Transcripts For BLOOMBERG Bloomberg Technology 20170421

Congressional republicans are still at odds over obamacare. That is after last months plan vote was scrapped. According to sources familiar with the matter the trump , administration expect a house vote next week, but revised language is still an issue. ,tah republican congressman jason chaffetz, said yesterday he is weighing his options and might depart congress early. He said he would not run for reelection or any office in 2018. Global news, 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. Im alisa parenti. This is bloomberg. Bloomberg technology is next. Caroline im caroline hyde. This is Bloomberg Technology. Coming up, teslas rocky road. We analyze at the electric carmakers latest 53,000 car recall. Plus, the reviews are in. Samsungs galaxy s8 has hit the market, but will the demand be there . How it stacks up against the competition. The wrong kind of pattern recognition. Our deep dive into tech diversity issues with ellen pao and anita hill, two women who helped raise the alarm on gender discrimination and harassment. Tesla is recalling 53,000 vehicles for faulty electric parking brakes that may not release properly. The recalled vehicles were manufactured between february and october last year, the automaker says the issue poses no danger but is being overly cautious. Tesla reversed gains followed by losses earlier in trading. The company is also facing a classaction lawsuit for its malfunctioning autopilot. When it rains, it pours. Joining us, dana hull. Looking at the numbers 53,000 , recalled how does that stack up compared to previous instances . This is the second largest recall tesla has ever had. They previously recalled 90,000 vehicles for a seatbelt issue. Its important to stress this is a voluntary recall. Tesla is saying it will take roughly 45 minutes to fix. They are doing this out of an abundance of caution. This is an automaker gearing up to make the model 3. They seem to have caught a manufacturing bug they want to fix quickly before it causes any trouble. Caroline talk to us about the model 3. This has fueled the share price in recent weeks and months. The hope for a more priceedible car coming to the market, but a lot of focus on whether they can really hit the numbers. Dana what you saw with the share price today is that the word recall freaks everybody out, even though auto recalls happen all the time. A voluntary one is very different from a mandatory one from the federal government. This was a voluntary recall that tesla put out. It notified customers. 53,000 are affected. Most of them are u. S. Owners. You do not want to see a lot of recalls happening when you get ready to manufacture it higher volume. In context, this is a fairly minor issue that has not impacted anyone that we know of. This is not takata. This is not gm ignition switch. Caroline we mentioned the classaction lawsuit, the malfunctioning autopilot. Is that something to be looking out for in terms of its share price . Dana that lawsuit was filed yesterday, and i dont think it had a big impact on shares. Teslas Autopilot Technology is constantly being updated. There is hardware version one, version two, and constant software updates. My understanding, this is a lawsuit filed on behalf of owners who were upset that they didnt get updates fast enough. We will see where that goes. I dont think it had a big impact on the shares, but im not quite sure what the resolution will be. Caroline that recall did affect things. Thank you very much. Now to a startup that can help a business in crisis mode, such as tesla, deliver Better Customer Service and brand management. The san franciscobased startup raised 36 million today, led by a venture firm behind slack and airbnb and alibaba. Joining us is joseph ansanelli. Im going to segue from tesla to you. A company that might be having some stresses. How would you be providing an easier way in this stressful time for tesla or a company talking directly to its customers . Joseph whether its tesla or anybody else, when you have a situation like this, the more the more you can be , understanding and empathetic you can be with your customers, people value that. At the end of the day, people value that you take care of them. So much of Customer Service is when you have an issue or a problem. If you can resolve it in a way that makes people feel good we love the quote, people forget what you tell them, forget what you did for them, but they never forget how you make them feel. If you we try to make them feel cared for. Thats the key thing we encourage people to do. Tesla is doing this proactively and voluntarily, which we think is a great approach. Caroline whether its by voice, email, sms, you are making sure i am targeted every way. Talk to us about this money you are raising, 36 million. How does that expand your business . Joseph we are excited to have them involved in the company. Greylock incubated the company about two years ago. Last summer. Ies b we have been spending our time the past few years honing the product, trying to change the way people think about Customer Service. If you look at the past 100 years, most Customer Service has been centered around this model of cases and tickets. It is not very personal. We said what if we could start , over and reinvent Customer Service and help Companies Center Customer Service back around the customer . Really make it about that person and the lifetime of conversations that you have with them so you can engender greater loyalty. Caroline i am thinking of the ticketing issues that could have been processed by perhaps an oracle or a salesforce. Are you frenemies . Are you working alongside them . Joseph the products they have are very