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tv   Bloomberg West  Bloomberg  August 18, 2016 11:00pm-12:01am EDT

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>> a spokesman says the obama administration wanted the iranians to keep their promises to release american citizens being held in toronto the money was oldest part of a settlement of a military equipment deal with the shah of iran in the 1970's. the clinton foundation says if hillary clinton is elected president, it will longer take foreign corporate donations.
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homeland security secretary jeh johnson today visited louisiana, where severe flooding has impacted the southern region of the state, as well as ongoing's -- ongoing response and recovery efforts. federal governments issued a disaster declaration for 20 parishes. brazilian authorities are accusing american swimmers of lying about being held up at gunpoint. the country's chief of civil police as the four were confronted by armed security guards after leaving a party in a rio suburb. press reported that two security guards pointed guns at the athletes during the dispute at a gas station. global news 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. i am mark crumpton. ♪ emily: i'm emily chang, and this
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is "bloomberg west." uber hits the gas on its push into self driving cars. all the detail on the company's biggest acquisition to date and its driverless car pilot in pittsburgh. can apple cut its smart watch free from the iphone? we will bring you a preview of what not to expect from the next generation to be released this fall. and, 10 centimes up with a new innovator in hollywood. we will speak to spf entertainment about their latest asian backer. but first, to our lead. uber users in downtown pittsburgh will be able to summon a self driving car this month. they will beat google, tesla, and all the biggest carmakers in a self to getting
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driving right hailing fleet on the self driving right hailing fleet on the roads first. the deal is not exclusive. uber bought the self driving truck startup auto this month for an undisclosed amount. joining us now to discuss, our editor,g contributing and one who wrote this exclusive story for "bloomberg businessweek." we're also learning a judge has denied uber's settlement with california drivers in the three-year-old lawsuit over whether or not drivers should be treated as employees or independent contractors. it looks like even though uber lost the settlement, it's good for uber. can you explain what this means? >> uber is locked in this ongoing discussion over what its drivers are. are they employees cut? -- are they employees? are they independent contractors? small business men are women?
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-- or women? it's not a huge bit of news but it does show this is a problem that uber will face for some time. emily: how does it give uber the upper hand? >> i suppose because what happened in san francisco, a judge wanted uber's drivers to be able to get out of arbitration. he was saying he would not approve the settlement without this clause that would have allowed them to get out of arbitration. uber said no, we will walk away from the deal if you do that. that is what is happening. they won't have been forced to be in arbitration situations. emily: fascinating story you broke earlier today about uber pushing the self driving cars, people in pittsburgh will be able to ride in a self driving uber volvo this month. tell us the details. >> the acquisition of auto, we have a pretty good idea of price.
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it was $680 million, one of the biggest deals in the states. in pittsburgh, uber will be launching its pilot program, right now, in the next couple of weeks, where riders at random will be able to experience this new era. people will be experiencing it with a test driver and also with a kind of copilot, a guide there taking notes. it's very, very early, but it's exciting. i rode in one of these a couple weeks back. it's an experience. emily: i rode in a google self driving car 4 years ago, but the technology has improved so much. david kirkpatrick, you're on the show when we interviewed the founder of the self driving cup -- self driving truck company. what is your take on all this? >> it's stunning. i'm really impressed by that,
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though i'm not sure if i would want to be one of the people to ride in them. uber has put all this money into its pittsburgh labs, where they hire these people away from carnegie mellon. it feels to me that they may be disappointed with the outcome of that and that's why they felt they had to buy auto. it sort of took away those google expertise. it looks like from the way they're describing it that auto will be the center of gravity of efforts,lf driving which might be a negative for those people all the way in pittsburgh. maybe they are salvaging their self-respect by deploying cars in their hometown. emily: you specifically research decision-making by humans versus machines. are we ready to let robots take the wheel? our robots ready ready -- really ready for the challenge? >> this is really all about
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establishing trust. i've written about this extensively, when should we trust machines with decisions. this is a bold move by uber. they are going out of the simulation mode and putting this out there into the real world. that's the only way to establish trust with consumers and even more importantly, trust with regulators who really need to be convinced that this thing works and it's better for society and it doesn't impose huge risks on individuals. there's only one way to do it, which is to put it out there. this is brilliant because it puts them in a position where they gather really valuable data that others don't have, so it gives them that first mover advantage of gathering data from vehicles operating in the real world. and that's different, and they need to do that to establish trust, which is key for these
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kinds of systems. emily: how will this work? do users opt into wanting to be picked up by a self driving car, or does one show up? >> you opt in, and use the platform normally. it's like being caller number 100. you get an alert saying, you will be in a self driving car. hope you don't have a lot of luggage, because the self driving cars have giant computers in the trunk. there are practical considerations as well. the passenger number is limited because of the driver and copilot. one thing that's really interesting about this uber self driving thing is the data angle, which is that uber has driven many hundreds of millions, i guess billions of miles. they are saying they may be able to use the data they're human -- to use the data of their human drivers are collecting to train the robots, which is kind of an exciting thing for people who are deep in the space.
