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tv   Squawk Alley  CNBC  May 2, 2016 11:00am-12:01pm EDT

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good morning. it is 8:00 a.m. at hulu headquarters in santa monica, california, 11:00 a.m. on wall street. "squawk alley" is live. welcome to "squawk alley" for a monday. joining us, jon fortt, myself at post nine along with confide's
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co-founder and re/code's managing editor. good to see you. good stuff to talk about. markets higher by 51 points. amazing three hours with warren buffett this morning. he talked about the election, the economy and technology. becky quick is live in omaha to bring us highlights. >> reporter: great to see you again. warren buffett is not known as a leading technologist. you could probably call him the antithesis to that but he can spot a winning business strategy from a mile away. when it comes to winning business strategies there are plenty in the world of technology. that's part of the reason that over the weekend he gave a shut-out to jeff bezos. a shareholder had asked a question about trends and buffett said we are not going to out-bezos him. he added this morning with additional comments. listen to what he had to say. >> there are certain people do you not want to try to beat at
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their own game. certainly jeff bezos would be number one. that would be like me playing chess with bobby fisher 40 years ago, it would be all over on the first move. jeff has shown amazing talent in figuring out how to please customers and in a very short time. >> reporter: i asked him what game he was referring to, because bezos is in so many different arenas. the initial thought that buffett has was with retailing. he started out selling books, then getting into everything retailing. he talked about how that was a huge competitive factor that was forcing walmart to react in a lot of different ways including putting stricter terms with its suppliers out there. he also said that look, he gave additional props to aws, amazon's web services, the cloud services portion of the company, and obviously that's the area that was so profitable and surprisingly profitable during
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this last quarterly earnings. he said he talked to jeff bezos about it and they were both surprised, i guess they were sitting next to each other at somebody's birthday party, surprised that so many competitors let him compete in that arena for so long without seriously competing against him. he said bezos was surprised by that as well. that's one way a lot of people misjudged him when it came to that. now, as you know, buffett is somebody who rarely invested in technology stocks. one key exception to that rule was ibm, a stock he started investing in about four and a half years ago now. he bought into ibm at an average cost basis of about $170. that stock is now today trading at about $145. buffett owns about 8.5% of the company's shares outstanding. that's a reason a lot of people have been questioning that call. when earnings come in, it's been said they are ritrying to get r of empty calorie revenue.
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he talked about that stock, too, saying he's still standing by that stock, still believes in it and think it's undervalued. i did talk about some of the legacy stocks like ibm, coca cola, american express, wells fargo, the four biggest investments of berkshire hathaway. buffett talked about how he thinks about these stocks, believes in all of them, but i asked him if the two lieutenants who he's tapped to take over all of berkshire's investments when he's not here at the company, those guys are both running about $9 billion each in funds, i asked if todd and ted felt the same way about the legacy companies. here's what he had to say. >> we don't talk -- we talk some when there are developments. we go to lunch and talk but they don't regard those stocks as their responsibility. if you were to ask me if i wasn't here today, would they feel that they would want these same big chunks of four or five companies, i'm sure the answer
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is no. i don't know which ones -- they look at the situation at the time, look at those prices, look at the alternative choices, but it's very unlikely they would come up with the same proportions. it's unlikely charlie would. >> reporter: that was news to me. i talked to him a lot over the years. he never specifically said something so straightforward along those lines. got to think the management in berkshire's biggest investments are certainly thinking maybe they should get to know todd and ted better, too. back to you. >> a lot of information to process coming out of omaha. thank you so much. becky quick at the meeting. let's take ibm as an example. cramer's point was soft recommendation, didn't hear a lot about reinvention or that he certainly is buying it aggressively. thoughts? >> you know, there -- look, there's a not lot to like about ibm. 16 consecutive quarters of revenue losses, worst revenue in 14 years. having said that, they are
