emily: all right, well, the race between sony and oculus is on.atrick, ceo of techonomy, always thrilled to have you on this show. that does it for this edition of "bloomberg technology." tomorrow, i speak with the four founders of bot, all still with the company a decade after they started it. we will see you tomorrow. ♪ >> it is new here in hong kong. angie: i am angie lau with an update of your top stories. the overheating phone crisis could cost samsung. has doubled the recall to almost 2 million devices in the u.s.. samsung shares climbing more than 1%. over to china now, prices rose for the first time since 2012, indicating further stabilization in the world's second-largest economy. 0.1% fromindex rose september a year ago. china's producer

the company sony lsi design does semiconductor design. sony said employees padded values for over four years. executives with the japanese electronics giant say the employees have been dismissed and face measures after an in-house probe. they issued a statement to everyone involved to prevent recurren recurrence. >>> isetan holdings has capped the net profit through mark. a decline in sales due to foreign tourists was a m major factor. the group's operating profit for the year was prereviously $351 million. but executives havee dowowngrad thatat to $228 million. the earlier outlook for profit was $247 million. the latest is $123 million. it is attributed to a large drop in the value of purchases by foreign visitors. tourists have switched from buying expensive products such as jewelry to less producy items like cosmetics. also hit by an extraordinary loss as it prepares to close unprofitable stores next march. officials with the firm say they had famed to predict the steep decline. they're not the only struggling. others have revieds down

david: i think sony is smart to embrace vr. my own feelings about sony, they are shifting because they seem kind of out of it in recent years and this could really improve their brand image, even if gaming is not going to be a gigantic market for them. i think the social experiences that vr can create our the big opportunity lies. oculus, owned by facebook, had the big event last week. zuckerberg gave a demonstration on stage. the part that i do not think was sufficiently enough written about and talked about was the social vr experiences he demonstrated. they have two different ways that facebook and oculus are developing social vr. i think for things like travel experiences, or you can really model an entire city with photographic vr and taliban with travel with friends, it may be more like shared experiences -- to get involved with new technology. i do believe this could be as big as smartphones but it is not anywhere near that or anywhere time soon and it will not get there with games alone. emily: that was david kirkpatric

cory: sony vr is out, oculus -- it looks to me like sony vr is in better condition.do you see happening on the content side in terms of development? is anyone starting to do really big games, immersive games that take hours to play? buthat is a long question, it is such a early innings in the industry. i think of where we are in vr, the prelaunch era. oculus and what sony has done is so incredibly innovative. if you've seen those things out there, it's a transformative experience. the notion that we will be living in vr, in ar, i believe in that. i've seen some of the best experiences. your readers are your watchers of new york, go into the void, and try the ghostbusters experience here, not tethered to a chair, its mobile and you are running around. you are blasting ghosts it's incredibly fun. it is location-based entertainment. right now try to handicap sony versus oculus versus the many others that have come. it seems like wasted energy. it was nokia versus erickson versus motorola for the smartphone stakes in 2002. cory: palm, they were the ultimate winner. >> th

what makes sony's version different? tell me about the pricing. >> so the pricing is kind of midrange. it's the accessible platform for people who like vr. there's the high end for oculus, and the low end with mobile, which is generally free but less high quality experiences. play station offers the middle of the range, good quality, accessible. sony has great development capabcap capabilities for playing this. >> do you think sony has a first mover advantage in that segment of the pie? we talk about microsoft, they're delayed on their competitive product. >> in console terms, certainly. more advantages than oculus because it has great retail relationships, distribution established, a store as part of the console. when you think about oculus, you need a high-end pc, not many of those out there. consoles, ps4 there are plenty. >> you were in that video. how was the experience? >> the experience was fantastic. there was a point i was jumping back when the shark was attacking. there's serious potential with this. my concern

today is the launch of the sony vr headset.like you will be able to use that for this. >> for sure. all this technology can bring the products to life. geographically where do you see the most interest and demand coming through? is it from new emerging markets in asia? kong, there is potential demand across all asia, europe, u.s. haidi: how much supporter you getting from the company in terms of what can take you beyond the startup phase and being able to take it to market? >> at the moment, we don't have it helps usnts, so to meet potential investors who pitch business ideas. we are looking forward to raise some money and grow our business , expanding into different countries. go to setou left leg up visionary triple seven. what did you learn at lego that you can employ now and what you're doing? at leg go, i was in the research and development department, and we are looking to the future of play. technology touse enhance the play experience? of games. makes a lot stream whereew both worlds meet together. rishaad: how long to