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>> that's key. in the real world, you get these things called edge cases, other people refer to them as rumsfeldian unknowns. you have to have these machines experience as much of that as possible, and it's only possible when they drive in the real world. the other thing that hasn't been talked about, this is uber getting back into china, in a way, because volvo is really owned by the chinese. emily: interesting point, on the back of them selling their china business to their biggest rival in china. what about people like you and me who may not opt into this right away who are on the road and did not choose to be driving next to a self driving uber volvo? >> that's related to the question running through my head, which is that they better hope nothing goes wrong here.
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tesla was claiming they had more data about self driving because they have all these cars on the road. maybe this is uber's way to jumpstart that. but then look at what happened when tesla had one accident that was probably quite predictable, but these overly valued companies, whether public or private, they almost have this extraordinary pressure to prove they can do these things. that means they are in a perilous position if they go wrong. it is pretty dicey to be doing it so early. from everything i hear, they're not going to get those two people out of the front seat anytime soon. if they did, they might be inviting disaster. emily: we will continue to follow this. we will continue to watch competitors like tesla and google. david kirkpatrick, you are sticking with me. max chaplin, who wrote the story. it's a great read. check it out in "business week."
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staying now with uber, text are cofounder david cohen was one of the company's earliest backers, an angel investor before the company had any cars on the road . bloomberg sat down with him in berlin and asked what he was thinking when he bet on the company way back then. >> it was not a hot deal when i invested in it. ryan graves, the first employee, was mentoring tech starters. it wasn't hard to get into. they did not have any cars on the road. it was just an idea, like any other, but you are excited by the people and the vision they have. didn't seem any better than many of the other investments i've made. i was just fortunate to be involved. emily: catch the full interview tomorrow on "bloomberg west." up next, apple's next step for the watch hits a snag. what's holding up the latest developments ahead of the company's major project event next month. this is bloomberg.
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emily: one stock to watch, samsung now at an all-time high , fueled by the success of its latest flagship galaxy phone. shares are up 30% this year, outpacing apple's roughly 4% gain. second-quarter profit exceeded expectations. you will hear from one of those rivals tomorrow, the vice president of global operations. he will join us to talk about declining smartphone sales in china and the company's global expansion strategy. apple is hitting some snags in severing its watch from the iphone. currently, in order for the apple watch to work, you need to
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have your iphone close by. that font change the new updates. the company still plans to announce new models this fall with improvements to help tracking, but they won't be able to connect independently to cellular networks. join me to discuss, my cohost, and mark gurman, who broke the story for bloomberg news. what do we know? >> we know this apple watch will not be able to connect to networks from at&t, verizon, etc. and internationally. apple plans to come out with a new version this year that can connect to cellular networks. you could get sports scores, and download text messages, e-mail, mapping data they hit some snags . related to engineering, related to the battery life. the cellular chips of today's age consume too much power for an apple watch, a small sized watch. the trade-off was too large to have that in there because the battery would drain too quickly for the users. emily: what do you make of this? >> i think it's not shocking.
