a positive for apple. i just want to briefly mention, even on social media, they are speaking relatively positive or overwhelmingly positive about apple, that doesn't mean that the typical consumer feels that way. there could still be an impact of a negative iphone number in china based on some of the things that are going on in the geopolitical world. >> in the meantime, mark, i want to get your thoughts on other story. google announcing that it's getting out of the tablet business, this after it just released a new pixel tablet. what do you make of this announcement? >> not entirely surprising. what you've seen since google really entered the business in a big way in 2016 is that from a market standpoint, from a revenue standpoint, their hardware has been a flop across the board. the pixel phones are some of the best android phones in the market. some of the best high end phones in the market but they do not sell anywhere near the quantity of samsung or apple, to a point where it's hard to believe that t

and china don't apple to leave the country. speaking from the perspective of i'll pleadc of china with apple to come to taiwan. after it's said they were asked to shift from china to southeast asia. discuss, we have venture partner munster and in l.a., loomberg text resident apple watcher. so there is some confusion about gou said.y he made some remarks and then them. clarify what did he say and mean? >> the context here is very important. a hink this might be getting little blown out of proportion because this is the guy who is in charge of foxconn. create foxconn for many years. of course, foxconn is where produces pretty much all of its iphones outside of india right now, out of china and now down to run for president of taiwan. wouldn't it benefit him greatly of his moved some production from china to taiwan? as dn't he look really good president and a great campaign slogan to say he's trying to get the iphone moved to taiwan? people have to understand what's going on. there is the political side for for nd the political si

apple stocks have been flat now. at least in the 170s the first time it hit 170 is back in early november 2017. so, i don't know how much of this regulatory is baked into the price, probably not much right now, but apple at 13 times next year's earnings, you know, it's really not demanding at all. >> well, david, i mean, the regulatory scrutiny is one thing. it's regulatory scrutiny over a part of apple's business we thought or maybe still believe was going to repla tis phone cycle as their main source of artillery, right that services would be the future so it's not where you want to see regulatory risks >> no, no, you are absolutely right. when you consider that apple has 1.4 billion device users over 900 iphone, over 100 million mac, 400 million ipads, in all that, all that developer information at wwdc yesterday was great for that but, yeah, you look at the ecosystem of apple on a global basis, it's gigantic and it's probably going to have this type of regulatory review and government officials, probably looking

looking at the apple tv, that has low market share. the apple watch has high market share. but in terms of the general antitrust behaviors, apple does not hit a lot of those boxes. emily: even though they are the gatekeeper for all of the apps used on any apple device. mark: that is true, but they make a good argument given that it is their store. they did try to make it more open, coming out with new developer tools. they could easily say we are going above and beyond any other platform in order to be inclusive. i see why, on the surface, it could be an issue. but i think that apple, on this one, has a good argument. emily: coming up, if amazon gets its way, you may no longer be looking out your window for the delivery man. instead, you may just be looking up to the sky. this is bloomberg. ♪ emily: it was about six years ago when amazon was touting its octocopter, a drone that would bring packages to your doorstep. that has not come to pass, but this week, the e-commerce giant unveiled a new ai drone to be use in deliveries of small goods. amazon said it was built with c

. >> we are so inspired by the millions of incredible apple developers. >> reporter: this year, apple's big announcements including a farewell to itunes, software to further protect privacy and a new dark mode for the iphone screen, which cook says, will be easier on users' eyes. i want to ask you about screen time. >> yeah. >> reporter: do you know how much screen time you use every day? >> i do because i get a report every week. and i found it to be profound. so, i dialed back a bunch of mo notifications and stopped myself from being too antsy about picking up the phone. >> reporter: the ceo of apple is saying don't pick up your phone as much? >> we made the phone not so that you would use it all the time. we made the phone to make your life better. my simple rule is, if i'm looking at the device more than someone's eyes, i'm doing the wrong thing. >> reporter: apple's rollouts come at a critical time for the company. sales of the iphone continue to sag. and the ongoing trade war between the u.s. and china threatens its core business. how hard is apple getting hit by trump's trade war

