Will attempt to win backtoback championships tonight against the Cleveland Cavaliers without draymon green, who was suspended for tonights contest. Emily i am emily chang, and this is bloomberg west. In to itsadds linked professional network. Plus, our conversation with Satya Nadella and jeff weiner. Apples blueprint for the next generation. The tech giant putting its new commitment to software on display at the developers conference. We will update you on upgrades. Strength in numbers. After spending a ton of money competing with each other and facing the same legal biggestes, the two daily Fantasy Sports companies could be teaming up. Apple kicks off its Worldwide Developers conference with a slew of updates, including a smarter siri, apple pay, a redesign of its most troubled services, and upgrades to photos and messaging. The annual event is meant to woo developers to create software for apple products, something that is ever more important as the Company Transitions away from a dependence on hardware. Bloombergs cory johnson joins us with more. Lets start with siri. What do you think . I think this may be the most important announcement they had today. Siri is something they spent a lot of time with. Makesperson who uses siri it a little better. I do not have a great personal experience, but a lot of people do. , now it hasing that gotten to a certain level of maturity, developers will be able to put this into their app. They have created an app where you can say, give me my lyft. The car will go in and use that app. Previously, you could only use siri with apple devices. You could not say on spotify, play rhianna. Now developers can use that software. I think that will be a semitic and change. T change. Ican emily a lot of folks on twitter were excited about the changes to messaging. Some of this could seem gimmicky, invisible ink, making it easier to emojify a message. I wonder how potentially groundbreaking these changes could be, when there are so much change going on in this space. Cory you know, i agree with you. I was not actually watching twitter or watching the keynote. I was multitasking. As you know, the things going on in china with wichat our more involved. There is a bit of catch up going on. They showed off bigger emojis like me for old folks like me that cannot see. Software made this a thing so you can type regular sentences and figure out which ones you can replace with emojis. I think that will get traction. Emily i need more support when it comes to emojis. I appreciate that update personally. I could use help. What about apple pay . How much stronger does the update make apple pay . Can they take on paypal at this point . A serious is competitive threat to paypal. Munster is on the same lines. Apple has this great position. They have the users for these devices and are opening the api so companies can use apple pay. If you go on to an ecommerce one and youre using safari a desktop or mobile device, safari users do more commerce than and when users. The ability to do that using apple pay will drive folks to do shopping on your phone and take market share, on some degree, away from the incumbent players. Paypal has the most to lose. Emily cory johnson giving us a round up from downtown san francisco. Thank you so much for giving us the scoop. I want to head to another huge story we are watching. Announcedr microsoft the 26. 2 billion acquisition of linkedin, Goldman Sachs was advising another possible bidder. I want to bring in alex sherman, who has been a scoop machine today. Who else was looking to buy linkedin . We are still trying to figure that out. There can only be a handful of companies that have the resources and willingness to take on linkedin. Just off the top of my head, pu re speculation, you could see google being interested, facebook. After that, the list gets a little dicey. Could there have been overseas interest . I suppose, but it is a big check to write for regulatory issues. We will try to do our best to break whatever company this was working with goldman. We do not know if that company is still interested in buying linkedin or if they moved on or how close they got. All that information will be in the proxy filing when that comes out in a week or so. Emily i did ask jeff weiner today who else was potentially buying. He, not surprisingly avoided the question. M andbout other big tech a . We have not touched on this much because it is dwarfed by the linked in detail, but symantec was bought on sunday. It is just one after another after another. I cannot remember any stretch quite like the last two months. There is a sweet spot of companies being scooped up now, and i think that will continue. We will see a handful of others go that way, either being bought by strategic players or private equity. Will we see any more megadeals . With linkedin off the table, will that spur interest with twitter . Twitter was up 8 on the news linkin got acquired. There are investors that feel twitter is a takeout candidate. A 20oft ponying up billion check for linkedin, maybe that spurs a rival to pay 10 billion for twitter. Emily you wonder if it is realistic or wishful thinking. Lets move onto scoop number draft kings and teaming up. There have been talks for several months between the two largest daily Fantasy Sports players that have been in the news quite a bit, first because valuations popped last year. Both of these companies were valued over 1 billion. Than they got into legal trouble. To look at started these companies and started to think of them as illegally gambling. The idea of whether or not Fantasy Sports is gambling is still going through the process of being looked at by regulators, by lawmakers. But new york state, for instance, has banned both of these companies from operating. The ag has taken a hard look at both of these companies. Perhaps by merging, the companies can limit ad spend. For anyone watching professional sports, there is no way you could have avoided the unbelievable amount of tv commercials from both these