Special counsel Robert Muellers team interviewed attorney general Jeff Sessions as part of the investigation into possible russian meddling in 2016 election, and could seek to question President Trump in the coming weeks. Now that government funding has been restored, nasa tv returned to the airwaves to transmit live images of two american astronauts making repairs to the International Space station. Mark manheim and Scott Angelle performing restorations. 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 im emily chang, and this is Bloomberg Technology. Coming up, twitters ceo makes his exit. While the top job at sophia. Plus, ubers ceo plans to put the ridehailing giant ahead. And we go to taiwan to get a behindthescenes look at companies ushering in the next tech breakthrough. First, to our lead. A huge shakeup for the Leadership Team at twitter. Coo anthony noto has resigned to take the ceo position at social finance, or so fi. Hes played a leading role at the company and has his work cut out for him at sofi when he takes over in march. He will fill a Leadership Void after fallout from accusations of sexual harassment. For more on how this all went down, we are joined by Bloomberg News tech reporter selina wang. How did this all play out . How big a loss is this for twitter . Reporter they certainly delivers a blow for twitter, especially at the beginnings of their early turnaround strategy. They are finally starting to show some revenue and user growth. That being said, noto did put in place much of the structures they needed to start this turnaround, paring back some of the other parts of the business to focus on user engagement. Some sources have also said this could provide a Good Opportunity for jacksons they have not always agreed on Product Division and this may the and , adjusting way for jack to pursue some other pass that had not been possible with noto. Emily jack dorsey tweeted im happy for him and really proud of everything hes a compass that twitter. Hes been a friend, partner, and mentor to me. He will always have my friendship and gratitude. Thank you. We love you. Lets talk about the real logistics here of the fact that they are not refilling this position, and what that means. Reporter i just got off the phone with a source. It is not clear for sure they will not fill the position. Theres a few steps that they are going to take. First of all, they are going to assess come at a they keep the current organizational structure they have right now reporting up to noto . Jack was in charge of the engineering and consumer part. Noto was in charge of the business structure. Do they want to change that . If so, they want to promote someone to fill that role or hire someone from outside . For now they will try and disperse that have the top ranks fill in the position that noto is now leaving. The leader of global ad sales will certainly play a large role in that. He will be the immediate person to fill in, but youre absolutely right. We have a dual ceo at this company. Without a coo it certainly presents a problem. Emily julie, by all accounts this seems to be a win for sofi. What is the word youre getting from the company . I think it is a big boom for their business. In many aspects, ive used sofi at this darling that has always done so welcome, but 2017 was not that great a year. They lost their coo, their chief revenue officer, now they finally have some clarity bring in a bigname that brings together a good balance of finance and technology that should be good to get sofi back on track. Years ago, cagney said ipo is on the horizon for 2016, i think that was the original timeline, and we are already in 2018. Emily i can only imagine that the culture there has been somewhat beaten down by all of these sexualharassment allegations, which didnt just service with my candidate, but surface with mike cagney, but others as well. Thewould you describe culture at the company right now, the sentiment among employees . I think right now people are still just one into wait and see what anthony brings in, but they are glad to have an adult, so to say, in the room. A leader, someone to look to. For a while there was no one to say, this is our strategy right now. Everyone was in wait and see mode for a long time. Emily twitter is about the report earnings, and the company has been improving when you look at the numbers. What are we expecting . Is anthony noto leaving on a high note . I think that is a really great way to put it. He has put in place a lot of the fundamentals and now they are ready to bloom. It is a very opportune time for him to leave. The expectations are good. The analysts ive spoken to dont think him leaving is going to fundamentally change the pieces about the company. For a long time twitter was actually shrinking, and now they are slowly starting to grow. One of the metrics that looked very positive is the daily active user growth. The growth rate has been looking very positive in terms of the users coming to the platform, the time they are spending on the platform, and a lot of that should be credited to jack as well since he is the one spearheading a lot of the actual user interface and product update the algorithmic timeline and the notification changes, the explorer cap changes explore tab changes. Anthony leaving is not going to change that. Emily were going to continue to cover this story later in the show. Bloomberg lp operates a global breaking news network on twitter called ticktock. It is an all or nothing a package for the billionaire founder and ceo of tesla. Tesla has granted elon musk a largest of its kind of 2. 