does apple still have what it takes? can apple do that without jony ive? this departure signals the end of the cult of the designer in apple, people andobsess over every bezel the look of the home button. i think the future of technology is not an hardware but in software, the artificial intelligence, the internet of things, and interactions of computing into the fabric of daily life, maybe without even interacting through hardware. i think this is now the era of software and not the era of hardware that jony ive obviously specializes. >> if i could jump in, let me just address that thought, too. absolutely agree that we are in the age of software, that ai has an impact, but i feel strongly that apple will continue to obsess over the details of hardware. apple has made 's legacy ofony design is one of its core competencies, but keep in mind where apple is at relative to the rest of tech. that is something that is would expect that kind of attention to detail to departure.ite jony's emily: the first person who obsess over the details at apple was steve jobs

taylor: given your history and experience with apple, what does sort of an apple breakup look like to you? is it separating of hardware and software, how does the app store come into play? what are the concerns of how apple could be split up if at all? john: yeah you are going to make , me really popular with my friends at apple. taylor: that's our job here. john: in these cases, i think there is a lot of remedies. you can imagine for example after some discussion, these companies just agreeing to lower their prices, their percentages. or you could say, does apple really need to have the app store? right? apple could be asked to let go of the app store and be the platform company, just not do the store and not charge that percentage. then they could have some other model. you could see that could happen. i don't think that would be particularly damaging to apple. in fact, if there is a market for app stores, that would be super interesting. one of the things we noticed when we use the app store is it is not particularly good at what it does. it is hard to find products if you don't kn

that's why right now, apple's hands are tied. there is a poker game and cook is essentially a pseudo-ambassador between the u.s. and china. emily: we are obviously watching to see where the chips fall with these tariffs, how that impacts apple. thank you both. that does it for this edition of "bloomberg technology." we have coverage throughout the day on bloomberg television and radio thursday. interviews and analysis be sure , to tune in. bloomberg tech is livestreaming on twitter. you can check us out @technology and be sure to follow our global news network tictoc on twitter. this is bloomberg. ♪ 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

apple music, apple podcasts and apple tv. susan: this is something that has been telestrated to the markets and we had been anticipating this, and this pretty much echoes what apple wants the market to understand, that they are shifting away from just being a hardware company that only sells iphones. in fact, iphone sales have been slowing. what are they doing? they are producing more services like more entertainment in music and television for you to consume. in fact, we had services coming from, the revenue at least close to $40 billion. they wanted to double that to $50 billion by 2022. they are on track. other announcement, this is mostly a software introduction developers conference. they rolled out a new, i thought pretty interesting, a new mac pc for the audience. also a new watch app, in fact, untethered from the iphone. you don't need to own an iphone in order to use the watch going forward. and a new ipad os and of course, my favorite because my eyes strain after all that backlighting but a new dark mode in the new

you have got apple arcade. potentially your price could impact the price that they decide on their service. what are you expecting from the competition, and how are you positioning yourself relative to them? phil: well, first of all, i think this is just a general trend in the industry, as we move toward the streaming future. the technology is there now, and obviously google has some extraordinary capabilities in this area. we have been investing in data centers for 20 years, and so stadia really is standing on the shoulders of giants of the technology that built and created youtube and other high-performing services that serve billions of users around the world. so the timing is ready now to deliver a very high-quality experience to gamers. stadia allows you to stream at up to 4k, 60 frames per second. that is only possible because of the innovations that we have made in the data center. emily: do you think game streaming will take over before there is a new generation of consoles? phil: i think game streaming

i think he'll have more to do if it's not just apple anymore. apple is a mature company. he's not going to produce and direct movies. he won't design -- >> apple will be key >> the self-driving cars -- >> the cars, he could be designing the cars >> by the way, he is still going to be having apple as a top client >> right >> he can still do the work with, but also take on other projects i think everybody after a while looks around and says what do i do next. >> theest th est theaesthetics - >> that's steve jobs >> i think a lot is his. >> no buttons. clean, clear >> i read it i thought he designed -- this is like 4 1/2 inches. see, it doesn't seem hard to design this phone. you mean what's in the phone >> no, the sleekness >> the software. >> the way it all comes together nobody does it better. nobody does it better. >> this is jony ive. >> jony ive. >> jony ive. >> i got it. >> by the way, the other piece of this is interesting, jony leaves, angela left earlier. iovine came and when >> some of them -- jony ive has been there 30 years. there are people who will ask questio

