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NEWS STREAM

Ukrainian President Says Most Russian Troops Have Left His Country; President Obama Open To Airstrikes in Syria, According to U.S. Officials; Oscar Pistorius Awaits Verdict; Apple Unveils Apple Watch, Discontinues iPod Classic; British Politicians Head To Scotland In Attempt To Stop Tide Of the Yes Campaign

Aired September 10, 2014 - 8:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


KRISTIE LU STOUT, CNN HOST: I'm Kristie Lu Stout in Hong Kong and welcome to News Stream where news and technology meet.

Now John Kerry arrives in Iraq as the U.S. president prepares to unveil his plan to combat ISIS.

Ukraine's president says most Russian troops have left his country.

And Apple unveils its watch, the first major new product created without the input of Steve Jobs.

U.S. officials say President Barack Obama is open to U.S. airstrikes in Syria, but it's not clear if he'll make any announcement about that in a

televised address to the American people later today.

Now the U.S. president will lay out his strategy for destroying the militant group. And one thing we do know, the White House will go forward

with its battle plan with or without the backing of congress.

Now on the brink of what could be a much more aggressive plan, President Obama briefed congressional leaders on Tuesday. Now CNN's Michelle

Kosinski has more on the view from Washington.

(BEGIN VIDEOTAPE)

MICHELLE KOSINSKI, CNN WHITE HOUSE CORRESPONDENT: The president today meeting with congressional leadership, what the White House again called

consultation one day before he lays out to the American people his plan against ISIS.

JOSH EARNEST, WHITE HOUSE PRESS SECRETARY: The president will make his case based firmly on what he believes is in the best interest of the United

States.

KOSINSKI: The White House says this week's formation of a more inclusive Iraqi government, plus progress from U.S. airstrikes, now equals a turning

point, a reason to map out what the plan now is in this new phase, not a minute too soon for Republican leadership.

SEN. MITCH MCCONNELL, (R) KENTUCKY: We need to identify military objectives and explain how those ends will be accomplished.

REP. JOHN BOEHNER, (R) OHIO: Until we know what the strategy is, we don't know what's going to be involved. And so it's critically important that we

take these in some organized steps. And the first step is what's the plan.

KOSINSKI: Where's the big disconnect there? And why do you think congress still doesn't even know what the plan is?

EARNEST: Well, Michelle, I won't speak to or try to assess the motivation of some critics of the president who may suggest that he doesn't have a

strategy. That will not deter this administration's commitment to consulting with members of congress and describing to them the strategy

that the president is pursuing and has been pursuing for some time to confront this threat.

Failing that, I assume that each of these members of congress has televisions.

KOSINSKI: An address that will be one year to the day after this primetime address on Syria's use of chemical weapons.

OBAMA: I will not put American boots on the ground in Syria. I will not pursue an open-ended action like Iraq or Afghanistan. I will not pursue a

prolonged air campaign like Libya or Kosovo.

KOSINSKI: Those air strikes never happened, but as to prolonged or open- ended in this situation now, the White House acknowledges the president will not be telling the nation how much approximately his plan will cost or

how long it will last.

EARNEST: I wouldn't expect something that's quite that detailed. He'll talk about the risks that the United States faces. And he'll talk about

the strategy that he has put together to confront those risks, to mitigate them and ultimately to degrade and destroy ISIL.

(END VIDEOTAPE)

LU STOUT: And that was Michelle Kosinski reporting.

Now the U.S. Secretary of State John Kerry has now arrived in the Iraqi capital with a newly formed government is waiting to hear how the U.S.

plans to step up its offensive.

Let's go straight to CNN's Anna Coren. She joins us live from Irbil in northern Iraq. And Anna, Secretary Kerry, he is there and he's struggling

to build a coalition in Iraq and across the region, but he's there as car bombs rock the capital. What is the latest out of Baghdad?

ANNA COREN, CNN INTERNATIONAL CORRESPONDENT: Yeah, that's right, Kristie. We are getting reports that there have been multiple car bombs in Baghdad.

Obviously this is something that we are being seen over the past months ever since those U.S. airstrikes began here.

But this violence is nothing new to Iraq. Obviously the people here in Kurdistan as well as in Baghdad waiting for that address from President

Obama, which as you say will be primetime U.S. 4:00 a.m. local here. People will be listening, people will be wanting to know that the president

has a strategy moving forward and that he has a commitment to this war against ISIS.

Obviously, as you mentioned, U.S. Secretary of State John Kerry in Baghdad. He arrived a few hours ago. They're showing his support for the new Iraqi

government, the new Iraqi prime minister. Still extremely fragile. And then the jury is out as to whether that will work. But obviously they're

under enormous pressure to make it work considering the threat that ISIS poses to this country.

What they want to hear out of Iraq from President Obama is that there will be a more intensive air campaign. We have seen those airstrikes. They

have been working, certainly changing the situation on the ground. Haditha dam over the last several days, Mosul dam and then not far from us here in

Irbil, really pushing back those ISIS militants.

The president has said there will be no U.S. forces on the ground, he's made that perfectly clear, but what they can do is arm the Peshmerga, arm

the Iraqis, they can train them, they can give them the intelligence that they desperately will need to fight the ISIS militants.

They will also give them the vital leadership. You know, the Kurdish and the Iraqi forces have been operating quite separately, so they need to be

unified, they need to be cooperating and hitting ISIS so they really are effective, Kristie.

