1 00:00:00,120 --> 00:00:01,960 Welcome back everyone. Today on the Joseph Carlson 2 00:00:01,960 --> 00:00:04,240 Show, Google's making everyone nervous. 3 00:00:04,240 --> 00:00:06,320 We're seeing this over and over again. 4 00:00:06,320 --> 00:00:10,360 We first saw it with NVIDIA. NVIDIA released this blog post 5 00:00:10,360 --> 00:00:13,080 saying, hey, Google's making great Tpus. 6 00:00:13,080 --> 00:00:16,239 Congrats on the success, but we're still the best. 7 00:00:16,239 --> 00:00:19,600 Remember us NVIDIA? Don't choose Google's Tpus, 8 00:00:19,600 --> 00:00:21,200 Meta. Choose us, NVIDIA. 9 00:00:21,640 --> 00:00:24,160 That was a very defensive move. And then we also have Jensen 10 00:00:24,160 --> 00:00:27,200 going around on, on different interviews, answering the 11 00:00:27,200 --> 00:00:29,440 question over and over again about whether or not he's 12 00:00:29,440 --> 00:00:32,280 concerned about Google. And of course he's saying, I'm 13 00:00:32,280 --> 00:00:34,760 not concerned at all, even though they're doing a great 14 00:00:34,760 --> 00:00:36,560 job. I'm not worried at all. 15 00:00:37,000 --> 00:00:40,320 But then we have Open AI. Google was supposed to be the 16 00:00:40,320 --> 00:00:43,920 company disrupted by Open AI, but it seems like the tables 17 00:00:43,920 --> 00:00:47,280 have turned now. Googles apparently making Open 18 00:00:47,280 --> 00:00:50,560 AI and Sam Altman send out a memo saying that there is a code 19 00:00:50,560 --> 00:00:51,920 red. The Wall Street Journal has 20 00:00:51,920 --> 00:00:54,360 written about this memo, revealing a lot of the details 21 00:00:54,360 --> 00:00:57,680 of what Sam Altman said in it, what he's revealed and the 22 00:00:57,680 --> 00:01:00,320 direction that Sam Altman's now taking open. 23 00:01:00,320 --> 00:01:02,680 AI, which is a big change. We're going to be looking 24 00:01:02,680 --> 00:01:05,120 through this and seeing how investors can identify these 25 00:01:05,120 --> 00:01:08,080 type of companies, the Googles, where people are very nervous 26 00:01:08,080 --> 00:01:10,800 about them, and then it turns out, OK ahead of time. 27 00:01:10,800 --> 00:01:12,520 Now, of course, we have a lot of other news to get to. 28 00:01:12,520 --> 00:01:15,160 We have a opinion piece in the New York Times from a surgeon 29 00:01:15,160 --> 00:01:18,440 that says that Waymo is so incredibly safe that people 30 00:01:18,440 --> 00:01:22,200 don't really understand the medical and the human life 31 00:01:22,200 --> 00:01:25,080 consequences of a Waymo robotaxi. 32 00:01:25,480 --> 00:01:27,760 We also have news that one of my largest positions, which is 33 00:01:27,760 --> 00:01:31,200 Netflix, is down over 5% today on the news that they're bidding 34 00:01:31,200 --> 00:01:34,120 on Warner Brothers Discovery. Very seriously. 35 00:01:34,240 --> 00:01:35,960 Apparently this isn't just a fake bid. 36 00:01:36,240 --> 00:01:38,840 Netflix wants to own Warner Brothers Discovery. 37 00:01:39,120 --> 00:01:41,480 We'll be discussing from a shareholder perspective here. 38 00:01:41,640 --> 00:01:44,320 And we have the fail of the week, which in this case, 39 00:01:44,720 --> 00:01:47,400 unfortunately, I have to highlight Waymo. 40 00:01:47,840 --> 00:01:49,840 So we're going to be talking about Waymo a couple times here. 41 00:01:50,000 --> 00:01:53,600 In this case, a Waymo drives by an intense high stakes scene of 42 00:01:53,600 --> 00:01:56,720 a standoff between someone lying on the ground and a bunch of 43 00:01:56,720 --> 00:01:58,160 officers pointing their gun at them. 44 00:01:58,240 --> 00:02:00,280 So we'll be going over the fail of the week as well. 45 00:02:00,320 --> 00:02:01,800 So we have a ton of things to get to. 46 00:02:01,800 --> 00:02:04,560 This is a very full episode. And just a quick mention, if you 47 00:02:04,560 --> 00:02:08,039 haven't tried out qualtrim.com, the best stock analysis 48 00:02:08,039 --> 00:02:10,759 platform, you're missing out. We've had thousands of new 49 00:02:10,759 --> 00:02:12,520 people join just over the past week. 50 00:02:12,760 --> 00:02:14,920 Most of them love it. And if you try it out, I think 51 00:02:14,920 --> 00:02:16,880 you will too. The reason why is because it's 52 00:02:16,880 --> 00:02:20,240 very cheap and it gives an extremely extensive, robust 53 00:02:20,240 --> 00:02:23,560 platform to analyze stocks. You have stock insights that 54 00:02:23,560 --> 00:02:26,080 shows you all these charts and graphs of what's going on. 55 00:02:26,200 --> 00:02:28,680 It gives you 30 plus years of financial history. 56 00:02:28,680 --> 00:02:30,840 It gives you a briefing of what's going down with the news 57 00:02:30,840 --> 00:02:33,080 on a stock. 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You can get caught up to date. 66 00:02:54,960 --> 00:02:57,400 So if you want to keep up to speed on all your companies, 67 00:02:57,400 --> 00:02:59,000 this is a very easy way to do it. 68 00:02:59,200 --> 00:03:01,760 That's one of the many features that we're just implementing. 69 00:03:01,960 --> 00:03:04,080 If you haven't tried out Qualtrim, you're missing out. 70 00:03:04,280 --> 00:03:07,120 Try it out now at qualtrim.com. Now, we kick things off today 71 00:03:07,120 --> 00:03:09,760 with the news that Google's making everybody nervous, and 72 00:03:09,760 --> 00:03:13,240 this is the Cinderella story. It's the swing and sentiment 73 00:03:13,240 --> 00:03:15,320 that we've seen happen over the past seven months. 74 00:03:15,840 --> 00:03:18,040 And this comes back to one major point of investing. 75 00:03:18,040 --> 00:03:21,040 The biggest thing that investors struggle with, to have superior 76 00:03:21,040 --> 00:03:23,000 returns. It's one of the biggest things 77 00:03:23,000 --> 00:03:25,320 that Warren Buffett and many other great investors talk 78 00:03:25,320 --> 00:03:27,160 about. Buffett has routinely stated 79 00:03:27,160 --> 00:03:30,280 that he believes the most important thing in investing is 80 00:03:30,280 --> 00:03:32,000 your temperament, your discipline. 81 00:03:32,360 --> 00:03:36,920 He said that he does not believe the person with a 160 IQ is a 82 00:03:36,920 --> 00:03:39,520 better investor than the person with a 130. 