for "nightly business report," i'm julia boorstin inos angeles. >>> before we go, here's another look at the day's final numbers from wall street. the dow rose 269. the nasdaq up 101. the s&p 500 added 31. i th "nightly business report" tonight. i'm sue herera. >> i'ml bilgriffeth. have a great evening, everybody, 'll see you tomorrow. woman: this is "bbc world news america." is made possible by... the freeman foundation; by judy and peter blum-kovler foundation, rsuing solutions for america's neglected needs; and by contributions to this pbs station from viewers likyou. thank you. laura: this is "bbc world newsw americ"

for "nightly business report", i'm julia boorstin in los angeles. >>> time for ourke weekly m monitoree names in the financial ser swriss indust -- services industry they like because they have pricing power. we welcome dev cantasaria.an for joining us tonight. welcome. >> thanks for having me. >> we start withair isaac, t famousker symbol, fico. they do credit reports and things. $50 five years ago, $350 today. do you think there still more growth to go i guess? we do. the company has a virtual monopoly on conser credit scores, mortgages, auto loans, credit cards, and, you know, over the last couple of years they instituted special price increases. last year it was rtgages, this year it is auto loans and they will roll it out to other areas in fheure. they also instituted general price increases every year above the rate of. inflati they still represent a very small portion of the overall credit decisio amount. so we think there's plenty of room to grow on pricing for thin co >> and then the second one is moody's. a lot of the charts look similar as it happens. it has had great growt

julia boorstin has the details. >> reporter: the big four media networks, cbs, abc, nbc universal andfiling suit against a free video streaming service called low cast for failing t pay n transmission fees or obt permission to do so. low cast is an internet-based service, whichns you can watch local stations through a web browser or your mobe phone app instead of having an antenna in your home. this comes five years after the supreme court shut down a similar service, ario, saying its tv streams violated copyright laws. unlike areo though, low cast is a nonprofit so founder david good friend says copyright laws protect its service. >> the provision of the copyright act we are using was designed t make sure a nonprofit could boost the availability of that over-the-air signal.. that's all we the only thing that's different is we do it locally on the internet. by locally i mean you have to be inside the local market in order to get our service. >> but the mediarg giants aue that low cast is doing mor than just that, saying it strips out nielsen's ability to calculate ratings and that it

julia boorstin has more. >> reporter: peloton isn't just aboutnd technology fitness. saying ints filing to go public that it is, quote, a media company that creates engaging to the point of addictive original programming. the fitness company, which sells bikes and treadmills and charges a monthly fee for digital access to classes, says the rise of streaming media is a consumer trend working in its favor, the company citing the dramatic growth of streaming music and video services such at netflix and spotify over the past six years. the music as much as peloton instructors make the service compelling. >> when people work out part of wh they're looking for i not just sweat, but they want an experience. at the end of the day if you're not able to give users the type of content they're looking for e to make theerience good, whether it is a coach, an instructor or a video or even if ic is just m you're not going to win them over long term. >>eporter: but being a med company has the down side. the company cites reliance on licensed music in videos as a ey risk factor to pot

julia boorstin has the takeaway for investors. >> reporter: this quarter disney's lower than expectednd bottom line results reflect the impact of the company's transformaon as it integrates its fox acquisition and ast invests to build its streaming business. ceo bob igor saying the results, quote, reflectively integrate the fox asset to enhance and advance our strategic transformation. but it was the disappointment of "dark phoenix" which dragged on the studio's top and bottom line results. as the company gets ready to launch disney plus, its direct to consumer and int division reporting a larger loss than anticipated. now iger says they have all of the pieces in place. they are positioned as well as they launch disy plusn rydition of original and lib content from fox will only further strengthen our direct-to-consumer offerings. for "nightly business report", i'm julia boorstin in burbank, california. >>> major drug distributors offer to settle opioid lawsuits. that's where we begin tonight's market focus. bloomberg reports they are looking to pay $10 billion to settle claims that th

