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The Story Is with Elex Michaelson
Trump Announces Israel-Lebanon Talks For Thursday; Newsom Facing Pressure To Intervene In California Gov. Race; Magyar Says He Asked Hungary's President To Step Down; Asia Markets are Up; Live Nation and Ticketmaster Overcharged Fans; California Company 3D Printing Future Weapons of War; California AG Was There as Trump Attended Supreme Court Arguments. Aired 1-2a ET
Aired April 16, 2026 - 01:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[01:00:00]
GINA SERNA, HIPPO VETERINARIAN: If I say run, you run, OK?
STEFANO POZZEBON, CNN CORRESPONDENT: If you say run, run.
SERNA: With wild animals, you cannot forget that. They're wild animals. They're not domestic. They have not passed all the domestic things. They're wild. And at some point, they'll get this wild gene and attack you.
POZZEBON (voice-over): Before long, we ended up running.
UNIDENTIFIED MALE (through translation): It went back into the water. It went back into the water, it went back into the water.
POZZEBON (voice-over): Our encounter with the hippos was just a scare. But these animals can cause real damage.
Luis Diaz was severely mauled when a hippo attacked him in 2020. His leg and several ribs were broken as the hippo jumped out of the water while he was fishing.
Because of similar attacks, the Colombian government has authorized the plan to call up to 80 hippopotamuses, despite protests from environmental groups.
A small number will remain at Hacienda Napoles, Escobar's own ranch, which is now a theme park, with the hippos the main attraction.
Stefano Pozzebon, CNN, Bogota.
(END VIDEOTAPE)
ELEX MICHAELSON, CNN ANCHOR: The next hour of The Story Is starts right now.
The Story Is, blockade.
(BEGIN VIDEO CLIP) UNIDENTIFIED MALE: Do not attempt to breach the blockade. Vessels will be boarded for interdiction and seizure.
(END VIDEO CLIP)
MICHAELSON: The American message to ships in the Strait of Hormuz. The Story Is, a CNN exclusive. A new reporting about what Governor Gavin Newsom really thinks about the Democrats hoping to replace him in California, and much of it is not good.
And The Story Is, overcharging fans. A jury finds Live Nation and Ticketmaster was a monopoly. What does it mean for you next time you want to go to a concert?
UNIDENTIFIED MALE: Live from Los Angeles, The Story Is with Elex Michelson.
MICHAELSON: And thanks for watching The Story Is. I'm Elex Michelson, live in Los Angeles. Tonight the top story is optimism from the Trump administration on the war with Iran. Officials from Pakistan and Iran will meet in the coming hours to lay the groundwork for a second round of talks.
And the White House says it feels good about the prospects for a deal that could ultimately end the war. Press Secretary Karoline Leavitt says any additional talks would likely take place in Pakistan. Vice President J.D. Vance led the U.S. delegation last weekend.
(BEGIN VIDEO CLIP)
KAROLINE LEAVITT, WHITE HOUSE PRESS SECRETARY: These conversations are productive and ongoing, and that's where we are right now. I saw some reporting, again bad reporting this morning, that we had formally requested an extension of the ceasefire. That is not true at this moment. We've remained very much engaged in these negotiations, in these talks.
(END VIDEO CLIP)
MICHAELSON: Now, President Trump said earlier he thinks the war is very close to over. The President has also announced talks in the days ahead between leaders of Israel and Lebanon. This is the late breaking news. He posted on True Social, "Trying to get a little breathing room between Israel and Lebanon. It has now been a long time since the two leaders have spoken, 34 years. It will happen tomorrow. Nice."
Meanwhile, the U.S. military claims its blockade of Iranian ports has completely halted Iran's sea trade. But Iranian state media reports four vessels traveled to and from Iran on Wednesday. Let's bring in CNN's Ivan Watson live from Hong Kong. Ivan, what more can you tell us about these talks between Israel and Lebanon? Big deal, right?
IVAN WATSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Yes, we've reached out to the Israeli prime minister's office for comment on that. Haven't heard anything yet. If this does, in fact, happen, it would be a very big deal. Just this week was the first time that these two governments spoke at the State Department, their ambassadors, in more than 40 years. The Israeli cabinet met on Wednesday to discuss the possibility of a ceasefire.
