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tv   Bloomberg Technology  Bloomberg  May 2, 2017 5:00pm-6:01pm EDT

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the method and it. he tweeted that you country needs to on the more republican senators or change the rules to 51%. a vote is expected this week on a bipartisan budget deal. meantime, house speaker paul ryan says he understands the disappointment behind the and he didn'teet, sabotage gop efforts to repeal obamacare. ryan also endorsed the potential $1 trillion spending bill, saying the budget increases border security and makes the usa for. hillary clinton says she is taking responsibility for her last, but believes that misogyny, russian interference, and questionable decisions by the fbi played a role. she spoke at an event today saying she was on the way to winning until a combination of days. in the final screenwriters in hollywood have averted a strike that could have cost billions. the writers guild says writers will get more money for pay-tv
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and movies and studio will pay more for a health plan. global news 25 of the day, powered by more than 2600 journalists and analysts enlightenment hundred -- 120 countries. from washington, i'm alisa parenti. this is bloomberg. ♪ emily: i'm emily chang back here on "bloomberg technology." back.great to be coming up, apple declares numbers and america's most valuable player misses on revenue. we break down earnings for the second quarter. officiallysoft launches its laptop to battle google and apple for classroom supremacy. we discussed the new service laptop with a top exec. and a sitdown with the twitter cfo and ceo with anthony noto, about the company's latest media
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dealing capitalizing on trump. first, hours -- apple earnings fallingafter-hours with short revenues. the iphone has always been the moneymaker, but felt flat year-over-year. not surprising, given the anticipation for the next iphone this fall. we are expecting a big design overhaul. apple also announcing it generated over $7 billion on services in revenue. 18% growth. this is the sector and ceo tim cook says he expects to double over the next four years. joining me to dig into the earnings, david kirkpatrick. great to see you. and angela is with us, analyst at cfr a. i want to start with you. let's talk about the iphone. driving two thirds of revenue for the company. are you concerned that sales were flat? >> i actually think when you
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look at the quarter overall, it is rarely mixed. the one negative was the iphone numbers. but it's one of those quarters where you can only put so much emphasis on the iphone. you of course have the major launch later this year, and we think the entire myth here can be attributed to the fact that consumers are holding off for the next generation iphone device. overall, you are seeing a little hint on the stock rice, but it is something we would look past. emily: i spoke with apple cfo luca maestri who spoke of channel inventory, based out of 1.2 million iphones worth of inventory, which brings the number slightly up. david, what is your take? >> if i understand correctly, the sales outside of china actually grew. cook said it is because they were seeing anticipation of future product being a problem.
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it's amazing to me how in china they are even more status conscious and technology conscious than any other part of the world almost, and they love but i take a big picture view. this is not that big of a deal. if the company can make them move to services and software, which is the shift they have to month --ove the multiple up, they will have a wonderful future. i do think they will come out with a great phone in the fall. emily: let's talk about china and we saw a 14% year-over-year decline in china. maestri, and he played up the positive signs in china. the iphone 7 was the best-selling smartphone in china . the iphone 7 plus was also doing well, services hitting an all-time record, max business growing double digits. he also expects performance to improve over the fiscal year in
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china. the second half of last year, they saw a greater decline than they seen so far in this first half of this year. top to us about what's happening in china and whether or not you are concerned. >> when it comes to china, consumers are of course a lot more price sensitive. i think you have a lot more options coming out of china, given the emergence of many device manufacturers in the region.ina that being said, when you look at how apple has recently performed in the mainland region, they have actually done very well. it is immoral on the other areas of greater china like taiwan, among other areas, that has taken a hit for apple. but overall, when you look at the segment, at least it is performing better than it did earlier last year. that is positive. we do think that business starts returning to growth as you progress later into the year and start seeing aesthetic changes to the next generation device.
