an sure amazon may have an army of drones but hachette has-- whatever a hachette is. i'm going say a tiny french hachette. and here to help me fight back is winner of the national book award and the ken faulkner award my fellow amazon victim sherman alexie, thank you so much for coming on. >> thank you. >> good to see you. you want to pop some bubble wrap? >> yeah. >> stephen: all right. sherman everybody knows you're the author of the absolutely true diary of a part-time indian. why is amazon doing this to us? >> i'm just happy to be here. if amazon had been in charge of the travel it would have taken me two to five weeks to get here. >> yeah, yeah. (applause) >> they're doing because they won a monopoly. they control 40 to 50% of the book market and they want more. and the only way they can do that is by forcing the price lower and lower and lower and making it impossible for more and more publishers to publish their book. >> is this a giant, is this a giant creating monopoly trying to crush the little guy? >> no, it's two giants fighting each other. hachette is a b

walmart has found a way to cash in on the feud between amazon and the book publisher hachette. amazon and hachette, the publisher of popular authors including j-k rowling, are fighting over digital book prices. amazon has reportedly blocked pre-orders for some upcoming releases, including rowling's "the silkworm." so, walmart jumped into action. the world's largest retailer began offering nearly 400 hachette titles for 40-percent off with delivery dates as soon as this week. giants say bye bye to st. louis. and a's face an old oakland nemesis. bay area baseball right after this. safeway understands you got to make every dollar count these days. that's why they have lots of ways for you to save. real big club card deals, the safeway app and gas rewards. this week, large, red seedless grapes are just $1.99 a pound. foster farms fresh whole chickens are only 99 cents a pound. and gatorade is just $3.99 an 8-pack. there's more savings to love... at safeway. ingredients for life. the giants have the best record in the national league and for good reason. tim hudson is 6-2 after scat

hachette fell off the number one spot in the digital book world, amazon has 60% of hachette's market share, with barnes & noble away distant second, making the publishes very dependent on amazon. >> how does amazon have such a lock on this market? >> amazon has no problem selling a book below what it paid for, but what is more important to amazon is the ecosystem. onis a world that focuses sales and not necessarily margins, and it makes it hard for other players to break into it. that is the crux of the fight with hachette. amazon gets a 30% commission from selling the book and it is allowed at discount of only 30%. amazon is a bigger commission so they can discount more. the other thing is the rise of the tablet. the devices could grow to over thatillion by 2017 and could keep increasing e-book revenue to over $10 billion. is thee, which second-biggest publisher in the market, already gets 10% of its total revenue from e-books. are thatooks important, what kind of opportunities does this create for competition like apple? >> if amazon will sell those books, someone is going to be, a

you see, amazon is in heated contract negotiations with my publisher hachette. they're delaying shipment of amazon's most popular author, including me. [audience booing] oh, don't make me unleash these dosmtion folks, this is terrible. i am one of my favorite authors. it's not just me. because of amazon's scorched-earth tactics, more people are getting screwed than in "fifty shades of grey." so i told amazon c.e.o. jeff bezos, it's go time, lex loser. before i knew it, my courageous stand created a firestorm all over the internet, and unlike rihanna, i didn't even have to show side-boob. i even offered. now, i don't know if you know, this but i'm great guy. so i did this not just for me, but for the first-time novelists like edan lepucki, whose hachette book "california" could not be pre-ordered on amazon, a death sentence for a new book. i asked do you go to colbertnation.com and preorder "california" from powell's books. nation, you preordered just as i preordered you do. as of today you heros have bought over 6,400 copies of california. [cheering and applause

stand off with a supplier for the past month amazon has been in a public dispute with publisher hachetter terms for e book sales. hey there. did you select these things on purpose? not a color found nature. there's nothing wrong with tha. i can hear your arteries clogging. ok. no. this is tap water. i can't let you buy this. oh. crystal geyser please. crystal geyser. bottled at the mountain source. heat shields are compromised. weare those thrusters burning? that's a negative. what's that alarm? fuel cell two is down. i'm going to have to guide her in manually. this is very exciting. but i'm at my stop. come again? i'm watching this on the train. it's so hard to leave. good luck with everything. with the u-verse tv app, the u-verse revolves around you the u-verse revolves around you a broader mix of energies, world needs which is why we are supplying natural gas, to generate cleaner electricity, that has around 50% fewer co2 emissions than coal. and why with our partner in brazil, we are producing a biofuel made from renewable sugarcane to fuel cars. let's broaden the world's energy mix,

