icloud was not hacked but people's passwords were hacked.now, how do you make sure that does not happen to dropbox? drew: we have teams, account security teams of people who think about what can we do even if you are kind of sloppy with your passwords or reuse things, we try to proactively identify suspicious behavior. and things -- we go at it from a whole bunch of different angles. emily: how has your personal life changed now that you are rich and famous? [laughter] drew: i think people would be surprised. it is not -- it is not actually that different. i mean, i still spend most of my waking hours thinking about dropbox. emily: you have been on "silicon valley," an hbo hit show. drew: yes, i had a very important role -- just standing there at a cocktail party. [laughter] drew: it is fun. i think -- i look at all of this as kind of a new whole series of interesting experiences. emily: what is next for drew houston? drew: we have got a lot work to do. [laughter] emily: what do you want your place in silicon valley history to be? drew: well

you might use icloud to buy additional storage. you might use apple pay several days a week or every day. because it is so high, the likelihood that a person moves to another iphone is very great. >> the same thing with this service that you just mentioned. it seem like you're most excited about services. why not put it through this new device? >> could it come in services? yes. we bought company to help with services but kit come in other areas. we're fairly aquisitive. we haven't bought a very large company yet. he with generally acquire a company every three to four weeks on average. it is a rare month that there's not a company being bought. we typically buy for technology and really great people. we'll see. we're always looking. >> i don't want to beat the dead horse but the rap is that they're not innovating. we find ourselves wanting to buy the new iteration. you are a surprise company. it would be ridiculous to talk about the seven. there is no drama to intel. never any drama to hewlett-packard. how important is drama to yo

. >>> go into icloud settings and under photos turn on icloud photo library. take backs up online. next, download a secondary app. google photos is my favorite. it's amazing and totally free. it will organize your pictures for you. >> if you want to see all these instructions one more time, go to my website. >>> this is ktvu mornings on 2. >> good morning. thank you for joining us for mornings on 2. yes, it's friday. it's may 20th. i'm dave clark. >> good morning. i'm pam cook. time now is just about 6:30. >>> let's check in with steve. definitely cooler. >> no doubt about it, compared to 48 hours ago? >> yeah, right. >> 80s and 90s and now we have a lot of 60s and the breeze is cold. there are cool readings here this morning, mid-40s for some and i think it's going to be a rather chilly, blustery weekend. now, we get sun here, it will be sun and then clouds and a possibility of some scattered showers, better opportunity on saturday, though. 78 yesterday in santa rosa, 79 napa, 77 concord, 73 in san jose, except for santa rosa, that's sonoma county area. in th

as one of ceo's tim cook's top lieutenants he's responsible for the itunes store, the app store, icloud services and maps given cue's history, don't be surprised if you soo see him against the finals probably courtside rocking those sandals i don't know if you can tell in this picture with the same intensity as you might expect during an apple product launch. >> thank you so much. >>> be sure to show us your bay area finals pride. we received so many great photos and videos from faps and we want to see yours. post your warriors pictures with the hash tag dubs on 7. you might see them here on the air. >>> it looks like august hot out there. pretty warm and getting hotter still. >> meteorologist sandhya patel is in for spencer and has our accuweather forecast. >> dan and ama, temperatures are up today. we'll see more triple digits coming in later on this week. behind me, it is sparkling, the sun is out, it feels good, not too hot or cold here in san francisco. let bhe show you live doppler 7 hd. we'll take a look at where it's going to be toasty again. right now not near the coast. the fo

that is everything for music, icloud, sales on the app store.ing per quarter which they are, it's a big business for them. not as big as the itunes business. the hardware is where they make the money. emily: we will be watching in about a month. alex, think he so much. apple hascond time lost a battle for the use of the iphone trademark in china. a beijing court decided a little leather goods maker could use the label for its wallets and purses. apple failed to prove that the iphone was "a famous brand" across china before the small firm applied for the trademark in 2000 and. the company did not selling its smartphones until 2009. apple still has the trademark for the iphone name on mobile devices but not full ownership beyond that. coming up, cbs earnings beat expectations next to add sales. les moonves tells us how traditional advertising is standing up to digital, next. ♪ emily: cbs just posted first-quarter profits citing the super bowl and grammy awards as a catalyst in at sales. les moonves joined david weston on bloomberg go this morning.

