wearable tech wants wearables for the world's poor. all of that ahead on "bloomberg west." u.s.fficials are investigating a breach that compromised records of up to 4 million employees and it might be part of a larger plot to collect federal workers personal information. evidence suggests that the hackers are the very same hackers who stole millions of records from lou cross earlier this year. these thieves are reportedly linked to the chinese government and could be using the information to target people through bribery, blackmail, or other forms of espionage. how worried should these employees be? we are joined with more. a former senior analyst for the nsa. also have danny rogers from washington who is a cryptography expert. and, mike riley. how exactly did this happen and who has been hardest hit? mike: we know they are related to a series of acts that had been reported. one of the things that the office of personnel management does, it houses a lot of data for individuals who are applying for background checks, for national security clearances secret and top-secret. apparen

i find it interesting that you chose wearables. why wearables? what are the applications here?st: we are looking at things that people need to have, things that are nice to have. if there is a fire that breaks out in the slums that could kill millions of people, can we prevent it by having something that is in the environment or on someone's body. emily: how would it work? guest: you have something that they could wear that alerts for increased carbon monoxide. it could then alert the authorities or the people in the community. emily: what do you expect to see in terms of adoption rates? we have a lot of tidbits and job awbones in the desk drawer. you see these becoming the fabric of their lives. guest: i think we will need to rethink what wearables are. at the moment, they only catch a portion of your life which is usually related to your health and well-being. as they start to touch people's lives in a way. could we track a mother's health ? to let her know that she needs to go to the hospital to deliver. or to track the nutrition of children or to help children figure out, i

how long does the wearable trajectory run?he indications are that it's positive because they are upping the range here. >> jon, profitable, well-known name, sold 20 million of these things so far. >> the central question is what fitbit does about the smart watch movement. do they decide to move into android wear and make accessories that work with the apple watch or do they decide that they are a system on their own? they risk getting blackberried if they do that. but if they are successful and do the whole hardware and software i software integrated package. >> some say the timing is odd. >> but carl, in a way, this is like the perfect storm for an ipo store. you have the company and the deal. the company side, as john mentioned, is growing and profitable. let's stop right there among tech companies. it is margins are great and they are actually growing. so, you know, this thing is a solid story in and of itself. yes, there will be competition but, as jon mentioned, this is only the eighth technology ipo of 2015? investors, t

wearables 173% growth for wearable technology.t's wearable technology that includes the apple watch. but that's the forecast. >> i think they have to come out with new innovations to keep it relevant. i think it's going to end up in the sock drawer pretty quick. >> the consumer has to be sophisticated. it's a great demographic, i can build an indication why the business is going to be successful, but i'm talking about the valuation of the company, stuart not necessarily the success of the business. just talking about the metrics of the valuation have to be concerning to can be -- concerning to somebody doing this for some period of time. >> which you're great on by the way. who knew that you would be an iphone fan. stuart: i carry it everywhere and it measures every footstep that i take goes with me everywhere. isn't this what fitbit does? i've got it already on my apple phone. i don't know what else i could get out of this maybe my heart rate i don't know, but i've got it already. why would i go out and buy it. >> this is my meas

up next, could wearable tech save lives in emerging economies?ncine: welcome back to "the pulse" live from london. the wearable devices maker fitbit has boosted its initial public offering to as high as $656 million amid strong demand for its shares. it highlights what wearable teach is.-- tech is. they have joined forces with unicef. caroline hyde is here along with unicef's u.k. head of innovation and the arm holdings executive vice president. thank you for joining us. how much do people know about how much wearable devices and technology can make a difference to children around the world in emerging economies? katherine: it is our best kept secret at unicef. we have been working for 10 years now in taking technology into developing countries. some of the things we were trimming about 10 years ago around how you might use real-time data, we are seeing coming to fruition now. you would not have been able to imagine that in nigeria today. all the births are registered. in ruwanda by giving health care workers mobile phones, you're able to at the

