We will be standing by for that. Looking at the markets, stocks rising to the highest level since february. This as a number of stocks including amazon and zoom continuing to rise because of extended shelterinplace and work from home orders. More earnings out this week, watching microsoft, intel, tesla as new cases are being set in states across the country including the first death of a child being reported in minnesota. This as the president , governors, teachers unions and parents battle it out across the country over whether or not schools should reopen. You have got u. S. Lawmakers starting to put together another Coronavirus Relief package this week. That is what our next guest is here to talk to us about, the cofounder of aol and the chair of revolution, with a new oped in the washington post. He talks about what congress should be focusing on. Start with your headline. You say the prepandemic economy is not coming back, not coming back ever. What about the new economy will be different forever Going Forward interview . In your view . Steve people talk about getting back to normal, but normal did not work for a lot of people. We were talking about having inclusive innovation economy, not just hacking into Silicon Valley but across the country. We need to make sure people from every walk of life has opportunity if they have an idea. 10 ofot less than Venture Capital last year. Population of course we need to be focused on every and reopening, but we need to imagine a new economy that works for more people and more places. That is what i Hope Congress will focus on. They did the right thing to stabilize it. Start, likeportant triage in the emergency room. Now we need to focus on moving forward and making sure we have an economy that we can be proud of that brings everybody along. That is why this that is what this legislation should focus on. Emily you travel the country looking at entrepreneurship trends. How many or how fast do you think this failure will be as we go into a second wave of the virus, and some of these businesses that have been trying to hang on say they cant hold on for another few months . Steve it will be tough. Even without covid, a lot of businesses go under every year. It is important to be planting the seeds of a new company, some of which will emerge to replace some of those jobs that will be lost. Before either the government steps in and we provide more support money for those that are struggling and people that are struggling and it is part of the solution or there is a focus on how do you launch those companies to create the jobs, not just focus on the existing industries of the past, but new companies and startups that can help create industries in the future and do it all over the country, not just in places like Silicon Valley. I hope there is not just a return to normal but an opportunity to create a stronger economy that is more inclusive. Emily you are asking for congress to prioritize smaller startups. I wonder how does congress identify or how does the u. S. Government identify who qualifies . There are plenty of small startups that make it promises, and they dont deliver. Even very intelligent Venture Capitalists working on this every day miss the big opportunities. How does the u. S. Government decide who to give money to end to the leave behind . Steve i dont think the role of government is to be investing directly in companies. As much as they did with the ppp program putting capital tied banks to make lending decisions, some of those should be based on what jobs can be created in the andre and it can be tracked the lows will be tied to how many jobs are in fact created in a sustained kind of way. Similarly there has been legislation for months ago by senator klobuchar and others to. Rovide treasury support our existing ideas out there. We need congress not just focus on the past but to focus on not just a business focus on the new businesses because they are the big jobs creators. The business, fortune 500 does not create a lot. The new companies, the startups are really where the focus needs to be. Not just Tech Startups but all across the economy, food and agriculture, there is a lot of opportunities to put back the next generation, we just need to do it everywhere, not just a few places and need to include everybody, not just a few people. Emily where are you putting your money to work . Where do you see those opportunities especially as we see this tectonic shift in how and where we work on what we essentially need to do our job . Steve revolution has three parts. A lot of time is on the Revolution Growth kind of later stage investments. We are doing a lot of things in a Company Called tempest in chicago, using big data to provide a better way to think about oncology. We have backed a Company Called scopely. Sector,any in the food fast casual concept, doing well. They had to shut down restaurants, accelerate efforts around delivery and pickup and expanded their menu. We have done things in elearning, echo 360, invested in workspace. Company called convene that has repositioned because the core business would have to be shut down, Virtual Meetings and hybrid meetings where people would be in the room, some will be virtual, some working from the office, so we are seeing enormous innovation happening from great entrepreneurs trying to imagine what the future will look like. We are excited about the future across all of the aspects. There are some examples of groups growth. We have invested a number of myrts Tech Companies and partner and i have worked together for three decades. Radar is another company in the Data Analytics space. Amazing companies we have had a real privilege of backing. Emily curious, since you mentioned that, what is your outlook given