09/01/2018 BBC Business Live

on Tuesday the ninth of January.

Brian Krzanich reassures customers

there's no evidence

the chip issues have been exploited

as the world waits

for the problem to be resolved,

but how did his speech go down

at CES in Las Vegas?

We'll be getting an expert view.

Also in the programme -

Apple could be facing

legal action in France,

the iPhone's under the microscope

there over intentionally shortening

the life span of smartphones.

And the European trading day

has just got under way -

in London, better than expected news

from Morrisons

bodes well for retailers.

We'll tell you all you need to know.

Catching the copycats - we meet

the woman behind a service that

lets small firms track down and stop

others stealing their ideas,

without using expensive lawyers.

And with all that new tech

and latest gadgets on show

at this year's CES, we want to know,

what would you like

technology to do for you?

What gadget would change your life?

Let us know, #BBCBizLive.

Hello and welcome to Business Live.

One that can make me a really

well-made cup of tea and look after

my children simultaneously, that

would be perfect!

The boss of Intel has

made his first major public

appearance since the security

scandal that has potentially left

millions - possibly billions -

of machines vulnerable.

Called Meltdown and Spectre,

they could allow

hackers to steal sensitive data,

including passwords and

banking information.

The UK security services say

the chip vulnerabilities

have not been exploited

and structurally there is nothing

wrong with the hardware.

It's like having doors

and windows in a house

- that need to be there -

but that burglars

are able to exploit.

Adding to Intel's image

challenges, the company's

chief executive, Brian Krzanich,

sold about $24 million

in Intel shares in late November,

after the company learned

of the chip security problems,

reducing his holdings by about 50%.

Intel released a statement

insisting there was no impropriety,

saying the sale was "unrelated",

rather a pre-arranged

stock sale plan, and that he

"continues to hold shares in line

with corporate guidelines."

At the Consumer Electronics

Show in Las Vegas,

Intel's chief executive said

there was no evidence

that customer data had

been put at risk.

To make sure your data remains safe,

apply any updates

from your operating system vendor

and system manufacturer

as soon as they become available.

For our processors and products

introduced in the past five years,

Intel expects to issue updates

for more than 90% of them

within a week, and the aiming

by the end of January.

Claudio Stahnke is a security

research analyst at Canalys.

How worried are people by this?

Nice to see you, Claudio. I wonder

if you can explain how significant

this is, because we have heard from

both sides, but it seems to be a big

problem.

Yes, definitely, and not

affecting only Intel, every

microprocessor manufacturer has used

the same architecture with the same

exploit that now have been released

to the public. And now everyone is

trying to patch this problem.

There

are lawsuits, three class-action

lawsuits that have been brought in

the United States, alleging two key

things. I wonder if you can run me

through those, they could prove

costly for Intel.

So basically the

main problem is the slowdown in

performance, because obviously in

order to fix the security flaw,

performances will probably be

impacted, although for the everyday

user, this impact will not be so

noticeable. It will be more

noticeable for cloud providers, as

they've built by the second - if

their processors now need 60 seconds

to perform a task and tomorrow they

will need 61, you can see how

everything will be more costly.

So

mainly high-end users will feel the

impacts of this. There is also

criticism that it took so long for

Intel to basically admit to this

problem, why did it take them so

long?

Well, this is common practice

when you find and exploit, before

releasing it to the public, you

patch it, you worked in the

background in order to fix the

problem before releasing it, because

otherwise bad actors might decide to

exploit the problem.

Critics would

say Intel found out in the summer

and only told use of this week, does

it really take this long?

It is a

problem that has been there for 20

years, and they just found out six

months ago, so I assume that it was

a huge problem to face, so six

months could seem realistic,

considering also the fact that they

had to work with a lot of partners,

starting with Microsoft and other

security vendors.

An interesting

story, thank you for now, Claudio

from Canalys.

Thank you, Ben.

Let's take a look

at some of the other

stories making the news.

French prosecutors have launched

an investigation into Apple

over allegations that it slows down

older iPhone models.

Under French law, it is a crime

to intentionally shorten

the lifespan of a product

with the aim of making

customers replace it.

In December, Apple admitted

that its software

slowed older iPhones to cope

with weaker battery performance.

The camera-maker GoPro

is reportedly considering

putting the company up for sale -

after disappointing results.

The firm had earlier said revenue

fell almost 40% in the last three

months compared to the same

period last year.