And we heard from the Israeli prime minister about the ongoing war that's being fought between Israel and the Iranian-backed militia in Lebanon called Hezbollah, with Prime Minister Benjamin Netanyahu talking about the possibility. He was saying that the Israeli military would capture the border town in Lebanon of Bint Jbeil soon, which has long been a Hezbollah stronghold.
In fact, one I remember seeing in the aftermath of the 2006 war, 20 years ago, between Israel and Hezbollah, that Israel had reduced much of that town to rubble and then withdrew. Amazing to see these two enemies fighting over that same town again 20 years later. It shows how much history repeats itself.
Meanwhile, the war is very much continuing as there is talk of negotiations. Israel continuing to bomb different locations across Lebanon. The Israel -- Lebanese government accusing the Israeli military of a triple-tap airstrike on paramedics in the Lebanese town of Nabatieh. Also saying that at least 18 people were killed in Lebanon in 24 hours, including three children. Israel always says it's bombing Hezbollah targets, but they've killed hundreds of children and scores of paramedics throughout a month and a half of fighting.
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A big issue here is going to be the relatively weak Lebanese government. It may be talking to the Israeli government, historic development, but Hezbollah, which is still this powerful force in Lebanon, opposes it, accuses the Lebanese government of betraying it as it continues to fight Israel. And that is going to complicate any potential negotiations between these two countries going forward.
MICHAELSON: We'll see who ultimately has more power there. Meanwhile, Ivan, what do we know about the U.S.-Iran talks and the potential for a peace deal maybe even this weekend?
WATSON: Well, the key mediators here, which are the Pakistani government, who hosted the first round of talks in Islamabad last Saturday, their top officials have been fanning out across the region. The top general in Pakistan, the Field Marshal Asim Munir in Tehran on Wednesday meeting with the Iranian foreign minister who put out a statement saying that Iran is committed to peace and stability throughout the region.
But then we heard the other side of the coin, so to speak, a top Iranian military commander, a major general, who accused the U.S. of violating the ceasefire, which is set to run out on Monday by blockading Iranian ports, and saying that if this continues, Iran could threaten shipping not only in the Gulf, but also in the Sea of Oman, the Gulf of Oman, and in the Red Sea, much further beyond Iran's typical sphere of influence.
So Iran showing both kind of conciliatory messages and at the same time showing bluster. But I think for the entire global economy, the fact is that shipping from this vital region is still dramatically restricted. As we've seen from U.S. Central Command, they put out a statement where we can hear what is purportedly the kind of messages they're sending to any ships trying to approach or leave Iranian ports. Take a listen.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: Do not attempt to breach the blockade. Vessels will be boarded for interdiction and seizure transiting to or from an Iranian port. Turn around and prepare to be boarded. If you do not comply with this blockade, we will use force.
(END VIDEO CLIP)
WATSON: All of this means don't expect fresh deliveries of oil or gas or jet fuel coming out of this strategic region anytime soon.
MICHAELSON: Ivan Watson in Hong Kong, that costs all of us a lot of money. Thank you so much.
The leaders of Ukraine and Italy are in talks on potentially partnering to produce drones. Ukrainian President Zelenskyy discussed the possibility with Italian Prime Minister Meloni on Tuesday when he was in Rome. Mr. Zelenskyy has been shoring up relations with critical partners who have been providing aid in the war with Russia, including stops this week in Germany and Norway.
Pope Leo is bringing a message of unity to Cameroon, the second stop on his trip through Africa. He said his recent visit to Muslim- majority Algeria shows that while people have different beliefs and ways of worshiping, we can live together in peace. Pope is expected to take part in peace talks between Cameroon's Francophone government and English-speaking separatists.
The Story Is, the weather, severe weather, again threatening millions across the Midwestern U.S. Some 10 million people across six states are under tornado watches this hour. Since Monday, thunderstorms, tornadoes, hail, and flooding have pounded a region from Texas to the Great Lakes. Dangerous weather conditions are forecast to continue through the end of the week.
Here in Southern California, the Los Angeles County District Attorney says their office is working with law enforcement on an investigation into now-former Democratic Congressman Eric Swalwell. He resigned from a 13-year congressional career on Tuesday amid multiple sexual assault and misconduct allegations. Swalwell also ended his campaign for California governor over the weekend. He denies all the allegations.
Last hour here on The Story Is, I spoke live with civil rights attorney Lisa Bloom. She represents a woman who says Eric Swalwell sexually assaulted her in 2018. Here's what she had to say about Swalwell's responses to the allegations.
