Like never before. And, sonos sues google. System the custom sound company showing trademarks of a takeover . We will talk about the survivability of upstarts in the big tech era . Breaking news. U. S. Treasury has named no currency manipulators in its fx report, effectively taking china off of being a currency manipulator. Again, the u. S. Treasury has ine no currency manipulators its foreignexchange report. We know that china was put on that designation list in august, being removed today. I want to get back to our top story. It is all about earnings season here. To reportnks set earnings this week after having spent billions on technology in 2019. That could be bringing a big change to the bonus culture as traders are being forced to unlearn some of their most basic assumptions about making money. Us, our Bloomberg Finance reporter. What are we learning about unlearning the bonus culture on wall street . What we are unlearning is that bonuses or maybe a thing of the past. In the past, traders were always judged as these big players in the markets who could make outsized bets and outsized profits and money on the back of that. Electronici of fication, the machines are doing the work for them so they cannot garner that kind of paycheck anymore. Taylor we joke about this all the time, instead of going back to cfa school, we will go to coding school. Lananh what traders are trying to do now, at least the smart ones, trying to build in the transition for the future. While they may never be heavy quant sort data scientists or phds in physics, they need to get up to speed, whether it is algorithm trading or electronic trading. It does not mean that they are going to write the code, necessarily, but they have to have some fluency with that topic. Taylor even though quans and traders of that type are in high demand, it is not necessarily translating into a raise in composition in compensation. Why the discrepancy . Lananh a recruiter i spoke to said that even though quans are in very high demand, that does not necessarily mean that the salaries and bonuses are going to come up in any big way. There is an emphasis on cutting costs, which means that the basic level of skill you have to have will require more technical skill. Taylor do you think this is just the beginning of what looks like a broader structural change undergoing the Financial Markets at this point . Lananh i do. A lot of the experts have said. He same the pace of financial innovation and movement is going to continue so if people want to stay relevant, they need to learn, up skill, and make that transition. Taylor any other reaction from the street . Lananh a lot of emails from traders saying, i wish i had gotten up to speed, and maybe i should take a class or something. There have been a lot of soulsearching emails. Taylor can you remind us of size and scope . How many jobs have the potential to be automated . Lananh the people i spoke to have not really said because i think it is too wide to quantify. There is not a precise number. Equities, foreignexchange, a lot of these markets that are highly electronic are already seeing this change. On top of that, everyone is talking about the bond market as well. Those are the most intuitive markets to see this transformation. Eventually, this could head into investment making as well. Investment banking as well. Taylor we will continue our coverage of Bank Earnings all week as the numbers come in. , aa has agreed to buy plaid network that makes it easy for people to securely connect financial accounts to the maps that they use. Visa will fund the deal with cash and data. There is expected to be no impact on the visa previously announced stock buyback program. Coming up, we will talk to one of the biggest Hospital Systems in the u. S. Ofconversation with the ceo providence Saint Josephs health from the Health Care Conference, next. As we go to break it more headlines. As a. S. Has removed China Foreign currency manipulator. They are citing their foreignexchange commitments. Some comments on currency, according to treasury secretary steven mnuchin. A semiannual foreignexchange report. Again, holding talks with the pboc on currency since august. Originally putting them on that report in august, now removing china as a foreignexchange manipulator. More details as we get them. This is bloomberg. Oflor the intersection health care and technology is never more important than at the j. P. Morgan Health Care Conference going on this week in san francisco. One of the biggest Hospital Systems, providence Saint Josephs, announced a partnership with microsoft in july. Its ceo rod hochman joins me now with his predictions for health care in 2020. One thing that stood out on your list was Health Systems starting to prioritize digital access. When it comes to care and collaboration with big tech, why do you see that as a prediction . Withwhat people expect every other service in the economy, they expect to get on the app, make their appointments, do that. We are seeing this big revolution in the digital front where alllth care people want to do is figure out who their doctor is with a couple of clicks. Taylor who are the biggest disruptors and do those disruptors continue in 2020 . Rod there are a list of them. I think Everyone Wants to do health care. Walmart, amazon. Plus, there are a lot of startups working particularly in the ambulatory space. Worry about my traditional competitors anymore. I really think about all of the electronics startups around us. We have to figure out how digital front end to make it easy for our customers to get in touch with us. Taylor do you view amazons early entry into the race as a threat or a motivator . Rod that is a good one. I think both. There are certain things we will do with Companies Like amazon. With our microsoft arrangement, they really wanted to help us make Health Care Better and not necessarily compete with us in health care in