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tv   Squawk Alley  CNBC  November 14, 2014 11:00am-12:01pm EST

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a.m. here an wall street. "squawk alley" is live. joining us, kara swisher co-executive editor at re/code. and kayla tausche here on a relatively flat day. we'll cover tech first. google is shutting down google wallet. in a post the company said it would close the payment service
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in march next year. they didn't give much reason. only saying the industry has matured a lot since we launched google wallet providing a number of alternative solutions to choose from. and that is definitely true. >> yes when this first came out in 2012 we didn't have apple pay. paypal hadn't grown. but my understanding is what they are discontinuing is basically the online portal for merchants. if you have it as an app you can still use wit nfc technology. if you have a google mastercard enabled debit cards you can still use that. but it does seem to be admitting defeat at least in one part of this product that they were hoping would compete against paypal. and i'm wondering when you see an announcement like this that is primarily going to effect merchants and not consumers,
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what do you think this is this is saying google has lost ground to? >> it's saying nobody is using it. it didn't get traction. and it's been trying a the variety of executives and attempts and they have pt been able to make ground here. so they have given up. they declared victory and moved on. >> knowing what we know about droid market share versus apple, why would this happen? failure of execution? >> failure of the focus probably. they are doing 109 other things and this is an area they tried a variety of things in and a lot of management turmoil and it is not in their core business. even though payments are very important and you think they put a lot of wood behind the arrow, they haven't. and there are all kinds of payment systems that are superior. it iterates all over the place. they probably should dominant in the storage space. drop box shows up. so it depends what works and what resonates with consumers.
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because that is what resonates with the mernlts. >> it gives us a chance to talk about apple. and again, another day, another one percent gain. almost to $114. i don't need to tell you a lot of these price targets were 100, 110. what do you think is going on here? >> walt and i were just in front of the apple store in san francisco. there is a loin around the block for the iphones. i had smashed mine the other day so i was getting replacement. it's amazing how much traction the phones are getting. and as the phones get traction and people will be using them and they will be using apple pay. i use it and i like it. and the issue is merchants refusing to use it. a lot of big merchants like cvs and the controversies around who won't accept this. but eventually they will give in because that is what consumers want. >> when we first heard about apple pay we thought it was going to take a while for the iphone 6s to get into the hands of consumers to really gain traction. but it does seem even in the
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first month that people are learning how to use it and they are preferring it to other modes of payment. >> at some point this is going to work. and just as with the smart phone, there were smart phones before the iphone but then there was the iphone. so we'll see if this particular payment system works. there are a lot of competitors out there and a lot of ways this is going to happen. but someone is going to crack payment on the phone and consumers will move to it. and it will take a while. people still like credit cards. probably money is probably in a little more trouble in terms of cash. but, you know, it is a have very seemless system. and the issue is still the merchants and how people who work at stores know how to use it. i still encounter people that don't know how to use it and i have to show them. >> next up, billionaire mark cuban weighing on net neutrality. he writes, "in my adult life i have never seen a situation that paralleled what i read in rand
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books about --. that's straight out of ayn rand. >> the european commissioners, country leagues, companies view the u.s. model as the one that is right. and our broad band buildout over the last four to five years has been very good. to go back to a 1950s voice mentality with title two and net neutrality would be a tremendous mistake for our country. >> where do you come on this kara. >> i don't have an opinion. it's an interesting debate. the government is saying we're just solidifying what's already happened. those proponents like mark who's a little off to the edge. they also pull out this book. although mark is against some of
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the internet people like reed hastings and others. so it's just a struggle of is this a necessary thing? and if it is, should big companies be able to control it as much as they can. and it's going to continue. you know it's a very bold thing that the president did and something that's sort of irritated a lot of his opponents given the results of election. but i think he's just going for it. and we'll see. it will continue to debate back and forth. and i think consumers when you say net neutrality their eyes glaze over. >> except for the fact that kara we did have that one tangible in recent months where house of cards viewers who wanted to watch on netflix had their buffering wheel going and couldn't get it as fast as they want t and that's been held up as the hallmark why we shouldn't leave this in control of the big internet service providers. and what have we learned in hindsight.
