President trump said that the soldier knew what he signed up for. He tells bloomberg is motivated to serve the country. Reports ofalled their disagreements they can is. And former president george w. Bush addressed a poor and a forum. That bigotry and White Supremacy and any form is blasphemy against the american creed. He also says bullying and prejudice set the national time. Global news, 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. Im alisa parenti. This is bloomberg. Bloomberg technology is next. Emily i am emily chang, and this is bloomberg technology. Coming up, lyft gets 1 billion for its war chest in a funding round with alphabet leading the charge. Why the google parent is riding shotgun with the startup in the race against uber. Plus, apples iphone plans come under scrutiny after a report says the company slashed orders for the iphone 8 by half. We put the strategy of launching two smartphones weeks apart under the microscope. Google diplomacy, as the Company Continues to face a series of political and cultural setbacks. How the ceos multitasking skills are being tested. But first, lyft gets new funding that values it at 11 billion and it is coming from an investor in its biggest rival. Alphabets capital g unit is leading the investment. 1 billionremember, alphabets Google Ventures made a big investment in uber years back. Waymo is embroiled in a bitter lawsuit with uber. Joining us to discuss is our host for the guest hour, bob odonnell, president of Technalysis Research. You reported months ago that this was possible are now it is official. What does this mean . It is amazing, the aboutface here on alphabet. They invested in uber back in 2013 when uber was doing black cars. They were way ahead of things. The relationship over these intervening years has totally deteriorated. It is amazing. Emily they also have a stake in ubers success. Right . If uber has a massive exit, alphabet would benefit greatly. Eric you can see both sides of it. For one, clearly, the industry is growing. Why not have stakes in both . On the other hand, it is a bit of a zerosum game. Uber and lift have traditionally used the money to spend on and lyft traditionally used the money to spend on subsidies against each other. It is like taking money out of your pocket and lighting it on fire because they keep using it to discount their lives and gain market share. Emily bob, is that fair . Bob im not sure that it is. I may disagree with eric on this one. It is still not completely ubiquitous. At the end of the day, any market grows when there are strong competitors. You can look at any market there is. 2 Strong Companies helps raise all boats, i would argue. Certainly there is a lot of that that is going on. But i think the opportunity to drive more strength across and make it more completely ubiquitous remember, we were in the bubble here. Outside the bubble, there are still a lot of people who have not tried it yet. That is where the Growth Opportunities are. Certainly here in the u. S. If lyft takes some of that money and goes international, thats interesting question as well. Emily i interviewed to gm i interviewed gms president earlier this week and a gm made a Huge Investment in lyft just a year ago. Now they are partnering with uber. Take a listen to what he had to say when i asked if you would ever consider buying lyft for or deepening the partnership with lyft. A lot of options in terms of how we go to market. We can go to market for our own network capability, go to market for different partnerships. All options are open at this time. Emily so, eric, no loyalty. What do you read into that . Eric especially with self driving cars, nobody knows who is going to win, nobody knows what strengths they are going to bring to the table exactly. I think everybody wants to have everything. Alphabet is not putting all their chips in with lyft. They have their own self driving car platform and are free to partner with other people. Lyft partnered with ford and, obviously, gm. They have a lot of relationships of their own. There is a level of cross pollinating and investing with a lot of people. Emily what progress we have on lyft in the market . Have they gained relative to uber as uber has been struggling . Eric they are definitely gained market share in the u. S. We dont have exact numbers. You sort of rely on thirdparty data collectors. But they have gained. How much, we still need to see. Emily bob, it is perfectly feasible that there could be two big players. Bob absolutely. Eric is right on autonomous driving. It is really early days. Nobody really knows which direction this is going to go. That is a big challenge. You need to place your bets. Having said that, the concern i have is the longterm play for both these guys is, you know what, eventually it will all be autonomous. If this takes longer than people think, and i think it will, and all of a sudden you have given people employment for 7, 8, nine , 10 years, it will be harder to start pulling that back away. Ironically, i think there will be big challenges down the road as people take the ultimate step in this business model. Emily what is the latest in the uberwaymo lawsuit . Eric it is set to go to court in december, continuing there was this huge release of data from this report where basically uber identified information taken from waymo, and that happened very late in the game to disclose to alphabet. They are digging through all of that, seeing if that gives them new evidence for preparing for court in december. Emily eric newcomer, who covers uber and lyft for us, thank you. Bob odonnell, you are staying with me. The unlimited data plans verizon once shunned are helping the phone giant buy time for its new for its next move. The largest u. S. Wireless providers saw a surge in subscribers for the second straight quarter. The increase gives verizon more breathing room to create new sources of revenue in media, advertising, or connected cars, as it struggles to maintain market share amid a price war. Relieved investors sent the shares up the most since july. Coming up, shares of