83 00:03:40,080 --> 00:03:43,400 Out of those two people, whatever 1 is more emotionally 84 00:03:43,400 --> 00:03:47,040 disciplined, more stable, more level headed, whatever one can 85 00:03:47,040 --> 00:03:50,280 control their temperament better will be the better investor. 86 00:03:50,360 --> 00:03:53,040 In fact, he even says that knowing advanced math doesn't 87 00:03:53,040 --> 00:03:55,840 make you a better investor. Having complex spreadsheets 88 00:03:55,840 --> 00:03:57,280 doesn't make you a better investor. 89 00:03:57,640 --> 00:04:00,600 In fact, Charlie Munger was asked if he's ever seen Warren 90 00:04:00,600 --> 00:04:04,200 Buffett use a spreadsheet and he said never, not once. 91 00:04:04,520 --> 00:04:07,680 Buffett makes judgments based off very simple calculations. 92 00:04:08,160 --> 00:04:10,800 But more importantly, Buffett has an extremely stable 93 00:04:10,800 --> 00:04:13,040 temperament. He's an extremely disciplined 94 00:04:13,040 --> 00:04:15,120 investor. He doesn't follow the prevailing 95 00:04:15,120 --> 00:04:17,880 sentiment of whatever the market's thinking, and that's 96 00:04:17,880 --> 00:04:19,680 where he's gained most of his alpha. 97 00:04:20,120 --> 00:04:22,440 You also look at the investors like Peter Lynch, one of the 98 00:04:22,440 --> 00:04:24,560 greatest of our times. He's over doubled the market 99 00:04:24,560 --> 00:04:28,200 average for 11 years straight. He had an incredible performance 100 00:04:28,200 --> 00:04:31,320 at Magellan, and he's one of the ones that said that it's not the 101 00:04:31,320 --> 00:04:33,440 brain that makes money, it's the stomach. 102 00:04:33,880 --> 00:04:36,960 Being able to control your stomach, being able to just go 103 00:04:36,960 --> 00:04:39,920 through the volatility and control those swings is where 104 00:04:39,920 --> 00:04:42,880 the money's made. He made very simple judgments. 105 00:04:43,280 --> 00:04:45,240 Good companies will do well over time. 106 00:04:45,520 --> 00:04:47,880 Companies that grow their earnings will be worth more over 107 00:04:47,880 --> 00:04:49,600 time. And don't worry about the 108 00:04:49,600 --> 00:04:53,120 volatility and the swings. But again, this is much easier 109 00:04:53,120 --> 00:04:55,360 said than done. Even though we have all these 110 00:04:55,360 --> 00:04:59,280 great investors, Warren Buffett, Peter Lynch, Dev Kantasaria, all 111 00:04:59,280 --> 00:05:02,280 emphasizing all the time that emotional discipline and 112 00:05:02,280 --> 00:05:04,240 temperament are the most important ingredients in 113 00:05:04,240 --> 00:05:07,640 investing, investors still get it wrong all the time. 114 00:05:08,080 --> 00:05:11,960 The market is made-up of humans. Humans are emotional. 115 00:05:12,280 --> 00:05:15,960 Humans follow the pack. It's a safety protocol. 116 00:05:16,360 --> 00:05:19,760 We feel safety in numbers. So when other people are doing 117 00:05:19,760 --> 00:05:22,760 something, we don't feel safe if we're not doing the same thing. 118 00:05:22,760 --> 00:05:25,560 In fact, we feel like an outcast, an outsider for not 119 00:05:25,560 --> 00:05:29,200 following with the crowd. That feels wrong inherently. 120 00:05:29,480 --> 00:05:32,160 It's in our biology. The investors that are the best 121 00:05:32,160 --> 00:05:34,600 in the world are the ones that can control their temperament. 122 00:05:34,880 --> 00:05:36,800 They feel comfortable either way. 123 00:05:37,040 --> 00:05:40,440 They can be with the crowd, or they can be entirely alone and 124 00:05:40,440 --> 00:05:43,520 feel equally comfortable. They don't have to fit in and 125 00:05:43,520 --> 00:05:45,600 they're not swayed by the popular sentiment. 126 00:05:46,120 --> 00:05:49,640 And the sentiment can be very persuasive when we look at what 127 00:05:49,640 --> 00:05:52,080 goes on with different stocks. You'll notice the trend in 128 00:05:52,080 --> 00:05:54,400 investing. Anytime a stock soars to all 129 00:05:54,400 --> 00:05:56,480 time highs, people are very bullish on it. 130 00:05:56,720 --> 00:05:59,480 Almost every time you look at a company like Duolingo as a 131 00:05:59,480 --> 00:06:03,320 recent example, when it was at it's all time highs, people are 132 00:06:03,320 --> 00:06:05,600 extremely bullish on it, extrapolating huge amounts of 133 00:06:05,600 --> 00:06:06,960 growth. They're saying that it's going 134 00:06:06,960 --> 00:06:09,560 to go on forever and then when the stock price went down, 135 00:06:10,080 --> 00:06:12,160 people are saying it's a bad company, it's a bad bet. 136 00:06:12,480 --> 00:06:15,280 It's being disrupted by AI. Who would ever want to own that 137 00:06:15,280 --> 00:06:16,880 thing? They looked at Netflix as a 138 00:06:16,880 --> 00:06:19,120 premium company, one of the best in the world. 139 00:06:19,560 --> 00:06:23,160 When they lost subscribers for 1/4, sentiment entirely changed. 140 00:06:23,160 --> 00:06:26,280 The stock price went down 70%. Nobody wanted to own it. 141 00:06:26,280 --> 00:06:27,720 They said it was being disrupted. 142 00:06:28,160 --> 00:06:30,560 Now that it's back up to all time highs, it's viewed as one 143 00:06:30,560 --> 00:06:31,720 of the best companies in the world. 144 00:06:31,960 --> 00:06:34,280 People want to own it. You can see the same thing with 145 00:06:34,280 --> 00:06:37,120 so many stocks going back just over the past five years. 146 00:06:37,240 --> 00:06:40,840 Sentiment usually follows price and people usually follow the 147 00:06:40,840 --> 00:06:43,920 common prevailing sentiment. Being able to be detached from 148 00:06:43,920 --> 00:06:47,880 that is incredibly important and that's exactly what we see with 149 00:06:47,880 --> 00:06:50,040 Google. Google is the one having the all 150 00:06:50,040 --> 00:06:53,360 hands on deck meeting. They had a problem and it was 151 00:06:53,400 --> 00:06:57,080 Open AIA company that came out with this new way to consume 152 00:06:57,080 --> 00:06:59,240 data that Google felt very threatened by. 153 00:06:59,720 --> 00:07:03,080 So Sundar Pichai had meetings with their top executives. 154 00:07:03,080 --> 00:07:05,520 They came up with a game plan to address the situation. 155 00:07:05,920 --> 00:07:08,760 Sentiment at the time was incredibly low on Google. 156 00:07:08,960 --> 00:07:11,400 The stock price was less than half of what it is today. 