00:00:00
Jeff, you're bad at this. Just at least
00:00:02
have a talk with me. Just meet me. I
00:00:05
don't like you. You don't like me. So
00:00:07
what?
00:00:13
Hi everyone. This is Pivot from New York
00:00:15
Magazine and the Vox Media Podcast
00:00:16
Network. I'm Cara Swisser
00:00:18
>> and I'm Scott Galloway.
00:00:20
>> Go Seahawks.
00:00:22
>> You like the Seahawks?
00:00:23
>> I like Jod Allen, the owner. Uh sister
00:00:26
of Paul Allen. I know her a tiny bit.
00:00:28
Um, I knew Paul, her brother who died,
00:00:30
um, who was one of the Microsoft
00:00:31
founders, just really cool lady. And,
00:00:34
uh, I can't stand Robert Craft. I think
00:00:36
he's a terrible person. I, the whole cat
00:00:38
Cat's family was for, um, uh, the
00:00:42
Patriots only because they live there.
00:00:43
Nobody likes Robert Craft. So, I was
00:00:45
happy about that. I like the Seahawks.
00:00:48
>> Well, I'm happy you're happy. Yeah,
00:00:50
>> the thing that summarized how I feel
00:00:52
about it was the Elmo the Elmo account
00:00:55
said, "I hope both teams have a really
00:00:58
fun time." That's about how much I care
00:01:00
about the Super Bowl. And the other one
00:01:02
was Elmo said, "He's not a bad bunny.
00:01:04
He's a good bunny."
00:01:05
>> He's a good bunny.
00:01:06
>> That's That's how I
00:01:07
>> NAGA lost its [ __ ] mind. We'll get to
00:01:09
that. But first, let's have a little bit
00:01:11
of um resistant unsubscribe. How's it
00:01:14
going, Scott? You everywhere. You're
00:01:16
like, you are like the village [ __ ] as
00:01:18
they say.
00:01:19
>> No, I'm not. I'm not a [ __ ] I'm a hor
00:01:22
I'm a ho.
00:01:23
>> We have a montage of Scott everywhere.
00:01:25
Let's check it out.
00:01:26
>> Resist and unsubscribe.
00:01:28
>> Resist and unsubscribe.
00:01:30
>> Explain to me why I should unsubscribe
00:01:33
from Amazon Prime if you really want to
00:01:36
hurt or send a message to the president.
00:01:38
What he does listen to is the following.
00:01:41
If you look at the times when he has
00:01:42
really checked back, immediately
00:01:45
responded and pulled back, it's been
00:01:46
when one of two things has happened. The
00:01:48
bond market yields have spiked or the
00:01:50
S&P has gone down. This is when he
00:01:52
backed off of his plans to annex
00:01:54
Greenland. It's when he's backed off of
00:01:55
tariffs. When you go after big tech
00:01:57
platforms with just a small decline in
00:01:59
spending, this is what moves the
00:02:01
markets. I think the string we can pull
00:02:03
here is to go after the subscription
00:02:05
revenues of big tech that now represents
00:02:07
40% of the S&P. You're hitting them with
00:02:09
a $10,000 decrease in market cap with
00:02:12
just one subscription cancellation. So,
00:02:14
this is a chance to go after the soft
00:02:16
tissue of big tech whose leaders the
00:02:19
president appears to be listening to.
00:02:21
>> Soft tissue you make hard.
00:02:24
>> Tell me. So, tell me where we are.
00:02:27
>> Came out of the gate strong. We're
00:02:28
getting about 100,000 uniques a day. And
00:02:30
I asked Chat GBT if I wanted to get
00:02:32
100,000 uniques with no paid or what
00:02:35
would it cost me to drive 100,000 people
00:02:37
to a site?
00:02:38
>> Go ahead.
