amazon. lauren: facebook said the ftc opened an investigation into them. this follows a settlement with the ftc over privacy allegations. facebook posted stronger than expected second quarter results, able to grow their user base, despite the investigations. cheryl: tesla shares, we're watching that stock in the premarket right now. the company's second quarter numbers missed the street's forecast. tesla said it is working to increase production capacity. the stock is down 10 and three quarters of a percent. also, the company said that they lost over $400 million in the quarter, despite record sales led by of course the new model 3. and then there was this, another tesla executive is pulling up stakes. chief technology officer jb strobel is leaving after taking in $30 million in share sales. lauren: more earnings today, southwest, american, 3m, durable goods orders, north korea firing two short range issues into the he sea of japan. cheryl: tracee carrasco has details. tracee: the missile fil

amazon workers on strike. it is prime day but that is not stopping employees at one shipping facility in minnesota, from walking off the job about one hour ago, calling for better working conditions. more job security, higher wages. we are live on the scene with the breaking headlines. >>> a new warning after a massive blackout crippleed heart of new york city. what officials are saying today. how the mayor of the city, who wants to be president by the way is defending himself for being thousands of miles away. >>> the first hurricane of the season to hit the u.s. is making its way north where we are he can track barry's past. residents begin cleanup efforts. ashley: so much to go at. fox business team coverage. jackie deangelis at the new york stock exchange. edward lawrence as always live at white house. susan li at a amazon fulfillment center warehouse in shakopee, minnesota. we begin with you, jackie. reporter: even though these were small positive gains on nasdaq and dow, hitting records psychologically s

why is amazon suddenly caring? reporter: it is that they are beginning to get pressure from politicians, scrutiny from d.c. europe. it is bernie sanders today, but tomorrow, it could be both ends of the political spectrum. it is their growth. they are growing 20% topline per year. about one million employees throughout the world if you count temporary workers. . walmart, about 2 million. you can see a day when amazon becomes the largest employer in the world, and that will have pressure. emily: on one hand, we talk about the lack of workers to fill technical roles. on the other hand, there's an explosion of warehouse jobs, given what amazon and walmart are doing, and a decline in traditional retail jobs. what are the dynamics happening at the ground levels that has led amazon to do this? reporter: by some measures, it is the tightest labor market in half a century. you have companies complaining there's a shortage of the types of workers they want. of course, some management and economics experts would respond, are

we are seeing coalition's between amazon employees -- coalitions building between amazon employees. see the employees by the banding together to make the voices a little louder. emily: we will be following it. , thank you for the reporting. u.s. women's team was not the only winner of the world cup, with watchers 20% higher than the men's final. and in the netherlands, nearly 90% of those watching tv tuned in. go, team. that does it for this edition of "bloomberg: technology." our globalck out breaking news network tictoc on twitter as well. this is bloomberg. ♪ manus: this is "bloomberg daybreak: middle east." how the strong u.s. jobs report will factor in. goldman sachs says they are relying on the wisdom of the crowds. cuts, u.s. interest rate and the removal of the turkish central bank governor rocks the lira. , the islamic republic threatens to push uranium two 20% purity.

i want to ask about alphabet and amazon. first, jack brewer, jump in here. >> twitter had big plans for streaming, likely sports and gaming. fantasy sports continues to rise, legal gambling continues to rise, being able to chat amongst the platforms could be a revenue source for twitter. what's your opinion on that? >> in terms of their increasing their overall basically usage? they have soccer, they have football. they're doing all kinds of things to basically increase the number of usage in terms of time. as we mentioned before, the average user is only a couple of seconds and they're trying to get to the point where people will kind of listen for an entire game. maria: everybody wants live. >> you can work in the advertising from there. >> and gambling. maria: people want live and l gambling. >> in my opinion, that's a big area of growth for twitter to capitalize on. there's a lot of money going into gaming platforms. no social media platform has gotten their hands around the gaming side and that's what's going to control

amazon down by 2%. alphabet, sometimes the options markets get it right, they were pricing a move up or down of 6%. stock up 6.25% after the earnings release. >>> intel reporting its second quarter results. that is another big one to get too. jackie deangelis joins us with those numbers. what do we see, jackie? reporter: connell, intel soaring because we have a beat top and bottom line. revenue 16.5 billion, surpassing the 15.7 expectation. earnings per share $1.06. that was well above the 89-cent estimate. where intel tripped up last quarter was on the guidance. it gave weaker guidance, even though beat on top and bottom line. that was a problem. this quarter raising the full-year revenue outlook, up 500 million from april. so investors are looking at that in a positive light too. before the earnings came out we saw headlines regarding apple acquisition of intel's smartphone modem business. that is in fact happening. that will happen for a billion dollars. apple is getting a majority stake in it. after

