Citys police superintendent. This comes after a video showing a white officer fatally shooting a life teenager. You can get more on these and other breaking stories bloomberg. Com at. Mrs. Bloomberg. Coming up, Mark Zuckerberg gains a daughter and gives away a fortune. The facebook founder announcing his plans to donate 99 of his shares in the social network. Plus, a changing of the guard. Can the new leader save the smartphone business . And what goes down must come up a new investment in snapchat. Mark dose of news from zuckerberg. They are the proud parents of a baby girl named maximo. He planned to give away 99 of their shares in facebook worth about 45 billion. In a letter to their daughter he said our society has an obligation to invest and improve the lives of all those coming into this world, not just those who are already here. Joining me with more is our bloomberg billionaires reporter tom metcalfe and sarah. What is happening here . 99 of his facebook shares. It is worth 45 billion today, a big chunk of money. Although he is phasing it out he is doing 1 billion a year or the next three years. Containing voting control. Astakes effort to get going much money. You have to get these investments into size. But so far he is telling us that he cares about health and education and inequality in technology for change. Emily he wants to advance Human Potential and technology on disease and connectivity. If this on any scale that we have seen before . How does this compare to not just other tech titans but other billionaires . It is incredible. The other two people would be Warren Buffett and bill gates who basically combine forces into the gates foundation. Stocks, of his facebook worth 45 billion, the consolidation is about 21 billion but in terms of the enormous gesture, and is pretty much without compare. Emily i just over 30 years old, which is very young for a betting budding philanthropists. Serious did not get about the until he was 45 years old. Much later in life and for zuckerberg to start this now he does say in his letter to his could nothat he afford to not act now. There are so many problems that need to be solved and they need to be solved sooner rather than later emily a number of congratulatory messages flowing in. Bill and Melinda Gates say as to commitment, the first word that comes to mind is wow. If you have bill and Melinda Gates saying this is an inspiration to us, it seems pretty incredible. Give us some idea of other initiatives out there that do not come close but certainly to tribe. There have been really few initiatives of individual type. The games have given out 2. 5 billion dollars, and then hundred Million Dollars to cancer research. Cap onpart has put a this. Plus talk about this because i want to know how it affects his voting control. He says in the later you will remain ceo for many years to come, and i understand he will maintain voting control which he certainly has. The will maintain control of through, the amgen which this is all possible. The facebook shares have mostly by ratings from the analyst to cover them. The 45 billion we are looking at could get bigger. It is worth noting that he is not just starting his career as a philanthropist. He has given to many causes. He has given to general hospitals for their trauma centers. He has given to schools and their breakthrough prize for science and technology, he has been a big player in philanthropy world for at least the last couple of years. Emily most people do not have wealth on the scale of Mark Zuckerberg when we are talking a lot about how the technology minted to these young millionaires and sometimes billionaires. A sea seek essentially change in how young people think about philanthropy . This will be one if it is at all. Criticism against these tech billionaires that have become so wealthy sober so quickly and they are not giving back. You look at jeff bezos similar and wealth to zuckerberg but he is focusing on amazon and he is not yet taken a step to do the philanthropic giving. That is the most interesting thing to me how young he is. In america and are currently set the tone for philanthropy. Andrew greinke set the tone for philanthropy. Theres a tough comparison. This is one of the most generous gifts that humankind has seen. Emily congratulations to them on the new baby girl. Tom and sarah, thank you notboth,. Issue betweenve investors and sam walton is weighing in. It ridiculous that venture capitalist pay a lower tax than on income. That tops out at about 20 while the top rate for income taxes nearly 40 . All said that more investors than you think is say they are paying a higher tax rate. They have revised calls to end this benefit. Today, we are watching Hp Enterprise shares rising to the highest level in a month with partnership with microsoft. Are a newly independent company and have been shifting their focus to hybrid cloud of public inc. Makes and private cloud services. Samsung is giving its Global Business a makeover. Replacing a Top Executive but can new leadership pulled the company out of a smartphones slump . Emily it is the biggest leadership change yet under samsung heir apparent. Replacing the head of mobile. He is widely credited for leading teams to develop Alex Len Samsung pay, the galaxy note five and the galaxy s sex. One big reason for the change, while samsung still take