julia. thoughts on what this does longer term in terms of the brand and in terms of investor reaction? >> well, i think gene pointed out earlier that google does have a really top investor relations team. i think that google's going to have to let this down. just reacting on what happened with facebook on its first day of trading, it taints the bland and frustrate investors and concern them. i think there's going to be more attention over the long term in what's going on internally and with this mobile issue. this is an issue that's going to plague all of the internet stocks. it's going to be a challenge for zynga, groupon, any of these companies that are seeing the shift to mobile. >> thanks so much, everybody. we'll see you a little later. >>> we're going to take a short break. the ceo is here next with the reaction to the google mess if his company uses r donnelly. what's next? he's going to apply testosterone to his underarm. axiron, the only underarm treatment for low t, can restore tes

let's go to julia boorstin to broke the deal. julia. >> that's right, marimaria. disney is acquiring private lucas firm for $4 billion. i spoke to bob iger about why he wanted to make this deal. he said it really made sense considering the long-lasting relationship between george lucas and disney. disney does plan to release its "star wars" episode seven feature film in 2015. here's what bob iger had to spap. >> we expect this is only going to be slightly dilutive for the first two years. in year three, the year we release the star wars film. >> any other projections? >> well, this is a very exciting opportunity for us. again, there isn't anything like this out there, really. we're extremely excited about it. we're also honored to have the opportunity to continue george's great legacy. >> iger told me there's a massive outset here if licensing opportunitying. he said the consumer products is roughly the same as marvel's was when disney acquired marvel oalo for about $4 billion back in 2009. now, i have to point out, he's not just buying the star wars assets. they'

cnbc's julia boorstin has been listening in. julia? >> michelle, ma rarissa meyer saying yahoo!'top priority is mobile, creating a focused coherent mobile strategy which includes attracting a strong technical base of talent for mobile and also figuring out the best advertising solutions. saying that they have re newed their commitment to owning and displaying market share and make ads effective. she's doubling down on the mobile space saying yahoo! has simply not capitalized on. she's owning up to the fact yahoo! has fallen behind in mobile and wants to make the progress. the company says it is not going to give any guidance because the cfo who spoke on the conference call, his first day was today. but they will evaluate over the next quarter the best way to give guidance. we're now going to the q&a period. i'm going to continue to listen in. michelle michelle? >> thank you so much, julia, for the update. >>> so mobile strategy, i don't think any of us should be surprised, right, that's going to be one of the top priorities? >> that's not why you're buying yahoo! >> why are you b

is julia frink here? we have julia frink and then zachary marks. >>> thank you. my name is julia frink. i have been a resident of san francisco since 1994. i run a dog care service, here since 1999. and i'm very interested in this position because i would like my voice and the voice of my customers and people who i'm involved in and their dogs involved in my life to have a voice somewhere within the community, the dog community. i'm very passionate about taking care of dogs and animals, and there's been a lot of legislations that have passed recently or the big dog legislation. and i felt my voice was unheard. i could not get a response from my supervisor because my business is larger than many businesses. i'd like to be a voice for that, for larger services. many of the dog -- >> can you be specific about which dog legislation? >>> the one that's going into effect in january 2013. >> are you talking about the dog walkers? >>> yes, the dog walkers. i am a professional dog walker, dog care, i do other things, pet sitting, boarding as well. and i just felt that i h

>> reporter: in las vegas, just hanging out, julia good rich. >>> i applaud those athletes and julia and you, but i won't, up there. >> well, we would do not it for anyone but special olympics. they actually had some thunderstorms in the area. here locally, we can v cleared out with a cutoff low. we're looking out towards treasure island with the music festival that has been taking place all day long. we could evenly hear the music way over here on the other side of the bay if san francisco, because music is in the air. it will bottom out tonight upper 40s to the low 50s. this is going to stay to the north of us, as high pressure reestablishes its position over the western states. seasonal tomorrow with additional warming, which means as the 49ers kick off at 1:25 tomorrow against the champs, the new york giants, 66 degrees under sunny skies. meanwhile, you're forecast numbers are going up. this is the beginning of a warming trend. we're talking nearly 70 at the pumpkin festival in half moon bay. numbers back in the 80s east of the bay, 80 for print wood. we do have danville and blac