(BEGIN VIDEO CLIP)
LISA BLOOM, CIVIL RIGHTS ATTORNEY: Why do we have so many different stories? Look, when someone's accused of sexual assault, there's only two possible defenses. I didn't have sex with her, or I did, but it was consensual. And we've already covered both of those in just a couple of days. You know, I think he's having trouble keeping his story straight.
(END VIDEO CLIP)
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MICHAELSON: With Eric Swalwell suddenly dropping out of the race for California governor and resigning from Congress, there are big questions about what happens next in the scramble to replace the termed-out Governor Gavin Newsom. CNN senior reporter Edward-Isaac Dovere covers Democratic politics campaign in his latest article titled, Gavin Newsom Faces Growing Pressure to intervene in a scrambled California governor's race.
He writes, "According to people who have spoken to him, Newsom feels just as blase as many Californians about their choices for a larger- than-life job once held by Ronald Reagan and Arnold Schwarzenegger. Edward-Isaac Dover joins us now from Washington. Welcome to The Story Is for the first time, my friend.
EDWARD-ISAAC DOVERE, CNN SENIOR REPORTER: For the first time. Glad to be here.
MICHAELSON: Now, Governor Newsom has not said much about the race. He hasn't endorsed anybody. But you got a sense of his thoughts overall and some sort of tea about each of the candidates.
DOVERE: He cares about California, of course. He's been serving the state for 20 years, more than that even. And he also has to think about what his own future is. So he cares about his legacy and his record being preserved, as any politician would.
But he also has to think, well, if a Republican's there, as could happen, then is that person going to approve investigations or tear up part of his legacy? If it's a Democrat that he doesn't agree with, how does that person relate to him? It is something that could really end up being a factor in the presidential race that we know, despite whatever Newsom has said about it, that he is getting very serious about looking at.
MICHAELSON: So we're looking right now on the screen, maybe we can make this full screen, some of the candidates that are running on the Democratic side. Xavier Becerra, former attorney general, Matt Mahan, mayor of San Jose, Katie Porter, former congressperson, Tom Steyer, billionaire businessman, Tony Thurmond, who is the superintendent of public instruction, Antonio Villaraigosa, former mayor of L.A., Betty Yee, former controller.
He's got thoughts on pretty much all of them, which was the really interesting part of your article. Let's go through them. What's he think about Katie Porter?
DOVERE: Well, I should start by saying that he had a choice in this race. His choice was Alex Padilla, the senior senator, whom he had initially appointed to the Senate and then tried very hard to encourage him to jump into the governor's race last fall. Padilla came very close and then decided not to run. So since then, that's where we get to what you read at the beginning of Newsom being a little bit blase about these choices.
But he has thoughts about them. He's been around, he knows them. So we'll start maybe with Tom Steyer. Tom Steyer obviously is well known for all of his activism and for the money that he's put into campaign commercials now, but even other commercials in California for other things, like Proposition 50 last year. But Newsom looks at him and says, oh, is he a little all over the place, changing positions? How will that work in governing? And is not sure how the politics of that would play.
And there's Katie Porter. Katie Porter moving to the left from where his governing would be if she were to be governor. And he is concerned as what that would mean for businesses in the state. There's Antonio Villaraigosa who ran against him in 2018 and they have had an OK relationship, but it's not great. There's Xavier Becerra who he served alongside a little bit when Becerra was the state attorney general. He never thought much of Becerra's approach as attorney general. And wasn't overly impressed by how he went about it.
And so there's that. And then there's Matt Mahan, whom he actually has a lot of policy agreement with when you take a step back from things, but they have a not so great personal dynamic.
MICHAELSON: And Matt Mahan has criticized him frequently about a lot of different things.
DOVERE: Yes.
MICHAELSON: And that's not great if you're running for president to have the potential next governor of California calling you out in your own state. It's embarrassing. All that being said, and the stakes of this being so high, why hasn't Governor Newsom sort of handpicked a successor, gotten somebody ready for this, have somebody that he is endorsing, have somebody trained to take over?
DOVERE: Whenever a politician is in charge of an overall situation, what kind of a bench they build up is one measure of them. For example, when Barack Obama was president, as I and others have gotten into over the years, the Democrats suffered a lot of losses and he wasn't that interested in building up the party from the state legislative level to the House and Senate candidates. He's gotten more interested since he left office.
