Transcripts For BLOOMBERG Bloomberg Technology 20170718 : vi

Defense secretary james mattis is expected to send nearly 4000 more troops there this summer. 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 caroline im Caroline Hyde from london in for emily chang. This is bloomberg technology. Up, big blues for ibm. Revenue dropped for the 23rd straight quarter. We break down their losing streak as investors lose patience. Plus, the annual meeting of the minds as leaders in tech converge on colorado to share ideas on cybersecurity, ai, and the future of work. We are lives in aspen. Reruns that digital eyewear with a new focus. We get an upgrade to the google glass and how the corporate version resonates with users. First to our lead, it is a hit and a miss for ibm. While earnings for shares are dropping afterhours after the tech giant came out with revenues that fell short. Sales in the cloud platforms, as a key new area, but declined. Its the 21st consecutive quarter that sales declined yearoveryear. Is our us from new york Bloomberg Intelligence reporter. This is painful when you are digging into revenue, because you are seeing year upon year of negative revenue. 5 in the second quarter. We cant see growth all the way out until 2018. This is difficult for ginni rometty. Reporter it is definitely a sore report sore point for investors. The companies have been transforming businesses to rely more on emerging technique is best technologies, whether it is cloud, ai, analytics. Those usually do well for ibm, but it is legacy products that pull down the total sales. Caroline how did the socalled strategic imperative do . That is where the focus of growth is. Why did we see the decline in sales, and particular in the ai unit . Reporter and quarter after quarter, you could see some lumpiness based on large contracts, one quarter of a or the other. The general trend is still the same. Cloud business grew about 30 . Overall, the message is still the same that when you come to legacy products, it is still undergoing a massive change where clients areoverall, sayinu have been working with us for quite some time. Now we want to change the portfolio of products we want to buy. When you buy those products are selling the products, you have a lot more competition, whether it is amazon, microsoft, or google. Theres a new set of competitors. Caroline and investors do seem to be getting frustrated. Im looking at a chart on the bloomberg function. Even see how much ibm has underperformed in the nasdaq this year alone. We saw the likes of Warren Buffett cutting his stakes in ibm. Are more investors not willing to wait for this turnaround . Even though, as you say, it is coming. Reporter one of the things we look into is that when you look at the growth story, i think everybody understands it will take time for growth to come back. Is mores margin story interesting. Last quarter we saw decline in almost every division. They have slightly exceeded analyst estimates on gross margins, but the question is, do we get rebound in profitability in the second half as the investments pay off . That is the big message. Not so much focusing on the top line. We know it will take a few quarters for that to reverse itself. Caroline where do you stand on forecasts . They need in that the second half to have one of the highest earnings second halves in the last 20 years for ibm, if they are going to make the companys forecast. Has they managed to reassess where they might meet that . One, they haveis maintained guidance for the full call,n the conference which should have started now. They will give a little more detail as to how they expect margins to improve. For example in the systems division, theres a new product cycle that would come in the second half that should help margins. The mnas signature, and should should much her. There are several factors that could help offset the pressures in the first half, but there are still a lot of structural issues in the company. Thats the main point, whether they can overcome that in the second half. As you mentioned the competition, they are up against amazon, microsoft, who is made big changes to focus on ai. We heard who is really cleaning up at the moment . Who is ahead of the game when it comes to ai, ciber, the areas ibm is pushing into . Reporter ibm is targeting more the enterprise a ice base. They had ai space. They had an advantage of being the first to move into it. But every of their big company is giving people tools to build those products themselves internally. Product, theser are not standalone products you can sell and start making money off of. It will be included part and parcel with everything they sell. As they develop with insurance, with banking, it is that combination that will drive additional sales for ibm. Caroline and for now, investors wait. Afterhours trading, down 2 on ivy on stock ibm stock. Another stock we are watching, toshiba. It surged so most in five months after David Einhorn had a position in the struggling company. The hedge funds that is wagering toshiba shares will rise. Believesht also toshiba can resolve a legal dispute over a cell of its memory unit. Up, shares of netflix jumped the most in nearly two years, hitting an alltime high. We will dive into that and other tech movers in the market, next. Bloomberg technology, is Live Streaming on twitter. Check us out weekdays at 5 p. M. In new york and 2 p. M. In san francisco, 10 p. M. Here in london. This is bloomberg. Caroline politics, media, and the future of automation was front and center at the Convention