Upcoming star wars film. First a look at the markets. Wall street seeing a sharp sell off today adding to significant decline for the week of around 3 across the board. One of the weeks biggest losers is netflix. I want to get straight to matt miller in new york. It is like a bad movie. First it seems like things are coming back around and then it all goes back down again. Matt exactly. We lost 500 points on monday and it looked like we were going to gain it back by the middle of wednesday. However, that turned around and now were down for the week about 560, 550 points. So pretty rough on the s p as well. A drop of 3. 4 for the week. And netflix has just gotten absolutely crushed. I mean, its not fair to say the stock has been completely destroyed since year to date its still up more than double. But it is in, officially in bear market territory, since its come down from its august 6 highs more than 20 . A lot of the problem is competition here. I mean, so much talk has been about apple and apple making its own content and that could mean it takes a bite out of netflix lunch. But you also see ali baba getting involved in the same kind of service. You see hulu Offering Different Services like commercial Free Television services for 12 a month. So competition coming from every area. And then analysts started to pile on. We had some analysts say its time to short the stock. It has had a fantastic run so far. As a result, it just was down, down, down every day for six or seven days in a row. Emily also, matt, were seeing netflix doubling down on its original content strategy spending more not less. They ended their contract with epics. You wont see movies like the hunger games on netflix anymore but theyll be spending more on making this original content with people like brad pitt. I certainly dont have a problem with that. But obviously investors may. What do you think happens monday or tuesday . When the markets reopen . Matt to be fair the hunger games is pretty awful content but very popular content. So all the kids want to see that. Brad pitt is like older than either one of us. So maybe thats not the right way for them to go. Monday is still a holiday in the u. S. There wont be any trading in netflix on monday but the interesting thing for the markets at large is over this past year when weve had a chinese holiday markets have rallied into those holidays because were happy to not have the stress of dealing with the chinese market. When china comes back online as far as trading, we have historically fallen here in u. S. Markets. So maybe we could see a little bit of a bummer on tuesday depending on what goes on in china. Emily . Emily all right. Well be watching over the holiday and on tuesday. Matt miller in new york, thanks so much. Have a good long weekend. Now, to a story that we are watching, google is said to be prepping a version of its Google Play App store for china according to a report by the information. The internet giant is expecting to have approval from the Chinese Government as early as this fall. Additionally, the report details googles efforts to finalize a version of the android operating system for wearables in china but, more importantly, this could be, prove to be the beginning of a new chapter in the companys relationship with china after it publicly feudd with the Government Back in 2010 and then basically left mainland china. Today is not only friday but force friday in anticipation of the release of star wars. We got a chance to take a look at the hottest droid in the Star Wars Franchise. Our bloomberg editor at large spoke to the maker of the bb8 toy. Bb8 is from the new star wars movie the force awake eps. We were working on our version. Its a robotic ball that rolls around. Essentially, bob, a mentor to the Company Actually saw this thing and said maybe there is something you can help me with. He showed us stills from the set and said, could you bring this bb8 to life . What is he doing right now . He is in what we call a static mode. Though it is static he is aware of his surroundings. You control it with your iphone. Right now weve got a program to kind of emulate what i just described. So look around. Where am i . All about conveying personality. He can go on patrols and missions around your house. He there is no camera. Its all Just Software that we created a program to emulate what that would be like. We like to think this is as close to an actual droid that you can buy. If you hold this up and kind of click there and you aim the little circle on him you should see a reality video. Do you see that . Imagine sending messages like that. All of a sudden youre using the robot as a form of content distribution that isnt really being done right now. Our challenges and adventures to create something that felt exactly like it was real. Emily joining me now in the studio adam wilson cofounder of sphero. Thank you so much for joining us. Before we go any further i want to tell everyone that this episode is being shot live with go pros. Our floor director jen is wearing a gopro on her chest to catch all the action. No pressure, adam. Just a few extra cameras on you. Adam i love it. Emily you got good news. This just came out last night. Sales are going great. Adam sales are incredible. We did the big force friday opening at disney store in san francisco. They opened at 12 01 and there was a line around the block and we asked everybody what theyre looking for and a lot of people said the bb8 droid youre making. The sphero bb8 droid. Right now it sold out on both disney. Com, our website, most of the in stores that opened already. We know that apple will be getting their shipment of this for the apple stores on the 10th so when they reset for whatever they announce on the 9th they will also have bb8 droids. Emily how did you come up with the idea of a robotic sphere . Adam we came up with that about amb years ago. We wanted to make something indestructible, super cool robot, something you may never have seen before. We wanted to change the way people see robots. We see them as these utilitarian things that just do something for you. We want one thats fun, your friend, something different. Emily tell me about bob eiger. What kind of input has he given you . How did he get involved . Adam last year we did the tech stars Accelerator Program for startups like ours. We met with bob eiger, a 15minute meeting with him. It was a match made in heaven. He really soaked into what we were doing. He saw we were trying to embrace robotics in a different way and entertainment type of way and so after that