But Newsom is in this weird place where, look, one of these people, one of these Democrats is likely at least to get to the top two, but maybe not because there's not support for it. And he doesn't, and most Californians don't even know who these people are. And then there is this factor of, given the top two system, it is very much possible and very much on a lot of people's minds, and I can tell you it's on Newsom's mind, it's on Adam Schiff's mind, it's on Nancy Pelosi's mind, that Steve Hilton and Chad Bianco might just do well enough, the two of them, to advance to the top two themselves, and then the next governor of California, as crazy as it may be to believe in 2026, would be a Republican.
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MICHAELSON: And if it is in fact a Democrat and Republican in the top two, because there are twice as many Democrats in this state --
DOVERE: Yes.
MICHAELSON: -- Newsom, I know this, is basically thinking that you would essentially have a governor-elect in early June, which essentially means people are going to start focusing on that person and not as much on him. And that's an interesting dynamic potentially at play as well. Edward-Isaac Dover, great piece. Everybody can read it at CNN.com. Thanks for joining us on the show. Hope you come back soon.
DOVERE: Anytime you have me, Elex.
MICHAELSON: Thank you so much.
From California to Europe, one of the key White House allies in Europe has lost his re-election bid. Still ahead, we go live to Budapest, to take stock of what Hungary may look like after 16 years of Viktor Orban's rule.
And while the war with Iran is raising concerns for the global economy, new figures show China not missing a beat. We'll take you live to that region as well to explain why.
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[01:20:45]
MICHAELSON: Hungary's election winner is laying out his priorities following his landside electoral victory on Sunday. Peter Magyar beat outgoing Prime Minister Viktor Orban would become a poster child for right wing populism. As Melissa Bell reports, the new leader wants changes in the Hungarian presidency and in the state media.
(BEGIN VIDEOTAPE)
MELISSA BELL, CNN CORRESPONDENT (voice-over): Out with state propaganda, Hungary's incoming Prime Minister has vowed to suspend public news broadcasters and restore media freedom. Peter Magyar coming right out of the gate after his historic win on Sunday that put an end to Viktor Orban's 16-year iron grip rule on Hungary. Here is Magyar taking to the airwaves on Wednesday.
PETER MAGYAR, HUNGARIAN PRIME MINISTER-ELECT (through translation): This factory of lies will end after the formation of the Tisza government. We will suspend immediately. We will create conditions for independent, objective, impartial media.
BELL (voice-over): Certainly not mincing his words in that interview with M1 TV. While Orban, who positioned himself as a defender of traditional values against the perceived encroachment of the E.U., was a near constant fixture on public pro-government outlets during the campaign, Magyar was shunned and not allowed a single appearance on public TV or radio, where he also spoke this morning.
And he didn't stop there. The newly elected leader then called on the country's president, whom he described as a, quote, "puppet of the mafia", to stand down early.
MAGYAR (through translation): Tamas Sulyok must leave his office after the formation of the new government. Tamas Sulyok is unsuitable to embody the unity of the Hungarian nation.
BELL (voice-over): And Magyar added that he expects to form a new government by mid-May.
(END VIDEOTAPE)
MICHAELSON: For more, we go live to Budapest, Hungary, and we are joined by Hope Reese. She was a journalist and author of the book "The Women Are Not Fine: The Dark History of a Poisonous Sisterhood." Welcome to The Story Is for the first time. Good morning to you.
HOPE REESE, JOURNALIST AND AUTHOR, "THE WOMEN ARE NOT FINE": Good morning, Elex.
MICHAELSON: So what is the mood like now and describe the mood, the moment that Orban lost?
REESE: Right. All I can say is it just feels electric here in Budapest. I'm obviously not a Hungarian. I'm an expat. But when I was out this past weekend at Heroes Square, a hundred thousand people in the streets, there was so much love and happiness all around. People just smiling ear to ear. And on Sunday night, just hugging each other, honking in the streets, dancing, popping champagne bottles and passing them all around. And I've never seen anything like it.
MICHAELSON: And you say you were surprised, right?
REESE: Right. I've been a bit cynical, I think, about the strength of democracy, especially in a country like Hungary. Orban has been in power for 16 years. It's a really long time. It's hard for a lot of Americans to imagine that, that no cap on a term. And that's something that Peter Magyar is seeking to fix, a term limit. But I was sure that something might, not sure, but I had a, I didn't want to celebrate until I really saw it. And I think Hungarians were pretty sure it was happening. But I've heard from other expats that they also had a bit of suspicion, like, will it really happen?