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migrating from hardware into data, into security, into the cloud. they have some nice things on the cloud. they have 34% growth there. they have about $11 billion growth rate there. there are positive signs within negative stuff. >> what's remarkable about this ibm call, over five years, if buffett had gone into apple, he would have nearly doubled his money. if he had gone into microsoft he would have doubled his money. this is a spectacularly wrong call on legacy tech because there are so many other companies he could have picked. cisco, and been up by now. he picked exactly, i mean certainly amazon. he's talking about those conversations now but there are so man companies he could have picked. interesting to dissect what caused him to pick the wrong company. >> cohave picked ibm ten years ago. he was late, i agree with you. he could have invested in other technology issues that have the
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right growth at this period of time. i think jon's right, they have done better in the cloud but cloud is a leaner type of operation. less profit, more service, more volume. that's a point of cloud computing. all of the computing infrastructure for big companies is changing. that's why ibm is missing out. >> ibm, 54%, microsoft 92%. amazon, 442%. >> wow. >> amazing. >> making $3.6 billion in capital expenditures in q one, they bought ten companies. they are trying to accelerate this growth. it continues to be a long term play. >> what do you make of the effusive praise for bezos? >> he sounded jealous, like i wish i had a bigger position in amazon. i think he's exactly right about bezos as an operator, an
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executive, someone who is always a step ahead of the market. they are eating share frankly. all of e-commerce is flat. his retail business is actually growing. you know what's growing faster is aws. we talked about cloud a second ago. i'm wondering, this is sort of going to how he's thinking about it, if and when he spins off aws, it's the fastest growing unit within amazon, most profitable unit within amazon. if i'm an amazon investor i want just a piece of that. >> a few months ago, i sat down with andy jassey -- >> ceo. >> he still said they have absolutely no plans to spin it off because of the flexibility that it gives them, the learning they get from amazon. they get to sort of borrow some resources, intellectual resources as well. >> he was just named ceo less than a month ago. come on. these are the moves you want to make ahead of any kind of spin-off. not saying it's happening. just saying if that's going to happen you need to make those moves first.
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pick the leaders first. >> interesting story working on its own streaming tv bundle, hulu. we are in los angeles with a look at what to expect on this one. >> well, sources tell me hulu is working on a service to stream live broadcast and cable tv in 2017. the service would include live tv feeds and on demand content. it would likely have more content than sling's core $20 service but would also likely be more expensive. analysts predict a price tag of around $40. sources tell me hulu is in advanced negotiations with disney, abc as well as fox. both are owners with a voice on hulu's board. the plan would be to include all major channels including espn, abc, fox news and fs, paying those media giants the same price as they get for their bundle of channels from traditional pay tv providers.
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they are starting talks with nbc universal hoping to include bravo, nbc and other cable channels. nbcu also owns a stake but it is a silent owner, doesn't have a vote until the year 2018. the nbc universal parent comcast wants to make sure it doesn't lose revenue if this drives cord-cutting, speculate comcast and other tv and internet providers could bundle this hulu service with broadband. we can also expect hulu to reach out beyond its owners to cbs and time warner by including some of their channels. none of the media giants or hulu would comment. the advertising up front presentation is this wednesday. we expect the ceo mike hopkins to address the service and announce a new hulu subscriber number likely well north of ten million. >> the information flow on that front just keeps coming. makes your head spin. what does this mean? >> this is fascinating. this is a huge deal. a big move on the part of programmers. the reason why it's happening, we are seeing from all cable
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distributors, numbers are flat or declining. video subs are going down, broadband subs are going up f you are a programmer, you want to be where people are, namely broadband. that's a smart move. at the same time, i don't think it's a way to encourage cord cutting. i think the cord cutting is already happening. i want to get those people. that's the thinking on the part of the programmers. >> isn't it just a new cord? >> you are paying $40 on top of the broadband. yes. i totally agree. >> i bet they let you pay more than $40 if you want some extra channels to tack on to your bundle. $40 here, $40 there per month, all of a sudden you're talking about real money. this is interesting. >> like a cable bill. >> yeah. like a cable bill. it will be interesting to see what this forces the cable companies to do. i also have questions of course, comcast is our parent company. i was under the impression there was some obligation on comcast nbc universal's part to participate in some of this. >> you are absolutely right.
