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TBPN is a live tech talk show hosted by John Coogan and Jordi Hays, streaming weekdays from 11–2 PT on X and YouTube, with full episodes posted to Spotify immediately after airing.
Described by The New York Times as “Silicon Valley’s newest obsession,” TBPN has interviewed Mark Zuckerberg, Sam Altman, Mark Cuban, and Satya Nadella. Diet TBPN delivers the best moments from each episode in under 30 minutes.
It feels so good to be back. You know who else is back? Google with a huge fundraise, an equity fundraise. Un surprising to a lot of people raised equity in years and years and years, but they raised a cheeky 80,000,000,000. The Wall Street Journal has a story.
Speaker 1:Alphabet's mega fundraising show
Speaker 2:Let's be honest, John. The real story company. Is that you got a haircut.
Speaker 1:I did. I didn't just get a haircut. I got them all cut. I got them all cut. Hey.
Speaker 1:We got the team there. There we go. That's a new that's a new angle. I like that. Well, Alphabet, in AI, money talks, says The Wall Street Journal.
Speaker 1:The ability to tap stock market capital is important again after a quarter century of being all but irrelevant. So let's run through it. 80,000,000,000 stock based fundraising should be taken as a rebuke to those salivating over the forthcoming IPOs of SpaceX, OpenAI, Anthropic. The search giant is showing its competitive advantage in an area that increasingly matters for artificial intelligence access to money. Ben Thompson has a great breakdown too of how capital is so important in the age of AI and the war for AI.
Speaker 1:In AI money talks, the biggest companies are paying out hundreds of millions of dollars to lure top researchers and tens of billions to build data centers while financing losses as they build their AI businesses. The money being funneled into AI is probably already making it harder for non AI startups to raise capital with 61% of all venture capital last year going to AI. That Who is trying
Speaker 2:to Yields low? I know. Like, based on based on but but there's a lot of there was a lot of hard tech.
Speaker 1:Well, everything sort of gets wrapped into AI. I was talking to
Speaker 2:that's why it feels low.
Speaker 1:How to have a conversation about AI and it was like, you can talk about sycophancy. You can talk about data centers and water and energy and being an eyesore. And then you can also talk about enterprise sales and SaaS and you can talk about consumer and it it just touches absolutely everything. It's almost it feels like if you're trying to have the AI conversation. Rude.
Speaker 1:Rude about the Jared guy who's been in the years. We love Jared Isaacman.
Speaker 2:I don't think that's secret.
Speaker 3:I don't know.
Speaker 2:Our great space leader Jared
Speaker 3:Yeah.
Speaker 2:Is incredibly handsome.
Speaker 1:People like saying that about getting a haircut. I got my ears lowered. That's another dad joke.
Speaker 3:Got my ears lowered. Anyway, yesterday Okay.
Speaker 1:Alphabet announced a massive 80,000,000,000 equity raise, says Brandon Grahl in the TBPN newsletter. You can go sign up, tbpn.com. The raise will be broken up into a few milestones over the course of this year. Berkshire Hathaway, Greg Abel at the helm, Warren Buffett obviously still at the table.
Speaker 2:There was a viral post yesterday. Yes. Somebody was saying Buffett retires and they immediately invest in Google at all time highs. Yeah. What other company did they invest in at all time highs?
Speaker 1:Was that Apple? Apple. Apple.
Speaker 2:Yeah. Apple. And look what they did.
Speaker 1:I mean, for a long time, for for what? Thirty, forty years, Warren Buffett was known as like not a tech investor. Couldn't wrap his mind around it. Valuation's always too high. Business too too frothy or too high growth, like
Speaker 2:Well, I think he knew vibe coding was coming. For sure. And he thought, how are you gonna how can I value a software company when the cost producing software is obviously going to zero? He was saying that back in 2010.
Speaker 1:Yeah. He wanted to get in on Genmoji a decade early.
Speaker 2:Yeah.
Speaker 1:No. Obviously, like, business was printing. It fit the Warren Buffett mold. I was actually doing this this deep dive on like where would Warren Buffett find value in the AI supply chain. I was trying to dig into, you know, if you apply that framework because there's a lot of froth, there's a lot of excitement, there's a lot of high growth opportunities, but
Speaker 2:Where would Berkshire trade if Warren came out of retirement and just said, I'm coming out of retirement to invest in AI bottlenecks? Not only does Berkshire rerate, I think everything goes way higher.
