qualcomm has seen this before. this is not an unheard-of story for qualcomm. they have done this with nokia, samsung. there is precedent for them to have one -- won through the courts and in settlement of deals. the question is will they have the same result with apple. caroline: the question is how long will this relief rally last. anand srinivasan, thank you very much. now, another company out with earnings, ebay's first quarter profit was $.49 per share on revenue of $2.2 billion. it gave a dimmer outlook in the current quarter it is trading in as it struggled with its turnaround. it gained almost 2 million active buyers in the past quarter, but it's up against an industry dominated by amazon. check in on my bloomberg. shares have been pretty volatile in after-hours trading. currently trading down one percentage point. they just peaked above the flat level. coming up, the life of an apple supplier is about to get tougher. details on the company's expansion of its designer components, next. this is bloomberg. ♪ caroline: in wednesday's trading, we saw a li

with qualcomm's long-standing agreements with qualcomm's licensees. these license agreements remain valid and enforceable. the company is one of the main supply components to the iphone. joining us now to discuss is ian king. actually, is it one of the most important suppliers? what apple is trying to say is, you claim all these royalties when we are not always using your chip. >> there's two things at play here. and the patents. the patents cover the fundamental technologies of all high-speed networks and phones. so whether you use qualcomm chips or not, you pay qualcomm. that's the rule in the phone industry. apple is saying, you are paying a percentage of the full price of the phone. there are so many other things in the phone. why should i be paying for these things? caroline: do you think it is all out more? >> absolutely. the expectations qualcomm had a week ago when they gave the forecast you just mentioned, , we don'txplicitly really expect apple to do this. caroline: when you are looking at how much they cut their profit forecast, it could be

qualcomm lagging. technology will be a big sector to watch here in the coming hours because we are floating right near support levels traders have been watching for quite some time. take an eye on technology. speaking of tech, that does it for "squawk on the street." let's send it downtown for the start of "squawk alley." >> thank you. good morning. it's 10:00 a.m. at united headquarters. 11:00 a.m. on wall street and "squawk alley" is live. ♪ >> good tuesday morning. welcome to "squawk alley." obviously busy morning as the president meets with top executives in washington this morning including the heads of gm, ibm, blackstone ceo steve schwartzman on the agenda trade, infrastructure, budget and education. our kayla tausche is on the ground with all of the latest. >> reporter: good morning. just a few moments ago we saw the president leaving the west wing going over to the eisenhower executive office building to meet with those some 20 ceos of some of the largest multinational companies based here i

situation, i suspect apple has more political power than qualcomm. >> a big part of what qualcomm argued is, look how much value we have put into this, look how much income and money we created. we are not trying to cash in on some little sliver of an invention. we gave you everything we invent and patent up until today. caroline: it's not just the u.s. and not just apple, this is international. south korea is finding them. we see other players coming after apple. >> and if you take what qualcomm value, that is apple working behind the scenes, going to china, japan, korea, whispering in the years of regulators and saying, "these are the bad guys." caroline: do we know when the trial will begin? >> not at the moment. i asked the general counsel how long it will take. roger: it won't be settled there. the fight will go on.the amount of money will be to huge to take whatever answer it is at face value. caroline: may the battle commenced. ian king, reporting on all .comingchips, and roger up , a above investors has some raising eyebrows about the timing of an ipo. we focus on the funding and

qualcomm hitting back saying nice try. you built that iphone franchise off the back of our technology, now you want to pay less. qualcomm ceo talking about this fight on the call, take a listen. >> ultimately, this is about a contract dispute and business negotiation and we will work to reach the right resolution for our shareholders as we have done so often throughout our history. consider the strength of our product roadmap and r&d investments, we expect to be an important supplier to apple now and into the future. >> now, qualcomm goes on to say apple's contract manufacturers actually underpaid royalties in q2 because that under payment was equal to the amount that qualcomm hasn't paid apple because this fight, remember, that's $1 billion qualcomm is saying. however, they go on to note so say it's not clear whether the manufacturers will under pay royalties again in the third quarter and because of that, that's why that q3 eps guidance range is a little wider than qualcomm, finally that bid, call com saying it is -- owe

according to qualcomm, it is lying to do something about it. caroline: how do you interpret these battles in the courtroom? roger: i think he had it exactly right. the stakes, particularly in smartphones, are huge. this is the largest product in the history of technology. you have this situation where you could build, as in the case of dialogue, an entire company off of one component for one customer. that kind of scale we have not seen in a long time. the battle will come down to politics. there is a lot of murkiness around intellectual property law. they are both well-funded and have enormous economic self-interest. i think the law probably favors qualcomm in this, and i suspect the common sense favors apple. they are both going to have leverage point around this. we will have interpretations of the law around this. it'll be a case people will look at to set a precedent for other things. much as with rambus seven or eight years ago, where there was a huge battle over a similar situation, rambus lost. they didn't lose because they didn't have

