Theory and temperance go, welcome to the late addition of "bloomberg west" will recover the stores are shaping your world.
Innovation, technology, and the future of business.
Could netflix be coming to your cable box?
They are and talk with multiple cable companies including comcast and time warner cable.
New revelations about the early days of twitter as they say the ceo was actually fired when he was ceo well back in 2010. we look at the claim.
It is one of the biggest names in travel book, expedia.
The ceo is commenting on how tech is changing travel.
We will be getting to those stories in just a necessary first, a quick check on the latest developments in washington.
Leading senators are expressing optimism that a deal may get done soon to raise the shutdown.
Senators are said to be working on the details.
Phil mattingly joins us from washington.
Could this really be a ray of sunshine?
It comes five days after torrential downpour.
What we have had with that optimism is the emergence of possible details worked out with harry reid and senate minority leader he -- senate minority leader rich -- mitch mcconnell.
It would raise it until january 7 and reopen the government until mid-january.
They would need to report back by december 15 on a broader budget agreement.
There are also a couple of other details about delays to specific health care provisions.
After weeks where it seem like you're getting no pathway for work, the outlines are there.
Is the white house supportive?
Officials tell me they are very aware of what harry reid has been doing during these negotiations.
They feel very comfortable with and serving as the point man.
They are not going to come out and endorse a proposal.
They do know they are with harry reid on this.
What he comes up with is likely going to be something they can support.
What about the republican-led house?
Are they going to go along with it?
This remains the big hurdle.
We know that speakers john diener and melt with mitch mcconnell.
What comes out of the conference is often various and will determine what the house decides to do if they decide to except with the senate has negotiated.
We're looking at a deadline of october 17. not a lot of wiggle room for john boehner to work with.
Phil mattingly, thank you so much for that update.
Now to the battle for your living room.
Netflix has been called a cable killer.
Companies may be on the verge of embracing their one-time enemy.
Netflix is in early talks to add it at two boxes of comcast, time warner cable, and regional players as well.
That's according to three people familiar with the matter.
It could be a win-win.
Cable operators may be able to use dos extend this by adding netflix.
John ehrlichman has more on how such a deal could be structured in today's area.
With netflix in, would they be able to agree on a revenue- sharing agreement tied to this?
He covers netflix or securities.
He joins us from portland.
Let's start with whether you think this is a reality.
Do you think this is going to happen?
I think it will happen eventually.
I am surprised it didn't. and simmers like netflix.
They like cable.
They like them or when they can access them both.
At the same time there are a variety of factors that could stands in the way.
Who gets the money?
Does netflix get to keep the eight bucks a month as arty charging?
What happens with revenue sharing?
That has probably been one of the impediments and one of the reasons we have not seen a deal.
I think netflix probably have a standing offer on the table for most companies is that you can offer our service if you want.
There is no share.
Ultimately, i think there will be some cable companies that come to the conclusion that allowing netflix in is not that huge of a risk.
On the plus side, we get customer satisfaction.
Can it be a hedge for the cable operators who do offer broadband?
In but for the ones they do they say you can get some netflix.
It is a change in attitude.
Historically they have had the distribution channels.
If your hbo or stars or whoever, you have to pay them a revenue share to get access.
Now netflix is not have to pay anybody.
They can go anywhere that the internet goes.
You have to have a change in the mindset.
We cannot charge them for this anymore.
We have to think about it a little differently.
I think that will happen.
He mentioned hbo.
What should hbo think of this?
What should the cable companies think about what hbo thinks about?
Hbo should think that netflix is showing like they have showed that consumers will pay for good content.
They will pay for content they can access easily.
What hbo does with that you will have to ask them.
They stay committed to the distribution channel.
They do not show any signs of going away from that.
For now it seems like they will continue to attract more.
It has been quite lucrative.
Netflix just announced another original series that will be coming, this one from the creators of damages and the sony television studios will be making this show.
Do you think netflix will be outpacing hbo in the creation of original shows?
To a certain extent they have to.
They have a lot of catch up to play.
Hbo has been doing that for a decade.
Netflix just started.
They are going to have to have a higher pace of original show development so they can build their library up to an hbo type of level.
They have been successful at it so far.
They're probably feeling good about their ability.
A lot to watch for.
We appreciate your information.
Was be twitter ceo briefly fired from the company before becoming ceo?