Held in boston. Our bloomberg editor at large eric sachs Erik Schatzker sat down with barry diller to discuss how ai has been used for business. We have been using Machine Learning and Artificial Intelligence for years. Because theerated computing ability, the ability to compute faster and faster, has accelerated. But Artificial Intelligence it is scary, and promising, and all of that. , they havemputers the ability they dont yet have, they can distinguish pictures, but they can do it yet with understanding language. They are really close. That really is going to be the big, big motivating change. Caroline that was buried in on stage with our own Erik Schatzker. Whereturn to the markets, the nasdaq is recovered from the recent tech fall back to close at a new alltime high. As we head into earnings season, the current value of big tech stocks are being called into question. Thats go to Abigail Doolittle in new york. Youve got it all for us. Talk us through these moves. Reporter its a pretty remarkable session. Finished her and an alltime high, the first time weve seen that since june 9. The reason the tech pullback was the we are notpullback, quite sure what has behind that, but it seems investors have more confidence in this highflying sector. To your point about highflying valuation, valuation is pretty high. Btvn take a look at g 5201. This shows what we are looking at relative to valuations. Longterm pe of the s p 500 tech index. We see that in the bubble of 1999, 2000, skyhigh. Now right above the multiyear high at 19 times, some investors say that is relatively rich, highest since 2009 when stocks were covering and prices were high, and earnings relatively low. The question is, are the earnings too high . Especially for chips, it is that closer to 25 times pe. Amd, which has been up in a huge way over the last year, it cannot be measured on a pricetoearnings basis, because the e is not there. It will be interesting to see whether or not investors continue to believe the valuation is worth it. From a performance standpoint, we do have proved today from netflix that they the performance is in the pudding, to some degree. They put up a tremendous second quarter, beating subscriber that 61 . Ts it will be interesting to see whether it plays out with other tech companies. Caroline netflixs high netflix is pricetoearnings, 223 times, quite phenomenal. Clearly some match anticipation baked into that stock. Into thech downandout ipos we have seen over the course of the past few months. Reporter it is Pretty Amazing to see the carnage of two in particular, snap and blue apron, both down, well above the ipo prices. Blue apron down more than 30 from its ipo price, snap below 15. That ipo is 17. Snap had initially been hyped buying highflying, a lot of enthusiasm. Labor and ash blew a brain being pressured from a lot of fronts, including the fact that amazon just filed a patent for competing Meal Delivery prep kit. The question is what is next for some of those ipos . Back into the bloomberg, we have a chart that shows this is typical. Btv 2669. If you can believe it after facebook went public, shares were down more than 50 . Now they are skyhigh. Look over to the right. The orange line is the nosedive of blue apron. In purple, that is snap. However, both square and facebook have managed to recover. Twitter in blue, not so much. Andquestion is, is snap blue apron closer to twitter or more along the lines of square, . Facebook is in a league of its own, i have to say. [laughter] caroline all eyes on facebooks earnings as it comes out next week. Abigail doolittle, thank you. Now a story we are watching. Facebooks Whatsapp Messaging Service has been partially blocked in china. It comes after the government began private cracking down on Virtual Private Networks which allow users to read data overseas. Authorities have been ramping up social Media Censorship in china as it prepares for its 19th communist party congress. Russiand between intelligence and President Trumps 2016 campaign continued to be scrutinized, we speak with the former nsa director general peter alexander. The advice he is giving to the commanderinchief, next. This is bloomberg. Caroline now the 14 brainstorm tech conference is well underway in aspen, colorado. The event brings together Global Leaders in the Digital World to discuss Ways Companies are preparing for the future. We will send it out to emily chang, at the event was mark. Emily, take it away. We are having a few technical difficulties. It happens on a tech showed sometimes. I know she has been getting some great sound from key topics. A big key topic has been the , has of cybersecurity major hacking attacks continue to happen around the world, not to mention the investigation of russian meddling in the u. S. Election continuing to dominate headlines. Earlier, emily chang spoke with someone with expert knowledge of the suspect, retired former director general of the nsa, keith alexander. We talked about the boldness of russia hackers in the u. S. Election. It points out not just that its we didnt but they were not prepared to defend. If you left a bag of money on a park bench, then youre surprised somebody stole it, you would say, secure your money. I think that gets us to secure your network. We should not be public with this. We have to make changes in cybersecurity. Its important to point out it cant he done by industry itself. It has to be industry government ownership partnership. Actually, it think this is an area the Trump Administration has taken on. I think its important government and