00:02:39
It was interesting. It said 100 to
00:02:41
200,000 for the site, but it would take
00:02:42
$4 to5 million. So, we're getting quote
00:02:44
unquote $4 to5 million in traffic to the
00:02:46
site with and I haven't paid a dime for
00:02:48
anything. Um, but it started going down
00:02:52
earlier in the week. So, I did some
00:02:54
research on the uh bus strike in
00:02:57
Alabama. Was it Alabama? And then the
00:02:59
Kimmel thing. And what it ended up was
00:03:01
that the study from Kellogg, which I'm
00:03:03
really into about the protests that are
00:03:06
effective versus those that aren't, is
00:03:08
the unsubscribed to Disney were actually
00:03:10
declining dramatically. But the thing
00:03:12
that got Disney to reverse course was a
00:03:15
ton of
00:03:17
um media that was shaming them and
00:03:18
creating dissent. And that the media
00:03:21
that impacted that was traditional
00:03:23
media. So, I decided on Tuesday I was
00:03:27
going to get on as much traditional
00:03:28
media as I could and I was able to do
00:03:31
it. And then all of a sudden, the site
00:03:33
visits are now back to about 100,000.
00:03:36
But just to do the math,
00:03:38
uh, a good e-commerce site gets 2 to 4%
00:03:42
uh, conversion. This gets more cuz these
00:03:44
are people just coming to the site.
00:03:46
People are unsubscribing two to five
00:03:48
platforms. So, let's call it three. So,
00:03:50
I'm thinking I'm getting about 10,000
00:03:53
unsubscribes a day or 300,000
00:03:57
subscribes over the course of um over
00:04:00
the course Anyways, I've done the math
00:04:02
here. I think I think I can notionally
00:04:05
take about a quarter of a billion
00:04:06
dollars of market cap out of these
00:04:08
companies.
00:04:08
>> Yeah.
00:04:09
>> And does that change anything? It
00:04:10
doesn't. But it's irritating.
00:04:13
>> It's a voice in the choir. And I asked
00:04:15
Chad GPT what it thought of the
00:04:18
resistance movement so far. A one is you
00:04:21
throw a party, no one shows up, it
00:04:22
damages your reputation, makes other
00:04:24
protests less successful. In 10 is the
00:04:27
president and Sam Alman are, you know,
00:04:29
forced to to scale back some of this
00:04:32
stuff. And it said right now you're at a
00:04:34
six. And that is people in product
00:04:36
management teams are probably talking
00:04:38
about it, but not the executives yet.
00:04:40
>> Oh, they are. And I thought that was
00:04:41
sort of a fairly honest appraisal of
00:04:44
where we are. But yeah, I've been all
00:04:46
over the place.
00:04:46
>> My sons know about it. Like I'm just
00:04:48
telling you it's got a lot more I'm
00:04:50
getting texts from people I haven't
00:04:52
heard from in a while. Um so it's
00:04:54
interesting. They all like it because
00:04:56
here's why they have it's you can do
00:04:58
something, right? Like I can do that.
00:05:00
That's easy, right? It's not easy. I
00:05:02
just I should do that. like it gives you
00:05:05
permission to do something you kind of
00:05:07
were going to do and it it gives you a
00:05:08
framework and instructions right so
00:05:10
that's why it's successful I think in
00:05:12
that regard I think you have to do some
00:05:14
more podcasts maybe possibly
00:05:17
>> maybe Joe Rogan that's where I would go
00:05:20
that's where you need
00:05:21
>> well has invited me but yeah next week
00:05:23
this week was traditional media this I'm
00:05:25
sorry last week was traditional media
00:05:26
this week I'll start doing
00:05:29
>> um those people
00:05:31
>> more pods and stuff like that Um, so
00:05:33
yeah, I need to do I was just on Pierce
00:05:35
Morgan and that digressed into a food
00:05:37
fight with some ultra-conservative guys
00:05:39
calling me desperate and trying to tank
00:05:41
the US economy because we lost the
00:05:42
election. But anyways, yeah, I think
00:05:45
you're right. I think I have to
00:05:47
>> not food fight people. Don't do the food
00:05:49
fights. Don't go on any of those. Like
00:05:51
>> I think you should go on like a Brett
00:05:53
Bear or someone like that would be
00:05:55
useful, but or any any of the more
00:05:57
reasonable people over there. Not at
00:05:59
hand because it's a food fight. Like you
00:06:00
don't need a food fight for this. Like
00:06:02
you need a like just let me explain it
00:06:04
to you. I think Ro, the von um any of
00:06:07
those people and they like you, right?
