Action on immigration. A coalition of 26 saves are given time to pursue a lawsuit. An expansion of the program for taking children from deportation due to take effect tomorrow. The real estate website zillow shares are rising after surprise earnings were reported on friday. The acquisition will be able to close as early as today now that the fcc has cleared the transaction. Revenue the Fourth Quarter is up 58 . 76 gains in the premier asian agent business. Intercontinental Hotels Groups up 10 thanks to strong growth in the u. S. Shares of holiday inn increased dividends. Here is the ceo speaking on the impact of the home sharing website like airbnb. They should be managed properly and subject to the same rules we are. Frankly, if that business grows place. Size in terms of revenues and noxious rooms for overseas significantly smaller from a revenue perspective, if it does grow and scott and consumers wanted, it is something we should look what look at running behind it. Right now, it is certainly at the margin. Cory intercontinental recently agreed to buy crossing the United States under the crown plaza intercontinental group. Now to the league, detroits biggest threat may no longer be maybe Tech Companies. Apple is the latest tech giant to signal in autos. Pursuing 100 people to work on the early stages of an electric car. Some of those workers work on what is being called project titan. Apple, google, tesla, and google are all involved there it who will win the race for the future of transportation and what role do the current automakers lay as they enroll innovation centers. M. I. T. Professor john leonard. Let me start with you. Is there a different discussion about what innovation is for cars away from the Auto Industry than in the Auto Industry . I think so. If you look at the exciting features that emerged this weekend, sensors alleged to be an applecart, you see technology with very precise localization and mapping. Some are whats involved in a google car. It is a different set of techniques and skills than the traditional detroit automaking industry. Cory i saw your byline and i thought yes, tim came to detroit and you come here to cover apple. What are similarities between the companies . Apple is a Global Company with a lot of cash. It is usually about a billion dollars to create a new car. Generally speaking. It is an expensive and timeconsuming process. On the one hand, apple has got a lot of money in the bank. 178 billion. They have got Global Operations and are used to doing some i Chain Management around the world and Industrial Design and dealing with the Retail Network all over the world. In some ways, they have a lot in place that the global automaker would have. That said designing and building the cars is very complicated. It is something that trips up even experienced automakers with safety and marketing and hitting what the consumer wants seven years down the road. It is a long time for developing a car. They spend boatloads of money in r d, which is on top of container ships full of money. The history of knowledge they have built up, that is the question. Is there an accumulated amount of knowledge or a bureaucracy that is about the way they will do things as a owes to a blank newspaper and start all over again. Engineers find frustration when they deal of automakers. They feel they do not move quick enough. Talk to guys in detroit and they say there is a reason we are so slow. Some of it has to do with safety and regulations and dealing with challenges of putting a product on the road were peoples lives will be in jeopardy if something goes wrong. More on that, it is it isnt about the way the cars are made . Wrestling with Union Contracts and existing factories and relationships with dealers . They have got to figure out what to put in their pipeline, as opposed to what to put on the road. Exactly. They have a lot of legacy issues. Tesla, you can say what you will about the Business Model that they have created an interest in the auto space new players who look at the challenges look at the new entrants, they are able to do what they can do in a short amount of time and what can other folks do . That is where the excitement comes from. When you look at the excitement, what is it technologically you feel like its right there ready to be improved upon the most . Is it the battery, the duration of the battery, the self driving aspects, the road awareness question mark i think it is safety. A number of traffic accidents over 30,000 per year in the u. S. Alone. It is a tragedy. With Artificial Intelligence coming online, we should have the capability to radically reduce accidents. That is the thing that is really exciting for what can happen now. A great thing to talk about but apple and google and other companies in Silicon Valley are looking at the idea of what the user is doing at that time while driving. They want to create a business where your digital life is at the center of their devices. Right now, when youre driving a car youre not able to fully engage in the digital lifestyle. If you are pushing a product that allows folks while in their car to the in Digital Space through autonomous jiving or other functions, that opens up a whole new marketplace for commerce. A horrible irony that the companies responsible for tech driving text driving accidents, they are now looking at cars. I off i also wonder if there is a different sort of pace in innovation, when youre safely aside from both. You have seen Engineering Centers here in Silicon Valley. Is there a different pace in Silicon Valley . I think so. It is a very rapid turnaround. Interestingly, google building its small prototype cars are partnering with companies in michigan. I think they said they want to work with the detroit ecosystem. There is an acknowledgment it could be winwin. Parts that are more traditional eastern u. S. Industries would be good at. It can all come together. It is an interesting time. Thank you very much. Drone delivery, new drum postals