tv Squawk Alley CNBC August 4, 2017 11:00am-12:00pm EDT
financials lead the way in the s&p 500. 11 are in this sector. regional banks are a big part of that story that ticker up nearly 2% just this week alone. that does it for this hour's "sidewalk on the street. let's send it to the stock exchange for the start of "squawk alley. b back to you guys it is 11:00 a.m. here on squawk street and "squawk alley" is live. ♪
good morning and welcome to "squawk alley." joining me this morning, carol evans. >> we have to talk about that jobs report this morning the u.s. economy adding $209,000 to the nonfarm payroll for july. this all as president trump announced mazda-toyota will build a new $1.6 billion plant somewhere in the u.s., creating 4,000 new jobs the president also announced a new policy on immigration which some argue will have a negative effect on hiring let's bring all these stories together deputy secretary chris liu joins us as well schwagel. chris, it really is a
broad-based picture of hiring in america. what did you see >> you're right, this is a solid report, 209,000 jobs created there were some areas of concern that i saw wages are at 2.5%, and while any positive number is good, it's not enough to make a meaningful difference in most people's lives. manufacturing and construction weren't really what i thought. they should be, and retail trade that be flat and trading downward the last six months good report but some troubling signs in there >> philip, i know you were expecting him to say you should credit president obama for this one. he did not say that. would you credit, though, president trump with this? he says he's just getting started when it comes to these jobs numbers >> i would like to see him more with legislation getting passed. the stock market obviously has risen sharply. that seems to coincide with the election results, so i guess president trump gets some credit there. president obama, if chris doesn't give him credit, i certainly give him some credit,
too. the u.s. economy is pretty robust, it's resilient we're growing. i think we could do better but it's still a pretty good report. >> phil, i'm curious your take on the trump administration's proposal when it comes to immigration. what's so wrong with prioritizing skilled workers, or is the problem with the overall immigration number >> yeah, i'm of two minds there. on the one hand, the prioritizing skills, i think there is a lot to say to that, and obviously canada and australia do it, and those are countries that i don't think is anything wrong with their approach you know, the people who graduated from, say, university of maryland or any of our best schools like that, we shouldn't send them away if they want to stay there on the other hand, the number seems too low, so i worry that restricting immigration like the president has in mind, that would have a negative effect on the u.s. economy
>> also there is this issue, chris, of labor market shortage. survey after survey, you see this companies can't find the skilled workers they need to fill these positions. wouldn't the raise act exacerbate that or not would it provide more skilled workers? what do you think? >> exactly i agree with phil on this point that it's not just me who thinks this is a bad idea it's the u.s. chamber of commerce, the i.t. industry, senators mccain and graham have come out against this as well. yeah, we actually do need more skilled workers in this country, and we need to focus on upscale workers, but that's just not enough right now the u.s. population growth is the lowest it's been since the great depression, so we do need more immigration into this country, and it's not just high skilled, it's low skilled as well. and the president should know this better than anyone because he's the master of bringing in foreign workers to work at his properties >> phil, the jobs report looks good over the next eight weeks, though, we've got some big questions about what's going to happen with health care.
insurance companies are concerned. how much of a risk is that for the economy and the jobs picture over the next couple months? >> you know, i don't think that's a huge risk to the overall economy. it's super important, obviously, for health insurance companies people are still going to get health care. it might be a bit more chaotic than it should be. i suspect in the end congress will appropriate the so-called cautionary reductions. they're now being paid illegally without an appropriation i suspect congress is going to make that legal in the end and resolve the uncertainty. >> i just wanted to ask you guys briefly about the dollar as well chris, it's been interesting to see just how weak it's been lately still some suggestions that it's overvalued what does a weaker dollar say to you in terms of ripple effects here >> that's right, it's not just the weaker dollar, it's the immigration policy you're talking about, it's the
uncertainty abroad with the president's trade positions. look, this is a solid report, but to be clear, there are headwinds on the horizon many of these are of the president's own making so i would prefer that he dive into tax reform. i would prefer that he did a big -- large-scale infrastructure plan that could really kick-start the manufacturing scene. but the dollar is an important part of this >> look how much it's popping now. it's gone a quarter of a point higher, now we're three-quarters of a point higher. >> no doubt almost 9% for the year so yes >> there was some suggestion that came out of the imf or something like that, that it's still overvalued phil, anything you want to add to that? >> i just want to echo what chris said, that it's kind of remarkable how well we're doing with jobs, the economy, the dollar given the uncertainties and given the slow pace of legislation.