we're seeing a lift of hachette sales in our stores and online.jective is to make sure our customers or any customers have the books in their hands as quickly as they want and as conveniently as they can get them. we've been supporting hachette which is a good publishing partner of ours as well as their customers and authors. >> finally, mike, it was brought to my attention on twitter actually that you've been a seller of stock. i don't know if that's a force planned sale or what but i would like an explanation as to why you've been a seller of barnes & noble. >> well, that's not accurate. i've never sold any barnes & noble stock except for some vesting that i had where the restricted stock was withheld in order to satisfy the taxes on that vesting. i'm not -- in fact, we have an executive retention requirement that we'll disclose later that we just put in place. so i wouldn't be in a position to do that. >> all right. mike, we've got to leave it there. appreciate you joining us. mike huseby, cref barnes & noble. the company announcing it's going

they have been in public fight with hachette over ebay sales. spokesman for amazon and warner bros. both decline to comment. >>> here at big boarderic cantor announced that he is stepping down as house majority leader. the decision is coming after men call the stunning loss in the gop primary race in virginia to a relative unknown. >> obviously we came up short. >> a major political shocker. an upset in very few saw coming to the pundits to cantor himself. >> there is a lot of long faces tonight. it's disappointing for sure. >> he was crushed by this man, david brat a relative unknown. >> this is the happiest moment in my life. >> brat an economics and ethics professor pulled off a huge upset. now that he won the primary is he is looking for november. >> dollars do not vote. you do. >>reporter:cantor spent a lot of them. $5 million in campaign ads. 50 times more then brat spent. and brat accused cantor of representing obama on reform. cantor fought back not enough to win back some voters. >> i hear the accuracy. my family. >> and dave brat, we know who he is now the republican party

. >>: hachette politics coming up-hot shot politics heat shields are compromised.ultiple failures. are those thrusters burning? that's a negative. what's that alarm? fuel cell two is down. i'm going to have to guide her in manually. this is very exciting. but i'm at my stop. come again? i'm watching this on the train. it's so hard to leave. good luck with everything. with the u-verse tv app, the u-verse revolves around you the u-verse revolves around you police say he killed a 14 year- old freshman a melia hoffman and did a teacher and kidder's seven the rest from which he hid inside attack dog of guitar case and a duffel bag. here you see the couple lying on the floor of wal-mart police officially believe that a man had killed her husband they announced today that they since discovered that some not how jadeite. panther a judge denied bail for former chinatown gang gangster. chad has been in basel since march jal would it be a danger to the community if released. this also and that it states senator humans leak. the fbi is opening a criminal investigation. in new

meanwhile, they are having this very public fight with hachette, the book publisher. this sort of shows the attention they are giving, that jeff bezos is giving. >> it has been the joke that people would buy everything but books from amazon. adam, thank you very much. sprint nearing an agreement for an acquisition of t-mobile in the u.s. they say sprint will offer 50% stock and 50% cash for t-mobile, leaving deutsche telekom with a 15% stake in the combined company. joining us on this developing story is alex sherman, who helped break the story. alex, what's the scoop? >> the scoop is the sides have been talking about a deal for months, maybe even years. they are finally reaching at least the financial terms on the deal, meaning the price, which we hear will be close to $40 per share for t-mobile. today they closed at about $34 and change, so a little premium for that. they are also close to a termination fee, which has been a point of contention all the way back to when at&t was trying to purchase t-mobile for about $6 billion in cash and assets. they have not wanted

we've been supporting hachette which is a good publishing partner of ours as well as their customers and authors. >> finally, mike, it was brought to my attention on twitter actually that you've been a seller of stock. i don't know if that's a force planned sale or what but i would like an explanation as to why you've been a seller of barnes & noble. >> well, that's not accurate. i've never sold any barnes & noble stock except for some vesting that i had where the restricted stock was withheld in order to satisfy the taxes on that vesting. i'm not -- in fact, we have an executive retention requirement that we'll disclose later that we just put in place. so i wouldn't be in a position to do that. >> all right. mike, we've got to leave it there. appreciate you joining us. mike huseby, cref barnes & noble. the company announcing it's going to split into two. of course it's going to be a while. these things take time. carl, over to you. >>> welcome to "squawk alley." what a day of news it has been. not just the downward revision to gdp. the supreme court killing aereo. google conference