LU STOUT: That's right, the need for unity is critical at this moment. And Iraq has a new government, but it is a fledgling one.

So is it your sense that the government there is gaining the strength, gaining the unity it needs to provide a strong robust and inclusive

response to ISIS?

COREN: Look, Kristie, I think that we all hope that that's what they can achieve, but this is Iraq. And we know that it is extremely complex,

extremely difficult. You know, the sectarianism within this country runs so deep and it is bubbling away just under the surface.

I mean, they need to get it right. Obviously here in Kurdistan they have not had all their demands met. But they're willing to give it a couple of

months, three months, in fact, to see whether this will work.

The new Iraqi government under enormous pressure form the United States to make this work, to be inclusive, to include the Sunni population which was

ostracized and marginalized, persecuted by the former Maliki Shia-led government.

So really there needs to be a change, there needs to be that inclusion so that the Sunnis do feel part of it, because we have to remember, Kristie,

that ISIS has been walking in, driving in, you know, in their large convoys into these Sunnis-held towns and cities.

Now whilst ISIS hasn't necessarily been invited, they have been welcomed in by some Sunni communities. So at the end of the day we have to see a Sunni

uprising and that is only going to happen if they feel like they are part of this government, Kristie.

LU STOUT: All right, Anna Coren with the view from Iraq reporting live from Irbil. Thank you, Anna.

Now westerners are among ISIS recruits. And the militant group is also making a special push to attract women. Now the big fear here, the number

of volunteers is on the rise. Atika Shubert has more.

(BEGIN VIDEOTAPE)

ATIKA SHUBERT, CNN INTERNATIONAL CORRESPONDENT: Guns and the Koran one day, swapping recipes and shopping tips the next -- this is he online world

of the women of ISIS. From Aqsa Mahmood (ph), once a shy Glasgow schoolgirl, now married to an ISIS fighter in Syria. A blog believed to be

written by her reads as a how-to manual for any female ISIS recruit.

Top tips, get your shots, pack sturdy boots, a warm coat and plenty of full body veils.

Two, a British woman who calls herself Um Qataab (ph) posing with an AK-47 calling for the British prime minister's head on a spike.

According to the terrorism research and analysis consortium, as many as 15 percent of ISIS foreign recruits are women, possibly up to 200 from at

least 14 different countries.

It's not the first time for women in a jihadist conflict, but it is the first time they had been recruited in such large numbers.

But a (inaudible) they call themselves is not expected to fight. She supports her husband at home cooking, cleaning and raising children. But

the appeal of ISIS is the same for husband and wife, say those who track ISIS fighters online.

VERYAN KHAN, TERRORISM RESAERCH & ANALYSIS CONSORTIUM: They have the same goals and the same envisions once they get there.

Now granted their roles may be much more limited to the 1950s housewife type of thing.

SHUBERT: But in February, ISIS formed al-Qansa (ph), an all-women battalion with about 60 members, all of them believed to be under the age

of 25. They now have their own media channel with propaganda videos like this.

The battalion has two roles: manning checkpoints and inspecting all women that pass, but also enforcing ISIS strict morality code for women in the

self-declared caliphate.

There are reports they flog women who are not fully veiled in the niqab.

But many of the women, especially foreign recruits, have expressed clear ambitions to be on the frontline.

KHAN: This is obviously rapidly changing as we speak. They're being trained in weaponry, they're being trained how to clean the weapon, how to

fire the weapon, and granted these are just basic boot camp skills -- they have the means to defend themselves.

SHUBERT: Whether it's cleaning an AK-47 or whipping up a chocolaty treat for their jihadi husbands, the goal is the same for these women: to serve

the extremist ideals of ISIS.

Atika Shubert, CNN, London.

(END VIDEOTAPE)

LU STOUT: You're watching News Stream. And still to come, it is crunch time for British leaders as they try to win over pro-independent supporters

in Scotland.

And possibly progress in Ukraine. The president says Russian troops are slowly pulling out of the east.

Also, Apple fans feast your eyes. The tech giant's latest lineup has been revealed. And one wearable gadget is stealing all the attention.

(COMMERCIAL BREAK)

LU STOUT: Welcome back. You're watching News Stream. You're looking at a visual version of all the stories we've got in the program today.

Now we've already told you about the U.S. plans taking shape to fight ISIS militants. And a little bit later, we'll break down Apple's big

announcements.

But now I'm going to tell you about another major tech story. Now Microsoft is said to be closing a deal to buy Mojang, the maker of

Minecraft. It was first reported by the Wall Street Journal quoting sources who valued the deal at more than $2 billion, that would be the

biggest acquisition yet for the new Microsoft CEO Satya Nadella.

And if you're not familiar with the phenomenon, that is Minecraft. You can think of it as a virtual form of Lego.

Now unlike your typical videogame, Minecraft has no storyline or rules. Players build anything they want out of blocks, metals and other materials

and make up their own adventures. But they have to avoid the monsters that want to destroy those creations.

Now more than 50 million copies of Minecraft have been sold since it was first released in 2009. It is consistently one of the top games in both

Apple and Android's app stores. That's all the more incredible considering Mojang is a small company based in Sweden with just a few dozen employees.

Now founder Markus Persson has been critical of big tech companies in the past. In fact, in 2012 he tweeted that he told Microsoft to, quote, "stop

trying to ruin the PC as an open platform."

