Utahrecommend two monuments be reduced. I am emma chandra. This is bloomberg. Emily i have emily chang and this is Bloomberg Technology. Coming up, Margaret Vestager goes to washington. It is for job to keep big tech in check. The European Commission joins us for a wideranging interview. A message to the competition with a funding round led by softbank. He spoke to us about a potential ipo and beefing up ammo in war for the corporate servicing market. It makes one of its biggest marks to date on televisions biggest night. Why the big win is throwing hollywood into flux. European regulators are stepping up the pressure on u. S. Tech companies. The European Commissioner for competition at the helm, the e. U. Has announced massive fines against apple and google. This week, she is in the u. S. Visiting her counterparts as well as top political leaders. I want to get to David Griffin washington. David, take it away. Time thisou for the afternoon on a busy day. Let me ask you about the meetings you had today. Share the substance of those conversations. What were you talking to those counterparts about today . We do not share this often because often we have the opportunity to take stock of open cases. Since they are open, this is not something we can share with a wider audience. Given what we have read in the news about vacancies of this them these departments in fact that you people in interim roles, is that a frustration or proving to be difficult as you work with counterparts across the atlantic . Is it different not having permanent appointees in place . Maybe to some degree in the beginning, i wondered. Now i have gotten to know maureen and andrew rather well. We have met a couple of times. There is such a strong culture of complete cooperation between the teams because they share this culture of serving the consumer in the market. Therefore, it is very direct. It is a very good cooperation. Give me some insight into that cooperation. You are doing your own investigation. That is happening in the u. S. As well. What is the ideal relationship like . To some degree, we have a different legal basis so it is not the same. Waivers the necessary from businesses, we can discuss and exchange to test hypotheses about whether this would be a competition concern. The case team called each other. Sometimes, they come together. We have had u. S. People coming over for our hearings. We go here if something concrete is happening. It is quite intertwined. Of course, very respectful of the differences but very concrete on making it right and getting a high quality in the casework. A question to you as an observer of this place, you were here after the election so you have spent some time in the seat d. C. Does the rhetoric sound different coming to washington now eight months into this president s term . It is as if there is a renewed interest, more debate. I saw it already in the election campaign. I think there is more debate about how to make sure consumers are well served, have to make sure you have vibrant competition because competition is a driver not only for low prices and choice but also for innovation to be able to in the future be able to produce affordable prices and choice. A lot is going on here. I find that very inspiring. A couple of days ago, senators proposed a new mechanism for enforcement. Amy klobuchar among them. The points was making is the rules and policies are outdated, we need to refresh them. Taking a Broad Perspective on that, when you look at enforcement policy, does it need to be updated . Do you feel policy has not kept to step with technology . I haveobvious reasons, been looking at the european situation. We have been asking ourselves this in question because markets are developing fast. Things are changing. I find our basic rules are fine because some of the motives are the same. It is greed and fear combined with power. That can be a strong combination. We can deal with that. Our challenge is to keep our tools sharp and develop new tools because we have to be as skilled when it comes to going through massive amounts of data as anyone else. That is a challenge, but we accept it to develop with the pace of the Market Participants. We talked about cooperation. How problematic is it if you are not on the same page . It seems you are in different camps. What problems does that pose when you and the u. S. Are not on the same page . It remains to be seen because we are not done yet. It happens quite rarely. When it happens, i think very often there are very concrete reasons the market situation is not the same. The Market Participants play different roles. Very often i find you have objective reasons when we divide in how we look at a case. How do you assess the efficacy of what you are doing . I think we first spoke after you levied a tax on apple of 13 billion euros. Have you started to see results of that . Has a had an effect on the Way Companies work from a policy perspective . Yes, i think that change is coming. It is slow because it takes some time. I think it will be faster when our courts have dealt with the cases. You also see Member States change their legislation. In luxembourg and cyprus, in ireland on legislation allowing things being outraised. The legislature in the European Union has changed. There is much more vigor. Member states are much more ready to say we want a level Playing Field and we want our tax authorities to Work Together to get it right because we see so many businesses that pay their taxes as one would expect. That should not just be for the many. It should be for everyone. You are seeing a lot of consolidation of very Big Companies reducing the size of the Playing Field in a number of sectors. Is that inherently a problematic thing . Does it raise concerns to see Big Companies