6 billion stock award. If fully vested over a decade, Stock Options could make him up to 55 billion. In return, musk has agreed not to get salary or bonus. It appears to be teslas way of ensuring that must will stay. Still ahead, nasdaq posts a record high as stocks continue to rally. We will talk to one Hedge Fund Manager about why now is the time to invest in big tech. This is bloomberg. Emily netflix surging nearly 10 in tuesdays trading session, its best performance since july 2017 after reporting its best quarter ever. The jump in stock price has helped push streaming giant passed a 1 billion valuation. Netflix helped lead the nasdaq higher in the session, closing at a new alltime high, helping the massive tech rally was tech rally throughout 2017 continue into the new year. Thank you for joining me. Why invest now in tech and how much of the gains you are seeing are tech related . Most of the gains in our fund our tech related. We think it is a particularly interesting time in tech, despite the fact we have been on a nineyear bull run in stocks, and tech has left that has has led that. We focus on ecommerce, advertising. We think we are an inning two or three. In the United States, ecommerce as a percent of retail is about 11 what 5 , 12 penetrated. In china that number is 70 or 80 , but that is 17 or 18 , but that is early. More than half of the dollars spent in advertising are spent offline. As Companies Look more and more towards getting our ally getting roi and targeting metrics, they will look to shift from offline to online, and we expect the majority of that to come out of television. Emily lets talk about the online ad game which google and facebook currently own. You see the up and comer as amazon. Guest amazon has been quietly been building a multibillion dollar at business. It started a couple of years ago, primarily targeted at pcgs. It is very hard to distinguish Product Types on amazon. The ceo of the big four ad agency mentioned that the conversation is around, how do i avoid commoditization on amazon . The answer to that is spending at dollars to differentiate that product. If you think about where amazon sits, they are at the bottom of the final. They know exactly the funnel. They know exactly when and where you convert. Facebook and google are at the top of the funnel. They can track you across the web, but they may not know whether you actually convert on that product. That is kind of the holy grail to advertisers, and why they are more attracted to and thinking about advertising on amazon relative to google or facebook. Emily using amazon could surpass google or facebook . Guest it will be tough. Google is about an 80 billion or 90 billion at business. We do think that over the next 10 years, theres a real possibility that amazon becomes number two and does surpass facebook. Emily bad news for facebook. Guest not necessarily because most of that share comes out of tv, and primarily google. Facebook is a little bit of a different buy in that it is more of a brand builder then a direct to consumer or ecommerce. That being said this is very , transformational for amazon. The street is maniacally focused on it amazon will do an 8 , 9 margininto ebitda three quarters from now. We think the better costs to look at our facebook and google. If amazons revenue were to grow to 50 of advertising overtime we think the business overall could grow 30 or 40 . Emily if you hedge, how you do that . Theres a lot of folks that are losing. Traditional retail has obviously been a big area of shorts for us. If you think about it from an advertising perspective, each incremental dollar that is spent on amazon is one less dollar likely spent on tv through a traditional ad agency. We are particularly worried about the sustainability of the traditional ad agency model, which charges 20 to 30 for every ad placed on television. Emily if theres a stock market correction, how are you preparing for that . Ay we always have to be cognizant that there are factors we cannot control, but we do tend to run a pretty diversified portfolio from a long and short term perspective. There are a number of industries we think are being disrupted , heavily overleveraged, etc. That in a market downturn will , go down faster. Emily what about a company like netflix, which you see the stock price completely divorced from subscriber growth . Subscriber growth is plateauing, and yet the stock continues to be on the rise despite the billions of dollars of commitment in original content they had. Jay the new subscriber opportunity in the United States certainly is starting to decelerate. Still growing, but decelerating as netflix moves of that penetration curve. The big opportunity is overseas. When we step back and think about there are 6 billion to 7 billion people in the world, all those people want to enjoy content. Netflix is the largest repository of ondemand content in the world. When you think about the cost of netflix in this country, your paying roughly 11 to 12 a month. For you or i to take our family to the movie theater, getting a sitter, that is probably north of 100. Emily thats why we never go. Jay and thats one movie. The point is i think theres a huge opportunity here to raise price. We think that netflix can double, triple, even quadruple prices and not sustain a high level of turn. If you think about it, we are training to pay between 80 to 100 a month for cable. Emily what about all the cable options you wont have . What about life sports . Live sports . Jay live sports is important. There are ott options offering ondemand packages. Disney will be coming out with an ott package for sports. There will be opportunities to consume that, then obviously you have google and facebook likely to bid for some of these rights and take them online. Emily jay kahn, thank you so much for joining us. We will see if you are right. You are looking at a live shot now of the senate floor as they vote on the nomination of Jerome Powell for Federal Reserve chair. President trump picks in november to replace current fed chair janet yellen when her term ends in early february. His nomination is expected to pass the senate. We will continue to monitor this vote. This is bloomberg. Emily a stock we are watching, Texas Instruments out with , earnings, falling short of some estimates, declining as much as 6. 