And in 2011 he had some harsh words about the video game industry while speaking to CNN.

(BEGIN VIDEO CLIP)

MARKUS PERRSON, FOUNDER, MOJANG: For some reason, the industry is getting greedier and greedier. I think that's because they are -- things are

getting so big. It's turning into like Hollywood blockbuster productions. So it's a -- you take huge risks and you have to sell a lot of copies and

you have to make sure you make as much money as possible.

(END VIDEO CLIP)

LU STOUT: Now Bloomberg says that Persson reached out to Microsoft about the sale of Mojang. And a source tells Bloomberg that he plans to remain

for a transition period and is unlikely to stay after that.

Now the British Prime Minister David Cameron is making an emergency trip to Scotland to urge voters to reject independence.

Now the Deputy Prime Minister Nick Clegg and opposition leader Ed Milliband are also heading there to campaign to keep the UK together.

Now Scotland's independence referendum is just eight days away. And British leaders are feeling the pressure after a surge in support for the

yes campaign.

Now speaking just a short time ago, Mr. Cameron told a group of Scots he would be heartbroken if the UK got torn apart.

Now the no Campaigners have been trying to step up their game in Scotland. Our senior international correspondent Nic Robertson recently hit the

streets with some of them in Edinburgh.

(BEGIN VIDEOTAPE)

NIC ROBERTSON, CNN INTERNATIONAL CORRESPONDENT: Pressure is on. Get out the no vote.

How worried are you that the yes vote is surging?

UNIDENTIFIED FEMALE: I'm actually worried about it, but (inaudible) come along today.

ROBERTSON: Come along to hear from politicians they hope will save them from independence.

ALISTAIR DARLING, BRITISH PARLIAMENT MEMBER: This is a tight referendum race. It really is game on.

ROBERTSON: Big guns, Wales first minister, making a case to keep the country together.

CARWYN JONES, WALES FIRST MINISTER: And independent Wales won't me more Welsh.

ROBERTSON: Most here older, relatively well off, already buying the message.

UNIDENTIFIED MALE: I think Britain is much the strongest place to be. It's got -- Scotland will be a much stronger economy as part of the British

economy. And I think being part of Britain gives greater opportunity to Scottish people to make their way in the world.

ROBERTSON: Better together has become a vote no campaign slogan. But it's proving a hard sell in some places.

Compared to the yes camp's aspirational message of change, vote no has sounded negative and had difficulty conjuring a similar positive image.

A few miles from the political big guns.

UNIDENTIFIED MALE: I'm sorry, we're drawing a blank.

ROBERTSON: Grass roots campaigners pounding the streets, trying to reverse the yes surge.

UNIDENTIFIED MALE: We budget as well (inaudible).

That's fantastic. Thank you very much. You're on television in America.

ROBERTSON: Can I ask you why you're voting no?

UNIDENTIFIED MALE: Why I'm voting no? I just think it's the right thing to do just jobs and everything.

ROBERTSON: Not everyone agrees. Across the street, a man drapes the Scottish flag from the window, symbol of the yes camp. The campaigners

ignore him, but we don't.

UNIDENTIFIED MALE: Vote yes initially. I think so.

ROBERTSON: Why is that? Why would you vote yes?

UNIDENTIFIED MALE: Because I want independence.

ROBERTSON: Most doors that open to the campaigners around here seem only by those already won over.

UNIDENTIFIED MALE: Thank you very much indeed. If you want to put that on the window, that would be fantastic.

ROBERTSON: The undecided, we found, almost giving us the cold shoulder.

UNIDENTIFIED FEMALE: I'm sort of just one of the ones that are undecided.

ROBERTSON: So they're saying you can vote no and get all these increased powers. Does that attract you to the no vote?

UNIDENTIFIED FEMALE: No. No. No.

ROBERTSON: So you're an undecided yes.

UNIDENTIFIED FEMALE: I am definitely undecided. I don't know which way to go.

ROBERTSON: With just over a week to voting, reversing the surge to yes is going to be a challenge.

(END VIDEOTAPE)

LUS TOUT: The vote is just eight days away.

For more on the story, Nic Robertson joins us now live from Edinburgh. Nic, we know that the British Prime Minister David Cameron is there in

Scotland on this emergency trip. He's campaigning hard for the no vote. Is the campaign picking up support?

ROBERTSON: You know, talking to people here on the street, it doesn't seem that the prime minister or any of the other leading English -- British

politicians, if you will, the leader of the opposition who is across the country in Glasgow, another politician from a leading sort of third party

in the country, he's in the border region. And it doesn't seem talking to people here that they are making rapid conversions.

I mean, what the prime minister is talking about is we've mood a good argument from the head, the intellectual argument, you'll be better off as

part of Britain, that we'll give you greater taxation if you vote no, greater independence in that way, not full independence. But it's not

cutting the ice with a lot of people here.

But people are taking this vote very, very seriously. Just within the last couple of hours, a lady came up to me here in tears, absolute tears. She

said I don't know which way to vote. She's got two girls at school and she's worried about their future.

She said, you know, I work in the health sector, my husband works in the banking sector. We're an average family and this is terrible. She said,

I don't know what the right decision to make is.

People are agonizing over this.

