Camera you we will hear from the ceo. Apple is already facing production delays for the topoftheline iphone ask. Report say makers of the components using facial recognition are struggling to reach adequate production levels. Report we know from the yesterday, there were problems with the three sensors. The wall street journal cued off that. They project the infrared interface which maps your base for the apple 3d facial ricky Edition System that they have, we dont know the extent to which how many phones are on the shelves. To what extent do we know how all of these things are going to impact supply . 10th of back to september. As far as i know, they staggered the release. The iphone 8 is already on shelves in you can go out and buy one right now. Sixweek window until the iphone x, we knew there were some problems with the screen. Those delays were taken into account when they made their projections. We dont know to what extent the 3d sensor delay was taken into account when they said the release date would the november 5 if thats the case, they have nothing to worry about. If they did, they might be in short supply come that day and they will not able to meet demand. That might the unfortunate. Emily could this be why the release was staggered with the iphone 8 last week in the iphone x not out until november. There are only a handle and full making these displays which give at the sharper display for the iphone x. There had been some problems with the three sensor. We were not aware of the extent , wehe issue its going to are looking to see what case is. You have all of these different components that are piece together to make the three sensor package itself. The Sticking Point seems to be there. The delivery of those components, they are doing ok. , thosee Module Assembly seem to be the basis of the issue. Emily tim cook was the supply chain genius. He probably knows more than anyone. At this point, theyve been working on the phone or years. Why wouldnt they be able to stop while some of these components . It speaks to the fact that people have been worrying were a while about the extent to which they are able to deliver blog luster advances in smartphones grade they are trying to push the envelope and get the Tech Knowledge he available. Technology available. It is the best smelling selling smart own in the world. They are trying to do this cuttingedge technology. A lot of these companies are not yet at the stage where they can deliver all of the components necessary. On some of the Conference Calls over the past couple of months, they have big x editors to ramp up reduction and meet the demand. That has not been a success as anticipated. Emily all of this is coming at the same time that the iphone 8 is out and people are complaining about features not working. How could that impact sales . There is always a little bit of that. Usually, most of it is solvable with a software patch. The lodge had some connectivity issues. There have been some problems of crackling audio. Awful apple has said they will be able to remedy it with a Software Experience i would not worry much about those things. The supply is a much greater concern. Emily amazon has found its hardware calling the echo. They unveiled a number of new products, and putting an Alexa Smart Home of. Revamp shows the tech giant will not back down on the likes of apple or google. We are joined rum seattle. From seattle. Is amazon stepping up to the plate and heralding itself is a major player. It is no longer just apple and google. Saying they are here now and they step up their smart home game. They have several new echo speakers are in. Emily you review these products are in how does this stack up to google home and what apple is planning to unveil in december . Google has their home speaker, its the center of their world. Vehicles their home pod speaker coming out in december. Around those products, have other devices rated apple has the apple tv and the iphone. Andle has the pixel phone their tv products. What amazon is saying is we are going to make the smart home our category. We are going to take over every part of the home. Not only do they have a smaller speaker, they have a new highend speaker that lies you connect to appliances in the network. They have a new fire tv product and a new echo spot. That really stole the show. It will have a 2. 5 inch screen. From itget video calls and watch video and listen to music during music. With smartoming out home devices and speakers for all parts of your life. You alluded to the bmw partnership, they are trying to stick alexa wherever you are. Emily do you think we will see more partnerships in the future . This is the third one. If they announced volkswagen and ward at the beginning of the year. We have not seen many new models with the alexa functions. Bmw was on stage at the event today. They talked about how some of the new cars will come out in the middle of the year with alexa. Will someone i knew car just because it has alexa support in it . I dont think its going to drive sales. It certainly is a big win for amazon been able to get somebody. N their home driving home they can just say, alexa whatever and they can buy it through their car. Its a big win or amazon. Emily it certainly has the cool factor. Alexa still gets confused sometimes did it seems