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emily: overall, you are also seeing a greater shift to the larger sized iphone. you pointed out this is the first time they have a dramatically updated feature in the camera. this means that average selling price of the iphone is going up. i want to talk about what's going on with capital. they boosted the capital return program, but there's speculation about whether or not apple will bring cash back to the united states. $257 billion apple has in cash overseas. they said they question about what's going on with the trump whether or not that will impact apple. what are your thoughts on this, david? amazed thate to be a company could be this big, this profitable, and have like they have. i think they will need to be seen as patriotic.if there's a chance to bring money back , they will do that.
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to me, the real -- i would go back to what i said before. if i was an investor in apple and i know some analysts have recently been talking about this, can they shift to be seen as more than just a device maker? their multiple is so low compared to facebook and google, that somehow they have to find a way to change that. they don't even need to make very big of a difference for their stockholders to see an fromdible increase even this astonishing $750 billion market cap. they will bring money back. have $250 billion to play with is astonishing, but the bigger questions are longer-term. emily: we did ask luca maestri whether they have laid the groundwork or are planning to bring cash back depending on what happens with legislation.he said it is not something to speculate on right now because it depends on
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the details of what might get connected. we do a lot of scenario planning, but there's nothing to announce today. any closing thoughts? >> i think when you look at the numbers overall, we remain very optimistic on the shares. services growth of 18%, right in line with what we expected, continuing to run in line of the duckling potential over the next four years. -- doubling potential over the next four years. apple continues to expand outside of the iphone revenue stream, and i think that's an enormous positive. emily: angelo zino, i will let you get back on the apple earnings call. it just started. tim cook is speaking. at cfra,no, analyst and david is sticking with me. first quarter results coming in better than expected, but the online marketplace is announcing a major restructuring.ceo josh
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silverman is leaving the company along with the chief technology officer. shares are skidding after-hours trading on the news. turning in its worst performance in my than a decade in tuesday's session. the stock tumbled 24%. coming up, we speak with microsoft's corporate vice president of devices. this is bloomberg. ♪
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emily: we are continuing to get updates on apples third-quarter results. ceo tim cook is on the call thing he feels great about this quarter's performance and the services business is on its way to becoming a fortune 100
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company. he says app store revenue is up year-over-year, and developer numbers are up 26%. we will continue to monitor that. it is back to school for microsoft.the tech behemoth has announced the launch of its new service brand of device, surface laptop. it is aimed at college students loyal to apple, and it is a departure from the surface book. mark gurman got a peek at the new device. reporter: this is the new microsoft surface laptop. we got an exclusive sneak peek. this laptop can shake up the market with its 900 -- $900 price point, and a blend of new technologies and cool look. it is lighter than the macbook pounds.ing in at 2.76 it's also draped in durable fabric that you normally find in high-end cars. there's even battery life that the macbook air by a couple hours. >> we want to not worry about
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bringing a power cord with you. reporter: the surface laptop comes with a new operating system, windows 10s. also comes from the world of cars, a nod to luxury. it is optimized for the new device. microsoft says it will not go down the computer overtime and gets you to work quickly. >> you can turn it on and feel it right away. prorter: while they have touch on the market with detachable keyboards, and surface book, the surface laptop is microsoft's first your laptop. you can both around quintana. it has touchscreen like a turf -- surface tablet.you can use your pen on this project. reporter: it also has a funky new mouse you can use separately. i don't think most people would needed. >> this is the new mouse meant to go flat. if you want to put in your pocket or bag, you can do so. it is bluetooth base.
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when you put it on, it integrates with your product. emily: that was our bloomberg technology reporter mark herman. joining me in the studio is microsoft corporate vice president of devices and services, yusuf mehdi. tell me about this new laptop. one of the things we are excited about with microsoft education is a couple new things. a new version of windows is designed to be more streamlined, simple, and give you better performance. a range of new devices from partners, starting out at $189 with an hp stream, giving you things like pen touch inc. and the ability to run mycroft. -- minecraft. up, it's the perfect balance of personalization and performance in a 14.5 hour, 2.5 2.5 pound book.
