Something that just happens. It does not happen with the same frequency in other countries. Emily the fbi working with state and local police. Emily i am emily chang and this is bloomberg west. Yachts board meets to consider options as the Company Continues to flounder. I sit down with another Silicon Valley ceo who has but it had with activist investors. He joins me for an exclusive interview. He is a commander of the British Empire and a tech investor with the midas touch. Another chapter in the yahoo soap opera with shares sales sliding and markets are shrinking, the board meets today to stop the bleeding. One possibility is scrapping the spinoff of its alibaba stake. The company has struggled to reinvent itself with Marissa Mayer at the helm and it is facing renewed pressure from activist investors. Who are these potential buyers . What would the company be left with . Joining me now is a yahoo investor. A very significant position in yahoo and an early investor in alibaba. Shy with youreen feelings about Marissa Mayer and yahoo . What do you think right now . I separate my opinion of yahoo with marissa, he was a very capable executive who has been put in charge in a nowin situation. Yahoo lost its relevance a long time ago. Consumer Internet Companies are very much in a social logical and demographic sociological and demographic place. Generations move on from those products. It off his relevance is the question yahoo s relevance is the question. Not a single is must use product at yahoo . Never has been since the emergence of google because google changed our behavior around how we use the internet. Yahoo does not do anything like that anymore. Emily mark, not a single must use product. As a yahoo investor, how do you respond to that . Mark i actually dont disagree. Ms point is right on. The market is valuing an asset we see value in at zero. Zero is a good price to pay for something. We invested early in alibaba. The yahoo japan stake and the olive Bobbitt Alibaba stake are worth a lot of money. Stub and weyahoo think the private equity guys will buy the asset and do what should have been done a number of years ago, have more of Financial Engineering approach, a dealmaking approach to that business. Obsolete technology is a real problem in the valley today. Emily the core business is valued at less than zero, some valuing it at 2 billion. Om Marissa Mayer should leave this in the hands of the board. Competence. Heir they are equally culpable in the mess which is yahoo . This board, the previous boards, they have let this status of going nowhere continue forever. There is hope against hope that something magical will happen to yahoo . They have made all of these plays and they are not working. Emily why dont you think the onus is on Marissa Mayer . She has had three years. Leave and let somebody else figure out the mess. Mark i said a number of months ago that i thought the best solution would be for alibaba to buy yahoo and make marissa head of alibaba usa and use her unique talents and skills in Product Development and marketing to help them build their brand in the u. S. I do not disagree that the mess is real. I think it needs to go private, get out of the public eye and come out with a different focus, maybe do some acquisitions. Make themselves relevant again. Divest over time this asset. The best way to divest would be to reverse divest into alibaba. Take a listen i have a lot of confidence in her building her ability to be successful at whatever she does. Emily would you hire her . Second, she is amazing. She is completely magical. Emily what do you think Marissa Mayers legacy is going to be . Om she was put in the Impossible Task of trying to turn around a leaky ship. People dont understand that techt, once you miss in , you miss the shift. Once you miss the shift, you miss the shift. Wall streetto does not want to understand or embrace that. Saying, we are confusing a person with the status of the company. One person does not create the outcome that most people would like to believe. There is a reason why people use facebook. It is where everybodys attention is. Emily if the board makes a decision, what should they do . Should they sell the core business . Verizon,talk of comcast, news corp. , disney. Om i would like to know how many people from the board actually use any yahoo products. Emily who are these 200 million users . Om i really do not know. People who talk about selling off the core business, i am not sure what they are going to carve out. How do you slice of the company which is so tightly integrated . It is Impossible Task. I really do not know how this is going to happen. A lot of talk is just talk from the Financial Community who doesnt understand how deeply difficult it would be to pull it off. Emily you suggested you guys might be interested in increasing your steak in yahoo your stake in yahoo . Why . Mark if they moved to a situation where the spin out has a favorable tax treatment, that shareholders. Or if they move to do a private equity deal, private equity will pay a fair price. It is more of a shortterm trade to take advantage of what is in undervaluation in the market. The market tends to go too far in the extreme positive and the extreme negative. Buy what is on sale and sell what is expensive. Emily thank you so much. M is sticking with me for the next few blocks. We have been talking about Marissa Mayers struggle with activist investors. Toer on, we will be talking houseouse in bold nbold. Provider juste added 5000 new customers in the third quarter. We will discuss, next. Think of it as foursquare crossed with the game of risk. Geolocation technology is revolutionizing the gaming industry. Itsy box reporting thirdquarter earnings. Sales came in slightly higher at 78. 