the future, it is something we are working on. And i data privacy, wonder if big tech is doing enough to protect Health Care Data . Rod you said it perfectly. We are very worried. One thing our patients trust us is with their data. They dont want to see us giving away their data to someone else. We have been very protective about that relationship. We are looking to protect partners that will understand that. Thatink the difference is the consumer has to be in control of their data and they have to be a partner. It is not just that i will give up my data and hope something happens. I think the consumer wants to be a partner in this Data Transfer and understand what protections they have. See voicew do you assistants working within the Health System . Of the biggest problems today, if you have gone to see your doctor recently, most of the time they are head down on a mouse or keyboard and not making eye contact. We think getting information through voice will be critical for clinicians. Their biggest complaint is about the Electronic Health record and particularly about them having to be data entry clerks. So they will really revolutionize the way that tool works. Clunky forit is too both the patient and doctor. I think voice activation is one of those things that will make it better for the clinicians out there. Rod our thank you to rod hochman, ceo of providence Saint Josephs health. Of healthis the head Care Technology and distribution at jp morgan. She has been a leading member of the Research Team met jp morgan for about 16 years. I asked her about the role of companies and how they play in the devolution of health care. The integration is more between medical and diagnostic. A labng it together with company, they have done really well in being able to do patient recruitment, bringing new technology from a medical perspective to the marketplace. Favorites one of our names on the telehealth side. The cost of the services. They announced an acquisition yesterday of a Company Called intouch. This creates a broader platform for them to be able to touch people in the hospital, at home. They have a great relationship with cvs. You look at Companies Making heavy investments within they are the lisa when you start thinking about making decisions around health care were Artificial Intelligence can play a part, valuebased care. We have to move away from feeforservice to valuebased care. If you are a diabetic, what is going to happen to you next . Not just for me physical perspective but how about a mental perspective . That is where Companies Like teledoc come into play. You can get the help to walk through not just your physical ailments but your mental ailments. Taylor were the threats of amazon entering this space overblown . Lisa this will sound strange but i think amazon coming into any space is good for these companies. They make Big Investments to compete and it makes them better and smarter. When you think about a platform like amazon, really tailors to bhe consumer, a lot of b2 companies, how they will put technology in the marketplace. Taylor do you feel like that makes Companies Better off now than four years ago. Lisa you have had a consolidation. Youve seen cvs come together with aetna. United health care has a massive platform. A lot of that is because of competition in the marketplace. Companies like amazon, the threat of an amazon, really creates the opportunity for companies to think about these things differently. Taylor when we think about some of the big issues in this space, drug pricing, transparency, medicare for all on the democratic platform, how is all of that forcing Technology Companies to look at the way they do business . Lisa there are a few things. Drug pricing, we believe you should price the drug correctly, there should be a price for innovation. Egregious druge, pricing has to go away. We are seeing drug pricing that is mid Single Digits right now. Transparency. At the end of the day, you should know what you are paying for. Medicare for all, i dont think it is as simple to get medicare for all done as people believe. Even if we have a democrat elected to the white house, most likely, the senate will remain republican and it will be difficult to come up with bipartisan support. Taylor that was my conversation with lisa gill, j. P. Morgan chase managing director. Coming up, what lies ahead this year. This is bloomberg. Taylor netflix feeling the oscar nom love. Forof nine films nominated best picture this year. Marriageshman and story giving netflix its best shot yet for winning the tom price. Roma was seen as a favorite to win the best picture oscar but lost to green book. As alphabet continues to compound on its defensible dominance in search and video advertising. Our next guest has taken a look back on the digital ad space come or he says things look positive, with the strongest uptick belonging to google. Joining me, Pivotal ResearchSenior Analyst michael levine, who currently has a buy rating on alphabet. Trends in thead last few months show you about how google was best poised to outperform . What i think you are talking to is the pivotal advertising insights product, where we survey about 55 large agencies and large marketers. , over the course of the quarter, was pretty clear increasing ad loads in terms of the shopping products, and on youtube. We were pretty shocked when we saw the significant improvement in r. O. I. For the third quarter, not only versus the third quarter. When we looked at the q4 versus seemedseasonality, it pretty pronounced. Taylor another stock you mentioned that is poised to outperform relative to consensus his snap. Snap frankly has been struggling. 