hachette help on the yields fronts domestically. market mean a tighter going forward. internationally, they have had 15 months of this alliance with emirates, which has improved matters considerably. they say the yields continue to fall in the international unit, so that is an ongoing problem. they previously said that internationally they would be profitable in 2015 financial year, that is next year. now they are saying they will not meet that target. losingtional has been money for years, and they can't turn everything around the way they want to until they can stop that flow out of international. that is the real challenge facing alan joyce right now. >> we will take a look at the cost of conflict next, discussing the latest developments in iraq. the conflict in that country rumbles on. ♪ >> government troops advancing on to crit. tikrit. that's get more on the crisis in iraq with our next guest. he is from the university of melbourne. thank you for joining us. i will start off with this. you think the tide is turning ts? nst the insurgency ech >> you're probably mo

rowling so amazon will not allow pre-orders for hachette books.ny that helped fund the facebook movie "the social network" has signed partnerships in china and india. >> jefferies is our banker and we have been very lucky to have this incredible institution to work with and we work with all of them. we are on our pre-ipo roadshow right now, which means we are in the process of setting up the proper capital raise to go public. our goal is to have it happen somewhere, let's say, in the next 12 to 18 months. >> that his company news from the files of "bloomberg west." >> it is by our reports the most unloved bull market since time began. 999tech space approaches vibrations but is it different this time? no one better to talk to them john borthwick. social media and all that fits into new tech. more important is the things you have not invested in. what is the difference now than what we saw in 1999? 1999-2000through the error and i think this is very different. i think that the scope of the shift is taking place as we move from the desktop to the mob

>> why does hachette want to dig their heels in? publishing has been challenged. e-books are doing good for everybody. it is a growing area. everyone wants to make it better. amazon has been a big part of that. everyone wants a bigger piece of what they have. much at think it is as cultural issue as a business issue. each side wants more. it is a growing area. >> have authors chimed in? offers --n affect authors. it could affect author royalties. less,blisher takes home the author is going to get less. they are all sounding off. they have been up in arms about it. they have been upset about it. they are curious about why amazon is playing so hard with them. >> thank you so much. up, ralph lauren makes 100 times more than the average store manager does. we will take a look at a report that shows the pay gap between retailer ceos and their employees, plus bmw's first sports car in three years. it is faster than a prorsche 911. stay "in the loop." ♪ >> in brussels, president obama is meeting with g-7 leaders. the crisis in ukraine is taking the spotlight. hans nichol

. >> other publishers are hoping that hachette stays strong. >> steven is a powerful adversary to havelames incompetence and negligence for more than a decades' delay in recalling millions of faulty vehicles. 15 gm employees lost their jobs after the february recall. ceo mary barra called the findings brutally tough and deeply troubling. >> let me be clear. this should have never happened. it is unacceptable. we are better than this but we have to own this problem and we have to have the courage to deal with it in the right way. >> critics say the report lacks independence and credibility. the justice department is starting a criminal probe. congress will hold new hearings later this month. >> the miami heat couldn't take the heat as the nba finals opened in san antonio. the air conditioning shut down last night inside the arena. it got so hot, superstar lebron james could not even play. >> the heat was the story at game one of the nba finals. the actual heat in the arena. >> the air conditioning in the building has apparently malfunctioned. >> the sellout crowd fanning themselves as t

. >>> hachette books is buying merseus group.verage in a dispute with amazon. >> if washington today the white house weakened a draft of the fda's proposal to back the omb changed language detailing health risks from cigars and deleted restrictions that might have prevented ecigarettes sales. the public comment is opened until august 8th. we talked about this, in other news, amazon's drone delivery plans, they night be grounded. by the way from the moment they mentioned them . the faa did not mention amazon prime air by 2345i8. it was on earlier this year with jeff besos. they announced the federal register under graphic of what is barred, the agency mentioned the delivering of packages to people for a fee, not allowed. current regulations allow the use of drones for hobby and recreationalal purposes and there is the drone that amazon talked about and now may not be anywhere best. >> romney won. >> lost in '12k3w4r08 what were the top five, georgia, texas, utah? >> i'll find it. >> north carolina and what's the last one, was it v