or is it all going to end up in a wearable or in an app on a smart phone. the field is crowded for now. misfit garmin android devices, pebble. jawbone. fit bit has denied allegations of wrong doing but that doesn't even address the biggest potential wearable threat -- apple. the big question is apple watch going to be the category killer actually raises awareness. d a lot of people are going to think oh let me go buy this fit bit. let me buy the apple watch. at some point does apple buy these guys or someone similar and bring the functionality in-house? do know. >> stepping out and going solo e of strong demand. here's some t company can keep it that way. >> the surest way to make sure they are out of business three or four years from now is to react to the quarter. >> and that does it for nightly business rt for tonight. i'm sue herrera. >> and i'm tyler mathisen. have a great evening everybody. and hope to see you right here . >>> tonight on "quest" -- giant ground sloths. saber-toothed cats. columbian mammoths. camels. it's not africa. it's your neighbor

i love it. >> reporter: meets function. >> this is a wearable device that helps track your sun exposure throughout the day. >> there are times in life where you can go and trying to exercise trying to find out how well you're doing but this tells you are you doing harm to yourself. >> reporter: this doctor of the center for dermatology and laser surgery in sacramento says the june bracelets is the first wearable device on the market to put you in control of your skin health. >> this gives us a tool to know and quantify how much we are getting out of doors. >> i am very religious every morning about my sunscreen. but i think the hard part is knowing when to reapply it. >> reporter: that's where the bracelet comes in. it goes with an app personalized to your skin type and will send you notifications when it's time to reapply. >> i'm excited about this new technology. we have the sunscreen and tools but we don't always have the reminders until it's too late. >> if you're sunburned you raise your risk for melanoma substantially. >> reporter: it's the exposure your you're not realizing durin

our watch is, as i said, a wearable technology and a natural wearable technology on the wrist.at people are focusing on luxury when they look at our watches. that is why well-being is a timeless thing. it is not a fad. that is why the -- we did not have silly problems due to the downturn. rishaad: are you seeing anything from the downturn? >> not much. of course, after the financial crisis in 2008, sales slowed a little bit. but it picked up immediately. that is because people are because ofip stein the technology. also because it is a beautiful watch. but the main thing is, they have an adjunct to their healthy lifestyle with our watch, which helps them feel better during the day and hopefully sleep at her and night. can't call it a luxury watch. the apple watches in the market. how do you perceive the competition from their? >> i am happy about the whole movement of wearable technology, smart watches. the reason why, the apple watch and all the other smart watches, those are great devices to track your every day performance, your sleep. our technology works different. we don'

wearable technology is red hot. >> a wearable company selling stock.it out. >> a big debut today for san francisco based fitbit. the company going public. 50% on day one. above $1 billion. speaking of money, you may have heard that some of it may soon change. hamilton to be outs as the face of the $10 bill to be replaced by an as unnamed woman. >> i think women are coming into their own financially and it is time to honor women on our currency. we have researched it. women are handling more than 70% of household financial transactions. >> women are still not equal whenx8f' it comes to getting paid. expected to debut in 2020. the treasury wants the public to weigh in on who should grace the 10. >> we are back in a moment. we have an update on union city. (scal): good day, m'lady! i am sir-can-a-lot, here to save you from another breakfast bore. wake up those eggs with glorious spam! see what spam can! do... at spam.com we want to update you on some breaking news in the east bay. an apartment fire in union city. alameda county has just told us, there has

we're going to invest in technologies like wearables.ves us the opportunity to focus the spotlight on diversity. we've announce other funds in the past. but we've never done anything like this and the big issue at least the perception, is that there's a pipeline issue. there aren't enough women-led, diversi diversity-led tech companies for venture capital industry to engage. when we started looking at these companies in early january there are many of them. but when you have a diverse team, that looks like the diverse population you're pursuing you actually can find these deals. beef got a pipeline of over 100 companies that we've been looking at so far so there's not a pipeline issue, there's plenty of opportunity we're excited about. >> there's not a pipeline issue at all? or not as much of one as it's made out to be? >> i think the perception is there's zero, right? or there's zero high quality so pattern recognition kicks in and you do what you know, you've proven to be successful. and what i'm seeing you know over the past six month

