Peering into palantir, our exclusive conversation with alex karp tells us why protesters wont stop them from doing business with the Trump Administration. First, a shakeup at hp, the ceo resigning, leaving the company to attend to a Family Health matter. He will be replaced by the current head of the printing unit of hp. He has been instrumental in improving cost structure and organization, helping profitability. To discuss, ian king and dan morgan. Dan, you have a position in hp. Ian, i will start with you. What more are they saying . I had a chat with them both. He reassured me this is personal and not a decision he took lightly. He has to go back to his native australia to deal with his family situation. If you take him at his word, there is no background story, no corporate scandal, no push out. Emily dan, shares of hp up 55 since he took over in the split with hpe. He has grown revenue, profitability. What is the impact on the company . It is interesting because we go back to meg whitman splitting up these companies. Everybody was putting their money on hpe. That was the most exciting part of hp. The old printer business was boring. So it is interesting to see hp q doing so well. It looks like they had a pretty good quarter. Printing was down 5 . There were concerns in the previous quarter surrounding slowness in growth in that area. It looks like personal computing was up 3 . Overall, a pretty good quarter, a beat in terms of bottom and top lines and consensus estimates. Emily tell us more about the guy replacing him at the top, a 30year vet, started as an engineering intern, navigated part of the split and was there during that time. The take from this is that he has spent the last year working with the board on a strategic review. The main pickout from the language was basically improving the way the company does business. I think investors will focus on that and look for him to explain what he means, how does he think he can make the company more efficient. Obviously people would focus on reducing that headcount. October 3 is when he will talk to investors about what his plans are. Emily dan, even though he has been able to improve the balance sheet, you have a pc market that is stagnant. What are the challenges ahead for hp inc. , and who is the main competition . You think of hpq, we remember when they bought compact and became the number one pc player. It is a very mature business. They did edge up growth in the quarter, which is strong, but it makes you scratch your head on how they can make this thing grow. They have been relying mostly on Share Repurchases in terms of increasing the dividend, which is over 3 , and that has been driving a lot of the attraction to the stock. They have some new 3d Printing Technology theyve been working on that wall street is excited about, but in terms of their core business, pcs, when the data comes out, youre looking at very low or no growth at all, so how do you continue to move forward when your environment is so negative . It is a big challenge for hpq. Emily hp had been impacted by the trade issues between the u. S. And china. They manufacture many devices in china. How does that change your view on the company . Is it impacting where you are placing your money . We have a pretty good position in both. We owned it before the stock, so we would look at it as a dividend stock in regards to investment. In regards to tariffs, they are a company like the semiconductor companies, potentially apple, that will be heavily scrutinized. As you mentioned, they have production facilities over there subject potentially to being retaliateive tariff the Chinese Government could push against him, so we have to monitor the fundamentals going forward, but at this point, we are holding our shares. Emily dan morgan and ian king, thank you both. Lets switch gears to another salesforce, the maker of cloudbased applications, a fourthquarter revenue forecast the top estimates. I want to bring in a senior an analyst at jmp securities. What are the highlights . One, is the core business to is the core business still growing . Is something bad happening in europe . And three is around tableau. On all three fronts, they did well, and so the stock has reacted. Emily lets talk about tableau. Huge acquisition, a lot of attention, how will tableau be integrated . We are going to find out. That is the big question. The bear case is they will sell the existing products to their existing salesforce customers. That would be boring. The interesting case is they would take the smarts, knowledge and semantics those people have and start to build really interesting analytic apps. Emily do you see salesforce continue to use acquisitions to stay fresh. We have seen the rivalry with oracle, and i wonder if Marc Benioffs secret to not becoming oracle is to continue to buy . Yes, be careful. I think tableau will work out well. He has to keep innovating his own products. The last three to four years, they had some things that did not work out so great. Be theirsupposed to analytics, now they are buying tableau. Einstein, i think the jury is out on einstein. Lightning, the jury is out on that. They have to make sure they innovate themselves. That is one of those big pushes in terms of core values. Emily what are the biggest threats to salesforce, and upstart, oracle . The biggest threat is that they dont deliver good, new products, upset their customers and their customers dont buy more stuff. It is that simple. The customers have to trust them, like what they are doing, and keep buying more stuff. Emily how are the trade issues geopolitical, macroeconomic impacting salesforce . They dont do much business in china. They dont have Hardware Components coming from anywhere, but what does have an impact is on peoples confidence. If the ceos start worrying about a macro slowdown, people could pull in their spending on software and that could be an issue. Emily thank you for the additional context. We will see if we find out more about tableau. Meantime, another social media crackdown tied to the hong kong protest, this time youtube. It has disabled 210 channels intended