silicon valley was from the early 1970's. it was beginning to be a parent that something unusual was going on -- apparent that something unusual was going on. this was a unique phenomenon, this concentration of industry, work, technology, and science. all of these things that we think of when we think about silicon valley. nothing had been done to document the history of this region. was we did have at stanford a set of archival collections from stanford of people who had been involved in the early development, people like fred turman, who is called the father of selah khan valley. his students -- of silicon valley. liketudents hewlett-packard who founded hp. it sounded like a good idea to broaden that story out into what was going out -- going on outside of stanford. it was the stanford and silicon valley project, and, at the lettersg i wrote 100 out to different people in the valley, captains of industry, engineers, different sorts of people. i got one response to those 100 letters and that was from a man named douglas, who

it's called the birth place of silicon valley. the palo alto is the birth place of silicon valley,s the major. this is a national register historic places plaque, it commemorates the birth place of the first high tech region, silicon valley. the idea of such a region originated with a stanford university professor who encouraged students to start up their own electronics companies in the area instead of joining established firms in the east. the first few students -- first two students to follow his advice for william rr hulett and david packard who began developing their first product, an audio oscillator, in this garage. >> we continue our look at palo alto, california, serving as headquarters to a number of high technology companies, we next hear the story of seven influential pioneers of silicon valley. >> people think about silicon valley and i think they think sill von valley started with the invention of the iphone maybe or maybe the birth of facebook, something like this. and what they don't understand, although interestin

valley. >> people think about silicon valley and i think they think silicon valley sort start with invention of the iphone may be or maybe the birth of facebook, something like this. what they don't understand although interestingly the people in silicon valley understand is that every generation of technology has been built on the generation that came before it. troublemakers is about this and incredible time in history not just of silicon valley but the united states and the world. it's this time when we had several major industries launched all in the same the window. from 1968-1976 you had the invention of the personal computer, the invention of the microchip, the invention of the video games, the biotech came on the scene. yet modern venture capital showing a picu at the birth of apple, intel, atari, genentech, the major venture capital firms. you're the first internet transmission. all of this is happening in the space of about 30 miles and eight years. this book is about how that happened and the people who make it happen. what was exciting about this time in silicon valley was so man

they love being part of this ecosystem that is silicon valley. in those ways, they had optimism, and they had perseverance, of course. emily: theresia, you are part of this new movement. you and your partner started a new firm. melinda gates has invested in your firm. there are organizations that are getting funds together to improve the representation of women. do you feel the change happening? or do you still feel we are stuck in the past? theresia: first, i have always felt like there's been a more secret underground sisterhood, going back to the early pioneering days. in the beginning, many other people would not put it on dinner with sheryl -- emily: sheryl sandberg. theresia: it was super helpful for us. now it's not only out in the open, the male entrepreneurs see it as an advantage. we have this different network for recruiting, for deal sourcing. it's wonderful to see it be so public and out there. we wouldn't be anywhere without our male allies. julian writes about it in the book. i think the book is about a lot of venture capitalists f

do you think if more men in silicon valley, the leaders in silicon valley, made hiring and promoting women and minorities more of a priority, it will happen? melinda: of course it would. they seem to be able to do almost anything. of course it would. you set a goal and reach it and don't make excuses. people say the pipeline, there are not enough women. well, fine -- create pathways in. we know the best universities in the nation are actually getting more women and minorities by changing that first computer science class. so we can do this. we just have to set it as a goal, and then we have to measure. and i think the great thing that is happening is the press is putting pressure on these companies to be transparent. once you are transparent, and there is pressure there, and you also have a tight labor market, women are voting with their feet. young women coming out of college with the tech degree are saying, i don't want to go to companies that do not support women. i will look at other offers i have. that will create change. emily: you are working with nonprofits that are also hopi

but this is not just about silicon valley. if silicon valley is to stock on what it is doing, we can take this game to other places. there, theyas just are supporting women-led companies. they are sponsoring and investing in them that helping them become a bigger part of the company. we can do that in dallas, atlanta, rural areas. to me, the game is changing and i'm excited these businesses are starting to be invested in. and people of color about less than 1% of venture capital funding goes to a woman-led business of a woman of color. that makes no sense, because i know there are fabulous ideas out there from many women who are of color. emily: the reality is it is men who are still in positions of power who can also make a difference. we have got silicon valley visionaries who are building electric cars. rocket ships to space, connecting the world. , theu think it is more men making of silicon valley hiring women a priority could make it happen? they seem to make anything happen but this. melinda: absolutely. people keep mak

