we help startup companies come to shenzhen.e've got products here -- >> are all these your companies? >> these are companies we've invested in from around the world. about one-third from the u.s. we bring them to shenzhen to take their product from prototype into market. >> how many companies? >> we were the first hardware accelerator in the world. almost 250 companies have gone through this exam. >> he calls his incubator hacks. it opened doors in 2011 giving startups a helping hand. entrepreneurs come here to work on everything from window-cleaning robots to machines that will help your ping-pong game. hacks gives them office space, workshops, and business expertise, all for a piece of the company if it makes it big. >> we bring engineering talent that they might be missing, we bring capital, we introduce investors. >> by the way, this used to be called the american dream. >> yes. >> where you would go and you would start a company. >> yep. >> bring it to market. >> yeah. >> that's called the american dream. >> and the americ

i boarded a train from shenzhen headed west through the night in my restless sleep to the sound of the wheels on the tracks conjures up the plot of the camel caravans that once traversed this route. the train is scheduled to arrive in didn't want at 6 30 in the morning. but it pulls into the station half an hour early. china has taken many by surprise in its hurry to reach the west. as day breaks in doing the sand dunes slowly emerge on the horizon as though they are born anew every morning. a lizard searches for warmth. the daily throngs of chinese tourists are about to arrive. there are camels here too an echo of the ancient trade route. they greet the crowd with patient indifference . laden with chinese vacationers the caravan heads out toward the do it's for tourists this is like a journey into the glorious past a time when china was a global power. centuries ago traders brought silk jade spices and gold along this. route the old silk road link the east and west on what was a perilous journey inside these caves frescoes tell tales of the old silk road one shows traders from central

just 40 years ago this was a market town today shenzhen is a high tech metropolis with more than 25000000 residents china's silicon valley. the flittering metropolis brimming with confidence is the face of the new china an ambitious china with eyes clearly focused on the west. and the way there is the new silk road we retraced 2 routes over land and sea from the chinese city of shenzhen to the german city of do sport. what lies behind china's grand ambitions what transformations will base root bring and how will these changes be felt in germany and western europe. i boarded a train from shenzhen headed west through the night in my restless sleep the sound of the wheels on the tracks conjures up the plot of the camel caravans that once traversed this route. the train is scheduled to arrive in too long at 6 30 in the morning. but it pulls into the station half an hour early. china has taken many by surprise in its hurry to reach the west. as day breaks in doing the sand dunes slowly emerge on the horizon as though they are born anew every morning. a lizard searches for warmth. the daily thr

rishaad: let's go to tom mackenzie in shenzhen. do donald trump's tweets throw something in the works for these trade talks? were expectations so low in the first place that they don't matter? tom: we have seen this movie before from trump, throwing a tweet or commentary curveball into the mix. i don't know if it impacts what will happen behind closed doors in shanghai in the guest house. those talks are underway between lighthizer and mnuchin, the treasury secretary and trade official from the u.s. on the chinese side, the vice premier and the commerce team.er and their those conversations will continue. they had dinner last night at a hotel. of course, the gap between the sides is wide. we had commentary saying the u.s. needs to make concessions that both sides need to come together in order to forge some kind of an agreement on forward. the u.s., president trump says he wants a good deal or no deal at all. his officials say they want the deep, structural changes, the enforced mechanism around intellectual property. a more balanc

tom mackenzie sat down for an exclusive interview with the huawei chair on the company's shenzhen campusthey talked about how they can survive without google's android operating system. >> we don't know when the u.s. will make the decision on android and when that decision will come. we have to make preparations for our products. we will evaluate our strategy for the overseas market. if we are not able to use android, we have the ability to develop our own operating system and ecosystem which would become the basis of our services to the customers. tom: give us a sense how much you have had to mitigate the supply chain. have you mitigated these changes or is there more to be done? >> the list put into place by the u.s. was disruptive to our supply chain as we had already made plans to use components from the u.s.. u.s. suppliers suddenly stopped supplying us. we had to make adjustments including our process of purchasing, manufacturing, and delivering products. we will do the adjustments. we will change to other suppliers and use our own chips for the core components. i think the damage