so what does it mean for the future of wearables?e have brian white of cancer -- cantor fitzgerald you guys were mentioned in the keynote. what is different about your company's experience on the watch? >> it is inactive in each record. people can compare their activities to one another. having our app on your watch can record your activity. with the upstate -- the update you can have a heart rate monitor. they can see whether they are exerting themselves or not. emily: there is an application to send your heart rate to someone else. how big a step forward is what we saw with the watch today? >> it is significant. before, when the watch was released, all the negative reviews were about the apps. now, it feels like the original iphone when they had solutions for developers. it wasn't a great experience. actual apps change the world. i think actual apps will change the experience with the watch. emily: we are all wearing our apple watch is. do you feel this is something you can't live without? or do you feel like it is just nice to hav

xiaomi makes his mark on the world of wearables print we have a look at the sales numbers right afterbreak. ♪ rishaad: looking at our top stories, the australian dollar taking a dive. shortfall, the highest since records began in 1971. shipment. in coal the greek prime minister alexis tsipras says he is optimistic about it it with creditors after the latest town -- round of talks with creditors. he said it was good and that the atmosphere was constructive. they are given a budget measures, pension reform, employment reform. he says an agreement may be struck within days. corruption in fifa. in 2013azer testifying but the transcript only now unsealed. let's have a look at the markets. >> one of the few bright spots across the region. the action is really in the bond markets. headed into the lunch break, we're up for tenths of 1%. out of the 225 stocks on this index, roughly 60% are ending the morning session higher. industrials good, leading the way up. then the carmakers here, then consumer services. a fairly mixed picture out there. nikkei 225 -- i just should do that after two did d

emily: are you as optimistic about wearables as non-wearables?y: there's a lot of great reasons for the internet of things inside of a home. you have to have a really defined reason for why they should exist so people can put them in their lives. then they will adapt to change over time. emily: my interview with the ceo and founder of nest. spotify naming a new cfo, the former netflix finance chief. the paper says mccarthy will give up his spotify board seat when he takes the new role. we will follow the story as it develops. today in "out of this world," the first ultra high def video shot from roughly 250 miles away on the international space station. it comes from a vancouver-based company whose mission is to democratize the view from space. >> if you are looking for humanitarian, social, water management, we are signing agreements with groups like the united nation and nonprofits. emily: basically it will stream views of earth for free and sell targeted views for up to $20,000. it can be useful to anyone from environmentalist to economists co

peace asare services we go out into potential wearables beyond the watch, augment reality, apple pay,e saw the rewards program, which is key there. in china, it is really these next-generation areas which is being wed by software. there was a big theme today in the conference. alix: does that mean the stock deserves a higher multiple? 14 times earnings. daniel: and 11 times cash when you factor cash. i really thought -- i really think we're going to see apple going higher not just in the software recurring piece, but i think the iphone 6 and the china story is still underestimated. that is going to be the head on of the next two or three quarters as well as in china. we begin 2016 and that is what apple is doing for the developers conference. they need to lay out this next generation of growth opportunity in terms of products, software, wearables. what point do we say this is no longer steve jobs apple but tim cook's apple? daniel: iphone continues to be the meat and potatoes for the foreseeable future. looking threes steps ahead. they can just sit there and not change anything. it is

what does it mean for the future of wearables? you guys were mentioned in the keynote.hat is difference -- what is different about this experience on the watch? guest: it is an activity tracker. you can compare your activities to one another and having it on your watch love you to record your activity and with the other dates, we have access to the heart rate monitor which allows athletes to train it different heart rate zones at know when they are exerting themselves. emily: there were interesting things about sending your heart rate to someone else -- would you do that once and never again? how big a step forward is what we saw with the watch today? guest: i think it is significant. at its release, all the negative reviews were about performance and these apps. it feels like the original iphone when they had web apps as a solution for developers. actual apps are what changed the world and actual apps will change the experience. emily: all four of us are wearing our apple watches. do you feel like this is something you can't live without or is it nice to have? guest: i

