amazon chose to walk away. amazon chose to walk away rather than fight for what it believes in because what they believe in is fighting the rights of working people, the rights of men and women to organize. in those centers, the distribution center workers, men and women making $18 an hour, $20 an hour, amazon declared that they would fight their rights to organize, that they would crush their rights to organize and form a labor union. that was wrong. forproud that we thought our values, new york values, the rights of immigrants, the rights of workers. that is what was important here. fromt to recognize deborah make the road new york, to say a few words. incredibly -- we win! .> when we fight >> we win! we are incredibly grateful to stand here with the most extraordinary allies and elected officials to say that we are reclaiming our economy and our democracy. these are our neighborhoods. we have stood against ttempts toes' a extract our tax dollars and shove us out of our communities. we are grateful to stand h

amazon's value hit $1 trillion. but few realize how close the almighty amazon once game to going under. >> so they are predicting that we're going to run out of cash by december which is just complete absolute pure unadulterated hogwash. >> the 2000 dotcom crash sent shares of amazon into a nose dive. luckily it had gotten an infusion of cash only weeks before the crash. >> amazon borrowed a lot of money in 1999 and even as late as 2000. we needed that money obviously. >> bezos went on a crusade to make amazon leaner. 1300 workers were laid off. most important bezos convinced wall street to be patient, selling investors on the long-term vision of amazon over short-term profits. >> despite all of your success, profit remains a dim light at the end of the tunnel. >> well first of all you're right. of course we are a famously unprofitable company. but that is a deliberate strategy. we are investing. >> bezos took his profits and used them to fill the site with ab ever expanding list of new products. toy, electronics, h

at the end of the day, amazon chose to leave. no one killed amazon. amazon walked off the field. they refused to change their ways and they simply did not want to risk having to allow their employees to organize. which is outrageous. emily: amazon has turned some of its supporters into enemies. mayor bill de blasio said they gave amazon a chance to be a good neighbor. instead, they threw away that opportunity. if amazon cannot recognize what that is worth, it's competitors will. >> i think mayor de blasio is doing some damage control. he was a proponent of the deal that blew up in his face. this is a catastrophic outcome for everyone involved. amazon was looking for a partner, which it fell it did not have any more in seattle. it conducted this very public search. it made mistakes in new york city. it should have trotted out jeff bezos more to help the steel. -- to support this deal. putting him in a room with politicians and councilman could've helped. i would like to ask the councilman, you're never going to change amazon's stripes. it has historically been antiunion when it co

the president has been tweeting at amazon's ceo for a long time, calling "the washington post" the amazon washington post. he is striking back. this will be potentially open war. emily: there is a complicated web of relationships at play here between ami and the president and who knows? maybe even the saudi government. what exactly is next when it comes to whether or not criminal activity was committed here? greg: first of all, you got "the national enquirer" as part of payments to stormy daniels that were basically hidden campaign contributions. because of that legal settlement and the nonprosecution agreement that "the national enquirer" parent company entered into, the magazine has been in the penalty box. they have basically the equivalent of a three-year stint in the penalty box. don't do anything wrong. if there is a determination here, and this is the last thing i'm sure they want is to have several prosecutors looking at this. if there is any determination they have gone at the well again and have done something that basically amounts to a campaign hit piece or something that shou

anger over amazon. protesters in manhattan set to go under way businesses and real estate stunned by amazon's decision was it time to crackdown on corporate welfare. all-star interview, adam silver will join us live. we have a slam dunk edition of "power lunch". it starts right now. >> welcome to "power lunch". i'm tyler mathison a strong rally on wall street. the dow up more than 300 points. nasdaq breaking above key technical levels on track for its longest winning streak since last agriculture transports aiming to close above their 200 day moving average for the first time since december 3rd and on track for their seventh positive week out of the past eight let's get to dominic chu, tracking the action from the new york stock exchange. >> like you said a 340-point rally so far on the dow. what you got is optimism over trade than idea that perhaps some of the concern about global economic growth is at least waning for a tiny bit. let's take you through some of the big movers in terms of points on the

at the end of the day, amazon chose to leave. no one killed amazon. amazon walked off the field. they refuse to change their ways and they simply did not want to risk having to allow their employees to organize. which is outrageous. amazon has turned some of its supporters into enemies. governor bill de blasio said they gave amazon a chance to be a good neighbor. instead, they threw away that opportunity. if amazon cannot recognize what that is worth, it's competitors well. >> i think mayor de blasio is doing some damage control. he was a proponent of the deal his face.up in this is a catastrophic outcome for everyone involved. amazon was looking for a partner, which it fell it did not have any more in seattle. it conducted this very public search. it made mistakes in new york city. it should have trotted out jeff bezos more to help the steel. putting him in a room with politicians and councilman could've helped. i would like to ask the councilman, you're never going to change amazon's stripes. it has historically been antiunion when it comes to its fulfillment centers. these are

