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Quest Means Business
Apple Announces Long-Awaited Foldable iPhone Duo; U.S. Bond Yields Climb Ahead of Treasury's $6 Billion Buyback Plan; Ex-Anthropic Employee: A.I. Could Out by End of Decade; Republicans Hoping to Drive Enthusiasm with Texas Convention; U.K. Airports Scramble to Recover from Air Traffic Control Outage; All-Business Class Airline Competes for Premium Travelers; A.I. Actor Tilly Norwood Wants an Oscar. Aired 4-5p ET
Aired September 09, 2026 - 16:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[16:00:18]
PAULA NEWTON, CNN INTERNATIONAL HOST: So an orderly retreat on the markets today. The Dow down three-quarters of one percent. The NASDAQ
and the S&P also off, but not a surprise really given where oil is at and the worries over inflation.
Those are the markets, and these are the main events.
A double debut for Apple: A new CEO and a new foldable iPhone mark the biggest change for the tech giant in years.
Airport chaos drags on for a second day in the U.K., with hundreds more flights canceled.
And "I am the house." Scott Bessent dares the markets to bet against his Treasury interventions.
Live from New York. It is Wednesday, September 9th. I am Paula Newton, in for Richard Quest and this is QUEST MEANS BUSINESS.
And good evening.
Two major debuts for Apple. Today, the tech giant announced its first ever foldable iPhone. The iPhone Duo. It comes as Apple's new CEO made
his first public appearance, kicking off the company's product reveal event in California, that is Cupertino. That was just days after taking
over from longtime CEO, Tim Cook.
Here is a look at the iPhone Duo, I know you want to see it, When folded it is about the size of a passport; when unfolded, it features a single,
nearly 20 centimeter wide screen. It marks, as we were saying, the largest change to the iPhone design in years. Ternus said Apple wanted
to craft a foldable phone that is streamlined and user friendly.
(BEGIN VIDEO CLIP)
JOHN TERNUS, CEO, APPLE: We started with the experience that we wanted for ourselves, a larger display that feels as natural and intuitive as
iPad, then we brought together thoughtful design with breakthrough engineering in a way only Apple can, and the result is a series of
remarkable innovations that we believe will redefine the experience of using a foldable phone
(END VIDEO CLIP)
NEWTON: Clare Duffy is with us now, and you've been watching this for a few hours. One thing that isn't streamlined is the price of this new
iPhone, but there was a lot to get into here.
CLARE DUFFY, CNN BUSINESS WRITER: Yes, I mean, this was a huge moment for new Apple CEO, John Ternus. He was really under pressure as Apple's
former hardware chief to prove that he could usher in a new era of hardware innovation for the company and Apple really is trying to
deliver on that with this massive change to the iPhone's form factor.
Now, as you said, Paula, this is not going to come cheap. The cheapest - - least -- I should say least expensive version of the iPhone Duo will be $1,999.00, but this phone will go all the way up to more than
$3,000.00. That is a very hefty price to pay for a smartphone.
However, Apple is getting into this still niche but growing foldable phone market. It is currently dominated by Samsung. And I think, you
know, it is likely that not every consumer is going to want to spend two or three thousand dollars on a smartphone, but for those consumers who
do, those high paying customers, Apple wants to attract those to buy its devices and not have them running to a competitor like Samsung.
So important in terms of John Ternus' vision, his proof that he can create innovation at this company, and also Apple getting in on this
small, but growing market where people are willing to shell out big money for these foldable devices.
NEWTON: Yes, you said the key word, though, that's "niche." What is not niche for many of us is how these iPhones, the old ones we may have, are
going to integrate with A.I. and I am wondering what more we heard about that.
DUFFY: That was the other really big piece of today's announcement and Ternus laying out Apple's A.I. strategy at a time when there have been
big questions about whether Apple is behind its big tech rivals in terms of developing a clear strategy around A.I.
Ternus talked about wanting to create this personal intelligent hub, bringing in the personal information that it has from across all of its
devices about its users, bringing that together with its new A.I.- enhanced Siri to create this really kind of personalized, seamless A.I. assistant experience across the devices and the services that consumers
already use, sort of imply that this is going to make it easier than using one off, single use, single purpose A.I. devices that other big
tech companies are trying to roll out to meet this moment.
He is making the case that for Apple, you can continue to use your Apple products and get this increasingly powerful A.I. experience on top of
that.
NEWTON: Yes, and I know many people are waiting for that because it is not easy to use across any platform right now. It still takes a little
bit of time.
Clare Duffy grateful to you.
DUFFY: Thank you.
[16:05:04]
Now, the U.S. Treasury has now put a dollar figure on its bond buyback operation, but it is still not enough to calm the markets. The Treasury
says it will buy up to $6 billion worth of 10-year and 20-year bonds this week. It initially said the number would be at least $4 billion.
The intervention is an attempt to calm the bond market and keep yields from rising further.