i'd like to think we have yet further outside potential. that depends on the policy process and what we see in the fall >> i would note that the trade deficit contracted 6%, almost, as exports rose in today's data. thank you to the weaker dollar, which is something president trump wanted guys, thank you. we'll leave it there got through a lot there. chris lu and phillip swagel. up some 26% for yelp and a deal to sell some of its businesses adi aditi? >> they are soaring past 26% right now after reporting second quarter earnings after a big announcement ilts selling its eat24 delivery business to grubhub. they are also entering into a partnership with grubhub in which they will incorporate
grubhub in its listings. keep in mind they acquired grubhub in 2014 so it's a big deal for the company they estimate the deal will generate between 10 to $15 million of high revenue for yelp next year, providing a good tailwind for its profitability they upgraded its stock price on the news saying it will double the enabled restaurants on yelp's platform. the move also helps them solidify their business in an otherwise crowded food delivery marketplace. that marketplace includes players like amazon, uber eats, door dash. more and more people are using restaurant delivery services with fees going down and mobile apps making the process a lot easier that report estimates by 2022, digital good delivery may
comprise 11% of the market versus 6% today, leaving $2 billion up for grabs they're up about 9% right now. guys >> yelp shares had been in a slump for a long period of time, but it's interesting, though foursquare and others have tried to compete in this local listings market. it doesn't seem like any of them really gained traction there was a lot of kind of criticism out there over yelp's ad rates, but they seemed to continue to turn in results, even in this difficult environment. >> and how about uber eats that feels like another place where the competition is pretty intense. >> how about amazon? >> exactly, and they're just getting started. >> although grubhub has a first maneuver advantage to those companies. this eat deal -- i mentioned earlier -- go ahead. >> yeah, as far as market share, you know, there is a report that shows grubhub is actually just
behind domino's in terms of market share, that yelp's eat24 was about 2%, so they were very low. but domino's, i think, had 24% versus grubhub having 23% market share. they are a big player. their ceo on ""squawk box"squ " asked if this made them more appealing than amazon, but they are up on amazon in terms of increasing their efficiency. coming up on "squawk alley," gopro ceo. later, artificial intelligence, is it a job creator or a job killer? we'll debate when "squawk alley" returns. at fidelity, trades are now just $4.95.
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gopro, jack woodman. revenues up 30%. part of this is driven by the new camera some questions about the growth and future of the camera market because people say, listen, that smartphone market keeps advancing, keeps improving and a lot of people might feel like at this point that's good enough, they don't need another standalone device. what's your thoughts on that >> i think the standalone creates a great opportunity forgo prfo for gopro. instagram alone, 7 million active users our opportunity is to make gopro aligned with how people use their smartphone we're looking at making it an untethered lens for the smartphone so people can share more immersive and engaging experiences than they can today. that's a growing opportunity and
where your footage actually moves over from your phone to gopro, we think we're doing a great job with that and that's contributing to our momentum >> a lot of excitement about the iphone 8 they could very well introduce the iphone 8 at the same time gopro introduces the hero 6. i know there are some analysts thatcover gopros, that could b a problem, because that could mean fewer financial dollars for your advice. what do you think about that >> again, i think the more people are using their phones to share themselves, to share stories of themselves on a regular basis, that is creating a growing opportunity for gopro, in that gopro now can automatically move any footage you capture from it over to your phone and gopro makes a story for you. using gopro is as easy as using your phone so as smartphone adoption grows, so does the opportunity for gopro.
