Apple’s Connected Home: Bloomberg West (05/27)

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May 27 (Bloomberg) -- Full episode of "Bloomberg West." Guests: Chegg President and CEO Dan Rosensweig; Rosenblatt Securities Principal Brian Blair; SurveyMonkey CEO Dave Goldberg; Harvey Mudd College President Dr. Maria Klawe; Garmin CFO Kevin Rauckman and General Assembly Co-Founder and CEO Jake Schwartz. (Source: Bloomberg)

Live from pier 3 in san francisco, welcome to "bloomberg west," where we focus on innovation, technology, and the future of business.

I'm emily chang.

Could you soon be turning off the lights with your iphone?

That might be an area that apple is looking at them and with millions getting ready, we kick off the special series of how technology is helping improve life in the great outdoors involving everything from searching, hiking, and camping good let's check on the bloomberg top headlines.

Qualcomm is hit by hackers.

They're asking android users to upgrade over the next few days and reenter their names and passwords.

As of now, this is limited to android users.

They do not steal passwords or financial information.

And removing ibm's servers and replace them with chinese brands according to people familiar with the brand who think china is worried about national security.

The u.s. and china have been involved in a dispute since chinese officials were charged with cyber espionage last week.

And former microsoft ceo steve ballmer is interested in buying the l.a. clippers.

Sterling surrendered and role of the team to his wife after being banned for life after making racist comments.

I want to turn to my special guest host of the hour.

He was the former ceo of guitar hero.

Dan sits on the board of rent the runway.

Dan, always good to have you here on the show.

Great to be here.

I went to check on chegg.

How is it going?

It is going really well.

The stock market is confusing.

It is down.

We went down before the rest of that tech market went down.

Now we feel that we have got the company with us.

Misery loves company.

But it is going extraordinarily well.

Education is a trillion dollar market in the cause of education is too high and that outcomes are not good enough.

We're focused on outcome.

We help students choose which cause to go to and how to pay for it.

There was a launch of a national career service site for the first time.

Less than 50% of college students actually go to the career centers.

Thereby improving the cost and the access and efficiency and the outcome.

I want to talk to little bit about the stock.

You said it was confusing.

Do you have any idea why?

I don't. but that is not my job.

My job is to communicate, but chegg overall, we have had 22% growth in the first quarter.

Expect to be on or around cash flow to break even.

The number of businesses we are in, we are excited about where we are going.

It is about execution, execution, execution.

I want to get to the lead story of the day.

A lot of pressure on apple to come up with its next blockbuster product line.

Good apa connected home?

There is some buzz about this -- good itcould it be a connected home?

There is some buzz about this.

He could turn your phone into a remote control.

If apple does move into this area, it has some catching up to do.

Google bought a service last year.

My guess to joins us now from stamford.

Brian, what is your take on this report and the fact that apple might be announcing this smart home product line?

I think it makes a lot of sense.

I have several products in my house and several bill in -- bul ilt-in products at my house.

Why it makes sense is because we thought apple might do a large panel tv in the last year of soap.

I got back from taiwan.

It turns out they did have a prototype, but looks like what they'll do in the short run is take apple tv and make it something where you can use in a home automation matter.

Maybe that can read the hub that works with your smart phone to help you do things like manage your life, home security, manager light bulbs, all of these various things to have a smart home.

It makes sense.

There is a good chance we get some insight into this on monday when apple has its event.

What do you think?

It is an interesting opportunity for them to go into.

It puts them into competition with many apps on their phone today.

Many of us run those on our phone today and using it for other applications.

That puts them in competition with people who use that for distribution.

Two, net neutrality in the pipes.

If apple has access to your home , could that cause a net neutrality issue and how people would compete at apple getting into your home and everything will be done over the phone?

That is interesting taking baby steps toward this and embracing the low-power bluetooth.

It lets all of these different things happened.

There is the light control and the lock on the door.

It seems like the kind of place where apple likes to innovate.

The technology is there.

There is a necessary hardware component.

It would be the thing that controlled all of those things.

Cory?

That is exactly right.

One of the things i picked up in taiwan is a sound like apple will include them in the next versions of the iphone and the ipod.

They also have this ibeacon technology.

It knows when you are near a product.

When you take the wi-fi and you take this new ibeach technology -- ibeacon technology, it will give apple a whole new slew of opportunities.

Apple has plenty of applications.

They compete with a number of those and not just an door streaming music, but a number of them.

But this concept of everyone being in the network is so new.

We're are not even in the first inning.

It is still early stages.

