He is one of the most recognizable names in the Tech Industry. An exclusive you interview with michael dell. First, one particular startup could be going public sooner than we think. The new boss at uber met his new employees and he outlined some of his Top Priorities at the job including coming up with a new set of Core Principles and bringing in a new chairman to help implement the agenda. In his own words, the company has to change. What got us here is not going to take us to the next level. In the meantime, Travis Kalanick has already expressed interest in returning to a more active role in the company which could create a potentially awkward dynamic that the new boss will have to manage. At them in the meantime, it was all smiles at the new board meeting. We spoke with our bloomberg tech reporter, eric newcomer, and our global head of technology to find out what else happened at that meeting. They were sort of cutting jokes and celebrating travis role at the company. Saying that what got them to this point is not what is going to get them ahead, and then there is the conversation about the ipo. I do not know. 18 months seems a far enough time away for me. A guy who has run a Public Company for a long time, so he understands the importance of going public at some point. Emily what do you make of the show of camaraderie . I think it is more than just what was said that also how it was said. This is a showing of unity. Tears was there shedding and making introductions. Other Board Members were there. Perhaps everyone on that very contentious board, but it was in message sent to employees, drivers, and the media, and their customers, that they are trying to say that these dark days are over. The want to hit the reset button and get out of these headlines a little bit while repairing damage to the brand. Emily travis says he wants a more active role, and he is clearly very emotional about how everything has been handled. For now, the board has approved an independent chairperson, so they would have to reverse themselves. Emily what role could travis take on . I think advisor could be the role for now. It is not clear if it is going to be anything more than that. Remember, this is all tied up in litigation. There is a lawsuit fired against travis which requires arbitration. He thought he wanted this to be resolved, but his status is very much still in question. Pending the outcome of that, i think we will see what type of influence he retains on the board. That lets talk about lawsuit moving into private arbitration. Investorarly uber released a letter today. There with me, i just want to read a little bit of it. He is coming in on the side of travis saying, we are swimming in the crucible of one of the biggest business battles of our generation. The lives of millions of jobs created to iniquitous taxing cartels. I am glad i got all of that out. What is going on here . Vin he is aer big friend of travis, and he has a lot of passion. You trying to communicate in his own way that travis has done a lot of good with uber which he sees as a public utility which broke up the taxicab coalitions. So i think he is trying to frame it in an overdramatic way. Only thatblem is not the writing is overinflated, but it comes at a poor time. Emily what is the strategy here . I think hes trying to muster public support for what he sees as still a divided board, but he does not make the argument all that persuasively. Think of that 18 month to 36 month time frame for an ipo . It is near enough to say that it is possible, but who knows . It is so far away that it is hard for people to get their heads around and may be considered too seriously. So, i think it is kind of a nothing statement which sounds sort of serious. This is a business which is growing very quickly b is also losing quite an amount money per quarter. He has to make decisions about where he wants to grow and where he wants to pull back with sort of these and ciliary businesses. Ciliary se and anciliary businesses. I think this is kind of a heisman stiff arm will out what is going on. While he figures out what is going on. Emily coming up, mark over sean will speak with us about his plans to lead the travel company. We will also bring you our exclusive interview with michael dell and his thoughts on the cloud. This is bloomberg. Emily google agreed to change the way it operates its shopping structure. The tech giant faced a deadline on tuesday to propose a plan on how they would stop discriminating against rival shopping services. If google did not submit a plan to the eu by the deadline, they would have faced daily fines on top of their 2. 7 billion dollars penalty. Coupleis hiring another thousand employees as it fights for market share on the cloud. The battle has been going backandforth between oracle tech to one of the Tech Industries against events biggest events. I caught up with michael dell at the event. Take a listen to what he was excited to see. We are seeing the emergence of this multicloud world. Customers are figuring out that the cloud is not really a place, it is a way of doing i. T. They are modifying their existing infrastructure, and they are leveraging the public cloud and other software services. All the innovation that is being created to enable back new, connected future. Emily you think hybrid cloud is the way the future . I think customers are adopting i. T. In a hybrid fashion. Many of the customers we have talked to are already using many different modes of i. T. When you imagine the weight to thefuture the way to future, the enormous number of connected devices, you will need a distributing computing world which is far more vast than what we have today. Emily talk to me about some of the partnerships. You partnered with amazon about a year ago. You also partnered with google. What about what can you tell us about your decision to partner with maybe your enemies . The goal was to partner with the number one private and public clouds. That way, we could leverage their Technology Capability on a public cloud environment. With google, we are bringing together pivotal and many developer