explain qualcomm's response. alistair: it is the same issue where apple is putting pressure on its suppliers and trying to cut costs to do more things itself. when you're talking about the company as a size as qualcomm, it's harder to do than a company like dialogue. like qualcomm's chip technology directly. forctually pays royalties a selection of technologies that qualcomm controls. it makes a lot more complicated. apple has been asking regulators to look into qualcomm, whether it's breaching antitrust rules. qualcomm today really hit that hard on that and made quite a lot of allegations that apple threatened it, lied to regulators about what qualcomm gets up to. vonnie: call come down 2% today. apple down 1.2%. it is a down market. thanks to alastair bar, bloomberg technology editor out there and san francisco. bloomberg first word news with mark crumpton. elementary school in san bernardino, california that was the scene of a murder suicide yesterday is closed for the time being. school district officials say

can you tell us a little bit about qualcomm? qualcomm started on the offensive, saying you have created a global expect -- conspiracy because you do not want to pay as much as we want you to pay. and then the week moves on and they are on the wrong end of a legal dispute. a tragic story in a way because blackberry had prepaid them and they were going to sell all of these phones, and they did not sell them. caroline: equally, chips have been an area of growth in the stock market. cory: up about 47% over the course of last year, a lot of which is driven by m&a over the last year. goes, there'scomm probably no other chip company in the legal department that is as important as any other part of the company even to the rmb level. runline: this story will and run, the battle between apple and qualcomm. public courts, more of an arbitration, but still. ian: the way to look at it is qualcomm immediately says this has no bearing on anything we are doing. it is something we agree to be a part of, nothing to do with anything else. in andpo

qualcomm lagging. technology will be a big sector to watch here in the coming hours because we are floating right near support levels traders have been watching for quite some time. take an eye on technology. speaking of tech, that does it for "squawk on the street." let's send it downtown for the start of "squawk alley." >> thank you. good morning. it's 10:00 a.m. at united headquarters. 11:00 a.m. on wall street and "squawk alley" is live.

so begins the drama of qualcomm. this is bloomberg. ♪ mark: i'm mark crumpton, and you are watching "bloomberg technology." let's begin with first word news. some strong words for wikileaks and its founder julian assange from cia leader mike pompeo. in his first public remarks and the coming director, he told the center for strategic and international studies that wikileaks is in his words, a hostile intelligence service. >> these are not reporters doing good work to try and keep the american government honest. these are people who are actively recruiting agents to steal american secrets with the sole intent of destroying the american way of life. that is fundamentally different than a first amendment activity, as i understand them and i think as most americans understand them. mark: the u.s. dropped the most powerful nonnuclear bomb in its military arsenal for the first time in history today. the bomb struck an islamic state tunnel complex in afghanistan. president trump was asked if dropping a bomb sends a messag

you can't get away from qualcomm. no one can get away from qualcomm, especially for 5g. you think it's out there -- >> i mean -- verizon says '18. >> john legere he said it was started in 2015. listen to john legere on 5g, hey, we're ready. we have spectrum. you know john. i think john -- this is john. hey, how are you doing, david? are you okay? here's what i'm thinking. >> we love legere. people wonder if it's intel's gain on the iphone at least. >> interesting question. this is krzanich's moment. but we're there if they call us. no, here's what you do as i taught selling at goldman. you know what? you be a little john legere. we're here for you if -- give a little more distance. you don't wear magenta, but you wear a t-shirt underneath to preserve the shirt. i don't think you should fir agha mow necessarily. >> all right. >> can't argue with john legere though. the man has up ended the entire industry. it was a nightmare for its competitors right now. >> he doesn't like our parent company. >> by the way the deadline expired last night. they can all talk. woo-hoo. >> y

injanuary, apple sued qualcomm, accusing them of overcharging for its chips. and malaysia airlines has become the first carrier to sign up to a new satellite flight tracking system. it will allow the monitoring of planes in areas where there is currently no surveillance. the development, three yea rs surveillance. the development, three years after malaysia airlines flight mh-370 years after malaysia airlines flight mh—370 disappeared with 239 people on board. tens of thousands of shops, restaurant, and bars in india are suffering, because they have been forced to stop selling our goal. the supreme court banned sales within 500 metres of national and state highways, in an effort to reduce drink—driving death. —— alcohol. but some said the law is a blunt tool and not tackling the problem. we got this report. in april of last year, 32—year—old man was on his way from home —— home from work, whether seven. the mercedes hit him, throwing and 15 feet into the air and telling. city deep two cctv footage sparked a debate on rosetti. -- cctv footage sp