That and more when "bloomberg west" returns.
You can also watch a streaming on your tablet and phone.
? this is "bloomberg west"." twitter has released a new scheduled tweet feature.
Today marketers using the products can schedule regular or promoted tweet for specific dates and times of up to two in the year in advance.
They're also introducing a new created tab for users to create a managed schedule.
The story of twitter's early days is getting a lot more interesting thinking to the new book "hacking twitter." there are claims that decosta low was briefly fired -- dick costolo was briefly fired in 2010. the decision was made to fire costello.
The children having terminated.
When he followed up with an e- mail, he was told the board had changed their mind.
In weeks, williams was out of ceo and costolo was the replacement.
What do you make of all of this drama?
There is so much drama in this.
It doesn't look like he may not have been part of the twitter story.
He has been so essential to really making the company what it is today.
For what it is, people were not sure.
How did he put into this.
Many consider him to be the sheryl sandberg of facebook.
He is the one that was able to bring get from there.
He was less than 30 million.
Laster there was more than 300 million.
He certainly have a lot to do with that.
Given the story, now this is going public, shouldn't they be confident?
They should be watching to see what the company does to retain top talent.
When faithful -- facebook what public we sell disputes about who invented what and he was owed money.
Hopefully, we do not see the same here.
What do you make of this whole scheduled tweet development?
Regular users of twitter have had the ability to do this through tweet deck which twitter actually owns.
They have been able to schedule their tweets.
This is the capability we are giving their advertisers but everyone else has had the ability to do for a while.
This is good.
The book about twitter is scheduled to come out the week that twitter could go public.
Is there any concern that the book and all of the drama that he has promised will be in it could detract from the ipo itself or worry investors?
Twitter cannot do much to say or defend.
Everything they can tell the public is in their f-1 filing.
They have not said anyone about the book.
Dorsey has had a couple of things about i didn't know this.
He was consider the forgotten founder.
There has been a little bit of back and forth and drama and built in is a risk to their publicity.
I certainly cannot wait to read it.
Thank you very much.
Meet the solar industry's newest superheroes.
The robots making energy more efficient.
That is next on "bloomberg west" ." ? welcome back.
You can also catch our earlier edition at 10:00 p.m. cystic.
This is still ripe for automation and innovation.
Qbotix is positioning itself to be the superhero.
The machine the company called captain america.
Robots are basking in the light of yet another industry.
Solar, a sector with historically high barriers to entry has seen a germanic decrease in overhead.
Paving the way for innovation.
The economics has fundamentally changed.
Why is this an ideal fit for robotics?
Ideally, they are down.
It just deal with solar panels.
Enter a start up securing the solar industry with that the company calls botsm.
Is that captain america?
Quite how does it identify how they should move the panel?
It is smart.
Is using gps technology.
It goes from one to the next every 45 minutes and turned to the sun.
Making a just like a son f -- fun flower.
-- sun flower.
Behind this is the old way of doing things.
It uses a lot of steel.
It is twice as expensive.
Systems are just a few years old.
The real proof will be in their ability to last.
The major challenges are so that last a full lifetime.
Which is how many years?
20-25. that is a very big challenge.
Let's go see where they are made.
This is really where captain america was made?
This is one of the motherboards which is part of the brains of the system.
This coordinate the activities of the robot.
Compare this computer to your average commercial laptop era to this one will be out in the field in extreme temperatures for a very long time.
Solbot is only operational in certain fields.
How revolutionary will this be?
People will look back and say we have this gigantic nuclear reactor in the sky called the sun which has millions of years left.
Why don't we use it?
Rachel crane, bloomberg.
Sobots are up and running in five fields.
They are set to build 20 more by the end of this year.
Now to a startup hoping to make booking appointments for everything from haircuts to oil changes easier.
It lets users a book and change appointment online through a newly launched smartphone app.
Ethan anderson joins me now in the studio.
A simple way is that is basically for opentable but everything but restaurants.
One of the big differences is opentable has their own program.
This connects to all the calendars that are out there in the marketplace the hundreds of thousands of small businesses are using.
You can book massages, haircuts, oil changes.
My guess is that a service like this will live and die by the type of appointments that are available.
My favorite yoga places not on there i will not use it.
We came up with a clever way to bootstrap the startup.
Several thousand businesses signed up right away.