friendly capabilities of the fortune 500 with a group created with a google created cloud operating system put forth into the open community. With that, we are bringing all the employees together in a secure manner with nsx. That is creating a developer friendly infrastructure which allows companies to develop these nextgeneration apps, put them in containers, and then deploy them on premise or on the public cloud. That is what customers are asking us to do. Emily do you have any concern that these public cloud owners could steal your palm private Cloud Business . When new things happen in the industry, if they are good for customers, if you stand in the way of those, you do so at your own peril. Re firste when v. M wa came out as a private company, dell was a the First Service vendor to embrace v. M. Ware. We ended up selling a whole lot more servers and we ever imagined, and now we are number one in the world in servers. We are growing in double digits, and our business is doing very well. When customers want different modes of i. T. , when they want the public cloud in addition to the private cloud, it is important for us to listen and bring those capabilities to our customers. Emily when it comes to the amazon or google deal, how can dell more privately ease the deal . They are both part of dell technologies, and combining all across thes force company, we can bring those capabilities to our customers. One of the things we see in the combination is the idea that customers do not actually want to have more partners. They want fewer partners. By being number one at everything all in one place to revenueomers, we see synergy is greater than we thought and it is coming faster than we thought. It is because we brought this broad group together. V. M. Ware goll and together like Peanut Butter and chocolate. Emily that was our exclusive interview with ceo michael dell. Amazon spent its first day as the owner of whole foods and cut prices as much as 43 . Withown items where marked orange signs. It is a sign of how the retailer is changing, the amazon echo was also on sale at retail locations. We spoke about this change with analysts. Lots of price cuts. We can see them on an innocent and we can see them on bananas and lean beef. The avocado was down about one dollar. Organic rotisserie chicken was down about five dollars, so that is a huge price cut. Emily was a crowded . It was very crowded. I know people who held off on their shopping until today to get this specific shape sav ings. Inly with the amazon echo the stores, do you think people will buy these products while they are Grocery Shopping . The echo . Possibly. I think it is the First Successful entry into the living room that we are now seeing trying to be copied by apple and google. When you think about the whole whole foods transaction for justn, i think this is another point to underscore the impact we are seeing from amazon all across retail. If you increase the touch points for the customer, i think the opportunities are not just limited to groceries, but you can think it a picture into restaurants and repaired foods all the way down the supply chains. I think you can see those affects. Within the grocery business itself, how do you see grocery competitors responding whether it is costco or walmart or kroger . I do not think you can. The problem is that the Business Models are so different. What amazon has the opportunity to do is to operate at a target 0 margin. They are able to do that, because of the fact that the business is subsidized through the cash flow proceeds from awf. Grocery thatther has that luxury. That is why you are seeing a deflationary impact from amazon. If you look longerterm, grocery stepmanager is a master towards capturing a greater part of the broader economy. Emily coming up, another bloomberg scoop on the new iphone. We will tell you what tricks tim cook may have up his sleeve when he gets on stage later this month. This is bloomberg. Emily one of the Worlds Largest drone manufacturers is making a big security push. Major money to anyone who finds flaws in their software. The identification reward Program Comes after the army ordered its personnel to stop using drones made by the company to do a security hole. The company said that it was to deliver private data and logs. Apple has a date set for the unveiling of its first significant product in years. Last week, we were able to unveil some of the new features of the new iphone. This week, we have another scope scoop. Apple is trying to eliminate the home button on its device. The move would mark the biggest interface change in the iphones 10 year history. Mark gurman brought us this scoo p. I think iphone users are going to be very excited about this new phone. They have been working on this for some sometime time. The biggest change is that getting rid of the home button. It is going to be an entirely new ui system. Noty so the home button is completely going away yet . Know, there are going to be three new phones. Two of them are going to have the more conventional design of the other, older phones with the physical home buttons, so the bigger changes are happening with the premium models. Emily what other changes are we seeing . This green is tolerant. Yes, the new iphone is going to be significantly taller. You will be able to fit in more apps fromrsations and the app store. Emily oculus about what is going on with toshiba and their talk to us about what is going on with toshiba and their chip. For iphones and ipads, they are working on getting more storage. It is an absolutely critical component for the iphone just as the screen or cell reception. So, they want to get as many of those, and toshiba does great work on their chips. Emily what about apple performance and supply chain issues . It, but he means very little when it comes to performance. It will give them more leverage however. Emily do we know when we could see more about this new phone . In september is what we have heard will be the plan to announce more details. Emily that was mark gurman. Pushed tim helped cooks compensation to new high. To total compensation surged 150 million last year compared to 72. 