President and ceo walter isaacson. Great to have you on the program. Great to talk to you again. Our top story will be this. New privacy concerns surrounding pokemon go and its creators. Some are calling out the company for collecting massive amounts of player data. In a letter he writes im concerned to the extent which niantic may be unnecessarily collecting using and sharing a wide range of users personal information without their consent. The games creator released an update adjusting how much data it actually has access to but clearly were in the opening innings here of trying to understand the social regulatory, political consequences of augmented reality. Exactly. I mean, here in aspen yesterday all sorts of people wandering around there and of course youre using it and its collecting your data and also collecting all of your google data. Thats a little bit much. One of the wonderful things about it is it will inform us and make us think more about what data we want to block and what data we want to share because it makes the game more fun. We also want our right to share data when we want to. The massive overcollection of google data and getting access to not just basic information and when people wanted to play pokemon, it raises the question do there need to be selfimposed regulation and do there need to be even beyond that a federal regulation protecting consumers from having their information sucked out by these companies because we know they can be hacked and then when that happens, oh my goodness. Id rather have you regulated than trying to have it be done by congress. Id rather have us discuss it. If im searching around here for pokemon characters and no longer automatically by default open up my google data. So a little bit of an out cry and a little bit of a fix. Thats the way the world should be working but i do think we have been here at the conference and this pokemon thing in my opinion you talked about at the last hour is a bit of a fad and after awhile youll get tired. Hopefully they build it into learning apps so you can take lessons but use a great game and education tool that teaches you how to computer code but you can win pokemon things. I think the gameification of learning is more important than of pizza parlors. New comments this morning where you are. Over why you called off a donald trump event at his home last month. He invited a small group of people to meet with a nominee related to tech. Once he got word it was being turned into a fundraiser he cancelled and took to twitter. We are interested in engaging both campaigns in open dialogue and issues in technology. What was the response like there walter and how are ceos supposed to operate in this hyperpolitical year. Well, adam asked him the question, he walked it back well. Its a very you have the right question just now. Its a hyperpolitical year in which people are really torn and passionate and i must say without trying to be partisan myself its mainly about donald trump. If youre a Major Corporation and you seem to be supporting donald trump a lot of your workers and your customers are going to be inflamed about that and, you know, its not usually the case in president elections that people get so inflamed about one particular candidate. Were already in an environment where companies decided to take sides on certain issues. Weve seen apple weigh in on same sex marriage and salesforce and other companies, paypal on state legislation. Where is the line for companies on how far sponsorship of an issue should go . Well, my own opinion is that companies and corporations have a certain goal thats both to be good citizens of this country, good citizens of the world and make a return to shareholders. Something that effects their work force such as same sex marriages or for that matter even the comfort of work forces if theyre going to deploy a facility in North Carolina it probably makes sense for them to weigh in on it. Im not sure im that comfortable with corporations just randomly becoming political for no apparent reason. Weve already seen that in the environmental and green space and i think, you know, we walk the line pretty carefully in this country and im not particularly worried about corporations crossing the line. I think they have a right, people at corporations and corporations themselves have a right to push for certain types of social policies. Walter, do you have a sense of whether this was naive or miscalculation on intels part about what to expect from this event or whether it was over aggressiveness on the trump campaigns part turning this into something that it wasnt initially intended to be . It seems like it was probably both but frankly i do not have any inside information on how much the event changed from here to there. I know it probably did have as you would say in the military, Mission Creed that began with q and a but does show the flashpoints especially around trump that happened in this election season. Finally walter, shares of amazon, record highs again. The Company ReportsSecond Annual prime day was the biggest ever surpassing last year by more than 60 worldwide. Prime is now the latest ecommerce innovation created by bezos and we keep having this conversation about his ability to be entrepreneurial at scale but at what point do you worry about him having too many irons in the fire . I dont seem to worry about him at all. Back in 1999 when i was with time we made a man of the year and i thought okay at some point this will burst. He has been the most brilliant entrepreneurial and hes been like lets create a shopping holiday. Who knew in the middle of july we would surpass almost every day of the year as a shopping holiday. Thats something that helped amazons products. Here in aspen at the institute one of the people from amazon got off and showed off the echo machine. A lot of people buying it here on the campus. It is a whole new way to have