>> what the heck just happened to the stock of twilio.le we're out in san francisco, i think we need to check in with cloud-based communications expert, because the stock did just implode after the company cut its numbers. it plunged down to 45 over the next 24 hours, and all i can say is ouch. twilio helps software to develop reliable communications systems via the cloud. and the platform is used by nearly every app that sends you text messages from uber to twitter and air bnb. twilio's sales and earnings came in better than expected. the company had to slash its guidance for the rest of the year and it scared off investors. the problem, its largest customer, uber, is changing the wait it handles its communications and offfloating its business to competitors. no one wants to hear that your company's top customers is hitting the bricks. so let's dig deeper with jeff lawson, the cofounder and chairman of twilio. get a better sense of the quarter and the company's prospects. you didn't say, hey, listen, i can't talk. you said, let's come an

>> well, i think that twilio and twilio is really a good example of an -- and akamai is too. to do it yourself. the companies that have relied on service companies that are cutting them out. you know what, we'll take control of our destiny. akamai was media companies doing it yourself. hard to see when you see diy in a conference call but there it is. uber is going to do it itself, they have figured it out. that's a trend here that says it's gotten too expensive to use the other guys. we're going to control it. apple is really a case of a company that's a consumer products company that is really covered by people who are looking for a level of growth that is just not possible, whether it be procter & gamble or apple. apple has the finest technology within a product and you take an adobe or salesforce, those are cloud companies that people love. why do they love them? because cloud is growing rapidly. tim cook doesn't have that kind of growth but that doesn't mean that the stock is a bad stock. not every stock can be facebook. not every switch reports tonight. not every stock

we will check with twilio. you are watching cnbc, first in business world wide.u got here? this bad boy is a mobile trading desk so that i can take my trading platform wherever i go. you know that thinkorswim seamlessly syncs across all your devices, right? oh, so my custom studies will go with me? anywhere you want to go! the market's hot! sync your platform on any device with thinkorswim. only at td ameritrade . >> i started buying twitter actually because i think they got their act together with artificial intelligence. twitter the key to artificial intelligence is data and twitter hasn't been able to harness their data to deliver tweets and use information and how they deliver ads. no you they sort of hired the right people. they're starting to get higher. you see it in the results you get than chronological. you see things that are relevant that make difference. >> that was billionaire mark cuban talking to cnbc about his investments in twitter t. stock climbed. the social media giant plans to add partnerships to the streaming initiative. for more, let's hea

jarod reyes /twilio developer says: <" every year there are 6.5 million pets that ">jarod reyes is withwilio, a tech company based in san francisco that is hoping to make a dent in those numbers with their new artificial intelligence app that using chat bots will match people with their perfect pet. they are a cloud communications platform that powers the messaging in some of the most widely used mobile apps like airbnb, open table and lyft... if you text the world "soulmate" or "shelter me" to the phone number (980) 477-3728 that will start your converation with twilios chat bots. you will be asked if you want a dog or cat.. your zip code. and then a series of questions to narrow down what you are looking for.. gabe slate /tech reporter: <" after you answer some questions you take pictures of your place.. indoors and outdoors and send them those pictures through text "> jarod reyes /twilio developer says: <" then are bots will look for pool or outdoor or kids and factor that in ">then you will get a text back with a picture and information on an animal from a lo

. >> twilio, doc.me good news just maybe a week or ten days ago talking about amazon using their cloud services. now up supposedly uber is cutting back substantially. the stock just fell off a cliff. i sold puts as a way of getting long. >> speaking of train wrecks, etsy and groupon, ouch. ugly. >> all we're talking about are train wrecks. e it tsy is a sad story, this is a company that really at its fundamentals should be doing better, showing more growth. their marketing expenses were through the roof so they're taking action, cutting costs and including the ceo. that never looks good. the stock will be in the penalty box. there should be growth here and you're seeing it on the top line. groupon, there's no competitive. anyone else can do the bargain a day thing. you're seeing that and they still haven't made money three years into the game. they should be by now. competition is killing them. >> are you sure you're done? >> you gave me two. >> you did double him up. >> okay. >> i'll defend you. >> fa

yes, she's talking about twilio. >> twilio out with full-year revenue lower than expected.he ceo is blaming uber saying the ridesharing company will be reducing communication services over the next year and doing more stuff in house it makes up like 12% of twilio's use taj. that stock got slashed by 30%. >>> weight watchers beating the stretc street adding subscriber force the fifth straight session in a row. yesterday thiey had ra 14% gain >>> and mondelez was helped by cost cutting, strong sales of the chocolate brands and better product pricing in latin american markets. stock price up 2.6%. >> odd chart. something goes from 40 to 46, it looks like an earthquake. it's done nothing for the year. >>> we have steve n whiting and chris rupkey from mufg. do you always say mufg? >> mufg, yes. >> no one thought about whether -- >> i'll get you a hat. >> no one thought do these ledsers go together in a meaningful way? >> mitsubishi. >> mufg. >> you a your branding people, d anyone ask -- >> this is above my pay grade. >> m stands for mitsubishi. >> i know what it stands for, it

