Be brought to justice. The statement was drafted by japan on behalf of countries in asia pacific region, and was approved today by all 15 council members. Global news 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. Parenti, this is bloomberg. Emily i am emily chang. This is bloomberg technology. Oneonone with meg whitman in a bloomberg exclusive. Vegasins us live from las on maintaining profitability in the age of the cloud. One day before former fbi director James Comey Testifies before the senate, President Trump tweets of the name of his potential successor. We will tell you more about former doj official Christopher Wray. With hours to go before the u. K. General election, online voting is front and center. We break down the pros and cons. The annual hp discover conference is happening this week and the company has outlined how it will continue to grow and stay competitive in the age of cloud computing. Meg whitmanard ceo joins us live a for a exclusive interview in las vegas. Thank you so much for joining us. Meg happy to be here, emily. Almost two years post split. What is your number one message to customers today as Technology Shifts beneath us . Verythere are two important messages. First, we believe the world will be hybrid. We want to make hybrid i. T. Simple. On and offs will be and in the cloud. Each customer has to find the right miss for them. They are rethinking, do they want to put as much effort and applications into the cloud as they thought . Control, of another big opportunity for customers is that the edge. Factory think about floors, the edge, everything other than your data floor is exploding in that in terms of the need to collect data and store it. Emily there have been questions about margins in particular. Why is the environment so difficult right now . Meg our margin in enterprise group, a major part of hewlettpackard enterprise, was down in q2. We had costs from the best stitures. Dive we had significant increases. We anticipate it will go back to historic levels by q4. If we continue to grow highmargin growth products, gen10, the most secure server in the world, you will see nice Financial Performance from us. Emily what is the strategy to get cost down to help with the margin issue . Meg we have to really we have a much smaller, much more focused company. Ceo enjoying a Smaller Company rather than a bigger company. We have an overhead cost structure we have to get down to be more in line with the new company we run. We have to reengineer policies to make things simple. That will lead us to stake out more costs and be more cost competitive in a very competitive market. Volume servers, a very competitive business. We need a more costeffective cost structure there. Emily when we spoke of this time last year, you said dell was making a big mistake i merging with emc. Has been, hpe stock under pressure. Has that led you to reconsider whether smaller is still smarter . No. Were really proud of our Financial Performance and stock Price Performance since the topped from hewlettpackard, hewlettpackard enterprise. When you think of the stock price of the company as a whole, which reached a low of 11. 62 in the fall of 2012. If you add up hp ink, our share of dfc, and the Software Company, it isif you add up hp a share. A have done very 58 share. We have done very well. Emily can they play hard ball better because they are private . Meg there are advantages to being private. Is dell, because their debt publicly created, we have a window they do not get the scrutiny we do. We really like our hands. We have no debt on the company. We have about 6 billion of net cash on the company. We have gotten more strategic, focused. We are smaller, nimbler. We can turn on a dime now. It is a different strategy for dell. We are getting they are getting bigger, we are getting smaller. Moree leaning into technology and they are doubling down on old technology. I like our hands. How reasonable are valuations right now . Meg they have become a lot more reasonable in the last six months. We made an acquisition of almost one a month for the last six months. Valuations are coming down because Venture Capital is getting tighter in silicon valley. Losseslingness to fund for indeterminate time is shrinking. Have cloudights, we cruiser rights. They are dead on to our strategy of making hybrid i. T. Simple, empowering the edge, and the services we need to make it all happen. We are feeling good about the opportunity to make reasonably priced acquisitions that fit our strategy. Emily what are the attractive targets . What areas are of interest on your radar . Meg we are interested in a number of areas, but the first is the software decline data center. It is more a Software Company than a structure company. It is around deploying applications easily in a hyper converged environment. We are interested in software defined, allflash storage. We are also interested in the edge. Aruba was an incredible acquisition for us, growing 33 in the last quarter. We are super excited about that. Machine learning for security on the edge network. We continue to look for opportunities at the edge. Emily you spun off your Enterprise Services business, how does the Services Business evolve . An services will be important part of our next. Every company is trying to take their data center on a transformation journey from an older, brittle, high cost environments, to the new environment that is so essential for their competitive their ability to win in the market. Services, people need help on that journey. Why we will not do i. T. Or app maintenance, we will revive and transform. We think it is an important part of the business area the other part of our business is the echo system of partners. Here