the fallout from amazon scrapping its hq to plans. how this could change how all companies do business with government. u.s.-china trade talks will continue in washington. two days of high-level talks in beijing have wrapped. the chinese president says negotiations have achieved important progress. president trump was positive about some kind of a deal friday. >> tariffs are hurting china very badly. they do not want them. if we can make the deal, it would be my honor to remove them. we are having billions of dollars pouring into our treasury. we have never had that before with china. emily: the u.s. is scheduled to raise import taxes on billions of chinese goods if the world's two biggest economies cannot resolve their differences. sarah mcgregor joins us now from washington. what we know about what kind of progress is made? >> that is a great question. we keep hearing from the trump administration. after every round of talks we have heard this line. but we have not presented with much evidence yet about what that progress is. we hea

amazon's $72 billion christmas. record sales for the online giant— but fears of a slowdown in growth rattle investors. plus, ‘tremendous progress'. president trump hails success in us china talks — but no sign as yet of a deal to end their damaging trade war. and on the markets: a mixed day on wall street, but the recovery from the pre—christmas sell off continues. us shares have now had their best start to the year since the 1980s. we start with online retail giant amazon — it has broken its own sales records yet again — after the strongest holiday season in its history. but it's predicting a slowdown in growth and that has rattled investors, who sold off the shares in after hours trading. let's show you some of the numbers — because they are staggering. amazon made revenues of over $72 billion in the three months to the end of december. that was up almost 20% on the same period last year. $3 billion of that was profit — also a record. amazon now has 100 million us subscribers to its prime service,

at the end of the day, amazon chose to leave. no one killed amazon. amazon walked off the field. they refuse to change their ways and they simply did not want to risk having to allow their employees to organize. which is outrageous. emily: amazon has turned some of its supporters into enemies. mayor bill de blasio said they gave amazon a chance to be a good neighbor. instead of working with the community, amazon threw away that opportunity. if amazon cannot recognize what that is worth, it's competitors will. >> i think mayor de blasio is doing some damage control. he was a proponent of the deal that blew up in his face. this is a catastrophic outcome for everyone involved. amazon was looking for a partner, which it fell it did not have any more in seattle. it conducted this very public search. it made mistakes in new york city. it should have trotted out jeff bezos more to help the steel. putting him in a room with politicians and councilman could've helped. i think that on the other side, and i would like to ask the councilman, you're never going to change amazon's stripes. it

♪ >>> we have netflix, amazon. some have said their best position to respond, we'll see what happens >> they've been trading along with the other names the cloud. >>. >> we'll see what happens in the latter half of the suggestion. let's get to sully and the half. >>> thank you very much. have a great weekend i'm brian sullivan in for scott wapner after a big january, can stocks keep rolling right into february >> the bulls breakthrough the ice. wall street is on again. >>> energy and industrials leading the way so far in 2019 both sectors have big news today. earnings good enough today to lift chevron and exxon mobile. on the industrials side, respected analyst stephen

amazon's anti-union position. some of those things are becoming a political issue for the local leaders. i don't know how they ended up hijacking the process. mayor de blasio and governor cuomo were for this deal. all of sudden they're in the back seat. not amazon's process. melissa: thank you so much. loony left at this local leaders. connell: alliteration at its best. watching clyde frazier announce basketball games. well he rhymes it. >>> in terms of amazon following lead of another failed commitment, ge bailing out with new plans. it would build a new headquarters, this one in boston. how about tax breaks, tax subsidies, is this enough? is it the right thing to go to keep corporations from pulling the plug. we'll talk about that. tapping into the executive powers, president trump declaring a national emergency securing or trying to secure funding for the wall. the latest reaction to that coming up from capitol hill. ♪ sunlight... longer hours... eyes today are stressed. but ocuvite has vital nutrients... ...

they want amazon. they wanted amazon to move in. that is what all the local community, where it was going to be built, long island city, to the larger city community, to the state itself, all of the polls showed the people wanted it, despite what the protesters were saying. i'm wondering won't this come at election time, to bite these politicians who went along with those who shouted the loudest? >> you know what, david? i hate to say it, but there, i don't think it will come back to haunt them. i think it will be a wonderful example of this ideology, that other politicians, republicans can use, as they campaign, come election cycle, but those folks, there i don't think it will matter to them. i think the voting base in that particular district are probably going to still stay with the reps, probably not going to reflect on them at all. it is sad for the rest of the state, sad for the majority of the people what they feel, unfortunately what matters with local politicians, who are holding and, pulling a lot of these strings, it will

i have to think amazon decision after amazon so you with the foxconn jobs in wisconsin without subsidies were not panning out. that in my opinion changed public opinion on this as well. melissa: lindsay, the flipside, amazon would not pay enough tax, they had gotten a sweetheart deal. is the answer keep amazon away or cut the tax burden to others that are carrying the load? >> the congressman said the best point of all, 27 million of revenue in new york over 25 years. the return on that 3 billion-dollar investment. so that is a pretty good investment. what they're doing chasing amazon out is absolutely the wrong idea. aoc might have won the twitter war against big bad corporate greed in america but they have lost the reality of new jobs, good jobs, high-paying jobs and more tax revenue coming into this city. melissa: if nothing else they would get revenue on income to those people. regardless, stick around. thanks to both of you. connell? connell: all right. melissa i want to bring in our buddy jonas max ferris, max funds.com contributor. he is here with me. beautiful long island city wa