now she is taking on amazon. we will talk about the latest on europe's battle with silicon valley, next. ♪ ms. vestager: they are hosting a number of businesses but also competing against those businesses in the very trade they do. now we are looking into the use of data to see if this is done in a fair way or will there be a case for us? emily: that is european union commissioner margrethe vestager. after five years battling big tech, the antitrust chief will step down from her post later this year but not without dealing one more blow to silicon valley. she plans to open a formal investigation into amazon within coming days. she has hinted for months that she wanted to escalate a preliminary inquiry to have amazon using sales data to undercut third-party markets. joining us to discuss is brad stone. how big of a blow could this be to amazon? brad: in the short-term term, probably not a huge blow. google is currently facing, i think over $9 million in eu fines. it has been appealing them so that continues. thi

amazon is lagging, off 1.9%. net sales looking good. -- operating income will be $3.1 billion, the estimate was more than 4 billion. alfa bank -- alphabet was killing it. they will be buying back shares and beat net sales and profit. a nice move in the other revenue. intel, athen you have big chip maker. they are guiding higher for the third quarter and the full year. they beat on second quarter revenue and starbucks reported fastest cell growth they have seen in about three years. that is largely because of the higher traffic and they are boosting full-year outlook to about 282 per share. that is from a range of 275. taylor: we are going to stick with these earnings. i want to bring in bob o'donnell, chief analyst at a consulting firm. thank you for joining us from san francisco. i want to focus on amazon, because those shares are declining among what has otherwise been positive news. we were expecting a margin hit, given we have been investing in that one day prime. investors seem more caught off guard then we

what does this mean for amazon then? spencer: it is tricky news for amazon. they have enjoyed rapid prime member growth. once they lock in a prime member, they can count on that for more sales through the year. the typical prime member in the u.s. spent a little more than twice as much what i nonprime member does on amazon. prime, even though it is a big tale of deals, the revenue they make is not as important as a new prime member sign-ups because that is where the revenue keeps coming year round. the indication that people who were not prime members are simply joining for a brief period to get the deal and backing out is bad news for amazon's prime member recruitment strategies. paul: what are people buying anyway? some of the purchases do not sound terribly glamorous. spencer: it is not much different from previous years. big emphasis on amazon's on gadgets like the echo speaker, fire streaming stick device, e-readers. it is typical from previous years. some kind of lingering favorites like the instant pot that is selling well and some laptops and electron

all of this was hosted on amazon servers using amazon web services. lyft has a $300 million contract with them for the next three years to pay for that. on top of that, google owns 5% of lyft and has a board seat. it's obvious that google and amazon are very deep within this economy. when you look into the filings, you see how concretely they are kind of the infrastructure behind how these companies work. >> in some ways, it is a blessing and in some ways it is a curse. you focus on amazon and google, and from the blessings side of the equation do you see this as , a good element that these companies have so much riding on , whether it be financially but for future revenue streams from these ipos? >> i don't know, caroline. there is good and bad. the benefits of cloud computing is that it allows startup companies, companies that are want to go public eventually or are going public to avoid infrastructure cost. cost you can treat your i.t. needs as variable costs rather than big fixed costs. you don't need to build up a large i.t. department to scale u

with amazon. in one of their cases here in the state much california, they are saying we shouldn't be overregulated because all of the customers that go on to amazon are our customers. they are not reseller's customers. then in another court case they said they are not our customers, we don't want to be liable if something goes wrong with the product. we need to update the law. we are a 21st century economy. we can't let the rules of the 40s and 50s apply to this current marketplace. reporter: google is denying it has ties with china. >> it's very peculiar back ground where google is working with the chinese communist government and not with the u.s. military. so the project decision was not to work with ai with the american military but they are working with the communist chinese. the question is what in the world is going on there. reporter: google reresponsibilitied, as we've said before, we do not work with the chinese military. what about the president and the fact he says his administration

she plans a formal investigation into amazon. >> amazon has this dual role. they are hosting businesses but also competing in the very trade they do. so now we are looking into their use of data to see if this is done in a fair way or if there will be a case for us. >> north korea is likely suffering its worst downturn since the 1990's when it battled floods and famine. that may have lost as much as 10% of its population. the bank of korea estimating if ,ontracted by 3.5% in 2017 leaving the economy roughly the same size as the u.s. state of vermont. and bill gates, never ranking lower them number two in the seven-year history of the bloomberg billionaires index, until now. he has been taken over by lvmh is bernard arnault, company shares rising to a record and pushing his net worth to $107.6 billion, more than 200 million ahead of gates. global news, 24 hours a day on air, on tictoc, and on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. nejra? nejra: thank you so much. let's kick it off with trade a