industry Work Together for a defensive architecture that can block these things in the future. Actually, whether blatant or not, we shouldnt be faced with them. We shouldnt have people losing intellectual property to lowprofile hackers. Emily what is your impression of whether or not the Trump Administration is taking these threats seriously enough . On cybersecurity, i have met twice with the president. Both meetings have been great. He asked all the right questions. He pointed to his Administration Officials to help. He said, what do you need from me . I think he takes it serious. He understands this threat. He has tom bossert as a lead. Hes amazing. I think what they are doing is trying to put this in the right place. I am optimistic that the government will move forward. I think we as an industry need that. Theres so much you can do as a cybersecurity company, but for sectors in the nation it takes the government to weigh in. I think we will get there. Think of it as an air Defense Network over the country. If we had everybody defending each state with their own Defense System are each company with their own system, that would not be a viable defensive infrastructure. We have to change that. Emily we understand youve been advising the administration. What kind of advice are you giving them . Great advice. Its always been great. Just along those lines. We have to Work Together. I think the interesting part is my experience in the Financial Sector and in the energy, they are willing to pay and do what it takes to get them secure. Great across the board. Ceos have been great to work with. Cybersecurity teams in the financial and Energy Sector are doing great work. Link is, when they are being attacked, who do you call . We have incident response, but no way to block the attack. Now if you jump forward to the election, and they are being hacked, who do you call . It is always after the fact that you need to have a way of defending it at network speed. That takes industry and government Work Together. Emily if President Trump is taking this issue seriously, then why hasnt he publicly acknowledged russias hacking of the election . I think that is a more strategic question. That gets back to, what do you want to do with russia, and how does the Administration Work with russia in the future . Do you poke them in the eye or talk to them quietly on the site . Is tomments i would do say publicly, im not going to make this harder than i need to. How do i privately engage putin and the russian government to get to the right place . We dont want to create another cold war. We dont want a war. We have to have some kind of partnership with russia. Remember, 40 years in the military, russia was always the adversary. At the same time, we have to be conscious. Its like that movie where you are looking up at them, but you have to figure out in the middle east and other areas how do we work with and not against them. I think every administration, the Obama Administration, the bush administration, now the Trump Administration is trying to say the same thing. Got to give this Administration Time to work it out. What that means is dont poke them yet. Emily that said, youve got all the u. S. Intelligence agencies saying this happened, and it seems like President Trump is at odds with his own intelligence agencies. Really what hes doing is giving himself the ability to deal. When you are a ceo and you want a strategic deal, you let your people do certain things and you leave yourself enough room to negotiate. I dont know specifically on these. I have not asked on the russia stuff. Im giving you my best thoughts. But my experience with cybersecurity and dealing with him, hes very thoughtful. I thought he was well read. He knew all the facts. He had read everything. As you would see a ceo. I expect on russia hes doing the same thing. And the question for our country, i think that weve got to ask, strategically, where do we want to be with russia and china . Caroline that was the former director of the nsa and ceo of network security, keith alexander. Great interview. Who else have you spoken with . Emily thank you. It has been a fascinating day here at Fortune Brainstorm. Coming up, we will speak with marty levine, the coo of instagram, talk to her about snapchat and the allegations instagram is copying snapchat. Asalso spoke with ben vogel, well as penny pritzker, former commerce secretary for the u. S. We will get her thoughts on the administration and what shes doing now. Caroline amazing lineup. Thank you so much. A stellar set of interviews. Coming up, we are talking google glass. Are they ready for the come back . This is bloomberg. Alisa im Alisa Parenti and washington. Lets with a check of your first word news. Prime minister theresa may is being encouraged to fire disloyal ministers, after leaks of disparaging media stories about varying members of the members hoping to replace are jostling for position. She has warned that toppling her could end in a labor victory for jeremy corbyn. Russia has issued a warning to the u. S. It might expel diplomats or shutdown property in russia if diplomatic compounds in the u. S. Are not reopened. In response to reports of russian meddling in the election, the Obama Administration expelled 35 russian officials and shut down two russian is thats estates. The u. S. Imposed sanctions on 16 people and organizations linked to a run iran. The trumpe day after Administration Certified that they are complying with a nuclear deal. Is said to be preparing sanctions against some vips. Elan this comes after president Nicolas Maduro promised to continue plans to establish a new congress to rewrite the constitution. That, despite a warning from President Trump. More than 7 Million People participated in an unofficial referendum to oppose that legislation. 