welcome to technology Brothers the most profitable podcast in the world today we are giving you a breakdown of Stargate the latest AI initiative and uh really like a massive just completely Tech and AI focused story to come out of the post Trump inauguration I I like the the mainstream news was like not on this and I was very happy to see like okay
there's a TCH story here yeah caught off guard yep and opening like what was interesting is it came out at like I was in I was on a layup over uh offbrand I was I was on a layover last night uh because I was flying into a small Regional Airport um and uh just routine maintenance on the G650 yeah yeah like it just was poorly poorly planned but uh I just remember it was 4M in Denver when
the story came out which just felt super random typically you have a big announcement like this but it was because they were doing a press conference with Sam with with Masa with Trump the photo is insan the photo of them all together and Trump's just standing on the side just being like nice guys like yeah do some American Business I like I like the vibe of this
because I don't think for you we'll get into this but the the like Trump is not committing money to this he was just like this is cool putting a stamp on it yes a stamp on it's great yeah and and Masa had very much framed it as before he you know apparently the conversation went if you get if you win I'll bring you $100 billion and Masa was saying
like I came back with 500 that um and you can't keep a good man down like there's some really iconic Masa pictures throughout history go on our our X or or the TV account in my account I tried to surface some yesterday we got some bangers up there we got some bangers we got a 8K Banger um as as of this recording might be a 10K now uh well let's go through the
Wall Street Journal article to give some basic facts and then we'll uh cover the the some Ben Thompson analysis with the information or the misinformation is saying about it and then we'll take it through the timeline and get you some reactions to Stargate the new AI initiative um so the Wall Street Journal writes some of the world's most PR prominent names in technology are
pledging to pour as much as a half a trillion dollars into building it's so much sounds sounds bigger when you say half a trillion uh we been so normalized the b word yep yep now now it's half a trillion now we're in the te T land uh artificial intelligence infrastructure in the US and the latest high-profile initiative timed with the start of the
Trump Administration and this is what's we it's really interesting it's it's a joint venture it's a new company and so open AI is taking equity in Stargate and they're the leader of this joint venture wonder the delution you have to take is a new company raising raising that much money and and and and what they say here that intends to invest $500 billion to
be clear that they can obviously have a huge deck component to that yep uh which would still count as this framing of an investment yeah and I mean we'll get into this but I mean the there's been a massive disconnect between like the announced like in our day back in our day when you announced a $20 million round it meant that $20 million to the scent came into your balance sheet as an
equity inv Equity investment yeah and so the framing here yeah and the investors would even have to you know you get the you get the wire instructions it's like oh you're investing five million invest 999999 because you're buying this many shares and now it's like yeah I threw some Venture debt on top of it and then some Cloud credits and then oh yeah this
government told me that they might throw some extra money in if I do one thing so I'll throw that in there and all of a sudden I add a couple zeros to my fundraising around we I'm and uh back in my day if you went out to raise 7 trillion and came back with 500 billion that was not something to be oh yeah this started with 7 trillion that was
the story I forgot about that that's wild those rounds typically don't even get announced you try to and so so it's uh open AI SoftBank Group which we know well uh they'll build data centers for openai and then open AI will be a customer of those data centers so it's going to be this complicated like loop back the database company and mgx an investor backed by the United Arab
Emirates are also Equity Partners In The Venture the companies are committing 100 billion to the Venture with plans to invest up to 500 billion over the next four years which actually seem put this into perspective in 2024 I believe there was $168 billion invested into us-based uh startups and so this is basically saying we are going to
match almost match that level of spend but purely into the data center infrastructure the you know energy everything just gets so it's it's essentially we're seeing like the vertical integration of AI where where you know like it used to be oh yeah like you want to build a startup you're just like you're essentially like a an AWS rapper than a Chachi rapper then it came
to the training runs you're going to have a huge AWS bill cuz you're going to be training on some infrastructure now it's like in order to to to really do what they want to do they have to buy the land the energy the the the compute everyone was saying oh another one trillion to Nvidia because Nvidia is GNA make well that's what I was joking I was you know obviously posting being
like you know showing Masa and uh oh yeah yeah and uh Jensen being like 500 billion did I hear that right Masa he's like yes brother it's all for you it's all for you and it's funny because Masa literally bottom ticked Nvidia do you remember like he sold local Bott yeah he so at the bottom and his it would have like you know uh so anyways this is just
yeah I mean this the whole story of Masa I was I tagged Ashley Vance and I was like you need to do a proper documentary on MSA because what an incredible Story the guy has had some of the biggest wins and the biggest L's and just like continues to like push forward never loses uh never loses confidence seemingly yeah uh which we love to see
so the hundred billion dollar sum includes projects that the companies already announced and initiated under the Biden Administration so they're kind of like rolling in their old progress as well to like really make this the thing and the total figure if realized would be large even by Silicon Valley standards and underscores the extent to which tech companies and government
officials are betting on AI as the future of the American economy it also shows how much Tech Executives want to broadcast their enthusiasm at the start of the new Administration and I love this photo of just Sam smiling while talking to the Paul Brothers random photo yeah it's like the Wall Street joural knows what they're doing there they're just like this this
is this is like you know unprecedented and it's just like there's celebrities around um and they they picked that photo very clearly yeah one one thing you can tell as far back as Sam positioning is I'm going to raise 7 trillion do Sam is under such an I don't think there's somebody elon's under a lot of pressure and that he's got a lot of balls he's juggling right he's got
like seven balls in the air he's got billions you know hundreds of billions of dollars on the line but Sam is arguably under much more pressure much more scrutiny and so seemingly this project they very clearly here 500 billion building new AI infrastructure for open AI in the United States so Sam's strategy is his number one enemy is the most powerful wealthiest man in
the world that everybody's saying oh great we're now in all our oligarchy run by some some guy from South Africa right but Sam strategy is like I'm going to become too big to fail true I also think this is an interesting narrative violation about that that thesis that has been running wild uh that elon's secretly the president like has 100%
control over Trump because if if that really was the case then this press conference never would have happened right and so it actually is kind of refreshing in some ways to see that no that like the presidency is still clearly intact and Trump is just making deal also we talked about this right before the show Sam Altman was very against the Trump presidency yeah he he he he
praised Reed Hoffman in 2021 saying uh you know if it wasn't for Reed Trump would be our so so this this is an exam you know you framed it as uh Trump is a deal guy he's he's playing the specific moment and so he he clearly in this situation would have known that Sam had been a Critic and wasn't for him but still was like this is you know good for
America let's like do this put his put his stamp on it he's come around on on this he's he's donated he's come to the inauguration he's effectively kissed the ring and so I'm down to do a deal as long as the deal makes sense and in this case it's it's just in on deal terms it's it's the federal government doesn't need to invest anything and gets a huge
benefit dominance over itd it be and a lot of this is investment from other countries into America I mean that's what NASA represents right and that's what the uh the uh MDX uh mgx the UAE so you're taking money from a foreign country and putting it in America that's like that's a pretty easy calculation for Trump I think and yeah for there's there's a
good argument for foreign investment here because I don't think the United States has 500 bill you know if they can pull the money together it's not like we have an extra $500 billion dollar that are just kind of you'd really have to I think we print that like every day yeah yeah yeah that's true uh not every day but I I get what you're saiding but yeah I'm like uh I
mean what the the co stimulus was like a trillion and then another trillion or something yeah yeah so we could but if we did that it would be very and stuff well it would be corrupt for to go all to okayi uh yeah we're doing a stimulus check for Sam mman it's one it's one500 billion doll check uh yeah this is universal basic income the economy today
yeah the economy today just functions as a wealth transfer between Elon Musk Sam Alman and Bas Baron Bas Baron picking up a very small am of that but I I was laughing at this because uh you know over the weekend the uh like Trump coin launched and then Melania coin launched and everyone's like it's so ridiculous that these like super powerful people
have like coins attached to them but then I was thinking back on it and I was like wait but like remember when Elon attached himself to Dogecoin and you could basically get get exposure to Elon through Dogecoin and he essentially had a like a you know a meme coin attached to him and and then even Sam has worldcoin which doesn't truly have like cash flows yet and although there's like
more of a story there for how that's going to be a real crypto it is in some ways a meme coin just about Sam like like when I think about do I want to buy World coin it's do I do I think Sam is going to be a successful person go Sam Sam individually exactly becausein should like live and die by him the same way that Trump coin lives and dies by Trump um yeah it's a
very odd like framing um so Stargate First Data Center will be in Texas the site which started construction last year will be operated by Oracle and used by open AI the companies didn't disclose how much each partner would contribute openai raised billions of dollars but still loses money Oracle has about 11 billion in cash and marketable
