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First Move with Julia Chatterley

Jobs Report Shows U.S. Employment still Healthy; Russia Under Drone Attacks for 4th Straight Day; FIFA Chief: Kiss "Should Never have Happened"; North Korea Eases COVID Rules, Reopens to Ex-pats; CYPHER looks to Transform Ed Tech without Copilot; Paris Rental E-Scooter Ban comes into Effect. Aired 9-10a ET

Aired September 01, 2023 - 09:00   ET




JULIA CHATTERLEY, CNN ANCHOR, FIRST MOVE: A warm welcome to "First Move", this Friday, great to be with you. It's however the weekend just yet. And

we do have a Friday flurry of important data to bring you breaking in the past hour. The latest U.S. jobs report 187,000 jobs were added net to the

American economy in August.

We can call that I think a solid number and it was a touch better actually than expected, then it gets a little bit more complicated. Job gains for

the month of June and July were revised lower by a total of 110,000 jobs. And if you take a look at the numbers, the unemployment rate also ticked

higher to 3.8 percent too.

Now however, the number of people actually participating in the jobs market also rose. So you can argue I think that's a good sign if you want to see a

bit more slack in the labor force. As we know the Federal Reserve do wage gains on the month will also slightly softer than expected, also good news

for the Fed, less good news of course for workers.

The real question for investors is whether this changed is anything for the Federal Reserve at their meeting this month when no change is expected. And

I think the answer in a word is no investors are though in the meantime pricing out the prospect of a move higher in November too.

Here is look at the market picture. We're going to discuss all this in just a moment. But as you can see U.S. stocks on track to begin the new month

with solid gains no September slog in Europe either that you can see the central axis slipping into unchanged territory major averages mostly

higher, as you can see there.

And a September stimulus chair in China too, the country's Central Bank announcing new efforts to support the Chinese Yuan by cutting the amount of

foreign currencies. Banks need to hold as reserves, the Yuan falling some 5 percent against the U.S. dollar this year that despite the dollar weakening

against other currencies.

It's making it one of the worst performing Asian currencies and Beijing out with further steps to improve housing affordability amid the ongoing

property slump. The government is enticing first and second time homebuyers with preferential mortgages, regardless of their previous credit history.

The SHANGHAI COMPOSITE advancing almost half a percent, with Chinese stocks chalking up their best week in fact since July, as Beijing amps up that

economic support. In the meantime, Hong Kong markets closed for trade today as the Super Typhoon approached the area.

Widespread flight cancellations leaving many stranded at Hong Kong Airport to the full effects of two big storms starting to be felt in the region.

We've got a full report and analysis coming up of that too. But first, let's give you a reminder again of today's job numbers.

The August jobs report just the latest piece of data this week suggesting that perhaps the federal interest rate hikes are now being felt. Nela

Richardson joins us she's Chief Economist at Payroll and HR Solutions Firm ADP. Nela wouldn't be a jobs Friday, if we didn't have you on the show. I

caught this moderating but healthy. What do you make of these numbers?

NELA RICHRADSON, CHIEF ECONOMIST AT ADP: Yes, I would agree with you. It's good to be here. Yes, I think this is a pivot towards more sustainable

growth going forward. There's a caveat there. And I'll get to that in a minute. We saw over the last year a lot of churn in the labor market,

people quitting their jobs and lining up new ones.

We're seeing that churn start to slow. And then when you add really low layoffs, from other data that came out this week in layoffs in the United

States to the step backwards, so they actually dropped this week versus last week. You're seeing a picture of sustainable growth. It's lower, but

it's likely to be at this level for a while now. And that's good news for the American worker.

CHATTERLEY: Give us the caveat?

RICHARDSON: The caveat was the revisions of this report -- .


RICHARDSON: 110,000 revised down, that is in a normal market, in a normal pre pandemic market seeing 100,000 for a month. It's not a surprise. It's a

moderate growth rate, nothing to be concerned about, but the stark deceleration, the stark revision is troubling and it's provides a bit of a

mixed picture to an otherwise good report.

CHATTERLEY: What do you make of the unemployment rise too because I made that contrast between what we're seeing which is greater participation for

the first time and in a number of months now in the labor force, which, as I mentioned, if you're the Federal Reserve, then this is a good thing you

want as many people participating in the labor market is possible.


But offset that with a rising unemployment rate which arguably they've said in the past looks too low, actually for what they're trying to achieve in

terms of the inflation level.

RICHARDSON: So we've gone in this latest report from rock bottom historical levels of unemployment rate to slightly higher. So in the big picture, it's

still a very low unemployment rate. Again, the issue is how quickly it's accelerated over a course of a month. And so this is not a number that we

can sleep on.

