place amazon business in the process. our financial correspondent yan's court joins us now from was street yes so ali baba taking on amazon going head to head with amazon what chance does on about the have here. well i mean overall ali baba already has some experience in the u.s. and the market to be so business to business market is huge it's estimated to serve this year a trillion dollars so there was quite some potential and if i understand correctly ali baba's going a bit of a different way than amazon specially small american companies are going to keep the customer relationships and also the data so that is something that has not been offering that easy in the past so yes there is a certain chance for ali baba to get a piece of this is a huge market. some new opportunities there then but timing is obviously clearly an issue what impact would the u.s. china trade war have on ali baba's plans to push further into the u.s. . timing certainly could be better in regards to the trade tensions between china and chinese com

amazon is working hard to increase profit and to do that it needs workers they should be flexible and not too costly in the u.s. it's now become quite a trend for workers to camp in vans close to warehouses of online giants the w's all over sell it reports. the recreational the hey kill the r.v. a symbol of freedom. home is wherever you take it and were ever work may take you. to. a campground near an amazon warehouse in hebrew on kentucky is home to a round it doesn't work camp purse it's 2 pm time to get up for robert barker he works the night shift. with morning good morning robert how you doing and. how was your shift it was great ok yeah easy money man you know basically robert you have your whole life inside that van yeah i've been living in my van for 6 years now. working seasonal work for amazon and i've done some also i've worked a job in alaska salmon cannery have worked there and beat harvest and. amazon has been really good to me and it's really easy money and allows me the freedom to do what i want. robert is $46.00 he has no partner no children and very few expenses amaz

ivan 3 to our new. 80 year old ivan cantor is the oldest employ yet amazon's hebrew and warehouse he and his wife law reign work to top up their pensions and they say to have a better life personally i need a home base ah. but. that the ferment i don't like to get out travel to and this gets a free opportunity to do that. more financial security but you have to hit the road to get it perhaps not everyone's dream but it seems to work for something. a lot of criticism about amazon and concern about what the growing online troop industry will mean for work environments in the united states but one thing seems to be clear though the work tempers in kentucky one helping with the lifestyle a job. well my camper van is parked outside and that's it from the other g.w. business team thank you so much for watching. fake hair and real story. where i come from a lot of women like me have fake hair sometimes the hair style takes up to 200 that's a lot of time that needs to be filled so people at the sun long talk about what's happening in their lives. i became a journalist to be a storyteller and

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

numbers google pound alphabet crushes their expectations and triples its profits in the 2nd quarter and amazon has delivered growth to. also on the show germany's wrecked causes germany records rather its hottest day and farmers are bracing for a poor harvest. when in rome recycle as the romans do the city is testing a new ecology bonus for train coming. to business to business i'm going to have off as a bell and welcome we begin in the tech world where 2 of the biggest names have presented their figures for the quarter that ended in june quarterly profits google's parent company alphabets tripled to just under $10000000000.00 figures feed most analysts expectations were down to higher effort advertising spent on searches on you tube a different story amazon big spending on speedy shipping meant profits were lower than expected. now we tend to think of on as an as a big online shopping google as a search engine but much of the money these giants make comes from rather hazy source these days cloud computing and. it's division a ws generated more revenue on its own then mcdonald's microsoft's in

. >> the city of manaus is located in the heart of the amazon basin. the easiest way to transport people and good to hear is -- goods here is via the amazon river and its many tributaries. once a month, the regional university's agricultural-sciences department organizes an organic food market. smallholders sell locally-grown, organic produce. some of the things on offer here only grow in the amazon basin. >> we sell the extract of roots and herbs, products of our indigenous medicine. >> the university hopes that the market will boost green farming in the amazon rainforest. >> we want to show that small-scale, organic farming is the sustainable future of farming. the indigenous peoples of the amazon have preserved these products and this form of agriculture as a cultural treasure. that's also how they protect the rainforest. >> cristo de oliveira sells guarana. he and his farmers' association believe that it's important to cultivate the berries which contain caffeine, according to indigenous tradidition. you can buy guarana pits or a dried paste or pow

