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NEWS STREAM

Can Chad Turn Tide Against Boko Haram? Jihadi John's Rising Propaganda Value; FCC Votes On New Internet Regulations; Putin's Enduring Popularity in Russia

Aired February 27, 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 more westerners may be flocking to ISIS as the world learns more about one man seen as a powerful recruitment tool.

Plus, Nigeria's fierce battle with militants could be hitting a turning point. CNN rides along on the hunt for Boko Haram.

And a controversy that's dividing people around the world. What color is this dress?

And we begin this hour with the global fight against terror. The ISIS campaign to recruit westerners appears to be strong. At least four

Canadian teenagers are the latest believed to have flown to Turkey to join the militant group.

Now three British girls are also still missing.

Authorities say it is possible they went to Syria to become ISIS brides.

The masked man in the ISIS execution videos, Jihadi John, has been identified but remains a valuable tool for the group. We have more on that

later.

And now there are signs that Boko Haram, the militant extremist group in West Africa, may be edging toward a formal pledge of allegiance to ISIS.

Now the group has been blamed for a series of suicide bombings in Nigeria, the last two on Thursday, killed 35 people.

But there's an aggressive campaign underway to root out Boko Haram. Troops from Chad are tracking down the radical fighters in Nigeria. Our

Arwa Damon joined them in Gambaru (ph) where the soldiers have already managed to chase out the Boko Haram extremists.

(BEGIN VIDEOTAPE)

ARWA DAMON, CNN INTERNATIONAL CORRESPODENT: The weather conditions have resulted in poor visibility, forcing these helicopters to fly quite

low.

We'll be passing over Cameroon as we head towards one of Chad's front lines with Boko Haram in Nigeria.

We're with one of the region's most feared military forces, and also apparently one of the most effective, some say heavy-handed.

After coming under attack by Boko Haram in neighboring Cameroon, this Chadian unit gave chase, following the militants right across the border

into northern Nigeria.

We were invited, along with the Chadian top brass. The convoy to the front is massive, heavily armed, packed with jubilant troops.

A lot of Boko Haram's positions, that's what the soldiers were just yelling as they were driving by.

Chad's well-equipped and battle-hardened army joined the fight in January, helping Nigeria reclaim a chunk of northern territory. We pass

through the abandoned town of Gumbaru (ph). It was firmly under Boko Haram's control until the Chadians arrived just a few weeks ago.

The area we're heading to, the soldiers are saying on Tuesday, is where they were attacked.

We see a handful of women as the convoy speeds past. The remains of motorcycles often used by Boko Haram. We can't see what the Chadians are

shooting at. Then, the distinct hissing of bullets close by.

Our vehicle moves forward, past a body they tell us is that of the Boko Haram militant who had been shooting at our convoy.

We don't see a weapon. Soldiers say they grabbed it.

Chad claims to have killed 200 Boko Haram militants here this past week. We see about half a dozen bodies left to rot.

The Chadian soldiers find a child. They want him to tell them where the Boko Haram fighters have fled to. Perhaps seven or eight years old, he

seems terrified and confused.

The soldiers view any survivors here with suspicion.

(END VIDEOTAPE)

LU STOUT: Incredible reporting there.

Let's go live to Arwa now for the latest developments. She's with us from Unjamina (ph) in Chad. And Arwa, as Nigeria has been struggling to

stop Boko Haram, will Chad's military turn the tide against the militant group?

DAMON: Well, some analysts are saying that they already begun to do just that. If you'll remember Chadian forces help the Nigerians retake

Baga (ph), located right on Lake Chad. That is where there was an alleged massacre, according to Human Rights Watch where upwards of 200,000

civilians were killed by Boko Haram fighters. Chad most certainly, as far as we have been able to see, has been assisting in helping the Nigerians

retake those key territories.

The question of course moving forward is how long with the Chadians be able to sustain the momentum that they currently have. And if they do end

up withdrawing from areas they've liberated from Boko Haram, will Nigerian forces be able to move in and continue to hold on to those much needed

(inaudible).

