i want to bring in our steve kovach, it's good to see you. news out of china, government officials not being able to use the iphone at work, et cetera, and then, you know, news out of the eu as well, and then questions about the valuation, steve, which you know, you look at too. historical averages versus where it's at today. >> yeah, and i think the eu is the most important story h happening right now, scott. this designation that the european government gave under this new law going into effect next year, it goes after apple's you know, high margin businesses. the app store is at risk here. imessage is at risk here. imessage is the lock in that keeps people upgrading to a new iphone every time instead of switching to android. all these pieces of apple's walled garden are starting to be cracked down by the european commission and basically it's forcing apple's hand. next week we're going to see this in action, actually. apple's expected to change that charger plug on the bottom of the new iphones because the eu put out a regulation saying th

steve kovach, thanks to you as well.much to push some of these stocks around, just given where we are. >> yes. where they got to in the first half of this year and you know, some people have been looking at that and said, nvidia aside, that it was being pretty aggressive in pricing in a durable turn to the semi cycle, so yeah, not too surprising to see that the convention is not necessarily strong enough to defend against these kinds of pulldowns. >> major averages here. dow is down just about 300 points at the moment. we are red across the board. it's been a rough stretch. >> exit right at 4,450. >> we'll talk about that more next week, i'm sure. it's been an ugly run. mike santoli, thank you. good weekend to you. i'll send it into o.t. with jon fortt. >>> well, everything red to end the week. that's the scorecard on wall street, but winners stay late. welcome to "closing bell: overtime." we are going to talk with the ceo of databricks, the mega unicorn software company that just raised an additional half a billion doll

steve kovach live in new york with the latest. biggest weekly decline since march. our next guest says more pressure is likely ahead. there is potential for markets to pull out of the skid. sam stovall at cfra is here with us. great to have you here. give us a sense how we pull out of the skid with rate pressure and the dollar right now moving 2% higher over the last month with technical indicators showing the golden cross that we could see a higher move higher for the dollar. >> frank, you have to have additional concerns added to the equation for share prices to decline. as of last night, s&p moved into a pullback which is a decline of 5% to 10%. i target the 4,200 on the s&p as the bouncing point because it represents the level and it was always the high in march of this year. it represents a floor that might be able to be optimistic for investors. >> all of that, sam, what is the wex word of the day? >> the word of the day is countdown. investors are counting down the end of the seasonal weakness period which starts in august

let's get to steve kovach for more details. steve? >> hey there, dom.ttom lines for kb home third quarter. eps was a beat at $1.80 versus $1.43 expected. revenues beat, as well. $1.59 billion versus the $1.48 billion expected. but shares are down due to a sales decline on the top line compared to last year. company citing tough comparisons to the strong quarter a year ago, but the ceo saying in a release 2023 will be more profitable. revenue was $1.59 billion, like i said, down from more than $1.8 billion in that year ago quarter. kb home also saying net orders increased 52% to 3,097, crediting improving demand and lower cancellation rates compared to last year, because buyers were canceling due to the rising interest rates back in 2022. call just getting started, dom, and we'll be back with any updates that are moving the stock. >> all right, steve kovach, thank you. let's trade it. karen, you're up for kb home. good or bader is the housing market and home builders priced for perfection? >> i think sentiment could change, right? i think they've been ab

our steve kovach joins us now with the executives behind the launch. to you. >> reporter: and joining me is phil spencer, microsoft's gaming ceo, and todd howard, director of microsoft's bethesda studio. thanks for joining us. phil, i will start with you. >> thanks for having us. >> reporter: going into this launch today, the stakes are huge. we're nearly three years into the xbox cycle. still haven't really seen a big critical and financial success on the xbox side of things. what are the stakes here for starfield? is this the kind of game you will think will drive more console sales and subscriptions, phil? >> well, we're definitely seeing huge demand for the game. the game has just been in preview. we've had more players for any nextgen exclusive than we've had this generation. today is when tens of millions of game pass players are going to get to play. it's the most wish listed game we've ever had between bethesda and xbox on steam. big game releases are a lot of fun, and it's great to be a part of it. >> reporter: todd, you've been working on this

steve kovach. his before, steve said that huawei sort of went dark when it was limited from accessing silicone, but actually gained market share, it doubled the market share. >> yeah. >> despite that. >> and we also have been talking about this since the advanced chip bans came in late, you know, last year or something like that, that, you know, this forces the chinese chip makers to get better at what they do. if they don't think this is going to get better. we're talking about a phone right here, and huawei is a vertically ente grated company also. they're going to get better at all of it, especially if they see a tougher road in access to our technology. that doesn't make apple's life easier, right in the environment that they're playing in. now, apple has done very well in china. they've gained a lot of market share. some data will show you the number two or three from where they were five, you know, in 2019, when -- you remember 2019, they were having a really tough time with china. the first d

