17/02/2017 BBC Business Live

This is Business Live from BBC News with and Aaron Heslehurst

tells the BBC of his fears for public debate and globalisation

because of fake news and extremist views.

Live from London, that's our top story on Friday

Mark Zuckerberg has been talking to us about his worries that that

millions are being left behind by global growth which is leading

them to "withdraw" from the "connected world".

The boss of one of the world's biggest companies, Samsung,

And as always we'll bring you the latest on the markets which

for now are taking a bit of a breather

And we'll be getting the inside track on the talks

between France's PSA and General Motors which could

create Europe's second biggest carmaker and all the other big

business stories of the week with our Business Editor, Simon Jack.

Fear the global market rally will end is driving some

to pour their money into wine, but if you invest would you have

There is only one thing to do with wine!

The founder of Facebook, Mark Zuckerburg, has told the BBC

he fears millions of people are withdrawing from the globally

connected world and that fake news and the propagation of extremist

views online have damaged public debate.

It's an intervention for the social media billionaire.

Mr Zuckerberg has revealed deep seated concerns that the tide

is turning against globalisation, a concept facing increasing amount

He said people had been left behind by global growth and the rapid

changes the world has seen which have increased

He believes it had led to millions of people to demand to "withdraw"

from what he described as the "connected world".

And in a call to action, Mr Zuckerberg said that people

shouldn't just "sit around and be upset" but should act to build

His interview comes alongside the publication of a 5,500 word

manifesto he has written about the future of Facebook

Economics Editor Kamal Ahmed has been speaking to Mark Zuckerberg.

Interesting that he is saying he is concerned about the rise of

extremist views and fake news but many have blamed Facebook for that.

And he is holding up his hands. To an extent. I think he believes fake

news will be controlled other uses of Facebook and other social media

platforms. He is not a man who was about banning things. He wants to

put in control so people can decide they don't want to read things that

might be considered or are fake news. And he does admit that social

media platforms have been at least in part to blame for fake news and

for what he calls this polarisation of opinions. This very aggressive

environment many of us find ourselves in where you are attacked

for your opinions, it is not a discussion but an argument. And he

admits that the way that social media works with short form

arguments and aggressive environments has been a problem and

he wants to look at that as an issue. It is a very long document

setting out the future for Facebook. Do you think this is a manifesto for

Mark Zuckerberg to enter politics? I don't think so, he said to me did

not want to be up and audition but it certainly is political. -- he did

not want to be a politician. I think the boundary between politics and

business is more for the now than in the past and Facebook is one of the

most influential cultural phenomena. It matters about what we buy, who we

talked to come what we seek so its role is political. Whatever you

think of is political. Whatever you think of it opinions, he is one of

the few people who actually believes he has to have a role in this debate

about politics and where the world is going and he is willing to have

it and I can't imagine many other chief executives who would sit down

and write 5000 words with a degree of code in you agree or not with it,

but at least he is doing it. He is a rich man and they have had

controversies over fake news and privity and taxes paid and he did

not deal with those in this document, but at least he has an

argument and he puts it out there and you can agree or not. I don't

use Facebook, but we cover the stories and the numbers and they

added another 235 million last year. It is an incredibly profitable

business. They have learned how to monetise it. But has it changed the

world we live in? Certainly, yes. In terms of not just Facebook but many

social media platforms, they have definitely changed. But

connectedness, the notion of did it help or lead to the Arab Spring,

four example? Social movements, the fact that many countries that were

not open in the past have been made more open by the arrival of Facebook

and more generally, the Internet. They have had an effect but where we

are still struggling is what is the political role of these

organisations and what legitimacy do their leaders have in telling us

where we should be going? Nobody voted for Mark Zuckerberg. People

voted for Donald Trump, for Brexit in the UK, and I think that is where

the clash is. He has at least put out a manifesto about where he wants

to go and it is for others to agree or disagree with that. How did you

talk to him? On the phone, even to me, hello, it's Mark! And you didn't

recorded?! It wasn't for broadcast. He called you! Wow!

is in custody in South Korea. biggest companies, Samsung,

Lee Jae-yong has been placed under arrest accused

It's part of a long running corruption scandal which has led

to the impeachment of President Park and has now raised serious questions

about the leadership and direction of a company worth about 20%

Sharanjit Leyl is in our Asia Business Hub in Singapore.