securities but more in debt and soft bank has roughly 30 billion of cash on hand openi said it would operate the Venture while SoftBank will will finance it Stargate will have a separate board of directors and hire a new CEO which sounds like just like after all of War drama opening I'm like just I have PTSD about AI boards generally um but South
bank's M oon will be chairman Stargate plans to bring on additional Equity investors so uh I I I think Ben Thompson framed it as like this is almost more of like a prospectus or a road show for Stargate it's kicking off it's a marketing event it's like kicking off it's a general solicitation at the White House to the to yeah yeah to the sovereigns basically
basically basically but and it's and to be honest like it's very smart to be like go and get a photo opportunity with Donald Trump being like yes we want 500 billion invested in American AI infrastructure and then if you're the Norwegian Sovereign wealth fund you're like oh we'll toss like five billion in you yeah yeah yeah and so uh I mean it's
going to be a party round very clearly a party seriously I mean the the the other way to think about this is like it's this huge number but how do you compet just to General Tech capex and so Goldman Sachs has estimated that uh uh all the American Tech Giants collectively will spend an estimated one trillion on Capital expenditures in the next few years and so that will include
large outlays on data centers chips and power and the power grid and so there's already kind of a trillion dollars flowing around there's just a question of like if you're if you're Jeff Bezos do you want to be a part of this party round and like kind of count your cap do your own or yeah yeah and and later we'll we'll maybe get to this for maybe now the right time is uh uh so Elon
obviously quickly came out and said a p of that post yeah so Elon came out and he goes uh they don't actually have the money and uh and then had had had a number of other posts um and it's clear to everyone uh involved that they certainly don't have 20% of the 500 billion just sitting in an account like that money has clearly not been committed um you
know wired right may there's it seems like there's a lot of soft commits there's people around the table saying yeah we want to be involved but it's so it's so it's so clearly like a deck and a render yes exactly that nobody's going to be like and then it will be a bunch of sub entities and complicated structures of like okay we're setting up this data center we're going to tie this
much debt to it we need $10 billion see fake make it at this level yeah fake until you make Bas so Sam Sam strategy uh which was interesting he says I genuinely respect your accomplishments and think you are one of the most the most inspiring entrepreneur of our time and I don't think that that response um I think he's trying to win out like it
you can I I do believe he genuinely believes that right yeah totally how how could I mean you can go back and watch the interview between him and like fighting fighting fire with a hug I don't think is how you win against you're not gonna you're not gonna yeah you're not going to win the war with Elon by being nice to him so many different ways by Elon it's kind of just
like why not just pry a new strategy I guess but yeah I mean it's interesting because it's like the initial open AI announcement I think it's it is this fake fake it to you make it energy uh most people understood that but I think Elon realizes that many people don't and people will think oh wow uh X has 5 5 billion and they have 500 billion I
should bet this has 60 almost 60 thou definitely over 60,000 likes by now yep um and uh I guarantee you that open AI has people seeing this post messaging them and being like hey will you promote my crypto coins you know so like it's so like the average person seeing this is like wow this is real because oh yeah totally because you don't understand all normally when you see an announcement
like this it was yeah so is he's not I mean's almost like theatrically just trying to educate people on like the nature of this fake it to you make it stuff which sometimes he does too um and then Sam demo yeah exactly and so there's a little bit of like everyone's doing the fake make it but there's a lot of Alpha and like calling somebody else out for doing it
and who's and and and getting that get dialing in the level of fake it to you make it is like the the most important thing in Silicon Valley because you go too far and you're in jail and every every every money Founders do this with product demos right they'll put out a cool video launch video showing it and then you sign up for the product and it's got not
not not really featur SP up I mean even Google Google when they launched their AI stuff uh people were saying oh yeah they sped up like like the AI was actually thinking for three minutes they sped that up and they didn't say they sped it up and like all these different things like a million companies have been have gotten caught with doing stuff
like this faking but it's different when when Tesla fakes a demo and it's like oh like they you know they they delivered that product like three days late or three years later more expensive versus like the uh the Nicola guy who like straight up had a fake truck that was rolling down exactly and that was fraud so the line of like what is fraud and
was doing that to get to like sustain their aggressive you know market cap right they're they marketing um so uh Janik our Budd Jan from from public.com sent us uh sent us this post which was clearly SAA running cover for Sam after all this and on CNBC he gets asked you know Elon Musk says like project Stargate doesn't have the money now obviously SAA is conflicted here as any
you know you ideally PE you be over your career you become so conflicted that you know you just can't say anything uh at all but um and uh so SAA gets asked this question very directly SAA owns half of open Ai and like is made a huge huge bet on open Ai and SAA is very sort of like specific with his words he's getting pressed on uh they do they actually have
the money and Sati goes you know we we know we've committed to investing you know 80 billion do a year uh in Azure and uh you know and the guy go asks like a follow-up question and he goes SAA goes again all I know is I'm good for my 80 billion and like SAA is not saying I'm investing $80 billion just through starget he's saying I'm investing $80
billion in my data centers and infrastructure and all this stuff and so I mean again this is one of those things that that that uh normies not our audience but yeah normies will look at this and be like Oh Microsoft is investing 80 billion in this like they're they're 80% of the way there like it's real I mean if that was the case that would be extr really if their
balance sheet just went down by 80 billion into some highrisk yeah I mean they have they have they have Commit I mean to be honest the the other thing here is it's not high risk in the in the way that investing in a startup is right you're investing in physical infrastructure that has somewhat predictable demand everybody's expecting exponential growth
in that demand but yeah every indicator says that that's correct so um and again Microsoft is using a bunch of debt everybody involved will be like Levering up which we love to see we love to see uh it'll be interesting actually to see if there ends up being if if de if AI creates so much de demand that we are just constantly trying to catch up to
that demand or we create a like a new housing crisis because like trillions of dollars have invested in data centers and you know who who knows yeah I mean the crazy thing is like it's it feels like so much money but at the same time when you when you talk to the AI folks and they're like every order of magn magnitude is what gets us you know breakthroughs in AI we went from gp4
which was a $500 million run to a$ billion project to the 50 billion coming and the 500 billion like four years is actually slow on the on some people's AGI timelines like some people want to do an order magnitude basically every single year and so like this has been talking about for a long time be honest it's like I I I basically it's like I I don't exactly know how the capital
formation will happen but if you if you just ask me like will Humanity invest half a trillion dollars in AI over the next four years i''d be like absolutely yeah um let's go to Ben thompon one one last thing I would say open AI I think is the best in the world at uh at disseminating their story and the things that they want people to believe through a
complicated network of terminally online and on accounts uh internal employee leaks you know stuff like that uh memes even being like oh we're going to name it Stargate which is like a very charged name for Stargate was a TV CIA project mind control one reference there's also reference there's a Sci-Fi reference there's a movie called Stargate like
there's all these different things it's a cool name it's a very cool name whoever held that a couple days ago they printed for 50 million um so yeah Ben Thompson frames this as a bit of a perspectus as masi sets out to raise the funds a project of this size and magnitude does seem to be up his alley what is amusing is open ai's propensity to get itself once again into a weird
Financial Arrangement uh it seems as if the company will get equity and Stargate a separate company from for operating the data centers and it will also be its primary customer which is to say it will be paying itself in some respects still it makes sense open AI is a software company with different long-term cost structure than that of an infrastructure
company that's fine if you're at Microsoft scale and profitability but for entities that are losing money and looking to raise more it makes sense to be different investment vehicles so St like in one way the market can look at open aai as a software company and then Stargate as a infrastructure and hardware company which which which does make s new manhatt project the Manhattan
Project of AI yeah is cool because you're getting some of that credit of it being this government thing when all Trump did was say yeah this is a Cool vibe I'll I'll give it I'll join your press conference yeah um we should go to the uh gav Baker yeah Gavin Baker okay so Gavin Baker uh cross crossover fund manager and a great poster says uh starget is a great name but the 500
billion is a ridiculous number and no one should take it seriously unless SoftBank is going to sell all of their Baba an arm soft bank has 38 billion in cash 148 billion in debt and generates three billion in free cash flow uh per BBG what is the I don't know I oh oh uh probably Bloomberg oh per Bloomberg okay I thought they were saying like per yeah
so three billion in free cash flow they own 143 billion in arm and 18 billion in Baba if they start selling arm their stake will be worth much less very quickly so if you basically just start if you sell off 143 billion in stock it's going to you know create a supply demand issue um Oracle has 11 billion in cash 88 billion in debt and generates 10
billion in free cash flow uh a lot of money it's it's you know it's funny to at the helm founder at the helm and he's looking good everybody's wondering what's his stack HGH test you know face lifts he's looking good he's looking good um open AI is burning cash mgx did not commit to a number in is a hundred billion doll fund maybe 10% of the fund