writing it now -- grinding it out, twilio -- rounding it out, twilio.e outlook that missed, whether you are looking at the second quarter or the full year. second-quarter loss, that range is going to be about $.10 to $.11. the damage that full-year, the loss could be as much as $.30 on the high-end. a big miss for twilio, which is a miss -- which is ironic because clout supplying is one of the highlights of the market -- cloud supplying is one of the highlights of the market. you are seeing earnings growth of over 10% for the first time in years. the apple launch is out there and we cling to record highs. we are down by about 9/10 of 1%. coming up on this program, we are joined by ronald reagan's senior economist, martin feldstein. from new york city, you are watching bloomberg. ♪ ♪ jonathan: after auto sales rollover and gdp growth softens, the federal reserve is expected to keep a rate hike in june on the table. the european union wants the u.k. to pay up. apple clings to record highs after reporting falling iphone sales. a major revamp you later, thi

. >>> twilio shares plunging. they are lowering full-year revenue. they blame uber in part saying the ridesharing company will reduce communication services over the past year. >>> weight watchers beating the street. the weight loss company adding subscribers for the fifth quarter in a row. and mondelez expecting higher profit and sales. it's up 2.6%. this is one i follow. it's a good one for us to talk about. it's a company that 80% of the business is overseas. i talked to irene about the results last night. interesting comments on the macro environment. she said q1 was very messy because of the easter shift. she did say she's seeing a turnaround in russia, germany, southeast asia and mexico all better. what surprised her most was the fast recovery from the india demonetization. also interesting, she said in europe the business has been good. that's their biggest market but some concerns around brexit and around the french election are leading to what she called muted consumer confidence. once she says we see clarity on those issues, she expects a b

twilio and box up. >> had to shake that preference for tech stocks. >> ooing ik yoif got a combinationf better earnings reports and the fact that the special counsel was appoints to calm the turbulence that sent nup the keep hole of a selloff on wednesday. we've recovered a lot of ground. >> guys, have a great weekend. go to headquarter, melissa and the half. t trz. >> >>> welcome to the halftime report. top trade this hour, the rally that just won't quit. with us on the desk today -- josh brown, josh brown need as watch. we'll be along shortly. >> an apple watch. >> the markets wilding on gains following a volatile week that saw stocks suffer their biggest drop of the year. industrials leading the pack because investors shift their focus to

snap, of course, out of the gate but plummeting on its first earnings report while twilio but stock startedt fall and splumted after its most recent earning report, on news it's losing a chunk of its business from uber. and then there's okta and cloudera. so far they're trading above their ipo prices. we'll see if that changes. the 2017 disrupter 50 list will be revealed tuesday on ""squawk box"." carl? >> julia, especially with in response to the president's tweet about whether it would be wise to cancel the press briefing. he writes may i suggest questions submitted via twitter. a perfect record and we distribute to the world not just those with the tv. it's get iting a lot of brush bk on social today, julia. >> there's been a loft talk about the fact that president trump has used twitter to communicate with the world. there have been a lot of questions to twitter about whether or not they've been able to from this. i remember asking around the last earnings report whether or not their increase in users is a result of the pact president trump used twitter so avidly. he said it's part of t

twilio and box up. >> had to shake that preference for tech stocks. >> ooing ik yoif got a combination of better earnings reports and the fact that the special counsel was appoints to calm the turbulence that sent nup the keep hole of a selloff on wednesday. we've recovered a lot of ground. >> guys, have a great weekend. go to headquarter, melissa and the half. t trz. >> >>> welcome to the halftime report. top trade this hour, the rally that just won't quit. with us on the desk today -- josh brown, josh brown need as watch. we'll be along shortly. >> an apple watch. >> the markets wilding on gains following a volatile week that saw stocks suffer their biggest drop of the year. industrials leading the pack because investors shift their focus to earnings. is this a buyal? financials catching a bin today, up by more than 1%. that fear trade that really spiked volatility on the big sell off, we talked about how weekly futures had gone into backwa backwardation. higher than the front than out the curve, that has reversed comple completely, so they've taken b that fear out. whether it was tr

we were investors in dynamic, twilio.y're built on top of the cloud. >> looking at them as utilities, they're renting the data, the capability for other businesses to be built. >> as a follower of the u.s. economy, i think the productivity gains of the next ten to 20 years on the back of the cloud as every industrial company moves to the cloud, i think this means hundreds of millions of dollars for incremental airlines as an example. they haven't even begun to transition. >> is there a danger as we saw with the bells with the last utility, they break them up. under the trump administration, which is very business friendly, probably doesn't happen with amazon and google, have such motes around their businesses. we know what's happened in europe. will that happen here? >> as a country, we've looked unfavorably on unnatural monopolies and favorable on natural monopolies. they're getting there through innovation. i hope they don't break these companies up. as you said, compute and storage utilities, i think this is going to e

