We are going inside one of the worlds most prominent fashion houses. Takes a look at the life and legacy of its founder. That is next hour during our in the no discussion. Lets have a look at some breaking news. Italian oh Banking Group is reducing releasing numbers. 5. 59 one billion dollars was the net loss. The reason for this they have written down 5. 8 billion in the fourth quarter. That is the reason we are seeing that. In terms of how the business is performing, one ratio is 12. 3 at the end of december. They say they are taking repricing action to limit what they see as a negative environment. Going through the metrics for the fourth quarter. Time when european banks looking ahead to the asset quality review that things be conducted by the central bank. Saying they have about 11 billion euros in capital buffer ahead of the asset quality review. We will keep an eye on that story as it develops. Those are the latest numbers. Back to our top story. Microsoft is an omission to get their software on all devices. That comes with the unveiling of the software for ipad. About the ceo. Hes not wasting time. Keyhis has been his ambition. The cloud. Subscription. Wherever you are, whatever you are doing, doing your business. You can do it on microsoft. I think that is the main take away. He is shaped shifting the dialogue for enterprise. That is the beast within microsoft. The Consumer Base business has been important. But it is the Business Customer that comes first. It is a case of if you cant beat them, join them. That is windows for ipad. He says he is not Holding Anything back. It is first and foremost all about the customer. Office 3. 65,mes to the vision is straightforward. The onesure that Million Office users and growing have access to the high fidelity Office Experience on every device. This marksipad one more step in that direction. The very open approach. The dell the decision he wanted made thect nadella decision he wanted the product out there. Quite a change in emphasis from the Steve Ballmer days. Read in a couple of their reports, they say this could really put rusher on the pricing out there at the moment for businesses in terms of accessing their data online. Managing corporate data. It is a strategic move. It will allow you to manage your data. That is interesting. But what will it cost the customer to use these products on Apple Technology . On the cloud . There is one pricing model. Free me him. Freemium. A new word in the microsoft dictionary. Your powerpoint, your word, and your xl. Editing, itto do will cost 99 want to do will cost 99 dollars. We are used to downloading and paying a small fee. 99 is a hefty fee. Free to view. But is that risk that they are taking. I want to talk about the nokia business they bought. The rationale for buying a nokia phone is they get better functionality with the office suite. Now you can get all this on your ipad and iphone. They will make an announcement on the id. The nokia side. Thank you very much. Another deal for facebook. They are looking at delivering web access through drones, satellites, and lasers. They have acquired a u. K. Company to help. She broke the story in san francisco. How important is this to Mark Zuckerberg . Thanks for having me. What mark is looking forward to is a future of having more potential users to go on to facebook. Almost halfhey have the internet connected population using their server. That means growth is going to stall if we dont do something to add more people to the internet. He is very passionate about this as well. As one of the underlying business factors. Getting more people online. How much are they paying for this . Less than 20 million . Less than 20 million. It is not one of those multibillion dollar acquisitions like whatsapp. Tell us a bit more about it. It is a small company, but they have the most experience in aerospace for this technology that allows aircraft to be suspended in air for a long. Of time. Time. Theyperiod of will be able to do through lasers in row areas, where the designers do not reach. How does this fit in with what they spoke is trying to do . Big goal for zuckerberg to get this done. He told his board he doesnt care if he makes money off it. World. S to connect the he thinks that will be crucial to the future of facebook and people on the internet. He has said explicitly, we dont need to be profitable. We just want to be the one to do it. Thank you very much, sarah. Sarah freer joining us from san francisco. Le,m a very different ang turkey has blocked youtube after a leaked encounter with officials discussing an incursion into syria. We have been watching developments. The turkish government is not happy about this latest video posted on youtube. That is putting it mildly. The foreign minister has described this as a despicable attack on National Security. The turkish authorities are not saying the meeting did not take place. They said, there was a meeting between the foreign minister and National Security advisor. They discussed the possibility of a turkish response to a threatened attack on an ottoman trying shrine. What the Foreign Ministry is saying is that the tape was doctored. A similarring line they have taken before. Documents have appeared on facebook and twitter. They have implemented the Prime Minister and his family in this corruption scandal. The government is not happy. People around the world, western institutions and the like, are taking a dim view of the latest assault on social media. The president of the European Commission saying it is another desperate and depressing move. I support supporters of real freedom and democracy. She added, where will it end . Where will it end . Turkish government against social media and the Technology Industry. Will this be a longer running story after the elections . It is certainly a court