Speaker 1:I think so.
Speaker 2:John, they want you to crack another Diet Coke.
Speaker 3:Another Diet Coke. Here you go.
Speaker 1:Boom. Satisfying. Another one. When I did this analysis, the the the name that
Speaker 2:popped up was Buffet saw G Stack and knew that the AI revolution was real.
Speaker 1:It is God mode after all. It is
Speaker 2:God In the in the memo.
Speaker 1:Well
Speaker 2:It's like God mode.
Speaker 1:Berkshire's buying 10,000,000,000 worth of shares at a roughly 6% discount from Monday's closing price. Another $30,000,000,000 will consist of underwritten public offerings, and the last 40,000,000,000 will be staggered common stock offerings beginning in q three twenty twenty six. And overall, the dilution is very low. All the shares Alphabet will sell are brand new, meaning the plan is slightly dilutive for existing shareholders. But at their 4,000,000,000,000 market cap, where are they right now?
Speaker 1:They're way, way up. 80,000,000,000 just isn't that much dilution for the shareholders, fortunately. A lot of opinions on the timeline about this deal this morning. Brandon Gorell has seen a number of people theorizing that Alphabet is sucking up liquidity AI demand from investors before they'd be able to buy an anthropic or OpenAI IPO. Richard Rehard Jark gave a few less conspiratorial explanations.
Speaker 2:One Yeah. A lot of people were saying that about SpaceX. SpaceX. Yeah. But the other the more simple answer is you should probably raise capital when it's cheap.
Speaker 1:Yeah. And we've seen liquidity pull sectors of the market and so it has to go somewhere. Certainly makes sense that it would go into the latest and greatest technology. So, Alphabet is seeing demand for Gemini go up and so it's going to invest more in compute and scale. The first question is why did Google issue equity instead of debt?
Speaker 1:So there's some rumors that debt might be coming and the equity is sort of a precursor to that, but Ben Thompson writes, Debt is, all things being equal, the preferred instrument for investment. The proceeds of the latter pay off better than the former and existing equity holders reap all of the benefits. Equity, on the other hand, removes the risk of debt but at the cost of giving up a future share of profits. That leads to why what may be the Occam's razor. Google is going to start issuing a lot more debt as well, which is to say that everyone continues to underestimate the amount of demand there is for compute.
Speaker 1:Of course, that's not far off from a more bearish interpretation. Google is uncertain about the return of investment of all of that CapEx and would prefer to share the risk along with the upside. If there isn't a substantial debt issuance down the road, then this might be the right answer. Yeah, I mean, compute is remarkably expensive. We're looking at even within the COGS or the cost of inference for the labs, we're seeing, you know, dollars per task.
Speaker 1:It's a lot of money, a lot of dollars flowing into these data centers. But when you actually run the numbers on the tasks that they are completing, comp that to other sources to get something done, you're seeing positive ROI. So it's all just a productivity uplift, which is good to see. The Wall Street Journal continues and says, bond investors think the hundreds of billions of dollars of debt being raised by big tech is pushing up the yield and other borrowers have to pay and even and it's even affecting government bond yields. The hyperscalers of Alphabet, Microsoft, Amazon, and Meta have become major bond issuers as they ramp up spending, with Alphabet alone raising 85,000,000,000 in a series of record breaking issues around the world.
Speaker 1:In the past year. They might raise more in debt. But the stock market is the obvious place to raise capital, to spend on the exciting bits of AI where the returns are unknown, technology is rapidly developing and business models are in flux. Unlike debt, companies don't have to repay their shareholders. And if it takes longer to make money from AI or never makes money, the company can simply wait it out if it was financed by stock, though investors would be very unhappy.
Speaker 1:Alphabet is one of a tiny number of companies capable of raising so much cash without tanking its stock thanks to its near monopoly in online search and credibility with Wall Street in new ventures. That's a really good point. For a long time, tech has been sort of cold on Google's side projects, but they're starting to bear so, so much fruit. You look at the progress with Waymo and it's very clear that just one win in Waymo will be a power law that will wash out all of the side chat apps that never went anywhere or little little software projects that and April fools jokes that they launched. And some of them will become really big businesses as well.