the uncertain return of professional sports or the Sports Industry in general . Steve ted is the expert on that. You will see people reopening. The amazing thing to me is a company like draft kings because things were shut down, still able to do a Successful Offering because people did see how the future would play out and how draft kings would become more important Going Forward. It will take time. We are stirring to reopen some of the museums, the first couple on friday. We will slowly open the others and we will have to keep an eye on it because as you have seen in other countries, sometimes you open and then have to close again. I think there is a risk of a serious second wave. A stronger economy from our people and more laces, this is focusing on existing businesses but not just new businesses that have these legislators emily as you are advocating for the government to support smaller businesses you have got congress scrutinizing the biggest Tech Companies in the world, the ceos of apple, google, scheduled to testify on capital hill. As somebody who built an Enormous Technology company, what is your take on this . Do these companies present a good case for being grownup . Steve im not surprised there is more a scrutiny of the big Tech Companies and also more a backlash, wrote a book for years ago called the third wave talking about how the internet policy i think we are now seeing that layout, facebook is the most visible company. This asy they will use an opportunity to take a step back and rethink some of their policies sulli can build on what an extraordinary success, extraordinarily powerful platform and make sure they are doing things that are constructive, not destructive for society. I will be interested to see what happens when they come to washington. Hopefully it will not be just a oneoff event but to educate policymakers on why they are doing something. We need constructive dialogue in Silicon Valley and washington, dc and other parts around the world. Policy is going to be front and center because it is critical to critical to many opportunities to innovate so we will have to have much more dialogue between the innovators and the policymakers. Emily on that note, i know you are an investor in top space, when hewas on our show pulled out of a huge partnership with facebook for this reason, he did not support the decisions they were making about speech on the platform and decisions about President Trumps speech in particular. Do you think facebook is making the right call . Steve i dont. When they announced they were pulling back, i supported their decision. It hurt their business because facebook partnerships could have been important. Hopefully will be offset by others rallying around the company and supporting what they are trying to do around digital mental health. It is important in society. The fact that hundreds and hundreds of companies have joined this and pulling advertising off of facebook hopefully is a wakeup call i think the company needed and i imagine they are reassessing things and hopefully in the weeks and months ahead, there will be some announcement from congress. They will be more forward about trying to make sure they manage their platform in a responsible way. Emily do you think facebook should be flagging these posts by President Trump that seem to be advocating violence on the American People . Will not get into specifics because i dont have all the facts. They took efforts and put together a group to review content. They need to continue to look at ways to innovate. I dont with this 25 years dealt with this 25 years ago. We dealt with a lot of these issues in terms of speech, the first litigation around this 230 rule. I understand the complexity of the subtlety. I dont think having quick answers and limited facts is the way to proceed. Itre is a lot of people, and is not just a business versus government issue. There is a lot of people that think while the respect facebook and what they have done, it is time to take a step back and do things differently. Other platforms like twitter have become more active in that space and they are shouldering the responsibility when your in a company that has such a profound impact on our everyday lives. Little was always based closer to washington. I wonder if you think the newer generation Tech Companies could be doing a better job managing the relationship, because the scrutiny is not going away anytime soon. Amazon has been working towards a Second Headquarters in Northern Virginia close to aols old neighborhood. Who knows how quickly that will develop given the trend towards working from home. I wonder what your outlook is on the general relationship of these companies with the white house, whether it is republican or democrat in office. Steve when i wrote the book, i talked about the first wave in aol and others leaving internet, building on ramps, getting people connected. Policy, it was illegal for consumers or businesses to be on the internet. It was restricted to government and institutional use. Policy was front and center. The second wave when it was about the software and Apps Services riding on top, policy was not that important until the Companies Got really large and started having to outsized. And in the third wave when the internet is meets everyday life, food and agriculture, smart cities and Financial Services and education, all kinds of Different Things that will be fundamental changes in our everyday life to big sectors in our economy, policy will become important again. We as people do want somebody to make sure the drugs we are taking or the medical devices we are using our safe. We want to make sure are safe. We want to make sure drones are helpful but dont create harmful impacts. Policy is becoming more