he was like i want to become your fulltime mentor. Emily take a moment to show us how it works here. Adam sure. Emily tell me about the processing of developing the bb8. Adam this has been a crazy process. Making a hardware product in 10 months to be on the shelves is really challenging especially one that goes through this much work and approval just because, you know, we really wanted to focus in like this is the droid. If you watch the movie youll know this one is very realistic. I just have it controlled through Bluetooth Low Energy on my smartphone so i can drive it around and it can kind of look at us, he can drive around, patrol on his own and do all the messages we saw before. What is really cool is he is also a real robot. You can program this and kids can learn to program on this. Emily financially what does it mean to be part of the Star Wars Franchise . Adam financially once we started we knew we were going to make this bb8 droid it became very obvious that were going to need a little more investment to make this product. We have to buy everything up ahead of time. So just financially we got a 45 Million Investment right before making this just so we could build enough of these. Emily youre going to make a lot of money on this. Adam weve already out sold and out done anything we could have imagined. Emily well be watching. I am excited to play around with it a little bit later. Thank you so much. Adam thank you. Emily may the force be with you. Adam you too. Emily coming up well show you how Virtual Reality is being used in journalism to translate viewers straight to the story. Google revamps its street app. Now you can be a contributor. Well be talking about all of these hot new action cameras. Emily we have breaking news. Yahoos chief accounting officer emily we have breaking news. Yahoos chief accounting officer is leaving the company next week. Hell be replaced by ken goldman currently c. F. O. And ken will serve as the companys principal accounting officer. Well have more on this story as it develops. A lot of executives shakeups at yahoo since marisa meyer took over. A new way to see the world, google has revamped its street view app giving users a chance to upload your own material and help google fill in the blanks stitching together a digital picture of the world. Google wants to expand beyond roads adding wilderness areas, building interiors to the platform. We sat down with the google director to ask where Virtual Reality fits into the Bigger Picture of googles products and services. To make imagery front and center. Make it delightful to browse from one place and discover new things. We hope that by making this delightful we will encourage more contribution and sharing of imagery. If you look at just roads, we have only a fraction of that but we dont care just about roads but places, interiors, parks, wilderness. We want to let people experience the worlds beauty everywhere. We cant do it ourselves. It is impossible. We need people who are passionate about places to help. We want to encourage kind of a system of cameras. We make it easy on them. We have published an api for talking to these cameras. We have also a few years ago published a spec for metadata and images to explain when they are panoramic and we find that some users already are capturing very high frame rates. We think over time this will develop. I think one of the pillars is world travel. I think with streetview we are we are ahead of the game. We can make it friendly. Already we have some content and we are interested in getting more. Emily now, that was all shot with a satas and i want to take a closer look at that right now. This is a Third Generation by the way. This model has significant improvements. Joining me now rico imaging americas president jim malcolm the Company Behind this camera. Youve got all the products with you, the new cameras, the Third Generation of the camera. Records full video all for 349. How does it work . Let me give you the quick, easiest way to do it. Basically weve ballot camera with two lenses. Each looks in an opposite direction. With that we can see a full spherical world. Everything above and below you. I have the camera on now. We can look around and see easily how we can pan around. When im ready to take a picture i just push the button and it takes the picture. It stitches inside the camera and transfers it over. Emily how do you make the camera truly spherical . You have to be able to see behind yourself so in our case we use two lenses. Each uses 190 degrees. That allows us to stitch them together in the camera in order to make one world that is completely 360 degrees. Emily how big is this market today . Spherical market is in infancy. The Camera Technology has come a long way and the ability to do this is simply magical but the software on the back end to support it still needs some work. The biggest announcement recently was what happened with youtube and they added a 360degree channel to their network. Emily now one interesting thing we were playing around with the camera, our editor was working with the video in the system and it really sort of dismantles the way you think about video today because there are no angles and the video sort of flattens out. When you put it in the system it sort of loses the spherical, the special feel. I wonder how big a barrier that is. You know, its like i said, were in our infancy right now. The still adges, we link 30 together. Today people dont walk up to their tv and touch the tv to interact with it. Right . So as a developer of the hardware we have an open a. P. I. , Software Developers kit, to actually create the back end as well. Were looking for the industry to make it so you can interact either wirelessly with some device, hand gestures going forward, or what im doing on this screen is using my computer to manipulate a still image. I can do exactly the same thing with video because we simply take 30 still images together and make one second of video. Emily how long was this in development . Weve been in the market about two years with the theta product itself. About three years in total to get to where we are today. Emily all right. Jim malcolm of ricoh imaging, were going to talk a little more about the broader camera market and youre going to stick around. I want to bring in another Company Getting into the 360 video space. Joining me is peter addington. The 360 fly action camera will be Available Online this month and rolling out across best buy in october. What is interesting, peter, is that you guys, this camera has been in development