Destroyed three central sri la nkan villages. Three bodies have been recovered. Tensions escalate between the u. S. And china over disputed international waters. Two chinese fighter jets intercepted an american reconnaissance plane over the south china sea. The jets came within 50 feet of the u. S. Plane. Ruledrado jury has Cinemark Holdings is not liable for shootings in 2012 that left 12 people dead. They could not have predicted an attack from gun man, james holmes, sentenced to life in prison last year. I am mark crumpton. Bloomberg west is next. Emily i am emily chang, and this is bloomberg west. Coming up, a question of trust. Did a highprofile meeting with Mark Zuckerberg convince conservatives that facebook is a friend . We get details from someone who attended. Plus, google and xiaomi a plan to take on apple and amazon. I caught up with Xiaomi GlobalVice President and former google exec, hugo barra. And dysons second wind. The manufacturer is reinventing mainstream home appliances. The ceo joins us to talk about new products and the plans in the pipeline. Now to our lead. Mark zuckerberg met with conservative leaders wednesday at Company Headquarters to address concerns over a bias in the companys trending topic section. Among those in attendance, glenn beck, Barry Bennett and former White House Press secretary dana perino. After the meeting, zuckerberg took to facebook posting, i wanted to hear these concerns personally and have an open conversation about how we can build trust. I want to do everything i can to make sure our teams uphold the integrity of our product. The meeting seems have placated at least some of those in attendance, including beck. In fact, beck left the meeting taking issue with the conservatives in attendance. In a post on his website, he wrote, the overall tenor to me felt like the salem witch trials. Facebook, you must admit you are screwing us. If you do not, it proves that youre screwing us. Joining me now to discuss is someone who attended that meeting, arthur brookes. And with me here, my guest host for the hour, Ethan Kurzweil. Investor in twitch, periscope, and more. I will start with you. How would you describe the overall tenor of the meeting . Guest it was a constructive meeting. Facebook Senior Leadership was there and expressed they are worried about trust and not just conservatives, but people who are concerned about being misrepresented on their platform. They told us about what theyre thinking of doing to fix it from an engineering perspective. It was interesting. Emily would you say that Mark Zuckerberg admitted in any way there was bias in the trending topics section . No, the investigation is ongoing. They do not think there is a y goingseat conspirac on. Emily why do you say that . Guest conspiracies are hard to pull off, and they are not very profitable. There are 176 million facebook users in the united states. They want a platform that appeals to people of different viewpoints. Not leadership trying to shut that down. It would be a pretty bad idea for business. I do not think that is what was going on at all. Crowdpackan, released to data that 89. 6 of facebook employees are liberal. Does that matter . Guest i do not think so. Facebook is probably an overall reflection of the demographic that works there. They are a Young Company in Silicon Valley, where people are left of center. What i think is interesting about this story, emily, is that it is moving us closer to the line where facebook is acknowledging they have control over us in subtle ways. They take that very seriously. It sounds like that was reiterated today. That is something we have to watch. Did facebook and knowledge that acknowledge that . That they have influence over what people perceive . Guest they talked about trust, and trust is everything when you are a media organization, particularly one that disseminates without trying to editorialize. Not want to identify it with one particular point of view. This brings up one question does it matter that liberal point of view are so overrepresented on facebook . That is an interesting question and a big opportunity for facebook, as a matter of fact. Facebook can represent liberal point of view, but it would be a good idea to have different points of view in the room. I think Mark Zuckerberg and Sheryl Sandberg can use this as a major opportunity to have facebook be a forward leaning company that tries to represent americans in a more unbiased way simply by getting more voices in the room. Emily arthur, there seems to be some tension here in that facebook is an independent business organization. The conservative party would say that the government should not interfere or interfere as little as possible. What exactly do you really want from facebook . H, i do not know what i particularly want from facebook. They were asking my opinion. It is not like i was going to facebook with demands. I want free enterprise. I want a Great Company to grow and serve americans better. That is what is happening, as far as i am can turn concerned. They wanted to know how they can make the situation go from conflagration to opportunity. Emily what do you think they can do . Guest i think this whole idea of using this as an opportunity to pivot to a community that is not represented is a big idea. If you have a company in Silicon Valley, Silicon Valley is overwhelmingly leftwing, i get it. Also a nonreligious place. But people who look at facebook and are relying on trending topics, they are not all like that. Maybe this is an opportunity to build a community where people can understand each others points of view. In so doing, maybe these bumps in the road would be naturally avoided. Emily in terms of users on facebook, Mark Zuckerberg pointed out donald trump has any other than candidate, and