We have to be very watchful of it to see if this is just the start of another bump up and extend unemployment rate in the close the year. I hope

not. I hope that this influx of workers and there's a lot of reasons why workers are coming back to the market. This influx of workers helps again,

with the sustainable growth picture that we're seeing emerge.

CHATTERLEY: The other thing that was relevant, I think, to this is the Hollywood strikes. It's not in isolation, or directly impacting that many

people. But if you look at the sort of knock on impact of those that are associated with this industry, it's what 900,000 jobs, we also had a

trucking companies go bankrupt, and you saw that in transportation.

So I just wonder whether there was a bit of drag from both of those things in this, which, you know, you have to hope fingers crossed, we'll filter

out next month and beyond.

RICHARDSON: There are a lot of reasons for us to want that Hollywood strike to come to a peaceful resolution. Not to mention just entertainment value.

CHATTERLEY: Yes movies.

RICHARDSON: What that industry produces but that is right. So striking workers did play a role in this report information that sector in which

those workers fall under is a very small fraction of the overall labor market that this is a labor market that has been solid, but I I've been

arguing all along, heavily fragmented.

And you're seeing areas of both strength, like in services, education, healthcare, leisure and hospitality and weakness, manufacturing has

struggled all year long. And now information not just in terms of Hollywood screenwriters and actors, but also fields that were looked at as future

proof like, you know, data science and technology.

We saw big headline layoffs at the beginning of this year. So there's not one sector in this economy. There are a lot of them, there are microcosms.

And that like I said, some of them are strong, and some of them are weak. The big picture, though, is a solid month again.

CHATTERLEY: Yes, I want to ask you indirectly, what this means for the Federal Reserve. And again, I hinted that some of the investors out there

were suggesting that maybe this is further support for the idea that the Federal Reserve is done now with their rate hikes. But what Jay Powell said

it Jackson Hole was the importance of the consumer and the strength of the consumer.

And yet again, this week, we had good data from the consumer. And that continues to be a key point of strength and has been fit for the U.S.

economy. Just weave that in as a sort of an outlier of sorts in terms of ongoing strength and acceleration in this economy, versus the slowing that

we're seeing elsewhere.

RICHARDSON: Yes, I'd argue that the Federal Reserve's job is harder now, not easier.


RICHARDSON: When inflation was high and all the data pointed in the same direction, what they had to do was easy. Now we're getting such a mixed

picture, we're still seeing some resilience in the consumer, still seeing strength, but not as much strength in the labor market. And we're close,

but not at that 2 percent goal.

We're closer. But by some measures, we're double the levels that the Fed would like to see. So what do they do? Do they hold on and take a pause and

see how the economy flows? Or do they act definitively? I think that's a hard choice for the Fed. I think they'll get a lot of commentary either


But that question is the one immediate. The second I think is a little easier, which is how long to keep these rates at higher levels. And I think

that is clear, the rates are going to stay at higher levels regardless of what the terminal rate is for a significant amount of time because you're

seeing these pockets of re inflation still emerging in the economy.

CHATTERLEY: Yes, I can't promise you whether rates will go up again. But what we can promise you is they're not coming down anytime soon -- that's

the message.


CHATTERLEY: Yes. Nela --

RICHARDSON: -- when direction is an easy choice.

CHATTERLEY: Yes, exactly. Yes. No choices, no options, no problems. Nela Richardson thank you, Chief Economist there ADP. Have a great weekend,

Nela, thank you. OK, tens of millions of people in Hong Kong and southern China are bracing for fierce winds and heavy rain as Typhoon Saola


We've just heard a T10 warning was being declared that's the height warning level Hong Kong has, with officials advising people to stay away from

exposed windows and doors. They say it may be the strongest typhoon to hit China's Pearl River Delta in more than 70 years. Ivan Watson joins us now

from Hong Kong. Ivan, I hope you're preparing to hunker down too. What can we expect?


IVAN WATSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, we haven't. We feel the wind picking up here. The T10 warning, which is the highest that

Hong Kong issues for a super typhoon that's been issued in the last hour or so. And the super typhoon is passing we're told within some 40 kilometers

of the city.

So I can feel the wind picking up right now. This city takes these storms very, very seriously, Julia, its canceled flight, schools were canceled

today. The residents are being urged to stay indoors to take shelter to stay away from the windows as well. And there are warnings that there could

be storm surges, there will be storm surges because we're approaching high tide in the next probably two hours.

So this is a very serious storm coming through. The CNN's weather team said that this is only the fourth time in 23 years that Hong Kong has issued a

T10 warning. That's the equivalent of a Category 4 hurricane. So as you can see, this is not a joke. Now, this super typhoon is slamming into one of

the most densely populated parts of the world into the Pearl River Delta.