as we go to break, we're watching shares of twilio sinking.r accounts for about 12% of the business and is changing the way it does messaging and will move some of its driver/passenger communication away from the company. facebook is the other major client. stocks down by a fourth. rick santelli, what are you watching? >> you know, people in chicago like in this pit are or micritil of the cubs now that they won the world series last year. is the fed going to be critical of softer data because of the stock market's run since november? that's what we're going to talk about after the break. >>> coming up, are apple's earnings something to be worried about or a sign of things to come? we'll get the answer. plus, jim cramer weighs in just ahead of his interview with tim cook. plus, better late than never. the one stock goldman sachs just upgraded and the fed may be ready to steal the show. that's coming up. see you in ten minutes or so. >> let's get to cme group. rick santelli and santelli exchange. >> in the tease i just did for those who might no

twilio. phil in new york. phil. >> caller: hi, jim. are you boo-yah. >> boo-yah, phil. >> caller: thank you, thank you so much for helping the little guy. it means so much. >> we're all little guys. lease up. i'm little. i shrunk five inches. my daughter is five inches taller. >> caller: that's good. in a little bit in the doghouse. vsc corporation. vfc corporation and i just don't know what to do. >> it has no mojo sui a technical term for i don't see a lot of earnings growth. pvh. manny tirico is delivering. let's go to connor in nebraska. connor. >> caller: boo-yah, jim. >> boo-yah. >> caller: local of omaha i would like to know what the oracle berkshire hathaway is headed buy or sell. >> i would say it's high and i'm a buy, buy, buyer and that, ladies and gentlemen, is the conclusion of the lightning round! >> announcer: the lightning round is sponsored by td ameritrade. so that i can take my trading platform wherever i go. you know that thinkorswim seamlessly syncs across all your devices, right? oh, so my custom studies will go w

i've been watch iing of twilio, not excited about the guidance given, but spoke about the buzz on thew is that although they guided a little bit lower and guided around their interactions with uber, they probably are hedging themselves. think about it. the biggest clients, the facebook, there's netflix, amazon invested directly. i think we might be okay. you skrjust close your eyes and ride the coaster. first couple quarters being a public company can be a little troubling, but i think that their business model and in advance in the market place is incredible. >> maybe another way to play the biggest names of the year so far. guys, stay right there. marking 121st anniversary of the dow jones industrial average. bob is on the floor with a look, bob, and i love this, at the average annual return for the dow since inception, what did you find? >> we have the answer. average annual percentage the last 12 is 1 years, 7.5%, annual basis does not include dividends, so actual returns would be higher. now, you probably know the path to seven and a half return is not smooth. in the '20s, up sev

. >> twilio bought it today. >> going back to the financials, gs. >> igm, north american tech. >> good stuff. good seeing you. >> likewise. >> "power begins now." >>> indeed it does, scott. sthuch. welcome, everybody. i'm tyler mathisen. here is what is on the menu for a two hours of "power." counting down to the fed, a decision is less than an hour away. their take on the economy, interest rates, and much more coming up about an hour from now. apple still the stock of the day trading a bit lower after earnings yesterday but shortly the ceo tim cook, as scott just mentioned, will go one-on-one with "mad money's" jim cramer. we'll talk to jim ahead of his big sitdown and find out what he wants to learn from the chief apple guy. and call it the trump bump. shares of the morning times up. as the president would say bigley on the back of its strong earnings. the ceo of the nyt joins us live. "power lunch" starts right now. >>> welcome to "power lunch." i'm michelle caruso-cabrera. major averages are lower but holding steady ahead of the fed decision. this move in the nasdaq down 29 points.

there's a similarly rough time with twilio.n a warning they are losing revenue from long time disrupter uber. now, weighing on etsy, failure to keep innovating, resulting in ousting of the ceo. two surprise success stories this quarter from the founder and ceo of two companies. jack dorsi. concerns twitter was stagnating, twitter beat expectations on the top and bottom line and reaccelerated user growth. square beat expectations as well by successfully diverse revenue streams and broader geographic reach and banking and loan services. see what companies have what it takes to keep innovating long after they go public. kelly? >> that's the key, julia, thank you. that fifth annual cnbc 50 list is unveiled in full this coming tuesday. don't miss it. as we talk about whether, you know, how the public companies do, will snap shares drop, hear others going public. joining us now from secondary ratings.com, welcome to you. >> great to be here. >> yeah, a lot of focus when a big name like this is public and the fact they did so awful my

worst quarter of the perhaps the whole season, twilio.on to explain i hope why uber has decided to move away from them. that was the 17% client in q4. >> remember, guys, we started the hour talking about ai and the disruption of jobs. mark cuban was listening and tweeted to us, if you want to know the impact of neural networks, create an index of total domestic employment across spx companies. i guess we know where mark starts. >> and neural networks are important when it comes to ai. computing power and data, but that's not what we're talking about when we talk about the true advances in ai. we talk about being able to think. that means creating neural networks and i think we know exactly where he stands. >> yeah. >> jim, see you back here tomorrow. >> we'll go to "shark tank" and get $1 million. tomorrow, yeah, i'll be back. take the red eye. see this suit, you may see it again, but a new shirt. >> it will be a big day with jobs and yellen speak. see you at 6:00 p.m., "mad money." keep an eye on capitol hill. looking for a vote on healt