Yes, that's what you want to do. Guess what? It hasn't worked. The benchmark 10-year yield closed at its highest level since 2023.
The U.S. has also stepped in recently to help prop up the Japanese yen. The Treasury Secretary, Scott Bessent was asked yesterday about that
intervention. He responded that traders should be wary of betting against him.
(BEGIN VIDEO CLIP)
SCOTT BESSENT, U.S. TREASURY SECRETARY: I am the house now, so -- right? So when we intervened with the Japanese yen, I have pretty good insight
into what the Japanese, what the Bank of Japan is going to do, what Japanese policymakers are going to do.
You can bet against me, if you want.
(END VIDEO CLIP)
NEWTON: Allison Morrow is in New York.
I mean, look, this was quite a reckoning for the Trump administration in general and the Treasury Secretary specifically, I don't doubt their
power in the terms that he used, the house. But what I learned in finance class is that it is a casino. And yes, the house always wins. He
is not the house.
Did someone tell me that?
ALLISON MORROW, CNN BUSINESS SENIOR EDITOR: Yes. No. This was one of his strongest kind of signals to the market yet that he thinks he has to use
his words, asymmetric information. Meaning he knows something that the markets aren't seeing and there has been a lot of kind of rhetoric
around just "trust me," which, you know, when you're trying to tame $100 trillion plus bond -- global bond market, you know, it is not just
American investors he is talking to, he is talking to the whole world invested in U.S. Treasuries. It is a really big beast to try to tame.
And, you know, a lot of analysts who are sending out, you know, notes, commentary on this statement are saying, listen, the more you try to
test the market, the more it is going to push back and when investors believe that the fundamentals are on their side, they are not going to
be told what to do.
NEWTON: When we talk about those fundamentals, I mean, he can't fight the enormous amount of debt issuance that is out there and we can start
first and foremost with the debt in the United States being over $40 trillion and counting.
MORROW: Right. So the debt has been a problem for a long time. Bond investors have been warning about that and economists are very concerned
about the acceleration of the debt and it is not just the level of the bond yields.
You know, in the 90s and the early 2000, we had bond yields much higher than what we have now. The debt was much lower then and right now, the
problem that bond investors are saying, you know, screaming about is the more you borrow, the more interest you're going to have to pay on that
debt.
And at $40 trillion, that is looking very unsustainable and so you need congress to act. You need more revenue to come in, whether through tax
increases or cutting Social Security, other entitlements and those are all very politically difficult things to do.
And this rise in bond yields we are seeing reflects the kind of skepticism that investors around the world have, that the U.S.
government can get that done.
NEWTON: Yes, skepticism. I am actually shocked that he even came out with that kind of a phrase. I know he thought he was being cute, but as
he indicated, he knows better than that. He has a lot of experience in the market. So we will see though, if time proves him right as opposed
to wrong because the short term angle on this was not very good for him.
Allison Morrow for us, thanks so much. Appreciate it.
MORROW: Thanks.
NEWTON: Now when we come back, global oil prices are back above a hundred bucks for the first time since July, as the fighting between the
U.S. and Iran escalate. We will have that after a quick break.
(COMMERCIAL BREAK)
[16:11:41]
NEWTON: A former Anthropic researcher warns that A.I. poses an existential threat to humanity.
Jacob Coxon sounded the alarm on X right after quitting the company. He says the people building A.I. earnestly believe the technology could
kill us all by the end of the decade. Coxon says they are racing straight to self-improving, superintelligence and gambling with our
lives.
This is not the first time, as you know, that we've heard such warnings. A more senior Anthropic employee, however, agreed with Coxon.
Evan Hubinger replied "We really do earnestly believe A.I. could kill all humans."
Connor Leahy is the U.S. executive director of Control A.I., a nonprofit dedicated to preventing existential risk from the development of
artificial super intelligence and h joins us now from Washington. Yes, Connor. So how is that going?
CONNOR LEAHY, U.S. EXECUTIVE DIRECTOR, CONTROL A.I.: Well, the good news is we were right. The bad news is we were right. It very much seems that
the things that we were fearing and have been talking about for many years are just unfortunately happening and more and more people are
speaking out about it.
NEWTON: You know, I hate to be flippant about it, but I think what so many people are so frustrated by is that we understand the warnings,
right? Someone my age understands, because we went through this whole issue with the nuclear proliferation, but even we have no idea. We have
no agency over this. So we apparently have a problem.
Do you know the details of the threat in terms of the problem that they pose? And what is the logical solution here?
LEAHY: Well, it is very important to understand is that what these companies like OpenAI and Anthropic are trying to do is not to build a
new, better chatbot, or even to make a profitable quarter. Their goal is to build what is called superintelligence, A.I. systems that are fully
autonomous and that can outcompete humanity at all tasks, whether economic, science, business, military, or political and they have no
idea how to control something more intelligent or more powerful than themselves, but they're risking it anyway.