i'm curious, what kind of market size you think this is for sony?w thought it might not even be a $1 billion market not just for you but all the players this year. i don't know, i mean, you guys are smart guys. you look at market size, market potential. how big a market could it be for you in terms of revenue? shawn: vr allows itself to be a much broader experience than straightahead gaming. we will know exactly what that looks like it in the last 20 4 4 is the, 3, fastest of all time. virtual-reality comes in a perpendicular into that business model, and we will have to learn exactly how big is big on that. but i do believe in my heart it is very broad, and i think it can appeal to a very wide range of users. cory: why is it a broader range? shawn: because it allows a different type of experience. a lot of things you will see if you get your hands on the gaming kit is that we have a really high-powered, high intense action game, as you would there is a very considered, there is a very deep experience one has with vr that is even slower, more explor

.mily: it is also a bit cheaper what is sony's broader long-term interest in br? -- the are?n it comes to price, it is not even close. rift isn't $600 to run it. it is in fact $1200 to run it. the htc five is $1300. the playstation br is $400, and that is nothing in comparison. emily: you need to have the console. >> the console and $400 is nothing. you're looking to units that are 30 or 50% more expensive. if a console is 20 percent more expensive, it gathers dominant market share really quickly. that is way too big for these other companies to be able to compete. want to play, they will get the one they can afford to play. the personspoke to who runs all of this would -- all of this. what if you have to say? experimentsin our at our experiences, it is so extents -- intense, that it lends to more of an arcade gaming experience, tight, intensive play for 10 or 15 minutes seems to be the sweet spot. who knows? it is new. >> all that matters in game making -- what is important is not the capabilities of the game on the console itself. all that matters is how much fun the game i

not exist, because of that dominance that sony has.have a big marketplace and they have a good relationship with game makers and they have solid games coming. the relationships with the good game makers go back and there are many units out there right now. sony has twice as many units out there and they expect this expectation ishe so much they care than they , if youpe for because have tome maker, you'll put up for the game to develop for the platform of oculus. or, you could develop for sony. emily: you would need to have an entire pc set up. broader long-term interest? it comes to price, it is not close. the prices are right, but they are wrong. and the200 to run is nothing, by comparison. console.u need the >> that is nothing. you are looking at competitive units that are 30% more expensive. if a consul is 20% more expensive, it gets market share quickly. this other one is too big to compete. if the games are close to equal, there is no competition. people will get the one they can afford. what did he have to say? >> listen to what

i remember when sony launched the playstation., it was a spectacular transformation of the industry. the number of people that are still in the industry, it changed everything. i believe it's believable. vr and ar are going to be bigger than the gaming industry in total by a wide margin. it will encompass gaming and lots of other things. i've seen some technologies that allow me to talk to u.s. if you're in the room with me when you're not. cory: we will be right back on "bloomberg technology." cory: "bloomberg studio 1.0" returns. it kicks off this sunday with the instagram ceo. four years ago facebook offered $1 billion for the service. ceo mark zuckerberg pledged to let the instagram teamwork independently. we started by asking whether zuckerberg has lived up to that promise. >> mark has been true to his word and then some. still to this day mark's interaction with the company is through meetings with me. i learned a tremendous amount through him, about our transition to a more global community, about strategy. he's one of the

sony turns to virtual reality to feel comeback after years of a breakthrough product, sony has high hopes for his $399 playstation virtual reality which it store shelves on day and time for the holidays all around the globe. if you watch sunday night's presidential debate, it may have influenced your vote. the media coverage after may have a stronger impact and how you vote for the candidate. when luncheon assets and details. >> you watch a debate. you have an opinion and then you listen to how whatever else is saying, how they phrase it differently, maybe charles krauthammer. suddenly your opinion changes. that's why many say postdebate coverage is more important than the debate itself be the top five moments replayed the immediate fast-track the internet archives. trump apologizes for remarks on women. he says bill clinton was worse. we are cause for special prosecutor and hillary and trump's treatment of women in trump on hers. >> not everybody is time to watch a full 90 minute debate. people will turn on the morning news and see what their favorite newscaster said about some in the no