so begins the drama of qualcomm. this is bloomberg. ♪ i've spent my life planting a size-six, non-slip shoe into that door. on this side, i want my customers to relax and enjoy themselves. but these days it's phones before forks. they want wifi out here. but behind that door, i need a private connection for my business. wifi pro from comcast business. public wifi for your customers. private wifi for your business. strong and secure. good for a door. and a network. comcast business. built for security. built for business. ways wins. especially in my business. with slow internet from the phone company, you can't keep up. you're stuck, watching spinning wheels and progress bars until someone else scoops your story. switch to comcast business. with high-speed internet up to 10 gigabits per second. you wouldn't pick a slow race car. then why settle for slow internet? comcast business. built for speed. built for business. you are watching "bloomberg technology." some strong words for wikileaks and its founder from cia le

for qualcomm as well, where we are seeing tensions start to rise between apple and qualcomm, qualcomm gets benefit from vendors who sell at high -- samsung is the only one to do that. it benefits qualcomm to have a win here, especially if they lose apple business going forward. one thing included in the study, who is looking to upgrade over the next three months to six months? 36% of consumers who plan to upgrade were very interested in the s8. i think that bodes well. caroline: will they hold out for the iphone 8? ben: most of those people were existing android customers. iphone is a very loyal bunch. cory: when people leave android or samsung and go to apple, they stay with apple. the retention rate is very high when it comes to apple. surely qualcomm wants this phone to be successful. qualcomm is going to win in the competitors' phones as well. they will always benefit from whoever wins. caroline: what do we expect in terms of going forward? do you think the samsung s8? will it meet expectations? ben: we watch what happens over the first 60 days. as we watch the next month, we will

the dispute between qualcomm and apple heating up. chip maker cutting its profit forecast saying it doesn't expect patent license revenue. i spoke with qualcomm's ceo earlier on this issue. take a listen. or not. we don't have the sound right now. this is remarkable because qualcomm already knew this was an issue. they expected some revenue from apple through the contract manufacturers on this. take a listen now to what steve had to say. >> i think we're probably not going to engage in a battle of press, but i think we have a very strong case and as we start to respond people will hear a different narrative. >> i don't know if this is the narrative that he had in mind. apple meanwhile has a statement as well saying we've been trying to reach a licensing agreement with qualcomm for more than five years but they have refused to negotiate fair terms. this comes down to the fact that qualcomm gets a percentage of every smartphone, selling price of every smartphone that goes out and they argue, hey, this is no good without the technology t

qualcomm down about 17%. the analyst at things less than 10% of their revenue comes from apple at this point. there are some suppliers who may be immune to apple playing hardball. today we have the stocks down, all apple suppliers. these companies are less vulnerable. their technology is strong, but not so strong apple thinks they will take it in-house. plus, there are supply constraints, suggesting apple will not be able to push them on the margins. today, butay be down is less likely to continue and quickly, if we hop back into the bloomberg, this chart makes that over the long term. up top we have broadcom up 40% over the last year and we have apple and sky works and it seems that a rising tide does lift all boats. not all apple suppliers are equal. certainly true. thank you to abigail doolittle. we want to stay on this story, speaking about apple suppliers. we are joined by alex webb. why did apple decide to stop using imagination technologies? : if you look into what apple is doing, this is graphics proc

. >> qualcomm reporting that they beat expectations. they reported earnings of $1.34 a share on revenue of $5.9 billion. even amid the ongoing battle with apple, that was discussed in the earnings report, and talking about networking and internet of things. but there is a clear apple effect here, $1 billion of payments? >> none of the near-term results matter to be honest. it is the ongoing effective apple that is going to have an impact on qualcomm over the next four quarters and over the next two years, and this litigation is going to take two years, mind you, the bigger issue is not apple. if apple was to win, what does it do to the qualcomm royalty model? that is the question. if apple is to get a better deal, when that apply to all of its assets and customers? that is a bigger issue. and if apple wins outright in the court, saying the value of qualcomm's intellectual property is to be based on the value of the chip, and not the value of the handset as qualcomm contends, then the royalty model is broken wide open. beating results fr

qualcomm is out. out to josh lipton for the numbers. >> qualcomm reporting eps here of $1.34, versus expectation of $1.19. expectations of 5.89 billion. turning to the reporting segments here, qtc revenue, 3.676 billion. msm chip shipments look inline at 179 million. qtl, the licensing business revenue, 2.24 billion. turn to the guide here, kelly, qualcomm guide revenue, 5.3 at 6.1 billion. estimates at 5.9 billion. the is 90 cents to 1.15. qualcomm is higher here in the after market, but it is the worst performing tech stock in the s&p 500 this year. one problem there is is the legal fight it is now having with apple. you can be sure analysts will have a lot of questions about that fight on the conference call which kicks off at 4:45 eastern and we will be on it. kelly, back to you. >> all right, josh. thank you, the shares losing a little bit of popped up, less than 1%. more reaction to the results, welcome vee yay rakesh who joins us on the news line. ed, first to you, the main question is how much