we have seen companies -- snapchat went public and migrated from googled amazon. -- google to amazon. as long as you can migrate, i don't think there is a risk. caroline: what about the regulatory viewpoint we are seeing from capitol hill on amazon and google? is there a risk of them being so intertwined with the rest of the tech ecosystem? >> possibly. on regulatory risk is something that has become a major investor issue across technology. we just posted a call earlier today with an antitrust expert to talk about the risk of these platforms. particularly google, but also amazon and facebook. i think the chances of these forced to divest assets is extremely unlikely. i think government regulators would be very low the two unwind that. i think it would be hard to do that. looking at fines or changes that are modest at the margins. one quick comment, on the presidential democratic debates. big tech did not come up at all. except for the one time it did was some concerns over whether amazon is paying its fair share of taxes. the issue of google or facebook, that didn't come up, and that

the power ofell -- google and amazon. fangipos list the two giants as a competitor or risk to their business. bitcoin's rally starting to waver again. the price of the currency down double digits since friday. first to our top story. any victory for beijing, president trump said he would hold off on any further tariffs for now and would relax constraints on huawei. manyonstraints remain and say optimism is overdone as many try to figure out what form the relief will take. huawei is still on the list usually reserved for rogue regimes and affiliated companies. on sunday, white house national economic council director larry kudlow commented on the move. >> this is not a general amnesty. they will remain on the so-called entity list and national security concerns will remain paramount. caroline: for more, we are joined by sarah mcgregor and sophie elstrom. sarah, talk to us about the orails surrounding huawei the lack of details. was it expected? sarah: there were a lot of questions on whether huawei would even come up in th

all of this was hosted on amazon servers. lyft has a $300 million contract with amazon web services and google has 5% of lyft and a board seat itself. so it's obvious that google and amazon are very deep within the digital economy, but when you look through these files you really see how concretely they are kind of -- that the infrastructure behind how many of these companies work. >> and in some ways, this is a blessing and some ways it's a curse. mark, you focus on both amazon and google. and from the blessing side of the equation, do you see it as a good element that they -- that these companies have so much riding on, whether it be financial or from that future revenue stream from these recent i.p.o.'s? >> i don't know, caroline. there's good and bad to that. the benefits of cloud computing is that it allows startup companies, companies that have eventually want to go public, or are going public to avoid a lot of infrastructure costs. you can treat all of your i.t. needs as variable costs rather than big fixed costs you d

amazon is the enemy? before microsoft, before amazon, seattle in the '80s was a dying timber town. there was no wealth there at all. microsoft came, amazon came, they created the wealth. they created literally millions and millions of millionaires. now as you're seeing just in fact how mobile money is and the more difficulties administrators and bureaucrats make it to create jobs because seattle's minimum wage is just one example, more money not just leaves seattle but leaves america writ large. >> the positive is that the reporter said it only at the end, they are going to bellevue and will create a 40-story plus building over there. they are still focusing on washington area. to add to all of this, apple, just within the past two weeks, announce they hare doing this five-year expansion plan in the united states and specifically within seattle, i know it's not amazon, but apple announced they would be adding 2,000 jobs. hopefully that could offset some of the loss from amazon overall. i still think it's good. you have amazon investing in bellevue, they will build a light rail syst

amazon is being moral. what did amazon do? they cut stock compensation, they cut bonuses and cut worker jobs. they have 100,000 robots now. so that's the point. you're not suddenly moral if you raise the minimum wage. you've got to look at the market impact and there is one as the cbo just noted. stuart: i don't think government should be in the business of legislating wages. it always backfires. there is always a downside. there are unintended consequences. liz: china mandates the minimum wage. they can pay a dollar an hour. there's a flipside to that. stuart: that's true. they could. look at that. the market is down 90 points on the dow industrials right now. charles, i think this is all about the fed. there seems to be some disappointment that maybe the federal reserve won't drop rates 50 basis points at the end of this month. we have had people on the show saying they aren't going to cut rates at all. what say you? charles: i think they will. i think jay powell has sort of backed himself into the corner talking about an ou

let's take a look at those amazon results first. how important is growing at sales to their growth and outlook? >> that was one area that was actually pretty strong for them. we saw about a 37% year-over-year increase in terms of their other revenue category, which is basically their ad actually, that was even though the quarter was interpreted as being somewhat negative because they missed on the bottom line, that was actually part of the report that was actually very strong, so that is encouraging that they are continuing to garner more of that online advertising dollars because we saw great numbers earlier this week from facebook and snap in that same space. call: that's the encouraging side of the picture, but amazon has had to defend its story around this one-day delivery. how is that cutting and profitability, and does -- is amazon's story believable going forward that this is the way to go? >> it's not really much different than we have seen from amazon over the years. they came out, said they are going to spend $800 million

to favor amazon products? >> our algorithm aims to predict what customers want to buy. we welcome now from washington, david, he served as the policy director of the bureau of competition of the fcc. welcome, good to have you with us. you heard one of the exchanges where you heard lawmakers say you have too much power and you are abusing it in your the tech people say no. is there too much power, too much concentration in big tech today? >> from a competition perspective, power has to be defined in terms of a specific market. you look at the example of amazon, they are in intensive -- intensely competitive retail market. they the relatively small market share. it is important not to look just at size. what amazon and some of these other competitors do is they help make the market more efficient by eliminating middlemen, by having greater at -- access for consumers and ultimately leading to lower prices. necessarily something you need to be concerned about. david: the definition of the market is critical here.