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one of the things we have been looking at is, what is the modem technology going to be behind this? we have been hearing apple is working on their own modem technology. they would need to design a modem onto the computer. i had been hearing that was delayed for some of the reasons that mark said, we were not on the same track. we see with existing watch owners, we have research data that suggests that they want that feature. i admit sure that a normal, new person wants that feature. whatreally a question of the necessity is. the modem, i'm not sure. it would be a nice feature, but i'm not sure that is why someone would go out and buy. there is still potential for the market to grow. emily: will the new watches be unveiled at the september 7 event? >> we know there will be a new watch unveiled this fall,
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without the cellular. emily: what will be new about them? >> new health tracking features. big advancements there. partly that will be because of a new gps chip. gps right now is in the iphone. if you want the most accurate data for running and walking, you have to either calibrate for a 20 minute process or bring the phone with you. now the gps will be built into the watch so you don't have to worry about that. you can get consistently accurate data with every workout. emily: what do we know about how the watch is actually selling? you've had more positive analysis than some others. how are watches selling? will people buy new ones? >> it's interesting, because they are waiting to the fall to update this product that has been on the market for over a year, versus if they had done a refresh in the spring, we could have seen more optimistic sales going into the momentum of this year. if you look back at this category in general but particularly watches, clearly
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it's a holiday product. it makes sense to do that refresh. for me, this is all about can they grow sales to new customers? there's a lot of techies and early adopters. can they bring it to normal people? what price points do they get to? what model do they keep in market? do they do much on design? we still see most of this being gay fitness and health market. i would like to see it expanded into some other use cases. that's where the new software, new developers might expand it. we still think there's a lot of headroom in this market, and there's an evolution for watches. i do think it is going slower than we thought. that's fine, there is nothing wrong with that. that's the big question, what is the size of the market? and what the cadence of sales overall might be from a volume point. emily: david?
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>> i always thought apple overplay the fashion part of the watch. one of the reasons there isn't that much demand from non-techies is that they haven't explained it very well. i have one come and i like it. i went to the dinner last night i was hosting, very busy. somebody was unhappy somewhere in the room and i got a text message on my watch and it really helped me do my job in a way i could not have otherwise. there is no way i would have pulled my phone out, knowing i had a message at that moment. i think there's real benefits to the watch that are not understood. i think the price is critical. i did not buy mine until it got to $300. it seems to me more than it was worth up to that point. about the battery, this is the thing that's holding back this industry, and one of the reasons it's a problem with the watch. there are watches that connect
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to cellular networks perfectly fine, they just don't have as many other features. it's apple's desire to have it all at a time when battery technology is not moving forward quickly enough. it's the one thing i keep finding disappointing about apple and his predictions of what the next iphone is going to be, it's not going to have dramatic improvements in battery life, which is the one feature that people really want. emily: battery technology has not improved significantly in a century. >> there are technologies to improve it. i went to the launch of this phone the other day. they have amazing technologies built into their phone to extend the battery life, to help you manage the battery, that i think will give some phones and -- some phones an advantage. it's desperately needed. emily: quick thoughts? >> on the watch side, it is positive. we continue to see existing customer satisfaction be high. that is what tim cook likes to measure. that hasn't changed. the battery and design stuff, we
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are in a different cycle in this industry. that is the bottom line. i think that for us is the key thing to keep observing. emily: as always, thank you. thank you all for joining us. more of "bloomberg west" next. this is bloomberg. ♪
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emily: shares of advanced micro devices surged after unveiling a refreshed product line aimed at cracking intel's dominance in the chip market. amd has been struggling to regain lost market share from rival intel. cory johnson sat down with amd ceo lisa sue to find out how the company plans to reverse the trend. >> i think the way to think about it, zen is a foundation for high-performance computing. we are pleased with where it is. the key for us has been to hit our goals and we are right on
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track with where we asked acted -- where we expected to be. we have more work to do before we go out into full production, but i would say from our standpoint and customers we are pleased with where we are. cory: there's a notion it will hit peak pc. that they will never sell as well as they did three years ago. here you are entering a market that will have many outputs. how do you see the pc market that is shrinking, not growing? >> the key thing to think about is what pieces of market are growing. if you look at high-performance gaming, pc gaming, game consoles, virtual reality, anything that requires a lot of computing horsepower, those are areas that are growing and they are quite profitable. we believe we have targeted our products to the segment of the -- segments of the market that are both growing and highly profitable. cory: surely you are planning for subsequent versions of it . what do you expect the cycles to
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be for upgrades of this going forward? an 18-24 months timeframe? or are we going to do something more aggressive? >> it depends on the market. the pc market tends to move faster, so you might see something on a 12 month cycle. the server market, 18 to 24 months is reasonable. for us, zen gives us an incredible foundation to build on top of. we've already worked on not just zen, but the next generation to come on top of that, to ensure our customers we have a long-term roadmap that satisfies their needs. cory: sounds like you are focused on the heavy processing that happens on servers and with games, and not mobile. >> where we are in terms of size, we need to pick the places we believe are the highest growth segments. in terms of high performance computing, both on the graphics side and cpu side, we think it's a huge market. there is more than enough areas for us to grow. it's true we are not in mobile
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, and i think that's totally ok. emily: our editor at large, cory sue.on with lisa illumina spiked as much as 8% on the report that scientific wants to buy the company for $30 billion. this latest bid is an all stock offer and would be $4 billion higher than alumina's current market cap. four years ago, the company rejected takeover attempts, and one offer valued at nearly $7 billion. and a story we've been following, the final chapter for online media pioneer. -- online media pioneer gawker. the founder told staff that gawker's flagship site will shut down next week. earlier this week, univision won a $135 million bid to acquire
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gawker media, which includes, jezebel, among others. gakwer was driven into bankruptcy after losing an invasion of privacy suit to hulk hogan. we will be back with more bloomberg west next.