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>> i think you will see instance of that all the time. they are going say no we don't and the companies suckle up a lot of it, of which netflix is one, are going to say yes they are. and the internet is such an important media, it is the medium now. and the question how much government involvement should there be. mark has a point that it's kind of worked so far. on the other hand as more and more stuff gets put over it, there is room for government to make sure that people get their internet in a way that is not costly. >> so you do vn have an opinion but maybe. >> that was on the other hand. i did both sides there. i don't know if you noticed that. >> from one mark to the other. what better way to promote a feature than using yourself. facebook is rule out a say thanks feature. and mark zuckerberg took the opportunity to thank his wife on their anniversary. look at this.
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video has about 2.2 million views in ten hours and counting. and kara gives us a chance to talk about facebook, whose -- when you compare to it twitter that's been one of the underlying themes of the tech market this week. >> it's interesting. the shy mark zuckerberg is really quite a showman. which is really interesting. letting so much of his personal life in there. the people of twitter of course tried to put up this strategic idea what it's doing because it is having trouble with wall street in terms of the growth obviously is really worrisome. and facebook is doing pretty well in terms of that, in terms of keeping up with new features and things like that. and not all of them are going to
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work. they have tried a variety of things that haven't worked but they continue to roll out products and see what kind of traction they can get. >> and not all of them have staying power. this reminds me of a little what they rolled out last year with the year end review. but doesn't it have an effect on bringing people back to the service to check it out or see or possibly to send a message to someone else? >> they are trying everything. they try something and if it doesn't work they buy the company in the space. all the areas. they sort of copy other people. they have been doing a snap chat kind of thing. they have to keep it fresh. if they don't it gets dull for people. and they become a utility. that is the issue for them. >> did you weigh in this week on the existential questions about twitter and costolo versus noto and everything else. >> no i didn't.
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dick costolo is under a lot of pressure as i said. and that's a volatile company in a lot of ways. there's been a lot of change and of course there are questions whether something will happen there. and eventually if they don't show the numbers. it will. >> i was struck yesterday by spencer rascoff who's been a real proponent saying he didn't think you could get the -- to 5%. >> they have challenges. they are doing well in certain ways. some of the advertising is working really well. and again as i've is said before, is there a possibility it doesn't remain an independent company? is there a way to get growth? can they improve the product? i think it goes to the product 100% is they haven't gotten traction there. and that's why you see the volatility. >> meanwhile, facebook as re/code has reported is trying to throw more stuff against the wall to improve its product. you reported on some of the new
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language and the privacy agreement and how that could pave the way for facebook's ambitions in payments and location-based ads. do you get the sense those are near term goals or just laying groundwork. >> they have to be in the payment space too. this is all kinds of people doing different things there. so it makes sense they would move that way. and hired david marcus from paypal in the messaging space. i think you are going to see a of stuff around that with them. they are going to try and do more of it. and they are in a good position to do so. >> kara, we got spoiled having you here but it is good having you anywhere. nev even in l.a. >> not a bad place to be on a friday. and if you are in the markets today. it is rough lly unchanged.