merging, acquiring, and the field of players becoming smaller . It always depends because sometimes we see it may be enablee for a merger to lower prices to consumers. Efficiencies can be passed on to consumers. We never have an opinion beforehand. We go into the analysis with an open mind to make sure postmerger consumers will be well served. Give us some insight into how you decide which cases to take up, what the process is like that leads to the opening of a case. Mergers walk in our door. Those we do head on. In the antitrust cases, we would start looking into under the radar to see if there is something here. Then we may do unannounced inspections to see if there is evidence to support our hypothesis. If we findentually, we have a strong case. It is for any company troublesome to be in the searchlight of an antitrust investigation so we are very careful to make sure we find we have a strong case. That does not mean we have anything but a preliminary look at a case when we start it. Of course, it has to be something serious. Otherwise, we should not do it. There is a perception that you are targeting American Companies. I look back at the google fine of 2 billion euros. It seems to give risk to those who think you are going after American Companies. Ini just a lot of what you are doing here is explaining yourself in the process and what companies you are looking at. What do you say to somebody who feel as though you are in fairly seeking out American Companies for action . First of all, i take this very seriously. Pius has no home in european antitrust. It would be legitimizing the de legitimizing what we are doing. We are open for business but not open for bending rules. Statistics one our side. When you look at mergers or antitrust enforcement, you do not find any kind of u. S. Bias. That is very important because it is not the flag or ownership of the company. It is the behavior in the markets we are concerned about. Lets talk about google. We have more with the commissioner coming up on Bloomberg Technology. This is bloomberg. Emily welcome back to Bloomberg Technology. Im emily chang. Lets get back to washington with david gura standing by with the European Commissioner for competition. David, take it away. David thank you very much. Lets get into google. I think a lot of people are eager to hear about that issue in particular. Google has 10 days to comply with the ruling you issued a few weeks back. What are you hoping to see by then . Do you have any sense of what google will try to do . Yes. Soon to be 90 days ago, we took the decision we found google is dominant in the European Market general search and that google has been misusing this strong and dominant position to promote itself with the google shopping product and demote competitors. On average, you would find competitors on page for in your search results. Youre always finding google shopping in the top left corner in the best placement. The decision says you have to apply equal treatment between google shopping and competitors because you dominate. Now it is up to google to figure out how to do this because this is the only way to make a remedy futureproof. Everything will change. But we still need these to be adhered to. It remains to be seen how google will live up to this. David bloomberg is reporting proposing anis auction system. That was proposed in 2013 with another issue. Have they floated that as an idea . We got a first draft of what they were thinking about two weeks ago so we got a broad outline about what they are thinking. It is not for us to approve. It is for google to find a way to live up to the decision. This is very important because if google does not live up to the decision, we will start investigating. What is the situation . Is competition still harmed . So consumers have less choice. David if you are not satisfied, assess you begin to fines against google if they had not met the burden you would like them to meet . We can backdate the fine so will start from the first day we find there has been noncompliance with the decision. Marketly, if we find competitors that complain, consumers complain to say this is not what it was supposed to be, if we find reason, we will start investigating. We can predate the fine if we find there is a breach of following up on the decision. David can you give us a sense of the timetable with the other google cases . How close are you to resolution of those . They are very different because one case concerns the placement of ads on thirdparty sites and whether or not that market was foreclosed. The android case is how android is used to stay dominant when we experiencele so the from when you open the box of your new phone, you see google experience. We treat those cases of highpriority cases, but it is very difficult to say when we will be able to take a final decision. David can you say which is farther along than the other . Are they proceeding in tandem . They are different. We have two case teams. We put a lot of effort into this because it is important for all Market Participants to know what will be the final decision. David a couple of months ago, Dara Khosrowshahi was the head of expedia and expressing concern about google with regard to travel services. Are there other parts of the business that concern you or might lead to investigations . Complaintsa lot of on other verticals. With the google shopping decision, having established google is dominant in general search, when a company is dominant, competition is already weakened a little if you hold 90 of the market. This is where the special responsibility comes from, that you should not be shoes your misuse miss years your power. This gives us a starting point looking at travel or locals. In that respect, we will still take a strong interest in