MARIA:  WELCOME BACK.
MORE TURMOIL FOR TESLA, THIS IS
BIG.
THE SECURITIES AND EXCHANGE
COMISSION IS SUING ELON MUSK FOR
FRAUD OVER HIS TWEET ABOUT
TAKING THE CAN COMPANY PRIVATE
AT $420, FUNDING SECURED.
THE CASE RAISING ABOUT
EXECUTIVES USING SOCIAL MEDIA TO
GET NEWS OUT.
JOINING US RIGHT NOW IS STEVEN
CASE, THE FORMER CEO OF AOL.
THANK YOU FOR JOINING US.
WE'VE GOT A LOT A HAPPENING
CAPITOL HILL WITH SOME OF YOUR
COLLEAGUES IN THE BUSINESS,
SPEAKING TO LAWMAKERS.
FIRST, LET ME GET YOUR REACTION
TO WHAT'S HAPPENING WITH ELON
>>Y
.>Y
MUSK AND TESLA WITH THE LAWSUIT.
.>> .
LON IS ONE OF THE GREAT
ENTREPRENEURS OF THE NATION.
I HAVE GREAT RESPECT FOR WHAT
HE'S BUILDING WITH SpaceX AND
TESLA AND MANY OTHER THINGS.
I SUPPORT THAT CEOS SHOULD USE
SOCIAL MEDIA TO REACH CUSTOMERS
AND CONSTITUENCIES AND TELL
THEIR STORIES.
I THINK THERE'S A NUMBER OF
EXAMPLES WHERE MAYBE ELON BY HIS
OWN ADMISSION SHOULD GET MORE
SLEEP AND SHOULD BE MORE CAREFUL
BEFORE HE TWEETS.
MARIA:  I MEAN, A LOT OF
DISCUSSION THIS MORNING ABOUT
WHAT HAPPENS TO TESLA IF ELON
BEING SUED
HEING SUED
HE'SG SUED
HE'S BSUED
HE'S BEIED
MUSK IS NOT THERE.
HE'S BEING SUED BY THE SEC.
YOUR THOUGHTS ON TESLA, CAN IT
SURVIVE WITHOUT ELON MUSK?
>> I'M SURE IT COULD.
PEOPLE HAVE SAID COULD APPLE
SURVIVE WITHOUT STEVE JOBS.
CLEARLY, ELON HAS BEEN A HE KEY
PART OF TESLA.
HOPEFULLY THIS IS A BUMP IN A
ROAD AND OVER TIME THEY'LL
RESOLVE THE ISSUE AND ELON CAN
FOCUS ON TAKING TESLA AND SOME
OF THE OTHER COMPANIES TO THE
MARIA:  LET ASK
MARIA:  LET MSK
MARIA:  LET MEK
NEXT LEVEL.
MARIA:  LET ME ASK YOU ABOUT
GOOGLE ON CAPITOL HILL TODAY.
THE CEO IS SET TO MEET WITH
LAWMAKERS TODAY.
THIS COME AMID GROWING SCRUTINY
AGAINST THE COMPANY AND MANY
SOCIAL MEDIA SITES FOR ALLEGED
BIASED SEARCH RESULTS, YOU
VIOLATIONS OF POLICY AND RENEWED
RELATIONS WITH CHINA.
I SPOKE WITH KEVIN MCCARTHY ON
TUESDAY.
HERE'S WHAT HE TELLS ME.
>> HE'S COMMITTED TO COMING TO A
HEARING THIS YEAR, WHICH IS A
CHANGE OF WHERE GOOGLE HAS BEEN.
I'M CONCERNED, BECAUSE 90% OF
ALL SEARCHES GO THROUGH GOOGLE.
MARIA:  90%.
>> YEAH.
AND 95% OF EVERYBODY DROPS OFF
BY THE SECOND PAGE.
THE FIRST PAGE MATTERS A LOT.
THERE ARE REAL CONCERNS ARE THE
CONSERVATIVE VOICES BEING ABLE
TO COME ACROSS.
I THINK TRANSPARENCY IS KEY.
MARIA:  WHAT ABOUT THAT, STEVE?
GOOGLE IS DOING 90% OF ALL
SEARCH.
>> OBVIOUSLY IT'S BEEN A HUGE
SUCCESS.
WE WERE EARLY SUPPORTERS WHEN I
WAS RUNNING AOL, WE DID A DEAL
WITH GOOGLE AT ONE POINT.
IT WAS A LITTLE COMPANY.
NOW IT'S 100,000 EMPLOYEES AND
HAS A HUGE IMPACT GLOBALLY, IN
TERMS OF HOW PEOPLE GET
INFORMATION, ALSO BEING A
SIGNIFICANT PART OF THE
IT'S NOT SURPRISING THERE'S NORT
IT'S NOT SURPRISING THERE'S NORE
IT'S NOT SURPRISING THERE'S NORS
IT'S NOT SURPRISING THERE'S NORM
IT'S NOT SURPRISING THERE'S NORR
ADVERTISING MARKET.
