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NEWS STREAM

Thousands Pay Respects To Alberto Nisman; Time Running Out For ISIS Hostages; Technology's Modern Lifestyle; Connecting the Unconnected; Sydney Inquest Reveals How Hostages Were Killed; Samsung's Profits Slip For Third Straight Quarter; Black Box Reveals Co-Pilot Flying AirAsia 8501 Right Before Crash

Aired January 29, 2015 - 8:00   ET

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


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

Now time maybe running out for two hostages held by ISIS as new audio recording demands a prisoner release by Jordan.

Thousands are expected to gather in Argentina's capital for the funeral of Alberto Nisman, the prosecutor who died in mysterious

circumstances.

And Samsung hosts its third straight quarterly profit decline as its smartphones slump.

Now the pressure is on Jordan as a life or death deadline looms.

Now these two people are at the center of it.

Now according to a new audio recording posted online by ISIS supporters, the terrorist group is threatening to kill Jordanian air force

pilot Moaz al-Kassasbeh, pictured here, unless Jordan hands over this woman, the convicted terrorist Sajida al-Rishawi by the time sun sets over

Mosul, Iraq. Now that is only 90 minutes from now.

Now CNN cannot independently verify the authenticity of the recording or the threat.

Now a short time ago, Jordan state television began running an urgent banner saying the government is still checking on the authenticity of that

audio recording.

Now for more Jomana Karadsheh joins us now from Amman, Jordan. And Jomana, the clock is ticking here, what is the latest known about the

quality or the authenticity of the video and also whether Jordan would agree to the terms of this apparent ultimatum by ISIS?

JOMANA KARADSHEH, CNN INTERNATIONAL CORRESPONDENT: Kristie, not much that we're hearing from the Jordanian government at this point other than

the government spokesman a short time ago. The military earlier today all saying that they are working to authenticate that video. They are

verifying this new recording, I must say.

The real issue here, Kristie, is what the Jordanians are offering. This is what we heard from them yesterday. They said they are willing to

release Sajida Rishawi, that convicted would-be suicide bomber, but that is not -- they're not really meeting the terms that were put on the table by

ISIS. ISIS is demanding a direct swap -- Kenji Goto for Sajida Rishawi. But they're not even discussing the idea of releasing the Jordanian pilot.

And this is the absolute problem here is that the Jordanian government is offering up something different. They want an exchange for the pilot.

Now, we do not know what demands ISIS has to release this pilot. We do know that the Jordanian government says that for the past few weeks they

have been engaged in indirect negotiations to try and secure the release of their pilot. But one issue for the Jordanians has been no proof of life.

They say that for some time now they've demanded ISIS provide them with the proof of life, which they say they have not received.

The Jordanians are reiterating another point, Kristie, they're saying Kenji Goto is part of the negotiations, but their top priority remains

their own citizen Moaz al-Kassasbeh in this case.

And very tense times here. A lot of pressure on the government to secure the release of Moaz al-Kassasbeh, but it's really unclear at this

point in time what that will take.

LU STOUT: Yeah, a lot of pressure, a huge dilemma for the government there. Could you tell us more about the captured pilot. Who is Lieutenant

Kassasbeh? How did he become a prisoner of ISIS?

KARADSHEH; He's a 26-year-old pilot. He comes from one of the bigger tribes here in Jordan, big influential tribe from southern Jordan. And

that's one of the key issues here, of course, is the tribes are very important in Jordan. They support the monarchy. So of course there's a

lot of pressure not just from his direct family, but also from the extended tribe on the government. They say that the government has not done enough

to secure his release.

Now on December 24, Kristie, his fighter jet, an F-16, crashed in ISIS territory. It was in Syria near the capital -- the de facto capital of

ISIS, al Raqqa, where he was captured and he is being held somewhere by ISIS since then.

Of course, we have not heard any public demands for his release. We do not know what ISIS may have asked the Jordanian government for his

release. And again, major issue here, Kristie, the Jordanian government says they have no proof of life yet.

LU STOUT: Jomana Karadsheh reporting live from Amman, Jordan for us. Thank you for that.

Now if Jordan does meet the deadline imposed by ISIS, there is still uncertainty about what will happen to the Japanese hostage Kenji Goto.