00:06:10
Go on the let them go on Mel's thing.
00:06:12
>> Yeah, but Mel makes you come up to
00:06:13
Boston. So I was invited to go on the
00:06:15
PBD podcast, but similar to Mel, he
00:06:18
makes you come to him and he's in Fort
00:06:19
Lauderdale, so I don't know. I should
00:06:21
probably make the effort. Is it on is it
00:06:24
on the way to Boston?
00:06:25
>> Oh, not that guy.
00:06:27
>> Well, I he is constantly wrong. If you
00:06:31
want to be part of the resistance, you
00:06:32
have to go behind enemy
00:06:34
>> going to do a food fight with you.
00:06:35
Whatever you're going to do end up doing
00:06:36
a stupid food fight. You need to go on
00:06:38
people that want to listen and will have
00:06:40
a normal debate with you, but no, like
00:06:42
you don't want to be used as a chew toy
00:06:44
for the right on this one. I'm sorry. It
00:06:46
just doesn't
00:06:46
>> chew toy for the right.
00:06:48
>> Yeah. Yeah. Tasty.
00:06:50
>> Um, so I don't know. Well, I'll think of
00:06:52
more ideas. I have some more ideas and
00:06:54
studs. I mean, like you'd be better off
00:06:56
on like a Mr. Beast or like somewhere
00:06:58
like something where there's more
00:07:00
>> Yeah. like that kind of stuff. Like just
00:07:03
>> but one of the one of the ground zero
00:07:04
CEOs called me Saturday morning and
00:07:07
they're so good. They're so smart.
00:07:08
They're just like I just want to
00:07:09
understand it better. How are you? What
00:07:11
could we do better?
00:07:12
>> And like I got off the phone and I'm
00:07:14
like maybe I should take them off the
00:07:15
list. I'm like oh my god it's what it's
00:07:17
what they do. It's what they do.
00:07:19
>> They start massaging your feet. That's
00:07:21
what they're doing. They're massaging
00:07:22
your feet. They're like your feet.
00:07:24
>> They're like, you know, we have some
00:07:25
disagreements, but I really respect what
00:07:27
you're trying to do here, Scott. I'm
00:07:28
like, oh my gosh. I saw the post made
00:07:30
you one of the 50.
00:07:33
>> You got to believe I was number 49.
00:07:35
>> Right there. But hold on.
00:07:37
>> Oh, they're after you. They want to Kai
00:07:39
Trump. Kai Trump is one of the I didn't
00:07:42
even know there was a Kai in the Trump
00:07:43
family.
00:07:44
>> Yeah, she's a good golfer. I guess
00:07:46
that's fine. Whatever.
00:07:47
>> It's a pretty It's a pretty random list.
00:07:49
>> You know what I say? You could smile
00:07:50
more. You could smile more.
00:07:52
>> No smiles in those pictures.
00:07:54
>> No. The reason I have $100,000 in
00:07:56
veneers is so I don't have to [ __ ]
00:07:57
smile.
00:07:58
>> I understand. And I was just I was just
00:08:00
using the lady thing. Anyway, let's get
00:08:02
to the Super Bowl. Anyway, I'll think of
00:08:03
more ideas. I'll think I'm more stunts.
00:08:06
More stunts. We could Let's figure out a
00:08:08
stunt for South by Southwest. Something
00:08:09
like that. Keep it going. Anyway, that's
00:08:12
coming up. Um,
00:08:14
you didn't watch the Super Bowl, right?