what exactly do we know about apple -- what apple asked suppliers to do and if suppliers are actually going to do this? apple asked for between 15% and 30% of production to be explored, to be moved out of china, but i essentially agree as he was saying to you in this conversation. it is a little bit of poker. apple needs the help of some of these suppliers in order to work with the chinese government, to work with the u.s. in order to get these things resolved. my opinion is if they are going to start shifting things out of china, it's going to be a gradual process. this is not something that is going to take overnight. this is something that if apple were to go full throttle on this, this could take five to 10 years. it would require building new facilities and i think moving things from china to vietnam, malaysia, india, and other countries in asia, that is more of a stopgap. if you are going to move everything out of china, you might as well go all the way and move it to the u.s. the manufacturing world is moving towards automation, towards robotics and apple has the money to poten

it mean for apple? >> it's interesting. i spoke with gene munster, analyst tha covered apple for a long time. there was nobody at apple beyon steve jobs besides johnny who eally by design cultured apple more in terms of simple creative clean aesthetic we associate with apple products. analysts wil say thiasn't totally expected. he's taken a step back. but a big change. >> indeed. we'll seehat happens from here. >> thanks, josh. >> that's "nightly business report" for tonit. i'm contessa brewer. thank you for watching. >> i'm bill griffith. have a great evening. we'll see you tomorrow. woman: this is "bbc world news america." is made possible by... the freeman foundation; by judy and peter blum-kovler foundation, pursuing solutions for america's neglected needs; and by contributions to this pbs station from viewers like you. thank you. "b jane: this i world news america." reporting from miami, i am jane o'brien.

it has not really hit apple, yet. there certainly could be a sentiment change in china where chinese consumers decide not to buy apple products. said they could manufacture u.s. pound i found -- iphones outside of china. you have analysts saying a potential hit has already been built into the stock and if the trade war is resolved apple could bounce back. roger: i think this is a really important set of questions not just for apple shareholders but everybody in the tech sector. apple took a massive hit just a few months ago. the business in china for iphones has slowed down dramatically. you have to believe there is no way it could read on as hard. it is what it is. smartphones are mature, they will not come back. apple's best opportunity in smartphones is to convert form -- from selling them to be $1000 apiece, to be a subscription where you pay monthly. they have the balance sheet to do that. i think that would allow them to gain a lot of market share. that is the single biggest thing for investors to look for. i ha

another significant announcement at this year's event was a feature apple ‘s calling sign in with apple. it creates a unique e—mail address for every app you sign up to. which means if there is a database sign up to. which means if there is a data base down sign up to. which means if there is a database down the line it will not affect you as much. and that data is not going to be useful for advertisers, either. forthe first time in six years apple announced a new desktop pc. it will cost $5,999 to start, which means it is being aimed squarely at the creative industry, a group of people who feel they have been slightly neglected by apple in recent years. dave lee, bbc news, in san jose apple in recent years. dave lee, bbc news, in sanjose stop the world is marking a key date in china's modern history, june four 1989. marking a key date in china's modern history, june four 1989. that is when authorities brutally clampdown ona when authorities brutally clampdown on a massive pro—democracy protests in beijing's tiananmen square, killing many. three decades later the communist party is

the apple tv, that has low market share. the apple watch has high market share. in terms of the antitrust behaviors you would look at, apple doesn't hit a lot of those benchmarks. emily: even if they are the gatekeepers for a lot of the apps that are used? mark: that is true. they did trying to put in some places in terms of the new app store development to make it a little more open. they came out with a lot more new developer tools today and they can say, we are going above and beyond any other platform in order to be inclusive developers. i see why on the surface it an issue but if you look -- it could be an issue but if you look deep in it, i think apple may have an argument. emily: most of it will roll out in the fall and will be watching. mark gurman from bloomberg, bob o'donnell of technology's. thank you. coming up, a former washington inside tells us how the government be planning to scrutinize. this is bloomberg. ♪ now to our topg story. the u.s. government looking into possible antitrust probes of facebook, amazon, apple, and google. we have a distin

now apple's chief design offi r officer, jony ive, is leaving apple to form his own design firm that he says will continue to work with apple shares of apple initially dropped 1% on the news, paring some of those losses now down about 1%. longer-term what does ive's departure mean joining us now is dan ives there's no man outside of apple -- maybe more so than tim cook at apple -- that had more to do with that success than jony ive why isn't the market reacting more to his departure? >> i think part of it is that there's been tea leaves that he was starting to take a step back i think maybe it's not a complete surprise. he's been the heart and lungs of cupertino. post jobs, into the cook era i think investors are looking at this more as a services business, and there's a bench there from a hardware perspective. >> we can do a 30-minute interview on this but we can't does this mean apple's era of that spectacular innovation is over or do you believe because he says he will work closely with apple at his new firm they'll continue to innovate >> he's obviously going to be able to work w