companies. It became a harmful arms race. Assuming the legal problems can be put aside, it makes a lot of sense for the companies to come together. They do the exact same thing. The question is, will regulators allow these two companies, the dominant players in daily Fantasy Sports, to come together . That will depend on how they look at the market. Is the market daily Fantasy Sports, all Fantasy Sports, or all Online Gaming . Those are outstanding questions. Emily regulation remains a huge question. Alex sherman, i know you will keep us uptodate. A developing story. Cutting its revenue forecast for the second quarter, saying regulatory restrictions cut advertising from Drug Companies and health care groups. A cut inny is citing sponsored link. Shares are down 9 in extended trading off the announcement. Coming up, microsoft and linkedin one more of your workday. We will hear from the ceos on the megadeal. Emily turning back to the big event in san francisco, apples Worldwide Developers conference. Among the announcements, changes to siri, getting smarter and perhaps more independent. To outsided siri developers for the first time as the Company Fights to catch up in popularity with google and amazons ai platforms. Is it too late . Joining us now, one of the early tuttle of siri, and tim of mind meld with brett taylor. Brett, opening siri to developers, is this Game Changing . They opened up messaging, siri. For the first time, i think you will start seeing thirdparty apps in every part of your ipad experience. With siri order ubers probably order through messenger as well. Being able to see your app permeate the entire experience of your phone rep rather than being relegated to the home screen is a meaningful change. It is something android has been doing and competing messaging apps have been doing well. Think your apple phone experience will substantially change. Emily can they maintain the quality . I think they will. Apple are using this technology for extensions. They launched two versions of ios slowly and deliver the. Deliberately. They have a deliberate approach. That has always been apples strategy, quality over quantity. Quality overspeed. Google and others have taken a different approach. Apples approach has worked well to date. It will be interesting to see if there are killer apps. , there has been a hasof buzz around what siri not done yet. Were you expecting more by now . Killerthere be a siri app already . I am gratified to see what happened today. It is the digital assistant revolution. This is six years since siri launched, five years since apple bought it. Apple has moved from closed to open, from 12 apps that launched, five in able domains prior to today. I think this is less than meets the eye. They announced six new domains. They curate each of those six domains. This is a cautious step into the open world. Bybe they are chastened microsofts experience with cortana. Alexa has been getting a lot of buzz. Should apple be farther ahead when it comes to ai . There is a user set that wishes they are farther along. It is a big step to open up the siri api two developers. It is a very deliberate step. They are not the first mover. Api lastened alexas year. Cortana last year as well. Google is planning to open their api for google assistant. They are not the first mover and do not need to be the first mover. , you are an investor in another personal assistant company that facebook and google have reportedly tried to buy. What is coming here . Point, the ceo of vidlab has talked about the explosion of applications. 13 million registered developers. To say there have are six domains open today. Photo, search, ridehailing, workouts, and personal payments. Those are nice but limited. 13 Million Developers have their domain open for use. And thertunity here excitement should be around the fact that these Digital Assistants are now open. It is a race to a single interface, if you will. The world is now opening. The question is, do they stay open on existing ecosystems, google and apple . Companies, google, apple, facebook, amazon, and microsoft. You have the insurgents. And the here, vivlabs, opportunity is to create an open environment with natural language enabled ai for the entire world to develop. Emily what didnt you hear today that you would have liked to . There were rumors messaging would be opened to android and other platforms. That did not happen. There are a lot of announcements. There is a lot of we were oftting backstage a lot Major Technology companies are competing on common fronts. Ai, messaging, mapping. Mobile operating. Messaging, facebook and others have an advantage because their platforms are open to all mobile phone platforms. They are reaching a broader range of users than ios. Emily i asked a Satya Nadella earlier today about ai and what the deal with linkedin means for the future of cortana. Im curious. You run a company that competes with microsoft when it comes to productivity. What do you think of this deal . Does it change the Competitive Landscape . Surprise to me, a drastically new market for microsoft. A steep price tag, but it is a talented team at linkedin. There is a lot of interesting product integration, whether it is things like outlook and things like cortana, dynamics and data in linkedin. This couldute well, make both companies more valuable than they were independently. As you know, integrating two extremely Large Public Companies is a herculean task. Emily given that apple has not made a huge deal, does this change the Competitive Landscape for apple . Linkedin is primarily business service. If apple defines it self as sumer Service Consumer service, on the other hand, this is a network with a great number of users. People have personal lives and business lives that overlap. It is a strategic move by microsoft. Apple is behind in social networks. Emily people have talked at length about the possibility of apple buying twitter. It has not happened. Certainly interesting to watch. Tim, thank you all for joining us. Another