00:08:15
No.
00:08:16
>> No. I have almost no interest in the
00:08:18
Super Bowl.
00:08:18
>> So, did you watch any You watched the
00:08:20
ads on other places where they had
00:08:21
>> I watched some of the ads that people
00:08:23
sent to me.
00:08:23
>> Yeah. Many of them stand out. I still
00:08:25
like the anthropic ones, I have to say.
00:08:27
I thought I thought they won the day. Uh
00:08:30
I didn't like the one on the Jewish kid
00:08:32
being bullied.
00:08:34
>> Um
00:08:35
>> I didn't I don't
00:08:36
>> too too virtue signalally.
00:08:42
>> I think there are better more effective
00:08:43
ways to talk about the risk of
00:08:44
anti-semitism. I I actually don't in a
00:08:49
weird way. I feel like it almost
00:08:50
normalizes it or raises the prospect
00:08:53
special kind of tone that kind of thing.
00:08:55
>> Yeah. It's so funny what I noticed with
00:08:57
I don't know if you've noticed this. I
00:08:59
went to my kid's school when he was a
00:09:02
seventh grader in middle school and
00:09:03
there were nth graders come down the
00:09:05
hall and I was way behind them and I
00:09:06
thought, "Oh, this going to be
00:09:07
interesting." In the seventh grade, if I
00:09:09
ran into ninth graders in an
00:09:10
unsupervised environment, they would
00:09:12
pants me and throw me in the trash and
00:09:14
take my lunch money.
00:09:16
>> And instead, now they're like, "Hey,
00:09:17
little man." And they high-five them.
00:09:19
Yeah.
00:09:19
>> I think things have changed a lot
00:09:21
>> for some people
00:09:22
>> in school. Yeah. The ads are always fun
00:09:25
to watch. I don't I just could the whole
00:09:27
Bad Bunny thing. I'm like he's the most
00:09:29
popular entertainer in the world.
00:09:30
>> We'll get to Bad Bunny second, but my
00:09:32
favorite I liked I really like the
00:09:33
anthropic ads. I like the elf. I like
00:09:35
the funny ones. The elf ad there's a
00:09:37
whole bunch of them that were super
00:09:38
funny and I I prefer those. And of
00:09:41
course, I have to say the Lays potato
00:09:43
chip ad got me. Got me.
00:09:45
>> Oh god, I thought that was so [ __ ]
00:09:47
ridiculous.
00:09:48
>> I know. But it got me. I agree. I knew
00:09:50
it was
00:09:50
>> the family farm. We fetishized
00:09:52
manufacturing and farmers. The family
00:09:54
farm is a corporation that's bought out
00:09:56
all these little farmers 30 years ago.
00:09:59
>> And yet it got me. I I want I was like
00:10:02
don't don't
00:10:03
>> How many How many college grad girls do
00:10:05
you think are trying to help dad with
00:10:07
their family?
00:10:08
>> Hot too. like
00:10:09
>> yeah,
00:10:10
>> she's she's in PR for Prada dating a
00:10:12
hedge fund manager
00:10:14
>> and her father put her through Hollywood
00:10:17
and she's hoping she's hoping to get a
00:10:19
miniseries, but no, she's going to go
00:10:20
home to Iowa to farm with her dad
00:10:22
>> and wear a car heart. She had a
00:10:24
beautiful That car heart didn't have a
00:10:25
speck of [ __ ] dust on it. Did you
00:10:27
notice that she had a Ralph Lauren ad?
00:10:30
>> I know nothing to do with the family.
00:10:32
>> But the potato chips are delicious. Let
00:10:34
me just say I like a lace potato chip.
00:10:36
They're quite good. They're good chips.