It has also announced redundancies

and an end to its drone business.

Google has been accused

of discriminating

against conservative white men

in a class action lawsuit.

It's been launched by

two former engineers.

One of them was fired last year over

a controversial memo which argued

there are fewer women in top jobs

at the firm because of biological

differences between men and women.

Samsung Electronics

appears to be going from

strength to strength,

despite its boss being behind bars.

The South Korean tech firm

released its earnings guidance

this morning, and it's a bit

of a mixed picture.

They are making record profits but

not as good as some people were

hoping for.

Leisha Santorelli is in our

Asia business hub in Singapore.

Well, Sally, I will start with the

numbers, Samsung forecast profit for

the final three months of last year

will jump by 64% from one year

earlier to about $14 billion. Now,

this would mark the third straight

quarter they have posted record high

operating profits, so that is really

strong. Most people think these

numbers are due to the sale of

Galaxy smartphones, but they are

mostly due to the sale of the chips

inside the smartphones, as well as

other intelligence devices. Samsung

with the world's biggest

semiconductor manufacturer, and so

while the numbers are good, we're

actually seeing some mixed reaction

because Kjaersfeldt over concerns

that the prices of memory chips will

fall.

Thank you very much indeed.

That pesky strong currency syndrome

eating into Samsung profits to some

degree, a story that many companies

around the world know well. Let's

look at the markets around the

world, this is Wall Street the night

before, every day this year the S&P

500 has closed at a record high,

when will that end. It hardly move,

but it is going up and up and up.

Australia, Hong Kong, Japan, closing

up. Japan opened today for the first

time this week. SoftBank pushing up

Japan. We have a weaker yen helping

Japanese stocks. But China, again,

aids day rally in China, that didn't

end either, it seems to be heading

in one direction. -- eight day

rally. Morrisons shares up in

London, we are trying to move these

on for you to see the European

boards, they are over Ben's

shoulder! Morrisons had really

healthy sales over Christmas, better

than expected, good news for

retailers, the feeling about

retailers, a real focus on how they

are doing. I will hand you to Ben,

he has got the numbers and not me!

I stole the board, look! George

Godber is here to talk about the

European markets, nice to see you.

The reshuffle is well under way in

the UK, Cabinet reshuffle, the Prime

Minister, Theresa May, having some

difficulty getting a new Cabinet

together, what affect on the market?

You have just alluded to the strong

start that world markets have had

this year, and a noticeable lag and

would be the UK market. The Merrill

Lynch data is very clear, UK asset

allocations are at a 40 year low,

partly because of Brexit and the

concerns around that, but in

addition to that the political

uncertainty, and the worries

investors have over corporate

governance and what that might mean

for the UK economy and market, and

that hands over the Cabinet

reshuffle.

If I could just chip in,

you have got that going on, and yet

in Europe the figures are so strong,

the manufacturing data out of

Europe, just in Spain their

economies growing 3.1% year on year

in 2017, the Spanish economy! I

mean, in terms of people looking

around the world, where to put their

money, the UK as far down the list,

isn't it?

As you say, the European

recovery story is well under way and

has really got momentum, partly

because Europe started a lot later

after the financial crisis,

stumbling through that, and only now

are we starting to really gather

momentum. But at the margin, you

know, investors are not putting

their money into the UK, it is

creating some great opportunities in

the UK because everyone is looking

the other way.

News on unemployment

June later, expected to rise

slightly, but the picture in Europe

is of a solid recovery.

There is a

little UK staffing stuck with a

global business, they are the best

lead indicator for employment, very

strong improvement in European

temporary and permanent placements,

see a continued robust performance

in the European employment market.

I

know you will be talking us through

the papers later.

Still to come, catching the

copycats.

We meet the woman behind an app that

lets small firms track down and stop

others stealing their ideas

without using expensive lawyers.

You're with Business Live

from BBC News.

First of all, let's talk more about

Morrisons, dig deeper into those

numbers that I talked about earlier,

in the Christmas period, they saw

profits of 2.8% like-for-like in the

ten weeks to the 7th of January.

This comes in ahead of analysts'

expectations of 1.7%.

Molly Johnson-Jones is a senior

retail analyst at GlobalData.

Good morning to you, nice to see

you. Your take on these figures?

They look pretty robust.