how about the palm pilot of wearables. i don't use any jawbone anymore.his therm catching them out. but you have to log in, do all of this stuff. i'm with polar at the moment but the fact that jim is with polar everybody is looking at different things can had hardware company survive? >> i would say in the long-term no. i think they're going to get squeezed at many -- your experience of not wearing your fitbit anymore and your colleagues putting in a drawer after the first few months i think is very, very common. >> jonathan monthly act of users let me give you numbers. fitbit has 19 million registered users but that goes down to 9.5 active users. >> right. well you have active users again you know i think makes good point when you get into a smart watch, they're going to get thinner, smaller less bulky and do much more while offer aing fitness tracking and why go on a dedicated fitness tracker. now imagine three to five years. >> imagine this, what this could very well. not saying that it is. because we don't make these kinds of calls but it starts to lo

erik: the wearables revolution hits wall street this week.ifth it seeking evaluation best -- bit seeking evaluation seeking evaluation. leslie picker is here. wearables are already on wall street in the form of garman. a bigger company that makes navigation devices. fitness is a bigger part of their business the people realize. leslie: this company is coming in more expensively than garman is currently rating. proposition due to that place a hold in the market right now. it has gotten widespread adoption among users. there are risks we can discuss. scarlet: always the best part of ipo filing, looking at the risks. , theeric has on his wrist patent infringement lawsuit against for it -- against i fit bit. leslie: a time when company will be cash rich. they are more likely to settle. it is no surprise that job own bone times that. it could be an expensive settlement and one that could be a setback. a side from the legal issues they are facing competition from apple. watch. i it provides on a price standpoint a better value to consumers. is most

we believe that 10% of retailers, 50% in the next few years, apple pay, wearables, and we believe in the dark horse, what i call the wild car. they will talk about au g-man reality and their vision on autos. >> so giving all of this will the stock move higher or lower. >> i think the big thing will be apps around wearables in the watch. i think ultimately all of the ios updates and some of the foreshadowing to iphone success. i think it will be stuck in the mud. especially in some of the areas. i would be a buyer of ale here especially into what i believe is a strong quarter. china remains front and center. that is the okay tctane fuel in engine right now. >> so many kat lists, june quarter, higher or lower? >> the stock goes higher. everyone hikes to pick the winners, right? that is a sign. people discounts apple pay. that will be a big mover. people counted out the apple watch. i think there will be more coming down the pipe from apple just as dan just said. >> i think also with the anticipation of what will happen in terms of all of these wearables, i think that is a catalyst. loo

sales force was the first enterprise for wearable initiative with 100% focus on accelerating wearables are one of the only companies to be part of the apple watch launch. >> the sales force app on that watch, walk us through what some of the functions for your customers are. >> three key components. the first key component is really analytics, business insights. data we can resonate with without having to call up an analyst. pull of that data from my wrist watch. second ability to get business notifications, be it from a sales perspective, service community or marketing. the ability to get those notifications directly from your wrist. we enabled our ecosystem, empowered them to create applications for the apple watch. innovation can go beyond just the sales force experience and really expand to drive new business valuable. >> that wearable only launched late april. can you give as sense what traction you are seeing with that? >> we launched sales force wear a year ago in june. the focus was about accelerating wearable enhancements and accelerating adoption in the enterprise. what is ex

but wearables is an exploding business expected to triple in the next three years.itbit will be on the new york stock strange as fit. the u.s. senate's passing a bill that reforms how the nsa access es u.s. telephone records. the bill also reauthorized expired surveillance rules. we talked about this yesterday. the house has already passed the bill. president obama is expected to sign it into law. coming up, closing the gap between the internet revolution and the clasroom. i will be joined by the ceo of veteran ed-tech company, blackboard. and before we had to break, take a look at this video of a teentyy tiny drone. this black hornet weighs 18 grams, and tested by the u.s. special forces. it can fly up to 25 minutes and can be used for covert missions. we will be right back. ♪ ♪ emily: have you ever wondered what school would be like if it was invented today? an ex-googler created a startup to answer that question. he has big names behind his company. and last month, it announced $100 million in funding. but what is next in education and ed-tech specifically? joini

