bloomberg tech's sarah frier reports. rah: snap tries to be at the cutting edge of what's next, rum spectacle to facial recognition filters -- from spectacle to facial recognition filters. now they are betting big on augmented reality advertisement. the company even opened up online studios to make it easier for brands to build ads that can be overlaid on people's pictures and videos. on snapchat, users can manipulate their pictures or videos using augmented reality lenses and animations, some of which are branded, like sunglasses reflecting domino's pizza. people then send those photos or videos to friends, potentially becoming the star of the ad. the company's second-quarter earnings topped analysts' suggestions -- analysts' suggestions. more than 80 million people in the u.s. engage with ar monthly. 120se is projected to hit million monthly users by 2021. but snap is already facing competition. facebook, which has copied snap before, announced in july that it is also getting into the ar ad space, and they are not alone.

emily: that was bloomberg's sarah frier.ing up, the former cisco ceo making a big bet on the cloud. joining the board of the data management company rubric. we will hear from him and the ceo next. ♪ emily: first lady melania trump told us -- a cyber bullying conference that social media could be used in positive ways or be destructive when used improperly. she was speaking at a conference attended by google, facebook, and twitter. she highlighted her "be best" campaign, saying it will focus on teaching the next generation to conduct themselves in a positive matter in a online setting. this as her husband has been accused of using twitter to bully critics. rubric --data company to invest in the company and join the board. the former ceo of cisco launched his new venture at the start of this year to find the next generation of tech and has turned his focus to rubric. we caught up with chambers and rubric's ceo on where they go from here. >> whatever i do, i do with a replicate able playbook. 180 acquisitions. i ami look at sta

we caught up with sarah frier and asked what other points the company would be looking to include onhe platform. sarah: we went with bitcoin because we felt it was the battle tested form of crypto, being around for the longest period of time. i think people feel confidence in us. if there's a need, we will always go with what our customers are telling us they want. right now i think there are other needs on that platform. that's why they've done more investment around loyalty programs, rewards programs. i think you will see us do more on that. the second thing we've done with cash is take it to the u.k. there is a need for all of these things -- utility pieces on a global platform. emily: as a cfo, does bitcoin crypto make you nervous? others have pulled back. some started to allow it, then they stopped because of the volatility. sarah: as a tender type or a payment type, it is still very early. it behooves us to be there. what would make me more nervous, frankly, is if square wasn't experimenting and iterating with new technologies, because that is our future. we've always been grea

emily: that was square cfo sarah frier., naked labs created a product that might know your body better than you do. we will take a look. and how the company is bringing 3-d scanning technology into the home. this is bloomberg. ♪ emily: it goes way beyond a normal scale. start up naked labs has made a 3-d body scanner with a full-length mirror that people can buy for their homes, the first of its kind. it delivers information on your body, including weight, height, the mi, measurements. the company just raised $14 million. we spoke with one of the most partners and an early uber and spacex investor. cyan: originally, the goal is to have it in every home. to begin with, it will be the person who buys peloton, who really cares a lot about personal fitness, so the price point is hire to start off with. emily: it is $1300 and a scale is more like $20. cyan: televisions, when they first started out, they were $23,000 for flatscreen tv's. if you are a pioneer in the space and someone who is an early adopter, you are paying more, b

david: that was sarah frier of bloomberg technology. interview with evan spiegel which by the way is a rare thing because he does not talk to the press. julie: she sat down on what they call the council meetings. a candle in the middle of the desk. julie: it is meant to be a safe place for sharing of ideas. david: the great irony of the piece was that they really pride themselves on intimate close communication. julie: and that is what snap is supposed to be. david: and the biggest problem they has -- they have as a company is ever but he says they don't know what is going on. julie: the other biggest problem they have is facebook because the problem is the model can be copied. david: every time somebody snapchat does something, they spoke copies it right away -- facebook copies it right away. to everybodyating in the company as the stock price has tumbled. david: they should have an advantage because they don't have some of the fake news problems and privacy problems that other users do. julie: you can find sarah's story on evan spiege

square cfo sarah frier joining me now -- sarah friar joining me now.arket shares are back up and you reported strong revenue momentum but a weaker than expected forecast, which is rare for square. how should we make sense for this? great quarter, 60% topline growth, we are impressed by that. it is speaking to the strategy of investing to grow, so think the right balance is with the opportunity in front of us, we want to put money back into the business, so we did eat on the top line with that 60% growth. on the bottom line, we want to invest with financial discipline, so we maintained our guidance for the year. that stayed the same. if you look at the back half of the year, that is three points of market expansion. we think that is the right balance with financial discipline. emily: shares have more than doubled now this year. what do you say to investors who say that is too rich and investors are expecting too much? sarah: it comes back to the opportunity in front of the company. we are focused on financial services and international, massive opportun

