LIZ: IF YOU WANT TO REALLY LOOK
AT THE ROOT OF THE PROBLEM FROM
THE BEGINNING, TECHNOLOGY WAS A
REAL MESS.
THE CRYPTO DECLINE, PART OF THE
MANY HEADACHES FOR THE TECH
SECTOR.
ANOTHER PICTURE ON WALL STREET
AT THIS HOUR THAT HAS INVESTORS
SHATTERING.
BITCOIN IS FALLING
PRECIPITOUSLY.
$4144.
HOPEFULLY WERE ABOVE 5000
YESTERDAY.
AMAZON, APPLE, FACEBOOK THAT
ONCE LED THE MARKET DRIVING IT
DOWN.
THIS IS A SECOND TECH GIANT WENT
RED FOR THE YEAR.
FACEBOOK AND GOOGLE PARENT
ALPHABET POSTING LOSSES
YEAR-TO-DATE.
WHAT FLOSS MORE THAN A TRILLION
DOLLARS IN COLLECTIVE VALUE
COMPARED TO THE RECENT HIGHS,
OUR NEXT GUEST THEY HATE THEIR
SAME NAMES.
THEY COULD BE CONSIDERED BARGAIN
BASEMENT DEALS WITH MORE THAN
$300 BILLION IN ASSETS.
SENIOR RESEARCH ANALYST JOINS US
AND WERE ALSO JOINED BY SENIOR
EDITOR RUSSELL HOLLEY WHO
INTIMATELY KNOWS AND COVERS THE
TECHNOLOGY INDUSTRY EXTENSIVELY.
I'LL GET TO YOU, FIRST.
WHAT DO YOU SEE AS THE ROOT OF
THE SELLOFF.
MULTIPLE ISSUES HERE.
>> WE SEE THE ROOT OF THE
SELLOFF HAS BEEN CONCERNED
AROUND SLOWING GROWTH, WHICH
COULD BE COMPOUNDED BY TARIFFS,
TRADE WARS, CERTAINLY INCREASED
REGULATORY SCRUTINY AROUND
TECHNOLOGY AS WELL.
IF WE THINK ABOUT THE CYCLICAL
HEADWINDS, VERY FEW OF THE
COMPANIES AND CERTAINLY WITHIN
THE TECHNOLOGY OR ARE IMMUNE
FROM NOW.
IF WE STEP BACK AND THINK ABOUT
WHAT'S GOING ON, IF YOUR VIEWERS
APPRECIATE THE BIGGER SECULAR
TRENDS AT PLAY HERE, WE ALL SEE
THE BUILDOUT OF THE CLOUD, THE
MOBILE INFRASTRUCTURE,
E-COMMERCE, CREATION OF DIGITAL
ASSET THAT ARE CHANGING SOCIETY
AND INDUSTRIES, WHICH ALL OF US
AND CERTAINLY VIEWER SHOULD
APPRECIATE.
LIZ: TO THAT POINT, WHAT
MEANINGFUL HE HAS CHANGED SO
MUCH THAT MANY OF THE NAMES ON
THE SCREEN, FACEBOOK, APPLE,
AMAZON SAW HIGHS RELATIVELY
RECENTLY IN THE LAST TWO MONTHS
OR FOUR MONTHS.
WHAT CHANGED FUNDAMENTAL,
SOMETHING ELSE?
>> IT WAS THAT ONE BIG THING.
YOU HAVE TO LOOK AT THE
LANDSCAPE OVER THE LAST COUPLE
MONTHS.
THERE HAVE BEEN THINGS THAT
IMPACTED EACH ONE OF THESE
COMPANIES VERY DIFFERENTLY.
FACEBOOK IN THE SEVERAL
REGULATORY SERIOUS MEETINGS
ABOUT WHAT'S GOING TO HAPPEN FOR
THE FUTURE OF HOW INFORMATION IS
SHARED ON SERVICE FROM THE U.S.
GOVERNMENT.
AMAZON HAS IT FINISHED WHAT IT
ANNOUNCED THIS YEAR AND ALSO
THAT IS CURRENTLY DEALING WITH
THE REGULATORY ISSUES IN THE
E.U.
IT IS NOT ONE BIG THING
AFFECTING ALL THESE
ORGANIZATIONS, BUT IT'S ALL
HAPPENING AT THE SAME TIME.
LIZ: AT THE SPELLING IS
HAPPENING, DOWN 546 POINTS.
AS WE ALL LIKE TO SAY, THERE'S
ALWAYS THE TRADE.
WHAT ARE THE GUYS ARE THE GUYS
YOU SEE IN TECHNOLOGY RIGHT NOW.
>> THE TWO BIG THINGS WE ARE
SEEING THAT A REALLY INTERESTING
ARE APPLE AND AMAZON.
AMAZON IS STILL REALLY FOCUSED
ON DELIVERING A LOT OF POSITIVE
THINGS THROUGHOUT THE END OF THE
YEAR AND IS ONLY JUST THIS WEEK
STARTED SHIPPING THINGS REALLY
EXCITING FOR ITS WHOLE AMAZON TV
SERVICE, INCLUDING OVER THE AIR
SYSTEMS FOR PEOPLE WHO ARE FANS
OF CORD CUTTERS.
APPLES WILL DO A TON OF
INCREDIBLY EXCITING THINGS AND
SERVICES THAT ARE ONLY GROWING.
LIZ: DANIEL, I NEED TO HEAR YOU.
YOU SIT THERE AT MORNING
MEETINGS THAT NEWBERGER BERMAN.