with sony, they wanted to, in their society, you don't have political free expression. they didn't like what somebody said, so they wanted to prevent them from being able to say it by intimidating people out of saying what they think. it was an attack on our fundamental values. a third case, the third actor is iran, their attack on our financial institutions, which you can guess the motive, irani and actives -- actors wanted to hack an american institution for a political purpose. i think with the russians, what we are seeing is, they want to undermine confidence in our public election. that would be consistent with what we have seen them try to do in germany, in other parts of the world. charlie: how does the strategy work for them? mr. carlin: one question is, can it work if you call it out? once people know they are trying to do it, it becomes harder for them to secretly try to influence an election or cause uncertainty. this is a country who, under its current leadership, is anti-democratic, fundamentally opposed to the idea of democracy. that is why it is important

like sony executives are powerful. but it was clearly done with this goal that actually ended up working. is there an analogy with the way that the media has been propagating isis? there is news, they have murdered this person in a horrible way. at first it was like we're not going to be complicit in this essentially awful act that they want us to publish these things, even though frankly there's an argument that an isis snuff film is newsworthy. >> again, it's a balancing process, to see someone from isis to cut their throat off for the 100th time has little news value. it has a little bit. >>> it's a balancing process. whereas the way in which john pedesta are planning to disseminate a public message and then private i something else, it's always this process of tradeoffs. >> it's great to talk to you, we are not going to end up in a situation, we're going to be navigating this for a long time to come because we have now got a situation, we have seen it in turkey and other countries, that this is now a playbook, and

the company sony lsi design does semiconductor designs. sony says the employees issued fictitious orders and padded order values for over four years. executives with the japanese electronics giant say the employees have been dismissed and they may push for criminal charges or other measures after an in-house probe. the company apologized to everyone concerned and pledged to do its utmost to prevent a recurrence. >>> japanese department store operator isetan mitsukoshi holdings has halved the group's net profit forecast for the business year through march. a decline of sales to foreign tourists was a major factor. the group's operating profit for the year was previously forecast at $351 million, but isetan executives have downgraded that to $228 million. the earlier outlook for net profit was $247 million. the latest forecast is for $123 million. the decline is attributed to a large drop in the value of purchases by foreign visitors. tourists have switched from buying expensive products such as jewelry to less pricey items like cosmetics. t

and otherhtc, sony, s. for sony, the prices up the main factor. are single devices that game developers can develop for and optimize the experience. emily: david, what is your take on the nascent vr wars? >> think it is very nascent. this is one of those technologies that we are starting to realize is going to be a major part of the landscape going forward. sony is a real opportunity to leap back into relevance. in particular, sony will do well with it. it is a great christmas present for your 13-year-old, or your 21-year-old, but it is not going to be a product category with content that will appeal to a wide range of people and be a wide range of product like a smart phone level of cultural penetration anytime soon. that is not to say it is not important. emily: the oculus developers conference is happening right now in san jose. mark zuckerberg just put out a post saying that they will demonstrate something new at 10:00 a.m. pst on thursday. >> like david said, content is key. there might be content-related announcements. the main issue is that

mentioned it's not just sony versus oculus.lso have htc in the game with the vibe. some are hard to set up and require at least $1,000 computer just to get started. i'm coming back. >> i don't know how you're playing and talking at the same time. that's truly impressive. >> it's like talking and tweeting at the same time, carl, which you are an expert at. >> mike, i have seen, though, some estimates of unit sales for oculus and vive come way down from where they were upon launch. >> that $30 billion figure for the out years, i don't know what the makeup is supposed to be and how fast you have to move to get there. it seems like one of those things you have the curse of being an early adopter perhaps in terms of what you're buying for the value you get. >> all that said, jon, it's certainly one of several rivers google is going to try to bring together, right, with this pixel, for instance. >> absolutely. you have that whole different class of virtual reality when you're talking about smart phones coming out. in a way it's simpl