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consumer confidence so far this month, better than expected business. the s&p and nasdaq for their part able to hold on to gains at this hour. slight gains at that but we are seeing mixed averages for the time being. shares of pandora in the green after an sec filing. the company's ceo bought 25,000 shares just after it fell to a 52 week low. that is always a vote of confident when a executive does that. and pandora up 12% on that news. >> samsung samsung releasing th edge today. are people going to buy it? and somewhere steve bomer is smiling. microsoft passes exxon mobile. and spotify can't succeed if it keeps screwing song writers. strong words from the head of
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the national music publishers association. "squawk alley" continues in a minute. take a closer look at your fidelity green line and you'll see just how much it has to offer, especially if you're thinking of moving an old 401(k) to a fidelity ira. it gives you a wide range of investment options... and the free help you need to make sure your investments fit your goals -- and what you're really investing for. tap into the full power of your fidelity green line. call today and we'll make it easy to move that old 401(k) to a fidelity rollover ira. at wvalues matter.ket, so the fresh fruits and vegetables we sell support organic and sustainable farming. grown locally on over 1000 us farms, and globally with our ethical trade program. rated for sustainability, and grown by people with responsible farming practices
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quickly became the top free app. shares are now trading about 6% higher though the company is still tradie ining about 10 dol less than march ipo. >> samsung testing the waters with latest device the note edge which features a second screen along the edge of the phone. does it payoff? >> thanks for having me back. >> they are saying cutting edge design. pushing the envelope. how much credit do you give them? >> i give them credit for changing the form factor of the device. since the iphone there's been a lot of changing of sizesing of it. but not the form factor. it is a minor step forward but i think a bunch of the pipeline development underway and many different products to change those form factors. >> how have you seen the activity in seeking saps
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samsung's new phone? better, worse? >> from an early on perspective they have a competitive lineup that competes very well. what they have done a really good job on the is the ability to make multiple versions of android come together. today it is the software and the device working together. and consumers are expecting more and more of that to be very relevant. for example on the new edge tonight today the night phone clock. on the road you don't have to lean up and get the bright light in your eye. it is a very nice application. they pull together the form factor and the software tod together. >> that said samsung for a while. we got all the bells and whistles, then fewer. two question, where is their head in terms of form factor? and how much can a consumer
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withstand. >> what they are realizing is trying to create different personas. and trying to curtail those applications and form factors to that audience. if you try to do everything for everybody you are going to lose everybody in the process. >> they have also focused on the low cost audience. they are going to need to put out a cheaper phone. and competing with others. how many products do you think there is room for in samsung's lineup? who do you think the core customer ultimately is? >> i think it varies boy market. overseas there is a different type of market. whether more prepaid or younger audience. so we see a different how they approach each market. this latest edge device obviously designed more in the u.s. for more sophisticated or more senior. comparable to an iphone user. they will position different products slightly different. >> we're look at that apple
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versus samsung. apple's stock action, new records every day. surpassing most expectations. do you think the launch of the phones justifies what the stock has done? >> i think they are definitely category movers. and traditionally for years. activating all these devices. until the iphone plans change and oh i'm going to go upgrade. post iphone you see that process slow dramatically until the new release. and we'll activate anywhere from three to four,0 thousand iphonea minute. so you see other devices picking and choosing creative spots to hit the market. so when you look at the iphone even in the new form factor, what we've seen in our market is a predominantly high number of the 6 pluses. there is a certain percentage of returns come in.
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folks get the new device and it is not for them and they return it. certain segments like the bigger phone, others don't. >> where is the momentum coming from? >> right now from the iphone launch it carries traditionally ever year. it is a great start into the holiday season. and it picks up and continues in the mobile market. we don't see dropoffs until valentines day. it picks up and carries through to valentine's day. and the momentum remains strong. what you do see is device manufactures plan their devices in and around the launch when they expect these devices to come out so everybody can get their moment in the sun. >> february 15th options in the stock. >> exactly. >> thanks as always. >> when we come back a multiple billion dollar move by alibaba could give a look at the plans for the future. artup-ny. it's working for new york state. already 41 companies are investing almost
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in case you missed it, alibaba to sell bonds next week and people familiar with the deal are suggesting the sale will raise about $8 billion for the company. if it happens it will rank as one of the largest corporate debt offering of the year and largest by a chinese company in 2014. shares up about 68% since the september ipo. the ipo raised roughly 20 billion. now people are saying could this be used to do deals? i'm told it would be more of a refinancing deal to take out some of its loans borrowed at higher rates now that we're in a low rate environment. but that said it will get the rumor mills talking about how far they have come in a short period of time by doing this giant bond offering.