But you know the prime minister, the other politicians up from London today, are not get an easy, simple ride of it, absolutely not. The leader

of the Scottish National Party Alex Salmond has been out today pushing his message for independence and he's essentially accusing the politicians from

London, David Cameron, the others of being in disarray. This is what he said.

(BEGIN VIDEO CLIP)

ALEX SALMOND, SCOTTISH NATIONAL PARTY LEADER: Yes, I think it's counterproductive for their camp, not because I say so or the yes says so,

but because the reaction in the streets and communities of Scotland sees this as a last gasp piece of desperation from the Westminster

establishment.. And the Westminster establishment, you know, they're not popular in England, never mind popular in Scotland.

(END VIDEO CLIP)

ROBERTSON: As we heard that politician say earlier in the story before, it is game on, absolutely. If this was sport, what you'd be seeing from the

British, from the politicians from London -- British, England, call them what you will, it is a full court press on in Scotland today and will be

over the coming days, Kristie

LU STOUT: Oh, an agonizing campaign, an agonizing vote for the future of Scotland, the future of a united kingdom. Nic Robertson reporting live

from Edinburgh. Thank you, Nic.

Now you're watching News Stream. Still to come right here on CNN. After months of fighting, we may be seeing progress toward peace in eastern

Ukraine. And coming up, we'll tell you what the presidents in Moscow and Kiev have to say.

(COMMERCIAL BREAK)

LU STOUT: Coming to you live from Hong Kong, welcome back. You're watching News Stream.

Now the presidents of Ukraine and Russia are making positive comments about the ceasefire between the Ukrainian government and pro-Russia rebels.

Now Ukrainian president Petro Poroshenko says about 70 percent of Russian troops thought to be in eastern Ukraine have gone back to Russia. Now a

top Russian official says President Vladimir Putin and Mr. Poroshenko spoke by phone Tuesday night. And the official says both leaders expressed

satisfaction with how the ceasefire is being observed so far.

Mr. Poroshenko says he will give Ukraine's parliament a bill next week that would give more autonomy to the eastern regions of Donetsk and Luhansk.

Let's cover it all with Reza Sayah. He joins us now live from Donetsk.

And Reza, it seems that both the leaders of Russian and Ukraine seem to be a bit optimistic about how the ceasefire is holding up so far.

REZA SAYAH, CNN INTERNATIONAL CORRESPONDENT: Yeah, Kristie, in many ways this conflict here in Ukraine is like a high stakes chess match. And if

this move by Moscow is substantiated, it is a serious signal of de- escalation to Kiev and western capitals and it could certainly change the complexion of this conflict.

Let's explain to you what we've learned. Earlier this morning, Ukrainian President Petro Poroshenko saying that 70 percent of Russian troops have

pulled out of Ukrainian territory.

Now a few things to keep in mind here. First off, Moscow has always maintained that they don't have troops in the Ukrainian territory. So, it

is very likely that they will either reject this claim or have no comment.

Another thing to keep in mind is that this conflict has been plagued by a lot of misinformation, a lot of false accounts from both sides. So it is

probably a good idea to take this statement with a grain of salt, because it could be more posturing, something we've seen frequently in this

conflict.

However, if this is true and as Moscow has pulled out Russian troops, now we wait to see how Kiev responds, how Western capitals respond. Will they

de-escalate or will they pile on the pressure? There's indications that they plan to pile on the pressure. Of course, today the European Union

continuing to discuss another round of tighter sanctions, Washington also considering unilateral sanctions.

If they move ahead with those sanctions, it is very likely that Moscow is going to see this as provocation. They've already threatened to respond

with their own economic measures, Kristie.

So a lot of moving parts to this conflict, but they headline today, according to the Ukrainian president Petro Poroshenko 70 percent of Russian

troops have moved out of Ukrainian territory.

LU STOUT: Reza, a lot of moving parts, are you put it, in addition to talk of a pretty significant Russian troop patrol from Ukraine. Talk of

granting separatists more autonomy. What's the latest on that? And could that be the lasting solution to this conflict?

SAYAH: It's one of the issues, it's one of the sticking points. And what makes this conflict so complicated to resolve is that there's not just two

sides fighting it out, there's a variety of factions and governments who are either directly or indirectly involved in this conflict.

Of course, you have the pro-Russian rebels. They want some sort of autonomy, some sort of self-determination. You have Kiev, they want to

maintain the territorial integrity of this country, and some of them are leaning towards joining the EU, joining NATO. Of course, some western

capitals support that, Moscow doesn't. They don't want to lose Ukraine from their sphere of influence.

So in order for this conflict to be resolved, all of these different factions, all of these different governments have to be on the same page,

have to compromise. It's going to be complicated, but seemingly some positive steps.

And we should also point out that during the past 24, 48 hours, we have seen some relative calm in the conflict zone. This ceasefire seems to be

working.

LU STOUT: All right, relative calm. The truce appears to be holding. Reza Sayah reporting live from Donetsk. Thank you, Reza.

Now you're watching News Stream. Up next, Apple is taking aim at your wrist. And now the big question, will consumers bite?

And while everyone takes their guess at what is going to be the next big thing, an iconic Apple gadget is quietly disappearing from the shelves.

(COMMERCIAL BREAK)

LU STOUT: I'm Kristie Lu Stout in Hong Kong. You're watching News Stream. And these are your world headlines.

Now U.S. officials tell CNN that President Barack Obama is open to using airstrikes in Syria. Now this comes hours before Mr. Obama is due to

unveil his new strategy to defeat ISIS in a televised address to the American people.