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'. >> even though we say hey, they're not in, they kind of have to be in. >> once they cut a deal with fox or whoever it is, nbc has to follow suit. but hey, we are getting fox, we need you as well, please come on board. you might see it in the next few months or whatever it might be. >> i love this deal all the way around. we have 20 million cord cutters currently in this country, projected to go to 23% of all households in the u.s. almost kwa quarter of household. this is going to slimmer bundles and over the top. great way for hulu to get into this game and programmers additionally. not sure who's going to win but this makes -- >> does netflix have to copy? >> i don't think so. their strategy is completely different, very much more the originals, their own stuff. they don't want the programmer stuff. they want their own stuff to be the thing people want to watch. >> it has been hulu's claim to fame. >> the x factor is cable distributors, comcast, charter, whomever, they have the opportunity to sell their own
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version of an over the top type of service out of their own footprint. this sort of opens the flood gates for all the other things to potentially happen. >> in our own business, too. talking about where we live. good to see you guys. thank you for joining us today. let's check in on the markets right now. trading let's see, the dow is up about 81 points. the s&p up nearly half a percent as well. the nasdaq following suit but with lower gains, up just about eight points. take a look at apple. on track for an eighth consecutive day of losses, if it closes in the red again today. it will be the first time in almost 18 years apple has seen eight straight down days. apple is down 11 out of the last 12 days as well. when we come back, some of the biggest names in the auto business joining forces for a new lobby on self-driving cars. the man who runs that's going to join us live. plus tech valuations coming back to earth. what a couple moves from oracle can tell us about a potential
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bubble in tech. and the former ceo of is with us. what he thinks about the tech sector and lack of movement in this year's ipo market when "squawk alley" continues. [ cheering ]
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thank you! thank you! what a week! we sat down, we kicked back, and we watched tv! [ cheering ] this win is just the beginning! it doesn't end here. because your laundry can wait! keep those sweatpants on! order another pizza! and watch on!
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[ cheering ] don't wait a whole year for xfinity watchathon week to return. upgrade now to add the premium channel of your choice so you can keep watching. call or go online today. let's head out to the milken institute global conference in l.a. >> i'm joined by the vice chairman of, also
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started something called spark notes when you were still in college. >> i did. >> you are an entrepreneur, one of those. >> thanks for having me. yeah. one of those. >> let's talk a bit first about sort of the public realm here. vice chairman muof match, i i don't know you don't have day-to-day responsibilities. but in terms of dating and what you believe is the growth given your expertise in that area, i don't know if people can see the full teeshirt there, you still have it going on there. okay. do you believe there's a lot more growth ahead? >> there are billions of single people all around the world and just a tiny fraction of them is using technology today to help them find the person they are going to ultimately settle with. if you think about it, the search for companionship is probably the most important search of your life. i think there's a ton of growth ahead for this category. >> do you think the existing platforms will be joined by many others? >> no. it's so hard to enter the dating category because you need to have people on the service in order for the service to be worthwhile anywhere. so what you see is actually a lot of stability in the
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category. of the five big dating businesses in the u.s., four of them are over a decade old. tinder is the only upstart in the last decade. >> they did introduce something in terms of, i don't know if you want to call it an advance in technology, but it was. there is that possibility, isn't there, that somebody else will come up with something that makes it even easier in some way or eliminates friction as they like to say? >> anything's possible. again, i think tinder has been around for three or four years now and we haven't seen a million other tinders come up and compete. i think they hit on something that was very unique and has now grabbed such huge market share globally that it's not like you will be able to come up with a dozen more. >> what is their market share globally? >> we don't talk about market shares specifically of our brands. if you fly to a new city, open up tinder, you will see lots and lots of people. >> is the growth rate, do you expect it will continue to accelerate or are its best years of growth behind it? >> the entire category has a ton of room to grow. i expect all of our brands to do the same. >> so billions of people
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worldwide eventually will be using dating apps to find their potential mate. >> that's the opportunity. absolutely. >> how many right now are doing it on a daily basis? >> that varies tremendously by market. there are certain markets like the u.s. where more and more people are doing it. some in india where tinder has really started to get people thinking about dating. online dating, in a way they have never done before. >> you are an entrepreneur as i said, on a couple panels today sharing your expertise in that arena. spark notes, okay cupid, what do you do next? i know guys like you are always thinking about what's next. does it stay in this realm of dating or do you move beyond that? >> i did education first with spark notes and then dating. i'm always interested in finding out the next way to use technology to disrupt an existing category. i don't know what the next one's going to be. definitely not dating. i have done that for 12 years. >> any ideas? >> no. >> none? >> not that i'm ready to talk about. >> all right. you're in chicago, that hotbed of entrepreneurship. >> growing hotbed. that's right. >> are you alone there?
