tv Bloomberg West Bloomberg October 13, 2014 1:00pm-2:01pm EDT
>> live from pier three in san francisco, welcome to "bloomberg west," where we cover the global technology and media companies that are reshaping our world. i am emily chang. first a check of your bloomberg top headlines. stocks have been slipping between gains and losses today, with worries about worldwide economics lingering. ak thehas been wee last several years. we think over the next four quarters, we will be looking above zero, but it is a very weak process. >> in the meantime, nearing a
four year low. inl ackman has a new target his sites. he spoke about it with nonsense goals in the netherlands today -- with hans nichols and the netherlands today. >> we have a new investment we are going to announce the next 45-60 days. and the capital will go for the new investment. based company. the islamic state is coming closer to gaining full control of the iraq province. one of the last reigning strongholds, taking over the base. and streaming service aereo is
operate likeo cable provider to save its business. first to the lead. a hugehaping up to be week for apple. the company is expected to unveil new ipads and new imacs on thursday. live onin may go saturday. a memo circulated to walgreens them howagers, tells to prepare for the start of apple pay on october 18 and walgreens is one of the initial retailers to participate in the apple pay lot. i will pay will be available on the ui phone six and six plus and the new apple watch when it comes out next year. is it really coming this saturday? joining us now is the ceo of apple who runs more passbook campaigns than any
other company. what do you know in particular about how exactly the system is going to work and how retailers are preparing to use this? >> it is not going to be much of a jump for retailers like walgreens who have been using likeook style payments, loyalty cards. fors not that much customers open trained to use a then with other retailers, to use this. starbucks have not done much of the way of chaining, they just created the functionality. it is a billion dollar business for them in terms of global transactions now. view this as the bridge to
comfortableomers with using their phones to pay. thehis memo describes process by which you would simply tap your phone to the upper portion of a pin pad. do you have any idea what it would look like? separate from the pos terminal that retailers have on-site. >> it will not be very foreign for consumers. you have seen attachments to sale systems in the past for scanning and whatnot. it will not be intimidating, it will be very user-friendly. how many people are you expecting to start using apple pay out of the gate? orl anyone has an iphone 6 six plus be ready, or is it going to take some time to adopt? >> i generally think it will take some time, what apple is doing is creating a tipping point.
it is a big wake-up call for marketers that have not presence ina apple passbook or wallet. their mobile wallets for digital storage, it is super convenient. just the fact that it is location aware in time where increases the ability to have engagement and interaction with those consumers. toy will be much more likely jump into apple pay if they have started to experiment with their mobile wallet. have started to look at some of the credit card and financial institutions involved, some of the retailers involved. if you're not on that list of retailers right now, what are you thinking about apple pay? is taking averybody close look at it. they're getting ready to launch. you do not want to be left behind them and one of your competitors as they are for consumers, and it is a convenient way that they want to
pay. they set a strategy for a launch date, whether it is with apple now, or in a couple months, there are definitely taking a look in they will be looking at consumer updates and consumer demands. >> how quickly do expect other retailers to jump on board? what kind of work on the backend does this involve? >> you could be up very quickly that i think other retailers will be on board very quickly. there has been a lot of failures and complexity in mobile payments. moment, i viewg what apple pay is going to do for mobile payments what american idol did for text messaging. one more thing that makes their life easier and more convenient. >> what is your device for consumers right now, whether or not they have been using passbook already? this is an update to apple pay that has ached into the up date
for their mobile operating system. what should we do to prepare? >> where doing programs with ars, home depot, men's wearhouse, there are a lot of retailers you can go to experiment with. the more you can familiarize yourself with establishing that presence in your wallet, and a lot of people have experimented or used passbook for boarding passes when they travel. then the more familiar war with that, then it will be easier to use passbook. it is taking the pain out of carrie paper -- carrying paper, and remembering to have it with you. literally remind you when you are near that store. the pop-up of you get 20% in your mobile wallet, you can bring it to the point of scale
>> i am emily chang and this is bloomberg west, live on bbg television and streaming on your phone, tablet, and at bloomberg.com, now on apple tv and amazon fire tv. google offers business services like file storage, video conferencing, e-mail, but it does not have a business phone service. enter the creator of google
voice. they offer cloud-based services for users of google apps. you can have multiple devices tied to one number. basically, my work and find me where i am, no matter what? today, it is work not a place you go to from 9:00 a.m. to five ago p.m. anymore. it is something you are doing 24 hours a day on any device you what to be using anywhere in the world. a phone sitting on a desk waiting for you to answer it does not seem to make sense of 2014. this is being billed as part of google's offerings. appse google enterprise
customer enterprise base has been a big leader in moving services to the cloud. moved to the cloud with gmail, and became much more productive. great withone e-mail, calendar, and all these other offerings but there was no phone to answer that. he wants of the better degree strictly with your context -- you want something that integrates directly with your contacts, your calendar, and a tight integration. as the creator of google voice, why now? we look at the numbers, and gardner says there is about the million businesses that have moved to the cloud for their enterprise suite. that is going to go to 700 million over the next nine years. it is a growing and growing user base. is aboute side of it 50%.