firstly, this will seem obvious, amazon is firstly, this will seem obvious, amazon is enormous. firstly, this will seem obvious, amazon is enormous. so, these big percentage increases in growth are becoming more and more difficult, the more valuable the company gets. second, the company is more concerned with making more profit thanit concerned with making more profit than it used to, so it is making fewer acquisitions and embarking on fewer acquisitions and embarking on fewer new ventures, which is a big source of growth. thirdly, some of the acquisitions it has made, such as whole foods, have been in areas that, by their nature, have slower growth generally. that could be dragging down the rest of amazon as well. joining us now is natalie berg from nbk retail. thanks forjoining us. now, amazon just reported in lots of ways its best quarter ever. in lots of other ways, it is its worst quarter ever as well. the fact both of those state m e nts as well. the fact both of those statements can be true at the same time sort of speaks to the dichotomy at the heart of the company? abso

amazon presence they would like. >> reporter: he says amazon told him they didn't pick prince george's county because of a lack of software engineers in >>e county but there's a gap to fill. hether it's amazon web services or some other type of -- >> reporter: council members say they're ready to discussin ntive packages and housing for workers. >> we put together a competitive incentive for amazon. we are open for business, we e a probusiness county. >> we believe we can a worb thos will not be able to be absorbed in that area, maybe up individuals. not to mention those who they're coming here with and the ancillary businesses. we're 6 miles away, we can do . >> reporter: spokes people with the county tell me there are conversations with amazon about a future here in prince george's county, those conversationsre just beginning. i'm tracee wilkins, news4. >>> wh amazon officially pulling out of its new york plan, there is no clear direction on what could come next. >> we're joined now. we saw prince george's county. is there going to be a nice d disbersment now out of new york? do they

crawford: amazon is absolutely a threat. amazon has got a lot of properties. they're going to be bringing on a tremendous amount of inventory going forward. and if nothing else, the classic law of economics, what does that mean? it means there's going to be more supply for a finite amount of demand. so, what google is going to try to do is they are going to try to create more valuable services where they can potentially offset some of those trends. but, you know, amazon getting into this market, like amazon getting into most people's market, is a threat to google in this space. emily: now, i got a question earlier. why don't investors punish amazon for the pressure on its margins, but punish google in this way? and there's still a lot of data that google doesn't give us about how fast youtube is growing, how fast is the cloud growing, company diversifying beyond advertising. paul, did we get any hints about how healthy is the cloud business, how healthy is youtube, even though it has a lot of potential? paul: no, you are right, google needs to do a better job

stood up to amazon. there was a real turning point in recent weeks with the thereto a board that could have veto power over this plan. when that happened, you really saw the writing on the wall that this thing was in jeopardy. even if they could go ahead, there is no telling how many ways that local officials would try to erode the value of this deal to amazon. how can we delay it? how can we put up roadblocks? when we try to negotiate the tax perks they're getting in exchange for bringing these 25,000 jobs to the area. at some point, bezos and his people just threw up their hand and said, this isn't worth it. we have got the second headquarters in suburban virginia. we want to build -- expand operations and nashville. we will double down on those. we are not going to reopen the second headquarters bidding. we don't want to hear from the other states eager for this it take place. remember in that statement, they do have 5000 people in new york city in different parts of the city and they plan to continue

the president has been tweeting at amazon's ceo for a long time, calling "the washington post" the amazon washington post. he is striking back. this will be potentially open war. emily: there is a complicated web of relationships at play here between ami and the president and who knows? maybe even the saudi government. what exactly is next when it comes to whether or not criminal activity was committed here? greg: first of all, you got "the national enquirer" as part of the settlement involving michael cohen last summer and the payments to stormy daniels that were basically hidden campaign contributions. because of that legal settlement and the nonprosecution agreement that "the national enquirer" parent company entered into, the magazine has been in the penalty box. they have basically the equivalent of a three-year stint in the penalty box. don't do anything wrong. if there is a determination here, and this is the last thing i'm sure they want is to have several prosecutors looking at this. if there is any determination they have gone at the well again and have done something that basic

same thing with amazon. hopefully the ads and services are better because of the day that you voluntarily supplied. at some point for some people, they will cross the line. i'm sure we will be dealing with this issue for the next five years. whether they get into the facebook-like crosshairs -- facebook shuot itself in the foot. emily: a few more than a couple. mark: amazon has been pretty good at handling these kinds of issues in the past, but the more they have access to this data, there is greater risk here. brad, thank you both. can't wait for this saga to unfold. reddit users have taken to the platform to protest tencent's new investment. giant'smedia involvement could impact free speech. this is bloomberg. ♪ reddit raised $300 million in new funding, including in investment from chinese internet giant tencent. it is valued at $3 billion but sparked a backlash from users, potential censorship. selina wang is joining us. an unlikely source of funding for a website that prides itself on free speech. wha