the top spot in the Global Smartphone market, it has been losing market share to apple, and xiaomi. A new leadership pulled the company out of this smartphone slump . What will he bring to the table . Senior analysthe at bloomberg intelligence. I will start with you. And is an annual shakeup that happens at samsung every year. It is mandated to a certain extent by the korean government. What did you make of the actual changes that he is making . I think this is a gradual step in the right direction. He has seen it smartphone sector get commoditized, facing lower price competition. It needs to move more into software and services. He is one of the people who have been working for that. Skilll bring that right sets to this sector. I also think it is a slight shift in temperament. If you look at what we know about him he tends to be more reserved and behind the scenes. Much more like ej. Lesslike his father like his father. There is a shift in temperament as well as direction. Emily it is interesting. He is credited with being behind some of these more recent there is Office Discussion that the products need to change and change significantly especially from a software perspective. I wonder how optimistic are you about what he brings to the table . Im glad to see hasbro and when you look at what apple has been doing they really have been growing the Services Side of the business. So we have seen the advent of apple, the introduction of a new aple tv, and presumably streaming service in 2016. Counter thaty to needs to be found the Software Side of the mark it. In my view the service a size continue to build an ecosystem. Is a given that this shakeup that is mandated by the government, how long do you him to last. E like who can say that year he will not be out of a job. . . We saw him there for six years. As long as this is the direction without ago we can expect him to be there for at least as long. And i think a lot of this will come down to allow he is able to fill that maybe guesses and to samsung products. Since they do not see a change you might see a shift in another direction. Another market we have not talked much about is india where new numbers ivc shows that. He competitors give us an idea of what is going on in the rest of the world. India is interesting. What is happened is the largest Growth Market in the world has started to mature. The Smartphone Market there really has come to almost mirror the u. S. Not great but it really does is slowing remarkably. All eyes issue to india which is another huge market. But unlike china or the u. S. Not have smartphones in particular. You have samsung, you have xiaomi. Apple has not made it a lot of headway, which is not to say they cannot so far that really has gone to the local vendors and frankly to xiaomi. Anecdotally i was shocked by the number of iphones i saw in beijing when i was there recently how much control to his the family actually have of samsung. Sector doesphone not around for them how much control do they have . Think t. J. Yeldon his family have the time they need to take and right the ship. That is the way the corporate sector is set up. I think where we are looking at ease even though they are still in the house at all, the family does have the control and he is in a position of control. Emily do you see this Winning Back Investor confidence . Time will tell. We have not seen their shares drop over the last year but we will need to see progress over the next year. What kind of progress are you going to be looking for . That samsung is one very good phone, one very good upgrade away from being back in growth mode. Again i think a lot hinges on Product Development here on out. All lies, included minor on the seven and what we can expect. We are expecting the s seven to be ajeer and we will be watching that. Thank you so much for being here. Taking emily is blocking thelit link to any telegram. The telegram leaders can use the link but cannot cap on them or copy them. Whatsapp is the most popular messaging app in the world a telegram has been growing quickly. What tough is owned by facebook and baby taking a page from the social networks playbook. Locked in at access to another app. Creating a test for women struggling with infertility. The is next. Plus history in the making out of washington this week. Scientists debate the ethics of gene editing. Emily today in bwest biotech a historic summit is underway in washington. Hundreds of scientists, policy makers, and the president heinz as laser are discussing the use of a new technique called crisper. It is a form of gene editing that allows changing the dna of living cells. Could one day be used to avoid genetic conditions like muscular dystrophy. But some fear can also be used for, aesthetic or competitive enhancement. Some have been an aggressive in this research but Many Organizations are calling timeout on any human experiments. This could result in new calls for restraint in this explosive area of research. Staying with biotech in the u. S. Alone nearly 7 million women struggle to get pregnant and spent an estimated 5 billion a year on fertility treatments. It has been extremely expensive as an undertaking. The average cost of a single in vitro fertilization cycle is over 12,000. It is not covered by insurance and often more than one treatment is needed to work. Very often. Is trying