it is a big market that no one has really addressed a solution for them. phone systemsric out there for anyone. so we really saw a hole in the market you want to get google a product that puts them in equal footing against anyone. companies come and sign up, and it is literally less than one minute to set up your whole company. your company gets a number, and then every employee gets a member. work onthis non-google-based platforms? >> not yet. we see the bigger need in the google space, but prickly for any company that wants to have a modern phone system that realizes that having the phone on your desk in a phone system closet is no way to be productive with your modern worker. every worker today has a mobile device. everyone is a mobile worker. market,is a crowded
ring central, cisco, and legacy. how do you differentiate yourself? thehey are built around idea of how do i make the phone on the desk do more, which is insane to me. if you wantin, but to control it features, to be controllable through the laptop, it should ring me and my tablet, on my phone obama computer, and my desk as i happen to be there. businesses are looking at the phone usage and the amount of minutes at the desk is down every year. >> why does and google have a product like this? >> google voice is doing some great work on the hang outside and being able to be creative over there.
but creating a voice product for the enterprise group hasn't happened to that. >> are you trying to be the perfect google acquisition target? we are really one of the list. we see this as a massive opportunity tea, a world one opportunity, and is not just google. we can do the same thing on office 365 sites. we want to build a better company. >> thank you so much for joining us. of next, a new- book about the men and women powering the digital revolution. ♪
iversen who wrote the best-selling book about steve jobs is out with a new book. pioneers, andg some you may not know. rose asked when will see artificial intelligence go mainstream. >> i think we are always 20 years away. the perceptron was going to mimic the human brain, and they announced it. the stories in the newspaper said they unveiled a computer that will think like a human brain and be able to think like a human. and every year almost since then, people have written those stories saying we are a few years away from artificial intelligence. but it always seems like a receiving horizon when in the meantime the vision of people like steve jobs and the others
that you combine the talents of computers with humans, that keeps growing by leaps and bounds. that is what they are doing with who could win at jeopardy, but to make it really iterful, ibm is now paring with intelligent humans. >> my impression is that the velocity of change towards developing artificial intelligence, whatever level it is is increasingly dramatically because of the stories were making an understanding human brain. as bill gates once said to me, he said we could reverse in human brain, but that would be cheating to buy and it would not work for it but there is an old joke about artificial intelligence has been
growing by leaps and bounds for many years, and is about to regions of the sea. i still think we have not reached the infancy. inent out to applied minds los angeles. you're a robot that can go across the room, but cannot pick and write its name. it cannot pick out a mother face in the crowd. can, a-year-old four-year-old can. i do nothing artificial intelligence should be our holy grail. sure, we're going to get closer, especially when you get really good speech conversation. -- recognition. i like what google is doing, which is making machines more intimate with us but what apple is doing with the watch. the holy grail should need to make a partnership between humans and machines, not create machines that can exist without
humans. those guys are scientists and engineers. >> when the marketing people or the finance people take over the company, and no longer innovates. says the reason we ourbe innovative is because engineers and product people run the company. one of all about 30 rules i would extract from the book. make sure the product people run the company. tim cook was more of a manager, but he is good product people around him. >> he is able to grade a culture of collaboration, and continue it. when you think of the word innovation, it is like one more article in harvard business journal. where is walter going? >> innovation is such an
and has been word, sapped of its meaning. let's not talk to innovation and the abstract and let me show you exactly what bill gates did, what steve jobs did. what the people who invent ted the transistor did. this is a narrative, and his storytelling, and is not 12 easy lessons of innovation. because i wanted to do some real reporting and say how did they make that creatively and how did they do it as a team? who was the visionary that helped to make that leap? you need the visionary and the team. look at thebout a people who actually do it. people always think they are going to do a website i explaining innovation to them,
but let me reported. >> you can catch the full interview on charlie rose. we do have some breaking news to tell you about. the french telecom company has crafted plan to buy t-mobile u.s.. t-mobile's board would not even entertain a offer. t-mobile was a candidate to be bought by soft bank. they tried to make a case that this would be good for the telecom industry, but that did not work out. olivia sterns has covered elliott during your time in europe. plug oneos pulling the that bid to buy a majority stake in t-mobile. he had planned to offer $33 per share. t-mobile shares are plunging by about 4% on this news that they have rescinded their bid.
you are watching bloomberg west where we focus on innovation and technology, and the future of business. anderson's the presbyterian hospital in dallas is the first known person to have contracted ebola in the united states. winners contracted the virus after treating an infected patient thomas eric duncan. this is the u.s. began ebola at jfkng airport.