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does it get lonely? >> we have groupon, grubb hub and seamless is based in chicago, and a ton of other technology companies there. what's great is there's a lot of capital ready to be deployed. i think chicago will be the next great market for startups to join silicon valley and new york. >> you have a track record so if you were to start something, one would assume you will be able to access sources of funding that would be fairly significant. how would you describe the overall marketplace right now for younger entrepreneurs looking to make their first hit? >> i think for early stage, there's still a ton of capital available. the advice i always give early stage entrepreneurs is it's not just about the capital. you need the minds around the table. you need the expertise, the mentorship, the people who have been there and done that to help your company be more successful. >> which means what? you don't want to just take the money? you want to also take the expertise that comes along with the money? >> if you just take the money you will make all the same mistakes all the entrepreneurs made in the '90s. if you get operators who have been there and done that, they
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can help you deploy that capital much more efficiently and have much better outcomes. >> a man who introduced to a certain extent love to so many people but you actually did not ever use an online dating app, did you? >> not once. >> you haven't yet, right? >> i don't plan to. >> but your three kids, you expect they will? >> absolutely. i think they will be using it as early as as soon as they become of age. >> don't let them on tinder. >> nothing wrong with tinder? >> why not? >> tinder's great. tinder will be one of those products that is transformative and will -- >> so this reputation that it's just about meeting people to hook up is unfounded? >> absolutely not true. of course people do hook up. people hook up on all products. that's the essence of dating in some sense. but there are a ton of marriages that have come out of tinder and all our properties. >> appreciate you stopping by. thank you. >> thank you. appreciate it. >> talking hookups, jon. back to you. >> always a surprise from david
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faber. plenty of room for the dating category to expand, we learned. but not for us. we are done with it. >> not for you and me. no tinder. >> none of that. up next, is reality finally setting in for tech valuations? what a big move by oracle might tell us. plus for the first time in half a century, a u.s. cruise ship docking in havana. we go there live next.
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welcome back. oracle in a deal worth about $532 million, buying a cloud provider in the utilities industry helping people visualize data and be more efficient. this comes less than a week after oracle announced an intent to buy another company that deals in the cloud in the construction industry for $663
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million. both companies wore basically in unicorn territory several months ago. oracle appears to be picking them up on sale. this caught my eye because oracle always talks about how they don't like to overpay for stuff. who says they do like to overpay, but they are very value-conscious in the way they talk about m & a to. see them jumping in now with two companies in quick succession in vertical industries where they like to operate tells me that perhaps there's a sentiment shift, a reality check clicking in. maybe not just in companies that ipo'ed somewhat recently, opower more recently than tech sura but that has to trickle down. >> highly niche, right, very strategic, bolt-ons that reached one specific industry. that's something different, right? >> yeah. the one tech ipo so far this year had a sobering start.
