tv Bloomberg West Bloomberg May 13, 2015 8:30pm-9:01pm EDT
emily: facebook steps into the ring with news websites, but do the social network's publishing ambitions give it too much power? i'm emily chang and this is "bloomberg west." today, a possible new rival to amazon prime. we will look at the report that says it got a peek at walmart's combo. alibaba takes a play from 10 send playbook. we will talk about the partnership with the ncaa. and i robot is out with a microchip that connects its devices to you. i will be joined by the ceo. first, to a new force in the publishing world -- facebook's instant articles.
the social network posting stories directly incited at. side its app. buzz feed the "new york times" , and national geographic are among the first to sign up. no more waiting for that page to load. the user experience is different than what we are used to. i want to show you what it looks like now. this is an "national geographic" story. open enough, the photo -- in a few moments it will start to move and you see the bumblebee thing around. what does this new reader experience actually mean? for the news organizations that are not dissipating? facebook is the driver of traffic to new sites, even ahead of google. will instant articles help them build on that lead or will they see referrals dry up? joining me here in the studio my guests is the former coo of yahoo!, and in new york, we are joined by the huffington post
president of brand strategy. jordan jason, i want to start with you. huffington post is not on the list of news monitors participating with ace book. what does it mean for the huffington post to not be part of this initiative? jordan we are excited to see : what facebook is doing with instant articles. there's probably a lot of anxiety going into this initiative and everyone is concerned about how news will be positioned and if certain partners will be favored. i think we can breathe a sigh of relief as we see how it looks today. it's a beautiful experience and everyone should be excited for how readers are going to embrace the content. on facebook. emily: it is beautiful and i want our readers to take a look at this again. i mean, if you look at how these articles -- i'm looking at how the articles are presented and it is quite beautiful.
what would you say as a guy who's been in newspapers for a long time? phil: first of all my feelings are hurt that the center for investigative reporting was not included. the experience is great and everyone knows what they want to get out of this deal but no one knows what they're going to get out of this deal. for us, we would love to talk to facebook about it. investigative reporting is an incredible source of information that ought to be a part of it. but it is now an uneven playing field. it's the companies and media outlets facebook is choosing as their partners for this, at least for the time being, that is creating an uneven playing field in news and i think the web was leveling that playing field a reasonable, healthy way. emily: should the playing field be even? dan: eventually it will be. they have to test it. you have to start with partners. this will have enormous implications on a lot of things. this will replace the reason for people to potentially go to yahoo!, for example.
this will also continue to be an assault on what google has tried to do. the way that amazon has done it in commerce facebook is going to do it for news. if you are a media outlet and you don't have your stuff available where everybody goes every day, you are going to continue to lose ground and i think buzz feed proves the importance of distributed content as opposed to forcing people to come where you are. 75% of buzz feed readers get their content somewhere other than buzzfeed.com. emily: why wouldn't you be a part of this? dan: i can tell you when we ran , yahoo!, everybody wanted to be a part of it and you wanted to come up in the finance news -- who has the quality how well , does the algorithm work, all of those comments have been made. the difficulty is where the ad dollars going to go? facebook is dominating in the world of advertising right now.
it is them and google everyone else is losing ground every single day. some of the smaller site continue to grow, but the big players are those players. the question is how is the "new , york times" going to monetize on this? is facebook going to keep the revenue? is the times going to keep it? phil: the times surrendering their million paid subscribers to go on this platform -- that is one of the potential downsides. they are all looking into the future and one of the other potential downsides is -- i just think the uneven playing field is a huge issue and the faster they can get everybody up to speed, the better off we will all be. sponsored content is also something that's going to be a part of this and as a nonprofit investigative journalism organization, we are very nervous about sponsored content because you have to pay. emily: they have talked about
the advertising and how the dollars are going to be divvied up. at least initially. and if the "new york times" sells an ad, they get all the revenue. facebook, if they fill and add they get 30%. we all have so many media sites competing for our eyeballs. do you have a concern that not being part of it hits the huffington post at a disadvantage? jordan not at all. : the huffington post has consistently been a top publisher on facebook and i believe it will continue to be. and i'm excited to see how instant articles plays out because the multimedia experience is something we have been delving into a lot. so i love the fact that facebook is giving the readers this great fast, beautiful multimedia experience and from a huffington post perspective, we are excited to see where it goes.