of course that's an integral detail to what these wearable health trackers do.s a strongly worded suit in late may alleging fitbit approached employees and that the company now possesses confidential trade secrets that job jawbone says it imperative to its business. holding companies related to these jawbone patents have also sought an investigation by the international trade commission. if that's successful it could have an effect on fitbit's ability to import products to produce its products here in the u.s. the itc a global agency governing trade. it's ruled in the past in cases involving apple and samsung. historically it has been a quicker proceeding than a normal lawsuit. in this case, this lawsuit seeking a jury trial. jawbone also wants to permanent permanently enjoin fitbit's ability to make and market products that use these patents. we've reached out to fitbit for a comment. but we should note in response to jawbone's previous policy they said we're unaware of any confidential or proprietary information of jawbone in our possession and we intend to vi

fitbit now controls nearly 80% of the wearable fitness tracker market in the u.s. at least on its first day of tragd trading investors believe the company will keep dominating the market. time will tell. >> joining us now in ian fox. ian how big of a threat is apple for fitbit then? >> very significant. fitbit has under 11 million active users at the end of 2014. apple has 800 million. other mobile hand set makers are very active in wearables too from samsung, and sony and many others. >> going public during a time when there's so much competition in the market apple and samsung, what would you like to see fitbit do with it's money? role out new products or find a larger company to partner with? they have to explain why consumers need to have a dedicated device for health and fitness rather than a device like a smart watch that can do health and fitness plus a bunch of other things as well. >> i want to weigh in in terms of the competitive landscape. what about the low end? xaomi that have their own fitness bands that are cheaper than what fitbit is offering. >> th

you can't go into the wearables industry where you will be on every kind of person that makes up then and say you'll only have one segment of the population make that product and it's going to fit the needs of all >> the move comes as tech companies face chris sichl for overwhelmingly male and white workforces. a big viktee for governor chris christie today. he can cut more than $1.5 from state pension funding, giving some temporary financial relief. new jersey's tension system faces a funding shortfall of more than $37 billion, and it makes annual contributions to the fund at one of the lowest levels among states. >>> a primary weapon in the war between the states for jobs is incentives tax breaks and subsidies, but do they work? scott cohn has a look at some of the subsidies and the some say the whole thing has gotten out of hand. >> when aluminum giant alcoa was looking to save money in new york state in 2007 it turned to the state's power authority and scored big. $5.6 billion in electricity discounts over 30 years. the largest single state business subsidy in u.s. history. the g

. >> we're developing technology for -- wearables, right. wearable are largely jewelry.o if we have only men designing products, how are they going to serve -- >> a watch -- >> exactly right. your daughter won't want to buy one. i won't, mikhal won't want to buy one. we need representation that looks like the population buying our product. yeah. did you notice, i didn't mention you. >> lisa lambert, vice president of intel capital. we wish you the best of luck. we think it's a marvelous thing despite us giving you a hard time. >> my pleasure. >>> welcome back to "press here." mark milian is one of our new reporters, "bloomberg business week." you were telling me the latest issue has one article in it? >> it's one esay 38,000 words, like a small book. >> right. >> it's devoted to code. the entire issue is one essay devoted to the important of software -- >> an html actually right? >> yeah. you need to bring your program or i.t. department in to read it. >> who wrote it? >> it's written by a contributor named paul ford. he is a journalist and a programmer which is a rare b

if other phonemakers, other wearable makers take share from apple. apple's position in the stock, it is not just the watch not just the phone, not judgment i pay, iitunes, but it is the watch, i pay, all together. >> kara tell me i'm being unfair here. but with respect to apple going sort of all-in on music streaming, i think this is one of the few times that i would say apple is playing catch-up. when you look at the ipad when you look at the ipod the iphone, the original itunes store, they were way out front. now they're playing catch-up. >> yeah. they tried it with ping. if you remember ping that was here a while back and some other services. but the question is do they have enough features to make people want to sign up for this. if that was the case everybody would be using itunes radio and the itunes -- that's not just taking off either. so the question is is this surface so good given that there are so many good competing services, not just spotify but pandora, jay-z's efforts and all kinds of things. the question is why are they so late to th