00:10:38
They're They're a good chip. They're a
00:10:40
fine chip. Um I'm trying to think which
00:10:42
other one was funny. I didn't like the
00:10:43
really I didn't like the Emma Stone one
00:10:45
or the George Clooney one. They were
00:10:46
weird. I don't want the weird ones. I
00:10:48
like the funny ones like the Instacart.
00:10:50
I thought the elf one was funny. Um I
00:10:53
have I will have to say the Jesus one
00:10:55
was good. The Christian like Jesus
00:10:58
knows. I thought it was
00:10:59
>> Oh, those are always nice.
00:11:00
>> That not always. That one was well done.
00:11:02
>> No, the I thought the really powerful I
00:11:04
don't know if it's the same people. The
00:11:05
the Jesus wash their feet. That one
00:11:07
>> that you
00:11:08
>> remember that from a few years ago?
00:11:09
>> This is a different one. Yeah,
00:11:10
>> this is a different one.
00:11:11
>> Yeah,
00:11:11
>> that kind of reminds me and it's not
00:11:13
totally related, but just FYI, Donald
00:11:17
Trump is mentioned more times in the
00:11:18
Epstein Files than Jesus is mentioned in
00:11:20
the Bible. Just saying. Or that the word
00:11:23
meth is said in all eight seasons of
00:11:25
Breaking Bad. Yeah,
00:11:26
>> but anyways, not related.
00:11:28
>> Not related. Anyway, they were they were
00:11:30
pretty they were decent ads. They
00:11:31
weren't I wouldn't I would say the
00:11:33
anthropic still head and freaking
00:11:34
shoulders. Open had one that was
00:11:37
somewhat effective a little bit. I guess
00:11:40
I thought it was good.
00:11:41
>> It was solid, but not like the
00:11:42
anthropic. They got knocked out by
00:11:44
anthropic.
00:11:45
>> But if the thing I looked at or the only
00:11:48
kind of insider or the thing I found
00:11:50
really interesting is if you look at the
00:11:51
ads,
00:11:52
>> a quarter of them were AI.
00:11:54
>> Yeah.
00:11:54
>> Uh 15 of the 66 were AI. The last time
00:11:58
tech was as dominant in the Super Bowl
00:12:00
in advertising, there's been two times
00:12:02
in the last 50 years. One was in 2022
00:12:04
when it was called the crypto bowl and
00:12:06
it was Binance and FTX and look what in
00:12:09
that year that was the year crypto blew
00:12:11
up and there were a ton of bankruptcies
00:12:12
and then the time before that what year
00:12:14
Super Bowl did
00:12:17
it was 2000 January 2000 quarter of the
00:12:21
ads were froms pets.com and the like and
00:12:23
look what happened. So if you look at
00:12:26
economic history as a ratio or as the
00:12:29
ratio of tech ads being above a certain
00:12:32
amount, it implies this year is when AI
00:12:35
crashes.
00:12:36
>> Yeah. I'll tell you when I hate it was
00:12:38
the Mike Tyson one. I'm sorry. I just
00:12:40
like it was my government money. Like it
00:12:42
was my dollars paying for Mike Tyson who
00:12:45
has issues of his own to tell me to eat
00:12:47
an apple and that fat people are losome.
00:12:49
I'm sorry. That was really grotesque.
00:12:51
>> I've met Mike Tyson. He's a chain smoker
00:12:53
>> perhap. Yeah, I know. I was literally
00:12:54
like, "That's my [ __ ] tax dollar
00:12:56
telling me to eat an apple. Thanks."
00:12:58
That was really gross. And of course,
00:12:59
these Maha people are such, you know, it
00:13:02
was all their friends that made the ad.
00:13:03
And of course, Brett Ratner was the
00:13:04
director.
00:13:06
Sexual harasser was someone convicted
00:13:08
and brave.
00:13:08
>> I think that's them waving their middle
00:13:10
finger in our face.