Yes, they

have delivered a very strong

performance over the Christmas

period in both retail and wholesale,

because people were worried about a

slowdown, but they have invested in

their premium ranges and improved

the store experience and benefited

significantly.

What have they been

doing? You explained earlier that

they had done a lot of catching up

when it comes to their offerings to

consumers.

Yeah, so with the new

CEO, he has invented a turnaround

programme which means they have

played catch up with the other

supermarkets, investing in online,

going into supply deals, and they

have improved the store, improving

their supply chain in terms of

getting their ordering automated.

All very easy wins at the moment, so

in the future we will expect summer

slowdown, but they are in a good

position for 2018.

The likes of

Tesco and Sainsbury's are not too

worried.

Morrisons is a smaller

player, and the majority of their

geographical overlap is with this

counters and as that, rather than

Tesco Sainsbury's, so not a

particular thread at the moment. --

Asda.

As we mentioned, Morrisons

says up 5% today. Speaking of

Christmas cheer, on our web page,

Majestic Winds say their sales were

up 3.2% compared to the same time

last year. And a big update from

Persimmon, the house-builders,

reporting an increase in revenue, it

says up 9%, that will anger many

people who say that the big

house-builders are sitting on land

and keeping prices artificially

high, an accusation they deny.

Will be getting more results as the

progresses, many retailers coming

out with their numbers, and we will

get a picture of what is going on in

terms of where we have been spending

money. Food and string sales, the

essentials, but less money to spend

on other goods. -- food and drink.

Food has been more expensive partly

because of the impact of the pound

et cetera.

You're watching Business Live.

Our top story:

The boss of Intel says fixes to deal

with the Spectre and Meltdown chip

vulnerabilities will be rolled out

by the end of the month

. He was speaking a the consumer

electronics show. We will have a

report from there later on with

Chloe the robot.

It's a sadly familiar tale.

A small business comes

up with a great idea,

but before they know it,

it's been copied, reproduced

and is being sold illegally.

Nearly a third of small firms rely

on their designs or plans -

their intellectual property -

for around three quarters

of their revenue.

A quarter of those had suffered

copyright infringements

in the past five years.

And it's big business.

The OECD says imports of counterfeit

goods are worth 2.5%

of all global imports,

nearly $500 billion a year.

Rachel Jones is the founder

and chief executive of Snapdragon,

a service that helps

tackle copyright infringement.

Rachel, nice to see you. Welcome to

the programme.

Good morning. Thank

you.

This all came about because you

suffered that scenario we just

described there. You had come up

with an idea and you suddenly found

that someone was selling it

illegally. Talk us through that.

You're right. I invented a baby

product some years ago now and I had

always thought that it might be

copied, but actually the whole

absolute total copy as a counterfeit

hadn't really crossed my mind and

when one was, a counterfeit was

seized by customs I was appalled,

but I was so furious that I had to

do something about it because it

feels like a violation, but I was

too wee. It is difficult to fights

counterfeits and infridgements on my

own. I employed a couple of Chinese

students and I searched online until

I found people who were copying me

and I reported them for removal.

When we were talking about, I did

think to myself, I bet, you know,

most of these companies that are

copying and flogging these things,

exactly the same as your product

which was a high chair for babies,

they are not actually going to stop

when you point out what's going on.

Well, what we do, we make it

incredibly difficult for them to

sell the product and because any

bona fide portal must take down and

prevent counterfeit...

Amazon and

Alibabas.

They must remove the

products from sale and if you keep

reporting people and say can't be

sold, you're cutting off the oxygen

supply and cutting off the sales

channel so they go away and do

something else. You need to be

persistent and tenacious.

You have

to keep on at it because it will pop

up there. And also there is big

language barriers as well. We

touched on the fact that a lot of

counterfeits might be coming from

overseas. Are those the two biggest

hurdles. Time, as a small business,

you don't have the time or energy to

be doing had?

You don't have the

time or energy or the language

skills and it is distracting, you

must continue to run your business.

So we offer a service whereby we are

monitoring in 13 languages, 13

languages in house and we are

monitoring 200 or 300 E-commerce

platform for infringing products.

How does your company work? I

understand clients who become your

clients, these are companies who

make stuff and say can you watch out

for us and they pay you a fee?

That's right. Before they pay us

anything, we make sure they are

doing everything possible that's

free. There is so much that people

can do for nothing and they pay us a

small monitoring fee. We identify

the links and they can take them

down or we can help with this.