LU STOUT: Yeah, a lot of concern about whether Chadian forces will be able to retain their momentum.

If it your feeling that a greater response from the international community is needed to fight Boko Haram?

DAMON: Well, that is what a lot of the African nations that make up the Lake Chad basin where Boko Haram operates are asking for. They want to

see greater assistance. They want to see greater support militarily. They want greater support when it comes to intelligence gathering capabilities.

We also do have at the same time, however, this newly formed coalition of the Lake Chad basin nation. That coalition is slowly beginning to

solidify and that is a very vital piece of the puzzle when it comes to trying to defeat Boko Haram and sharing that these various different

countries are communicating when it comes to intelligence, when it comes to military capabilities.

We've been in Zumina (ph) in Chad also covering something that is called Exercise Flintlock. And we saw key African nations fighting Boko

Haram being trained by special forces from the United States from Europe. So that's also quite important at this stage.

But the one message that's really been emphasized throughout when it comes to the defeat of Boko Haram is the need for that cooperation. No one

country can do this on their own, because if one nation does happen to rid itself of Boko Haram, this is an entity that will be totally capable of

taking advantage of any sort of security vacuum that exists in any other country.

So, again, it does have to be a very collaborative effort.

LU STOUT: All right, CNN's Arwa Damon reporting live from Chad. Many thanks indeed for your reporting, Arwa.

Now the number of Assyrian Christians feared kidnapped by ISIS this week continues to rise. Thousands have fled the militants onslaught in

northeastern Syria taking shelter in nearby Cathedrals. Now still, a local militia now estimates as many as 360 were taken hostage. Now most are

women, children and the elderly, because many of the men are away fighting ISIS militants elsewhere.

Now in Iraq, ISIS militants are not only attacking people, they're also destroying ancient artifacts.

Now just days after reports that the group burned historic manuscripts in the Mosul library, the terrorists have now turned on the city's museum.

Ben Wedeman has more.

(BEGIN VIDEOTAPE)

BEN WEDEMAN, CNN INTERNATIONAL CORRESPONDENT: An orgy of incomprehensible vandalism. Unidentified men smashed statues to the floor

of the Mosul museum while others take sledgehammers to what appear to be ancient artifacts shattered by those whose fanaticism seems to know no

bounds.

This video was posted online by ISIS's media office in Mosul, complete with an explanation by an unnamed man.

"These antiquities and idols behind me," he says, "were from people in past centuries and were worshipped instead of god. When gold almighty

orders us to destroy these statues, idols and antiquities," he adds, "we must do it even if they're worth billions of dollars."

This may not be what it seems, however, many of these artifacts appear to be replicas, not originals.

What is real, experts say, is this famous Assyrian winged bowl of Nineveh dating back to 700 BC defaced with a drill.

Also real is the brazen willingness of ISIS to publicize, indeed boast, of its utter disregard for anything they deem to be the work of

infidels.

Equally significant is what doesn't appear on the video. A source in Mosul tells us that ISIS has already sold hundreds of antiquities from the

museum on the international black market.

This footage was posted just days after reports emerged that ISIS militants in Mosul burned thousands of books and manuscripts dating back to

the Ottoman empire. Whether these are replicas or originals, ISIS has proven repeatedly and vividly, its determination to callously destroy the

heritage of a nation, indeed all mankind, under its reign of (inaudible).

Ben Wedeman, CNN, Irbil, northern Iraq.

(END VIDEOTAPE)

LU STOUT: Now British Prime Minister David Cameron is not commenting on the naming of an ISIS militant known as Jihadi John. When asked about

the reports today, he would only say that British security forces will do all they can to track down people who commit appalling crimes against

Britons.

Now, U.S. government sources confirmed on Thursday that Jihadi John is a Kuwaiti-born Londoner named Mohamed Emwazi.