Now let's get the very latest from Tokyo. CNN's Will Ripley joins me now live.

And Will, what is Japan saying about the ultimatum and this purported new voice recording of the hostage Kenji Goto?

WILL RIPLEY, CNN CORRESPONDENT: All of the communications that even from the envoy on the ground in Amman, Kristie, are being -- coming through

Tokyo. But today the public statements have been remarkably quiet. We keep getting the same message that we've heard many times over the last

week that this is of the utmost importance to the Japanese government that everything possible be done to ensure the safe release of Kenji Goto while

Japan also insists that they will not bow to the demands of terrorists.

Right now, obviously what's being watched very closely is this potential exchange that could happen at the border between Syria and

southern Turkey. And all that the Japanese government has to go on, Kristie, is what is in this new ISIS propaganda video, the video that both

Japan and Jordan are still working to verify the authenticity of, but as Japan has said they don't have any reason to doubt that the voice is Kenji

Goto.

And if you read the transcript the transcript and listen to this ISIS message itself, Goto makes clear that his life would be exchanged for

Sajida al-Rishawi along the border before sunset, less than 90 minutes from now. And then Gogo also goes on to say, if it is him on the tape, that

Moaz al-Kassasbeh, the Jordanian pilot, would be killed if this demand is not met.

So these coming minutes really are critical, Kristie. And the Japanese government watching all of this unfold very carefully and hoping

for the best, of course.

LU STOUT: And, Will, just how involved is the Japanese government in this hostage crisis, because on the face of it it seems that it's on the

sidelines as Jordan negotiates with ISIS?

RIPLEY: Initially Japan was thrust right into the middle of it when this -- when the first ISIS video came out and the $200 million ransom was

demanded. Japan did not pay that ransom. The deadline passed. And then Haruna Yukawa was savagely murdered over the weekend.

But since then, now that the ISIS demand has shifted, insisting that al-Rishawi is what they want and they no longer want a ransom, all that

Japan has been able to do is to work with the Jordanian government.

But keep in mind Japan does have some leverage here. Through years of oil diplomacy Japan enjoys pretty good relationships with a lot of nations

in the Middle East. And don't forget that Japan recently pledged $200 million in humanitarian aid to help countries that are fighting ISIS.

Jordan, Of course has a lot of refugees from Iraq and from Syria and they can use some of those funds.

So, Japan does have things to offer as a part of this deal. But in the end, it is Jordan's decision about whether they are willing to hand

over a prisoner to save the life of al-Kassasbeh even if ISIS is saying they will not set him free, only that they will not kill him.

It's a very difficult position for Jordan. And the Japanese government certainly understands that. But they very much would like to

see Kenji Goto come home alive as well as the Jordanian pilot as well, Kristie.

LU STOUT: Now meanwhile time is running out on this new ISIS ultimatum. CNN's Will Ripley reporting for us live from Tokyo, thank you

very much indeed for that, Will.

Now the inquest into the siege at a Sydney cafe has heard that only one of the victims was shot by the hostage taker, the second was killed by

police bullets.

As CNN's Anna Coren reports, the inquest will examine whether those deaths could have been prevented.

(BEGIN VIDEOTAPE)

ANNA COREN, CNN INTERNATIONAL CORRESPONDENT: It was the day Sydney lost its innocence, after a crazed gunman walked into this cafe last month

taking 18 people hostage. After a standoff lasting 17 hours, police finally moved in with a barrage of bullets.

When it was over, gunman Man Haron Monis and these two hostages were dead.

Cafe manager Torey Johnson (ph) was shot in the head by Monis moments before police stormed the building.

But the shocking details of exactly how it happened were not revealed until today at the start of the inquest into the Sydney siege.

JEREMY GORMLY, COUNSEL ASSISTING NEW SOUTH WALES CORONER: And Mr. Johnson was made by Mr. Monis to kneel on the floor of the cafe. After a

short lapse of time, Mr. Monis simply shot him without further notice or warning in the back of the head.

COREN: There were also new details about how Katrina Dawson (ph), the second hostage, died. The mother of three wasn't killed by the gunman's

bullet, but accidentally by police.

GORMLY: Ms. Dawson (ph) was struck by six fragments at a police bullet or bullets, which ricocheted from hard surfaces into her body. I'll

not detail the damage done to Ms. Dawson other than to say that one fragment struck a major blood vessel. She lost consciousness quickly and

died shortly afterwards.