top remove the guesswork. It is part of a burgeoning guilt of research called personalized medicine. The ceo joins me now with more. Thank you for joining us. First of all, explain what you are doing with the data as it pertains to fertility, and why is it not being done already . Thank you. I found it this company to address a big problem which is that in the u. S. One in a couple struggle to conceive. We often hear it is about age. But it is not just about age. Age is one important factor. Connect Technology Takes into consideration many different factors related to fertility potential. Think like bmi, sperm parameters, hormone metrics and dna. This information can be empowered couples who are struggling to conceive. It can help them make more informed decisions. Our decision is to bring the Game Changing technology to any woman who may want to have a baby one day. You are using Predictive Analytics to educate couples about the chances of conceiving. Treatmentsertility. Or example how widely is it used, how much does it cost to implement at the Doctors Office . We are very lucky that used atis already clinics around the country. How works this is the world first cloudbased big Data Platform for fertility that layers addictive analytics on top of Realtime Data streams and we can source medical in history and information. And then we can get clinical information, things like hormone levels currently from the electronic record system. What we are able to do is integrate this information into a report that the physician can to ao or simply explain couple what their chances personally, not just in a 35yearold couple are to maximize chances of getting pregnant. Next your we will be launching the First Genetic test for fertility potential. A physician can take into account with someone dna says about their potential as part of their overall treatment recommendation. Emily tell me about this test a little bit more. Is it really possible, such a thing as a fertility gene . Is very similar. He mentioned his earlier i believe. It is very similar to brca testing for Breast Cancer risk. We are looking for genetic factors that encode fertility potential. We all have a friend who really struggles to get pregnant, maybe had multiple miscarriages. We all have that you had no trouble getting pregnant what we and others have shown including our very Large Network of the top Fertility Centers in the u. S. , who weve been doing Clinical Research with, we have shown that genetics can be a strong driver of that fertility potential. Emily we talk about fda and difficulty getting regulatory clearance. You face witho this genetic fertility tests in terms of eating it more widely implemented . Our clinical tests are not regulated by the fda. There is a separate set of standards we have to meet. We have to get that Regulatory Approval before we can sell our test. We are excited that the test is finally coming to the market because it is the culmination of six years of Clinical Research that we have done with the top Fertility Centers in the world. We think having access to not only multiple metrics that we talked about but also genetics is going to be Game Changing her couples who are struggling to conceive and for any woman who may want to have a baby one day. Give us any numbers on your success rate, where he found that the information you have given to couples is extremely different than information they have gotten from their doctors or where you can prove that this information is actually helpful . Absolutely. We just launched, and we are tracking all of that. We are anticipating our new babies will be reported in the new year. We will keep you posted. Going to have to have you back next year to get an update. Thank you for joining us. Coming up, fidelity pulls a 180 and that on snapchat is after devaluing private companies and a few weeks back. What does this mean for evaluation . You can check us out on the. Adio emily this is bloomberg west in san francisco. We are joined by david. Good morning. David good morning. Lets start things out with what we are watching in a chinese company. It went through high profiled that default last month. To the directors, including the chairman with the shareholder proposing lending some funds in exchange for a restructuring of the board. Growthlso gdp day with and he held a currency during that time with Interest Rates and they gained against the u. S. Dollar. The talks off currency are done. Andre watching the shares it is not encouraging, with the exception of honda and a drop in sales. Expectations and the shares are set to start trading. Is stepping up efforts to and thethe hydrogen car refueling station with aalerships that carry fuelcell. Lets talk about this hydrogen station that they hope to build. Push ads be a sales they are not saying how much they are putting up. What they found was the demand meets expectations and is selling units with buyers putting off taking deliveries of the units until the infrastructure is in place to refuel properly. It is a stopgap and they have over 40 being built. Taste on that, we have the educated guess of what they are looking to put in. Emily thank you for joining us with that. Fidelity improves outlook on snapchat, marking up shares month down. Owing a lag witha one month the sec. Do the monthly filings cause volatility and how do they