Twitter. The white house says it has not made a decision on who will be the next fed chairman but a japanese report is telling a different story and it is having an impact on commodities and the market. Plus michael dell live in an exclusive interview after taking he founded private. Twitter filed with the s. E. C. For such an offering, though the Details Remain secret because of a law allowing a company with less than 1 billion in revenues to file confidentially. Interesting circumstances as they tweet that and then tweet okay, back to work. Do they want to be the new media, the new facebook or the new Media Company like viacom . Who are they . With the 45 price that we talked about yesterday, that does sort of clear some psychological deck, right . Big acquisition this week, 300 million. The times this morning reporting they were profitable in disease but that profitability ebbs and flows because of the amount of money theyre having to spend to scale. A lot of people tell me ive been on twitter for years, i dont see any ads. Are they just really good at that . There are ads in there, promoted tweets and promoted trends. They get some money, get more salespeople. Get more salespeople, get more earnings. I wonder is that when you raise capital through the ipo and youre going to use it as growth capital. Are there plans that continue to focus on the business at hand . Or did you get a sense that they move in Different Directions . Theyre largely international companies. 70 of their users are not in this country. Brazil is going gang busters with them. Brazil . Yes. So that requires capital. I dont get the sense they need or want this to be a blowout phenomenon, a blowout event. I think they would love to have this happen under the radar if they could but going public puts them in the spotlight. This is very early. A lot of people felt facebook did it too late. In their growth curve. And then they got i dont want to say bailed out because they figured out who to do mobile. Twitter is pure mobile. Better than 50 is mobile. We wont be having a discussion on how they need to catch up on mobile the way facebook did after their ipo. Jim, youre the one. You were not happy with a 38 facebook ipo price. What would get your attention here . There are many ways to be able to do deals. When you look at this period of social media, you will see a lot of them came public at prices that really did ruin the buzz. I mean, now you linkedin 45 goes to 90, you had yelp, you had facebook done poorly, groupon done poorly. A lot of it depends on the exchange and whether the exchange does it right. With Facebook Nasdaq with a disaster. It can be managed. It doesnt have to be google that gave away the store because they did an auction method. Theyre very naive a lot of companies that come public. I hope that this particular organization will have the pulse, they have the pulse of 200 Million People of what will work. They dont let the bankers decide for them. The bankers come in and they bully you. Because they say they know more. Its time for twitter to say our viewers know more. Listen, they have a pretty strong board of directors. Notwithstanding miss costolos comments, theyve been planning this for a while, its been Fourth Quarter business at least the last six months to a year. Well see if they get it done for the Fourth Quarter. Its not as if they havent been preparing for this. I still believe it can be 20 billion. You can do the back of the envelope and say its one fifth of facebook. If this is an asset that came in less than that, apple would just go buy them. A google but i dont know if there would be any trust there. And amazon likes the media model, bezos likes the media model. Hes an investor in this. Yes. All these valuations that are 3 billion, 5 billion, theyre way off the mark. They can do a sliver and do a very small amount and create a buzz, which i dont like because then everybody who trades gets hurt. I hope they look at the nasdaq facebook and make some judgments. This will be an interesting exercise learning how much weve taken away from lessons from last year and whether or not we can absorb some of those lessons. I dont know. I think that the exchange look, i think by that time it could be intercontinental exchange. Well have a much larger internet related ipo, most likely looks like the First Quarter of next year and that is ali baba. That is going to dwarf in size anything like twitter. Thats 100 million market value. You may not save all the appetite for this kind of exposure but thats going to be a big one and the same banks chasing it and as important if not more. Im not sure ali baba, how much of it is banner ads and how much is traditional growth. A lot of it is converse. Its more like google. Ebay, amazon meets i want a piece of that if im out there. In china. True. Googles not in china. Twitter does have the kind of advertising format that advertisers like. They rebelled against banners. If youre an advertiser, literally you say i got to reach that demo. We all know what the demographic is, twitter has it. Youll throw money at it. That will make investors throw money at it. Tonight our documentary twitter revolution. When we come back, maria is live and exclusive will dell chairman and ceo michael dell. Whats next now that hes won that long, drawnout battle to take his Company Private . This is squawk on the street, live from the nyse when we return. We route your order to up to 75 Market Centers to look for the best possible price maybe even better than you expected. Its all part of our goal to execute your trade in one second. Im derrick chan of fidelity investments. Our onesecond trade execution is one more innovative reason serious investors are choosing fidelity. Now get 200 free trades when you open an account. Goldman sachs as you know by now, pc maker dell is going private. Shareholders have approved a 25 million buyout by