goes into the best Cas in the best case Nvidia will limit how much they invest in any one model company maybe five billion barring the aention this isn't a model company so but and and it is like the most like virtuous cycle where whatever money they put in is going to it in so I I I I I could actually see the Nvidia in investment being higher
yeah but yeah borrowing the after mentioned soft Bank oh and they can also structure it as like trading in in kind trade of equity for G and then also that 10% of that fund I think that that's a little weird it might be a little low I think some funds could go up to 20 or 30% a private Equity Fund will do yep High concentrated it's possible and then
also uh if they if this deal goes well and they're you know and they're raising the next fund like like the commitment is over four years and so you know potentially like that one fund is mgx or MDX mgx mgx they could wind up getting 50 billion of exp yeah yeah also this doesn't take into account positioning this as a road a road ship perspec and
and Masa is known to make ridiculous commitments and then walk him back a little bit so he could be like I will sell all my arm to like make this happen I've got the cash like let's let's run it um and uh so anyways barring the after forementioned SoftBank arm sale might be able to put together 50 billion in equity funding over several several years can obviously Finance the G the
gpus and put debt on the JV in this case you could probably if you're going to put up 50 billion of equity I don't know how much debt uh you could slap onto this bad boy uh but Gavin's point is nowhere close to 500 billion everyone should just start issuing press leas press releases for $1 trillion doll AI projects uh and then apparently some
biotech company with the ticker mgx like popped oh really after this like 30% um but uh but anyways and so the people buying the wrong ticker thing and actually moving the market always blows my mind yeah it's like like how do you like you're enough of a you're enough you're enough of a Trader to read this news think that it's bullish for the fund go in there but not check two
seconds you're investing in the right thing okay but what if it's just that the bot there's this understanding that oh it will pop it will pop like it's the meme Stu it's the Trump coin of Pop of this deal and so Jeff Lewis referencing Sam's response to Elon he says I genuinely respect your accomplish and think you are the most inspiring crossover fund manager involved in a
lawsuit against open AI of all time uh and then they just go into this like back and forth um Chad on Chad violence and uh but but anyway so so Gavin is conflicted Jeff's a huge investor in opening eye he's conflicted everybody's it's everybody involved in this public conversation is is deeply conflicted uh but that's why we're here to uh you try to figure out what's
actually happening so there's an interesting to go back to the Sachin Adela and Microsoft thing like obviously Microsoft and open a have been really really closely aligned for a long time and then that there's been reports of that relationship frying a little bit um and Ben Thompson has a good breakdown of kind of like how this wound up happening
so he previously wrote in an update saying uh M so Microsoft will spend money on training but at a pace dictated by inference usage leaving aside the fact that inference usage only comes after training this is a Viewpoint that is fundamentally at odds with open ai's still stated goal of pursuing AGI which is in some respects just doing training for training sake to see what you can
develop I guess you could Square these circles if you tried but it sure seems like open Ai and Microsoft are really dare I say misaligned he's joking about the alignment problem but but it is interesting there's evidence that evidence of this misalignment continued to emerge the information wrote about open AI frustration with Microsoft's GPU
availability and the role that played in open AI last fundraise in October the financial times reported in December that Microsoft was negotiating to remove the AGI Clause that restricted their future access to open AI models in exchange for further investment then over Christmas break the information reported that the companies were having difficulty coming to a new agreement um
the the two companies were having difficulties you reported you said the yeah the information misinformation misinformation um although Microsoft was more insulated from the AGI Clause than believed as opening ey needed to First generate 100 billion doll in profits to that end it is notable that this new deal does not appear to have more investment from Microsoft as you as you
noted and does not appear to address the AGI clause and so there so so a little bit of this is like maybe a way to get back into like the crazy scaled up training runs that just have been maybe a little bit stalled because you kind of max out Azure and it becomes this question of like hey we have this belief that scaling laws will hold and that if
we invest 10 times the money we will get a higher IQ model out and there and and it's it's pretty clear from the we looked at the data and it's pretty clear that um when when you when you 10x the energy and tokens and data and and all the all the all the work on the training you do get a smarter model but the increases have been diminishing so as
you spend 10 times more it you don't get the same increase from gpt3 to GPT 4 so you could see this diminishing curve and at some point you know if it doesn't become just super intelligence you're GNA wind up doing the training where when it costs 500 billion and only getting like oh cool it's like it went from like an okay PhD student to like a pretty good one and it's like is was
that really worth it and so I think that open AI clearly believes that yes it's worth it we're going to get something really special out of it it's going to drive an immense amount of value on the inference side financially and also potentially like solve of human humanties problems and all that stuff but um but but but making that case to
Microsoft which have shareholders and and tons of other businesses to say hey you need to take every penny you have and start building data centers for us probably wasn't going one one thing that um it seems very clear it's impossible to predict the future right it's a it's a skill issue usually but yeah skill issue some skill issue the thing I can predict is is that
Humanity 100 years from now will study this power struggle over over the creation of non-human intelligence right and the funny thing I I um I saw somebody post and they said uh uh everybody's now calling it ASI because it's clear we have artificial general intelligence already right and so even open AI is like everybody's like hey we got to kind of unwind this like AGI
clause in this partnership because like kind of already have it it's not printing like a hundred billion dollars a year in free cash flows yet like maybe it will someday maybe a bunch of companies eat up that pie yeah so there's just so much money on the line it's like actually incredible because he can just do everything like every single
industry Tim Cook's punching the air because he's like barely scraping a gear 78 million in total comp meanwhile the average baseball player is making like half that and and he's sitting watching these he's sitting watching around he's he's watching you know these size Lords Huck around billi T of billions billions of dollar checks and he's like I can't even
I can barely get a a bite a CR your crumb it's funny like where is Apple and all this it is they partner with opening eye and they're sitting on all this cash and they're just like yeah let's rip another buy back yeah I mean yeah I I so uninspired I think that like we're we're so stuck in all the all the nuances of the story because it's so big and so
interesting but I think it's going to be incredibly interesting to see what alon's reaction is going to be because he's definitely he's gonna have to out raise he's he's gonna have to do something even if it's just PR or like narrative spinning or storytelling like there's going to be something that comes from Elon world and xai that is compelling and fascinating and then
Google too think of the other sovereigns that are not in this announcement yeah cutter Saudi there's plenty of other big sovereigns right that can write2 billion checks and so behind the scenes you have to imagine that Malaysia Malaysia does look training talked about that uh you have to imagine that there's this battle between Elon and Sam and Masa out behind
the scenes taking these meetings trying to get people to pick aide and those people don't actually want to pick a side right like even VCS don't want to pick a side like we want to be able to be like well we invested in this Foundation model but you know they've got like sort of different paths and we're also going to do this one because people just want to
deploy and and they're playing you everyone wants to own a piece of ASI right yep they they got their piece of AGI and they're kind of a little bit underwhelmed yep it's cool it's cool but like you know it's not solving all of our problems just yet we still have to solve our own problems yeah you still got to prompt it yeah I do I do really wonder I mean they keep like
it the pattern has certainly been or like the Le at least the financial story that we've been hearing is that um as a product llms are sticky and drive high Revenue subscriptions essentially perplexity $20 a month Mo like tons of people just pay for it I pay for it it's great um but I also pay for chat GPT and then I also just got use them
interchangeably yeah I and I interchangeably to some degree certain ones are better for other ones like the Google one has a really huge context window so you can dump an entire book in there and then and then get it to summarize that but uh chat GPT has better reasoning models with 01 and soon 03 and so um the latest news from open AI is that they're launching the 03
model it might be $200 a month there's a version that might be $2,000 a month or something like that there's been people talking about it um and then kind of quietly behind the scenes people have been saying well you know for a long time people saw this as existential for Google because how are you going to put ads in llm responses if you're read adding block of text like it's less
natural um to put ads in but perplexities solve that and figured out how to put ads in there and I think it actually makes a ton of sense to put ads in llm responses and it'll work just fine and it's actually purchase decisions yeah yeah and it's very easy to to actually just have a second llm that rewrites the response and says insert that in this in this text
response they should consult with us on that but I think the third Financial story that hasn't really been told yet is is is how are they going to drive cost down on the inference side because you saw this with Bitcoin where there were originally it was extremely expensive to mine Bitcoin you had to do it on CPUs was so huge server racks then
they figured out how to do it on gpus then they moved to something called fpgas which are kind of field programmable gatoray which are like uh it's almost like a baked in Silicon um and then they went to A6 which are which are chips that are specifically designed just for mining Bitcoin that's the only algorithm that the chip can run and so it mines Bitcoin very very efficiently