COREN: The details further fuel questions about how police responded to the siege. The inquest heard that Monis discharged five rounds from his

sawed off shotgun, but the only bullet to hit was the one that killed Torey Johnson (ph).

Police fired 22 shots into the cafe killing Monis and inadvertently claiming the life of Katrina Dawson (ph) while injuring three other

hostages.

The opening proceedings lasted just one hour, but it's already shed crucial information into piecing together exactly what went down.

Australians desperate to find out what lead to the attack, how it could have been prevented and how police could have acted differently to

stop the loss of life.

Anna Coren, CNN, Hong Kong.

(END VIDEOTAPE)

LU STOUT: Now we've heard about Apple's astounding success last quarter with its iPhone and that it's taking a bite out of its rivals

sales. We'll have the disappointing news for Samsung.

But what about the billions around the world who don't even have a smartphone? Some of them have never even seen the Internet. We hear from

a man who works to tackle that learning curve.

And the look into the fake threats being made on social media that are having real life consequences for air travel.

(END VIDEOTAPE)

LU STOUT: Now a day after Apple posted the biggest quarterly profit ever, there was disappointing news from rival Samsung. Now the Korean tech

giant's profit slipped 27 percent from the year before, the third straight quarter of shrinking profits. Where Apple was boosted by the iPhone,

Samsung was weighed down by their smartphones as Paula Hancocks reports.

(BEGIN VIDEOTAPE)

PAULA HANCOCKS, CNN INTERNATIONAL CORRESPONDENT: For years Samsung enjoyed massive profits from its smartphone division. But those giddy days

are over. The market is crowded. And for many, it's cheap.

MARK NEWMAN, SANFORD C. BERNSTEIN: Samsung wants to be volume leader. They want to gain profit in the high end, but still have volumes in the low

end. And so I think the volumes in the low end is tough when you've got competitors that are willing to sell at break even margins.

HANCOCKS: Samsung has lost ground in the crucial Chinese market to the likes of Xiaomi, just five years old but already the world's fastest

smartphone maker.

Just one day ago, arch-rival Apple revealed the biggest quarterly profit in history, largely thanks to its iPhone 6. Salt in the wound to

the South Korean company who have been battling the American giant for years, squeezed at both the high and the low end.

But analysts say Samsung's smartphone division does appear to be stabilizing. And remember, the group is about so much more than just

phones.

It's semiconductor sales were strong, helping overall profits. Ironically as rival smartphone makers take marketshare from Samsung,

they're also helping the overall profits as many use Samsung chips.

The company is now looking towards its next launch, the Samsung Galaxy S6, rumored to be in March.

The tech pundits online are anticipating that this Galaxy S6 is going to be the most radical reinvention of the S range to date. And it's that

kind of online excitement that Samsung wants to reinject back into its smartphone business.

Paula Hancocks, CNN, Seoul.

(END VIDEOTAPE)

LU STOUT: Now Samsung's slide means that it might have lost its spot as the world's top smartphone maker. Now it is a remarkable change given

how far apart the two have been.

Apple may be a close number two, but it was a distant second for most of the year. According to IDC, Samsung shipped twice the number of

smartphones as Apple over the first three quarters of 2014, but last quarter saw a huge rise in the number of iPhone sales. Now Samsung didn't

reveal exactly how many smartphones it sold. The Wall Street Journal said it was between 71 million and 76 million, which means at best it's only

marginally ahead of Apple.

But it's not all bad news for Samsung. It is worth remembering that they still make many of the chips used by their competitors, including the

iPhone.

So, in one sense, Samsung does benefit from the rise of Apple. And that sharp jump in sales for Apple coincided with the release of the iPhone

6 and the 6plus. Now the biggest difference with the new iPhone: they're bigger. And who pioneered phones with big screens? Samsung with the

original Galaxy Note.

Now given how often Apple has accused its rival of copying its designs, it can't be easy for Samsung to see Apple achieve success by

following their lead.

Now for all the smartphones sold in the world, there are still billions who don't have them or any access to the Internet at all. In

fact, according to the World Bank one out of every three people do not use the Internet.