Really, the solution here is very obvious, we should not allow them to do this, the same way that we do not allow private companies to build
nuclear weapons or, you know, develop dangerous viruses that they can just test on the general public, we should not allow them to do this,
and we should push for an international trust but verify regime to make sure that such systems aren't built anywhere in the world.
NEWTON: Okay. So where have you seen action on this? Are there any proposals in any country, in any corner of the globe, where they are
moving quickly enough on a solution here?
LEAHY: So just this week, Control A.I. was very proud to help introduce the very first Ban ACI Bill in the world in the U.K. Parliament,
together with Alex Sobel and other supporters. So this bill builds a framework for how we can prevent this risk robustly when it comes to
superintelligence.
Recently, Bernie Sanders and Casar also here in the United States, have been calling for a similar framework, which is a little bit more strict
than we personally would handle it. We think more moderate solution is appropriate while still solving the core problem.
So the way things politics tend to work is things are very impossible until they are very suddenly not and we are seeing a very suddenly not
right now. We are in a watershed moment right now where these issues are really being heard.
[16:15:10]
People are really starting to ask the hard questions of what the hell is going on? How are we allowing this to happen and what can we do to stop
it?
NEWTON: But Connor, but are the right people asking the hard questions? I mean, we've heard from lots of people give us warnings. The people who
actually do something about it arguably are not just the people in the companies, right? They are people in power. It is the Trump
administration. It is Xi Jinping in China. It is the U.K., it is the E.U. who is acting on what?
LEAHY: We at Control A.I. have briefed over 200 offices here in Congress, and the overwhelming response I get is just a lack of
awareness, is that they had not been told about these issues before.
I mean, overwhelmingly, they will tell me, wow, that's really bad. What can we do about it? Most have just been lied to by industry lobbyists,
or have just not been informed on these issues. We are seeing a monumental shift here in D.C. over the last couple of months, in
particular, where giving the Hugging Face incidents and other incidents more and more politicians, including very high ranked politicians on
both sides of the aisle. I've had great conversations with Democrats and Republicans across the board are starting to really wake up to these
issues and see them as the risks they are, and the general public is right behind, right there as well, really starting to see that this is a
risk we cannot accept.
So I think things can move very quickly.
NEWTON: So when you say quickly, do you mean quickly enough? Because I contend that something serious may have to happen first before anyone
actually acts.
LEAHY: We already have unfortunately seen some quite serious things, and unfortunately, I do predict that we will see more serious events over
the next couple of months.
I mean, just a couple of months ago, the director of the NSA, the most elite hacking group in the entire world of the U.S. military said that a
recent A.I. system was able to break into almost all of their classified systems and I quote, "hours, not weeks." That is not something that the
military likes to hear. So there has been a lot of movement already here.
As for whether its fast enough, well, that depends on how close we are to superintelligence. We don't really know the answer to this, but we
might be very close, which is why the general public pushing their elected members of Congress and elsewhere to act on this is so crucial,
making this an issue in the upcoming midterm elections and generally calling for action, I think can make things happen.
NEWTON: Okay, Connor, we will continue to check in with you, and well see, because at this point, it seems like they would need something by
the end of the year. Thanks so much. Really appreciate it.
LEAHY: Thank you.
NEWTON: And we will be right back with more news in a moment.
(COMMERCIAL BREAK)
[16:20:37]
NEWTON: At least seven oil tankers have been struck in and around the Persian Gulf since Tuesday, as the U.S. and Iran escalate their attacks
at sea. Now, the U.S. says it struck five Iranian tankers in response to an attack on a U.S. Navy ship. One of the Iranian vessels was sunk.
Iran then launched missiles towards a U.S. base in Jordan, but U.S. and Jordanian officials say the barrage was largely intercepted. Two
additional tankers were struck by drones today, and one seafarer was killed. There has been no claim of responsibility for the attacks on the
two tankers.
Now, this escalation is pushing brent crude well above $100.00 a barrel. Oil prices had fallen to about $70.00 a barrel in July, but recent
events have erased that progress towards lowering any of those prices.
Nic Robertson has been following this story for us from London, but you also follow it very closely on the ground in Yemen and, in fact, with
your sources in Saudi Arabia.
So, Nic, what I want to know here is, is this incremental at this point? Because when I see all the kinetic activity, I feel as if were entering
a much more critical pivot point in this conflict.
NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: It does feel like that and at many levels as well, I mean, it does appear that the U.S. --
the United States striking those five Iranian tankers, if we think over the recent weeks, the odd strike that has happened has been on ground
facilities in Iran and not tankers, but tankers, obviously transport oil for Iran and oil is money and the U.S. is trying to put a stiff economic
blockade on Iran.