IT'S NOT SURPRISING THERE'S NORE
SCRUTINY, MORE ATTENTION.
I'M GLAD GOOGLE WILL BE IN
WASHINGTON TODAY.
IT'S NOT SURPRISING THERE'S A
BACKLASH AGAINST BIG TECH AND
SILICON VALLEY.
I PREDICTED IT.
AS THE PLATFORMS BECOME BIGGER
AND HAVE MORE IMPACT, IT'S NOT
SURPRISING THERE'S NOR SCRUTINY.
I THINK THERE WILL BE MORE
ENTREPRENEURS IN THE THIRD WAVE
OF THE INTERNET, DEALING WITH
HEALTH CARE, FOOD, SMART CITIES.
POLICIES WILL MATTER MORE.
IT'S NOT JUST ABOUT DISRUPTIVE D
IT'S NOT JUST ABOUT DISRUPTIVE S
IT'S NOT JUST ABOUT DISRUPTIVE U
IT'S NOT JUST ABOUT DISRUPTIVE T
IT'S NOT JUST ABOUT DISRUPTIVE V
REGULATIONS WILL MATTER MORE.
IT'S NOT JUST ABOUT DISRUPTIVE E
ENTREPRENEURS WORKING IN SILICON
VALLEY.
IT'S WORKING WITH THE POLICY
MAKERS.
MARIA:  THEREIN LIES THE
PROBLEM.
WHEN YOU WERE TALKING ABOUT WHEN
YOU WERE AN INVESTOR IN GOOGLE,
A SMALL COMPANY, TODAY AS YOU
SAY, 100,000 EMPLOYEES, 90% OF
ALL SEARCH RESULTS, DO YOU FEEL
A NEW TONE IN TERMS OF THE
REGULATORY ENVIRONMENT THAT WE
COULD SEE PERHAPS CALLS FOR THE
COMPANY TO BE BROKEN UP OR IS
THIS SORT OF THE REGULAR WAY THE
PENDULUM SWINGS AND YOU REMEMBER
WHAT HAPPENED WITH MICROSOFT,
WHEN MICROSOFT WAS A REAL TARGET
BECAUSE OF ITS SIZE AND ITS
INFLUENCE.
THESE COMPANIES ARE MORE
POWERFUL TODAY THAN EVER BEFORE.
>> THEY ARE VERY POWERFUL.
I WAS PART OF THE
MICROSOFT ISSUE WHEN I WAS
RUNNING AOL AND SOME OF THE
ANTI-TRUST ISSUES.
THE GOVERNMENT WAS BASICALLY
CHALLENGING MICROSOFT.
AT THE TIME, THEY HAD SOMETHING
LIKE 95% MARKET SHARE IN
OPERATING SYSTEMS WITH WINDOWS
AND THERE WAS A CONCERN BY THE
GOVERNMENT WHICH I SHARED THAT
THEY WERE DOING THINGS WHICH
WERE NOT NECESSARILY SUPPORTIVE
OF ENTREPRENEURS AND OTHERS IN
THE ECOSYSTEM IN TERMS OF WHAT
THEY WANTED TO DO TO INNOVATE.
ULTIMATELY MICROSOFT DECIDED TO
PULL BACK, WERE MORE CAREFUL,
KIND OF SELF-REGULATED.
I THINK THAT'S THE BEST APPROACH
FOR THESE BIG COMPANIES, NOT
JUST GOOGLE BUT OTHER COMPANIES,
FACEBOOK AND AMAZON AND SO
FORTH.
IF THEY DON'T DO THAT, THERE'S
NO QUESTION THERE WILL BE MORE
SCRUTINY.
I THINK THERE SHOULD BE MORE
SCRUTINY.
THE COMPANIES ARE PLAYING A
SIGNIFICANT ROLE IN OUR LIVES
AND HAVING A SIGNIFICANT
INFLUENCE ON OUR ECONOMY.
NOW LET'S LOOK AT THE AT&T TIMET
NOW LET'S LOOK AT THE AT&T TIMEM
MARIA:  THAT'S RIGHT.
WARMER
TIRMER
TIMEER
TIMEWARNER MERGER, YOUR TAKE ONT
NOW LET'S LOOK AT THE AT&T TIMEE
TIMEWARNER MERGER, YOUR TAKE ONE
DEAL AND ITS IMPACT.
>> I HAVE SOME HISTORY WITH TIME
WARNER SINCE WE MERGED AOL AND
TIME WARNER ALMOST 20 YEARS AGO,
A LOT HAS CHANGED SINCE
OBVIOUSLY.
I THINK THE STRATEGIC LODGEIC OF
THE DEAL, IF THEY CAN FIGURE OUT
A DEAL TO RUN IT IN A MORE
INTEGRATED WAY, KIND OF MAKES
SENSE.
I WAS A LITTLE SURPRISED WHEN
THE MERGER CLOSED AND THE
GOVERNMENT FILED THIS APPEAL.