the Voice Recognition as a long way to go. Have they addressed that . We saw a lot of new optionality on the developer side. They introduced a lot of first already onyx. In terms of functionality, they are relying on third parties. Thermostatsghts and that you have your home. There are new ways to integrate your life, there are new echo buttons that have games that connect your home speaker the a alexa. Stuff theylot of ai are working on. Emily they are teaming up to develop self driving cars. They will share data to develop a system needed to design affordable driverless automobiles and get them onto local networks. Inrds rival bought a stake lift last year. Those two companies are still considering other options to expand ridesharing. O opens up ellen pa about her fight in silicon valley. This is bloomberg. Emily best known as the manufacturer of vacuum winners will hold an electric car by 2020. They are investing 1. 3 billion to develop the car, plus batteries to power it. It would the radically different from those being designed by other carmakers, including tesla. Continues to make headlines. She had one of the prominent cases of its kind. She helped start the conversation of gender on it. She has written a book about her experience called reset. I talked to her about rehashing things now. Ellen so many women and men came up to me and told me how much my story had inspired them, and how much it aims them comfort in the experiences they had. I wanted to give them all the facts, give them the whole story and see if i can help other people through writing the book. Over time, give the inspiring ending to what was a terrible experience, that you can get through all of this and continue and have a career and move forward and try to change the business world. Emily you wrote that though a lot has not changed, the one thing people acknowledge is sexism and the injury. Injured industry. Ellen its hard to say. We have changed the conversation. If no longer are women forced to defend themselves, its much easier experience for people to say ive been harassed discriminated against. F people believe it. If it hadnt been for the women who came after me and shared their stories, would we be where we are today. I think somebody lay has a much utter shot her in. Emily we have seen so many allegations in Venture Capital, at mover. If has any of this surprised you russian mark you . Ellen most people familiar with the highest level of tax and Venture Capital have heard the stories. So many people now have come forward. It started with a bunch of women who came forward in the last two years and with susan fowler coming out with such as civic blog post and being accepted and haseating taken down, that opened the door and change the conversation in conversation. Emily travis has resigned. What went wrong at mover . On, i dont know the details. You get this culture and you want to push and make the rules. That ends of not limited to the business side. It goes into your interaction with them toys and your peers and the people who report to you. You dont think the rules apply and you do whatever you want. That breaks down. Doly what responsibility they have, i dont know what it is. Ellen i think they have a huge responsibility. The investors have a responsibility for letting the Venture Capitalist run wild. Guardingt the thoughts the hen house. You have people who dont have been hands who are trying to manage people and tell them youre not supposed to do these things when they are doing them themselves. You are a board member, you have a huge responsibility to the employees of the company and the other shareholders to make sure the company is operating within the bounds of the law and the culture will be respectful. That is diverse and inclusive, that has better financial results. Emily you go into detail about the boys club environment, not just sexist jokes but racist jokes as well. Can it be fixed . Ellen i dont know if the Bigger Companies and the older funds can be fixed. I know that walking through the areess, capital teams committed to diversity and inclusion and they want to include everyone. They are tied to the community and the customer and theyre going to build the vast roddick. I have a lot of hope. The next generation of company that is successful will have this inclusivity across all of their act entities. Activities. I dont know about the ones that have been around for a while. Change that attitude western mark attitude . Emily youre referencing a comment made a few years ago. They have one of woman partner now. Do you think these maledominated firms, are they going to be surpassed if they have the best returns and the best reputations . Ellen i know a lot of women and people of color who will not meet with them, they dont think they will be treated rarely. If you look at the language, i am lowering the bar to bring in people from different groups, they dont think women or other groups are equal to the men they typically invest in. Somebodyu work for like that and let them invest in you and get the same out, as other people . Emily that was ellen pao. We will have more from our conversation with alan later in the show. Its medias broadening coverage as president , trump calls out the company for fake news. China has a new warning for whatsapp. Facebookseans for inroad into the country. This is bloomberg. 