oracle has been ordered to pay $3 billion to hp after a jury found that larry ellison and his companyiolated a contract to support saw -- software for hewlett-packard. they reached a verdict in less than five hours concluding that hp'se's decision hurt revenue. walt disney has agreed to stake in the digital arm of major league baseball in a deal that values the business at $3.5 billion according to a person familiar with the matter. the agreement underscores the importance of the video streaming business to the future of disney's espn. which has been losing viewers and advertising dollars to online media. bill gates weighed in on the pharmaceutical industry's drug pricing. the current system, despite some extreme cases that beennk in -- have labeled as inappropriate come i think the current system is better than most other systems one can imagine. i mean, curing of attendance c, c, this is a phenomenal thing paid you have drug companies competing in terms of the quality and the price of that offering. the drug companies are turning out miracles. r&d budgets toir stay strong. they need

it was a side project for larry ellison and expertly run by zach nelson. be curious to see if there are other bidders for this because you want to see where trading. you can see the market has been waiting for some kind of deal to happen there and oracle is always the most likely to acquire with larry ellison having a personal stake in the company. ♪ erik: you're watching "bloomberg best." there was an avalanche of earnings reports with quarterly results and forecast from several of the world marquee technology companies. facebook, samsung, twitter, and more. here's a roundup of the highlights. afterebook shares soaring hours up as much as 8% as facebook be on sales and profit and monthly and daily active users. is it as good as it sounds? >> facebook has done an incredible job getting the entire world on its platform could i, if you look at advertisers, that is where they are. there is less brand advertising ads.ore app installed facebook has done an incredible job getting people on their platform. >> the fact that their ad revenue continues to grow at th

buying a company 40% owned by larry ellison. and it's the busiest day of earnings season.arriott ceo is going to join us to break down his numbers. we're just getting started on squawk alley. stay with us. ♪ [announcer] is it a force of nature? or a sales event? the summer of audi sales event is here. get up to a $5,000 bonus on select audi models. your business needs better technology to drive better performance. so you need it to be reliable and fast. really fast. introducing the comcast business summer savings event. fast internet speed to drive performance, plus cutting edge wifi for your employees and customers, and voice mobility so your calls find you wherever you are. get some of our most advanced products at a great price with over $500 in savings. call today and ask how to get these savings plus a $250 prepaid card. comcast business. built for business. >> and here is the ceo on the conference call last night talking about what's next for the company. >> ten years ago most of what we shared was online and most of it will be videos. we see a world that is video fi

ellison's got 40%. >> you can get it. >> if you're larry ellison. >> they say larry ellison was not involved himself in discussions about the specific deal. and his shares won't count in what needs to be voted. >> to john's point, there's a big difference between gmail and google sheets. and some of these enterprise. the corporate sides of the transactions. that's where netsuite lives. who else is in that enterprise space where we wouldn't talk about them in our day-to-day lives but the i.t. heads at our companies would? >> i think sales force is the one that really sticks out. you can look as recently as just last year when there were all kinds of speculations floating around about microsoft and sales force. it's how you do your payroll. i get paid every month. when i go online, i can check who's paying me. it's in the cloud. those are two that are obvious ones that stick out. >> it's a company that was sort of people soft, built all over again by the people who built people software, basically drummed out by larry ellison, when oracle did its takeover. workday is there, but it's unclear wh

larry ellison also co-founded net suite and he and his entities own 40% of the shares. nay sayers would say it's pricey, they would also say oracle already has similar cloud software to the business process products that net suite makes. but here's oracle's justification. they've recently gotten to the point where its cloud data infrastructure is built out to the point where it can actually digest something like net suite, make money off of it. and the bulk of their process customers are companies with more than 1,000 workers and the bulk of net suite's are half that size. the giants are trying to surge ahead of others who are trying to catch up to them in the cloud. >> given what you mentioned in terms of larry ellison's interest, is this anything like elon musk using tesla to buy solar city? >> yeah, it is actually a lot like that for that exact same reason. oracle is going to have to thread the needle here. they've already said that the discussions around doing this did not include larry ellison and the shares that need to be voted in order for this to go through, la

it was almost a side project run by larry ellison. been so close to oracle in so many ways. what we're seeing with new money in terms of buying up the software companies, netsuite seems so obvious but we will be curious to see if there were other bidders. stocks, you can see the market has been waiting for some kind of deal to happen there and oracle was always the most likely with their personal stake in the company. they pursued this in a clean way in terms of the government. only the outside oracle directors were doing this, they require that a majority of the shares will not be controlled by larry. david: bad news for salesforce? competitionk the for salesforce will be oracle. and keep an eye on microsoft. their acquisition looks like it will be creating a product to compete with what salesforce does. the other leads us to big story, facebook with killer earnings. want to give opinions but it was hard to find a weak spot in the report. were there any? cory: i didn't see one. ,ou saw fantastic sales growth spending vast fortunes in

