five years from now, what would wpp look like?interviewed ken yesterday, yesterday afternoon, i sort of disagree with a lot of ken's book i felt quite depressed about the future of the business from that book, i feel optimistic about the future, but getting back to wpp we will be a reshaped company. simpler, easier to navigate, more data driven, more technology enabled we have to be a destination for talent >> does that mean pieces get sold off spun off >> i said yesterday i don't think the company will be smaller. i think it will be simpler, more collaborative. we're not looking at disposing it it makes no sense to break wpp up >> do you ever think you become a content company. >> we do produce a lot of content for our clients. >> do you think there's ever a true transformation where wpp becomes a media company? >> no. i think we need to stay close to roots. but all of these businesses are converging i'm doing a panelled discussion tomorrow with google, the "new york times," clients at gsk, it's about those businesses that are do

sir martin sorrell resigned from wpp in april and has already set upa from wpp in april and has alreadyy expecting from that?m set up a new company. what is the industry expecting from that? is an unknown entity, he has talked a lot about wanting to create a proposition that works around content, retail and technology. there have been articles written about how that might be difficult —— different to what wpp can offer specifically in the media space and you must not forget that media is the key area where these networks are making money. the reality is that content technology and data cover most of what a multi media agency should be doing in the modern world. you would expect him to start to create capability to directly compete against wpp, which will be interesting for all to understand. thank you very much. before we call it stick a quick look at what the market tapping up to. the was down at the open, it is down almost 10%. that is because one of its competitors, delivery, announced a radical shift in strategy offering reddit -- a radical shift in strategy offering reddit —— resta

wpp is reviewing the way it implements its codes of conduct following allegations about the behaviourmartin sorrell. the review is ahead of a potentially stormy annual meeting on wednesday and follows publication of a ft investigation into the circumstances surrounding sir martin's departure from wpp. it's the game everyone's talking about — good and bad. since fortnite was launched last july, the shoot—em—up has gripped millions of children and been downloaded more than 45 million times. dave lee has been at the e3 gaming industry event in la and tells us what all the fuss is about. the idea with fortnite is there up 100 players all online and they fly in and it isn't basically —— and it is basically last person standing wins. it sounds simple but it has many people absolutely hooked. the best game right now. all my friends play it and it is really fun. it is everything, like the way... just everything. all the stuff is consta ntly everything. all the stuff is constantly going on in my head, they are all talking about it. up up on the stage around 100 players playing the game and wha

wp p shares are flat ahead of the agm. —— wpp.e underlines that. everything inured is pretty sluggish. waits on hold. in the us, the economy is pretty buoyant right now. rates can go up. nearly eve ryo ne now. rates can go up. nearly everyone expects a rate rise today, a lot of the focus will be on whether we get another rate rise after that or two more this year, in addition to what is expected this year. whether it is three or four, we think it is most likely to be four, from trusted with the eurozone, we expect no rate rises until the second half of next year, with unemployment higher compared with unemployment higher compared with the us, unemployment is the lowest it has been since 1969. why is there such a difference? the us economy is more advanced in the cycle, in europe, much higher unemployment, that means inflation pressures a re unemployment, that means inflation pressures are more subdued. in the us, inflation is picking up above target, in the eurozone, inflation is below target, that means the fed are happy to put u

same thing for an incumbent like wpp. shows them a better way that forces them to respond, frankly, a win for everybody although difficult >> yeah. he also was talking very positively about the two co-ceos taking over from him, saying they will do a great job, but wpp down three quarters of 1% today along with the rest of the ftse 100 which was down. >>> we got 22 minutes left of trade here we are down 250 points now on the dow. very much near the lows of the day. the best part of a percent decline for the dow and nasdaq >>> one big auto maker warned trade tensions could negatively impact earnings this year. details next >>> later, netflix received not one, but two $0 ic50pre targets this week. we'll debate whether to get into the stock. that's coming up here. deponent go anywhere -here comes the rain. [ horn honking ] [ engine revving ] what's that, girl? [ engine revving ] flo needs help?! [ engine revving ] take me to her! ♪ coming, flo! why aren't we taking roads?! flo. [ horn honking ] -oh. you made it. do you have c

any reservations on his side, given the way wpp -- the way he departed wpp?say, but what you just said answers the question. this was largely an endeavor started by sorrell. this is the company being acquired -- this is his money. we do have some indications that he has some financial backers, should he find a big acquisition he wants to make. but this is largely his endeavor. >> should he find a big acquisition he wants to make, any idea what he's going to spend that money on? >> there's lots of speculation that he will focus on the ad industry that he just a part of. the one analysts speculate the most about, so it is a big ticket item, is kantar. ♪ ♪ >> euro area confidence cooling economic growth, met with budding political uncertainty. the index slipping, taking the games to their lowest in nine months. the decline was less than economists broadcasting. it is the fifth month of drop off after optimism reached a 17 month high in december. >> there are about 30,000 functions on the bloomberg, and we always enjoy showing you are favorites on bloomberg telev