7 million, up 7 from the previous quarter. Box says it added 4000 new customers in the third quarter, growing its paying Customer Base to 54,000 businesses. Joining us now to break it down is our next guest. Dave, what is your take on the results . Dave i think it is great news. There is still a challenge to understand these recurring annuity businesses. They hit their numbers, which tells us they are smarter about operational efficiency. They beat revenue by 2 million. When box filed for his in youu came on the show said it looked like a house of horrors. Progress from the house. Halloween is behind us. This is definitely progress. We have a tendency to expect things to be magical overnight. It takes a little while to build a business or kill a business. Emily what would you highlight here . Ibm andrtnerships with apple, how much of a help the business . The key is how box is able to leverage these partnerships. Over a period of time, deal sizes will continue to grow. Resultsyou will see the over time. With any cloud model, it takes about for companies to grow their deal sizes and that should help their operating cash flow. Emily we have been talking about dropbox and the negative sentiment around dropbox. How much of what is going on ties to what we are seeing with box . I think there is a lot happening in the market. The partnership between box and ibm is an indication of what we are seeing in the larger market. The top Legacy Companies or tech companies, every quarter, they are losing market cap. Unicorns are the people consuming that. Box has found a position in the enterprise space. Space. Has the consumer people are trying to find emily what happened to dropbox . Om it is easy to say they are in trouble, but we do not know the numbers. Sharinghey are also not the numbers. They do not have to share the numbers. Valuation i think, as a business, they are following the right trend line, same as with box. Whether this becomes a really massive business in 12 months or 24 months, that remains to be seen because we have no data. I cannot live without dropbox. Emily i am a dropbox customer as well. Cloud, itut keeps becoming part of your usage behavior. You start to pay more and more to your vendors. Emily what do you csrs appetite for a company like what do you see as far as appetite for a company like dropbox . They will move to the enterprise. The difference between box and exclusively focuses on enterprise. They have a very solid product. Given content management is moving towards cloud, i see no reason why these companies would not do well in the future. Emily your company is valued valued at more than a billion dollars and you are a unicorn company. Everybody is saying that winter is coming. What are you doing to prepare for the cold . Dave it will be a deflation, not a huge pop. We saw this about six months ago. I love it, by the way. I think this is very healthy. There are unicorns that are not real, valued based off of page counts. I think they will go away, they will die. Companies like dropbox or box, annuity businesses, i have my executive team, they have all been through ipos. I love this. Emily thank you so much for joining us. Back with moret of bloomberg west. Exec another google maps jumps ship for uber. Formerly director of Product Management at google maps. At uber, he will eat its mapping unit he will lead its mapping unit. My next guest has a long history in the business, having run googles geodivision. He then took that experience and built a game making position within google. The First Company spun off in the alphabet restructuring earlier this year. Why did you guys split off . What we were doing made more sense as a separate company. Emily how do you go from running maps to running games . What we are doing in the gaming industry is based on maps. We are doing realworld games, you play them outside. The fundamental technology builds on that foundation of maps emily . Emily Mapping Technology is a big part of the game. Give us an example. John when you play the game, you get immersed in the fiction. You join one of two teams and. Hen you are visiting landmarks historical markers, prominent local businesses. Those are points on a game board that spans the entire globe. Everybody is competing around the world. Emily interesting. Om how soon does this become real . Locationbased gaming and augmented reality, they are coming. It seems some of technology is ready. When can i commercially by these things buy these things . Ingress is 14 million