ASML just reported earnings and the stock is down 10% on the day
it went from $800 to 743. And we have some of the early
news reports reading into this earnings report, one of them
from fast companies saying that ASML stock price is dropping
today after the semiconductor giant issued a critical warning
about 2026. A critical warning that sounds
really bad. What critical warning did they
issue? We have Barron saying the ASML
stock tumbles after growth warnings and earnings report
tariffs are biting. That's right, according to
Barron's, the tariffs are taking a bite out of ASML.
Then we have Bloomberg saying that ASML falls most since April
after CEO walks back growth forecast.
These articles don't paint a pretty picture about what just
happened to ASML. With the stock being down 10%,
it's reasonable to ask what happened, What were these
critical warnings? What was so bad in this report,
deserving of it to drop this much?
We're going to be going over it in this episode.
Now, of course, we have other news.
The banks reported earnings, like JP Morgan Chase and Goldman
Sachs. President Trump is looking to
maybe fire Jerome Powell, the Fed chair.
Can he even do that? Is he capable of doing that?
And how would the market react? And we have more news on
Amazon's Project Kuyper, their Internet satellite.
They have plans to launch this by the end of this year.
We'll be looking at the details as well.
Now, I start things off by talking about this huge drop in
ASML. The stock is currently down 10%
from where it was just yesterday.
And that is a notable drop for a stock that already seems like
it's at a decent valuation. It's also a very high quality
company. This isn't some meme coin.
ASML is not some small cap, highly speculative company.
This is, after all, one of the companies creating the backbone
of innovation on the front of creating AI chips.
So ASML is a highly profitable, dominant company with a very
wide Moat. It has technological supremacy
over its peers. And yet it's down 10% today.
And these news headlines make it seem like things aren't so good,
like we have something to be concerned about here.
Now, I must start off by saying, even before we go into some of
the details, that I am a proud shareholder of ASML.
I really like the company. I like what they're doing out
there. The the science behind this, the
technology behind it is incredible.
ASML has created something that's so incredibly difficult
to replicate that even huge nations funded by their state
can't figure it out. Nations like China are lagging
behind ASM, LS technology. Now, right now, I do have a
position in ASML that's around $49,700.
Currently I'm in the green by a sliver by only $2000.
So we're barely in the green on this one.
If I look at the one day just today, we're down $5100.00.
So a big red day on the day. And of course that's because of
this drop due to this earnings report.
Now as we look at ASML, when I look at a drop like this after
earnings, I've seen this so many times through so many holdings
that I've held that it doesn't faze me quite as much as as it
used to. You know, when you're first
investing and you see a 10% drop, you think it's a really
big deal. But once you've invested for
five or six years, you followed companies quarter after quarter,
you realize that this is not unusual.
It's really not. If you've been invested in
Netflix for any period of time, you're expecting the stock to
either go up 10% or down 10%. It's going to be one of them and
it's basically a coin flip. You can never really guess
what's going to happen and that's the reason why you're
always told to be a long term investor, to not play quarters
because investing quarter to quarter is highly unpredictable
and will lead you to making bad bets and losing money.
Now, generally speaking, stocks trade based off of two different
things. They trade off of the
fundamentals, the earnings report, having the revenue, the
operating margins, the free cash flow, the KP is the units sold,
so on and so forth. All the things you're seeing are
the fundamentals of the company. But then beyond the
fundamentals, you have another important aspect of every stock,
which is the narrative. The narrative is the prevailing
sentiment on the stock. Whether investors are very hyped
about it, they're excited about it, the future is really bright,
or whether they're looking at it with a bit of concern, a bit of
skepticism, they don't quite believe the bright future of the
stock. That is the narrative and the
combination of those two things, the marriage of those two
things, is the overall story of a stock.
A story is how you believe the narrative and the fundamentals
will play out over long periods of time.
With a company like Netflix or Amazon, I have a a good story
that I've created for these stocks over a long time period.
I think they'll be very prosperous.
I think they'll have great fundamentals and there's a good
narrative behind the companies. So with ASML, there's two
different things that could have gone wrong with this earnings
report. Either the fundamentals were
disappointing and the stock did not perform up to its
expectations. It didn't grow revenue fast
enough. It didn't grow operating margins
high enough. It didn't sell enough machines
either that went wrong or investors have changed their
narrative on the company. And with this reaction, it's
firmly A narrative issue. If we look at the financial
results they just posted for Q2 of this year, just the past
three months, and we check in on how this company's actually
doing, it's very strong. We can look at it highlighted
here by Qualtrim. Summarizing the earnings report,
total net sales was 7.7 billion, the upper end of guidance.