So the neighboring City of Shenzhen, it too, is seeing these kind of conditions, flights have been canceled there, the airport shut down midway

through Friday, schools close there. So the entire coastline is hunkering down for this. The Hong Kong observatory is warning that with the high


That in some parts of Hong Kong, you could expect the storm surge of three or more meters more than the usual levels you would see at high tide. So

just to give you another sense, this is Causeway Bay that really the beating heart of the city on a normal Friday night.

This would be hopping with people out and about and instead it's just the odd person that you see kind of coming through here in what is a very, very

serious storm, back to you, Julia.

CHATTERLEY: Ivan, thank you for braving it for us to explain what's going on and take care there please come find some cover. Ivan Watson, there

thank you. Now for the fourth day in a row, Russia is reporting Ukrainian drone attacks on its soil. Officials say air defenses intercepted one drone

headed towards Moscow, while another headed town in the Kursk region.

Meanwhile, Ukraine claims that a drone strike on an airbase inside Russia on Tuesday was launched from inside the country. The Kremlin has declined

to comment. The attacks calm as Ukrainian prosecutors say they're investigating thousands of cases of alleged Russian crimes against

children, including murder, torture and sexual violence. Melissa Bell joins us now. Melissa, what more, can you tell us about this? We should start


MELISSA BELL, CNN PARIS CORRESPONDENT: This is something that Ukrainians have been pursuing almost since the start of the war, the war crimes

allegedly committed by Russian troops on their soil. And their strategy has been very clear that the more aggressively they can prosecute these crimes,

even as the war goes on.

The better their chances of convincing Russian soldiers on the other side that they will be held to account. So the latest figures are quite

extraordinary. 3200 war crimes cases now opened here in Ukraine involving children. There are many more than that, of course.

And when you look at the list, Julia, of the sorts of crimes that are alleged to have been permitted, you're looking at children held in

basements in towns that were taken and tortured as were the adults. You're talking about some of the children who were deported to Russia.

It is a vast array of crimes and absolutely shocking when you look in detail at the allegations of some of what went on over the course of the

last year and a half in this country. To the mention you made a moment ago of the latest on Russian soil. Those drones that have been foiled by

Russian authorities, they say both heading towards Kursk region and towards Moscow.

It has become, Julia, almost a daily occurrence now, this war very much being taken to Russian soil. In fact, an adviser to President Zelenskyy

said as much the day after the largest drone strikes on Russia since the war began on the night from Tuesday to Wednesday. And I think what we found

out today from Ukrainian authorities on that is fascinating.

So far, Ukrainian authorities have been very reluctant to comment on specific drone attacks, neither confirming nor denying. This time, they've

gone a step further saying look, not only were those drones carried out on our behalf, but they were actually launched from inside Russia.

And I think that takes things a step further in terms of Ukraine's a determination to make plain its strategy of taking this word to Russian so

even as it tries to make those advances on the counter offensive just south of here in Zaporizhzhia.


I just like to show you, Julia, some of the pictures, the images that we've managed to get exclusively from Ukraine's SBU the secret services here in

Ukraine that were shot only yesterday with drones that show just the other side of that line that is moving ever so slowly, ever so incrementally

southwards at huge cost to both sides.

But it gives you an idea of what the Ukrainian forces are looking at as they try and strike out to the south and to the east. Over -- , those

Dragon's Teeth about 70 kilometers on that stretch, you can see on those pictures, the trenches behind them. There are extraordinary layers of

fortification, even once they have managed to pass the many layers of minefields and trenches, and passageways that have been created over the

course of the last year.

We spent much of the night with drone operators from the Secret Services who explained that these fortifications, Julia, had been being built almost

since that line stabilized in March of 2022. And these are the extraordinary deep Russian fortifications and defenses that Ukrainian

forces are currently taking on relatively successfully, they say with further gains again this morning, just south of here in Zaporizhzhia,


CHATTERLEY: Wow, extraordinary images, there. Melissa, thank you so much for that report. And as Melissa was saying, we're beginning to see what

appears to be at least a clear strategy by Ukraine to bring the war to Russian territory. Ordinary commercial drones are proving indispensable in

this effort often flown by some rather unlikely pilots. Christiane Amanpour has the details.


CHRISTIANE AMANPOUR, CNN CHIEF INTERNATIONAL ANCHOR (voice-over): Any support is welcome in Ukraine, especially if it appears blessed by Jesus

say these drone students set up in an abandoned church working on their simulators. And convinced their cause is just.

YULIA, UKRAINIAN DRONE PILOT: We do whatever we can now to resist because Russians want to kill all cold paths. This is --

AMANPOUR (voice-over): Next door in the construct and repair class, Yulia solders and tweaks and teaches this part is fairly simple and fun, she


AMANPOUR: And did you study engineering? What are you in normal life?

YULIA: I'm the writer and film director.

AMANPOUR: You're a writer and a film director.


AMANPOUR: And now you're a drone operator.