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does, it is 10 as all of windows as you know it. vr, 3-d, pen and ink, but also the apps that come from the store, but none of the drawbacks of crime books. you get to work off-line. office.full you get the ability to run minecraft. you get rich experiences. i think it leapfrog the call book -- chrome book. emily: do you think you can get a share of the apple market? >> i think it has better value mac.attery life than any it is faster and thinner. the combination of all those things with windows, it is differentiating. emily: apple fans might say they are not so fond of the features of windows 10s. what do you say to those people? >> the good thing is, with competition you can choose.
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apple makes great products. we admire that. you can dos 10s, things you cannot do on other products. capability, if you like touch, if you like penn, these are unique. declined --ce sales surfaced sales declined considerably. what is the hardware strategy? >> a couple full. surface creates new categories of computing. what we want to do is grow the overall windows ecosystem. hp, dell, new glenn ovi of -- lenovo. the last quarter we have seen .ore price competition we are in the middle of a transition. the surface laptop is new today. you might expect to see an update coming soon. emily: the ceo of microsoft said cloud first.
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cloud seems to be going really well. give me the progress on mobile first. >> we are all in on mobile in the sense that all of our software will run on any device you own. office will run on iphone and android.minecraft on iphone and android. we embrace the world as we see today, which is that people use multiple devices and use windows pcs, laptops, and notebooks. emily: windows 10, given update. >> it's been doing great. million monthly active, 300 million plus use it every day. it is the fastest adoption incorporations ever seen, and we are seeing great deployment. we couldn't be more thrilled. emily: yousef maybe -- yusuf thank you, microsoft vice president of corporate services and devices. based techthe india
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company parent -- plans to hire u.s. workers. we look at the political and business ramifications next. we are continuing to get updates on apple's third-quarter results. tim cook is still speaking right now, saying there has been beats growth in beef -- sales. this is bloomberg. ♪
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emily: a story we are watching -- looks like jared kushner, president trump's top adviser and son-in-law, omitted a few items in his government disclosure forms, namely his stake in a real estate tech company. ashner omitted his stake in company that had ties to goldman sachs and george soros. a revised version of the disclosure form that includes the company will be made
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available once ethics officials have looked into it. india-based infosys plans to hire 10,000 americans in the next two years. the hires are part of the outsourcing plan to open tech and innovation hubs in the u.s. focused on artificial intelligence and machine learning. emphasis has announced this as criticism of the trump administration at outsourcing firms are unfairly taking jobs from u.s. workers. joining us is "bloomberg technology," editor at large cory johnson. and david kirkpatrick in washington dc. david, you are in on the party. we will make sure to include you. what is going on with infosys? cory: politics. this is about politics. this is an attempt for emphasis, one of the largest consumers of h-1b visas, to get themselves on the right side of the story.
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it has been going on for quite some time.as one of the reasons president trump was able to become president, capturing this notion of something gone awry with the american workforce. infosys is a principal offender. people in the far right media are calling them out as a company stealing american jobs it's no accident. . with 10,000 people being hired in hubs, especially in indiana, that is a place where president trump won and vice president pence health from. they want to make -- hails from. they want to make a mark for that reason. emily: i know you are looking at the numbers at other companies affected by the policy changes. cory: outsourcing firms are big consumers of h-1b visas. there are bigger known companies like intel and apple. the biggest consumers are outsourcing firms. we have a graph to demonstrate how these firms are among the biggest consumers of the h-1b visas. emily: what jobs are they doing?