case and ticket based. This model of a case or a ticket. That is the wrong approach. Anything related to their service products, those are things we are typically competing with. They have a wholesome and of products we will integrate with like core platforms, order management products. Those are great products to integrate with. Coompetition in those areas. Caroline where are you at the moment . Can you give us a sense of who your clients are . Can you name any by name or tell us which sectors or regions . Joseph we are an Early Stage Company still. We are about 50 people in san francisco. Our focus is on the mid to large enterprise. We are working with companies in the commerce and retail sector, travel and leisure, hotels, and an airline, actually. Caroline can you name that airline . Joseph its not the one that you are probably thinking. We are building an enterprise class platform. Not something for the local startups buffer places that have hundreds of thousands of Customer Service agents. Caroline they have backed companies from china and others get into china, is that an area you are looking forward to . What about outside north america . Reasonsthere are two ggb was excited. They are interested in the way consumers in china engage with brands. It is starting to happen in china and the u. S. Thats one of the things we think a lot about. When you think of 21stcentury consumers, anyone from 18 to 80, the way we communicate is very different from the way we communicated 5, 10, 20 years ago. I think they saw that massive trend happening in china and they look at a company like gladly, and say you guys are going to take advantage of this opportunity as it hits the rest of the world. Caroline theyre looking to give customers direct access to businesses and vice versa. They launched bots. Is that a competitor or something you engage with . Joseph we engage on messenger, we love that formed. We just rolled out support for messenger, for example. Our thesis is that we want consumers and companies to be able to communicate back and forth in the same way we communicate with our friends. When i call my wife, i leave a voicemail, i text her i use , facebook messenger, i use an app. The key thing is, in all those conversations i have with her, its always about her on the other side. Its not about any particular channel. We are trying to enable that very personal, empathetic, helpful conversation between the consumer and the company. It can happen on any of those channels, we dont really care how. We want to make it about the person on the other side. Caroline id love it if you could help remind me on how i messaged my husband. Caroline id love it if you last question, i find this Business Model fascinating you , are a partner at greylock at the same time as being the ceo at gladly. What came first . Were you already a partner . Is this replicated elsewhere . Joseph i have been at greylock for almost five years. We have a history of incubating companies to pretty good success. Workday was incubated and started by neil, who now runs the company. Palo Alto Networks and sumo logic. Its a little unique, in the sense that many of us were entrepreneurs, and now we are investing partners. If we see an opportunity, were encouraged to go and actually get companies started, because its hard to get differentiation in venture capital. Everyones money is the same. A dollar is a dollar is a dollar. You try to differentiate based on your domain, your expertise. If you can build some portion of the portfolio which is proprietary, an idea only we can see it gives us a unique , investment opportunity. If the Company Turns out to be very successful, we do quite well. We dont exclusively do that, just enough. Caroline we will focus on your progress. Maybe you will be snapped up just before an ipo. Wonderful have a new here, wonderful having you here, joseph ansanelli. The Tech Community is working as one once again. Facebook, alphabet, snap, and more than 100 other tech giants have told a federal court that president trumps latest travel ban should be tossed away. On tuesday the president signed another order on how h1b visas will be awarded. The Trump Administration has promised greater scrutiny for companies that employ Foreign Workers instead of americans. These Silicon Valley heavyweights filed a brief in court stressing this new order would cause serious harm to their companies and employees. Coming later, we discuss the state of diversity in the workplace. Our exclusive with ellen pao and anita hill, professor of Brandeis University. This is bloomberg. Fcc chair ajit pai said that he met with executives from facebook, cisco, oracle, intel, and other companies, but did not give details on the discussions. Pai is a staunch opponent of the Net Neutrality rules. Google is planning to make a change to its browser that could have huge effects on the digital ad industry. According to the wall street journal, the company is planning to add an ad blocker to chrome and possibly could turn it on by default for all users. Shares of ebay slid nearly 4 , the biggest drop since october. They lagged behind the ecommerce industry and did not narrow the gap with regards to amazon. A reminder all episodes of , Bloomberg Technology are now Live Streaming on twitter. Check us out here he this is bloomberg. Caroline in recent years, the spotlight has been placed on Silicon Valleys lack of diversity. In response, companies have been working to become more transparent on their diversity efforts. Publishing diversity reports with ethnic breakdowns of their companies and they have poured millions into the initiatives with the aim of recruiting and retaining more women and minorities. But much of what theyve done has only shown incremental results. We sat down for an exclusive with women that he epitomized the fight against Sexual Harassment and discrimination in the workplace. I started by asking if we have seen significant change in this more than 25 years since anita hills historic moment. Absolutely they have changed. One indication of it, 25 years ago, there was not nearly the public reaction we have today. Today specifically with the bill , oreilly situation, the 50 corporations have responded and pushed back on the idea of adding their name to this kind of behavior. You have a public that is enraged and is responding. Women are protesting. Women are telling their own stories. Its a very public and very different conversation. 