Will Orban actually step down? Will this be peaceful? So it was -- it just happened so quickly in a sense that, yes, I did feel surprised.
MICHAELSON: Yes. Well, and interesting because Trump has done so much to study Viktor Orban. But Viktor Orban conceded pretty quickly, which is something that Donald Trump did not do in 2020. REESE: Exactly. I think there's a big cultural difference between the U.S. and Hungary. It's hard to, there are parallels, but I think that Hungarians, they did tell me, and they've been telling me for years, that while elections here may not be fair, they are free, that the votes would be counted. If the people did speak up, those would actually count.
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And that is what we saw happening. There is a different kind of collectivist attitude in Europe in general, but in a country like this, and we don't have that same individualism where it's all about the one person in power. I think here, people are looking for the, you know, looking out for the whole community in a bit of different way than they are.
MICHAELSON: As you mentioned, you're not from Hungary. Why do you choose to work in Hungary as a journalist, despite some of those restrictions that have been placed by the government in recent years? Why Hungary?
REESE: Right. And I should say, this question comes up often, because people would say, why here? If, you know, this government is showing signs of authoritarianism, why would you choose a place? I have to say, it's been a lovely place to live. I'm so grateful to be here. It's been safe. It's been peaceful, despite these really real obstacles and threats to academic freedom, threats to rights. It has been nice to live here.
I was working on a book for the last five years, as you said, "The Women Are Not Fine," which tells the history a hundred years ago, a group of women who mass poisoned their husbands, a true story, talking about the parallels between that point in history and also today. That was a kind of dark time, World War I. So anyway, looking at that helps explain a bit of what's happening now.
MICHAELSON: Yes, World War I is an interesting time to study right now. There seems to be more maybe parallels between that and even World War II. Hope Reese, thank you so much for your reporting and thanks for joining us. Really appreciate it.
REESE: Oh, good morning. And thank you so much. I appreciate it.
MICHAELSON: Despite fears that the war with Iran could endanger the global economy, it seems that China's economy is chugging right along. Beijing just reported 5percent GDP growth for the first quarter of the year, beating expectations, putting China on track to meet its annual growth target.
Our Kristie Lu Stout joins me live from Hong Kong. And Kristie, it seems like China really took care of its own with all this when it comes to the war.
LU STOUT: Yes. Absolutely. And it's interesting when you look through the data and also what the authority behind the data is saying about the risks ahead for the world's second largest economy, because China's economy is accelerating despite the war in the Middle East, at least for now. China had a strong start to the year. Its economy grew 5percent the first quarter up from a year ago on the back of strong policy support, on the back of strong exports.
But China is warning that the outlook ahead is going to be very, very uncertain. China is also the world's largest importer of energy. And despite that, it has managed to shield itself from the Iran oil shock, much more so than many of its neighbors here in Asia, because China was prepared. And I want to show you how. And this is what China's been doing. Number one, it has the oil reserves.
It has an estimated 1.3 billion barrel strategic reserve accrued. That's worth more than four months of imports. It's also diversified its power to include wind, solar. It also doesn't mind getting dirty. It uses coal for both energy and fertilizer. And as soon as the war broke out, as we've been reporting here on CNN, China curbed exports of energy like diesel, gas and jet fuel, keeping it for itself.
So China may be shielded, but China is still vulnerable. It's vulnerable to rising prices, as well as falling demand for its exports. And this is why we heard this warning from the authority that released the GDP figures earlier today in Beijing. According to China's National Bureau of Statistics, they said this, "External conditions have become more complex and volatile while structural imbalances at home marked by strong supply and weak demand remain pronounced."
And Elex, there are already signs of strain. In March, China's factory gate prices rose for the first time in more than three years. And higher prices are not good for an export dominant economy. Back to you, Elex.
MICHAELSON: And let's talk about where the economy in terms of the markets are right now. So often the last few weeks since the war started, we've seen a whole lot of red next to you in the graphic. Not right now though, right?
LU STOUT: Yes, no, we're seeing a whole lot of green. It's really interesting to see how, you know, investors are in very much a buying mood here in the Asia Pacific region. Tracking the gains that we saw in the U.S. overnight, gains based on strong earnings reports, corporate fundamentals, as well as optimism that somehow the U.S. and Iran will be able to hash out a deal to extend the cease fire.