foxnews gets more interaction than any other news outlet. I heard the accusation, i would not have thought there was any bias. Facebook is in a position to show that. Provean algorithmically there is a systematic bias one way or the other. I am curious. Did they talk about deploying improvegy to be able to the status quo or rebut allegations made against them . Guest for sure. The trending topics algorithm is a pretty new thing and small compared to the newsfeed at facebook. It is something they are trying to get right. They are extremely interested in how they can improve it. They are very much listening. In the weeks and months that come, i think we are going to see some actual positive changes in the way they deal with engineering solutions. Cultural solutions will have to come along too, and i think they are interested in those as well. Emily arthur brooks, thank you for joining us. Ethan kurzweil, you are sticking with me. Tim cooks in awe ural visit to india. Visitected inaugural to india. Announced thepple visit will create 4000 jobs. They are looking at setting up a Development Center in bangalore. Local news outlets are reporting that he will meet with Prime Minister modi later on. Coming up, we speak with the former director of the nsa and tackle the next frontier of encryption and security. Emily damage control continues at theranos. The embattled startup says it has sent tens of thousands of corrected on test revolts blood tests results. Patients may have been given an dented number of in accurately. The elizabeth holmesled companys readings were once touted as revolutionary. Machines came under the microscope after reports by the wall street journal. The fbi apple battle may be over, but the encryption wars have just begun. A bill lies in wait in the Nations Capital with tensions between the government and Silicon Valley at an alltime high. Our next guest is a former director of the cia and nsa. In a twist, he backed apple at the height of the encryption debate. Michael hayden joins us now and Ethan Kurzweil is still here. General hayden, thank you for joining us on this issue of encryption. Given that you cited with apple, a formeron director of the fbi, who is saying that encryption is impacting investigations, what would your response be . Guest i sympathize. He has a problem. Encryption allows people who would do us harm a safe haven for communication. Security,e world of there are always tradeoffs. One of the great threats to americans now is not just terrorism. It is cyber threat. Jim clapper, the director of National Intelligence, for the last couple of years has said cyber threat is threat number one. You have to be careful before legitimate reasons, do something that will make it difficult to be successful in a security sense. The bottom line is the government has a right to do this. I do not think there are constitutional issues. Think, on balance, for security reasons, it is a good idea. , you hadneral hayden said in the past we are heading for a world of unbreakable sincerity security. Do you believe there will not be hackers in the future that can break into things . Do you think we will get past the point where there are a lead hackers elite hackers . Was, we have meant to embrace, the security community, lawenforcement, we will have to embrace the reality that, no matter what law we pass, what Court Judgment we get , it will become increasingly difficult to retrieve content of intercepted communication. That is just a reality. That technological arc is inevitable. Rather than trying to prevent it through legislation or court action, we need to get on with our lives in terms of still doing our jobs, even in the absence of collecting the content of communications. Remember, i am arguing for security, not security versus privacy. The point i am making is there is a lot of digital exhaust that can be retrieved and used to create actionable information for both Law Enforcement and intelligence. That is still a legitimate target. Emily now, klapper and other u. S. Officials have said they are ramping up a cyber war on isis. What exactly does that mean . What is going on behind the scenes . Guest i like the fact we are saying we are at cyber war with isis. I have lived my entire life and government. It has only been in the last couple years we can say things publicly that need to be said. Now you have the director of National Intelligence publicly announcing we are taking offensive cyber action against islamic state. I celebrate the action and the announcement. With regard to the operational details, i am not in government. Are making itwe more difficult for them to sustain their digital identities , more difficult for them to use social media for recruitment, command and control, and raising funds. I applaud the effort. Emily now, speaking of the current president ial election, r recently il mahe would be concerned if President Trump governed in a way consistent with the language that candidate trump talked about waterboarding. You said the American Armed forces would refuse to act. It would be in violation of all laws of armed combat. You work for president bush. Now that trump is the nominee, are you still that concerned . Will you be voting for the democratic candidate . On that will fall back australian secret Ballot System we have had for over a century and not talk about how i am going to vote. Nothing has happened since a couple months ago. Nothing has changed my view that, if President Trump governs s, i candidate trump talk think america is far less safe than it would otherwise be. Some of the things he has said are unacceptable. Closing the nation off to the greatnce to one of its being able to detect and deport 12 million residents, those should be scary things for everyone. It will be hard for candidate