apple drop on signs that iphone 8 demand are not as strong as expected. We will dig into what is fueling the apple anxiety. Bloomberg technology is livestreaming on twitter. Check us out. Weekdays 5 00 p. M. In new york, 2 00 p. M. In san francisco. This is bloomberg. Emily the dow and s p 500 extended record highs on thursday, but it was by the slimmest of margins as the session started in selloff mode. A constant drag on major averages was apple, down the most in two months. Joining us to break down why the shares fell is abigail doolittle. This has to do with the report of apple cutting orders to some suppliers. Abigail indeed it did, emily. There was a report out from the Economic Daily news in taiwan late in the day that apple had and forrs for November December the iphone 8 relative to its chip supplies. That sent shares of not just apple lower, but the supplies. But also the suppliers. It has to do with why u. S. Major averages were sharply lower, especially earlier in the session, relative to those cuts. It sounds as though it is modelspecific, because some of these reports that come out of the asian papers are not necessarily written in stone. I did speak to one analyst earlier today and he said he would do followup work to figure out whether this is true, but if it is true, it is one of the Production Cuts that typically comes in november or december. This would be the first Production Cut in october since the iphone 5c. It could be a bearish signal, but again it sounds like a model cut, not an absolute cut. Are saying the iphone 7 is still selling well. And even the iphone 6, because the pricing relative to the iphone 8 is better. But of course everyone is waiting for iphone x, so we could have consumers holding off for that and going to the cheaper models. The iphone 8 seems like it is getting a bit squeezed. Emily abigail, there is little question that theres a lot of pressure on iphone x to perform well, people are waiting for it. But what are the risks . Abigail the biggest risk is what if it turns out to be a dud . Everybody is expecting this phone to be great and consumers will love it and will spend thousands of dollars, but if it is not as great as expected, it could also cause the average selling prices to go down, too. Historically, apple has complete inelasticity relative to pricing they dont budge. But if the phone isnt selling, that could in fact turn out to be a risk. Another risk, china. If we hop into the bloomberg terminal and take a look at what is happening in the financials, on the left side we see the revenue segments americas, asia pacific, europe, and so forth. Lets hone in on china. Because china is about 16 of their overall revenue. We see that between 2013 and 2015, Revenue Growth out of china was very, very big, but the Company Helping to drive the stock. But more recently over the last few quarters, it has been declining, and right now the reports are that the demand out of china is really pretty weak. That could be a worry. However, in china, the iphone is really a status symbol, so most consumers there are probably waiting for the iphone x. Nonetheless, this could be a point of worry. On the year, though, this stock, apple, still up more than 30 . However, in an odd way, that in and of itself could be a bit of a risk. It tells us that analysts and investors and strategists have High Expectations for the iphone x, as to whether or not it will be the grand super cycle that everybody is looking for. It also puts some risk on the december quarter, whether they will reach numbers. Time will tell, but today was a bit of a rocky day for apple and that apple suppliers. Emily bloombergs abigail doolittle, thanks for weighing in. For more context on apple and supply chains, still with us, bob odonnell, president of Technalysis Research, and our guest for the hour. First of all, this is a report that came out of the taiwanese Economic Daily news. How reliable is a report like this . Bob coming out of taiwan, rumors abound. Having looked at that market for years and years and years, things do pop up. Not every detail necessarily can be correct but generally speaking, you get a good sense of some of the things that happened in the supply chain through taiwan. Emily is it conceivable to you that they could have cut orders by more than 50 . Bob the absolute 50 number does strike me as kind of high. That they could cut orders by a good amount. My guess is it could be true. If you recall, at the apple event this is something we talked about i had concern around the fact that you had a phone that a lot of people felt, the iphone 8, was very similar to the 7 and the 6, and the x was more interesting, more exciting, yet was going to be delayed. I wrote a column about this for usa today saying, hey, is the iphone 8 going to suffer . It looks like that is executive exactly what is playing out. Emily abigail used to work that ive never heard associated with the iphone, that it could be a dud. Bob i will disagree with abigail on that one. I am sure the iphone x is going to do great. The question is, will there be enough supply . Apples biggest quarter, and they count on huge holiday sales. Guess what . It is coming out in november. If there are supplychain hiccups, all the people hoping for the iphone x under the Christmas Tree may not get it. That changes the dynamic there. We could ironically see with the sale of the 6 and 7 that even though apple introduced higherpriced phones, the asp goes down. That seems totally counterintuitive, but if you do some math, the iphone 8 is in selling and not enough can get the x, that is what could happen, it is not inconceivable. More have you heard any about possible supplychain issues around the iphone x . There is concern that there will not be enough to meet demand. Bob im sure there wont be. Im sure demand will completely outstrip the supply, and again, that is my concern as well. That is why i said, there are a lot of people who will not make it for a holiday purchase. That will impact q4 numbers for sure. The whole notion of the super cycle gets delayed into 2018 if not