[01:30:04]
And that's why you're seeing here gains in Japan, the Nikkei 225 up 2.4 percent. The Seoul Kospi gaining 1.6 percent. Here in Hong Kong, the Hang Seng is up 1.5 percent and the Shanghai composite is gaining about a quarter of 1 percent.
We're seeing that investors, not just in the Asia Pacific region, but also all around the world at the moment, are very much in a buying mood, Elex.
ELEX MICHAELSON, CNN ANCHOR: That is good news. Kristie Lu Stout for us in Hong Kong. Thank you so much.
Coming up, a verdict from a New York jury found that Ticketmaster has been overcharging concertgoers by almost $2 per ticket.
Just ahead, we'll have details of a legal case against Ticketmaster and Live Nation that could change the music industry forever. Billboard's top reporter on this will be with us live in studio, next.
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MICHAELSON: Thanks for watching THE STORY IS. I'm Elex Michaelson.
Let's take a look at today's top stories.
The CEO of LIV Golf is denying any changes to its operation after multiple reports suggested that the future of the breakaway league is in doubt.
Scott O'Neil sent a letter to employees saying LIV Golf is moving forward as planned. Reports on Wednesday indicated that Saudi Arabia is considering pulling funding from the league if the government deals with the economic fallout of the U.S. war with Iran.
As tech platforms face growing global pressure to better protect young people online, Europe is rolling out a new age verification app. Users will verify their age in app by uploading a passport or ID card. Tech platforms won't have to verify users ages themselves. European Commission leaders say online platforms now have, quote, "no more excuses".
A jury in New York has found that Live Nation and Ticketmaster illegally operated as a monopoly that gouge customers on ticket prices. Several states sued the entertainment giant for stifling competition and driving up fees for concerts and sports fans.
A judge will decide what penalties to impose, possibly including breaking the company up. Live Nation said it does plan to appeal.
Let's talk more about this now with Rachel Scharf. She is the senior legal writer for Billboard. She joins us here live in studio.
Rachel, thanks for being here. Welcome to THE STORY IS.
RACHEL SCHARF, SENIOR LEGAL WRITER, BILLBOARD: Thanks for having me.
MICHAELSON: All right. So real simply, explain what this verdict is.
SCHARF: So broadly speaking, the jury ruled that Live Nation is a monopolist. So the thing about Live Nation is it operates in various sectors of the live music industry. It has a large concert booking service. It owns many, many venues, and it owns Ticketmaster, which is the largest primary ticketing service.
So what was alleged here is that they grouped together those services to push out competition. Live Nation denies that. They say that they didn't do anything improper. They are just really good competitors and stronger than everybody else in the business.
However, the jury did side with the government here and found Live Nation liable on all counts.
MICHAELSON: Speaking of Live Nation, let's put their statement up onto the screen and get some perspective from them. They say that the jury's award of a $1.72 per ticket applies to a limited number of tickets that sold at 257 venues, which represent about 20 percent of total tickets and only to purchases by fans excluding brokers in certain areas -- certain states over the past five years.
Based on that scope, we believe the aggregate single damages figure would be below $150 million, which would be trebled.
It's a word you don't see often used. But -- so that's -- they're sort of trying to minimize this whole thing. We know that they want to appeal this thing, but it could be a long time before any damages are paid out, right?
SCHARF: Right. So the thing about this verdict is it was only on the narrow question of liability. So the jury was only asked to decide did Live Nation do anything wrong? The jury said yes. Now it's up to a judge to decide what the actual consequences of that will be.
The enforcers who brought the case, dozens of state attorney generals, want Live Nation and Ticketmaster to be split up. That is not necessarily what it's going to be.
There could be a more limited form of relief that changes their business practices, but whatever that is, it's going to be months before we get that.
And then, like you said, Live Nation could appeal, which could drag out the process for another year.
MICHAELSON: So it could be a year or years before we actually have some sort of impact here. Because the big question that most of us saw when we saw that, you know, status update of Live Nation, Ticketmaster losing is what does this mean for me the next time that I'm going to a concert. Is it to be determined?
SCHARF: Yes. I think the answer is hang tight, wait and see. As you said, it will take a while before we have any real answers.
And I think the states that brought this case are hoping that the end result will be because Live Nation will somehow have less control of the industry, more competition equals lower prices for fans who buy tickets for concerts.
But that's all theoretical and hopeful at this point. And whether that actually comes to pass remains to be seen.