Speaker 1:They have other stuff. Calico
Speaker 3:They have the mosquitoes right now?
Speaker 1:The mosquitoes are crazy. That was a weird weird headline. I didn't know I'm excited about I'm
Speaker 2:excited about releasing, you know, billions of genetically modified mosquitoes Yeah. Into the environment to try to kill all the mosquitoes.
Speaker 1:Wait. There are mosquitoes that kill mosquitoes? Don't they do?
Speaker 2:Oh, okay. They they
Speaker 1:They're like infernal or something, basically. I'm
Speaker 2:excited because there's like almost certainly could never possibly be any unexpected Yeah. Downside to disrupting the circle of life.
Speaker 1:Who knows? Who knows? People have been studying this for like twenty years. So I'm I'm optimistic. Would be would be if one
Speaker 2:of those things like yeah. One of those things would be amazing
Speaker 1:Yeah.
Speaker 2:If we can just nuke all the mosquitoes Yeah. Off the map. But I got a feeling they're doing something important.
Speaker 1:Yeah. Should we be selling the bug repellent industry short right now? Should we be going turbo short all mosquito repellent companies? They're probably gonna go out of business if they get rid of all the mosquitoes. Right?
Speaker 1:This is Finance one hundred one right here. Anyway, I can keep reading.
Speaker 2:Don't don't give our little retail truck over there any ideas.
Speaker 1:He's gonna go short. While 80,000,000,000 is huge, it amounts to less than 2% of the market value of a company trading at $4,500,000,000,000. The stock was down just 2.6% in pre market trading. There seems to be an unlimited supply of willing buyers to fund AI. If it turns out there is a limit, Alphabet can only benefit by going first.
Speaker 1:From a societal standpoint, says The Wall Street Journal, the purpose of the stock market is to funnel money from millions of savers into giant projects just as in the nineteenth century railroads. For the past twenty five years, that role has been less important as private capital funds grew large enough to finance companies for much longer before they needed to go public. AI's vast consumption of cash is beyond even the capability of private markets, however. Sure, there are other reasons to list, such as allowing employees to cash out their stock options. 30,000,000,000, you mentioned this earlier today, 30,000,000,000 of Alphabet's stock issuance is earmarked for paying tax on employee stock awards.
Speaker 1:But the ability to tap stock market capital is important again after a quarter century of being all but irrelevant. As we move into a new era of capital heavy industries, the stock market stops being merely a way for private investors to exit, but an attractive source of capital. The bear in me worries that all this equity raising is also about taking advantage of record stock prices and could be a sign that the top is near, says The Wall Street Journal.
Speaker 2:In the journal today, Berkshire Of course. Is convinced the American dream of home ownership will stay alive. Berkshire is convinced the American dream of home ownership will stay alive.
Speaker 1:Let's go.
Speaker 2:Under its new chief Bolton executive Abel. Berkshire Yeah. Raises its bet on a market recovery by adding another housing company to its portfolio. Fantastic. Berkshire Hathaway $6,800,000,000 deal to acquire.
Speaker 2:What are you laughing at?
Speaker 1:I'm just laughing at the fact that like like, you know, they did two $10,000,000,000 deals. And one was buying like an entire home builder and the other was buying like point o 1% of Google. And just the scale of these different things, like, it's an extremely cool deal. We'll get into it. It's very interesting.
Speaker 1:But at the same time, it's like total peanuts compared to, the AI build out.
Speaker 2:Well, yeah.
Speaker 1:It's like What is that?
Speaker 2:Essentially, like, a work harder or work smarter not harder moment. Like, we'll see which one of these ends up generating a better return.
Speaker 1:This seems extremely important. I'm extremely excited. Yeah. But Extremely like important. But one data center or an entire home builder that is their entire business and probably very storied will get into
Speaker 2:Well, we don't know. He might be pivoting it into a data center. Maybe. That would be the ultimate.
Speaker 1:Maybe. Black two by fours, rack them, you know, Metas using tents. Maybe the next data center looks like a house. A lot less controversial. You know, the NIMBY, if you just see a nice craftsman home next to you, you're like, yeah, whatever.
Speaker 1:It looks nice. You know, I don't I don't have a problem with that. You know? Oh, their chimneys smoke
Speaker 2:generators. There's data center among us.