i discover in las vegas we have the biggest presence of partners that we have had in many many years. A lot of folks are anxious to do business with us because they do not view us as having an asset that is competitive to what they do. We are still focused on technology but have a whole bunch of players interested in doing business with us now, and that is great. Emily there is onlys great fascination around what your future holds. How long do you plan to continue running things that hpe . Meg i love what i am doing, i have to say. Now being head of a smaller, Company Faster moving makes this a lot of fun. I love what i am doing and we still have a lot to do. Journey tose in our make hpe everything it can be. I am here until my work is done. Emily what more work to feel you have to do . We now have to take this very focused Company Called hewlettpackard enterprise and make sure we have a cost structure that allows us to compete in the marketplace. We still have a little too much overhead because we had an overhead that oversaw 110 billion company. We have to take more cost out of that. We have to redesign some of our systems, our processes, to be more appropriate for a smaller, more noble company. We have more cost takeout to do and a lot of innovation coming to market. I want that to land well, like our server, which is getting rave reviews at this show. It is the most secure server in the world, and everyone knows security is one of the big issues facing every i. T. Department. You urged President Trump not to pull out of the paris climate accord, along with other business leaders. Hours later, he pulled out. How does that impact your relationship with the president . As you know, i was on the other side. As a lifelong republican, i endorsed hillary clinton. Said to our employees, i wrote a note which said, President Trump has won, we need to give them the benefit of the doubt, so we are. Is when we think there something not in our best interest or the countrys best interest, i will speak out. I said, i thought we ought to stay in the paris climate accord. The next generation of industries around clean energy is important for the United States of america. It does not impact our relationship. People can disagree and we disagree on this issue. Also told me he thought the president decided wrong on paris but planes to keep an open dialogue because he thinks it is important for america, the company. Whatis your strategy and are the number one things on your priority list when it comes to discussions with the white house . Meg we are in favor of tax reform. We think the ability to repatriate money overseas is important. A lower Corporate Tax rate would spur growth in the United States. On the other hand, we are not for the border adjustment tax. That is very difficult for companies that deport a lot of it is nots and in our best interest. By extension, in the best interests of the United States. To make it clear where we stand on issues, very respectful, civil discussion. That is what this country was built on, civil discourse and the ability to disagree without being angry. Meg whitman, ceo of hewlettpackard enterprise live from the discover conference in las vegas. Think you for joining us. Of our conversation with meg whitman later this hour. Coming up, President Trump says he will nominate a new fbi director on the eve of former fbi director comeys critical hearing. This is bloomberg. Emily we have breaking news, and emailed statement from the president s personal attorney, responding to james comeys opening statement, preceding the remarks he will make tomorrow before the senate. He said trump feels vindicated openingat in comeys statement, he confirmed that the president was not personally under investigation by the fbi. Personale president s attorney saying trump feels vindicated. We will follow former fbi director james comeys critical testimony all day tomorrow on Bloomberg Television. On the eve of the highly anticipated congressional hearing of former fbi director james comey, his Opening Statements have been released. He says President Trump asked him in february to put an end to an investigation into former National Security adviser michael flynn. Comey also states the president told him i need loyalty, when they find alone in the white house, with regards to the investigation into russia. President trump will nominate Christopher Wray to run the agency. As investigations into russia theinue and is wray right man for the job . What do we know about Christopher Wray . He is a solid prosecutor. Many people in washington said he is the best guy on the list, we are happy about this. He has a history of bringing cases. He was at the Justice Department after 9 11, was involved in terrorism and other coverage at the time. He went on to oversee a task force. Many other matters. He is an experienced prosecutor. Emily what do you expect his approach to be on issues like cybersecurity . The Russian Investigation . Winnie first up, he is not going to be overseeing the Russian Investigation. That is now run by a special counsel by robert mueller, former fbi director. Who he worked with had justice. They know each other, they are not strangers. His double be to oversee the fbi. We do not know a lot about what his intent will be we look back at his 2003 testimony to congress on the patriot act and fighting terrorism. He was very supportive of the patriot act. New, enhanced surveillance techniques and tools to put the fbi on a more even playing field. Patriot act to get information from internet we doroviders to go not know how they will feel hackingcking cases or iphones. It will get into the limelight at some point. Winnie okelley, thank you so much for joining us. Our special