Can I ask you, how much will this stick? Correct me if I'm wrong but

his father was also arrested in the past but there have always been

suspended sentences? It's not the first up we have seen a big South

Korean conglomerate in trouble like this and I know we have been

reporting this a lot over the last week but it is also important to

stress that Mr Lee's arrest does not reflect a court opinion on guilt or

innocence. It is a potentially serious crime, and it assumes a

flight risk. Bearing in mind it does not mean any guilt at the moment. We

have been reporting this case which is linked to the impeachment of the

president of South Korea, President Park. Prosecutors are accusing Mr

Lee of giving donations to organisations linked to a close

friend of the president. This is when it started and they alleged

this was done to win government support for a big restructuring of

Samsung that helped create a smooth transition of leadership in favour

of Mr Lee who is standing in as chairman for his ill father who you

mentioned. Mr Lee and the Samsung group deny any wrongdoing. He is

being -- and he has been questioned before but prosecutors decided not

to arrest him. He has now been questioned for a second time and was

arrested today after the court acknowledged that it was necessary,

in light of a lot of newly added criminal charges and evidence that

come light. So the boss is behind bars but what direction now for the

company? It is going to be difficult for them to continue in this

situation. Indeed it is. In the near term, the prosecution has about 20

days to file formal charges and Natalie this is not having a good

impact on Samsung shares which fell by about 0.4% today although the

broader Korean index ended flat. And the reason that is so much interest

in this story globally is because Samsung is one of the world's

biggest Tektronix companies and for the head of the company that thrives

on up premium brand image to be involved in a corruption scandal

causes a huge embarrassment -- biggest electronic companies. Mr Lee

is vice-chairman of the company but since his father suffered a heart

defect in 2014 he is considered as defect in 2014 he is considered as

the de facto boss of the entire conglomerate and with his future in

doubt, the company might have to scrambled to find a suitable

replacement if his arrest today leads to him possibly being jailed

in the long-term. Thank you for the update and have a great weekend.

Toshiba shares have tumbled another 10%.

It reflects the continuing uncertainty over the future of the

company. They had to reveal the site of the write-down of its US

business. The share price is now about 60% lower than what it was at

the end of December when the problems were first revealed. The

company may have to be removed from the Tokyo stock exchange and taken

over by the Japanese government. Hanjin Shipping used to be

one of the world's top But now it faces the final curtain,

as Hanjin heads to a court in Seoul, The company sought protection

in August last year, after creditors refused to rollover

debts which surpassed A slowdown in the global economy,

and trade were cited as the main Let's look at some of

the numbers in Asia, stocks are taking a breather

from that recent rally. You know, for the markets of late

it's been Trump on - The dollar's inched higher and we've

got quite a bit of optimism over possible renewed supply cuts by

Opec, and that's lifted oil prices. Europe is also likely

to stop and breathe today, as well as investors taking a little

money off the table, cashing in a bit and taking some

of those profits. OK, let's find out what'll

be making the business Wall Street heads into the close

of the week still gripped by the political drama playing

out in Washington, DC. On Friday, it is expected that

President Trump's choice to lead the Environmental Protection Agency,

Scott Pruitt, will be But opposition to Mr Pruitt

as the chief environmental regulator has been fierce,

not least because of his stated scepticism about the extent

to which humans have His position as one

of the government's lead regulators will have big implications

for many businesses. Meanwhile, the Trump

administration's desire for fewer regulations and more infrastructure

work is already expected to have boosted demand at the farm machinery

maker Deere Company. Deere reports earnings before

the markets open, and shares have risen more than 22%

since the election. Joining us is Richard Fletcher,

the Business Editor from The Times. Sorry to interrupt you! Let's talk

about this stutter in the global rally. Why do you think it is? Have

investors been too optimistic? They seem to be pausing after a great

start to the week with all of the four major indices in the US all

closing for four convicted of days, a feat last achieved in 1995 so a

good start to the week. It seems there has been a bit of a pause with

the Dow Jones eking out a slight gains last night but the other

disease were down. We will get these promised tax cuts from President

Trump. -- the other indices. Even if they will be phenomenal! That might

push the market higher but there seems to be a pause at the moment.

We were talking about Han Jin-soo pink, that is a big story and it

reflects global demand -- we were talking about Hanjin shipping.