Now Mr. Obama briefed congressional leaders on this strategy on Tuesday.

The Indian army says it has rescued more than 90,000 flood victims in the Kashmir region. Now flooding in India and Pakistan has killed at least 450

people and is creating a humanitarian crisis. Now thousands remain cutoff from rescue or deliveries of food, water and medical supplies.

Now Ukrainian President Petro Poroshenko has told his cabinet that Russia has withdrawn some 70 percent of its troops believed to have been in

Ukraine, now that's according to Ukrainain state media. Mr. Poroshenko also said he plans to submit legislation next week and giving more autonomy

to some eastern cities.

Apple has finally taken the wraps off its long awaited wearable the Apple Watch. Now it is the first major Apple product to be created without any

input from the late Steve Jobs. But it won't be available until early next year. And the price will start at $350.

Now Apple also showed off a new way to pay for things through your phone or watch. Apple Pay will only work in the U.S. at first, but it comes just

weeks after Apple said users' iCloud accounts were targeted by hackers who stole nude photos of dozens of celebrities leading some to worry about

security when it comes to Apple Pay.

And of course, there were two new iPhones unveiled, both the iPhone 6 and 6 plus are significantly larger than current models, but they match the trend

from rival smartphone makers to produce larger phones. It's worth remembering that Apple actually made phone of this trend just a couple of

years ago with this ad.

(BEGIN VIDEO CLIP)

ANNOUNCER: Your thumb, it goes from here to here. This bigger screen goes from here to here. Now, that's either, a, an amazing coincidence, or, b, a

dazzling display of common sense.

(END VIDEO CLIP)

LU STOUT: Now let's get more on Apple's new big announcements. Our regular contributor Nicholas Thompson joins us live from New York. He is,

of course, the editor of New Yorker.com. Nick, good to see you. A lot to talk about. But we've got to talk first about the Apple Watch. It

arguably got the most attention from the big reveal. What's your read on this device?

NICHOLAS THOMPSON, NEW YORKER.COM: Well, this is absolutely the biggest thing to come out of it. The other improvements you know maybe important,

but far more marginal than this.

What's really exciting about this is it's a whole new interface. It's a whole new way of using a device. As Tim Cook said, they didn't just take

the way you use your iPhone, the way you move things around, they created a new way that you can move your watch. There will be haptic sensors, there

will be things you feel on your wrist when you wear it.

Now, will it work? I don't know. Will people like it? Will it look ridiculous? I don't know. But they are experimenting, they are trying

something very interesting. And this watch could be a major success and a major part of Apple's future.

LU STOUT: Now Apple went ahead and it launched something else, that mobile payment system happening on the back of what we talked about in this

segment last week, the iCloud celebrity photo hack. Do you think -- will Apple Pay win consumers over or are there still a lot of concerns about

data breaches and privacy out there?

THOMPSON: There are a lot of concerns about data breaches and privacy. I was actually quite impressed with the presentation yesterday. I was

surprised by the number of partners that Apple had for the wallet. They have lined up major, major partners throughout the United States. And then

I was also impressed with the way they described security and the system that essentially takes your credit card number, which is an easy to

remember number, turns it into an individual token which is separate from your credit card, but associated with you as a user. That creates one

level of security.

Another level of security is that it takes advantage of the fingerprint sensor that's on your iPhones, meaning that someone steals your phone they

won't be able to immediately use your iWallet.

So all of this probably can be hacked, probably will be hacked. We'll probably be talking about hacks in the future. But for the moment, I

thought they did a very good job, actually, of putting some of the concerns that we talked about last week to rest.

LU STOUT: Now, do you believe that Apple Pay is a disruptive technology? Is it going to be a big threat to a number of mobile payment startups out

there?

THOMPSON: Well, disruptive usually is when a small company, you know, disrupts a big company. This is a big company that's going to crush a lot

of small companies.

So, I do think it's disruptive in the sense that there are a thousand mobile payments started up there that have been raising venture capital

funding. Now Apple is going to swoop in and is going to, you know, a lot of -- it's going to drive a lot of them out of business.

LU STOUT: Let's talk about the new iPhone. After years of devices getting smaller and smaller and that ad from just a couple of years ago, iPhone

touting its nice, more compact size, the new iPhone, it seems to be getting bigger and bigger. I mean, why?

THOMPSON: Well, phablets work. I mean there are a lot of people who didn't think that this trend made sense, but it turns out that people want

larger phones, in part because we no longer use our phones as phones. It's very awkward to hold a big device up to your ear, but since we don't

actually use them for talking anymore that's not as much of a concern.

Why do you want a bigger screen? It's great for editing images. If you use a language that isn't standard letters, it's actually characters, it's

a lot easier to write them on. It's much easier to manage all kinds of software.

So, Apple is way behind on this. They are probably a little embarrassed to have to come back out there and say, well, you know we were wrong.

Actually people do like huge phones.

But, you know, they're catching up now.

So, this was the least interesting of the three big announcement to me yesterday. You know, Apple is catching up to Samsung.

LU STOUT: Yeah, it's really interesting to hear that analysis. Apple is catching up. iPhone 6, it's kind of like a Samsung with its bigger, almost

phablet-like screen . And also mobile payments with Apple Pay. I mean, even though Apple has an impressive lineup of partners, it's a behemoth in

the industry, mobile payments nothing new.