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. It is after 5 30 p. M. Tuesday here in washington. Already 7 30 wednesday morning in sydney. We are joined by paul allen with a look at the markets. New records for the nasdaq, a onepoint gain enough to do it for the snp here in the u. S. Paul implicit closes in the. , but unlikely to impressive closes in the u. S. , but unlikely to translate in the asian stocks. The aussie dollar is pushing higher above 79th and snap . 79, after the rba released minutes on tuesday. Enough to make traders bullish aussie. We also see the u. S. Dollar weakening. Asx futures pointing lower despite record highs on wall street. We are up about 1 10 of 1 and waiting on bhp quarterly numbers. Bhp expected to come with 60. 5 million tons of iron or. Elsewhere, looking for hutchinson ports in singapore, and malaysia cpi for june expected to hold steady. Im paul allen in steady sydney. More from bloomberg technology, next. Caroline this is bloomberg technology. Im Caroline Hyde in for emily chang. Google glass is making a comeback. This time, it is eyeing a different type of consumer. After noting his popularity in factories and other large businesses, the tech giant changed its focus for the glasses, which are now officially named the google glass enterprise edition. Google partners like boeing and dhl. We are joined by mark argan, who covers alphabet. Fascinating. Its about the enterprise. Reporter it is pretty consistent with the direction google has been going. They have been divesting from moon shots and expensive projects, and they go to partnerships or stakes in companies. Also, the Cloud Computing and going green has been a huge enterprise. Google glass is still part of the research lab, but the Sales Strategy will go through the crowd team. Cloud team. Caroline this has been going on quietly for a couple of years. They have been using this in business is already. Reporter right. Google is finally talking about it. They have been having logistics. Ng Health Care Companies have been using google glass. Sometimes they were wavering and it was never clear that they were pulling the plug. This is a vote of confidence for those companies now that google is committed to publicly talking about it. Caroline is it over for the consumer dream . They are not going to go chasing snapchats glasses. Is it done for you and i . Reporter i dont think so. The ceo of google and the vr direction division, they are still thinking of augmented reality. Theres still a dream or you can overplay the real world with the Digital World. Glass top them to be a lot more careful. You can see that google will probably be much more conservative than they were in the past. Certainly, competitors like apple, facebook, snap, microsoft, they are pushing forward fast with ar. I doubt google will give up on this. Caroline talk to us about another great scoop you have. We are also seeing google backtracking a little bit in google fiber. Whats the story . Theres another shakeup in terms of whos in charge. Reporter it has been confusing. There are people in the industry and even in google who are not entirely clear. At one point, it was this big challenge that broadband and Cable Companies that are often markets, and the google came in with fast service, cheaper prices. From what i could tell in the markets they were in, consumers were pretty happy with it. They had this big plan to go to 20 cities that fell back. There ceo left in october. His replacement came in february. Within five months, he also departs. They dont have a replacement. They havent given a reason for why he departed so quickly. From what i could tell, he was still sorting out exactly what the strategy is. They bought a company that does wireless, and are talking about using new spectrum waves and exploring the new technical capabilities of delivering internet. Been ito has it has been scaled back significantly. Are they expecting it to remain smaller . Reporter , its unclear. From the best i can gather alphabet really cares, about the product. They really want faster internet. One could say the goal of google fiber was to improve internet speeds and reduce prices. They spent a lot of money on that, but they did do that. Faster and cheaper internet is good for alphabet and google. I do think they are thinking of different ways they could actually scale this with a sort of technology, a breakthrough in technology, not just a business model. A lot of the work is digging up trenches. That is not something google historically has liked. Caroline a great story. Check it out on bloomberg. Com. Thank you, mark bergen. Lets return to our coverage of the Fortune Brainstorm tech conference in aspen. We sat down with the Instagram Ceo coo, and emily chang discussed how the platform is advertising. One in five mobile minutes is facebook and on instagram. There are 2 billion people using facebook and 700 million using instagram. Businesses need to be on both. Whats interesting about the Instagram Community is that people in the community really want to hear from businesses. About half of our Community Connect with the business voluntarily. They want to hear from businesses. We have been focused on helping businesses big and small instagram,n advertising feed, and Instagram Stories. We just started advertising there, and