Now Jihadi John always appears masked in ISIS beheading videos. Our Brian Todd looks at his role in the militant organization.

(BEGIN VIDEOTAPE)

BRIAN TODD, CNN CORRESPONDENT: The British accent behind the mask.

"JIHADI JOHN: Obama, you have started your aerial bombardment in Sham (ph), which keeps on striking our people. So it's only right we continue

to strike the necks of your people.

TODD: A voice we know think belongs to a 26-year-old from west London named Mohamed Emwazi. With each new beheading video, a U.S. official says,

Jihadi John's value as a top ISIS figure has grown.

AKI PERITZ, FORMER CIA OFFICER: His chief value is being the west's bogeyman and ISIS's man on the ground who tells it like it is and does

terrible things to his victims.

DAVID GARTENSTEIN-ROSS, FOUNDATION FOR DEFENSE OF DEMOCRACIES: He's out of central casting for ISIS. ISIS has a flare for the dramatic.

They're very good not only at social media, but also film production and also figuring out in terms of narrative, what is it that will scare people?

TODD: His mask, British accent, distinctive motion with a knife, the fact that he may have beheaded hostages on camera not only shocks western

viewers, but emboldens other ISIS militants.

JESSICA LEWIS MCFATE, INSTITUTE FOR THE STUDY OF WAR: I think the freaky thing about Jihadi John is he kind of looks like he likes that job.

So for ISIS it's just a way of continuously desensitizing everyone who is within ISIS to the fact that that is business as normal.

TODD: U.S. intelligence and law enforcement officials tell CNN, Jihadi John is prized as a westerner within ISIS, because he helps

recruitment.

MCFATE: The message is to westerners if you come to ISIS you can be important, not just that you can be part of the crowd.

TODD: He sprang into America's conscience with a video showing James Foley's murder. It was soon followed by the Steven Sotloff video.

Analysts say he may not have done it on his own, but Mohamed Emwazi's videos played a huge role in escalating America's war against ISIS.

GARTENSTEIN-ROSS: Well, let's put it this way, had it not been for these videos, we probably wouldn't be bombing Syria today.

TODD: Has Jihadi Johns' propaganda value for ISIS diminished now that he's been named?

The analysts we spoke to don't think so. They say as long as he keeps menacing the west on camera he's going to have propaganda value for ISIS.

The one mitigating factor is whether he'll now go further underground now that western intelligence and military forces know more about him.

Brian Todd, CNN, Washington.

(END VIDEOTAPE)

LU STOUT: You're watching News Stream. And coming up this hour, Russia threatens to cut off Ukraine's natural gas supply unless it gets

paid. But Kiev says the bill has been settled. We'll go live to Moscow for the latest.

And a Hong Kong woman convicted of abusing her maid will be spending years behind bars. What the judge said about living conditions for

domestic workers in the city when we come back.

Also ahead, net neutrality activists score a victory, but the fight isn't over yet. We'll explain.

(COMMERCIAL BREAK)

LU STOUT: Now millions of Ukrainians could run out of natural gas in a few days unless Kiev settles a financial dispute with Russia's energy

giant Gazprom. And according to the TASS News Agency citing the Russian energy minister. Gazprom has yet to receive a $15 million prepayment that

Ukraine claims to have sent.

Now for details, let's go straight to our senior international correspondent Fred Pleitgen. He joins us now live from Moscow. And Fred,

Ukraine says the bill has been paid, so why is Russia making this threat?

FRED PLEITGEN, CNN INTERNATIONAL CORRESPONDENT: Well, because the Russians say that the bill is only for an additional 24 hours. They have

now acknowledged that they got these $15 million in payments, however they say that even with that $15 million the gas could be shut off some time

late Monday, so in about three days from now.

The interesting thing is that on Monday there's also going to be a summit between the Russians, the Ukrainians and the European Union to try

and get this dispute out of the way once and for all. And the Russians are saying the gas might be shut off by then.