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avtk"0 >> the top stories this hour,
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asian stocks after a one-year high, and a two year low. they have run out of steam. oil is on a longer streak of gains in four years. opec will announce a production freeze next month. australian oil and gas producers reported a first-quarter net a bigger1.1 billion, rival software office cut in half because of low prices. also, $340 million there.
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in a billion-dollar bid in for oil was rejected last year. provided outlook for five australian banks and negatives. members equity banks are facing a challenging environment, which would lead to profit growth. moody says aussie banks have -- buffers.s global news, 24 hours a day, powered by 2600 journalists in many countries, this is bloomberg. we go to the latest in markets now. , iwe are seeing pressure will tell you all about that. quickly, the dollar is regaining some losses from overnight. but the trend for the dollar is still on the way down. yen, week against the $1.31.
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have a look at the yen, fairly sharp to move up. a lot of people are saying there is some short covering. showse a graphic that some of the sharpest moves we are seeing. quiet, a sharp move up. also the yuan, and the taiwan dollar as well, they have been bid up as well. promised, have a look at what is happening across australia and sector groups. i am being generous here, .2 5 -- .2%. , a mixeding like this bag, volumes are low except for china. it has been an ok week.
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let's look at some of the gaming shares in manila, that is where some of the action is. saying it willrs not be renewing some of these expiring licenses for re-gaming those shares. ♪ emily: this is "bloomberg west." i'm emily chang. is time for series a, our weekly roundtable on investing. this week, we are focused on funding construction across the media industry. we have seen now established players like netflix and amazon studios bring tv into the on-demand era. now the up-and-coming hollywood studio wants in. they are known for movies like " it gift," and "bad moms." recently raised new funds to expand into tv, digital, video games, and virtual reality.
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will stx succeed where others it is no easy task have failed? , joining me to discuss stx entertainment is the ceo, and the cofounder of stx. they have been incubating the company it's a really since. it's a really interesting partnership you guys have. can you explain how it works? >> when bill and i first came up with the idea for this, we realized if you are going to build an entertainment company today, it's not going to look like the entertainment company that exists right now. their business models are 100 years old and a lot of things they have done, is to build on different revenue streams. we said, if we are going to build a company today, a, it's going to look very different, and b, china will be an integral part of its dna. we are going to try to build a company that tried to push its product into china, we instead are going to have it as sort of a bridge where it is literally part of the dna.
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emily: how are you doing things differently from traditional studios? >> the main thing has to do with the product mix. the six major studios have changed their films to being fewer but more expensive, lots of sequels remakes and , franchise films, which is exactly what they should be doing. they created this interesting vacuum in the middle, $20 million to $80 million price range where you have a star in a signature role. we know that to be a profitable area. given the fact that we weren't burdened with legacy deals or massive overhead, we were able to go after that space. "bad moms" is an example of what we hope to do over and over again. emily: i cannot wait to see it. is "bad moms" a good example of something you are doing differently? if not, what are the movies that exemplify this strategy? >> "bad moms" is exactly what we are trying to do, a $20 million
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film that should do $200 million box office worldwide. it's a number of identifiable comedians can accommodate. it is these actresses the way you want to see them. as a whole bunch of different offshoots, tv, and short forms we can do. >> the other thing i would add to that, which isn't necessarily as obvious when you see a movie like "bad moms," we built this company from the beginning with an eye to china. and the other global markets. china will within four years be the largest media market in the world. we brought in some of the most important chinese partners. from the beginning we had chinese partners we brought in. the notion was to build content --t was it leverage a bowl
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leveraged more globally from the outset with partners that could help inform on the china side, when they were looking for in media as well. emily: the entertainment opportunity in china as well is clear. there are a lot of challenges, and dealing with the chinese government and the things they want their people to see. how do you navigate that balance between making compromises to get your stuff into china and being true to the art? >> first and foremost, the kinds of content we are making, whether movies, tv, it's designed for global audience. it's not designed explicitly for china. we are trying to make movies for the whole world. as for being able to crack the chinese market, as bill said, tpg growth incubated this company. it was literally just an idea that two years later we willed into being. but one of the first people we went to was one of china's largest pe shops. he's been a spectacular partner in helping to test and navigate how things should work there.