Speaker 1:This might be the solution. Tyler, what you got?
Speaker 3:I I was gonna say, like, these two deals are still small compared to, like, the actual cash that they're holding.
Speaker 1:Yeah. What did they have?
Speaker 3:I I think most recently, it was 397,000,000,000.
Speaker 1:That's so much.
Speaker 3:So even then, it's like, oh, wow. You know, he's so white He's
Speaker 1:turbo long.
Speaker 3:Can say, but, you know, he's still cash Chad right now.
Speaker 1:Oh. Hopefully, inflation doesn't get him. We'll see. Anyway, continue.
Speaker 2:With an all cash agreement Sunday for Taylor Morrison Home Corporation, the Omaha based conglomerate is poised to become a top five US homebuilder Mhmm. Adding to its growing portfolio of housing related companies. Berkshire's homebuilder deal is the sign that a prominent investor thinks the housing slump will eventually pass and it wants to be positioned to take advantage of any market turn. More than 75% of young renters still think they someday will own a home. That is great.
Speaker 2:Glad that I I would have thought it was less than that given given like sentiment online. And so it's great.
Speaker 1:There's been a bunch of there's been a bunch of weird studies where like when you zoom out, you look at gen z home ownership and it's actually pretty high, but that's driven by non coastal cities because people move to San Francisco. Obviously, house prices are through the roof and a lot of people are like, yeah, I I wanna rent and go to some local house party. Like, I I want to be in the mix. And then at some point, people make the decision. So it's more about like family planning, but of course, there's
Speaker 2:Yeah.
Speaker 1:All sorts of, you know, affordability issues.
Speaker 2:This investment is grounded in a long term belief in the strength of America's housing market and its underlying fundamentals, which we see as enduring over time. Mhmm. Berkshire is raising its exposure to a housing market in its fourth year of dismal sales. High mortgage rates, job market uncertainty and the rising cost of living have kept many prospective buyers on the sidelines. Yep.
Speaker 2:Builders have been forced to offer incentives such as paying part of buyers mortgage costs just to unload their inventory. Builder confidence is low. Single family home starts declined 9% in April. The steepest drop since August. A third of builders said they cut their prices last month.
Speaker 2:Moreover, many Americans now think homeownership is beyond their budget. More people are renting for longer or putting their savings into the stock market rather than investing in a home. Analysts say The US housing shortage of more than 4,000,000 homes means new homes need to be built. Yeah. They expect more buyers will return to the market once mortgage rates, which recently hit a nine month high, come down and trigger pent up buyer demand.
Speaker 2:Berkshire has agreed to pay a 24% premium to Taylor Morrison's closing stock price of $58.58.
Speaker 1:That's an incredible bargain.
Speaker 2:Friday. Analysts see the price is a good deal for Berkshire because the actual value of the builder's home portfolio bellies its lagging stock stock price. That is an incredible bargain, says Tony Avila, chief executive of Builder Advisor Group. This is a
Speaker 1:quote by Warren Buffett. This is the first deal for Abel, Greg Abel, the new CEO of Berkshire Hathaway, and Warren Buffett said he had a quote to the journal. He has launched. He has launched.
Speaker 3:I love it. Monday, they then they talk
Speaker 1:about the the Google deal. Taylor Morrison is a safer bet in a precarious home building market. The company tends to focus on the higher end of the market which has performed better. A significant part of its business is built around buyers looking to upgrade to nicer homes rather than entry level who are struggling the most. In addition, the company is part of a smaller segment of builders that have leaned into so called build to rent communities of single family homes constructed for the sole purpose of renting.
Speaker 1:Congress recently threatened build to rent developers with a proposal that would force them to sell their properties within seven years of building them, but house lawmakers removed that proposal in an attempt to rescue the burgeoning sector. The Taylor Morrison deal is the latest example of consolidation in the residential construction industry. Last month, Avalon Bay Communities and Equity Residential agreed to merge in the largest multifamily con combination on record years after sluggish profits. This puts pressure on others to find a dance partner, says Alan Ratner. Interesting.
Speaker 1:Well, we'll continue following up on that.
Speaker 2:Well, let's go to James Walker.
Speaker 1:Okay. What's James Walker up to?
Speaker 2:He's boarding this morning's flight with an emotional support trout.
Speaker 1:Is this AI? Is this real? This is insane.