story we are watching. Two yearurging to a high out of expectations supply will shrink. Mining will be reduced in july, a process written into the code to limit supply. The price has mostly recovered following a steep decline of less than 200 in january last year to 1000 in december of 2013. Next, facebook will fail. That is the latest call from andrew left. We will explain his latest target next. Emily a developing story. We are seeing headlines on the Associated Press of a hostage situation, possible hostage situation, in france. The interior ministry saying three people are dead. One child has been saved following an attack on a policeman outside of paris. It is something we are continuing to follow. An unfolding hostage situation in france. Sellerresearch short andrew left says the stock is too expensive right now. , ia statement, he said respect zuckerberg and his team, but investors have to put the size of this in perspective. Snapchat is becoming a beast. Arish on be pharmaceuticals in december before it fell 40 . Facebook shares fell the most in months monday after gaining nearly 9 in 2016. It is the biggest deal microsoft has done in its 41 year history, and one of the biggest tech acquisitions ever. We speak with Satya Nadella and jeff weiner about their 26 billion tie up you are watching bloomberg west. We are monitoring a hostage situation unfolding. The Associated Press sites that three are dead, following an attack on a police of paris. Ide inee in orlando are still great condition. The shooter was killed in a gunbattle with the police. The investigators are trying to determine the motive and president obama said that it is being treated as a terror investigation. want to leave the european union. 47 want to remain. Is from the guardian. People, businesses, investors who are concerned about the prospect of leaving, speak up. So. Nesses are doing many have done so. This is not a moment for businesses to sit out. The referendum is june 23. Journalistsed by and news bureaus around the world. Headquarters, it is just after 6 30. Paul allen joins us with a look at the markets. Paul allen lets start with new zealand. It does not look too good. They are off by a third of 1 . Shanghai results a re more than 3 . We were deciding on whether to include the shares. It was put off twice in the past. The shanghai composite address the issues. Take a look at the motor shares today. They maintained a 12. 6 stake. The onlineppened and retailer will make comments. They will be available to others. Emily microsoft is buying linked in. The acquisition is one of the largest ever seen in tech history. They are paying 196 a share, after a premium on friday. The news sent linkedin shares soaring. It is bigger than the previous acquisition. 25 billion in debt to pay for it. I spoke with the ceos and began by asking of bout about asking about synergies. It is about bringing the cloud of microsoft and the professional network. The dream is how to connect the users to getutual work done more seamlessly. That is the vision. Bringing the network and the cloud is transformative. I have been thinking about this and, in february, we had serious conversations. We talked about the possibilities of the product and haveoming together and we a full conversation that will allow us to accelerate what we wanted to get done in this next phase of growth. Emily this was the time where you and i had a conversation about how big you think the future potential of linked in is linkedin is. The future just got bigger and it is always about a longterm mission and vision. You think about one billion customers and the ability to integrate our network and social , the office, the window, skype, and the possibilities are endless. Is a microsoft cloud will operate independently. It is independent and integrated for customers. Dynamics that is part you can start completing the scenarios. Emily link and did not grow as fast as the market expected it to. Market, what the is the change in the strategy . Part of it is the alignment customerspose and the within the enterprises. Path about sticking with a with the mission and the vision amplifying it in the aqueous system. In the ecosystem. Emily howdy make sure this is not like nokia or skype how do you make sure this is not like nokia or skype . Be thinking about expanding the Market Opportunities and riding the Technology Waves of the future. This is the core of microsoft and we look at the dimensions and this checks all of the boxes. When it comes to integration, we will try a different approach and it is something that we have talked a lot about all stop we want to be integrated when it about. To i whennt to be integrated, it comes to professional networks. It is going to be very different. If you look at our past. Minecraft was a tremendous success for us and, down the that hasre is a team been one of the most successful. We have a history of getting it right. Are getting a huge Enterprise Sales force and a customer base. How much do you think microsoft can scale the linkedin membership . Will this grow . Will this skyrocket . Well, was certainly have potential. Lion members and we have the opportunity to bring value to over one billion customers. That is the plan. Emily are there big acquisitions to come . I am excited about the linked acquisition and i am excited. We will see how the industry response. Will be interested in the industry and the customers. It is all about us realizing a mission with the customers. Emily that was the microsoft ceo and the linkedin ceo on the announcement of the acquisition of the social network to be completed later this year. I wanted to talk to my guest. The bloomberg columnist. You have some thoughts about this acquisition here. If microsoft was a smarter and better company, linkedin never would have existed. Microsoftt was that was essential for many at work and, if they had been smarter about seeing where workplace communication was going, they would not have let this company do file storage better than microsoft. It would not