9 million in 2016. When he came into the ceo role, apple said they were going to give him a massive chunk of stock which you would get over to implements over 10 years. A couple of years later, it was restructured and split up over the years. Can collect about 280,000 shares as long as he remains on the job, and another up to 280,000 shares if apples share price beat two thirds of the companies on the s p 500 index, and they have done so in the past five years so he collected all of those shares. Goi am looking at the pay function on the bloomberg. You can really see how he is highflying at number two right now at the moment. Cookto us about where tim stacks up versus the rest of the tech ecosystem with this new compensation being handed out. In the bigger scheme of things, it is almost absurd. Figure does not hit the ceiling when it comes to payouts in the tech sector. Seen several examples. Google for example. Even though tim cook gets quite a bit of money, it still does not tend to be at the very top compared to some of those other guys. Ly talk to us about whether or not this will be sustained. Will we see tim cooks compensation staying tied to the share Price Performance . Should it be tied to another article measurement such as revenue . That is a frequent debate among consultants and people in the boardroom. Is share price really the best measure of corporate performance . Some people say that perhaps you should focus on other internal Financial Measures such as revenue or product developed which will drive share price and terms of share price being the drive share price. With share price being the ultimate goal. It has been successful for both shareholders and for tim cook himself, so i would not say that i will expect any changes in the near term. Who knows . How does that sit with those who work at apple and the general public . In london right now, there is so much happening with government pressure and public outcry when you see ceos getting paid significantly more than the rage employee in person employee and person on the street. How is it different with america . Making a lot of money is not necessarily seen as a bad thing in the United States of america, we know that. Tim cook did get a bit of pushback about his opposition when he first signed on and got this large first reward. So, it was actually at tim cooks request that it be tied it to the Company SharePrice Performance and that if they do not beat two thirds of the s p 500, then he does not get more of those shares. Going ming up, it bitcoin prices have been hovering at record levels once again. We will take a look at the crypto craze, coming up. Remember, you can watch episodes of Uber Technology streamed online. This is bloomberg. Emily welcome back to best of bloomberg technology. Im emily chang. Cryptocurrencies have been searching this year, causing the interest in Digital Assets despite. Bloomberg technology took an indepth look at the rise of virtual currencies. We began by looking at what make the market so volatile. Caroline hyde reports. Caroline cryptocurrencies are in the midst of a recordsetting run. Names like bitcoin and ethereum has seen value skyrocket. Bitcoin, close to a household name as you can get in cryptocurrencies, has jumped up over 350 this year. It jumped from just over 1000 at the start of the year to over 4500 recently. Ethereum, the number two, is on the move as well. Companies across all industries are looking at how to use this technology. Caroline it has not been smooth sailing. Look at a recent 30 day snapshot of bitcoin and you can see roller coaster ride. Back in august of last year, bitcoin plummeted 13 after a hacker stole 65 million. This year the theory am also fell on tough times. This technology is still pretty new. That causes there to be bumps on the way. Plentye there are still of promising opportunities. There is a growing mainstream acceptance of the asset class. Big investors like mark cuban are already throwing their weight behind cryptocurrencies and the Block Chain Technology that underlines them. Institutionsncial are embracing virtual currency. If th fcc approves the rst electronically traded funds, it will make it easier for everyday investors to jump in. It is already soared past the price of gold this year, but we are for your that fo four years removed from the bitcoin crash of 2013. And that is the bottom line. Emily caroline joins us now live from london with our guest host for the hour, Roger Mcnamee. Great to have you back on the show. Highs and lows. Bitcoin. Are we in a bubble . Roger i think we probably are. Its important to distinguish between cryptocurrencies and the Block Chain Technology. To me, the thing about cryptocurrencies is a really are not currencies. They are really commodities like soybeans or pork doilies bellies. Emily what does that mean about the value . Roger it is volatile. It was designed to be volatile. Currencies need to have stability. If you look at this and you think about it, it is more like trading gold futures or treating oil futures. Those are going to be inherently volatile. Yes, there is something valuable underneath them, but you would not use gold futures to pay your mortgage or your childs college tuition. Emily does it have longterm value . Roger it is too early to know. Structurally these things dont look like they can make the transition to being real currencies, are not sure that matters to the investors. I think the are in it for the volatility in the return. That may well work out as it has recently for a lot of people. I do think we are not done with the sharp drops. I do think there is enormous structural issues. There are thefts of the various cryptos here, there and everywhere. I think it will continue. The concept of the role of miners and the fact these are things adopted primarily by black and gray markets suggests, it at least confirms my basic notion. These are far, far from a mainstream currency option. Emily he mentioned people getting robbed, the number of complaints about coinbase, the biggest exchange. Caro