this is an amazon's massive warehouse here in minnesota. a handful of workers here are planning to mark amazon's prime shopping day, and annual sales event, with a strike. earlier, ispoke and annual sales event, with a strike. earlier, i spoke to one of the workers to ask him what they are protesting. we are going on strike on prime dave mainly to demand safe and securejobs on prime dave mainly to demand safe and secure jobs from amazon. the speed at which we are required to work are exhausting, sometimes leading to injuries, and people not seeing a job as a thing they can do long—term, plus with amazon's reliance on temporary workers, not having the same job security. basically we just want them to treat us basically we just want them to treat us with respect, as human beings, and not treat us as machines. for most consumers, you click a button, your package arrives a couple of days later, good prices and convenience, what is the issue here? iama convenience, what is the issue here? i am a picker, i convenience, what is the issue here? i

‘s fulfilment centres think that amazon ‘s fulfilment ce ntres ca n think that amazon ‘s fulfilment centres can keep pace with a lot of this because productivity appears a little off? amazon has been a lead in the commerce market, that's why it has been so successful, drones of the next day delivery, we have regular issues there so we don't know which countries will allow drones first the uk is one of the markets that is trying to open up drones regulation. but i expect suddenly amazon has warehouses that have some of the most advanced robots in the same way that a british company does, amazon is improving all aspects of delivery and also moving into new markets like healthcare, luxury goods, et cetera. google, and amazon, i should say the parent company, they both have their specific set of challenges in both reporting accelerating growth, due think anti—trust probes are going to play anti—trust probes are going to play a big role in the future?” anti—trust probes are going to play a big role in the future? i do. the biggest issue for regulation right 110w biggest issue for

in a lot of criticism about amazon and concern about the growing online tree industry would mean for work environments in the united states but one thing seems to be clear that the work campers in kentucky applied to nothing but the lifestyle they chose. it could be a unique place to explore the universe from a wide offering jobs to locals but plans to build a giant telescope of how wise tallest mountain have met with fierce resistance from protest us and they to say the place is sacred. trouble in paradise the construction of the 30 meter telescope on the u.s. state of hawaii's tallest mountain mounted care sparked outrage among locals the $1000000000.00 project is said to be a massive boost to why it's economy which is heavily dependent on blue paint tourism jobs but protesters say the mountain is sacred and they're blocking access to the construction site. we're willing to clear out if the mare and the governor and the t.m.t. promises that they will not build on monaco representatives of the 30 meter telescope remain committed to the project you know we've been working in the comm

in new antitrust regulators will investigate online retailer amazon to see if it uses data from 3rd party merchants to improve its own market position. inquiries from the office of the e.u. competition commissioner margarita stocker follows complaints from merchants who say click and purchase data on their sells through the site are being used to improve amazon's positioning of its own merchandise coincidentally germany's antitrust authority announced wednesday an agreement with amazon for the retailer to assume more liability for 3rd party order fulfillment and let's check in with our financial correspondent in new york he ends quarter europe once again applying pressure on a american tech giants any reaction there on wall street to these announcements well i mean we did see it takes stocks a little bit under pressure here in the wednesday session and we do not just get the regulatory oh political pressure out of europe but also within the united states there is quite a debate going on but interestingly enough wall street does not seem to be too concerned at least at this point if you lo

own merchandise coincidentally germany's antitrust authority announced wednesday an agreement with amazon for the retailer to assume more liability for 3rd party order fulfillment and let's check in with our financial correspondent in new york he ends quarter yes europe once again applying pressure on a an american tech giant any reaction there on wall street to these announcements well i mean we did see it takes stocks a little bit under pressure here in the wednesday session and we do not just get the regulatory oh political pressure out of europe but also within the united states there is quite a debate going on but interestingly enough wall street does not seem to be too concerned at least at this point if you look at companies like amazon but also. google or apple or other companies they're all almost at a record high talking about record to seem to be a little bit of confusion and uncertainty what effect the trade negotiations between the u.s. and china might bring and that is actually causing some pressure not just here on wednesday but to all week long so the record in the recent