is sony going to do that? >> well, video gaming is our wheelhouse.hat's what we've been in for the last 21 years. when we come at vr, we come at it from an that angle. we're excited to see in 2016 so many different players coming to the vr market, whether they are large-scale experiences like the oculus or the vine or small-scale like strapping a cell phone to your face to do 360 video. this is all happening in 2016. i think we're seeing a great confluence of the technologies and drif behind that. 2017 will be amazinamazing. >> $399 is the price. how did you decide on that given the spectrum of the experiences you just described? >> our time in the market with video game we found 399 is the sweetheart price point to get into this market, the console technology. we worked hard to create a headset that is high quality yet can be put together for a price that's attractive to consumers so $399 is our home base for that. >> within say two years what percentage of the ps-4 installed base do you think you can get to buy at least one vr headset? based on pas

profit forecast while sony cut there's. news out of japan was from the three biggest chippers that just announced that they will be merging their container business to create the world's sixth largest box carrier. they gained across the board. thank you very much. is race for the white house heating up, tightening as we have the renewed fbi investigation into hillary clinton's e-mails. r bloomberg politics reporter has been following the developments from washington. with just a little over a week until the u.s. presidential election democrats have decided to fight back directly against director james comey's announcement by notifying congress that there are newly discovered e-mails that will be investigated that might be connected to hillary clinton's previous use of a private e-mail server. director,r to the fbi harry reid, the senate democratic leader, informed the fbi director that he believes he may have violated the law by going t public with such scant details which would impact the outcome of the election. this come

you like sony? >> well, there's a lot of companies in a global entertainment connectivity and content business. sony is a little different. >> they tried to take over -- you have a company with $1.3 billion shares. the stock is at $33. whether you take out their financial services -- not that they're going to sell, but they have no debt. cash. >> when you think of artificial intelligence, robots, sensors for the apple and the car. >> they have enough content and creativity, and they're moving into china. they're moving into januarian, and there's enormous trade barriers. it's terrible we can't negotiate. as an example, movies. we can only import 34 movies from the united states. this is one of our biggest exporters. sony, half of $5 billion ebida is entertainment. if i put it at 13 multiple, which is what time warner is going for, you have the market cap in it the company. i get it for flee. interesting artificial intelligence robots and so owner where zplool do you own both stocks? >> we own direct

north korea's cyber attack on sony films in 2014 is just one worst case scenario. it exposed the dirty laundry of company executives, cost sony 15 million dollars to stop, and caused permanent destruction. kellermann says: "we have to realize that systems were destroyed. systems stopped working." the huge cost that cking can impose on a society - is matched by the toll it has taken on individual lives - the unauthorized release of deeply private information often ruining careers, and relationships. in washington, the southern nevada health district confirms the first flu death of the season. ...the patient was over 65 years old... and had been hospitalized. last year-- 36 people died during flu season in clark county. doctors say the best way to prevent the seasonal flu is to get vaccinated. and constantly wash your hands. flu season peaks in january and february-- so there is still time to get a flu shot. and be the first to know about breaking news-- by downloading our mobile app. you can also watch livestreams of our newscast... any time we're on the air. a carj

the way i look at it, i remember we did a talk when the sony, north korea was unfolding. fran townsend pretty much lambasted sony, saying their criticisms all around, but one of the things, sony did nothing it should have been doing a longt cyb along the cyber level, and i'm interested, you know, on the good guy side of this, which is a public that doesn't want to be ripped off or have its e-mails taken, what is their responsibility to protect themselves from malicious people and what is the government's responsibility to deal with north korea, iran, china? it seems to me we talk about companies and what they need to do, but they can't match a government. suzanne. >> so you know, i come at this from the notion of comparative advantage, right. so you know, we've often talked about roles and responsibilities, and kind of we're going to dictate that in a kind of command and control way that comes out of the military context, which is really not appropriate here. but we do need to come to the table and each of us bring to the table in terms of comparative advantage. state act

that's when jackson bought half of sony- a-t-v publishing for about 48- million- dollars. that included the beatle's music catalog. jackson's estate sold that half back to sony this year... for 750- million. your investment! the rest of the money came from royalties... including from his wildly popular cirque du soleil show at mandalay bay./// ((dave courvoisier)) >>> thanks for watching 8 news now at five. the valley's news leader. don't forget you can always find us on facebook and twitter. ((denise valdez)) >>> the cbs evening news is next. we'll see you at six. /// news music ((dave courvoisier)) he's divisive and dangerous. "uh, i don't know what i said. uh... i don't remember." but congressman hardy supports trump 100% and said he'll do whatever trump wants him to do. hardy even said people with disabilities are a drain on society and that seniors who rely on programs like social security are a draw on government. donald trump and congressman hardy -- captioning sponsored by cbs >> pelley: wheeling, dealing and e-mailing. f.b.i. documents say a state department offic