do you think if more men in silicon valley, the leaders in silicon valley, made hiring and promoting women and minorities more of a priority, it will happen? melinda: of course it would. you set a goal and reach it and don't make excuses. people say the pipeline, there are not enough women. well, fine -- create pathways in. we know the best universities in the nation are actually getting more women and minorities by changing that first computer science class. so we can do this. we just have to set it as a goal, and then we have to measure. and i think the great thing that is happening is the press is putting pressure on these companies to be transparent. once you are transparent, and there is pressure there, and you also have a tight labor market, women are voting with their feet. young women coming out of college with the tech degree are saying, i don't want to go to companies that do not support women. i will look at other offers i have. that will create change. emily: you are working with nonprofits that are also hoping to get more women investing, more women entrepreneurs. what s

this is not just about silicon valley. if silicon valley is too stuck on what they are doing today, we can take this to other places. chicago is supporting women led companies. they are not only venturing in sponsoring them, they are investing in them. it is becoming a bigger part of the economy in chicago. we can do that in dallas, atlanta and rural areas. to me, the game is changing. i am excited that more women led businesses are starting to be invested in. we have to talk about people of color. less than 1% of venture-capital funding goes to a woman in business of color. that makes no sense to me. i know there are fabulous ideas out there for many women of color as well. emily: the reality is that men are still in position of power and they can make a difference. we have silicon valley visionaries who are building electric cars, self driving cars and rocket ships to space and connecting the world. do you think it is more men in mencon valley -- d think if hiring women a priority, it will happen? >> of course. you set a

valley, apple is based on silicon valley, apple is based on silicon valley. american technology so far behind that of europe. co nta ctless so far behind that of europe. contactless payments, for example, p°ppin9 contactless payments, for example, popping your card against a reader, unlike five — 8% are done by that. putting it in london means they are in the centre. we going to look at the story about the governor of georgia. he signed into legislation to ban abortion once cardiac activity can be detected in the baby in the room. many would argue this is around about six weeks, which is going to be an extremely emotive issue in the run—up to the 2020 elections in the united states. president trump has been quite vocal about his profile views. in the us this divides people. this is the most divisive issue in american politics. georgia has signed this but they are the seventh or eighth state to have this so—called heartbeat abortion ruling, north da kota, heartbeat abortion ruling, north dakota, mississippi, iowa, many places doing it. i'm a big fan of

silicon valley needs entertainment, silicon valley needs television technology all of those things beginning in the 1950's. the reason it is exhibited here is because it is kind of a time machine for the students and others who come here. seeing the dimensions of the machine, comparing it to the technologies we are more familiar with, vcr much smaller, phones now, doing audio recording, that is people of invention and innovation, and that sparks interest into going into the documents, may be questions about how they were used, seeing if we have documents describing that and articles in magazines. it is important to show this to students to spark the interest in doing research. >> when world war ii ended and the soldiers and sailors returned from the pacific and arrived in california, they were enthralled with the weather and what this place was like. this was a time in the 50's when palo alto was starting to grow. more thane population doubled during that decade, things like the stanford industrial park, shopping center and the growth of stanford university all drew people to this area. tech

it is the birthplace of silicon valley. bethlehem ofis the silicon valley, this is the major. this is a national register of historic places plaque. this garage is the birthplace of the world's first technologically region in silicon valley. it originated with a stanford university professor who encouraged his students to start up their own electronics companies in the area instead of joining established firms in the east. the first students to follow his advice were william hewlett and david packard. >> up next, more from palo alto as we visit the silicon valley archives at sill -- as stanford university. material related to the development of a region known for its scientific and technological innovation. silicon valley archives is a project that started in the mid-1980's. the name silicon valley was from the early 1970's. around that time, it was beginning to be a parent something unusual was going on. it was clear this was a unique phenomenon around here, this concentration of industries and work in technology and science. innovation and entrepreneurship, all these things

valley, about issues that surround the silicon valley. >> silicon valley is a place that has 50 billionaires. >> also highest prices for food, gasoline and of course housing and the gap between rich and poor is widening. >> we are spiraling upwards in terms of our costs. housing but also a general basket of consumer goods, you see those costs increasing faster than they are increasing in other parts of the country and it's because thear bear it. >> wall street also found san jose has the highest educated workforce with half having at least a bachelor's degree. and path to prosperity. >> i have been recruited -- trying to be recruited by a lot of companies. >> he is graduating in commuter engineering that will put him close to that high average salary right out of college. >> always at least 90 to 110. >> that's good money. >> yeah, really good money. lucky. >> reporter: one career planner says colleges is one of the fastest ways to join silicon valley's wealthy workforce. >>> tesla stock taking a nose dive. worried about the company's plans for growth. andrea live in burlingame with the fall