for "nightly business report", i'm julia boorstin in los angeles. >>> "the new york times" sees a risebscriptions and that's where we begin tonight's market focus. the company reported mixed results,areatingngs expectations but missing on revenue. "the mes" says it is making strides in its digital subscriptions but expects what it says is a challenging second half of the year with its digital advertising unit. sharese fell m than 12% to 3125. cvs topped estimates thanks to an increase in same-store sales, rescription drug sales and its recent acquisition of the insurer aetna. the company all raised its full-year outlook. the stock rose more than 7% to 5812. cvs rival walgreens will shut down about00 stores or 3% of its u.s. locations as part of its plan to cut costs. the company says it will deliver annual savings of more than $1.5 billion by 2022. the stock was up 2% to 5248. drug developer cambrix struck a o be acquired by premiere of funds for more than $2 billion. they say under the agreement the shareholders will receive $60 in cash for each share. teambrick surged. pharmaceutical

for more i'm joined by sara fisher media reporter at axios and sar-- julia boorstin. >> i think they want to tip toe the line in one sense they want it to be eligible for awards that's why you need to have it in the theatric cal release. >> that matters. it helps you build talent. it helps you build a brand and helps you establish yourself in hollywood with getting major studio production deals. but in the other sense, it does financially benefit you to just go to your streaming service it's helping you get and accrue more subscribers so that's why you are seeing these limited releases it's their way of together that line. >> julia, disney has gotten glowing remarks with that dis filaunch coming up it really couldn't be going better for them at this stage. >> reporter: there is anticipation going into the disney launch. they showed us teasers, trailers for some of their new content. there is a lot of excitement about that a lot of questions whether that may cause people to cancel their netflix services. what disney has when it comes to new content is must-see content from these big b

julia boorstin has the latest there.ening >> facebook shares moving to fresh session lows and a "wall street journal" report that the ftc is is examining whether facebook brought companies to yutallize rivals facebook disclosed last week the ftc had been conducting an antitrust investigation. the investigation is is reportedly focussing on the acquisition practices, looking at purchases of instagram, which was acquired for $1 billion and what's app the question is whether mark zuckerberg purchased these companies to e prevent them from challenging facebook sources say facebook is likely to argue these companies were able the scale as quickly as they did because of facebook's ownership. we've reached out to both facebook and the ftc they have no comment back to you. >> this is separate from the matter they settled over privacy a couple of weeks ago and takes it off in a different direction. >> exactly yes, so we reported a couple of months ago that the ftc was looking into whether they would be investigating facebook from

julia boorstin is in los angeles with the details julia?porter: a source close to the situation tells me that instagram is internally testing a new app it's calling threads it was first reported by the verge. threads is designed for messaging or sharing photos or videos with your close friends on instagram it's effectively kind of like a spin-off of instagram's direct messaging service. using the closed friends list feature which instagram introduced last november a key feature of this new app is that users will be able to automatically share their status with close friends such as if they're busy, working, watching tv, or they can even use gps to share their general location or their speed, to show you're on the move though my source tells me they wouldn't share your exact location, because of privacy concerns now, this is a perfect example of the new focus that mark zuckerberg announced in march, shifting away from getting users to share to lots of people in their news feed towards getting people to message with just their closest friends

other after hour movers today, pintrest and square on the move after reportingresults julia boorstinstanding by on pintrest, but let's begin with josh lipton with square's quarter. >> reporter: i checked in with john over at jeffreys. some reasons include the gross payment volume, growth decelerating, expense is higher so the take rate margins were higher q3 guidance was weaker than expected some big news here, square announced door dash has agreed to buy caviar, its food-ordering platform for 410 million, a mix of cash and door dash preferred stock. remember, square paid 44 million for it back in 2014. jack dorsey talking about the decision right off the top of the call take a listen. >> to increase our focus we decided to sell our caviar business to door dash. this enables us to focus on serving restaurant and food sellers through a platform approach, specifically our orders api and square for restaurants. door dash was an obvious choice for us because of our preexisting partnership through orders api and cash up both companies have an alignment of interests to strengthen our partn

