President obama has launched a facebook page. He says he wants it to be a place where we can have her conversations about the most important issues facing our countrys most pressing issues. His first post was about the need to address climate change. I am cory johnson in new york for my work life emily chang. This is bloomberg west. The owner of match. Com is here. Filed for an ipo. A proposed chip industry merger come under fire. Elliott management wants to break up. One plus one is indeed more than two, maybe more than 2 billion. But first to our lead, yes, looking for love from investors. Match. Com, and okcupid, seeking valuations as high as 1 billion. Match group, selling 33. 3 range of 12s in a to 14 this year, and with the sale, match could have an enterprise value of 4. 7 billion. After the sale, iac will still keep control of the company, owning 86 . Joining us is Bloomberg Intelligence director paul sweeney. And ceo of hinge, justin macleod. Justin has a dating at that competes with tinder. Helps hinge is an apple you meet people for dating and relationships, mainly friends of friends. Cory as we sort through this, there are all sorts of tidbits. I find it fascinating most of because i stopped dating the time these things started up. What did you find when you looked through this filing . Going to be a big deal for barry diller and iac. Iac will control 86 of the company. Its a company that has a lot of growth rate, if you take a look at the Monthly Average user growth and their paid membership growth, converting the Monthly Average users cory 59 million users . Justin thats been growing strong the last couple years. Growth, converting the Monthly Average usersthe key business mr them to convert those users who come to their various sites into paying customers that will pay a subscription fee. Thats one of the big Growth Drivers for them going forward. Cory it seems to me the success of a dating website is bad business for a dating website. If your people fall in love and stay together, they dont come back to the site. Justin that is why you have to gain massive scale and become a network and know its a place where people can go find someone when they are ready. For us, everything a person who matches up on hinge becomes a promoter for our app. These arefiling my favorite things to read in but oned, s1 filings, of the things that happens is the company is trying to subtly sell you. Part of the narrative in this one come it seems to me, is, match group is global. They have businesses in different companies. Are sell you. The dynamics of dating sites and dating apps significantly different from country to country . Justin they can be because love is not. It certainly can be. We are in the u. S. And in the u. K. And canada and australia. We are also in india. When you make that leap to a place like india, there are different types of dynamics going on, and i think there is certainly a lot more cultural bleed over than there used to be. I think thats why they have different products in different countries. Cory paul, one of the things brought up in the s1 filing is mobile. Were12, 20 of their users on mobile, and now its closer to two thirds. Paul as weve seen over the last 1824 months, there are a lot of new social Media Companies coming onto the market like linkedin and facebook. The number one driver is mobile. Know things are going. Companies absolutely have to have a strategy. The app has to work very well in a social platform, and then they obviously have to be able to convert users to revenue, whether it is through subscription or through an advertising revenue model like facebook. Cory they talk about advertising in this, as well. What are these guys like as competitors . Of these sites or apps that is the big one . Justin its interesting. There is portfolio of apps in the match group, and it includes match. Com and okcupid and tinder. Tinder is the one we get compared against the first. Its a mobilefirst applelike hinge. Its interesting portfolio dynamics. You arent sure if this is the casual market, like tinder, and match is going to own the hardcore relationships. I think theres a big opportunity, which hinge is taking, the kind of app that is for relationships. Then you create a mobile property that people take seriously and can monetize . Thats the narrative theyve got to spin. Right now, it seems like tender tinder is starting to cannibalize the other properties. Can you monetize tinder in such a way that its not eating away at match. Com or okcupid . Cory we see people using mobile to be more mobile and be more last minute. Is there a change in the way dating appsobile for more casual relationships and maybe not the online profile that eharmony requires you to do . Justin it seems that everything is going mobile these days. Originally, it would be something you dont immediately use, but now people spend more and more of their time on mobile. It opens up the possibility to allow for a property that is more focused on something more serious and doesnt necessarily use geolocation or some specific mobile technology, but it is in fact an elegant experience that 3. 