One obvious hurdle is the lack of infrastructure, but another reason could be education. It may be that people simply don't know how to use the

Internet, because they have never seen Google or Facebook in their lives, or ever used a touchscreen before.

Now that is the challenge that tech founder Hassan Baig is tackling with his startup called connecting the unconnected.

Now I talked to him earlier and asked him why so many people are not connected online.

(BEGIN VIDEOTAPE)

HASSAN BAIG, FOUNDER, CLUB INTERNET: Our first has to be affordability, right. Affordability of technology and mobile Internet.

But we're already seeing a lot of smartphones and mobile Internet packages, which are now becoming more and more affordable for people to consume on a

daily basis, OK.

But the next challenge after you do have a smartphone device is to teach people who have never experienced the Internet before how basic

Internet services work.

Now keep in mind these are people who have never experienced digital technology and the Internet before. So more often than not they lack

mental models which you and I take for granted, stuff like how to sign out, what's the user name or password, how to use gesture control technology on

a smartphone.

LU STOUT: And how do you help the unconnected to understand the language of a mobile Internet, of smartphones, the language of apps?

BAIG: So, first of all I don't think it's going to be plug and play.

Now, our initiative Club Internet has been conducting a lot of usability tests in this regard. And here's what we've uncovered. We've

uncovered that at the very start of the Internet journey, a lot of the unconnected don't even get why they should be using the Internet in the

first place.

And then further along that same journey, they don't have a comfortable enough time trying to use a QWERTY keypad on their smartphones,

because keep in mind they're coming from a numeric keypad on a feature phone, which is a very different beast altogether.

And then number two, a lot of times they don't understand that, you know, you may see a text field on, say, Google, you instinctively touch

upon it and then you start typing into it. Not so for the unconnected.

We see Internet loading wheels on web pages and we wait, because obviously that tells us that the Internet is taking time to load a webpage.

For them, it's confusing. They don't really -- they think that the Internet is an instantaneous technology, everything should load ASAP. And

if there's a spinning loader there, they're supposed to touch it, interact with it and make it go faster.

Gesture control again is out.

So, now to do all of this, cover all of this ground, the only way to do it is to take it level by level by level; start from the very basics.

We have to teach them why and how basic Internet services work, why and how to use a QWERTY keyboard and then take it to basic gesture control and so

on and so forth from there.

Now please understand that once they start getting a mental model of how, say, a basic signup works, then that solves the problem for the whole

category, right. You don't have to teach it for every web service out there. You build that mental model and you move on to the next and so and

so forth.

So one building block by one building block, that's the way to go here.

LU STOUT: Is your message for software and Internet developers out there to focus on the usability and to perhaps introduce multiple tiers of

usability for different audiences around the world?

BAIG: Ideally, yes. I mean, take your mind to the experiences of your grandparents and even our parents at times, right. And then also

imagine the experiences of people in far flung rural localities who've never experienced the Internet before. For them it's not plug and play.

Initiatives such as Facebook's internet.org and Google's Android One or Project Loon, et cetera.

You know, they're working on the affordability side of the equation thinking that just getting a tool to come on the Internet is going to be

enough to onboard all of these people seamlessly onto basic Internet services.

That's not the case. A lot of work on usability has been done for people such as ourselves, the connected, but as far as the usability for

the unconnected is concerned, the Internet right now is a hostile place. It's not as welcoming as it could be.

Definitely my message is we need to work on this problem if we are to onboard the 4.3 billion unconnected all the way onto basic Internet

services.

(END VIDEOTAPE)

LU STOUT: And that was Hassan Baig, the founder of the startup Club Internet that looks to connect the 4.3 billion still unconnected to the

Internet.

You're watching News Stream. And still to come on the program, dozens of fake bomb threats on social media have the FBI and airlines alarmed and

frustrated.

(COMMERCIAL BREAK)

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

Now Malaysian authorities have formally declared the mysterious disappearance of Malaysian Airlines MH370 an accident. Now the government

says all 239 passengers and crew are presumed to have lost their lives when the plane vanished last March while flying from Kuala Lumpur to Beijing and

these families can move ahead with compensation claims, but that was little comfort for some relatives who gathered in Beijing to hear the

announcement.

A huge search has so far failed to find any trace of the plane.