MICHAELSON: So what are we hearing from the music industry, from the music industry stars? Because they're kind of in a -- in an interesting place here because right now sounds like they're all still reliant on Live Nation.
SCHARF: To a degree, yes. You haven't heard -- at least I haven't heard from many big stars that have weighed in on this. However, the music industry as a whole is definitely watching this case very closely.
Live Nation is a huge player in the industry, and it matters a ton for live events as well as for the industry as a whole. You know, music is a very heavily-consolidated industry. You have a couple of big players that have huge market shares.
So if one of those big players, Live Nation, is going to be split up even a little bit, you know, that could have wide-ranging effects.
MICHAELSON: I mean, how would that impact life both for musicians and for concert goers?
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SCHARF: Well, the big thing is that, you know, right now Ticketmaster has such broad control over how you buy tickets and a big allegation in this case is that competitors such as SeatGeek -- SeatGeek or AXS can't really compete. They can't offer what they say could be better products, they can't offer lower fees, for example. You know, when you buy a ticket on Ticketmaster, there's astronomical fees.
MICHAELSON: Yes.
SCHARF: So, you know, if somebody like Ticketmaster (SIC) or AXS access is able to compete on what they say is a level playing field as a ticket buyer, you might be able to get -- be able to compare two prices, see what's lower, go with that one as a venue.
If you want to choose who to partner with for your tickets, you could choose. Do I want to go with AXS? Do I want to go with SeatGeek? Do I want to go Ticketmaster? And that could have downstream effects for consumers.
MICHAELSON: And potentially impacting the artists as well. You think about how the industry has changed so much. You know, a couple of decades ago, a lot of the money came in from album sales. Now with streaming, they make like pennies on that.
Live music is the main source of revenue for so many of these artists, which is another reason why this matters.
SCHARF: Definitely. And another big claim in this case was regarding how much Live Nation owns venues. So Live Nation owns a ton of amphitheaters, and there was a claim in this case that Live Nation told artists, if you want to play at any of our amphitheaters, you have to use our promotion services to go play at those amphitheaters, which narrows your choices as an artist.
That is one of the things that the jury found to be anti-competitive in this case. So theoretically, that will change as a result of whatever the judge decides. And so as an artist, you'll also have more choice in deciding how you
want to book your shows and how you want to play your shows for your fans.
MICHAELSON: Rachel Scharf from Billboard. Great job. Thank you so much. We appreciate your --
SCHARF: Thanks for having me.
MICHAELSON: -- perspective here on a story that so many people can relate to.
Thank you for watching THE STORY IS.
For our international viewers, "WORLDSPORT" is next. For our viewers here in North America, I'll be right back with an interesting story about how weapons are potentially being 3D printed in the future. We'll explain next.
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MICHAELSON: The Trump administration is trying to find new ways to produce long-range cruise missiles. A company right here in California may have the solution, and I went to get a closer look for this CNN exclusive.
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LUKAS CZINGER, CEO, DIVERGENT TECHNOLOGIES: We would call this really the world's first low-cost cruise missile.
MICHAELSON: They are designing and 3D printing future weapons of war at Divergent Technologies.
Is this the first cruise missile that was entirely 3D printed?
CZINGER: Yes.
MICHAELSON: And that's not being done by anybody else?
CZINGER: No.
MICHAELSON: This cruise missile made ten times cheaper than previous models and designed and built in weeks instead of years.
CZINGER: We engineer manufacture our own printer.
MICHAELSON: CEO Lucas Czinger gives us an exclusive tour of company headquarters in Torrance, California where U.S. Secretary of War Pete Hegseth recently visited.
What was his big takeaway from this?
CZINGER: His takeaway was we need more of it. MICHAELSON: The company was founded 12 years ago. At first, they
focused on 3D printing auto parts, but soon discovered they can do a lot more than that.
CZINGER: You can go from a suspension part for auto to an airframe for a cruise missile, to a part for a fighter jet, all using the same machine.
MICHAELSON: So real simply, what is a 3D printer?
CZINGER: So when you think 3D printing, think additive manufacturing. Instead of starting with a block of material and shaving it down to reach your final form, you are growing the part layer by layer, starting from nothing and constructing the final shape.
MICHAELSON: For security reasons, we can't show you the missiles being printed, but we can show you these auto parts which are made in the exact same way.
So if you look in this window right here, you see individual layers being printed one at a time. And this screen shows you the progress. It's about 80 percent of the way done right now, about a 16-hour process. And it's about 4,000 layers to make that part a reality.