julia is live for us in london morning. hey, julia. >>> good morning. as you said, strong performance from facebook after trading yesterday, up over 12%. despite reporting a loss. the key focus was on the revenues an they beat expectations, jumping by around a third in the period, $150 million coming from mobile adverts. investors are demanding that facebook find alternative ways to boost growth. this stock has lost around half of its value since it listed just under six months ago. i'll stick with the tech sector, apple, the other big story. they launched their widely anticipated ipad mini yesterday. it's combined to complete with rival products with the likes of amazon and google. the price was the problem. that sent the stock down over 3%. it comes in at over $100 more expensive than those rival products. yes, apple has a large selection of apps, content but the question is does this pricing mean they have -- it allows their rivals to increase their market share? good news, though, apple enthusiasts, it will be on the market by christmas. >> julia ch

julia, like me, enjoys a good bit., so -- >> jimmy: there's nothing better than a good bit. >> i agree. because it's supposed to be a night of celebration, i'm happy to be there and the rest of it is just gravy. >> jimmy: i'll be honest. i, as you know, also lost on emmy night -- >> oh, that's right. >> jimmy: and i was planning to throw my parents out if i lost and i was hoping we would lose so i could throw them out of the theater, which was a weird position to be in, rooting against yourself. >> well, that is when julia won i was like, yes, i got to do my bit. maybe not the best -- >> jimmy: i think that is a good way of looking at it. >> yeah. >> jimmy: hey, tonight, with the presidential debate, did you watch any of it? >> no, i haven't yet. >> jimmy: okay, well -- what's it like when you are working on "saturday night live" and this happens? it's wednesday night -- >> right, so, this is -- when presidential debates happen, it's when i miss "snl" the most. because it used to be, you know, 40 comedy writers in a ro

and it was all julia's idea.ed me the day of the emmys and said, i have this idea, do you want to do it with me, i think you're going to win, i said, i think you're going to win, so, we decided if either one of us won, we would do the bit. >> jimmy: did you feel worried you were jinxing yourselves? >> well, you know, jimmy, when you lose seven times, you don't give a crap anymore. >> jimmy: is it possible that julia called every one of the other nominees and said, i think you're going to win, oh, i think you're going to win and prepared this with each one of them? >> no way. julia, like me, enjoys a good bit. >> jimmy: there's nothing better than a good bit. >> i agree. because it's supposed to be a night of celebration, i'm happy to be there and the rest of it is just gravy. >> jimmy: as you know, i also lost on emmy night and i was really, honestly, i was planning to throw my parents out if i lost and i was hoping we would lose so i could throw them out of the theater. which was a weird position to be in, rooti

julia is in madrid. >> thanks, beccy. expect to go well despite relatively chunky 4 billion euros at the top end. we will bring you all the latest after the break. >>> waiting on spain. ecb expected to hold steady on rates when central bankers meet today. the country's president tells cnbc that europe's policymakers must remain focused. >> about if we get bogged down discussion of what was hent by the june agreements and waste time on this kind of discussion, then it's much less likely that a company here represent system will emerge. >> madrid continues to put its faith in the hands of private investors. sfi nance minister heads to london. and the government gets set to take another swing at boosting it through foreign investments. >> we're looking at small declines. eibexle holding up relatively well. remember, we do have the ecb and the boe decision coming out a little bit later on today. so there will clearly be a reaction to anything we get out there. yields in spain, 5.86%. in addition to the ecb issue, there's also

thanks so much, julia. for those of you just catching up with us today, it was a rough day for the market. the dow posting the second 200-plus point drop in three days. are we poised for more losses, or is this a trading and buying opportunity with this market down 243 point? david and michael are both with me. good to see you guys. thank you very much for joining us. michael, let me kick this off for you since you were predicting a tough period for the marks. what's behind it, and how much longer does it endure? >> i don't think this has anything to do with earnings. if it did, then the 30-year treasury yield would not have dropped. the deteriorations i've been referencing would not have started after qe-3. this is the market wondering if easing is enough from the fed. as far as the length of time, it could spill over into november. i think you have to have some kind of a flush, let's call it, to get rid of all these, what i call, nuvo bulls who have been trying to chase the market up, missing the june low