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>> you can imagine now that they have proven themselves, quote unquote, coming public so well as they did, maybe you can refinance some of the debt you have accumulated. and people love this name. view it as the very strong rating. s&p coming wut a a plus credit rating. so there is a lot of demand. >> in contrast to some stories like twitter debt. and so i simon hobbs. >> flat on the session. flat for the week overall. the biggest news today is the gdp for the third quarter. germany managed to escape recession. it was a gain of 0.3%. france came in as expected. we have a problem with capital expenditure and investment within germany. that said, italy is still in recession according to the data. now for a fourth year. greece however managed to escape
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recession after six years today. that is very good news for this guy, the greek prime minister who is trying to exit the bailout and have greater political freedom to prevent the left wing from gaining power at a snap election in the beginning of next year. j.p. morgan put out there will be a eurosceptic win somewhere and they will have the contend for that. as far as the original price action today is concerned on the downside, oil and gas stocks minus, german utility, nokia has its investors day and is negative territory despite raising full year outlook. it is building the networks for the phones around the world. upside, a lot of french companies did well. and this conglomerate, which is the own over the hachette brand
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here. it's rocked the stock up 7% in paris. and i've lost my ifp so let me just hand it straight back to you. >> congratulations on some nice stuff at the nasdaq. the virgin ipo is one to watch. when we come back. shares of twitter, is it time to buy or sell? >> shark tank's kevin o'leary will weigh in. so ally bank really has no hidden fees on savings accounts? that's right. it's just that i'm worried about you know "hidden things..." ok, why's that? no hidden fees, from the bank where no branches equals great rates.
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welcome back to "squawk alley." kevin o'leary joining us. good to have you with us this morning. >> great to be here. >> a lot to get to. starting with the twitter. shares rebounding a little after the company's latest bond offering was rates junk by s&p. still working to expand users base and revenue. s&p doesn't expect the company to post positive cash flows until at least 2016. no dividend. i can't even imagine how unattractive this would be today to you. >> correct. i wouldn't touch that. it's beyond junk. and the issue is if you are going to take a chance on this name, if if you are a twitter believer. and by the way i use the service and it works. i look at the business model and i don't know what the cash flows will be. and if you go into debt you are making assumption you get your
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principle and interest payments. if you take a risk on twitter i buy the equity. call ate the complete speculation but this junk debt. they don't want to dilute their existing shareholders base. and it's rocketive waste. >> by contrast we were talking about alibaba issuing bonds next week. a plus rating. roughly 8 billion dollars is what they are supposed to be selling. you normally say don't by ipo until four quarters of it's gone public but when you look at a stock like that up 68% really capitalizing on low rates. what do you think here? >> i like alibaba as a company. and i'm waiting for it to move out of the speculative market where it is an equity that doesn't return capital to shareholders and turn itself into an investment when i would buy it. tell me when they announce their policy.
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and show me the growth after a few quarters then give me a call. but until it returns to capital to shareholders, never. not a chance. >> how do you then get around kevin? i know you are culturally aware. you know about how many embedded tweets are viewed every quarter around the world. how much we use it in the media. where does that begin to account for something, if anything. >> means nothing to me. show me the cash flow. show me the free cash after cap ex i'm getting after the kau quarter. the rest is all crap. >> microsoft officially passing exxon, making the company second largest only to apple in the united states. microsoft now $402 billion. shares have been on a nice run. up 33% so far this year. kevin that is not quite apple territory but it is getting
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there. do you think this is more about microsoft or crude bringing the market can out of exxon? >> i tell you what i think happened to microsoft. for a decade it was where money went to die. because the company had no growth story and no vision associated with the transition to the cloud. and cloud-based serve d service. and the last year we have a new ceo and message. really good financial results and you have to remember that every single portfolio manager in the world is using a window's based platform for compliance. even my guys look at this. it is no longer a dead name. it has a good story and now we have a three percent waiting. we can go all the way to 5% if we wanted. this name has life again and the reason it is moving and p.e. is expanding is portfolio managers are buying it when they avoided it for decades. as the great story. >> and let's be transpoarent to
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kevin. you probably also like it because it throws off a lot of cash to you. >> um-hmm. exactly. now you are getting it. that is the whole idea. company growing cash flows and a with a growth story. everybody i work with in financial services using their platform. all of a sudden i feel good about it. i think it will go the to 5% weighting in our funds soon. >> do you know what people want us to ask you about is berkshire. what a crazy week. buffett into duracell. a beautiful tax structural. but the downside argument buying businesses 50 years old and not growing like they once did. do you like it? >> i do. i don't own berkshire buzz warren gets in the way of his dividend. he keeps my money every quarter. but he only buys the way i do. with companies that spend cash flow. and they will expand the product line. they have a global brand. but warren send me cash and i'd like to buy your stock. >> it does say he's basically