. >>> sony's playstation headset hit stores today. it costs $399 and works with the gaming station 4. sony hopes this will remain strong despite of a they've sold 40 million playstations worldwide. do you play? >> i don't. too old. still have the atari. >> my dad plays. >>> the winner of the nobel prize in sweden. >> a sign that maybe times are change. here's more. >> reporter: this year's winner, >> reporter: the man whose songs in the 1960s -- ? >> reporter: -- the first american since tony morrison to win the award in 1993 and the first musician ever. ? >> reporter: the 75-year-old has blended many styles from gospel and folk to blues and compiled into numerous books he's influenced generations of song writers. >> for having created new poetic expressions within the great american song tradition. >> reporter: already a member of the rock n' roll hall of fame, he received a medal of freedom in 2012. globe awards. a larger than life figure in american culture -- ? >> reporter: -- bob dylan has him alongside others with the noble peas

(sony video)the sony experia earpiece can actually be controlled by pushing a button or even nodding your see increasing ways to interact with the phone through smartwatches, through other devices that let you leave the phone in your pocket."the sgnl (signal) device is not for sale yet. (sot - mos)(marlie) "and you're actually hearing through your finger"(mos) "yeah, that's weird but that's a good invention."it's expected to be available next year with a price tag around 150 dollars.marlie hall, cbs news, new york. coming up on the cbs 2 news at noon, the latest business move by amazon to continue drawing vernon: i'm monica vernon, and i approve this message. congressman blum's smear campaign -- the truth -- monica vernon donated every pay raise to charity and helped build a homeless shelter for women and children, but multi-millionaire blum promised he'd take only half his salary. then in congress, blum broke his word and kept all the pay. now he wants to cut social security and raise the retirement age. congressman blum's out for himself, not us. vernon: i'm monica vernon, and i ap

sony, russian hacking of the dnc.so, how do you respond to them when they say there is no framework? in fact do you think maybe you're doing it more on a case-by-case basis where you have an event such as chinese cyber economic espionage and maybe you respond with indictments or against sony respond with sanctions? are you in fact building a defacto system of red lines, a framework of deterrents? >> no surprise to you i suspect or to your audience i disagree with the critic, with the critics that we don't have a strategy or deterrence policy. and it's this. one, we believe very strongly that there needs to be a set of norms around cyber behavior and what you've seen the president working very hard and very carefully over the last several years to build a set of norms and to build international support for a set of norms. things like, countries should not attack a country's critical infrastructure with see per means. countries should not engage in cybereconomic espionage for theft and commercial gain. countries should

after killing sony, he robbed a subway in university heights. on sunday he also robbed a dollar general in cleveland heights before police arrested him. sonny's family said he one day dreamed of going to college to become an engineer or a lawyer. the prosecutor told us that perry made a full confession to avoid a possible capital murder charge foril he will be sentenced at 1:00 today at the justice center. more on that later. >> tia: all right. we will continue to follow that story. well yesterday at noon we heard from one of the members of the rhoden family. her dad was one of eight family members killed earlier this year in southern ohio. the survivors still have no answers about why or who killed a family member's -- eight it's especially eerie for kendra rhoden. fate intervened. >> i would have been there if my boyfriend hadn't had a toothache. needed money or a baby sitter. she was only supposed to be gone until 3:00. something happened. she didn't make it back until 7:00. after everything was done. there was a reason for it. >> tia: well i

that was a criticism in the sony had. in fact one of my colleagues at harvard law race question as to whether we could believe the fbi to your point. the second problem, which is okay, but they would you attribute the attack as we do with north korea, what then? what is the right response? should it be cyber, should it be sanctions, should it be something else? again, we haven't figured out the stock trades. you're absolutely right that a key element is how do you prove it. either way, adversaries know that. china and russia, the first question publicly and diplomatically every time is per day. how can you prove that we've done this? not to mention a moral equivalency argument everyone does it. >> these sites are almost inevitably going to end up being asymmetrical. we may have the best weapons in the world but i presume we are not down north korea's electric or degrade. so if we got any real kind of shooting war where we are sending cyberweapons across the internet to damage people we believe have damaged as, how does th

