julia boorstin. netflix shares up by 8.6% and dan, we were chatting earlier and i thought this was a very good point. it is interesting how much of a beat it is on subs. how volatile that number can be from quarter to quarter. >> yeah, and digging into the numbers and listening to julia talk about 40% of the new ads coming from ad-supported, that is the change in the story. think about when they introduced that ad tier, it was very near the low end of the stock. after the stock went from $700 all the way down to, what, $165 or something like that, that was in the throes of the selloff in 2022. they introduced this tier, i think we spent a lot of time talking about it, analysts, investors, is that it? and a lot of folks said they were never going to do it. think about this. ten years on, they were a 32% growth margin company in 2014 and now they're expected to be 42 1/2 this year. and think about what high margin that business is, and they're basically capturing a lot of those folks who were not payin

. >>> julia boorstin is joining us now. lia, what do we know about what i'm reading here about the ftc apparently going to scrutinize these big tech ai deals a little more closely? >> that's exactly right. ftc chair lina khan announcing she's launching a market inquiry to the investments and partnerships formed between ai developers and the cloud service providers. we have to note this is not an investigation. this is a study or a market inquiry that could then be used potentially as a grounds for future investigations, but not currently an investigation this names microsoft, amazon and alphabet, those are the three public companies with a big presence in the ai space that are named in this. and in terms of the private companies, openai and anthropic are the two key companies in focus here cnbc has reached out to all the companies. we have not heard back yet i want to flag, scott, her focus is on the business incentives that this ai and generative ai industry is creating particularly in relationship between the cloud provide

frank, back to you. >> julia boorstins having a great time. with a new line of laptops powered by a.i. joining me now is the president of the client solution group at dell. sam, good morning. >> good morning. thanks for having me, frank. >> you made news at ces. unveiling the lineup of a.i. powered laptops. we heard talk about a.i. and how it changes laptops. what gdoes it mean? >> frank, to do grounding, we had a.i. in pcs for several years. we used machine learning algorithms to improve the pc. making battery life better and configure settings and think about opt myimizing performance. you can run workloads on the high-end work stations as well. the reason we are talking about a.i. pcs and excited about it is the advent of the neuro processor or npu. the processor built into pcs to allow you to run a.i. workloads efficiently on mainstream devices. that's going to change the way that people interact and use their pc and really open up some exciting options for customers. >> this is running a.i. on the device itself, not from the cloud service

let's go over to julia boorstin for the cnbc news update. julia? >> hi, kelly.ussia is using north korean weapons in its war with ukraine. national security spokesperson john kirby said the administration is raising the declassified intelligence with the united nations security council. and he called the arms transfer a concerning escalation. kirby also warned washington thinks russia is trying to purchase missile systems from iran. >>> several southern capital buildings on high alert again as they face a second consecutive day of bomb threats. the fresh wave comes one day after at least a capital complexes evacuated following similar threats. so far today, multiple bomb threats have been reported in mississippi, arkansas, and florida. >>> and a child started the fire at miami dolphins star tyreek hill's mansion yesterday. that is the word from fire officials who say the kid sparked the flames while playing with a lighter and a bedroom at the house. hill's agent says crews contained the fire to one room, but there was extensive water and smoke damage to the home

julia boorstin is standing by with us today, julia?g hit with downgrades today that are sending their shares lower. one in the energy space and another and media. all of those details after the break. municipal bonds don't usually get the media coverage the stock market does. in fact, most people don't find them all that exciting. but, if you're looking for the potential for consistent income that's federally tax-free. now is an excellent time to consider municipal bonds from hennion & walsh. if you have at least $10,000 to invest, call and talk with one of our bond specialists at 1-800-376-4376. we'll send you our exclusive bond guide, free with details about how bonds can be an important part of your portfolio. hennion & walsh has specialized in fixed income and growth solutions for 30 years, and offers high-quality municipal bonds from across the country. they provide the potential for regular income are federally tax-free and have historically low risk. call today to request your free bond guide. 1-800-376-4376. that's 1-800-376-43

julia boorstin what can we expect from the ceos when they testify at the senate judiciary hearing.next here? eamon? >> reporter: melissa, this is going to be a big one. as we heard you are going to see all the ceos of the top companies up here. the hearing at the senate judiciary committee is focused on child exploitation on the social media platforms and i think you can separate out a couple of buckets, right one is the political pressure the social media companies are on that's going to be on full display next week on wednesday all the top executives are going to be there. they're going to be before the senators and cameras and the senators will try to score a lot of political points against them the pressure exists. you heard julia talking about the legislative pressure out in the country in the states passing laws to go after social media and then, of course, there's the legal pressure which you see in the case of a number of cases, class action lawsuits being brought against these social media companies alleging child sexual exploitation, mental health issues, teen addiction t