if you work in part of the corporate amazon, and if you want to retrain as an engineer, amazon will make that happen for you. even more interestingly, if you work in one of the fulfilment centres, so this is one of the basic entry—leveljobs at amazon, and you want to train as a nurse or as an airline mechanic, jobs that do not exist at amazon, they will pay 95% of the tuition fees and costs associated with getting those certificates or degrees. there is a few reasons for that. firstly, it really highlights their future ambitions, their future goals. we have heard that amazon wa nts to goals. we have heard that amazon wants to get into the plane business. they haven't got there yet but they want to do that. we know that amazon is interested in the pharmaceutical industry. they have already made some business gains in that avenue. so what they are doing is pretty impressive. they are already training a workforce that will be dedicated to amazon. now let's brief you on some other business stories. that's it for the business briefing this hour, but before we go, here are the markets. up ne

that disadvantages amazon. their shareases later in the season as consumers don't have confidence of getting there products on time like they do with amazon. that compressed season will be to amazon's advantage. was an analyst for the marketer. a tech giant visits the white house, the white house host the biggest tech companies to talk about fallout from the trade war with china and the ban on while -- huawei. this is bloomberg. ♪ emily: white house officials said they would send a delegation to china read by robert lighthizer after a high-level meeting in washington between the trump administration and ceos from google, broadcom, intel and qualcomm. the meeting was geared towards easing a ban on sales from china's huawei. >> i think this is a very dangerous meeting. huawei is not an independent actor. it is an arm of the chinese intelligence agency. us doing trust that business with them will not have negative consequences. i just read the washington post this past weekend and huawei was working with a shell

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

tacks and says it's time for attack it's the 1st country to hit the likes of google apple facebook and amazon but higher taxes the u.s. is threatening to hit back. an international warnings against facebook's cryptocurrency project are mounting flippy over before it start. chinese tourists have discovered the high seas and the twisting demand for ever bigger through ships. this is d.w. business i'm joined now the milan in berlin welcome in a world 1st france has passed a law taxing the world's tech giants and in so doing provoked an angry response from the u.s. the white house says they unfairly target american companies like facebook apple google and amazon and as for and punitive trade measures against paris big technology companies like google amazon and facebook operating in france will soon be paying more tax france's senate has approved a 3 percent tax on tech companies doing business there the aim is to plug a taxation gap that's allowed some internet heavyweights to avoid tax in countries where they make their profits and to book their income in low tax countries like ireland it's est

going from amazon or other retailers. price blink shows amazon branded or exclusive products, the fire tv stick, echo dot and echo show, they're getting the most attention again this year by page views nerd wallet said that's not surprising prices will are lower today than they were on black friday 2018 if they're amazon-owned products, it's amazon controlled pricing. amazon shares are up half a percent today. a analysis of the past four prime day events shows a month later 100% of the time, amazon shares are higher. by an average return of 5% perhaps foreshadowing what we'll see for amazon shares a month from now back over to you >> court, thank you. meantime send it over to mike san toll i who is back with his market dashboard >> thanks. pick up on the amazon conversation, something i'm calling eating the competition they say you shouldn't go to the super market hungry. maybe that applies to titling charts, too. here's the theme kids feasting while parents starve, that's another kind of haves and have notes story starti

it's not amazon or apple — but microsoft. and it has just proved again why it is the world's most valuable publicly traded company. injust three months, this giant brought in almost $34 billion in revenue. about the same amount as the value of cyprus‘s entire economy. and unlike a number of the tech giants, this company is actually making money. lots of it. in fact, $13 billion of profits. how? office software and cloud computing are proving to be the big money—spinners for microsoft. the likes of microsoft 365 and the azure business in particular. what's powering all of this? an unexpected rise in the number of new desktops and notebooks being sold around the world. they're up by almost 5%. why? companies are trying to replace old machines still running on windows 7 before support for the software expires next year. there's also the fear that this could be a much more costly investment in the future if trade tariffs rise. all of this has helped the company cement its place at the top of the wall street tree. you can how

people are not going to buy a uy a device or amazon -- by google or amazon device and run apple services. 1.4, 1.5le has the billion unique users, the problem is that they are not taking advantage. what they still don't have is some sort of subscription-based service for purchasing an iphone. i think until the services are up to snuff, there still is this device-centric approach. one more point on this. apple gets 90% of its revenues almost from hardware devices. i think going all in on services at this point is too early. emily: all of that said, johnny apple's chief designer who has been there for 30 years is about to leave. he was incredibly involved in the apple watch, in the airpods, and some of the biggest hardware hits apple has had since the iphone. laura, does that concern you? device-centric question. doesn't bother me at all. what i care about is revenue per user and value in the ecosystem. are they adding news, movies, tv? those increase stickiness and lifetime value. watches, which creates stickiness? increaseshat stickiness to the 900 million users who are rich and global.