0 facebook has success writing fighting think news. They launched an effort to newat phase news, with things. The right wing in germany made gains in the election, they said in a blog post that these actions did not eliminate misinformation entirely in the information, it did make it harder to spread. The level of false news was low. President trump is taking aim at the social make what, saying they were always antitrump. Facebook will turn over the 3000 political ads that were taught with russian money in the president ial campaign. To will it affect the push attract advertisers . Facebook is making an aggressive push to take away advertising dollars from tv net works. If there is a lot of publishers that are producing content for that. Big push,ere this is 70 billion market or television advertising. Facebook wants a piece of it. Networks, they have the lions share of that. Emily are they concerned about the news and the russian issue . Absolute. Advertisers are extremely conservative, they are concerned about their brand. Youtube had a problem with that earlier this year. Advertisers are very concerned about their content showing up alongside fake news as well. Isi am hopeful that facebook successful in shaking some of that money out of television. They are making content for these platforms in advance of the money showing up. It always lags consumers. Over the next three years, you will see money start to move more and more from tv into where people are spending time, which is mobile specifically. Emily how much is left over for Companies Like you . When you look at how tv has traditionally and bought, advertisers are buying from the cable networks. In digital, you are buying from the plot forms are other than media brands. That is problematic as a media brand. The shift is happening now. Google and and snapchat and twitter are looking at that 70 billion, they want to place more value on premium content. That is so important to advertisers. They start to have to share some of that high. That is what facebook has done. They are starting to pay content creators. They are doing more to share advertising. Also, the competition between the platforms is important. When youtube was the only show in town, publishers had no leverage. Now with multiple forms impeding, its a good time to be a content creator. There is going to be a huge business. Show you guys have a called the come back get it. We have 24 shows. Emily what engagement are you seeing . Come back kid is the number one show on race book watch. Views per million episode. To almostld that up anything in linear tv. All of our shows are not the number one show on the platform. Collectively, we have had 100 million views, half a million followers to the shows. Tvs the Linear Network version of tivo. Andre building up fan bases growing engagement. We are pleased that the early results. This is going to shake out over an extended. Of time. Emily do you think the Traditional Networks will embrace Facebook Watch . I think its waitandsee. You talked about trumps and Media Companies colluding, my conversation with Media Companies is collusion is the farthest thing. They have frustration with facebook in terms of the content. There is some frustration they are not getting the financial terms they hoped for. It seems like facebook is made an effort to reach out to the Journalism Community and the media community, to try and really meet their needs. Facebook is starting to come around. The idea that they are colluding together is actually kind of funny when you consider there is real tension there are in there. Emily they are expanding the character limits on tweets. We will examine why. All episodes are Live Streaming on twitter. Check us out weekdays. This is bloomberg. Emily welcome back to best of Bloomberg Technology. In a bid to expand its user base, twitter is testing a product change having to do with its famous 140 character limit. The company explained we want everyone around the world to evenly express themselves on twitter, so we are going to try to longer limit, 280 characters. We spoke with selina wang and david kirkpatrick. With a small percentage of users globally, they can use up to 280 characters. That is twice as much as the current characters allowed. This is a big deal. A lot of users see the 140 character limit as the defining characteristic of the platform. I have been monitoring twitter closely. Aere is a lot of backlash, lot of emotional response to the change. People saying this may have an impact on the brevity, the concise nature of the platform. Twitter faces this problem where they simply are not growing users. By making it easier to send tweets or you dont to think about condensing into 140 characters, they are hoping more people come back to the platform day after day. Emily this idea has long been banded about. 