157 00:07:11,840 --> 00:07:15,120 Now we Fast forward just seven months and the roles have 158 00:07:15,120 --> 00:07:18,200 entirely reversed. We have an article here from the 159 00:07:18,200 --> 00:07:22,680 Wall Street Journal titled Open AI Declares Code Red as Google 160 00:07:22,680 --> 00:07:26,680 Threatens the AI Lead. This is the polar opposite of 161 00:07:26,680 --> 00:07:28,880 what we just saw not even a year ago. 162 00:07:29,240 --> 00:07:31,840 When we read into this report, it goes over what Sam Altman's 163 00:07:31,840 --> 00:07:34,160 doing. Sam Altman told employees Monday 164 00:07:34,160 --> 00:07:37,400 that the company was declaring a Code Red, an effort to improve 165 00:07:37,400 --> 00:07:40,640 the quality of ChatGPT and delaying other products as a 166 00:07:40,640 --> 00:07:44,040 result, according to an internal memo reviewed by the Wall Street 167 00:07:44,040 --> 00:07:45,800 Journal. So the Wall Street Journal has 168 00:07:45,800 --> 00:07:48,400 they they got a copy of this memo and they're revealing some 169 00:07:48,400 --> 00:07:50,200 of the details. They mentioned that this company 170 00:07:50,200 --> 00:07:54,200 wide memo is the most decisive indication yet that opening eyes 171 00:07:54,200 --> 00:07:56,240 feeling the pressure they're feeling it from other 172 00:07:56,240 --> 00:07:57,720 competitors, but especially Google. 173 00:07:57,840 --> 00:08:00,600 We saw some data showing that Gemini three had a big spike in 174 00:08:00,600 --> 00:08:02,120 download. It had a huge surge of 175 00:08:02,120 --> 00:08:04,960 popularity. It had overwhelmingly positive 176 00:08:05,200 --> 00:08:08,920 reception on X and social media. And we've seen it right there in 177 00:08:08,920 --> 00:08:10,680 the App Store. You know, there's usually 178 00:08:10,680 --> 00:08:13,120 ChatGPT, some random app, and then Gemini. 179 00:08:13,440 --> 00:08:16,640 So Gemini is now right in the top five right there with open 180 00:08:16,640 --> 00:08:20,600 AI, with Chachi BT. So this comes right after the 181 00:08:20,600 --> 00:08:24,560 recent success of Gemini 3 and says a particular concern to 182 00:08:24,560 --> 00:08:27,680 Altman is Google. So this isn't something where 183 00:08:27,840 --> 00:08:30,880 they're just concerned about all general AI companies. 184 00:08:31,200 --> 00:08:33,919 They're concerned about Google. They released their new version 185 00:08:33,919 --> 00:08:36,720 of its Gemini AI model last month that surpassed open eyes 186 00:08:36,720 --> 00:08:40,159 model in industry benchmark tests and sent the search giant 187 00:08:40,159 --> 00:08:42,600 stocks soaring. So that's part of the reason 188 00:08:42,600 --> 00:08:45,160 Google stock is up so much. Gemini's user base has been 189 00:08:45,160 --> 00:08:47,720 climbing since the August release of an image generator, 190 00:08:48,000 --> 00:08:50,640 Nano Banana. And Google said monthly active 191 00:08:50,640 --> 00:08:55,440 users grew from 450 million in July to 650 million in October. 192 00:08:56,000 --> 00:09:01,480 So they gained an incremental 200 million active users in a 193 00:09:01,480 --> 00:09:03,320 few months, growing very quickly. 194 00:09:03,400 --> 00:09:05,840 One of the biggest things to contrast here is how these two 195 00:09:05,840 --> 00:09:09,280 companies may seem like they're very similar because you have 196 00:09:09,280 --> 00:09:12,960 Chachi, BT and Gemini, very similar applications, but 197 00:09:12,960 --> 00:09:14,680 they're in very different situations. 198 00:09:14,960 --> 00:09:17,520 Google does not need to make Gemini profitable. 199 00:09:17,800 --> 00:09:19,480 They don't need to do it anytime soon. 200 00:09:19,480 --> 00:09:21,880 In fact, they could have it run at a loss for five years. 201 00:09:21,960 --> 00:09:24,160 Google is one of the highest net income companies in the world 202 00:09:24,160 --> 00:09:26,160 right now. It's the highest, over $100 203 00:09:26,160 --> 00:09:29,280 billion in net income. So Google has all the money in 204 00:09:29,280 --> 00:09:31,560 the world. They can run Gemini, just 205 00:09:31,560 --> 00:09:34,040 focused on user experience without profitability for as 206 00:09:34,040 --> 00:09:37,840 long as they really want. Now Chachi PT on the other hand, 207 00:09:37,840 --> 00:09:41,720 and Open AI are not profitable. They have enormous obligations. 208 00:09:41,720 --> 00:09:45,600 They've had investors invest enormous amounts of money and 209 00:09:45,600 --> 00:09:46,840 they need to pay back on that money. 210 00:09:46,840 --> 00:09:48,960 At some point, they need to generate some profit. 211 00:09:49,320 --> 00:09:52,880 But if Open AI pushes in the profitability mode and it 212 00:09:52,880 --> 00:09:55,760 degrades the user experience, putting on ads and monetization 213 00:09:55,760 --> 00:09:59,320 efforts, it may make it so that more people divert from Chachi 214 00:09:59,320 --> 00:10:02,320 BT to Gemini. So Open AI stuck between a rock 215 00:10:02,320 --> 00:10:04,560 and a hard place. They need the user experience to 216 00:10:04,560 --> 00:10:08,200 be superb, better than Google's, and they need to monetize at 217 00:10:08,200 --> 00:10:10,160 some point in time. And that's the challenge that 218 00:10:10,160 --> 00:10:12,880 Altman's facing here. Sam Altman said the Open AI 219 00:10:12,880 --> 00:10:16,440 would be pushing back work on other initiatives such as 220 00:10:16,440 --> 00:10:20,280 advertising AI agents for health and shopping and personal 221 00:10:20,280 --> 00:10:23,400 assistance called Pulse. He encouraged temporary team 222 00:10:23,400 --> 00:10:25,960 transfers and said the company would have a daily call for 223 00:10:25,960 --> 00:10:28,520 those responsible for improving Chachi BT. 224 00:10:28,920 --> 00:10:32,840 On Monday evening, Opening Eyes head of Chachi BT, Nick Turley 225 00:10:33,120 --> 00:10:36,440 said on exit the company was now focused on growing its chatbot 226 00:10:36,440 --> 00:10:39,960 while also making it feel even more intuitive and personal. 227 00:10:40,080 --> 00:10:42,120 He was going to turn the wheels of monetization. 228 00:10:42,560 --> 00:10:45,800 Then Google released Gemini 3 and he thought, wow, that's 229 00:10:45,840 --> 00:10:48,440 really good. We can't do the monetization 230 00:10:48,440 --> 00:10:50,200 thing just yet. We have to make ours even 231 00:10:50,200 --> 00:10:52,800 better. So he's delaying monetization as 232 00:10:52,800 --> 00:10:54,960 a direct response because of Gemini. 