if apple was to win, what does it do to the qualcomm royalty model? that is the question. if apple is to get a better deal, would that apply to all of its assets and customers? that is a bigger issue. and if apple wins outright in the court, saying the value of qualcomm's intellectual property ought to be based on the value of the chip, and not the value of the handset as qualcomm contends, then the royalty model is broken wide open. mark: we have had beating results from two of the biggest consumer companies today, unilever with underlying sales up 2.9% in the first quarter, and the world of the biggest food company nestlÉ reporting a 2.3% increase in sales. let's start with with nestlÉ. new chief executive, mark schneider. we have a pick-up in pricing. does today's revenue signal an uptick in what many call the sluggish food and beverage market? >> it may be the start, because i suppose currencies are stabilizing a little bit in emerging markets, and raw material prices have gone up because of volatile currency moves. so you have to get that back-end pricing, although

qualcomm, i don't know. you have blackberry, you have apple. you've got the chinese, got the koreans. david, is there anyone we're still waiting for that's having a dispute with qualcomm that we don't know? >> that we don't know about, i don't know. there may be some in the wings but i don't think so. >> really? >> they're taking on all comers it would seem. >> they were making so much money. i guess if people are viewing this as an excess profits story. >> the stock was -- i think it did end down yesterday, this after qualcomm responded to the lawsuit from apple that was received late in january of course. apple also suing them in china and the uk as you say. they have got the fair trade competition bureau in korea after them. the ftc here in the united states. they have got a multifront war at qualcomm. how do you approach the stock? you like the nxpi deal. >> yeah. >> 110 bucks a share. some say they're getting it cheap. it's moving through approvals though it has a way to close. there's not a lot of concerns it won't close. but the fundamen

qualcomm is locked in this battle with apple. they've done this so many times in the 20 years they've been at this. i can remember broad com ten years ago. this is part of the negotiation that goes on. this poised is poised asymmetrically to rise when they settle with an a l, which they will. i don't know when, nobody does, but that's what happens. we've seen this movie before. they'll settle the stock, it will go higher. >> some are making the case, too, that if you take out the apple royalty payments, you derisk the story. this ahead of the acquisition of nxpi. what else is there in this story, you've seen the worst case scenario and take a rolookt the price action, the -- >> that was pretty darn good, melissa. i'll switch with you. >>. >> a very patient guys waiting for a decade for this stock to go up. >> here we go. let's take gm. >> how about gm. >> gm is the rodney dangerfield stock of the stock market, but face it. while you're waiting for the stock to appreciate, it's up a little bit on the year. you get this 4.6% yield

win, what does it do to the qualcomm loyalty model? that is the question. if apple is to get a better deal, when that apply to all of its assets and customers? that is a bigger issue. and if apple wins outright in the court, saying the value of the intellectual property is to be based on the value of the chip, and not on the battle of the -- as qualcomm contends, then the royalty model is broken wide open. >> we have results from two of the biggest consumer companies sales upilever with 2.9% in the first quarter, and nestle reporting a 2.3% increase in sales. we will start with nestle. the new chief executive, we have a pickup in pricing. does the revenue signal an uptick in what many call the sluggish food and beverage market? becausey be the start, currencies are stabilizing and raw material prices have gone up because of volatile currency moves. so you have to get that back into the pricing, although the margin structure has been blown apart. with the currencies, it is probably helping. >> when it comes the unilever, is that enough with this news today t

qualcomm has more to contend with with ongoing litigation with apple. finally, tesla taking a bit of a hason a report that tesla recalled 53,000 model s and model x vehicles. we see those shares lower of tesla. doolittle with the market update. a president trump will get with his italian counterpart. the italian prime minister at 3:50 p.m. eastern time. our chiefth washington correspondent. this is bloomberg. ♪ david: the prime minister of canada justin trudeau just sat down with bloomberg editor and shared his views on the trade relationship between the u.s. and canada. trudeau: we know that trade, nafta between canada and the u.s. creates millions of good jobs on both sides of the border. we are not going to over react. we will improve the benefits for citizens on both sides of the borders. david: president trump struck a decidedly different tone. trump: canada, what they have done is a disgrace. it's a disgrace. i spent time with some of the farmers in wisconsin and as you know, rules, regulations, different things have changed. our farmers in wisc

we will be hearing from qualcomm and many more. now silicon valley, the hbo satire of the tech industry, is returning for a fourth season, premiering sunday, april 23. ahead of the highly anticipated season debut, we had a chance to catch up with my judge and alec berg the executive producers of the show. we started by asking about mike's previous experience as an engineer himself and how much influence it plays into the pot. -- the plot. >> quite a bit. i was an engineer quite a long time ago. things have changed. i think the characters are quite similar. we do a lot of research. we come up here. especially since the show has come out, we have so many people who have actually reached out to us and like the show. it is a lot of research and a lot of work to try to get it right. >> it makes it a lot easier that people have seen the show. season one, we tried to ask a lot of questions and people almost literally ran away from us. now it feels like people get the tone of the show and they understand that we are trying the best we can