coverage tomorrow of former fbi director james comey, testifying before the Senate Intelligence committee, on Bloomberg Television and rader radio. Check out the sevenpage opening statement, it is quite a read. Ahead of the u. K. General election, online electronic voting. Just how big is the risk of a highprofile attack . This is bloomberg. Emily as british citizens had to the polls to vote in the general election, the debate on how people vote, back in focus. A new poll in the u. K. Reported 42 of adults who are not planning to vote in the june 8 general election will be more likely to cast their ballot if they could do it online. Lets get the Caroline Hyde in london, with more. By a great am joined guest, out there helping count as many as election votes. Lets speak to mike summit. This is already a company that. Elps with electronic voting where are you already helping with this . Mike we are working on five continents around the world. We have counted 3. 7 billion electronic votes. The government of belgium, customers in estonia. We have done three nationwide elections in the philippines. We have just done a big project in armenia. Literally, anywhere across the globe, any democracy. And the u. K. Isnt operating online . Why . We have to ask the u. K. Government. I think it is a shame. If you look at the recent technology successes within government, it has been the success of the online Voter Registration pool. Just last week, when the registration deadline closed, 622,000 people were registered to vote online. In one respect, we are doing something to enhance and make the registration process. It is a criminal shame we are not closing the loop and making voting easier. U k,eality is, in the election participation is dropping through the floor. We can make voting more accessible by allowing online voting. Caroline talk about the challenges, concerns. There are concerns when it comes to fraud, privacy, cyberattacks. How are your technologies ensuring that will not be a concern . Is important to stress that a lot of the things you read in the paper about state manipulations of elections and foreign intervention actually have not touched upon voting citizens. Is thaton for that Voting Technology is particularly hard to hack. We deal in very specific additional security features, featuring and to end encryption end to end encryption. Concerned about the privacy and security of these platforms and tools. We strongly protect those votes so they cannot be hacked. Caroline nevertheless, we saw in france a pulling back from online voting, particularly because they were worried about cyber attacks. Why did they do that if you have such a strong encryption . Mike it is important to stress, that is not a system we deployed. I think it was a kneejerk reaction to this general climate of concern around cybersecurity. It gave them a chance to look at the system solution and make sure it was watertight. If you follow that story through to its conclusion, one of the challenges is the suppression of that online voting, there were who were of voters disenfranchised from being involved in the election process. Without doubt, i think we will see that reinstated. Caroline if the u. K. Government came knocking, a could be at the end of this week, what would you there would not be an issue, such as the dnc hacking . Mike one of the advantages of technology in elections, you can introduce verifiability. It allows you to show that everything you say about the Security Solutions is operating correctly. It supports one of the key, fundamental principles of democracy, which is transparency. We have tools in the system that allow us to check right away through the casting process through the storage process, to prove it has not been manipulated. That is one of the advantages of online Electronic Systems over paper systems. Caroline mike summit, it has been wonderful having you. We will see how this election goes. He is already helping other countries get online when it comes to Voter Registration. Emily caroline in london, thanks so much. Coming up, more from our conversation with meg whitman on , hpe. Alth of her company if you want to check us out on the radio, you can listen to us on sirius xm. This is bloomberg. Alisa im Alisa Parenti in washington. Lets start with a check of your first word news. Theresa may and Jeremy Corbyn made their final push for support before going to the polls. Corbyn says he would be a leader for everyone, not just the elite. The flack has been raised at the nato headquarters in brussels, 29th the country became be member. Today condemned the deadly twin attacks in iran saying the deprave and he of terrorism has no place in the world. Nationst trump said that sponsor terror fall victim to the evil they promote. The death toll in the terror attack at the London Bridge rose to eight today after a body was found in the thames river. The attackers used a van to run down pedestrians on the bridge saturday night. Judges on brazils top electoral campaign. De the ruling could be an indication of which way the court is leaning. Global news 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. Im Alisa Parenti. This is bloomberg. Inis just after 5 30 washington. We are joined by paul allen with a look at the markets. Paul futures are not looking much better than the weather, we are waiting on a trade allens figures or april trade balance figures for april. Ore price has been coming off, and that follows a week gdp growth on wednesday. Our First Quarter gdp for japan expected to come in at. 6 higher on quarter and improving to 2. 4 percent. In may andalance china expected to rise almost 48 38 billion, import growth slowing as well. There is a lot to watch around the region toda