it's aimed at exactly the same market as its competitors. >> when ibm started developing the ibm pc itan operating system. this young guy named bill gates had started a tiny little company called microsoft. >> bill gates was that unusual combination of a tech guy who was as good as the best tech guys but he also had a business sense. and he had a business vision. >> at the time, everyone was making it up as they went along. there was nothing that came before it. there was no personal computer industry. so when gates said to ibm how about this, we'll write you an operating system for your pc and we will get a cut of every machine you sell, and in addition, he made sure that it was not an exclusive license, that he was going to be able to sell this software to ibm but he was also going to be able to sell the same software to the other people because gates intuited that there were going to be people who would build knock offs of ibm, the pc clones. >> it was a genius move on the part of the bill gates who was still in his early 20s when he makes this decision. you've got these guys at ibm

as the ibm headquarters.gre modeling this ai and u.s. in seen the commercials where watson is talking to bob dylan and other celebrities. they are trying to be cool, i guess. lisa: i thought it was interesting, you asked ginni her political position in this election which is incredibly polarized. meg whitman, a republican candidate at one point, coming out for hillary clinton. do you think there's a chance she will change review and take a stand? max: i doubt it. she was definitive. i asked her who she was going to vote for in 2016 and she says ibm works with all leaders. they are a global company and have to get along with everybody. i think if she were to endorse it would be a big thing come just as another prominent business leader getting into the fray. but i think it is very unlikely. she brought up result was saying that ibm had been there 400 years and worked with everybody and brazil is an especial mass. if they are not willing to weigh in there it is hard to see how she would weigh in on our election

from its all time high in 2013, you may want to look to the next catalyst for ibm.hat's going to be their earnings. in october and you could just buy a call. the options are very cheap like i just said. so when the stock was about 163 today, you could buy the october 160 call, hang about $6.50. 4% of the underlying price. the fact that is in the money. the stock goes x dividend on monday morning. i'm trying to pick a near the -- i'm in the money, but a near participation on the upside and if i get the stock moving well into say the mid to high 60s, then i can look to spread it and reduce cost, but i have 2%, break even on this thing. i know i'm risking about 4% of the stock price, but if there is any action or fundamental improvement, the stock is going to be above 170 and if you want to look at this gap here, this is between 180 and 190. that's where it's going if there's any good news. >> do you like this trade or would you reduce costs earlier on? >> i like the trade. the options, it seems like it's really expensive, but this is $165 stock, so compare the price o

one of the thing i wanted to take a quick look at ibm.look at this thing it's up 18% on the year. it's massively outperforming the s&p 500. it has a 3.5 dividend yield here. and investors are starting to price in earning and sales for the thing. looks like support here. this is the 7-year chart. it is interesting. looks like it may possibly earlier this year a pretty epic double bottom. here's the problem. it broke out above that down trend here. to me this mooup move makes a lot of risk to taking upon i think they're going to make an acquisition of do some sort of split or something like that. that's why i thing you want to look right here. this is implied volatility. is hitting a 52 week low. if you look out a couple of months. it's 17ish%. option prices are cheap. if you think that tech is going to carry some of these long-term laggards with it, still down 25% from the all-time high in 2013. you may want to look to the next catalyst for i brandon moss that's goi ibm. the options are very cheap like i said. the stock was about 163 today

. >> i know you made a deal with ibm. and a lot of viewers said this has to be a big endorsement. >> we've been partners with ibm for many years, and we're deepening the partnership. we're just deepening that commitment to their cloud solutions. we think they're very strong, focussed on development and testing. and ibm has also made a stronger capital management suite, bringing it to better than 350,000 employees now. so it's the culmination of a growing partnership. we still will continue to work with other cloud providers, but ibm is clearly a strategic provider, i would expect another down the road. >> one that size of ibm that we might hear from? oracle, we like to talk about turning off the oxygen to workday, and i always like to give workday a chance to say why that's not true. any winds from oracle, any business up in the air that could have gone to workday that you can mention? >> i would just talk about oracle and s.a.p. together. different quarters, they bump up and down, and this quarter was we continue to beat

she brought up are so saying ibm have been there for 100 years and he worked with everybody and so isind of like in a special mess and if they are not willing to weigh in there, it is hard to see how she would weigh in in our own election. lisa: i was struck by this feeling as i read your fantastic interview about how she kind of use ibm is the grown-up company, any good way, not in a sort of pejorative way, but and she said people from google and facebook want to have an impact on serious things. what are the serious things? max: it's an interesting spin because i.b.m. is still building these back office things for like delta airlines but the point of view she is saying is you could work at google and work on an app or move jet planes around. that's interesting pitch. the other thing, this cognitive computing platform, if it plays out it could be bigger than siri. her view is siri and alexa and these kind of natural language processors are not that impressive compared to what they have cooking. although what they have cooking is not yet in very many consumer products. lisa: there are