downloads worldwide. A lot of people are playing augmented reality games. In the future, you have people building goggles which will make that experience sexy and more immersive. Emily what about google glass . Versionass, some future of that. Emily some future version of that. Om what happens in a game like this . How much behind the scenes computation needs to happen . John ingress, everybody is competing in the same space. It is definitely a computational challenge. Emily you took around the funding from nintendo. What you could also be competitors with nintendo but you could also be competitors with nintendo. Explain that to me. John it is more of a partnership than a competitive relationship. It is a really important relationship for them and we are bringing a fresh take on it. Emily once Virtual Reality hits the mainstream, more and more people start buying headsets or the future version of google glass, how is gaming different . Isn the gaming industry going through a huge transition right now. It is a huge industry, a third. F that is mobile and tablets you have this huge Disruptive Force of Virtual Reality, on the one hand, oculus, cutting you off from the world. And you have augmented reality, which is a cousin of the are vr. It is adding to your interactions with the real world. You are getting some exercise, interacting with people face to face. You are adding this imaginary element to that. Both of those technologies will disrupt the industry. Emily we will have to leave it there, unfortunately. You guys can continue this conversation during the break. Up, shutterfly stock nearly 52week high. The only way to get better is to challenge yourself, and thats what were doing at xfinity. We are challenging ourselves to improve every aspect of your experience. And this includes our commitment to being on time. Every time. Thats why if were ever late for an appointment, well credit your account 20. Its our promise to you. Were doing everything we can to give you the best experience possible. Because we should fit into your life. Not the other way around. Emily were just getting word from the ap, police saying shots of been fired, at least one suspect down in an area near the shooting in san bernardino. It is unclear if that is related. Could be confirmed dead. 14 so far have been killed. 14 people wounded. As threects, as many suspects, still at large. Were still trying to figure out if this additional shooting is related. We will continue to follow these headlines and bring you any updates as we have them. The fbi working with state and local police to secure the area. Police still do not have a mode of. It is unclear if this was an act of terror. From ourt joining us headquarters in hong kong. We are keeping a close eye on oil prices today. Unrest in opec as ministers had to a regular meeting in vienna. Iran says the majority of members agree on cutting output, but not including saudi arabia and gulf states. Chrysler is said to be delaying the introduction of some models as a knock on effect of the slowdown in china. A new maserati and an awful romero suv are part alfa suv are part of the vehicles that will not go on sale. U. S. Trade in chinese stocks rose. Tech Companies Leading the gains. By investorsven tracking the benchmarks, which added 14 chinese adrs. Emily what is the broader impact to chinese stocks . Zeb a very select group, but some of the Biggest Software names in china. Alibaba sing a nice jump. Seeing a nice jump. J. D. Com as well. Jd. Com as well. Emily thank you so much. Emily the man who runs the online Photo Company shutterfly is taking himself out of the picture. He will be stepping down as co and president next february after the Company Reported quarterly results. He took over in 2005 and the company went public in 2006. Shares of shutterfly have gained over 200 and he is with me in the studio in an exclusive interview. Heartfelt very resignation letter. Why did you resign . Jeff i was the fourth ceo in four years and it was a turnaround situation. We will either go bankrupt, gets sold, or create a billiondollar company. Year is 1. 4 for the billion. It has been 11 years and i have been running 70 hours a week. The company is poised for the next leg of growth and we will attract a new ceo that will bring us to that level. Emily you have been in this business for a long time. What are you most proud of . Jeff no one expected us to survive against the Largest Companies in both retail and technology. We were competing with apple, kodak, walmart, msn, aol. We were this little david against all of these goliaths. Culture atis the shutterfly. We have been recognized by many Media Outlets about our culture. It is a great place to work and it is also a High Performance place to work. We have been able to retain our talent. Emily any regrets . Jeff it has been an amazing journey. We have been able to touch peoples hearts, not just their pocketbooks, with our amazing products. We have been able to give back to the community through our foundation and our relationship with ellen the generous ellen. Emily you guys did try to sell the company. Inbound had some interest. We had