in silicon valley or -- >> yes. >> -- austin or -- >> yes, i think silicon valley and austin are the two best examples to kind of see the adapters of these early technologies because they're so diverse. i think it's very hard to find markets that are as diverse as silicon valley, austin, and i'll throw new york city in there as well. and i think we've been very fortunate to be in a place like austin and now having an office in san francisco to see that reflect upon consumer behavior and buying patterns. >> it's interesting you mentioned iot and, what was the other -- automation broadly, right? and it seems like some of your investments at least are in the consumer space. i wouldn't necessarily associate that with a consumer space, those technologies. are you looking also at -- i mean, this generation we're talking about is in the workplace and coming into the workplace. are you looking also at ways that they're going to be, you know, working and what they're going to expect from their employers? >> exactly, yes, i think like i said, this generation isdiverse, and so, we're looking ac

than'you have in silicon valley. there aren't necessarily rules in place. that is where things fall through. >> >> brown: are there signs ofpe rom when you first started reporting on this? >> there are signs of hop first of all, if you look at the numbers, the latest diversity report that facebook and google hah,n't changed mut what we have seen is a huge aim of ployee activism advoc we saw 20,000 employees walk out of google offices around the world because they were uet about how the company handled sexual misconduct. men and women. and as a result, google has changed some of its policies. we've seen shareholders push amazon to diversify their board and now amazon's board is almost half women. but it isoing to take a long time to change the numbers. it doesn't have to take forever. i believe if therea will will there is a way. this can happen much more quickly. that's the reason we need to keep the pressure on. >> brown: all right. the book is "brotopia: breaking up the boys' club of silicon k lley." emily chang, t

long silicon valley, hello columbus, ohio. this is bloomberg. ♪ watch out, silicon valley. secondary tech hubs are showing momentum this year. a tech analyst joins us from atlanta to explain. every region wants to be the next silicon valley. it is almost like a cliche. eventually, they always fizzle out. through columbus and pittsburgh. your view is that it is happening this time. what did you see on the ground that convinced you that maybe tech clusters are emerging outside of the valley? >> i think you are seeing smaller scale versions of silicon valley where companies like industrious and wework are going into the cities to capture the trends. have kind ofals been growing for a while. i think what really change people's mindsets was amazon, hq2, we are looking to expand somewhere else. these are the 20 cities we are looking to check out. that makes others for eat -- that makes it easy for others to make the pitch as well. romaine: one reason people gravitate to silicon valley or new york is that people have this large pool of talent. pittsburgh, phoenix, you don't necess

and it exists in silicon valley. i have found these astounding women who had succeeded and i wanted to know how they did it and what the world looks like for them going after deals, sitting at the table, meeting with entrepreneurs, going out for funding. it surprised me how strategic they were in their success and how it is possible to kind of increment your way to success as they did. navigating before they could pioneer. i was really wowed by that. the stories about girls are very personal. personal lives, professional lives. how women juggle all that we do. you are not in your head. whole thing surprises me. how women succeed, what the terrain is like, what the outcomes are. and, there are these really important success stories, notably teresa right here, and how they did it. and they're back stories were so inspiring. emily: theresia, i learned things i did not know about you and i feel like i have interviewed you and talk about this many times. you obviously work in a male-dominated venture capital firm. he went

he is competing with silicon valley. -- in silicon valley with goldman sachs. he is by himself, really close to silicon valley. you go back to new york and some investors here are upset with how much money they have lost on uber so far and unimpressed that -- emily: so, what happens with uber and how much is he being blamed? >> on one hand, people, investors who bought in at the $48 price and those brought in on the hot ipo, including morgan stanley's own clients, more than 15,000 financial and visors with a large retail base of clients, financial advisors with a large retail base of clients. emily: he also ran facebook's ipo which was notoriously not great as well. there was a glitch on the nasdaq. there was too much demand and they couldn't handle it. how is that coupled with what happening with uber going to impact his and morgan stanley's ability to gain new tech deals? >> morgan stanley was still at the top of all these lead listings. they are the number one stock trading firm in the world. you need to kind of have them on your side because a lot of tradin

he is competing with silicon valley. -- in silicon valley with goldman sachs. he is by himself, really close to silicon valley. you go back to new york and some investors here are upset with how much money they have lost on thatso far and unimpressed -- emily: so, what happens with uber and how much is he being blamed? >> on one hand, people, investors who bought in at the in price and those brought on the hot ipo, including morgan thaney's own clients, more 15,000 financial and visors with a large retail base of clients, dutch advisors with a large retail base of clients -- financial advisors with a large retail base of clients. he also ran facebook's ipo which was notoriously not great as well. there was a glitch on the nasdaq. there was too much demand and they couldn't handle it. how is that coupled with what happening with uber going to impact his and morgan stanley's ability to gain new tech deals? >> morgan stanley was still at the top of all these lead listings. they are the number one stock trading firm in the world. you need to kind of have them on yo