and amazon isn't coming to long island city because of amazon's choice they wanted to bring a lot of jobs and money to the area and new york said, no! we don't want that we can't the area is too good already you're going to crush us. >> there s there now a thought it's closed for business but the broader new york city real estate market could suffer especially with the deduction issue coming on. >> the entire tri-state area relies on this growth. >> do you feel this could add more pressure to a broader new york city market definitely manhattan that's already under pressure >> i don't think so. i think it would maybe make the area cheaper for other companies to come in they could say, we're going to pull out too and you'll have landlords say no, it's fine. >> i can't imagine you'll see any kind of subsidy offer for any company in the next couple years as a result of this. no >> the incentive program offers a couple of thousands of dollars per head that incentive program was a billion of the $3 billion figure we're talking about. amazon would have been the biggest to tap it so far >> y

i support amazon itself. i support amazon and the economic development of coming to the state. but what it highlights is the fact that the policy, that this one-off deal represents, that has to change. if you look deeper into the conversation, most new yorkers would say yeah, let's relieve burdens on existing new yorkers first and foremost, then bring the amazons in, bring the apples in, but also thrive with the new businesses that are right there on new york soil. david: congressman, it's a tough crowd that you were up against today. we thank you very much for facing us. we appreciate you being here. >> thanks a lot. david: please come back again. thank you. the clock is ticking as congress rushes to pass a border compromise deal before government funding runs dry. we are hearing the president will declare a national emergency. the latest details on all of this in a live report from capitol hill, next. ♪ every year, our analysts visit thousands of companies, in a multitude of countries, where we get to know the people that drive a company's growth and gain new perspectives.

amazon's -- amazon scratched her plan to build the headquarters in new york. we will speak on that next. we have insight on pensacola's -- latestults, results from the company's cfo. this is bloomberg. live from new york. this is bloomberg markets. we are checking the markets which are in rally mode. >> we have a brisk on day for the financial market. 1%.dow is up more than the s&p 500 is up almost 8%. it -- almost 1%. a decent divergent between the nasdaq and at the dow. the risk is confirmed by payment bonds pulling back a little bit. we will see a bullish composition for the s&p 500. sectors were higher. now it is 10 sectors are higher. have these -- heavy thing sectors are down. has increasedaway their stake into jp morgan significantly. movers for the s&p 500, jp morgan is the top for the s&p 500. berkshire hathaway is increasing their position. texaco is up 2.5% on an $8 billion return. a risk to networks is up 10%. the cloud company is doing ok. they beat the numbers that were lowered. the last three stocks are nasdaq stocks. we are on a weekly winning

new york versus amazon, amazon pulling out. properties, a -- this hased significant ripple implications that are real. rachel: i was looking at this through the lens of realty yesterday. we did see a dip in the real estate etf's on this news. been doing well -- there was an impact on sentiment here. given what this means for real estate more generally, that is an interesting place to watch the impact. david: could this be brexit? is this over yet? could we have more negotiations coming? michael: i can't see how they do that without a significant cooling off period. the politician supporting this work declaring victory -- wereicians supporting this declaring victory pretty openly. citiesve a lot of other that would want them. we heard from the governor of new jersey saying come to newark. there's a long way to go here. alix: we will speak with the governor later on. later on in this hour, we speak to bill rudin, rudin management about what this means for new york real estate. coming up, china data disappoints. could we see a ret

at the end of the day, amazon chose to leave. no one killed amazon. amazon walked off the field because they refuse to change their ways and simply did not think, to risk having to allow their employees to organize, which is outrageous. emily: brad, amazon turned some of its supporters into enemies as well. this coming from the mayor who said -- we give amazon an opportunity to be a good , it is that of working with the community, amazon through a way that opportunity. if amazon cannot recognize what that is worth, it's competitors well. de blasia wasor d doing some damage control. amazon was looking for a partner , which it felt it didn't quite have anymore in seattle ended it conduct this very public search. it did make mistakes in new york city. it should have trotted out jeff bezos more to help support the deal. i think putting him in a room officialsiticians and like a kasselman would've helped. but, you are never going to change amazon's strips. jobs, andwhite-collar it is going to sell technology facialfed like recognition and departments like