these are other wearables. garman has a wearable. skullcandy on your head.search recently and it bit was reviewed the highest among the affordable wearables because it was so simple. it works. how do they avoid becoming blackberry which was tied to a device people no longer want? guest: it has to become a smarter device and that is where the jury is out there in apple is a luxury company and a software company. this isn't really software. i am having trouble seeing how it becomes that much more sophisticated and useful overtime. i am ready to be allowed -- wowerd. brendan: there is a line of surveillance that the last thing we want is to tell us how little we are sleeping. mark wallace knows a ton about this company. coming up on "market makers." this is still "surveillance." tom: let's get right to brendan greeley on greece. brendan: headlines coming fast. the eurogroup will have to sign off on any decisions. we cannot make a last-minute deal. yesterday, tsipras told his own parliament that the imf there's terminal responsibility for greece. there is news f

market when it comes to wearable devices. they even have obama as a fan.arted $60, just under. if you start to want to have your heart rate monitor, if you want a watch that text messages, $250. they were able to of the price therefore increase the amount they were selling. demand was there and they managed to keep the voting power in the inner sanctum. guy: that seems to be the norm at the moment. how do they avoid becoming the next blackberry? caroline: they have to rmb, research and develop. they have to try to market slightly more feminine ones. guy: they work together. caroline: about one third of where is toss them off after six months. how do they get us addicted to them? how do they get other developers involved? maybe they allow third-party developers to get involved and make it a platform? how do they fend off the lawsuits like library. there have been cases against them, clearly one is on patents, the other is about trade secrets. it has to be about staying a step ahead of become petition. guy: thank you very much. caroline hyde on fitbit. what

are wearables going too far? bring in bret larson.maybe things are going too far because it's an invasion of privacy. >> a little bit. the more data that we can have collected about ourselves, the more we kind of put ourselves at risk for the hacks that's been happening. almost like a weekly thing. think about what your jeans say about you and whether or not you want the information coming in the hand of hackers. stuart: if you're got a wearable on you can track where you are. >> absolutely. stuart: and what you are doing. >> exactly. if somebody hacks into it they know who you are and what-- >> they know how to get that information. a wearable jean we're not saying that the levi's jeans are going to track where you go. maybe more functional. remind you when you put them on, wow, maybe you should hit the gym. these 32-32's need to be 33-34. [laughter] >> you carry your phone with you orwherever you go. and they know exactly where we are all the time. i never see you in the hallway without your phone. what's the difference if it's your

the wearables revolution hits wall street this week.ts trading in just a few days time, seeking evaluation of more than $3 billion. bloombergs leslie picker spoke with my colleagues erik schatzker and alex who earlier today. -- and scarlet fu earlier today. leslie: people see fitbit as the market leader and they see it as a value proposition due to the place it holds in the market right now. it has already gotten widespread adoption among users. obviously, there are a few risks we can discuss. bestet: that is always the part of any ipo filing, looking at the risk. and what we are referring to is the job own patent infringement lawsuit. leslie: actually, to lawsuits in the past month. this comes up when a company is about to be cash-rich and they do not want any publicity blemishes, so they are more likely to settle, so it is no surprise that job own time that right before the ipo stop however, it could be a next visit settlement and one that could potentially be -- a could be a setback and it could be one that could essentially affect t

. -- the maker of wearable fitness tracking devices -- there you hear the opening bell and the cheers. fit it pricing above shares yesterday, raising -- now valued at $4.1 billion. that's a look at the top stories at this hour. coming up, the federal communications commission is voting on new rules for robo calls. it could change the way pollsters work. prices in china fell in fewer cities last month. we will tell you what the government is doing to restore buyer confidence. not: computer code may sound sexy but it has made numerous appearances on movies and television. we will tell you how it has been portrayed over the years. paoia: in the case of ellen 's case against kleiner perkins, it's back in the headlines month after she lost the case. mark: a san francisco judge has entered a tentative ruling that she must pay $276,000 to the firm for its legal costs. kleiner perkins was seeking close to a million dollars but nevertheless called the ruling a fair result. emily chang sat down with the from kleinerers perkins with an exclusive interview, their first since the case. amalie join