25 years ago, we had a president who actually supported Clarence Thomas and the public went along with it. This time, with the president supporting bill oreilly, the public is not buying it. Caroline the public sentiment has changed. Do you feel the same and in some way in 2012, you were up against your previous employer and you took them to court. Do you feel things have changed for the positive . Ellen i think people are now believing people when they bring up their stories and experiences. That started with anita and everybody who followed in sharing their own stories. People are recognizing there is a bigger problem, that there is discrimination and harassment in the workplace and it happens to everyone. Its no longer what did the victim do wrong. Its really, wow, this is a problem that needs to change. Its a very different perception than 25 years ago, when people were less educated, i think. Caroline how is technology making a difference . The tech scene is showing slightly better numbers when it comes to females in the workforce, but still evidence of sexual discrimination when they are there. And the presence of ethnic ,inorities, blacks and latinos are still lacking in Many Companies. Anita it is a very systemic problem. It started decades ago when the earliest companies started becoming successful, started by mostly white men. Those white men made the money to invest in other white men. It became an epidemic of pattern matching. Its the white men who are successful, so thats who im going to invest in, and those are the only people with opportunities to succeed. It is something that has happened to women, racial and ethnic, underrepresented people of color. It has happened to people who are lgbtq. It has been every group that is not part of that core original founding set of fathers of Silicon Valley have been excluded. How do you change that whole culture to make sure everyone is included, not just a few more women or a few more black employees . But making sure you are getting the best employee for the job and giving them the opportunity to do their best work. Caroline are there any best practices you are seeing that should be deployed across other companies . Are there any companies you are holding up into the light to show the way things could be done . Ellen there are some companies thinking about it in a very helpful way. They are starting to experiment. I dont think there are three things they should focus on that will solve all your problems, but i think you need to think of inclusivity of all people, not just certain groups. You need to think about it comprehensively across your company. Its not just hiring people, but ing sure they are on board ded, making sure they have mentors, sponsors. The third piece is measuring. Companies that are taking the time and effort to see what levels of diversity they have will have, the sentiment of groups will have the data that , will help them succeed. Can you share the data across your team and focus on these problems . Anita for me, one of the clear pieces of information that we should draw from the oreilly situation is that it is not just a matter of bringing people in. It really is a matter of changing the culture of an environment to make sure that, when you put all of these things in place, that you actually follow through with an idea of increasing and maintaining increased diversity. That doesnt mean that you just take old rules and old responses to issues and reapply them with the new population. It means that we have to really get it. What does it mean specifically for people of color to be heard . What does it mean for women to be heard . One of the things that i love about whats going on in the academy now is that we are also teaching about intersectionality. We have looked too long at these issues as binary issues. We have women on the one hand and people of color on the other. Those are overlapping categories and the experiences are overlapping, and we are learning to tease out what that means. What does it mean when we talk about a woman who is a person of color, or a man who is a person of color, vs. Perhaps white people, white men who are in business . I dont want us to think just there are men on one hand, women on the other. Not all women are the same. Not all men are the same. We have to start looking at the nuances of how discrimination works in the workplace and what do we need to do to respond to make sure that we attend to those nuances, especially for different groups. Caroline you mentioned having your voices heard. I want to understand the positive and some of the negative of having been pioneers in this particular area. We are seeing more women able to come forward and make their voices heard, but do you think women are still labeled as those who have spoken out . Is it positive, or is it still a negative . Ellen i think overall its a negative. You are a troublemaker. You arent conforming to the system. In Silicon Valley, as much as we think of ourselves as innovators, there is a