have the valuations . Just snapchat being marked up and down here. Are being marked up slightly and they are not at the value that fidelity bought them. They have been a dig engine for the company and gave the mutual fund money, meaning they will have to bring the shares to market. They have a committee that reevaluates what the private companies are worth in size and it is not what they expected. If you talk to them off record, they would say that they felt like they went public without needing to go public. Emily right. So, it is a thing venture capitalists will have to figure out. Emily lets talk to a venture capitalists now. What do you think about this . Sentiment to ae certain extent, doesnt it . It does. We shouldink overreact and that valuations mean a whole lot. The valuations on private Company Every quarter, we have to do that and we use a variety of ways to do that by looking at Public Market comparables. The valuation increase reflects ps for theof the com company have gone up. And is not mean anything would not read too much into either. It is important to gauge the valuation of investments with the bubble and valuations being too high. Is it driving downward momentum we might be feeling . Think so. It drives sentiments and, by definition, a downturn is when everyone thinks we are in a downturn. May see is more reticence on the part of nontraditional investors with mutual and hedge funds. We may pull back from the investments we are making. Does what fidelity thinks matter . It does. Maybe they should not take money extraidelity and it is an risk and judgment they do not have to go through. And there is changing in the valley. We will have to see. The mutual and hedge funds have been called worse investors. Should they take money from fidelity . The scrutiny of they arec market and written up and down with the financials scrutinized every publichaving information and asking what the difference is between that and going public. I think there is an awful lot of , ifgs with regulation and you are a company that wants to stay public and invest in growth, maybe something the Public Market does not tolerate so much is a good option. People may say that they want to they got tond publicize it. Emily the numbers are going up and down and fidelity is in the red in assessments in snapchat and dropbox. What are you seeing on your side . Ipos . U seeing companies are staying private signs are seeing evident in the markets and we are not funds. To see other we hope to have a seat at the table when the companies go a basket of these companies. They may perform and they may have done ok. Emily so you think this is happening question mark we think we are seeing companies not going out and getting the expected valuation that they want. We have not seen down financings. They are valued as a public company. Mily right interesting. Something we will follow. Thank you. Sarah covers snapchat. Thank you, sarah. A company we are watching is working with regulators in hong kong after compromising the privacy of millions. They say that attackers used servers containing names, email addresses and photos of children. Nd shares plunged. To expand theoing access of financials to the public . We will hear from dan schulman next. Emily to what we are watching. Chinese technology is jumping to the highest level since june after reports they may be paying a sale, offering to 9 billion for the company within weeks. It would be a temper some premium on the tuesday close. Public and private sectors joining together to expand access to Financial Services. We sat down with dan schulman to talk about digital and mobile banking and he talked about Financial Inclusion being important to the company. The way we think about Financial Health is so important for the Financial Services industry to take on it and, as a leader in Digital Payments and mobile payments, the idea of using that in a cost efficient way to champion lower income and middle income people in ways to think there from the about managing and moving money is a huge opportunity for paypal and driving economies and economic growth. As you know, you can do with the dreams and ambitions of so many people. Why is this good for paypal . We utilize software and mobile. When you can, there is a different cost structure that you can do and you can profitably serve a tremendous swath of the population that is not part of the Financial System today. You know, there is a saying that it is expensive to be poor. Financial services are guilty of that. It does not have to be the case with technology and we are a leading user of software and mobile. Services inde basic a way that is affordable, faster, easier, more secure, and less expensive. It is a huge opportunity for us. The golden example is a service in kenya that is run by safaricom. What helped it grow was a financial physical presence all over the country. Tot does paypal need to do actually have a physical presence in the world that is important for Financial Inclusion . Interesting it is interesting. It was not a Banking System they use. It was agents that they used and people would come into the stores to refill prepaid mobile accounts with money. They found that putting money can a mobile account, you go to another agent and take cash out. Withame thing can be done the Banking System and outside of the Banking System