that this is happening in the runup. Youtube and facebook have always been the real enemy for the promised her. Twitter was really just a conduit linking to these documents and recordings posted on youtube or facebook. A lot of people wondering, what will happen next . Two days until the elections. Looking to use a Strong Performance in the local elections for the National Elections in august. Will they reveal Something Else between now and the weekend . You would think they would save the dust until last . Explosivee be an revelation in the next couple of days . Now twitter and youtube are blocked using conventional means. There are ways around it using vpns. The government is clear that some of these allegations, blocking the sites is like nailing jelly to the wall. I would like to hear any other way to describe how hard it is to block people. Triediott, i have never nailing jelly to the wall. Thank you very much. We will take a short break. When we come back, we will be joined by david to take a look at investment strategy. Plenty of news from the tech sector. Perspective,cro japanese Consumer Spending numbers that came in before. The patients before expectations. Time for todays company news. Facebook is working on projects to deliver the internet to underserved areas by building drones, satellites, and lasers. They acquired a u. K. Company to help. Breaking news from italys biggest bank. The bank has posted a surprise loss of 5. 2 boolean euros. Billion euros. Japanares of yahoo slumped as much as 11 . This after the company agreed to buy e excess. They will start a new Service Called why mobile that will share phone networks. Welcome back to countdown, i am anna edwards. A surprise drop in Consumer Spending in japan is triggering concerns that inflation is damaging for adjusting power. David joined by leibowitz. Thank you for coming. Investing in japan, good or bad . We saw some data that was disappointing. We did. The thing to keep in mind is the data in japan is going to disappointment disappoint over the next few months. We have the consumption tax, which will damage Consumer Spending. We will see a slowdown in the data. You wouldnt necessarily expect to see a 2. 5 tropic drop in Consumer Spending when were two months away from an increase in tax. Youd think theyd do the spending now rather than later ising this one data point disconcerting. That said, one data point does not constitute a trend. It has been a lot of uncertainty over the last few months. This may reflect that. Lets talk about your investment strategy. Looking for a little more comfort. In the u. S. , margins are holding up. Earnings growth is high single digits. Generally speaking, that should support prices moving higher. In europe, we see negative earnings growth. We are looking for the earnings stockswhich should allow to continue their appreciation with support from under flying underlying cash flows. Some people see the macro environment needs wage growth and money in peoples pockets read pockets. There is an interesting relationship that looks at nominal gdp growth. As nominal growth increases, which is a function of more money in people posco come but more money in pockets how worried are you about valuation in the Technology Sector . We have had a lot of news around the sect there. Around this sector. Facebook just keeps buying businesses. I think that there is a Good Opportunity in the hardware sector of technology. I think companies have a ton of cash on their balance sheets. Tothe uncertainty continues subside, we should see the Companies Deploy the cash. I can tell you my computer could use an upgrade. Hardware companies benefit. What about Gaming Businesses . Seen many people have asked whether we are seeing a bubble in technology valuation. Sideially with the gaming of things. Game developers. Is that something you worry about . I dont necessarily worry about bubbles in the Technology Sector. What all the shows us his investors need to be more discerning Going Forward when making investment decisions. You cant just assume that buying a game company is going to an result in a high return. You have to think about the fundamentals. Will they generate profits Going Forward . The longer profits. Hardware businesses where does that leave Something Like microsoft . They are putting their Office Suites making them available for users of ipads. Is this a material development, moving further away from hardware . I think it is an important development. The key thing for these companies Going Forward will be innovation. It is easy to build the monitors, cpus. It is difficult to come for a concept of what the somebody really need . Will fill a void in their digital life and how can we bring that to them . It seemed like everybody needed to take their tablets and smartphones to bed. That is the news for when people are fighting time to use these devices. No one is suggesting they will be using xl and word before bedtime. Do you use an ipad or tablet . Will you be using an office suite on it . As a businessman, does that make sense . I do have a tablet. Im excited about finally being able to work on the spreadsheet spreadsheet and presentations. Thank you very much for joining us. The globalwitz, strategist at j. P. Morgan asset management. We will have more on the rare earth elements trading that drives the hightech world. More on that when we come back. Welcome back, i am an edwards. For more coverage, check out our video channel. With get back to john. Raret china eyes Earth Exchange in china begin trading. They are the components driving many of todays technologies. From smart phones to car batteries. Aircraft,o industry, the industry goes on. I wont try to name any of these elements. I will tell you they are very important. Rare not in terms of supply, sensen the rare in the it is difficult