AMANPOUR (voice-over): We're not allowed to disclose the location where, Yulia and the others with theory into practice.

AMANPOUR: Here in this innocuous looking field with a rudimentary obstacle course, this could almost be child's play, but with deadly results of

course. These are all civilian drones that the Ukrainians are repurposing for their current war effort. They can be bought off store shelves but this

signifies a turning point in the conduct of modern warfare.

AMANPOUR (voice-over): A $500 drone that's been weaponized can take out vehicles and weapons systems worth millions. Software engineer Lyuba

Shipovich started the Victory Drones initiative.

LYUBA SHIPOVICH, CO-FOUNDER OF VICTORY DRONES: The most advantages it's one of the most cost effective weapon and it's also it's also a weapon and it

could be used as circumstances for -- purposes. So if you see the enemy you can hit enemy you can hide like your soldiers, spirit.

AMANPOUR: But enemy can see you?

SHIPOVICH: Yes, if you're don't use security measurements.

AMANPOUR (voice-over): Like hiding or disguising their signals because the Russians are adapting fast. She says they're mostly crowd funded and have

deals with the Ukrainian military to train frontline troops tens of thousands so far, in what's become indispensable strategy.

That was just practice dropping a water bottle full of sand. But just a few days ago, the group says one of their former trainees took out this Russian

tank on the Eastern Front. They can also wipe out artillery positions and troop carriers.

AMANPOUR: How long did it take you to learn to fly?

AMANPOUR (voice-over): Many of these citizen soldiers are women busting stubborn myths. And Yulia, of course, agrees in fact, she assembles the

drones her husband flies too.

AMANPOUR: And a lot of women have taken up this fight?

YULIA: Yes, we are all people and we're fighting for our existence.

AMANPOUR (voice-over): Christiane Amanpour, CNN, Ukraine.


CHATTERLEY: Coming up on "First Move", more scrutiny for Spanish Soccer officials today after that unwanted World Cup kiss, we will discuss. And

later, imagine creating a college course on any topic you want and the time it takes to make breakfast in fact less. We'll be joined by the CEO of

Cypher learning to explain, how?



CHATTERLEY: Welcome back to "First Move", more voices joining the chorus of condemnation of Luis Rubiales, the Spanish football chief who planted a

kiss on footballer Jennifer Hermoso on Friday. Luis de la Fuente who coaches the Spanish Men's National Team apologized for applauding Rubiales

in public last week.

It happened as Rubiales made a bullish speech refusing to resign for his behavior at the Women's World Cup final. De la Fuente now says his applauds

for Rubiales was "unacceptable and called for greater equality in football". The apology comes after UEFA's President condemned the case to

describing it as inappropriate.

Atika Shubert joins us now on this. Atika, it's tough to see a way back for Rubiales after layer upon layer now of criticism even if he does continue

to remain silent.

ATIKA SHUBERT, JOURNALIST: Absolutely. And I mean, what we're seeing is that the fallout is also hitting other members of the Federation such as

Luis de la Fuente. He was featured very prominently in video at that defiant speech though Rubiales made you probably remember it in which he

refused to resign.

He was adamant, he wasn't going to go and De La Fuente we're seeing they're applauding him. Since then there has been increasing public pressure not

just for Rubiales to resign, but for others who applauded in particular De La Fuente to resign. So he was trying to have a press conference today.

We just came out of it in which he was going to which he was announcing the men's lineup for qualifying games at the Euro Cup. But first he was grilled

by the press about this applause and while he said he regrets it and he does not support Rubiales at this time. He also said he would not resign,

take a listen.


LUIS DE LA FUENTE, SPAIN'S MEN'S NATIONAL FOOTBALL TEAM COACH: I don't have to resign. I have to ask for forgiveness. I made a mistake, a human

mistake. I've said it. It was inexcusable. But right now, if I could go back, I wouldn't do that. I'm sure of it.


SHUBERT: Now in the meantime, we are waiting for a decision from the sports tribunal on Rubiales whether or not they will actually go ahead with a

formal investigation and suspend him. Keep in minds that after the initial complaint that was filed the night of that unwanted kiss at the World Cup.

An additional 15 complaints have been filed with allegations, now ranging from everything from sexual assault to abuse of power. So it does seem that

the pressure is only increasing, Julia.

CHATTERLEY: Is that ties specifically to Rubiales or just to the industry itself? Atika, what some of the women, the other Women Footballers

Association saying about this situation now there?


SHUBERT: Well, these recent complaints are tied specifically to Rubiales, but people I've been speaking to say really are a systemic issue,

particularly for women footballers. And what's interesting is that even though there's been a need for change for quite some time.

It seems to be that once women footballers have entered the professional high ranks, suddenly they become a catalyst for change as well. I had a

chance to speak with the Liga La Liga FA, President Beatriz Alvarez. And she said, you know, it's good to see this kind of change actually


So there could be a silver lining particularly if it's on this issue that pushes somebody like Rubiales out, take a listen to what she said. Could

you elaborate on that? Yes.