let's get over to julia boorstin for a market flash on lionsgate. >> shares plummeting down over 8% on a report in the information that comcast plans to drop starz which is owned by lionsgate. and if it falls through, that would eliminate about one-third of starz u.s. subscribers. comcast is the parent company of nbc universal. we see lions gate shares down nearly 9%. i reached out to comcast they have no comment as of yet i have reached out to lions gate and have not heard back from them comcast shares trading pretty much flat. >> that's a biggie julia boorstin >>> coming up, from the hardwood to the hard courts, technology and analytics are all the rage in sports these days hopefully he'll fare better with the racket than he did with the basketball "the exchange" is back in two. at fidelity, we believe your money should always be working harder. that's why, your cash automatically goes into a money market fund when you open a new account. and fidelity's rate is higher than e-trade's, td ameritrade's, even 10 times more than schwab's. plus only fidelity has zero account fees and zero

julia boorstin >>> how many candidates on the democratic side?ut whittling down. >> still counting. >> so that's a huge -- >> and a mayor. >> a lot of spenting. >> and it worked in the last election everybody is saying if you do the digital ad spending, it works. i think facebook gets a tail wind from it the name in the social that i like that looks like it wants to break out is the twitter machine, twtr. that's the one you buy on a breakout. >> i think facebook is just -- their core business is working so, i mean, you are seeing ecommerce. you are seeing actually leading commercial usage, instagram finally starting to pay dividends. i think if you are going to make the election kind of tail wind argument for facebook, you have to make it for twitter twitter will be the greatest beneficiary starting to see growth that is more interesting. >> if it is a tail wind for these guys, is it a tail wind for traditional media? >> it has to be. they say it is a boon for traditional media. the problem is that media is caught up in the bullseye of cord cutti

we'll go straight to julia boorstin with the details. >> reporter: melissa, in his comments on the call, disney ceo bob igor stressing that the lower than expected results on the quarter are results of the big changes he implemented at the company, both fox's acquisition and disney's pivot to embrace the direct to consumer business they're investing in right now igor just announced consumers will be able to subscribe to a bundle of their services for $12.99, they will get hulu, espn and disney plus, worth noting it is the same cost as netflix. take a listen to his comment here. >> our results reflect our efforts to integrate the assets, businesses and talent we acquired in order to enhance and advance our strategic transformation implementation of the integration plan is well under way. a complex process given the magnitude of the endeavor, and we remain confident in our ability to successfully execute our strategy >> reporter: cfo christine mccarthy saying that the acquisition of 21st century fox and taking control of hulu will have a dilutive impact on the fiscal first quarter of abou

julia boorstin has more from l.a. julia? >> reporter: jon, that's right social as well as video game stocks dropping on president trump calling on them to step up efforts to prevent mass shooting shootings. >> we must shine a light on the dark recesses of the internet and stop mass murders before they start the internet, likewise, is used for human trafficking, illegal drug distribution, and so many other heinous crimes the perils of the internet and social media cannot be ignored and they will not be ignore. >> the president says he's directing the department of justice to work with social media companies to develop tools to identify shooters before they strike social stocks are down more than the dow and s&p, which are both down nearly 2% we see twitter down over 5%. facebook, off a bit more than 3% snap, 3.7. and alphabet parent company of youtube down nearly 3% now, trump also criticized video game makers, saying that we must stop the glorification of violence, including with gruesome and grisly video games. take 2 inter

julia boorstin has the details from los angeles for us tonight. lia. >> reporter: scott, despite concerns that pintrest, snap and twitter were going to hit a wall, all three of those companies this quarter showing that to the contrary they have room to run, revving up growth of users and revenue pintrest shares soaring after beating expectations across the board, growing the company's overall user base 30% in the past year and even in the saturated u.s. market pintrest grew users 13% and raised guidance for the rest of the year the company is saying its investment in making it easier to shop and enabling brands to measure how they're ads are driving purchases is paying off. and it is not just pintrest. snap and twitter in their quarterly results focused on how their improvements for both users and advertisers are yielding results which have boosted all three of those stocks over the past year. snap with its new augmented reality tools gains an expanded content offers twitter cleaned up spam off the platform and made it easier to foll facebook's reg