So they hit the high end of their guidance in revenue and by
the way, they beat the revenue expectations boosted by high NA
system revenue and strong upgrades in business.
Net system sales were €5.6 billion driven by 69% logic and
31% memory. Install.
Base management sales exceeded guidance 2.1 billion.
So out of their three revenue segments, which if we look at
FML Heron, Qualtrum, we have these broken down into segments.
They have three major segments, which is the install base.
This is like a subscription type of revenue because it's so
reoccurring. We have logic and we have
memory. Out of these three, two of them
are at the very high end of their guidance and one of them
was within guidance. So overall, they beat on their
revenue and two of the three are doing incredibly well.
This doesn't look bad. There's nothing concerning about
the revenue growth of the company.
And by the way, the revenue growth of a company is a really
big deal. That's one of the major things
we're looking at is how fast the company's growing top line and
overall revenue growth is above 15%.
This company's growing quickly and this last report showed
that. We look at some of the other
financial highlights. Gross margins were 53.7%, again,
above guidance. We're getting a lot of these
things that are at the top end of guidance.
Above guidance. Operating expenses were on
track. R&D of 1.2 billion, you have SG
and A at 299 million. We have net income of 2.3
billion with earnings per share of 5.9.
They beat their earnings per share estimates as well.
They ended the quarter with $7.2 billion in cash.
Now if we look at this information in this recent
report from an ownership perspective, we look at it as
having a vested interest in this business over a longer time
period. That doesn't look bad.
In fact, I would say quite objectively that looked really
good. The report across the board just
seems like business as usual. In fact, business may be doing a
little bit better than usual. Then we look at their capital
return policy. This is the CFO and the CEO
making decisions on where to invest, where to reinvest their
capital and especially how to provide capital back to the
shareholder. We have dividends and buybacks.
They paid a dividend of $1.84 per share in Q2.
The interim dividend in 2025 was $1.60 and we have Q2 share
buybacks that totaled €1.4 billion.
So we have some numbers of the dividends and buybacks they paid
last quarter and we can put that in context with the return of
capital chart. Return of capital means the
amount of capital money that they're returning back to you,
the shareholder. And we illustrate this through
dividends and buybacks. The dividends are in purple, the
buybacks are in that nice tan color.
Now, if I filter this by the past five years, now if we look
at just the buybacks and we want to compare this compared to Q1
of 2025, we have the buybacks here, which is $3.01 billion in
USD. If we look at this just in the
euro was 2.6 billion, so 2.6. They did 1.4 this quarter right
around there. That's where the new chart will
show. So they're still doing buybacks
aggressively more than they did basically all of 2023 and 2024.
And they're doing that because they have a big cash balance.
Now if we bring up their cash pile, they said that they ended
the quarter with €7.2 billion. Now we translate the steros
here, we have 9.1 in Q1, so 9.1 they will have right about here
in Q2. So the cash balance still went
down a step, but it has a lot further to go.
They can do another massive quarter of buybacks, another one
to $2 billion of buying back shares.
That'll bring them back down to around here.
And that's assuming that their cash balance doesn't increase
because of new inflows of money. So as they're chunking away at
their balance sheet, doing aggressive buybacks every
quarter, they're lowering their cash balance.
And they're intentionally doing this over time.
So if the stock drops at all, they can buy the dip like they
are right now. I'm sure that ASML is doing
aggressive buybacks today. Now they'll be able to do this
again until the end of the year, and eventually they'll have
another big year of free cash flow.
When the free cash flow does spike like we've seen in recent
quarters, We saw in Q4 of 2024 that they gained $10.2 billion
in free cash flow. When you have a big quarter like
that, your cash balance also spikes up.
That's why it went up so much in that same quarter.
So as they use this giant stockpile of cash to buy back
shares, the cash balance will continually go down.
Then it will be restocked after the new year, and then they'll
be able to do it all over again. Now, so far, when looking at
these numbers, the fundamentals of the company, looking at the
revenue growth, the operating margins, the systems sold, the
progress they're making overall and their capital allocation,
how they're buying back shares, returning money to the
shareholder through both dividends and share buybacks, I
don't see anything that's too concerning.