any reservations on his side, given the manner, the way he departed wpp?s hard to say, but i think what you just said answers the question. which this is largely an endeavor started by sorrell. s4, a company being acquired by sorrell's fund, he is backing this with his money. we do have some indications he has got some financial backers should he find a big acquisition he wants to make. but this is largely sorrell's endeavor. mark: should he find a big acquisition he wants to make, any idea what he's going to spend that money on? >> there's lots of speculation that sorrell is going to focus on the ad industry that he just departed. the one that analysts speculate the most amount, but it is a pretty big ticket item, is kantar, a unit that he was differently fond of. ♪ >> euro area confidence cooling economic growth, should i say, in the region, met with budding political uncertainty. the index of sentiment slipping, to 112.5 taking the gauge to their lowest in nine months. the decline was less than economists had forecasted, but it is the fifth month of dro

. >>> wpp shares are trading lower after berenberg said the situhe british advertiser will "get worse before it gets better. the german lender cut wpp to a sell from hold, saying all was not well from an operational perspective. the broker forecast a stepdown in margins, citing incremental fee pressure at a time of management change. sir martin sorrell recently quit as ceo for alleged misconduct. >>> coming up, bringing you home the bacon. find out how mexico is planning to retaliate against the united states in the latest escalation of the trade war >>> dutch fintech company adyen sees a market valuation of 6.5 to 7 billion euros the payments platform will announce on euronext in amsterdam with about 12% of the shares being offered trading are expected to start on june 13th. argen is at the 2020 conference in amsterdam plenty to talk about there, including what fintech's up to in 2018. >> reporter: yes, definitely, karen. and it looks like fintech really is on fire now you've seen some big moves, the likes of a.j.en listing. e i have with me, sebastian. we were talking off mera and y

the: goldman sachs saying risk-reward balance is balance for wpp.are continuing to be operational risks, etc., but i for breakup has an upside of as much as 49%. that would be so hard because it is so complex. david: that whole business is going through so much turmoil. alix: they can spend it off into silos and that will be better for lue. david: coming up, at&t's week when. what the court ruling allowing its merger could mean for other companies. there are a lot waiting in the wings, including disney and comcast. live from new york, this is bloomberg. ♪ bloomberg. ♪ >> it is all waiting for the fed coming out at 2:00. the markets are, head of that. s&p futures up by five points, european stocks modestly higher even though industrial output was down .9%. .3%,sh equities down uncertainty about presidential election cu.k.er asset ination goes nowhere. sterling at 1.33. the boe gets a little bit of relief there. the south african rand the worst-performing em currencies as they connue to get hit. i want to see when they open up trading. david: they are

>> it changed when i came to at&t about nine months ago i worked for wpp for 12 years.hat was a great thing i ran group m prior. i was a big media buyer. i came to at&t because at&t has great assets to build a significant advertising business then we got sued by the government, so we've been doing planning in the background for how we can expand the business last week when we received the judgment from the court, that was good news. now we can get to work >> one thing you talked about is taking the ad load, the number of ads in a given hour down across the board of all the programming on time warner >> yeah. >> and make them higher margin for the ads you are showing by targeting them in a more prog m programatic way. >> yes we are in sort of a time where there's more content than ever there's more great content than there's ever been across more devices and channels but everybody still hates advertising when it interrupts con t content. it's our job to make it a better experience there's two-ways to do that, make ads more relevant and targeted the ads you know right now

of the advertising market around the world. >> big change at your own company, your parent company, wppected business, the abrupt exit of sir martin? >> we've moved on. clients are mostly concerned with getting great work, that their teams are motivated and stable a focused on helping them win in an incredibly challenging business >> the man who built this whole company over three decades, must be quite a change. >> it is quite a change but as i said, we're moving on. we see opportunities everywhere we look, whether that be geographically, whether that be in new categories of clients who are investing aggressively in advertising spending, and again, if we continue to hire thetype and had motivated about helping clients win in challenging business markets, our business is going to be just fine >> you worried that he's going to come back in his new venture and be a big competitor? >> we welcome competition. it helps us innovate it's good for clients and markets and agencies like ours so bring it on, martin >> kelly, thank you for joining me kelly clark, group m ceo has a pretty good windo

wpp trading lower, i think it is a downgrade. stock is trading down by around 3%.is down, orange is ex dividend this morning so don't read too much into that. some downgrades reporting post season, you see these notes coming out. interesting stuff at the bottom end of the market with m&a in the mix. let's get a first word update with jttsaly. u.s. campaign to economically isolate north korea will continue, even as preparations advance. president trump's summit with kim jong-un. the white house has set a time for trump's first meeting with kim, 9:00 a.m. singapore time on june 12, although the venue has not been revealed. sarah huckabee sanders has said there is no change in what trump has described as a maximum pressure campaign on the north korean regime. whip johne majority cornyn says e nafta talks have missed a key deadline and congress probably won't have time to approve a new deal this year. house speaker paul ryan said early last month that legislators would need notice of a deal by may 17 if they were to vote before the current congress ends. ryan later sai