strong pressure to conform. You can see that in the response to different events. For women who started talking about the problems in tech five years ago, it was very difficult for them. There are so many women who came out, talked about their experiences, and were not believed. For people to come out and take that big step and be challenged and be tormented on social media, that is a different type of abuse that we hadnt seen before. Caroline that was our exclusive interview with ellen pao and Brandeis University professor anita hill, speaking 25 years after her historic testimony in front of an allmale committee in congress. She was speaking against her boss, Clarence Thomas, a Supreme Court nominee. Coming up, baidu wants to be behind the wheel of your autonomous vehicle. We will speak with baidu president on the plans for Driverless Car Technology. This is bloomberg. It is 11 29 a. M. In hong kong , lets get a check of the first word headlines. Saudi arabia says several Oil Producers have reached an initial agreement to extend the chronically high inventory on prices. Three months of limited production have seen opec and its independent allies failed to cut stock prices. Minister did recognize that the countries in favor of an extension. Is an agreement, but we have not yet told all producers we may be forced to extend the measures to reach our goals. The Trump Administration is overhaulr the biggest ofthe tax code at the end the year. Steve mnuchin says reforms of go ahead even if a second attempt to repeal the Health Care Act fails. He says the priorities are to simplify personal taxes, create middleclass tax cuts, and make is this taxes competitive. Governments have toughened their stance on brexit negotiations, with a first language, and the safeguarding citizen rights. The document suggests theresa may will not have an easy ride, even if she convincingly wins junes snap election. The chief negotiator says talks begin right after the vote. Japanese markets just reopening after the lunch break. We saw market shares gain in the morning session, that we have to keep a close eye on what they do in the jack in the afternoon. The japanese yen the strengthening 1 10 of 1 . Lets see how they are trading across the region. We are seeing great buying coming through across the region. You have the japanese and the nikkei Index Holding onto gains of at 7 10 of 1 . The kospi at 8 10 of 1 . , newnaround in new zealand zealands market up 1 10 of 1 . We have seen rebounds in the iron ore contract on the back of those strong Oil Production results coming from bali. Lookingnd aluminum strong, giving support to the mining players in the region. We have seen positive buying across the region today. We are seeing very good moves on the regional index, which is up 7 10 of 1 . Even Energy Layers are up for tenths of 1 . Of 1 . Bloomberghis is technology. Im caroline hyde. The race for fully Autonomous Vehicles is at full speed. One chinese tech titan is making a major move. Baidu has announced it will open up its Driverless Car Technology to challenge internet competitors. It will provide designs and a complete Software Solution for carmakers. Joining us now in an exclusive president baidu yaqin zhang. , you bought a u. S. Startup. Visual perception is what you are acting. What part of Artificial Intelligence do you really want to own . It is more than just search here. If you look at, in the last few years, we have developed a real capability in learning, speech recognition, video, computer vision, and also for autonomous driving. Thisll be continued through our core technologies, 3d object recognition. There are a number of companies we are looking at. Im also very excited to open our autonomous driving platform this week. Make sure we have the developers to use this open platform, the developer applications and services. This is the first time any company has opened the technology, the platform. We really want to accelerate development and commercialization of autonomous driving. This is a really profound and significant. Caroline commercialization where do you fit in the commercialization of autonomous driving . Will you make your own automobiles will you be working , with other Car Manufacturers . Who owns the data and reaps the rewards . Yaqin that is a great question. We are looking at making sure we have the technology right have , the right partners to make that commercially available. If you look at it here, we have a platform, software, hardware, data, and car services. We will develop and maintain the right type of algorithms, the models, and development tools, and also all the highdefinition mapping for the industry. As you mentioned about the platform, the open platform, we actually borrow the apollo. It is significant the lunar , landing many years ago. It requires eclectic wisdom and the investment of many people and Many Companies to benefit. Caroline but will carmakers in the longterm want to see you keeping the data . Will you have to share it with them . Because the value is in that data . Yaqin there will be a different kind of data. We have a tremendous capability in data collection, data analytics, Machine Learning. Those data, some of those will be shared. This is the whole industry. The data from users, data from mapping their pois. The data will be shared. You have to respect the users privacy. Data is valuable, technology is valuable. But more important is to have an open platform that all the industry players can share and work upon. It is a highly competitive caroline will you beat the likes of waymo and uber to producing these types of Autonomous Vehicles . Yaqin we are the First Company to open our Technology Platform to the industry, and we hope this will speed