amazon turning 25. the challenges ahead as the tech giant marks a major milestone. >> hiring bouncing back. the u.s. economy added 224,000 jobs in june, beating wall street expectations, easing concerns about a economic slow down. let's go to edward lawrence at white house. reporter: great to see you, jackie. showing fundamentally the economy is very strong the unemployment rate ticked up to 3.7%. it ticked up for a good reason. the size of the labor force grew. that means for people are looking for jobs. the president is still upset seven fed rate hikes have happened under his presidency. >> if we had a fed that would lower interest rates we would be like a rocket ship. we're paying a lot of interest. it is unnecessary. we don't have a fed that knows what they're doing. reporter: federal reserve chairman joe powell says pressure does not play into any dizzy but they look at average hourly wages as sign of inflation. wages grew 3.1% over last 12 months. that is low enough to indicate inflation pressures

amazon. do you feel amazon miss treats their workers? >> i can't speak about whether or not amazon miss treats workers but the conditions in my company are becoming more and more burden some as amazon increases the pressure of the operations. >> what does that mean, in your case, because we've heard from workers here who say they have to pack a lot of goods in 16 minutes but as a pilot what does that mean for you? >> that means we have a staffing problem with the contracts that we have today we can't recruit enough pilots to stock these airplanes and amazon has really ambitious growth plans, and just getting the airplanes staffed and crewed properly in order to serve amazon is becoming a problem. >> so they're asking a lot of you. i'm just wondering do you feel that you're being paid enough to meet those expectations? >> actually we're losing pilots because we're not paid enough. if you compare the jobs we do to a company like ups or fedex and amazon clearly put themselves into that segment,

but today is amazon prime day. tomorrow will be amazon prime day as well, and there are these protests all across the country. legitimate at this point? or is amazon just being targeted here? >> it's both, right? not one of these things that has to be one or the other. certainly there's an opportunity for employees who have been denied reasons who have legitimate complaints about their working conditions, who have legitimate complaints about the waps treats employees to say all eyes on amazon right now and we'll take this opportunity to stage job protests and make our voices heard but as i wrote about last week, in the axios market newsletter, you're seeing this pushback to the minimum wage hikes all over the place. walmart employees, target employees when they got minimum wage increases they said this is nice but not enough. we haven't gotten a raise in 10, 15, 20 years and now you want to give us an extra dollar more while we see booming profits coming from the company we deserve a bit more so i think you'll see

amazon is describing this as one of the biggest investments of its kind. that iscts a company between the tightest labor market and have a century and a political pressure on amazon from figures in both parties. and rising activism by amazon employees who are not content with the conditions there now. amazon is always in the crosshairs for putting retailers out of business. how much of this is getting ahead of some negative publicity or catching up to political pressure? is trying to position itself as part of the solution. amazon would say that they are helping employees who want to rise into other positions within warehousey, including workers who want to do other things. and workers who may want to move on to another type of job somewhere else. they find working at amazon more attractive if the career ladder is made that much easier to climb. that is how amazon is describing this. they are not saying this is about automation. will beainly it perceived as an part about how jobs are changing and the need to prepare workers for tasks that this company and

mark, you focus on both amazon and google. from the blessing side, do you see it as a good element that these companies have so much riding on them, whether financially or from their future revenue stream? mark: there is good and bad. the benefits of cloud computing is that it allows startup companies to avoid a lot of infrastructure costs. you can treat all of your i.t. needs as variable costs rather than big fixed costs. , you don't need to buy and build up a very large i.t. department to scale up a business. that has been the magic behind aws, amazon web services, also behind microsoft azure and google cloud. in many ways, what they are offering is a real benefit to these companies. there's no doubt that in order to scale up on the internet, you probably need to pay one of those three cloud providers. and then, if you are a consumer oriented service and you need to get consumers to use your service, get to know you, you will probably be spending money with google, facebook. probably just those two. that is how you get brand

two or three times as much as nonmembers on amazon. the big business is locking them into get that big spending going forward. tell us a little bit about the competition that amazon has seen from rivals. wal-mart said, amazon is doing a two-day sale, so we are going to do a four-day sale. they are starting the day before prime day, ending monday after. bargains on whenever junk you need. specifically having a computing sale on the same days as prime day. the most interesting was ebay, where they did their crash sale, kind of mocking amazon's web glitches last year. a lot of customers frustrated. ebay launched a crash sale, crashes, jumpazon on over to ebay and check out our deals. they even had a commercial poking fun at prime day, saying they are selling a bunch of junk. see the real things on ebay. amanda: always great to have your thoughts, thank you. a quick reminder, you can catch all of the interviews on the bloomberg. the function is tv . from toronto and new york, this is bloomberg. ♪ i am mark compton with bloomberg's fi

jason: i love catching up with brad stone on amazon. he can go deep on the amazon go story but then we get to spend a little extra time with him. check that out on our podcast. carol: and you can find more stories on businessweek.com. jason: and check out our daily show. carol: more bloomberg television starts now. ♪ ♪ emily: i'm emily chang and this is the best of bloomberg technology will bring you all of our top interviews from this week. tech on the hill, all under scrutiny this week. representatives from amazon, apple, and google, all on the defense. plus, netflix needs to get stranger. subscriberge after a plunge -- dip.