Now one of the things that we have to keep in mind, though, Kristie, is that even if the Russians shut off the gas supplies to Ukraine, the

Ukrainians are still going to have gas, because they have reserves that they, themselves have put up and they also have reverse flow of gas where

the European Union actually gives some of its gas reserves to Ukraine to ensure that the people there will have gas.

So at this point in time while this is a dispute that's very worrying for many in Europe and certainly for Ukraine. It's not something that's

going to cause gas shutdowns in Europe or Ukraine any time soon.

But of course the dispute between these two nations is one that has big economic implications for both of them. The Russians, for their part,

also suffering economically as well. However, that has done nothing to put a dent in Vladimir Putin's popularity. And you'd be very surprised to see

where some of that popularity comes from. Let's have a look.

(BEGIN VIDEOTAPE)

PLEITGEN: It's no secret Russia's president enjoys motorcycles. And when Vladimir Putin rides with the former Communist bloc's biggest bike

club The Night Wolves, his wingman is also a staunch ally.

Aleksander Zelda Stanov (ph), nicknamed "The Surgeon," is Night Wolves' president. He tells me his admiration for Putin is religious.

"I believe Vladimir Putin is a gift from god to us," he says. "After so many years, we have a president we're not ashamed of. So I certainly

believe we need to help him and give him our shoulder."

Those are not empty words. When what Vladimir Putin now acknowledges were Russian troops entered Crimea last year, the Night Wolves were already

there commanding checkpoints setting the scene for the invasion.

The separatist flag flies inside the Night Wolves compound. And Alexander Zeldostanov acknowledges members of the club are fighting in

Ukraine.

"There are many of our Ukrainian Night Wolves in Luhansk and Donetsk," he says. "Unfortunately, we've lost three of them. They all died as a

result of shelling."

The Night Wolves' involvement in Ukraine has caused both the group and Zaldostanov himself to be placed on the U.S.'s sanctions list. But, as he

shows me some of the machines the club designs he says sanctions will never cause him or Russia to budge.

ALEXANDER ZALDOSTANOV, PRESIDENT, NIGHT WOLVES: Continues to fight, you know. If you stop the fight, so this (SPEAKING IN FOREIGN LANGUAGE)

but you continues your fight, yeah, is that you give hope to Vina (ph) and not to (inaudible).

PLEITGEN: As Russia's economy buckles under sanctions, unemployment rates soar and its currency tumbles like Alexander Zaldostanov, a majority

of Russians remain faithful to their president, unfazed by criticism, and pressure from the west.

(END VIDEOTAPE)

PLEITGEN: Nevertheless, Kristie, the Russian economy is one that is in a lot of trouble, of course. One of the things that we've heard in the

past couple of days that Russia is going to additionally tap its foreign reserves to ensure some of its investments. Also government workers'

salaries, at least the president's government workers' salaries are probably going to be cut by 10 percent. Parliamentarians have also decided

that they're in favor of a pay cut for themselves as well.

So, while support for Vladimir Putin is still very much strong, it's also no secret that the economy here is in a lot of trouble as Russia tries

to get its economy back on track in spite of the international sanctions -- Kristie.

LU STOUT: All right, colorful and multilayered reporting there by Fred Pleitgen, thank you very much indeed for that, Fred.

And now an update to a story that has sparked international outrage. Erwiana came from Hong Kong from Indonesia hoping to support her family.

Instead, she was beaten and abused for seven months by her employer.

Now today, a judge sentenced her former abuser to six years in prison. Now pictures of Erwiana's severe injuries sparked protests in the city and

touched a nerve around the world.

Now during the sentencing, the judge criticized Hong Kong rule she says forced domestic workers to live with their employers saying that helps

allow abuse to happen. There are about 320,000 foreign domestic workers in the city.

Now Erwiana is worried the punishment was too light saying this, quote, "the sentencing may send a wrong signal to employers who mistreat or

violate the rights of their domestic workers. With this sentencing, it is as if the people in government are OK with it."