7 . Shares declined after the announcement. Texas instruments is the largest arer of analog chips that basic components of almost every electronic device. Taiwanese electric scooter maker wants to make sure its vehicles dont add smog to the air. It plans to launch a trial of its swappable battery bikes later this year. Our chief north asia correspondent Stephen Engle take s a look at how this tech upstart backed by former u. S. Vice president al gore is disrupting a gas entrenched market. Stephen locals call this the scooter waterfall. A daily torrent in taipei of taiwans nearly 14 million motorized scooters. Obnoxious albeit , necessary mode of transport. Heres the thing taiwan wants to ban oil motors by 2021. 2025. That is a long way out, but one start up is getting a head start. This company is called by some the tesla scooters. Stylish, cloud connected, and juiced by and panasonic rechargeable battery. For about 10 years, taiwans government has been pushing for an electric scooter to turn this very dirty mode of transportation into cleaner transportation. Throughout the 10 years, it was extremely unsuccessful until we came along. It has the equivalent of a 5k engine, and they say it can go zero to 50 kilometers an hour in just four to five seconds. Top speed is 100 Kilometers Per Hour with a 110 salon arrange. When the batteries are zapped, just swap them off at a kiosk. 30,000 batteries are exchanged every day. Changed game ultimately was the way that we fueled the vehicle. Pop in. In six seconds, they evaluate if there is anything wrong with the vehicle. Talks to the server, programs it a battery it. It takes minutes, not hours. Stephen another Green Tech Company not spending time thats not wasting time not wasting time turns taiwans abundance of manufacturing waste into some 1200 recycled materials, whether it is window shades made of discarded Circuit Boards or terrazzo tile from nike shoes and apparel. What drives us is anger, actually. With all this new intelligence, ai, and software we can play with, i feel like not a people are doing what we can do for the environment. Stephen both simply want to get toxicity out of our increasingly crowded cities. Emily Stephen Engle, our north asian correspondent. Tencent is investing in a french retailer to help it challenge alibaba. They have signed a term sheet for a stake that could help revive the struggling french retailer. It would also further expand tencents Global Payments across the country. After months of delays, apples home pod speakers will be available to purchase on friday and hit stores on february 9. The device was originally revealed last june and marks the iphone makers first move into smarthome hardware. Accessoriesrol such as lights, door locks, and curtains, and it can serve as a speakerphone for iphone calls. Coming up later in the hour, ubers ceo speaks to bloomberg tv from davos, talking about aiming to be profitable in three years. And you can find highlights from Bloomberg Technology on twitter or send me a message, and you can also follow along with tv on the bloomberg. You can watch us live. If you miss an interview, go back to it. You can send our produces a message any with questions or time comments. This is for bloomberg subscribers only. You can check it out at tv. This is bloomberg. For us, its not going to change our approach. We believe in free trade, but its not going to change our direction. Its clear the biggest risk in our view, at least, is trade. Fundamentally, are we questioning the kind of global trade that has been marking this Global Economy for so long . I think that is probably the biggest risk out there at the moment. Crocs you are watching bloomberg. He here are the first word headlines. Executives warning of parallels todays storing sought soaring stock markets and the precrisis years. Several ceos said the strongest Global Economy since 2011 is leaving Financial Markets come placement and investors could be wrongfooted by Central Banks raising interest rates. And 4 n asset valuation Global Economic growth, it seems like we are in a good place right now economically, but we have a Monetary Policy that seems like it is the remnants of. We haveionera capacity and Capital Markets to deal with a real move in interest rates. Has been confirmed as the next fed chairman. The senate voted 8512 to have him a janet yellen when her term third. Ruary the Trump Administration assessing candidates for the vice chair position. It has been vacant since Stanley Fischer retired. The new york fed president bill dudley quit in the coming months. The most active volcano in the philippines has burst into life, sending thousands of sending lava and ash into the sky. 56,000 People Living nearby have there are away, and fears of a more violent and corruption. Authorities warn of localized earthquakes and a pyroclastic cloud, where gas vaporizes everything in the area. In singapore, checking , it is a lotssion about the dollar weakness. The spot index falling to a threeyear low below 90. We are seeing a surge in the japanese yen, up 4 10 of 1 . No surprises. You are seeing japan past nikkei index down by. 8 . The topics the topix retreating. There is still lots of value in japanese stocks and we are starting to see the decoupling coming through from the relationship with the yen and stocks. 200 coming, asx back. Lets have a quick look at the stuff we have been watching in the session. We have been watching, sony has slumped after j. P. Morgan downgraded it to neutral. An Insurance Company rising in sydney. Petrochina at the highest since february 2017. You are se