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cory: all caps of jobs. but there's a concern that jobs are replaceable. there's concerned that they are not unique jobs. when you have companies you can thatrom tata, infosys, these are the kinds of jobs, like tech support jobs, they are not inventing the next driverless car or optical semiconductor but it is a support and of job, filling the h-1b visas. i think this is seen as an announcement for announcements sake. emily: david, i know you are thinking about this. >> i think corey is right. as a political move, but it is justifiable. this program has been abused. this is in one where donald trump has it right. trump't one where donald has it right. these companies are bringing in people and paying less than american jobs. somethingorkers make
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like $50,000 a year more on average than indian outsourcing firms. even if you are coming in from other countries, 70% of workers are coming from india, even under those circumstances, you will make a lot more working for an american company. indian companies have a perception problem they have to address. it doesn't surprise me in the slightest. emily: how competitive is h-1b visa program? enormously competitive. there are more applicants than there are spots available. it is a way for some of these people to get green cards and be in the country. who followedds that route. we have bloomberg intelligence analysts who have done that. fundamentally, what we might expect this changes in the h-1b program to fix these problems and the problems of workers getting paid less, coming here and being stuck with these jobs. it's not a way to a better
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life or for america to continue to lead in technology. emily: this is something mark zuckerberg has personally taken on, trying to get more "skilled workers" into the u.s. how does this affect facebook or google? >> it doesn't directly affect them that much, but i think what will affect them is if we can find a way to open up the doors to allow more people to come in and do a variety of jobs that are needed with fewer restrictions, while still being able to protect american jobs. that is a tough balancing act. all the big tech companies absolutely feel they would benefit and the american economy would therefore benefit, if they could bring in more people from outside the u.s. this program was not so severely restricted. every time someone graduates from stanford, they should staple a green card to
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the diploma, as john doerr said. there's a notion about stealing jobs, particularly in technology, and it is an issue. cory johnson, bloomberg editor at large, and david kirkpatrick sticking with me. we'll talk more about apple. also, twitter rolling out serious plans to livestream content in news, music and sports. cfo and coo anthony noto is next. plus, apple earnings after the bell. the company and nothing sold fewer iphones than expected as customers wait for updated models. headlines,toring the apple stock continuing to edge lower. ♪
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alisa: i'm alisa parenti in washington, and you are watching "bloomberg technology." let's start with a check of first word news. president vladimir putin is once again denying moscow to in the u.s. presidential
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election. he spoke at a joint news conference today with german chancellor angela merkel. vladimir putin called the accusations rumors. the u.s. says it has evidence russia was behind the hacking.meantime, angela merkel told vladimir putin that eu sanctions will remain in place. the reason -- lack of progress in settling the conflict in ukraine. they met in sochi, the russian resort on the black sea. the white house says president trump and president putin spoke by phone today. the call is being described as a very good one, and that terrorism, north korea, and syria were among the topics covered. officials say both leaders agreed the suffering in syria has gone on "far too long." meantime in syria, at least 37 people, mostly civilians, are dead after a surprise attack at a crossing frequently used by iraqis and syrians seeking safety from the war. officials say militants attacked before dawn. and men have been detained
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weapons confiscated after counterterrorism police in france, according to the ap. this comes five days before the french presidential runoff. global news 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. i'm alisa parenti. this is bloomberg. it is after 5:30 p.m. tuesday washington, 7:30 a.m. wednesday in sydney. paul allen joins us with a look at the markets. good morning. it could be a subdued day around the asia-pacific today. a lot of markets closed. japan, south korea, and hong kong are close for public holiday. asx futures little weaker as we pulled back on tuesday. sydney airport is gaining a quarter of 1% after it turned down the first right of refusal to build a second airport in sydney. that undertaking will be done by the government.
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we will see a billion-dollar announcement in next week budget. elsewhere, the australian dollar did not move a great deal on the back of the reserve banks decision to keep the cash rate unchanged. global markets are waiting on the outcome of that two day meeting of the u.s. federal reserve. earnings to watch out for, and yes i see bank -- india's icici bank. i'm paul allen in sydney. more from "bloomberg technology," next. ♪ emily: this is "bloomberg technology." i'm emily chang. let's get back to our top story. apple's second-quarter results. the stock casting a huge shadow over the markets.
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it is the top performer in the dow this year with a 27% gain. wall street analysts have 39 buys on the stock and gina barton adams, chief, equity strategy that bloomberg joins us. earnings,en watching up 27% here today. -- year two day. reporter: i guess investors are willing to pay for it. it is one of the strongest performers in the tech sector and broader markets. it's interesting because investors seem to be looking forward to better times ahead. when you look at apple's results over the last couple of quarters, they actually seem to be losing a bit of their punch on traditional earnings and revenue. if we look at apple's share of the index, and actually peaked several years ago. it has been on a comeback as investors have piled back into the stock, but i think the company has a lot to prove with earnings. emily: let's go into the bloomberg and show a 10 year chart.