and that to my knowledge no one has baked you know mid Journey down to Silicon or or GPT 4 down to silicon and when you do the cost to actually inference the model should be nothing and if and if there's some sort of curve where yes the true AI power users are going to pay $200 a month for the really expensive model and Sam recently said
that 01 users are actually Los the money because they prompted so much and I notic this I use1 Pro and I get messages all the time like you have five promps and I'm like a god like I'm probably like dating you yeah yeah yeah I'm probably like one of the people that they're losing money on but for for like the average user who just wants something that's decent and is used why
haven't they made truly the all you can eat buffet if they one one reason would be if they actually made it an infinite one then startups would hack it so that they like basically like leveraging one account to runal software applications and just like piping it back piping back and forth maybe yeah um but yeah I mean if there's people that that basically
whatever their workload is maybe just like you know recipe shopping list just like daily life stuff just oh spell check this thing they're not really trying to do reasoning or Advanced computation or math or code then if they're if they're just happy with gbt 4 you bake that down in silly and then that's just pure profit um and I think that could drive like pretty great
financials for some of these firms but I just haven't seen anyone talk about that or actually build that model but but I'm excited for that because I think that'll I think that'll justify underwriting larger models like much easier because you'll be able to say hey all that Revenue that that that that people are saying like oh yeah because the
inference cost it's actually low margin Revenue all of a sudden people will be like no it's actually 99.999% profit when you break it down in the Silicon yeah which would be the thing that really unlocks like yeah of course invest 500 500 billion because once you once you get the model that's perfect down so many prints it it uh there's so many levels to the game
there's the hardware side there's the model layer energy there's the energy there's there's the time it takes Elon to get from the West Coast the private jet industry Riad right lot of private jet flight but I there should be an account that just tries to track you know I don't you know some of these players don't have their own jet but like Elon is typically flying you can't
track that jet that's bad remember that well there I'm saying there's a there's a whole subculture of tracking Jets and we could probably piece together who's actually making more fundraising traction with who by figuring out just happened with the Intel thing where Qualcomm and a bunch of the uh and uh uh but I feel like that could Global foundaries
in Mar Lago well the announcement hasn't happened it's probably it's probably elon's imagine if elon's Stargate is we're buying Intel yeah and and and Intel is going to manufactur yeah manufactur gpus in America and they're going to be exclusively sold to xai or something like that yeah and we're raising $51 billion all we got to say to the audience find your Stargate
just find your Stargate yeah I wondering the uh YC request for startups like you know we've seen some some success out there in startup world for people you know assembling you know half a trillion dollars to build AI infrastructure uh we'd love to see do that at y some more of these yeah we'd like to see some more of these it's a growing Trend yeah I'd
like to see that too um so yeah let's close out with Ben Thompson here he says Oracle and SoftBank are there to serve open AI which isn't a business that Microsoft is particularly interested in sure Microsoft will provide inference to open AI for a fee and they like having exclusive access to the API but Micro but Microsoft is ultimately a product
and services company IP to uh is it the API yeah oh but also also the IP you're correct um if they can get away with running a highly efficient distilled model like deep seek demonstrated this is what I was just mentioning like deep seek distilled the model down so it's higher margin with a lower price to serve then that's fine with Microsoft as long as their customers are happy so
Microsoft is to figure out how to slot the open aai API and the and the models into Excel word Outlook all their products and then it's going to be it's going to be co-pilot on the desktop software everywhere there's a Microsoft product there will be an open AI trained llm running improving that user experience and it will be compressed yeah clippy clippy yeah they should
bring back clippy and make it like great actually it's like the smartest a great um and so they're going to Ste the model down and then just still have their normal margins and so it won't be it won't be upheaval to their financial model because they're such a large corporation they can't just be like hey actually we're in we're in the nuclear
power business now like sorry investors like the entire model is completely different now I don't think I think what Ben Thompson is saying is that like Microsoft just isn't ready to completely pivot their model they want their investors to know okay this is the profile yes we're benefiting off of AI but at the right like scale and margin so open AI meanwhile Remains Not only
committed to AGI and Beyond beond but is also in a fight to have the best model which underg guards their status as a consumer tech company they need training gpus they need gpus to build products around inference time scaling and most importantly they need investors who are in it for the upside not to serve Enterprise customers who will take years
to adapt this new agreement and new announcement reflects this new reality and the end at least in terms of relevance of one of the most fascinating Partnerships in Tech History they're really going to write books about all this it's it's insane so do you think that think they did this because they were excited about Ashley Vance's New Media Company core
memory and like we need to give him a good first exactly story throw a bone yeah yeah uh because they clearly you rushed it rushed the announcement yeah um it's funny because it's it's a very dangerous time to be trying to launch anything in Tech y because if you were you might just get run over you could get run over by a Stargate you get run over by or just TR saying the wrong
thing think yeah think of yeah or or a video where Baron Trump just gets increasingly larger and larger anything like that uh there was a good uh uh like uh SNL's cold open actually had like a pretty hilarious take on how Trump is able to just completely derail like the mainstream media because they're like we really need to talk about this executive
order but we have some breaking news Donald Trump just said he's going to you know uh melt all of Greenland and turn it into a farm and then so like they just get completely distracted consistently and that's like extremely true like like like no one can stay focused on anything and so I getting the launch right and timing the date correctly is like enormous if you go on
a date I remember when we launched the the trailer for the show I think it was a quiet news day and we ripped and it just destroyed everyone's timeline which is great yeah yeah yeah tough day I do remember I forget who it was some other startup that I I know did a launch when we launched the trailer and I actually felt bad because I mean during the fires
like it was hard for us to break through because I just started posting about politics you just went full I just went on a war P against our whole our whole plan to not talk about politics lasted like two months but to be fair at this point we if you track not based on the number of months but the number of episodes I bet you if you what are we on episode 30
something 36 I bet you episode 36 of Allin is where they start getting political too so you know we're just but it's not political if you're just speaking the facts that's policy yeah exactly we only talk about yeah the TR we talk about policy personalities exactly but never politics never politics definitely uh let's just close out with uh with Ben Thompson's final
line he says one additional point if it's true that soft bank is looking to raise debt for these data centers then that's notable for a few reasons on the positive side it speaks to a great deal of confidence that open aai is really on the verge of a meaningful breakthrough something like AI training AI all the way to AGI that will that will consume
$500 billion worth of data centers on the more negative side funding these data centers with debt as opposed to Microsoft funding data centers with profit is definitely a bubble indicator open AI is right to go for it deep seek is evidence of the danger of standing still but it will be interesting to see who wants to be in the business of
loaning against rapidly depreciating gpus very interesting Venture debt Venture debt the lone sharks always come out on top I guess they do uh did we get through all the posts related to this one yeah we did okay cool let's move on to the timeline oh we got a whole bunch of we got a whole bunch of DMS and reviews uh thank you so much to everyone who's been
leaving reviews if it's your first time hearing this call to action uh we want to remind you to go leave us a fivestar review but specifically leave a promoted Post in your review write an ad for your company your friend's company just a company that you like just put it in the review we'll print it out and we'll read it on the show so it's basically a free
ad slot what is that $110,000 value $50,000 value depending on I mean it's it's a lot of value so go do it uh I'll read through these uh this is a great podcast says Stan Rizzo I love the technology Brothers podcast festar review brought to you by David more protein and fewer calories help you increase muscle and decrease body fat this protein bar does just that 28 grams
of protein only 150 calories in zero sugar this is your protein bar idealized I love that cuz I I've been like Liv offet Peter the CEO sent sent us a few boxes John powered through aing so many of these he's averaging five a day you want to take this one next well we Trey you reading these uh thank you for upgrading my information diet from
Nick de wild he says five stars uh very cool he says if my podcast listening time was a luxury highrise the technology Brothers just swept in took over the top 10 floors and evicted all the dead beats sorry all in and if you're the kind of Captain of industry who listens to the show you know what lands you a luxury Penthouse is a sales team that can close when big deals are
on the line unfortunately most CEOs only find out that they're sellers I just love that like anybody anybody discovering the show discovering the show and like looking at the reviews like show wait like why is all these unfortunately most CEOs only find out that their sellers can't close the hard way cringing through recordings and blown deals and missed opportunities
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using exa.com and then we get cut off but to prepare their uh to prepare their people for high stakes conversations want to see how they do it head over to exact.com and book a demo to experience our AI role plays firsthand thanks to the technology Brothers for the ad read and for upgrading our information diet uh we really haven't set a a word limit