Now coming up right here on News Stream, sweeping new changes are meant to keep the internet in the U.S. free and open. While some are

applauding the rule change, others say a bitter fight is on the legal horizon.

(COMMERCIAL BREAK)

LU STOUT: It is still very foggy here in Hong Kong. And coming to you live from the territory you're back watching News Stream.

Now a major change in the U.S. that affects the internet, the Federal Communications Commission has voted in favor of net neutrality. It passed

3-2 in front a standing room only crowd.

But the battle is not over yet. Brian Stelter has more.

(BEGIN VIDEOTAPE)

BRIAN STELTER, CNN MEDIA CORRESPONDENT: Hey, Kristie.

This really is a story that affects everybody, because the internet increasingly affects everybody. People all around the world expect it to

be available and fast and that's something that regulators in the United States say they are trying to ensure with these new rules.

But the rhetoric around it has been -- well, it's been dramatic.

Let me show you what Netflix said right after the vote on Thursday. They came out and called this a win for consumers.

Now they said the net neutrality debate is about who picks winners and losers online: internet service providers or consumers. Today, the FCC

settled it: consumers win.

So with Netflix and companies like it are saying is that they want to make sure no broadband provider can discourage or impede a new startup or a

service like Netflix that has lots of consumers. They want to make sure there's no fast lanes or slow lanes on the internet that prioritize some

sites and hurt other sites. They also want to make sure that some sites can't be blocked altogether.

Now that's an idea, an open internet idea, that pretty much everybody says they favor. Companies like Comcast and AT&T and Verizon, which

provide the backbone of the internet and provide access to millions of Americans say they agree with those ideas in principle, but they believe

the government is going about it the wrong way. They say congress should be involved to create new laws here, instead of using 1930s laws and then

applying those rules to the 2015 internet.

Here's what Comcast said in a statement after the vote. They said, "we are disappointed the FCC chose this route, which is certain to lead to

years of litigation and regulatory uncertainty and may greatly harm investment and innovation."

Now by mentioning investment there, they are suggesting they might not be spending as much as they used to, to wire the country, to provide

broadband to millions of homes.

But net neutrality advocates say that's just bluster and that these companies have it in their best interest to continue to provide fast

internet faster and faster internet to people all across the country.

And we should mention, these rules apply to wireless internet as well. That means people's ATt&T and Verizon and T-Mobile connections.

And although these rules are just involved in the United States, advocates for net neutrality believe that they will affect what other

countries choose to do with internet regulation in the future.

This is something that will now shift to the courts. There's already been court arguments about net neutrality in the past. And there will be

more as litigation is expected in the months to come.

Back to you.

(END VIDEOTAPE)

LU STOUT: All right, Brian Stelter there.

Now turning now to China. And starting this Sunday, the government says people must use their real names to sign up for internet accounts.

Now the rule covers blogs, instant messages, discussion forums and other online platforms. Now accounts that impersonate government bodies or

foreign leaders are also banned.

The new regulations come as there is an increased effort by China to tighten its grip on the internet.

According to several reports last month, providers of VPNs or virtual private networks say their services in China were severely disrupted. Now

some web users use VPN to access websites blocked by censors like Facebook or Google in China.

You're watching News Stream. And coming up next, the euro skeptic UKIP Party is tipped to gain ground in upcoming British elections. We'll

have a live report from the opening of the party conference.

Also later in the show, the dress that is dividing families, friends, even CNN news rooms around the world. Find out why this garment is

sparking controversy.

(COMMERCIAL BREAK)

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

Now the British Prime Minister David Cameron is not commenting on the naming of an ISIS militant known as Jihadi John. When asked about the

reports today, he would only say that British security forces will do all they can to track down people who commit appalling crimes against Britons.

U.S. government sources confirmed on Thursday that Jihadi John is a Kuwaiti-born Londoner named Mohamed Emwazi.