People look at that about global trade and we had positive data in

Asia at the start of the week would help send equity market higher so

the picture is still slightly confused and people will have to get

used to a president who will spend 75 minutes on a combative press,

but! You will take us through the papers when you come back and we are

going to start investing in wine and do you have the willpower not to

drink your investment? I think you are in the same boat as me! I am

sure of it. Still to come, we get the inside track on what could be

your's mega motor merger of the year.

The UK can be shielded from some of the worst excesses of global food

price swings if it produces more of its own food.

New research reveals that only 52% of food eaten in the UK

comes from British farmers, and Britain must become more

self-sufficient in food production and build up a stronger local food

sector in the face of global uncertainties.

Our business reporter Sean Farrington is at

I don't know what you are handling, and aubergine? Where is it from? A

stripey aubergine from Italy. A pak choi. 95% of this thread is from

Italy and three quarters of the fruit and veg we get in the UK is

imported. We grow more of our food when it comes to milk, eggs, dairy

and meat. But in the UK, are we up for growing more here and

potentially having to pay more for it? Adam Leyland is editor of the

Grocer magazine. Your readers and customers, are they up for it? Of

course. And they do buy it. For example, strawberries today, for ten

months of the year, you can buy British strawberries. So where it is

possible and practical, where there is not too much of an excessive

cost, of course they are. But it has to be within reason. You can't

expect consumers to suddenly turn off the switch and say, we no longer

want to buy salad and courgettes and that Mediterranean diet all year

round. That is no more realistic than saying we will turn off

Facebook and social media because of fake news. It is here, we love it

and it is the supermarket's job to deliver it. Just to update you on

lettuce, I spotted a few earlier, so they are back in stock. But it is a

difficult question for supermarkets to answer. Do they go first and

start asking for more British produce, or does it take customers

to ask for them first? Are we going to get a nice tomato like this being

grown in the UK in the middle of the winter? Probably not. Sean, some

would say the supermarkets might ask for locally produced stuff, but they

have to stop screwing the farmers. Farmers have a lot of questions,

yeah. Facebook founder Mark Soderberg

tells the BBC that his fears for public debate and globalisation

because of fake news and extremist views -- Mark Zuckerberg. The boss

of Samsung has been arrested in South Korea over a wide-ranging

corruption scandal. A quick look at how

markets are faring.... Some businesses are cashing in on

taking their money off the table. I am not sure if those figures are

right! I don't believe they are correct, so let's get rid of them.

And now let's get the inside track - PSA Group, maker of Peugeot

and Citroen cars, is in talks to acquire General Motors'

European business in a deal that would transform

We're now joined by our business editor Simon Jack

I think those market boards are wrong too. Let's talk about this

deal. It is huge, but there is concern that it will lead to a loss

of jobs in the UK. And that is concentrating minds in Westminster.

Probably not just the UK. This is a fast-moving deal which caught us all

on the hop. And you tonight, we got an announcement from General Motors

that they were in talks with PSA, which owns Citroen and Peugeot, to

look at options which might include selling the whole lot of them. And

it became clear that that was the real thing. You had the president

and chief executive of General Motors flying to Germany and enter

the UK to meet unions and politicians in both countries. You

don't do that unless you mean business. In this country, we have

two macro. Citroen and Peugeot have 14 plants in Europe. Opel are known

as Vauxhall here. They have eight in Europe and two in the UK.

Altogether, you have 24 plants, which is too many. Everyone thinks

there is massive overcapacity in the European car manufacturing market.

So some are going to go. Add to that the fact that the new boss of

Peugeot Citroen is a famous cost cutter who slashes and burns, and

you have plants all over Europe thinking, are we safe here? You

Brits are very efficient at producing cars. They are going to

look at efficiency. Do you do better at making cars here than Italy?