18. Now, trading at the median price target on the street is only about 19 per share. What is snaps angle here. How do they stand out against so many other big competitors . I think their execution has gone from being relatively lackluster to exceptional. Amazon, the cfo from the chief sales officer, jeremy gorman, also out of amazon. Really putting much more consistent best practices industrywide into the company. Hearing good feedback from the agencies, becoming more relevant, showing up more consistently on plans. Was one of the ideas we had highlighted as one of our favorite for the year. Taylor where does that leave amazon . Michael on the advertising side or in general . Taylor yes, advertising. Michael i have done a lot of checks basically talking to large agencies that focus specifically on amazon. I think something that a lot of folks on the street dont necessarily understand or appreciate is that it is highly correlated to them with the business. Their ad business for the most part looks a lot more like alibaba, where you have a company, say, like procter gamble, selling products on the amazon site, also spending money on advertisements. For is a complete winwin amazon. You get the consumer data, and it is a win for the brand manager at gamble. We are bullish. We think there are some good things going on. There are some interesting updates as you are mentioning them, conceivably on the deal front, with regard to amazon prime video. Aboutad talked to tbs exceeding 40 million devices at the end of the year. There was also some chatter that they were talking about going in and trying to bite just trying to sell other apps across devices. Taylor where does that leave other competitors in the space. I am thinking his new plus and netflix, potential oscar nomination. Michael i dont know if it is necessarily a bad thing for disney plus. For what it is worth, prime video, in my opinion i think of the amazon business as two primary things. Youve got aws, then you have retail and all the things that drive the prime retail around. What amazon could conceivably be thinking about doing, trying to go ahead, giving away the fire hardware for free, then perhaps a subsidized prime offering. To the extent that they can build a more robust video ecosystem, on the advertising side, that would allow them to subsidize that. Michael levine of Pivotal Research, thank you. Theng up, we look at largest chipmakers as the u. S. And china reach a trade deal. This is bloomberg. Here, it all starts with a simple. Hello hi how can i help . A data plan for everyone. Everyone . Everyone. Lets send to everyone wifi up there . Uhh. Sure, why not . Howd he get out . a camera might figure it out. That was easy glad i could help. At xfinity, were here to make life simple. Easy. Awesome. So come ask, shop, discover at your local xfinity store today. This is Bloomberg Technology global link where we blew where we joined bloomberg daybreak australia. Lets take a look at the top global tech stories of the day. I japanese billionaire seeks a special woman to fly with him to the moon. The first paying passenger on voyage3 maiden tourist is looking for applicants through a documentary he commissioned called full moon lovers. He has a net worth of 3. 6 billion. The indian event in new delhi this week, but he is likely to face protests by more than half a million locals who are against amazons practices. Open anes as they antitrust probe into amazon and walmart. More than 560 million indian Internet Users will soon have unprecedented control over their footprint. The top banks are rolling out a system that gives consumers access to their data and a choice of what to share and with whom. It aims to protect data and the credit market. Credit market. Op spearheading an effort in washington. They are stepping up u. S. Lobbying to ease the fallout for ongoing trade tensions. Ian king joins us. Is this a sign that maybe they are worried about their relationship given that they are now hiring a top lobbyist. What we have seen over the last year or so amid the trade war, everything thought to be normal, the way the supply chain worked is now off the table and open to renewed scrutiny in washington. It is hard to overestimate the significance or how crucial tsmc is for the supply chain. As the biggested supplier but they are also nvidiasualcomm, biggest supplier. That is not just because they are the cheapest game in town. They have some of the best factories in the world. Taylor if there biggest suppliers are both apple and huawei, if one wanted to choke with taiwanto do so semiconductors . Ian this is the biggest question i think. If you are the u. S. Government and determined that huawei needs to be shut down, a a lot of the chips that huawei gets are made in those factories in taiwan. If you wanted to really shut realhuawei as an entity, a chokepoint. A real practice that has Chinese Business links and interests to step up lobbying in 2020 . Ian we saw in our story, people are spending more. Huawei are spending more. At the very least, you have to have more people on the ground, speaking to more people in the corridors of power in washington. Not only are we seeing more action being taken, but an increase in noise around who is thinking what and who will take action. Taylor what do we know about Peter Cleveland and what he may or may not have done formerly at intel that could give us insight into some of the next steps . Obviously is handinhand with the u. S. Government in terms of companies that are important. It has been lobbying that point for years. He is going to know the right people, the right processes. That is definitely something they could use. Is the recovery or bottoming out, despite the political challenges being ongoing . Preliminary numbers out of korea, electronics talking about how prices are getting better. This is something a lot of people look at, the memory chip price trends as an open indicator of where demand is. I think 5g phones will require more memory, data, storage and we will have to see some demand on the backend. Starties like google will eldin out infrastructure again. All of these are being taken as early indicators that