can amazon win there? that goeshe spending on in amazon is a lot less than the competitors. deren: we have seen numerous examples. walmart.com orn the average price -- where the average price of a purchase went from $35 to $58. almost all of it is that the higher spend level, where competitors are making cash. so amazon has to move in that direction. they have dominated the cheap goods market already. caroline: i want to go to the other part of the business that drives growth. we are talking e-commerce and also a ws, amazon web services. 46% growth is phenomenal, that they can sustain this sort of growth. are we expecting to see that continue and how are they changing of the model? how are they seeing the competition when we have microsoft making inroads and there were worries that cloud spending was dialing back a little bit? tom: i definitely think the story for amazon as it pertains to cloud computing with aws is the pace of growth should decelerate. the question is how quickly as it becomes a bigger effort for the company as far as total revenue generated. the good news

amazon, news out amazon is paying zero in federal income taxes for the second year in a row. for more on all of this, bring in a panel, democratic strategists john summers. beverly hall berg, independent women's forum, district fellow, and also david bahnsen is back with us as well. beverly, let me start with you, the big mainstream news out of everything i talked about, allison paying any federal income taxes for two years in a row. how do they do it? >> they figure out how to use the loopholes. unfortunately what this is used to be an attack on lowering corporate tax rate which is good thing for small businesses and middle businesses out there, but what amazon is able to do, use some of those loopholes, people call it cronyism, to figure out how to legally avoid paying taxes. what we need to do is keep corporate tax rates low, make sure there are not some loopholes they can get away with. charles: john what is the democratic narrative for all of this? when the democrats hear that amazon pay no federal income tax, do you get real excited, start popping the champagne? >> no,

that amazon may be having second thoughts about their new hq2 in queens, new york. deirdre bolton is there in long island city with a new york state assemblyman, i think it's ron kim. go through this, the latest on kind of a rejection of amazon. reporter: that is exactly right. there have been protests here in the streets very much against amazon building half of its hq2 here in long island city in queens. so as far as the critics and what they are saying, they are saying amazon's such a big and profitable company that do they really need $8.2 billion worth of support from the city and the state? if you speak to the people who support amazon coming here, they say listen, it's 25,000 jobs for new york and that is certainly worth supporting, so governor cuomo is in that camp, as is the mayor bill de blasio but here's governor cuomo from an event on friday. >> for the state senate to

at the end of the day, amazon chose to leave. no one killed amazon. amazon walked off the field because they refuse to change their ways and simply did not want, i think, to risk having to allow their employees to organize, which is outrageous. emily: brad, amazon turned some of its supporters into enemies as well. this coming from mayor bill de blasio who said -- we gave amazon an opportunity to be a good neighbor, that of working with the community, amazon thew away that opportunity. if amazon cannot recognize what that is worth, it's competitors will. >> he is doing some damage control here. intoeal has now blown up his face. this was a catastrophic outcome for everyone involved. amazon was looking for a partner, which it felt it didn't quite have anymore in seattle . it conducted a very public search. it did make mistakes in new york city. it should have trotted out jeff bezos more to help support the deal. i think putting him in a room with politicians and officials like the councilman might've helped. but, you are never going to change amazon's

bookstore, amazon four star, amazon go, and that fell 3% year-over-year. does that bother you at all? i know it's a small business relatively, but, gosh, think about all the pressure that that put on so many different sectors when we found out that am zwlon was buying whole foods >> right and i think if you look at coverage of retail industries, here you have amazon who theoretically was going to have better margins because they didn't have a physical presence, and they're moving more towards a traditional brick and mortar and that's a more challenging business and it's more challenging to generate the kind of margins that people want. groceries are tiplically a 2% plarjin kind of business put that against amazon web he services, and it becomes more of a drag than an asset, and i think people were hoping that whole foods radio would drive revenue to the rest of the businesses so the street is disaincident positived that it did not do that. >> tim, if we can just finalize things here really quickly i know we can talk about amazon for an entire hour, but get

that's what we were attempting to do with amazon and amazon did pull out, you know, a little too quickly in my estimation we should have sat at the table and negotiated and make sure that we just as we're trying to do on the hill right now and talk about not closing the government again so generally with compromise that means that everybody -- little upset you don't get -- no side gets all of what he or she wants and what compromise is all about and that's what should and i was hoping to take place here, there would be some compromise. >> i mean, beyond the speed, congressman, do you share the view that amazon went about this wrong and discalculated? first of all, the incoming wave of democratic lawmakers in new york and some of the populist left sentiment going on there and host willed widely publicized beauty pageant competition for states to get the new headquarters they could have just done what google is doing and spending billions of dollars on the lower part of manhattan under 23rd street and quietly hiring an army of people. >> well, yes but still, if you look at the latest poll

amazon executives. brad: what did amazon say when they were asked? >> basically, they were still investigating what the impact would be and were working with the indian government to try to get an extension until they can figure out the impact and some of the rules -- impact of some of the rules. it's hard to know what the impact will be on amazon's revenue. brad: mats, you mentioned the small sellers and medium sellers who are exerting political muscle. there is also a very big company, reliance industries, and they are a telecom giant, a retail giant, and they are getting into the game. any sense of this tilting the playing field to the local giants in india? matt: certainly. analysts can say there is a bit of a protectionist angle to it. i think that the correct road is to protect the industry. brad: it hasn't been great for amazon investors. the stock was down 5% last i saw. based on yesterday's earnings report. the company beat sales expectations. they are probably the first company, at least in we