>> i talked to qualcomm and their reassuring. qualcomm is disliked by a lot of companies, it has emnitty above the board and because of that i don't feel safe recommending it. and the stock is at 52, then i will say buy, buy, buy. but not yet. and can i recommend qualcomm. >>> broadcom has been a terrific performer for years, i expect it to be on the prowl for a new deal, and i think it should buy xilinx. when is the last time you heard a hedge fund manager saying he likes the market? me never, i'm going to reveal the best way to play the french election too. and thank god it's a friday edition of "the lightning round." so stick with cramer. >>> i want you to think about something. did you ever hear of a big hedge fund manager come on the air and say, hey, i like the market at these levels. did you ever hear anyone say i have looked into this facebook and i actually like the 2017 earnings, i think it's a buy because of so many great people running the company. do you remember these guys telling you that apple's ready to roll, got

shares of qualcomm are under pressure. news out in the last hour. chip maker cutting its profit forecast. it no longer competes any patent licensing revenue from the iphone in the current quarter as a result of that bitter battle between qualcomm and april p.m. we'll bring you more on that story. >> i don't understand all of this. they are saying they won't pay the middle man, so the middle man won't pay qualcomm. apple should stay out of it, they are not a party to this. it's your battle with the middle man not apple. >> isn't there a technology piece? >> if apple says i'm not going to pay the middle man, the middle man has to decide to continue with the contract or fight. the contract was never with apple and qualcomm makes that point again that they should stay out of the mid. it. we're not giving them known pay you. >> fair enough. >> this must be a big story. we brought on a really m and a, like expert reporter. maybe the best known. shares of honeywell jumping this morning following news that dan loeb is seeking a spinoff of the aerospace unit

qualcomm lower on losing that lawsuit. the overall weakness in tech. points toe chips, one be made here is around valuation. we have a great chart in the bloomberg that highlights the situation and why some analysts out there -- dan thinks that the markets could be a little vulnerable in the near-term in the chip sector. pe,lue, we have the s&p 500 around 22 times. in white, we see the sox, up t here 27 times. well off the highs. pretty big -- a divergence to the s&p 500. dried onee this sector the overall market -- drag on the overall market. the trump trade right now, the best sector is the banks, and the banks had their worst month in march since the brexit. check is the best this year, but starting to round -- tech is the best this year, but starting to round down. it would be interesting to see what happens to the whole reflation rally. caroline: luckily, we have both of you here to analyze this. fantasticolittle, analysis. cory johnson. thank you very much. another high-profile departure at kluber. -- uber. onhel whitson resigned tuesday after al

first we have qualcomm. it is down about 2%. strikingis is qualcomm back at an apple lawsuit. there is some nasty commentary between the two companies. team and heg our reiterated this morning the idea that the sector has been on fire, up 80% of the last year. it's only a matter of time before the valuation will unwind to some degree. we will look at the bloomberg. this is the stock of that chip index. this is the.com bubble. we see the just recently the stocks in up to those levels and are starting to ram down. evaluations simply can't be held at these levels. we could see a correction down. let's take a look at apple, on pace for its first five day losing streak since the election. it is down sharply here today. shawn harrison just told me he thinks it is competitor base. there is likely going to be an iphone delay. there is that nasty exchange with qualcomm and that is creating some pr or headwind for apple today. lots of eric and uncertain activity happening in the u.s. market. mark: we're going to chart with our just chat with our next guest about that. geopolitical tensi

at qualcomm,g starbucks and time. qualcomm is lower by 3.5% after apple said it's ending its licensing payments at this is not a surprise. one analyst told our team earlier it's worse than expected and qualcomm has cut its estimates and starbucks beat earnings every so often but missed comps sales for the first quarter. weakness continues in the u.s. and finally, time is plunging, on pace for his worst day ever. this is after they did not get the lending mark. shares are getting a bidding today. mark: we are lower for a second day. it happened at the beginning of the week. we are on track for the third straight month for our best run since may of last year but down for a second day today led by telecom, real estate, and media. it's about banks today. that barclaysu shares are down by 5%, the biggest to clients in the june, europeang the latest lender to pose disappointing results that failed to live up to the gains american firms reported. 24% advance by the big five in the u.s. not end earnings did there. quarterly p