Speaker 2:Honestly, I don't think AI could nail this era of Instagram filter.
Speaker 1:Bringing a Is the fish alive? This is crazy. Bringing a fish on a plane is hilarious. And that does not feel very humane. It feels like a very uncomfortable situation for a fish.
Speaker 1:But I guess we gotta get somewhere. You gotta go you gotta go in the tube.
Speaker 2:Think about it though, John. Think about the things this fish will have seen Mhmm. That many fish would never see in a lifetime. Yeah. Is it inhumane or is it inhumane not to let the fish Yeah.
Speaker 2:If you got a trout,
Speaker 1:it's like, I think the earth is flat. I've never seen the curvature. You're like, well, you're going into 07:47 and I'm showing you out the window. Is a
Speaker 2:flat This was a good post from Key. Said, this dude is effing Sherlock Holmes. So good. Somebody says, 100% this ad is sponsored by OpenAI from
Speaker 1:The OpenAI from the
Speaker 2:official OpenAI account. It's not even sponsored. It's hosted It's just by OpenAI.
Speaker 1:It's not even marketing. It's just communications. This is a wild this is a wild post. It's so funny. Terrence Tau, AI creates more room to experiment, test unexpected paths, and discover what might otherwise stay out of touch.
Speaker 1:Terence Tau, GOAT mathematician from UCLA. Very fun to see him talking about his process, where he's still seeing value, how he's using models. He talks about this a lot a lot of times. It just allows him to flesh out his work, build a chart that he wouldn't otherwise build, very synergistic, fully in like the centaur centaur era. What else is going on in the timeline?
Speaker 1:Joe Weisenthal has something the price of whey is going bananas. It's protein crisis. This is not good.
Speaker 2:So so
Speaker 1:What's going
Speaker 2:on? Here's what's a little funny.
Speaker 1:Okay. Break it down.
Speaker 2:We know why the price of whey is going bananas.
Speaker 1:Same to you.
Speaker 3:We don't
Speaker 2:need Joe to tell us.
Speaker 1:Oh, yeah.
Speaker 2:It's because Joe is going bananas Yeah. On his weight consumption.
Speaker 1:Oh, you think he's
Speaker 2:responsible He's like, we're all trying to figure out who He did
Speaker 1:has been looking bigger.
Speaker 2:Much bigger.
Speaker 1:His traps specifically, they've been eating his head. Yeah. And he has those Death Star delts Yes. On his on the caps, the
Speaker 2:Yeah.
Speaker 1:On the shoulders. It's really it's really crazy. In the lats, when he does the lats spread on Odd Lots, it's it gets aggressive. It's a little too much. So cool with the way, Joe.
Speaker 1:But here we have some news. In earlier May in early May, a supplier delivered bad news to baking and beverage company HelloAmino. It had run out of whey protein. Canada based HelloAmino uses the ingredient. All of the 30 high protein baking mixes it it sells.
Speaker 1:Founder Ali Swift found another supplier, but it means importing whey protein isolate from The US at a price that's 50% higher and due to increase again soon. The new whey protein delivered other complications. It dried out the company's baking goods due to the manufacturer's different processing methods. I don't know. I don't know what else I consume.
Speaker 1:But this whole trend of, like, protein packed, like, cereals and and, you know, salads and lunches and dinners and protein packed pastas and stuff, I never really
Speaker 3:Yeah.
Speaker 1:There's this just kind of stuck with the normal stuff.
Speaker 2:Yeah. The idea that, you know, if you eat one, you know, two to three
Speaker 1:Mhmm.
Speaker 2:You know, solid meals a day, you have some protein that you also need to be snacking on protein Yeah. In between
Speaker 4:Yeah. Is just insane.
Speaker 2:Yeah. It's completely unnecessary.
Speaker 1:Well, I had another question come up from a friend of the show about, why are companies filing IPOs confidentially? It's an interesting question, and I sort of pull tugged on the thread. Liz Hoffman was talking about this a little bit. So Anthropic confidentially submitted a draft s one registration statement to the SEC June 1. That was yesterday.
Speaker 1:Liz Hoffman said, reminder that the ability to confidentially file an IPO was twenty twelve rule change meant to ease small companies, meaning less than a billion dollars of revenue, into the markets. And it was later expanded to what we're Yeah.