"wall street journal's" joanna stern is with us after the curtain-raiser from our steve kovach. good to see you. are you a buyer of this view that a huge part of the install base hasn't upgraded in years and is poised to? >> i definitely believe a lot of the install base hasn't upgraded in years. that's because we have seen incremental updates over the last few years and phones last even longer, right? you can replace that battery. you can replace that screen when you break it. so, that is part of the reason. i think that this year we're going to see, again, another incremental update, what people may say is revolutionary but evolutionary. and around that, we do see people who are going to need to upgrade. whether that's the two to three or three to four-year cycle. >> we were talking a moment ago about some of the higher expected asps at the high end. are you going to be sort of on watch for what you think the consumer can pay, can afford? >> yeah. last year my review of the iphone 14 was go pro or go home. it was very clear the pro models had superior features. had the dynamic

steve kovach here has the details. initially we didn't like the headset.what's the story? >> shares were down nearly 4% during mark zuckerberg's presentation. here is what he announced, the metaquest 3, the third device in the headset lineup, and they will all compete coming next year. the snoop dogg one is a dunker master you can role play with. the rayback glasses let you take pictures from the camera and share them to social media. you can ask questions, so why the stock reaction? >> well, media is still focused on the money-losing metaverse. the thoughtbots were framed as -- or if it they have a co-pilot a.i. product they're actually selling. it's unclear how mesa plans to make money off of this, scott. >> we'll see. i don't know. we are both at the apple event, too, and we were calling it a hangover when the pricing came out. it lasts for a bit, and here we are talking about the companies hoe didn't mention apple by name, but implicit is this is a $3500 headset. the apple version is much more refined, but zuckerberg's thesis seems to be make it more c

here to explain is steve kovach and jessica lesson. welcome to both of you. steve, what do we know? this is the digital markets act passed a while ago. we know it's going to go into enforcement next year. on the apple front, one of the things targeted here is i-message that we're all addicted to it. but what this tries to do, you remember the green bubble problem, you text someone an an android, you can't laugh at it, maybe your picture doesn't go through or your emoji doesn't go through, this is designed to fix that. if apple reach ascertain threshold, 45 million monthly users, $ 7.5 billion revenue in the eu, and apple passes all those metrics. what we are hearing from the f.t. is, they're trying to fight against this, is because it would force them to make i-message interoperable with other messages. if you prefer whatsapp, you can text me. apple is pushing back on this, in part because having admitted this in a court case, i-message is such a key lock-in factor for people, when you think about getting a new phone, one reason to go from iphone to iphone instead of iphone to i-mes

steve kovach joins us to break down that call.y cheap valuation on this name. it's almost been a sleeper to some degree. >> that's right. it's not just about a.i., but we'll get to that in a second. it's also demand overall, with stronger than expected. we know the pc market is just collapsing. tab tablets, too, even smartphones. that's apple's bread and butter here. look, it's another a.i. story here. morgan stanley saying this is the first company in their coverage to directly benefit from this generative a.i. boom. just like you said, this is the $2 billion a.i. server business they have. there's a backlog there with even more demand to come. this little company called nvidia is partnering with dell to help that server business. look, nvidia is also a beneficiary of this as well as dell is going to have to buy up those chips. on the apple front, they're coming off a month of august where they were down better than 4%. still up about 45% year to date. the next catalyst we'll see for apple is in less than two weeks thenew iphone