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trying to get out of position in png and -- would you buy proctor and gamble? >> my thinking is he thinks they will have more impact on the duracell deal that he can directly effect growth in market share and free cash flow. i have total respect for this man. he invests in the only way that makes sense. by looking how he can increase free cash flows. the difference in his model is he wants to redeploy all the model himself that comes out of his companies and nothing wrong with that. that's a still issue. i prefer to get capital returned on a quarterly bayless so i can make the decisions myself. that is the only difference. >> market obviously setting records all week. s&p 2040 today. given the fed, given g geopolitics, do you feel toppy at this level? >> i feel fully valued. and i think what's happening here is we've gone out of the
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period where companies can't buyback their stock. and now and the end of the year buy back programs in place are being implemented and this bullish situation in japan that they are going to be buying equities off the s&p and that helped. and fixed income is still a difficult place to go if you have to deploy capital. i was with managers last night in boston talking about where do you put an additional amount of capital between now and year end. they would prefer the buy the spy than leave it in cash than buy any fixed income product. i think the market is fully valued right here. it is going to end with a good hopefully another 1 or 2% by year end. >> by that phenomenon, we understand the chase momentum school of thought we hear a lot may be too much, kevin on one final note. i wonder if kblou think that idea has become too consensus. >> i don't think so.
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when you talk about north of a 20 pe and the market is roarings. that's what i call chasing momentum. when sitting on 16 pe and only weeks to go. we're not in a bad place. i love the energy story with oil on its way to 50 if that's true. the benefit to the consumer i believe is already manifesting in better retail. i'm bullish for the rest of this year and i love energy. keep it going south. keep that order in. down down down. that's good. >> well you talk in dynamics that we've covered all week long. fascinating stuff that's happening. kevin thank you so much. you are lighting up twitter as always. we'll see you next time. >> take care. >> kevin o'leary. spotify can't seed if it keeps screwing song writers. strong words from our next guest. but first rick santelli what are you watching. >> i'm watching the gold market
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immaterial's up close to $12 today. and there's been very little positive said about gold. something is going on. there's also something going on that's huge in the energy sector. many are complaining they are losing money. so what? we're going to talk about all that after the break. k state is keeping than eye on their portfolios these days. ameriprise asked people a simple question: in retirement, will you outlive your money?
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[annit's working forny. new york state. already 41 companies are investing almost $80 million dollars, and creating 1750 jobs. from long island to all across upstate new york, more businesses are coming to new york. they are paying no property taxes, no corporate taxes, and no sales taxes. and with over 300 locations, and 3.7 million square feet available, there's a place that is is right for your business. see if startup-ny can work for you. go to startup.ny.gov.
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coming up. all about energy. the keystone pipeline boat hits in our hour. and the how low will oil really go? and whether the holidays shopping are a boom or a bust. and he's 10 million dollars richer today. the world series of poker main event champ is live. about 20 minutes or. >> so spotify ceo daniel ek salespeopling oe ining speaking week. our next guest wrote an on ed in wir wired. -- good to see you. >> thanks for having me. >> so for our view who are doesn't p understand how this
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industry is structured. spotify saying it pays 70% of revenues to the music community. about 10% to artists and how much do the publishers get? >> what most people don't understand is there is a big difference between song writers and record labels and artists. i love spotify. i'm a subscriber myself. the song writers are getting screwed. there is a combination of a antiquated law from 1909 and a consent decree from the justice department from 1941 and the result is that song writers don't have any choice thasmt can't say know. they don't get to negotiate the value of your songs in a free market. and the result the value of song writing has been decimates with these services. pandora paid out last year about 54% of its revenue for all of its music. only 4% went to song writers and music publishers. in spotify's case they claim they pay out nearly 70% of their revenue but only about 10% of that goes to song writers and
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music publishes. and what's worse about that is that while taylor swift as an artist has a right to pull her music, taylor swift the song writer doesn't have a choice. song writers don't have a ability to pull because of that is antiquated laws from world war i and two. >> but taylor swift obviously did this week. you are saying there is an kriensing sense of entitlement on behalf of the digital music companies. why? and what examples can you give us how you have watched that happen? >> sure. and there really is. and i'm glad taylor did what she did. it's bringing attention to an issue that needs a lot more. the sense of entitlement is that remember, taylor swift still has her music on other streaming sites. just not on spotify. and the reason is because they refuse to let her choose to only have her music on the paid tier and not the free tier.