Is Apple still a leader in innovation? Your thoughts on that.

THOMPSON: Well, that's why the smartwatch comes in, right. So I do think that the Apple Pay is slightly innovative and interesting. But I do think

the watch is extremely innovative. I mean, this is -- this is quite a bit beyond where other people have taken watches both in the haptic interface

and the design and the range of things that it can do and the look, and just in the fact that they're trying to make a wearable device fashionable,

stylish, make it look different from all the other wearable devices that people aren't really comfortable wearing.

So, I do think Apple is innovative. And that is probably the most important thing to come out of this, which is that the wrap on Tim Cook

over the last three years since he's taken over the company is that they haven't done anything new. This is just a numbers guy. He just crunches

databases. We knew that from the beginning.

But now he can lay that critique a little bit to rest, because they have done something new. Who knows if it will really work, who knows if it will

sell a ton or a little bit. It might be too expensive, it might be too annoying. You do need to have your phone with you in order for the watch

to work, which could be a huge problem. This might be a frustrating launch, or it might be a great launch. We'll see.

But in any event, they have done something different, they have done something innovative, and that's to Tim Cook's credit.

LU STOUT: Yeah. And if Apple Watch does indeed catch on, it will be Tim Cook's legacy product for Apple.

Nick Thompson, we'll leave it at that. Thank you so much for joining us here on News Stream. Take care. See you next week.

Now, you may have noticed some top sites on the internet, they look like they're loading a little bit slower than usual today. Now they're all

taking part in something called internet slowdown day to protest the U.S. Federal Communications Commission.

Now it's being called the battle to protect net neutrality. That's the principal that all service providers should treat all web content equally.

But, as we frequently highlighted here on News Stream, the FCC has moved to approve so-called internet fast lanes. Now the proposal is still open for

public comment before a final vote. And this protest aims to get people to weigh in.

Now time now for a check of the global weather. And is there any relief in sight in south Asia? Let's get details with Mari Ramos. She joins us from

the world weather center -- Mari.

MARI RAMOS, CNN WEATHER CORRESPONDENT: Hey, Krisitie. This situation seems to be going from bad to worse, even though the rain has ended across

the hardest hit areas across northern India and northern Pakistan.

The water levels are still quite high and that water is draining down into the major river systems flooding areas farther downstream.

I'm going to tell you all about it right now starting off with this picture. And this is one, one of more than 60,000 people that have been

rescued like this via helicopter, or sometimes maybe by boats, across northern India. Very scary situation. And I guess he's one of the lucky

ones.

Let's go ahead and take a look at some of the other pictures.

When the water just takes over everything, we're looking at Srinagar here. The army is saying that the water levels have gone down about a meter since

the peak of the flooding across this area. But as you can see from pictures taken earlier today, there are areas that are completely

inundated.

Some people have been rescued -- they had water up to their necks for three, four days already. People are trapped without food, water, medicine

and thee are thousands more that need rescue, as you can see from these images here.

And it's quite serious. Let's go ahead and take a look at the next image. This is some of the rescues that were ongoing. And you can see the army

there with going into the helicopters, people going in, some people coming out, people just carrying whatever they can, just sometimes the clothes on

their backs, sometimes just their loved ones, a baby or a younger child. It's a very precarious and serious situation and the rescue now needs to

really happen a lot quicker because it's been so many days that people have been left stranded across these areas.

Come back over to the weather map. That was a pictures from India. And you can see drier conditions here. Pakistan is in a similar situation, if

not worse.

We have major river systems in Pakistan that just go across the entire spine of the country, the central part of the country. There's the Indus

River, that's where we had the massive flooding back in 2010. Now we're talking about the Jhelum and the Chenab Rivers, but these eventually will

flow into the Indus and we could see significant flooding there.

But current flood, Kristie, is just about to reach where these two river systems meet. And it is in that region where we have some of the worst

flooding so far.

This is farther upstream, and you can see that in Marala (ph), for example, they had one of their highest levels ever. It peaks on Sunday. The water

level has begun to go down.

As we move into Trima (ph), which is the next area that we have to watch closely, it is past the danger level. It hasn't even crested yet. In

other words, the water will get even higher.

The amount of water that is flowing through this barrage, through this dam right now, it is twice as high as it was yesterday and about 10 times

higher than it was at the beginning of the week and that just gives you a little bit of an idea.

There's the Trima barrage (ph) right there. Here's the confluence of the two rivers. And look how it looks like now, I should say on Tuesday, it's

even wider today, more than 20 kilometers, the two rivers coming together. Once it passes through here, that water will continue to flow. And they're

telling people that there's going to be massive flooding across these areas.

This is a picture from Jiang (ph). This is about 20 kilometers from that barrage (ph) that I just showed you, areas are still submerged in water

getting higher. And past the barrage (ph), there's already 10 cities there, because areas are already flooded and these areas right here,

Kristie, could see the water rising even higher in the days to come.

Back to you.

LU STOUT: Water is rising dangerously. Swollen rivers there in South Asia. Mari Ramos there, thank you.

Now let's turn to growing calls for NFL commissioner Roger Goddell's resignation. Now he faces intense criticism after a video emerged of

running back Ray Rice punching his fiancee in an elevator.

Now Goddell tells CBS News that he will not step down.

He initially suspended Rice for just two games.