Companies like Levi and the big

names, they have whole counterfeit

kind of departments with lawyers and

investigators who are on this all

the time. They have got the money to

do that and the expertise. Is it

getting worse or better?

It is

getting worse. Mostly because more

people are online so there are more

opportunities to buy and more

opportunities to sell and it used to

be about luxury goods and now it's

about everything from fish food to

hairbrushes. Anything and everything

that you would hope wasn't

counterfeited will be. And the

smaller business you are with a

global footprint the more likely it

is that you will be counterfeited.

We've talked about the cost to the

business. But there is a huge health

and safety implications for a lot of

products too. I was astounded by the

statistics you had about toys

particularly in Europe, the scale of

the problem when it comes to

counterfeit toys. And all the

associated health and safety risks?

It is horrible for toys and nursery

products and for pharmaceutical, but

for toys and baby things the

counterfeit products don't go

through the rigorous testing regime

that we must have in Europe to sell

bona fide product and so, people do

get hurt and that's a thing that

really makes one cross and online it

is just so difficult to tell the

difference between the genuine and

the counterfeit.

Congratulations to

you, Rachel.

There is a long way to

go, but they're not going to get

away with it.

Thank you.

All this week, we're

bringing you the latest

from the Consumer Electronics Show

in Las Vegas.

Rory is there. Dave Lee is there.

It's a glitzy, flashy affair.

Some of the world's biggest

companies are showcasing

their proudest achievements.

But it's fair to say that

some presentations have

gone better than others.

Take a look at this.

Allow me to introduce Chloe. Hello

cloly.

Good morning, Dave. I hope

you are well. What can I do for you

today?

Chloe, what's my schedule?

You need to go to the gym at 10am

today. Power up. Power up. Smart

learner has set the washer to the

sportswear setting.

Chloe, am I ready on my wash room

cycle?

Even robots have bad days!

T-cloically, what's for dinner

tonight?

OK. Chloe is not going to talk to

me. Chloe doesn't like me!

George is back.

I tell you where he went today, he

asked her what was for dinner today.

That's the question everybody hates.

They are set up to fail. There is

little sympathy when they put on the

glitzy shows and things don't go

according to plan. There is not

going to be sympathy.

Some people

are referring to them as the

technology that's going to take us

over like Judgment Day and bring

about the end. Maybe we are seeing

the response back.

Talking tech and

the issue with male-female, the

Google engineers are fighting back.

They're no longer with Google or at

least one isn't, it is about the

memo put out there last year, the

man who wrote it was removed from

Google. He suggested the biological

differences between men and women

meant more men are more likely to

rise to the ranks than women so he's

fighting back.

This whole situation

is not going to play out well for

Google because they are going toe

end up giving, losing him the way

they have handled it. They should

have destructed his arguments, like

why are there four times men? What

are Google doing about it? There is

no reason why it shouldn't be 50/50.

They marched him out and he can say

you are just anti-free speech. I

think they should have done more at

the time to actually address the

core of the issue.

When he was

marched out, he was offered several

jobs straightaway or something?

Back

to the kick back in big tech. There

is a lot of people who want to speak

to anyone who has come out of the

machines, you know, is fighting

against the system.

I want tech to

make tea and look after my kids.

What go you George? We have had lots

of viewers responses as to what we

would like technology to do for us.

If they could handle bath time to

bedtime that would be, you know...

Do it successfully?

That would be

great.

Stephen says still waiting

for his flying car, personal jet

pack. Michael says, "Simple, I want

it to get rid of my cold." Ronnie,

this is, a lot of you saying you

want nothing more. Ronnie says, "We

are getting dangerously close to

being able to do nothing for

ourselves anymore." ." An

old-fashioned car that you just

drive.

But they will be driverless.

We're not going to drive them.

The

joy of driving still. You still want

to be able to drive.

George, we had another story about

GlaxoSmithKline. Talking about the

new boss, really changing senior

management in a major way?

Glaxo had

a big issue for a number of years.

The share price is the same price it

was 25 years ago. This is a business

that hasn't gone backwards, it

stagnated. The new Chief Executive

has come in and grabbed the bull by

the horns. Key headline appointments

in research and development, but she

is changing the management

structure. Watch this space.

Her

name?

Emma...

Sorry. I'll tweet T

George, thank you for coming in.