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'the ones waiting in the wings can't be feeling their oats too much with these kind of headlines. >> definitely worth keeping our eye on. carnival today making history, becoming the first u.s. cruise line to dock in cuba since 1959. simon hobbs took the journey on board the ship and joins us once again live from havana. hey, simon. >> reporter: we are just beginning now to disembark. the passengers are disembarking from the lower levels. here we are in havana. that's basically it for the cruise ships because there is only one dock, a shallow side and deep side and we are here. so nobody else can get in. that's part of the problem as royal caribbean and norwegian look also to start doing cruises here. how will they deal with the capacity? it's a point i put to arnold donald, ceo of this shipping line, carnival, earlier. take a listen. >> we have been talking with cuba about that. of course, we have plans to come with additional brands. we have ten, as you know.
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the other cruise lines are planning to come as well. but it will be paced over time. >> reporter: for that, probably one or two extra slots every now and again. there are 160 ships out there in the caribbean at any one time. that's getting off half a million people and they are passing cuba all the time. for those people, that do go on cruises, let me explain what's happening. it's a seven day voyage to three ports every fortnight. you sail from miami, 247 miles, two nights in havana, then around the western tip of cuba for a night on the southeast of the island, so you stop just past the bay of pigs, remember that, then the final stop, you stop to the far east of the island just before guantanamo bay. you don't go past guantanamo bay, don't forget, that too is on the island of cuba. we'll have lots more from havana on this historic day.
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really is a historic day in many senses. back to you. >> simon, thank you very much for that. let's get you to the close across continental europe. thin trading. london markets were closed for the mayday holiday. italy dragged down by the banks. germany got a lift from the likes of allianz. when we come back, he's been called the most important lobbyist for the self-driving car industry. he's the head of a new group that includes ford, google, uber and lyft and volvo. then bill ackman sits down with scott wapner on "the half." don't miss that. but stealing it only took a few days. female announcer: protect your money. find out if you're dealing with a registered investment professional at
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here is your cnbc news update. the family of the late music icon prince headed to court northis morning. the singer died without leaving a will. his multi-billion dollar estate will be divided among his six siblings. his cause of death is still under investigation. it is feared prescription pain
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medication may have played a role. the brussels airport departure hall reopened following the deadly extremist attack in march. new security measures are leading to long lines and long delays. the airport is now at about 80% capacity, serving more than 20,000 passengers each day. a new cdc study finds playground head injuries are on the rise. monkey bars, play ground gyms and swings were the pieces of equipment cited most often in connection with head injuries. the study finds most of the injuries happen at schools and recreational sports facilities. happy birthday, princess charlotte. the daughter of the duke and duchess of cambridge is 1 today. what do you get the girl who has everything? the palace released a list of gifts she's received, including a $44,000 gold, diamond and ruby studded rattle and jigsaw puzzle. many more happy years to her.
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that is the cnbc news update this hour. back downtown to "squawk alley." she's cute. >> she is we're looking at each other like our kids better not hear about this. >> mine, too. my girls would be all over a diamond studded rattle. >> you know sentiment about the royals has turned around when they can put that on a list. the push for self-driving cars just got a very public face in washington. five companies, ford, google, uber, lyft and volvo announcing the formation of a lobbying arm called the self-driving coalition for safer streets last week. ing joining us is the group's spokesman david strickland. how did you guys determine who is in this group so far? >> it really was a group of these five innovators getting together and discussing their common issues regarding full self-driving cars. this really evolved naturally
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amongst these five group of companies. >> walk us through some of the dream legislation you would like to see. what kinds of national standards are you after? >> we would like one consistent set of standards to ensure that full self-driving vehicles are available to everyone in the united states. there's no need for a driver to ever take part in a driving task. you just get in, put your directions in by telling your car where to go. our hope is to have a set of safety standards which really sort of ensure the foundational safety and how we develop these vehicles, and making sure that the state parts which is the police power and licensing are also consistent so that we can have a smooth, quick deployment. >> that strikes me as a big ask, because there are a lot of people who don't follow every single headline on self-driving cars. they are going to be concerned with safety so i guess of course, it's great you have that in your name. how much of this is going to be about convincing lawmakers that their constituents aren't going