julia boorstin sat down with bob iger last night and joins us now with more from that conversation. >: bog ieber telling me this quarter's results reflect the costs of the company's transformation as it integrates fox and prepares to launch disney plus with cord cutting continuing to weigh on disney's media networks business as well as the paid tv providers such as at&t, i asked iger how concerned he is about projections that cord cutting will only accelerate >> are we concerned about cord cutting, yes, that's been an important business for us, but it's the reason why we're going into this other space, why we're pivoting strategically to give us an opportunity now to contend with the transformation that's going on in the traditional space, but to thrive in basically complete different market police -- under different marketplace conditions. >> with disney plus entering a very crowded market with apple tv launching this fall, then hbo max and nbc universal's streaming services launching next year, i asked iger if he sees the need for more acquisitions either in content or in more inter

julia boorstin with the details. >> twitter ceo jack dorsey's feed appears to have been hacked with aen or so offensive and racist tweets september out from the account in the last half hour and seem to be disappearing right now. twitter's pr chief saying, yes, jack's account compromised and investigating what happened. this does come after dorsey's been focused over the past year on improving what he calls the health of the platform, removing spam and offensive continent and using two factor authentication and worth commenting on the companies including the president that use twitter so we'll have to see how the company responds to this issue back over to you. >> feels like they jumped on it fairly quickly as things like this go. >> as i watched the tweets continue to come in after spotting the first couple it seems like they could have acted faster this is an organization that's designed to try to identify and shut down spam and offensive continent and coming to the ceo he has millions of followers and think they would be able to shut it down faster than they did. >> so the answer t

julia boorstin with a preview and expectations i'd say, julia, are pretty high. >> that's right, sarahing to watch here for disney is how much growing revenue from disney's parks division as well as its movie studio help outweigh the growing costs of building disney's new streaming direct to consumer business. with the stock up 27% so far this year, analysts are protecting the company will grow its revenue 41% in its fiscal third quarter on gains from the studio box office dominance we've seen as well as demand for its theme parks. but earnings per share are projected to decline 6.5% from disney's investments in its streaming services among some tough comps among other things back over to you. >> julia, great stuff. we look forward to those numbers. we're also going to get wynn. >> the focus on wynn re sorts will be macaw. acrackdown on one of the biggest junkets there putting pressure and the vip segment in particular consensus is that earnings will fall for wynn resorts 5.9% to $1.44 a share. revenues will decline to $1.6 billion. the ceo matt maddux will field questions about what'

julia boorstin is in los angeles with more on that. julia?well, morgan, for quarters now, we've been talking about concerns that pinterest, twitter, and snap were all hitting a wall when it came to their user growth. but now all three of those companies have reported that they're revving up both growth of users and of revenue as tweaks they're making to their platforms are showing positive results. now, pinterest up over 20% today after beating expectations across the board, showing a 13% user growth, even in the more saturated u.s. market, as well as raising its guidance. the company says its investment and making it easier to shop and enabeling brands to allow how their brands driving purchases are paying off along with pinterest, snap, and twitter have also been talking about how improvements to their platforms are yielding results and boosting their stocks. snap with its new augmented reality tools, games, and expanded content offerings twitter cleaning up spam off the platform and making it easier to follow conversations and pinterest an

julia boorstin is in los angeles with a live look hi, julia. >> that's right. look at those shares up. been called the arm as dealer in streaming wars and is benefitting from all these ry rivals as they cut the cord. the company accelerating revenue growth topping 30 million accounts and growing average revenue per user, $2 in the quarter to over $21. now here is why roku is cashing in first the more people cut the cord and look to access new apps, the more opportunity there is to still their technology already the number one streaming technology provider powering 41 million over the top streaming devices and smart tvs in the u.s. second, new services will advertise to koiconvince peopleo subscribe and if they sign up through roku, it gets a cut of 20 to 30%. roku takes a bigger cut of advertising generaled from its channel which streams free, meaning ad supported tv, movies and news now the more people watch, the more data they have to target asked to them which makes those ads more valuable. now with all these different pieces in place, analysts say they see