You can have real-time visibility to the calendar and book and purchase 24/7. but there are 2 million businesses in our categories across the united states.
We have not gotten to them yet.
We came up with an idea of we will both be appointment for free.
All you do is request an appointment from any of 2 million businesses or at, say you want a facial or haircut, within a minute or two you'll have a response back from our team that your appointment is confirmed.
We have someone in the background is calling the business.
On that call we asked them to connect the counters and next time you do not have to call them.
That is when you get that business.
They are more likely to sign up because we just brought them a customer and they haven't even signed up.
Imagine if you signed up in all your prices were properly connected.
People would let it.
Why don't you connector calendar for free.
You have a team of human beings in india, right?
All of the team is in san francisco.
As he get bigger, we probably will take some of the more menial tasks overseas.
The ultimate goal is to have every business connector calendar system to my time so no one has to call.
That is just bootstrapping.
How many employees do you have making phone calls?
We have about 10 and we are growing every single day.
Coming people are using it so far?
About 3000 businesses signed up right away.
Many thousands of their customers are using my time.
Not only to book the businesses they know but to discover who is available for something they need pure before i came on the show, i need a haircut so i just use it to figure who around me have it open haircut.
I saw all the availabilities.
I booked and purchase something and just walked in.
There are competitors like somewhat similar for doctors.
One big difference between is that we are e-commerce.
When you get an uber you paid for through the app.
Your payment goes through mytime and your payment is booked.
Every time we bring them a new customer we take a commission.
40% the first time and only 3% every time thereafter.
One thing that is cool is you can save a ton of money eared the businesses hate their calendar.
That means -- open time in their calendar.
They can build the times that are hard for them to fail.
What industries are using the most from?
Care question beauty?
The beauty space is super popular.
We are also finding great traction and the medical and dental space.
We are talking about chiropractors, massage the edge -- the sausage -- massages.
More than ever consumers are using their smartphone to book and manage travel.
That is forcing on my booking site to adjust.
Find out how will we see what the ceo of expedia -- when we speak with the ceo of expedia coming up.
? the focus on technology in the future of business.
Hctc joined apple in rolling out a smartphone with a fingerprint sensor.
It will have fingerprint security and a 5.9 hd screen, the latest entry into the large smartphone market.
It comes out later this month, launching first in china and then in the u.s.. microsoft is making an effort to target the large tablet market as well.
They are updating the windows software, making it available on high resolution five or six inch screens for the first time.
They have failed to make inroads against apple and android.
Mold reports say a video start a is being acquired by magnify.
No word on the terms.
They invested this last month.
The head of this week's senate election.
This was just launched and counts oprah winfrey as backup.
I want to get back for a quick update on the debt ceiling standoff.
There sounds like there is reason for optimism at this hour.
Should we be optimistic so fast?
I think so.
Optimism is the word du jour here.
Harry reid and mitch mcconnell close in on a joe would've all been waiting for to reopen the government.
We have been working diligently the past few days.
We are together in trying to write -- arrive in the culmination.
We have made tremendous progress.
And very welcome news.
What might this deal look like?
We are hearing bits and pieces.
According to a senate force, it would fund the government through january 15 and require a house-senate budget conference by december 13 to negotiate a larger budget deal down the road.
The big question now is what is in this tentative deal for republicans?
We have not heard anything about changes or delays to the president's health care of all.
John boehner will need to sell this to his numbers in the house.
He spent 25 minute meeting this afternoon possibly being sold.
They will be meeting to discuss the provisions tomorrow and hopefully get some more details them.
The meeting was originally scheduled for three card p.m. today.
-- 43:00 p.m. how does the white house really feel about this potential deal?
Do we know?
They have been tightlipped.
The white house has been involved in the process.
This tentative deal is very much.
What the white house has been pushing for is very optimistic and happy to see that this is moving along.
One huge hurdle is still house republicans.
What might they ask for an exchange?
Very good news.
Back to you.
Yang yang in washington, thank you.
Air b&b that lets people rent out their homes over the internet is fighting a subpoena asking to turn over confidential records.
It is asking them to help stop the petition.
The ceo of expedia is now weighing in.
John ehrlichman is back.
Why is expedia getting in on this?
The ceo of expedia is a supporter of air b&b. he talked a little bit about that.