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to be at their doors with clubs for pouncing on legislation that allows this sort of thing? >> obviously what we are talking about is 33,000 lives a year lost because of traffic crashes. those crashes unfortunately, 94% of those have an element of human error. we are not talking about this as sort of a futurist, jetsons type future. we are talking about the future of transportation safety. we think that our message to lawmakers and policy makers around the country will be very clear and our hope is that we can get these cars to every person that wants one. >> you talked about the technology being, i would argue, probably available sooner than many people might imagine. >> it is. >> what year do you think this would be available at scale? >> well, it's going to really be in a variety of sort of methodologimetho methodologi methodologies. in terms of people owning a self-driving car it's farther out. when you talk about super
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cities, new york city, san francisco, places with high congestion, we can easily see a handful of years where these types of choices will be available. we want to make sure they are available. >> do they require their own lanes, for example? >> not necessarily. the technology really can drive independently without having an independent lane. i think on the other hand, there are some people thinking of opportunities where you can have an express lane for self-driving cars. that way there's fewer intrusions. but the technology from these five innovators that are part of this coalition and frankly, a number of others don't require independent lane. >> is there any move afoot that you are part of to take state action as well, because so often, california for example might lead when it comes to opening up possibilities for new technology when it comes to cars. do you expect this to happen all at once or will certain states lead the way? >> there's activity happening at
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the state level now, which is one of the reasons why these group of five innovators came together. we are hoping to work with the national highway traffic safety administration, a broad coalition of stake holders and the policy makers at the state and even at the lower levels, county and city, depending upon traffic ordinances, to make sure the self-driving cars can be put on the road legally and safely. >> finally, i'm wondering who is going to resist this? is it municipalities who don't trust the technology? is it auto makers who aren't in the game? who's going to give you the biggest hassle? >> the question really is sort of two pieces. i don't think there's a group or group of individuals that are going to be a hassle. i think that we as a collection of companies are going to have to talk to people about consumer acceptance, about the safety and reliability of these vehicles and the way you can frankly regain a huge chunk of your life from being caught in traffic and sort of dealing with congestion issues. i think it isn't so much there is one enemy that's going to be against full self-driving cars.
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i think it's for us being able to make the case to policy makers and every constituent that's interested in this vehicle that what it can do and the benefits it can provide. >> brave new world for sure. hope you will come back and give us updates as we move along. >> i would be happy to. >> david strickland talking self-driving cars. part of our future, jon. >> soon the adults will be asking the car are we there yet. coming up, the founder of bitcoin finally revealed. we go behind the claim. first, rick santelli, what are you watching today? >> you know, last week we had week gdp for the first quarter. when we continue to talk about the weak recovery, all roads seem to lead to regulation in dodd-frank. after the break, we talk about the self-inflicted recovery that we have here in the u.s. and for the most part, around the globe. i'm only in my 60's. i've got a nice long life ahead. big plans. so when i found out medicare doesn't pay all my medical expenses,
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coming up, bill ackman joins us live for the hour to talk about his big investment in valiant, how the herbalife drama is likely to play out and what the future holds for the hedge fund business. lots to get to today at noon on "the halftime report." jon, see you in about 15 minutes. >> looking forward to that. now let's get to the cme group and rick santelli. rick? >> thanks, jon. what i find lately is there's more talk about how to look at
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the numbers as they present the economy in different contexts or just in general as to the misinformation they may contain, than the actual weakness that is being delivered by the numbers. what does that all mean in english? that we had .5 q1 for 2016. you have to go back eight quarters to the first quarter of 2014 to find a weaker quarter. i understand that it gets hard to handicap sometimes the fourth quarter to the first quarter or the entire spread moving into the second and third quarters because how much horsepower for example in retailing gets accomplished during the holidays at the end of the fourth quarter, or how weather issues or the transition from the end of the year to a new year. there's a lot of moving parts there. no matter how you slice it, it all does come out in the wash. the wash has been growth light. no risk, no reward. risk/reward, they are tied. that was one of the first axioms we learned. fast forward to today.