233 00:10:55,000 --> 00:10:58,200 They say that Altman has managed to dispel concerns about Open 234 00:10:58,200 --> 00:11:01,800 AI's financials, largely due to Chat GPT's massive growing user 235 00:11:01,800 --> 00:11:04,640 base of more than 800 million weekly users. 236 00:11:04,720 --> 00:11:07,880 In an internal memo, he said that a new reasoning model that 237 00:11:07,880 --> 00:11:10,960 Open AI is planning to release next week is ahead of Google's 238 00:11:10,960 --> 00:11:13,440 latest Gemini model, and that the company's still performing 239 00:11:13,440 --> 00:11:16,120 well in various other fronts. Don't you remember the last time 240 00:11:16,120 --> 00:11:18,440 that Sam Altman was asked directly about the financial 241 00:11:18,440 --> 00:11:21,520 state of Open AI? He acted super defensively. 242 00:11:21,840 --> 00:11:24,880 Brad Gerstner basically asked him about this same question and 243 00:11:24,880 --> 00:11:27,280 he said if you want to sell your stock, Brad, then you can sell 244 00:11:27,280 --> 00:11:29,240 your stock. I don't think that really 245 00:11:29,240 --> 00:11:32,520 dispels concerns when you act that way when you're asked a 246 00:11:32,520 --> 00:11:34,240 very fair, straightforward question. 247 00:11:34,280 --> 00:11:37,440 But regardless, Chachibti is going to release some model next 248 00:11:37,440 --> 00:11:40,800 week that should beat out Geminis, and that's how Open Eye 249 00:11:40,800 --> 00:11:43,360 plans to keep the lead. But as of right now, it seems 250 00:11:43,360 --> 00:11:47,000 like Google has this way of really turning the tables, going 251 00:11:47,000 --> 00:11:50,920 from a company that had a code red themselves just this year to 252 00:11:50,920 --> 00:11:53,280 now making other competitors have code Reds. 253 00:11:53,360 --> 00:11:56,680 You have open AI, the disruptor, now being potentially disrupted 254 00:11:56,680 --> 00:11:59,400 by Gemini. Google somehow was able to do 255 00:11:59,400 --> 00:12:01,000 this. And if you looked at the 256 00:12:01,000 --> 00:12:04,280 financials and the fundamentals this entire year, if you looked 257 00:12:04,280 --> 00:12:07,600 at every single quarterly report, Google looked good the 258 00:12:07,600 --> 00:12:09,920 entire time the whole way through. 259 00:12:10,320 --> 00:12:13,520 There was no point of weakness throughout this entire year with 260 00:12:13,520 --> 00:12:16,800 Google stock, yet the sentiment would have told you otherwise 261 00:12:17,120 --> 00:12:20,440 during April, During May, Google looked like it was in serious 262 00:12:20,440 --> 00:12:22,160 trouble. But investors that stayed the 263 00:12:22,160 --> 00:12:24,400 course and listened to Buffett's advice of having good 264 00:12:24,400 --> 00:12:27,360 temperament, being slow and methodical with your decisions. 265 00:12:27,680 --> 00:12:30,040 Investors that listened to Peter Lynch that said that money's 266 00:12:30,040 --> 00:12:31,880 made with the stomach, not the brain. 267 00:12:31,880 --> 00:12:34,360 Investors that listen to Dev Kantasaria that doesn't ever 268 00:12:34,360 --> 00:12:37,040 trade his holdings. He just holds on to them quarter 269 00:12:37,040 --> 00:12:39,200 after quarter. Regardless of the prevailing 270 00:12:39,200 --> 00:12:41,320 sentiment, those are the investors that made the most 271 00:12:41,320 --> 00:12:43,960 money in this case. Now let's go to move on to some 272 00:12:43,960 --> 00:12:45,760 news. Now, one piece of news, and I 273 00:12:45,760 --> 00:12:48,560 forgot to even mention this in the outline of the episode, but 274 00:12:48,560 --> 00:12:51,760 we get to this Fox News interview and we have Sundar 275 00:12:51,760 --> 00:12:53,800 Pichai here. And I just thought I'd I'd 276 00:12:53,800 --> 00:12:56,240 mention this because it's actually crazy that the state 277 00:12:56,240 --> 00:12:58,920 that we're in right now, Sundar Pichai is talking about having 278 00:12:59,280 --> 00:13:03,360 data centres in space. And that's not that's not 279 00:13:03,360 --> 00:13:06,520 something made-up. This isn't an AI video, this is 280 00:13:06,520 --> 00:13:10,280 just Google's real plan. I mean, over time at Google, 281 00:13:10,280 --> 00:13:12,080 we're always proud of taking moon shots. 282 00:13:12,080 --> 00:13:14,320 You mentioned way more earlier. You know, that's been over a 283 00:13:14,320 --> 00:13:16,720 decade in the making. We're working on quantum 284 00:13:16,720 --> 00:13:19,240 computing. In that spirit, one of our moon 285 00:13:19,240 --> 00:13:22,680 shots is to how do we one day have data centers in space so 286 00:13:22,680 --> 00:13:25,720 that we can better harness the energy from the sun. 287 00:13:25,800 --> 00:13:29,880 You know, that is 100 trillion times more energy than what we 288 00:13:29,880 --> 00:13:33,560 produce in all of Earth today. So we want to put these data 289 00:13:33,560 --> 00:13:36,200 centers in space closer to the sun. 290 00:13:36,760 --> 00:13:39,720 And, and I think we are taking our first step in 27. 291 00:13:40,040 --> 00:13:45,280 We'll send tiny, tiny racks of machines and, and have them in 292 00:13:45,280 --> 00:13:48,520 satellites, test them out and then start scaling from there. 293 00:13:48,520 --> 00:13:52,000 But there's no doubt to me that a decade or so away, we'll 294 00:13:52,000 --> 00:13:55,920 we'll, we'll be viewing it as a more normal way to build data 295 00:13:55,920 --> 00:13:58,080 centers. All right, So we're at the point 296 00:13:58,080 --> 00:14:01,040 now just to clarify, we're at the point now where Sundar is 297 00:14:01,040 --> 00:14:03,200 talking about data centers in space. 298 00:14:03,880 --> 00:14:08,320 And this isn't some like, you know, far out there, Joe Rogan 299 00:14:08,320 --> 00:14:11,360 kind of the thought process that may or may not happen. 300 00:14:11,440 --> 00:14:13,800 They're literally planning on it like this is one of their moon 301 00:14:13,800 --> 00:14:16,240 shot bets, similar that they've done with Waymo, which is a 302 00:14:16,240 --> 00:14:18,880 reality similar that they do with a lot of things. 303 00:14:19,320 --> 00:14:21,440 Google's planning on doing this, making it so you can actually 304 00:14:21,440 --> 00:14:24,400 have a data center in space. It's super cool stuff. 