up the development. We hope that others will follow us. It is highly competitive. A lot of companies are doing similar things. For us to open this, people actually compute new technology and innovation. Besides the data, the models, the algorithms we are developing they are pretty advanced. The sharing with industry will be a leap forward. Caroline i want to move away from Autonomous Vehicles and into Artificial Intelligence, the wider part. This is a real area that baidu is pushing. In particular in Silicon Valley you have a Silicon Valley labs. And the loss of a key leader behind that part of the business how damaging is that to baidu . ,how much are you able to remain resolute to your commitment to ai in the valley . I love andrew and obviously andrew made a tremendous contribution to baidu. We thank him for that and we wish him the best in his next endeavor. Having said that, baidu has a lot of talent, technology leaders, Business Leaders in Artificial Intelligence. We have a large group of people working on Machine Learning for a number of years in beijing and in Silicon Valley. We continue to look for talents. That is one of the reasons i am here. I was at Stanford University to give a recruiting talk, and i was very happy to see the packs of students who showed enthusiasm and interest in working for baidu, working on Machine Learning. It is very exciting. Baidu believes this is the next era. Thats why we are developing an operating system for ai. We have applications to the home making technologies that enable , autonomous driving, and moving the technology to a cloud for business applications. In the next few years, you will see an array of products and services from baidu, all based on talent not only in china, but globally. Especially in Silicon Valley. Caroline its wonderful to have you with us. Thank you so much for your time, live from stanford today. An update on our bloomberg scoop that has taken twitter by storm. Yesterday, juicero has responded to our story, saying they will come to customers with the option of returning their juicer for a full refund within the next 30 days even if they bought , it as far back as a year ago when the product launched. This was after bloomberg reported wednesday that the packs of precut fruits and vegetables dont actually need to be placed in the juicer. They can be squeezed by hand. Juiceros ceo who took over the position in november posted a response on medium arguing that, quote, the value of juicero is more than a glass of cold pressed juice. Much more. Coming up, verizon shares plunged in trading after it lost 307,000 subscribers in the first quarter. The worst exit this in more than a decade. Can they bounce back . We would like to bring your attention our interactive tv function. Find it at tv on the bloomberg. You can watch us live or see news from our coverage around the globe. Dive into any of the securities our bloomberg features. This is bloomberg. Caroline verizon is one of the biggest decliners on the dow today after the nations largest wireless carrier said it shed 307,000 customers in the first quarter, the worst loss in more than a decade. Is a possible deal the only way to shake up the company and break this slump . Bloomberg editor at large cory johnson joins us with more. It is fascinating timing. We had a couple days ago the scoop from a colleague that perhaps verizon had been eyeing up some other potential competitors. Now the numbers indicate why they might be looking into this. Cory our colleague in new york hosted with a bunch of other editors an editorial appearance by the coo. Hes like, whenever i say is on the record, im a straight shooter. He answered the question and gave us that great scoop. He will tell you what hes thinking, including the expansive realms of his thought, including acquisitions. He also knew that this quarter was about to have these kinds of numbers, these big losses in subscribers. Caroline im looking at losses in subscribers. Pretty pitiful performance in terms of their share price. When we look at a particular chart, it shows you verizon lagging in white since december, 2009. Cbs up in turquoise, almost 400 growth. Comcast, disney all outperformed. What have they got wrong at verizon . Cory the competitor environment has changed a lot in the Wireless Industry its driven by , tmobile, where the unlimited data plan has proven so successful with consumers. Verizon has operated on a model of lets own a lot of spectrum, be available everywhere, can you hear me now . They thought that that was the answer. The maturity of the Wireless Industry right now suggests there are other things bringing consumers. The losses of 307,000 customers in one quarter was substantial. Its less than 1 , less than 0. 5 of all their users. Nonetheless, quite disconcerting. Caroline im fascinated by the roots the telecoms are taking. Many have gone for content. Many making eyes at this area. Weve seen in france, orange, one of the big players there, saying they are going to unveil bank, going down the fintech route. Is content going to be king . Is that the tried and trusted root . Cory orange has a history of trying some really interesting things. They have been doing that for a long time. We will see how long they stick with it these bank plans. Verizon has already spent a fortune on content, buying aol, focusing onoo , having a content strategy for the days when 5g finally arrives. That might be five years out. But they are planning on a big content business, not just their own, but advertisers across all platforms. They see themselves more like a google in terms of the backend of supplying ads than just a phone carrier and a wireline carrier. If you think of the wireless model, it is still tilted