the chairman spoke exclusively to bloomberg in shenzhen.ver television interview for him. >> we don't know when the u.s. will make the decision on android and when it will come. make preparations for our products. we will evaluate our strategy for the overseas market. developthe ability to our own operating system and ecosystem to become the basis for our services to the customers. >> give us a sense of how fundamentally you have had to change your supply chains. have you completed those changes or is there more to be done? the entity put into place by the u.s. was disruptive. we had made plans to get the components for our business. suppliers suddenly stopped supplying us. we had to make adjustments to our supply chain. including purchasing, manufacturing, and delivering products. we will change to other suppliers. chips for the core components. >> i think the damage to the u.s. suppliers is even bigger than it is to huawei. we will have to manage continuity internally. the damage to the u.s. supplier is direct. huawei fromremoves the enti

appropriately and fear i mean, you fear what you don't know >> reporter: janice mackey frayer, nbc news, shenzhenchina. >>> when we come back, the lost moon landing tape and the amazing footage on it. it just made someone a millionaire. argars of allgearmstrong first stepped on the moon. it was the live tv pictures of the moon walk that helped make it a permanent part of america's collective memory now we have an even clearer version of it. here's nbc's kevin tibbles. >> reporter: we have a liftoff! >> reporter: 50 years ago today, the dream of a man on the moon came true. >> that's one small step for man one giant leap for mankind. >> reporter: that moment still resonates. 650 million people worldwide watched those first grainy images >> my parents were so excited, they were almost crying. >> beautiful, just >> it's amazing. they went up, landed, turned around and came back >> reporter: 50 years ago my dad took the three of us kids all out and bought us a newspaper. this one's mine and i still look at it from time to time and dream. gary george was a dreamer, too, who went from building backyard

and more good news for chinese tech manufacturers hoping to make inroads in the united states shenzhen based d.j. i technologies the world's biggest manufacturer of drones announced tuesday that high security tag on 2 of their new drone models has gained approval from the us department of the interior d j i vice president for north america mario rebel was very positive about the news in the statement writing the department of interior report validates g j i's efforts to build software and hardware solutions that meet the evolving data security needs of its customers the approval for d.j. eyes high security drones known as the government edition is a big win after the department of homeland security sounded alarms over the possibility of john manufacturers storing user data. and checking in on mexico president under as manuel lopez obrador reece has received a harsh resignation letter from his former finance minister a letter source letter service to news reports on monday marking a dramatic setback for the left leaning leader as the parting may. mr carlos manuel a must see us was previ

china morning post continues to look at the protests in hong kong, saying a chinese taskforce in shenzhenrly a month. it also shows this picture of a police officer gathering evidence from the central chamber of the legislative council. and in europe, most of the news focuses on who is filling the eu's topjobs. the financial times reports on ursula von der leyen‘s nomination as president of the european commission, which has led to surprise in germany, where the defence minister has suffered many negative headlines. it was a party that went seriously wrong. guests at a birthday celebration for the formerfirst lady of the philippines imelda marcos fell ill with suspected food poisoning. around 2,500 guests attended the celebrations at a sports stadium in manila to to mark her 90th birthday when dozens of them started vomiting. the widow of late dictator ferdinand marcos wasn't herself affected. well, they are being hydrated, which is the first fundamental, most important step. so for as long as they are hydrated, i am confident that they are going to be ok. but we cannot leave any stone un

china morning post continues to look at the protests in hong kong, saying a chinese taskforce in shenzhen month. it also shows this picture of a police officer gathering evidence from the central chamber of the legislative council. and in europe, most of the news focuses on who is filling the eu's topjobs. the financial times reports on ursula von der leyen‘s nomination as president of the european commission, which has led to surprise in germany, where the defence minister has suffered many negative headlines. dementia is often called one of the biggest public health crises of the 21st century, with around 50 million people affected worldwide. so imagine if doctors could diagnose alzheimer's disease, the most common cause of dementia, before symptoms appear. well, researchers here in singapore have invented a blood test that they believe can do exactly that. i've been speaking to assistant professor huilin shao, who led the research team at the national university of singapore. she explained why early detection is important. so as you mention, worldwide, there are over 50 million people

the new silk road we retraced 2 of these routes traveling from china to germany from the city of shenzhen to the city of to spork. we travel thousands of kilometers overland to central asia. and resale to thousands of kilometers across the oceans of southeast asia following the major overseas trade routes. we have traveled great distances but europe is still far away. and. we retrace the route of the caravans heading west crossing remote passes in the 2 young shan mountains. it's a journey into the past along the ancient silk road. a route that today is marked by hope and opportunity and by burdensome debts and dependence on china. and. the route followed by the ancient traders and their caravans was filled with danger. there are arrival at tosh robot gave them a temporary respite. here they found food and shelter and were able to exchange goods and information about the journey ahead. of. the markets of kyrgyzstan still bare traces of this history. of. baku back back to iraq is a nomad a day ago he left his yurt near song called lake. early this morning here arrived at the market in cos