Now new data from AirAsia flight 8501's black box is giving investigators insight into the plane's final minutes. It shows that the

co-pilot was flying the passenger jet when it veered left, climbed rapidly and then fell into the Java Sea.

Now Indonesia's chief investigator also said "the stall warning went off when the plane was ascending. It sounded repeatedly: stall, stall.

And the warning, it went on until the plane crashed."

It all happened in less than four minutes: 162 people were onboard.

Now the FBI is investigating a spike in online threats made against airlines. Now authorities say none have proved credible, but the scares

have delayed travelers and cost law enforcement in airports time and money.

Rene Marsh has more.

(BEGIN VIDEOTAPE)

RENE MARSH, CNN AVIATION CORRESPONDENT (voice-over): Planes diverted, passengers evacuated. Law enforcement and bomb-sniffing dogs close in. All

because of fake bomb threats on social media.

UNIDENTIFIED FEMALE: We didn't know until we landed.

MARSH: It's happening more and more. A U.S. official tells CNN online threats increased after a bomb scare on a flight from Atlanta to Raleigh,

January 17th. Fifty similar incidents followed.

In New York, this flight swept for explosives. Military jets scrambled after a tweet said bombs were on board two planes bound for Atlanta.

Brian Bennett was on board.

BRIAN BENNETT, PASSENGER ON DELTA FLIGHT 1156: They did have canine units on the tarmac, as well as a number of police from different agencies,

I saw the Atlanta Police Department, TSA, and some FBI agents out on the runway and we were asked to place our items on the ground and have the

canine units go through them and check those first.

MARSH: And a tweet claiming to be from the terrorist group ISIS targeted a flight from San Diego to Dallas.

JEH JOHNSON, HOMELAND SECURITY SECRETARY: I want to see those who are responsible for that kind of activity tracked down and prosecuted.

MARSH: The head of homeland security, Jeh Johnson, told CNN today, even false threats are dangerous to public safety.

JOHNSON: They cause certain reaction, certain overreactions. Very often fighter jets are scrambled to address the situation.

MARSH: The FBI is investigating the social media threats, tracing computer IP addresses.

JEFF PRICE, AVIATION SECURITY EXPERT: It could be a small group of people, or just one person with a few Twitter accounts and a really dumb

idea. No devices have been found. But we can see how much it disrupts the system.

MARSH: These threats tax law enforcement. Airport and military resources, it's also costly for airlines and passengers.

PRICE: Every time a threat comes in, it has to be taken seriously. Aircraft have to be turned around or landed at the nearest location.

Thousands of dollars are lost every minute that plane is unexpectedly delayed.

MARSH: Rene Marsh, CNN, Washington.

(END VIDEOTAPE)

LU STOUT: Law enforcement authorities are concerned that publicizing the precise nature of the threats only fuels more copy cats.

Now still to come right here on News Stream, funeral services are being held in Argentina for high profile death that is still unexplained.

Details are next.

(END VIDEOTAPE)

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

A life or death deadline reportedly set by ISIS is drawing near possibly just one hour away. In a new audio recording posted only by ISIS

supporters, the speaker claims to be Japanese hostage Kenji Goto. Now the message demands that a female terrorist jailed in Jordan be released by

sunset local time or the speaker says a Jordanian pilot held by ISIS will be killed. Now CNN cannot verify the authenticity of this new message.

Israel's defense minister says his country has received a message from Hezbollah calling for a de-escalation of hostilities on the Israel-Lebanon

border. Now this comes after two soldiers and a UN peacekeeper were killed in fighting near the Golan heights. It is not known that the peacekeeper

was killed by Israeli or Hezbollah fire.

Malaysian authorities have formally declared the loss of Malaysian Airlines MH370 an accident. Now the plane disappeared while flying from

Kuala Lumpur to Beijing. The government says all 239 people on board are presumed to have lost their lives. The announcement means their families

can move ahead with compensation claims.

Data from AirAsia flight 8501 shows the co-pilot was flying the plane when it veered left, climbed rapidly and then fell into the Java Sea last

month. That all happened in less than four minutes.

162 people were on board the plane when it crashed.

Now right now, funeral services are being held in Argentina or a man whose death and its suspicious circumstances, have stunned the country.