guest: we are not all concerned about the one and done aspect of ace but users because up until now, it has been one of the problems. you go in for a single story. for now, the publishers who are part of this deal want to have people stick to their brand. they want to have their brand out there more and want people to subscribe or however it is they are going to get a paid audience. at the same time, facebook wants people to stay in their walled garden longer, so you have competing interests here. emily: dan, this is something yahoo! tried to do and it didn't work out. is it the death knell for yahoo! and are you concerned about facebook having too much power? dan i'm concerned about facebook : having too much power at the moment, but we talk about this every five years. who has too much power? google microsoft, cisco -- for the time the innovator for a
time gets a lot of power and summit he figures out how to innovate around it. you just saw verizon by huffington post. are they going to have too much power because they have this mobile network and mobile advertising? i appreciate, and having run news sites as you know for a large part of my career, this is a business model concern. but users continually show as they don't want to buy albums they don't want to buy the whole paper they want to listen to the song they want to listen to. facebook is catering to what their users want in that environment. if you can win them over and get them to go deeper into your environment, good for you. i think that is the business model and it's a good idea. guest: facebook are the ones deciding what news outlets go out on their site. dan: to begin with. but facebook has always proven to be an open platform but always start slow. guest: if we do an investigation of facebook, are they going to host us? dan: i don't think they would
worry even for one second. guests: that is good to hear. emily: you guys can continue to debate during the commercial. thank you all so much for joining us today. today, in the digital eu europe's right to be forgotten turned one year old. remember this? the highest court in the eu ruled that people could get rid of search links that come up but for the most cases, that requests are being denied. according to google, the company has rejected more than 60% of the 254,000 request that it had. for example in france, a priest , convicted of child pornography and crimes related to that wanted articles about himself removed. that request was denied, think goodness. but in belgium, someone convicted of a serious crime won the right to clear his search results from that story. highly controversial and a
bigger fight is brewing. google executives have a heatedly said they should only remove links from the european versions of their sites. but eu regulators want to take the fight to the next level and apply these requests globally. we will see if the eu comes out with a mandate on that. next up, what's the most well-known robot in the world? well perhaps it is the roomba. and there it is, live and hard at work in our new york room. the roomba giving itself a workout. what next for the creator? the ceo joins us next. ♪
emily: irobot has been a pioneer of automation. you may know the company that created robots for businesses like the one that helps employees telecommute and once for the battlefield as well as everyone's favorite vacuum, the roomba. but its latest of element is integrating mapping technologies for the internet of things in your home. joining me now is the cofounder and ceo, colin angle who is with us from new york. colin, thanks a much for joining. i want to start with this mapping chip you guys have come out with. what exactly can this do? how does this technology make my life better? colin: robots, in order to operate effectively can benefit by knowing where in the home they are, what they have done, what they are going to do and ultimately build up an understanding of your home so that they can be smarter. so this new mapping technology
is going to be integrated into our robots and will have our first launch happening later this year where we are using an optical sensor to identify landmarks in your home and figure out where it is. relative to those landmarks. emily: give me some examples of how this can make my life smarter and better. i know it can send temperatures and things like that. give us some details. colin: navigation and mapping is a broad application over many robots, but people are most the familiar with the roomba. when this technology gets on the roomba, you can imagine if you have a large house, the roomba can clean an area, go back and recharge and come back out and finish the job. or if there was part of your home that was particularly dirty, like underneath the kitchen table you could , designate that area as an area for additional cleaning. emily: we are looking at a live shot of the roomba in new york. colin can irobot take on google? which is obviously very
interested in robots. they bought a company. they own maps, too. what do you say about that? colin: the idea of mapping endorses different than mapping outdoors because homes change all-time. if you want to maintain all of the temperatures going on inside your home so you can make sure the temperature on your favorite chair is correct, you want to be up dating these maps. that is something a robot can do because it's constantly moving around. i think that as we think about other players like google and apple, how do we interface? certainly irobot is not going to , be doing networks in the home, but it can provide an understanding of what's going on in the home in partnership with other companies.
dan: this is dan. out of curiosity, how big is the market for someone who will want to personalize every chair rather than make their lights go on and off or the general temperature for the room based on the time of day or if they have a kid at home? do you think that many people will want to be that specific about these issues? colin: i think people are very interested in solving the problem of how do i make my house take care of itself? i think that there are many people in everyday life that would like simplification there but in particular, there's a huge, growing demographic of aging people who want to live independently longer and need help to do that. and that is a huge need and robots will be playing a large role overtime and giving them that freedom. emily: what can't a robot do?