BEATRIZ ALVAREZ, PRESIDENT OF SPAIN'S PROFESSIONAL WOMEN'S SOCCER LEAGUE: I believe its divine justice that it is women's football that put this man

outside the Federation as he has ignored it or his life.


SHUBERT: So I mean, there's been a lot of people upset that this has overshadowed Spain's World Cup victory but if there is a silver lining is

that change could come from all this, Julia.

CHATTERLEY: Yes, we'll see. Atika Shubert, great to have you thank you. OK, coming up here on "First Move", summer is coming to a close but the

Hollywood strikes aren't more than the fallout from nearly four months now of picketing, next.



CHATTERLEY: Welcome back to "First Move" and an update once again on the extreme weather facing parts of Asia. A typhoon, as you saw earlier on the

show already sending strong winds and rain through Hong Kong and a second threatens Taiwan. CNN's Meteorologist Allison Chinchar is tracking the

progress of both of these storms. Allison, what can you tell us?

ALLISON CHINCHAR, CNN METEOROLOGIST: Yes, we've got a lot that's going on in the next 72 hours back to back systems here. We begin with the system

farther to the west Saola; the typhoon sustained winds excuse me, 220 kilometers per hour, gusting up to 270. That forward movement to the west

northwest at about 17 kilometers per hour.

A lot of those really strong winds and very heavy rain bands are already barreling across portions of Hong Kong. You can see from the Hong Kong

observatory, the radars, a lot of that yellows are beginning to end or push into the area indicating very heavy rainfall.

And that's going to come in waves, you're going to have wave after wave of these heavy rain bands and some thunderstorms coming in. This system will

continue to move to the west and then about 36 to 48 hours from now begin to dip back down to the south and west.

As it does so, it is expected to weaken some. But keep in mind just because it weakens does not mean that the threat for the winds or the rain goes

away those will both still be there. So still looking at some rain in the forecast as we go through the next 48 hours and that system moves to the


Now just behind Saola, we have our secondary storm that we're keeping an eye on, this typhoon sustained winds of 140 kilometers per hour moving

practically due west at 19 kilometers per hour. This is expected to push across Taiwan in the next 36 to 48 hours. Keep in mind however, just about

24 hours from now you will already start to feel those winds begin to pick up those outer bands beginning to increase not only in intensity but


So providing more and more rainfall before finally is continuing west into Mainland China slightly as a weaker storm. Now again, both of these systems

rain is going to be a huge concern. With Saola we're looking at widespread amounts of around 50 to 100 millimeters, but there will be some spots

especially along the coastal regions 150 even as much as 200 millimeters of rain.

Our secondary system as it crosses over Taiwan, you're looking at widespread amounts of 200 millimeters, and some areas could exceed 250

millimeters, just over the course of the next 24 to 48 hours as both of these systems continue to push off to the west. So again, certainly

something to keep an eye on Julia with not just the first system, but both of them as we head through the weekend.

CHATTERLEY: And we certainly will Allison thank you for that, Allison Chinchar there. OK, we're going to stand in the region, North Koreans

who've been stranded abroad for the past three years will at last be able to go home. Pyongyang has begun lifting the tight COVID restrictions that

effectively sealed its borders as Paula Hancocks reports.


PAULA HANCOCKS, CNN CORRESPONDENT (voice-over): North Korea's athletes are back on the global stage. Its taekwondo team headlined at the opening

ceremony of the World Championships in Kazakhstan this month, believed to be the first overseas sporting engagement since its borders reopened.

Pyongyang confirmed its borders a reopening to allow citizens stranded outside the country for more than three and a half years to return.

One week quarantine required on arrival, North Korean restrictions were among the harshest in the world. It is considered one of the last countries

to reopen its borders, and even then they're only opening a crack with some international flights resuming with China and Russia. Tourism though is

still a dream.

Koryo Tours, which specializes in taking Westerners into North Korea, says they've heard nothing beyond plans to repatriate its own citizens.

Quarantine alone makes tourism impractical.

SIMON COCKERELL, GENERAL MANAGER, KORYO TOURS: So there's business people, diplomats, workers, wait-staff free cutters, students, all kinds of people

essentially marooned outside of their country, with in most cases no way to contact family for three and a half years.

HANCOCKS (voice-over): Bart van Genugten went on a tour of North Korea with his father one year before the borders closed. He created YouTube videos of

his experience.

BART VAN GENUGTEN, YOUTUBER: If you go and everyone hopes maybe that they will see a bit more of the real North Korea which won't happen. Like they

show you the places that they're going to show you and as the best of the best. And all the loyal people live in Pyongyang, the wealthy people among

older North Korean. So now you're probably far from certain realities.