Now Rice is suspended indefinitely, but Goddell has left the door open for his return, saying, quote, I don't rule that out. But he would have to

make sure that we are fully confident that he has paid the price for the actions that he's already taken, unquote.

Now the Ray Rice case is just one instance of domestic violence by U.S. professional football players. Now Gene Keraris looks at other cases

involving players who are still on the field.

(BEGIN VIDEOTAPE)

JEAN CASEREZ, CNN CORRESPONDENT: The disturbing events from inside that elevator when Ray Rice knocked out his then-fiancee Janay Palmer maybe

seven months old, but the impact is still being felt.

I woke up this morning feeling like I had a horrible nightmare, feeling like I'm mourning the death of my closest friend. This was the Instagram

posted Tuesday by Palmer who is now married to Rice, blaming the media and the public for her husband's indefinite suspension by the NFL.

Rice's actions cost him his job with the Baltimore Ravens and possibly his football career, but his story isn't unique when it comes to the NFL. Rice

is one of several current players facing allegations of domestic abuse. But the others are still playing.

RAY RICE, SUSPENDED FOOTBALL PLAYER: The truth will come up. Everybody knows what kind of person I am.

CASEREZ: Ray McDonald, a member of the San Francisco 49ers arrested for felony domestic violence played last weekend. Carolina Panthers Greg Hardy

also played, even though he is appealing a July 15 guilty verdict for assaulting his ex-girlfriend and threatening to kill her.

Both teams say they are waiting for the legal process to play out before considering action.

LEIGH STEINBERG, SPORTS AGENT: The problem is there really hasn't been a policy. We have precise policies when it comes to marijuana, alcohol

abuse, and yet nothing for something that's a major societal problem.

CASEREZ: That is the culture of football, says legendary sports agent Leigh Steinberg. Drugs and alcohol can effect a game. Arizona Cardinals

Darryl Washington suspended for the entire 2014 season for violating the NFL's substance abuse policy. Yet no NFL or team punishment was handed

down after he pleaded guilty to assaulting the mother of his child in March of this year.

According to USA Today, the NFL has about 1,700 players. In the last four years, 20 have been arrested for domestic abuse.

But the statistics may not tell the whole story, which may be part of the problem.

STEINBERG: Domestic violence has sort of swept under the rug, doesn't get the focus that it needs, the women get victimized once again by the

process.

CASEREZ: Jean Caserez, CNN, New York.

(END VIDEOTAPE)

LU STOUT: You're watching News Stream. And still to come, after dozens of witnesses testimony and delays are stretched out over six months, a verdict

in the Oscar Pistorius murder trial is near.

I'll walk you through the main points of the case.

(COMMERCIAL BREAK)

LU STOUT: Welcome back.

Now, the verdict in the murder trial of Oscar Pistorius is due on Thursday. If he's found guilty of premeditated murder, he could be sentenced to life

in prison. And even if the judge rules that he's not guilty, Pistorius could still face a lesser charge.

Now Robyn Curnow looks back at the trial.

(BEGIN VIDEOTAPE)

ROBYN CURNOW, CNN INTERNATIONAL CORRESPONDENT: He was South Africa's track hero. She was a beautiful up and coming model. They seemed to have it

all. Until Valentine's Day in 2013 when Oscar Pistorius said he awoke when he heard noises and thought there was an intruder. He fired four shots

through a closed bathroom door killing his girlfriend Reeva Steenkamp. What followed was a landmark trial, broadcast to the world.

GERRIE NEL, PROSECUTOR: You're arguing the case.

CURNOW: Lawyers argued whether it was a tragic mistake like Pistorius claims.

BARRY ROUX, DEFENSE ATTORNEY: Is the state saying that within two minutes of the state's version on the shooting or five minutes on our version, in

that traumatized state of mind he worked out this grand scheme? It doesn't make sense, my lady. It doesn't (inaudible) with his emotions, his

reactions, his desperate attempts to save her.

CURNOW: Or according to the state, nothing less than premeditated murder.

NEL: I will go (inaudible) to say that when you got up you had an argument that's why she ran away screaming.

UNIDENTIFIED FEMALE: My lady, just after three, I woke up.

CURNOW: 39 days of testimony.

UNIDENTIFIED FEMALE: Well, he does look exhausted.

CURNOW: That saw nearly 40 witnesses take the stand, including an emotional Pistorius.

(END VIDEOTAPE)

LU STOUT: It's been a marathon trial marked by some very emotional scenes. Oscar Pistorius will learn his fate this week.

And CNN's Robyn Curnow joins us now live from Johannesburg. And Robyn, when the verdict is delivered, it's expected to take hours, maybe even

days. So please explain to us why will it take that long?

CURNOW: Hi there, Kristie.

Well, we're expecting for it to take most of Thursday and Friday and the whole court day we're expecting the judge to read out her judgment at least

in its entirety.

Now why? Well this is not a jury system here in South Africa. So basically the judge has to explain her decision and she's going to explain

it point by point with reference to South African criminal law. And for that, she needs to read it to Oscar Pistorius and of course explain it to

the public at large. So that is why I think she is very keen to at least read much of the judgment.

I often say in the constitutional court case when I've covered those in the years past, there was an executive summary. We're told that's not the

case. We like you to hear at least much of her judgment.