the senatorow by who helped to pass legislation to make this possible. how effective do you think airport screening is? >> we have learned a lot in the past couple of days and weeks about screening procedures. some of those have to be upgraded. i think we have to be guided by the experts and not by announcements from members of congress, with all due respect to my colleagues. we have to make sure we are tapping the expertise of those that are in the medical to understand what to do with the entry point. i think there's a lot that congress can do to make sure that the funding levels are there for especially programs like the hospital preparedness program. >> what should we be doing from a technological perspective?
what more screening, could be done to stop the spread e virus in the united states? do muchtals have to more drilling, much more practice. you cannot just read about how to deal with this. you have to have constant and custom preparation in order to get this right. that means that those hospitals that often have very thin margins have to have the resources. that is why i'm calling for additional funding for the haas will preparedness program -- hospital preparedness program. it would take what is a $254 to $375program up million. the dollars are only at $255 million, need to upgrade it. this nurse apparently
followed all cbc standards and still contracted the disease. health workers are saying they do not want to be involved in ebola cases. what else can we do at the care level? going toe're probably find is not just in this one that but in cases like it there is not enough drilling, practice, and the rate of hospital to hospital. that is why i'm calling for additional funding. obviously no amount of funding replace practicing and drilling so that they are very prepared, not just for the initial emergency, but also for the very specific step i step -- step in terms of removing the protective equipment and all of that. that requires practice. you cannot do a lot of rectus and you cannot have the resources that these hospitals need unless you have been added at funding level.
people on both sides of the aisle will regroup to that -- agree to that. exercised the fda power you have given them in this legislation? is there more that can be done? fda, andms of the developing what we call in the legislation countermeasures, meeting vaccines to deal with what or other threats, we're going to be seeing is that that process is far too slow to the need when you have an emergency. not everything is a funding issue, but this is as well because we have underfunded not just the hospital preparedness program, which is one discrete program, but when you look at our more broadly -- added more broadly, the national institutes of health have fallen behind not just in the last few years but over a decade or more. so we have to put a lot more in
the way of resources into the will allow these vaccines to not just be available, but will be available in a widespread fashion so we can surge or ramp up very quickly when we need these vaccines over days and weeks instead of waiting months for them to be available. i think we have a public health challenge here that people on both parties and in every level of government, in addition to health professionals have to work together to improve. the administration and government's response has been criticized for not being unified. does that mean that the bill is not working? parts of thebe bill we have to root tool. i do not think this is a question of changing the statute. this is really a question of resources, but also a question of making sure that you have a lot more press this in drilling -- practice in drilling. .art of that is communication
we may have to examine homeland security procedures, we may have her examined what happens of the importance -- at the airports and the entry points. these hospitals, and the medical professionals cannot do this on their own. they need help. they need resources in order to do the kind of preparation. this is a real test of our system. some things have gone well, some have not gone well at all. we are to ask a series of questions. once we know what happened, and in this individual case, at this particular hospital. how are the screenings going so far? what are they finding? >> i really don't know. i have not had a briefing on
that. do think we're going to get this right we have to make sure that all of these practices and all of these procedures and protocols are based upon medical evidence and the best medical expertise that we have. in terms of the information from the air force, i do not have that yet. i think the wii interesting to examine that when we have it. >> how worried are you about a ebola as we try to strike this balance between fear mongering and reality? the programsl of and methodologies in place. but we do have to examine whether or not there is enough in the way of her petition in the practice and drilling i mentioned before.
sometimes even when you have the resources, the coordination and communication has to work. do not think be -- i think they should be the subject of widespread worry across the country. but when you get to every individual hospital, they need to examine what they're doing to make sure they are prepared today. these kind of cases could result themselves that more than one hospital. thankfully it has been only at one or two. we want to make sure that it is evident to a very few people. thank you so much for joining us today. still ahead, as the ebola threat evolve.s to hav , can you tell the symptoms? ♪
>> welcome back to bloomberg west. searchis testing a new feature that allows users to video call a doctor or. usersarch results prompt to talk to a doctor arnow. when you're searching for basic health information, our goal is to provide you with the most helpful information available. we are trying this to see if it is useful for people. i want to bring in the cofounder of a personal health assistant app that is backed by the mayo clinic. west.e to bloomberg how is what google what is google is trying to do different from yours? >> there are a lot of similarities.