140 more characters for President Trump . I think of Marc Andreessen creating the tweak storm tweet storm. I think its a good move. Virtue in concision. The real insiders who think they help create twitter are going to be disappointed. If they want to be a mass service and grow considerably beyond the they are today, they have to keep making it easier to use. This is a step in that direction,. They are having trouble gaining advertising revenue off of monthly active users that are stagnant. That is a huge red flag to investors. They are hoping an uptick which show that is a longterm, stable half of the Company Going forward. This is going to allow donald trump to now have twice as much room to get his tweets. He has been a boost to twitter usage, but not enough to move that number up, even after the election. Emily i wonder what doubling the number will do. Is it really that significant of a change . David i know there are many times when i find it is not enough space. For me double that space would be enough to Say Something in english. It is still enough to have a real sentence or two. I think its a good move. I think it will make it easier. Emily what else does twitter need to do . David i think so many of us have been flummoxed trying to figure out what twitter should do. The bestknown company, the bestknown product that cant really seem to become a commercial success in a big way. It is clearly not going to go away. There have been Many Companies said to be interested in buying it. Disney, salesforce. I think its possible Something Like that could make sense. It is almost like a global or national treasure. We cannot let it go away. The president s use is an automatic of the fact that every political leader uses it to make a public statements. It is critical in a crisis like a hurricane or a flood. We have got to somehow maybe they should start charging. I dont know. Emily what do we know about how long the test will last . We dont know all the details yet. I expect it will last several weeks. If the initial results go well, they will probably roll it out to other users. When i spoke to the company, they are doing this based on previous research. An interesting detail about this test is it is excluding certain linkages, including japanese and chinese languages including japanese and chinese. You can express more in fewer characters. They have this Interesting Data point. English reachin the maximum, but only. 4 in japanese reach that point. They are seeing that. That it will be the same thing in english. Emily bloombergs selina wang and david kirkpatrick. A new warning from chinas government to Facebooks Whatsapp messaging service. The service should act to stop the spread of the legal information and take proactive measures to intercept information regarding terror. Whatsapp service was interrupted in china. Stephen engle joined us from hong kong. Stephen often times when you are reading the different rules of the great firewall of china is about speculation. Is my service blocked, slow, happening . What is happening . We got a statement from the Cyberspace Administration in response to questions posed by bloomberg news. They came back saying whatsapp needs to act to stop the spread of illegal information in china on the whatsapp platform and must take proactive measures. Basically to do with the are wechat toquiring do. Whatsapp is the last many service by facebook that is available in china. We have a having intermittent outages. In july, users reported including myself i cannot upload photos or videos. Sunday and monday outright outage, including the text messaging part of the service. All of a sudden on tuesday the service came back on. This is a clear warning from the authorities they are watching and perhaps they have found a way to get around the endtoend encryption that whatsapp has employed. Fines be on the way for whatsapp or facebook . Stephen yes, they could obviously fine them. The Cyberspace Administration is cracking down on tencent and others because they have just in the last week or two levy heavy fines for various violations, including the alleged spread of propaganda and terrorism material. They are really cracking down ahead of the Party Congress that starts in three weeks from now. Of a question is are these temporary measures that they had , orre the political powwows is it lasting enforcement that would go on for years . Emily are there other messaging services benefiting from this disruption in china . Stephen there is whatsapp wechat, the big one. That is the dominant ecosystem. There are several versions of waibo. Alibaba has a few of these various messaging apps. They use one for traders to communicate. Has mimi. A telegram they came from a lot of the bitcoin groups went hatr to telegram when wec groups are being cracked down on about talking about strategies to getting money to overseas wallets. Wechat is the dominant one domestically. Emily do we expect more disruptions as we get close to this big communist Party Meeting . My oneword answer would be yes. Emily that was Stephen Engle from hong kong. Somegram has rolled out new changes to combat harassment. They will give users the option to limit those that can comment on photos the people they follow. Instagram is also expanding its comment filter to four more linkages, arabic, french, german and portuguese. Coming up, more on my conversation with ellen pao and her time as interim ceo of reddit. Cisco pro is betting we will hear from the ceo meg whitman. Nick woodman. That is next. Emily toshiba has signed an agreement to sell its flash memory group. 