and it exists in silicon valley. i have found these astounding women who had succeeded and i wanted to know how they did it and what the world looks like for them going after deals, sitting at the table, meeting with entrepreneurs, going out for funding. it surprised me how strategic they were in their success and how it is possible to kind of increment your way to success as they did. navigating before they could pioneer. i was really wowed by that. are veryes about girls personal. personal lives, professional lives. how women juggle all that we do. you are not in your head. whole thing surprises me. how women succeed, what the terrain is like, what the outcomes are. and, there are these really important success stories, notably teresa right here, and how they did it. and they're back stories were so inspiring. emily: teresa, i learned things i did not know about you and i feel like i have interviewed you and talk about this many times. you obviously work in a male-dominated venture capital firm. he went on to start

but this is not just about silicon valley. if silicon valley is too stuck on what they are doing today, we can take this to other places. chicago is supporting women-led companies. they are not only mentoring and sponsoring them, they are investing in them. it is becoming a bigger part of the economy in chicago. we can do that in dallas, atlanta, and rural areas. to me, the game is changing. i am excited that more women-led businesses are starting to be invested in. we have to talk about people of color. less than 1% of venture-capital funding goes to a woman-led business of a person of color. that to me makes no sense because i know there are fabulous ideas out there for many women who are of color as well. emily: the reality is that men are still in position of power, and they can make a difference here. we have silicon valley visionaries who are building electric cars, self-driving cars, rocket ships to space, and connecting the world. do think if men made hiring women a priority, it will happen? melinda: of course it would

. >> silicon valley is not a place, per se. it is a state of mind. >> this garages where hewlett-packard did their experiments in 1938, the birthplace of silicon valley. >> known for its connection to silicon valley, it is also home to stanford university, the alma mater president herbert hoover and the institution he founded in 1919. >> the structure is dedicated to the use and preservation of the collection of books and manuscripts on war, revolution, and peace. >> reflecting on the personal sacrifices and the challenges and the roles in which journalists, soldiers, and civilians played in the war. thewe can build upon understanding to prevent war in the future, which is the core of herbert hoover's message. >> join us as we look at the history and literary life of this city of 66,000 saturday at noon eastern on book tv and sunday at 2:00 p.m. on american history tv on c-span3. the c-span cities tour, working with our cable affiliates as we explore the american story. >> sunday night on q&a, a lincoln scholar and a best-selli

and ie silicon valley especially hard. young gamers, who met on-line. >>> this type of cybercrime is growing, and it's hitting the silicon valley especially hard. young gamers who met online now face years in prison for stealing millions of dollars by hacking people's smartphones. stephen stock takes a look. >> detectives tell me these hackers have stolen $35 million from hundreds of victims here in silicon valley just in the last year alone. and youtube videos played during one hacker's trial shows them flaunting the stolen dollars, pouring $1500 champagne over watches. also spending $150,000 on a month-long airbnb in hollywood and bragging about it all on social media. >> the culture is fascinating. a lot of these guys have known each other for years, before they ever had any criminal thought in their mind they were just playing games together, some as early as 12 years old. >> these multi-million dollar hacks hav eprevalent, they're now a top priority for the country's cybercrime task force based right nehere in silicon

call, visit or click today. >>> early uber investor and silicon valley, insta work, a start-up that matches restaurants and hospitality businesses with waiters, cooks and dish washers and more. just this morning announcing a new round of funding joining us is benchmark general partner and board member bill gurley and samere, the ceo and co-founder of instawork. good to have you >> thanks for having me on. >> we love when you share your ideas and talk about what's important to you how does instawork fit in? >> long time ago one of benchmark's first investments was ebay which helped connect people with goods that were dispersed across the country and, you know, people didn't know exactly where they were and by providing that matching, you were able to create money out of nowhere. you were able to allow people to have trades that they wouldn't have had otherwise you know, many years later, with uber, you had the same thing you have a bunch of drivers and cars sitting around and people that need rides but until you have that layer and fabric that brings them together you don't really unlock the

some of the biggest victims are here in silicon valley. and a couple weeks ago, earlier this month, the feds finally indicted some folks for doing this in michigan. sought fact is this is all over the country. the first bust happened right here in san jose. >> how much money are we talking? >> $50 million over 800 victims nationwide. here in silicon valley we have over 50 victims we've been able to identify who've lost $35 million just in the last year alone. >> and how are police able to catch them? >> well, they're arrogant. they get on the phone and they tweet about it. look at how we're spending the money. they go to las vegas, they buy $50,000 watches and dump champagne on it. and they post it all online. so the law enforcement folks are watching and caught up with them. this is a real problem. we were talking about crypto kushsy, right? this is kept on these phones. it's not just crypto currency. i had a top executive text me this morning. he says oh, my gosh, all any my passwords are on that phone, they can get to my bank account. a