for a decade. Tell me about that. Peter i obviously joined the company recently. The focus of 360 fly is really to start to move people away from looking at video cameras in one dimension and start capturing the rest that theyre missing. Our focus is to make sure that we innovate in 360 space. We innovate in this area. Action kams are starting to explode. I think a lot of people are missing a lot of the content. I think that what were trying to do is enable them to do that. I think we are in our infancy when it comes to 360 video but for those of you, always a big point of view camera, once i found this product and experienced it and the ability to be able to catch everything around me, to not miss 90 of the action i think is really compelling. Emily youre looking at a live demo of the 360 fly camera right now. Your camera only has one lens. I want to talk a little about the technology of it. It does have a blind spot. How do you still get that officerical look with just one lens . I mean, the software these guys developed obviously our founders came out of the robotics lab. Theyve been working on this for a long, long time. It is very difficult to do, not something that is very simple. I think the challenges these guys have come over, im a big single camera, single lens guy. I think thats the future of where were going. I think the spherical stitching images together and doing that process is something that works probably better for stills but not so much for video. Were very much around video, very much around action. Weve got obviously two hours of record time. When you think about that, thats two hours of record time with almost like six gopros running so youre grabbing a bunch more content. The part that makes us a little bit different is were all about shooting and sharing and swiping in a matter of minutes. Weve focused heavily on the smartphone. Weve focused heavily on the ability to be able to edit on the smartphone. So our whole concept is its good to capture it. I think thats really important. Everyone talks about the capturing and quality of capturing. I think the most important if not more important is how do you share that amongst your friends . Thats where we spend a tremendous amount of our time. Emily interesting you say that peter because when we were using your app we had a little trouble taking it out of the and getting it on to our system to edit it. Hang on. Well continue this conversation after the break with 360 fly c. E. O. Peter adderton and ricohs jim malcolm talking about Camera Technology. You are staying with me. This week weve been focusing on emerging leaders in virtual and augmented reality. Today we end our series with a company thats using Virtual Reality cameras to transform journalism and transport viewers directly to the story. Virtual reality has this ability to take people to see everything around them. So in cases of natural disasters like our film that we made in nepal, people can be standing in the streets of kathmandu, have rubble all around them, and experience the scale and scope of devastation as never before. Recently when we shot in syria we were able to bring people right to the streets of aleppo to see for themselves the crisis first hand. Right now when were shooting in v. R. We use a lot of different cameras. Sometimes we use the go pros that are just stuck together on a 3d printed case. But the essential camera just looks like a ball with a lot of little cameras around it. Post production you have to stitch all those different cameras together to get one image. Currently were using Virtual Reality to tell stories across the globe. Were shooting stories on Climate Change at the glaciers. Were shooting in uganda, congo, haiti. Were about to start shooting in iraq right now. All of these stories are opportunities to really transport people. Have them have a full experience of what they could never have a chance to see. If we can get people to hear a story about whats happening in syria right now or see the devastation in nepal and the ongoing effort to rebuild, thats how we change the world. You can check out all of our Virtual Reality stories on bloomberg. Com. Well be right back with our special camera tech special after this break. Emily welcome back to a special camera tech edition of bloomberg west. Im back with jim malcolm of ricoh imaging, 360 fly Peter Adderton in los angeles angie vani, another cam and giovanni another camera manufacturer. The action camera market is really dominated by go pro. You have sony trying to keep a foot in the market. Jim, ill start with you. Where do you see the action camera market going . And differentiating yourself . The biggest part of it is moving from a single point of view to an immersive world. If you look in one direction which is our current p. O. B. Cameras do you only get to see part of the action. When you go into 360 you can pan everywhere within the image and see everything. You can be in the party itself and enjoy the last day at the cabana. Emily how about you . For us the action camera business has been a great business. We are number two but for us with our new wearable cameras and the like, the social broadcasting, there is a huge opportunity with that. Were looking forward to truly enjoying that part of the business as well. Emily how about you, peter . How do you differentiate from the giant which is go pro . Well, i mean, you got to have a look at where go pro was five or six years ago. They came into the market and it decided to explode and i think social networking created the experience for go pro to share your content. Users went out and grabbed the content and had the ability to share it. Obviously innovation in the camera market hasnt been there. That is something were working on and were pioneering but i think the most important thing and i keep stressing this is the way that users actually use their cameras and i keep coming back to the focus. If it is okay to create the technology what is more important is how does the user use that cop tent and share that . Emily we have to leave it there. So much innovation in this space. 360 fly, ricoh, and ion camera thank you so much. John im john heilemann, and with all due respect to the summer of 2015, sayonara. [laughter] all right. Happy we are about to get out of town for the long weekend day, sports fans. Our special with all due respect summer recap. Trump, trump, and a whole bunch of candidates not named trump. Therer, you know you and is no question that 2015 was the summer of the donald. But it was just a short time ago people were still saying rings