colin: i don't think a robot can replace a human visitor. i don't think a robot can think creatively. i think that what robots are good at are doing repetitive task that perhaps we are willing to let go of. emily: can robots do laundry? colin: not yet, but they probably will. that is certainly top on my list. i want my robot to do laundry and fold it once it's done. and i want a dishwasher that empties itself. these are things that require manipulation and that is what will come next after mapping. so we have a long and exciting trajectory for robots in the home. emily: thank you for joining us. dan you seem a little skeptical. dan: what happens to human health if you don't wash the
dishes, do your laundry, drive your on car -- do you need to exist? colin: i think people are quite happy that laundry machines are good. i think human joy is not driven by doing dishes. i think we all would like more opportunity to exercise our brain and spend time doing human things like playing and interacting with other people. emily: i hate doing dishes, so you just said it there. dan, then for talking with us today. in today's edition of drive, we are looking at how cars may soon be talking to each other. the department of transportation secretary, anthony foxx, is developing a regulatory framework to require vehicle to vehicle communication in all new vehicles. he hopes this will save drivers lives. anthony foxx: we see the ability
of cars to see around corners that human beings can see, to avoid accidents before they happen and help us enhance safety and reduce the talent -- reduce the fatalities and injuries in transportation. this has huge promise. emily: should auto innovation be led by silicon valley or the carmakers? he says there's room for both. anthony foxx there is a view : that if we focus on unconnected vehicles that we are not focusing on driverless vehicles. the reality to me is we have to be agnostic about it. we have to take what the innovators are doing and set the safety bar for it and if it meets the bar, it should find its way into the marketplace. emily: they are working with the fcc to test spectrum sharing to power car to car and vehicle to vehicle communication. well, up next. yakima is a big basketball fan,
emily: a headline we are keeping an eye on today -- walmart may be ready to introduce its own subscription rate fast service. similar to amazon prime. the website is reported to be launching the next few weeks and will be cheaper than prime. more on the story as it develops. turning now to alibaba. it is spending ipo money to diversify its business. the company has invested in everything from pharmaceuticals to peer-to-peer lenders and now alibaba is partnering with the ncaa and the pac-12 conference to stream the first men's season basketball game to be played in china. for more on what jack ma will be teaching the athletes, my guess t is jim wilkinson.
obviously basketball fans. jack ma seems very excited since he likes basketball. jim, why the ncaa and the pac-12? jim: first of all, it is the pac-12. let me praise the commissioner for being a visionary. on the half of the student athletes in the united states. the chinese consumers, especially young consumers want exciting new content. our strategy is to bring the best in the world to china and bring the best of china to the world. the best basketball there is the pac-12, and we get to showcase china to a bunch of student athletes who will be entering the global economy very soon. emily: why is it important for you to partner with alibaba? larry: on a lot of levels it's an exciting strategic harder ship for us. our universities are truly global brands. we have multicultural, diverse student bodies and faculty from all over the world.
research partnerships all over the world and china is an incredibly important market. our schools have been doing things for a long time overseas. we look at athletics as the front porch to the university. with 300 million basketball fans in china it's a great way to , tell the story about our universities and create transformative experiences for student athletes who are going to get an incredible educational experience. emily: is ali baba catching up to the nba? jim: consumers are growing in droves to mobile and china. we just announced last week terms of 89 million monthly users, that's almost the population of the united states shopping on mobile every month. why does it matter? that matters because they come to our platforms to buy things and for the best content. in terms of competition, they go to those platforms for other areas and go to our platform to
get the best content. that's the strong intent, which is why you see it. emily: this deal is bringing more money to the pac-12. at what point do players get a cut? they're going all the way to china and they get to meet jack ma, so when do they get cut into it? larry this is about helping fund : an incredible experience and we are going to bring professors and representatives over there for an academic symposium and an expo where families from china are going to get introduced to all 12 of our schools. that is really the primary focus, trying to create this experience between these companies. college sports is a uniquely american thing where you can 20 twin elite academics and athletics. the idea of a cultural exchange and social exchange between our countries is something we are excited about and that is where our vision aligns with ali baba. exposing future leaders of
america to what is going on in china. emily: i know how much the chinese people love yao ming and love basketball. thanks for sharing the news with us today. dan: thank you. look for to seeing you there. emily: it is time now for the daily byte -- one number that tells a whole lot. today's number is 229 million -- that's the value of shares that they go pro ceo to the company -- returned to the company this week. but it's the back story that makes it interesting. it comes down to a gentleman's agreement with his college roommate and the number one go pro employee. in the early days, he promised to pay 10% of anything he got from selling company shares. but in 2011, the company and the company ended that agreement by handing over stocks to dana. he agreed to hand over the same number of shares exercised by his friend. that day is now and so he repaid the company to it are $29 million out of his own pocket.