silicon valley has a lot of conceptions wrong. i would say most of the country, the job requirements that people have for software developers are just wrong. if you think about the tightness of the industry, the people who built the industry, most of them didn't go to college or dropped out. they are the one to build the industry. if you go back, this industry was built by musicians and artists and hippies. it is silly that we are looking for people who have this four-year degree, programmer background. the reality is the highest performers can come from anywhere. it is just a matter of, can we actually get them into a program that gets them into these careers and gives them the opportunity to grow and learn on the job? your: you can't do this on own, so what do you think that companies like facebook, amazon, google, why should they be doing to do their part as well? that peopleision is from all walks of life can be the most highest performing and most successful. it begins first the companies recognizing that and getting rid of i

the just-approved silicon valley project that is even bigger than the google campus. >> we are creating a smart city. >>> and the big bay area announcement involving the musical "hamilton." we talk to the star. >>> the kpix 5 news at 7:00 starts right now, tracking a soaking rain in may. i am ken bastida. >> i am elizabeth cook. as you can imagine, it's been pretty slow going out there. a live look at i-80 near richmond. you can see the rain is coming down right now. >> it's a soggy commute all over the area. looking at the golden gate, the bay bridge and the richmond san rafael bridges. >> check out this view of the san mateo bridge. you can see the moment the rain started falling a quarter to 5:00.amoverage. andria borba is live, but first meteorologist paul deanno is tracking our stormy weather. >> yes, it is stormy. rainfall from top to bottom. let's look at the radar, what's happening right now. rain from mendocino county all the way cell south to morgan hill. berkeley, oakland, san leandro, castorina county. sonoma county. about since lunchtime. we are going up on seven hours now.

silicon valley has a lot of conceptions wrong. i would say most of the country, the job requirements that people have for software developers are just wrong. if you think about the tightness of the industry, the people who built the industry, most of them didn't go to college or dropped out. they are the one to build the industry. if you go back, this industry was built by musicians and artists and hippies. it is silly that we are looking for people who have this four-year degree, programmer background. the reality is the highest performers can come from anywhere. it is just a matter of, can we actually get them into a program that gets them into these careers and gives them the opportunity to grow and learn on the job? emily: you can't do this on your own, so what do you think that companies like facebook, amazon, google, why should they be doing to do their part as well? jacob: our vision is that people from all walks of life can be the most highest performing and most successful. it begins first the companies recognizing that a

. >>> you already know about the high cost of living in silicon valley. why bay area cities top out the list of the wealthiest workers in the country. >>> the new kpix 5 news at 7:00 starts right now without false alarm in san francisco that led to very real emergency response. i am ken bastida. >> and i am elizabeth cook. several city blocks were blocked down as police scoured the area for a shooter. >> reporter: there were 2911 calls from this building today. the first was about a man in the street with some kind of weapon. the second was about a possible active shooter. police never found anyone with a gun inside this building. now, they are working to clear up the confusion. >> a lot of action. just working on the normal day. they came in with police officers, and evacuated us. >> reporter: hundreds of potrero hill employees evacuated their office building on rhode island street follow possible active shooter. the bomb squad, san francisco fire department tactical team, and heavily armed police surround the area for several hours. all of this was for

not silicon valley. they are doing very significant deep tech, got augmented reality technology in miami. the other was chewy which is 10,000 employees, a large e-commerce company, sold for $3 billion a couple years ago. that's outside of miami as well. we are seeing more and more of these examples but there are still too few. we are trying to get more capital to more folks. so far, the rise of the rest fund has invested in 100 startups in more than 60 cities. people are going to be surprised, some of these companies are going to be the next unicorns. cheryl: well, liz talked to steve case about so much more. find out what he thinks about the innovation economy, creating entrepreneur clusters and what he thinks about investing in opportunity zones across the nation. go to lizclaman.com for the full interview. she had a great week out in las vegas. >>> well, while that interview was being shown to you the markets hit a new session high. up 180 on the dow. we are hovering around session highs right now. ag

valley. took the north san pedro street areas one of the oldest sections of downtown san jose, but after decades of neglected see new life, all springing up in the shadow of the sap center . >> people desire to live in interesting urban environments where you don't have to drive. took a list land-use consultant says this is the big idea behind this nine square block area getting remade into thousands of new homes, offices, shops and restaurants on the north end of downtown . >> you can walk to go out to dinner, you can walk to theater you can walk to a sharks game or a concert and not have to get in your car . >> to towers near completion on julian street, a massive midrise building is getting its foundation on bassett street in several blocks of lowrise townhomes are almost move-in ready on train street, plus a new homeless and low-income housing building has just broken ground and even morbid projects are on the works, it's a welcome change for neighbors . >> unless something is going on at