that is because apple software and services only run on apple devices. if you look at it from that perspective, apple has the software and services, so if you are consumer, what you do with it? apple hardware has not lost importance in any way. augmentation in something they are pushing to appease wall street while their sales have been down. guy: thanks. great to get your take on both stories. mark gurman joining us out of san francisco. let's turn our attention to another story. that is utx and raytheon. activist investor dan loeb slamming united technologies type with raytheon saying the deal is in conceived. what did he have to say? >> i do not speak with him. he sent a letter to the board and he had some strong thoughts on the deal. in particular, he said he did not make any strategic or financial rationale and he was andly about empire building entrenching the current ceo. guy: in terms of the bigger picture story, we now have a number of activists that have a concern. are they going to be heard is the question. seen as being a play on bigger and b

apple founder mr jobs even being relationship with the late apple founder mrjobs even being referred to as his spiritual partner at apple. tim cook said his role cannot be overstated. mr tim two —— missed ted mack said this was a natural change, though he won't be leaving the company entirely, saying he was to be very involved for hope lee many years to come. the company has yet to name who will replace him in the relative design officer —— hopefully. this comes at a time when investors in the world's most valuable company i worried about the departure of the retail chair. following his departure, the company's following his departure, the compa ny‘s stock dropped following his departure, the company's stock dropped by i%. his new company is called lovefrom and will be in independent design company. aside from that, we don't know much about it yet. apple have confirmed they will be clients. let's brief you on some of the other business stories. boeing has told customers it will take until at least september to fix a newly identified problem on its grounded 737 max. that mea

ive has done that as apple. the design aesthetic lives and breathes very much at apple. but i do think we're talking about really special individuals. i think certainly over time, you can end up missing those people. it's certainly not guaranteed. but again, i think most investors would say reflecting back that apple has missed steve jobs in terms of its product evolution and creativity i think it's certainly possible that we could say the same thing from a design and user ui perspective five years from now. >> we will leave it there. appreciate your time have a good weekend. apple is your top pick for the second half. >> yeah. still feel extremely comfortable about it, especially after reading the press release and knowing that the firm, the one he is creating now or created, is -- apple is his number one client in other words, is he not going to be designing things, making the look and feel of whatever it is that the apple engineers create still very cool that will be his job if he can still do that. then instead of having to deal with the hardware stuff and so forth,

apple is turning away from hardware to focus on its services business which includes apple music and i cloud. how this has a lot of people talking and here with me is garrett alpha's now from our business team to talk more about it how important was jonathan eyes on his almost a rhetorical question but is he the man was invaluable for the company he had just joined when steve jobs returned then they really put out the the i am this we spoke about this earlier this colorful beautiful on it iconic piece of equipment and then he designed this the i phone still is such an object of beauty and it's it's it's a huge success and he wasn't only designing the machine itself the object itself he was involved with every bit of the design it's what the absolute live what it feels like he was also involved in designing the packaging for apple the apple stores all over the world he was involved in designing that. design then you have headquarters together with architects of course so he had a huge imprint on the company so what will this mean now for apple to lose somebody like that of that calibe

apple is the most significant phone maker coming out of the u.s. it's the only company in this unique position of being such a global conglomerate that has such a stronghold on this market while also being an american company that produces almost everything in china. so in a way they are asking for special treatment, but i think if it was granted to other phone makers, they wouldn't be too upset about it. emily: we know that tim cook, the ceo of apple, has met with the president several times, certainly made an effort to keep the conversation going to stop the tariffs. if the administration does slap the new tariffs on the products, would apple be an exception? sarah: tim cook was in washington as early as last week. we do know that he does have the ear of trump. we also know that in previous rounds of tariffs, apple was able to get a couple of its products off it. other companies have gotten other items taken off. companies can apply for exemption. so, there are options that apple's behest to try to avoid the tariffs. that being said, i think the