>> good morning from shenzhen.irst we look at smartphone --ts, after the huawei man ban, it was affected especially in the european markets, but quickly after huawei found some , shipments recovered. the huawei ceo had an raisingw talking about output to 270 million. i think the huawei strategy is to focus more on the 5g smart phone. i think the impact on the smartphone unit is very small. mostly from the android support but huawei will be able to find around downloading some google apps inng the european market. they used to use a lot of u.s. components, but right nowh [indiscernible] there are some other solutions they can work around to solve the ban. emily: meantime, your time in china you have trade talks between the u.s. and china restarting today, though neither side has shown much interest in compromise. how well is huawei positioned long-term if the issue doesn't get resolved in the near future? jun: i think there is a lot of concern around the trade talks between the u.s. and china, obviously right now it

the idea for this new robot started here -- the annual robo masters competition that dji holds in shenzhenering students show up for a couple of weeks and try to destroy each other with a variety of robots. as you can see, it's a lot of fun. the big idea, then, was to shrink these robots down to little ones that regular people could build and then use in their own battles. here is the lead of the design team who helped bring this device to life. can you walk me through some of these different parts? >> a video transmitter, and here is the camera. >> the bullets in their? >> yes, 90% of them are made out of water. when you hit things, it smashes and disappears. on each robot, the line here indicates the hit point. game is toct of the chase each other around and hit these plates? is it like a laser? >> yes, and if you always aim at the center, you should be fine. >> because a dji's founder is a cruel, cruel into near, you cannot just buy it and play with it. must first assemble it by hand and learn things along the way about robotics and coding. here's a group of youngsters dji turned into i

let's have a look at the shenzhen composite. 4/10 of 1% to the upside. 300 is outperforming with 2/3 of 1% gain. temperature in shanghai about 31 degrees celsius. that is the scene we are leaving you with. we're the slowskys. we like drip coffee, layovers- -and waiting on hold. what we don't like is relying on fancy technology for help. snail mail! we were invited to a y2k party... uh, didn't that happen, like, 20 years ago? oh, look, karolyn, we've got a mathematician on our hands! check it out! now you can schedule a callback or reschedule an appointment, even on nights and weekends. today's xfinity service. simple. easy. awesome. i'd rather not. rishaad: beautiful pictures of manhattan this evening, just coming up to 11:30. taking a look at what we have in prospect. we have meetings, up 19% at the moment. s&p 500 indicating positivity. the nasdaq was marginally lower by the end of the session. we had a move of 8/10 of 1% higher for the dow thursday. the s&p was one quarter of 1% to the upside. that's a look at manhattan. let's get over from here to be

from this place you can see china, shenzhen, the big economic zone in china, close to the border. what happened was we saw a lot of white shirted protesters. people said they may be associated with a triad. the only conclusion we can draw is they were pro-beijing protesters. these people spontaneously attacked anybody wearing black. on.ve a navy blue shirt they were taking anyone wearing black because it has been the color of protest. one interpretation i have heard is protesters have said they condemn police violence but never said anything about their own violence and whether they condemn the violence of extremist among democracy protesters in hong kong. the risk is now we see different groups taking messages into their own hands, and it undermines the rule of law. that is a big risk going ahead. tweed.avid tech market brainchild comes live today. the launch of the new tech board. kathleen: and are we at the start of the next high volatility roller coaster? the cio of liquid strategies will guide us through the market actions. this is bloomberg. ♪ is is bloomberg. ♪ stocks fell

here -- we are here at the headquarters in shenzhen of huawei.e talked to them about their first half earnings. that is why they invited us to speak to their chairman. the earnings are pretty solid given the pressure they are under. the ban in the u.s., the blacklist, and the pressure campaign from the u.s. to get other countries to ban huawei. revenue growth in the first half, $58 billion. you lift the hood up and have a little luck, you see the things that are being difficult for the company, particularly after the blacklist. the first quarter, revenues around 39% growth. the 14% after the blacklist is put in place. some top lines from the interview worry confirmation from the chairman that the key supplies are not flowing to huawei despite trump saying they would be able to sell. that is not happening, particular around the k ey supplies. the smartphone division will face pressure if they are not able to use android system. take a listen to what the chairman had to say about being put on the list, what it means for huawei and u.s. companies. l