>> my question is, just how big is the gopro market? you were growing really quickly for a while. it seems like you have these inventory troubles under control for now, but is this a niche market like a dlcr, or is this s going to grow at some rapid clip i can't see any evidence it will grow why am i wrong >> we grew all across our markets internationally and we still have significant room to grow internationally we're seeing great gains there as we localize gopro's business to specific regions around the world. as i said before with josh, i think that our biggest opportunity is making it very easy for people to use a gopro as an extension of their phone and when i say untethered lens, i mean, really think of a gopro as a lens that you can use to capture your life in ways that you can't with your phone, but
all of your photos and videos from your gopro move seamlessly over to your phone automatically and our app makes a story for you. so really, we're weaving gopro into the smartphone experience and that's a significant growing opportunity for us in the future i wouldn't think of gopro as a standalone camera anywhere i really would think of it as a powerful extension of the smartphone >> investors turn to the back half yesterday you said you got two cameras coming the hero 6 and the fusion that catches 600-degree content last year, nick, gopro suffered those delays, recalls, layoffs everything that could have gone wrong did. what are the steps you put into practice now as ceo just to make sure that doesn't happen again this year? >> well, part of the momentum you're seeing in our business is really coming from our intense focus on efficiency and execution.
we are reducing cost wherever possible, and that's something that's going to continue ongoing at the company and we are very disciplined as it relates to the schedule that's allowing us to launch product on time this year. and it's really contributing to the momentum that we're seeing from demand, and it's allowing us to operate our business in a much more predictable manner >> on that point, a better cost management certainly bowls, that's part of their excitement, nick back in 2013, gopro, you got about 250 million of expenses even though you're doing about a billion in revenue now gopro is smaller, so why couldn't you bring down those expenses even harder to improve productivity >> we're investing in more areas now. we're making investments in the drone market and we're having success there. and we're making significantly more investments in software that we didn't have that level
of software spending back in those previous years and you're seeing the the bebens of it now. using a gopro is so much easier to use and it's so much more aligned with how people use their smartphones today and that's going to continue to increase and that's opening up significant new market opportunities. so while we are spending more that in our pre-ipo years, we're also getting more for the customer >> you mentioned the drone clearly you're happy with that performance. i know you're rolling that out internationally. any color you can give us on how that's going and two, when would you expect to break out drone shipments separately and give investors just a clear view of how that product is performing? >> our drone business is still 10% less than our total business, but it's growing and becoming more meaningful we are rolling it out internationally. it's going well. the success we're seeing
domestically being the number two drone, $1,000 and up in the country, karma is the number two brand drone? the country. i think karma is contributing to gopro's brand in the space and people are excited about what comes next >> quick stories in the new app you mention the here, nick is there competition, though, in that space of making and sharing videos i know you guys are excited about that feature you've talked about that it's really kind of the pillar for the future of gopro. others are there, too. apple has clip, an app that allows them to make and share video. what do you think about that >> i think gopro has a very large community of the world's -- arguably the world's most active, adventurous and passionate people. and they're looking for an easy way to make sense of all of this
incredible gopro footage they've been capturing of their experiences. the gopro app is how they do that so in many ways, this is the solution for the gopro community, and so we expect to see strong engagement and output from our community >> all right, nick thank you for your time today. we appreciate t. >> thank you very much >> sara, i'll send it back to you guys in new york with gopro shares up 20%, having a good day. still a long way from the mid-80s where it was $10 a share. big tech is taking issue erul uhe president's plan to ovha.s. legal immigration. we've got a debate coming up
dick costolo on the show yesterday talking about the president's plan for legal immigration reform and its potential impact on hiring in silicon valley the raise act looks to cut legal immigration by half in 10 years and prioritize green card applicants by skill. todd is the president of a company in silicon valley. this is specifically a cut in legal immigration and your argument is this runs against what president trump campaigned on explain. >> you hit the nail on the head. it cuts legal immigration by 50%. america has always been a country where people come here and they build a better lives for their families by slashing immigration, we're moving in the wrong direction. it's going to hurt economic
growth and it will hurt wages for people born in the united states, too. >> so what if the overall number isn't cut by 50%, if it stays at about the same level, but we still have skills prioritization are you okay with that >> we should be really clear, that's not at all what this bill does you've said this, but there is this idea that somehow the raise act is a shift toward a skills-based immigration it absolutely doesn't do that. we do think we need to modernize our legal immigration, and we've supported efforts in the past along with a pathway toward citizenship that shifted toward a skills-based economy that works. but that's not what this bill is >> why do you say that, todd i'm reading that it creates a points system where applicants are graded on their success, like their ability to speak and their education level. >> what this bill does is split the family immigration system.