bloomberg's sarah frier spent some time with the snap ceo. she joins us now. does he seem improved? toms fixing this misunderstanding in the public of who he is. he has written critiques of his -- read critiques of his management style, that he is a secrets keeper and hates criticism, and his response to that is, well, i understand why you would think that, because you don't know me. i don'ti am a shy guy, talk about what i like or what i do, so i am getting better about that. he hired in management coach. these are the basics of running a company with 3000 employees, just starting to really think about that. emily: that is not just the reception from the outside, but from his own employees. he told you, you i had a pretty serious christian upbringing and i remember taught to be small. be a turtle. and i remember thinking why when i go around the company and chat with people? that would be so awkward. like get a bunch of emails it was awesome you came by. do you get a sense of culture of the company is changing? thing thatbiggest has changed in the culture may not be what evan did h

emily: i'm sure this will continue to unfold, sarah frier, you will keep us updated as always.loomberg learned the u.s. and china are trying to restart stalled trade talks hoping to two aboard a full-blown trade war. representatives for steve mnuchin and the chinese vice premier are having meetings on how to get the talks back on. this is according to people familiar with the meetings. this is ahead of the next wave of u.s. tariffs on an additional $61 billion of chinese goods. let's get straight to the bloomberg reporter who gave us this scoop. tell us, what do we know? jenny: we know steven mnuchin's team has been in touch with their chinese counterparts to figure out how to get the stalled talks back on track. we know the two sides have not talked since the first round of tariffs was imposed. since then, we have seen them upping tariffs tit-for-tat on both sides. we also know there is internal discussions going on within the u.s. cabinet whether or not to have the talks and went to have the talks. who should have them, and where they should take place is also on the board. t

emily: that was bloomberg sarah frier. the former cisco ceo is making a big that on the cloud.ning the board of the management company, we will hear from him and the ceo, next. ♪ emily: first lady melania trump sold a cyber bullying conference that social media can be used in positive ways or can be destructive. she was speaking at a conference attended by tech companies like google, facebook and twitter. she wanted to highlight her be best campaign to focus on the next generation conduct themselves safely and in a positive manner online. the president has been accused of using twitter to bully his critics. the cloud data management company got someone to interest in the company and join the board. john chambers launched his new venture at the start of this year to find the next generation of tech. he has turned his focus to rubrik. we caught up with the rubrik ceo about where they go from here. >> what is exciting is wherever -- whatever i do i do it with a playbook. i do 180 accusations -- acquisitions. the ceos have been very kind. it has spoke to business model change in te

scarlet: sarah frier, thank you so much.e,eating on the top and that is why the stock is popping. ♪ mark: i'm mark crumpton with first word news. some africans for temporary employment visas are being asked if americans can do the job they are applying for. immigration attorneys say the question has been posed at various u.s. consulates following president trump's higher american order. a new line of questioning has brought more scrutiny to the , but is not necessarily translated in higher denial rates. the wall street journal reports federal prosecutors in york are examining whether michael cohen committed tax fraud. people familiar say authorities are assessing whether: underreported income on federal tax returns -- whether cohen underreported income on federal tax returns and obtained bank loans without proper documentation. the philippine your president today threatened to kill corrupt police officers in his country. expletiveent's address was directed at more than 100 policemen who are facing administrative and criminal

scarlet: sarah frier bloomberg reporter in san francisco, fantastic story. be sure to check it out.heck out tv on the bloomberg. you can catch up on all the and if he is we have from earlier today. this is one, our conversation with henry fernandez, chairman and ceo. conversation following our reporting that saudi aramco is said to but it's focus on the acquisition of sabic and putting its ipo on hold. this is bloomberg. ♪ g. ♪ ♪ lisa: this is "bloomberg markets." time for thes bloomberg business flash. a snapshot of the biggest business stories in the news today. banks are getting worried about the subtext -- subprime market. credit card issue is cut the average line available for less than it where the customers by 10% in the first quarter. that is a reversal after years of banks loosening standards to grab market share and credit cards. with another up way to retain workers in a tight labor market. the worlds because entertainment company will pay upfront tuition cost for hourly employees who want to take classes starting in the fall. the workers can either go for a college