a more than $8 million lawsuit against qualcomm. qualcomm lower. lastly, take a look at the banks lower. once again down, perhaps a bearish tale of the trade there. joe: let's focus on government bond markets. that is where a lot of the action is. in the middle of the screen, to the right, yesterday, 2.3%. a lot of focus on this range. bouncing back and forth. today, decisively breaking through. taking a look at currencies as well on the day. first, the japanese yen, which recently has in some strength. once again, a big move on those hdlights that we have been talking about. it had an bouncing around the .hanged lines the pound gaining on the date, even though we got data that pay rose through february. nevertheless, the pound did not its gains.ost of the south african rand, despite a vote of no-confidence on the president has been postponed. people protesting in ranttreets protesting the this year. joe: it looks like we have president trump and jens stoltenberg. let's go live to the white house. president trump: secretary-general stoltenberg, it

qualcomm claims apple breached contracts and misrepresented facts. the south korean presidential hopeful said he would confront north korea's nuclear ambitions through talks with kim jong-un. he said the south is currently a spectator to the actions of china and the u.s. the u.s. has diverted warships to the region, while the north says it may conduct a nuclear test in the coming days. the ministry of environmental protection and china is launching a year-long campaign against smog. the teams will go to beijing and surrounding provinces. global news 24 hours a day powered by more than 2600 journalists and analysts in more than 120 countries. this is bloomberg. >> caution is the name of the game this tuesday, cold on the rise, treasury yields adding to declines. equity markets, japanese stocks napping a two day rise. the biggest dent in asia stocks coming from the drop in chinese shares on the mainland and in hong kong, h-shares falling over one percent. the won and the kospi slipping. if thisaiting to see thursday's job report could be the catalyst t

. >>> as part of an arbitration settlement, blackberry will receive money from qualcomm in a dispute over royalty payments. last year the two tech companies said they would enter arbitration talks after blackberry said it was overpaying royalty. blackberry's shares soared to 8.93. shares of qualcomm off 3% at 53.39. >>> walmart will begin slashing prices on thousands of products ordered online. but there's a catch. the retail giant said in order for a customer to receive the discount, they must have the item shipped to a walmart store for pickup. shares were little changed on the news, ending the day at 73.44. >>> the world's biggest automakers gathered today in new york to show off their latest models. and it was clear from the offerings that car companies have a common demographic in mind. phil lebeau reports. >> reporter: here's the new york auto show. luxury and performance are taking center stage. not a surprise, given the fact that new york city is one of the top luxury markets in the united states. we're talking about porsche showing a new design for a panamera wagon, or the n

they don't say that about qualcomm. but it is something that is worth discussing because of how hard ginny, right, we have to be thinking, someone is going to be thinking can she pull it off? >> it will be a key determiner of her tenure. >> i agree. >> i think that's a simple thing to say. i have a keen sense for the obvious sometimes. >> they call you captain obvious. >> yes. that's one of the many things they call me. >> speaking of corporate leaders going to be a good morning for james gorman. morgan stanley is up. the profits are up 74%. helped by gains in trading. gorman called it one of the firm's strongest quarters in recent years and he gets a double digit roi for the first time in a couple of years and hedging out goldman on some elements. >> a low bar. >> what happened to goldman? what happened? >> i read that conference call twice. >> twice? were you looking for a secret code? >> on the plane ride on the way home. maybe i was on such a high from being with my daughter in oregon -- a mental high -- >> okay if

so qualcomm will be writing a check for a little over $814 million. >> lawsuits with qualcomm these days, dealing with apple of course. >> right, and apple and other things going on there. >> blackberry reinventing itself with a car in any case. time for an update. hi, contessa. >> reporter: hi there. here is what is happening. the u.n. agency for children says the boko haram has increased the use of children as suicide bombers. 27 children have been used in suicide attacks in four african countries by the islamist group in the first three months of this year. almost all of them were girls. >>> the wife of the gunman in the pulse nightclub massacre in orlando has pled not guilty to charges of aiding and abetting her husband and obstruction of justice. noor salman appeared before a judge in federal court. new york city's ban on trans fat in restaurants may be working according to a new study from yale university. it says there's been a larger drop in hospitalization for heart attack and stroke in areas that restrict the use of trans fatty acids. >>> and this is a really stunning break in

after the bell with qualcomm and ebay. announcing results. joe: let's look at where the major averages stand as we head towards the close. abigail doolittle is standing by. abigail: we are looking at mixed averages, the down the s&p 500 down. the dow down .6%, nearly near session lows. the nasdaq still up slightly. both the down the s&p 500 are being weighed on by ibm. the nasdaq does not have waiting there. another drag on the dow and the s&p 500 is the energy complex. oil trading down sharply down nearly 4% after inventories dropped. basically in line, but a surprise gasoline inventory build. that is a bit of what is happening here. two of the big companies dragging on both the dow and the s&p 500. strength for the chip sector. they put up a monster first quarter that is helping the increment companies. under some pressure today, this is typically considered to be a leading indicator. they do to buy that equipment today. the overall market weakness going to the close, the stocks are well off of the highs. and finally, looking at stocks doin