. >> linda and julia. >> how did you overcome cancer?g prepares you for the word you have breast cancer. you feel like you have lost control of your body and you long for something that is -- that is good. exercise and specifically pilates was treatment for you. >> that is the course that you teach. what did you notice so special about julia that would help her persevere? >> she had a determination that she was going to beat this from the beginning. even on the days when she didn't feel good from treatments, she was still always there. she would hang in there no matter what. she has a positive attitude. that's the key, the attitude. >> positivity goes a long way. we are positive we are all going to take something out of this lesson today. you are going to demonstrate. let's look at video of pilates and how beneficial it is. >> steve, you want to jump in here? >> i'd love to. exercising releases endor fins into the brain. blood circulates into the muscles. it's a healing process. not only are you physically healing yourself, but mentally,

back over to you. >> great stuff, julia. thanks so much.ulia boorstin. >>> facebook ceo mark zuckerberg got dressed up to meet russian prime minister dmitry medvedev to boost the social media in russia. will the moves by zuckerberg and sandberg be enough to satisfy the critics who say facebook needs more seasoned leadership at the helm? nicholas carlson, a business insider, says both of them need to stay. good to see you guys. thanks for joining us. max, you say what facebook needs is a more structured team. why? why would you take out the founder of the term and have the leadership with someone who's sort of coming in from the outside? don't founders approach businesses a little differently than a hired hand? >> great to be with you, marie yea. they do. i wouldn't want to see this guy take a one-way trip around the barn. this person becomes a chief vision officer, chief innovation officer to allow him to do what he can do for the company as a goodwill ambassador. i think the clip you showed, taking him away from the ceo position, which see

she spoke exclusively to our own julia boorstin.oins us here live at post 9 with more on this. >> when i sat down with sheryl to discuss facebook's ad strategy, i had to ask the question on everyone's mind. what happened with the ipo and facebook's stock price, which is now off by more than 42% since it started trading in may. for the first time, sandberg weighed in on the ipo, the stock and what it means for the business. >> as mark said, we're obviously disappointed and really surprised by what happened in the ipo. this was certainly not how we planned it. the good news for us is that we're really focused product-driven company. so we're taking that energy and really focusing on proving to the world that we can continue to grow our business, continue to grow our users and their engagement and build a great company, not just for a quarter, but hopefully for decades and decades. >> but your ipo has been described as an utter debacle. whose fault was it? >> i'm going to let others go ahead and answer those questions and i know you ha

julia chatterley has been there and she joins us with all of the details. and i'll just point out, it seems the only agreement is who will accept the nobel prize. >> yeah, but there's not been an agreement on how many will actually turn up to accept that prize. so that remains an open question. we did agree there would be a legal framework in place, but merkel says even that getting in place is highly ambitious. no further talk about just which backs will be eligible to be recapitalized. so questions remain. merkel suggested that there would be differentiation between the banks. some would be directly overseen by the ecb, and some would be indirectly. so perhaps no prizes for guessing where the german savings banks will fall. but we also had discussion about the idea of a eurozone budget and it looks as though based on what germany was saying, this would be proper correct based. so a more broader stabilization than they envisioned. so perhaps a bit of negotiation going on between the german and the french there. i asked the swedish prime minister about his

this will start with julia brownley. following up on economics, with respect to the financial collapse of 2008, where have we made progress to prevent another collapse of a similar magnitude in the future? how vulnerable are we in the foreseeable future to another financial collapse? what would you propose we do in the house of representatives to minimize the chances of another one occurring? >> this question, for me, really defines my candidacy, and it is the center of what i believe our differences are in terms of values and visions for our country. i believe that we have come back in 2008, as you suggested, we faced the worst economic crisis we have ever faced since the great depression. everybody suffered. i believe the actions taken by president obama to have a stimulus program, to create jobs, to hold on to jobs. was the right approach to do. if we are looking forward, i believe we are looking forward to strengthening our economy and the covering our economy. the growth is slow. i believe we are on the right path.

julia boorstin joins us from california. hi, julia. >> hi, sue. well, it does seem to have figured mobile out. i'll tell you how ceo mark zuckerberg plans to turn facebook's biggest challenge into its biggest potential opportunity after the break. ♪ [ male announcer ] this is karen and jeremiah. they don't know it yet, but they're gonna fall in love, get married, have a couple of kids, [ children laughing ] move to the country, and live a long, happy life together where they almost never fight about money. [ dog barks ] because right after they get married, they'll find some retirement people who are paid on salary, not commission. they'll get straightforward guidance and be able to focus on other things, like each other, which isn't rocket science. it's just common sense. from td ameritrade. >>> the smasht genertock market is the best place to have money. >>> to technology now. what do you know? you actually can make money on mobile. check out shares of facebook. right now up $4 on the day. that's a 20% gain in that stock. the social media giant