305 00:14:24,400 --> 00:14:26,680 And it shows that this company still continues to make these 306 00:14:26,680 --> 00:14:29,320 long shot investments. It's very cool to see that they 307 00:14:29,320 --> 00:14:32,040 use the money they make, all the profits they make from other 308 00:14:32,040 --> 00:14:35,600 businesses like advertising. They pull them together and then 309 00:14:35,600 --> 00:14:37,960 not only do they give some of it back to the shareholders, which 310 00:14:37,960 --> 00:14:40,520 I think is appropriate, but they also have a decent amount that 311 00:14:40,520 --> 00:14:42,680 they make for these type of long shot beds. 312 00:14:42,680 --> 00:14:45,720 And if Google wasn't so profitable on the other sides of 313 00:14:45,720 --> 00:14:47,840 their business, they'd never have the money to be able to do 314 00:14:47,840 --> 00:14:50,360 this stuff. Waymo wouldn't have existed 315 00:14:50,600 --> 00:14:52,800 without Google's advertising business to fund it. 316 00:14:53,160 --> 00:14:56,040 So it's very cool to see how this company can make one 317 00:14:56,040 --> 00:14:58,320 section profitable, fund these type of things. 318 00:14:58,320 --> 00:15:01,160 And then in the future, they can be big businesses like we think 319 00:15:01,160 --> 00:15:03,960 Waymo will be today. Now, on the subject of Waymo, we 320 00:15:03,960 --> 00:15:07,000 also have this essay here. This is an opinion piece from a 321 00:15:07,000 --> 00:15:08,800 guest writing on The New York Times. 322 00:15:08,960 --> 00:15:12,440 In this write up, he's trying to give people more of a look of 323 00:15:12,440 --> 00:15:15,760 the reality of how incredible what Waymo's done, what they've 324 00:15:15,760 --> 00:15:18,320 already accomplished. And before we jump into this, I 325 00:15:18,320 --> 00:15:20,760 just want to I want to I just want to compare and contrast 326 00:15:20,800 --> 00:15:24,280 this with the popular sentiment on X about Waymo. 327 00:15:24,720 --> 00:15:27,840 This is 1 new post just a a day ago on on Waymo. 328 00:15:28,160 --> 00:15:30,120 This is from an account named Laci Presley. 329 00:15:30,600 --> 00:15:34,440 She says Waymo, the Waymo problem complexity collapsing on 330 00:15:34,440 --> 00:15:37,400 complexity. Waymo's approach layers, lidar, 331 00:15:37,560 --> 00:15:41,440 radar, HD maps, and a massive sensor array all stitched 332 00:15:41,440 --> 00:15:43,680 together through heavy decision making logic. 333 00:15:44,120 --> 00:15:48,080 On paper it sounds robust. In practice, it means more 334 00:15:48,080 --> 00:15:51,200 points of failure, more disagreement between inputs, 335 00:15:51,400 --> 00:15:53,800 more brittle behavior and unusual scenarios. 336 00:15:53,880 --> 00:15:56,880 She goes on to say why Tesla's approach dominates the future. 337 00:15:57,240 --> 00:16:00,040 Tesla's full self driving philosophy is brutally simple 338 00:16:00,040 --> 00:16:03,080 and brutally scalable. End to end neural networks 339 00:16:03,080 --> 00:16:05,600 trained in the real world, not idealized. 340 00:16:05,600 --> 00:16:09,880 Maps, vision only mirroring and human driving stack millions of 341 00:16:09,880 --> 00:16:12,800 edge cases clipped, absorbed directly into training data. 342 00:16:13,200 --> 00:16:16,520 A unified model not competing with sensors or silos. 343 00:16:16,960 --> 00:16:19,440 A global fleet generating continuous feedback. 344 00:16:19,960 --> 00:16:22,640 These are one of the many posts that gets a lot of attention. 345 00:16:22,680 --> 00:16:24,200 You have an interview there with Elon Musk. 346 00:16:24,200 --> 00:16:27,480 It's been seen 250,000 times. If you were just to read that, 347 00:16:27,480 --> 00:16:30,520 you'd get the impression that Waymo's system's not really 348 00:16:30,520 --> 00:16:32,840 working. The Tesla has a better system. 349 00:16:32,840 --> 00:16:34,400 That Waymo really hasn't figured it out. 350 00:16:35,160 --> 00:16:38,120 And then we see write ups like this which show the entire 351 00:16:38,120 --> 00:16:40,840 opposite thing, the total opposite thing of what's being 352 00:16:40,840 --> 00:16:43,800 shared around online Now Doctor Slotkin, who has a neurosurgery 353 00:16:43,800 --> 00:16:46,240 writing this, he says, I recently got called to see a 354 00:16:46,240 --> 00:16:48,800 teenager ejected in a rollover car crash. 355 00:16:49,200 --> 00:16:51,440 It's just awful. The things these these doctors 356 00:16:51,440 --> 00:16:55,440 have to see is just awful. Says that the trauma team rushed 357 00:16:55,440 --> 00:16:58,560 him, rushed him to surgery to stop major abdominal bleeding. 358 00:16:58,800 --> 00:17:02,640 But we all knew when that much energy enters a skull, no 359 00:17:02,640 --> 00:17:05,079 operation can turn it back. He was declared brain dead. 360 00:17:05,079 --> 00:17:08,760 His death was a reminder of the staggering amount of suffering 361 00:17:08,760 --> 00:17:12,480 and loss of human life we accept from car accidents every single 362 00:17:12,480 --> 00:17:14,200 day. It's become commonplace. 363 00:17:14,200 --> 00:17:16,960 Now we just think of car accidents as an everyday thing. 364 00:17:17,440 --> 00:17:20,440 If a plane crashes, we hear about it anywhere in the world. 365 00:17:20,640 --> 00:17:23,000 Anytime a plane ever crashes, everybody hears about it 366 00:17:23,000 --> 00:17:25,960 instantly, but every single day there's car crashes killing 367 00:17:25,960 --> 00:17:27,920 people. It's just a a matter of reality, 368 00:17:27,920 --> 00:17:30,160 a very, a very sad one that we've all accepted. 369 00:17:30,320 --> 00:17:33,160 The self driving car company Waymo recently released data 370 00:17:33,160 --> 00:17:36,240 covering nearly 100 million driverless miles in four 371 00:17:36,240 --> 00:17:39,840 American cities through June of 2025, the biggest trove of 372 00:17:39,840 --> 00:17:42,440 information released so far about safety. 373 00:17:42,840 --> 00:17:44,760 I spent weeks analyzing the data. 374 00:17:45,080 --> 00:17:48,840 The results were impressive when compared to human drivers on the 375 00:17:48,840 --> 00:17:51,720 same Rd. Waymo's self driving cars were 376 00:17:51,720 --> 00:17:56,680 involved in 91% fewer serious injuries or worse crashes and 377 00:17:56,760 --> 00:17:59,840 80% fewer crashes causing any injury. 378 00:18:00,720 --> 00:18:07,600 Now a 91% reduction in serious injury crashes is insane. 