So when Iran targets a U.S. Naval shipping, then the response appears to be now shifting to a real hard economic signal and target for Iran. The
United States has been very clear, and President Trump has been very, very clear, along with Pete Hegseth at the Pentagon, that they've sunk
Iran's Navy. And now the signaling seems to be that the U.S. will start sinking and attriting, if you will, Iran's air tanker fleet. That means
that's a clear economic message for Iran.
And I think when we are talking about Yemen, absolutely, it does seem to be on an escalation cycle there that will, perhaps inevitably affect the
price of oil more. Why? Because the oil is not going through the Strait of Hormuz. Saudi was putting some of its oil out down the Red Sea that
passes the Coast of Yemen, through that narrow pinch point at Bab El- Mandeb. It does appear right now as if the Iranian backed Houthis in Yemen, the most powerful proxy Iran has are really pushing towards that
Red Sea Coast, the remainder of the Red Sea Coast, they don't control right now.
So if they are successful, that would put Iran' proxy in control of that sort of backup route for getting oil to international markets and that's
a very clear escalation of the control of oil by Iran. And therefore, we can expect the price of oil to go up more, that -- it is more complex
than that on the ground in Yemen, because there is a push by the Yemeni government forces to try to unseat the Houthis from power, but that that
is a dynamic that's really in play at the moment, so all of this is in flux and yes, definitely escalating.
NEWTON: And the Saudi's themselves, even with their economy suffering the way it is and suffering more just in the last few weeks, they have
been at it in Yemen with the Houthis for many years. Is there a solution for them that involves any kind of military intervention here? Will they
have no choice?
ROBERTSON: There has been really a heavy focus from the Saudi perspective, with the Houthis in Yemen on diplomacy, and Oman has been
involved in that. And for four years, from 2022, that sort of war that started the Saudi's backing the internationally recognized government in
Yemen, that the Houthis ousted since 2015, that had been in play. That comes into sort of a diplomatic tamp down, if you will, for four years.
And then those tensions kind of blew up again.
Of course, the Houthis were targeting shipping on the Red Sea during Israel's war with Hamas in Gaza and that was because the Houthis said
they were targeting shipping that was connected to Israel. It was much broader than that.
[16:25:10]
But what is in play at the moment, this escalation the ground, the Houthis have said that they are going to target Saudi oil
infrastructure. They have -- they are targeting Yemeni government forces on the ground. They've said they'll do that. They are doing that. And
the sort of kick off point for that came up a few weeks ago, a month or so ago, when a group of Houthis were going to Iran for the funeral of
the Supreme Leader, former Supreme Leader, when they came back, the Saudis denied them the right to land in Sanaa. There was a concern that
there was IRGC elements on the plane, sophisticated command and control equipment on the plane, and the Saudi's bombed the runway in Sanaa, in
the capital where the Houthis were going back to and that really pushed everything into overdrive and it has been a steady escalation since
then.
And so, yes, there is a possibility of going back to diplomacy, but that doesn't seem to be the trajectory. At the moment, you have the Saudi
coalition military spokesman today saying that there were more Houthi strikes in Saudi. There were Houthi strikes there the day before. The
Saudis said that they would -- they had the right to respond. The Houthis said that the Saudis had 32 different air strikes inside of
Yemen. And if you look at where those are located, it very clearly speaks to an escalation because they're targeting places where the
Yemeni government forces want to take back control.
NEWTON: Right.
ROBERTSON: They're targeting places where the Houthis are trying to take control, so you can see that dynamic in play.
NEWTON: Absolutely, Nic Robertson, thanks for the update on that. Appreciate it.
Now we turn to Texas, where Republicans have kicked off an unprecedented political event, a presidential style convention for the midterm
elections. The two-day event in Texas will feature two primetime speeches from President Donald Trump. The White House says the
convention will convince Mr. Trump's most ardent supporters to get out and vote, even though he is not on the ballot.
But not all Republicans are convinced. Many are skipping the event, worried about being connected to the U.S. President, who has those poor
polling numbers among swing voters and Independent voters.
Alayna Treene joins us now from the convention, and it is good to have you there. I noticed that just before, just as he was taking off for the
convention. I mean, look, the President admitted that he doesn't expect anything to change in the Iran War or with all crucial oil prices before
the midterms.
How is he going to square that on stage in the next couple of days?
ALAYNA TREENE, CNN WHITE HOUSE REPORTER: It is definitely the elephant in the room, Paula. Look, I mean, no one who I speak with, even people
within The White House who are the closest, most loyal advisers to President Trump, think that the Iran War is going to help Republicans in
the midterm elections. They recognize it is a key vulnerability. And I think that's why you hear the President over and over again trying to
reassure people, but also acknowledges that, look, this is not going to be over in time for the midterms, which was definitely not the scenario
or the timeline that they believed would be the case when this war began.
I would remind you, of course, President Trump himself had said that the war would only be a couple of weeks, if not more than two months or so.
Obviously now, it has dragged beyond the six month mark and now expected to continue until after the midterm elections.