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take the issue of pandora. they were about 8% last year of the radio listening market but only 1% of the advertising pool for radio. they are not doing a good job monetizing their site. so if you don't have subscriber payments and you are just relying on the advertising revenue n the case of a pandora, you end one a crazy situation. this statistic belows me away. that last year, one of the founders of pandora cashed out more in stock for himself than pandora paid every american song writer combined. this was news this beak about the giant mansion he's building. i'm glad he's getting rich. i want pandora and spotify to get rich. i just want song writers who are successful to also benefit financially and right now that is not the case. >> let's be clear. some might take your comments like you somehow are demonizing the streaming service. but i can't imagine you want the song writers to go back to age of napster either. >> i love them and i want them
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to succeed but i also want song writers to be able to negotiate the value of their intellectual property, which they can't do right now. and i want them to have choices like taylor swift and being only an pay tier and a not a free tier. streaming is the future. it is the now. but you have to allow a song writer to make a living. take a great great song writer like desmond child and his song was streamed 6 million times and he earned a hundred dollars. you can't make a living even as a successful song writer under these types of economics. >> taylor swift on cover of two magazines this week. a conversation that has wide ranging consequences and we appreciate your perspective this morning. >> let's get to the cme group and the santelli exchange. >> good morning carl it. seems as though the swiss really like referendums. they have already had nine this
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year. they have three more slated for november. but i'm only interested in one. and that is the referendum on gold. we've talked about it before. mark the calendar, november 30th. now, i can't prove to you that gold is up today, close to 12 bucks in futures, because of many people in twitterville thinking that things are going to go well on the referendum. but yet that seems to be getting a bit of critical mass. what exactly is if referendum? well it's kind of two parts the way i see it. swiss national bank needs to hold 20% of their assets in gold. sounds fair enough. the second one i get a chuckling on. because the other part is they need to give all that you are gold from federal reserve bank of new york back. good luck with that. history says the germans aren't having a lot of discuss in thsu in that area. it's a big issue and do you think the swiss bank and
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government is are going to vote yet on the referendum in? no. it takes control away. and it's something near and dear toy ma to my heart. you can't print soybeans. the swiss people aren't e namered with the printing going on of money. and this is one way in a referendum form to speak their voice. second issue, america is great. the renaissance in energy. we don't know for sure why markets move so we can look at treasuries. we can look at energies. there at lof turnstiles. buyers and treasuries. sellers in energy. but one of the turnstiles we know is big in energy it is is that the global economic horsepower isn't what it should be. a lot of other issues. same is true for what is going on in energy. yes, weaker global demand is one issue. but the biggest turnstile that has the longest line is definitely the technology created in the united states of
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america. and even -- even if everything is fungible and the united states, which by the way topped 9 million barrels a day which is a record back to 1986, it is still better to keep the money here in america. right k state? >> right. >> do we like lower gas prices? >> yes. >> no doubt about it. back to you. >> thanks very much rick well all week we've been asking which company you would fund? pocket sized drone or the electric snowboard. this week's winner is up next. she's still the one for you. and cialis for daily use helps you be ready anytime the moment is right. cialis is also the only daily ed tablet approved to treat symptoms of bph, like needing to go frequently. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain, as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach,
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ask your doctor about cialis for daily use i'm just looking over the company bills.up? is that what we pay for internet? yup. dsl is about 90 bucks a month. that's funny, for that price with comcast business, i think you get like 50 megabits. wow that's fast. personally, i prefer a slow internet. there is something about the sweet meditative glow of a loading website. don't listen to the naysayer. switch to comcast business today and get 50 megabits per second for $89.95. comcast business. built for business.
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this week we asked you to vote for the crowd funding project you would fund on one we had anura, pocket sized drone. or leif, which claims to be the first electric snowboard. and look at the votes today. 87% to the leif snowboard which is this week's tech crowd winner. 87%. pretty astounding. joining us at post nine is if found ore it have winner leaf technologies. aaron is here. good to see you. >> thank you. >> we're calling this the fist electric snowboard.