the first was north korea for the sony attack. here's margaret brennan. >> reporter: thes. intelligence community said in a statement that is "confident that russia's senior-most officials," directed the hacking of e-mails from the democratic national committee and other political organizations. moscow then provided the stolen e-mails to web sites dcleaks and wikileaks this summer, which in turn published them right before hillary clinton's nominating convention. u.s. intelligence believes these thefts and disclosures are intended to interfere with the cyber-security expert jim lewis: >> it's a great way to cause political chaos. they have done it in the past. they do it domestically. they've done it in other countries. it's a new tool that they use to get political effect, and so far, it's been pretty effective. >> reporter: just last month, an image allegedly of the michelle obama's passport appeared on dcleaks after a white house contractor's personnel e-mail was hacked. it also included vice president joe biden's travel details. in response, the white house has vowed to

sony sent him a cease and desist order. drag queen sent a letter to perry herself asking her to save this video. joining me is san francisco chronicle's ted. >> we have dancing drag queens, dancing politician and a potential lawsuit. it's basically politics as usual in san francisco. >> ever live in san francisco and i have gotten so many of these. i have seen the ad. we'll show a little bit of the ad that jane came is hiring and it shows her as a tae kwon do- trained candidate. what do you make of this race and each candidate's attempt to lure voters. >> this battle is enormous. there are so many issues and it's difficult for politicians in san francisco. everybody knows that san francisco is a democratic town. and we are just different shades of blue, not a red state person here. it's hard for them to differentiate themselves. jane kim came up with this genius idea, i'm a fighter, a black belt in tae kwon do. and weiner's people came up with this idea. he's a bit of a whomp. and the pest thing is for sony to come up with

what happens to sony? that's one i probably start looking at because, you know, i think the parent company needs to decide what to do with sony entertainment. viacom, obviously, and cbs together makes a lot of sense. viacom looks like it's going to name bob backish, who is a terrific goo guy. i have known him forever. they're staying within the family. i fully expect a number of these transactions to occur. >> ross, just real quick, you mentioned sony already. what about lion's gate, amc? what about maybe even stars? those are obviously much smaller than that cbs-viacom conglom rags you just spoke of. all of these have to be on the radar, right? >> you have to own it. if you are going to be in this platform business. i fully expect that to happen. you have to build subscription businesses. you can't do that. we just saw it happen, right? vessel, which really took a revolution earl approach to the influencer market in the tech space. you know, i think jason did everything he could ultimately ended up sellin

it is sony's new virtual reality headset. which is expected to help bring v=r into the mainstream. our tech reporter gabe slate got his hands on the device. before its release. he shows us the highlights. sot - >> gabe:sony thinks they are the one to make vr mainstream. nats - gaming and if anyone can. they got a shot their playstation video game console has always been a huge success embraced by young and old gamers. the headset works with the playstation 4 console, you must have that to run the headset. sony has recruited popular video game publishers to create games for their headset, including a star wars experience from ea and batman arkam vr from warner brothers. over 50 games will be available for the system by the end of the year. i tried the headset earlier this year. it was lightweight, it felt good i thought it was solid it is on par with the other two high end headsets on the market if you have a playstation console this will make a fun addition to it. the headset will be $400 for those who have not yet purchased a playstation 4, the new slimmer ps4 is now available for

the other the other two: up next on live at daybreak on today's tmj 4 --sony is giving consumers the chance to jump into a virtual reality world with its new gaming accessory. also-- a look at some of the coolest new tech features in vehicles as 20-17 models start to hit showroom floors. you know, seven hundred thousand dollars in the scheme approve this message. of things... is a pretty reasonable compensation level. ron johnson paid himself seven hundred thousand dollars a year. all told, he took a ten million dollar corporate payout then moved to washington. where he fights against even the existence of any federal minimum wage. millions for him. not even $7.25 an hour for us. senator ron johnson. for big corporate interests, in today's tech...sony is hoping playstation's new virtual reality headset willhelp continue the strong momentum its gaming unit has been seeing amid a slowdown in other devices such as smartphones.the launch will be a big test for mass market appeal of v-r experiences at home.the 399 dollar headset operates through the playstation 4 gaming new 20-17 vehicles

