jason: and i'm jason kelly. we are here inside bloomberg headquarters in new york. carol: this week, turkey launches a major offensive in syria, and president trump says the united states will not stand in the way. the surprise announcement heard around the world, and the not so surprising winner in all of this. jason: plus, vaping closer to home. how juul took on big tobacco and is caught in the middle of a huge public health crisis. carol: and aramco's mega ipo is finally set to go. jason: first, here is joel webber on this week's issue and the cover story, tesla and the complicated ethics of autopilot. joel: that's right. we all like the idea of driverless cars. it seems like the future, right? but how do we get there? basically, tesla is in the middle of this grand experiment with autopilot, which is viewed viewed as a stepping stone to driverless cars. but there is this big ethical dilemma. this cover story is an ethics course of how do we get there? tesla is already doing this in real time with autopilot,

i am jason kelly. carol: and i'm carol massar. n listen to us on the radio, sirius xm channel 119 and a.m. 1130 in new york, 1061 in boston, washington, dc. jason: and in london, on dab digital, and the bloomberg business app. a big shakeup in the world of online stock trading. commissions are at the largest brokerage houses, going to zero. carol: that is a big hit to revenue, but these companies have other ways to make money. here's mike regan. mike: it has been trending towards zero. when you think back to the 70's it cost $200 to trade a stock. it is mind-boggling today. schwab came in -- there was regulation change in the 1970's which ended this fixed price commissions and allowed brokerages to set their own commissions. schwab said i am going to cut mine. i will cut that she said i will cut mine to $70, and the discount brokerage era was born. computers took over in the 90's, and it chiseled away at the fees. it was like $13 to trade on schwab in 2005. less than five dollars recently. new startups were coming in. robin hood al

i'm jason kelly. carol: i'm carol massar. n listen to us on the radio in new york, one of 6.1 in boston, 91 fm and washington, d.c. jason: a.m. 960 in the bay area, on london in dab digital radio, and on the bloomberg radio app. carol: we caught up with delta, and it's been outperforming its peers and doing deals. we'll hear from him in a moment. jason: let's hear from someone who will talk to us about one region were delta was doing great, and now may need to make moves. kailey: and delta is making moves, $2.25 billion investment, the biggest carrier in latin america. take a look at how delta has performed. it is a higher growth area and at one point earlier, it's all double-digit sales growth. but the pace has slowed to one put 5% year on year in 2018. now the deal may make delta the largest carrier in south america, replacing them to capitalize on higher growth and see sales growth start to improve. carol: and expand their growth. thank you. delta is among the world's biggest airlines and has invested to strengthen those ti

i'm jason kelly. carol: and i'm carol massar.bloomberg businessweek" every day on the radio starting at 2:00 p.m. wall street time. you can catch up on our daily show by listening to our podcast on apple podcast, soundcloud, and at bloomberg.com. jason: and you can also find us online at businessweek.com, as well as through our mobile app. carol: we turn to a businessweek debrief. andrea illy is leading the s grandfather 86 years ago in italy. jason: what a history. well, he wants to double illycaffe's revenue in 10 years, but do it sustainably. he sat down with "bloomberg" editor joel weber in london. >> all business more or less starts with family. it depends on if you stay family or you go public. you typically go public one day, either because the family wants to withdraw or because you need to raise liquidity, or something went wrong in the company has been sold. so, i think that the family is good at managing the business. we can preserve control of the company forever, possibly. with 10e businesses different generations st

i am jason kelly. the us every radio at 2:00 wall street time. you can catch up on our daily show checking out our podcast. jason: you can find us online at business week.com and the mobile app. carol: to the economics section, the question of recession, when will it arrive and how bad will it be? jason: there are signs this long expansion may is starting to lose steam. economists are not seeing the fundamental indicators that predict the downturn. carol: it seems to be all about sentiment. we spoke to our editor about what makes this different. >> from history we know they are triggered by a spike in inflation followed by a spike in interest rates. oft causes and unwinding either economic successes or financial excesses. , thetime inflation is low fed is cutting and we don't see any bubbles, stock prices don't seem to be out of sync considering late -- rates are still low. why is there so much talk about recession? as we joked around, it is geopolitics, stupid. it is an external shock that is self-ind

am jason: i'm jason kelly. we're inside bloomberg's headquarters in new york. carol: we look at president trump and what it may mean for the 2020 election. jason: how the company's culture caused it to stumble. carol: keeps climbing. jason: first up, a private equity takeover of the finance section. carol: i enjoyed it and learned a lot. it is this week's cover story. bloomberg businessweek editor joel weber joint is now. -- joins us now. private equity touches us in so many ways. joel: we couldn't keep listening to jason go on and on. when we got together about the different ways private equity touches us, we realize there was a bigger story here, which was in the last decade, since the financial crisis, nobody won this decade as much as private equity. jason: now we've got questions and that's how this story shaped up. you posed them to a lot of us in the newsroom. joel we realized there was a lot of different places we want to go. the fact d.c. has carried interest. so far, that's bit untouchable. if things change in d.c., we might see that change. carol: we

jason: i'm jason kelly. we're inside bloomberg's headquarters in new york. at president trump and what it may mean for the 2020 election. jason: how the company's culture caused it to stumble. carol: keeps climbing. jason: first up, a private

jason: and i'm jason kelly. we are here inside bloomberg headquarters in new york.this week, turkey launches a major offensive in syria, and president trump says the united states will not stand in the way. the surprise announcement heard around the world, and the not so surprising winner in all of this. jason: plus, vaping closer to home. how juul took on big tobacco and is caught in the middle of a