tomp, after the convention, undo the things he has already said. Emily general michael hayden. Thank you so much for joining us today on bloomberg west. I appreciate you sharing your views. Ethan kurzweil, you are sticking with me. Coming up, the company that reimagined the vacuum cleaner is after your hairdryer. We will look at how this everyday appliance is being completely redesigned. Emily dyson is in the midst of a transformation. The Company Wants to totally remake the way we think about home appliances, first updating the vacuum cleaner and now redesigning the lowly hairdryer. They spent 71 million developing the supersonic. Here to tell us about it and other plans, the ceo and my guess for the hour, Ethan Kurzweil. This is a 400 hair dryer. Why should i spend 400 . Guest first of all, when i turn it on, we can still talk. Emily it is fairly quiet. We have really reinvented everything about the hairdryer. The first thing is we developed a small, Digital Motor. It is very powerful and creates a lot of the air pressure. We put that in the handle so my hands do not get tired. Controlntelligent heat in because most hairdryers burn hair. It dries faster, and i have three of them in my house. Me ifould absolutely kill they took this away. Guest you spent all this time on the technology. What else can you do with this tech . What other products can you reinvent . I do not dry my hair that much. Guest i do not have enough, unfortunately. It is a great example of what dyson does. Our engineers get frustrated about things and want to solve a problem. , no we looked at hairdryers one had really thought intelligently about it. We developed different motors and came to a different place. It is the same with vacuum cleaners. Hours hour battery driven ours are battery driven. We are doing the same with fans and air purifiers. Emily what else are you spending r and d on . Guest we are in the midst of launching what i think is the most exciting stage of dyson technology, the ones i just talked about. We will be launching an autonomous vacuum cleaner. When you are on vacation, you come home, and your house is clean. Emily your vacuum can clean when you are not home . Guest when you are not home. We have 2000 engineers at 14 universities. There is enough frustrating things left in the world that maybe we can find a solution. Guest why do you think it took so long for someone to redesign the hairdryer . It has been the same product for 30 or 40 years. Reallybecause, if you want to come up with different technology, you need to take a foundational approach, and others do not do what we do. We developed a motor, spent 70 million to make it better hairdryer. Very small, the fastest spinning Digital Motor you can have in the world. Out of that, you can create a different appliance. Guest you can make all Household Appliances quite are. Guest there are others that are frustrating. Emily so you have also filed patents in the battery area. You are working on making better batteries. What is the state of your research so far . Guest we are very interested in batteries. ,t goes back to the engineers getting frustrated about motor technology. We knew nothing about motors, but thought surely we could develop Digital Motor technology. Similarly today, we are relying on the best conventional battery technology, and it is limiting what we can do. Inare investing with the aim delivering significantly Higher Energy density. That means machines that can run longer. Emily do you think you can take on tesla . Guest we are not commenting and will not. But we get teased about what our engineers are working on. Thank you forze, stopping by. I will think about the hairdryer. I appreciate you joining us today. Guest thank you. I dothan kurzweil use hairdryers everyday. I appreciate the problem. Guest if you try it, it will change your mind. Emily coming up, a look at the new settop box. Hugo barra gives me the ground tour. This weekend, we will bring you our best interviews from the week, including my interview with john thompson. Show me top new artist. Ah, ha ha. Show me top male artist. My whole belieber fan group. Its not a competition, but if it was i won. Xfinity x1 lets you access the greatest library of Billboard Music awards moments, simply by using your voice. The Billboard Music awards, live sunday may 22nd, 8 5 pacific, only on abc. President hasw focused on Economic Issues in her inauguration speech, saying the island needs wage growth and should join regional trade agreements. She also called for pension reform and promised to boost opportunities for young people. The promise advocated looser ties with mainland china. Sydneyres swinging in was bought in a deal worth 2. 29. 2. 2 billion dollars. The deal is expected to lead to greater integration of projects in papua new guinea. The Obama Administration is pressuring japan to avoid weakening the yen, which has surged 10 this year against the dollar. Washington says the problem with the World Economy is waning demand. Those are the headlines from bloomberg news, powered by journalists in 150 bureaus around the world. Lets get the latest on the markets. We are seeing a lack of conviction playing out in this last session for the week in asia. We have been oscillating between gains going into the later part of the session. We are seeing strong gains from hong kong. 1 , shanghai,. 1 . Nikkei 225,. 2 . The yen is driving some of that positive sentiment. Iorn iron ore prices are rebounding after the last couple of days. Is ready to go potentially as soon as june, which would result in pressure on emerging market assets. A bit of weakness from indonesia. The central bank did hold rates yesterday. Malaysia is reporting rates unchanged,. 1 . Energy names are doing well. Singapore up by. 8 . The picture is not looking of. 1 w