Most people do not have a smart home.

You mentioned control.

Very few people have that.

We are still early.

It is a great opportunity ahead for a number of players not just apple, but chip players like broadcom and qualcomm.

Right.

Samsung has their smart hub, but that was only will doubt earlier this year, really.

They are not that far behind.

Hiking it is a great idea.

I'm concerned from the consumer's perspective which is it any business today, if you have to pay more money to get into this, and every time you sell anything come he had to get 30% -- sell anything, he have to give 30% to apple -- i think we will see a lot of questions being raised.

Other industries have responded to apple by holding them at arms length.

It starts to make sense there.

It look at the way they had trouble in the video store.

Brian, you get the last word.

If apple does get into this area, can they make it easier than the solutions out there?

If they can make it easier, then yes.

They will be successful in a. -- in it.

Brian blair, we will of course be watching this next week.

Still ahead, how did the yahoo!

Alibaba partnership come together?

You can watch a streaming on your tablet, phone, bloomberg.com, apple tv.

? i am emily chang.

This is "bloomberg west." we are here with my special guest host, dan rosensweig.

Let's talk about the years that alibaba formed a strategic partnership with yahoo!

Obviously you have been following the alibaba story quickly.

They have how to go public in the united states.

When you look beyond the numbers, what do you feel is a risk to investing in alibaba?

The risk is all of their success has been in china.

The question is how big the market can be?

We know many are trying to compete with alip pay.

When the cut outside of china and come to the u.s., what will the -- when they try to come outside of china come to the u.s., there's a whole list of questions.

The management is extraordinary.

They have tremendous momentum behind them.

They have accelerated their growth.

December long-term questions and not short-term.

Yahoo!

Will sell part of its stake in alibaba.

What should the money be used for?

If i were a betting man, they should did some to the shareholders.

Also, what areas do you want to go in?

-- give some to the shareholders.

Also, what areas do want to go in?

There a lot of public companies that might be interested.

I think she will be judicious about it.

I think she has a plan.

We will see.

Do you think she has done a good job?

You know what it is like to run yahoo!

Yahoo!

Has been difficult.

I left at the end of 2006. it is had a string of ceos and competitive issues.

It has had hostile takeovers.

It is not an easy scenario for anyone.

I think what marissa has undercut issue brought back energy to the country.

She brought attention back.

She started to rebuild audience growth into the company.

She followed what she laid out to do.

It is not an easy job.

It does take time.

He will do not necessarily have the patience.

I think getting alibaba sorted out and acquiring a lot of talent puts them in the position with a chance to succeed.

I think her share energy -- she er energy and -- she is a force of nature.

I want to talk about the environment.

We are seeing evaluations.

Uber raising money at a $17 billion valuation.

Is that fair?

What is fair is whether sun will pay it.

[laughter] -- someone will pay it.

[laughter] uber leverages all of the things you talk about on the show all the time.

Does that leverage mobility, location, software?

Is it high-growth?

High-margin?

There are a lot of amazing companies like that.

Airbnb be another one.

Q are seeing the real winners being rewarded.

-- you are seeing the real winners being rewarded.

$17 billion is a lot.

On the other hand, ask yourself 10 years from now with all that transportation infrastructure, how big they can be.

Are we getting into a dangerous situation with the valuation?

There is a private market in a public market in early the internet is not in a bubble market right now.

Everyone has taken a beating over the last couple of months.

Some of it may be deserved and others maybe not deserved.

In the private markets, there's so much capital.

You keep hearing about more funds raising $500 billion.

I do think that market will be pushed up.

I do think if you are a founder and you are thinking long and hard -- couldn't give companies be getting themselves into dangerous positions?

The companies that do not see a real plan to go and into those evaluation should think long and hard about it.

If you are uber and you are controlling that transportation infrastructure or airbnb that is going at extraordinary rates, i think those companies need the capital to expand.

I think they're doing the right thing.

It is the companies that are unsure or whose hands are not that big that are putting themselves at risk.

Dan rosensweig, chegg ceo and our guest host for the hour.

Stick with us.

We have a new report with the surveymonkey ceo next.

? welcome back to "bloomberg west." i am emily chang.

Surveymonkey tracks trends in internet and digital media.

There is a new report that shows how people are finding and viewing content online.

Joining us is the surveymonkey ceo, dave goldberg.

Also joining us is my special guest host, dan rosensweig, and cory johnson.

How are people viewing content online?

We saw in particular that youtube and netflix are seeing tremendous increases, but we are seeing other trends come up in terms of streaming media.