A huge problem at a time when you're right, the President's polling numbers aren't great. They are very low, particularly when you look at
his polling numbers at this point in 2018, during his first term, but also a big part of it is the economy, gas prices, the affordability
issue, all of that really weighing heavily on both his polling numbers and also the Republican Party writ large and that is part of why they
are doing this major, what they're calling a Trump-A-Palooza in some sense, this big Trump fest of a convention here in Dallas.
And part of the reason for that, Paula, I am told, is the strategy. I have had conversations with many members of the President's political
operation. Essentially, they believe the core to success in November is to help boost Trump's popularity. They believe that if they can convince
and energize the members of his core base, his core fiercest supporters, supporters who are part of the MAGA universe, they can convince them to
get up, get to the polls on Election Day in November, then that could give them the edge that they might need to succeed in the midterm
elections. We will see.
But they recognize that really, when it comes to moderates and independents and the type of voters that they coveted during the
President's 2024 race, they are not really going after them this time. They think it is part of the base that they need to convince to get out
there. And that's why they are trying to tell the President's supporters, pretend that he is on the ballot. And I think that's really
the message you're going to hear from a number of the key speakers, the President himself, of course, and the Vice President, J.D. Vance,
tomorrow night, but a number of the other speakers as well, trying to convince you that this is about Trump, too.
[16:30:10]
And the thing I'd remind you is that after the midterms, a lot of attention is going to turn to 2028. If Democrats do well and somehow
take back either the House or the Senate or both, it's going to be very hard for the president to get his agenda through.
And of course, there's this question of potential oversight investigations as well. So there's a lot at stake for the president, not
to mention all of the Republicans who are running, especially those, of course, in these key battleground states.
One thing I think is worth mentioning as well, though, Paula, is that there's actually not, you know, when we've talked to some Republicans,
there's not as much excitement from them about this convention. And part of that is the timing of this. This week, it's early September. A lot of
children are going back to school. It's also, you're going to have the president's speech and some of these keynote speeches during prime time
tonight and tomorrow. That's competing with the NFL games and football season.
There's also 9/11 commemorative events that are going on. And then, of course, a lot of these candidates, particularly those in these tight
races, feel like they need to be in their districts and their states at this point, with just 55 days until those midterm elections. So there's
a question of how full this is going to be. You heard the president, when he was on his way to Dallas, trying to argue, look, it's going to
be as full as possible.
But there has been some concern about the turnout here and whether or not this is actually going to do what the president thinks it will do to
help boost Republicans.
PAULA NEWTON, CNN INTERNATIONAL ANCHOR: Yes. And for those wondering what the appeal is of the NFL as the season kicks off, the conflict, the
scheduling conflict, as you rightly point out, the schedule is challenging. That is a real challenge.
Alayna Treene, for us, who will be in Texas, appreciate it.
Now, British airports are still scrambling to recover from an air traffic control outage that caused massive disruptions. Airlines in the
U.K. say more than 300,000 passengers were affected by cancellations and delays.
Now, the problem was fixed by yesterday evening, but the effects are still lingering. Nearly 300 flights were canceled again today. The
British Transport Secretary Heidi Alexander says a cyberattack has been ruled out as a cause. She told parliament that she spoke with the
airports about NATS, the air traffic control provider. Listen.
(BEGIN VIDEO CLIP)
HEIDI ALEXANDER, BRITISH TRANSPORT SECRETARY: We also spoke this morning about how NATS responded to resolve and minimize the disruption as
quickly as possible, and I am grateful, Madam Deputy Speaker, to the airports and airlines who responded straight away. But I am clear that
passengers should not have to face this disruption. I have therefore asked the CAA to conduct an independent review to establish cause and
ensure that our air traffic control systems can get passengers to where they need to be, and this review will report to me within six months.
(END VIDEO CLIP)
NEWTON: Now, the prime minister's office says the government has confidence in the head of the air traffic control provider. He's been
given one week to provide Downing Street with a report on what went wrong.
This is, we remind you, the second major failure of Britain's air traffic control system in less than three years.
Anna Stewart is in London and I know, Anna, they are threatening that heads will roll, but everyone just wants the planes to fly. So what is
the status report on this? And what is everyone saying about what's really was a huge inconvenience?
ANNA STEWART, CNN CORRESPONDENT: Hugely inconvenient. And there's a lot of upset from pretty much all the stakeholders involved, as you can
imagine. And of course, as you mentioned, this comes after 2023, the August bank holiday, which is a big holiday here in the U.K. when
something similar happened as a result of what we're calling flight processing systems. I don't know what that means.
Part of air traffic control, Paula. And that impacted 700,000 passengers. So even more kind of double of what we're seeing in the last
couple of days. This is hugely costly for the airlines. There is likely to be no compensation for the passengers. And this has impacted, as you
say, more than 300,000 passengers at this point. You can imagine the frustration and the anger therefore from them all.