a user interface. Theres whole new ways of doing business that have been invented by jeff besos and im blown away by amazon and amazon is still creeping up to record highs. They can come out and say it was the biggest ever and sales up 60 and thats like netflix saying the premiere of a certain series is the biggest ever but still declining to give any ratings or viewership information. The hundreds of thousands of kindles and fires and amazon tvs that were sold in the past two days, that really does imbed people into the amazon environment. Maybe its a little bit overhyped and you may be right. The numbers arent fully there but when i looked at the numbers that they put out i went wow doubling tripling from last year. You keep on this trajectory. Amazon invented something new which is prime day which i had never heard of a year ago. Walter, what does it say about amazons cultural relevance. This reminded me of Montgomery Ward creating rudolph the red nose reindeer and Department Stores turning christmas into something it hasnt been before. Are we in another zone like that with ecommerce and amazon and what does it signal about where it goes from here. That could be for the good. You look at the core of the cities. Shopping has become a fun entertaining experience rather than where you just go for the serviceable item but look i come out here to aspen and im running out and i just go to amazon and it gets delivered and when we have much more natural user interfaces our line is doing it to ipo today. We chat happening in asia and the messaging apps you can use a buy to shop naturally with conversational tones. And conversational approach to the Company Using alexa with the amazon echo. All of these things are going to change the nature of shopping. Walter, knowing what we know about entrepreneurship its great to get your insights today. Always loved having you. Thanks so much. We have to apply some of that to educational and learning technology. Thats what we have been talking about here. We look forward to hearing more about it. Its been a great week for you already. The markets at this hour are little change. The dow and s p 500 setting intraday records at the open but still mildly in positive territory. And denying the bank of japan would pursue helicopter money and of course the bank of england meeting tomorrow and that of course is against the backdrop of the u. K. Today getting a new Prime Minister. Pandora is moving higher and upgrading from overweight to neutral citing improving Profit Margins and high hopes for the new on demand platform. That was put in place last week after three died in that trial. Shares are up better than 16 . Stocks still trading in record territory. The best places to find hidden value. Its also the biggest tech ipo of the year. Details online after the break and materials trading at the highest level in more than 12 years. Well talk to the ceo in a first on cnbc interview later this hour. Your Business NeedsBetter Technology to drive better performance. So you need it to be reliable and fast. Really fast. Introducing the comcast business Summer Savings event. Fast Internet Speed to drive performance, plus cutting edge wifi for your employees and customers, and voice mobility so your calls find you wherever you are. Get some of our most advanced products at a great price with over 500 in savings. Call today and ask how to get these savings plus a 250 prepaid card. Comcast business. Built for business. The dow and the s p 500 hitting record highs again this morning but they paired gains since the open. We are open on track 4 a 4th day of gains for the dow and the s p. Joining us is john sweeney. Executive Vice President for retirement and investing at Fidelity Investments and the cofounder and managing partner with mayflower advisors. This is being called a relief rally but people are worried this is again Short Covering all corporate buy backs. Who is in there buying . What is this . Three different types of investors. One theyre seeing solid employment and getting raises as we saw from some companies yesterday so theyre putting money to work regularly in the market in their 401ks. You have them looking for yield so theyre stretching and buying equities and you have the traders stepping in post brexit when you have an Inflection Point and theyre putting cash to work. The drive toward stocks is continually fuelled by central banks. The fact that is u. S. Is the best house in a bad neighborhood. Central bank sentiment can turn on a dime. How sure are you that this is a reality that can sustain itself . You make a great point. With the dow and the s p at all time highs you would think investors would be jumping for joy but theyre not because most investors saw that as a post brexit holy cow the strategists for wrong, im underinvested but the fed has my back rally. On this network ahead of the jobs report that was the most important piece of Economic Data because that may have kicked off a rotation in the market. Into a broader mandate out of some that investors have been hiding in but theyre no longer providing the reward. Its a healthy action that were seeing in this rotation but rotations can be nasty and they can be fierce and investors are poorly positioned for that rotation in the market that were seeing right now. The morning after the brexit vote i sent my mom and dad a text that said dont panic sell anything and they hadnt seen the news yet but for the retired investor and they are retired as many of our viewers are, have any of the rules changed . Many have to be confused. They want to protect their assets. Theres a lot of volatility and they cant go into Interest Rate bearing things anymore. One of the things we get retireee to think about is youre planning for a 30 year retirement. You want to make sure that you outpace inflation. I cant lose any principle so they go 100 to bonds and 100 to cash and even for a 65yearold