and someone is just going to drop like a 5,000 word pitch for their company and we're going to get Stu I feel like Nick think we're going to cut it off at one screenshot from now on one tighten it up I mean insane domain insane insane domain insane domain I'm ready to start to start running these ads they sold me they sold me and it's funny too because
you have to imagine that exa.com is just generating the training data to replace the sales leaders that are using it so it's like it's just kind of wild well hopefully they'll be duking it out on the 101 uh against all the other AIS SDR soon as they as they they're have to with M Jeremy gon for for TR boardboard space ad quick will'll get you sorted
yeah uh listen for any brother John and Jordy put the brothers in Tech Bros they appreciate the Finer Things in life profits Don Peron and skiing their show is a must listen for any technology brother this ad brought to you by this review brought to you by carrot AI carrot is a whiteboard for researching brainstorming and thinking and it's the best way to visually collaborate with AI
carrot just moved into an open Beta sign up now at carrot ai. apppp I haven't heard of this Carro AI but I mean we do a lot of research brainstorming actually we might want to give try it Ben uh install that and get a get a carrot AI uh um whiteboard going we can we can map out all our all our minations there uh you want to read this one perfect so at
the oh my God uh sir serour says yapping Done Right five stars great podcast but even better vehicles for ads I've already bought David protein bars and bezos's old plane now I want my fellow technology Brothers out there to hire me to make your pitch decks oh this is Gore more than2 billion rais from size Lords like Andre and Horowitz and the Saudi
royals hit me up on a gorical of Deli that's g o r a CLE e of Deli or check the company at op. yeah he's awesome he made a whole pitch deck for us when we launched uh our our our trailer and it looked so much like our yeah I had many people being like you just send it to him yeah yeah many people were like added this leak or whatever and and and so he and that was without we hadn't
talked to him at all so he just spun it up of nowhere and it was super on Matt if you're listening please make a deck for Stargate I want to see that yes I want to see that deck you said that's actually amazing super viral super viral potential but he says he's raised more than two billion so if you make if he makes the deck for Star Stargate and you
know sends it to MSA and he starts shooting it around yeah you can 10x that or 100x that number like like a th X that number and be like $52 billion raised the only thing is that Masa is one of the greatest deck M time yeah he does give Matt Gore a run for his money yeah Matt Gore insane graphics I'm like did you Custom Design This duck laying eggs golden eggs yeah imagine being a
designer at sing and just being like because it it has a very like PowerPoint aesthetic it's it's not a figma project it's not it's not refined or okay so uh five five great to listen while shining shoes I'm a professional shoe Shiner and kugan has been my client for over a decade I love listening to their podcast while shining shoes of celebrities and
billionaires better than an NBA at HBS or gusb for my son's birthday he gifted him a PCH Philip truly an exceptional mench this review is brought to you by Lucy pack a lip and and lock in thank you dude you kind of need a you kind of need a shoe shine there I do need it I've been on the road you been on the road road warrior uh let's see uh
technology Brothers is my enlightenment technology Brothers podcast isn't just another podcast it's my Enlightenment I fall asleep to their voices and by the time I wake up their wisdom has already recalibrated my mindset Prime for greatness before my feet touch my Brooks Brothers loafers custom by the way the writing is so on point it's so good uh the world the
World Turns but my Orbit revolves around their takes technology Brothers is my gospel my alarm clock my North Star Enlightenment okay wait who wrote this because take a while gu oh Baldo you absolute Legend I was literally about to say Baldo we got to we got to hire whoever wrote this but we're already talking with Baldo about about opportunities at the firm so
that's great um let's go to this post but I think so we printed this in black and white and it's Chris saying no Brown in town and he's and he's circling some shoes that I think Sam what's the story here so Sam Alman uh he has incredible taste in cars he's got the regera yep he's got the P11 or the F yeah M F1 McLaren F1 but he had he had uh and I'd say this to his face
he had a he had a horrific fit on uh over I mean it's just not on the level that it's not on the level that it should be it doesn't scream half a trillionaire yeah yeah there's no ex there's no excuses I mean there's I have stylists that we fashion is back in Tech yeah and standing out is and Loud opulence was really back this weekend oh yeah the inauguration yeah you saw
Lauren Lauren Sanchez with some very interesting I wouldn't bucket that in loud opulence I'd put that in something very loud I was disappointed that Bezos didn't match her energy and just rock the tightest tuxedo t-shirt with his biceps just popping out and just been like we're both like just going insane uh instead he was just wearing a normal
sit but I feel like if you're if your fiance comes out dressed like that you you got to be like what am I doing in this normal clothing I got to match the energy yeah come with something crazy speaking of fashion choices we have some breaking news from Paul bomb Trump assigns mandatory pocket protectors for engineers executive order uh I've never
been a pocket protector it's completely before my time I don't even have we should we should take some for a spin just to see what it's yeah do a little throwback episode where we dress up as NASA Engineers that'd be great um you need there needs to be uh almost needs to be watch protector with what's going on in seriously oh yeah do you want to tell that story this is crazy one
somewhat yeah not actually relevant to Paul's post but um yeah yesterday uh somebody uh held my brother-in-law uh with up with a knife in the middle of the Upper East Side and stole his uh PCH Philip and uh like walked up to him asked him for directions yeah the guy was with his wife and children that's crazy while committing this heinous crime that's like the the criminal was
with his his wife not the victim yeah the victim was a that is crazy is alone just be like hold on son I'm going to go steal something yeah wild so super dark he was super shaking up and he's like yeah I'm never wearing I'm never wearing a watch out in public again like unless I'm like getting in a car going to dinner I I yeah I mean it's it's like a
super dark story and it sounds like a because we're talking about like talk about very terms all the time but yeah we talked we talked with a we reached out to a friendly journalist oh yeah and she was basically like I talked to her crime scene this is like such a common story it's it's it's not even story not even news W even read oh and the other
crazy thing the cop said uh the cop so my brother-in-law runs like finds a cop immediately after this happened explains like what happened he had a cut on his hand a cop said sounds like you're not mine to his face and so now he's like trying to figure out how to get footage I really hope there's like a pirate wies article or something deep dive on like
what's going on with the police because it feels like like is is this like the cops are bad or underfunded or they've been like hated on for years did you tell me the story of somebody who's who's baggage was stolen from so I think that cops in some way have been so demoralized because the people that get caught for crimes are not prosecuted
that there's almost like this Nationwide sense of I'm not going to go through the hassle of doing this that they're going to be back on the street and and then also and then also just like like for like the whole defund the police movement was like actually it's more noble to not do your job if you're a police officer like that was the message like the world was sending to police
officers uh it was like you're not wanted and that's really rough whereas uh you know like the the the whole point with like you read like a children story about like the police I'm sure you see the your son like uh it's like the police firefighters like these are like Heroes you know in the in the kids story like Paw Patrol like the the the the
main dog is a police officer and it's like a good thing it's not like some bad thing but like that that was just lost from our culture for like a few years and I hope I hope there's like a a recalibration and then there's probably some something going on politically with funding and then there's probably something else going on with like training and like the judicial system
and all these other things there's probably a million problems that are going on that need to be addressed but speaking of some good news on um watches did we already talk about this in the show I think we might have but uh congrats again to Tyler for getting a SEO uh we love it he's locked in he got a s yeah and to be clear uh this week is
a little chaotic for us we were in New York from Monday morning to yesterday afternoon we're back in Santa Barbara there's now a new fire that's that's sent a ridiculous amount of smoke over here uh so we'll see where we are tomorrow do do you want to do this one Bas Baron referenc B Baron earlier but I think you were talking about the real Baron so to be clear Bas base Baron it
was only it was like less than a month ago that I said investing in Bas Baron at sub 250 followers is like buying Bitcoin in the 90s and he's now at like almost three uh and so this guy Lewis goes Rune got acquired by open AI Beth got acquired by The Blob I don't what is that what's the blob I don't know I yeah got acquired by X yeah Ain an honest man left standing and Beyond BL
BL blah and it gets um and then and then Bas Baron quote tweets this and he says Bas Baron got acquired by Tech Bros pod and Balo goes Outsourcing political commentary since the Pod avoids it smart because B Baron loves to rip a political post you know great great poster bright future bright future uh let's go to Adie says quot tring creux who I saw this
weekend great guy uh he says uh okay just to be clear most of the EOS were written partially with chat gbt and a lot of them were written with copy pasting between them and then real says uh run says real and creu says yes and Adie says daddy how did the AI take over did they send big scary sylon robots no my child like they like we just use
chachy PT by default to like write all of our laws which is kind of funny but it makes like you need to write all these like papers like of course a giving some pretty big uh you know a lot of ammo to the high school kids that are writing every single essay if you say well the president's using it to write his executive orders why can't I you know yeah write use it to write about