to spread disinformation about the hong kong protests. Earlier this week both twitter and facebook suspended account backed by the Chinese Government used to undermine the protests. Youtube said the activity was consistent with the coordinated chinarelated behavior discovered on facebook and twitter. All three services are blocked in mainland china. Coming up, apple just weeks away from revamping its most important products. We will bring you the details on what to expect from the newest iphone next. You can check us out on the radio, the bloomberg cap, and in the u. S. On sirius xm. This is bloomberg. Emily apple is getting ready to unveil new hardware in the coming weeks, including three iphones, upgraded ipad, and largest laptop in years. The main feature of the iphone will be a camera that can capture ultra wide photos and videos. Joining us now are julie and bob, reporting on new details for the upcoming iphones, new camera, wideangle photography, the ability to edit video. What are you most excited about . The wide angle camera is nice. We have seen this on other phones. Samsung and others have had this for a while. It makes a big difference. That is one challenge with the smartphone camera, so people will like it, but it is not enough. Even the other things they are doing to get people excited. The thing i am most interested in is this notion of shatterproof. People have been working on improving the rigidity of the display. How many people you see with broken phone screens, so having that, if it does what it implies, could be a big deal for a Certain Group of people, but again, at the end of the day, apple is a year behind the rest of the market when it comes to technology. They will not have 5g or a 3d camera until next year. This is the challenge they face this fall. Emily that is one thing these phones wont have, which is 5g. Julie, what is your analysis . How many people will buy these new phones with, to be fair, exciting upgrades. Not a big design change. So not to be the nerd, but i think the camera is exciting. Cameras and media sell phones, so i think consumers will be excited. I am excited about enhancing the transition so i can consume media and create media, and in addition, the better the camera, the better the chips, the faster the network, the better the Computer Vision is, and it sets the stage for future experiences on smartphones that are much more immersive. Emily it is not just phones, we have a refreshed ipad pro, entrylevel ipad coming to , versions of the apple watch, but obviously apple has been working to build out its service offerings, apple tv plus, apple arcade coming this fall, and for the first time, the iphone made up less than half . That was a huge market for r for the company. People have been concerned with the Smartphone Market slowing down, people are extending the lifetime of all the phones they have, and so they have to spread the wealth to different devices. They are giving more love lately to the mac, which is great. They have this new macbook coming out. The ipads, apple watches more incremental. The story will be the new hardware with the services. Im sure we will learn more about the services and how they tie in. They will one to make it work better on apple hardware than other hardware platforms, so that will be interesting to see them tell that story. Fundamentally, we are still in this era of apples cycle that is lower than people would like to see, so that raises questions longerterm. Emily julie, would you agree . Again, being the engineer, these are big steps forward. If you think about the future of experiences, more immersive, better Computer Vision is a , better speech analytics, they are doing a lot to create a platform that will go beyond Media Consumption and control, but setting the stage for a platform for health care, education, financial services, commerce, and other categories for consumers, so i am impressed with the technology and engineering and what they are setting themselves up to do here. Emily bob . They do have nice technology. I am not going to disagree. My point is simply they are behind other people on that front. We have seen other Companies Bring these technologies out there. Apple magic is tying it into services, health care. We will see what they do with Computer Vision. I agree that is an exciting area that will be important. A lot of that is softwarebased. We will see what happens down the road, the ability to do 3d scanning is going to be fun, but again, that is probably not coming for a little while. That enhances ar as well. I agree we will see enhanced experiences. I just think it is more software than hardware. Emily new details about apple tv plus they will be unveiling in november, new trailers for the shows. How optimistic are you about the streaming service visavis netflix, visavis disney . I think it is absolutely the future. I think it is market competitive. It will be interesting to see how this moves forward, how important it is for consumers to have media that works with the Apple Ecosystem versus the libraries of competing services. This one is hard to tell because they dont control the entire ecosystem of hardware here. Emily bob, meantime, a trade war raging, apple becoming a poster child for the trade war. Luckily tim cook can pick up the phone, luckily for apple, and President Trump seems to like that, but you have tariffs going into effect on air pods and the apple watch. Starting september 1. You are right. Very real world concerns. Yes, kudos to tim cook to be willing to make that call and get things done on their behalf. That is fantastic, but at some point it does become a concern. China plays a along game, so , sohina plays a long game even if there is a shortterm blockage, that longerterm issue is a big concern that will face apple. Everybody else as, not just apple, but apple is that poster child in that regard. Emily julie, how concerned are and thet tariffs longerterm position of apple given its business in china and all the manufacturing it does there . I agree with everything bob said. I also believe that apple is in an enviable position because so