of apple, tim cook. >> reporter: is apple too big? >> no, i don't think so. but with size i think scrutiny is fair. i think we should be scrutinized. i don't think anybody reasonable is going to come to the conclusion that apple is a monopoly. our share is much more modest. we don't have a dominant position in any market. >> reporter: so you're saying you're not a monopoly? >> we are not a monopoly. >> reporter: but elizabeth warren, who is campaigning for president, says apple should break up its app store and other parts of its business. >> well, i strongly disagree with that. i think some people would argue if you are selling a good, then you can't have a product that competes with that good. but that's an argument, norah, that takes you down the path that walmart shouldn't be stocking an alternative or house brand. and so this is decades of u.s. law here. and so we'll be... we'll tell our story to anybody that we need to or that wants to hear it. >> reporter: the latest chapter of apple's story was unveiled monday at the company's annual developers confer

the future of music are i can see is not one out but 3 the music apple podcast and apple t.v. . the end of i choose which started in 2001 was long expected updates to privacy measures include a new sign in as an alternative to logging into apps using social media accounts hiding the user's e-mail address and data. on your debacle next time you're in a new dark mode will allow i phone apps to be viewed with a black background. and apple announced an update of its powerful $6000.00 mark pro and there were murmurs of dissent when a $1000.00 models or stand was slated sometimes even devoted followers balk at the price tag. u.s. presence donald trump us off of the u.k. what he calls a very substantial trade deal once britain has left the e.u. on the 2nd day of a state visit to trump met prime minister to resign may they have a discussion with business leaders from both sides of the atlantic significant anti trump rallies taking shape while parts of london on security lockdown donald trump is also meeting with c.e.o.'s from u.s. and u.k. companies with the ongoing uncertainty over bri

apple platform. now apple has several. they have the ipad ios. ios for the iphone and ipod touch. apple tv, watch, mc, etc. now instead of having to do all the work, now you will do it once and it will run anywhere. this is not something that will happen overnight. it will be a two to three year thing but the pieces are in place to make that happen. app: apart from the strategy, what other new features is apple adding to the operating system? mark: the iphone will get a revamped health application. there are some new features for sleep as well. some features for the ipad, like the ability to manipulate texts. the apple watch is becoming more independent. it will have an app store built into the device versus having to take it from the phone to the watch. shery: today, the news was really overshadowed by this antitrust concerns over these big tech giants. apple seems to be in their crossfire with perhaps a doj investigation into the company. what do we know? mark: perhaps is the key word because if yo

so apple's a tricky one for me because i feel like apple has also experienced quite a big. but they also have the issue of china right now also apple has a pretty large segment of their business in china and that's going to be further impacted by the trade or what apple's trying to do right now is they're trying to increase their profits in a variety of segments into their service industries like microsoft. i'm not sure if that's going to be successful but i think that they need to shift more towards the cloud shifting more towards services if they're going to increase the variety of profit profit groups that they're looking to have. some right now as he said with the breakdown of the market leaders that we've been riding on this entire year how can the entire stock industry recover are who are the new leaders are there any merging. so today i think it was a great sign the way particularly you did see netflix hold you saw facebook hold microsoft and adobe are 2 huge leaders that i would argue should be incorporated within fang so i feel like the way that those stocks in par

end of an era at apple. with the closing bell ringing in 45 minutes, the tech titan among the dow 30 laggards in this final hour, after the company announced its legendary design chief, jony ive, is leaving to start his own independent design firm. he's been there for years. ive is widely credited with those innovative designs. remember the original imac with the blue and the different colors? there it is. that one. he was the guy who put that together. he also put together the ipod, designed the ipad and the iphone. he's considered one of the most important people at apple and was a close confidant of steve jobs. his new company will be called love from and will count apple as one of its top clients. but that's not apple's only news. up next, silicon valley legend t.j. rodgers is here on apple's decision to move production of its mac pro desktop computer from the u.s. to china? this smack in the middle of a trade war. the never-shy founder of cypress semiconductor here when "countdown" comes back. it all st

to be apple >> i think that someone does need to be in charge of design for apple to be apple, but it doesn't necessarily need to be johnny ive i think we've seen johnny move a little bit away from the day-to-day operations at apple over the course of the last couple of years. and it's really -- it's clear that his interests lie elsewhere. his interests, as you see from the things that he wants to do at love from are designing things he wants to go back to the classics and as our senior writer for design, mark wilson pointed out to me in a conversation earlier today, the things that apple is moving into, augmented reality, self-driving car systems, this is the way that the world is going. this is the world -- the world needs this kind of design leadership and it's not clear that johnny ive was the person that was going to give the design world that kind of leadership. >> so casey, maybe it's not clear that johnny ive is the person that's going to give the world that type of leadership. just the fact that apple is making this transition, services is obviously a big part of the narrativ