very much on the Business Model of wireline. Lock in subscribers, keep them as long as you can, derived those revenues, distribute dividends to shareholders. This is a very different model, but it has the potential for growth. They dont have that in the wireless business. Caroline what about internationally . China mobile came out with numbers as well today. Where are we seeing this where telecoms are a good bet . Cory this change in the Business Model where consumers are wanting to have these plans with unlimited data is a very recent change. Verizon has changed their mind about being steadfastly against that. This might be a temporary change, they are going along with the joneses, but it is really tmobile leading the charge. Caroline they continue to disrupt the market. Cory johnson, great analysis. He will be sticking with us for the next segment. Coming up, youre talking samsung pulling out all the stops ahead of the release of the s8. But are consumers showing any , interest . A quick programming note on , friday, bloomberg surveillance, live. We will be joined by a great lineup of guests. This is bloomberg. Caroline the ftc is cracking down on social media influence. It sent more than 90 letters to prominent instagram users. It reminded them to clearly and conspicuously disclose their relationship to brands. They warned that common disclosure tactics such as putting sponsored are not sufficient. Anticipation has been growing galaxy s8,ease of ahead of its release on there friday. Have been more than one million orders, a new record for samsungs home market. But will the demand be there in the u. S. . They expect growth in global shipments to slow down this year. Here to discuss what consumers are thinking about the s8 ahead of its release, im joined by ben bajaran and cory johnson. That thereng online is a red hue to the screen being seen in korea. Is that a concern . How much are we pitting on the s8 given the debacle that was the exploding note 7 . Ben theres a lot riding on it. Samsung has a reputation to repair. We did some research. We collaborated with survey monkey to do this quick study. Luckily the note 7 issues did , not seem to be a barrier. Over 60 of consumers said that was not a deterrent for them to consider the s8. That is good news. Among existing samsung owners, it was even higher. It was about 65 . I dont think that is in the mind of the consumer, a loyal samsung owner, as big a deal as people made it out to be. I think the media is being a little more cautious than they were in years past and their review. Cory they dont want to say, we love this phone. Ben the reviews have been really good. People have been raving about the screen. You have all this great new screen size in a smaller phone, which i think people will appreciate. I dont think the note issues are as bad as people think, but i think samsung needs to ramp up their marketing to continue to increase demand against their base and new customers as well. Caroline the media cautious to get too excited about the galaxy s8. Cory i think its interesting. Google needs this to work, android needs this to work. The problems with the note 7 isnt just among android users. It happens at a time when we have seen the replacement, refresh cycle lengthening. People are replacing phones much more slowly. Samsung got a little bit of a pass because consumer dynamics are somewhat changed, but people with older samsung phones might not have updated as quickly as in years past. They got a chance to skip a cycle or half a cycle with one of their devices. They have a shot here to maintain their leadership in terms of sales. Caroline certainly, ahead of the game when it comes to the iphone 8. We were discussing with mark gurman, our gadgets guru, what we are expecting from the iphone 8. A lot of it is similar to the s8. And xiaomi has come out with curved screens and bezels. Ben we looked at what drivers are the things that consumers are mostly interested in. We tested things like bixby. That did not test really high. Screen and camera were still the highest purchase drivers. This signifies an overall design trend we will see. Beveled designs universally across all smartphone oems. That will start on the highend and trickledown. The value is for consumers who want as big a screen as possible in the smallest formfactor. For that reason, i think this design trend will continue. Caroline how important is this for samsungs bottom line . What are you looking out for is , korea getting excited about it . When do we start to know whether this product is doing well . Cory we will know pretty quickly. Its important for so many of the suppliers. You have Companies Like broadcom supplying this. We will see those results before we even see results from samsung because of the preorders. We will start to see those stocks, which have been down, we will get a sense when we see the reports for the quarter underway currently. Caroline its interesting, the curved screen and the demand for that. Samsung leads the way in being a supplier it wins out by everyone , copying it. 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 see. From that benchmark you can compare that to how did it do in prior years. My expectation is that, i do think consumers will really appreciate the design trend that they are changing to, so i think we will see a bigger bump, but i think we have seen similar lines in previous years. Caroline thank you very much, ben bajarin and cory johnson. Thats it for now from Bloomberg Technology. Ahn an attack on police in paris where one officer was shot dead and two others are seriously wounded from the shop delysses. Amps. Groups jumped in i . 6 billion takeover bid. 99 of the votes have also said companies. Lve three