cuts that by 85% it does not at all increase the numbers in the employment-based or the skills-based side at all -- >> but it shifts the emphasis. what's wrong with shifting the emphasis on the ability to speak english and education level? >> that's exactly what i'm saying it doesn't shift the emphasis at all. within the existing numbers which it doesn't increase on the employment-based side, the points system it puts in place will make it harder for the countries with the biggest and brightest here >> what about the idea that having skills creates more opportunities for lower skilled american workers >> that's not an argument you've heard any economist make, quite frankly, and i don't think you've heard any business person come on cnbc and say that recently about this bill slashing legal immigration is going to hurt job creation -- >> it's a political argument, i guess. >> then you hit it right there it's a political argument that people make when they're trying
to win elections i don't think it's the right one. when the president himself was asked, do you want to cut legal immigration, he said, no, no, no, no, no i know he sat there and talked about parts of this bill here, but slashing legal immigration is did he evevastating to our e. >> what would you do there is some criticism of the raise act on both sides of the aisle. as you're going out to try to convince lawmakers to see this your way, what's your game plan? >> sure. and you said this. folks like conservative senator tim scott from south carolina criticized this bill this bill has two co-sponsors right now. we should fix our immigration system we should shift our immigration system that makes sense for the economy. go through a background check and earn a path to citizenship that's going to spur economic growth we'll have border security to stop future immigration, but let's deal fairly with the people that are here that's where 80% of the public
is, and that's what we're going to keep telling people >> all right, todd schulte from forward, thank you >> thank you kelly, guys, we've got a lot of green on the boards here. european stocks end a two-week losing streak rallying after the release of better than expected u.s. jobs data you have france, germany, spain all leading the way by almost 1.5% european exporters getting a lift as the euro slides on news of those jobs numbers here in the u.s., the u.s. jobs numbers rising from a 15% low on the other side of that you also have a boom yield climbing today, but all of the highs on the recession, royal bank of scotland swing into a profit for the first time in three years, calling it the best six-month result since the financial crisis on the flip side of things, it's been a rough day for uk homebuilders you've got barratt, also p
persimmon. they could wind down or replace it ahead of schedule that program will end in 2021. pearson, the education publisher slashing its dividends and about 300 jobs they have been hurt by that trend toward digital textbooks they've lost their value in the last 12 months but sara, remember, at the end of the worldwide exchange, things were tepid. now they're really robust. >> i remember, don you guys remember, don't you >> john and i were e-mailing at 5:00 going, look at the action in europe. >> it's interesting that european stocks did better than u.s. stocks did because they finally got a 1% weaker euro helping the exporter stock sleep well tonight
let's get back to sue herrera with the update. sue? afghan officials say a taliban suicide bomber struck a nato patrol thursday night, killing a service member and two civilians. it was the second suicide bomber in two days that targeted nato specifically russian mining company alrosa say nine people are missing inside a diamond mine in siberia. 133 were evacuated the mirror mine is one of the largest diamond mining depots. maveriy rerks t is a drug approved for people with cirrhosis and kidney disease people who received the drug were virus free three months
later. italy's drought causing an early start to the grape harvest. harvest is expected to be 10% lower that year because of those conditions so get your italian wines because the price is going to go up back to you guys sara >> news you can use. >> exactly still to come. why our next guest says we survived spread sheets so we'll survive the ai revolution. the dow up 19 points "squ "squawk alley" will be right back smarter entry and exit points and can help protect your potential profits. fidelity -- where smarter investors will always be. you myour joints...thing for your heart... or your digestion... so why wouldn't you take something for the most important part of you...