let's get to julia boorstin who i believe is not a deep fake, the real julia boorstin on the other sidehat can help explain this to us >> that's right. i am the real julia boorstin but there are growing fears this could be the first deep fake election with the potential for ai manipulated audio or video to spread on social media impacting whether voters want to support candidates and even with whether they think it's safe to go to a polling place. governor ron desantised used deep fake images in an ad to attack former president trump and the rnc used ai generated images portraying an apocalyptic biden-harris second term experts are waiting for ai to be used without disclosure intending to manipulate voters. >> the prevalence of deep fakes and the ability to sew mistrust using generative ai technology takes these problems and hyper charges them because it's easier to spread convincing disinformation it's easier to cast doubt on the legitimacy of an election and it's easier essentially to fool voters. >> though there has not yet been widespread use of deep fakes, experts are concerned abo

julia boorstin has the details for us. igned up for peacock made the wildcard weekend that the biggest subscriber acquisition moment ever measured by antenna research. it 23 million viewers, making it the biggest live streamed event in u.s. history. the question is whether they can hold onto those subscribers who signed up for at least six dollars per month depending on what option they picked. we are sure to learn more when comcast, the parent company to cnbc and peacock reports the earnings tomorrow morning. back to you. >> i was one of the people who signed up. i was lazy and sat there with my clicker. my comcast xfinity clicker. i cannot find my password now for peacock, so i don't know how i will ever cancel it. how many will they hold onto? do you have any ideas? >> i think the whole idea is that they wanted this to introduce people to a platform of destination for live sports. they will have a ton with the olympics coming up this summer so the idea that they will try to hold onto those subscribers by using that game

julia boorstin has more. >> reporter: netflix is delivering growth and subscriber additions in line withr describe of the subscriber beat. 9 million new additions which brings the paid number to 256 million. and 11% is the revenue growth that netflix forecasts. both numbers reflect freeloaders to subscribers as advertising upside. netflix announced 23 million ad supported subscribers. netflix is seen giving a greater advantage to other content and spend less overall on content. despite the 36% run-up in shares since the last earnings report, 60% of analysts have a buy rating on the stock. 34% have a hold and then those at 6% have a sell. frank, back to you. >> joining me with his expectations is the chief investment officer of main street research who owns netflix for clients. james, good morning. >> good morning, frank. >> julia gave us the average price target on the street which has a 2% upside. how do you feel about netflix and what are the expectations for the result? >> i think the street is a little bit too cautious about the company. this is the mega hit of the streamers. the one

julia boorstin is following this on big news, the wwe and the forex into sports. >> up 37% since the last earnings report with the company expected to grow 11% to 9 million subscriber additions. this comes as netflix just this morning announced it will stream wwe's "raw" starting next year. this program, which currently airs on usa network and produces three hours of live programming per week, this is a big deal for netflix. it's a ten-year deal valued at more than $5 billion, and it will enable netflix to make wwe documentaries or series like it has with formula one and golf. it also makes netflix the home for all wwe shows and specials internationally. so this is netflix's biggest move into live content yet. so far it's done these one-off sporting events, but this does march a huge shift for the streamer into this streaming commitment. >> do you, julia, as well as you know this company and business, think this is, in fact, the first foot into a whole body moves into the door? >> yes. these name name rights are hotly contested. it might make more sense for netflix maybe to pursue th

the stock at its highest level in more than two years price target hikes on wall street julia boorstin.a. with the details. hey, julia >> hey, melissa. well, we've counted ten firms with a price target above $600 writing, what's not to like? upgrading netflix to buy pivotal research raising its price target to what appears to be a street high of $700, saying this is what winning looks like. jeffries with a buy, ups its price target, the headline, do you smell what netflix is cooking? and td cowan writing, off the top rope, netflix delivers no everyone was so bullish benchmark with a sell, saying, this is near certain the apex of the password sharing crackdown georgia bank downgrading to a hold ultimately, the bullish argument among all these analysts did highlight netflix's move just yesterday to license the wwe sports rights. that's expected to bolster subscribers and ad dollars and earlier today, we saw the success of streaming sports on another platform, peacock's wild card streaming nfl game drew an estimated 2.8 million new subscribers, according to antenna research now, peacock,

let's get to julia boorstin for a cnbc news update. >>> a new york judge is threatening to throw donaldis defamation trial. the morning came after he ignored warnings to stay quiet during the testimony. the jury is deciding how much the former president will be ordered to pay carol through remarks he made about her after she came forward accusing him of sexual abuse. >>> chinese researchers are isolated and mapped the virus that causes covid-19 in december of 2019. that leaves two weeks before beijing first went public with the details of the deadly viru . according to the wall treet journal report, the researchers uploaded a nearly complete sequence of the virus on a u.s. run database at the same time chinese officials called the outbreak a viral pneumonia of unknown cause. >>> california governor gavin newsom says he won't sign off on a ban on tackle football for kids 12 and under. a democratic lawmaker introduced the proposal over safety concerns about concussions. it hasn't passed the state assembly at but governor newsom said he would veto it if it ends up on his desk because he th