thank you, tom mackenzie joining us out of shenzhen.rom d.c., let's bring out xiaomeng lu, joining us from webcam. thank you for staying up with us. following on what our coanchor was mentioning about huawei, is huawei going to be discussed in shanghai this week? >> i believe so. i think we -- within the scope of discussion come although i don't expect major breakthroughs coming out of shanghai. the sides are just trying to get back to the table after more than two months staying away from it. it is like husband and wife making the first attempt to get their marriage back on track after a big fight. think to expect anything groundbreaking is unrealistic. plus, we just mentioned the major issues that forced this, technology transfers, i.t. protection issues, those have been deeply rooted for 20 or 30 years and it won't change overnight. i don't expect miracles to happen in the next two days. at the same time, i think huawei and agricultural purchase from china will be the low hanging fruit. on huawei's side, business communities friend -

license for google to work again with huawei, two weeks ago today, i was at huawei headquarters in shenzhenrviewed an executive andrew williamson. we talked about that relationship, other relationships with other american companies. let's listen. >> the full position of course we want to continue to work with our american partners. so the number two seller of smartphones in the world we built a very strong partnership with alphabet, google over number of years. we're a very key customer of those. connell: huawei is working on its own operating system. what the future holds there is interesting. how do you see that playing out? google, does it have a big time customer in huawei or will huawei go its own way long term. >> i think huawei will go its own way long term but it want to maintain popularity they have. google is easy to plug in there. the fact google doesn't need that many customers for android. it doesn't make money off each one of those phones. it draws people into their other appears and ecosystem. it is more for europe. they continue to buy huawei phones. this is not a huge thing

in some instances i know the hotel in shenzhen which is drivable from hong kong, two or three secondsater another video would play, clearly propaganda video. people walking around, dancing having fun in china. no joke. that would play as long as soon a network, say the bbc, for example, was in the coverage, because then, suddenly the that video would go away, it would ga back to something else, they're talking about another story, not hong kong related. they are really sensitive how it is portrayed with their own people in china. you could read into that there are fears, i asked one of the local government officials, vice mayor of shenzhen while we were there, are you worried this is going to, just across the border, hour 1/2 drive, will that spread to main mainland china? he talked around it. basically we have full confidence the government in hong kong can keep people in check something along those terms. this is time after midnight. this is the same thing that happened when we were there. that you have, in any protest movement, if you have troublemakers so to speak, people, maybe o

and china, and they're authoritarian states and they do tend to oppress populations and this is in shenzhenquester millions of uighur population. >> do you use social media? >> i make very sure to ensure it's not ubiquitous and surveillancy. >> they've warned 2020 campaigners and staffers not to download this app and they fear it could spur a repeat of russia's 2016 hacking campaign, against the party and you think this is fascinating. is this a partisan issue or not? >> it's absolutely not a partisan issue because hacking can occur on either side of the road, and i think that people are starting to see now the impact that facial recognition can have. this data is very valuable and people want access to it so people can sell it to governments, military and police. >> so many times we download an app and we sign up for a service and we are asked to agree to the terms of service. it includes this wonky sentence that says in part you grant them perpetually, irrevocable to royalty-free uploads, who really reads this stuff? >> not a single person. i can guarantee you that. i'm a privacy activist

it plans to raise up to $2 billion by selling a 10% stake in its chinese unit of the shenzhen stock exchangeet more than half of its total revenue from the unit and plans to use the proceeds to finance a new project in china. amazon's prime day is underway with more than one million days on all members. according to research, shoppers who spent nearly $6 billion over the the -- 48 hours sale, an 11% jump from last year's event which was a half-day shorter. spencer soper is tracking this from seattle. already a few hours and since the sale started. do we know what consumers are buying, how much they bought already? electronicsh, well, -- sales of electronics and small kitchen appliances are way up compared to a typical day. four to five times typical sale. that is expected. one thing that is jumping out is sale of nonperishable grocery items, things like potato chips, crackers are up two to three times. it shows how the bargain-hunting on prime day extends beyond these big-ticket purchases and includes more everyday items peopled by at a grocery store. paul: anything new about this year's eve

