Gadgets. Be amazon drones may still away, but sparking a revolution . And twitter is trying to get in on snapchats turf. Sending messages on the mobile app. Has been racing to come up with a budget deal by their deadline this friday. We have some breaking news that apparentlyy have reached a deal, and we are expected to hear any moment. Yang, what are we expecting to . Ear a few details about what this framework might look like. Leading up to today, we have heard a lot about a trillion dollar spending almost for the next two years, but we are getting more details about how they plan to make up or those sequester cuts that they will be curbing. According to the deal, according to my colleague, heidi, they would ease sequester cuts in the first year by 40 billion and even by 20 billion in the second year, and that is a 60 billion total, the cost of which would be made up with the auctioning of government airwaves and increased premium for government worker pension funds, and there would be no changes to entitlement programs, as we expected, so right now, that is what the deal is shaping to look like. The two chairman of the house and Senate Budget committees, they should be coming out any chairmen e two chairmen. It should thought some of the tension we have been seeing these last few years in the thast fights it should w some. It is certainly low hanging fruit. They have not talked about some , but we will see that the government should be running past january 15. Emily . Is this expected, or is this surprising . It is not surprising, so leading up to today, we did hear a lot about this potential framework, about them setting spending limits to the billions, so we have heard a lot of details leading to today, so it is certainly no surprise in that sense. No surprise, again, that they are not touching any of the big issues of tax increases or entitlement reforms, but it is good to see they are making a goodfaith effort to come together, even though we have the two sides, republicans and democrats have come together to reach a broader outline for a deal, it is still going to take some convincing. Some are not happy about having to pay higher premiums for their pensions, so it is something that both sides are still going to have to do a lot of donencing, that we are not and are not closed yet. Thank you. We will continue to follow this washington. I went to get to some breaking news, and this from the i want to get to some breaking news. Developing Wearable Technology, according to two people familiar with this. Conn will provide office space and services to at least 20 companies. They are trying to diversify some revenue stream as things threaten to do rail their traditional business. To i, i went to go want to go to someone who helped to break this story. First of all, tell us what you know about the actual fund. Good morning from taipei. Well, the key is really for foxconn to look into the future. They do make the apple devices. Apple is their largest investor. Apple has only been a lien for about one decade. What they need to do, apple has only been a client for about one decade. They are investing in this incubator. That is going to be one of the major points, that it is going to be an incubator, so they want to bring in new ideas and grow those ideas, and they want to bring it to taiwan, and they want to be able to offer the technologies. Air is a lot of technologies involved in things such as wearable devices there is a lot of technologies. In the they are involved google glass project. We want to make sure they have the technologies available to offer them to Companies Like google or apple or microsoft, and those companies that will be developing in the future, so that will be key, offering extra things to their clients Going Forward in the future to keep up the prophet margins, because in pure manufacturing, to keep margins, because in pure manufacturing, the margins are not that high. Some sort of wearable device, what does this mean for apple . Is this a conflict of interest . Yes, at first, people would think so, and the chairman of foxconn in june this year at the annual Shareholders Meeting showed off. It was a smartwatch that he had, and he was very proud of it because it could measure somebodys heartbeat and transfer it, and iphone, of course, and so he was proud to show off this technology, but it conflict. Ctly a until now, foxconn has not gone out to compete with any of their clients. They have been very clear about that. They are not going out and doing branded work. What they are trying to do is anticipate what their clients need, so when a company like apple or google or microsoft comes to them and says, we want to develop this, they do have butr offices in cupertino, apple does develop a lot of their own technologies, but they work very closely with their manufacturing partners, such as foxconn, to figure out how to bring it to market and mass market, and that is one of the key things, mass production, so it foxconn is trying to anticipate the needs, and they can actually fulfill them. What do you think foxconn will be looking at other than Wearable Technology . Well, one of the things that we can assume, and we certainly have not seen necessarily any evidence is things that go further, such as medical devices, and that is similar to wearables and connected devices, but the thing with medical devices, we have aging populations in the u. S. And japan and even in china. Inc. That can measure vital signs is certainly an area that foxconn would be interested in things that can measure vital signs is certainly an area that foxconn would be interested in. In southern taiwan, to build software, to build the cold conductivity,the they are looking on that the connectivity. There is not a lot of growth or new ideas left, is certainly the believe in taiwan. They will be looking at areas that will do new, Innovative Software that can connect into that. R Bloomberg News reporter in taipei who broke this story, in Bloomberg News reporter taipei who broke this story, tim, thanks so much. A name being floated at microsoft, the