helping businesses develop a presence and connect with new customers and connect more deeply with existing company customers. Caroline how would you rate the success of Instagram Stories so far . Its been great. If you think back a year ago this time, Instagram Stories did not exist. Now there are 250 Million People using it every day. They are not just sharing highlights, but all of their moments and telling their full story. That can come from businesses as well. Of the mostwatched stories on instagramthey stories, a third e from businesses. What that shows is that people want to hear from businesses in feet and also in Instagram Stories. Emily instagram may be the one facebook platform where ecommerce actually works. I know you are doing some experimentation. You have partnerships with j. Crew and club monaco. How are the partnerships . It has been interesting. People come to instagram because they want to connect with businesses and their friends and family. Sometimes when people are coming, they want inspiration. Sometimes they want to be able to act. They see a great pair of shoes and they want to be able to buy those. But when it comes to shopping, there is a journey in between. I think instagram can play a great role in terms of helping to develop this. Levine, that was marne coo of instagram, speaking with emily chang. Now to the latest on the race to autonomous cars. Baidu has announced an expanded partnership with microsofts Cloud Computing. It is meant to advance autonomous driving worldwide. Microsoft will provide global scale and open source operating cars. S for self driving the partnership is one of more than 50 baidu has launched in an effort to bolster its presence outside of china. Coming up, we get the latest from tribal giant priceline. Fend off theto competition and maintain growth. That is next. This is bloomberg. Caroline now we continue our coverage of the Fortune Brainstorm tech conference in aspen, colorado, were some of the biggest names in tech are gathering. In attendance was the priceline ceo who took the reins of the internet travel giant in january. Since then, the shares have risen over 34 , cementing itself as one of the Worlds Largest travel platforms. Emily chang caught up with vogel for an exclusive interview. She started by asking about the strategy to keep priceline in the lead. We will keep doing what we did in the past. Provide Great Service for two sides of the market. The traveler and the supplier, rental. Hotel, or a car technicals to use our services to provide Better Service for customers. Emily the eu just slapped google with a massive fine based on favoring their own products in search results. Does the eu need to take a closer look at how google handles travel . I read a little bit about that, but it doesnt say exactly what google would have to change. Until we see what the changes, we cant really comment. But google has been a great partner for us. We have done a lot of good work in the past and we hope to continue to have a great commendation in the future. Is there emily a next emily is there anything for priceline we dont know what the changes and away google operates, how they will be. The changes in the past have been advantageous to us because we have been able to talk quickly. Technology people are able to take advantage. We are able to get new things out very rapidly. Its one of the benefits of scale. We can afford all these people to be able to do this. Youou are a small player, dont have the luxury of having those people around to do that thing and make sure it is an advantage for you. Emily meantime, the Hotel Industry is mounting a campaign claiming that priceline and expedia are monopolistic. Whats your response . First, lets be careful, that is the lobbying group saying that. I read very nice things from some of the ceos. Im not sure were that came from where that came from. Id like to make the point that right now we only book a single digit percentage of the total number of hotel rooms and on our system. Single digit percentage of the total inventory. That is a very small number. I think that says that i have to disagree with people who are saying we have some sort of large market share. I think they should look at the statistics. Emily airbnb is looking to expand into travel booking. How worried are you about airbnb as a competitor . I want to make sure we are always on the cutting edge and making sure we can do things better. We came from behind. When we started out, we were small. In europe, our biggest customer, booking. Com, nobody had ever heard of it. We are used to undercutting bigger people. I am aware of people much smaller than us who are coming up quickly. Thats why we are spending so much time, energy, and money building out our own home, apartments, and product. We have over 700,000 properties on our system. People arent as aware in america about this, but we will actively make that happen. I believe the needle to see both that type of home apartment and hotels in the same search im going to iceland with my family month. When i looked, i wasnt sure what i. Wanted do we want an apartment or hotel i wasnt sure what i wanted. Do we want an apartment or hotel . I looked online, it was instantly bookable. A lot of people do this but it is not instantly bookable. 