>> we'll see if it's a longer term trend guys, appreciate it very much, sarah fisher and julia boorstin. and that does it for "the exchange" today. i'll go join mellissa for "power lunch" which begins now. >> here's what's new at 2:00 on "power lunch" stocks are up check out the bond warning of the yield curve that remains inverted the fallout is looking to settle after johnson & johnson paid up. and a shaq atech, hall of famer shaquille o'neill, he's in the house. he will be here to talk about his gig investment and all his business ventures and a little nba action, of course, "power lunch" starts right now. [ music playing we mentioned that the markets are in the green today take a look at the picture right now, the s&p 500 up 15 we're just about 30 important off the session lows the nasdaq adding 20 on the sex. all three, by the way, on track to snap four week losing streak. kelly? >> mellissa, thanks august has been the rough month for the marks, the s&p down more than 3% what needs to happen bob pisani is looking for the roadmap for the bulls. maybe we needer it to be september. >>

hits at the box office, lion king, captain marvel but they came up short on earnings and revenue julia boorstin is here -- i mean, julia, there were anecdotes about indian cricket and the star wars theme parks here what's going on? >> reporter: kelly, there were a number of different factors. one of the main factors going on disney's bottom line is higher than expected costs from building out its streaming services but ceo bob iger told me that the company is putting together all the right pieces to adapt to a cord-cutting environment and to compete in the streaming wars they plan to bundle together disneylus, espn plus along with hulu with ads for $12.99. that's a $5 discount which iger says will help achieve scale and that's not just about subscription revenue but also helping to grow revenue from hulu's ads >> did they themselves say that -- i read about the theme parks. >> it was like, well, people thought star wars would be too crowded so they didn't go. >> well, so, kelly, they took all of these steps to prevent the new star wars land which is called galaxy's star war's edge in anaheim bu

they unveiled new parks, and announced a partnership with a major retailer julia boorstin back from vacation the ground running. she's got details for us now >> well, bill, that's absolutely right. disney is applying the same blockbuster approach to streaming as it has to successfully dominate the box office with big budgets and big brands for its disney plus streaming service that could really help it break out from the streaming clutter. now, disney debuting a trailer for star wars series the mand alorian, drawing over 13 million views on youtube in two days it's 1 of eight new shows that will be launching with disney plus on november 12th. they also debuted a new trailer for star wars the rise of sky walker which is hitting theaters in december, reminding fans disney plus will be the exclusive streaming home of all of the studio's upcoming movies as well as library titles including on the day of disney plus's launch, captain marvel. they did announce more details about what will be ncluded in disney plus. the standard $7 plan or the bundle, along with hulu and espn plus that will cost $13

julia boorstin has the story from l.a. >> reporter: jon, there were some megahit movies, but the boxice is down about 9% from last summer, leaving a high bar to close the gap with last year's record box office performance. this fall there are three key things to watch. first, disney is expected to continue to dominate the box off after drawing 36% of -- with five of the six top movies of the year coming up it as "frozen 2," "maleficent," and "star wars." they're continuing to build on the franchise successes. netflix will put ten of its movies on the big screens "the irishman" and "the king. and also trying to use the films to draw more subscribers to its service. these films will be on the big screen for a limited release, less than a monthbefore they'r available for streaming. also just in a handful of theaters, more of the independent theaters avnet flicks failed to secure deals with the big theater chains such as amc and cinemark. the industry is warricking very care there's to see films which are not part of a big established franchise will succeed in bringing brought audiences,

has sent shares soaring joining us is the vice president and analyst at media securities and julia boorstin will disney benefit from the cord-cutting trend have they insulated themselves sufficiently >> tyler, disney has already suffered from the cord-cutting trending if we look at the impact of cord cutting at its media networks division, which includes espn. the question to ask now is whether disney is the best positioned of the media giants to benefit from shifting consumer habits. that means that will disney's direct-to-consumer streaming services be the best positioned of all of these different services entering the market because disney does have this direct relationship with consumers and does have these franchises that are so compelling, dominating the box office if disney can get just a percentage of the people who go out to see its movies to subscribe to its streaming service, it will definitely be well positioned for this next phase. >> how has their over the top espn thing done? >> it's still early days and we hope to hear more about espn plus when the company reports after the