Certainly nothing that makes me want to run out and sell the
company. Nothing that I believe so far
warrants a 10% down day, but that's because it's not in the
fundamentals. Remember, this is a narrative
issue where we get to the problems that ASML ran into.
It was specifically from a statement from the CEO.
This was given on the earnings call and I'll go through and
read his direct remarks. The CEO mentions the top line
growth, all the revenue they're gaining, the gross margins being
above guidance. He also mentions some of the
advancements they're making in the technology.
But then we get to the statements that are future
looking. Quote, looking at 2026, we see
that our AI customers fundamentals remain strong.
At the same time, we continue to see increasing uncertainty
driven by macroeconomic and geopolitical developments.
Therefore, while we still prepare for growth in 2026, we
cannot confirm it at this stage. That last sentence there,
especially that last part of the sentence is the reason the stock
is down 10% today. The CEO commented on macro
uncertainties, increasing unpredictability in this market,
saying that even though they're preparing for growth in 2026,
they can't guarantee it, they can't confirm it.
At this stage, the CEO is basically hedging his bet.
He's giving a little bit more room, a little bit of margin of
error, of downside probabilities due to macro uncertainties.
Now, what macro uncertainties exist?
Well, just in the past week, we've had Trump intensify the
trade war with threats of a 30% tariff on the EU where ASML
resides. Now, we don't know how that will
really affect ASML, how long those tariffs will be in place
or even if they're going to be in place at all, how severely it
will be or if it will be amped up or taken down.
And this is precisely why the CEO of ASML is a little bit
uncertain about next year. He's probably looking at the
headline saying that this is an uncertainty, it's a risk factor
for the company. And a CE OS job is to not only
outline a bright future and direction for a company, but
also to warn investors about probabilities, about different
risk factors to the company. And this is certainly one that
he's warning about. Now, if we actually look at the
wording, does the CEO of ASML say there's going to be no
growth in 2026, we're not going to make any gains, There's going
to be no revenue growth or earnings growth?
No, he never says that. In fact, quite the opposite.
He says we're still preparing for growth in 2026.
We're still preparing for it, but because of specific
geopolitical developments and uncertainties, we can't confirm
it at this stage. We don't know for certain.
This is a very soft warning about the potentials that could
happen if there's some ongoing massive trade dispute.
And you have to look at it from the perspective of ASML.
They're not AUS company. They have many clients that
aren't US either, but they're in the mix of selling their devices
to almost everyone. They want a device that every
country wants a piece of, so they're trying to sell to
everyone. And meanwhile, you have
President Trump, who is very brash.
He has very aggressive negotiating tactics. the US is a
gigantic country. It's just massive economically
and just overall a massive country saying that we're going
to put these big tariffs on Europe, we're going to cause all
these restrictions, we're going to go toe to toe with them.
We're going to do all these things.
And that creates a little bit of uncertainty.
We can look further at the earnings report and the actual
commentary by the CEO, the summary from Qualtrum on the
topic of geopolitical and tariff risks.
It says ongoing trade disputes and tariffs create direct and
indirect risks affecting both cost basis and the end market
demand. So basically, even if these
machines themselves aren't hit by the tariffs, if the US
tariffs, everyone else, all those consumers that would be
buying these phones and devices and different machines that use
the chips would also be impacted.
So it's not just the direct impact, the ASML that the CEO is
warning about, They're also warning about any indirect
impact. Tariffs are a tax on trade.
A tax slows down, it adds friction to whatever you're
doing. So if there's less trading going
on, there's less purchasing of devices that need ASML
technology. They're not saying that this is
for sure going to happen. They're saying that this is a
warning. The management of ASML is
working with customers and suppliers to mitigate direct
tariff impacts. They know that while they have
more control over the direct impact of tariffs, they do not
have as much control over the indirect effects.
The GDP, customer confidence are harder to predict.
So we have a bit more of a framework of why investors are
concerned, the geopolitical uncertainties, the downstream
effects this has on GDP, their customer confidence and so on.
Meanwhile, they're also giving outlook and guidance at least
over 2025. They say the full year 2025
revenue is expected to be up 15% from 2024.
That's fast growth. Where I get concerned about
growth is when it's in the realm of around a a sales force where
it's 7 or 8%, I'd hope companies grow a little bit faster, but
15% is, is very fast growth. Sales force is growing fast in
2025. But one thing they mentioned
here is even though they're giving the guidance for 2025,
they've pulled their guidance for 2026, saying 2026 guidance
withheld due to macroeconomic, geopolitical uncertainty and
customer CapEx timing. AI related demand remains
strong, but visibility is reduced due to ongoing tariff
and trade policy risks. So the story that we get from
ASML today is that the fundamentals remain very strong.