There are lots of different measures. GM has been losing money

in Europe generally and in the UK for years. They have lost something

like $15 billion in Europe since 2000. Last year, they would have

made money in the UK, had it not been for the fall in sterling, which

meant some of the imported parts were more expensive and the money

they made from car sales in the UK were lower because of the weakness

in the pound. There will be a massive scramble. The car industry

is always such a political fight. You are going to have the French,

German and UK governments scrambling to protect jobs. But in that fight,

there is a handicap because the French government is a 14% owner of

Peugeot Citroen. The Peugeot family is a 14% owner of Peugeot Citroen,

some two French entities own 30% between them. Show France is going

to win. The odds are stacked in their favour. Greg Clark is the

Business Minister in the UK, and he is going to have to turn on the

charm as he did with Nissan to get them to stay in the UK. Thanks,

Simon Jack. Nearly 4 billion passengers took

to the skies last year and the airline industry expects

that number to double over No wonder taxing passengers is seen

as an easy way for hard-pressed But in the latest of

our interviews looking at the health of the airline

industry, the head of the body representing European airlines told

the BBC that imposing passenger It's good money for the government,

but what you've seen as a direct impact is that passengers have

started moving to other airports. In the case of Schiphol

in Amsterdam, passengers have See you see a migration or a move

away from those airports where this additional aviation tax or air tax

is being implemented. So it's really only short-term

gains for government. In Holland in 2009,

they realised the economic damage because of less passengers

and less income was really affecting the Dutch economy

as a whole, interestingly enough. So the Dutch government

abolished the passenger tax and within one year,

the economic benefits Today, Schiphol is a very

successful airport. They abolished it, and it has more

economic benefit and hence also to the government,

because more economic activity means more tax revenue

for the government anyway, So we've been able to show

in a number of countries that it's actually more damaging than anything

else, and mid to long term, is more damaging for the economic

impact and hence for government tax revenue, having a tax rather

than not having a tax. What other business

stories has the media been Richard is back. We noticed this

story. Have you ever invested in it? No, but my father bought me a bottle

of one this Christmas and said not to drink it for two years. Last

night, I was thinking I might have to drink it. We will see whether I

have the patience. There is much more in interest in wine as an

investment because there was a belief that maybe the global rally

is nearing an end. Do you think wine would be a good investment?

Obviously, there are lots of investors at one funds saying what a

great investment it is. These alternative investments always have

a slightly patchy record. For a few years, they have a terrible year and

had lots of Chinese investors pushing up the prices. But investors

are looking at whether this is an alternative to the other safe stores

of value like gold etc, where people put money when they are not sure

about putting it into equity markets. But they do have a patchy

record. They are not one for the amateur investor or the drinker.

Don't point at me! Another area where people are putting their money

is in voice-activated technology. Google homes is taking a swipe at

Amazon. Absolutely. Anyone who has ever used the Alexa service on

Amazon will recognise this. You can have a device in your home like

Alexei when you say, order me some paper towels, Google, and I will

order you some paper towels after telling universe. The idea is that

the web will move to voice command. We have moved away from desktop

computers. Most people now use iPads or phones. The idea is that next, we

move to voice command. If you come round to my house, you can order the

wine. Do you have one? We played with one. We only used it to ask it

jokes. Richard, always a pleasure. Have a great weekend. Wrap it up,

Susannah. You have been watching business life.

There will be more business news throughout the day on the BBC Live

webpage and on World Business Report.

If you have been enjoying this step toward something milder and more

springlike, that continues all the way through the weekend and into the

start of the next week before things turn cooler again. This morning, we

have air coming in off the Atlantic, bringing quite a bit of cloud. The

thicker cloud extends from Scotland, Northern Ireland the Midlands and

the south-east. It has some rain and drizzle on it. Either side of it, a

chilly start. Some mist and fog around here. But here is where we

see the best of the day's sunshine. There will still be cloud here

during the day. Some rain and drizzle, especially towards the

West. Breeze in Northern Ireland. Foremost, a light wind. For most, it

feel pleasant. Best favoured around parts of East Devon Somerset and

eastern parts of Scotland. Tonight, we continue with temperatures above

where they should be for the time of year. It will be cooler in East

Anglia and the south-east. The rain will clear Northern Ireland quickly

on Saturday morning. A wet start in Scotland. Eastern Scotland stays

dry. West of Scotland will brighten up later. In north-west Wales, after

a bright start of the day, it turns cloudy, with outbreaks of rain. If

you isolated spots of light rain. Temperatures will be well into

double figures for most of you. We keep the westerly flow as we go

overnight. Some spots of rain or drizzle from the club. Many will

have a dry day on Sunday. We could have something even milder on Sunday

night into Monday. We will see heavy bursts of rain developed across the

north and west of Scotland. Patchy rain and drizzle across other parts

of the UK. But with some breaks in the cloud and sunshine to the east

of Wales and across eastern parts of England, this is where we could see

temperatures on Monday afternoon which the mid-teens, maybe as high

as 17 Celsius.