379 00:18:08,040 --> 00:18:12,400 You're reducing serious injuries by 91%, it showed. 380 00:18:12,400 --> 00:18:14,640 And, and this, these statistics get even crazier. 381 00:18:14,960 --> 00:18:19,360 It showed a 96% lower rate of injury causing crashes at 382 00:18:19,400 --> 00:18:23,400 intersections, which are some of the deadliest I encounter in the 383 00:18:23,400 --> 00:18:26,600 trauma Bay so far. Other Thomas vehicle companies 384 00:18:26,600 --> 00:18:29,040 don't report or they report incomplete data. 385 00:18:29,360 --> 00:18:31,480 Waymo, by contrast, publish everything. 386 00:18:31,480 --> 00:18:34,000 And then it even goes into some of the bigger criticisms of 387 00:18:34,000 --> 00:18:37,200 Waymo's or perceived criticisms that aren't even real. 388 00:18:37,480 --> 00:18:40,200 For example, one of the criticisms of autonomous 389 00:18:40,200 --> 00:18:42,560 vehicles is that they may break erratically. 390 00:18:42,720 --> 00:18:45,080 So if you're falling behind one, you got to be careful because it 391 00:18:45,080 --> 00:18:47,440 might break and then you smash into the back of it and 392 00:18:47,440 --> 00:18:50,040 technically that's your fault, when really it was the Waymo 393 00:18:50,040 --> 00:18:52,760 causing the accident. But that's not true at all. 394 00:18:53,040 --> 00:18:55,120 That's not even close to true. In fact, again, it's the exact 395 00:18:55,120 --> 00:18:57,480 opposite. This last instance may give some 396 00:18:57,480 --> 00:19:00,240 skeptical readers pause. There's a common misconception 397 00:19:00,240 --> 00:19:03,080 that these cars brake erratically and they can get 398 00:19:03,080 --> 00:19:05,560 rear-ended. But they are involved in far 399 00:19:05,560 --> 00:19:08,800 fewer rear end injury crashes than human drivers are. 400 00:19:09,120 --> 00:19:12,280 And Waymo has never rear-ended another vehicle at an injury 401 00:19:12,280 --> 00:19:18,160 level. 100 million miles driven. And a Waymo has never rear-ended 402 00:19:18,160 --> 00:19:20,400 another vehicle at an injury level. 403 00:19:21,040 --> 00:19:25,200 Just astonishing statistics. They also drive so predictably 404 00:19:25,520 --> 00:19:28,800 they brake so evenly that they themselves get rear-ended. 405 00:19:28,800 --> 00:19:31,280 Far fewer than human driver vehicles. 406 00:19:31,880 --> 00:19:34,680 Autonomous vehicle companies have reported every contact 407 00:19:34,680 --> 00:19:38,720 resulting in injury or property damage over $1000, while studies 408 00:19:38,720 --> 00:19:42,160 show that humans don't report the majority of accidents, even 409 00:19:42,160 --> 00:19:44,680 with injuries. So these statistics showing how 410 00:19:44,680 --> 00:19:47,600 safe Waymo's are actually understate how safe they 411 00:19:47,600 --> 00:19:49,760 actually are. Because many of the accidents by 412 00:19:49,760 --> 00:19:53,040 human drivers aren't being reported, Waymo is legally 413 00:19:53,040 --> 00:19:54,840 required to report every single one. 414 00:19:55,000 --> 00:19:58,200 Even with every single accident reported, they still have fewer 415 00:19:58,200 --> 00:20:00,920 accidents in humans. And he emphasizes the medical 416 00:20:00,920 --> 00:20:03,320 standpoint of this. So the statistics are 417 00:20:03,320 --> 00:20:04,960 impressive. But now he starts to put it in 418 00:20:04,960 --> 00:20:08,960 terms of like doctor talk of how medically significant this is. 419 00:20:09,080 --> 00:20:12,360 More than 39,000 Americans died in motor vehicle crashes last 420 00:20:12,360 --> 00:20:15,160 year, more than homicide. Aside plane crashes and natural 421 00:20:15,160 --> 00:20:18,840 disasters, combined crashes are the number 2 cause of death for 422 00:20:18,840 --> 00:20:21,800 children and young adults. But death is only part of the 423 00:20:21,800 --> 00:20:23,680 story. These crashes are also the 424 00:20:23,680 --> 00:20:25,440 leading cause of spinal cord injury. 425 00:20:25,760 --> 00:20:29,400 We surge and see the aftermath of 10,000 crash victims that 426 00:20:29,400 --> 00:20:34,040 come to the emergency rooms every day. 10,000 a day. 427 00:20:34,400 --> 00:20:37,160 The combined economic and quality of life tool exceeds 1 428 00:20:37,160 --> 00:20:41,120 trillion annually, more than the entire U.S. military or medical 429 00:20:41,120 --> 00:20:43,720 budget. Cars hurt a lot of people. 430 00:20:44,000 --> 00:20:46,160 They're necessary. The trade off is far worth it, 431 00:20:46,440 --> 00:20:48,280 but they do hurt a lot of people. 432 00:20:48,280 --> 00:20:50,480 It's interesting that we have companies that are going for 433 00:20:50,480 --> 00:20:52,680 healthcare, right? We have Apple that always tries 434 00:20:52,680 --> 00:20:55,440 their healthcare initiatives, the Apple Watch and maintaining 435 00:20:55,520 --> 00:20:58,600 healthy habits. We have Amazon that's going into 436 00:20:58,600 --> 00:21:01,120 pharmacy. But I've never really looked at 437 00:21:01,120 --> 00:21:05,080 Waymo as a healthcare company because it's not, it's not doing 438 00:21:05,080 --> 00:21:06,360 real healthcare. It's not like you go to the 439 00:21:06,360 --> 00:21:09,360 doctor and then you're you're seen by Waymo, but it is 440 00:21:09,360 --> 00:21:12,080 preventative. The more the society shifts 441 00:21:12,080 --> 00:21:16,160 towards Waymo, the the follow on effects, the knock on effects of 442 00:21:16,160 --> 00:21:19,920 that are dramatically less healthcare expense, dramatically 443 00:21:19,920 --> 00:21:22,360 less injured people, dramatically less spinal 444 00:21:22,360 --> 00:21:24,120 injuries and dramatically less deaths. 445 00:21:24,840 --> 00:21:28,280 Waymo can be considered one of the biggest changes in our 446 00:21:28,280 --> 00:21:31,960 healthcare system, in our safety and prevention of injury, of 447 00:21:31,960 --> 00:21:34,080 anything that's happened over the past 50 years. 448 00:21:34,080 --> 00:21:36,800 The data that Waymo's putting out is extremely compelling. 449 00:21:37,120 --> 00:21:40,120 In medical terms, this can save 10s of thousands of injuries per 450 00:21:40,120 --> 00:21:42,440 year and 10s of thousands of deaths per year with widespread 451 00:21:42,440 --> 00:21:44,400 adoption. Yet there's still some states 452 00:21:44,400 --> 00:21:47,240 that are arguing they're still pushing back on Waymo adoption, 453 00:21:47,600 --> 00:21:49,600 like they don't want this technology because maybe it will 454 00:21:49,640 --> 00:21:53,040 affect Uber drivers, maybe a few people will lose some jobs or 455 00:21:53,040 --> 00:21:54,920 have to switch what they're doing for a career. 