jason: i'm jason kelly and we are

bloomberg businessweek anchor jason kelly is in the studio with aries manager cofounder and ceo michaelti. jason: michael arougheti is with me, as guy said he has 140 2 billion give or take in assets. what is the feel in the world right now? guys in europe, recessionary fears right that -- right now, brexit is a fear on the rise in -- not on the horizon, right in front of us. got back from an european off-site last week. surprisingly optimistic over there. i think for a while, everybody looked at the u.s. as the hot head of uncertainty. you had a safe haven where people were bringing capital. but when you look across europe and the markets that we play in, we are still finding ample things to invest in in the real estate market, the private markets are healthy. i think some of it is the central bank is very accommodative. people feel there is an ecb put which is allowing people to be more active with the economic backdrop. jason: brexit's a pacific -- brexit, specifically, and you get into investment committee, how do you model that out? 12 years ago when we set the business up, we saw

he spoke with jason kelly and carol massar about what went ipo.work's delayed >> in one word, corporate greed. i think the key thing is whenever we give someone money, and give them your trust, it is a fundamental thing that people don't appreciate. when investors -- forget about investors, your friends or your parents or uncles give you money, they give you their trust. when you take that money, you have a responsibility. you have a responsibility to live by the trust they give you. i think often time, we saw that he corporate executives don't appreciate the trust that investors give to them. the gross we saw negligence of that trust. carol: you are talking about adam neumann. >> yes, and corporate greed is to a level that i haven't seen since 1999, 2000. carol: what about the role of softbank in this, and what about the role of investment bankers when they try to take it public and all of these issues came out? the responsibility of investment bankers? softbank as ank investor, you have to make two decisions. you have to analyze the investment a

he spoke exclusively with jason kelly. i think everyone looked at the u.s.tbed of uncertainty, not a safe haven bringing and capital. but when you look across markets, we're still finding ample things to invest in, real estate markets. the central bank is very accommodative. people feel there's an easy be put, which is allowing people -- ecb put, which is allowing people to be active. jason: talk about the credit market out there. how are companies feeling, given some of this macro uncertainty? >> there's a huge dichotomy in the world because markets crave certainty and we don't have a lot of it. we can look at what's happened in the economy. fundamentals in the u.s. economy, very strong. but a bifurcation between the manufacturing sector and service sector, health of the consumer relative to the lack of health in the manufacturing community. generally, the folks that we talked to are optimistic, cautiously. balance sheets are strong and healthy. revenues are up. profits are up. but we're starting to talk ourselves into a slowdown and see a shift in sentimen

with me are jason kelly, annie massa, and our other guest. black rock increasingly catering to this shift toward private markets. how is blackrock positioning itself? >> even the black rock is an indexing giant, they have moved toward investment. one cornerstone of that has been their attempt to raise this long-term private capital fund which they are targeting $12 billion in fundraising for. lisa: how successful have they been? >> as of april, only $2.75 billion committed. they have a long way to go before they reach that goal, but they announce their first investment over the fall. lisa: erik schatzker recently sat down with the black rock head of equities. take a listen. >> i think we may see companies stay private for longer as a result of the availability of that capital, as a result of the ,ost of being a public issuer some of theof transparency. that was erik schatzker talking about the shift toward private, which brings me to kkr. the firm has raised more than $2 billion to invest in tech companies as they expand beyond the megadeals

jason: and i'm jason kelly. we are here inside bloomberg headquarters in new york.eek, turkey launches a major offensive in syria, and president trump says the united states will not stand in the way. the surprise announcement heard around the world, and the not so surprising winner in all of this.

he spoke exclusively with jason kelly. >> i think for a while, everyone looked at the u.s.ed yet a safe haven where people were bringing in capital. but when you look across europe in markets that we play in, we are still finding ample things to invest in, real estate markets are healthy. some of it is the central bank is very accommodative. i think people feel there's an ecb put, which is allowing people to be a little more active, given the economic backdrop we are dealing with. jason: talk about the credit market out there. how are companies feeling, given some of this macro uncertainty? michael: there is this huge dichotomy right now in the world, because markets crave certainty and we don't have a lot of it right now. we can look at what's happened in the economy. fundamentals in the u.s. economy, very strong. but a bifurcation between the manufacturing sector and service sector, questions about the health of the consumer relative to the lack of health in the manufacturing community. so generally, the folks that we talked to are optimistic, cautiously. balance sheets a

here to debate that, advisory board member jason meiser and kelly heiman. you. if you're a democrat and you're in a place like wisconsin, maybe michigan, pennsylvania, this could be dangs russ in some -- dangerous in some ways. >> i think it's going to infeweinfuriate moderate democrd independents. you saw this with the russia collusion hoax which backfired. two years of investigation, $45 million later, and they have nothing to prove for it. you saw what they did with kavanaugh and now you see this ukrainian call which was perfect. there is absolutely nothing wrong with this phone call. in fact, the president has an obligation to route out corruption all around the world and he did a perfect job in that phone call. rob: i suspect you don't think it was a perfect phone call. i want to get your response as to what you think the members that are in these dangerous districts should do with this. >> absolutely. good morning. yes, i absolutely totally disagree with what he just said. first off, it was not a perfect call. let's look at the transcript with trump an

jason: i'm jason kelly. we're inside bloomberg's headquarters in new york. at president trump and what it may mean for the 2020 election. jason: how the company's culture caused it to stumble. carol: keeps climbing. jason: first up, a private