LU STOUT: So, she'll be delivering a summary, an assessment of all the testimony and finally the verdict. And Oscar Pistorius himself, Robyn,

where will Pistorius be during this lengthy readout of the verdict?

CURNOW: He'll be in the same place he's always been in court. He'll be there three, four meters away from the judge. It's a very small court

considering this huge global media attention. The press are all packed in behind him. His family is just sitting behind him, and they're expected to

come out, but the stories have been very supportive of Oscar Pistorius. Also, remember on that same bench behind Oscar Pistorius Reeva Steenkamp's

family will be there, too. Her mother and her father have come to a lot of the court dates.

So there will definitely be a huge sense of claustrophobia, of pressure in that courtroom, and he will have to sit there and listen as the judge goes

through very slowly and very thoroughly point by point the decision she's made in terms of his fate.

LU STOUT: Well, it's been a marathon trial after about four months and almost 40 witnesses. It all comes down to this.

Robyn Curnow reporting live. Thank you very much indeed for that.

Now you're watching News Stream. Still to come on the program, in with the new, out with the old. Apple says farewell to an iconic gadget.

(COMMERCIAL BREAK)

LU STOUT: Welcome back.

Now how far would you go for the perfect shot? Now how about 400 meters into a volcano crater? Now Jeanne Moos spoke to a man who did just that.

(BEGIN VIDEOTAPE)

JEANNE MOOS, CNN CORRESPONDENT (voice-over): Did you ever feel the urge to climb down into a volcano? Me neither, but this guy did.

GEORGE: You cannot physically get closer to this lava without swimming in it.

MOOS That's George Kourounis in the heat resistant suit along with his accomplice in adventure, Sam Cossman. George is the teeny-weeny figure at

the bottom of a volcano pit in the South Pacific.

GEORGE KOUROUNIS, RAPPELED INTO VOLCANO: It's also one of the most dangerous and difficult to get to.

MOOS: They rappel down 1200 feet, a depth equal to the height of the Empire State Building. It took two hours to descend about 50 feet above the

churning lava. Even wearing a fire-resistant suit, George could only stand there a couple of minutes at a time.

(on camera): Really hot? Are you sweating in there?

KOUROUNIS: Oh, yes, absolutely. The heat from the volcano is sapping the energy out of you.

(voice-over): They used a laser thermometer to measure the temperature of flying rocks.

KOUROUNIS: It says 600 degrees.

MOOS: Look out for the lava.

KOUROUNIS: Parts of it splashed me and melted my jacket.

MOOS: And the noise?

KOUROUNIS: I call it the sound of Satan's washing machine. This churning bubbling gurgling.

MOOS: George says it was unlikely volcano would erupt. They were more worried about the edge of the crater above crumbling and raining rocks down

on them.

(on camera): George doesn't just rappel into volcanoes; he got married on one.

KOUROUNIS: Enough messing around. Time to get married.

MICHELLE KOUROUNIS, GEORGE'S WIFE: Awesome!

KOUROUNIS: You say that now, but wait until lava bombs start falling within ten feet of her.

MICHELLE KOUROUNIS: Shut up.

MOOS (voice-over): To the sounds of a conch shell, and periodic eruptions of Mount Yasser, they exchanged vows back in 2006.

MICHELLE KOUROUNIS: You've been my supporter, my wall, my rock.

MOOS: Michelle may have melted his heart, but it took this volcano named Marun (ph) to melt his camera when he set it down on a rock. He'll never

get over that mesmerizing orange glow.

KOUROUNIS: To me, it doesn't even look real and I'm the guy that's in the shot.

MOOS (on camera): But boys will be boys, even deep in the mouth of a volcano.

(voice-over): Why settle for a selfie when you can horse around with a rubber mask, as long as it doesn't melt.

Jeanne Moos, CNN, New York.

(END VIDEOTAPE)

LU STOUT: Now, before we go we want to pay tribute to a tech icon, because Apple has discontinued the iPod classic. Now it was the latest incarnation

of Apple's first consumer electronics device, the gadget that sent it on a path to becoming the world's most valuable company.

Now it all started with Steve Jobs' passion for music and his declaration that digital music players, quote, "truly sucked." It's worth remembering

what music players look like before the iPod.

Now the creative nomad was the size of a chunky CD player with that tiny screen. So Steve Jobs pushed his team to come up with their own device.

But it wasn't until 2001 when Toshiba told then Apple executive John Rubinstein (ph) that it had a tiny new hard drive. But Toshiba had no idea

what to do with it.

Now Rubinstein (ph) knew that the hard drive would be perfect for Apple's music player. And then just nine months later Jobs unveiled the iPod.

(BEGIN VIDEO CLIP)

STEVE JOBS, APPLE CEO: There it is right there. This amazing little device holds 1,000 songs and it goes right in my pocket.

(END VIDEO CLIP)

LU STOUT: But the iPod wasn't an immediate hit. The tech site Slashdot famously dismissed the device with this withering summary, quote, "no

wireless, less space than its competitor the Nomad, lame."

But iPod sales, they slowly grew as the line evolved into new shapes and new sizes. And as iPod sales grew, so did Apple's ambitions. And you know

the rest of the story.

Now the iPod will live on in the form of the Nano, the Shuffle and the Touch but it is the end of the road for the classic design.

Now 13 years on, the world may have moved on from the original iPod, but it's impact lingers on.

And that is News Stream. But the news continues at CNN. World Business Today is next.

END