100 of our stuff is in the instantly bookable. When i press, im done. Our goal is to get rid of the friction. Emily when you say you will actively make that happen, what does it mean . A means we have people out there getting more inventory. Over 700,000 properties. We want a lot more of every type. It means making sure some kind of marketing, no matter how it is, but when you think that i need a condo to do skiing in aspen or maybe a place on the beach, i want you to think booking. Com. Thats what i want. A chinese Online Travel giant makes it clear that they want to expand. Competition . Ive had a great relationship with the Senior Management for 12 years. We got to know them for a long time. We think theres room for everybody in the marketplace. Everybody knew we were in china for a long time. There are a lot of people who are very cooperative and competitive. I have no problem with this at all. I think we will hopefully keep our relationship going for a long time. Emily so you plan to hold onto the stake and increase it . The one thing im careful to say is i will never make predictions about what we will do in the future. Its not healthy. But we are happy with our relationship. Caroline another great interview, priceline ceo glenn fogel. Theexclusive interview with billionaire businesswoman and former u. S. Commerce secretary penny pritzker, on the future of work. This is bloomberg. Caroline now lets return to coverage of the Fortune Brainstorm tech conference in aspen. Pennytopped with pritzker, the former u. S. Commerce secretary under the Obama Administration. She talked about trade and the future of the workforce. We took transition very seriously and try to give our successors the benefit of what we have learned over our tenure. Ishink what is challenging as it relates to the issue we are working on here at the fortune conference, the future is that i think the future of work requires a focus by not only the private sector but also government to work on workforce training and dealing with the skills mitch match mismatch, and in the long run training people for jobs of the 21st century. The second role of government is one that if youre thinking about a conference of a planned a plan, for the u. S. , its also opportunity. Trade, for example. One of the things that is challenging is to watch us walk away from multilateral trade agreements and narrow our focus to either bilateral or smaller trade agreements. Emily do you think we are at risk of a trade war . Bet on a trade war as much as i think the narrowing of our focus and agitating trade partners is not useful to creating opportunities for american and american business. I worry about that. I want us to make progress. Thats important for the united states, for us to have good and functional, open, free, and fair trade agreements. That we need to get those in place. The more that we just talk about it and not take action, the more opportunity we are creating for our competitors. Emily if trade is one, what are your other big concern . Is not so much the Trump Administration. How do we have a competitive america . We need to deal with trade. We also need to have tax reform so that companies can be competitive. We need to be investing more in infrastructure. Both Digital Infrastructure and physical infrastructure. Frankly, comprehensive Immigration Reform is both immoral and an Economic Opportunity that we are letting lang right now. I think creating greater aportunity is one part of conference of Economic Strategy for the country. The other is a social safety net. We need to have a social safety net that acknowledges what 21stcentury work is like. We have 55 millionthe other is y net. Americans out of 140 million working americans and the economy or ondemand economy. We have to make sure the social safety net is reporting all americans. , weher it is health care can just repeal healthcare and uninsured 20 million americans. We have to make sure americans , thatccess to health care they had access to workforce training and allow them to be successful. In the conference we were talking about that americans want to know they have stable earning capacity, and they want security. A part ofety nets that as well as workforce training. Caroline that was emily chang speaking with former u. S. Commerce secretary penny pritzker. Here are some tech stories out of europe. Ericsson came up short in the second quarter. Missed and revenue estimates. Ericssons work worried the turnaround will take time. Tookresult, the company their biggest dive this year, falling more than 50 . Meanwhile, 15 . Oracle is ramping up their service in the middle east and africa. They are hiring 1000 employees in the region. Last month, oracle said cloud revenue rose 15 from a year ago, and accounts for 12 of overall sales. Lloyds of london has issued a new report outlining how costly be. Ber attack can the Insurance Markets as a global cyber attack and was all in as much as 121 billion in an extreme event, comparable to is like aisaster hurricane. According to lloyds estimates, the global Cyber Insurance market is currently worth and 3. 53 billion billion. That does it for this edition of bloomberg technology. We will have more coverage from aspen on wednesday, and bring you our conversations from the block chain ceo. From london, this is bloomberg. From our studios in new york city, this is charlie rose. President trump returned to washington from france this weekend. It was his second trip overseas in his many weeks. Earlier this month, he was in germany for the g20 summit. He sat down with russian president Vladimir Putin in a widely covered lateral meeting. It was bilateral meeting. It was revealed they had a second informal meeting on the sidelines of the g20. This news. Broke hes the president of the Eurasia Group and a frequent guest. I am pleased to have him bac