. >>> before we go, let's get steve kovach with some pricing headlines on the iphone. >> yeah, so thehe base model then 899 for the plus. the one with the bigger screen. these are not the models we were thinking there might be a price increase on. they just announced the 15 pro model though. still going over the feature of that but they did show off this new titanium casing for the pro model. so hopefully in the next few minutes, we'll see what that's priced at. >> i think the question is whether that's going to be 999 or 1099 if i'm not mistaken. thank you. yes, next on "power lunch," you may not like it but our strategist says investing in the consumer space is hard to avoid. we've got that, more apple headlines and we'vegot tyler mathisen getting ready. i'll join him on the other side of this break. coach saban, this goat done took over our office. and he's using it to send out medical bills. good hands! hospital bill for prime?! gaaaaap! did you just say gap?! he's talking about expenses health insurance doesn't cover. good thing coach prime knows about...say it one time! aflac! b

meantime, back to steve kovach now at the apple event because we have pricing on the iphone now. eve. >> these are the iphone pro models that staying the same price as they were last year. a lot of analysts going into this event thought apple was going to raise prices but they are starting at 999 for the smaller screen and 1200 bucks, 1199 for the bigger screen max version. some other features in here include a new zoom on the max model. it can go up to 5x optical zoom. last year, that was a 3x zoom and some other great features that for camera enthusiasts, being able to plug your phone into your mac for quick editing. again, i want to reiterate the pricing is remaining the same as it was last year. the regular model, 799 and 899 for the larger and pro versions, 999 and 1199 for the larger one. >> thank you very much. >>> let's get to bertha coombs now for a cnbc news update. >> five memphis police officers have been indicted for their alleged involvement in the january arrest and beating of tyree nichols that led to his death a few days later. the officers are facing three differ

i'm steve kovach. here is your cnbc news update.ber of the proud boys, who smashed a capitol window with a police shield he stole from the cops, sentenced to ten years in federal prison today. the only one of the five defendants in the proud boys trial who hasn't been convicted of seditious conspiracy. in addressing the judge, he said he was a changed and humbled man, but as he was led out of the courtroom, he raised a fist and shouted "trump won." >>> another big shakeup in college sports. the atlantic coast conference, or acc, adding stanford, cal, and smu next year. this will help create a pool of revenue to be shared among other acc schools. sources say it will bring in $50 million plus each year. stanford and cal's exit from the big 12 leaves the conference with just two remaining members, oregon state and washington state. >>> and fisker is releasing new details on its electric vehicle. with the touch of a button, the rear window rolls down, and then the entire door disappears into the body of the car. >> very cool. thank you.

former ftc chairman and steve kovach join us now to discuss this crackdown on big tech.alk about the eu commissions designating 22 services of six major tech companies as gate keepers. what does this mean and it goes to questions about interoperaablety of messaging platforms. what are they trying to get at here? >> yeah, tyler. and the messaging thing, that is just one tiny slice of this law that is going to have broad implications for apple, amazon, th that's alphabet, bike dance. now that these designations have been handed down by the european commission, these companies, for example, meta, which has what's app on there, what's app will have to talk to i message and vice versa. facebook messager has to play in there, too. go google search has to give you the option to use bing and what this really is going to make these companies have to do is create their products maybe even differently than they work in the eu versus the way they work in the rest of the world. back to messaging. what's app is a private message between you and the person you're talking to. facebook c

. >> thank you very much, eamon javers >>> let's get over to steve kovach with cnbc news update. >> yeah today the united states is working with kosovo to investigate a shootout at a monastery that killed four people last weekend. the ambassador in the region told reporters, authorities are trying to figure out who sent a train and organized group of about 30 heavily armed serbs into the contested region and why. the violence prompted new international concern over stability in kosovo which declared independence in 2008. >>> also california governor gavin newsom signed a bill into law that doubles the taxes on guns and ammunition in the state. the money will be diverted to pay for more security at california public schools and into violence prevention programs >>> finally, there's a new commander of the international space station as three astronauts prepare to come home. the title was handed over to andreas morganson of the european space agency in a ceremony today nasa astronaut frank rubio is among the three who will depart the iss early tomorrow morning during his mission there, he b

that's where we find steve kovach with a special guest. >> yeah, joining me today, yusef metti from microsoft's head of windows and in addition to everything else you've been doing the last 30 years. so thank you for joining us. >> thanks for having us. >> the big news of the day is co-pilot, your ai assistant that you are putting across teams and outlook, it's coming to windows, as well september 26th. the one that everyone back home is the co-pilot for microsoft 365. $30 per month per user, coming out november 1. that's when you will start selling it. the big question, why is it worth so much money? that's a hefty premium. what are customers getting for that extra $30 a month. >> some incredible capabilities that you can't do today. in the testing we have done with customers, you near a meeting. you can have a meeting summary, and the ai can summarize the entire meeting and give it to you in bite-sized chunks. you can get all of that, that time is unbelievably precious. for $30 a month, it's an incredible value. >> you're learn thing from a couple hundred companies that are beta testing. wh