to run across the whole spectrum of your health care needs, including administrative needs, and they are working on symptom management. as they see how people use this service amount they will expand into areas we are in as well. ask what you think about what they're trying to do? >> i think it is awesome. having a large player like this talk about issues like state licensure and what it means to be a across state lines. that are complex issues a large player like google can help us to move through the legislative logjams. elemedicine not more prevalent at this point? very easy to blame
doctors, and say they must be in a place where they are not technology savvy. that is a huge mistake. they simply want to help people wherever they are. payment structures, and is n insurance a committee would pay a doctor over e-mail. stay there is still to state reciprocity, it has really retarded the growth of medicine for a long time. a lot of information has proliferated over the internet. you look online and receive the worst-case scenario and you think you're going to die. what about quality control? how do we know we get the best advice from the people we speak
with in google or your organization? >> that is why we partnered with the mayo clinic. of our service delivery because they are simply the best of the world. when you have organizations that are that high-quality, it is part of the goal. doctors were licensed are still high-quality. of studies that show if you're searching and reading text articles on the internet, there's a lot of chance that the quality is low. there's something to be sent for human interaction, and if we are is a technology to scale great doctors and clinics like the is aclinic, then that win-win for the patients at the end of the day. yes you should be a little skeptical about everything about cancer and viagra on the internet, but there are high-quality offers out there.
i have seen more health focused companies rigorous, cross my desk. where is this field going? are we going to see more acquisitions? google has tell were they are calico your debt -- where they are trying to cure your debt. >> it is a little early to speculate, but certainly you will see some consolidation in this space. we are in the early days of a new consumer. if you have the ability to talk thatdoctor in an instant, is a consumer buying decision that is a completely different path than my employer-based insurance. huge shift in
economics, and a huge shift in the marketplace. i think you're going to see a lot more of those. i think you'll see consolidation among the winners. >> are there enough health care professionals out there to satisfy the demand? >> there are certainly opportunities previous seen a lot of specialization. generalou see practitioners come down in scale, this will connect us to the type of dr. we meet at when we meet its rather than any old dr. >> thank you so much. we will continue to follow how yours and other services develop. bottom line is coming up at the top of the hour. mark crumpton gives us a preview. >> we will continue to follow the drop in the u.s. equity markets. we will also get a fourth-quarter outlook from the global investment strategist at tiaa-cref. recoveryes a steady
>> welcome back. may dream of silicon valley, but one is trying to get them to invest in future of tech leaders. , a school's latest venture tech campus on roosevelt island in new york city. at roosevelt island, we are building a world-class tech campus event that is part of cornell university. it is a graduate school only, so by 2020 and beyond we will have 2000 students.
at 100,y we are 40 of them are mba students. innovation/h/ entrepreneurship program. >> 2000 students is a lot of evil o people for grad students. >> it is important to note that they will infringe at all upon the undergraduate population in ithaca. grabby campus. masters in engineering, phd, mba. roosevelt island will probably change because of it. >> what is it about new york? why new york city? entered a fewl years ago, i was lucky enough to be involved in that whole
process. and after cornell won the new york city is an epicenter of entrepreneurial activity. and the folks and as the guy strongly believe that -- in ithaca strongly believe that it synergy between the two campuses. that will grow over time. in first rulings will go up 2017, and then beyond that we will build out the whole campus. >> i've been to is the car and thicaork city -- i and new york city. there is this inherent debate about vocational versus educational. about classroom learning and internships and being close to the actual work. with ayou balance that
school with such academic history let cornell? >> i do not think the conflict at all. the programming at cornell tech one that has postdocs and phd's actually coming to campus at the google building and starting companies. using the campus facilities and resources and faculty to do so. we have programs in africa that ica thatame thing -- ith do the same thing. experimentalan learning opportunity. assist with the students are demanding. >> if you're going to be working in the google building creating a company, why not do that for
google? what do you need to pay cornell for? >> actually, the students i mentioned at cornell tech are being paid by cornell tech. they are phd's and post docs that are being paid by cornell tech to start their companies as part of the program. it makes a lot of sense, the fact that the risking the start of the company for very roots risking the the start of a company for very tudents.u >> time for the bwest by. te. a review platform -- premium platform plan. >> ultra hd. tvs?any have the four k
>> berry small knot. it is the technology that a lot of people in the business are excited about. they think it could be the next big thing in television right now. it is very expensive, and it will be far more affordable in the future. mystics is getting ahead of the curve and saying that if this is something that is a pillar it will be a different service at a higher price which makes netflix shareholders happy. >> what about the deal they struck with cbs? >> that is mostly for european territories. they rolled out in 60 from countries, the biggest expansion so far. it added different programs for both cbs and showtime, which cbs owns. concern thatn some netflix would not have that much programming in these territories, and this adds to it.
>> from bloomberg world headquarters in new york, this is bottom line. the intersection of business and economics with a mainstream perspective. to our viewers here in the unit is days, and for those of you joining us around the world, welcome. we hope will coverage of the stocks in stories making headlines today. matt miller is at the new york stock exchange were fiat chrysler begins trading. lisa analyzes the gyrating equity in