MAYBE TOMORROW OR THIS AFTERNOON
WHAT IS THE SCREAMING BY YOU
SEE?
>> THE SCREAMING BIAS PLURAL
LETS TAKE MOTOROLA'S SOLUTIONS,
A COMPANY THAT MAKES SOFTWARE.
IT MAKES VIDEO AND ANALYTICS FOR
THE PUBLIC SAFETY, POLICE, FIRE.
WE THINK THERE'S A VERY
ATTRACTIVE GROWTH STORY THEY ARE
AN MARGINS.
CISCO, EXECUTING VERY WELL IN
AREAS LIKE SECURITY AND EARNINGS
WILL BE BETTER THAN THE MARKET
EXPECTS OVER THE NEXT YEAR.
ALSO THAT COME IN THE CORE
SEARCH REMAINS HEALTHY.
THE YOUTUBE ASSETS GROWING
NICELY.
THEY HAVE AN UNDERAPPRECIATED
OPPORTUNITY WITH THE GOOGLE
CLOUD PLATFORM AND LONGER-TERM
AREAS LIKE AUTONOMOUS DRIVING I
WILL ROUNDED OUT WITH MICROSOFT,
WHICH IS A COMPANY WE SEE
CONTINUING TO EXECUTE VERY WELL
IN TERMS OF TRANSITIONING
CUSTOMERS TO THE CLOUD.
WHEN WE SPEAK TO TECHNOLOGY
BUYERS, THE SHIP TO CLOUD IN THE
NEXT GENERATION OF
INFRASTRUCTURE IS REALLY VERY
MUCH IN ITS INFANT DAY.
LIZ: HAVE GOT A PUSHY HERE.
I'M SURPRISED ABOUT MOTOROLA'S
SOLUTIONS THAT WHILE GOOGLE IS
IN A BEAR MARKET, MAYBE AN
OBVIOUS SCREAMING BY COMMENT
STILL UP MORE THAN 30% OVER
YEAR-TO-DATE.
WHY WOULD YOU JUMP IN THERE?
IS IT REALLY LOW ENOUGH RIGHT
NOW?
>> WHEN WE LOOK AT THE EARNINGS
POWER OF MOTOROLA'S SOLUTIONS,
THERE ARE NEWER AREAS AND SO
THAT IS A VERY EXCITING GROWTH
OPPORTUNITY.
WHEN YOU THINK ABOUT THE COMMAND
CENTER A MATTER OF FIRST ARE
GETTING INFORMATION.
THINGS LIKE DIGITAL TEXTING, A
LOT OF THESE COMMAND CENTERS
AREN'T ABLE TO PROCESS DATA AND
GET BACK TO THE MEN AND WOMEN IN
THE FRONT LINES.
MOTOROLA IS AT THE HEART OF THIS
TRANSFORMATION IS OF THE
EARNINGS POWER IS SIGNIFICANTLY
UNDERAPPRECIATED.
LIZ: DONALD TRUMP IS IN A BLOCK
JOB SITE WITH THE CHINESE
REGARDING TRADE.
WE KNOW THAT MANY OF THESE
TECHNOLOGY COMPANIES HAVE
ASSEMBLY LINES THAT HAVE A PATH
RIGHT THROUGH THE MIDDLE OF
CHINA.
DO YOU SAY THAT'S STARTING TO
AFFECT SOME OF THESE NAMES?
APPLE IS AN OBVIOUS ONE.
>> APPLE IS AN OBVIOUS ONE, BUT
THIS IS SOMETHING THAT AMAZON
AND APPLE HAVE BEEN PREPARING
FOR AS THEY HAVE THEIR SACRIFICE
TO DEAL WITH IT MOVING AS MANY
DIFFERENT FACILITIES IN
DIFFERENT PLACES AS POSSIBLE.
STARTING TO SEE COMPANIES BUILD
FACILITIES IN THE U.S. FOR THAT
REASON TO AVOID THESE PROBLEMS.
IT WILL CONTINUE TO BE AN ISSUE.
LIZ: CHINESE INTERNET STOCKS,
ALIBABA AND ALL THE REST, AND DO
YOU SEE ANY INTERESTED KNOWS?
THEY ARE BEATEN DOWN BIG-TIME.
>> WE DO SEE OPPORTUNITY.
WE THINK WHILE THERE CERTAINLY
SAID NEAR-TERM CYCLICAL CONCERNS
AROUND THE CHINESE ECONOMY, WE
THINK THE LONGER-TERM GROWTH
OUTLOOK FOR A COMPANY LIKE
ALIBABA IS SIGNIFICANT.
THEY'RE REALLY AT THE CORE OF A
LOT OF TRANSFORMATION GOING ON
THERE AND WE SEE OPPORTUNITIES
FOR THEM TO GROW INTERNATIONALLY
THEY HAVE A NASCENT CLOUD
BUSINESS SIMILAR TO AN AMAZON OR
MICROSOFT ARE DOING HERE WHEN WE
SEE TERRIFIC GROWTH.
FOR THOSE OF YOUR VIEWERS WHO
CAN REALLY LOOK OUT ONE TO TWO
YEARS, WE THINK ALIBABA
REPRESENTS A GOOD OPPORTUNITY AT
CURRENT LEVELS.
LIZ: WE ARE THINKING DANIEL AND
RUSSELL ARE JUMPING IN THE CHAIR
AND DOING QUITE THE WRECK RIGHT
NOW AS WE SEE THE NASDAQ STILL
OFF THE LOWS OF THE SESSION DOWN
TRIPLE DIGITS.