Now Argentine prosecutor Alberto Nisman is being buried at a Jewish cemetery on the outskirts of Buenos Aires. And CNN's Shasta Darlington is

in the capital. She joins us now.

And Shasta, Nisman's death has rocked the country and the funeral begins this morning.

SHASTA DARLINGTON, CNN INTERNATIONAL CORRESPONDENT: That's right, Krisite.

In fact, the procession began about 45 minutes ago, left the funeral home, and will be arriving here at the cemetery any minute. When he left -

- when his body left the funeral home, there were people lining the streets shouting Nisman presente (ph), or Nisman is here.

It's a very emotional moment right now for Argentina. On the one hand, because there's really still no conclusion here in this mysterious

death. The chief investigator is obviously trying to figure out if it was a suicide, or if it was a murder. And in which case who would be behind

it, but also because so many Argentine's feel that the government, and especially the president, have been intervening in the case too much, and

that they're not -- they don't have full confidence in the justice system considering the fact that special prosecutor Alberto Nisman was himself

investigating the bombing of a Jewish center 20 years ago, a case that was never resolved. No one has ever gone to jail for that.

So, they're understandably worried that this case could also be diverted and could drag out like they've seen so many others.

But of course the day is the day when family, friends and colleagues will be here at the cemetery. They've been lining -- they've been lining

in all morning to pay their last respects, to get some kind of closure, although of course the investigation itself will continue, Kristie.

LU STOUT: And Shasta, as you said, Nisman's death is still unexplained. Did he commit suicide or was he murdered? And now we have

this new controversy involving the gun and the person who loaned the gun to Nisman that was used to take his life. What can you tell us?

DARLINGTON: Exactly. Basically the most of the physical evidence has been suggestive of a suicide, according to the chief investigator. But we

-- one person has been charged with a firearm infraction. He's an employee of Nisman. He was in charge of computer security. He's the man who leant

Nisman the gun. And he finally went public with his story yesterday because he'd been singled out by the president of the nation as somebody

who should be further investigated.

And what he told reporters at this packed press conference at his lawyer's office is that Nisman himself had called Diego Lagomarcino to his

office -- or rather to his apartment the day before his body was found. And he told his employee, listen, do you have a gun? And the --

Lagomarcino said why do you need a gun? And he said he was worried about the safety of his daughters, that he could no longer trust the federal

agents who'd been appointed as his security.

So, Lagomarcino says he leant him the gun and then the next thing he knew he was watching the news like everybody else and Nisman was found dead

with a bullet from that gun.

What the chief investigator has said is that so far this person is really only being charged with a firearm violation, lending somebody a gun

who wasn't registered to use it, Kristie.

LU STOUT: And Shasta, how many people in Argentina believe that Nisman's death was related to a cover up, an attempt to cover up -- and

this is where the story gets complicated -- Iran's involvement in a bombing back in 1994?

DARLINGTON: Well, I can tell you this, right when his body was found there was a national poll done asking who believed it was suicide and who

believed it was murder. 70 percent said they didn't believe it was suicide. And this was even before some evidence turned up, for example --

there wasn't any hint of gunpowder on Nisman's hands. That was even before that came out.

So there's obviously a lot of suspicion here.

But it's also tricky because if this was not suicide then people have to ask, well, who would have done it? Nisman had just come out blaming the

president and top officials of covering up Iran's alleged role in the Jewish center bombing. The president herself has suggested rogue spies,

had misled Nisman and could be behind his death. And now she's in a way pointing the finger at this employee Diego Lagomarcino with no motive,

simply saying well he was very anti-government and had ties to a media group that was very anti-government.

So, everybody just seems to be throwing out all of these smoke screens, making it very difficult for Argentines to focus on what the

actual evidence is.

But there is so much suspicion. I haven't found a single person who believes it was suicide, Kristie.

LU STOUT: Yeah, a very complicated case has rocked the nation. Shasta Darlington reporting live from Buenos Aires for us. Thank you,

Shasta.

Now, Syriza's victory in the Greek elections ushered in a new prime minister and, just as importantly, a new man in charge of the nation's

money.

Now the new Greek finance minister Yanis Varoufakis said on Wednesday that he is committed to renegotiating agreements with the country's

lenders. Now he and Syriza are also promising debt relief for those below the poverty line.