18 billion. Among the firms in the consortium, apple and dell. Now to my conversation with ellen pao. After she lost her historic gender discrimination case, should begin interim ceo of reddit were to make all the controversial moves to crack down on eight months and she was forced to resign. I asked her what happened. Ellen a lot of change had to happen. He came in a couple of years before i did and try to transform the company. It was a small startup with mostly white men, started by two white men. The culture was very strong of exclusion. He brought in different people. All the women kept getting pushed out. In 2013 up joining and worked with him to make change together. This is a group that did not want mobile. Very conservative, very locked into the product as it was. We were trying to bring it into reach more people, have more conversations. I think the change was really hard on the community. It was heart of the employees. It took a lot of effort to get to where we got at the end of that. Emily you made an effort to cut down on hate. You banned several of the most hateful subreddits. There is some evidence to show it actually worked. They had significantly cut down on hate. The you think that Online Harassment would be such a had beenf for women involved in designing the system in the first place . Ellen i think underrepresented women of color were involved in higher levels, it would be completely different. The people who get harassed the most and understand how the systems work and see all the intothey gets distorted ultimately presenting a certain view and having that dominate the conversation, and if you cant come at it from that minority small group perspective, it is hard to see happening going on. Emily i would twitter or read dit bedifferent . Read different . Ellen there would be different rules. They would take on the content faster and banned more people in a more consistent way. It is hard when you dont put enough resources because of problems scale with the user base. If you are not putting in the framework and not putting in the tools, it gets out of hand quickly. Emily how much hope the you have for twitter . 10 years in, can they get their harassment problem under control . Ellen i know they are trying and it makes them a good mental improvements but i do believe it is going to take a lot of work to get rid of all the harassment and make sure everybody feels conjugal participating in the platform. I think they should ban donald trump. He has behavior that is very counter to the terms of service, yet he continues to be given a huge platform to dominate and to encourage more of the same bad behavior. Emily you think twitter should ban donald trump . Ellen it is not just me and with good reason. Emily what is the reason . Ellen he is harassing people. He threatens people on the platform and uses his influence to get people to harass other people on the platform. Emily what about people that say free speech . Ellen it is such a red herring. There are many reasons why people say free speech. It is an easy thing. We saw on reddit when you allow free speech it is the people dominant on the platform who can bully everyone else off. Theres also the issue everybody limit some speech. Ban certain, you types of harassment. This is just driving the rules to protect people from getting harassed off the platform. You can have as many voices a possible. Free speech is to allow everyone to be able to have a voice, a conversation. If one group is pushing everybody else off, you can have this free speech platform by their are not many voices or opinions being represented. Senatorda jackson canada jackson is Hannah Beth Jackson is introducing a bill. Think legislation can solve this problem . Ellen i am hopeful. Everything else has not solved it so far. I think the shaming is helping a little bit. People coming out and saying this is not acceptable. You cannot go into an airplane and experience what im experiencing, talking about sex , porn, that is not acceptable anymore. You know that and you should change your behavior. It is not changing quite yet. We need Something Else to help. I dont think theyll be the one thing that prevents it. These people do think they are above the law. You need to keep wishing that Public Perception and telling the stories. The most impactful thing is always women telling their stories. Emily you mentioned the porn obsessed ceo. You do not mention his name. If they come up in the trial. What else did you leave out . Im sure there is a lot you did not put in there. Ellen i wanted the book to be as fair as possible. Maybe he had an off day. Ted i just dont know. I didnt want to have this one incident, this one experience for five hours be the way i portrayed him to the whole public. I think i tried to be fair. Key peoples families keep people families out of it. No collateral damage. You have people who are the protagonists and you the main people i interacted with and who helped me back and were held me back in holding other people back. Emily gopro got a big boost last month. Now we get a good look at the device and hear from the ceo nick whitman. If you like bloomberg news, check us out on the bloomberg xm. Io app and on sirius s this is bloomberg. Emily gopro is calling their new hero 6 camera the best ever released by the company. It boosted thirdquarter guidance and could be the key to the camera makers turnaround. Selina wang spoke with equipment nick whitman. Nick gopro has to keep coming up with new products that