Millions of Ukrainians could run out of natural gas in a few days unless Kiev settles a financial dispute with Russia's energy giant Gazprom.

Now Gazprom says it has received a $15 million pre-payment from Ukraine, but it's not enough.

Lawmakers in Germany have agreed to extend Greece's bailout for four months. The vote is the last big hurdle for the extension of Greece's

financial lifeline.

Britain's Prince William is promoting diplomatic dies with China this week. The Duke of Cambridge kicked off his Asia trip in Tokyo. And there,

he's been spending time with top officials, including the governor of the capital city and Emperor Akihito.

As we've mentioned, the British Prime Minister David Cameron has just come to the defense of the country's security services and there is a group

that is (inaudible) to get a much stronger foothold in elections in May. It's been very vocal about David Cameron's handling of the situation.

Let's go straight to Max Foster. He is in Margate, that is where UKIP, this party, is holding a party conference at the moment. And he

joins us now.

And Max, how much momentum is behind UKIP?

MAX FOSTER, CNN INTERNATIONAL CORRESPONDENT: A lot of momentum behind UKIP, at least if you look at all the polling numbers. They come from a

very low base. This is a country which has a strong two party tradition, but that's broken down in recent years. And really in the runup to the

election here in May, the main talking point is UKIP, this success they've had in rallying people from all sorts of different parties around the idea

that Britain used to be great, it can be great again. We don't need to be in Europe anymore, that doesn't work for Britain, that's the sort of

messaging you get from UKIP. And moving forward, you can vote for UKIP and you can have a say in British politics, you don't have to go for one of

those big Westminster based parties with all the tradition that comes with that.

And Nigel Farage, the leader of that party, very charismatic, part of the reason why they're having some success is hoping that this area will

vote for him to become a member of parliament. They've only got two so far. They may not have a huge amount more, but they will get a lot of

votes if you look at all the polling.

And Nigel Farage if you look at the polls is going to win this seat as well.

So, you've got particularly conservatives shifting over to UKIP. And this person we spoke to at the conference really sums that up.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: The man at the man at the moment and the only guy that can really save this country, has got the vision to do it, is Nigel

Farage.

(END VIDEO CLIP)

FOSTER: So how much of it is about being positive for UKIP and how much a reaction against those other parties? It's difficult to say, but

it's certainly informing the debate, defining this debate in the runup to the election, Kristie.

LU STOUT: All right Max Foster joining us live from Margate, many thanks indeed for that.

Now, South Korea and the U.S., they are preparing to launch eight weeks of large-scale joint military drills on Monday. It's part of their

annual exercises.

As expected, North Korea isn't happy about it, prompting more, threatening rhetoric from Pyongyang.

Now Paula Hancocks sat down with South Korea's foreign minister to get his reaction.

(BEGIN VIDEOTAPE)

YUN BYUNG-SE, SOUTH KOREAN FOREIGN MINISTER: Then you have a trigger happy neighbor playing with fire, but what do you do? You should raise our

guard. So, for the last 40 years, we have been engaged in this defensive transparent annual joint exercises.

For us, we wish to be very transparent. There is no reason why North Korea is concerned about. And everybody knows about this defensive nature

of the drill. So, instead of the overreacting on the part of North Korea, I think this is the right time for North Korea to come back to the dialogue

table and discuss all kinds of issues affecting our relations. The sooner the better.

PAULA HANCOCKS, CNN INTERNATIONAL CORRESPONDENT: Are there increased worries of miscalculation at this time of year, though? As you say, it's a

trigger happy neighbor, there could be an individual who mistakes what is happening on the other side of the border. Is there a real concern of

miscalculation?

BYUNG-SE: Miscalculation is at the heart of our strategy posture, on the part of the U.S. and South Korea, because any small incidents in the

Korean peninsula or off the Korean peninsula can be easily translated into real physical confrontation.

(END VIDEOTAPE)

LU STOUT: And that was South Korea's foreign minister speaking to our Paula Hancocks in Seoul.