over the years the once sleepy town of morgan hill has become more than just a gateway to silicon valley. >> i think they have done an awesome job. it feels hometown but it has everything to offer you, everything. so i love it. >> quiet and quaint have been replaced with the hustle and bustle of construction downtown. next to the granada theater on monterey road, the granada hotel recently broke ground and will have 60 rooms and feature a spa, steakhouse and market hall among other amenities. south bay entrepreneur frank leal is on a mission to make morgan hill a tourist destination similar to napa. >> the way that traffic is and people's time restraints. why not take a 15, 20 minute dive down to morgan hill. >> just a few blocks away, a new apartment building will come online later this year in addition to other projects in the works. >> we have the weather, we have the wineries, we have the restaurants. so it's all finally coming together. >> officials say it's all part of their plan to raise the city's profile. >> one of the most exciting things about this renaissance is

but this isn't just about silicon valley. if silicon valley is stuck on what they are doing today, we can take a game other places. chicago, i was just there. they are supporting women-led companies, mentoring and sponsoring, also investing in them, becoming a bigger part of the economy in chicago. we can do that in dallas, in atlanta, in rural areas. for me, the game is changing, and i am excited more women-led businesses are being invested in. and we have to talk about people of color. less than 1% of venture capital funding goes to a woman-led business led by a woman of color. that makes no sense, because i know there are many fabulous business ideas from many women who are of color as well. emily: the reality is that men in positions of power can make a difference here. we have silicon valley visionaries building electric cars, self driving cars, rocket ships to space, connecting the world. is it more the leaders of silicon valley, making hiring women a priority, would that happen? it seems like they can do almost anythin

enjoying silicon valley and the openness of the google community with developers from all over the world you ruined her colleagues are from china and very excited about tending this conference for the very first time. a good chance to learn from. us. develop her culture in very very special. you asked china trade worries here in mountain view california north of the agenda but many you ask tech companies already caught in the crossfire. especially those relying on manufacturers and suppliers in china companies like apple president trump's latest terror threat could hit hard to detect giant and even force it to move its i phone production out of china silicon valley is affected like the rest of the country says alan sykes professor at the stanford university but he also acknowledges that the sticking points in the negotiations are important to the tech companies so i'm sure they're a bit ambivalent in many cases they would like to see the u.s. strategy succeed in getting a spitter access to the chinese market better intellectual property protection but they're worried that it won't succee

valley berlin how is how is it different houses similar it's complicated to explain but i'll give you three cultural things which i think are the major reason why the concentration of startups in these are the second don't just in the world. i think the first think is that we were this we don't take authority too seriously which means i can call in my company or come one of the intern is i told him i wanted to do a specific job and i wanted to do in this way he looked me in the eyes and said yes i heard you i have a different idea that to try completed different after two weeks he will come back and almost probably will say i'm felt i didn't succeed and failure in our culture is a way of learning so we're not losing face so sometimes i will appreciate to engineer the trying different directions more than somebody it's really not open minded. and they did the third element which is very important to our kids going to the army quite early in their age and they learn to take responsibility quite early in their life so if you take those three elements it's a very good ingredients for star

enjoying silicon valley and the openness of the google community with developers from all over the world you ruined her colleagues are from china and very excited about attending this conference for the very first time. a so good chance to learn from. us. develop her. very very special. you asked china trade war is here in mountain view california not with the engine but many you ask tech companies already caught in the cross-fire. especially those relying on manufacturers and suppliers in china companies like apple president trump's latest terror threat could hit hard to detect giant and even force it to move its i phone production out of china silicon valley is affected like the rest of the country says alan sykes professor at the stanford university but he also acknowledges that the sticking points in the negotiations are important to the tech companies so i'm sure they're a bit ambivalent in many cases they would like to see the u.s. strategy succeed in getting a spitter access to the chinese market better intellectual property protection but they're worried that it won't succeed and

. >> these hackers stole $35 million from hundreds of victims here in silicon valley in just the last year alone. and youtube videos played during one of the hackers' trials shows them flaunting that. pouring $1500 bottles of champagne over $50,000 watches at a las vegas nightclub. also spending $150,000 for a month-long airbnb in hollywood, then bragging about all of it on social media. >> the culture is fascinating because a lot of these guys have known each other for years. before they were ever criminals or had any criminal thought in their mind, they were just playing games together. some as early as 12 years old. >> these multimillion-dollar hacks have become so pref lent, they're now the top priority for the cybercrime task force based here in silicon valley. coming up tonight, stephen stock looks into this wave hitting silicon valley especially hard and how you could also be at risk, even if you're not a millionaire. and you can send us your tips for stories. 888-996-tips is our hot line. you can also email them in. nbcbayarea.com/investigations. >>> the past weather forecast