5inch square. Justin macleod, think you very much. Bloomberg intelligences paul sweeney, thank you. Google is giving away its Artificial Intelligence software. That means anyone can download and modify the software that underpins the ai pieces of the Google Search engine. A new feature such as it smart reply email tool. Set the standard on ai and make the system part of its regular tools used by. Esearchers microsoft and facebook have made similar moves. Coming up, yahoo is not a place for commitmentphobes. Marissa mayer is asking top deputies to make a three to fiveyour commitment signed in blood. Commitment signed in blood. Not really. I will have the details next. Cory the battle for video views on social networks is heating up. The number of videos viewed on snapchat has tripled to get this 6 billion since may. Thats according to the financial times. Facebook began testing a dedicated video page in an attempt to take on googles u2. We sticking with facebook. Mark zuckerberg attended the oscars for scientists. Zuckerberg helped create this scientific award show with yuri milner in 2013. Last night, the awards attracted an auto mix of academics, Silicon Valley luminaries, and hollywood stars. Zuckerberg spoke with Bloomberg News reporter sarah frier after the show about his views on science, philanthropy, and impending fatherhood. Sarah joins us along with our billionaires reporter, tom cap. What did suck zuck have to say . Sarah he wants scientists to start being treated more like the celebrities of other industries. Hes gotten quite a lot of attention for being ceo of facebook. Actors and actresses get a lot of attention. Politicians are their own kind of celebrity, but dont tend to become superrich. He wanted to create something that would give them some incentive. Cory interesting stuff. The scene looks like it was i cant even imagine that seen in Silicon Valley, frankly. Tom it was a pretty surreal evening. Coming down the red carpet, you had tech billionaires like anderberg, sergei brin, then you had celebrities come through. We had the cast of Silicon Valley. We have bj novak from the office, and of course, scientists. Its trying to convey some of that glamour and glitz you normally associate with los angeles up north in california. Cory the Silicon Valley people famously cant dress and prefer to put off the glitz. Office, and of course, scientists. Zuckerberg, an interesting quote from what mark had to say let me read this one of the biggest things that weve learned is that in order to have longevity with your work, you need to have more support in the community and actually knowing what the Community Wants and needs. Aspect of Silicon Valley that you know so well, there is no center place in Silicon Valley, so even of events like this that pull people together are unusual. Sarah that one particular quote in regards tois the lessons he learned in philanthropy. He had a highprofile donation to new york schools and new jersey, and it has been panned by critics for not achieving the result it set out to achieve. Zuckerberg is saying that now his philanthropy is going to be focused more locally in a way that he can participate with the community, understand its needs, and shepherd the process through. His profile rises, as he does things like the breakthrough awards, hes learning how to be a better steward of his money. Cory what else did you talk about yesterday . Sarah its interesting. He said even though he was there presenting the life science award, he doesnt think that facebooks something will be doing down the road. He thinks that is something he could more get done with his philanthropy. He says becoming a father has actually changed his views on how important it is to plant these seeds for the next generation. Hes not looking for immediate results but to build something for 10, 20 years down the road. Cory tom, talk about the scene. It does sound as though the visuals must have been bonkers. There was a red carpet, you said . Out ofs been hosted nasas Research Center in mountain view. Its an enormous hanger and a glitzy affair, blacktie, although sergey brin was one who refused to wear it, which was entertaining. In terms of the action going down, they had Pharrell Williams performing. A managed to get everyone out, the scientists, the tech guys. You had that interesting tension these sometimes pretty elderly scientists and quite a buttoned up hollywood celebrities, and then you had sergey brin sitting around not even in a blacktie. Cory tony fedele of nast was the best answer. The best dancers in Silicon Valley is damning praise. [laughter] thank you very much. Shares in priceline booked a trip self today. The company lowered fourthquarter earnings guidance. The news came after pricelines thirdquarter disappointing earnings report. The company said Unfavorable Exchange rates and a slowdown in u. S. Bookings would hurt fourthquarter results. Priceline says it expects Fourth Quarter earnings between 11. 10 to 11. 90. Shares finished todays session down 10 . Ceo darren houston joins bloomberg tomorrow morning at 9 45 eastern time. Coming up, allete management says not so fast on dialogs plans for [indiscernible] 3d printing makes a splash of the dubai air show. We will highlight one of the worlds most complex of vehicles printed with 3d technology. Cory a story we are following, new reports of trouble at yahoo . The company is hired mckinsey to help decide which units to sell and close. The only way to get better is to challenge yourself, and thats what were doing at xfinity. We are challenging ourselves to improve every aspect of your experience. And this includes our commitment to being on time. Every time. Thats why if were ever late for an appointment, well credit your account 20. Its our promise to you. Were doing everything we can to give you the best experience possible. Because we should fit into your life. Not the other way around. I think that we have been on the strategic journey for quite that we outlined in 2010, and we are looking at all the potential ways of executing our strategy. Actually, this came out is the best solution, and we can continue to focus that we outlin beingand we are on number one. We can transform the networks in. Rder to meet the data boom i think this is a winwin for both of us. I think that is what it is. We are going to have partners we will work with, but of course, but this this is the largest or Teacher Partnership we have, with cisco. We are going to put a lot of emphasis to make that transformation in order to orstomer e Enterprise Solutions for customers. Hes talking about the need and the boom in the system. What is driving all the m a in your universe . When you think about the timing on this deal from its coming off the heels of nokia and alcatel. Chuck we have always said there is