Speaker 2:It was meant to be like a A smoke
Speaker 1:smoke grenade lets you talk to investors before you get out. Do we change the camera? But I I I so she asked the question of, like, what are we even doing here? And I was curious, like, what are we doing here? Like, why why why do all these companies file confidentially and then the s one comes out?
Speaker 1:This is what SpaceX did. It's not like Anthropix unique in this. This is very much standard practice at this point. But how do we get here? And why?
Speaker 1:Is this good? Do I like this? I don't know. Let's find out. So, first, the basics.
Speaker 1:Confidential IPO filing. It doesn't mean that you IPO in secret. It means the company submits a draft s one to the SEC for private staff review, SEC employees.
Speaker 2:A grenade.
Speaker 1:Yeah. Great analogy. Before releasing the prospectus, on EDGAR, which then every hedge fund can download, anyone can download, it becomes public. So this lets companies run the SEC review process while keeping the sensitive financial details private. And there's a few reasons why you might want to do that.
Speaker 1:So any regulatory stumbling blocks can be dealt with in advance. And so the final filing is clean and ready to go. SpaceX did the same thing, filing a draft submission confidentially before the public S1 dropped a week or two ago. After the two thousand and eight financial crisis, this is where this all starts, there's a lot of regulation that results from the fallout. Sarbanes Oxley is the main one.
Speaker 1:And the financial markets slowly built back and started opening up as the economy rebuilt. So post Dodd Frank, post Sarbanes Oxley, you get a lot of regulation. And then over the next few decades, certain pieces get relitigated, renegotiated, and different paths open up to slightly less regulatory burdensome pathways in the financial markets. And so before 2012, the S1 became public early in the process, which was great for journalists who wanted to report on IPOs. It wasn't really that beneficial to very many other people, but it raised the stakes for companies because if anything was off, it could result in a botched IPO, which would be damaging for morale.
Speaker 1:You know, you you you hear that your company filed publicly and immediately something comes up and you can't fix it, so then you have to pull back and it's seen as as seen as Weakness. Damaging. Seen as seen as weakness. No one wants to be running a company that publicly failed to IPO. And so in 2012, the Jobs Act passed and they created a new class of company with some relaxed filing requirements.
Speaker 1:These are called emerging growth companies. It's defined by the SEC. They're called EGCs, and EGCs were defined as any company with less than 1,000,000,000 in revenue. Later, it was inflation adjusted to be 1,235,000,000, but that doesn't really matter, though, because in 2017, staff at the SEC under Trump won, expanded the confidential filing flow to include all issuers, not just EGCs. So anyone, no matter how much your revenue was, you could go through this process.
Speaker 1:And so the drop the Jobs Act was driven by Republicans but broadly supported, and the 2017 change happened under Trump won. But, again, it didn't face strong opposition. So private market investors like IPOs for liquidity. VCs love to come on the show and do a victory lap when they take a company public, and it's great to return capital to LPs. And then on the other side, public market investors like access to more names, so it's sort of win win.
Speaker 1:In 2017, this was a huge year for huge, large growth stage companies. These Decacorns, you had Uber, Airbnb, DoorDash, Palantir. They were all well past the billion dollar revenue threshold, but there was still a lot of uncertainty about how the market would value these companies because they had sort of new business models. There were questions about different margin profiles, how the market would price these. There weren't direct comps to Uber and Airbnb already in the market.
Speaker 1:Are you going to just trade Airbnb like it's a hotel chain? Not really. It's asset light. So the market needs to digest that and confidentially filing was beneficial. And it was encouraging to these companies to say, yeah, we'll go try the IPO thing because it's less burdensome.
Speaker 1:So But
Speaker 2:Stripe should file confidentially for IPO, but then never actually go
Speaker 1:that's a Collison brother nightmare. I think they wake up in cold sweats. I took the company public. What happened?
Speaker 2:No. I know. But it it would be kind of funny to, like, confidentially file
Speaker 1:Yeah. But then Just pull it back.
Speaker 2:Let it just let it just kinda sit there for Troll for another
Speaker 1:Troll IPO. So the confidential filing rules were expanded again in 2025 under Trump two SEC staff to include other financial offerings. So new issuance of stock, other classes of securities, these things can be reviewed before going out in the market. This allows companies to test the waters on follow on financings, spinoffs, other capital markets transactions. You can go and test the waters.