Now let's give you some background now into the new Greek finance minister. Now he was a book author, a professor of economic theory at the

University of Athens and a consultant for a videogame company. In fact, in 2011 he was asked by the gaming company Valve if he would oversee the

virtual markets in their games.

Now Varoufakis ended up consulting for games like DOTA 2, CounterStrike and Team Fortress 2. He admitted in his blog that he knew

nothing about gaming, but was drawn to the idea of testing real economic theories on digital markets.

You're watching News Stream. Still to come on the program, we'll take you into the modern world of swinging. It's not a matter of swapping keys

anymore. In 2015, there is a tech savvy twist.

(COMMERCIAL BREAK)

LU STOUT: Welcome back.

Now California has been known as the place that kind of experiments with alternative lifestyles and in Silicon Valley there's a new breed of

swingers. Now if they want to meet someone outside their relationship, well yes there is an app for that.

Laurie Segall reports.

(BEGIN VIDEOTAPE)

LAURIE SEGALL, CNN MONEY: It's Saturday night in Silicon Valley. Drinking, partying, oh yeah, and swinging. Or what they call it these

days, the lifestyle.

Can you just describe kind of what happens at these events?

GREG, ENGINEER: If you've been to a bar or night club I think you've got the general idea of it. There's only a little bit of an extra twist at

the end. Whereas you might go to a bar, pick up somebody and take them home for the evening if you're single, here it wouldn't be unheard of to do

that even if you're married.

SEGALL: Greg and Stella are engineers based in the Bay area. Together for 10 years and having sex with other people for two of them.

They're part of this community that explores their sexuality.

Swinging has a pretty rich history. Back in the 70s there were these parties called key parties. Married couples attended and then at the end

of the night, men would put their keys into a bowl. Women would pick up a key and go home with the guy who owned it. It was a partner switch.

Still, this particular concept has changed quite a bit. For certain communities, the mobile device is the new key. And tech is connecting

modern day high tech swingers.

BEN FULLER, FOUNDER, BRONZE PARTY: The mobile phone, it's a great tool. We have a thing called auto date which allows you in the party

itself to choose the people that you're interested in. And if you choose it and they choose it you get a notification and you can meet these people:

their information pops up.

SEGALL: It's a modern day key.

FULLER: Yeah, it's a modern day key.

SEGALL: Ben is a former startup guy who sold his first business back in 2000 for $5 million. Now he's using his tech background for a new

venture. And this one is a bit more out there.

You own Bronze Party. What is Bronze Party?

FULLER: So Bronze Party is a lifestyle event, an upscale lifestyle event where people come together. The party starts up at like 10:00 and

everyone will have drinks. They're socialize. By 11:30, 12:00 people actually start to figure out what they're going to do for the rest of the

night and some decide to have sex, some just stay in the kitchen and drink all night.

SEGALL: This particular community based in San Francisco attracts a lot of tech talent.

FULLER: We have many people who work in startups come to our parties. They often have great ideas about technology that they are using that I

could apply here at Bronze Party.

One of the people that came to one of our parties was an iPhone developer. He had a great idea as to how we could better manage our

contact information.

SEGALL: Ben also runs Modern Lifestyle. It's a software platform connecting these types of communities around the country. He says the

average member makes between $125,000 and $150,000 a year.

Does wealth have anything to do with this?

UNIDENTIFIED FEMALE: I think that wealth may have something to do with one's interest in experimenting, because you don't have a lot to lose.

And probably if you've got an awful lot of money and you lose your primary partner, you can probably find another.

But the bottom line is, in the long run the brain does not work that way.

SEGALL: You don't think it's sustainable.

UNIDENTIFIED FEMALE: No.

GREG: Cheating is really about violating the contract of the relationship. You said you wouldn't do that and now you did. That could

be forgetting to put the clip on the bag of chips, or it could be sleeping with somebody else.

STELLA, ENGINEER: Sure, it could be like oh, I'm jealous that he's having sex with someone else, or it could be, hey, I like it when he is

having fun.

I enjoy seeing that.

(END VIDEOTAPE)

LU STOUT: I'm open-minded, but can't go there.

Now that is News Stream. I'm Kristie Lu Stout, but don't go anywhere. World Sport with Amanda Davies is next.

END