456 00:21:55,360 --> 00:21:59,560 But are we going to sacrifice a far safer way for people to get 457 00:21:59,560 --> 00:22:03,280 around because we might, because we want to have protectionism 458 00:22:03,280 --> 00:22:06,280 policies for specific jobs? I don't think that's a trade off 459 00:22:06,280 --> 00:22:08,400 worth making. And to the people that still 460 00:22:08,400 --> 00:22:12,880 deny Waymo and say that it's complex and it's not working, at 461 00:22:12,880 --> 00:22:15,000 this point it's like you're living on a different planet. 462 00:22:15,280 --> 00:22:17,840 Have you looked at any of the actual data? 463 00:22:18,200 --> 00:22:22,000 Waymo is working. It's working incredibly well. 464 00:22:22,160 --> 00:22:24,400 The numbers are indisputably good. 465 00:22:24,520 --> 00:22:27,320 Saying that it's complexity collapsing on complexity. 466 00:22:27,680 --> 00:22:31,520 Saying that it's more points of failure is akin to saying that a 467 00:22:31,520 --> 00:22:35,200 commercial airliner with two jet engines, each of which are 468 00:22:35,200 --> 00:22:38,000 powerful enough to propel the jet, has now two points of 469 00:22:38,000 --> 00:22:40,800 failure and not just one. Well, it's good to have two 470 00:22:40,800 --> 00:22:43,560 points of failure. Having more points of failure 471 00:22:43,560 --> 00:22:47,000 before the thing ultimately fails is a good thing In this 472 00:22:47,000 --> 00:22:49,240 case. The multi model way that Waymos 473 00:22:49,240 --> 00:22:53,120 operate with a LIDAR, sensors and camera have been proven to 474 00:22:53,120 --> 00:22:56,040 have incredibly good effects. Waymo continues to expand 475 00:22:56,040 --> 00:22:58,080 throughout the world. Investors need to get on board 476 00:22:58,080 --> 00:23:00,680 with this reality. So far, no one else has matched 477 00:23:00,680 --> 00:23:02,360 their technology in the United States. 478 00:23:02,600 --> 00:23:04,040 No one else has gotten the approvals. 479 00:23:04,240 --> 00:23:06,520 No one else has proven this. So while there's still some 480 00:23:06,520 --> 00:23:10,280 people in denial of what Waymo's accomplishing today, the data 481 00:23:10,280 --> 00:23:11,600 that they're revealing proves it. 482 00:23:11,920 --> 00:23:14,440 This is one of the most revolutionary technological 483 00:23:14,440 --> 00:23:17,720 advancements of our time. It has the potential to 484 00:23:17,720 --> 00:23:21,440 transform our healthcare system to prevent 10s of thousands of 485 00:23:21,440 --> 00:23:24,920 deaths and injuries every single year and injuries every single 486 00:23:24,920 --> 00:23:26,920 day. This could be considered one of 487 00:23:26,920 --> 00:23:29,360 the greatest successes that we've had in American history. 488 00:23:29,400 --> 00:23:31,720 Yet there's still many investors that don't get it and that's why 489 00:23:31,760 --> 00:23:34,240 we look at the data. Now moving on, we get to news 490 00:23:34,240 --> 00:23:36,800 that one of my top positions, the top five position, which is 491 00:23:36,800 --> 00:23:42,160 Netflix, is down over 5% today. So it's down $5.61, down close 492 00:23:42,160 --> 00:23:45,920 to $100 per share off of the news that Netflix is apparently 493 00:23:46,440 --> 00:23:50,680 bidding a mostly cash offer for Warner for Warner Brothers 494 00:23:50,680 --> 00:23:52,760 Discovery. Netflix wants to own it. 495 00:23:53,120 --> 00:23:56,000 Now, when I first saw this news, I have to admit I thought that 496 00:23:56,000 --> 00:23:58,440 Netflix may be doing the strategy of just trying to up 497 00:23:58,440 --> 00:24:02,120 the bids for everyone else. So someone else owns Warner 498 00:24:02,120 --> 00:24:03,960 Brothers Discovery. They paid a lot of money for it. 499 00:24:04,280 --> 00:24:07,000 That's what I thought that they may be doing, but I think I was 500 00:24:07,000 --> 00:24:08,640 wrong. I think Netflix really just 501 00:24:08,640 --> 00:24:10,560 wants to own Warner Brothers Discovery. 502 00:24:10,800 --> 00:24:12,800 They've decided that having the sass, that would be 503 00:24:12,800 --> 00:24:15,960 advantageous, and that's unique because Netflix is not an 504 00:24:15,960 --> 00:24:18,520 acquisitive company. Warner Brothers Discovery filled 505 00:24:18,520 --> 00:24:21,200 a second round of bids, including a mostly cash offer 506 00:24:21,200 --> 00:24:24,680 from Netflix in an auction that could wrap up in the coming days 507 00:24:24,680 --> 00:24:26,400 or weeks. According to people familiar, 508 00:24:26,760 --> 00:24:30,360 bankers for Paramount, Skydance Corp, Comcast Corp and Netflix 509 00:24:30,680 --> 00:24:33,960 worked over a long weekend improving their offers for all 510 00:24:33,960 --> 00:24:35,720 parts of the Warner Brothers deal. 511 00:24:35,720 --> 00:24:38,000 So there you have it. They all want Warner Brothers 512 00:24:38,000 --> 00:24:40,880 Discovery, including Netflix, which again, Netflix doesn't 513 00:24:40,880 --> 00:24:43,040 typically do this. Right now, Wall Street is 514 00:24:43,040 --> 00:24:45,080 considering this a risky endeavour. 515 00:24:45,400 --> 00:24:46,920 That's where I see the stock today. 516 00:24:46,920 --> 00:24:48,880 If I had to guess why it's down 5%. 517 00:24:49,200 --> 00:24:52,280 I think investors are just a little uneasy about Netflix 518 00:24:52,280 --> 00:24:55,440 buying such a huge asset. It's just never happened before 519 00:24:55,880 --> 00:24:58,840 and it would be a little weird. Wouldn't it be just a little bit 520 00:24:58,840 --> 00:25:01,800 odd to have Netflix own Warner Brothers Discovery? 521 00:25:02,160 --> 00:25:04,440 They'd have all the seasons of Friends all the time. 522 00:25:04,440 --> 00:25:08,480 They'd have like the Harry Potter's, they'd have movies 523 00:25:08,520 --> 00:25:11,360 like a Dune, you know, and then another thing that they said, 524 00:25:11,360 --> 00:25:14,480 they, they said that they'd even have Warner Brothers movies have 525 00:25:14,480 --> 00:25:17,520 full theatrical release. So they're also meeting in the 526 00:25:17,520 --> 00:25:18,840 middle. They're saying that they'd still 527 00:25:18,840 --> 00:25:21,160 keep the box office if they bought this asset. 