the founding fathers yeah how that you know this is even less significant yeah I mean it's it's still just like the the instantiation of the ideas and so you know I don't know it's uh it seems fine it doesn't seem like that big of a deal I I'd be surprised if there's anything i' I'd be surprised if we if we wind up learning that that the the executive
orders being written with chat with the help of chat GPT wind up causing like an unattended effect right where it's like oh they didn't proofread it it hallucinated and now it's illegal to drink that yeah yeah exactly carried out the I think that's probably unlikely got to sign off um uh there was a followup on uh on the Curtis yarvin thing that we talked about dwar cash Patel chimes in
and he says uh Curtis Arvin is mistaken when he says that Apple can produce iPhones because it's a monarchy there are millions of firms monarchies in the world that can't produce anything nearly as impressive as iPhones from the laundromat down the street to Boeing apple is the result of a decades long evolutionary process facilitated by the
market which uplifts the very best culture Talent processes and ideas in the entire world and the moment Apple slips it'll get replaced the average lifespan of a Fortune 500 company is 15 years and I think Curtis would actually be like awesome like I love the idea of like millions of little like micro techno Monarch or whatever yeah but uh this is still an interesting take he
says governments won't just uh don't just don't work this way Sean ping isn't competing against a million counterfactual Chinese leaders who didn't do zero covid avoided deflation didn't kill the tech industry and we're awake to AGI he can he can up as much as he wants if a monarch happens to be competent like leuan U it is merely by chance not due to some intrinsic
select ction mechanism of monarchy that we can't that we can replicate you are just as likely to get brutal dictators like Mao and Stalin by chance this is not a reasonable gamble to take uh with the lives of hundreds of millions of citizens apple is indeed a wonderfully comp competent organization if we want more of the world to be run competently
we should delegate more functions to the market cool which is constantly and ruthlessly sizing down incompetence to be clear a ton of incompetent businesses exist but they lose access to Capital talent and power rapidly which is reallocated to those who can deliver they don't drag down the fortunes of entire countries and kill millions of
people which has happened again and again in authoritarian systems so I think it's a good it's a good point there was actually a rebuttal to this which I don't know if we printed but um there was there was a rebuttal that that that said that um this that that there is a difference between the mauo and Stalin outcome and the leanu outcome and it's and it's whether or not the
dictator has uh control over not just the capital flows but the actual Capital stock and so the idea is that if if if the yarvin night Monarch owns you know 60% of the wealth then there is economic alignment between them and their people and it will be like a better outcome I didn't really dig into it too much but but but it did it did take me down I'm
like I'm like only tangentially interested in this battle that I think it is interesting that I don't I don't feel qualified to um but it did take me down a very interesting rabbit hole which was uh I was like okay so this guy's arguing that if if the Monarch if the authoritarian leader leanu ma own a lot of the wealth in the country you will get a good outcome and so
immediately that Demands a fact check like how much money did Lean you have and I tried to look it up and it's completely unknown I I I found I found like wildly different different stats somebody was running the numbers and being like well he made a million dollars a year so if he saved it all and invested he'd like 60 million but total
wealth in the country was in like the tens of billions and then another another quote was like no like he changed some law so that you couldn't see his wealth and he actually died with like five billion and it was actually like 10% so like maybe it's true but it was one of these things where um maybe maybe a listener knows more here or something and can write in but uh it was
just one of these I see this a lot with when we dig into like Asian companies and and and like Chinese companies we're thinking about uh doing a whole deep jve on DJI and it's very hard because there aren't a there aren't that many accounts you don't know where you can trust you don't know what you can trust and it also stuff doesn't get translated that
often doesn't make it out past the r far wall that often and so uh it's just a great mystery so if you have an idea of what leanu is actually worth that's more of an interesting story to me than you know this this yarvin debate um I more just want to know more about uh Le oneu because clearly something happened great in Singapore because it turned into a
great country from basically nothing and whatever the whatever the seeds of success were those are worth studying I thought that was interesting um we we already talked about this breaking news oh let's go to Ross olrick so free Ross announced that Ross was just granted a full and unconditional pardon by real Donald Trump words can express how grateful we are I guess this account has
been advocating for the pardon of uh Ross who was the dread pirate Robert who ran the Silk Road in what was that 20 8 2013 I think he went to jail uh but it was like that era only really running the Silk Road for a few years few years and so Luke Metro says all crime is now legal assuming you do it with crypto some truth to that but I me positioning
of being like okay if somebody was operating effectively a door dash for drugs using using Fiat rails they would have been slammed for so many things in so many ways but Ross having these more arms l y you know creating a platform to facilitate these transactions but being able to say like well it's just a forum uh I don't understand I I think
there was just a lot going on behind the scenes here libertarian movement libertarian movement support for Trump y uh that that led to this yeah this is to Ross's family by one person is like this is an olive branch to the Libertarians yeah so you do this and then there's going to be a lot of tariffs and non- libertarian stuff that goes on but they got their guy yeah yeah and and
Libertarians would argue that people are going to buy drugs all the time and if you create a Marketplace for it where sellers want to have trusted reputations that will sell better drugs and people will have less overdoses or things like that but then there was also like murder For Hire on the Silk Road I'm sure you know and and so I don't I I didn't
understand this but but purely from a marketing standpoint the Ross family led a phenomenal marketing campaign to reposition this guy as somebody who wasn't the largest drug like a drug trafficker yeah digital drug the other thing that was really big was like uh you could you could buy Hitmen on the Silk Road that's what I'm saying crazy yeah so so so it's
not and even by libertarian standards like the non-aggression principles is kind of violated there it's a little bit tricky but yeah it's it's almost like and so going back to Luke's point it's it's Trump has set a precedent around okay he launched like what's effectively like you know it's not a security meme coins aren't Securities but you know he
launched it here in America it's unclear I do hope that we get to hear Ross you know plead his case on r or something podcast Circle uh people were posting yesterday uh like wow poor Ross he's been sentenced to 40 years doing the libertarian podcast tour uh well let's move on from uh you know a a drug platform to you know instead of buying drugs you should buy
something Much More Much More Much More of a drug which is a fine watch let's do a promoted post let's do a promoted post um one of the greatest drugs in the world consumption this is yeah there's nothing that hits quite like it uh so this is an amazing account first of all it is atbot 31 6769 34 sharing a bunch of Japanese and and Mandarin which I
actually you know we don't have the translation here but I can translate this for you this is a picture of Brad Pit wearing a 222 Vashon Constantine uh and this watch which they just reintroduced yes uh and and we're calling it now we've been calling this in the group chats for months Vashon is about to go on a generational run yes uh you've got pek which is just launching
slop remixes of the Nautilus you've got uh you know uh P which is going more of the Louis Vuitton hype beasty route and all those DJ Partnerships whatever Vashon coming in third member of the Holy Trinity dropping um you know this this I I we each need this watch we should Chris Q4 Christmas gifts for each other so it zeros out exact engrave the
back and uh anyways so how you great campaign and a great watch and you can get um these are I think going out through the boutiques now but if you want to get a vintage vasher on uh 222 you can go to get bezel.set Chad buyers he says genz AI Founders are insanely cracked 10x more business savvy than young people a decade go and this is this is an interesting uh dividend I
think from like the Wi-Fi money crowd and just all the chaos of Co and being inside and and watching meme stocks happen watching crypto happen and having so many opportunities like I I I think you know in our generation there were you know teenage young teenagers who made money online but it was and Jeremy gon has that has that saying about high
school transcript in a stripe account and I'm investing stripe account showing that you made money when you were in high school but usually it was like oh yeah somebody was like got a t-shirt business going or I know someone who had a stock photo site that did pretty Millions ofar there's so many so many way to just make uh like 10 grand 100 Grand but now think about this think
about in high school like let's say like Middle School specifically 200 bucks in middle school was like I would get my dad would pay me like $3 a lawn something like that like 200 bucks is like literally like oh yeah was doing like mowing a lawn for like two years in a row or whatever and now you can just go and when Nike drops a sneaker go lever up get 200 bucks from
your parents buy the sneaker and immediately you can resell it on stockx for double and then you just made 200 bucks like I know I know a kid that did exactly that and then he started writing a bot that did it and then he sold that bot and it's like it's great uh and and those types of I think there's basically the opportunity for really young people
to make M make make more money it's just bigger than ever and what that means in terms of business savvy is specifically like you get to a certain point you're going to have to learn about taxes lawyers like these things are going to come in and that's going to teach you more about business yeah let's do another promoted post and then we'll go to this uh Andrea
post do you have the promoted post there I've got a promoted Post Yeah so um do it so two brothers on the show Chris amadon uh and will who doesn't put his last name in his handle so I never remember what it is uh but they are building a let me let me scroll up here um so I just get it right a young boy U auv defense te company is how well described it which sounds exciting to me