British Airways canceled more than 190 flights. Today they have managed to get a bit more on track. 80 percent of their schedule was able to
take off. Ryanair canceled more than 50 flights. They say it's going to cost them $4 million. And they're the ones that are calling for the U.K.
government to fire the CEO of NATS. They say we don't need more investigations. We don't need more reports.
And of course then there are the travelers and many of them are redirecting their frustration not to the air traffic control systems,
but to the airlines themselves. I can show you a tweet from one poor passenger, Minneaux Schandorf, who said, "Hands down the single most
stressful and disappointing experience I've ever had with any transport. Thanks to British Airways. To top it off, they offer a replacement 24-
hour four flight transit for a two and a half hour flight to Rome." So you can just imagine being a passenger like that.
[16:35:01]
We've all been there with some flight issues, but this one sounds particularly messy.
NEWTON: And I think the problem here is, is that of course there's government regulation involved, and that's the same in so many
countries, but they need to halt the system. Right? It is about safety at the end of the day. And so, you know, the alternative is dire. So the
inconvenience pretty much will be there, right, until they until they sort this out.
STEWART: I guess, but I think what everyone wants to know is why don't backup systems work in this scenario, given we had this three years ago.
How can we be sure that this isn't going to happen again? And the one thing we know it wasn't a result of, it wasn't a cyberattack. So this is
surely something within the control, one would think, of the air traffic body NATS, but they are going to launch another investigation.
The question is whether anything changes, I think, as a result of that. There is just so much frustration from all sides. And ultimately I think
about who should pay for it. Should it be the airlines? Should passengers get compensation? You know, if you're offered a 24-hour
transit across four different flights to go to Rome, which is a two and a half hour journey, you know, that's a problem.
NEWTON: Tell me about it, Anna. I can tell you firsthand that flying in 1986 was much easier than in 2026. So thankfully you do not know the
reality of that.
STEWART: I'll take your word for it, Paula.
NEWTON: But I do. You should take my word for it.
Anna Stewart, for us. Thank you. Appreciate it.
Now, American Airlines is phasing out first class seats on some long haul flights in favor of business class. One boutique airline has
already gone all in on this concept.
La Compagnie company offers nothing but business class seats on select transatlantic routes next year that will include direct service between
Newark, New Jersey, and Dusseldorf, Germany. The company's narrow focus allows it to offer premium travel, including lie flat seats -- who
wouldn't want that -- at a lower price than major carriers.
Christian Vernet is the president and CEO of La Compagnie, and he joins us now.
Good for you to be with us. You say this is a clearly defined product for a market gap, right? Nonstop, comfortable for people looking for a
more relaxed transatlantic option. Take us on this trip from the airport to the airplane itself. What does it look like? And importantly, what's
it going to cost me compared to a regular business class ticket?
CHRISTIAN VERNET, CEO, LA COMPAGNIE: Hi, Paula. Do you hear me?
NEWTON: Yes, we do.
VERNET: OK. Yes, you're right. I mean, you described very well the product offering that we have, which is simple, efficient, seamless,
very comfortable, very efficient. In terms of efficiency and comfort, I mean, it is difficult to beat us. Whatever they offer that competition
is putting in place, especially that we try to fly from a human size airports where, you know, passengers don't have to walk miles before
they get to the cabin.
When you talk about a cost, I mean, we basically we are -- we sit between 20 percent, 25 percent to 30 percent less than competition on
the different routes that we serve currently, which is from New York, Newark, to Paris, Milan, Nice. And as you just stated, we're going to
open Dusseldorf in April 2027.
NEWTON: So, you know, whether it's regional routes using more of these regional airports or all business class routes, these things have been
tried before. Why now? What in your research tells you that this will be a market winner?
VERNET: Well, first of all, we're growing, OK. We have only two A321Neos at a time and we are going to receive our third airplane early next year
with a bit of delay. And obviously we -- the deal and the plan was to align and to assign the aircraft to a new route on top of the ones that
we fly today. So obviously in the business study that we have conducted for a couple of months, we ended looking at the either capitals or
regional capitals within Europe that would make sense to connect to New York.
And when you look at Dusseldorf, it is quite a particular place. I mean, its capital of North Rhine-Westphalia is, one, if not the richest region
of Germany, the catchment area encompasses 18.5 million people. So there is a huge reservoir of passengers to fly from Germany to the States, At
the same time, we look at the traffic between the States and this region, there are, in terms of the industrial settings, more than close
to 2,000 U.S. companies who have settlements in this region. So there is a very strong potential for that purpose.
[16:40:02]
And the point is that after the COVID ended in 2021, basically, if there was a direct service between Dusseldorf and the U.S., New York in
particular, before that, all of the airlines serving that route have basically taken different ways. And so flying to Dusseldorf, which is a
busy place, as I say, today implies that you need to go and transit through different European hubs, which is not practical at all, and
costly and typically takes two to three hours more than what we are going to be able to offer soon to come.