We have started by talking about the mobile side of the business and the numbers behind the many areas.
This is what he had to say.
Google glass for us is going to be more of a platform for notification.
I do nothing anyone we using it to book a trip.
If they have booked their trip, you will get a notice on what did your flight is leaving from, whether or not there is a delay or not.
We built the technology so that the same notifications can easily go to a google glass or someone's watch.
Now with the proliferation of devices coming out there, you have to build your technology with very flexible architecture so that these kinds of notices can be sent to basically any device that anyone can imagine.
We built that architecture.
Now it is aback going to the specific hardware spec.
We like where we are at.
I see is having a google glass app sooner rather than later.
What about the competitive environment?
Wall street was paying attention to a new analyst report in which it said there is much more intense competition in the u.s. market.
That makes me concerned about your business.
How would you describe the competitive market right now?
It is a very competitive market because it is an enormous market.
Travel is over one dollar trillion -- a trillion dollars.
The advantages with non-players.
There's plenty room for more than one winner.
Companies are going to gain share.
We have to invest the game share and have great product.
The long-term trends are very good.
Leisure is the first part of travel to come online but we see great potential for corporate travel coming online.
We are especially excited about a corporate travel told.
They get to save a ton of money by driving more use online.
Consumers do not need to call an agent.
At the same time, they can get the service for the real complex travel as well.
When new technology allows for new business ideas or concepts to build and grow, sometimes there can be issues.
Airbnb has been in a battle in new york.
I would love to get your take on the airbnb business.
We think it is a great business.
It is a new way for consumers.
It is bringing on new inventory for consumers to use.
Clearly, consumers like that new inventory.
It is a fairly small segment of consumers.
I used airbnb to book a paris vacation for my mom.
It is a great product.
We think over a long time the laws are going to catch up with airbnb.
That is what i mean when i say this is a big market.
It is a trillion dollar marketplace.
You will have a lot of companies that will succeed.
There is one company that actually was a competitor that we buy because we thought we could not replicate that technology.
We are seeing them grow very quickly.
Both in europe and the u.s. we have to be prepared for these new entrants.
We think they will grow to get very big.
Can you give me a sense, how much money have you set aside for potential quick growing companies you may be interested in buying?
The most recent example has been a hotel meta-search player.
We spent over 6 million for the majority acquisition.
We are still partners with the founders.
Our company is very cash generative.
Laster we had almost eight billion dollars of free cash flow.
That gives us the flexibility to grow the business organically.
And also to acquire when necessary.
I think all three of those are going to play a part.
Expedia's mobile bookings are on the rise because of millennial's doing more travel.
To take -- tell us more about that.
People who are young and using new technology are going to be sending that booking on mobile devices.
A lot more business travel is being done by younger people and a growing demographic.
That is why they will go in the neighborhood of 20% to potentially north of 30%. a third is coming from mobile bookings.
That is why they have to be able to execute very quickly.
They try to allow you to be able to book a trip within 60 seconds or so because you are not sitting as you might in front of the computer.
Some of the small things that make a big difference.
John ehrlichman, thank you.
We will be right back with more "bloomberg west" in just a moment.
? i am emily chang.
This is bloomberg west streaming on your phone, tablet and bloomberg.com.
But barry is making a direct appeal for customers, urging them not to have concerns about buying a bike for old jack blackberry -- blackberry.
It is said to run in newspapers tomorrow.
They are making the difficult changes necessary.
It will appear in nine countries.
Joining us to talk is tom giles.
What do these look like?
What they are an appeal.
But barry wants to go straight to the consumer.
Street to its partner.
Cutting through all this noise.
We want to send the message that we're going to be there for you.
You can have faith in our ability to continue delivering this product.
Why the print edition?
Why take as and is dying media?
They are trying to say these are the newspapers of record.
We want to reach the influencers.
There are a lot of people who still buy newspapers.
I know that is alien to us in silicon valley.
There are a lot of subscribers.
There are a lot of people that still view this as the record.
There is a lot of uncertainty surrounding the company.
They are selling themselves to potential buyers.
Why not wait to make a big market push until after that when they know what is going on?
I think they want to show that we have some value here.
There's a lot of uncertainty about whether the buyers are going to be able to put together the business necessary to make this acquisition.
The cofounder of the company is also interested in making a bid.
There is this back and forth.