welcome back artificial intelligence's impact on jobs is continuing to be a problem on economists. they say the threat of ai is largely overblown. he said, quote, we survived spreadsheets and we'll survive ai we're joined now by chief economics commentator, mr. gregory ipp. greg, here's what i like about this it's the chart you have of bookkeepers. let's put that up and remind us what happened back in the '80s >> it's a template on artificial intelligence before the 1980s, if you were handling large data for your company and they wanted to change consumption, for example, what's the price of oil, it was
a real pain so they didn't do it very often and it took a lot of hours. along came spreadsheets and a lot of that routine mind-numbing work in bookkeeping disappeared. we only have about has as many bookkeepers as we had then, and you can blame that on the arrival of things like spreadsheets spreadsheets made it a lot more interesting to be an accountant or auditor i know that sounds like a contradiction in terms, but it's true suddenly they could do a lot more simulations and there was more working of the numbers. analysts came into their own because of what spreadsheets made possible. i think we'll find something similar with ai. >> when you say "we're going to survive ai," who is the we
i go back to research departments in newspapers. there used to be libraries of people pulling clips, helping with nexxus lexus when that started coming in. now those departments are down to one or two people, and i don't know if that's been replaced anywhere. is it possible that ai actually wipes out a whole layer of white-collar jobs and maybe replaces it with a layer that those same people can't get? >> absolutely, it's possible, john but i guess what i would take comfort from is both economic theory and history economic theory tells us when something gets cheaper we consume more of it and we find more uses for it this is not the first time people worried about precisely this in the 1970s when atms came along, all banks said we won't need any tellers a decade from now. now it was a lot cheaper to open a branch and the number of tellers actually went up but they weren't tellers any longer, they were customer service reps that's what people are missing
here when technology arrives, it basically makes people want to consume more of what's available and it creates more jobs i think we'll see that with machine learning you talk to an executive, they're coming up with new ways to meet demand and better serve their customers i think you'll find in a lot of instances they'll need to hire more people, not get rid of people >> i wonder, though, what it means for skills and take u.s. manufacturing as an example with the introduction of robotics into factories and automation it's led to the need for fewer jobs and jobs that are having trouble being filled because people don't have the skills to fill them. it seems like there is an education gap even if this ai does contribute to different kinds of jobs. >> i think you hit the nail on the head, is that the issue isn't the quantity of jobs, it's which jobs are available and our ability to actually do those jobs so as these new technologies become available, they tend to favor those people who have the skills or the training or the
predisposition to exploit those in particular. so to go back to my spreadsheet example, people who were good at playing the what-if game, what if we change this number, what if we change this assumption, those people found themselves more in demand at factories, if you stand on an assembly line and do the same task over and over again, robots will take your job away. but if you know how to manage those robots to do different things on the assembly line, customize that product, demand for you will probably go up. but there is another thing going on in the background here that people are forgetting. it's not just the automation, it's the fact that we're sort of, like, running out of customers who actually to want buy the products from manufacturing. people don't need more cars, so i think that also might be more of a barrier to creating jobs in manufacturing. >> greg, going back to your point about how once it was cheap to use excel, people used it a lot, what is it getting
cheap to do that people will do more it seems like the honest answer would be analyzing data and that's where machines come in, but i don't know relatedly if the fact that columbia is charging 100 grand for its data journalism program gifrzves a ss of how the value changes and meets these opportunities. what is that percentage going to look like if that's where the real technological change is right now? >> an entrepreneur in washington, d.c. that i know has been involved in artificial intelligence for decades he had a great observation he said artificial intelligence is what we slap on whatever happens to be the frontier of computing research at that time. eventually it stopped being special and new and they just came up with a better name what we call artificial intelligence today we'll end up calling something like predictive analytics in a journalism school trying to
train people in this, we're going to turn people out who are experts at taking those algorithms and turning them loose on problems we never had before what if you have a target and you want to know what products to put on those shelves. you do a marketing allure on what shelves to put the products on with analytics, you maximize sales, you maximize efficiency and customers benefit here the customer says, hey, i'm getting better service now very simple example. google translate google translate gives you the power of an interpreter at your fingertips i now as a journalist read publications i never used to read before because of that. >> we're going to have to run back that robot. z >> i stay on top of what's happening in cambodia. >> it's not like you're reading your hometown -- maybe it's in
french greg from the "wall street journal. our next guest is a pioneer in fashion but first, rick santelli, what are you watching today >> in case somebody wasn't noticing, we have a bit of a u-turn in interest rates today we settled at 229 last week. we're not far from that now. what we're going to discuss after the break is not only the data but the tug of rates going on and what it means for your portfolio. ♪ there's nothing more important than your health.