in terms of amazon, regardless of what happens this quarter it's not the end of the amazon story. in terms of azure, look, it was the slowest growth they have had in the cloud in the last three years i believe, but that's a -- that's because of the size of the base has gotten big, so i still think they can be there and still perform. i don't think the market needs to perform to your point, but i think they will perform. alphabet is the one that i'm worried about because they have had some growth issues even though the growth expectations are very muted, below 20% versus 26% we're used to i shaved a little last week. i own a little amazon. i'd buy more if that got crushed. microsoft is still there, and i bought a little more after the quarter actually i think it's much more predictable earnings stream in microsoft and more analyzable than amazon or the others so i'm happier. >> it was a first-quarter disclosure that have slowdown that really got alphabet, right? >> yeah. >> and that's partly why or a big reason why it's been a lagard compared to its big-cap peers? does the valuatio

emily: amazon opened a celebrity store a year ago. now they have all of these deals today tied to celebrities. they are starting to offer special products. lady gaga will offer an exclusive beauty product line only on amazon. how big of a deal is that? >> there are two things amazon has been trying to push into. fashion has always been an achilles heel for amazon. they have tried to go into basics by getting into and non-fashion categories. they picked up bigger business than macy's doing that. some of this is to get into the fashion accessories business. they are starting to realize the millennial crowd, they're going to start looking at different ways to attract that crowd back to amazon. channely has been a that has been added for a while now. emily: what are the trends you're falling one -- following on this particular prime day? over 48 hours. slightly more than last year. what is your take? >> prime day has typically been the biggest day of the year for amazon. this year, they expect that to be the same. one thing which has been

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

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.

>> reporter: hey, jon, it was close, but amazon edged out facebook for that top spot amazon web services is locked in a fierce battle with microsoft over the pentagon's $10 billion jedi contract. amazon spent $4.15 million on lobbyists in q2. facebook, $4.11 million. it was very, very tight. facebook has also faced some tough questions from policymakers about deep fake video and the launch of its cryptocurrency, libra. both of those companies appear to have set quarterly records for lobbying dollars third was alphabet, google, which was the top spender last year overall and actually decreased the money it's dedicating to lobbying from $5.8 million a year ago in the quarter to nearly half that amount last quarter. this amid reports that google recently fired several longtime lobbyists. microsoft and qualcomm rounded out the top five their spending on issues like data security, internet privacy, and competition as government scrutiny on those topics intensifies. during the quarter, top tech companies like facebook, amazon, apple, and google were also in the news about potential government

at the amazon conference, you feel like amazon is leading the world in cloud. at google, you feel like they know they want to. likecrosoft, they feel they know they can and they focus a lot on the incredible reach of every single person in the world and how they can tap them with some sort of cloud service. it is hard to ignore china in that context. emily: if you cannot ignore china, what would the impact of the trade war be? this seems not to be subsiding, so if tensions remain, what does that mean? >> microsoft's strength in china has been around the cloud services. it was early in the market. amazon caught them fast. the market in china is for companies that want to go global or access the cloud services for the offerings they are providing outside china. so that has the potential to go strong, regardless of any iron curtain that might fall. emily: microsoft felt the antitrust pain in the 1990's with big antitrust hearings, but they have been largely out of the spotlight with the recent raft of hearings with amazon, google, facebook, apple all in the spotli

so amazon was important. facebook to me, i was looking at intel. i'm always focused on the semis in general they're very much global -- truly global players they are often forward indicators of global growth. they sell to all countries so for me seeing the improvement outlook from some of the semis it was so negative for most of this year. finally seeing some positive news come out of the semiindustrsemiendu industry they have become a proxy for u.s./china trade talks and trade relations. the semiconductor etf is already back to all-time highs off those. >> yes >> you spoke about looking forward. are there earnings reports coming up in the next week or two that you think you will be hyper focused on because it could provide more of that thesis on global growth or the health of the global economy >> finishing up the big industrials coming through next week and i would say facebook being another one that will be a big one. and though google had a good report, i'm still concerned about the regulatory overhang that they have any of those companies, how