amazon changed everything. they changed it for the better and the reason, they stayed on top, because they have been able to continue to innovate. ironically, that's a risk for the stock moving forward because in order to maintain that valuation, they have to keep innovating. that's one of the reasons you are seeing, for example, amazon now enter the real estate business. this is the number one risk for these companies moving forward. lack of innovation and even more acutely, government. i got microsoft from 1999 to 2016 under the antitrust activations from the federal government, the stock was stagnant. only a government can hurt a company like that. >> you love government, don't you? >> investors certainly don't. >> to add on to your point, if you are looking at the numbers, when you talk about amazon's web services, you saw deceleration, she made the comparison to microsoft and how much growth they had but microsoft also had some deceleration, too. overall, that is what drives a lot of the profits. there was

you go on amazon, we will find you and agent. alix: once you get the house, you have a free moving benefit, deep cleaning, a handyman to install your pictures and shelves. david: and then alexa can listen to you. dwyer willg up, tony be joining jonathan. ♪ we're the slowskys. we like drip coffee, layovers- -and waiting on hold. what we don't like is relying on fancy technology for help. snail mail! we were invited to a y2k party... uh, didn't that happen, like, 20 years ago? oh, look, karolyn, we've got a mathematician on our hands! check it out! now you can schedule a callback or reschedule an appointment, even on nights and weekends. today's xfinity service. simple. easy. awesome. i'd rather not. jon: from new york city, i'm jonathan ferro. the countdown to the open starts now. coming up, equities continuing to grind higher. the dollar stronger for a third straight session. the ecb rate decision, the next stop for this market. boris johnson will be the next british prime minister. good morning, good morning. here is your tues

and amazon prime day. so what has -- what started as just a day for amazon is now bigger than amazon. but we still anticipate amazon to break records next year. melissa: we are running a list of companies that have been hammering my inbox with offered. when you see things like this funny report googling cancel amazon prime membership was up 18% as people were joining to get the deal then canceling. >> we still expect to see amazon break records with the number of mimms they are driving and the number of deals they issued is much more than last year. and they are driving sales of their own branded devices, which is one of the keys to their strategy. melissa: i mountained that. when you go on prime day, the only stuff on sale is their product and i want to buy other stuff. do they make money on the whole prime thing? i get preshipping on about 5 million items during the year because of the prime thing. are they still making money on me? >> absolutely. amazon is not known for having the biggest discounts. the

today. >> shares of amazon in the premarket trading slightly to the upside amazon of course wrapped up the prime day and some shoppers complaining because longer than expected delivery times because so many orders flooded the site. a data company said the internet searches for canceling amazon prime or 18 times higher on monday. that suggests that some customers just want to snatch up some discounted items without making that long term long-term commitment to amazon and the annual fee. he apparently is celebrated at the close of prime day by standing on top of the amazon spears at the company's seattle headquarters. >> the stock is up $2,000. if you only knew that when. you could've bought some. when it was under hundred and i did it. let's look at the dow and s&p and the nasdaq. weave green arrows. nasdaq up 18 and half. they trade jabs over healthcare. are they trying to woo one of the biggest fans. as i going to work. in the economy may be booming. details coming up when "fbn:am" returns. [music] this is the couple who wanted to get away who used expedia to book the vacation rental

can amazon still deliver? >> it is a good question and ask gibbon founder of nonpolitical news diagnostic and chief research officer, at ace research as well as a retail analyst thanks for joining us ladies. >> thanks for having us. i want to start with first of all did you buy anything today and do you think this a.m. disoon prime day is really going to -- stack up how it is supposed to and how it has in years past? >> you know as a new mom or gave birth about a year ago, you're certainly on amazon prime all of the time. so i'm constantly buying stuff on amazon prime for the kids, however, i think because people are -- they really push this marketing message out there so what they're trying to do especially with new prime members are people that aren't prime members yet. they want to make sure that that membership increases. so you know they have this amazon prime concert, they're really trying to go and kind of take market share away from the target customer through wal-mart mirrors. so there's that big push