many other customers are fluent. They can roll out new earbuds and charge 159 or 199, and it will probably not impact their sales that much. They are in a good place. Emily julia, bob odonnell, i am sure we will see you in a couple of weeks. Two, three, four, when these devices are unveiled. Coming up, the booming business of esports, could it be the next thing for arlie in esports be the next big thing in esports bubble . We will talk about that next. This is bloomberg. Emily in 2018, esports catches the attention of 400 Million Viewers worldwide. Media rights revenues for esports top 180 million. One Company Thriving is allied esports. The Company Recently went public after being acquired by black ridge. The ceo joins us now from the nasdaq. He rang the closing bell earlier. Why go public this route than a traditional ipo . We were offered an opportunity by a person who did ipos many times. We were offered this and he presented this opportunity and we took it. We believe having a public platform would help to push the business forward. Emily talk to us about how the esports market is changing. It has gotten big, but now you have talk of an esports bubble. Are we in an esports bubble . I do not see a bubble per se. Esports is at the heart of video gaming. We have 2. 4 billion people playing video games regularly, and esports is at the heart of that. Viewership already surpassed 400 million on a global basis, and it is growing fast. As an industry, it is still in its early stage. The participants are all huge tremendous we have opportunity in front of us. Emily the fortnite world cup was a huge success. You have multiple events, but do you believe fortnite the game could be peaking, because there is concern about that. I would say fortnite is still a wonderful title. We have run many events with epic before. Last year, the event was hugely successful with more than 2 Million People watching it, you need viewers, so it can create some amazing numbers, but there are more titles going into the market. Overall total viewership is extremely strong. Emily talk to us more about how you make your money. When you host a fortnite tournament, how do you make money off of that . Like any other media company, we have sponsorship and work with a lot of partners now. We have one in mexico that is selling the content we produce together, so it is like any media company. We also work with the largest Shopping Mall owner and operator in the united states. We are also working on the simon cup, an event we designed just for them. They are working with us to present opportunities to their sponsors and talent as well, so we are no different from any other traditional business in terms of how to monetize it. It is just how content is delivered and how sponsors can wrap their heads around this new opportunity. It will take a little bit of time, but the potential is huge. Emily we will continue to watch how the esports market evolves. Frang ng, thank you for joining us from the nasdaq. Coming up, doordash changing its controversial policy. We look at what prompted it and what is different, next. This is bloomberg. From the couldnt be prouders to the wait did we just winners. Everyone uses their phone differently. Thats why Xfinity Mobile lets you design your own data. Now you can share it between lines. Mix with unlimited, and switch it up at anytime so you only pay for what you need. Its a different kind of Wireless Network designed to save you money. Save up to 400 a year on your wireless bill. Plus get 250 back when you preorder a new samsung note. Click, call or visit a store today. Emily this is bloomberg technology. Following anordash outcry from customers who claimed the company was withholding sales. It is sharing details of those details and announced a new pay model including an increase in base pay and a guarantee tips will be added on earnings. After facing criticism for a policy that allow the company to subsidize pay with tip money, joining us is the ceo. It has been a month since he said these changes were coming. Why did it take so long . By saying thatrt for things to work at doordash, it has to work for millions of consumers, hundreds of thousands of merchants d and dasher. This is something we always work on. The day i announced we would make a change teams worked around the clock, and we were talking to consumers and dashers , and third parties validating what were doing now. We have shipped the model so it is out in the wild testing. We taken time to make sure were doing something so important correctly. Emily what other changes . What are the changes . Whats the new policy . Under this new model, theres base pay. There will be tips on top. There will be promotional bonuses. Under this new model, every dollar a customer tips will be extra in the dashers pockets. There will be greater variability, because in the old model we took care of the dasher when there was no tip. We will increase base pay across all orders. That means on average, dashers will make more money in this new model, and we will keep the transparency we have always had which means we will show every piece of information about the order. Emily you have workers telling Business Insider that nothing has changed. What is your response . We had been talking to dashers and shipping this new model for a long time. This change was difficult. There are lots of dashers who really like the old model. They like that consistency, so we have to make sure that as we shipped a new model, we would constantly do it with dashers. That is how the rollout will happen. We will rollout more improvements in the future. Emily i ask you this question every time you come on, but there are continued questions about how sustainable this on demand food delivery model can be. Demand food delivery model n be. Can you earn a living for doordash or uber eats . Some of these workers say they make eight dollars and hour. Is that sustainable for them and for you . You are also trying to raise their pay. How do you make this model actually work longterm . At the start, it is important to understand who these types of workers are. 80 of them have