later. It might be the Second Generation of the iphone x before we see a super cycle. Emily and then does this all smooth out the middle of next year . Bob i think it does. It is apple, it is the iphone. It is still an iconic thing. People are going to buy it. It will do well, no question, but it gets delayed. Serious, istion is, china. You have a stronger you have these brands that are getting much stronger in china, and the differentiation between apple and all these other guys is getting smaller and smaller and smaller. Lets not forget samsung. They are doing very well for samsung right now. Emily bob odonnell, founder of technalysis, you are sticking with me. Coming up, strong showing in its public debut. How the Database Software makers ceo plans to stave off amazon and oracle, next. And if you like bloomberg news, check us out on the radio. You can listen on the Bloomberg Radio app, bloomberg. Com, and on the radio on sirius xm. This is bloomberg. Emily paypal posted strong earnings for the Third Quarter, driven by a surge in payments volume and growth on its mobile platform. Shares are up nearly 5 in late u. S. Trading. It also topped forecasts for revenue. Shares of paypal have already soared more than 70 this year. Mongodb has marked its trading debut. The Database Software maker rose in earlier trading after pricing above the marketed range. Raisin the ipo comes in what coe the biggest month of the year for u. S. Listings. After a slow summer, it joins 20 companies that are priced or are scheduled to price in october. Bloombergs ipo reporter alex barinka caught up with mongodb president and ceo dev ittycheria and started by asking how the company will use the new capital. Dev it is all working capital. We have no plans to make any acquisitions today. We are going after a very large market, one of the largest in enterprise software. We are using the proceeds to really invest in both products and continue to innovate and produce new products as well as expand our existing portfolio of products, as well as invest and go to market in as many parts of the world that we dont have salespeople in. Even in the u. S. , we dont have salespeople in every nfl city. We are looking to expand our reach and reach more customers more efficiently. Alex who are you targeting as you continue to go for scale . You say you are pushing out geographically. Are there specific types of customers, developers, i. T. Partners . Who are you looking to build a relationship with . Dev we actually have over 4300 customers today across every vertical industry. We have some of the largest customers in the world using mongodb. For example, over 50 of the top 100 companies in the world are customers with us today. Some of the most sophisticated customers are using mongodb to run their business. One of the things that really weferentiates mongodb is really are a generalpurpose database and are designed truly to address a wide variety of use cases, across almost every industry. There is no revenue concentration. And we feel like what it really shows is that we are positioned wellpositioned to go on after larger opportunities. Alex when you talk about larger opportunities, what does that mean . Bigger customers . Break that down for me. Dev applications grow as the data volume grows. We are a landexpand business. We see customers grow by a factor of 10 and 20 times the initial spend. As you penetrate the account and be able to support new applications and use cases. And migrations of existing use cases where they find the existing application architecture does not scale and it is hard to add new features, hard to it here hard to a dhere to new regulations and policies. With that, these accounts are growing very quickly, and we are adding lots of new accounts as well. That is why we feel very bullish about our future. Alex when i do think about the industry, though, the competition, names like oracle come to mind. Amazon and google are crossselling their database products on their cloud offerings, and that is a semirecent development. How do you jockey against these names in tech when it comes to selling into customers . Dev yes, good question. We have been competing with the biggest names in tech since the company was founded. So, oracle has built its Database Technology on architecture that was introduced over 40 years ago. I mean, 40 years ago i was using a rotary phone to make phone calls. Now i have a computer in my pocket. Fundamentally, the Technology Landscape has changed radically, but their architectures are based on a database from the 1970s. With players like amazon and google, we are actually partners with them. One advantage we have is that you can literally run mongodb anywhere. You can run it on premise, on your laptop, the data center, or private or public clouds. Alex i have to ask, talking to my sources on the street, i kind some kind of wonder what is , the value of mongodb in staying a Standalone Company . What if one of the bigger players does come in and scoop you up . Are you a better product within a larger suite . What is the argument for mongodb to be a standalone and not an ideal acquisition target . Dev we have been building this company for the last 10 years and we have acquired over 4000 customers. We have proven we can serve the needs of the most of many customers, not just in north america, but in europe and asia. We feel very, very comfortable about being a standalone entity. Now with the proceeds from the ipo, we have a very strong Balance Sheet to continue to invest in business. I think that investors have recognized that, and obviously, rewarded us for it. I also should point out it is not about how the stock is doing today, it is about the longterm. We believe that the best is yet to come. Emily that was mongodb president and ceo dev ittycheria. Coming up, we take a look at lyft. A mega funding round through the lens of an investor. Dave klein joins us next. This is bloomberg. It is 2 29 p. M. In sydney. I am paul allen with the latest first word news. The bloomberg dollar index has jumped after a budget resolution was adopted. Rep