samee does not have the assets that amazon has. amazon kind of splits the difference. we can talk about their of as a platform player, but the thing that makes the money is amazon web services. so the effectiveness of that business is not necessarily to do with their platform, it is the things on top of it. anna: thank you very much. let's get to our top stock stories. annmarie hordern has the movers. annmarie: good morning. this is the biggest gainer on the stoxx 600, up more than 15%. , biotech technology company boosting revenue forecasts for the entire year. asml, they are to the upside. coming out of global growth slowdowns. pretty much unscathed after second-quarter results. while they are forecasting third-quarter sales trailing analyst estimates, they're keeping the outlook -- 2019 outlook the same. to the downside, down more than 2%. it is the biggest silver miner, cutting production forecasts for the year. we have not seen the stock drop that much since april. matt: thanks very much. i want to offer a sincere apology. you may notice we are experiencing some t

as i said, amazon up $8.40 to $2,019. amazon not set to report earnings until later next week. can't wait to see that. let's get to citigroup. citigroup kicked off the big bank names, second quarter earnings season this morning before the bell. the bank reported better than expected earnings and revenue for last quarter. now, you can see the stock is responding at the moment positively, up higher, but there was some concern that the fact that it might have a little trouble with some of the margins and trading business might ding other banks. speaking of other banks, 25 other financial institutio, jpmorgan chase, goldman sachs, wells fargo, all set to report this week along with tech names like ibm, microsoft, and netflix. we're going to be sweating it out here on "the claman countdown" but 56 s&p 500 names are set to report this week. 80 s&p companies overall have warned, though, that their second quarter financial results will be weaker than initially expected. this is hitting companies from alphabet google and apple to pfizer and adobe, micron and netflix also on the list. wi

a trillion dollars for amazon. we'll be right back. ♪ connell: there is all kinds of things going out, going on in sun valley. big tech executives not at white house. they're out there today. secretary of state showing up. bigger than all of that, charlie gasparino who is still there. here he comes flying in for us. charlie, talk about your scoop or scoops. can you look up, please, charlie, if you're on the air. >> i'm sorry. i'm sorry. connell: i thought you didn't like me. >> i got my cue. connell: t-mobile, sprint, i was going to get into, your scoop or scoops, start from that, move from there. what are you hearing? >> here is what we got. reason i'm looking down, here is what i have my notes. this is what we've been reporting, i can't tell you this thing will definitely happen tomorrow the next day. what i said earlier in the week, i said two things, number one, likely tuesday or wednesday. that is how the deal talks were progressing, that doj would get comfortable with the structure of deal, sale of spectrum

focus today on amazon. tell us what your experience was like there, through the context, what do you mean, they treat you like a robot. >> so when it comes it a robot it is more like that you are sort of held to robotic standards of productivity, which in my kay when i was a picker at f-8, we carried around a scan gun. it would assign you tasks. when you got, every time you scanned something to complete that task, it would immediately give you a new one. there is a bar at the bottom, that would start ticking down the seconds you had left to do it. connell: they were tracking you, you were saying the whole time? >> yeah. the thing was gps enabled. connell: amazon has responded, i will tell you what they said in a second. >> i know what they're going to say. connell: here it is, let me get to it first. i will ask you another question. for someone who only worked at amazon for 11 days, emily's statements are not an accurate portrayal of working in our buildings. we're proud of the safe work places and allegati

that includes amazon and google. jason: we spoke to neri about his plan. >> we believe the future will be eccentric and clout central and data-driven. and the cloud has to be closer to where the data is being generated. that is the edge. the edge is where we live and work. that's where the action is. so we have a clear strategy, to provide the right conductivity with a secure connection, analytics, and move computing closer to the data. it is cheaper to move the cloud to where the data is. not the data where the cloud is. so we have made a bold statement last year to invest $4 billion to develop that set of technologies that will accelerate outcomes. carol: how much pressure are you feeling from the likes of amazon, google and others? i know you have a partnership with google, but some of these other companies that have put their stake in the ground. how much pressure do you feel from them. >> many have moved to the public cloud. but when you look at the enterprise level, even the midmarket, see that not many product

stuart: but i think amazon did something about the reviews. if you wanted to read reviews of this book amazon was blocking those reviews? i think that is the story? >> yeah. i don't know. as an author you're often frustrated by the fact that more information is not available. i think the bigger story, by the way, you know, again the "new york times," when i had number two best-seller on "new york times" i thought the formula was great. since then i had a lot of questions about it. i think the bigger story is, here is a book clearly one of the top five or six best-selling books in the country. mollie hemingway is tremendous reporter. the authors come from a conservative point of view. there is a lot of solid reporting in there, a lot of interest, when i wrote about this before fox news foxnews.com, had more than million page views. why aren't they inhave ited on network morning shows. it doesn't fit the narrative. if the same quality book was guilty of accusations that christine blasey ford was telling the truth, that person would be fetted on