In fact, they're getting better, the revenues growing, they're
selling more machines. We have operating margins
ticking up year over year. We have a very profitable
business doing immense amounts of buybacks and dividends.
That side of the story looks really good.
But then we get to the narrative part and we have more
uncertainty, more cautionary. We have concerns about trade
policy, geopolitical events, restrictions.
If President Trump ramps things up and amps up the intensity on
Europe, if they're not able to make a deal, that can have all
sorts of downstream effects on ASM LS business.
So we have strong fundamentals and then we have a narrative
that looks very unpredictable. So overall, the entire story of
ASML looks a little bit more unpredictable today.
Now my prediction going into next year is that ASML will do
better than what investors are expecting.
And even though we don't have official guidance, I believe
that ASML will continue to grow. I think they'll grow both their
top line and their profitability.
They'll grow their earnings and free cash flow per share, in
part by being highly profitable and doing immense amounts of
buybacks. But on top of that, I still
think they're going to grow top line revenue at a brisk pace.
When we look at the concerns that ASML lists out, they're not
unfounded. President Trump is being very
aggressive and he's threatening 30% tariffs on Europe.
But we've seen a bit of this story before.
We've seen this play out before. My initial thoughts on the
tariffs was that President Trump would use it as more of a
negotiating tactic. It's more something to get
someone to the table to put a little pressure on him to try to
close a deal. So while the 30% number or
whatever big tariff number President Trump throws out, that
can seem very high, and of course it is, it's also not the
number that's going to be landed on long term.
It's a bit like when you go into a store and they have a
salesperson that says, hey, this item's normally $50.00, but here
I have it for 25. What a deal you're getting.
You know that the first number is not really how much the thing
normally costs. You start off with a big number
to make the other one seem a lot smaller.
And I believe that's a lot of the negotiating tactics that
President Trump uses. He is brash.
He has a very aggressive negotiating style.
It's not something I would endorse.
I would do it differently if I was the president.
But that's just the case. When I look into what's going to
happen over the next couple of years, I do not believe that the
US is going to hamper growth, especially in AI with enormous
taxes. I think that this will get
resolved a lot lower, allowing companies like ASML to continue
growing. Now, the CEO of ASML is correct
and he's being prudent in looking at these headlines,
looking at the threats being given and showing how it could
impact the company's long term profits.
But the probability of these impacts actually being felt is
really low. For this reason, I believe that
ASML is still good value today. I think the company's going to
grow next year. And although, like the CEO,
there's no guarantees in investing, there never was.
Selling the company, based on this report, I believe is a
mistake. So I'm still holding all my
shares. No.
Next we have the big banks that reported earnings earlier this
week. My prediction was that the
earnings would be good, and they're great.
JP Morgan Chase reported earnings, Goldman Sachs did,
Bank of America did, and all of them reported very strong
earnings. If we look at JP Morgan Chase,
this is the biggest bank in the world.
There's multiple parts to JP Morgan.
It's very diverse. They have consumer and community
banking, they have commercial and investment services, they
have asset and wealth management, they have corporate
and so on and so forth. So it's a a very diversified
company. If we look at all the different
segments of the business, the commentary on each part of it
shows a very positive picture. For instance, if we look at the
consumer and community banking segment, the revenues were up 6%
year over year. We look at the card services,
this is a big part of JP Morgan. They have I believe Visas, they
have so many Visa cards. Card services and auto revenue
rose 15% due to higher evolving balances and lease income with
cards outstanding up 9% following strong new account
acquisition. So the the whole story about
stable coins and credit cards or cards being antiquated.
Visa cards were up 9% for JP Morgan year over year.
In commercial and investment banking, the revenue was up 9%.
They have net income growth. They see revenue across the
board with commercial investment banking services growing.
With asset and wealth management, the revenue was up
10%, driven by strong management fees, net inflows and higher
market levels. This is great stuff.
If you're AJP Morgan, Chase Holder, you're happy reading
through this report. There's no weaknesses here.
So there's no big surprise here. We have Goldman Sachs basically
saying the same thing. Both of these companies are up
big this year, 21% for Goldman Sachs.
We have JP Morgan up 19%, not counting the dividend.