but they're basically building uh uh autonomous uh like boats drones uh and so they're hiring an electrical engineer and a mechanical engineer uh so these are like founding Team level roles Yeah so basically this is an opportunity if you're an electrical engineer or mechanical engineer to go join a founding team uh that is building uh some like imagine like the the um
imagine like the lifestyle of like building like RC boats yeah but they have like guns on them and like they can blow up and stuff like that um so anyways you can go to uh they have a they have a something listed on on Ashby Amon heavy Industries on ashy there's seven open roles they are funded they're hiring some interns as well so go check
them out support the brothers and uh these guys are Avid listeners of the show former reply guys of the week so even if you're not the mechanical engineer the electrical engineer that that would join uh their company tell tell a friend Brothers supporting brother that's brother Behavior back to you John let's go to Andrea did you follow this story at all she says meta
isn't making anyone follow VP or podus accounts Instagram if you were following it it just transitioned like it's done on Twitter it's crazy that people can't even deduce that because we've stopped thinking and just react so basically yesterday uh or during inauguration as soon as I think Trump's hand got off the Bible the people at meta Chang the
account over just like they changed the White House website over and so all of a sudden if you were following the the atvp account it was KL Harris content and her profile picture and then boom it's JD Vance's name his his pictures and his profile picture and same thing for pus and so a bunch of people who loved comma were like why am I following JD Vance now and they then they got
confused they got confused but what's so so it became this whole meme about like Zuck is pro Trump so he made everyone he made my Instagram account follow Trump but you're not following the Trump account you're F pus but it gets more complicated so because the changeover from Trump advance from Biden and kamla was so contentious like when you think about
most VPS it's like who really was like up in arms like oh yeah I'm a really like Mike Pence guy so I'm like super upset about kala like like the the previous changeovers have not been as big and the accounts were probably way smaller because Instagram's just bigger and so what what happened at meta was millions and millions of people saw this
and were like oh I I'm following the wrong person I'm going to unfollow and was the unfollow demand was so high that the unfollow requests weren't going through on the server side so then it looked like I unfollowed it and then I was like cool I unfollowed it because it updated on the front end it didn't update on the back end and then you're still following it and does look like
but it's so if you were following Joe Biden because you love Joe Biden and then you start getting served Trump a terrible system it makes no sense they just shouldn't have at POTUS or atvp it should just be Trump or Biden right yeah yeah something like that um but they actually do some sort of archive where if you're following atvp when it's comma you will get you will get automatically
follow you do automatically follow atvp number 47 or 46 and then it's an archive of com's content or something like that but it's all this like weird technical infrastructure and I think that there was also a bug going on because a lot of people click the unfollow button and then it ref followed them and then they felt like it was being being the team at
any social media platform that's in charge of switching over presidential handles sounds like a terrible yeah yeah yeah job the war rooms oh let's do another promoted post uh caught me caught me lacking well well here I'll do a bucket talk about do a bucket pull pull up um I got one uh I got a couple here uh this is funny from the technology brother clearly inspired
by us just kidding I think they had that uh that handle going earlier uh he says George poros and he shows the the net worth of Elon Musk is 415 billion and the net worth of George Soros is 7 billion I what has been going on with George Soros in his business career I feel like he's been hovering around a couple billion like my entire life I
think he's got way more and he just oh yeah okay just doesn't show whereas whereas elon's wealth it's like getting marked to Market constantly so it's hard to tell interesting also I mean like the the political donation stuff it's always shocking me how I mean SBF actually like brought this up which was that uh um like everyone was praising Elon In from
from the Republican party for donating a quarter of a billion dollars and they were like it's the biggest most insane donation like it did it for us and it is a lot of money but it's like less than 1% of his wealth it's less than 0.1% of his wealth it's like very very small and so I think uh especially Soros has been I think focused on like local courts and
local stuff and and and some of those it's like it's like a $10,000 check will change the course of election locally or something yeah it's crazy I I uh I shouldn't talk about I shouldn't talk about politics politics if I get go on a rampage but I do have a promoted post uh very exciting news uh if you were following our account Yep this morning you would have seen us request a new
feature from ramp we want we've got so much cash coming in that we wanted a place to actually earn some type of just sitting here it's not earning y earning anything at all other than adding to the general Ambiance of the show and just being close to cash is like you there's some energy transfer it's nice uh but we requested a feature this morning at like
6m something like that ramp actually shipped it really couple hours later uh and that feature was treasury fantastic and Eric uh their wonderful CEO and friend of ours says if you're reading this your business is probably earning 0.007% on operating cash ramp is now offering 2 and a half% that's 35 times the national average and much more on investment accounts and you can switch
in a minute yeah so they're offering this functionality where you can have uh historically treasury products um you know would offer a high rate have low liquidity so could take um and it was sort of designed intentionally in a way where they were like well we want you to keep your money in this operating account that's earning nothing yep but
like yeah we have a highin product and then they make it inconvenient enough to move between the two so Ram's coming in with a with a high yield High liquidity uh or you know quick liquidity product um and R uh I I love this copy he goes legally we can't call it free money but you can so uh go check it out um get some free money and uh go get some free
money so if you're on ramp or you're I don't actually think we can I don't think we canist it's not we we also can't call it free money but you can um so yeah if your company's on ramp or or your or or you have a ramp card in your organization tell them check this feature out because it's fantastic uh big B week for ramp generally did you see all the promotions will Petri is now
the CFO yeah we're not really set up to do yeah we we got to do a whole personel news should do a Personnel news where we're on the beach like some type of like all weather gear like yelling at the mic yeah super bendy right now you can be like breaking newss yeah uh but yeah I mean fantastic team over there and uh great to see the promotions go
out uh let's go to low yield Lucy I I love this post this is so good flirt with a guy at the bar ask for his phone to put your number in open coinbase place a large limit order for a illiquid meme coin you're holding now you have volume to sell into I just I just shared that I thought that stealing so much money I mean that that that genuinely would work with with
with a lot of SF guys so many SF guys New York guys Miami guys definitely Miami because the girl comes up to you and says they have like the next hot meme coin that's not what you saying she's saying make the guy think that you're putting your phone number in and instead buy the M coin yeah that that this is I also think it would work to just be like you have to buy this like I
oh because they're going to want to the guys are going to want to flex and be like oh yeah I just threw 25k and exactly and then you go to the bathroom and you sell immediately buy me a drink no buy drink coin it's the lowest volume coin on pump. fun right now yeah ridiculous um that's great let's see if there's another good book bucket pull in
here uh this a good one from Max bow is sending factorio to your competitors Engineers a cost-effective means of sabotage uh and it's a screenshot of you've received a gift copy of the game factorio on stream so I don't know if you've played factorio I I never have I've seen a little clips of it it's like I mean there's like a whole like Age of Empires then there civilization
Starcraft which is StarCraft you know I think a game lasts like an hour uh factorio I think it's like days and days and days building this like insane complicated Factory and highly addictive and highly loved by Engineers it became a big meme like a while back but uh I I I can't get into that stuff anymore it's it's too too too much um uh we already
did this one let's see what else we got here uh um okay oh this is an interesting one here uh do you know anything about Quest Nutrition so Tom Bilu posts we turn $10,000 into a billion dollar in 5 years here's what I learned from my journey to a billion doll exit and Max is questioning this by quote tweeting it and says no idea what the non-armed
length transaction was in the early days of quest but no cpg no cpg company was started with $10,000 so he's kind of like so not true though yeah just like there's to start a company with 10K there's so many counter examples and ways and and I mean even at so we we we had uh we had different you can start a company with 10K and then immediately raise more exactly yeah yeah
you could just do a pitch I don't like positioning it as like it's impossible to start a company with 10K if you only have 10 grand to invest in a company you know pmf for die is going to be 25k that's probably 10K by inflation yeah based on when when he started that company so I don't know I I I I get the I get the point that like when people do
those threads of like I turn 10K into a billion probably there's a little bit of fuzzing and and exaggeration on either side um but uh I think it's dire you've never needed less money to start 100% 100% like you can use AI generate product images offer it as a pre-order if you sell it use your money to manufacture go viral on Tik Tok or get
one corporate deal or even like beverage which is the most Capital intensive thing if you're smart and you find the right co-packer manufacturer you could get them to for 10 grand to manufacture like a pilot run for sure or amazing financing terms and you can do some sort of crowdfunding campaign where you pre-sell the product and then you're getting that cash up front because
you're charging it on stripe so that reconciles in like three days and then you don't have to pay your manufacturer for net 90 if they're cool like it's all just the art of the deal baby the art of the deal always has um this is uh let's go to a rune one he says uh they're worried about ethnic nepotism when they should be worried about boys group chat