in the meantime separately the battle between qualcomm and apple is continuing. qualcomm countersuing the iphonemaker in a dispute over licensing fees for mobile technology. the chipmaker accuses apple of interfering with royalty payments. this comes less than three months after the iphonemaker had sued qualcomm for a billion dollars. the white house giving itself some wiggle room on the time line for tax reform. back in february, you will recall the treasury secretary mnuchin laid out an ambitious target for passing a tax reform bill. >> we want to get this done by the august recess. we've been working closely with the leadership in the house and the senate and we're working on a combined plan. >> now, press secretary sean spicer says officials are still hoping to pass tax reform by the august recess but they're going to make sure they do it right. spicer's comments came after the ap report that president trump has scrapped the tax plan he backed on the campaign trail and working to find a new plan that could get enough broad support to pass. and that is what ma

when we were talking yesterday, we were talking about qualcomm. received a royalty from qualcomm, pushing it to its highest level since january, 2016, having a pretty good way. terminal, over to the looking at the semi conductor index. trading level writer on the 50 day moving average. as it dipped a little lower, looking to see does it hold at the 50 day moving average which has provided some pretty good levels. this up quickly and we are looking at broadcom having its biggest move of 2017. also having a tough day there on report of an m&a rumor. are the megadeals we saw in 2015 over? of m&agan stanley head and says not necessarily. sat downrategists earlier today and discussed things like boardroom mentalities and investing image geopolitical uncertainty. we have to wait and see what's happening in the fiscal arena. if you find trump gets his protectionist trade policy through, it could change the basis of the calibration of the deal and how can you might have been. it depends on how much trump and congress is a game change and if we don't get t

they have the dominance in smartphones, and this is very profitable for qualcomm. they have been competing on the technology that apple is trying coreing more technology into its business. this arises from that. jonathan: great to have you. futures stable and positive in the united states, futures up 14 on the s&p 500, decent earnings from the tech sector. switch up the boards, treasuries, what a month, as low as 2.1 six, as high as 2.40. in the fx market, a big cpi print out of europe. .6%.uro stronger, up a 2017 high for the euro against the dollar. newark city, washington, dc, you're watching bloomberg tv. ♪ this is the hewlett packard enterprise green room. marks --, powered powered marks, oaktree -- howard marks. 80% inital agrees to buy the watchmaker breitling. atwould value the company $870 million. sony is forecasting its highest annual operating profit since 1998. it continues to dominate in gaming and shows strong growth and phone camera chips come of validating the turnaround strategy putting less emphasis on consumer alert tronics -- consumer electro

you are seeing qualcomm down sharply today. >> thank you for that. enterprise data company went public today on the new york stock exchange, one of two tech ipos priced at $15 per share. this one is based in palo alto. including storage, access management and security. on the floor of the new york stock exchange with tom riley. >> a busy day for ipos continues today. shares above the market's, managed to raise $225 million. how are you feeling at this >> we are feeling great. it is so great to be here at the new york stock exchange, one of our customers. millions of events traded every a day -- every day. it's an exciting day. >> you have a lot of large clients. is that typically where you sell into? sell to the largest financial institutions, government agencies are trying to protect nations. and we use cybersecurity, counterintelligence -- counterterrorism intelligence. we work with the largest organization. with data you can make what is impossible to -- impossible today possible tomorrow. am i you are in open sourced company. -- >> you are an ope

this caused qualcomm to cut forecasts, but an analyst told me it's a little bit worse than expected. this has been mainly priced in for the stock and it could be why it's not down more than a possibly could be or as much as it had been earlier. mark: x a lot. -- thanks a lot. here in the u.k. k, the economy had its worst performance in the year. in the u.s., it was even worse. ,et's bring in richard jones rate strategist for bloomberg -- "bloomberg markets." earlier i was presenting the show with ian duncan smith and i put to him evidence that brexit is slowly showing its teeth in the data and he was having none of it. it was just a cycle and ups and downs. i said look at sterling. it's down and pushing of inflation. he said no. he's a politician, but clearly the economy is slowing and clearly, if you dig beneath the data, there are reasons why. richard: i think the economy is slowing. it was a miss this morning. that's the key thing. economists expect the data to be weaker this time around, but it was actually weaker than expected. the worrying thing is that it's retail, household c

qualcomm down 1.7%. quick look inside the bloomberg to see what haven assets have been doing after we talk about risk-off here. white,ooking at gold and although i guess it should be yellow. yen in blue. both of them doing well even though we have not seen at all of pullback in markets thus far. we have seen buying of gold, pretty consistently. buying of yen consistently it does suggest risk aversion. oil in yellow. we see the big recovery and we might see some movement on the oil inventory numbers as well in 30 minutes. up.: julie, we are trading similar story yesterday. he started to drag us lower and we finished unchanged for the second consecutive day. the gauge is up to a 16-month high, led by media, food, and beverage companies. vix.alk about the it is declining a little bit today. falling for the first day in 11. we had 10 straight days of gains in our volatility index. that is the longest streak of advances since november. yesterday closed at its highest level since november 8, having doubled fro