Pandora very clearly is ahead of everyone else.

Itunes is not making a big push or the difference.

Spotify -- yeah, so this is three months worth of data, but it will be every month.

What you're able to see is how it moves over time and how do things happen.

When you look at itunes radio having an impact on pandora, you would have thought they would have.

I'm surprised spotify was so lowly rated.

Some of the numbers are better.

It is free versus paid.

Free services -- it is pretty dramatic.

And here they are buying a company.

When it comes to video streaming, apple tv doesn't even register.

Yeah, they have said it is -- it has been an experiment.

You can see that in these numbers.

It'll be interesting to see where does you to go from here?

What happens with netflix?

I was impressed with how big netflix was over youtube.

It is that spotify and pandora difference.

That is the interesting thing.

A lot of these free services grow like crazy.

The one that has really differentiated itself is a subscription service of netflix.

We'll see whether or not that happens in that music business.

I'll be very tears to hear your opinion.

Back in early 2000, they said apple, you are wrong.

We guessed wrong.

They might be hiring the guy who used to work for me to run their these excerpts.

We will see what happens with that -- and their music service.

We will see what happens with that here.

Tommy about this ownership.

And i have a custom search thing.

This is an interesting partnership.

They say we are interested in doing this with you.

They represent reports on a regular basis.

There was a third link in survey very a lot of people are doing this.

We want something we can track every month and see what is happening in e-commerce and social media.

We work with them to develop this year this is their report and their data that they will publish.

They are using our surveymonkey panel audience.

Their shopping online -- amazon is far and away the winner.

I think one of the things we did not publish, but is an up-and-coming platform is we saw snap chat is stronger.

I think of those trends were to nascent to show in any published data.

I think those will be interesting over time.

Did you see anything the data that suggests it should be on people's radar that isn't right now?

Where the commerce or music?

I think more of what is trendy and what will happen over time.

Twitter, there's a lot of questions about the users.

It has been pretty flat.

Thumbs up or thumbs sideways?

They have done a phenomenal job to figure out the business model.

It is growing enormously.

Ever think you'd want it to do.

The trick is to figure out if you could make the product easy to use and make it relevant.

That is harder very i think he has the ability to do it.

It is interesting that most people want a business model and he has got an extraordinary one.

We all love u.s. media of nace.

-- companies.

I agree with that.

All right.

Surveymonkey ceo, dave goldberg.

Coming up, how can universities encourage more women to study engineering?

One college is leading the way.

We find out what it is doing that others aren't. ? time now for bloomberg television on the markets.

I'm julie hyman.

Let's take a look or stocks ended the session.

Had a big update in terms of reaching another record on the s&p 500. then i sat gaining more than one percent in part of the strength of better than estimated durable goods and other economic data that beat economist expectations.

You are watching "bloomberg west" where recover innovation, technology, and the future of business.

I am emily chang.

Students participate in the white house science fair.

It was a broad range of stem -- science, technology, engineering, and math competition.

There was a football helmet with a concussion question.

The president is using the been to encourage girls to enter the stem field.

Fewer than one in five degrees are earned by women in stem.

Fewer in three and 10 workers in stem are women.

Half our team we are not even putting on the field.

We have got to change those numbers.

It is where the good jobs are going to be.

The president announced an additional $35 million in grants for programs that train stem teachers.

Speaking of women and stem and getting into engineering, harvey mudd college awarded more engineering degrees to women and men good i believe 56% of the class.

I want to bring in my special guest host for the hour.

The ceo of chegg.

You have followed this closely, especially with chegg's role in education.

You have been following this harvey mudd story.

What do you think?

The president is extraordinary.

They are all amazing.

What they determined is you should marry liberal arts and stem.

I think that is the best way to go.

The balance of being able to communicate and understand think critically, but also to code and understand the power technology is the way you will get a job in this economy erie although my daughters -- in this economy.

Both my daughters -- interesting stuff.

I went to a fair last week.

We visited a program where these young girls were being coerced to do technological stuff.

It was interesting the way they were making things.

There was this neat thing a 10-year-old girl made which was a unicorn.

It would close a circuit and light up a horn on the uniform -- on the unicorn.

It was very technological and girly in a great way.

There is a connection here . society still puts groups in boxes.

Technology liberation allows you to do whatever you want.

People being told what they should do.

What they're capable of doing is a great way to engage women in technology.

I have seen a lot of interesting startups.

They're doing exactly those kinds of things.

It makes it such a natural habit that women get into.