michael dell and silver lake partners. Good morning, maria. Reporter good morning, carl. Thanks very much. Joining us, the man in charge, michael dell, winner of this contentious battle, found are michael dell. Congratulations to you. Thank you, maria. Good morning to you as well. Reporter it was a longfought battle up against some pretty big shareholders, carl icahn. Tell me how this changes going forward. There are five areas were going to invest in. The first is really enhancing the Enterprise Solutions and services capability, investing in research and development and continuing the acquisitions that dell has been doing for the last several years, continuing to grow that capability. The second area is expanding our sales capacity and our channel partnerships through our partner direct program. Were going to reach more customers and invest there as well. The third area is emerging markets. This has always been a growth area for dell, the next billion customers are going to come from these markets and were extending our reach there. The fourth is really the pc and tablets and this new area of what we call cloud client computing, the virtual pc. Dell has actually been the whole company in our space in the last two quarters to grow both year over year and sequentially in share. And then, finally, were making investments to enhance the customer experience. So again, its really about changing our focus from a quarterly focus to more of a longer term, fiveyear, tenyear focus, doubling down on the investments that are really needed for this company to be able to continue to serve the tens of millions of customers that were honored to serve every day. Really fascinating. Michael, you mentioned a number of things that people are talking about today and that is enterprise, number one, which youve spoken a lot about for dell, even though most people look at this company as a pc company. You mentioned pcs. I want to get into that as well mobility. We all know pcs have put the company in a different place. Pc sales are declining, theyre expected to be down 7 this year, global pcs as well as the following year. How are you going to stay in that leadership position and thrive when in fact this is an industry that is getting its lunch eaten by mobility and devices . We think the pcs and tablets and virtual clients actually continue to have a very Important Role in productivity. You know, consolidating industries, leading companies can do just fine. If you take a look at dells revenues and our client business, we actually have, you know, very nice scale in that business. We are much more of a commercial than consumer, though were growing our consumer pc business as well. Again, were the only ones that are growing share at least for the moment. I think the more important thing is that the client device is part of the endtoend solution and its a great way for us to introduce ourselves to many customers, leading into the enterprise, you know, dell now has number one share in servers, in north america, in apj. And soon the world. And dell is shipping more terabytes of storage than anybody on the planet. So weve used this foundational business of client computing and embassy te extended that into the data center, software, systems management, security. Today dell is a very Different Company than it was five years ago. We have a 21 billion Enterprise Software and Solutions Business that, you know, has grown from roughly 10 billion just five or six years ago. Quite excited about our future. The opportunity to invest, to really folcus on our customers, get all this distraction behind us. Couldnt be more excited, maria. What about distraction. A number of people have said this has been such a disaster the last several months, this public fight with carl icahn and trowe . Did that take away the demand . Some customers were worried. In the process theyre not going to wait around while this fight is going on, theyre going to move to a competitor. How much of an issue was this battle in terms of customers . Let me take this opportunity to thank our customers for not being too distracted by it. There was some distraction for sure. The team at dell did a great job of staying very focused. One of our principal competitors also had a 9 change in their business, except in their case it was negative. So were playing offense, were on the attack, were growing, expanding our share. This is the dell that many of you are very, very familiar with and youre going to see it in all of its glory. Absolutely. Let me ask you about that enterprise business. You said revamping the Enterprise ComputingServices Business is best performed out of the spotlight, i get that, doing it as a private company. But when you look at an enterprise business, we all know ibm is the leader here and ibm is struggling, putting out proposals in terms of how to modernize the cia business. Who do they choose . Not ibm. Amazon web services. How competitive and tough is amazon as a competitor right now for you . This is a very Large Business space. We just migrated the Singapore Stock Exchange off of their main frame, put it on an Industry Standard platform powered by dell. Weve done 1,300 of these main frame migrations. The thing to remember about our space is this is a 3 trillion industry thats going to be a 6 trillion industry. Dell has 3 but nobody has 4 or 5 . Its incredibly disbursed, large number of companies. Were providing the infrastructure for a lot of the Cloud Companies that are out there. You know, dell is the leading provider of the servers, the storage, the networking that go into all these clouds that are being built around the world. Thats a fantastic business for us, as well as being able to bring News Services for companies that want to build their own private clouds, which is really the predominant trend that were seeing. Weve also done a lot to bring these technologies together. We introduced a