. >>> ibm has signed a deal with work day. they are expected to tap into ibm's cloud computing services to create new programs. shares of ibm fell seven cents and work day shares rose to 83.65. >>> profit nearly tripled at cisco. they said lower food costs helped drive profit as well as sales higher in the latest quarter. separately after the bell on friday, the hedge fund trion hedge management upped its shares. >>> shares of time inc. revealed that hedge fund januarion partners bought 5%. and aig will part ways with its mortgage insurance business. they will sell the division to arch capital for $3.5 billion. the deal, which is not guaranteed to close, could nevertheless be finalized this week. aig shares rose marginally on the news to $59.22. >>> a hotel operator that runs a number of popular brands says its payment processing system has been breached. the ati hotels and resorts which includes hyatt, sheraton, marriott and western says it may have impacted 20 in ten states and the district of columbia. malware was installed

an interesting move for ibm.k day announcing a 7 year deal to use ibm's cloud for testing and developing. something they had been using amazon for. this comes after reports that ibm was losing ground in competitors like microsoft and amazon. it possibly shows that ibm is is willing to cut deals to get cloud business from major players. we're in the stage now whether i'm talking to oracle or microsoft where they want to move beyond into getting these larger enterprise players to run their production business in the cloud. who are these folks signing up for significant deals that will be significant workloads overtime. that's why you saw microsoft and ge talking about the ability for ge's critics platform to run on microsoft. there could be business coming in from that that amazon now tends to get but we'll see. >> i notice sales force, one of the worst performers today. it's not related to the work day deal is it? >> i wouldn't think so. sales force not in the infrastructure game. it's more on the application side

that's why so many innovators are on the ibm cloud.ke refinery 29, with nearly a billion views a year. or runkeeper, a training app used by over 50 million runners. or game developers whose popularity depends on launching new updates fast. helping to keep a company's success uncomplicated - that's what the ibm cloud is built for. [announcer] is it a force of success unnature?ated - or a sales event? the summer of audi sales event is here. get up to a $5,000 bonus on select audi models. your business needs better technology to drive better performance. so you need it to be reliable and fast. really fast. introducing the comcast business summer savings event. fast internet speed to drive performance, plus cutting edge wifi for your employees and customers, and voice mobility so your calls find you wherever you are. get some of our most advanced products at a great price with over $500 in savings. call today and ask how to get these savings plus a $250 prepaid card. comcast business. built for business. >>> welcome back to "power lunch."

giant ibm, that saved her life. researchers at tokyo university's medical science institute are conducting clinical studies with ibm. they want to see how watson can learn about cancer and diagnose the disease. >> translator: it stores data on over 25 million medical papers as well as over 15 million drug patents. it has information on the mechanisms of life. >> reporter: there are different types of leukemia, each requiring different treatment. doctors at the university used a super computer to analyze the alteration of the genes. in just ten minutes, watson concluded that she had secondary leukemia, and it proposed that doctors use a different anti-cancer drug. >> translator: i believe only artificial intelligence can present related data and reasons behind a diagnosis with that speed. >> reporter: yamashita responded well to the new treatment and was discharged from hospital. >> translator: the help of artificial intelligence in addition to the doctors' treatments doubles my sense of assurance. >> reporter: docto

we are joined ibm associate editor of the hill newspaper -- be associate editor of the hill newspaper. a lot depends on timing. some people would argue that it is more effective to run them at this time they later in the campaign when the market is almost saturated with advertisements. nonetheless, there has been a gradual increase in negative campaigning and whether that leads to a law of diminishing returns is an interesting question and one that strategists differ in terms of their answer. >> one step further, you talk about a virtuous circle when it comes to the advertisements and the impact they have on polls and his coverage. -- news coverage. >> this was made by one strategist i spoke with. his argument was that it advertisements are perceived to begin to work, he was referring to north carolina. it has been a republican leaning state. hillary clinton is competitive and perhaps leading. the strategist argument leads to increased interest for democrats and makes it easier to recruit volunteers for cams. -- campaigns. may even boost fundraising. advertisements lead to the sense o

that's what the ibm cloud is built for. terry bradshaw? what a surprise! you know what else is a surprise? shingles. and how it can hit you out of nowhere. i know. i had it. c'mon let's sit down and talk about it. and did you know that one in three people will get shingles? (all) no. that's why i'm reminding people if you had chickenpox then the shingles virus is already inside you. (all) oooh. who's had chickenpox? scoot over. and look that nasty rash can pop up anywhere . talk to your doctor or pharmacist. about a vaccine that can help prevent shingles. with my moderate to severe ulcerative colitis, the possibility of a flare was almost always on my mind. thinking about what to avoid, where to go... and how to deal with my uc. to me, that was normal. until i talked to my doctor. she told me that humira helps people like me get uc under control and keep it under control can lower your ability to fight infections, including tuberculosis. serious, sometimes fatal infections and cancers, including lymphoma, have happened; as have blood, liver, and nervous sy