Cloud Services chief. We caught up with them at the internet conference in paris and pressed him on whether he would want the job. Take a listen. Ceo, andballmer is the i am actively engaged in running our enterprise engineering. But do you want the chief executive role . I have said everything i am going to say about that topic. Our editor at large, cory johnson, with us now. We have been talking about the microsoft ceo search for a long time now, and they want to name a successor before the end of the year, and that is almost here. We have heard they have reached a stalemate, they are close where are we . Sources have said they have not made a decision quite yet, there are some other possibilities out there, but sa the leadingis internal candidate, from what we understand. This is a guy who has been at microsoft for many years and was and thel to the Cloud Division that the cloud is underneath, and he is highly respected in that part of the company. The Technology World is moving into the direction that he runs. Take a listen to what he had to say about the cloud. If you look at what happened even in the last quarter in terms of our cloud, it grew over 100 . We have over 50 of the fortune 500 using windows. Office 365 is already on a run of 1. 5 billion. That is the kind of growth we are seeing as this two dollars this 2 trillion is shifting. There are executives at microsoft that i assume would like to be promoted as well. Greg external candidates are probably in mix in the mix, but if you look at what satya sales ares done, rising significantly, and we also see profitability in that sector. He is not only doing 20 billion in revenue each year in that sector, but he is showing operating income that continues to grow, over a billion dollars in profit, and that is the kind of leadership that is impressive microsoft. Rare in if they do not get this job, executives that have been there a long time, will they leave . That is an interesting question. There was a reorganization of the structures in microsoft, and some people did leave, including the man who ran the xbox division, who left for zynga, but one of the advantages of having only one name out there as an internal candidate, it keeps other people from getting their hopes up to a much, but like i said, there are other it keeps other people from getting their hopes up to all much too much. I want to say for the record i am personally very happy and bloomberg and have no immediate plans to leave. Although bloombergs plans may be different. Is good to hear. I am glad you will be with us. Youve yes will deliver millions of packages, and they are betting on an algorithm to get the job done you be yes will deliver millions of packages. Deliver millions of packages. Welcome back to bloomberg budgetand a Senate Chairman is speaking now. Lets take a listen. Before the next one got started, that uncertainty was devastating to our fragile economic recovery. It cost us billions of dollars in lost growth and jobs and the continued acrosstheboard cuts from sequestration are forcing our families and communities to pay the price, so i am very proud to stand here today with announce wen to have broken through the partisanship and the gridlock and reached a bipartisan budget compromise that will prevent a Government Shutdown in january. And economic jobs growth first by rolling back sequestrations harmful cuts to education and Infrastructure Investments and defense jobs for the next two years. I know there were some people who thought these cuts should continue, but i am glad we increased these key to mystic investments and that we averted the next round of military cuts to programs, bases, and defense jobs in the country. We increased these key domestic investments. It continues the president we set in the fiscal cliff deal that sequestration should not be replaced with spending cuts alone. This bipartisan deal will help. Illions of americans from the workers at our military bases and Construction Projects who were furloughed or laid off to the kids who lost their slots in head start programs to the seniors wondering if they were going to have meals on wheels and to the families who were praying for halted medical Research Programs to get back to work on a cure and so much more. Because of this deal, the budget process can stop lurching from crisis to crisis. Speakingnate chairman about the just reached budget deal on the sequester cuts that we have been talking about now for many months now. Well, all day today, Bloomberg Television is taking you inside biggest worlds shipping company. They have a system that crunches data to save a fraction of a mile on a drivers daily routes, but all of those fractions add up to big savings. We have an inside look with how it works. Ryan orion o rion, the algorithm that makes ups tick. Is changing the world of package delivery. A the truth is, today we are Technology Company that has trucks. Program 10 years in the making. The objective, to find the fastest, most fuel efficient way to get packages to you. There are more ways to service those customers. Orion is looking at trillions of things in seconds. It is going to say, here is the best way to deliver. Has over 200 is sensors that monitor everything they drivers do, to from starting the vehicle to unloading boxes. Distance, time, traffic, and cost. Weour goal here was not that would dramatically grow efficiency by doubling and tripling, it was trying to take a look at some small gains, but on our scale, small turns out to be rather significant. Efficiency is of a story passed, starting with the companys first delivery car, a model t ford in 1913. Built theater, they first Conveyor System for handling packages. Good morning, everyone. Good morning, everyone. This year, it is orion. How is this a game changer . Portion of our a fleet, and he will already save us millions in fuel. It will adjust on the fly, so if the lead time changes, we run orion, and this is your new plan. We do not think ups when we think technology. Google maps are not accurate driver. Or a ups you are better than google