and what they could mean for Companies Like amazon and google, thinking about what goes up in the sky next. Cory i am cory johnson and this is lumbered west. World news headlines. Graces government request for extension of its Loan Agreement for six more months of warning to a person familiar with the matter. The step could ease the standoff over greek financing. The positive outflows from greek banks are accelerating. Talks to extend that bailout bogged down. The u. S. Subsidiary of swiss food giant nestle will stop putting artificial ingredients into the candy. The chain will be fully implemented by the end of the year. A set of artificial junk, nestle will use Natural Ingredients for its products, including butterfinger crunch bars and baby ruth. A major shift going on in chinas smartphone market. The countrys top smartphone vendor edging up samsung. The last quarter, news gets worse. The former number one has fallen behind apple. Skies will get a lot more crowded over the weekend. Incorporating commercial drones with civilian airspace. Peter cook joins us now. Peter, the rules are not as stringent as some people might have thought. That is a lighter touch is what the faa is trying to labor label these rules. You know how widely anticipated the rules have been for months. For years, people have been waiting for the faa to outline exactly how they would allow drones in commercial space. The proposed rules that came out at this point, some may suggest a lighter touch, but there are critics as well who say they are to drip owning and limiting to use drones. How that is like amazon and google, for example. I will walk you through main specs here, the drones in question must must weigh less than 55 pounds. They must fly in the daylight only. Below 500 feet and 100 miles an hour. Operators must these veneers are older but they will not 17 years or older. They must submit to the tsa for vetting as well. These are rules and guidelines for a lot of people that are not as tough as asked and did, but it is a long process from here still. Really interesting stuff. Around here, there are so Many Companies working on drones had they been waiting for these roles. Skies are open. Thank you very much. What do the new rules mean . All the startups are developing drones. Amazon and google. Joining us now is the executive director of the small uav coalition, a lobbying group working for the likes of amazon, google x, and also a senior policy advisor. What is in these rules that is good and what is that . The fact we have rules is in of itself great. It gives us a platform upon which to build. I would say there are problems to the extent that the rules will prohibit operations commercial operations of drones when there are personnel on the ground not associated with the project, which essentially will shift all commercial usage. It is a real problem. There are also some suggestions that there will not be an ability to operate outside the linux eight, which means it has to be a visual i hear the actual person has to be able to see so the very notion of the amazon drone that brin that brings a box and drops at your front door and hopefully does not clip your poodle, that is out with this proposal. Yes. Exactly. What most people believe and i think is true is that automation is going to be the future of the industry for delivery for precision agriculture for pipeline inspections, for disaster management, search and rescue, a whole host of purchases they can be used for. We have some work to do now. One thing i will say is that the faa was great in not touching the ability of recreational users to enjoy for Aerial Photography and digital photography. That is wonderful. Yes, but insights came out with a report today, 190 invested in drones last year. No one is doing that because they want another frisbee. The whole idea is, we can find a cheaper and safer way to inspect pipelines, which have to be inspected to check for leaks. So much more awesome because the cost would be so much lower. Is there a sense they do not want that happening . No, quite the contrary. The faa in the evaluation of the proposed rule said they would save lives, this is efficient, and that, they said uavs can be used for cell tower and pipeline inspection, things that are producing fatalities now which can be stopped with the utilization of technology. A lot of promise here. The only thing we have to keep in mind is this is a proposed rule so it will take a series of months. I am hopeful we can get it done as quickly as possible, but i do not think it will be this year. Other countries are already operating commercially. So we are still far behind other nations. In terms of privacy, what do we want from rules about drones . Amazon and google have notions of privacy different between them let alone between what other people might want. Privacy has a fair amount of portions and we all recognize that. The administration and the president put on executive order we thought was very thoughtful on the issue of privacy. It essentially says you cannot do something outside the expectation of the consumer. We are experiencing this across technology, which is aerial vehicles are not unique to the privacy issue. Mobile phones, cameras, helicopters, camera on a stick these things all have the potential to invade our privacy. The reality is the industry is ready to work with the government and work with the and cia on developing clear standards on privacy. Cory thank you very much. Google, not just drones, but how about balloons . The internet to billions of people that do not have the internet. That is next. Cory could you really check tumblr while going through new guinea . Google is trying to change it i launching balloons that could give Online Access the most to the remote corners of the earth. Inside look at googles project ballooned. The science of learning is one of the worlds oldest technologies. Imagine a fleet yvonne man looms, solar powered and equipped with special antennas so they can talk to each other and earth. All to deliver an affordable Internet Access to the remote corners of the world. 