the fallout from amazon scrapping its hq to plans. how this could change how all companies do business with government. tech -- talksde will continue in washington. two days of high-level talks in beijing have wrapped. the chinese president says negotiations have achieved progress. president trump was positive about some kind of a deal friday. >> tariffs are hurting china very badly. they do not want them. if we can make the deal, it would be my honor to remove them. we are having billions of dollars pouring into our treasury. we have never had that before with china. the u.s. is scheduled to raise import taxes on billions of chinese goods if the world's two biggest economies cannot resolve their differences. sarah mcgregor joins us now from washington. what we know about what kind of progress is made? >> that is a great question. we keep hearing from the trump administration. of talks weround have heard this line. but we have not presented with much evidence yet about what that progress is. we hear that china has agreed to live more

crawford: amazon is absolutely a threat. amazon has got a lot of properties. they're going to be bringing on a tremendous amount of inventory going forward. if nothing else, the classic law of economics, what does that mean? it means there's going to be more supply for a finite amount of demand. to try toe is going do is they are going to try to create more valuable services where they can potentially offset some of those trends. market,etting into this like amazon getting into most people's market, is a threat to google in this space. emily: i have a question earlier . why don't investors punish amazon for the pressure on its margins, but punish google in this way? there's still a lot of data that google doesn't give us about how fast youtube is growing, how fast is the company diversifying beyond advertising. paul, did we get any hints about how healthy is the cloud business, youtube, even though it has a lot of potential? paul: google needs to do a better job of exposure. particularly about youtube. it is about $8 billion or $9 billion of run rate, relative

if we removed the incentive, is still good for amazon to come. >> i think this is an extortion by amazon, i would ask, jeff bezos didn't let david pecker extorts him, why are wil letting amazon extort us. every dime we sent that is -- that gets recirculated. >> this is gary, extortion is a felony and a crime, you say that amazon is committing, but all they are doing is based on performance based, 25 to 50,000 employees up to 8 million square feet, that is a lot of construction, a lot of construction jobs, and a major increase in customer base in the area there. what about the long-term of this? what if this does turn out to be correct the numbers. david asked at beginning that would be a huge missed opportunity if the number are correct? >> if you look at what we did in upstate new york, in wisconsin. you know with foxconn, the numbers and promises met up front it is not there in the back-end. for us to keep going down it road, give away billions of dollars hoping they create on the jobs, preying on the emotion of the public promising the jobs, when there are a number of studies show the

amazon has some exposure to china. i think any relief there, maybe an opportunity to own amazon i know there are a host of other headlines to think about in terms of that one, but basically i think facebook, google, amazon faang names, listening to mike, they're reasonably valued. they're market leaders they have revenue less cyclical. some macro fears have probably proven to be a little overblown. they have competitive notes and reasonably valued. they're more than the late stage union cor unicorns mentioned earlier strength and fundamental bodes well for them, it is a dotted line, not direct regardless of china talks, there are headline overhangs, macro fears or china pressuring faang and tech market broadly and i think that created perhaps opportunity here >> the economist says looks like the bubble may be deflating when it comes to tech growth. is he wrong? is there not a bubble when it comes to tech? >> i don't think there's a bubble forthe large publicly traded tech companies. the reason i say that, they're prett

amazon announced it would not build its hq-2. amazon new headquarters would cause soaring houses. the product was championed by andrew cuomo and mayor bill deblasio. you have to be tough to make it in new york city. we give amazon to do business in the greatest city of the world. instead of working with the community, amazon threw away that opportunity. joining us now, our new york state senator, working in the state legislaturelegislatures. he lives near by the long island city site where amazon planned to built. you have been opposed to this hq-2 project. you were going to be in the position to sink this project. would you have done so and are you pleased with the decision? >> we never knew what was going to come before this board that i was appointed to or not. the fact that amazon showed us today why it would be a bad partner for new york. can we make sure that we are accommodating this massive presence that would land in the middle of our neighborhood rather than engaging in our serious conversation. i think mayor de blasio is exactly right. >> other fellow democrats, carolyn

elizabeth luskin, amazon hq2 advisory committee member. jonas max ferris joins us from max funds.com. let us begin with the special coverage of the amazon decision, with congressman meeks joining us from capitol hill. congressman, good to have you. you were in favor of bringing amazon to new york. what is your reaction today? >> i am somewhat shocked and saddened. i think it is a blow for new york and a blow for amazon also. i had looked forward to amazon coming, creating 25,000 plus jobs and making the kind of diversifying our economy of new york, so that we not just be dependent upon the financial services industry, but the technical industry also, the tech industry. where jobs are being created for the future. so i think it, you know,

amazon had announced the project in november after new york governor andrew cuomo and new york mayor bill deblasio offered nearly $3 billion in tax subsidies to build the project which could have created 25,000 jobs as part of the deal, new york even offered to build a helipad for amazon ceo jeff bezos, who is the richest man in the world. one of the leading opponents was democratic congresswoman alexandria ocasio-cortez who represents queens, new york, where amazon was planning to build.