amazon, yahoo, ibm, and ross stores. susan, over to you. >> here's what else we're watching this hour. we're seeing a huge rally in the energy markets with brent and wti both up more than 4% right now. mortgage rates edging higher for a fourth straight week. freddie mac says the average rate on a 30-year fixed mortgage now standing at 3.45%, and team usa continuing to lead the medal count at the rio games with a 32 total so far. 11 of those are gold. >> and the dual in the pool tonight. lochte and phelps will swim it off one last time. let's take a look now at warren, michigan. a live look in there. any moment now, hillary clinton expected to give a big speech on the economy. a rebuttal, as it were, to mr. trump's speech of monday. you will see it here live as soon as she begins. in the meantime, let's go to cnbc's john harwood in washington with what we can expect to hear. hi, john. >> well, you're right. she's going to lay out her vision for the economy in michigan. but we don't expect new policy. we do expect her to g

that's what the ibm cloud is built for. now businesses can get more out of their data. hi mom. grandma! oh! joey run and get a cookie, ok? let me see it today. this is what it can be like to have shingles. a painful blistering rash. oh! mom. one in three people will get shingles in their lifetime. grandma, want to play? maybe later sweetie. talk to your doctor or pharmacist today about a vaccine that can help prevent shingles. with my moderate to severe ulcerative colitis, the possibility of a flare was almost always on my mind. thinking about what to avoid, where to go... and how to deal with my uc. to me, that was normal. she told me that humira helps people like me get uc under control and keep it under control when certain medications haven't worked well enough. humira can lower your ability to fight infections, including tuberculosis. serious, sometimes fatal infections and cancers, including lymphoma, have happened; as have blood, liver, and nervous system problems, serious allergic reactions, and new or worsening heart failure. before treatment, get tested for tb. tell y

today it's their mobile app running on the ibm cloud. the hybrid cloud helps their data move quickly and securely. our clients are building out features and pushing updates faster, on five continents. with the ibm cloud, they can move at the speed of any start-up. announcer: are your children in the right car seat for their age and size? it may be too late to check when you're on the road. [blaring car horn and skidding] fortunately, you're on the couch. your business needs better technology to drive better performance. so you need it to be reliable and fast. really fast. introducing the comcast business summer savings event. fast internet speed to drive performance, plus cutting edge wifi for your employees and customers, and voice mobility so your calls find you wherever you are. get some of our most advanced products at a great price with over $500 in savings. call today and ask how to get these savings plus a $250 prepaid card. comcast business. built for business. >>> we are getting breaking numbers here on nat gas inventories. jack

because that's what the ibm cloud is built for. edgeworld. university counts on centurylink to keep their global campus connected. and why a pro football team chose us to deliver fiber-enabled broadband to more than 65,000 fans. and why a leading car brand counts on us to keep their dealer network streamlined and nimble. businesses count on communication, and communication counts on centurylink. everyone talks about what happens when you turn sixty-five. but, really, it's what you do before that counts. see, medicare doesn't cover everything. only about eighty percent of part b medical costs. the rest is on you. consider an aarp medicare supplement insurance plan insured by unitedhealthcare insurance company. like all standardized medicare supplement insurance plans, it could really save you in out-of-pocket medical costs. so, call now and request this free decision guide. discover how an aarp medicare supplement plan could go long™ for you. do you want to choose your doctors? avoid networks? what about referrals? all plans like th

that's what the ibm cloud is built for.ow businesses can get more out of their data. so i can take my trading platform wherever i go. you know that thinkorswim seamlessly syncs across all your devices. the market's hot. sync your platform on any device with thinkorswim. only at td ameritrade. >>> all right. the mad dash coming up. what do we got, about 7 minutes before the opening bell. want to talk about your buddy jeremy stoppelman. you can't be stoppled. >> i like it when good guys win. he has lan eny, the cfo, long-time internet analyst, a fabulous guy, put together an amazing quarter. it had accelerating revenue growth. a true turn quarter the mobile app, 23 million people working what i would emphasize, this is a new term you heard this quarter, point of intent. you want to be the company that has the at the point of intent on your mobile what you might want to do. what the advertisers want. tremendous for the health and service industry, not just restaurants, broadened their target market, loved now, at least by the