What are some of the resounding things you hear when people ask about why women are not more into technology?

May be starting at a young age is not happening.

How do you cultivate that interest if it is not initially there and should be?

You both have daughters.

If i had sons, i would cultivate the same thing.

We want people to be positive contributors.

There are more than a fair share of women in technology companies.

Him and engineering department, but there are lots of different divisions.

It is all hands on deck.

If you want a job, get into technology and coding.

It doesn't matter whether you're a man or woman, dr.

White, this country or another country, that is where the country is growing.

What about a tree house where they teach adults how to code and try to help them get into break into the tech sector?

I do not know how to code.

But they said i could take a class and i could get a job at heart stoddart -- at a hot start up.

When chegg surveyed potential employers of college grads, there were two things that came up.

One his ability used technology and the ability to communicate.

You need both.

That is why what harvey mudd is doing is smart.

It is combining the social skills with today's job skills.

That is a winning direction.

What kinds of skill sets?

You can hire something adjacent to that.

What sorts of skill sets do you look for?

You might want to get someone to train them.

It is very interesting.

We have about 25 interns this summer.

We are having about 10 in engineering.

Half of them are women for the first time.

You're looking for people who ambition to learn it and are willing to learn it and taking courses while they are working.

I remember oracle was hiring news editions because they recognized the skills of a young musician -- i think math and economics are two areas that help.

There is critical thinking and analysis.

What would you do with the data if you could access it?

People who know what they would do within our incentivize to know how to get it.

We are joined with the first woman president to lead harvey mudd college in six decades.

Harvey mudd awarded more engineering degrees to women than men last week.

56% of the class.

The president joins us from california.

Thank you for joining us.

My first question is how did you do it?

What is the single most important thing you have done to make this happen to get more women involved in stem and keep them involved?

I think the thing that really works well is to frame what we are doing whether it is computer on the science, engineering, or math.

It is about creative problem-solving.

I have yet to meet a young person who is interested in stem who doesn't want to be creative.

Girls in particular love being creative.

If you are able to harness that creativity and give them the tools to actually solve problems and build solutions, they love it.

How are you?

I do nothing i have seen you since the taylor swift event.

-- i have not seen you since the taylor swift event.

Good to see you.

[laughter] are in the causes but together the ability -- harvey mudd college has put together the ability to -- that would be exciting, but we have some and engineers here.

I want to ask some of the women on campus.

That is how we got to meet each other.

Yeah.

Go ahead.

What was great is ended of recruiting third or four of her students to come work at chegg.

They were engineers and taylor swift fans.

Our students are very right.

They love to learn.

They're not afraid of working hard.

They are also interested in a liberal arts approach to science, engineering, and education.

They take roughly 30% of the courses in the humanities and arts.

There is a huge emphasis on beneath a communicate both in writing and overly.

-- orally.

A every student is responsible for every other student success.

There is no competition for grades.

It is your job to help everyone else.

It helps make those students amazing people to hire once they graduate.

One of the tough things would probably be how to decide how much is vocational and how much is educational.

So much of the coding is about the language being used right now.

How do you strike that balance?

Well, we start out by programming with an introduction rate course.

-- introductory course.

It is a great prototyping language.

Many people will do their prototyping in python because it is so much faster and easier.

The other part about python is it is faster and easier.

It is easier to learn.

By the time they are in their third course in our sequence that is known as a way of life, you can code in anything after that.

That is first three semesters of computer science.

After that, it is irrelevant.

They have learned enough about the concept, the underlying program languages.

They literally could could work for a google or a chegg or facebook or whoever and learn a new programming language and be fully within a week.

-- and get it wihina a week.

We try hard to focus our education on learning to learn and understanding how to learn new things.

All right.

The president of harvey mudd college.

Really impressive to see the work you are doing.

Thank you so much.

We will be back with more of "bloomberg west." we will be talking about smart watches and more about smart bik es.

We find out how they are making your outdoor experience more connected in a special series "the great outdoors." ? welcome back to "bloomberg west." i am emily chang.

As we kick off summer, we look at technology in the great outdoors.

Hikers and backpackers after two garmin for its durable and accurate gps system.

With more consumers using their smartphones on the trail, the company is developing a new outdoor gadgets for your wrist and bike.

Cory johnson is here with our guest post, chegg ceo, dan rosensweig.

We have been trying to use sonar devices to find the biggest fish in the lake.

These gadgets cost hundreds of dollars.

The garmin ceo joins me right now.

Talk to me about the value proposition for what you guys are selling.

