Screens, announcing two new today. Both have a 5. 7inch display, slightly bigger than the 65inch display on the iphone plus, and they work with a new mobile payment is to, but will these products help samsung take on apple and rising chinese competitors . A Strategy Analytics director who covers smartphones joins us be a skype from london and we also have these of posco global head of innovation. Visa is partnering with samsung on its mobile payment system. We also have the set we global head ofs innovation. The phones are almost identical, except the edge has this wraparound screen. The note has a pen. What stands out to you . Out is thelly stands wraparound screen. Two screens in one phone. A big screen on the front and a smaller screen down the side. For the note device, what really stands out is the pen device, which you can use for functionality like writing in businesso pdfs use. Two very differentiated phones. Big unveiling. We heard from the head of mobile. Take a look at what he had to say. Bigger screens have gone from nice to have two must have, and a display, once called a gimmick, has now become the norm. Actually, that was the head of mobile products. But as he said, big screens are the new normal. What sets these apart . Do you think people will buy these over the iphone . Is this going to make people switch . The iphone user is the iphone user. Rarely does the iphone user go back to and sung or htc rarely does the iphone user go back to samsung or htc. Samsung needs to care more about c and motorola to pasture and staving off people aomi. Lenovo and xi emily i want to talk about samsung pay because it is different from apple pay. How is it different . Its available in a lot more places. Jim the user interface is similar to what you with the on an apple pay device. The major difference is they bought a company several weeks ago and incorporated the new technology in the stone that is unique to samsung that allows it to be used at virtually any terminal in the u. S. The of the reader. He magstripe emily whats interesting is they are not charging fees for banks, though apple does. Is this something that could lead to a renegotiation of apple . Eal with we introduced a program that effectively says if someone ,ants to connect to visa banks that there are no fees from visa or the thirdparty. Were taking a long view with internet of things on the. Orizon our view was we just got to make it really simple from a contractual perspective for both parties, the banks as well as the platforms that are providing these services. It is really something we think is revolutionary with respect to driving the market forward. Do you think samsung pay moves the needle . Needs to havesung applications this is another example of that that keeps people using the samsung phone. This is their attempt to do that. At the end of the day, samsung makes their money on the hardware. That is it. That is why they are able and willing to give away whatever margin and whatever revenue comes from a wallet. They make very little off of that. All their money and all of their margin off of the phone. Same with apple. Looking at the smartphone landscape and knowing that samsungs Global Market share has been suffering and theyve not been doing well in china, how wellpositioned is samsung right now, given that we expect the new iphone will be unveiled in just a few weeks how well is samsung position right now . Isl i think samsung essentially going to try to and the new iphone comes through in september or october. They want to try to get as many as they can before apple comes. It is really a timing issue at this age. Emily does it matter that they get a few weeks head start . They do this every year. Neil they have accelerated the launch a little bit. Typically, they come at the end of august or maybe into september, so they have accelerated the launch a bit, and they are trying to get a jump on apple and it. A bit. Emily i want to talk about the mobile payments landscape a bit. Android wallet is coming. How optimistic are you about these services, and what do you see about the different value propositions . Years, weve been talking about mobile payments and mobile commerce, and the hype outweighed the reality. What has been great about the last year or so since apple pay atched is we are seeing convergence in the way these platforms and they are all they arelatforms all consistent with respect to the user interfaces, the way the work, the way they interact at the terminal, and the way they have integrated into the payments ecosystem and other payment networks. I think a lot of the confusion is coming out of the ecosystem, and people can focus on commerce and the consumer and the merchant experience. Emily what does this mean for the mobile companies you invest in . It means very little at this point. Most transactions are going through the apple store or android store, and they are not using physical payment methods. At the end of the day, these that theethods hardware manufacturers are trying to put out its fantastic. The consumer adoption is what everybody is waiting for. Looking at apple pay as a standalone product, it has not been successful. Maybe adding to the ecosystem like samsung is doing will help. I am skeptical. Emily how do you respond . I know a lot of people who have iphones and apple watches and do not use apple pay. To this point in time, it has been very confusing. Even now, they have a great product and they control the holes that, the operating system, the application. The challenge has been acceptance. With samsung pay, youll see that break down. As consumers get the ability to use these experiences more i mean, wearables are coming this year i do think behaviors will change, but these things do take time. Emily thanks so much for joining us. Sticking with me. Tesla shares are getting a boost today. The electric carmaker filing to raise 500 million by selling 2. 1 million shares. Ceo elon musk is the money will be used to expand retail operations, charging networks, and Energy Storage business as well as helping to roll out new models. Must already is one of the isgest shareholders musk already one of the largest shareholders and will be one of the buyers as well. Up, nasa is looking for a few good smartwatch designers. Well explain. Arey now to a story we watching. And internal google startup has officially become googles first post alphabet spinoff, announcing it will function as its own independent company. It was created as an augmented mobile reality game, which has been downloaded over 12 million times. They say the move will help them aligned more closely with investors in the entertainment arena. King digital shares are slumping despite beating on earnings. The problem a weaker forecast dip iny did in and a monthly active users. . Ats the problem king digital shares way down right now. It was slightly disappointing in the since some of their key franchises really did not shine this quarter. I think that was consistent with what weve seen over the past two years with the slipping of candy crush saga, and not the case some of the newer titles have come in and pick up that slack. Emily as someone who has worked closely with a company like kabam, how difficult is it to come out with another hit you can candy crushed saga has been around three years now. Around a longeen time, and like a television show, it eventually reaches its endpoint, and that is certainly not where candy crush is right now. It has years of legs. One could argue they have saturated the market at this point. There any new games from king digital standing out . You have all the saugus the there is paradise bay. Do any of these look like they could be a hit . Lewis i think its a little early for paradise bay, but the fact that candy crushed saga candy crush saga is going down is not necessarily bad as long as the others pick up the slack. Paradise bay is ranked about 35th as of today in terms of the growth charts on ios, which i consider a good first step. The question will be over the coming months, does paradise bay, with the Resource Management game mechanic, move up a lot . That would be a good sign that they have branched out into other successful game mechanics. Loty it seems like a mobile game makers are ts. Uggling coming up with hi wheres the opportunity for innovation . Maha on the one hand, there is king and zynga, which are heavily dependent on casual and once those companys start losing audience, they lose revenue very, very quickly. On the other hand, theres wheregy Game Companies the average revenue per user is very, very high, so they dont require tens of millions of players to be in the game. If you do get tens of millions of layers in the game, you win big like those companies have done if you do get tens of millions of players. In the case of zynga or king, it is a leaky bucket. They need to make sure those games have a much longer life than they do and add games on top of them. Emily when you were here last, we spoke about midcore games, which is console or pcquality games you can play on mobile. How is king doing . Lewis they are not there yet. Resource management is a much more, located cap of game than as a match three puzzle game. There is room for more sophistication. If it really gets people sucked in and addicted to it like candy crush saga has done, but in a more competent in way, there is possibility. There is a lot of customization, and theres a lot of ability to upgrade within the game, so that higher level of sophistication and multiplayer is really important over the longterm, really has not jumped on fully the multiplayer bandwagon, which is, to my mind, the crucial mechanic which gives games longer legs moving forward. Much. Thanks so king digital still down after hours. Nasa is calling all smartwatch app designers. They requested a smartwatch app that could be used by astronauts in space. It needs to include an agenda view, colorcoded alerts, and warnings. Communications that is between the International Space station and earth and timers for astronauts to manage procedures and activities. Participants do not actually just a make the app, visual presentation of the user experience. Will begin to500 the winning design. That sounds a little low. Whatever. Tindere will discuss why is bringing back cofounder sean rad. And the fbi gets involved after a series of internet infrastructure attacks in me they area the bay area. Emily its time now for the daily byte, one number that tells a whole lot. Todays number is 10,000, how much at t is offering as a bounty about more than a dozen mystery fiberoptic cable cuts in the bay area. So far, they have no suspects, no witnesses. Theyve affected everything from reservations to 911 calls, but experts say they are more vulnerable to attacks and other infrastructure. In this case, it looks like the suspect just lived in a manhole, climbed in and nipped the cable. These kinds of malicious incidents are extremely rare. Another day, another cofounder returns as ceo. In the past year alone, cofounders of twitter, reddit, and zynga have returned to run the companies they helped create, and today, we can add tinder founder sean rad to that list. Release, a board member and benchmark partner said its only been a few months, but there was mutual agreement that it was not the right longterm it, and given tinders rapid growth rapid action seems best for everyone. We are hearing that this was not andted to the tweet storm the whole vanity fair incident. Its a little difficult to believe, but ok. Why are they doing this . Thats right. The company saying its not related to what we were talking about yesterday, but they say they are bringing sean in to help accelerate after chris was not really a great fit. They aresition where trying to monetize. They introduced a Premium Package users can pay for in february, and they are trying to build out this product they introduced they are in a position where they are trying to monetize. They introduced a Premium Package users can pay for. When you think about where the company is in its lifecycle, it seems like that could be behind the decision as to why bring rad back after this latest split. Emily lets revisit why he was demoted in the first place. There was a Sexual Harassment lawsuit targeting the demo at the time, who is no longer at the company. They thought a new ceo would help them move past that. Is this the right call . I love that you are asking an old married lady. We were investors in match. I will tell you that the dating landscape has transformed incredibly over the last 20 years. From what im told. I would not know. Mobile, and it has moved online, and tender and at the forefront of that. When you have Management Changes that happen so ugly and could have in simply it was not a bit. If im on the board of the company and i feel like the Management Team i have put in place is not working, the best thing i can do is call a spade a spade and move on. Then horowitz wrote founding ceos naturally take a long view of their companies work,e its their lifes but when there are complicating factors like this, is it the right call . Maha i do not know about this specific one. I completely agree with what he is saying, and i try to make that the case in all my companies. When you extricate a founder, the heart of the company can sometimes go away, so you want to keep some emotional connection and some thrust and energy in the company that comes from that founding base. Emily at the same time as the heart has changed, the valuation keeps going up and up. Barclays Says match group is worth 5. 7 billion, the whole derup, while tender tin alone might be worth 2 billion. The plants do an ipo for less than 20 of the Company Later this year, so that might give us a little bit of a clue. We might see some more granularity with what tinder actually means. To your point about adult supervision, when they did move position,ut of the that was some of the rationale earlier. Now you also have greg black coming in to take over an executive position. Hes the chairman of the massive group. Match all these factors coming into maybe assure the company has more guidance going forward. Be adult there will supervision. Do you know how much tinder is worth . Maha it is worth what people will pay. Thats the first thing i will say. Match brings the revenue. Tinder brings the excitement. Excitement will be when the traffic tinder is bringing starts to get monetized. What about the tweeps . It did make for some good nighttime twitter watching last night, thats for sure. Biggest unsolved mystery in addition to who will be ceo of twitter. Thanks so much. That does it for today. Thanks so much for joining us. John i am john heilemann. Mark i am mark halperin. With all due respect to mike huckabee, pork on a stick is not and should not be what is for breakfast. Greetings from Saint Ambrose University in davenport, iowa. John and i are in iowa straight to the weekend into next week, 21 of the major 20 to present candidates are in the state between now and next week, crisscrossing the state. They are here primarily for the state fair in des moines where we will be, and most of the candidates will be, over the next few days