they have been amazoned. we spent the last couple of years talking about the next death nell amazon will drop at somebody. >> i liked that noise we played at the top, the horse race i think that's an interesting way of looking at things in terms of the competition, it's not amazon versus walmart, it could be amazon plus walmart against the rest of retail because in fact that's what we have seen. we have seen other retailers have that spend, spend, spend. they're sacrificing margin in order to capture that e-commerce dollar and it comes at a cost. >> so i think you have to be -- you have to have scale to be able to afford to compete. >> these two have scale. >> i'm long target i'm not long walmart actually. to me they have scale. and i think it's working i think there was just a way overreaction to their last earnings release it trades significantly cheaper than walmart i think they have momentum and similar grocery. that's important you've got to have scale to do that as well but i think that it won't be only

i mean, billions of dollars in incentives were promised to amazon, but amazon also was expected to increase economic growth and give back by de blasio said, nine fold so that could change plans for a lot of people. a lot of people could lose money from this if amazon does back out but i think we're far from that point still we have to see what the response is. >> deirdre, thank you. deirdre bosa not the only reason that amazon is in the news today jeff bezos taking his fight "national enquirer" public saying he's being blackmailed for intimate photos. is this a big distraction or sign of bad judgment back to that and then first, mattel soaring thanks to barbie and hot wheels but which is the better buy right now stay with us when you look at the critical issues facing our world, what do you see? we see breakthrough medicines getting to patients in record time. we see harnessing natural gas unleashing the promise of clean energy. we see engineers simulating the future to improve today. at emerson, when issues become inspiration, focusing core strengths to create a better world isn't just a r

i think if you think about amazon's selecting d.c. or northern virginia, they're very shrewd politically and as far as any noise there i think a loud minority that may not want them in their backyard in new york so i think this is more of wrangling by amazon and ultimately they intend to move forward with both new york and northern virginia. >> all right, guys thanks a. lot to talk about with amazon today tom and anthony. >>> we've got 34 minutes here to go before the closing bell dow off 150 points s&p 500 off .2%. russell just popped positive small caps doing better again today and the nasdaq near the flat line. >>> still ahead, the former ceo of another broadband weighs in on reports the trump administration will ban chinese telecom equipment from networks. >>> offering free college tuition. there's a catch. an usunual way to pay for higher education coming up. val, vern... i'm off to college and i'm not gonna be around... i'm worried about my parents' retirement. oh, don't worry. voya helps them to and through retirement... ...dea

, his campaign is purchasing from amazon. rhetoric versus reality. >> here is what i want to know, bottom line. are you concerned that this essentially now for new york city and the state of new york makes it that much more of a head wind for other businesses to want to come in and do business there >> i don't think so. there's intrinsic value in the city of new york 70,000 jobs in december of 2018 alone. we are competitive when it comes to tax jobs. there's a decentralized economy of companies that are coming in here, doing a number of positive things those are the type of startups and companies we of start-ups that we supported but making it difficult for them to add to the market but we're giving out the kingdom to big corporations like amazon >> we talk about listening, the overwhelming majority of new yorkers wanted the amazon deal ron is focused on rhetoric than reality. as someone that helped start businesses and access the capital and contractor, i do not believe it will make it difficult for more to come in but we ha

you're with us thanks for joining in this is fun we're going to a great show for you coming up today amazon has announced that it will cancel its plans for the age huge issue in new york city after a period of facing sweeping opposition breaks down the days those big bail in a few moments plus if you think steel is important to consumers still support consumers economists we're here want to hear this what we here for you want to iron ore prices really amazing they teach us also around the world and we'll tell you why those numbers matter a lot of more with the bubble trading will join us for a deeper dig and finally discuss the many uses from drones but today one zoom in on the media and other businesses which are using drones to give us the story from the skies on cook break it all down for all that directly ahead but first let's get some headlines let's go. to the future of the internet in india leads our globe report today is the government of prime minister narendra modi proposes what many are calling a chinese model of censorship the rules go into effect today after the official commen

amazon backing out of its plan to build a second headquarters in new york city following the amazon h q2 story since the start, deidra. >> this is nothing short of a stunning reversalle facing mounting opposition to the project but pulling out altogether is a major defeat for the company and the lawmakers that fought hard for it like government cuomo and mayor bill de blasio. amazon says it is disappointed but that, quote, a number of state and local politicians have made it clear they oppose our prose sense and will not work with us. de blasio saying, quote, you have to be tough to make it in new york city. and instead of working with the community, amazon threw away that opportunity now, de blasio and quocuomo set their differences to come together, woo amazon to come to new york, offering $3 billion in incentives a number like other politicians criticized saying it would far outstrip any economic benefits and the 25,000 jobs amazon planned as part of this project. aoc tweeting and calli amazon's retreat a victory. she tweeted anything is possible, today was the day a group of dedic