the ibm cloud has tools s watson. working with watson in the ibm cloud, we can help an energy company predict pipeline corrosion. and help a start-up to use social data to predict market trends. now businesses can get more out of their data. that's what the ibm cloud is built for. this is lulu, our newest dog. mom didn't want another dog. she said it's too much work. lulu's hair just floats. uhh help me! (doorbell) mom, check this out. wow. swiffer sweeper, and dusters. this is what i'm talking about. look at that. sticks to this better than it sticks to lulu. that's your hair lulu! mom, can we have another dog? (laughing) trap and lock up to 4x more dirt, an unprecedented natural outburst sover the country.n we'll bring you more as soon as new updates come in. this house was literally invaded minutes after the mom came back from a grocery run. with a cow. a what ? we have a situation. everything alright in there ? witnesses say this is where it all started, okay guys. we're comimg in now. copy that. all natural, non

that's what the ibm cloud is built for. in vests and as a vested investor in vests, i invest with e*trade, where investors can investigate and invest in vests... or not in vests. sign up at etrade.com and get up to six hundred dollars. what powers the digital world? communication. like centurylink's broadband network that gives 35,000 fans a cutting edge game experience. or the network that keeps a leading hotel chain's guests connected at work, and at play. or the it platform that powers millions of ecards every day for one of the largest greeting card companies. businesses count on communication, and communication counts on centurylink. everyone thought i was crazy to open a hotel here. everyone said it's so hard to be a musician, but i can't imagine doing anything else. now that the train makes it easier to get here, the neighborhood is really changing. i'm always hopping on the train, running all over portland. i have to go wherever the work is. trains with innovative siemens technology help keep cities moving, so neigh

today it's thr mobile app running on the ibm cloud. across every transtion, thhybrid cloud helps their data move quickly and securely. ouclients e building out features and pushinupdates faster, on five contts. with the ibm cloud, ey can move at the spd of any startp. with the ibm cloud, keeping the power lines clear,my job to protect public safety, while also protecting the environment. the natural world is a beautiful thing, the work that we do helps us protect it. public education is definitely a big part of our job, to teach our customers about the best type of trees to plant around the power lines. we want to keep the power on for our customers. we want to keep our community safe. this is our community, this is where we live. we need to make sure that we have a beautiful place for our children to live. together, we're building a better california. the biotech agreed to a buyout from pfizer. a leader in fighting cancer and ends a long-running bidding battle for the biotech company. pfizer down by a third of a percent. now what? >>

that's what the ibm cloud is built for.he right car seat for their age and size? it may be too late to check when you're on the road. [blaring car horn and skidding] fortunately, you're on the couch. report." sue herera has the headlines. >> happening at this hour, kurdish rebels detonated a car bomb in southeast turkey killing two police officers a and young child. 25 more wounded. the explosion tore a large crater in the highway while a three-story building appeared to have been gutted by the blast. >>> a federal appeals court rejected bill cosby's efforts to reseal court documents whose contents helped restart the sexual assault cases he now faces. the court said resealing the documents would not provide cosby with any meaningful relief concluding his appeal was moot. >>> hotels in ten states and the district of columbia may have been hit by hackers. hotel rater hei hotels and resorts says malware was put in place in 20 locations instruding starwood, marriott, weston and hyatt hotels. >>> researchers at virginia tech say

today it's their mobile app running on the ibm cloud.oss every transaction, the hybrid cloud helps their data move quickly and securely. our clients are building out features and pushing updates faster, on five continents. with the ibm cloud, they can move at the speed of any start-up. with the ibm cloud, wiback like it could used to? neutrogena hydro boost water gel. with hyaluronic acid it plumps skin cells with intense hydration and locks it in. for supple, hydrated skin. hydro boost. from neutrogena bp drilling teams train in virtual reality simulators in here, so we're better prepared for any situation out there. because safety is never being satisfied. and always working to be better. >>> i'm afraid the election is going to be rigged, i have to be honest. november 8th, we have to be careful. that election will be rigged. people are going to walk in, they're going to vote ten times maybe. >> of course the elections will not be rigged. what does that mean? if mr. trump is up 10 or 15 points on election day and ends up losing, then, y

so he went back to his office at ibm to do some work. >> now there were several things about that storywhy would you wait 45 minutes for someone and not pick up your phone and give them a call and say, hey -- >> reporter: what's up? >> what's up? did you forget? >> reporter: but what seemed really strange was that mark porter had just admitted to going to the house the night of the murders with a story that just didn't ring true. why drive across town if he wasn't all that concerned about his friend missing dinner? >> so he drives a few miles across town to go knock on the door when his office is across the street, when it doesn't appear that gary is showing up. >> reporter: so he puts himself at the house, sort of a benign explanation. >> yes. >> reporter: inside the interview room the detectives decided it was time for a break. >> give me a couple seconds. i'll go back there and see if there's anything else. can i get you anything, coke are water? >> reporter: trying to make sense of it all including this bit of information. gary's brother had told police that not long ago mark asked