important and it will only increase in the next 10 years. The critical challenge is to make sure the innovators and policy makers are having that dialogue for the policymakers dont overly regulate, despite what might be possible or the innovators dont overreach and create problems around big brother privacy sorts of issues. It will be tricky but we will only get to the right place if we have a constructive dialogue with both sides. Hopefully the discussion is happening even though they might be focused on Big Companies and antitrust issues. Hopefully that leads the way towards a much more engaging and consistent dialogue around how to drive innovation to make sure the United States remains the most innovative as we move into the third wave and deal with all the implications and hopefully going back to the beginning we can do it in a more inclusive way so people all over the country, we can access the capital and start to scale those businesses, great job so people have more reason to be hopeful and optimistic about the future. There is a lot of work that can be done as we move beyond beyond reimagining to create a new kind of capitalism and innovation economy and leave the way in this lead the way in this third wave. Emily you make that point in your oped we should be giving special attention to women entrepreneurs, people of color. I appreciate that. The cofounder of aol, founder of revolution. I love your perspective on all of these issues. Ibm, withlk about results out after the bell, Second Quarter earnings beating estimates on serious boost for cloud demand. We will bring you the latest. This is bloomberg. This is bloomberg. Emily the stayathome trend roared back today, the first day of the week after a rough week last week is sending the nasdaq to the best gain in three months and pushing one measure of momentum to its highest point in decades. Joining us to bring it down, Abigail Doolittle who has been following the market. Shined. Zoom, huge divergences. You have the s p 500 closing up. 8 even as eight sectors closed down. Consumer discretionary, tech and one other in fact, you can see the nasdaq 100 surging up 2. 9 , a record high. This after all of the tech weakness, the faang stocks near 4 , you are mentioning amazon, losing up 7. 9 after 7. 4 last week. Not a picture of stability. Goldman sachs raising the price target to 3800. Onhing fundamentally changed amazon. The fact you have analysts and investors and traders willing to evaluate so differently today is stunning. That was really the big mover of the rally. On all of this we still have volatility for the nasdaq in terms of the mega cap names higher. Take a look at the nasdaq, holding the 200 day moving average. There are reasons to see, think we could see a burst of volatility to the upside but not so much today. The strength of the stayathome stocks. Emily we are waiting for the spacex launch to happen, scheduled for the bottom of the hour, nine minutes from now. Fingers crossed it goes through for the top of the hour, now moving to a half hour. We have been taking a look at space stocks. When i started on wall street, if you told me about space stocks i would not have been able to believe it area there is space etf. This is geared towards defense, anything related to space, siri, dish. We have boeing. Bitcoin apparently realized things it could do better, satellites, we have another rocket Aerojet Rocketdyne holding. Pure play, best Virgin Atlantic down. As the spacex launches going to be happening, interesting for sure. Emily all right, thank you so much. Your dream come true covering the space talks. Thank you for taking the time. Launch eight minutes from now. Want to get to ibm thomas ibm, shares spiking after results on strong clouds. Julie with now from morningstar who joins us on the phone. Lock us through the numbers and what walk us through the numbers. Ibm had a great quarter given the circumstances. While ibm have not given guidance for the quarter, just because the pandemic related uncertainty, they have beat market consensus with revenue and nongas etfs. Softwarek out to us is sales were not as bad as we expected. Which indicates it is Customer Based the Customer Base thinks of large over scales as a priority more than we thought even though these projects could be postponed post covid19. That being said it is important to note in the Second Quarter acquired, ibm had not what it had yet. Fromoveryear, freed in that addition. Emily ibm was in a unique position and pass the baton from the old ceo to the new ceo in the middle of the pandemic, how do you believe the new ceo is performing so far . I think he is performing well. Given the circumstances and earnings reflect that. In the longterm, the fact that he was, i do think despite the change it is not going to have much of an effect on the strategy. Cloud they have been making the proper moves and making a lot more offerings available on computing platforms. All in all he is doing a good job. Ibm. the new ceo of what will you be watching the next quarter . Like this work from home sheltering in place is going to go on for longer than we had expected. What does it mean for ibm . Steve when everyone is watching with shelterinplace is whether, just cautionary revenues from customers will be delayed further. There are a few things i will be looking or on the earnings call. I will be looking at how the Digital Transformation business performs in the quarter if we see the Digital Transformation revenue is improved. I think that would be an indicator that ibm as a whole will be recovering from the effects of the pandemic, that companies are getting more into that Discretionary Spending that we thought. Of course we will be looking for hat. Detail on red hot the crossselling opportuni