this is still a great company and iger, i think julia boorstin was saying he's extended multiple times will he continue to extend most likely. so i think he's the right guy for the job. >> 150 is the price target that moffett nathanson reiterates along with their buy rating. >> if it got to 150, i'd be out. i mean, i am looking at 150 as well i think that's a level it can get to but given where it is right now on this pullback, that's the better opportunity to buy some if it got that high i'd absolutely get out >> the content push and investment to get the content for direct to consumer streaming is really interesting. and we talk a lot about disney versus netflix what we heard from bob iger was quality over quantity. and i think this is a really important point. netflix is catering to a different audience than disney especially if we're talking about their bundle disney plus, hulu and espn if i think about netflix and how you have to generate that constant stream of content for your adult audience compared to the disney audience. i have a 4-year-old. she does not need to see a differe

julia boorstin with the results on that one. julia?> pinterest shares soaring in after hours trading now up about 12% after beating expectations across the board revenue $261 million, higher than expectations. monthly active users growing faster than expected growing 30% year over year to 300 million users. there's 8 million more than the consensus expectations and a loss of 6 cents a share. that number isn't comparable of the company's loss of $26 million does compare to expectations of a $39 million loss so the loss smaller than expected and pinterest raising its revenue and earnings guidance for the full year both to above the consensus expectations this as the company delivers international growth as well as double digit percentage growth here in the u.s. and growing its advertiser base as well as the advertisers to spend more. back over to you >> julia, thank you. etsy also out moments ago. courtney reagan has those numbers for us >>> so we have the stock going lower for etsy after hours down by just about 2% that is well off the

julia boorstin has that. >> they're announcing they'll explore the possibility of splitting off the interestsmatch group and angi homeservices they did beat expectation, and it follows match, sending shares up about 24% today, also lifting iat shares, right now you see iac shares of. >>> back over to you, don't miss joey levin tomorrow "squawk box," 6:40 a.m >>> stocks staged a make comback today. bob, let's start with you. >> we were down 589 points just before 10:00 a.m. eastern time we came back almost to flat. this is one of the best comebacks in years, certainly this year, but this month hag awful. generally a huge disparity between the nontrade-related names and trade-related names. just in the last five trading session this months, unrelated names less economically sensitive, consumer staples, more trade-related names, energy, financials, technology, industrial names when you get a 9% sweep, that is an enormous move guys, back to you. >> bob, thanks the nasdaq outperforming bertha coombs has the details. >> apple was definitely the big catalyst it's still down for the week, the damage

. >>> disney unveiling much more about the streaming service strategy at the annual event julia boorstinh the details. >> reporter: disney showcased the big brands and big budget shows it hopes to draw subscribers to disney plus like its new trailer for the "star wars" spin-off it's up to seven user profiles and four streams at the same time and include streaming in 4k and hd to compare with netflix it charges $16 for 4k and 4 streams. unlike netflix, though, disney plans to release the new episodes of the originals weekly rath ethan dropping them all at once less opportunity to binge on disney plus. back the you. >> having a good day in the market thank you, julia. >>> up next, speaking with energy secretary perry and former citigroup ceo and chairman weill of an initiative to boostmeca ari's standing in the world of artificial intelligence, next do you have concerns about mild memory loss related to aging? prevagen is the number one pharmacist-recommended memory support brand. you can find it in the vitamin aisle in stores everywhere. prevagen. healthier brain. better life. >>> the dep

julia boorstin has them for us. >> cbs beating on the top and bottom line reporting earnings per sharef $1.16 revenues also coming in better than expected at $3.81 billion, that's $100 million more than analysts' projections. the ceo does not give us any new specific numbers about those streaming services, but he does say that cbs all access and showtime continue to perform strongly, helping fuel a 13% increase in affiliate an subscription fee revenue also saying they're on track to reach 25 million subscribers by 2022 also reporting that advertising grew 7% and they have continued mow mea momentum cbs shares unchanged in after-hours trading. back to you. >>> we've got another earnings alert on drop box. deirdre bosa has those results for us as well >> hey, guys, this is a beat on the top and bottom line. we've got $402 million on 10 cents per share adjusted, so that is coming in above expectations you saw a little pop from the stock but now trading around flat this is another quarter of decelerating revenue growth, paying users $13.6 million compared with $13.2 million last quarter. h