HANCOCKS (voice-over): Just see value in North Korean seeing foreigners in their country but acknowledges useful interactions with the people are

rare. Western tour operators already niche markets are likely to be among the last to be invited back.

COCKERELL: The tourism market in North Korea over the few years prior to the shutdown exploded hugely to the point where the North Koreans brought

in a limit on Chinese visitors of 1000 per day to Pyongyang. That limit was routinely breached.

HANCOCKS: One other group waiting to be allowed back in diplomats. The vast majority of them left during the pandemic unable to send supplies in or

rotate staff out.


And so far only Russian and Chinese officials have been invited back to Pyongyang since the restrictions eased, showing Kim Jong-Un's political

priorities Paula Hancocks, CNN Seoul.


CHATTERLEY: Now, it's been nearly four months since Hollywood writers went on strike. Television schedules have been shaken up movies and shows bumped

the window for a deal with the studios that saves the winter season of production and gets cameras rolling once again, is also quickly closing.

Oliver Darcy joins us now. Oliver, I had barely seen any suggestion that the sides here can reach some kind of an agreement. But you're the man in

the know, what hopes for a resolution?

OLIVER DARCY, CNN SENIOR MEDIA REPORTER: There's little hope right now for resolution in Hollywood. I mean, it is a terrible situation. Studios and I

think some writers that hope by now by the Labor Day weekend, there would be some potential resolution and agreement in sight. People are going back

to school, the weather is cooling.

And people do to some extent want to go back to work, the studios for sure want to get production rolling again. But there is no agreement in sight. I

mean, the studios tried earlier this month, or last month, I should say to get negotiations going again. They made another offer to the writers but

the writers feel that the studio offers are still very insufficient.

And so, right now they're at a standstill, it's a waiting game to see who makes the next move. The problem is that the window, as you said, for the

winter season is closing very fast. And so basically, if a deal is not hammered out in the next several weeks, the idea of being able to shoot and

produce shows that would premiere in January, that's going to be out the window.

A studio executive just told me yesterday, he just simply evaporates. And that would mean that even if a deal then is hammered out let's say in

October or November, that people wouldn't be getting back to work because there would be no January season.

And so, this is a big problem moving forward because obviously the writers are not getting paid, but the people who rely on the hum of the Hollywood

engine. There's a huge economy built out around this in Hollywood in California.

They're also not getting paid they're also struggling to make ends meet, just a terrible situation for the writers and everyone that relies on this

business as well as the studios that want to get back to producing those movies and films we all love.

CHATTERLEY: Yes, exactly. And all the viewers, people that are desperately waiting for their latest series or TV show to come out as well. Let's hope

it gets resolved. Oliver Darcy, thank you for that. OK, coming up here on "First Move" a new copilot in the classroom and nope, I'm not talking about

an extra teacher. We're talking about harnessing the power of technologies like artificial intelligence. The CEO of Ed tech firms CYPHER Learning join

when we return.



CHATTERLEY: Welcome back to "First Move". Now we spend a lot of time discussing artificial intelligence. If you're a regular viewer, you will

know that, we talk about its applications and some of the critiques. Now AI in education has been let's call it controversial in certain quarters, some

schools see it as a teaching aid while others are banning it completely.

One firm that wants teachers to embrace AI as an ally is CYPHER Learning. The company uses AI to create personalized learning experiences for

schools, individuals and staff in the workplace. It places product is called Copilot, which allows educators to design and curate courses, tests

and games for students. CYPHER says Copilot can do all of this in under 10 minutes and for less than $10 per course.

The public school system in Qatar and Northwestern University already use CYPHER to create course work. Graham Glass is the Founder and CEO of CYPHER

Learning. And he joins us now, Graham, fantastic to have you on the show. I also should admit to our viewers, I've seen this happen firsthand.

And we'll talk about that in a second. But you come at this space as both an educator, but also a data and computer geek. So just explain the vision

of CYPHER learning first and foremost.

GRAHAM GLASS, FOUNDER AND CEO, CYPHER LEARNING: Well, the vision of CYPHER Learning is to transform the way that people teach and learn. And for a lot

of educators, they spend huge amounts of time involved in a lot of the drudgery of building the actual educational content.

So we felt like AI offered an opportunity to relieve a lot of that drudgery. And so as you mentioned, the first version of our Copilot does a

pretty amazing job actually, of creating fantastic quality materials in just minutes.

CHATTERLEY: OK, so you've taken me down the AI route. So we're going to have to go there. When you and I met in person, we discussed a lot of the

capabilities and the impact of education on AI. And our regular viewers will remember a subject that we talked about on the show a couple of weeks

ago, which was a reticulated giraffe, one without spots.