. >> plus, this is very cool, disney's getting into wearable toys. it's a whole new, different innovative line of toys for kids. we'll tell you what the new revenue stream could mean for the media giant. this was just unveiled within the last hour. julia has that for us coming up here. it's cool. >>> first though, the auto sales and what's going on in the markets with an hour to go the dow making a bit of a comeback only down about 5 points right now. s&p 500 turned positive nasdaq down by two points. interested to ed toed to look at the auto names and look the the 17.8 million autosales. whether there's a rally as well. >> these month lip bases, the strong nest since '05 or '06. just incredible. you know so many industries are so herky jerky right there. >> even the economy, broadly speaking stock markets are trapped. here's a breakdown. >> we had phil back with us from jpmorgan funds. he's with us here at the big board. mainstay capital management joe is back with us and rick santelli joins us as well. david, let me start with you. on a day when we

what do they need to know about fitbit in the context of wearables, consumer electronics?t, supply and demand. is the stock going to go up? second, is it a good company? we focus on the latter. fitbit scored 17 58. we think fundamentals and even for companies like guess? as if by magic, there are actually reasons it grows. 7.58 is the second highest score of the year after shop a fight and it is a break deal. in has over $1 billion in sales. much more interestingly, the model for this company shows that customer acquisition numbers continue to be favorable which suggests that the company -- erik: this is the rocketship to the moon and let's bring up the come -- the customer acquisition chart because that is -- >> what it shows is that fitbit can continue to spend money to acquire customers at a reasonable price. sometimes customers it will be called returns for your next marginal customer costs a lot more than your last one and fitbit has not experienced that. this is one of the things that happens when you have a category defining brand like fitbit does. it is a fitbit li

jeff: in the wearable device category, i have looked at smart clock, and i am actually working on a secretroject right now which i am super excited about an i call it the next fitbit. olivia: you took a little bit of a shot at the apple watch earlier, what do you think about that if you are investing in future wearables? huge apple i am a fan. of, good because it does not work as well as products from other companies. clearly right now, people use it information, so i would look at buying a second or a third-generation. pimm: do you use airbnb? jeff: i do. pimm: what do you think of that investment -- as far as an investment? jeff: i wish i had not passed. three hustlers who said they had a company called air bread and -- air that in breakfast and they needed an investment. olivia: is it worth $24 billion, that is the latest valuation? pimm: that is going to make him cry. more stories have than this. olivia: but seriously, it has more valuation than marriott. is the think there situation where public market investors try to get involved early but guess what? people who try to get into an i

they have 85% of the wearable fitness tracker market, which sounds huge. question is about the growth forecast. how much longer can they grow at this rate, given the fact that right now the most powerful technology in companies in the world, apple and sa -- and samsung, are getting into the market to compete with them. it sounds like blackberry. they were experiencing new competition with the iphone, and for undergoing patent lawsuits like fitbit. lessons that we can take away is needs to continue innovating to take on competitors like apple. pimm: on a scale of one to 10 is this a good or bad ipo? >> it is good, it is coming at a time when there have not been a lot of great ideas to compete. coming out with a company that is a technology ipo, and is profitable, puts it in camps like to go bro ipos of last year. .his is a strong company it is very high. out of 100 it is 87. what i like about fitbit, smalle being a company, is it has managed to grow in a short time. not only in revenue, but in margins. able to grow without expending your cost exponential in

. >>> and a new app trying to help breast cancer patients wearing wearable technology. >>> it is 4:26 dunkin' donuts delivery could soon be an option. the company is developing mobile ordering and he said the next frontier is serving tech savvy customers. >>> a company that changed the way many people buy their music is changing the way we listen to it now. apple music combines on demand listening, a 24 hour radio station with live deejays. >>> two local health care groups is working with the new apple watch to do research. they will look at things like side effects, sleep, moods, and more. that will later hem them refine treatment. 30 women will wear those watches for nine months. >>> good morning we're still seeing some scattered showereds the area. i'm tracking temperatures in the 90s. >> we're looking live right now at route 73 in new jersey at the new jersey turn pike. the roadway is a little damp. we're going to check in with an accident scene coming up.