taylor: every time amazon enters the market, people get nervous. we call it the amazon affect. to be fair, these brick-and-mortar companies have done a very good job. target, walmart, of adapting. even when amazon came to the grocery business, walmart stepped up their game with online grocery delivery. what it can be said about these brick-and-mortar companies adapting and still hold onto their market share? jordyn: it says they still want to be in the game. they realize the game has kind of changed. their calculations have changed. but, when people think of going places -- you want to walk in, see things, have that excitement. the walmarts and targets of the world have able to maintain that excitement around back-to-school. prime day is not a real holiday. they are just competing on a fake holiday but they can also play that game too and manufacture some fun discounting days as well. taylor: we are in a whole new world when it is july 5 and we are talking about back-to-school. i just got my summer started. that was jordyn. if you missed the boston pops july 4 fireworks spectac

and i think it's interesting on amazon, i only worry about the top line amazon spends so much money, and i will say this, i have a lot of positions in private companies that sell consumer goods and services in america, almost in every state now, and about 30% to 40% of our sales are now on amazon, and there's good pros and cons to that, but we really want that same-day delivery. so, if there's more capex going into that, i'm very happy with my position in amazon. that's going to be a game-changer for a lot of providers. same-day is a big deal, because it lets you get an advertising spend and get a direct measure to how impactful it is in regional markets, when you can deliver the same day >> we have got another earnings report out, and it's starbucks kate rogers has the numbers. >> very strong q-3 for starbucks here, beat on every metric we'll take you through eps 78 cents adjusted compared to 72 cents the street was expecting. revenues $6.82 billion versus estimates of $6.6 billion. that's up 8% year on year. the company also says that's an all-time high for revenues global comps up

amazon tweeted it was the biggest 24-hour sales day in amazon history, at least day one. we are still waiting on final numbers. you know, there were some shoppers complaining that they were seeing technical glitches. there was a spike in searches for canceling amazon prime. so, presumably some of those people signed up bought some , things and wanted to cancel. what is the verdict so far, 36 or so hours? brad: sitting back and watching prime day, you have to marvel at what is sort of marketing event they have concocted out of thin air. they have created a holiday season in the middle of the summer. a holiday season comes -- brings with it a lot of problems. you've got porch pirates. you've got disappointed customers. you know, all sorts of things the company the frenzy. -- accompany the frenzy. overall, you have to sit back and admire the company for bringing itself to a peak season in the middle of the slowest time of year, right? they have created a frenzy where otherwise none would exist. they not only have done it themselves, but brought the rest of the online retail

amazon is set to fire the starting gun laterfor amazon is set to fire the starting gun later for prime amazon is set to fire the starting gun laterfor prime day, its 48—hour shopping bonanza, but warehouse workers in minnesota have targeted this particular event to strike over working conditions. last year the online retail giant committed to paying employees at least $15 an hour but concerns persist over the way workers are treated. the bbc‘s michelle fleury has more from minnesota. this is amazon's massive warehouse in minnesota. a handful of workers here are planning to mark amazon's prime shopping day, and annual sales event with a strike. earlier i spoke to one of the workers to ask what they are protesting. we're on strike on prime day mainly demanding safe and reliable jobs from amazon. the speeds we have to work are physically and mentally exhausting. some cases lead to injuries and people not seeing the job they can do long—term, plus with amazon's reliance on temporary workers, not having the same job security, basically we want them to treat us with respect as human be

alexa, is amazon good or evil? i like amazon. without amazon, i wouldn't exist. michelle fleury, bbc news, in new york. when amazon first started, it was great for the internet age but now it isa great for the internet age but now it is a monster with too much power. sarah says, good and bad, more needs to be done if they keep growing. peter makes a good point and says it's terrible for the environment with thousands upon thousands delivering single parcels to houses day in, day out. there should be a minimum order of five parcels before you get delivery to cut the mileage, fuel and c02. surprised people are not protesting. michael says, excellent for the consumer, next—day delivery but not so good for bricks and mortar retailers and shopping areas. let's bring injeremy retailers and shopping areas. let's bring in jeremy thomson retailers and shopping areas. let's bring injeremy thomson cook. 25 yea rs, started bring injeremy thomson cook. 25 years, started from a small business selling books but now look at it. yes, you can buy anything on amazon now and get i