apple music, apple podcast, and apple tv but the itunes store will still live on as its own entity sglchlt ahead of that the apple credit card this summer and later in the year we'll have to see what apple has in store for the centerpiece of its universe, the ipotential. >> thank you. >>> time is 4:40. it's finally happened. an incredible run on the tv show jeopardy ended just short of a record. coming up how a professional sports gambler. >> and the city of dublin is revisiting a controversial proposal today regarding the rainbow pride flag. >> in oakland, traffic both directions here on interstate 880 as you pass in front of lood temperatures are heading on up. we'll show you how hot. nd temperatures are heading on up. we'll show you how hot. you how hot. . la police officers wants the city to clean upped the city for the safety of the officers. a bacteria that caused typhoid fever and other officers are showing similar symptoms. the affected ofszs are not patrol officers but the area near skid row is being disinfected now. that building is dirty and unsafe. >> it's totally disjusting an

omfr apple will be the first client he tells the ft i will not be an apple employee but sir jony saying i will be very involved i hope for many years to come. guys >> josh, thanks for that i'm sure more color to come in the hour ahead we are out of time here. that's it for "closing bell. "fast money" will pick it up right now. >>> breaking news continuing now. after hours apple announcing its design chief, its chief design officer jony ive is leaving that company and stock falling 1% after hours. dannathan, we can kick this around somebody who is a household names. >> steve jobs passing in 2011. i think the announcement around that era would have been impactful. he was the guy who put their ideas into steve jobs pushing him through to make them products now at a point their products are less revolutionary and more evolutionary i know a service-driven model less about every year some really slickly designed new hardware device. five years ago the stock would have been down 5% on this news i think you'll see a sort of muted reaction. >> you're seeing it down only around is% which i guess

before i let you go is some sad news for you apple fans are them so jonathan i have apple's chief design officer is leaving the company he helped shape the news shocked the entire tech industry some say he's been as important for make an apple what it is today as the late steve jobs ives says he'll continue to work closely with apple through is own upcoming designed firm when he started his career at apple the company was seen by many as being on its last legs together with steve jobs though with whom he forged a close relationship he developed the imax in $998.00 which helped kick off a spectacular comeback for apple the british designer also created the iconic design of the i pawed the scroll wheel which let you scan through a long list of songs easily helped ample to dominate the market although it was not the 1st or only m p 3 player back in 2001 johnny i've also designed the i phone the 1st smartphone which was introduced in 2007 it revolutionized the way we communicate today and bought an end to regular mobile phones i've also saved the i pad which was launched at c.v. here with st

the future of music our i can see is not one app but 3 the music apple podcast and apple t.v. . the end of i choose which started in 2001 was long expected. updates to privacy measures include a new sign in as an alternative to logging into apps using social media accounts hiding the user's e-mail address and data. on your debacle next time you're in a new dark mode will allow i phone apps to be viewed with a black background. and. an apple announced an update of its powerful $6000.00 mark pro and there were murmurs of dissent when a $1000.00 models or stand was slated sometimes even devoted followers balk at the price tag. right let's see what the financial mess but well to what boson our financial market correspondent in frankfurt is making of all that a $1000.00 money to start new privacy measures the end of i tunes do you think that apple is on track to success. it is monica but the track is going a bit more up hill you know the times where a poll every other quarter amaze the markets with ever increasing sales numbers of its devices are definitely over by selling more servi

let's stay with the big tech giants, including apple. the share price of the so called faang companies have slumped in the us. so that's facebook amazon, apple, netflix and google's parent company, alphabet. they saw $137 billion wiped off their stock market value. here's michelle fleury in new york to explain why. what sparked the sell—off was the prospect of greater regulatory scrutiny. us anti—trust forces have a p pa re ntly scrutiny. us anti—trust forces have apparently carved up jurisdiction for possible investigations into google, facebook, and was on and apple. the wall streetjournal reported on friday that the us justice department is preparing an anti— trust investigation into google's business practices. the washington post claim that the federal trade commission is looking into potential anti—trust violations of amazon. bloomberg says the ftc might open a anti—trust probe into facebook. it's not uncommon for the agencies to negotiate over who gets to that which companies and markets. it is to avoid duplication and