NEWTON: Well, investing in airlines, new routes, all these things is not for the faint of heart. We've had on this show many descriptions of some
of the challenges. We will continue to follow your progress, especially when it comes to growth from major centers like New York City.
Appreciate you being with us. Thanks so much.
Now, turning to Hollywood, the actor Tilly Norwood, if you remember her, wants an Oscar. The problem with that is she's not eligible because
she's, yes, generated by A.I..
Our Elizabeth Wagmeister got an exclusive interview with Tilly and put her acting skills to the test.
(BEGIN VIDEOTAPE)
ELIZABETH WAGMEISTER, CNN ENTERTAINMENT CORRESPONDENT (voice-over): Tilly Norwood is known as the first A.I. actor, but this is what
happened when we asked her to act during her first on-camera interview.
Can you improv a scene? Say that you just found out that your dog died, now act. What would you do if this was an audition?
TILLY NORWOOD, ARTIFICIAL INTELLIGENCE ACTOR: Oh, Elizabeth, that's a tough one. If this were an audition, I'd probably just stand here
completely still feeling the digital ache of it.
WAGMEISTER (voice-over): The fact is, Tilly can't actually act. She or it needs a series of prompts to tell it what to do. Once inputted, the
initial results weren't great.
NORWOOD: What is it?
UNIDENTIFIED FEMALE: It's Barney. He didn't make it through the night. I'm so sorry.
WAGMEISTER (voice-over): But as the prompts were refined, it got better.
UNIDENTIFIED FEMALE: It's Barney. He didn't make it through the night. I'm so sorry.
NORWOOD: No.
WAGMEISTER (voice-over): After hours of computer work, this is the final scene Particle 6 created after our interview and later sent to CNN.
UNIDENTIFIED MALE: We just got done with the vet. It's not looking too good right now.
WAGMEISTER: You said that you want Tilly to be the next Scarlett Johansson or Natalie Portman in A.I..
ELINE VAN DER VELDEN, PARTICLE 6 PRODUCTIONS: Yes. It's not to replace anything in the traditional filmmaking scenario. That's not what she's
made for. She's never meant to replace any actor. I totally understand why people don't like it. I thought it was very scary when I first saw
A.I.. Once you start playing around with the tools, you start to understand it. It removes some of the mystique and that makes you feel
like, oh, oh, it's not going to take over the world, at least not in entertainment.
(END VIDEOTAPE)
NEWTON: Well, just like eating cotton candy. That is my comment.
That is QUEST MEANS BUSINESS. "Richard Quest's World of Wonder" is next.
(COMMERCIAL BREAK)
[16:45:37]
RICHARD QUEST, CNN INTERNATIONAL ANCHOR (voice-over): I'm Richard Quest.
I'm sailing.
QUEST (voice-over): I love traveling the world. And I'm not done yet.
It's time to embrace new adventures.
Just doesn't get much better than this, does it?
(Voice-over): Seize the moment in this WORLD OF WONDER.
Good morning, team. Good night's sleep. Nice shower and a bit of breakfast.
(Voice-over): Fueled up and ready to continue our epic American road trip along Route 66, which stretches from Chicago, Illinois, all the way
to the West Coast of California. We are celebrating the route's centenary. Beau, Holly, Jackie and I are driving nearly 4,000 kilometers
in only nine days. We've already covered a lot of ground. Made some new friends.
Are you obsessed with Route 66?
UNIDENTIFIED MALE: I guess. I guess it's taken over my life.
QUEST (voice-over): Tried a few new things.
UNIDENTIFIED FEMALE: We have Richard and Beau attempting our 72-ounce steak challenge.
QUEST (voice-over): And of course, the rules of the road. Stick to the original route as closely as possible. Share the driving. Keep Bertha,
our RV, clean and tidy. And we're allowed one big detour to see something truly extraordinary. Onwards we push with so much more to see.
By the time we've reached New Mexico heading into Arizona, you can really tell the landscapes changed dramatically. In the American
southwest rocks galore. There are many places where Route 66 has been subsumed into the interstate. This is one of them. So there's no
parallel road.
(Voice-over): Route 66 was officially decertified in 1985, when the last bit of Interstate-40 was completed. While a lot of small towns like
these were bypassed, today in Tucumcari, New Mexico, the glow from the classic Blue Swallow Motel shows those that survived.
ROBERT FEDERICO, OWNER, BLUE SWALLOW MOTEL: Here are the old saying Tucumcari tonight. That was an advertising slogan for Tucumcari.
Tucumcari tonight. Let it be your destination for the evening. How did you differentiate yourself from the other 3,500 rooms that are in town?
You attract them by remaining old.
QUEST: But it's beautiful. In fact, the whole frontage speaks to something completely magnificent about a different time of travel. I
love this sign. 100 percent refrigerated air.