4 billion people on earth do not have access to the internet era we think we should be internet. We think we should be part of the solution. It is not a pieinthesky idea. It is happening now. Question many ways the balloon is just like a cell phone tower on the ground except it is 65 feet up. How many balloons do you have up in the air right now . About three dozen. The plan is to have hundreds of them soaring through the stratosphere, connecting earthlings down below. The first 60 balloons we launched, they all burst. The data rate was relatively low. Fastforward and some balloons have been lost for the and 170 days. There is something nothing obviously different about them from the rest, but they could be the key for stronger, faster internet. Our speed increased dramatically. 10 megabits per second of internet, not to stream videos down from a balloon that is 60,000 feet in the sky to the phone you have in your pocket. Balloons 565,000 feet, twice the size of an airplane controlled by the command center at bloomberg headquarters. What are we looking at . Realtime data showing what the winds are doing around the world. Googlers charted balloon pass, tracking wind, and communicating with air Traffic Controllers as they crisscross local airspace. How are the responses to countries for you flying to the airspace. Brazil, india, russia even who asked us to come and do pilot tests in the country. We are also talking to china. China is interested in bringing the internet to people in the rural area. Is the last mile being worked out still. Google is not the only tech giant exploring the sky. Google just invested in elon musks spacex and its fleet of broadband satellites. Drones and lasers and striking partnerships with local mobile carriers to show users a specific set of apps for free. Anyone trying to help with the goal is great. The skeptics, you would be like you can show them googles version of the internet. Know, we show them every version they can get. The question is why . Is it charity . It is not a charity. Getting Internet Access will be shared between google and telecom. He says the key is this internet will cost 1 10 what traditional wireless costs the average user, no matter where they are in the world. There are people so remote even this cannot reach them. Know, we should be able. Every country has spectrum. Our balloons can reach the tallest mountains in the craziest islands. We can reach all these places. Emily chang, bloomberg, mountain view, california. Google is not the only tech giant attempting to bring Internet Access to the remote corners of the earth. Mark zuckerberg is racing to wire the world with drones and lasers. An exclusive look at his latest project at google. Org. An amazing technical achievement led to one of the agencys most farreaching hacks a footing computers across the world. That story is next. You can also watch a streaming in your tablet and phone everywhere. Cory you are watching bloomberg west. Im cory johnson. And its a spyware may be hitting in hard drives around the world. Researchers discovered spying software in bedded into hard drives like toshiba Western Digital and ibm. This would give them the ability to eavesdrop on the majority of the worlds is computers. Im joined by the ceo of Cyber Security form firm silent. This is fairly amazing stuff. Even when he wiped the higher the hard drive, it stays there. That is exactly it. A matter what you do and what will you use to find it, even if you can find it you could try to wipe it but it will come back because it is in firmware. That is usually planted at the manufacturers. It is not the first time the industry has seen this tool this kind of virus or attack. It is simply the complication of this type of attack which gives its merits to talk about. Ok. It is also widely spread. The manufacturers at western dinner Western Digital or somewhere else. It is right across the industry. Every major manufacturer according to this report is affected by the software. We do not know the full scope yet, but the indications are that there are real opportunities with hard drive manufacturers to implant this kind of stuff into the firmware. Whether or not it was the production or postproduction is a little bit up in the air and i do not think we would know that yet. That needs to be fleshed out quite a bit and investigated areas what we do know is the ability to get onto the systems is really quite trivial. To stay there with assistance is quite trivial. It becomes easy for any adversary whether it be a simple bad eyesight tests criminal to do whatever they want to. What kinds of things can and as a pickup with a hacks such as this as opposed to the data hack from the past . Could be even israeli defense, as well. They have similar targets. In the middle east and asia that the nsa and other organizations are. In terms of attribution, it is difficult to really give smoking gun proof back to people on the keyboard. Certainly, highly possible improbable that they are part of this, but we do not know definitively yet. In terms of what they can do don near anything here it they could pretend to be the user of the computer. They could infect it in a way where they could capture screenshots. They can capture your passwords and become you on the internet take your persona. They could affect assets your bank account. You name it. It is up to the creativity of the adversary. The adversary, again i say the nsa because it was reported the report out of russia listed the countries most affected. It went on to list syria, china yemen algeria, and afghan out does seem to be particular targets of the u. S. Is there a notion about what kinds of things they maybe after because this is a hardware attack and they are not places where the keeping data stored in amazon web services. They definitely wanted to surveillance targets. It was not a destructive attack like the sony attack or th