going to be brutal consolidation, and we are seeing that as we speak. We dont believe these large mergers work that effectively, and we think the strength of our partnership will allow us to be in market with our customers, helping them move more effectively. We can do that next week. Theelieve in our case that partnership was absolutely the right choice, and we are excited about our opportunities together with ericsson. The fact thatt this is the way youve decided to do it. There are frictions in mergers. How will this be structured . Will one of the companies have the lead . How will you avoid those frictions . Hans on the highest level, its going to be manage oversight management oversight by me and chuck. Erickson has a very Strong Service organization that is going to work with products from cisco to install them for Service Providers. Is fartfolio from cisco broader than what we have. Thats going to be another stream. Its going to be different ways of managing. We have put a joint targets we want to achieve. My role is to see we are giving the right support in our organizations for it to succeed. I think this is the next generation in the world where things are moving so fast. Partnerships become very. Mportant cisco is supporting us. Mark the rationale for a partnership or agreement like this has existed for at least 15 years. Why now . Chuck i think if you look at what our customers are trying to do, particularly as we think about the areas weve outlined, the transformation of our Service Provider networks and movement with seamless mobility and enterprise and a focus on i o t, we believe the combination of what ericsson brings with their position in mobility and wireless, in addition to their network insideent capabilities of operators, as well as their invices come footprint 100 80 companies, we believe when you combine that with our centerhip in ip and data and networking that we have a combination that will help our customers be more effective in what they are trying to accomplish cory . That is chuck robbins, the ceo of cisco. The ericsson guy had the swedish accent. The cisco guy was the texas accent. What do Justin Bieber and i have in common yet go we both had shortlived careers as a chauffeur. Bierber acting as a lift driver for unsuspecting customers. Lyft users will be able to buy his new album purpose for five dollars by ordering a lyft in bieber mode. Lyft is hoping to compete with other apps like uber. Squares ipo could cross the dreaded down ground rubicon, but can other tech unicorns learn ipo . Hing from the square we will talk about it with one of the hottest ceos in software, koopa. We will give you is to pick at a 3d printed aircraft next on bloomberg west. Cory we are going to see michaels feed, close advisor to german chancellor angela merkel. He will join bloomberg surveillance at 5 30. Dont miss these interviews and more on bloomberg and bloomberg surveillance. I will be there. Squares ipo has brought to light that private valuations are not what they seem to be. Payments in the companys ipo puts the companys valuations below its last venture funding round. Thanks to some interesting things that came. Is the down around an existential risk to the more than 120 tech unicorns . Is rob bernstein, ceo of one of those unicorns startups, koopa. Should i congratulate you for having a company that is over 1 billion since youve been private . Me you should congratulate on the value we are creating for our customers. Valuations will ebb and flow. A focus on creating Measurable Results to our customers will stand the test of time. Cory i will give you that. If you can get a 1 billion , whytion from investors not just take the company public, particularly in your business . Your customers would love to see a listed company. They might feel like it has more street credit or something. Rob that is something we are absolutely considering. Cory its upon because of wall street. Rob understood. We are going after a huge market with a differentiated value proposition. We are creating measurable success for our customers, and we are growing rapidly. Last time around, we were able to bring on amazing longterm investors like t. Rowe price and other iconic investors. Coupa, want to get to but when you are doing a deal with t. Rowe price come is there a conversation where you say, youre going to get liquid sunday through an ipo . That is in our twoyear plan or Something Like that . Rob the conversation wasnt about that. The conversation was about the size of the market and about the products and services we offer. Cory there was no discussion rob there was not a discussion about that. How do they ever expect to get liquid . Rob perhaps they would anticipate an ipo, but that wasnt part of their thesis. Part of their thesis and initially in understanding our desk our business and thinking of whether it was investmentfriendly. Cory it wasnt on a price to sales basis . What kind of numbers were they looking at . It was based on a revenue multiple, confidence in the management team, and a culture of delivering measurable customer success. Some of the Largest Companies in the world, over 500 customers. Today, we have millions of users, and we are saving them billions of dollars. Companies from conway to cadence, from salesforce to santa fe, from toyota to tesla, all around the world, folks are engage in. Cory i look at this as an Enterprise Resource Planning Software . Rob to some extent. We help Companies Take advantage of investments as a strategic expansion to help them optimize spending through invoice processes, sourcing, and supply performance. All of those things we like to call savings, they subscribe to save. Cory give me one business process that changes once the Company Installs your software. Is the fundamental process that employees across the organization engage in buying. Typically, procurement is a bureaucratic process, and people want to avoid it. We have empowered procurement. Weve empowered t