plus a cnbc exclusive, julia boars sten catching up with sheryl sandberg. including just how many people put everything about themselves online. >> does it scare that you you've helped create a generation of oversharers? >> i think what we give is people the ability to share what they want. what is one person's ridiculous oversharing is another person's regular day and we build technology that lets users share what they want to share and that's tremendously exciting. >> julia will join us with more of that conversation coming up at 7:30. and we'll find out why craig barrett is not a facebook fan. and in sports news, yes, europe has retained the ryder cup. staging a comeback after the u.s. began sunday with a big lead. europe has won five of the last six matches. this was a heartbreak for anyone watching this. we'll talk more about that a little later this half hour. but first before we get to all of that, andrew has this morn g morning's other top stories. >> we have global data this morning and not all of it that great. eurozone manufacturing reporting its

julia boorstin with highlights next on yahoo! and she'll set the stage for marissa mayo erer speaking on the conference call and the heat is on. president and mitt romney running neck and neck ahead of tonight's final debate. i'll talk to senator john mccain coming up and ask him why energy policy in this country might be the biggest foreign policy issue in tonight's debate. >>> would you ever say no to a pile of free money? millions of americans are doing just that and you might be one of them. stay with us on this story. back in a moment. >>> welcome back. yahoo! up nearly 3% right now. stock higher an reporting better than expected earnings and better revenue as well. julia boorstin recapping the yahoo! quarter. >> those yahoo! shares are trading higher because the company reported significantly better than expected results. adjusted earnings per share came in at 35 cents. that's ten cents more than wall street expected. revenue grew 2% to $1.09 billion. there's more than 1% revenue growth wall street expected. driving that up

. >>> you guys probably remember the photos i showed you from julia. she documented her weight loss. lost half her body weight and created an art project called half, where she took nude photos of herself. well, people are looking at them and commenting on them, and they've become a sort of viral hit. full body shots of her showing the toll that losing weight has taken on her body. >> it's got people talking about weight-loss. >> definitely held nothing back. bared it all. >> tell us how she did it and why we have julia "right this minute" via skype. i guess i'm not the first person to ask you why, what i'm going to ask you is, do you feel brave for what you did? >> it all became really normal. taking control behind and in front of the camera, i'm at peace with it. i feel like it's out there and it is what it is. >> was this at all therapeutic for you? >> most definitely, yes, behind-the-scenes before anyone had seen them, talk to myself about what was going on, putting it out there and having people say, i went through this, too. you feel not alone. t

julia boorstin's got more on this story. julia. >> hi, melissa. i've been talking to various sources in the music industry. from what i understand, apple is continuing its talks with the music label to create a free ad-supported streaming service. michael was just telling me that the talks were ongoing. i reported on this stock in september. and they aren't far enough along for the service necessarily to launch in january. it sounds from my sources like the deals will probably be signed sometime in december before the holidays and that the service would probably launch no earlier than february. one source telling me that apple is looking to launch the streaming music service around the grammys in the first half of february, which would make sense. now, my sources are telling me that this would be a tree ad-supported service that apple would use as a way of driving people to buy music sales. because they're negotiating these individual deals, the service would actually be more similar to a spotify than a pandora. pa pandora is this traditional inte

. >> let me call a couple more names, benjamin, tim frank, julia sullivan, shawn mcgery, and jonathan yorba. >> good morning, commissions and san franciscans, it is my honor and joy to stand here before you today in support of this transit project, for one of the buildings will house our very own san francisco mexican museum, an unprecedented state of the art facility that will cement san francisco as a truly first-rate international cultural capital. >> thank you, can you tell us your name. >> my name is benjamin basciera. the shadows are connected to this project, especially the mexican museum, as my friend and i were discussed right now, the mayans and aztecs studied the sun in depth and understood shadows intensely, the mexican museum will house art work and artifacts that pay respect to these important shadows. now, i want to say a little bit about myself, i am born and raised here in san francisco, i am a product of the power of our diverse arts, for me, it was first graffiti art and then the mission murals that led me to the harmony of drawing for myself. currently, because of