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well, we have a rise in treasury deals let's go to rick santelli with the santelli exchange on this jobs day rick >> sara, it wasn't a bad jobs day. if we generically take a pass at the data, 209,000. 309,000 would be better but it's better than 159,000, right if we look at average hourly earnings, up 2.5 year over year. in the sequential scheme of things, not bad numbers, either. but in the end, let's really be brutally honest here after all the years of all the policy designed to, quote, unquote, maximize employment and, of course, control prices, get inflation higher, we see that they're having some success on jobs. is it a healing process? is it policy
does it really matter? the real question is after all this time, should we let one or two job reports really change the notion of policy, especially considering how long we've been driving on this road now, given the data today, i want you to look at some intraday charts. you heard sara talk about the dollar index, maybe that's the easiest way to look at this, because we've kind of taken the offense from the euro currency at least briefly i look up there, we're up 3 quarters of a cent that's pretty big. we've seen yields pop, and if someone threw up an index chart for a couple days, you can see we haven't had a 3 quarters cent pop in a long time, so there is a certain logic to it. what i'm trying to focus on in this particular spot is how it can benefit you as a trader. let's go to the board on this. we've talked over the last several days about how we were at a real important fulcrum when it comes to interest rates
direction. this is kind of beginning of july, and what you'll notice is if you look at all long-end rates of all the major sovereignces is they had a move. he talked about taking the next step and the market took a giant step with regard to potentially an exit, less quantitative easing, go from qe to qt, and i like that. but we see what happens. the market is kind of walking it back the same way mario dragi did. in black you can see we held this very important level, which is different for all the major sovereigns for the u.s. market, it's pretty much 223 i'm not really splitting hairs here, because if we don't close on a yearly basis, when we have thinly traded areas, you go back and paper it up moving forward
for the u.k., the blue line, it did get a little lower to 113, 114. 117 is the key area there. for japan in red, it's still moving down. '07 is the key there finally the eu it's the dots. 48 it's getting pretty close. we're all going to move together and the direction is important this is kind of a drift pattern, but if we immediately see these solid closes i would think we would go back in this area, so let's call it 225 and 240 in tens, but if we settle at 233, kind of where we are now, maybe we drift and test that 213 which is closing of the year sara, back to you. >> to your point, dollar index on pace for biggest gain in 2017 in terms of a one-day move rick, thapnks. when we come back, fhiason meets tech we'll talk to the ceo behind the idea right after this.
make dinner-time device free. [ music stops ] [ music plays again ] a smarter way to wifi is awesome. introducing xfinity xfi. amazing speed, coverage and control. change the way you wifi. xfinity. the future of awesome. tech-inspired fashion, having an effect on the fashion industry issue, a tech-infused fashion brand first launched the anti-flash scarf in 2015 also known as the invisibility cloak and the anti-paparazzi scarf. the fashion line initially took off among celebrities. now the brand's designing
clothes that can help generate electricity. for more, we're joined by the company's ceo, seth siddiqui welcome to post nine >> thank you so much >> so i've seen the coverage of the scarf. really interesting product i guess the question is, how do you bring more products to bear? we've had questions about, if we're going to really have tech fashion for a long time. there was the ipod coats, where the headphones are supposed to be built in. none of it's really seemed to take off what's been missing? >> i, honestly, think that the fashion industry has just been oblivious to the potential behind technology and infusing that with fashion. it's really not rocket science and it's really weird to see that no big brand, no corporate brand has ever taken a step into bringing technology into fashion, whether it's blue tooth or wi-fi in clothes or people carry around power bars to charge their phones. we should be able to charge our clothes through solar energy, et cetera, et cetera.