using mobile right now. Which is a lot an example of bought an we just example of combining remittances and it goes into a bank overseas. You can, instantaneously, instead of waiting 34 days, take money from the overseas bank account. This combination of electronic means to move money and physical distribution to take out cash is powerful. Emily speaking with the paypal ceo, dan schulman. Apple is synonymous with innovation from mac to iphone. They are on the cutting edge of technology. You would think they would be a spender on research. They are not. Compared to others, they are cheap when it comes to that. Three point 5 on total revenue on research, compared to 21 for facebook, qualcomm, alphabet. We have is it because it makes a much money . Because they make so much money question mark tha . That is a big part of it. There is a rule that you need to reinvest revenue in future a bunch ofd that is projects underway that companies with googleay about and their cars and the facebook project. Microsoft has projects underway. Apple, by comparison, is under the radar with a percentage of revenue, spending lower. Emily dont they have a car that we believe they are working on . How do they get away with not spending as much money . They are ramping it up considerably and there are several different reasons. Apple gets a lot of different suppliers and they rely on suppliers to develop cuttingedge technology that they incorporate in devices. They get the semiconductor in the iphone and it is important. They have an investing heavily in technology. ,f you look at the new chips compared to others, they are at the top. Should apple spend more or should facebook and google spend less . There is a point that can be made that they are efficient and they rely on a network of suppliers in a way that other companies do not. They are not vertically integrated, like nokia, doing everything inhouse. That did not work out. Apple has a vision of suppliers they want and they rely on a lot of suppliers to get there. Emily thank you so much. Interesting story. The future of sports media as cut. Utters we talk to john west about capturing the millennial audience next. In how we watch espn. Are on new networkss and are gaining fans. John is the founder of whistle sports. Sports digital is dominated by mainstream outlets, espn, fox, nbc. You guys are getting territory. Tell me what you are trying to claim. We thought, when we started youngfive years ago, that millennials have a different habit for consuming media and it is a broad term that goes across an age range. We have subscribers and followers on social media platforms with three fundamental differences in how they consume media and sports media, as opposed to their parents. They have shorter attention spans. They want to watch a video across social media. Some of the platforms we are on prioritize short form video. Third, they are global fans. They do not have the constraints of broadcast or cable. We think that we are reimagining sports and the media experience with the young millennials. Some things we might see our behind the scenes interviews, how to v ideos. You have interviews with jeremy lin. If i want to see a Live Football game, how is sports going to be different in five years . A great question and we see the world through the eyes of our demographic and a trend that we watch across all of the data want to behat they around live sports. We do not think this displaces that. We think the definition of sports is broadening and we are excited with the partnership with spartan race. They have 20 different events this year in Different Countries and it is exciting to be a sports fan. There are a multitude of ways that young fans can participate in sports and the creation of video around the sports. Emily spartan has 50 different as icle races worldwide, understand it. Talk about scaling up the company and the opportunity for the brands. We are excited to partner with spartan for a few reasons and we are building a Global Sports Media Company to serve the needs of fans. Spartan is a lifestyle and a statement around how folks get involved in a unique type of outdoor Obstacle Course competitivetype of sport that defined two they are. Emily all right. Espn, down 7ate of million subscribers . Whered you see this going . Belive sports continues to possible. Our focus is on the millennials and how we can serve their needs. We see they have those across our network. Emily are you saying that espn is not going anywhere . We will have to wait and see. We are focused on our demographic and the needs that they have. We see those. Emily all right. John west of whistle sports, thank you for joining us. That will do it for this edition of bloomberg west. Before we go to break, congratulations to Mark Zuckerberg on the arrival of a new baby girl. And, if you think this is a unique name, it is. There are less than 300 baby max in a name and 0 with maxima. We will be talking to john hanke. From our studios in new york city, this is charlie rose. Charlie tonight, we continue the exploration of the magnificent human brain with sports trauma, focusing on kids and young adults making emergency room visits as a result of brain injuries from sports and recreation. It has ignited a National Discussion about the risk of contact sports. Bellucci turned
vimarsana.com © 2020. All Rights Reserved.