00:13:12
>> That's my money. That's my like That's
00:13:15
my money. Cut it out. Don't tell me to
00:13:17
eat an apple. But let me just focus on
00:13:18
the Bad Bunny halftime show. knocked it
00:13:20
out of the park with a projected 108 28
00:13:23
million viewers. Apple was the one did
00:13:24
it and Rock Nation was the producer.
00:13:26
They they've been doing that's Jay-Z's
00:13:28
group has been doing a lot of the really
00:13:30
great Super Bowl ones. And so Jay-Z's
00:13:33
been in charge of picking Super Bowl
00:13:34
halftime for the last seven years.
00:13:36
They've been really good actually. Uh
00:13:38
Turning Point USA of course had a live
00:13:39
stream of an all-American show featuring
00:13:41
Kid Rock who looked like he was
00:13:43
lip-syncing. It seemed the reaction and
00:13:45
re-reaction to Bad Bunny Show was so
00:13:47
joyful and fun and it was so full of if
00:13:49
you wanted to go into it and look at the
00:13:51
layers of you know he's such an artist
00:13:53
like he's he's not just
00:13:55
>> he's the biggest artist in the world he
00:13:57
>> but not just that it was so full of
00:13:58
stuff but you could also just enjoy it
00:14:00
if you didn't know
00:14:01
>> full it was fun
00:14:02
>> right and there was
00:14:03
>> and I realized like people ask me what I
00:14:05
thought of the performance I'm like it's
00:14:07
not for me if Tom Petty or George
00:14:09
Michael can't be there which they can't
00:14:11
I don't care you know, but what I
00:14:14
realized is it's not for me. And it was
00:14:16
a brilliant move on behalf of Roger
00:14:18
Goodell because the NFL is investing in
00:14:19
the future because more than 50% for the
00:14:22
first time ever of people under the age
00:14:23
of 18 are non-white. And people
00:14:27
identifying people saw it as
00:14:29
anti-American to have Puerto Rican or
00:14:31
Ecuadorian flag. No, Reagan said it
00:14:33
best. Anyone can come to America and be
00:14:36
an American. And that's uniquely what
00:14:38
makes America America. They're so but
00:14:41
because they are not the culture war is
00:14:42
they're not winning it. Nobody wants to
00:14:43
watch Kid Rock. And by the way, I should
00:14:46
I should do a dramatic reading of Kid
00:14:48
Rock's lyrics is you know these people
00:14:50
that were they were defending including
00:14:52
that guy's show you want to go on.
00:14:53
They're like oh kid rock. I'm like
00:14:54
literally he talks about putting balls
00:14:56
in the mouth. Come put your
00:14:58
>> Okay. But the retort there is now do rap
00:15:00
stars.
00:15:00
>> Of course. But this wasn't Bad Bunny.
00:15:03
Like fine. Like so it was a bunch of
00:15:04
really
00:15:05
>> It was pretty clean. I agree. You know
00:15:07
who the other big winner was in the
00:15:08
Super Bowl was the prediction market
00:15:10
apps?
00:15:10
>> Yeah. Where did they couch download
00:15:13
spike last month? Uh the app recording 4
00:15:15
million downloads in January. That's up
00:15:17
from less than 2 million in December.
00:15:19
And not only that, it's going at you
00:15:22
know who it's killing? It's killing the
00:15:23
gambling apps. The prediction market
00:15:25
apps from DraftKings and FanDuel got
00:15:27
more people that use it the better. Um
00:15:30
but let me just finish up on Bunny. It
00:15:31
was a great show. It was very light, you
00:15:33
know, you had Peter Pascal as a
00:15:34
background a person and and and and
00:15:37
Cardi B and um uh a whole bunch of
00:15:40
people and I thought Ricky Martin was
00:15:42
lovely looking fantastic and Lady Gaga
00:15:45
was great. It was so joyful and for them
00:15:48
to like attack it and shows just what a
00:15:50
bunch of [ __ ] losers they are. I'm
00:15:52
sorry. They just really are. They It was
00:15:54
so beautiful and so life affirming and
00:15:57
forward thinking and it is where our
00:15:59
country is in a lot of ways. And all I
00:16:01
wanted to do is like I've been trying to
00:16:03
um take Spanish myself, learn Spanish.