amazon misses estimates and disciplines forecasts. amazon web service also comes short. deskn secretary of state secretary of state mike pompeo says he is willing to travel to tehran. and, the e.u. immediately rejects ellis johnson's demand for a better brexit deal. jean-claude juncker says the current agreement is the best and the only two possible. good morning everyone, good afternoon if you are watching from asia. this is? >>? > "bloomberg surveillance," i am francine lacqua in london. >> shares are moving higher by more than 7% for vodafone, spinning off their european business, saying that they might ipo. still, it will be officially super and entity in may of 2020, so we are seeing big gains. kering is on of the bigger losers unlike vodafone, dropping 7%, on track for the biggest loss since 2018. it is all about gucci, gucci is not so gucci anymore. sales flatlining after three years of breakneck pace. some of the comes are difficult. analysts are still bullish on the stock despite the sum of today. finally, anglo american had. positive earnings yesterday but toda

amazon. there is always an amazon story and there's one today. they are going to spend $700 million to retrain about a third of their u.s. work force. now, the stock's gone to $2,022. tell me about this. susan: basically, just ahead of prime day as well, where we are expecting a worker strike at a minnesota facility for them. amazon says they will retrain about a third of their work force. that's about 100,000 workers by the year 2025. stuart: $700 million. susan: it breaks down to roughly $7,000 per worker. they are saying look, we are trying to help those that -- whose jobs might be lost because of automation when it comes to robots and facilities and deliveries, that last mile delivery. we are going to try to help those 300,000 they already employ, 100,000 will get extra training. stuart: the story is surely prime days next week, two days, and the stock is back over $2,000 a share. what more is there to this story? >> spending $700 million on retraining and they didn't have to ask for a government subsidy to do it. go figure. stuart: you would

alphabet and amazon earnings after the bell. what to expect and the numbers you need to know ahead of that, when we come back. this is bloomberg. ♪ this is bloomberg markets. i'm shery ahn in new york. amber: and on amber kammer into rocco -- in toronto. onslaught ofe an regulatory scrutiny and including a $2 billion charge tied to its ftc settlement, the social media giant still reported better-than-expected second-quarter earnings and revenue after an initial advance. shares are now down over 2%. for more insight, let's bring in our senior equity analyst. he has a hold on facebook. great to have you with us. so investors did like what they saw in the performance of facebook. they don't like the regulatory environment at the moment. does the stock price right now reflect that environment? so, actually. it is pretty much the regulatory environment, the additional costs that facebook can incur because of that will keep the stock down. i think it will limit the upside to the stock, and it is trading pretty much where we valued i

a house cleaning by amazon home services, again, i keep hearing amazon. what's the difference between something that realogy is doing there versus working with me, any other brokerage because at the end of the day, we can also give credit at closing and what i know buyers want is money in their pocket, not just an amazon gift card or smart home or anything else they could just buy on their own, at their own discretion. charles: that's why i did ask ryan if there were other aspects to this, perhaps some technology help, something else. listen, their stock has gone from $52 to $5 in the last six years. so we can see that there's something in that industry, something happening that's not right. it goes beyond the sagging housing market that we have seen although, you know, when it comes to housing, we are getting reports that more and more wealthy new yorkers continue this mass exodus, they are leaving and going down to your neck of the woods. >> yeah. let's also start by saying that foreign spending is down by 36% from last year. so florida's number one wit

one council auld amazon's founder enemy of the city. it would have cost amazon more than $12 million a year. the rationale, amazon was driving up wages, housing prices so much it was largely responsible for seattle's homeless problem. so it should pay to build subsidized housing for poor. a venture capitalist told the city council that they are chasing jobs away. >> amazon has been unfairly blamed for challenges that we as a region experienced, that we would have experienced regardless of amazon. reporter: amazon just issued a release showing what it has done for seattle over 25-year history. $4.5 billion in capital investment. it has paid out to employees $32 billion in wages which of course is spent locally. now the company is looking across lake washington to bellview. it announced plans for a 43 story story next to twin 15-story towers. it has five other sites under development. >> city staff met with amazon. we want to make sure that they feel welcome in bellevue. reporter: clearly amazon does feel welcome over in bellevue. in fact

at this point, amazon's u.s. e-commerce sales are not growing entire u.s.than the e-commerce market, and to me that is a little visually and. -- a little bit worrying. we will see how they do in the third quarter and beyond, but this company's growth is slowing down. at the same time, it is spending more on things like warehouses. the margins people have been excited about and amazon are coming down at the same time the growth rate is also doing that. emily: ross, tesla coming up next week. i know you always have provocative thoughts on tesla. where is your head at? ross: i am excited for next week. tesla has gone through an enormous growth phase. the first quarter was a stumble, trying to get that international rollout, but it looks like they have been successful with it. delivery numbers are over 95,000. i expect them to make a profit. the street has said this company is dead and bankrupt, and that has proven to be untrue. cars isnd for ev continuing to explode. the heat in new york is so bad today, if this doe