. >>> let's talk about qualcomm. it's counter suing apple in a dispute over licensing fees for mobile technology. the chipmaker accuses apple of interfering with royalty payments. this comes less than three months after the iphonemaker sued qualcomm for $1 billion. a top ford executive predicts the suv boom in the u.s. will continue. ford's vp of u.s. marketing says the company expects the market share of suvs to rise to 45% of industry sales within five to seven years. >>> we're watching shares of tesla. the company officially becoming the most valuable u.s. carmaker yesterday. now boasting a bigger market cap than ford and gm. definitely got auto analysts talking. >>> more stocks to watch, boeing hiring norsk titanium. the norwegian 3-d printing company says the move could shave $2 million to $3 million off the cost of each plane. i don't know if that was meant to be shave or save. both words work. i bet it was meant to be save. >> toll brothers outperform from sector perform at rbc capital, the price target $43 fr

other big tech firms include facebook sales force, oracle, qualcomm and ebay. each of them submitted about 1,000 requests. among all, facebook and apple had the highest salary, offering over $140,000 per worker. but it's not just the tech sector. wall street giants, jpmorgan, goldman sachs, bank of america, citigroup were in top 50 companies. each offered about $115,000 on average. outside of these major corporations, the biggest industry looking for these workers were the nation's universities. even in wyoming and west virginia. schools generally look for foreign assistant professors. the average job paid $75,000 and the jobs are located around the country. top cities, houston, atlanta and chicago. far away from silicon valley. back to you guys. >> that is a nice window into that story. it's clearly not an abstract notion. got to pay attention. thank you very much. more after this. tv, take it wi. with directv now and at&t, get the ultimate in entertainment plus unlimited data. get directv now for $10 a month when you have the new at&t unlimited plus plan. [vo

qualcomm reporting revenue and profit that topped the street's forecast. the positive results easing concerns surrounding the chipmaker's dispute with apple. apple suing qualcomm back in january accusing the company of overcharging for chips and refusing to pay roughly $1 billion in promised rebates. also having more than a 2% pop. >> a few more stocks to watch. csx posting stronger than expected quarterly results. this quarter marking the railroad operator's first set of earnings under new ceo hunter harrison. stock is up nearly 3%. >>> shares of toshiba ticking higher ahead hopes for its chip business. reports surfacing that foxconn is planning to get the backing of amazon and dell in its effort to win government approval for that possible $28 billion purchase of the firm's semiconductor business. foxconn will have amazon and dell each take a 10% stake in toshiba's chip business and apple would buy a 20% stake. >>> unilever reporting a rise in underlying sales for q1 as it raised prices. results are weighed down by weak performance in the europe and u.s.

the qualcomm institution will help the harris brothers to produce and market these devices. final step is to seek fda approval. >>> this year's, may be time for a new pet. why not? take this dog, for example. bunny. she gets her name from her bunny-like ears and can sniff out those eggs pretty well. bunny is the longest shelter resident at providence animal shelter in delaware county. this weekend, she is free. no adoption fee. she's not the only one looking for a forever home. many dogs in our area are up for adoption this holiday weekend. nbc 10, of course, committed to clearing the shelters. you can help and you can adopt a pet this weekend from act philly. we'll have act philly on the show during our 8:30 hour with an adoptable pet, usually a dog. sometimes a cat, that's looking for a forever home. >>> coming up in our next half hour, panic at penn station. we'll explain what had people ducking for cover and running for their lives. ♪ we buy any car ♪ any make, any model, any age, any price ♪ ♪ from 50 bucks to 100 grand ♪ we buy any car ♪ any, any, any, any

blackberry has been awarded nearly $815 million in arbitration with qualcomm. this has to do with royalty overpayments made to the chipmaker. last april the two companies agreed to ash straight a dispute over whether qualcomm's agreement to cap certain royalties applied to payments made by blackberry under a license agreement. a final award will be issued after a hearing next month. >> new this morning the ceo of united speaking out. this comes after outrage of course over that viral video of a passenger being forcibly removed from a flight on sunday. phil lebeau joins us with more on the latest developments. phil? >> and wil, a couple of headlines from this interview that oscar munoz did with "good morning america". if you take a look at this footage that we've been watching since early monday morning he says that he is not planning to step down in light of this controversy. he also says that united will no longer use law enforcement to remove passengers who need to be removed from planes. and that they will be making some changes to their processes. remember