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just how heavily weighted apple is within the nasdaq. it is such a massive company. could have such a big impact on the market. talk to us about that. within the s&p 500, it is the largest stock and holds the most cash. from a number of angles, when moves.oves, the market we saw that a little bit today, but luckily for us, it is a little more diversified. nasdaq is a tech index. we had by attacks in there, and tech light names, but it is an index. tech is a big, part, but not the entire index. it does move broader market, but a little more at the s&p. emily: it moves on average 4.7% a day on average. is that: what i can say season,cks so far this
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what stands out is that tech stocks that guided lower on sales have been punished by the market. the fact that apple missed on revenue could be a little bit troublesome for the stock tomorrow. otherwise, i think investors are looking to the earnings season -- season and better times ahead. emily: we have facebook and tesla this week. two companies with a lot of exuberance around the. what are you watching? reporter: more tech. lots of tech. considering what happened with auto sales earlier today and forth order auto sales in the gdp report last week, it is interesting to see tesla is doing as well as they are. i think it is a tech play. you have this sort of uptrend for all tech companies across the index, and the rest of the .ndex has skittish performance i would love tesla and with tech. pressure is on the company to
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guide for better expectations going forward. emily: tina martin adams, thank you for stopping by. twitter wants to be the place to go for all of your life video needs. the social media company announced it would be expanding its social media portfolio with 12 new partners in news, music, and sports. 16 deals overall. bloomberg news is among the partners i spoke with. 58 and cfo anthony noto about the deals. >> we started our lives experience in the fall 2016. we had two quarters of great success. on the back of the earnings on the back of 2017, we decided to go all in and push hard with partners to take live streaming content to the next level across sports, news, and entertainment. we will build on the 800 hours within q1. it is aggregating a large army
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units. it creating a great conversation. better, gives us more selection, drives discussion, and we can personalize it for the individual. we know their interests based on who they follow. it is perfect for twitter and we are delivering a unique experience. i think these deals are a testament to the success we have , great quality video, and the conversation on twitter about this. emily: let's talk about the video ad strategy. what are the biggest growth opportunities and how do you scale? >> it starts with the audience. for 11 years, the audience on twitter has been talking about live events as they unfold and tv. we want to ring that video on the screen with a great conversation on twitter in a one screen experience. that drives more selection and discussion. we thought that throughout the fall and first quarter of 2017. we want to take it to the next level. into to a take
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dependable place where people can see was happening in news, entertainment, and sports. we launched a, 24/7 network launching in the fall. leverage is a strength of both companies. with stadium, we announced a 20 47 linear sports network.live games, live news analysis , highlights and guests. emily: you said it would be a long road to revenue growth. when do you see training revenue around? >> today, we don't have visibility. i am seeing revenue trend improve. we need advertisers to recognize the increased we have driven in r.o.i.. it more attractive than it was six to 12 months ago. not only is the audience accelerating for the fourth consecutive quarter to 14% growth in active users, prices are down. r.o.i. has improved significantly. part of today was making sure they understood that significant improvement.