this amazon box is actually a cake. emily mcgwire's husband thought it would be perfect since she gets three amazon packages every week, even the shipping label was edible, featuring the address, one, two, three, four, birthday lane. that's what's happening now. deirdre: that is great, appropriate for a lot of people. lauren: only three packages a week? i've got her beat. bring on the cake. deirdre: the u.s. is set to resume trade talks with china next week. top u.s. and chinese officials meeting in shanghai for the first time since president trump and chinese president xi-jinping agreed to revive negotiations. riley walters with us now, a heritage policy analyst in asian economy and technology. riley, thanks in advance for the time. i noticed as part of the group that's going to be meeting that the chinese trade minister, who has really been absent this entire time, is going to be at the table. he's known as a hard-liner. what do you think this changes, if anything, about the conversation? >> well, with the inclusion o

a high and amazon made speaker for music listening. taylor: every time we get excited about a new product launch, amazon announces an upgraded product. can you put this into perspective you echo -- perspective? towe are not expecting them reveal this product into next year at the earliest. be some minoro upgrades to the existing echo and the echo show with the screen. basic echoes without for sound quality. a key thing next year. the robot will be a year after that. things are going slowly but it is still happening. romaine: let's talk about the robot. this is the most exciting. robot that waser made a year or two ago. i'm told the amazon robot is similar to that one. is that right? >> right. a lot of players are trying to enter the robotics space. if you think about consumer products in the home, it is the rumba. doing with this? it is basically an echo three feet high, the same capabilities of an echo. on top ofop things it. you want to send a drink over, you can you -- you can have it come to you and set it down and it has high-tech

yes, amazon is one, as is google. these are companies who are strangling consumers' access to information and ultimately leading them to potentially make decisions that are not the best for them. liz: let me play devil's advocate. arguably, both of these companies are competing and in fact, i know for a fact both of them either started in apartments or garages, and here they are, they had the fastest runners and you are saying they shouldn't be allowed to win. >> we are saying, we are answering the question the ftc has asked, which is has technology changed the marketplace such as the rules need to change. the answer is yes. those are gigantic companies today. they represent, the two of them, amazon and google represent 60% of products searched. amazon alone represents 50% of all e-commerce. liz: people are choosing them. tell me your biggest beef. where do you feel, because you just said these names sometimes restrict access or are not allowing the consumer to have access to certain things. give me an example. >> tha

amazon's financial future may be in the cloud. mullins.ve with scott let's get a check on the major averages. it sure did look as though it was earnings and not trade talks driving the action today. we check out the averages, and we can see it is pretty lackluster. s&p 500 off the lows of the session, we are seeing a couple key pockets of moves up and down based on earnings. philip morris with 8% at one point. we did see a rate from the philly fed factory surging. financials were up. consumer staples were up across the broad market. here is one we are watching to give you a sense. that is netflix. declineot seen a sharp since the court where it split its two businesses, the online streaming and the dvd. this is a two day look at it. and almost 12% decline. as a $15 billion drop in market value. as it dropped u.s. customers amid new competition and how much it is pending. shery: i'll focus this week has been on the earnings coming out of the u.s.. in the backdrop of this recent rally that we have seen, before the reason losses this

amazon shares are lower after record run of earnings come to an end. something tells me it is temporary condition. jeff bezos don't care about share price. his focus is world domination. we have jackie deangelis, and rob luna. jackie, listen, i think the numbers are phenomenal we've seen so far. >> they are. even the weakest link, amazon, one of the reasons they missed they reinvested $800 million back in the company. bezos said in order to grow and deliver what we promised users the one day delivery, we need facilities in check. we, top of this. aws, that is the shining star, future. charles: that is the cloud business. >> the cloud business. growth was 37%. a little less than 41% than we saw previously but still -- charles: getting more competitive there. google for first time i notice bragging about their cloud business. before i go to rob on the investment part of this, technology accounts nine billion dollars, up 25%. fulfillment, 9.3 billion, up 17%. marketing up 48%. amazon spent the money to build the empire. they're not worried about minutia a

facebook, amazon and google parent alphabet fell. suggesting policy missteps on trade talks and brexit could derail a projected rebound. the fund expects the world economy to expand 3.2% this year, slightly more next year. about 1/10 of a percent down from its forecast in april. that lowers expectations from what what already the lowest since the financial crisis. the bank of japan is likely to lower its forecast for the year. they also downgrade some of its growth projections when policymakers meet next week. the bank will cut its out -- inflation outlook to 1.1% for the year through march to reflect the impact of lower mobile phone charges. growth forecast may be ranging due to global uncertainties. british business is morning incoming prime minister boris johnson that he must avoid leaving the european union without a deal. johnson goes to downing street reiterating his pledge to leave the eu by the end of october, whether or not an agreement is in place. the confederation of british industry says that would be hugely worrying and