to find them and concentrated mass. 90 of the production comes from one place china. You can see how important manufacturing is on these elements. They are bringing them to the exchange, like you can buy copper on the london exchange. It will be in mongolia and begins trading today. Is the first time you were able to buy it on exchange . What is crucial is they are trying to bring a little free market discipline to a market in china that is getting a lot of criticism from the outside for being anything but free. Adjusting that this has been at the heart of a trade dispute between the u. S. And china. Wto had to intervene. When you have a country that dominates production, it is bound to get attention. China has come out and cut mining permits, imposed export quotas to read justified in conserven mind to supply. The wto does not buy into that. They have been complaining. If you limit exports, you are driving up global prices. Global prices are jumping. Theyompanies and china, are getting access to these elements at three times less the price that companies in the u. S. Are paying. This comes down to turning chinese industry getting a competitive advantage. Turn has to respond. We will watch that story. Up, when fan enthusiasm goes wrong. The story behind for aris legal battle over a 21yearold. Plus, is microsoft embracing what users want . That is what the next guest says about the unveiling of Office Software. We will have a discussion when we return. With hise here thoughts on microsofts move toward apple and other developments in the microsoft is this. Business. Tobut lets get back jonathan edwards. A little boring right now, but the story is anything but. Household spending declined 2. 5 . Tax coming before a sales hike. The finance minister says the japanese government will frontload spending. 40 will come in apriljune. Thecompany question central bank of japan, a year since they boosted stimulus. Will they be forced to act as well . These are the top headlines. The hunt for the Malaysia Airlines 370 focused on a new area in the indian ocean. Radar indicated the plane flew a shorter distance than earlier indicated. The Maritime Safety authority says this is the most credible lead. Nationsed set assembly passed a nonbinding resolution saying the crimean referendum to join russia has no validity. Member countries are not obliged to abide by the resolution. A sydneybased Property Broker says it will except property the points of deposits in bitcoin. They are the first agency to accept the verso courts he. Virtual currency. They expect to do so soon. Now cooper is expanding in asia expanding in asia. They plan to introduce the car booking app to more cities. What is uber offering . This has convinced it with rugby . It certainly do. Many people depending descending on hong kong as we speak. They are here for the you rugby sevens weekend. Town commuted around their commute around town may be made easier by this application. It is called uber and makes life easier for those willing to pay a little more or in some cases, a lot more for a ride around town. A mercedes will pick you up, complete with the bottled water and somebody to open the door. They are opening that asian travelers will enjoy the service and take advantage of it. Places like hong kong and singapore, it can be a challenge. We will see how this catches on. Angelessed uber in los and washington dc. Inn two weeks ago i used it bangkok. It takes a lot of the headaches out of making your way across the city or where ever you need to go. We will see how well this product does this weekend for the right the rugby event. This is a trial. Deliberately designed to coincide with this influx. Absolutely. An influx it is. A big party, the Biggest Party weekend of the year. The 40,000 persons stadium will be filled to capacity. The 39th annual hong kong sevens. Part of a nine tournament series held all around the world. Top effort at two points ahead of new zealand. Guess how much those corporate hospitality boxes cost. As much as 51,000 u. S. Dollars. To entertain clients. We will report back on the party that it always is. I wonder how many people how many of the guests will be watching the field and how much will be partying. Thank you for joining us on the latest with about uber in asia. A for ari fan page started out simply enough. Six liters six years later, he has found himself in a legal battle with his italian carmaker favorite. The story begins with a 15yearold starting a Facebook Page for the for arias he loved. Is he loved. Erarr the swiss indian teenager for contacted him and wanted to make it the official fan page. Four years in, they lost it ministered of rights. They are suing. They say he put over 5500 hours anymore. Swissant 10 million francs. He is now in his 20s. As a for ari great fan, i cannot let the representatives disrespect us. A cautionary tale. What to do and what not to do if you are a company and lose control of your social media profile. Some Companies Might say, any public that he is good publicity. Publicity is good publicity. Different approaches here. But what cocacola did. In 2008, there was a fan page that reached one million likes. The two curators and gave them a letter control. A lot of control. Here is what not to do. Dont sue people. Use up that happened with nestle. Ad with greenpeace. And a remington tang an orangutan finger. They asked youtube to take it down. That created a social media storm. Eventually, they reached a settlement. Way to guarantee that a video will go viral, sue the creators. That is the mistake nestle is unlike to make again. Thank you very much. Hans nichols joining us from berlin. Lets stick with a technology theme. Joined by a partner. About microsoft, one of our top stories. They have launched under the new ceo, the office suite for ipad. Big deal . Fina