528 00:25:21,640 --> 00:25:24,520 So I think investors are looking at this thinking that that might 529 00:25:24,520 --> 00:25:26,960 be a little odd. So investors are a bit nervous 530 00:25:26,960 --> 00:25:29,240 right now. I don't think investors have any 531 00:25:29,240 --> 00:25:32,440 reason to be nervous. If Netflix buys Warner Brothers 532 00:25:32,440 --> 00:25:34,800 Discovery, it'll be a creative to the company. 533 00:25:34,800 --> 00:25:37,600 They'll make money at almost any price they pay. 534 00:25:38,080 --> 00:25:40,160 Netflix has so much in way of cash flow. 535 00:25:40,400 --> 00:25:42,040 They are a cash printing machine. 536 00:25:42,040 --> 00:25:45,080 They're going to be making over $9 billion in free cash flow 537 00:25:45,080 --> 00:25:47,480 here soon. They can pay down any amounts of 538 00:25:47,480 --> 00:25:48,880 debt. They can get the balance sheet 539 00:25:48,880 --> 00:25:52,240 in shipshape anytime they want. So this is a company that's not 540 00:25:52,240 --> 00:25:53,960 taking on additional risk by doing this. 541 00:25:54,240 --> 00:25:56,280 It would grow the subscriber base immensely. 542 00:25:56,600 --> 00:25:59,160 It'd make them even more profitable on a per subscriber 543 00:25:59,160 --> 00:26:02,240 basis, and it would make it so that Netflix addresses one of 544 00:26:02,240 --> 00:26:04,520 the main concerns about the company, which is the quality of 545 00:26:04,520 --> 00:26:06,200 the content. Netflix has always been 546 00:26:06,200 --> 00:26:08,960 criticized for having lower quality content, their original 547 00:26:08,960 --> 00:26:11,680 struggle, but if they own one of the best studios in the world, 548 00:26:12,000 --> 00:26:13,720 nobody could accurately say that anymore. 549 00:26:13,720 --> 00:26:16,080 They'd have a lot of the best content in the world in their 550 00:26:16,080 --> 00:26:18,760 library. So personally, I feel like this 551 00:26:18,760 --> 00:26:21,120 is a buying opportunity for the Netflix investor. 552 00:26:21,160 --> 00:26:23,880 If they do end up buying Warner Brothers Discovery, I think 553 00:26:23,880 --> 00:26:25,560 they'll become more profitable as a result. 554 00:26:25,920 --> 00:26:28,000 If not, it's back to business as usual. 555 00:26:28,080 --> 00:26:31,120 Now moving on, we get to the fail of the week, which this 556 00:26:31,120 --> 00:26:34,120 time is, it's unfortunately Waymo because I was just talking 557 00:26:34,120 --> 00:26:36,000 it up. I was talking up Waymo a lot, 558 00:26:36,000 --> 00:26:38,320 saying how good it is. And now here I am highlighting 559 00:26:38,320 --> 00:26:41,560 Waymo as the fail of the week. And we have a situation here. 560 00:26:41,720 --> 00:26:43,880 As you can see right in the background there, there's a lot 561 00:26:43,880 --> 00:26:45,880 of police lights. We have something going on in 562 00:26:45,880 --> 00:26:48,000 the intersection. It looks blurry. 563 00:26:48,400 --> 00:26:50,880 Then you have a Waymo right there at the beginning of the 564 00:26:50,880 --> 00:26:52,680 intersection and just take a look at what happens. 565 00:26:52,680 --> 00:26:53,760 Let's go ahead and play this video. 566 00:26:53,840 --> 00:26:54,960 We'll take a look at what happens. 567 00:26:56,040 --> 00:27:03,000 Waymo. Oh my, Oh my, what the? 568 00:27:03,920 --> 00:27:26,360 Waymo doing. There's a dude laying face down 569 00:27:26,360 --> 00:27:30,440 on the ground and then in the background there's like 5 or 6 570 00:27:30,440 --> 00:27:34,400 police officers guns drawn. So this is a high stake, 571 00:27:34,520 --> 00:27:38,160 potentially shootout position. This guy's trying to just live, 572 00:27:38,360 --> 00:27:39,360 right? He doesn't want to move 573 00:27:39,360 --> 00:27:40,800 anything. He doesn't want to, you know, he 574 00:27:40,800 --> 00:27:43,280 doesn't want to reach for anything because he has cops 575 00:27:43,280 --> 00:27:47,320 with guns drawn on him. And the Waymo just slowly, it 576 00:27:47,320 --> 00:27:50,080 just slowly drives by during all of this without a care in the 577 00:27:50,080 --> 00:27:51,720 world. The Waymo's going all right, 578 00:27:51,720 --> 00:27:53,960 I'll take a left here, avoid all those police cars. 579 00:27:53,960 --> 00:27:56,400 I'll drive by that guy that happens to be laying on the 580 00:27:56,400 --> 00:27:57,520 ground. I'll just slow down a little 581 00:27:57,520 --> 00:28:00,880 bit, make sure I don't run over him and off to our destination 582 00:28:01,080 --> 00:28:02,560 like there's not a care in the world. 583 00:28:03,800 --> 00:28:06,960 Obviously, this is an extreme edge case. 584 00:28:07,480 --> 00:28:12,160 It's very difficult to train for having five cop cars with guns 585 00:28:12,160 --> 00:28:13,880 drawn and a random guy laying on the ground. 586 00:28:14,200 --> 00:28:17,200 So I don't think that this was part of the training process. 587 00:28:17,200 --> 00:28:19,480 You know, it's not part of their their system that they're 588 00:28:19,480 --> 00:28:22,320 feeding this data into. Now, again, you can criticize 589 00:28:22,320 --> 00:28:24,760 this and it is funny to look at what happened. 590 00:28:25,360 --> 00:28:27,760 Tesla investors are saying, look at what Waymo's doing, driving 591 00:28:27,760 --> 00:28:30,560 by this huge scene, right? It's not just stopping, waiting. 592 00:28:31,560 --> 00:28:34,280 But in Waymo's defense, I will defend a little bit here. 593 00:28:34,960 --> 00:28:37,680 It did drive slowly around the guy, made sure it wasn't going 594 00:28:37,680 --> 00:28:43,520 to hit him, didn't cause any damage directly, but it probably 595 00:28:43,520 --> 00:28:45,960 should have waited. The Waymo probably shouldn't 596 00:28:45,960 --> 00:28:47,520 have driven into the intersection. 597 00:28:48,200 --> 00:28:50,480 It probably should have realized something's going on when 598 00:28:50,480 --> 00:28:53,920 there's that many police lights. So even though I think Waymo 599 00:28:53,920 --> 00:28:57,200 overall is doing a great job, this definitely warrants a fail 600 00:28:57,200 --> 00:28:58,840 of the week. That's going to be it for this 601 00:28:58,840 --> 00:29:00,640 time. Hope you enjoyed, see you in the 602 00:29:00,640 --> 00:29:01,080 next one.