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tpg is also really successful, one of the most successful private equity firms in china. this is where companies like 10 pppw come in. what we have tried to do is align ourselves with the best thinkers who can teach us how to work there unlike a normal , american company that is trying to retroactively push their stuff in, we proactively try to align ourselves with people who understand the market, and that's what hopefully gives us an edge. emily: a lot of this new funding will be used towards new tv projects. what are the opportunities you see in tv when you have amazon, netflix spending so much on original content? you have people saying, we are in a tv bubble.
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we are ballooning into oversupply and that balloon will eventually deflate. i continue to believe there is greater supply of tv than can be produced profitably. >> just like the movie business, there's television content that we are ballooning into would not be profitable and if you produce the right television content, it can be wildly profitable. hulu, amazon, netflix are doing the doubling in investment they've made between last year and this year in original content speaks to the fact that the way we consume tv is completely different. when we grew up, it was a linear broadcasting modality. the only thing left that is linear is sports. people will sign on to their television to watch a sporting event, but the rest of content television is a different form of media, and the lines have really blurred. you see a-list artists doing an individual episode of "game to thrones". the quality of it is like that of a movie. you no longer have television as the comedy runt of the litter blockbustersd
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being the high quality. china and india and other emerging markets having shown up makes for a fascinating landscape to invest. it still has to be good content. if you throw lousy production out there, it won't succeed. emily: what kind of tv do you want to do? >> it's a great question. what is tv, is what we are grappling with. it used to be movies were 90 minutes, if you're telling a story it's 90 minutes and it will probably be a movie. if it's 22 minutes, it will probably be tv. now it's 2 minutes on facebook or 6 seconds on snapchat. we are trying to aggregate the world's best storytellers and biggest movie star brands who are incredibly interested in trying to tell stories across all these different platforms. we are trying to create this frictionless creative experience where they can tell their
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stories across all these different platforms and figure out which is the best way to go, but where we are right now is all these lines are completely blurring. the kind of tv were doing, they are stars in signature roles. i think there's going to be a lot more overlapping and a lot more breaking down of those barriers in the last 3 or 4 years. emily: all right. we will continue this conversation after a quick break. ♪ emily: welcome back to
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"bloomberg west." here with me still, stx ceo and
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will co-founder. in a will and have been discussing their latest funding round. i want to talk more about your relationship. private equity normally stays in a company for a finite amount of time in them leaves. will that be different this time? >> it is different in the way this all began. we sat together after being at a board meeting together. we've known each other since college days. we sat together and realized a lot of what we have been talking about which is the global , landscape is so different that we can build a different kind of business together. our first check in this company was we have been working as $1 million. partners all the way long to create this. this is a company that was a function of the 40 investments, the $4 billion of investments,
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and the fact that bob probably has the best roi of any hollywood producer. he has been a prolific producer and consistently generated profits. he has a respect for capital which is important as an investor that you are working with someone who sees the world that way. it's been a great marriage from the beginning. we ultimately have to return capital to our investors but we tend to be fairly patient and our goal is to maximize return at the end of the day. >> also, what you were getting at which is unusual, they don't incubate companies. this started as a simple idea between us and it has grown into a multibillion dollar company, almost overnight. what is amazing is the way bill and his team approached the risk reward profile and having the heft and power to dislocate a lot of traditional majors is a combination i have not seen out there.
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emily: stx isn't the only company -- you have quite a resume, bill. you also have another company, evolution media partners. you're an investor in jaunt, virtual reality. what do you think is the potential for vr in mainstream entertainment? >> bob can talk about it as well. we have made for investments in what we think are most of -- what we think are some of the most interesting vr businesses and it's based on a lot of work that we've done thematically to understand how consumers are engaging with media, and we believe in sports, music, and media content, generally gaming vr will be a ubiquitous way we all engage. it's a meaningfully better experience. emily: when will i be able to enjoy a vr tv or movie experience comfortably?