apple has other ideas. bloomberg learned the tech giant will manufacture its new macbook pro computer in china, moving production of what has been it's only major device assembled in the united states. the company will use quantum computer to make this $6,000 desktop, and it is set to be -- said to be ramping up production in shanghai. imposedp administration billions of dollars on tariffs in chinese made goods. joining us to discuss, we have a creative strategy analyst. technologist research president bob o'donnell. is onember that quanta of the biggest original device manufacturers of pc's in the world. this is not an unusual move for apple. the timing is clearly a bit odd that they are doing something just as all these tensions are going on for you this is a very low volume product. impactn't have a big psychologically. clearly it does not look very good. >> talk about the potential message this is sending to the u.s. administration and the world. remember --hen you if you remember when they made -- noto

apple music apple podcasts and apple tv. the itunes store will still live on is its own entity. ipad is getting its own operating system.>> thing apple is going in a different direction and saying we have an ipad. a very different use. let's make the app separate. let's give the users what they want. >>> we cannot wait for the all of you to get your hands of these great new releases. >> reporter: some the changes won't be available into the fall. ahead of that the apple credit card this summer. leader in the year we will have to see what they have in store for the centerpiece of its universe the iphone. >>> a safe haven for people who might otherwise be out on the street. the unique programs at a new shelter making it only the second of its kind in the nation. >>> the new partnership between california and the pentagon to help fight wildfires. >>> dramatic new police video seen for the first time. the case involves a bay area man who died in police custody. attorneys say he wasn't even a suspect. >>> you wanted to save on pr

now apple as well. we'll have the latest on the story there. and what impact it could have on the companies longer term. as we head to break, look at the dow. it turned after dovish comments from james bullard he said a rate c mutay be warranted soon we're back in two. >>> welcome back check out what's happening in tech today shars of facebook, alphabet, and amazon are all lower the battle against big tech is raging on. the justice department is launching an antitrust investigation into google. the ftc has secured rights to lead an investigation into facebook and amazon. in the last few moments the department of justice has been jurisdiction over apple if there were to be a probe now that stock is on session lows on the news let's bring in senior technology reporter from politico and we welcome back contributor ed lee. nancy, this seems like a divvying up on the cake. what are the implications. if you're the company, do you want the ftc or doj on your back >> that's a good question. some of that remains to be seen. i think with some of these co

will reduce shipping costs as the shanghai factory is closer to apple's other suppliers in asia apple flexing its status as the biggest tech company in the world one in the u.s. trade representative light hisor last week that tariffs on china would hurt its contribution to the u.s. economy apple noted that it has created more than $2000000.00 jobs across the u.s. and pledged more than $350000000000.00 in economic investment over the next 5 years however that contribution will be scaled back if its core products are affected by tariffs despite this new cost efficiency measures apple is still trading down for the week as chief design officer johnny i announced his departure he was responsible for designing the i mac. i pod and i phone which leaves investors very worried about apple's future going forward. as chinese president xi jinping and russian president vladimir putin met at the g 20 in osaka japan this week it appears the 2 nations have been making deals prior to the leader's latest talks earlier this month russian finance minister anton. off and people's bank of china had you gan

mrjobs as his spiritual partner at apple. current chief executive tim cook said mr ive's role in apple's revival cannot be overstated. mr ive said this seems like a natural and gentle time to make this change though he won't be leaving the company entirely, saying he will still be very involved for hopefully many years to come. the company has yet to name who will replace him in the role of chief design officer. this departure comes at a time when investors in the world's most valuable company are already worried about the recent departure of the retail chief and a decline in iphone sales. following the news of mr ive's departure, the compa ny‘s stock dropped by 1%. his new company is called love from and will be an independent design company. mr ive told the financial times that friend and apple collaborator mark newson will also be joining his new firm. aside from that though, we don't know much about it yet but apple have confirmed they will be clients. joining us is simon french, chief economist at panmure gordon. inves

ian: apple is an example of that. yes, maybe we don't need that many iphones, but so many people are employed directly as a result of manufacturing chain. that can't help but impact the economy. you have all these relatively high paid jobs, tax revenue, if that goes away that fundamentally undermines the chinese economy. emily: what is their plan b? ian: a lot of people don't realize just how powerful they are. when trade sanctions have been used in the past against countries like korea and japan, they are relatively small domestic economies. china mobile has more subscribers than the u.s. has people. they are their own center of gravity. there are people who have never looked at google search because they never needed to. they are not using apps supplied in the u.s. because there are enough gravity in the market on its own terms. emily: we don't know if the tariffs will go into effect. we are still waiting for this meeting to happen between president trump and xi. you wonder, even if these new tariffs do not go into