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wall street journal, great piece, they're coming for your bonus. what does that have to do with it? he really makes some good arguments. one of the lines i want to pick out is let's put it on the screen, new limits on incentive pay such as seven year claw-back will dampen risk taking and growth. of course it will. he makes a compelling case that there's going to be less risk taking because of the notion of keeping oneself or one's organization open to things like claw-back and retribution from regulators. see, the problem begins at the credit crisis. dodd-frank signed in 2010, some of it's still not complete. he goes and presents a wonderful case which happens to dovetail with my line of thinking and many others, though you don't hear much about it, that the credit crisis was caused by faulty government housing policies. that's at the epicenter. that's what's going on. what we have done is, we have
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given ourselves this horrible medicine, we continue to give ourselves this medicine, at the expense of growth. at the end of the day it's all about growth. maybe we need to think more about the old days, prudent man theory. claw-backs. you know, there's no major ceos or heads of banks in jail. i know this is a big issue. you write them a check, you say they can't refuse it, then you fine them more than the checks you have given them. at the end of the day whether it was for the money they collected or the notion, the reason none of them are in jail is because none of the cases would hold water, doesn't change the facts. the facts are everybody, everybody, think carl icahn, think everybody that has any kind of street cred as to the many reason why we have such dismal growth, i hear two words, dodd-frank. jon fortt, back to you. >> hopefully not dismal growth here. a quick look at a couple of
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tech movers in opposite directions. amazon, seeing another nice gain after friday's post-earnings rally. the company in the green for the year. and about 2.5% away from all time intra-day highs. on the flipside, brocade's shares falling after citing a softness in i.t. spending. it has been a rough month for that company with the stock falling close to 20%. >> apple is on pace for its eighth day down. worst in a long time. a closer look at making money on youtube. we will talk to a top youtube star with over six million subs and counting.
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netflix, amazon and youtube a few tech giants creating original content for online platforms. can these shows and videos translate into real money? let's take a look at what the future of content streaming will look like for streamers. roseanne started her videos in 2011 and has over six million subscribers. thanks for joining us. >> thanks for having me. >> you were just telling us before we got back from break, you work about 100 hours a week. i don't know if that's at all an exaggeration. that's a lot of work. has the money increased over those five years to the point where it's worth that hundred hours a week? >> it is, but we are definitely
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a small digital media company or a small family-run production company. it's nowhere on the scale of a large production studio like fox or universal or warner brother pictures. we are nowhere near there. we are a team of six people who work really, really hard. income has increased over the years but we have produced year round content. i have been creating content on youtube for a little over five years. we have never missed an upload and never taken a hiatus. it's hike like releasing a new episode every tuesday nonstop with no breaks. >> that's a digital ultra-marathon. what is the dream? is the dream to just grow with youtube? is it to expand into more traditional channels? what do you want? >> the dream is just to keep creating content that i'm passionate about. i think people are really smart and i think they can tell when you love what you're doing and love what you're creating.
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i think they want to watch people who are doing something that they love. right now, i like making short form content. i love making short form. but i recently made a cookbook in a different medium so in the literary world, and being a creative type, i reallien joy that process. that was me stepping outside my comfort zone doing something a little different off of youtube and i loved it. i don't know what i will be doing in the future but i know it will be creative. >> of course, the cookbook, it all feeds itself. you want it to be seen by as many people as possible. does youtube still hold the most promise for you in terms of getting the eyeballs or do you think there's more promise in other platforms that are still growing, for example? >> there's so many different platforms that are emerging with digital talent and digital content. i personally watch a ton of them. i have a hulu account, amazon, starz -- >> you own the new starz?