Speaker 1:So there's no question that companies are staying private longer. Everyone knows this. Private markets are incredibly deep, driven both by mega fund raises from the large venture capital firms, crossover investors from hedge funds coming into the market, and then also plenty of activity from the hyperscalers and strategics who can write a $10,000,000,000 check into a private company no problem. So the end result is that the public markets been losing companies to private markets for years. Exchanges don't want this.
Speaker 1:Public markets investors don't want this. And so there's a huge demand to make going public less painful. Confidential filings don't fully obscure investor protections because all the traditional data needs to be released before any money changes hands. But it speeds up the time to market and increases coordination between private companies and their future shareholders in public markets. And so that's why companies are allowed to file confidentially.
Speaker 1:I don't know. After reading that, I don't really have a problem with it. But you let us know. What do you think? Should it be illegal?
Speaker 1:Should it be straight to jail if you if you
Speaker 2:firms for better pricing and access to sophisticated tax saving financial products ahead of the IPO. Interesting. I I imagine the wealth management firms are thrilled about this. One more note. Yeah.
Speaker 2:Friday IPOs Yeah. Alibaba Okay. Uber
Speaker 1:Oh. Big ones.
Speaker 2:And Meta Oh. All on Friday.
Speaker 1:Okay. Very interesting. I think there's gonna be a lot of fanfare. If if the images in the s one were anything to judge, I think that, like, the actual coverage will be a spectacle. We will see Starbase in full force.
Speaker 1:It will be a lot of a lot of great entertainment and a pretty wild day, pretty wild day for the for the for financial history. OpenAI announced that they're breaking ground on Stargate, Michigan, a one gigawatt data center utilizing closed loop cooling, and they're getting out ahead of the water, the water FUD. They say it uses water at the rate of a typical office building creates thousands of units
Speaker 2:Not an office building that I'm in.
Speaker 1:No. I know you're drinking a lot of water. You're not drinking tap water. You're bringing in the glass bottled water potentially.
Speaker 2:Aurora's Aurora water. Aurora's Yeah. You know, getting Yeah. Thousands of gallons a day.
Speaker 1:AI pivot for Aurora? Oh. Filtering the water that goes into the data center.
Speaker 2:Make sure it's clean for the GPU. Only
Speaker 1:I'm sure that there's a water filtering system in these Yeah. In these data centers.
Speaker 2:In other OpenAI news What else is going on? There's now sites in Codex. You can turn work ideas plans into interactive websites Yeah. Or apps. Your team can explore, use, and share.
Speaker 2:This is very cool. This is what you asked for Yes. The first time
Speaker 1:was I made my benchmark. My hello world test. Like, can I go on my phone into into any of these AI apps and have it generate me a link to a website that I can share with a friend? Because I can generate a a big deep dive text thread and I can share that link with someone. They can go in the app and see what I've been texting back and forth.
Speaker 1:That's very useful. You can generate an image and then you can save that to your camera roll, send that around. It's very portable. And when I demoed, Meta AI, the the latest launch, one of the suggested prompts is like, vibe code a video game. It actually does a really, really great job building a little miniature video game.
Speaker 1:And it gives you a link, but the link is like trapped within the Meta AI. I'm like, oh, we're so close. It's such a minor thing to have a to have an actual hosting service there. But I think that that's exciting for virality and something
Speaker 2:market for simulators.
Speaker 1:Yes. Because you'll be able to I mean, the the there are a lot of people who, you know, they as much as they want the Mac mini and the the the MacBook Pro with the lid cranked open at all times, they want to, you know, vibe code something or build something on their phone and then send that to a friend. And and if they build something interactive, they want that to be shareable. And this is, you know, exciting exciting development.
Speaker 2:Speaking of Meta, they had
Speaker 1:What's going on with Meta?
Speaker 2:I think a pretty insane
Speaker 1:Oh, yeah. Is this real? I I saw this and I was like, this cannot possibly be real, but it is I've
Speaker 2:number of people that I know that have one word usernames.
Speaker 1:That got hacked? Yeah. Okay. So basically, this is from four zero four Media. Hackers simply asked Meta AI to give them access to high profile Instagram accounts.