. >> reporter: julia was having contracts at the medical center when the power went out and the back-up generator failed. her husband was getting something to eat. >> i walked to the cafeteria, blackout. >> reporter: he couldn't see the storm, but could hear it. >> the hurricane was battering the hospital. everything was shaking. i heard a crazy rushing of water sound coming off the fdr to first avenue and the hospital. the basement was flooded. the ground floor was flooded. >> reporter: back in the delivery room, julia was having powerf fuful contracts. >> they were 30 seconds apart. it was painful. >> it was insane. >> he struck in and helped doctors give his wife an epidural in the dark. >> i was holding a cell phone above her putting in the i.v. and epidural. >> the hospital evacuated julia and the other patients. >> they took her off the bed, got her on a sled and proceeded to slide her really slowly down eight flights of stairs. there was a lot of screaming going on. there were about six people with newborns, like a group of six people, an oxygen tank and other medical attachments

everyone was in the dark and julia is in severe pain. >> just closing my eyes, breathing, having positive thoughts. >> i was holding a cell phone above her while they were putting in the i.v. and epidural. >> reporter: with all of lower manhattan in the dark, the evacuation was all the more challenging. hundreds pitched in and it took them all night to get everyone out. hospital officials had discharged hundreds of patients last weekend in advance of the storm. officials are still investigating the cause of the generator failure. >> that's unbelievable. using the light of a cell phone to light the epidural. a member of the hospital's board there at nyu says the generators are not, quote, state-of-the-art saying they're now undergoing a $3 billion upgrade. still ahead on way too early, what are you doing up at this hour? and morning joe just moments away. jack, you're a little boring. boring. boring. [ jack ] after lauren broke up with me, i went to the citi private pass page and decided to be...not boring. that's how i met marilyn... giada... really good. yes! [ jack ] ...and alicia. ♪ th

melissa: julia, thanks so much for coming on the program. i hope you keep us up-to-date what is going on. it is a fascinating issue. it really cuts so many different ways. so hard to imagine someone seizing your property. i understand the need for the pipeline. it is fascinating. thanks for coming on. >> thank you, melissa. melissa: time to check the fuel gauge where we break down the biggest headlines affecting the energy industry and their impact on the economy. exxonmobil buying a major canadian gas driller. exxon's $2.6 billion purchase of celtic exploration is the largest since 2010. the deal will give exxon an expanded presence in canada a booming shale gas industry. everyone wants to be in shale. >>> ecuador judge allowing plaintiffs to seize $200 million of exxon assets. the plaintiffs won a $19 billion judgement against chevron last year over environmental damages. >>> bp is close to selling its 50% stake in a major russian venture. russian stayed owned giant rosneft is reportedly in talks to buy the stake. >>> oil prices held stead

let's check in with julia. she joins us with more on that. she has the rest of the business headlines, too. julia? >> good morning to you, barbara. stroks a waivering in and out of negative territory. now, they are all marginally lower. financials despite a pair of positive economic reports. right now, we have the dow and the nasdaq and s&p 500 down by a fraction of a percentage point. gep expanded at a 2% annual rate according to the commerce department. it's up from 1.3% growth. in other positive news, consumer sentiment rose in october. the reading was slightly below the preliminary reading and shy of expectations. on the earnings front, apple's outlook fell short of forecast and third quarter ipad sales disappointed. amazon reported their first quarterly net loss in more than five years. dragged down in part by the slowdown in europe. the dow component merck topped. for wrc, i'm julia. >> thanks so much. >> the whole movement -- meeting again and again in different lives. >> past, present and future collide. they run into each other in di

everyone was in dark, and julia in severe pain. >> just closing my eyes. >> i was holding a cell phoneve her while they were putting in the iv and epidural. >> reporter: with all of lower manhattan in the dark, the evacuation was that much more challenging. hundreds of staff pitched in and it took all night to get everyone out. they had discharged hundreds of patients last weekend in advance of the storm. officials are still investigating the cause of the generator failure. rehema ellis, nbc news, new york. >>> we'll be back in a moment with some coverage details for you from this devastating storm. hi, i just switched jobs, and i want to roll over my old 401(k) into a fidelity ira. man: okay, no problem. it's easy to get started; i can help you with the paperwork. um...this green line just appeared on my floor. yeah, that's fidelity helping you reach your financial goals. could you hold on a second? it's your money. roll over your old 401(k) into a fidelity ira and take control of your personal economy. this is going to be helpful. call or come in today. fidelity investments. turn her

jul jul julia boorstin live from l.a. >> the shareholder meeting happening behind me.he proposed directors were elected to the board. a motion to to have an independent chairman failed. that would mean ousting murdoch as chairman and ceo. the compensation plan was approved and motion to eliminate the two tier voting structure has failed. that of course does help the murdoch family maintain control. they own only about 12% of shares. but they control about 39% or 40% of the votes. murdochs also have the support of the prince who controls another percent of shares. but more dock would say all of his proposals were approved and all the moves to oust him were because of the performance ever the stock which is up nearly 50% over the past 12 months. rupert murdoch kicked off the meeting by acknowledging the mishaps and problems at the uk publications saying the company has proposed vehicle policies with oversight as well as more auditing and dratraining. he says more details about the management and the board of those two companies will be coming by the end of the year. and