all about larry ellison of oracle, the biggest investor in netsuite.racle tried to catch up with competitors and this will help them do this. and they'll find out on google how much larry ellison is work liz: more after the break, a developing story. stuart: let's get back to politics, why not. former defense secretary leon panetta, the cia chief under president obama. he took to the stage and listen to what happened, roll tape. >> he praised his dictators from saddam hussein to vladimir putin. today-- >> well, it happened several times, he was booed by the crowd and they chanted "no more war", with us is pete, and good to see you. that was astonishing, that was a democrat convention and the guy really the only guy talking terror and they booed him off the stage. i found it incredible. >> the clinton loyalists, it reveals the true core of the democrat party which is anti-war, anti-military, and in many ways anti-american involvement or leadership in the world. and they don't care what hillary clinton's foreign policy is and doesn't care that isis is on

larry ellison is in his early 70s. both sides of this.gh it was a, quote, independent committee. i think there's a big chance that, you know, either they didn't pay enough or they pay too little. one of those sorts of situations. that's why i think the process was fairly vetted. >> but from a valuation perspective, do you think it's too little or too much? or too ? >> i think it was a fantastic price for netsuite shareholders. significant premium, all cash. >> make it work? >> ike that they will make it work. i think this is their -- netsuite is focused on the market at the mid-part of the market, oracle at the large enterprise market. i think there's synergies here, a creed of -- >> anti-trust? >> maybe. maybe. although, you know, there's a lot of people in the market. sap is the largest player in the market, microsoft plays in that market, ibm plays in that market. you know, there could be on either side. so potentially. >> joel, we appreciate your insight especially at last-minute notice i'm sure. >> thank you. >> from btig. >> when we

the first things that makes this interesting is larry ellison's connection to both referred to as kissingns traded are there any governance or regulatory issues here? >> it doesn't look like it great he's not going to be part of the devoting area. i don't think that's the case. this is one deal that has been talked about in the software industry for a long period of time, as to when will oracle finally by netsuite in terms of extending its cloud applications portfolio. so i won't expect that. emily: how much will this help oracle compete with microsoft, sap, salesforce? >> at the end of the day, just like any legacy software company right now, oracle is trying to move its portfolio of hundreds to the cloud. -- products to the cloud. companiesn sap buying to enhance their portfolio and oracle is doing the same thing. as part of their strategy to move things to the cloud, acquisition -- overall strategy, it is a part of it. 8% of oracle gets about its revenue from cloud-based products. this would increase revenue to 10%. is that enough? >> you are looking at human capital management, which

. >> well, larry ellison was actually there at closing arguments. clearly this was a serious thing them. >> this is a huge case. has had a number of setbacks. it's legal department has been getting hammered with a number of different lawsuits. the $3 billion verdict is way beyond, i think, what was projected to be the likely certainly a worst case scenario that came to fruition. it will get knocked down on appeal, most likely. courts are going to take a look at this and maybe scale back the award or potentially question the underlying enforceable.it's i think it's certainly a huge oracle's cash closings over the last year. thehe oracle -- the size of verdict makes it less likely they'll settle, because the itber is just so big, wouldn't be in oracle's interest appeal.l and appeal and >> that's exactly right. at this point, it's more cost-effective to pay your lawyers. a 50/50% chance of getting the appeals court to reverse it or at least bring closer to something that could potentially settle the case. looking forcle is realistically something in th

has been waiting for some kind of deal to happen and oracle is the most likely acquirer with larry ellison'snal stake in the company. ♪ erik: you are watching "bloomberg best." i'm erik schatzker. there was an avalanche of earnings reports this week with quarterly results and forecasts from several of the world's marquee technology company. facebook, samsung, twitter, and more. here is a round-up of the highlights. >> facebook shares soaring after hours as much as 8%. as facebook beats on prop it -- profit. monthly and daily active users -- is it as good as it sounds? >> facebook has done a good job of getting the entire world on its platform. it is incredible. if you look at advertisers, they are following where people are. when you look at the actual ads on facebook, what you will see are less brand advertisers and more apps install ads. in terms of trying to reach users all over the world facebook has done an incredible , job. >> the fact that their ad revenue continues to grow at this time is also significant and speaks to the investments they had made in mobile video as well as measurem