I THINK IT'S BETTER IF THESE
THINGS ARE RESOLVED BEFORE
THINGS CLOSE AS ON POSTED TO
AFTER THINGS CLOSE.
WE'LL SEE HOW IT PLAYS OUT.
MARIA:  DO YOU THINK THEY SHOULD
ALLOW THIS TO GO THROUGH?
>> I THINK THEY PROBABLY SHOULD
HAVE DECIDED EARLIER, IF THEY
REALLY WERE GOING TO HAVE
CONCERNS ABOUT IT.
I THINK ONCE -- AGAIN, I DON'T
KNOW ALL THE DETAILS.
I'VE BEEN FOCUSING ON WORKING
WITH ENTREPRENEURS IN THE MIDDLE
OF THE COUNTRY, NOT THINKING
ABOUT WHAT TIME WARNER SHOULD
HAVE BEEN DOING.
MARIA:  YOU'RE LEADING THE RISE
OF A SUMMIT, AN EFFORT TO INVEST
IN ENTREPRENEURSHIP HELP BUILD
BUSINESSES ACROSS THE COUNTRY.
THIS IS AN IMPORTANT PART OF THE
EMPLOYMENT STORY IN OUR COUNTRY,
ENTREPRENEURS AND SMALL BUSINESS
CREATE THE JOBS.
TELL US ABOUT YOUR EFFORT.
>> WE LAUNCHED THIS INITIATIVE
OVER FOUR YEARS AGO.
TODAY WE'RE IN CHICAGO.
YESTERDAY WE HAD 100
ENTREPRENEURS FROM 50 CITIES
DOING AMAZING THINGS IN SECTORS
ACROSS THE ECONOMY.
WE BROUGHT THEM TOGETHER TO
SHARE PERSPECTIVE.
A HALF A DOZEN OF OUR INVESTORS,
VENTURE CAPTAIN
VENTURE CAPITIN
INCLUDING ERIC SCHMIDT, A
VENTURE CAPITALIST, WE WERE
SHARING PERSPECTIVES ON SCALING
COMPANIES.
WE BELIEVE THE NEXT WAVE OF
ENTREPRENEURSHIP IS NOT GOING TO
HAPPEN JUST ON THE COAST, IT'S
GOING TO HAPPEN ACROSS THE
COUNTRY.
THAT'S CRITICAL.
THE BIG JOB CREATORS IN OUR
COUNTRY ARE THE YOUNG, HIGH
GROWTH STARTUPS.
IF WE ONLY BACK THE STARTUPS ON
THE COAST -- LAST YEAR, 75% OF
VENTURE CAPITAL WENT TO THREE
STATES, CALIFORNIA, NEW YORK AND
MASSACHUSETTS.
THE OTHER 47 STATES FIGHT OVER
25%.
BIG STATES LIE OHIO,
PENNSYLVANIA, MICHIGAN, GET LESS
THAN 1%.
WE NEED TO BACK THE
ENTREPRENEURS THERE, TO OFFSET
THE DISRUPTION OF TECHNOLOGY
THAT'S HAPPENING ON THE COAST
THAT WILL CONTINUE TO HAPPEN
WITH A.I., ROBOTICS, THEY'LL
DESTROY JOBS IN THE MIDDLE OF
THE COUNTRY IF WE DON'T BACK THE
ENTREPRENEURS IN THE MIDDLE OF
THE COUNTRY.
SOME OF THE CHALLENGES INCLUDING
ON THE POLITICAL FRONT ARE GOING
TO WORSEN.
LOT OF THE COUNTRY IS ANXIOUS
AND FEARFUL OF THE FUTURE.
THEY DON'T VIEW INNOVATION AS A
GOOD THING.
THEY VIEW IT AS A BAD THING THAT
WILL POTENTIALLY DESTROY JOBS OR
COMMUNITIES.
SO WE NEED TO MAKE SURE WE
UNDERSTAND THAT STARTUPS PLAY A
CRITICAL ROLE.
WE NEED TO LEVEL THE PLAYING
FIELD SO EVERYBODY EVERYWHERE
HAS A SHOT AT THE AMERICAN
DREAM.
WE'RE CREATING JOBS ALL ACROSS
THE COUNTRY, NOT JUST ON THE
COAST.
MARIA:  YOU SAY THREE STATES GET
THE MAJORITY OF WHAT, PRIVATE
EQUITY?
>> 75% -- VENTURE CAPITAL.
IF YOU LOOK AT THE VENTURE
CAPITAL DOLLARS, LAST YEAR 75%
WENT TO THREE STATES.
ACTUALLY, OVER 90% OF THE
VENTURE CAPITAL WENT TO MEN,
LESS THAN 10% TO WOMEN.
EVENT ONLY
EVERT ONLY
EVERY ONLY
EVERY SNLY
EVERY SPFY
WE HAVE TO MAKE SURE WE BACK
EVERY SPFS ENTREPRENEUR