so that's where i step in. >> really slim silhouettes are in right now even men's pants have gotten really tight how are you going to fit solar panels in that >> nanotechnology, that's the key. >> okay. >> so similar to the anti-paparazzi scarf, it's all nano-technology. >> but why do your clothes need to be charged? why do they need electricity >> so your phone is always charged on the go. >> what happens if i touch you right now, am i going to get an electric shock right now >> it's solar energy it's all sustainable energy. >> so you're telling me i'll wear a piece of clothing, put my phone in the pocket, and it will charge my phone? >> absolutely. >> can you do that already >> it's 2017 >> you can do that with your clothes right now? >> charge your phone on your clothes? >> i mean, why has technology and fashion never met? you know what i mean it's not rocket science, like i said it's very, very simple and with issue, we have plans to take it even a step further within the next 2 1/2 years, we're going towards kinetic
energy, which basically means you can go for a run, charge your clothes to the end of your marathon and have your phone charged. you don't have to -- >> can i sell it on to the grid? because then we've got a business model, john, right? we can,, you know -- you can make some money off of it. if you're a marathoner, you can get a pretty good income going >> i wonder, when it comes to being able to practically wash these clothes, is it going to be dry clean only if you've got these components in there, with the wire to connect to your phone whatever, is that going to cause wear and tear have you worked out all the issues >> absolutely. you can take an iphone 7 into water so a cable in water is absolutely fibne the main thing for us is to using solar energy to charge our clothes and generate electricity. for me, personally, the potential being behind -- there's 1.3 billion people without electricity on the other side of the planet so creating a product similar to this or if any other fashion
brand wants to step into it, we can help other people. >> how much does it cost >> the price ranges from about $50 and we can go up to $700 the initial scarves we started selling, $350 to $400. a bit higher into the luxury industry and we've dropped the prices down actually to around $115 to $200 bucks now >> all right seth siddiqui fromss iue scarves for people who don't want to be seen. "squawk alley" back after this
welcome back it's day five now of jury deliberations in the martin shkreli securities fraud trial does that mean a verdict is on the way? meg terrell is at the courthouse with the latest. meg? >> reporter: hey, kelly. well, it is day five of jury deliberations here in the martin shkreli case and we are all just waiting, something weird just happened in the courtroom, where this martin shkreli is being tried however, another martin shkreli was brought in to be arraigned in a completely separate case. the same judge, the same courtroom, another defendant named martin shkreli so we all are watching that, of course but in the u.s. versus martin shkreli, the so-called pharma bro case, of course, the jury has been deliberating for five days they have only asked one substantiative set of questions to the judge and the attorney so far. that was on tuesday.
those questions concern the definitions of assets under management and fraudulent intent and the judge essentially just trying to answer those within the instructions that had already been given to the jury, saying there is no legal definition of seats under management since then, wec haven't heard a peep from this jury. the closing arguments, of course, wrapped up on friday the defense attorney holding up a bag of potato chips to make a point in that closing argument the defense attorneys waiting so long, that yesterday they popped those potato chips open and even started eating them. shkreli's been entertaining himself by reading books, including one on warren buffett, and, apparently, reportedly tweeting from inside the courthouse, including saying on wednesday, "come on, give me that verdict." we all kind of agree with that one, kelly back over to you >> yeah, the other martin shkreli, i think is on trial for like weapons trafficking or something. but i asked somebody here about that i said, isn't that bronx and she said, no, it's probably
an armenian name, pretty common. >> but he's looking to potential prison time up to 20 years >> mega. >> it's a big deal as we look ahead to "halftime," yelp now up 28%. gopro, up 22 quite a run for those two stocks >> there's your comeback friday. >> yes, happy friday good weekend to you guys we'll send it over to "halftime" and scott wapner and welcome to the halfti"hm repor report". i'm scott wapner our top trade this hour, bill ackman's new target, adp shares jumping as the activist sets his sites on that company. we'll have some exclusive news on what is likely to happen next also the big-name investor who is pushing back against mr. ackman's plans there's a look at the stock, which is now negative $110 and i just hung up the phone, by the way, with bill ackman a few moments ago, who told me the following in an exclusive interview. i want to brin