Speaker 1:It worked. I'm sure they're rolling it back. I'm sure they're on top of this. But the exploit shows the extreme risk of offload offloading technical support to AI. I guess the the AI was able to deliver account recovery information to anyone who asked, and it wasn't segmented.
Speaker 1:It didn't do the proper validation. Hackers say that they use Meta AI chatbot, to break into a host high profile Instagram account.
Speaker 2:Here's a video of how it worked.
Speaker 3:Okay.
Speaker 2:Pull it up. Play that video.
Speaker 4:Hackers are stealing high profile Instagram accounts using the easiest possible method. They're just asking Meta's AI chatbot for access to the accounts. Here's how it worked. Basically, they
Speaker 1:started This is juicy in the background.
Speaker 4:Meta's AI chatbot and said, hey, I want access to a specific account. Please send a reset code to the hacker's email
Speaker 2:And long as that's not all.
Speaker 4:Meta's AI chatbot says
Speaker 1:That's not our soundboard. In the last four
Speaker 4:hours, we've seen some really high profile accounts targeted this way. We saw Barack Obama's
Speaker 1:White House
Speaker 4:account get stolen. We saw a Space Force account get stolen.
Speaker 1:They were only targeting high profile Instagram accounts. Did they go after yours, Dory?
Speaker 2:No. I'm not I'm not that lead.
Speaker 1:Oh, they they came they came out of mine crazy.
Speaker 2:They were trying to
Speaker 1:steal my oh, it's insane. I was just getting bombarded. They were like, we gotta get this guy's Instagram account.
Speaker 2:No. They were probably going for your dog's Instagram account.
Speaker 1:Maybe. I think he still has more followers than me. Rest in peace, One of the best to ever do Mike
Speaker 2:Isaac said, get ready to get even more annoyed by your cheapest friends because the Germinator is sharing that Apple readies iOS 27 service that will let users split bills for dinners, events by taking a photo of a receipt and assigning items to friends. This is annoying super intelligence that I won't be using. This will be part of Apple Wallet and Cash Yeah. Taking on Venmo and Splitwise.
Speaker 1:You gotta do the credit card roulette.
Speaker 2:I love that game.
Speaker 1:Or the inverse credit card roulette where one person, you take out one credit card, they don't pay. So, they get the free dinner and everyone else splits the bill. And everyone else pays like 10% more, but someone else got like a free dinner. So, they get a great, you know, exciting.
Speaker 2:And everyone got great company.
Speaker 1:Yeah. But, no. Every dinner should be a a ruthless game theoretic Nash equilibrium. Everyone trying to drink exactly the same amount or buy the most expensive steak to one up each other so that you don't get taken into the cleaners with an even split. You wanna get your money's worth.
Speaker 1:So if you see someone ordering the porterhouse, you say, I'll have two porterhouses. Give me two porterhouses. We're splitting this evenly. Right? Oh, you got three glasses of wine?
Speaker 2:Let's do another round.
Speaker 1:I'll take 10.
Speaker 2:But cripple me up.
Speaker 1:And I am having dessert. I'm having a
Speaker 2:big dessert guy.
Speaker 1:I'm a big dessert guy, actually. I'll be to go.
Speaker 2:That's the best.
Speaker 1:I'll be
Speaker 2:to Order lunch for tomorrow too.
Speaker 1:And I'd like a third porterhouse.
Speaker 2:For lunch.
Speaker 1:For lunch. For Let's split the bill evenly. Don't don't pull out your Apple intelligence on me. Don't do that. I What's the crime?
Speaker 1:Having a porterhouse? Having two porterhouses? Having three porterhouses? Four? You're gonna buy that up with Apple intelligence?
Speaker 2:Oh, you don't Take your receipt? You don't want one of your good friends to hit their macros today?
Speaker 1:What are you trying to
Speaker 2:do here?
Speaker 1:There's a
Speaker 2:whey protein
Speaker 1:going on?
Speaker 2:Why? There's a whey protein shortage and you're saying I shouldn't order my second and third porterhouse. What is going on? When you know if I go to the store right now, whey's gonna be priced to the
Speaker 1:Let me have a porterhouse. Let me have three.
Speaker 2:That's a good place to end it, folks.
Speaker 1:Let me tell you about RAMP one more time. Time is money. Save both. Easy use corporate cards, bill pay, accounting, and
Speaker 2:all that.