you'll get an encrypted icloud. which is very good. on android your device is not encrypted by default unless you the latest version m. you to go into the menu and go to settings and security and encrypt your device. so we see that android users don't have encrypted devices and ios users basically do by default have encrypted devices. we see the brown and black folks tend to have these androids, so their devices are easy to grab, and they're not encrypted. then the iphones that we do see in communities of color are like the 5cs and the older iphones and they're the ones that are susceptible to this new hack that the fbi have in their back pocket. but not the latest and greatest most expensive iphones, which you tend to see less of in communities of color. this is more stuff about operating systems and ethnicities. another thing you see is sadly when you do encrypt your android phone, it slows down the performance of the phone. so you have this population that loves to use this type of device, but they're stuck with devices that are not

assemble the bundles that are compelling economically because you will get the music for free or the icloud storage for free, or reduces the up front price poom are paying, and that is the challenge for apple to create various sorts of bundles that resonate with the consumers. now, apple has the upgrade program today which is just an iphone that is financed and you pay $32 a month, and you can get a new iphone every year, but really, what we are seeing is an opportunity to dramatically broaden these set of offerings. >> interesting business idea, to toni, and we can play our own game of "shark tank" here sh, a you have presented the idea in front of kevin o'leary who is here, and he can assess it. >> what discount to the market multiple should i receive because you want the reinvent the company's business model, and it has a lot of risk and you are not the only person to suggest that the company has to make broad strokes of change to sustain the growth and be relevant, because it is starting to look like a consumer electronics company, so i feel that i should be getting a material discount

you know, if you get a subscription of video service within that you can sell other services, icloud,ll of that. you can see how it might be working. >> we all talk about netflix and amazon as great success stories of developing their own content. let's talk about yahoo!. it's hard to develop your own skill set. how do we think about it. is this that apple has $200 billion they don't what to do with or do they want to get into that business of creating their own? >> they want to create their own. it has some of the best content around. hbo is the unparalleled leader in premium. ""game of thrones" kws is the most watched tv show around. can you imagine what they would do if they untethered hbo from all its tv. >> and basketball. i think they'd get a lot of that. a lot of that live sports content that's so valuable. >> isn't bob iger on the board of disney for apple? presumably they want access to everything. >> the other thing, media without blocking control. walt disney company. if you're going to make a move, walt disney and -- >> thank you. it's going to be fascinating. >>> wells fa

happening right now as the company ibm in particular is moving from software and servicing to an icloud. so the new positions have to be people up to speed with what is happening in technology. what is happening right now on wall street, not really a rally, but all three of our big indexes, the dow, the nasdaq and s&p 500 are up. this is the opening bell from just about two hours ago. they are all up just a little bit as far as it goes this morning. >>> tribune publishing though, a lot of break-throughs there. interesting information. it is rejecting the latest bid from the company that owns "usa today." tribune owns the "los angeles times" and the "chicago tribune." gannett, which publishes "usa today" and 100 other local newspapers offered $15 a share for tribune. executives are tempted to turn things around at the company rather than accepting a takeover. but they have said this morning that they are possibly willing to discuss a deal with gannett. >>> chinese e-commerce site alibaba gave people a virtual experience over the weekend. they were able to go on virtual dates in celebrati

they backed spoo that, that wasn't the intent, but over and over again cook is talking about the icloud photo backup, music, just really looking at this device and thinking it's hardware. and that's a mistake, because the fees that you pay are not going to be unlike netflix, unlike costco, amazon prime and then apple fees. so the idea that there's no revenue generated from the ecosystem is going to prove wrong, app store. i think that's the way you want to look at it. if you look at it as a device company, you should sell it. the fact is what he's referring to as the buyback, look, we see it undervalued. if you see it as a hand set companies and get out before it hits 60, but he doesn't view it like that and he's got a lot of fire power and take the other side of the trade. >> cook went into some depth on this exact point on service revenue. take a listen to this. >> services now is the second largest revenue segment at apple. it was for last quarter, it was for the first half of the year as far as that goes. and so last quarter we were at 6 billion, up 20%. it's a fast growing. and you

they hack their icloud and then -- and then they hack their twitter and others. >> right. >> i don't know the details of this katy perry case. usually if a hacker is able to hack one e-mail, they can hack everything you've got. >> do you follow katy perry? >> you know, i don't. >> i don't either. >> i am now though. >> i'm going to right now. >> yeah, yeah. >> her password was teenage dream. >> dalton, i understand you think self-driving cars are going to get here way faster than everyone thinks. i want you to be right. i don't want to drive to work. want to be able to use my phone, read, et cetera. when is this going to happen? >> i think the real question is about the legality and the regulatory environment for self-driving cars. because i live out here i actually see self-driving cars on the road all the time. google has permission toe drive them around mountain view and also you sometimes see them around san francisco with the humans sitting in the see and they are self-driving cars and, you know, once you've pulled up behind a self-driving car and seen it in action you're able t

people are still switching over and they're using a lot of these services from apple like pay and icloudlatest addiction something that practically every single person owns and uses every day. we'll explain ahead. mary buys a little lamb. one of millions of orders on this company's servers. accessible by thousands of suppliers and employees globally. but with cyber threats on the rise, mary's data could be under attack. with the help of the at&t network, a network that senses and mitigates cyber threats, their critical data is safer than ever. giving them the agility to be open & secure. because no one knows & like at&t. hey kevin. hey, fancy seeing you here. uh, i live right over there actually. you've been to my place. no, i wasn't...oh look, you dropped something. it's your resume with a 20 dollar bill taped to it. that's weird. you want to work for ge too. hahaha, what? well we're always looking for developers who are up for big world changing challenges like making planes, trains and hospitals run better. why don't you check your new watch and tell me what time i should be there. oh