that is probably right google and facebook are probably at horrific than apple apple had its worldwide developer conference yesterday and talked about new software features and privacy was a big theechl. so i think apple still is in a better position. the main issue is around the app store and whether developers should have to work with the app store, whether apple deserve as a 30% take that is probably where the focus will be. but at this point i think the stock has reacted probably about the way it should have it will take a long time to see if something plays out here. >> and you've got that and of course you've got -- you might have heard about it, the trade dispute with china where tens of millions of iphones are not only made but sold in china every year are the scales both weighted against apple stock right now, steve? >> it does feel like there are a lot of headwinds for the company. this is not a great year for iphone sales to begin with and the company is kind of caught in the middle in china. its sales in china have been affected there are some signs that they are beginning

this all matters a lot for apple investors because they pin so much hope on apple's faster growing, higher margin serces business. a big, important part of that business? the app store representing an estimated 35% of that services keep t, so cook needs to these developers happy and loyal and creating compelling experiences fis users if that broader services segment it going keep humming. llthere are cenges for the app store, however. the u.s.re supme court recently ppened app a legal set bac allowing antitrust suits against th app store. they argue that apple m monopolizes it. reuters says the u.s. department of justice was given juriiction to include apple as part of a broader antitrust probe. the bottom line fors investors this. where can they make money? they know consumers spend a of money on the app store. an estimated $47 billion last year alone, nearly double what was spent on apps from rival service google play. i'm josh lipton, san jose, california. ag> up next, the $150 billion market in the fighnst cancer. >>> finally tonight, the world's biggest cancer research meeting chicago

apple moving nicely. people starting to reflect on what's going on with the -- facebook, boy, it's going to take more than jerome to fix facebook. >> they're basically saying, listen, we're not going to let this economy go down the drain very important story that's very positive, a nice offset to mexico. >> concerns about retail certainly from the earnings we've gotten, not target and other names but the gap and we can go on and on, have concerned those, or wondering whether it's an early sign of a weaker consumer, and that's morgan stanley talking about it. >> we'll know friday we have an employment number on friday. >> and i think that's going to put a code on all of this talk >> what do you mean by that? >> well, i mean, like if the number's weak, holy cow. >> we have seen some researchers now say that at least the auto component of employment is starting to manifest itself in mfp. >> auto is tough i would like to see the semiconductors come back i thought the cypress deal was fantastic, nobody cared.

news with the doj also saying they're going to look at apple what do apple and google have in common it's mobile. so perhaps, it's the mobile on one side analysis versus the consumer, amazon potentially and facebook on the ftc side and then i want to get into how historically these agencies have looked at kind of anti-trust and whatnot. historically, the droj looked at market dominance look at how big is your business and are you too big and kind of have you done something that makes them realize you're too big? on our math, it would be a u.s. probe that google, by the most conservative, about 26% of advertising, but if you get much more broad and look at shopper marketing with what's called brand activations, everything marketers spend, they're 13% so kind of keep that number in mind on the ftc side, as the company injured the consumer, does their business practice hurt the consumer and kind of, that's kind of, i think, the way in our mind, it's looked at right now. >> we want to bring in andre barlow, former doj attorney. great to have you with us. when you look at how these agenci

apple pushes forward into the u.s. china trade standoff america's largest corporate taxpayer says new sanctions threaten its bottom line and it's supposedly looking to rework its supply chain but is that realistic. also on the show airlines around the globe are scrambling to change their flight routes as tensions heat up between the u.s. and iran. and we'll introduce you to the thai internet sensation selling dried fish on facebook and getting rich doing it. welcomes your business report i'm stephen beard chamberlin thanks for joining us apple wants a trade war truce it joins a list of companies appealing to u.s. president donald trump to forgo tariffs on another $300000000000.00 of chinese imports which would include consumer goods like i phones and air conditioners apple argues that adding tariffs on july 2nd will undercut its competitiveness microsoft dell and intel also warn that tariffs would raise prices for laptops and tablets by 19 percent angering u.s. consumers and media reports say apple may shift one 3rd of