nepotism this is extremely real definitely I mean also I bet Ru is in like a million group chats so he's like yeah people are adding him in just just of sure and then just being like hey uh can I get a repost please yeah yeah yeah that's the real group chat nepotism liation on the timeline when you see something go out and it's like 25 people
retweeted this in first three minutes what's going on here yeah that's the group chat nepotism going on yeah the real Alpha what you got for me on the promoted side Jordy I got a promoted post from none other than Cohiba cigars fantastic shade Above the Rest Cohiba Connecticut story is one of breaking expectations where most people think of Connecticut cigars as smooth but simple
we've gone above and beyond to craft a cigar that breaks the mold so anyways uh great looking picture here fantastic um go grab uh if you're cele in something um go grab a Cohiba don't inhale just couple don't inhale and don't do it often but it's a great it's a great excuse to get together with the the men of your family I have I have this family
tradition have a beautiful moment I have this family tradition of anytime any man in the family has a birthday or Christmas or Thanksgiving all the men in the family smoke cigars getting up there but but it's a great it's a great excuse to just like get all the guys together and just hang out and talk sometimes people don't even smoke them but it's fine it's just like it's an excuse to
just go and do something with like all the guys and the family it's just yeah it's it's great um but yeah I'm I'm a big uh believer in like the barbell strategy when it comes to nicotine consumption it's like the the cleanest tobacco free products most of the time then every once in a while once a quarter the pure tobacco the one that you don't want to be doing daily yeah um
but it's good um should we go to another post yeah let's talk about Davos let's talk about Davos I think we turned it down this year many but I think that I think that next year we could make Davos cool again I think that we have what it takes it's too iconic yeah it's too charged it's a great opportunity yeah so let's go to Wasteland Capital he says
Davos is absolutely dead this year no one gives an F I'm not swearing anymore we got some feedback from a very important listener that uh us that this needs to be family friendly you need to be able to listen to technology Brothers with your kids in the car this is a pronatalism podcast and so the kids must be able to listen to the hot takes
supposedly imagine like imagine if you listen to 10 hours a week of of this show with your kids you know in the car in the kitchen you know around the house they will be trained on some of the hottest takes in Tech from such a young age yes that they will be earning potentially more money than you just from X payouts by the time they're 10 years old you know give them an iPad
there's only one app on it connect a stripee account to their ex and they will be you know putting bread but they shouldn't need to develop a potty mouth for that yeah exactly exactly um supposedly luxury call girl I immediately go into something with s rder but it's not a bad word and it's a real thing and I think you know we we got to talk about it here uh so
supposedly luxury call girl business promoting cigars promoting cigars cursing Cohiba cigars talking about call call girls but we promise we will never swear he cigars those are ageg gated you going to be 21 plus to buy tobacco products in America anyone can start swearing but not if you listen to the show Yeah clean it up out there saring
timeline swearing is out it's dead we killed it rip the last episode was the date that it died um supposedly the electroid cargo business is down uh 60% on last year Vibes similar to the last meeting of the Soviets in 1999 in 1991 German Chancellor Olaf Schultz addresses an half empty Congress Hall at the world economic 2 World economic Forum 25 in
Davos my colleague even managed to secure a seat in the front row kind of threw his colleague under the bus then his colleague wasn't already going to be in the you know front row he should that or or my colleague in my colleague was placing the dumb enough to go to Doos what yeah uh what that's that's I think we got to take it over I think we got to go and just barn burner
speech yeah we have actually a m we're speaking on the main stage of a major technology conference I mean Davos is the next one and then Sun Valley like we got to Manifest this so uh if you're dad runs Davos tell them to hire us or if you're uh you know who's the guy behind it is it uh Olaf Schultz if you're listening give us a call yeah we need to
do a hostile takeover of the world economic Forum yeah uh let's go to Flo crello Creo I don't know how to pronounce that altimore says I wouldn't be surprised if law firms had started seeing the impact of AI on their bottom lines especially those serving startups I probably send 40% of the tasks I used to send to our lawyers to Claud now and I and only escalate the most important
matters I have no idea we should talk to a lawyer and see if this is true I think part of it is like law firms are cyclical but there's such a ridiculous number of new company formation right now sure and and massive investment yep that they're probably not seeing it yet right yep because a lot of these law firms too have these big staffing issues where yeah in
2023 they were like letting go you know cutting 10% 10% uh they had way too many people yep and then this last year presumably like they've had the opposite problem of being underst staffed so also I I I don't know that there's that many big law firms that cater to Startup specifically it's usually like they have a huge corporate practice and then they
have their startup arm on the side like their division and sometimes it can be very illustrious and very cool um and it can be a profit Center if they're taking equity and warrants and stuff but in general uh it seems like I I I don't think any of them are fully pegged to to start yeah and the interesting thing is is this I'm sure this will like I'm waiting
for some like I haven't seen a a rapper that is saying we are this we are a consumer product specifically to generate like corporate legal docks I'm sure there's a bunch out there yeah Harvey sells into law firms they sell Val capture profit optimization is probably on the law firm side yeah so you can't think of the the consumer version RvB version but they're I'm sure they're
out there yeah there is a world where the law firm is getting 40% less inbound inquiries but of the 60% that they're still getting those are higher margin now because they're able to leverage AI like yeah and so that that balance where the value of cruise is still and there's there was always the YC's had a bunch of different you they have financing docs
on their website they I'm sure they have other docks and and there's always been this templates available but now it's just it's feels different when you totally Jenner generate it totally I'm I'm I'm itching for another promoted post I see you got some good stuff there let's do we got a promoted close out with this one because it's great uh our
friends at RM soues say for sale 2006 Mercedes Benz SLR McLaren Edition this thing uh the Golden Age of AMG yeah um this thing just looks uh incredible the the just like the entire front of this car is just so yeah iconic uh and it's funny because these cars these cars they they they pop they do fly under the radar yep still uh and so it's kind of a cool car
for like a first date where you don't want your date to know that you're just yeah you know uh a a Deca millionaire and you just want to you want them to be like oh this just a nor guy let let's take the B he just yeah he's super nice guy like drives an old Mercedes but like you know seems to have a good job good head on his shoulders do date Aventador svj though uh if it go first one goes
well bring out the SVD but uh great first date car right here yeah that's fantastic didn't do well I think because isn't it isn't it an automatic I'm pretty sure like the pest the purest so it didn't pop like the care GT I think it came out around the same time and the career GT and and and the F40 both went wild but this one kind of got left behind I mean Mercedes they have
the I mean now the AMG one's going to be a big one but yeah they never never really had the Halo card it will never be it will never be that culturally impactful because they're not enough of them H like I think I think to have like for Mercedes to be relevant in the sports car market totally need do they need they need a 911 yeah and the G and
the uh GT right really that like it it costs I when I was like getting my last car I seriously considered the the GT yeah um I they denied my request for metallic Brown at the factory in Germany I like really wanted metallic brown black wheels red red calipers and they don't do any custom colors interesting even though I had a a buying history with the
the dealership they were just like we not doing colors and I was like okay I'm going to get a turbo yeah interesting um well we have a great post to end on Michael says I'd rather get bucket pulled on the Pod then get into YC and I really want to get into YC well Michael we got some good news for you did you didn't even get bucket ped it's a certified Banger certified Banger
printed on 8 and A2 Canadian himself 8 and 1 half by 11 in paper for you you're officially on the show you're getting the follow back from the official TB account thank you for rating in and a fantastic profile picture from Office Space classic movie good reference anyway uh the only word of advice Michael use your full name use your real
picture build the brand or if you're going to go full and on just make it quiet Canadian up top quiet Canadian below that's just easy ref all in nothing yeah and we we dictate the Aesthetics of X it's it's I don't like the feeling of knowing someone's first name but not their last name i' rather just have one foot in one foot out are you in and non or not yeah pick a side I
go on if I go on LinkedIn right now and like this guy wants to get into YC maybe he's a fit for pmf or die oh I'm going to just search Michael I feel like there's just a few other people up there named Michael uh but but thanks for coming on thanks yeah thanks for coming on the show thanks for watching and please go and leave us five star reviews and don't forget to put a really long ad
reading if you if you put a review for the show and don't include an ad we're going to report it to oh and there's a new for the people that made it this far there's a new challenge for you we're thinking about retooling the reply guy of the week program to be the sales development reply guy of the week award and in order to win the SDR of the week
award uh in your replies we're going to encourage you to sell some ad space yeah so you know whatever you think if you just like the post oh this is good or you have something else to chime in withing Emery fortunately X has no limit on characters now so you can you can say what you want you know we'll laugh we'll like it we might retweet it if it's good
good reply but then tab tab tab enter enter enter boom this reply is brought to you by my company we are the best AI SDR company here go here throw the link in there do whatever you want go wild with it go wild ads everywhere yes ads everywhere so give it a try to we look forward to seeing you on the timeline have a great day have a good evening the end