google behavior in article markets other markets. David in the context of google, you have levied this 2 billion euro fine. Have you seen the company begin to change its ways, to work with your office to for stall further findings . Is there a dialogue between you and the company . Yes, there is a dialogue. I find them to be very personal. Issuest agree on these but i think it is important no matter your disagreement. And here we are talking about a , bution by the commission it is still important to have a professional relationship because we want a change in market behavior to enable competition so the markets serve the consumer. On that, hopefully we can find a way. David thank you for your time. Emily, in San Francisco. Emily thank you so much. Coming up, the European Commissioner for justice will be joining Bloomberg Technology this thursday to discuss the latest on the privacy shield. The former cisco c. E. O. John chambers is stepping down from the board after 24 years. The c. E. O. Since 2014 will take on the role of executive chairman. It gives robin more complete control to steer cisco away from highpriced hardware which provides most of its revenue. The competition for what place workplace messaging apps is heating up. That is next. This is bloomberg. Emily the workplace messaging slack has secured 250 million in its latest round of funding. More than half came from softbanks vision fund. Earlier this month, slack, which has more than 6 million daily users, announced its service will expand to germany. Wey, the c. E. O. Spoke with work surveillance about the evaluation and potential for ipo. We are still relatively early although we have grown fairly large. We are still growing as quickly as we can. We just had our first user conference in San Francisco last week. We have partnerships. Significantly, we have the launch of slack in german and french. With projects like that, we have little ability to predict how fast it will be growing. For debility predict ability is one thing we are missing. I expect tshirts to be put out for a concert venue. Here is the issue. Guys in dark suits and bow ties look at an extrapolation of funds raised to 5 billion plus and go, what kind of dumb accounting is this . How do you as c. E. O. Respond when the fancy guys in suits show you are worth 5 billion . I dont buy it for a minute. We a little under four years in the market. We are still growing at 100 a year. 42 of the fortune 100. Up to this point, we have been english language only. With strong growth in europe and asia. You have in your notes on your European Tour that you are building revenue. What is the quality of that revenue stream . Is it amazon quality, ebay quality, or is it pieinthesky . I am not sure exactly how to take the comparison. Is thethe great things revenue is recurring. Over the three and a half years, we have had about 15 cumulative churn per month. I will not say it is the best in the industry but it has got to be close. We are building on that at a rapid pace. Emily the slack c. E. O. Speaking with tom keene earlier today. Is aiming to raise as much as 219 million in its initial public offering. The company and shareholders are marketing shares for 12 to 14 apiece. 9 million will be sold by roku efforting to a filing. Roku has yet to turn a profit since its inception in tw2002 and faces increasing competition. How has the mega breach at equifax impacted the demand for Cyber Insurance . We will talk to the lloyds of london c. E. O. Inga beale. This is bloomberg. Mark i am Mark Crumpton in new york. You are watching Bloomberg Technology. Lets begin with a check of first word news. President trump says he and israeli Prime MinisterBenjamin Netanyahu are giving it an absolute go in the middle east peace process. Both leaders are in new york for this weeks u. N. General assembly meeting. Prime minister netanyahu said israels alliance with the u. S. Has never been stronger than now under the trump administration. The canadian Prime Minister and british Prime Minister say their countries are working toward a new bilateral trade deal that would be in effect after the e. U. Leaves the European Union u. K. Leaves the European Union. The comprehensive trade agreement comes into effect this week. This agreement will create jobs and stimulate growth for people in canada and across europe. Prime minister may and i discussed the u. K. s ratification as well as the importance of stability and continuity in the canada u. K. Trading partnership into the future. Prime minister may has criticized her foreign secretary for his unauthorized intervention in the debate. Johnson wrote a newspaper article that led to the accusation he was trying to undermine the Prime Ministers approach to brexit. Russia held military drills about 60 miles east of estonias border today. The maneuvers have raised concerns about a lack of trust rossi transparency and moscows true intentions. Global news 24 hours a day. I am Mark Crumpton. This is bloomberg. It is just after 5 30 in new york, 7 30 in the morning in sydney. I am joined by paul allen with a look at the markets. Good morning. Paul good morning. The positive lead from u. S. Markets is expected to push things higher around the asiapacific as well. Nikkei futures up better than. 1 now. The japanese Prime Minister has admitted he is considering calling an election up to a year early. There will be a decision on that when he returns from the united states. In australia, futures up better. 1 , i beg your pardon. Theing on earnings from embattled broadcaster today. Keep an eye on the aussie dollar. That may move on the release of the bank minutes. It was kept on hold at 1. 5 . We are looking for commentary there. That is all for me in sydney. More from Bloomberg Technology next. Emily i am emil