00:16:06
I've got to learn Spanish so I under
00:16:08
could understand what he
00:16:09
>> It's a beautiful language. I took it for
00:16:10
5 years in high school. I took them to
00:16:12
seventh and 12th grade. I can barely
00:16:14
order at a Mexican restaurant.
00:16:15
>> Me too. And I've been try I've gotten
00:16:16
one of those apps and I keep coming on
00:16:18
and off of it. I have to learn. This is
00:16:20
the year I learned Spanish. This is the
00:16:22
year.
00:16:22
>> But but what I try to do is I try to
00:16:24
take economic trends away from the Super
00:16:26
Bowl, specifically the advertising. And
00:16:28
the two trends are the following. one,
00:16:30
it looks like this is the year that AI
00:16:31
might crash because there's so much
00:16:33
cheap capital going going into it visa v
00:16:35
the Super Bowl. And the second thing is
00:16:37
there's been a huge transfer in economic
00:16:41
value or market capitalization from the
00:16:43
gaming apps to the prediction apps. In
00:16:45
just the last 3 months, the earnings per
00:16:48
share estimates for Flutter
00:16:49
Entertainment, which is the gaming or
00:16:51
the gambling apps, has been cut in half.
00:16:53
And DraftKings earnings estimates are
00:16:55
also down 29%. The biggest apps were the
00:16:57
gambling apps and now the speculation
00:17:00
markets are taking their are eating
00:17:02
their lunch.
00:17:02
>> Absolutely. And as you noted the NFL
00:17:04
made a great choice here in terms of how
00:17:06
it handles that really smart and the
00:17:08
beautiful visual of San Francisco on the
00:17:11
front which was I'm sorry to tell you
00:17:12
was a rainbow flag kids but um also good
00:17:15
for San Francisco looking great. All
00:17:17
these people are like what were they
00:17:18
talking about looking great? San
00:17:20
Francisco's on the upswing and uh I have
00:17:22
to say um
00:17:23
>> oh it was great for it was great for
00:17:24
your city. It was like Chamber of
00:17:26
Commerce.
00:17:27
>> I The only time I turned it on was late
00:17:29
at night. It was like 11:30 and it or it
00:17:32
started and it was this immediately this
00:17:35
beautiful vista of the Golden Gate
00:17:36
Bridge around around the golden hour.
00:17:38
>> Yeah.
00:17:39
>> And you're just like, wow. Occasionally
00:17:40
there's a moment where you're in
00:17:41
California and you're like, why did I
00:17:42
leave?
00:17:42
>> All the time.
00:17:44
>> Why did I leave again?
00:17:45
>> Exactly. every [ __ ] day of the week
00:17:48
and twice on Sundays when I wake up
00:17:50
>> the fog comes in over the Golden Gate
00:17:52
cleans all this [ __ ] out of the air
00:17:54
>> and then it's crystal clear and sharp
00:17:56
and I mean it is
00:17:57
>> every morning I wake up Scott I weep
00:18:00
Louis moving there just so you know my
00:18:02
son is will be moving to San Francisco
00:18:04
and working for someone who's in
00:18:06
politics there but I'm so jealous of him
00:18:09
anyway he's living in our in the
00:18:11
>> Elmo says bad bunny's a good bunny
00:18:13
>> let's move on to the to speaking of
00:18:15
crypto while The Dow hit a milestone
00:18:17
high of 50,000 last week. Crypto has
00:18:20
been heading the other way into a crypto
00:18:21
winter again. Bitcoin has just had its
00:18:23
worst weekly decline in more than 3
00:18:25
years, down roughly 45% from its
00:18:27
all-time high last October. The downturn
00:18:29
is being blamed on a few things.