You're watching News Stream. And still to come, question: is it white and gold or is it blue and black? Why this dress has so many people

talking next.

(COMMERCIAL BREAK)

LU STOUT: Welcome back.

Now when the first Macintosh came out over three decades ago it was touted for its intuitive design. Consumer Reports called it, quote, far

and away the easiest computer to learn and to use.

Now here's early Apple engineer Daniel Kottke with a close-up look at the original Mac that he helped to build.

(BEGIN VIDEOTAPE)

DANIEL KOTTKE, COMPUTER ENGINEER: This dates from the early spring of 1981. This was one of the first Macintosh prototypes. I just stuck these

labels on later.

The circuitry here changed many times as it was evolving.

We started in early '81 and we didn't ship until January of '84, so that was three whole years.

There were I think a total of 11 different versions of the circuit board.

Here is number one. OK, this was the first ever Macintosh circuit board. This one says number four. These are the RAM chips with the gold

tops. Notice how these are spaced out compared to this one.

See on this one, the RAMs are all crammed together, that's because Steve wanted to see if we couldn't make it more aesthetic. So this is the

board that represents the more aesthetic layout. And guess what, it didn't work as well.

He wanted the inside of the computer to look good even if no one would see it.

These were prototype cases. I was in the lab. We had lots of parts and pieces. Without ever having to spend any money on anything, I put

together a few machines like this. In fact, I put together one for Ken Goffman (ph), for Mondo 2000 Magazine. And that was their first computer.

They were editing the magazine on this little Macintosh that I loaned them.

I never got it back, but anyway.

This is the Mac SE. This particular one. Someone found it on the street. It belonged to Mickey Hart of the Grateful Dead.

I never had the idea that somebody was going to want to look at them in the future.

This stuff was sitting in boxes in my office and then when I went on my leave of absence there was no one to give them to. I wanted to go tour

around Europe. And I was not sure I wasn't going to come back to Apple, but there was nobody to give this stuff to. So I held on to it.

If Apple asked for it back, I would probably give it to them.

(END VIDEOTAPE)

LU STOUT: I wish I kept my original Mac. What a vintage.

Now, a question, what color is this dress? Now it's a simple question, but the answer has divided friends and family, even our own news

room. Now some people think that the dress is white and gold, others see it at blue and black. And there seems to be no middle ground.

Now the actress Anna Kendrick says if that's not white and gold, the universe is falling apart, while Taylor Swift think it's blue and black,

even though she said she's confused and even scared by the debate. But don't worry, Taylor Swift, we have found, and we try to find a way to bring

together and to unite the two camps.

Now let's bring it up, an original picture of the dress and on the right we've changed the white balance to try and help you see why some

people think this dress is white and gold. And now on the left, we've tweaked it in the other direction so it should look more blue.

So, hopefully this will help you see what the other side sees.

Now for the record, this is the original dress. It is blue and black. Now the designer of the dress told us how excited everyone at the company

is about the huge online debate.

(BEGIN VIDEO CLIP)

MICHELLE BASTOCK, FASHION DIRECTOR, ROMAN: It is really it so incredible, because when you look at it on the screen is that some people

see a white and some people see a blue, it's just crazy, it's amazing.

(END VIDEO CLIP)

LU STOUT: OK, so how is it that people see different colors in this dress? Now it all has to do with how we perceive color, because in a sense

color it doesn't actually exist. What we're actually seeing are the reflections of light bouncing off an object. Our brain is supposed to

naturally compensate for the amount of light and the changing tint of daylight, allowing us to see roughly consistent color in the bright white

of day, or the dim red of sunset.

But there's something about this image that's messing with that mechanism. It appears to be in a sort of sweet spot, which makes it look

different to different people. And incidentally I think that is white and gold.

And that is news Stream. I'm Kristie Lu Stout, but don't go anywhere. World Sport with Christina Macfarlane is up next.

END