So the big banks are doing incredibly well.
Now, moving on, we get to the breaking news headline that
apparently Trump has indicated he is likely to attempt firing
Jerome Powell soon. This is from administration
officials and this has been posted around.
It wasn't just a rumor. There are many people saying
that this is being floated around as an idea.
Now, of course, Jerome Powell is the Fed chair.
He's the one deciding the monetary policy of what the
federal funds rate is at. Now, Jerome Powell has two
different mandates. One of them is maximum
employment. People that want to find a job
are able to find a job. The other is stable prices.
So the other is dealing with inflation.
The tool that he has, the federal funds rate, has impacts
on both of these. For example, if unemployment's
really high, a way that you can help out with that is by
lowering interest rates. Lowering interest rates heats up
the economy. It's a catalyst for it.
It's a stimulus for the economy. Lowering interest rates makes
capital cheaper. To get a loan from the bank, you
can do it with a cheaper amount of interest.
So the banks are more eager to loan out money.
People are more eager to take money from the banks.
People are more eager to buy new houses because houses now have
lower interest rates. It spurs growth, it spurs
lending, it spurs hiring, and it lowers the unemployment rate.
But then you have the other half of his mandate, which is stable
prices. If you were to heat up the
economy as much as possible, stimulate it as much as
possible, lower interest rates as much as you can, well, that
has another effect. And we saw that in 2021.
You have inflation starting to pick up.
Inflation grows and grows. As there's more demand than
there is supply, prices become less stable, and people don't
like unstable prices. So Drone Pal's trying to balance
both of these things. And over the past number of
years, I think he's done a decent job.
It's not a perfect job. You can certainly cast
criticism, Adam, but I believe the Fed chair is one of the most
difficult jobs you can do. It's also one of the easiest
ones to be an armchair analyst, to look at what you could have
done in certain situations better, but to look at all the
data, everything holistically and make decisions based upon
that. I think overall, he's done a
decent job. Now, President Trump doesn't
agree with that. He thinks that J pal's done a
terrible job. He's called him all sorts of
names, that he's dumb. He's a slow person, you know,
not an intelligent person. So he's he's kind of branding
them as this bad guy that's not great at his job.
He's in fact incompetent at being the Fed chair.
We're also seeing these reports that President Trump indicated
to Republican lawmakers on Tuesday that he is likely to
attempt removing Federal Reserve Chair Jerome Powell from his job
soon, according to senior administration officials.
The official said the president asked lawmakers during a meeting
at the White House how they felt about firing the Fed chair, and
several expressed support for attempting to oust him.
Trump then suggested he could move to fire him in the near
future, the official said. Now, there are a number of
issues with this idea. One of them, in fact, I believe
the primary issue is that the president can't fire Jerome
Powell. Jerome Powell is not an employee
of the president. They are separated.
In fact, they're not even supposed to be combined in any
way. They're supposed to be distinct,
separate entities. The president has no power to
directly fire Jerome Powell. And if we look at Jay Powell's
commentary on this, he seems to know his law and his rights in
the role that he's in. He's asked specifically what he
would do if the president decided to fire him.
Some of the president's elect's advisers have suggested that you
should resign. If he asked you to leave, would
you go? No.
Can you follow up on it? Is it, do you think that legally
he did? You're not required to leave.
No. Do you believe that the
president has the power to fire or demote you?
And has the Fed determine the legality of a president demoting
at will any of the other governors with leadership
positions? Not permitted under the law.
There are his answers, and they're rather definitive.
He didn't leave any Gray space. There's no, you know, maybe I
would consider stepping down. The president wanted me to
leave. I, I would put it under
consideration. No, there is none of that.
He says if the president tries to fire him, it's not going to
happen and you'd continue doing his role.
And when someone asks him about whether or not the president can
fire him, he says it's illegally not permitted under the law.
Jerome Powell intends to work the rest of his tenure.
Now, even though the president doesn't have the direct ability
to fire Jerome Powell, he can wage a campaign against him and
maybe oust him through roundabout ways.
There's different legal opportunities to maybe try to
get him out of that position without technically firing him.
But most of that relies on Jerome Powell doing something
extreme, something disqualifying for his position.
And overall, Jerome Powell hasn't done any of that.
