameras down the streets. we are asking if google were driving by wall street or park avenue, what sensitive personal information would you hope it collected and then revealed? tweet us. protect the land. economically, it seems like a good choice now. we need environmental protection. we've got more than 100 years worth of energy, right here. [announcer:] who's right? they all are. visit powerincooper

we like google shares. it's a bit of an oddity the stock split, but we've seen it before from this management team. >> why don't they just if they are see worried about losing control of the company, why don't they just stop using their stock as currency to pay every employee, to buy anything? >> oh, i think that's part of the culture of silicon valley for right or for wrong. a lot of stock options, so i think it would be hard for help to do that. i guess that leads to the obvious point which is that they need to do this for competitive reasons. it they have to pay up for engineers and engineers got a lot of options now, a lot of other start ups and a lot of successful public companies in the space. they know that. they also probably want to do acquisitions at some point. you'll dilute irs yourself, so you better maintain control. i'm biased toward founders if they do a good job, and i think these two have generally done a very good job, and i like to see a long term commitment by the founders. i'd rather s

he thinks google will go 1,000 before apple and he also thinks google is much cheaper than facebook.body is slicing and dicing this thing. >> you were saying cost. got to stay close to that. that was minus 12. look people got excited about a split. can't get excited about a split. >> i want to clarify in terms of what karen said last night. yes she's upset it from a corporate governance standpoint but she's still a shareholder because the valuation of the company is so compelling. this doesn't make her think it's not worth owning. >> as long as the stock goes up nobody will worry about this. what's important is the corporate governance guys say this is going down a dangerous path. one day there will be some companies, the shareholders wish they more flower. >> herb, thanks so much for your report. coming up a bat gets trapped on a delta airlines flight and spend the entire ride buzzing around passengers. so the only thing worst being trapped on an airplane with a flying bat is being trapped on an airplane with what? send us your responses. we'll bring them to you this morning. betwee

and google has not been, right? >> that's right. >> you're talking about the apple relationship, but i have to ask about facebook as we head towards facebook's ipo. the acquisition of instagram many sources told me was reaction against google to make sure google didn't get its hands on it. do you see facebook as a threat to google and perhaps even the growth of its social network google plus? >> well, i won't comment on facebook. but i will comment on the point as to whether we're seeing dollars go away from search and usage to search toward social networks. we've done a lot of checks. i think we're talking about two very different pools of span by advertisers. google remains the most efficient way for direct marketing dollars to be spent. we haven't seen any change in that. i think that these concerns have been overstated when it comes to social networks' impact on google. >> what's your price target on the stock as we show another chart on where it is today. where do you think it can go? >> we think there's a 20%

content that would surface in google and rank highly in google. the problem with that -- >> and everybody else learned that later. >> and other people are trying to learn it. >> and huff post is good at it. the problem with that is you're thinking from the perspective how does an algorithm work, not from the perspective of how does a human behave? what i love about social is for the first time you can get a lot of traffic-- you know, we have a post that's getting in two daze over two million views. and the majority of it from it facebook because you make something people see -- >> what was the post? >> this was 13 thing to get you through a rough day. instead of thinking how do i make something that will surface in the google algorithm, which is creating content for a robot, you're congressing how do i make something that inspires someone, makes someone laugh, make someone feel better about their day or tell someone something new, which is why i think news scoops are such an important part of social media, and that's i think a better endeavor to s

percent of the time when the cops ask google for information it turns it over. we would not be giving up this information to government, things like we put on our facebook page, political belief, sexual preferences. yet we think we are entering the friendly space. that information is now being used by marketers and the governments and others in many ways. >> imagine if you are an interviewer and how many google searches you do on different topics. for our audience, we welcome your participation. you can use on-line communication if you like or the regular telephone. our phone lines are on the screen, and we welcome your comment. you can also tweet us, send us an e-mail, if you dare. how did you get interested in this topic? >> someone suggested that facebook has 845 million members, which makes it the third largest nation in the world after india and china. i thought, well, what are its politics? it turns out it has its own currency, relationships with other nations. it is like a country. rather than being a sort of friendly place it often makes decisions that a

mail account you realize google reads every e-mail every google block every single piece of commerce you do google watches tracks and so it's something that government scares me google and it's so funny because google came out this week saying that facebook and who was the other one were really well i was there was one of the co-founders of the little surrogate really what he said is that he's never seen the internet have as many you know there never been as many threats to web freedom as there are now and he mentioned governments but then most likely put all the blame on his competitors like facebook you know well said that google would not have been able to exist had facebook been around where google first started but i mean what's one thing you know when google sells i guess you could say to advertisers then you start getting annoying ads. why is that a.o.l. sorry but when they can just hand over all their private information to any government agency and this legislation doesn't even specify what that government agency is allowed to do with it i think that's the scariest legislati

google released photo and video of the glasses, but also two days ago, google spokesman was actuallyearing the glasses. google has a secret laboratory where they take future-forward ideas, they try to bra them down to scale. under that umbrella is that self-driving car, also an elevator to space and now these augmented glasses. you see what they look like. they're actually no lenses inside there, but there's a small video camera on the one side. that is taking in information in realtime, and then there is a little glass rectangle. that's where those alerts are going to pop up. the alerts popping up in that little rectangle, you can check the weather, you can play music, you can video chat with somebody. you can get information just on the building right in front of you. so talk about, again, future forward technologies. it doesn't get any better than this. i spoke to google this week and i was asking them a thousand questions. how is this going to be powered? and they said, we don't know if it's going to be a standalone product or if it's also going to be powered off android. it woul