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the second part of today is how can they be a part of what's happening? we think we are unique in that way. twitter is what's happening. we also have an audience of influencers and audiences leaning forward so the brands can become what's happening. emily: let's talk about user growth. you added 9 million users last quarter. where's the growth coming from? donald trump? >> the first proctor -- sector was seasonality, and a second was product. product has impacted growth for the last four quarters. product improvements was the largest contribution it has had to growth in a significant period of time. we can't say whether or not the increased focus on politics and news events is driving growth, because we don't have a hold to, measure that but we did analyze correlated factors. accounts fore of
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new users fell into news and politics, but beyond that it is hard to measure. is there anyway to give us more color on whether it is the president using the platform itself, or his followers, or greater engagement with the president? >> i would say product and marketing has been a consistent trend>> on the acceleration. .t will continue twitter benefits when influential people in the world use our platform to tell was happening. we encourage that. we love the discussion. we love the conversation that's happening. the more it happens, the better we can be at showing you was happening in the world. we would love it if every world leader used twitter as a primary mechanism to talk to constituencies. emily: twitter is working hard to crack down on abuse and harassment. it is still a problem. i can speak to that as a woman. i'm often on the receiving end of it. why should someone like me stick around? > our number one focus was to
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make sure twitter was a safer place for everyone. we understand twitter is a microphone to the world, but it has to be in an environment that is safe, or people will not use the microphone. we have made great strides in the first three months of the year. it is a focus that will continue until we get it right. we have had significant improvements. we talked about that on the earnings. jack talked about the improvements. emily: do you see any re-evaluations and what counts as three versus hate speech, and where twitter draws the line? >> we have clear-cut rules, but there are things that will be great, and we have to make -- , and we need to make the best judgment. we will continue to reinvestigate and reevaluate things to consider changing. emily: as you are striking streaming deals it is almost more important than ever to make going on thetent platform is not hateful or abuses. what kinds of new mechanisms
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could you see down the line to further police that? >> we have already provided themselves, such as being able to commute words that you may not want to see on your timeline. you can also block and report much easier. we have abilities to give you safe search, which eliminates things you may not want to see. within the live experience, we are expanding not just live video, but machine learning about the best tweets about the topic, so we can see what is on the timelines and make it appropriate for the content on the platform to make sure it is. emily: sources told me your kind of the soul of twitter right now.we know you have been working really hard. how is twitter navigating some rough patches, how would you describe how you are putting jobr job scool and the fm -- at coo and cfo? explain this idea of being the sole of the company? i lovet i would say
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working with jack and the rest of the team. we approach running the -- company as a team. titles are what the world decided our responsibilities are, but at the end of the day we divide priorities amongst the team. i would not want to work with anyone else other than the team i'm working with right now including jack,. he's an inspiration. today, no rehearsals, no script, jack stood up and delivered the heart and soul of what twitter is. i live and breathe everyone -- every day to help that vision come to life. he couldn't be a better partner. our teammates cannot be stronger. emily: what is it like working with a guy who is ceo of another it can be- company? daunting and inspiring. >> he's there for 100% of the decisions. he's had to make decisions that no other executives has had to make. is a powerful relationship and
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has made us better in the last two years. emily: on that note, we talk about the potential drawbacks of running two companies. are there any benefits? >> the media wants to ask us about having dual roles. i don't ever think about it until the media asks me. when i have something to talk to jack about, we talk about it. we are together for 100% decisions. at the end of the day, that is what running the company is about. emily: you are still looking for a cfo. any progress? > once we have news, we will share it. -- that wasit was the twitter cfo and coo anthony noto. coming up, the rise of automation and his thoughts on trump. and we are seeing apple quarter earnings. speaking on a call on the enthusiasm around china
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despite decline in revenue. this is bloomberg. >> first-half revenue is down 30% year over year. about a third of which was sa.ibutable to essay -- that is in contrast to 32% revenue in the second part of last year. march quarter results were in line with expectations, and similar to the year-over-year performance we experienced in the december quarter. we continue to be very enthusiastic about our opportunity in china. ♪
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emily: nasa continuing coverage from the annual milk institute coverage in beverly hills. scarlet fu caught up with box the yield erin leavy -- aaron levie on his thoughts about the trump administration and the rise of automation. of cause forlot
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concern and to be talking about this subjects of technology based on automation and employment as we have new innovations like ai, robotics, and other advancements. we do have to be concerned about it because we have to think about what the future looks like in 10, 20, 50 years from now. but in general, i personally, and a lot of technology companies, are optimistic that we will create more jobs in new industries that we cannot even perceive. the challenge is figuring out how do you transition in as smooth the way as possible to those jobs? we know the jobs that go away or that are reduced, we don't always know what the future jobs are like. we don't know what to prepare people for in the future. in general, it is a healthy conversation to be having i think we need to ease.