julia gillard in twenty ten in which she called the release of u.s. diplomatic cables grossly irresponsible and illegal asuncion claims her comments actually authorized further attacks on him and weak leaks is currently holed up in ecuador's embassy in london to avoid being sent to read in the koreas on the extradition to the u.s. . congress ones are to blog to chinese telecom giant from entering the u.s. market over fears of espionage after eleven months of investigation it was ruled that a while away and z.t. you may be under state influence and should be barred from mergers and acquisitions in america companies deny helping china gather sensitive information of foreign countries and friends. but probably kill of fornier based firm as large as first supply fly do the international space station since the retirement of american space shuttles last year only russia has been able to send people and supplies to the i a says now space x. is also developing systems to send astronauts into orbit space if you're a g. expert brian weeden the adults that priv

julia was in labor, having contractions inside that nshg hospital that went dark, lost power when theesperate for an epidural in the darkness, a husband held a cell phone light as nurses went to work. >> so, i was standing, one of those flip phones, and i was holding it above her while she was putting in the iv and making sure there was enough light for the doctors behind her. >> reporter: they were rushed out of the hospital, taken away in an ambulance. when they said they were headed to mt. sinai hospital, he said, how do you get there? part of a tree came crashing down on the ambulance. they got there, and 40 minutes later, baby micah was born. so, how is micah? >> oh, he's beautiful. he's awesome. >> reporter: there are so many families like them, touched by the kindness, the bravery of others. >> there's no words i have to thank them. >> reporter: this mom and dad and their baby, just six hours old, were also carried out of that darkened hospital. >> pretty amazing. saw them just dripping with sweat and carrying women that couldn't walk down the stairs. >> reporter: you were the

with the league's editor julia songes set to go to court to australian prime minister the australian prime minister for defamation he says is based on comments made by julia giladi in two thousand and ten who described the whistleblowing science release of u.s. diplomatic cables as quote grossly irresponsible and illegal as are claims her comments actually authorized further attacks on him and wiki leaks of course he's currently holed up in ecuador's embassy in london to avoid being sent to sweden and for years on the road extradition to the us. for there is a touch of good to see you today natasha we're talking all about the nord stream project of finally being completed here what so what's changed since the first pipeline was launched well basically. you're saying now is the launch of the second pipeline of the north stream project is that ships gas to here the second link laid on the bottom of the baltic sea will double north seems overall annual capacity to fifty five billion cubic meters are to me to measure that income has all that entails. gas indeed has started flowing throug

they did see daily active users, the number of people playing grew 10%. >> julia. thank you so much. some huge movers in the after hours trading session. also ahead, aisle talk with raymond james financial ceo. he's speaking with us before jumping on the analyst call. keep it here to find out how things are going in his world. then facebook shares posting the biggest daily gain ever. i'll talk with dan niles on the back half of this show about why he's gone from shorting the stock to believing that he is seeing a bottom in the stock and covering that short. back in a moment. >>> welcome back. zynga just one of the many companies making big moves in the after hours. let's get back to jackie deangelis. >> a slew of companies reporting after the bell today. zynga the big names investors have been watching, especially after facebook's positive results yesterday. let's review the numbers. third quarter eps was flat, but that was right in line with expectations. the revenues, $317 million. that was higher than the $256 million expectation. after last quarter's disappoint

back over to you. >> julia, stick around. we're going to talk more about this. and probe whether this is a game changer for microsoft. spencer ante is bureau chief for the "wall street journal." welcome. do you think this really can take a real viable chunk out of apple's commanding share in this business? >> i think it has the potential to be a game changer for microsoft with a heavy dose of skepticism. microsoft has tried to get into this market for a long time, they've been very unsuccessful. now they're coming out with a very bold and aggressive offer to not only take on apple and am done but start-ups in this market in streaming, spotify and pandora. it shows you how important mobile is to the future of the company. it's almost like they're using the pc as a trojan horse to try to establish a compelling service on their mobile systems where they really need to grow. >> spencer, do you think apple should be taking notice of this? microsoft has had trouble with this particular part of the market before, so what makes it different this time, and should apple r