And so, just to challenge you, I asked you to provide me with a curriculum for learning everything I could about this reticulated giraffe, and you did

it and it took about what, 12 minutes, just talk us through this?

GLASS: Yes, that was, I have to say that was a somewhat whimsical choice of yours, Julia. But it was a great one. I think what this illustrated is that

you can pick anything. It could be particle physics, it could be you know, how to deal with a difficult customer, it could be digital branding,

anything that you want. And click a couple of buttons and 10 minutes later, you've got a beautiful course on that subject. And as you showed,

reticulated giraffes were no problem at all.

CHATTERLEY: It produced a plan tests and effective study guide. I mentioned it takes about 10 to 12 minutes. Do you have a sort of comparison of what

that would have taken in the real world for a teacher to put together a plan like that? Let's assume it was a broader curriculum than that. But I

mean we're talking hours, aren't we?

GLASS: Yes, we actually did quite a lot of research when we were building Copilot. And generally speaking, it normally takes between four to 600

hours to create a high quality engaging course. So that's, that's all time taken away from the teachers where they could be spending, inspiring and

motivating their students.

So our feeling if we can shrink those four to 600 hours down to 10 minutes. And obviously, you're going to do some personalization. That gives so much

time back to the teacher to do what I think really teachers should be doing, which is inspiring their students.

CHATTERLEY: Now, my regular viewers, hopefully, because we talk a lot about this, we'll be going hang on a second. What about accuracy? Where's the

data coming from? Who's training the data that this AI system is using? And who goes over this to make sure it's factually correct over to you.

GLASS: That's a great question. I think that first of all, there's more than one AI involved. So when Copilot works, there's at least three AI is

working hard for you behind the scenes, and that's soon going to become five or six AIs. But to answer your question about accuracy, AIs are

trained on a massive amount of internet data.

So they essentially ingest the vast percentage of human knowledge. They extract the essence and that's what they build the courses from. And so,

the idea behind Copilot is that it doesn't replace the teachers. It does a huge amount of the burden of creating the course. But the teacher does

still have the responsibility to review it for accuracy.


That being said, though, one of the things that we surely be releasing is something called AI crosscheck, which takes the output from the first AI,

and then introduces two more AIs, who then review the first AI for accuracy. So that will then additionally remove some burden from the


CHATTERLEY: Yes, so it's just adding layers of protection.

GLASS: Exactly.

CHATTERLEY: So if there is some kind of disagreement between the two AI systems, then it's flagged automatically and they can check. They can check

that first.

GLASS: Exactly. And it will automatically flag that for the human reviewer. So the human is still in the loop. But the AI is kind of scrubbing the

first set of data so that, you know, the burden on you, the teacher gets greatly reduced.

CHATTERLEY: What's the cost of this? Like, if you were talking to a school that could potentially use this, and we will talk about scaling in a

second, but what's the cost because I mentioned the $10. But it sort of sounds a bit jarring to me.

GLASS: Yes, well, finally enough, the average price is actually more like $5. So the $10 is actually probably twice what you'd normally pay. So yes,

you're taking what typically cost between 11 to $15,000 and reducing that down to about $5.

CHATTERLEY: I'm sort of stunned into silence, I can understand why sort of a whole nation like Qatar is saying to you, OK, we can use this in some way

to sort of redevelop what is traditionally archaic education system, I think, in many places where you look around the world. How do you can go

about doing that on a much larger scale?

GLASS: Well, I think, you know that's one of the reasons why I'm on the show, I'm trying to get the good news out to the education community, that

AI really does have the potential to transform the way that people teach and learn. And it will relieve a lot of the drudgery that's typically


So part of it is evangelism. A lot of it is showing people what great looks like, you know, that's when I was really happy that you showed, here's what

a course looks like after it's built. Because when people experience the AI, their jaw normally drops. And they're like, wow, I had no idea that AI

was capable about that. And believe me; this is scratching the surface of what AI is going to do.

CHATTERLEY: But do you also have some teaching response, which is, oh, my goodness, this is going to do me out of a job. And as you well know, part

of the other response to this has been hanged on a second; it's going to be used as a tool for cheating for students. How do you get around those two

issues because you're right in the heart of it?

GLASS: Yes. Well, you know, in my background, I used to teach computer science at the University of Texas at Dallas. So I know exactly what it's

like to be a teacher or a professor. And personally, I would have embraced this if had been available when I was teaching. So I would have taken the

course that I spent hundreds of hours building out to build an initial version in about 10 minutes, I would have personalized it.

So when I walk into the classroom, I have so much more time leftover to motivate and inspire my students. So I don't view this as a threat in the

slightest the teaching community. I look at it more like using AI gives them back so much time to do what hopefully they love doing.

CHATTERLEY: Yes, although there will be people watching this going hang on a second, you are the CEO of this company. So I would expect you to say

that. I have greater faith; I have to admit in the private sector quite often, rather than the government sector for big transformations, like our

education system, which I think many of us agree needs to be done.