excite consumers. I think we did that today with hero 6 black. Black is far and away the most capable and easy to use gopro we have ever made. Fusion pushes gopro into a totally new market, with 360 spherical cameras. We think this will play an Important Role in the future of how people capture and share themselves. Fusion is the first new product. We also made important advancements with karma, which now has a follow me function. Gopro ise are showing continuing to innovate and continuing to excite consumers. Selena these are new additions to the product line. How else will we see it of all beyond the traditional action cameras . Nick a big part of gopros future is we now see a gopro as an untethered lens for your phone. What we mean is a gopro now automatically copies any new photos and videos you capture over to your phone. The gopro app creates a video for you. It is like using a separate untethered lens that offloads all its footage to your phone. Really a gopro is the ultimate capture complement to a phone. As we think of ourselves in that way and think about new types of gopros and untethered lens is, we think we can radically expand our market. Selena smartphones are Getting Better and durable and waterproof. What is your pitch to those consumers who say we dont need another camera . A phonell, i think that is a phenomenal camera. It is often in your pocket. It is right there reactively when you want to film somebody or Something Else happening. But there is a lot of activities where you go with the pulling your phone. You want to be more in the moment. You also dont want the film somebody else. You want to film yourself. Gopro, with its untethered length strategy, we think we can make lenses that consummate somebodys use of a phone but not require them to pull the phone out or even have the phone on them. Selena hero6 is using a customdesigned processor for the first time. What types of challenges are there with making this yourself . Nick designing and developing a processor with a partner as we did, there is always risk involved. There was also a risk that when you are reliant on others innovation and ingenuity that they put into their own work and processors. We found what we want to do with hero6 black we could do with any other processor on the market. We had to develop our own. We had cost targets for the product. If we had been able to do this with somebody else, hero6 would have been more consumer. Atwere able to deliver hero6 a lower price point and hit performance levels that would have otherwise been impossible. Selena last year when been a challenge was pretty challenging from a technical standpoint. There were product delays. What have you learned from those experiences to make sure the rollout is seamless . Nick we are doing fewer things better. In previous years we had other businesses we were running, like our media business. We had many programs going on and products consumers never saw our targeted towards professionals. We cut all of that and focused gopro on what it does best and what our vision and mission is, to help people capture and share their lives so they can celebrate the moment in a way they just cant with any other camera. Selena being a hardware coming is difficult. Gopro shares have fallen dramatically since the ipo. What are investors missing . Nick that we are growing again. 2016,evious comp of people think unit sales are way down, volumes are higher. What they need to look at is that volumes of our Premium Products are growing. We are selling more of the products that matter and the products that have better margin for gopro and make us more profit. Gopro is healthy and growing. I think investors are starting to take notice. Selena lets talk about drones. Has superior features and price point. How much of a revenue driver do you see drones becoming for gopro . Nick we are really excited about drones. Karma is doing well. Its a phenomenal accessory for the community. It is very versatile with a detachable gimbal, how it attaches to the grip. Our customers really like that flexibility, that versatility. Karma continues to get better. Today we announced follow me features and a lookup feature that allows carmen to film what is above it, which is unique to drones. We will continue to innovate and advance our drone offering into what comes after karma. Emily that was nick woodman. That does it for best of Bloomberg Technology. We will bring you the latest in tech throughout the week. Remember, all episodes of Bloomberg Technology are Live Streaming on twitter. That is all for now. This is bloomberg. So new touch screens. And biometrics. In 574 branches. All done by. Yesterday. Banks arent just undergoing a face lift. Theyre undergoing a transformation. A data fueled, security driven shift in applications and customer experience. Which is why comcast business delivers Consistent Network Performance and speed across all your locations. Hello, mr. Deets. Every Branch Running like headquarters. Thats how you outmaneuver. Carol welcome to bloomberg businessweek. Julia clear inside the headquarters in new york. Carol more details about the crisis in puerto rico. Julia Steve Bannons crusade in china. Carol what it is like living next to americas number one investment fund. Carol we are with the editor in chief megan murphy. In opening