revolutionary product a few months ago called power edge vertex, which brings together networking, storage server into one platform thats essentially a cloud in a box. Service providers, cloud systems, companies, all kinds of independent software developers, Large Companies, Small Companies all over the world are adopting this platform very rapidly. Fair enough but at the same time here we are talking on a day that twitter is going public and of course announce beiing i going public and twitter benefiting from this huge surge in mobility. Wheres your mobile product . Where is your footprint in mobility . Twitters a great customer. Eight gre its a great example, maria. Every time a new mobile company gets born, they need servers and infrastructure and storage and Companies Need to be able to protect and secure their data on these mobile devices. So what were doing at dell is helping our customers access this information in a secure way, in a protected way and powering those clouds that are being fueled by this enormous explosion of mobile devices. And for sure dell will participate in tablets and all sorts of client devices. Were not getting in the mobile phone business. We do resell some other leading mobile phone products but really our Main Business is helping our customers secure, protect their data and access it from any device they want to. Michael, were going to leave it here for the live portion of this interview. What i want to focus on now is your legacy. I dont know that a lot of people thought you were ever going to give up this fight. Your name is on the door. Well talk about that on the closing bell. For now stay right there. Well continue our conversation for the closing bell and ill send it back to carl at the new york Stock Exchange. Maria, thank you so much. When we come back, the futures look pretty good. A lot of news going on. We have an upgrade of intel, a crazy report about Larry Summers. A lot more squawk on the street straight ahead. [ male announcer ] this store knows how to handle a saturday crowd. [ male announcer ] the parking lot helps by letting us know whos coming. The carts keep everyone on the right track. The power tools introduce themselves. All the bits and bulbs keep themselves stocked. And the doors even handle the checkout so we can work on that thing thats stuck in the thing. [ female announcer ] today, cisco is connecting the internet of everything. So everyone goes home happy. Were about six and a half minutes before the opening bell ending the trading week and we got a mad dash. We want to talk about a couple of big names with big news. Disney running into the bell on a buyback. I thought this was amazing. If you watched the trading, it was almost as if this was a shocker. What was a shocker people were expecting a 4 billion buyback to do 6 billion to 8 billion. It does seem disney is generating far more cash flow than anticipated. Wow, this Company Makes a lot of money. Dont forget, espn is doing quite well. If it were a Public Company on its own, it would be 40 billion, 50 billion at least in market value. Significant buybacks have been the theme throughout the Entertainment Media history. Isnt it something how viacom as done so well cbs. People are saying this is the area people just missed. Why is that . Do they not understand content . Time warner has been amazing. Certainly on the back of share reductions as a result of extremely strong cash flows. In the 30 seconds we have, let take a look at verizon. I heard a lot of grousing. Bonds were priced at a level that was really pretty attractive versus treasuries and i heard a lot of little guys so to speak saying, listen, i was shut out. Im surprised verizon they paid more than they might have had to. Right away they traded off these guys could have saved themselves some money if they priced that a little tighter. This was a hot deal. Hot 13 billion to pimco and i think verizon didnt well, it a great company. But i would have made it so some of this were available to retail and they just didnt. It was just big boys. Meantime the stock it traded off a little on highly accreted vodaphone, though it is now above the collar. You lose value if youre vodaphone getting delivered those verizon shares. Lets see if we get another winning streak started. Opening bell just a few minutes away. Nascar is ab. Out excitement but tracking all the action and hearing everything from our marketing partners, the media and millions of fans on social media can be a challenge. Thats why we partnered with hp to build the new nascar fan and media engagement center. Hps Technology Helps us turn millions of tweets, posts and stories into realtime Business Insights that help nascar win with our fans. [ babies crying ] surprise your house was built on an ancient burial ground. [ ghosts moaning ] surprise your car needs a new transmission. [ coyote howls ] how about no more surprises . Now you can get all the online Trading Tools you need without any surprise fees. Its not rocket science. Its just common sense. From td ameritrade. All right, were going to make it through this friday the 13th together. Youre watching cnbc squawk on the street live from the Financial Capital of the world. Dow, jim and david, has added 378 points this week, it is the second best week of the year, unless you remember the first week included december 31st. So youre looking at the best full week of 2013. Fabulous time for big cap investing. Look at boeing and United Technologies. They are so, so strong. Boeing, remember the tliner problems . Mcnerney doesnt. He put them right behind them. China orders, otis elevator. A lot of people at the big board. [ bell ringing ] a bit of a commodity. Over at the nasdaq, Womens Clothing retailer bebe is doing the honors. Ulta salon cosmetics. Why do i joke about it . It simple, these are the high performing retailers. When you measure ulta, people say inventory is