No one really knows if anybody will put together the amount of money necessary to purchase this thing.
Please do not give up on us.
Are they saying do not give up on your handset?
Do not move over to apple or android?
This idea that we are still around.
We are still going to be able to deliver a re reliable, secure product.
There are still handset out there available to you as a customer.
They also want to assure partners.
T-mobile has already started saying we will not put these in stores anymore.
You have to order it through the website.
It is one after another.
Big banks are having questions about whether they will upgrade to the blackberry or do we just give our users/employers android.
Why aren't these having the conversation strictly with the businesses rather than taking ads out in newspapers and hoping that consumers this into them.
That is the point.
They are trying to have these conversations.
They're not getting this across.
This is resulting in a stock that is really losing value.
It is not up to where the nine dollars a share should be.
There is definitely a lot of lost faith.
There is a lot of evidence out there that is indicating to people that this is not a company that a lot of people have a lot of faith in.
They really want to get the message across in any way they can.
We will be looking out for those ads tomorrow.
Thank you so much for joining us.
As we had to break, here is a look at what is coming up tomorrow.
Intel reports third-quarter earnings.
Will the pc market take a bigger bite out of the bottom line?
Stacy smith joined us.
We are right back.
More of "bloomberg west" after this.
? welcome back.
This is "bloomberg west"." facebook has agreed to by this company that specializes in mobile apps.
It is meant to help with facebook's push to get more people around the world connected to the internet through internet.org.
Facebook will open its first office in israel.
Speaking of internet.org, one of the key emerging markets they are targeting is africa were only 60% of the population is online.
Nigeria is africa's most populous nation.
We are joined now here in the studio.
You are on a tour.
You're trying to drum up investment in the startek community in nigeria.
It is about 20% year on year.
We're also seeing an economy sector where we are trying to create more nigerian companies.
We come to silicon valley and learn from how they have been able to create some of the largest i.t. companies in the world.
What is it that they have done?
Let's talk a little bit about the state of tech in nigeria.
Mobile innovations are really high.
What are some other things that would surprise us when it came to technology?
We have a hundred billion mobile subscriptions in nigeria.
In terms of the madea, we have the third largest in the world.
We're seeing a lot of the growth in the industry that will grow through technology.
They're making that available.
We have a lot of successful companies that needed technology to do that.
What about internet concentration?
It is important.
We have about 45 million nigerians on a daily basis.
Having people are in the country?
We have a long way to go.
It is important for us to connect the fiscal responsibility to that in the access.
We're looking at the connect ivity and an affordability.
A lot of them do not have the earning capacity.
Then it is important for us to get it affordable.
We arty have targets recording what is affordable.
Have you been contacted by them at all?
We met with them last night.
It is about affordability in getting that access to everybody.
We think it is important.
A number of our citizens are excluded from education and health because of their lack of access to the internet.
Zuckerberg has that he wants to do this in five years, connected the world.
Is that possible in nigeria?
If he says that, there is a big investment that is required.
We have spent about $25 million and we have only six central- bank penetrations.
We are talking billions of dollars that need to be invested in infrastructure.
Do you think it is possible in five years?
If we have the funds it is possible.
What is your goal other than getting everyone online and getting startups funded?
What would you like to see the nigerian technology industry look like in five years?
There are for prices that we have.
How do you attract this kind of investment given the political issues?
I expect it will be the same in 2012. we have our challenges.
This is much bigger than the challenges.
They do not have some kind of security challenge.
It is a very compelling and convincing story.
You are pretty convincing.
I can say that.
Thanks so much for joining us today.
Enjoy the rest of your trip here.
Now it is time for the bwest byte will refocus on one number that tells a whole lot.
What do you have for us today?
I have 190 million $223,175. that is the global box offices haul so far for the movie "gravity." some have been questioning the science but it has not slowed down the box office.
Including a visit by you.
And a visit by you.
The fact that both of us who we have little kids at home and no time, both of us have seen that.
It certainly says something.
Science the site, i do not know what other movie is realistic but it was definitely impressive.
There has been a lot of questions.
Maybe because of the nature of the phone, they were not as inviting as they might be in another film.
It is a movie.
It has everybody talking.
That is what is important.
You can get all the latest headlines at the top of the hour on bloomberg radio and all the time at bloomberg.com.
This text has been automatically generated. It may not be 100% accurate.