that is after billy -- a jury found billionaire larry ellison and his company violated a contract.d the verdict and less than five hours of deliberation, concluding that oracle's decision to bail out of the agreement hurt hp's revenue. oracle said it will appeal the verdict. walt disney has agreed to acquire it one third stake in the digital arm of major league baseball in a deal that valued the business at $3.5 billion. that's according to a person familiar with the matter. the agreement underscores the importance of the video streaming importance to disney's espn. in on the weighed pharmaceutical industry's drug pricing. he sat down with erik schatzker in boston. >> the current system, despite some extreme cases, have properly been labeled as an appropriate. i think the current system is better than most other systems one could imagine. curing hepatitis c, this is a phenomenal thing, and now you have multiple drug companies competing in terms of the quality and the price of that offering. the drug companies are turning out miracles, and we need their r&d budgets to stay strong. t

it's an interesting payoff for oracle founder larry ellison who invested it early.ith the deal but it's a win with him on both sides of that deal. >>> stocks were largely flat on wednesday. the fed did as we said it would and did not raise interest rates. facebook blew away investors with this report. we'll talk more about that later. dow fell for the third straight day. >>> donald trump, you've heard of him, was on san francisco based reddit last night doing what they call an ask me anything where users ask anything and the person answers. unfortunately the questions were rather bland as were the answers. you wouldn't expect that. and trump didn't answer very many of them. just about a dozen. it's a really fun forum. lots of hollywood stars and politicians including president obama have done these where you get to ask fairly kooky questions and you get to know that person a little bit better group know how stars are playing games on talk shows now you kind of get to know the person better. >> a different level. >> the standard, do you have a clip of your movie? >>

it's an interesting payoff for oracle founder larry ellison who invested in it very early.et me point out this is a win for him on both sides of that deal. stocks were largely flat wednesday. the fed did as we said it would, did not raise interest rates. facebook is the stock to watch. the dow fell for the third straight day yesterday. silicon valley and the computer industry in particular dismayed by donald trump's request that the russians hack hillary clinton. we played that sound bite for you earlier where he says russia, if you're listening, "the new york times" points out it is the first time in american history a candidate for president has asked a foreign government to interfere with his own political rival. that has led people to ask on twitter, russia, if you're listening, can you hook me up with some hamilton tickets? and, russia, if you're listening, i'd like a chip pot lay burrito. no beans. extra peppers and onions. and thank you for making tetris. >> they made it? >> one guy out of russia. no, if you're listening -- >> russia, the can you hear me? >> trending

oracle's larry ellison and the battle in the clouds.ake inroads against sap and microsoft? ♪ >> you are watching bloomberg markets. >> time now for the bloomberg business flash. shareholders have signaled they favor anheuser-busch and the revive and the 2 billion -- in the $2 billion takeover. the board will meet in the coming days to vote on whether to support this deal. investors including alan gray and elliott management corp. are said to be among those pair to back this offer. a sick -- a second quarter's sales miss for l'oreal. the maker of maybelline makeup is facing a slowdown in hong kong in latin america and is looking to make acquisitions and rollout more premium price products. >> facebook shares are in record territory, so is mark zuckerberg's wealth. nearly foured dollars, a gain of about $1.7 billion for the company cofounder and ceo. according to the bloomberg billionaires index, his net worth has now topped $53 million , good for seventh place on the list. that is the bloomberg business flash. >> oracle continues to shif

the largest investor is chairman march rye ellison -- larry ellison. jumping on this, up 18% at this moment and hitting new annual high in oracle virtually flat. boeing says they're going to cut down the number of production be of 747s they're making down to six per year. they've had falling orders, pricing pressure. haven't seen, obviously, after the global financial crisis just haven't seen the demand for business, and they've turned to smaller jets for passenger planes. a dry mouth can be a side effect of many medications. but it can also lead to tooth decay and bad breath. that's why there's biotene, available as an oral rinse, toothpaste, spray or gel. biotene can provide soothing relief and it helps keep your mouth healthy too. remember, while your medication is doing you good, a dry mouth isn't. biotene, for people who suffer from a dry mouth. when a moment turns romantic why pause to take a pill? or stop to find a bathroom? cialis for daily use is approved to treat both erectile dysfunction and the urinary symptoms of bph, like needing to go fr

founder and executive chairman larry ellison owns a significant stake in netsuite an early cloud company he co-founded in '98. deal expected to close this year. another chapter in software as a service m&a. >> this was a company i've always felt oracle had the high-end enterprise, okay, and then the mid-size was netsuite, people were always afraid that oracle was going to come in and beat netsuite even though ellison owns 40%. >> personally. personal investment. >> the other day we got a couple pieces that said, you know, that look this is going to happen. j and p came out july 20 -- >> wow. >> just yesterday -- >> the stock moved up a lot into this. i'm sure the sec will be taking a look. >> look, i mean there was literally a piece yesterday from j and p saying this could happen. a limited number of potential aquiers as a bmo piece. what i like about this is that small, medium-sized business are really good at. oracle has that too. enterprise resource play. it makes a great deal of sense. what can i say. >> oracle always aggressive when it comes to doing a deal if they see it and think