How do you scale this? I feel like you almost need a conversation with hardware, Apple, Dell, for example. And finding out how we sort of

introduced this and use this on a far wider scale in schools in the workplace beyond. Graham, here's your moment. The CEO for those companies

are listening.

GLASS: Thank you Julia.

CHATTERLEY: There you go.

GLASS: You tee that up awesomely for me. So yes, we have very big visions about how AI can really improve the way that students learn the way that

teachers teach. And we are working on some amazing technology that goes way beyond what you showed in your show today.

So we would love to team up with people like Richard Branson, Michael Dell, Carlos Slim, Steve Jobs Foundation. Anyone who's listening, we would love

to team up with you to bring this technology to hundreds of millions of kids.

CHATTERLEY: Yes, that's what it needs. Graham, it's just the beginning of our conversation. We'll work on that. And if those guys were listening,

we'll pass on your details.

GLASS: Thank you so much Julia.

CHATTERLEY: Thank you. We'll talk again, Founder and CEO of CYPHER Learning, thank you.


CHATTERLEY: OK, coming up after the break, the end of the line in Paris, whether you think they too will terrorists or eco-friendly runabouts

tourists wanting to rent a scooter -- will receive a simple not from today. That's next.



CHATTERLEY: Welcome back to "First Move". Wall Street up and running for the final time this week and the first trading day of September, the last

session before a long holiday weekend in the United States and a higher we'll call it that open for stocks this morning.

A bit of weakness though, as you can see there for technology, all this is after the release of another solid U.S. jobs report. A fed friendly let's

call it that, I think as well. The U.S. is adding a stronger than expected 187,000 jobs in August. That said it was the third month of job gains below

the 200,000 level with sizeable downward revisions for June and July to the unemployment rate ticking higher to 3.8 percent as well.

The jobs is right now at its highest level in 18 months, but remember the bar is really low. We also saw wage growth slowing slightly too, all this

data could allow the Fed to keep interest rates steady at its interest rate meeting later this month. And I start to September trading, but a rough

August overall for the bulls.

The blue chips taking the biggest hit down at two and a half percent monthly returns would have looked even worse without this week's gains. And

of course, context is everything as we often say on this show tech still up more than 34 percent year-to-date.

Now the streets of Paris are a little less cluttered today after a ban on rented electric scooters went into effect earlier this morning. In a public

ballot back in April, the move was backed by almost 90 percent of Parisians who voted although voter turnout was tiny. Jim Bittermann hopped on the

story. Oh, Jim, where's the scooter? How are you going to come without these?

JIM BITTERMANN, CNN SENIOR INTERNATIONAL CORRESPONDENT: I got to tell you Julia, it come at this with some bias because I love to walk. I guess

that's my problem. And the scooters are just everywhere, have been anywhere, everywhere for the last five years. Paris is one of the early

adopters of the scooters, they basically allowed 12 companies to come in and bring in thousands of scooters.

And then over the years, because of the various problems that they have presented us, for example, accidents, there have been a number of actions

last year, for example, more than 400 accidents. More people were injured in accidents. And there were actually three people killed by the scooters.

There's also a problem of where people drop them off. Sometimes they put them in front of apartment buildings and whatnot. Sometimes they throw them

into the sand. All of it was kind of not so much a problem of the scooters, but a problem of the users of the scooters who tended to be kind of young

people and tourists and people who didn't understand the rule.

So now after many years and changing the regulation several times, Paris is finally getting around to banning them entirely and getting rid of the

private rental scooters.

CHATTERLEY: Yes, Jim, that's such a good point. Don't blame the technology; blame the users who quite frank chose not in many cases to follow the

rules. Where are all these scooters now headed coming soon to a city near you, somewhere else in Europe?


BITTERMANN: Could be, could be because they're privately owned, these companies are going to make moves. And we already have heard several making

moves to sell the scooters, or at least sell the principal, the scooters in other countries around Europe and perhaps around the world.

But they basically have got thousands of scooters that they've taken off the streets and the companies say they're still in pretty good shape, so

why not use them. So I think that you'll probably see them coming to some cities in Europe and maybe elsewhere as the companies themselves go try to

try to merchandise the service.

I should say Julia; one of the problems here has been the fact the way the costing of this has been done. Basically you rent the scooters very cheap.

It's a year old rented and then 25 year old cents per minute that you're using it. Well that encourages people to be very fast to run through red

lights and perhaps dumped the bike, dumped the scooter wherever they can.

CHATTERLEY: They always get in the wrong direction. That's my biggest issue. Jim, from your beautiful room, I love that room. It looks fantastic,

Jim Bittermann there, thank you. And that's it for the show. "Connect the World" is up next. Have a wonderful weekend.