In fact, Jerome Powell represents the broad agreement
of the overall Fed, the thousands of people working
there, all the different Fed members are in overall agreement
with them. Some opinions diverge on when we
should lower interest rates, but he has the backing and the
support of his team. So you can't really fire him
based on the premise that he's way out of turn, that he's
acting or behaving way outside of his role.
None of that applies here. Now, just a very recent update
on this. We have President Trump here in
the White House, and he's asked specifically about this news.
This was just an hour ago. But he's he's, I think he does a
terrible job. He's costing us a lot of money.
And we fight through it. It's it's almost the country's
become so successful that it doesn't have a big impact, but
it does hurt people wanting to get a mortgage.
People want to buy a house. He's a terrible, he's a terrible
fetcher. I was surprised he was
appointed. I was surprised, frankly, that
Biden put him in and extended him, but they did.
So no, we're not planning on doing anything.
We're very concerned. Right there he says it.
We're not planning on doing anything, we're just really
concerned. He seems to have completely
walked back the idea of firing him, at least acting upon it.
And maybe this internal report was just incorrect, but it seems
like they tossed the idea around and realized that they don't
have a legal way of accomplishing what they want to
accomplish. So instead of firing him,
they're going to continue to brand him and paint him out to
be the problem here. You can have your opinion on
Jerome Powell. Maybe you agree with President
Trump, maybe you don't. But this is the politics of the
situation. Now, if President Trump really
tried to fire Jerome Powell, I think that'd be really bad for
the markets. It would not be a good look.
The markets would be better served if Jerome Powell served
the rest of his term until early next year.
Then they replaced him with the person they wanted.
But firing him in advance would be such a bad look for the
markets, it would cause a huge red day.
Now finally we get into some news about Amazon.
This is a company that they have so many different projects
they're working on, it's hard to keep track of it all.
We have project hyper. This is very similar to
Starlink, where Amazon plans to offer satellite Internet service
in late 2025 S by the end of this year, there could be
customers hooked up with their new satellite service.
They'll have the the dishes like the Amazon ones and they can
have it very similar to Starlink.
Amazon is planning on offering three tiers of their broadband
service. There is the ultra compact
satellite antenna the manages speeds of up to 100 megabits per
second. So this is like this is like the
the Starlink roam the mini, right, the ultra compact.
Then you have the standard antenna speeds up to 400
megabits per second. Then you have the large model
what speeds up to 1 Gigabit per second.
That's incredible that you'll have satellite Internet that is
far faster than broadband Internet.
That's the world we're living in now.
Analysts are now saying that they see a compelling
opportunity here, potentially strong long term margins given
the high upfront cost. There's only two companies so
far that have done this. One is SpaceX, the other is
Starlink. The cost of actually making this
happen is so extensive that there's not many companies in
the world that have the financial situation or the
investor base patient enough to make these type of investments.
You have a private company, which is Starlink, which has
very long term investors, private company, but then you
have Amazon, one of the rare public companies that has the
investing discipline and the base to be able to wait out
these long term gains. So a very unique situation for
Amazon here. It gives you access to something
similar to Starlink, although not the same.
They don't have the Rockets they're launching themselves.
They just have the satellite Internet.
Amazon has a lot of synergies that would happen with Project
Kyper. There's a lot of ways that they
could use Project Kyper to advance the rest of their
businesses. You have data transfer for AWS
clients. Project Kyper will be able to
offer clients private connectivity to AWS without
routing data through public Internet so they can link this
tool with every other aspect of their business.
And it highlights Amazon Logistics.
Amazon will be able to better manage its own logistic assets
with its always on connected network.
While mobile networks cover most of the USA, Satellite network
could offer better connectivity on the ground and airborne
assets. Amazon could connect to its
future robots and drones through Project Kyper, so if you have
robots delivering packages and in places where you have spotty
Internet, Amazon could have a solution there with their own
Project Hyper. It's exciting to see the
progress of this Project Hyper and I believe it is going to be
a revenue generating and even a profit generating aspect of the
company very soon. I could see next year that
Amazon also has advantages in marketing and selling this
product. While Starlink has to sell it
indirectly, they have to make marketing campaigns for it and
word of mouth. Amazon can plaster it on their
homepage. You go to Amazon.com to do your
normal shopping and then you have a satellite there with
Project Hyper discounted for members included as part of
Amazon Prime. They'll do what they can to get
you owning one of their devices. So I believe they have a lot of
ways to market this as well. We'll have to continue following
it and see how this ultimately turns out.
That's all for this episode. Hope you enjoyed.
See you in the next one.