set us up here for the silicon valley reaction to this piece. he has been critical before to a certain extent saying maybe regulation is necessary, but was this really shocking? >> it was pretty shocking. it's pretty rare you see the cofounder of any company come out and be this critical of the thing that they helped create. i don't think many people outside silicon valley are familiar with who chris is, so in some ways, there's a little bit of novelty here in, like, who's this guy actually saying these things, but in the tech world, to have someone with his background in the company come out and kind of personally name mark here and put a lot of this on his shoulders was pretty startling. here.n: your perspective do you agree? >> i completely agree with pretty much everything chris said in his piece. facebook has gotten too powerful . it controls way too much of information flows around the , and they have really been asleep at the wheel. we have had neither regulation nor antitrust enforcement with facebook has acquired companies that were com

ea >> sullivan: i you've been at the heart of silicon valley financing... >> yeah. >> sullivan: for 35 years. >> yeah. >> sullivan: what do you think is happening here? i think china is doing its absolute best to make itselfuf selfcient, from a technological point of view. they realize that in order to accomplish that,hey either have got to start pedaling faster otheir own, or they've got to b a lot of technology. (talkingoftly in background) >> sullivan: that one. thank you. at stanford university, i foundn vestors and entrepreneurs grappling with china's high-tech ambitions. >> silicon valley is very much at the heart of the trade war. >> sullivan: why do y that? >> the u.s. needs to keep a technological advantage. silicon valley, 's generating a lot of the innovations that are powering the u.s., in terms of all sorts of different technologies. >> on this chart, in terms... >> somebody from the business coreunity said, you know, "w not in a trade war, we're in a techonomic war." and i think that's what we probably are really worried ab >> a lot of chinese technology companies invest

silicon valley, it's generating a lot of the innovations that are powering the u.s., in terms of all sorts of different technologies. >> on this chart, in terms... >> somebody from the business community said, you know, "we're not in a trade war, we're in a techonic war." and i think that's what we probably are really worried >> a lot of chinese technology companies invest heavily in 5gs... >> now there are areas where they're actually, you know, quite competitive, and some areas where they even seem to be maybe havi an, an edge. >> and you know what? chinese companies already working on 6gs. >> sullivan: despite their worries about china, people here also depend onhinese investments and were concerned that the trump administration would go too far. do you think the administration had good reason to clamp down on investments from china in silicon valley? >> think so, but there's a difference between, "yes, there's a problem," and the response bei measured, appropriate, and grounded. i think they, they may end up operating to our detriment broadly economically, but also,t without the

valley is over it's game over for them they built google they built facebook there's no more innovation and we need to go big and talk to people all over the world who are involved in crypto currency and who just want privacy for whatever reason they do and get them to store pile in and support these projects we only have a little bit of time before the next big financial crisis and when that happens going to be too late to build the kinds of privacy and handsome technologies the kinds of freedom and handsome technologies that we need right well certainly my man says deep pockets a lot of these exchanges do have deep pockets so i think you're going to be ok in the funding side so if someone wants to access more information about them how do they do that you can just go to the website name tech dot net for those on twitter at project and you know we want to support all privacy unhandsome technologies but we will need your support and we will be crowdfunding probably later in the fall with some big announcements though a comeback for that sounds like a blast you'll be in new video of a pa

valley is over it's game over for them they built google they built facebook there's no more innovation and we need to go big and talk to people all over the world who are involved in crypto currency and who just want part of c. for whatever reason they do and get them to store pile in and support these projects we only have a little bit of time before the next big financial crisis and when that happens going to be too late to build the kinds of privacy and hansen technologies the kinds of freedom and handsome technologies that we need right well certainly my man says deep pockets a lot of these exchanges do have deep pockets so i think you're going to be ok in the funding side so if someone wants to access more information about them how do they do that you can just go to the website name tech dot net follow some twitter at project and you know we want to support all privacy unhandsome technologies but we will need your support and we will be crowdfunding probably later in the fall with some big announcements come back for that sounds like a blast you'll be a new video of the party. ok

valley is over it's game over for them they built google they built facebook there's no more innovation and we need to go big and talk to people all over the world who are involved in crypto currency and just one part of c. for whatever reason they do and get them to store pile in and support these projects we only have a little bit of time before the next big financial crisis and when that happens going to be too late to build the kinds of privacy and hansen technologies the kinds of freedom and handsome technologies that we need right well certainly my man says deep pockets a lot of these exchanges do have deep pockets so i think you're going to be ok in the funding side so if someone wants to access more information about them how do they do that you can just go to the website name tech dot net follow some twitter and project and you know we want to support all privacy unhandsome technologies but we will need your support and we will be crowdfunding probably later in the fall with some big announcements come back for that sounds like a blast you'll be a new video of the party. ok coo