vonnie: sony has cut its forecast by 10%.nese company says have been a loss of component units. sony reports details earnings tomorrow. and that is your bloomberg business flash for this hour. mark: if you have been watching election results out of iceland, it resulted in a win for the conservative independent party, the popular pirate party. omar reports from reckitt benckiser -- party hasntries emerged as a winner. however, before a government can be formed the chairman of the north atlantic islands political work.s will only the president will meet one of the party leaders, to mandate the government. there are other options on the table when it comes to forming a coalition. political analysts and people within the grassroots, however most people believe that either the bright future party or the reverse party is the likely outcome. how long it will take to form a government is a bit of a guessing game. it may take as long as 26 days before everything has been done and tested. s&p global raisings -- ratings remain at risk o

oh "smooth criminal," raking in $825 estate selling the remaining half share of the beatles off to sony for 750 million. >> rounding out the top five, elvis presley in fourth place and prince in fifth. >> prince is fifth, huh. all right. >>> next, a month's long speculation is finally over. >> janet jackson confirmed her long rumored pregnancy at age 50 showing off her growing baby bump to "people" magazine. postponed unbreakable tour to focus on planning a family with her husband, a retired businessman. >> the five-time grammy award winner says, quote, we thank god for our blessing, and a source says she's doing well and resting until the baby's due and is already thinking about baby names. >> cool. congrats. >> congrats. >>> next, hoping to spread serious christmas cheer, whoopi goldberg is laumplging a new fashion line, but not the kind most celebrities launch, it's ugly christmas sweaters. i'm jealous actually. >> it is great. "the view" host entered into an exclusive partnership. she says there's 11 styles with different styles and different names. >> there's santa love, the skirt

walks away with a $20 million pension and $100 million in stock. >>> it's a big day for gamers and sony releasing a virtual reality platform that comes out today. vr. sony hopes tens of millions of play station users and competitive price makes it the leader when it comes to virtual reality experiences. it runs you $400, and you need to have a play station 4 in order to use it. >> details. a stand against pornography. supporters of an effort to make the south of australia free from porn turned out for a rally there. among those in attendance, 200 civic leaders who made a simple pledge. >> i commit that i won't view porn, and i will help create a city free of porn. >> they say pornography promotes domestic violence and exploits women. the mayor pointed out it was not a ban on porn. 75% of the city's residents are christians, but supporters say the campaign isn't entirely motivated by religion. >>> beatles fans likely to have a new lego item on the gift list for the holiday season that may take them back to 1969. >> it's a yellow submarine. you know the line, "we all live in a yellow subm

sony has cut its full-year profit forecast by 10%.he company says operating income will be two point $6 billion in the year ending march. sony cited losses in its component business. motor has raised its forecast for full-year profit. it says net income will probably rise to 3.96 billion dollars in the fiscal year ending in march as demand for its sport-utility vehicles surged in china. dbs has agreed to buy anz's retail and wealth business in five asian countries. dbs will pay almost 80 million u.s. dollars above book value of the businesses which operate in singapore, hong kong, china, taiwan, and indonesia. a deal to combine ge's oil and gas operations with baker hughes will reportedly be announced today. the wall street journal says ge will control the new entity, which will be publicly traded. spokespersons for both companies declined to comment. credit suisse is hoping to rein in costs by sharing them with another bank. the ceo told the financial times that talks are underway about ways to work together, which potentially includ

lauren: sony's inferno and experience td -- experienced a meltdown over the weekend. earning $15 million coming in second place. tyler perry's boo in madea halloween took the number one spot. dropping down a spot never go back. 9.6million and warner brothers the accountant with 8 and a half . cheryl: from movies to sports. the world series is heading back to cleveland, the chicago cubs from the brink of going home, chris solo home run ended rally lifting chicago to 3-2 win. chapman with final out. that's insane. two innings for the second time in her career. cleveland leads the series 3 games to 2. back in ohio. in football cowboys comeback, the team extended winning streak to 6 straight with overtime win over the eagles on sunday night. dak prescott wasn't his best but rallied the team from 10-point deficit. a tossed 5-year touchdown pass to witten they have a two game division lead. oh, tony romo, how do you feel this morning? four touchdowns leading new england to a 41-25 win. he's now beaten the bills 26 times. patriots are won four straight since brady returned a