maps . Absolutely. We have a worldclass group that many people do not know about that create magic year. Carol massar, bloomberg. Well, twitter updates the way users can share and view photos, so is the company trying to give vices like instagram and sa p snapchat a run for their money . You can also watch on bloomberg. Com. Is bloomberg west. I am emily chang. These days, launching a video to show how things work, including the recent one for the coin app have gone viral up to 7 million views. Jon erlichman went to venice, california, to talk to the filmmaker behind those videos, calling him the spike jones of tech. Are youook via running a startup . Do you want to have a video that will get everybodys attention . This is the man to call. Made five years ago, adam so we started doing them for all sorts of tech companies. Square. I did the job own. My videos are nothing without a successful product. Technologies that are going to be interesting and grow. Compared to a tv commercial, how much does one of these cost . 50,000 to 100,000 dollars. And like most companies, his also accepts traditional forms of payment. Stock options, which can be interesting, because they are going to be growing. Interested and lucrative. Lucrative, too. That means interesting. Jon erlichman, bloomberg. Well, it is music to your years, the Technology Behind the karaoke machine that perfects your voice music to your ears. You can harmonize with one person. It is so cool. You are watching bloomberg west where we focus on technology and the future of business. New details on just how important the microsoft Search Partnership is to yahoo after inquiries from the sec, yahoo disclosed it generated 31 of the companys revenue last quarter. Yahoo had previously said it accounted for more than 10 of sales. Verizon wireless is open to swapping some of the airwaves it is trying to sell, picking up the ubs speaking at the ubs conference, the ceo said the company may consider trading a certain block of airwaves to gain capacity and other areas. Tmobile, flush with three billion dollars in financing, is considered a possible bidder. Disneys new Shanghai Resort isnt scheduled to open until 2015, but the company is already talking expansion. The cfo says both disney and the shanghai government are ready to expand rapidly should the parks be a hit. Disney says shanghai could overtake tokyo disney as the second most visited disney park in the world trailing floridas magic kingdom. Twitter has updated its mobile app for apple and Android Users to let users send and view voter photos inside of such as. They can also swipe back and forth between timelines. Who might twitter be targeting . For more, im joined by our tech editor, ari leavy. Who might twitter be targeting . Are they going after snap chat . Think about it as any service trying to get people to communicate by a message or photos. Snap chat is obvious, but also facebook, instagram, and we have been saying all along, for twitter to work as a big business, it has to increase engagement and key people in service for longer and coming back more frequently. This is basically a way of saying if you are using another service to snap photos and send them to a friend, you dont need allo it anymore. We have had direct message fails and they are truly horrible. Im imagining a fail with a photo. Thats something you would not want. This is why snap chat is appealing to a lot of people because the photos disappear. How does this compare to what snap chat and facebook already offer . The big thing for snap chat, the novel Technology Behind it is the disappearing message. What sort of i. T. They have behind it, i dont know. Its a small company, only 30 people. It does not appear twitter is going after that user. What you want is the message to disappear after 10 seconds, snap chat is your service. Snap chat is saying thats a very niche roddick. Shoot a very niche product. Since you are already using twitter, its a great way to do that. Stop and is also one message me. It seems like mobile messaging is the hot battlefield right now. Where is this going . The really interesting story is what does it mean for all the carriers who have huge businesses from charging people for Text Messages for years . You dont need that anymore. There are so many overthetop ways. The competition is over the top. Using the internet, using wifi, how are you able to send messages to people . You have 10 different ways available to you right now. How do you make money is a question for those 10. For the carriers, it is what do we do over the fact that we just lost the of dollars in revenue . We will keep following this story of twitter adding the photos to its messages. Millions of healthconscious consumers have turned to web m. D. To diagnose symptoms and improve their health since 1998. But now the sites founder is launching another health app that he says offers more. By ask it is called ask m. D. And its now available on mobile devices. Users can share their health information, reported symptoms and received customize recommendations on how to prepare for doctors visits. Founder joins us now in the studio. I have used web m. D. Many times over the years. Why do we need something more . I was out of health care for a few years and i met dr. Oz. He said if you could start web m. D. Over, how would you do it . I looked back and i didnt feel like it had been involved it haevolved with all of the new enabling technologies. What more does it need . I think Health Care Needs to be more social, more mobile, more local. There needs to be platforms that bring these other brands into one place. There needs to be a platform that inspires digital caregiving. Instead of being one web m. D. , your doctor, your dentist, your trainer, yourself could be your own web m. D. Working with dr. Oz, that is what we are trying to achieve. How does it work . You launchobile app, it and tell it your symptom. You can talk or type it in. It presents you a smart western air. It gives you question she wouldnt even think to ask yourself. It presents you a smart questionnair