julia boorstin is live from las vegas with the latest on all these new gadgets. julia?s show is all about a.i., with chatbots, new a.i. chips, seemingly for every type of possible gadget. now, samsung has been showcasing its a.i. companion robot called bali, which interacts with other smart devices in your house and can project pictures or videos on your walls. can even check in on your pets by sending pictures of them to you. samsung's new a.i. fridge tells you what's inside. the expiration dates, and suggests recipes based on what you have. even lets you order the ingredients right from the refrej rail or the that you don't have. now, this year, there are more a.i.-enabled cars and tractors than ever, with intel just afwhounsing a new a.i. chip customized just for vehicles. as it battles with nvidia and amd to power the internet of things. meanwhile, mercedes is showcasing its in-car operating system to eventually offer directions and restaurant recommendations with what they say is empathy for the mood of the driver. and l'oreal this year wbecame te first beauty comp

julia boorstin. tim? >> well, you know, netflix's ability to move away from the pack is never more apparent and is a question of what you want to pay for it, but in terms of the cash flow generation of the story, but the engagement, the ability of this model to grow upon itself. we haven't even talked about things like gaming and what not. didn't have a position. i sold the stock, i don't know, $100 ago and i thought i was going to get the chance to buy it back. i would love to buy this on a dip. a lot of people would love to. and other names, ugly names, i own a couple of those. i think m&a in the space, sum of the parts, is heating up. the downgrade, i don't think they told us anything we didn't already know. i think the specialized private equity, all the people within the industry, i think they're buzzing and it's just about what the assets are worth and they will be bought. >> it is staggering to think that netflix in november had a little bit more than 15 million global monthly active users to go to

julia boorstin joins us right now.tock, up 10% premarket and a lot of that is because of what the company talked about on its earnings call, which was its $5 billion deal with tko for wwe's raw. the company say it sees an opportunity not just around live content but also creating more scripted programming and also internationally where they say wwe has been historically underdistributed but co-ceo ted sarandos stressed this does not signal a change to netflix's sports strategy. >> we are thrilled to bring this wwe live programming to our members around the world wwe raw is sports entertainment, which is right in the sweet spot of our sports business, which is the drama of sport think of this as 52 weeks of live programming every year. it feeds our desire to expand our live event programming >> the company also saying it is not interested in acquiring linear assets, which are effectively the traditional tv companies or media giants that may be up for grabs, and they said they don't believe that further m&a among the tra

for more on this let's bring in julia boorstin. for more on the disney side of things. julia?teresting, leaseslie to see t agreement between value act and disney. the way i see it disney is shoring up the defenses with the proxy battle with nelson peltz. so nelson peltz, triann itself owned 7 million shares but add the shares by perlmutter that brings the number to 33 million. value act has 5 million shares, which is meaningful but smaller than the full number if you include the perlmutter stake. but i think the question is how the various alliances in the battle with peltz is going to play out with other shareholders. i think value act sends a message that disney has the support of this institution that has helped other companies through proxy battles. we'll see if that influences other big stakeholders to vote in support of disney. and disney just announced two new board members, including james gorman and sir jeremy derrick. i think they're bolstering their slate as we go into the next phase. and the thing we're waiting for now is the filing of the proxy statements we expec

here to talk it through is julia boorstin and emily wilkins. julia, what are you expecting?> i think we're going to hear from a lot of these companies, if not all of them -- that they are really working to address this issue and that the fact that there is this see sam or child sexual abuse material on their platforms is not what they want. but the question is whether they can take the intent to solve the issue and translate it into removing this content from their platforms. i think we'll hear from several ceos they're advocating for legislation. zuckerberg is going to talk about age verification and parental approval when teens down load apps. and evan spiegel is going to endorse this kids online safety act, which would require tech firms to provide more parental controls. this is a piece of legislation that has drawn some concern for potentially being an issue when it comes to privacy. and so, there's been some concern from the aclu and others that this would potentially lead to censorship. so interesting positions on which will will emerge from the forefront. i do expect

our julia boorstin joins us now with a look at big trends taking over the convention. at the consumer electronic show, and this year it's all about art fib sy artificial intelligence. incorporated into every gadget. samsung showcasing a.i. companion robot that interacts with other smart devices in the house, can project pictures, videos on your walls or check on your pets sending pictures of them to you when you're out of the house. samsung's new a.i. refrigerators tells you what's inside, expiration date and recipes based on ingredients you already have and let's you order ingredients you don't have in the fridge. >> for the refrigerator it's definitely about convenience in the kitchen. right? automated the different tasks you want to do because they're household chores making it more exciting to spend more time with your family. >> this year more enabled a.i. cars and tractors than ever before with intel announcing a new a.i. chip customized for vehicles as the company vows with nvidia am. and this designs, they say, to be empathetic and respond to the mood of the dri