today sony began selling a virtual reality headset.it's electronic giant.it's the playstation v-r headset.it lets you play in a virtual reality world where you can dress up as batman or face off against godzilla.the headset costs three hundred ninety nine dollars. there is now a second recall of samsung galaxy note seven smarhones.the consumer product safety commission is recalling the replacement phones samsung sent to people. the reca comes just days after samsung said it will stop making the together.there have been dozens of reports of the phones catching storm team 4 weather..lets get a check on the forecast.here's meteorologist ian niznansky. the mi 50s, our only clbi streak of 60 degree and above days comes to an end at 147 days. a frost advisory has been issued again for tonight, however, i think those of you who live with in a couple of miles of lake michigan will still be sparred of frost by tomorrow morning. lows tonight will range from aroudn 30 degrees 30s lakesideskies will be clear and the winds will be calm.a very nice warming trend starts tomorrow. with the help of sunshine

tom: sony kapoor, thank you so much.omberg markets" it is a good time to talk to sheila bair. always interesting and always controversial. this is bloomberg. ♪ tom: good morning. "bloomberg surveillance." george magnus is with us. steve major at hsbc has been right on yields, he goes lower for longer to 2021. do you agree that we are drowning in such debt that interest rates stay lower for longer? george: no, i don't, really. and i think, in fact, we may look back on what is going on inflectionrt of point. when we reached rock bottom in terms of interest rates and negative interest rate, from which the past may not be a steep rise but a turning point. a lot of water will still have to flow under this bridge before we can deem that inflection point to have arrived, but the genesis of the report that i aboutabout or commented in the imf eu about global debt situation are in a where we have to have solutions and answers on how to deal with the debt. a lot of people are starting to talk about greater fiscal acts. and if you

had its big sony pictures hack happen there is one quote where they said no she was born with those lips. believe me. she would never tamper with her face. it is her instrument. we will keep doing it even after the election. >> as a journalism professor you tell your students you shouldn't do it, but it is so interesting so you should do it. >> here is my think. i don't think we should report on it. if i ruled the world, we wouldn't report on hacked e-mails. however, everyone's competition is going to be so every journalistic outlet feels like they have to and their competition will report it. >> that's right. but that's what happens. everything of trump's they just release it. chris wallace or somebody was questioning and the taxes, you know should they be off limits? everything was released illegally, isn't it? >> did they have permission to tape him saying all of the locker room talk? okay aside from that one. >> just saying the russians are trying to influence the election only goes so far. it happens to be true. if the shoe was on the other foot we would be screaming bloody mur

tech gifts it's never too early according to tech expert some of the biggest gifts will be th new sony playstationon the arti in virtual reality headsets the first game comes out this week and dozens will be available including dragon quest and fina fantasy. >> worked with three titles out of the gate which is amazing fo a launch window delivers for immersive 360 degrees video tha you are transported into the videogame worldt is explain but mind blowing is going to be 50 titles by the en of the year costing $308 available for the playstation 4 and it is awesome to plug-and-play setup. for the don glauner there is a robotic dog, includes voice recognition and you could playd other activities just like a a man attacked me in a parking garage. tried to stab me with an 8-inch knife. but i carry a pistol. i fight back. that's why i'm still here. every woman has a right to defend herself with a gun if she chooses. hillary clinton disagrees with that. don't let politicians take away your right to own a gun. wendy's taco salad is back. wendy's had a taco salad? wendy's had a taco salad. fresh

for the other makers, if you recall, vio became independent from sony.ady has a similar deal that it pretty much controls all of. we are sort of entering an era were we will see a lot of formerly big pc brands just kind of plodding along. briefly, pc's, you could argue, have become commoditized, and the smartphone is at the center of that. is there a future for these things? best analogy that i like to use is that pc's are now like trucks. trucks have existed since the dawn of the auto mode -- of the automobile industry, but they are still around. there is a specific use for them. they are popular for businesses and for consumers. pc's, i think, are going to face a similar fate. uni spend eight or nine hours, even more in front of a desktop pc. that is not going to change anytime soon. but for consumers and regular people out there, their main digital gadget is right in the palm of their hand. nice one. a quick look at the other stories, a typhoon causing widespread flooding and south korea, drenching before heading north. at least one person was killed