right now the chairman of wpp telling shareholders the search for a new ceo is moving rapidly.n also said the board's actions following the probe in former ceo martin sorrell's behavior denied he used wpp money for a prostitute he resigned in april and yet the company has not said exactly what that investigation entailed nor has mr. sorrell. apparently there has been some kind of nda or nondisclosure agreement signed by all parties that will prevent us from learning about this. >>> our top corporate story, at&t and time warner getting the green light for that blockbuster merger david faber joins us live from the new york stock exchange. david, the sne >> yeah. that's what we've been focused on this morning. as you well know, comcast our parent company expected to unveil a bid for fox assets it has been competing to buy for some time. failed, of course, initially disney winning that bid some time back earlier this year. worth roughly about $28 a share for fox shareholders in disney stock. but comcast continuing to come to play here as we well know having said publicly a couple o

. >> ken, we talk to martin sorrell all the time before he left wpp he saw this coming a long time ine's a major character in my book >> still doesn't seem like he was able to move wpp to be able to protect itself necessarily. is it just a problem that even if you see it coming, there's nothing you can do about it? >> yeah. the world has changed. and you could try -- i mean, he successfully took his holding company, largest holding company in the advertising world and got into pr and branding and other things that have reasonable profits. you're dealing with -- you're climbing a hill where how do you deal with the fact that people don't want to be interrupted on their cell phones? you can be a brilliant businessman and not be able to solve that problem >> who was the most impressive character you came across during your travels working on this book >> well, i -- there were a couple, actually the main character in the book is a guy who's not well known outside the advertising world but is a power broker in and that's michael casser. he's a charming character who represents at a -- >> m

together are worth $1.3 trillion, which you could merge the company's top-five advertising agencies, wpp, omnicom, the five major media companies, and add also the five major communications companies, at&t, verizon, comcast, charter, and dish and you'd only get to 90% of what google and facebook are worth. the scope of market power and size of public discourse is unprecedented. how should the commission approach this development, which i find unprecedented? >> so i think the commission needs to -- it's a fun ny thing. it reminds me, the old joke about, people would ask jesse james why he robbed banks, and he said, that's where the money is, right? so with respect to anti-trust, the corollary is, the place most likely to have anti-trust problems is places that have market power, right. so those are the places you want to look the most, the places that you want to make sure you're monitoring careful andly paying attention to, and if some anti-competitive conduct is occurring there, that's where you get a big bang for the taxpayer's buck for enforcement in those areas. >> of course, as chai

this was the wpp agm, wpp, a company that started out making wire shopping baskets, ended up as a global enough information. almost a third of shareholders did not back the company‘s pay and bonus scheme. about 17% did not support the re—election of the chairman. you would expect there to be a bit of dissent, but more than 10% is quite significant. is that because they are angry he is gone? they feel they have not been given enough information. our business editor simon was at the agm today and spoke to some other shareholders. a lot of to some other shareholders. a lot of to shareholders own shares for a long time and they saw sir martin as the talismanic figure that has created this giant from scratch, enriching himself and his shareholders over many years. what was interesting is that the chairman of the company, robert carter, he basically got up, and in his speech, what would normally happen at one of these events, he would say, paid tribute to sir martin, thank him for his years in building this great company, of which we all been beneficiaries. there was none of that today. i woul

and we have brought brian lesser over from wpp.ising executives to build a platform to take advantage of that inventory you put this together with -- we had at&t had 170 million direct to consumer relationships. people with screens where they're going to be consuming this need and this content and bringing all of this together comprehensively i think is a really exciting thing jeff yang, he coined a phrase that we're building a modern media company. with all of these capabilities and i think probably one of the more interesting aspects to this, joe, is this whole industry is kind of building a railroad from east coast to the west coast and hoping they meet in the middle. this is the first time we're going to be building 5g network capability, building user interfaces that are dijalty enabled all about the experience of the consumer to consume premium video and creating this environment. i think this is going to be -- >> let's talk about the culture of merging this. that's something mario gabelli brought up in the last hour. look, i

it's also the wpp annual general meeting — the first one without sir martin sorrell, the company founderm me. thank you. we are still waiting for that crucial vote at westminster. in the last few minutes, sarah woollaston, the mp who was originally going to rebel against the government, she then decided to back dominic grieve's attempt to that vote. he tabled that last night. in fact that has not been voted on, because it didn't have government support and the speker the speaker said there wasn't time for it to be voted on. what sarah woollaston has said, the promised further amendment in the lords must resemble dominic grieve's amendment or lords likely to bring that forward and that to be passed. so it would appear she is expecting to have the promise at least of a dominic grieve—like amendment within the next 24 hours. it would suggest she and other rebels will vote with the government and take theresa may into a second day of difficulty here at the house of commons. but it is that meaningful vote that would cause problems if she loses that later. full coverage here on the bbc news. c