walter isaacson what is your view on these wearables?pple watch had on the category? >> it's had an impact. like everything apple does it's the third party applications that are cool and we'll get to see them at some point. when they did the original iphone, there were no apps on it. now you have everything because people can build things on top of it. whether you are twitter, facebook or the apple watch, that ability to become more than just a product, but a platform upon which people can build cool things that's what makes something take off. >> i wonder how much they'll be able to untether the watch from the phone. that seems to be the real hurdle. so much of the functionality for the watch depends on the phone, which seems to defeat the purpose of it to some extent. >> absolutely. that was a surprise that the watch didn't allow you to do more while the device is disconnected from the phone. i think we are going to see those improvements with the next generation. there will be a new wi-fi chip so that the phone will do more things lik

in itself once wearables for the world's poor. all of that ahead on "bloomberg west." u.s. officials

the maker of the wearable fitness tracking devices raised $732 million.he ipo price, fitbit valued at $4.1 billion. those are your top headlines. computer code is not sexy, exciting, or visually appealing. nevertheless it has made numerous appearances in movies and tv in scenes that run from realistic too fantastical. here's a look at how code has been portrayed on film over the years. ♪ >> code. >> code. >> code? >> quite the little coder. who canu know anyone beat 2 million lines of code? simple i do not even see the code. all i see is blonde, brunette, redhead. give me a systems display. >> wait a second. >> i think you better come over here. >> i have never seen code like this. >> wow. >> [indiscernible] >> i think we've got a hacker. >> i am getting hacked! huis that all you've got, h? come at me! >> this is not good. >> 15 seconds. >> go, go, go! >> aah! [fiendish laughter] >> turn them off. >> shut them all down. alix: that wraps it up for today. thank you for watching the bloomberg market day. i am alix steel. have a wonderful afternoon. we will s

you know wearable technology this is biggest wearables as they call it exit ever. and although 50% margins could drink -- >> here's the problem. reminds me of go pro people have had a hard time copying. with fitbit people gave up on it. not using. what is their next trick? >> asia will make bands like this as giveaways unless this company evolves. keep in mind this is ipo. it is guilty until proven innocent. they're selling shares to us, why now? it needs to be a very good reason to be a buyer. >> giant known for supersizing trumming down number of restaurants for first time in 40 years we're talking about mcdonald's, of course. so jonathon i'll start with you amazing to me because i was thinking back to my entire life. i can't think of knowing a mcdonald's near me or along my path that closed. other stores go away. you never see that. this is amazing. truly this is a story of the second half half of the 20th ce. but think back to first pass half of the 20th century big boy in white castle those are major chains right now. mcdonald's they rest on morals let upstart

in a nutshell microsoft's current wearable will now feature a golf tracking feature.es you hit a green or fairway. translate all that in a summary of year round. whether you're playing golf for a living or just a weekend warrior, you're going to be able to manage your game by the numbers to see where you should focus your practice and efforts and how you're improving. so let's talk more about this partnership. joining us is the president and ceo of taylormade. david, thanks for joining us here. so i've got to wonder about this partnership. what made microsoft the right partner for taylormade? >> thanks. great to be here. when we started doing some research to identify how we can bring a really great user experience, a golfer experience through a wearable technology into e the golf market microsoft was the perfect partner. so everything that you just stated on the lead in is absolutely true. we'll go live with the mike vo soft tile on the microsoft band to allow golfers to have a second to none experience. >> so david, what was the onus? what was the inspiration? why g

the maker of wearable fitness tracking devices -- raixsed $732 million.the ipo price, fitbit is valued at $4.1 billion. computer code is not sexy, exciting or visually appealing. nevertheless, it has made numerous appearances in movies and tv. in scenes that run from realistic to fantastical. here is a look at how cod has been put trade on filme -- how code has been portrayed on film. >> code. code, code. code code. quite the little coder. >> i am the only one of these clowns. >> do you know anybody who can debug 2 million lines of code? a systems display. >> data charts. >> give me a reading on it. >> think you had better come over here. >> i have never seen code like this. >> i think we have got a hacker. >> i am getting hacked. >> nicely played. >> come at me! not good. crap!e this hacker >> go, go, go, go! [bleep] shut them all down. >> shut down the system. for: that wraps it up today. thank you so much for watching the bloomberg market day. have a great, wonderful afternoon. we will see you back here tomorrow. ♪ >> from our studios in new york city,