Garmin has always been a diverse company.

We offer many solutions to the various outdoor needs.

We feel like the value proposition is whether it is marine or cycling or hiking or rockclimbing, we will deliver a solution to help you with your active lifestyle.

Kevin, this is dan rosensweig . i remember when we were at yahoo!, we were looking at the maps i do not think anyone understood how big all of this could come.

How does social and the connected world really change your business model put you back in the growth mode?

That is a good question.

One example is one of our products called the edge 1000. it is a hub of connectivity around various applications.

If you have a person who is using their smartphone, they might have it on the person, but they want to be able to use by technology easy and we do that with an edge 1000. there are apps that could provide basic technology, but it is where the name garmin is well known.

What is the size of these markets?

No you made your app back when i was an investor and following it in a different way.

At the time come how did you look at the market?

How do you do that kind of work?

It was relatively small.

We have been growing our outdoor space and what we call our fitness category that includes cycling.

It is becoming quite large.

In a most recent quarter, we have made a name for ourselves and automotive.

You look at the various users and consumers that have these different activities that they do.

Garmin is there for almost every one of them to use in various products.

Kevin, how do you imagine -- there is this real fascination with video and location and outdoors.

There is go pro.

How these years of participating in this market?

Do you imagine when they get into the whole video space?

We came out with a new product that is an action, that we call verb.

It records your outdoor activities.

We have done things to fill a than the competition.

We have remote control access.

A product like this i have on my wrist is phoenix 2, and outdoor watch.

You can do a lot of tracking of your activity.

You can also use a remote control with a verb action camera.

Whether you are skiing or cliff diving or any other type of outdoor activity, you can use the watch as a sensor to control and connect to an action camera.

30 seconds left.

Dogs -- what are some dog products you have?

We have been in the hunting and hiking market for a while.

We have come out with some recent job training and dog tracking -- dob training and dog tracking.

It is for the various outdoor lifestyles that are being used by the consumers.

I know what to get my labrador retriever for his birthday.

Garmin ceo, thank you very much.

Coming up, moving the classroom online.

How technology is revolutionizing education and whether it is helping students be better are paired for their careers.

? welcome back to "bloomberg west." i am emily chang.

We're back here with my special guest host for the hour, dan rosensweig, the ceo of chegg.

They help identify skills that students will need to lead in specific arrears.

You can improve such skills -- in specific careers.

You can improve such skills.

Jake, thank you for joining us.

Specifically, what kinds of skills do you teach?

It is a place for anyone who is looking to get off that treadmill of the current job and into a place where they can find both the skills and the immunity to get on the path to a career that they are really excited about.

We focus on what we call 21st-century skills that have typically not been taught in most traditional institutions.

Things like web development and product management and data science and digital marketing.

It is a discipline that has shifted over time with the advent of more specific subfields around that use information technology and the latest sort of framework and programming skills and requires a much more relevant just-in-time nature to the training experience.

Jake went to an ivy league school and i went to an ivy league school.

They do not miss it dearly teach journalism -- not this early teach journalism.

Is that a bad thing?

Some think more longer-term legal thinking and can indication, things that will be relevant throughout your whole life.

What jake's company is doing is he is filling that gap.

We have 4 million jobs open in this country.

Jake's company whether it is in person or online can help people who are self-motivated to build the career skills.

Do you see one particular hole that gives your company a reason to be?

When we started, we started as a community based in new york city around the tech community in new york.

We have seen that combination of truly secular trends with the cyclical upturn in this sort of general public fascination with technology and startups.

A lot of the jobs that were available for young people even 10 years ago whether it was financed going through training ranks have really shifted in nature.

There is an explosion in opportunity to work with smaller shops and consultants, and to join these companies that are on the cutting edge of building what is going to be the 21st-century economy.

J, this is dan.

You start with in person training.

Now you're utilizing the technology and your training people to expand into a much larger reach and making it much more accessible to people online.

How is that working?

What do think the strength of going online to be versus in person?

We see the core value proposition of education we provide and not just being about the classroom time, but the content.

Content is only one part of education experience.

Our students who come to the campuses find real camaraderie among all of the fellow students.

They have experience of going through a really difficult courseload with their fellow students.

We help them intensively on the way out find that first job out of our program that gets them on the track to a career that they love.

We see the delivery of the content as one component of that.

The physical environment is in a lot of ways more conducive.

At the same time, there is a lot of opportunities to enhance and complement the experience with different online products, which

This text has been automatically generated. It may not be 100% accurate.

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