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it looks like a skateboard. how does it work. >> we have two extra wheels in the center that are only any directional. and you power those forwards, backwards, side woois. and these go in any direction. you can see there is an electric motor on the front that will drive you forwards, backwards, whichever way you go. >> you were telling us during the break you created this because you just want to snowboard everywhere. but manufacturing this you are bettering there are a lot more people who think like you. how many do you think? >> as far as snowboarding goes it is a feeling and mechanic you just can't get anywhere else. and this was a childhood dream. i didn't grow up near the mountains. all i thought about was snowboarding to work and to school and now technology has made that possible.
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>> price points. >> we're launching right now starting at a thousand dollars which is -- if we can get it down. that will help us out quite a bit. >> high aspirations i guess. does musk know about this. >> i hope so. a lot of electric vehicles are really going to help with that. >> it has a battery and motor which helps it move the user along. up to 20 miles per hour, which is pretty incredible. that is fast. >> yeah actually we are governing it at 20. this goes 28 which is a little scary. but we want to make sure we have to power to climb a hill and snowboard uphill at 20 miles per hour. >> cops i assume are going to be taking a look make sure you are not doing 28 down the sidewalk. >> as of last saturday we'll be breaking the speed limit in new york. we have to make sure we govern that at 20. >> how will you regulate the way
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people eventually use it? how many users do you have and how wide spread is your user base so far. >> there is 30 million snowboarders. and 800,000 core snowboarders that ride nine times a year and are passionate about the sport. and i'm a middle aged guy riding and i can't wait so see with where they take it. >> do you ever get hurt. >> some scrapes and bruises but the nice thing you can bail out. you are not completely locked to the board so it adds a level of safety. >> how many of these can you make with what you have raised so far? >> our price point we're looking to get to about 45 boards to hit our goal and just to get it out in users hands and let the world see how awesome it is. >> look autoout on the sidewalks for aaron this week in new york
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city. with leif technologies. >> when we come back you can get a free kindle. but is there a catch? a look at amazon's big move before black friday. don't go away. twhat do i do?. you need to catch the 4:10 huh? the equipment tracking system will get you to the loading dock. ♪ there should be a truck leaving now. i got it. now jump off the bridge. what? in 3...2...1... are you kidding me? go. right on time. right now, over 20,000 trains are running reliably. we call that predictable. thrillingly predictable.
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two weeks until black friday. amazon bringing back a special offer for prime program members. 30 day free trial for tablets and ereaders. if they don't return before the 30 day window expires members will charged. the stock up almost 4% today. this is going to take you back above the 200 day moving average for the first since early september. recapturing a that lot of ground lost. >> and what is the best? people will forgot return them if they don't want them? >> it could be. you just want to get it in people's hands. i guess that is the name of the game. >> once they get it, they will like it and use it more and get hooked. >> yeah. >> possibly. >> we'll see. that is one of the things helping the nasdaq at least keep
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pace above the s&p and dow. and then of course, i mean i almost feel bad bringing up apple again because it is so repetitive. the action continues to impress i think even a lot of skeptics. and listening to the kara swisher at the top of the hour saying her and mossberger outside the stories and the lines. >> and then hearing the momentum won't die down until valentines day? that is a long run. and apple's market cap, 662 billion dollars, is 170 billion dollars more than all the euro zone banks combined. >> crazy. >> incredible statistic. >> the other to watch. mcdonald is up a percentage point in the session on ward that janus is taking a stake as the 13-fs are the focus of a lot of attention today. they have been challenged on same store sales and janus has a history of shakings things up. >> with these big companies
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being targeted by activists it often times takes a longer period to see the results but results nonetheless. what happened with microsoft. >> these analysts have a lot of money to put to work. >> we could keep going. >> good week everybody. let's get to wapner and the half. okay carl. thanks much. welcome to the halftime show. let's meet the starting lineup for today. josh brown, mike murphy, jon and pete najarian, and steve grasso from stewart frankel is on the floor of the new york stock exchange for us. we begin with the stunning and continued drop in the price of crude oil and ripple effects from wall street to washington. where this hour, the house will vote on the controversial

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