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>> i watched the new pirates black sales and outlander. >> that's huge. i hope watch time counts for you as working. >> i do. i always put a show on while i'm baking in the kitchen so there's always a show on in the background while i'm working. >> now over the top streaming looks like hulu might come out with something. there are a number of other companies that have sort of been rumored, apple perhaps going to jump in. do you see yourself being a piece of content, a channel, that's offered on that sort of over the top service, maybe an opportunity for you to say hey, for x amount of money, you get my content on a regular basis? >> it's really interesting. i thought about it. i think that youtube is always going to be my home base. i'm always going to be creating content on youtube because that's where my community is, that's where my home is. those are my viewers. also, as i want to do more creative projects, maybe a web series, maybe a movie. maybe it would live on a
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different platform and that's okay. for me, my youtube channel is my home base and there's stuff that i'm always going to be creating there. i may create things here or there, little bit of everywhere. youtube's my home. >> we are watching here. amazing stuff. how much does live interest you? if you had to pick one place to go live, where would you go? >> that's a hard question because i watch all of my content is either on demand or live and for things i really love like "game of thrones," for that, i want to watch it live. i always try to watch it live. sometimes with a busy lifestyle, for example, i had a big viewing party at my house to watch the first episode live, we aren'ted a food truck, wouldn't ae went . kind of how my friends watch sports live. but for the second episode that aired last night i wasn't able to watch it because i was on a flight from d.c. to new york. when i checked in my hotel room i got on hbo go and watched it
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on demand. for things that i love, i watch it live. i try. busy lifestyle, sometimes i got to watch it on demand. >> we are the same way. we love live here as well. >> me, too. it feels more exciting. >> thanks for being with us. >> we get hungry around noon. >> i should have. i'm so sorry. >> quite all right. thanks for joining us. when we come back, a golden parachute and then some. how much marisesa myers stands to make. hout) ♪ ♪ uh oh. what's up? ♪ ♪ ♪ does nobody use a turn signal anymore? ♪
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yahoo!'s ceo set for a big payday whether she stays at the company or not. if she is terminated after a sale of the company, she is set to make about $55 million in severance. that's just her potential exit package. she still made about $36 million last year. of course, that s.e.c. filing comes amid obviously widespread criticism of the company's resource management. you could argue over the past few years. >> oh, yeah. she's made a lot of mistakes. look at some of the acquisitions that haven't panned out in any sort of obvious way. clearly she's going to do just fine.
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but if she had stayed at google, you look at what that stock has done over her tenure at yahoo! probably would have saved her some headaches. who knows what it would have done for yahoo!. >> she's within the first 20 employees of google if i'm not mistaken. >> part of the reason she got such a generous package coming in is because she was giving up the future value of the google gra grants. >> the founder of bitcoin finally revealed in a blog post. australian businessman craig wright claiming he created the digital currency, telling the bbc he wanted to end the speculation and presumably handed over evidence proving he's the original creator. that involves the signatures on certain bitcoin transactions. many still are not convinced. back in 2014, "newsweek" claimed it had discovered bitcoin's founder but the person they named denied any involvement. >> you believe it? >> i don't know what to believe.
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i believe in the block chain as being potentially the future of online commerce. i don't know if bitcoin itself will be that future. >> lot of skepticism about that claim. in terms of earnings this week, we will get some tech names, mostly starting after the bell wednesday. that would include fit bit, tesla, thursday brings fireeye, go pro as we get more granular picture as to how enterprise spending is shaping up. >> yeah. this week not so much i would think tilted toward enterprise. a lot toward speculative names. security can be volatile. interesting to see what fire-eye does. even names like palo alto networks that have been stalwarts in the industry, very reliable, have seen some selling over the past few months. watching that of course. but yeah, fit bit and go pro, two of those hot names for awhile. people have cooled on them. we will see if their projections for the rest of the year give investors hope.
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>> on a day where fidelity raises their estimated value of air bnb, that story a few months old now but we will be watching that as well. ackman on "the half" with wapner. welcome to "the halftime report" exclusive event. bill ackman live and unplugged for the hour on valeant, herbalife and what some have called a catastrophic period for hedge funds. i'm joined by our experts. but let's kick things off by welcoming bill ackman on set. thanks for being here. i would like to get right to valeant. you were at the berkshire annual meeting where charlie munger called valeant quote, a sewer. mr. buffett said the business model was enormously flawed. on cnbc this morni


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