some inbound bids and the board decided those bids were not fully valuing the company. We have a growing business, lets keep executing against our strategy. Emily you have been dealing with a number of activist investors. Does your resignation have anything to do with these activists . Jeff marathon got two board seats during a proxy battle. Emily it must not be fun to deal with activist investors. Jeff i do not think i would use the word fun. Ofare living in an age activism. If you want to be a public ceo, you have to understand that and be able to deal with that. Emily this is something that Marissa Mayer is dealing with right now, a lot of negative sentiment. What are your thoughts . Jeff marissa entered into a situation that was pretty difficult. A lot of turnover in the ceo ranks. She is facing lots of competition. She had a lot of headwinds. The tailwind being the alibaba ipo. She is getting pressured to create value in the core business. Emily what is your advice to her . Jeff i do not know the yahoo situation well enough to give marissa advice. She is very smart. Peoplerd has very smart on it. I think they will explore all options to make the right decision. Some activists help create value and unlock it were a Company Might be myopic. Other activists are very shortterm minded. ,t depends on which activists which situation. They are here to stay. Emily as someone who has lived through many years in Silicon Valley, do you see can yahoo be saved . Jeff you have hundreds of millions of users. It is a real business. Yes. Many of us who have been watching, we are cheering them on and we want them to be successful. We want to more choices than just one or two. Emily what is left is to mark if they sell what is left . If they sell the core business, what remains . Emily you can jeff, you can combine with other companies. Emily what are you going to do next . Jeff i have no idea. People have been asking me that for the last 24 hours. I will take some time with my three boys and figure out what the next adventure is. Emily would you prefer to run a Small Private Company or a Public Company . Jeff both. Emily very diplomatic. Jeff i would like to go to another small company. I would love to go through that experience again. To be able to take a company, build an iconic brand beloved by the customers. Emily what is your take on valuations right now and his discussion of bubbles or bust . Jeff i think you go through cycles. The Public Markets have it right. Numbere of the headline is a fallacy because there is liquidation preference from the private investors that allow them to markup the headline price, which allows you to attract additional capital. Many of these companies will have down rounds if they go public. Some of them do not even have a real business model. There are Companies Like uber and others who are revolutionizing different aspects of our economy and they will be worth a lot of money. Emily i do want to talk about shutterfly. We are just through the thanksgiving holiday. How did you guys do over the holiday . Jeff we had a fantastic black friday to cyber monday. It is part of our important q4. Once people have the turkey and stuffing, they start to think about christmas. They love to communicate with their friends and family and loved ones. We have an amazing assortment of glitter cards, foil cards, ornament cards, and customers are coming to our design forward and on trent products. And on trend products. Emily thank you so much for stopping by. Months on the defensive, airbnb is giving the world a glimpse into its operations. In new york city, at least. To save you the trip, we pulled the most interesting numbers. 16 of hosts with their full house or apartment on airbnb for over 121 days a year. Hosts makek city between 100,000 and 350,000 a year from airbnb. 42, the number of nights the median airbnb property is rented out. My conversation with Sequoia Capital chairman sir Michael Moores about diversity in pseudocon in Silicon Valley. Emily i sit down with sir Michael Moore its moritz. Invested in some of Silicon Valleys most famous companies, including google, yahoo , and linkedin. I asked him about the lack of diversity in Silicon Valley. Oritz i genuinely believe manye in line to so religion, we have more different nationalities working at sequoia it is a very cosmopolitan setting. The fact that we have embraced it shows that. The real question you might have is why, for example, arent there more women . We have many more women working in our China Business than we do in our u. S. Business. The issue begins in the high schools. America and also in europe tend to elect not to study the sciences when they are 11 and 12. The hiring pool is much smaller. Emily you think it is a pipeline problem . Some would say you are not looking for enough looking hard enough. Hired atz we just young woman from stanford. What we are not prepared to do is to lower our standards. Bright, are fabulously driven women who are really interested in technology, hungry to succeed, and can meet our performance standards, we will hire them all day and night. To build the very best team. Whether they