s expose a silicon valley's group think the wave of unicorn i.p.o.'s who feels silicon valley's dangerous groups and creates article a dozen unicorns i have listed are likely to posted combined cumulative losses of forty seven billion dollars the justification for this max is called blitz scaling is if it's the doctrine an order to conquer the winner takes all so you lose a whole bunch of money the theory is if you lose a whole bunch of money in order to drive all your competitors out destroy it's just like blitzkrieg the whole market destroyed all the competition and then once all the competition is dead you raise your prices up to whatever it like you become like an american hospital system or the health care system i had a couple examples of this obviously amazon was a blitz scaler they have totally taken over the retail environment and beaten the wal-mart to the retail punch by reporting huge losses i remember in the ninety's when the company went public and henry blodget at that time was an analyst saying that the company stock could get to four

he does agree it leaves silicon valley and l.a. out, and he wants that changed. >> i'm not totally happy with it. i think that's what the kbgoverr wanted to do, but i wanted him to do this stuff in silicon valley. i think if we do that, it will make the project closer to reality and show a sign that we're going to get to silicon valley with this high speed rail project. >> reporter: legalities and politics aside, our earlier reporting found that at the present rate of construction, high speed rail cannot make its federally mandated deadline and may have to return billions of dollars in federal grants. this graph shows the problem. look at the top line, $149 million a month, the target spending pace that high speed rail must achieve to meet the deadline of december 2022. now look at the actual construction spending graph. it only hit that mark once in the last year, all the other months are well below the target, three times slower than the target says it should be. and the construction spending trend line, this line, is going down,

do you end up breaking up every really large company in silicon valley if you start down this road >> i don't think so. i'm not trying single out facebook and say nobody else deserves scrutiny. but chris' article made a pretty compelling case for antitrust scrutiny of facebook there may be a compelling case for other companies. you hear politicians talk about big tech as if it's one thing. as if the influence of all of these companies is the same or their market power is the same i would argue in commerce the world is much more fragmented online commerce. even though amazon is the big goril gorilla. the world is much more fragmented than it is in social networks, so perhaps amazon deserves skrcrutiny, too certainly i'm sure it will come their way down the line. but i think the case around facebook is particularly compelling at the time >> thank you very joining us today. >> absolutely. >> speaking of politician, today's calls to break up facebook comeing as we await privacy lment between the social media giant and the ftc which some law u makers say doesn't go far enough joining us fr

valley is over it's game over for them they built google they built facebook there's no more innovation and we need to go big and talk to people all over the world who are involved in crypto currency and just one part of c. for whatever reason they do and get them to store pile in and support these projects we only have a little bit of time before the next big financial crisis and when that happens going to be too late to build the kinds of privacy and hansen technologies the kinds of freedom and handsome technologies that we need right well certainly my man says deep pockets and these exchanges do have deep pockets so i think you're going to be ok in the funding side so if someone wants to access more information about them how do they do that you can just go to the website name tech not net follow some twitter and project and you know we want to support all privacy unhandsome technologies but we will need your support and we will be crowdfunding probably later in the fall with some big announcements come back for that sounds like a blast you'll be a new video of the party. ok call but

valley is over it's game over for them they built google they built facebook there's no more innovation and we need to go big and talk to people all over the world who are involved in crypto currency and who just want privacy for whatever reason they do and get them to store pile in and support these projects we only have a little bit of time before the next big financial crisis and when that happens going to be too late to build the kinds of privacy and hansen technologies the kinds of freedom and handsome technologies that we need right well certainly my man says deep pockets a lot of these exchanges do have deep pockets so i think you're going to be ok in the funding side so if someone wants to access more information about them how do they do that you can just go to the website name tech dot net for los and twitter at project and you know we want to support all privacy unhandsome technologies but we will need your support and we will be crowdfunding probably later in the fall with some big announcements though a comeback for that sounds like a blast you'll be in new video of a party

here in silicon valley chip companies in the other electronics production companies used hundreds if not thousands of toxic chemicals and the most of the chemicals once they're used in making the components needed to be disposed of as waste the companies ended up storing them in underground storage tanks all over the valley. but what the brilliant people who were designing these systems didn't quite think through all the way was that the solvent swer really good at dissolving things and so when you put them into a tank eventually they're going to eat their way through the tank. solvent that the electronics industry used in production in silicon valley in the seventy's and eighty's are now on in the groundwater and if you think about putting a drop of ink in a bathtub. that spreads really quickly and it's really hard to get that dropping back that's what we're dealing with except we're dealing with multiples of gallons of the stuff that is in the groundwater. in late one thousand nine hundred one there were over one hundred families in one little neighborhood who had serious problems