FEDERICO: We're still using original neon in the days of LED. I'd be a fool if I changed it now. Of course, we have 1950s furnishing. They want
to experience a different time in travel. When you pulled off the road, look for a vacancy light. I mean, that's the old mode of travel that we
all wish for.
QUEST (voice-over): I can't think of the last time I was enticed to sit in a motel parking lot under the neon lights.
I don't know quite what to make of it all. I mean --
BEAU: It's rustic.
QUEST (voice-over): Route 66 and roadside oddities go hand in hand. How about this one in San Jon, New Mexico, the world's largest flip-flop?
Not a claim, I am aware that is heavily challenged.
[16:50:02]
BEAU: Go on.
QUEST: Please tell me I'm not sitting in a bathtub in a random town along Route 66, on a boiling hot summers day.
(Voice-over): This is the true definition of somewhat weird and somehow wonderful.
How are you deciding in the million and one places to stop, which ones to stop at?
UNIDENTIFIED MALE: Usually whenever we can meet people.
QUEST: The secret of it all.
UNIDENTIFIED FEMALE: Just getting to experience the world.
QUEST (voice-over): And so push on through New Mexico to another classic hotel, this time rooted in Hollywood history.
The El Rancho Hotel. Brilliant. So this place is famous because it was the motel where all the stars stayed when they were shooting the Western
movies. Everyone, John Wayne, Katharine Hepburn, Spencer Tracy, Errol Flynn, Ronald Reagan, they all stayed here. Magnificent. Think of the
history.
(Voice-over): The El Rancho Hotel was built in 1936, a few miles off Route 66 in Gallup, New Mexico. Now, where's that secret room upstairs?
UNIDENTIFIED FEMALE: OK, so on this bookcase here, there is a book that you can pull forward.
QUEST: Right.
UNIDENTIFIED FEMALE: And it will open to a secret room. Try a book or two or three.
QUEST: So how's it open?
BEAU: Oh, come on, we've got to find it.
QUEST: There's not that many books. We've moved every book.
BEAU: Just wrenched the whole thing open.
QUEST (voice-over): It's time to get some help.
It's that. We open, but didn't do it properly.
(Voice-over): Let's try that again.
BEAU: How cool.
QUEST: I love it, love it.
(Voice-over): The El Rancho is one of those quintessential hotel experiences where you sleep amongst the stars along Route 66.
A man's got to do what a man's got to do. Yes, sir. I'll go and get the coffee.
(COMMERCIAL BREAK)
QUEST (voice-over): New Mexico's been and gone. And now Arizona.
Look at that. When you go out West, the views just get bigger, grander, more impressive.
(Voice-over): Hang on. Did you see that? It's come to that point in our trip where we've decided to follow road rule number four, a detour off
Route 66 to see something truly spectacular.
[16:55:02]
Look at this. I can feel my heart just -- my whole stomach just gone into sort of flutters.
(Voice-over): The Grand Canyon.
UNIDENTIFIED FEMALE: Oh, my gosh.
QUEST: I can't (INAUDIBLE). Every time you see it, it's just -- it doesn't look real. There was no debate about whether to take the detour
from Route 66, the Grand Canyon wins every time.
(Voice-over): One of the seven natural Wonders of the World. Its sheer depth and size, mind-boggling.
Brings a smile to the face. To be a part of all of this, to be in its presence is so awe-inspiring.
(Voice-over): The Colorado River began carving the Grand Canyon some five or six million years ago, which is only yesterday when you think
the rocks at its core date back nearly two billion years. This is a perfect A.I. moment to create a nostalgic souvenir postcard.
Create for me please.
(Voice-over): Hang on. While it seems I've been leaning on my microphone pack, Gemini has been at work. The result?
UNIDENTIFIED FEMALE: Is it good?
QUEST (voice-over): Spectacular.
BEAU: It's a nice little community, isn't it?
QUEST (voice-over): We roll into the town of Williams, Arizona, for the evening and lo, a surprise run-in with some of the wonderful people
we've previously met along the way.
UNIDENTIFIED FEMALE: Oh, hey, guys. It's our friends.
QUEST (voice-over): This couple we first saw way back in Texas.
UNIDENTIFIED FEMALE: I hope we meet them again tomorrow.
QUEST (voice-over): And now settling in for the night.
That looks on. All right.
(Voice-over): And the bonfire. Bondi Beau is on it.
BEAU: How good is this, hey?
UNIDENTIFIED FEMALE: That's so cute.
QUEST (voice-over): I'm not a fan of camping, but they say this is glamping.
There we go.
(Voice-over): What a fuss about roasting a marshmallow on a stick.
You want a little bit of burn to give it a bit of a charcoal taste. Just a little bit. But I'm never sure when it's ready.
UNIDENTIFIED FEMALE: You wanted that perfect golden brown.
QUEST: Look at that. They are perfect.
(Voice-over): Traveling by RV is a different sort of camping. There's an elegance and yet comfy feeling. We are home away from home.
(COMMERCIAL BREAK)
END