are black or white or female or male or muslim or christian, we dont care. Emily i also asked him about sequoias robust business in china and what it takes for u. S. Tech companies to succeed there. Itz i do not think anything has changed about china. The underlying consumer demand is very strong in china. Business is very good. It is strong and healthy and vibrant. Built our own business there over the course of the last 13 or 14 years. Byery robust business run some wonderful people. That the mostent valuable Internet Companies are chinese. There will be far more Business Done between technology than there has been over the last 20 years. Emily what does Silicon Valley have to learn from china . Ritz i am always struck by how eager people running are to learnnies about their american counterparts. Founders ofeos and Silicon Valley companies did the same thing in china. I think we can learn a lot from them. In mobile, in particular, the products are different, the services are different. If any Silicon Valley company aspires to be a global company, china will be a big part of their future. Emily now we are seeing airbnb start its own chinabased company. And linkedin. What does it take for u. S. Tech companies to succeed in china . Z we try not to make the mistakes we have seen others do. You need to understand the market is different and you definitely do not staff your company in china with people from america or europe. You need to understand there is a very different work ethic in china. People work a lot harder. It is a whole new level of competition. Emily my interview with chairman of Sequoia Capital. You can you can catch the 1. 0. Interview on studio tonight. Saysital rights group google is invading the privacy of students. The group says the system collects data about internet and video searches by students. Google says it will disable a setting that allows chrome synced data to be shared with other google services. Why the hottest holiday gift this year might be a gift card for shares of tech stocks. Emily a story we are watching, and 92yearold owner of viacom is under pressure to disclose more about his mental health. In interview he also said viacom should sell a piece of paramount to jack ma. Viacom released a statement saying redstones doctors have certified that he is mentally stable. Stock at achasing a company was as easy as buying a gift card. It already is. They can be found at major retail chains. Pick one up when youre buying your groceries. You can also buy one online. Now is the ceo of stockpile. Perfect time for the holidays. How does this work . It really is that easy. I have one right here. You walk into your local retailer, buy one of these off the gift card rack. They simply scratch off the code, enter it at our site, and 50 turns into fractional shares of actual stock. You have to sign up for a brokerage account. It takes about three minutes to get a brokerage account. Emily how does the business work . We get a few things. We made it easy and acceptable for anyone to own stock in their Favorite Companies or give it as a gift. Have ever had a shot of doing not. Emily do you have to have particular qualifications . You dont. You can buy a dollar amount you are comfortable with without having to stretch. Emily what is the fee . Priced aft cards are lot like those visa gift cards. A 50 gift card, we charge a few dollars on top of that to cover trading commissions and credit card costs. The recipient does not have to pay a dime when they are redeeming the gift card. What is interesting about a visa gift card, you give them as gifts. You are buying these as gifts. Some people are using these as a starter kit to get started in the market. Emily what are the most popular stocks . Apple. Book, google, we are also seeing some more sophisticated behavior. People are interested in the market indices. Seeing a card that has a whole bunch of Companies Listed on the front. Emily what are the least popular . I cannot say that. A lot of stocks out there, one secret, when you get one of these cards, you can switch to Something Else is the gift giver did not give you the stock you wanted. Emily can you give us any numbers on black friday sales . Sales are going through the roof. We ordered a million cards for the season. What we are seeing is people are buying these cards by the handful. When you buy a gift card, you are buying for friends, family. Nieces and nephews and kids and grandkids. We are in the middle of the christmas season. Emily what if we are in a bubble . Any guilt . No one is good at timing these things. This is more for the long haul investor who wants to start early. Emily happy holidays. Thank you so much for joining us. Cap studio 1. 0 tonight. From our studios in new york city, this is charlie rose. Is a former first lady, former senator from new york, and former United StatesSenate Secretary of state. Hillary clinton is now running for president. The front runner sat down with me in lexington d. C. She talked about her plans to fight isis and remove bashar alassad. The problem of climate change, china, russia, and the role of the United States in a rapidly