and today in queens there will be a pro amazon rally. whole nation watching our city go through this. >> it is -- my wife is in real estate, lisa, and everything has been done -- anything near this area has gone up dramatically in price. you can understand there is some tension. at the same time, those of us who favor growth are puzzled at -- >> most people puzzled, i think. i think majority of new yorkers are supportive i can say that i can't prove it i can assume it is the case. the mayor of new york, of course, is very much supportive. you heard the governor there amazon chose to go about doing this in a way that is different from some companies. google has added thousands and thousands of jobs in new york quietly. but amazon did a national competition as we know we all bought in we all followed it very closely. and the competition was between many cities and municipalities to try to meet their demands new york won and it is governor pointed out, 27 million in revenue over 25 years, $3 billion in incentives against the tax revenues fo

>>> amazon's bombshell the company pulling out of new york city and will not build hq2 there. the fallout from that and what could be next. first to don to take us inside the numbers. >> the numbers are mixed right now, better than they were this morning. at one point we were down 235 points in the dow jones industrial average you can see down by 30 points that the stage. the s&p green right now. and the nasdaq up one third of 1% so watch those trades play out finals is key, interest rates somewhat lower today we are seeing regional banks taking a hit they're down a percent now, they were down more than that since december 24th. and then the stock of the day, from an earnings perspective, has to be coke, those shares off 7.5% right now a huge move lower on the heels of earnings that matched estimates. sales came in better, so is organic growth but it's disappointing investors out there. the biggest point drop in the dow today, kelly. >>> welcome to the exchange everybody, i'm kelly evans we had big cuts to fourth quarter gdp numbers after the terrible report this morning rbc t

are done on amazon. the sheer vastness of the company in some ways makes it very positive, but then also, it could be perceived to be a weakness as well particularly if you are a regulator looking and saying perhaps they have their finger in too many pies and they have too much of a critical mass and to trust issues. that sort of thing remember, elizabeth, when we were speaking back in december, we talked a lot about regulation and the threat of extra regulation on some of the companies in 2019. why is it investors are willing to brush off some of the concerns given that nothing has really changed >> we hear about analysts talking about the threat of regulation, but they're not pricing that into targets for the stock. part of that could be that they don't -- just don't believe it's going to happen. at least maybe this year i will say these regulations that we're seeing from india look to be weighing on the outlook of amazon. that was a dark spot in this report if that hams in other countries, india is al

same thing for amazon. hopefully the recommendations are better because you supplied them, some people will cross the line. i am sure we will deal with this issue for the next five years. whether they get into the amazon hasosshairs, generally been good. people'sthey are in homes, the more they have access to data, there was greater. >> thank you both. we will wait for this saga to unfold. reddit users have taken to the platform to protest tencent's investment, how it could impact green speech. this is bloomberg. ♪ emily: reddit announced it has raised $300 million in new funding, including funding from tencent. usersrked backlash from concerned about censorship. joining us is selina wang. it is an unlikely source of funding for a website that private self on free speech. what is driving this? reddit is blocked in china, but this is not too unusual for tencent. they are the largest investor in stake, andth a 50% they are in tesla and spotify and uber. with reddit it makes sense when you look at the gaming

the real business of amazon also remains hidden. are going to break again and you are in the news today and it involves a controversy. we are going to talk about brazil. the founding editors of the intercept and we are going to link to his piece. stay with us. flavia simao & simone soares performing "ele nao" - which translates to "not him". the song is a remake of the italian anti-fascist anthem "bella ciao." we're going to talk about brazil. i want to go to one of your recent tweets. you tweeted "kevin mccarthy threatens publish meant -- punishment over their criticism of israel. it is stunning how much time u.s. politicians spend defending . then he tweeted it's all about , the benjamins baby, ilhan omar added, gop leader kevin mccarthy threatens punishment. aipac.onded by writing urtfulstatements are her to jews. can you respond? >> this is also ridiculous, it is based upon this demand that everybody knows is a fiction which is we are allowed to talk about the power of the nra, the saudi's in washington, the power pharma butut w

amazon executives. brad: what did amazon say when they were asked? >> basically, they were still investigating what the impact would be and were working with the indian government to try to get an extension until they can figure out the impact and some of the rules -- impact of some of the rules. it's hard to know what the impact will be on amazon's revenue. brad: mats, you mentioned the small sellers and medium sellers who are exerting political muscle. bige is also a very company, reliance industries, and they are a telecom giant, a retail giant, and they are getting into the game. any sense of this tilting the playing field to the local giants in india? matt: certainly. analysts can say there is a bit of a protectionist angle to it. road isthat the correct to protect the industry. for: it hasn't been great amazon investors. the stock was down 5% last i saw. based on yesterday's earnings report. the company beat sales expectations. they are probably the first company, at least in western history, to g