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away from being on both sides of the pendulum, all jobs go away boom,re will be a massive and think of the nuances of how --prepare for a long time term transition to a new economy. reporter: what is the most likely pass for automation and jobs in the next two or three years? >> in the phase we are in where we help businesses share and collaborate and work on you'lltion on a new way, see a lot of automation in intelligence and software that makes us more efficient. we can do more in the workplace or outside the workplace, and we can collaborate and connect ideas more rapidly. it will ultimately have the impact of living us into the future faster. it won't necessarily replace specific jobs as much as really increase the speed and scale of what we can do in our organization. over the more medium and long run, i think you will have some jobs that are made more
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efficient that you have fewer of them in industry, let me be talking a lot about the roles that go into shipping and logistics, or taxi drivers. at the same time, as soon as you make one of those industries more efficient, consumption increases of the services, which creates ancillary and adjacent markets that see an increase in jobs. the question is, if we can make things like shipping and logistics more efficient because it costs less, maybe you bring in a been more manufacturing into america, because the isivering speeds of services so vast that we want to manufacture things as close to the buyer as possible. that create a new set of jobs in the manufacturing industry. we have to look across the whole system as opposed to the individual job that will be replaced or displaced. reporter: you have been very vocal in your opposition against donald trump and his policies before and after the election.
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what are your biggest concerns about how his policies impact technology, and your company specifically? >> our biggest concern is really at the policy level. we want to make sure that we our a structure of industries in the government that works for the next 10, 20, 50 years of the economy. we have to recognize the economy will look very different than it does today or how it did 10 or 15 years ago. -- 50 years ago. it will mean a number of things. it will mean different industries will have to have modern digital policy applied to the industry like life sciences or the automotive industry, or aerospace. we need to look at modern ways to regulate industries to unlock as much innovation and growth as possible. secondly, we have to make sure we are bringing in as much talent as possible into the country that helps us bring innovative companies, and we have to make sure we can grow as much talent from within as
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possible. it seems like stem education, job retraining programs, and we have to make sure there's a message and long-term roadmap of how to get the country there. we need to understand the philosophy of the government, and what we collectively understand the future to look like. that's another thing from a communication standpoint that hasn't happened from this administration. emily: a quick programming note. coming up on bloomberg television, radio wednesday. tom keene sits down with a conversation with former fed chairman ben bernanke. that is 5:30 p.m. in london. we continue to monitor the apple earnings call earlier. ceo tim cook gives his outlook on wearables, saying the apple watch sales have doubled year-over-year, calling it the best-selling smart watch in the world. this is bloomberg. tim cook: if we combine apple watch, beats headphones, the wearable products revenue in the
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last four quarters was the size of a fortune 500 company. ♪
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emily: we are continuing to cover apple's second quarter earnings report, the world's most valuable company sitting on a quarter trillion dollar towards chest. the massive cash file -- pile, 90% of that overseas. investors speculate that apple and other cash-rich companies may bring cash flow home under a tax plan from the trump administration. -- theytold me about say depends on the scenario, but they are not announcing yet. let's look at how the stock is trading after-hours. apple shares trading lower. iphone sales coming in below analyst expectations.customers are holding onto iphone s longer, likely waiting for the iphone eight this fall.
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we are expecting a big design overall -- overhaul. the ceo tim cook says he thinks people are waiting for the new iphone. on tap is wednesday, earnings from facebook and tesla. both stocks seeing massive growth this year. coverage and reaction throughout the show. that does it for this edition of "bloomberg technology." on wednesday, we hear from eventual capitalist thomas pauly co-owner of the and sociale warriors capital partnership founder. it has been wonderful being back with you all. this is bloomberg. ♪
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♪ from our studios in new york city, this is "charlie rose." president donald trump marked his first 100 days in office this weekend. this is typically the historic time where the president's use their momentum in popularity to set the agenda for the next four years. it's a common benchmark for evaluating their performance in office.according to the latest polls, president trump has the lowest approval rating of any president in history after the worst 100 days. he has -- first 100 days. he has failed to achieve core campaign promises, including the replacement of

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