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>> basically starting about now. at stx, we are not technology people. we don't know who's going to win. our goal is to aggregate the best storytellers, to figure out what the syntax is going to be in this space. with vr, and vr will be huge, you don't control the frame. it's tough to tell the story and take someone on an emotional journey when you can't actually manipulate that journey for them. it will be different language to storytelling. and, we are trying to throw some of the best minds at that. what is amazing that the biggest stars, the best directors are fascinated with trying to crack this space. from our standpoint, we figure as the different companies are vying for dominance, they will all need content, and compelling content. and we want to be the ones that provide that. >> the other side of it will be
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experiencing live events differently. you are going to see major bands rllowing their fans to have a v experience on the stage, you will not necessarily have to spend what people spend to sit in the floor seats of the warrior final nba games. you will have an experience that is virtually identical, if not better than having those seats. emily: do you think there is room in the future for the humble movie theater? will we still go to the cinema? >> personally, yes. i think the movie theater isn't going to go anywhere. going back to the cave men sitting around fires telling stories, you want that communal experience. sitting in a dark room with a bunch of people laughing or being scared or being adrenalized, that is an awesome experience of won't go anywhere. there will be different types of stories you tell to achieve that goal. being able to watch something on
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tv in your own living room or even on a mobile phone. i mean, it's really interesting that demographically and culturally, people access stories differently. in china, it's actually very normal to watch a 90 minute movie on your phone. same thing in india. that's not normal for us yet. it's going to all start to bleed and we are hoping as it bleeds, the demand for quality content will continue to increase. emily: talking about cable, in other news you announced cpg , acquiring grande communications. how do you see consolidation playing out across cable? >> our bet, in putting the two together, rcn and grande created a top 10 cable platform. obviously we are excited about the company and the teams there. we fundamentally believe that cable represents a 21st century utility. everything we have been talking about, the way people consume
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content, all the exciting new developments taking place and the way we are consuming them, need that kind of infrastructure to allow it to exist. it is no different than the infrastructure put into water distribution, basic utilities. nowadays this is fundamental. these businesses are going to be doing quite well in our view going forward, as they realize the macro benefit driving that consumption pattern. emily: do content creators need to keep one foot in distribution to make their models work? >> that's our model. other people may disagree. from our point of view, we are convinced of that -- if you are a great storyteller are you have a big brand, being able to control and be involved with the content from inception all the way to delivery is key. you're never handing it off.
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distribution is essentially -- from our standpoint, it's how you create enterprise value. >> studio instead of a production company. >> normally when you make a piece of content, a tv show, it makes money, it doesn't make money, and you capture that margin. we are trying to build a company with enterprise value, which is very different. it has not >> it has been a been done in hollywood in quite some time. >> it has been a generation since a new studio on our scale has been created. emily: we will get some quick closing thoughts from you after this break. ♪ emily: welcome back to
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"bloomberg west" i in our weekly roundtable,
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series a. we will start with spotify. when are they going to go public? >> that's not an answer i can give you. thanks for asking that. [laughter] emily: obviously there is so much competition when it comes to music streaming. apple is saying they will completely revamp their service. how do you see spotify's place in this super competitive world? >> we are big believers in spotify, evidence our recent investment that we and our credit team led. we believe that there is a place for a businesslike spotify in the future of music. if you look at the data, over 30 million subscribers at spotify today. last year we streamed 20 billion hours of music. just as we discussed how the consumption habit of media content has changed, music is similar.
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my children my oldest is 15, and , 13, and 11 -- they could not imagine buying music. they stream everything, and that is the consumption pattern that now exists. it is delightful there's no , point in stealing music anymore, because they provide a curation and model of exploring music that is delightful to the customer. the music industry itself is in a very interesting place where it's becoming more compelling, and spotify is and will be a leading player in that. emily: spotify also getting into video content. >> i think it originally started as spot and identify, which was a deal. i think they went after music first because it was an easier market to crack. they touched so many people and so many consumers. there's a gigantic opportunity there. emily: last question about uber, are you guys interested in
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calling an uber self driving volvo suv? would you get in that thing? you guys are investors, on the board. >> i am a huge believer in that trend. i think it's inevitable. i think you will see it happen in commercial shipping and transportation first. emily: would you do it this month? >> as soon as it's ready, i'd love to do it. >> i'd like to try it too. i took an uber from the airport to tpg. emily: with a human driver. >> yes. i feel like that's the way the world is going to go. they will figure it out. emily: thank you for doing this. i'm excited to see what you guys do together. and, see "bad moms." that does it for this edition of "bloomberg west." tomorrow, do not miss our conversation with john maeda. ♪
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yvonne: it is noon here. leading numbers are already pumping flat out. crude has climbed more than 20%. the led to -- profits cut in half because of low prices. income fell


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