i was just in shenzhen, china, with the ceo of huawei and they said they're going to create the nextphone or the next major innovation are we seeing that big disparity? are investors basically thinking that apple's, all the innovation is already there now they're going to turn to things like services is that an opening for a company like huawei, which replaced apple, by the way, as the number two smartphone seller in the world earlier this year. >> and the thing about the addressable market for smartphones, it's everything in the world. the addressable market is every single person and that's the smartphone, that's the tablet, that's the laptop. maybe that's going on air glasses, but that's a ways away. right now you're looking attach rates for air pods, which is every iphone and a huge number but can you invent another product with an addressable market of every centennisingle ? that's a tall order. >> so here's my next question, what the next chapter for johnny ive looks like i know he's creating this new company, lovefrom, apple will be the first client, but in the long-term, wher

shenzhen and the chinx, i the liquidity is getting sucked out. , the liquidity is getting sucked out. unofficially, what we have done at bloomberg is put together our own it in-house custom index. it is based in market cap. overall, we are up about 75% today. you do see why that is happening. happening. are up overe names some cases.300% in we knew it would be a good day. it's really how sustainable this two, month 2,day 3, month four, month five. all about losing the valuations. we are in triple digits. about the stock the stock valuations. not the helpful names that most investors are familiar with. going to read on your terminal here at the moment. let's get you caught up with the first word news with paul allen out of sydney. paul: more doom and gloom for exports in the first 20 days of this month a fell 14% from a year earlier. semiconductor sales plunging 30%. china with the biggest buyer of south korean goods, fell by almost a fifth. this insight into july's data comes after figures for june. china opened its financial sector foreign investment. the pboc says overseas invest in

. $2 billion byise selling a 10% stake on the shenzhen stock exchange.gets more than half of its total revenue from the unit. it plans to use the proceeds to finance new projects in china, including soybeans and flour mills. shery: it is getting more expensive to hail a ride in new york. the number of trips with 8% down. lyft faced a slowdown. it comes six months after new york passed the first u.s. minimum wage rules for ridehailing drivers, pushing upstairs as a result. shares in both companies gained in trade but trailed their ipo prices. paul: think set -- spacex says a leaky valve needs a re-dying, making it much harder than planned to fly astronauts this year. spacex had a contract to fly nasa astronauts to and from the international space asian, but an explosion -- space station, but an explosion destroyed one of the caps off and was a humank to sending astronauts into order. shery: they say crimes do not pay, but investing in crime-fighting works. techfocus on upcoming u.s. stocks that are doing just that. 's cybersecurity fun has returned 37% th

contract drugmaker is that to be planning a share sale in hong kong six months after listing in shenzhene working with advisors to offer shares in hong kong before the end of the year. sources say the listing could raise .5 billion u.s. dollars based on the current market value. shares have soared in january. facebook is seeking to mitigate some of the concerns raised on capitol hill about his proposed that the currency, libra. -- its proposed cryptocurrency, libra. they said the purpose of the currency is to create a secure way of moving money around the world. facebook says it wants governments, central banks, regulators, and other interested parties, to join the discussion. paul: shares of the largest budget airline in the philippines taiwan by a record, wiping out more than 400 million dollars in market value after a local broker made a trading air were. they -- ever. they slumped and -- error. they admitted making the mistake during the philippine stock exchange's no caps on period at the end of the day. have themcourse, we coming online at the top of the hour. let's check how futur

coverage continues as we look ahead to the start of trade in hong kong, shanghai and shenzhen. is bloomberg. this is bloomberg. >> it is 9:00 a.m. in beijing, singapore, and shanghai. we are counting down to the opening of trade on my main -- mainland market. >> central-bank is in focus. the fed and the boj are up next. yvonne: and amazon may not deliver. income forecasters short on expectations. the concerns over heavy spending. number two has support from apple and others.

our markets coverage continues as we look ahead to the start of trade in hong kong, shanghai, and shenzhenina open is next. this is bloomberg. ♪ dara: -- public, itr did go did go down by 11%. >> i love how this interview is starting. >> how long will it be where there is no driver's? then robotsr thing alone or humanz alone is robots and humans working together. >> someone asked you to interview as the ceo of uber? at first, i said, no way. mepeople would not recognize if my tie was fixed.

at huawei headquarters in shenzhen, china. it's 11:00 a.m.lley" is live ♪ >>> good tuesday morning and welcome to "squawk alley." i'm morgan brennan with sara eisen and deirdre bowsa live frm post nine at the new york stock exchange the women are running the show today. we begin with tech stocks, coming off a record close, and its best first half since 1998, despite trade and regulatory concerns, continuing to weigh on big tech so can this sector continue its record run up for the second half of the year joining us now is walter piezek as well as charles brazinsko