. >> contessa, thank you let's go to julia boorstin with what we can watch for disney results. >> saraect disney to grow its revenue over 40% that would be on the strength of its theme parks with its shift to demand-based pricing as well as its studio division which has been dominating the box office investors will be looking for more details in the coming launch of disney plus and how streaming will compensate for cord-cutting losses. we can also hear some questions about disney's investments in china. it was four years ago that ceo bob iger warned that espn is facing big cord cutting challenges the stock dropped by 26% after that warning before rallying over 50% and now the stock is trading closer to an all-time high guys, though, it was down over 2% today back over to you >> julia, thank you. talk about one of the of the dow this year. top three is disney. >> and down 2.4% today is also outperforming. yeah it's obviously not where the real damage was done today >> what are you going to watch tomorrow >> i think everybody becomes a little best a tactician when it comes to these thing

bob iger addressed cord cutting with julia boorstin. >> are we concerned about cord cutting? yes, that's an important business for us. but it is the reason why we're going into this other space, why we're pivoting strategically to give us an opportunity now and contend with the transformation that is going on in the traditional space, but to thrive and basically completely different marketplace, under different marketplace conditions. >> julia will join us in the next hour with more from that interview. of course, going into the quarter, i had heard from other investors, the concern was, well, maybe things on the cord cutting front, espn in terms of subs worsen. that was not the problem the problem was things like the fox studio, which in the conference call, mr. iger said suffered from the long period of -- >> 2017, who was there >> lack of decision-making so the fox studio. also not as well attended as they had thought for the "star wars" attraction >> it was kind of like yogi berra. so crowded that nobody goes there. >> exactly people stayed away because they were worried

both beating expectations in their earnings yesterday but still no word on the expected merger julia boorstin>> andrew, that's right. neither cbs or viacom would comment. instead the two companies focused on their strength in the changing media landscape joe ianello saying cbs all access and their showtime app said the two apps are on track to reach 25 million subscribers by 2022. cbs all access is adding children's programming with the library over 1,000 episodes plus new original series and they are accelerating their launch of cbs and local news streaming services the viacom ceo talking about domestic ad revenue returning to growth and their studio pair mounting is on track to deliver full year profitability. he admitted the pricing of disney plus is competitive but viacom aims to play in all parts of the streaming wars as well as offering ad-supported pluto the two sides are aligned on leadership of the new back backish would be the ceo with ianello overseeing the cbs assets but the companies are still working out the final financial details. andrew. >> thank you joining us for more on th

and cnbc's julia boorstin in los angeles.with you. 8chan has been linked to the shootings in new zealand, in california cloudflare is going to go public they took the stance to get out in front of the issue. are you expecting more companies to do the same >> well, i think there's going to be this growing conversation, melissa, about what do you do about this kind of content on the internet that incites violence the ceo of cloudflare posted a rather long blog post explaining why they were no longer going to be supporting 8chan which pulled it down from the internet. this ceo cloudflare noted they did the same thing with another offensive website, the daily stormer when they saw the daily stormer was posting equally offensive content. the problem is the daily stormer found another home companies will continue to support this kind of violent content or content that incites violence the question is what kind of regulation needs to come in. we've seen australia and other countries really try to take action around this, but here in

their shares are dropping after reporting than lower than expected earnings in revenue and julia boorstinn with bob iger in an exclusive interview. >> good morning. well, with the disney results dragged down in part by the fox assets, i asked bob iger if integrating the $81 billion fox deal was harder than he had anticipated. >> no, it's not more challenging, more costly i think the only thing i have to say there is clearly the results of some of the businesses, notably the studio were disappointing to us. i don't know if you consider that more costly i guess that would be the right way to put it. but no, we knew that in buying the assets which are global in nature and large, significant in nature, that it would be complex in terms of integration. more so than any of the acquisitions that we've made but we were -- we were undaunted by it. >> and another area where iger appears undaunted is the streaming wars he announced a bundle of hulu with adds, espn plus and disney plus will cost $12.99. he said that discount will help all three achieve scale. >> first of all, in the hulu front, the b