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

one survey shows amazon shoppers prime members spend more than double what nonprime amazon shoppers spend in a year.ay primes not just a big day for amazon either. it has created a halo effect for rivals. ee bay, walmart, target, macy's, best buy and many others have competing deals. in fact, target saysri day 2018 was one of its biggest digital days of the year. this year adobe analytics predicts large u. retailers could see sales surge 79% compared to an average monday or tuesday in july. and if amazon site crashes again this year, like it did for hours last pri day, that opens up even more opportunity for competingai rrs. for "nightly business report", i'm courtney reraan. >>> oe loses out on a government cloud contract, and that's where we begin tonight's market focus with a judge dismissing oracle's allegations that the pentagon's bidding process for that $10 billion cloud computing contract was tainted by conflicts of interest. what this means is oracle is now eliminated from the process, leaving just amazon and microsoft to compete for that contract. oracle shares were down a fract

sales are not actually amazon direct they are third-party retailers, in many cases using amazon's fulfillment. it's not just amazon's platform alone giving some argument that this isn't quite as cut and dry as the treasury secretary presented. take a look in shopify it has a $36 billion market cap. that has tripled in two years. and its business is really allowing businesses to compete without being on amazon necessarily, though as part of the latform, you can also operate on amazon. don't forget about etsy. they have an $8 billion market cap. that has quadrupled in two years. amazon was competing directly with etsy. and you know what, they are still doing just fine. one area that has popped out for amazon anti-trustwise is again that third party retailing platform there have been some complaints that amazon has a lot of data about what customer demand is for those third party goods. can then use that against its competition that might be an angle that the feds choose to pursue but we haven't even talked about cloud, kelly you know, amazon has not really tied the retail and cloud businesses c

so, i don't see them outspending apple or amazon. so i don't think original content can do it alone. what i have said for some time, i think they should invest money in buying an existing content provider that has a library and a fan base and some following, similarly to how disney bought fox. i think that is much more likely. the other thing that people talk about less but will play a significant impact in terms of time spent on netflix is the growth of ad-supported streaming services like pluto tv, recently acquired by viacom, and others. i'm a big believer in 2020 that netflix has to launch some sort of ad-supported tier that they can maybe feature the original content library on. emily: interesting. what will you be watching for on wednesday when the company reports? >> a couple of things. i will be looking more at the international number. i think that is an area where they have more wiggle room in terms of the first mover advantage. in those markets, they don't have these huge global international companies they are , competing

amazon is the flavor of the day in the situation >> is there reason for regulators to think that amazon is implementing anti-competitive practices in its different businesses >> well, the thing is actually organically competitors are rising that are start to go quietly compete with amazon. i think there's an organic market practice. you have the google antitrust in the u.s., the huge if a is book fine recently, $5 billion. that should be trillions of dollars. i think regulation is often a measure of societal animous. >> if you were to rate on a spectrum the names of big tech companies with liability -- >> right >> who is on top >> i think they're the folks you're seeing at the hearings today on the hill. it is amazon it is facebook it is google it's the folks who have an enormous amount of power at least in part as a result of the tremendous amount of consumer data that they have and the requirement that is going to come along that they manage that consumer data in an intelligent fashion. so, again, amazon's got a number of other of these companies have anti-competitive questions, part

exhibit a, amazon. it crossed the trillion dollar threshold this morning amazon didn't become this unstoppable behemoth because jeff bezos is brilliant, which he is. it got here by leveraging scale. amazon is dominant because it's so big they use that scale to get better price from the suppliers to pass on to you. we have antitrust law because when you get big enough, well, no one can compete against you bezos saw how he could use amazon's scale to dominate retail he didn't stop there he figured he could do the same thing by creating cloud computing. aws one of the largest businesses growing at a 40% clip we had the head on the show recently, he told us how the position scaled which is the dominant player in the cloud which is true. it allows them to innovate and keep prices down and compete with the competition i urge you to look at that interview. i thought it was mind blowing. i thought to myself, darn it, that guy is real smart amazon also knows the secret to maintaining scale is keeping work force