. >>> and let's now get to steve kovach for the cnbc news update. >> yeah, ukrainian president volodymyrskyy is reportedly expected to attend the annual united nations meeting in new york later this month. albania's ambassador said zelenskyy will take part in a u.n. security council meeting on ukraine set for september 20th. meanwhile the ukrainian government said today its troops broke through russia's first line of defenses in several places and made notable progress on the southern front in the last 72 hours. >>> also the pentagon unveiled a new website billed as a one stop shop for publicly available records about ufos. the site will house photos and videos about resolve cases as they are declassified. it briefly crashed when it went online thursday but back up and running today. so start downloading. >>> and finally, canadian authorities told drivers to keep their windows rolled up and beware of a swarm of bees accidentally released during an incident outside of toronto earlier this week. yikes. apparently crates carrying some 5 million bees slipped off a truck during transport wedn

testify today likely about the deal that made google the default search engine on the browser steve kovachore. >> reporter: eddy cue is testifying today you may ask why is eddy cue at the trial against go against go? he is in charge of the apple tv plus and the billions that apple collects from google to keep google the search engine it is alleging deep pockets to be the default search engine i'm told by sources familiar with the testimony today, he plans to defend the arrangement with google. he believes google is the best and users have the options to switch he will say apple doesn't make theirs and google is the best and they don't need to allocate research to create their own those google tpayments go to the services segment and according to analysts at bernstein in the note last week, google pays apple 19 billi$19 billion this year the testimony is likely going to be closed today. another apple executive testified last week. his was closed as well we will find out more later this morning, guys. >> something major happens and you will let us know >> absolutely. >> what is a surprising

steve kovach joins us this morning from san francisco with a breakdown of everything that he saw.s on tap? >> yeah. let's start with what's going on with the iphone 15, andrew. now, the iphone 15 adopting many of the features from last year's pro models. that means a screen with that whole punch cutout and the same processor from last year. the iphone 15 is going to start at 799 for the model with the smaller screen. the plus model with the larger screen, that's gung to be 8 $99. same price as last year. as for the iphone 15 pro, the casing is replaced with steel and has the newest and fastest chip. the camera can zoom up to five times and doubles the memory. it comes at a cost. the 15 pro max will be $100 more than last year. all these phones have a new port for charging that's called usb-c and it's the same standard plug used on android phone and other devices. everything goes on sale on september 2nd along with the new apple watch and apple watch ultra-that got minor update this year. we'll have to see if the new lineup is enough to return apple to the new topline growth after

steve kovach joins us with more on what this all means. >> this is a big one, andrew.ch, the digital markets act. today the european is designated so-called gate keepers and services, 22 of them, they provide, that will be subject to the new law starting as soon as march of next year. it is all the companies you expect. apple, alphabet, meta, microsoft, bytedance, and amazon, all impacted by this. and wide variety of services from each of those names. for example, apple will have to allow other third party app stores on the iphone, google will have to give users the option to use other search engines like bing, and amazon won't be able to favor its own products in search results over third party products. this is still being decided. apple's imessage and microsoft's bing, you can message people using other apps. but apple and microsoft are still quibbling over the designation for those two services. apple spokesperson tells me it views imessage as a private security platform and apple provides users with the option to use other messaging apps instead. we have a long wa

let's get over to steve kovach who is on the scene. >> reporter: hey becky.ere at 8:00 p.m. last night. and this is for the iphone 15. the doors are about to open. and look, pressure is really on for the iphone 15 pro to sell. that is the more expensive phone. and there is tim cool bk behinde doors. doors are about to open. let's take a minute and listen to this. here we go. and look, these are the customers, becky that are going to be buying those iphone 15 pros anyway. what tim cook really needs is the rest of the country to really get in on that because smartphone demand has fallen quite precipitously. they need to sell the more expensive phones to return apple to that top line growth after three quarters in a row of declining sales. there he is. d doors are open. there we go. the crowd cheering. >> so people are filing in. the guy there since 8:00 last night, was it because he wanted to be the first to buy an iphone or because he wanted a sighting of tim cook? >> both. he was late to the pre-order process. and so if you want the phone today, you are going