you want to be looking at 60 equities. The bonds are providing stability so in this Interest Rate environment bonds will be that balanced in your portfolio and then two years of cash in the money market. Same old rules of thumb. Nothing has changed . Stick with the plan. Stay with the course. Four capital launches tomorrow by the way. Sure. I would also add that if you look at investor portfolios this is a time to rebalance the portfolios. Investors are comfortable hiding in those games. Its easier to get a gun out of an nra owners hand than a dividend stock out of a portfolio now and this is when you want to start looking at the areas that lagged the portfolio and opportunity going forward. If this portfolio is going to have Growth Opportunities and the rally is going to have legs, 19,000, 20,000, were going to see a rotation in that portfolio. This is the time to do it if you believe you can have that rally and thats what investors should be doing at this moment. But stocks cant go up forever. At some point, the hold forever thesis goes away and there does become a smart time to sell. European officials think they can avert an italian banking crisis. Is november the biggest risk out there. You said time to sell. Theyre providing dividends and hopefully producing some growth so you want to hold on to them for those reasons. Look at them as tools in your portfolio that are generating growth depending on what stage of life youre in so the question about selling comes down to timing if you think you can go in and out of the market when theres a period of volatility like we saw last summer with china. Like we saw in february with oil and like we saw last week with brexit. Thanks to both of you this morning. Thanks. Meanwhile, messaging app line set to list on the tokyo and New York Stock Exchanges the tomorrow. The company will raise over 1 billion in what is going to be the biggest tech ipo of the year. Bob is here at the New York Stock Exchange with more. A lot of excitement about this and let me explain why. First, heres the basic facts of whats going on here. This is the japanese messaging app. Its pricing toward the high end of the range. 3300 yen right now. Thats about 33 here. Thats very interesting and its unusual in that its pricing in tokyo and new york one day later. One third traded in japan and 2thirds of the New York Stock Exchange. This is going to probably trade up. Let me explain why exactly here. First its priced at the high end of the range. Secondly theres a lot of retail interest in japan because its very wellknown. Its a messaging app in japan and theres something very unusual about this. Were playing by japanese rules here. Trades on thursday in new york. Friday in tokyo so theres a three day period where you have market risk. So the nikkei has been trading up this week so thats likely to give some to the stock and also theres a three day period here where its not trading but its priced theres a market that developed in london on the stock. Its not here. Its illegal to do that here but in london theres reports that the grey market is trading higher over there. Well be talking about this tomorrow with the head of the New York Stock Exchange right outside the post discussing the new ipo. A big ipo on friday and thats another one we keep an eye on that next day. Back to you. All right. Exciting to watch. Thanks bob. When we come back a first on cnbc interview with gar garydickerson. When squawk alley returns. From augmented Reality Mobile Games to google vr and solar and display Technology One thing they all have in common. Not trading at levels since november of 03. Larry joins us from San Francisco at the west conference as it kicks off. Its good to have you with us. Good morning. What a period were in in terms of new technology making its way to the mainstream. Especially on a week like this. What it means for Companies Like yours. This is a really exciting time at Applied Materials. We Just Announced last quarter 3. 5 billion. Record earnings, 25 above our previous record. And what is driving our business is were in the early innings of some big multiyear waves. Memory technology is changing more than it has in decades. Especially the growth and right now our customers can sell every device they can build. Biggest change in Memory Technology in many, many years and really the key thing for Applied Materials is our total available market goes up by a factor of 3 and its material innovation. And its driven by dimensions and now theres innovation with materials and and in the third dimension and its all about materials innovation were applied at the worldwide leader so thats one big multiyear wave where were in the early innings. Can you and youre able to move out of the way and it seemed to be bad for you, pc sales declining. Smartphone sales maturing and yet the change overs in Technology Behind some of that stuff is enabling you to still move forward and also have new markets. How much legs does that have given the fact that some of those end user products that traditionally have been important for you are not growing the way they used to . Yeah, so yeah, you have these multiyear waves and were in the early innings. Memory Technology Changing more than ever. China we doubled revenue over the last two years. This year will be over 1. 6 billion in china. China will continue to grow and and multinationals and both in semiconductor and the display. And going up a huge amount and maybe double again in the next three years relative to investment and the third multiyear wave that were riding is the introduction or the growth of organic led displays in mobile devices. And really, were still in the early innings of the adoption into mobile devices with organic led displays and this is really one thing that sets it apart because applied is unique in this enabling of these displays. We have extremely high share. We had record orders in display