The process starts with Divergent's software powered by A.I., creating a design much faster than traditional modeling methods.
For example, Divergent partnered with Mach Industries to create this drone.
CZINGER: We went from whiteboard session to first flight in 71 days. And that was the fastest on record that had been achieved in the industry.
MICHAELSON: Divergent supplies companies, including Lockheed Martin, RTX and Co-Aspire on defense.
Has there been an increase in demand with the war with Iran?
CZINGER: Oh, yes. Yes. We are -- we focused on munitions starting three years ago, and that was a good bet.
MICHAELSON: The same machines printed all of these parts for Czinger's car company.
CZINGER: All of the aluminum you see here, all of the primary structure.
MICHAELSON: They partner with brands like McLaren and Aston Martin to create a car already setting track records in California.
And that's all thanks to the 3D printing technology?
CZINGER: Yes.
MICHAELSON: 3D printing technology Divergent wants to eventually replicate in factories across the country, producing the weapons of the future.
This is really a game changer for war.
CZINGER: Yes.
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MICHAELSON: So while Divergent won't say whether it's 3D printed missiles are being used in Iran for national security reasons, we do know that when Pentagon chief, Pete Hegseth, toured the factory in January, he said he wanted to see more of them.
We'll be back to wrap things up, including a really interesting story from the attorney general of California about sitting next to Donald Trump in the Supreme Court.
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MICHAELSON: We end with a story we've never aired before about birthright citizenship. The U.S. Supreme Court is looking into the issue of whether everyone born in the U.S. is automatically a citizen.
On April 1st, President Trump became the first U.S. president to ever sit inside the courtroom to see the arguments for himself as the justices heard the case.
Well, California Attorney General Rob Bonta was sitting in the same row as the president and became an eyewitness to history. Bonta spoke with us about the experience.
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ROB BONTA, CALIFORNIA ATTORNEY GENERAL: I could look down the row and see him. It was for birthright citizenship, and I think he bore witness to a major loss he's going to take.
MICHAELSON: What was that like?
BONTA: Everyone was sneaking peeks at him throughout the oral argument. Not the justices -- they were focused and asked questions and unfazed and didn't even seem to know that he was there.
But the people around me seemed to be looking over in his direction from time to time. I admit I did too, just curious to see what he was doing.
MICHAELSON: What was he doing?
BONTA: He was just sitting quietly, kind of hunched over, hands in his lap, looked at his hands a little bit. I think he even moved his hands around. He seemed a little bored.
I think I was the only person who probably was wondering, is he going to fall asleep at some point? And I was trying to imagine what he was thinking. And I thought that he was thinking, what is all this talk about the law and the facts that are so inconvenient to me advancing my agenda?
And he sees the law unfortunately, seemingly as a speed bump on the way to him -- for him to advance his agenda. And he wants to just roll over it.
But the law creates guardrails and prohibits you from doing certain things.
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BONTA: And I think him hearing that maybe it was good if he -- if he absorbed it and he took it to heart because the -- just the conversation was basically that his executive order was unconstitutional.
MICHAELSON: Why was that issue so important for you to be there for?
BONTA: That was the first lawsuit that my office brought. And it was his day one -- a day one action for him, January 20th, inauguration day. We sued him the next day.
Birthright citizenship is something that has a very much a California story. As someone who -- I was born in another country and my mom is an immigrant and, you know, the laws that provide access to the American dream, like if you're born here, you're part of America, you're part of our future.
You can vote. You can be, you know, you can serve on a jury. You can run for office. You can make us -- help bring us closer to being a more perfect union. That's a beautiful thing.
And it's in our constitution, and it shouldn't be interfered with or undermined by a president unconstitutionally.
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MICHAELSON: The high court is expected to rule on that matter in late June or early July.
This weekend, the L.A. County Museum of Art, known as LACMA, will debut a long-awaited new building, a project 20 years in the making. The media got a sneak peek this week of the David Geffen Galleries, which will become home to the museum's permanent collection.
The massive $724 million exhibition space is surrounded by a large public park with outdoor art. "The L.A. Times" called LACMA's reinvention everything from disorienting and austere to poetic and exhilarating. It looks cool.
Thanks for watching THE STORY IS. We'll see you tomorrow.
Peter Hamby will be here. We have Grae Drake, plus our political panel and Larry Madowo from Africa here in Los Angeles.
See you then.
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