00:18:31
Volatility in other markets, terror
00:18:33
fears, uncertainty around Fed chair
00:18:35
nominee Kevin Morris. I don't know about
00:18:36
that. The ongoing decline has been
00:18:38
brutal for some of crypto's biggest
00:18:40
champions. Michael Sailor Strategy Inc.
00:18:42
I know you're an admire just reported a
00:18:44
$12.4 4 billion quarterly loss. Wow. But
00:18:47
don't expect a Bitcoin bailout. Treasury
00:18:49
Secretary Scott Besson said
00:18:50
congressional hearing last week that he
00:18:51
has no authority to do that. Um, of
00:18:54
course, Trump was crypto president. Nice
00:18:56
job, David Saxs, by the way. Um, what do
00:18:58
he They got what they wanted, the crypto
00:19:00
people from Trump. Everything they
00:19:01
wanted. Um, they got rid of uh the Gary
00:19:04
Gensler. They got rid of Sharon Brown.
00:19:07
They got rid of critics. Uh, what do you
00:19:10
think? What's happening here? Well,
00:19:12
first off, I should just point out that
00:19:13
I am easily the worst crypto investor in
00:19:15
history.
00:19:16
>> Yes, because you just
00:19:17
>> I finally threw in the towel and I
00:19:18
bought some shares in a Bitcoin treasury
00:19:21
company. I bought it at 14 and within 45
00:19:23
days I sold it at $4.50.
00:19:25
>> Oh, nice. Well done. Well done.
00:19:26
>> Yeah, well done. Uh, look, Coin Market
00:19:29
Cap's crypto and fear greed index is now
00:19:31
at a nine, indicating extreme fear. This
00:19:34
is the highest reading in the index's
00:19:36
nearly three years of existence. Bitcoin
00:19:39
bit Bitcoin's basically been cut in half
00:19:41
since its high and investors
00:19:44
um had $2 and half billion dollars of
00:19:45
Bitcoin liquidated in just one day
00:19:47
alone. Even after Friday,
00:19:48
>> Bitcoin Bitcoin and then the others have
00:19:50
gone down 90 like the Melania coin the
00:19:52
other coins. Yeah,
00:19:54
>> coins. Even after Friday's rebound,
00:19:55
Bitcoin is down 43% from its pe from its
00:20:00
peak. And then the and the stocks
00:20:02
related to Bitcoin per year comments
00:20:06
have been hammered. Micro Strategy is
00:20:08
down nearly 70% from its peak last
00:20:09
summer and down 15% this year. Coinbase
00:20:12
is down 60% from its summer peak, down
00:20:15
30% this year. And Tom Lee's Bitine is
00:20:17
down 85% from its peak and 34% this
00:20:20
year. Crypto volatility is currently
00:20:22
about 8x higher than that of the S&P
00:20:25
500. But what I would say is the
00:20:28
following. And I don't get this market.
00:20:31
I I I I I respect that Bitcoin has
00:20:33
established itself as a tangible asset
00:20:35
because of scarcity value, because of
00:20:37
its technology. I think the rest is pure
00:20:39
speculation. But what typically has
00:20:42
happened over the last decade is when
00:20:44
Bitcoin has these drawdowns and there's
00:20:47
all this fear over the last 10 years
00:20:49
when we look back those have been buying
00:20:51
opportunities.
00:20:53
So I don't I mean I I always like to
00:20:55
talk about what I'm thinking of doing.
00:20:57
If Bitcoin keeps getting hammered, I
00:20:59
actually might buy a little bit. Not
00:21:01
because I believe in crypto, but because
00:21:02
I like diversification
00:21:04
and I do think this market is incredibly
00:21:07
volatile. I do think Bitcoin has
00:21:09
established itself as a legitimate asset
00:21:10
class. But there's just what's unusual
00:21:13
is typically Bitcoin is meant to be it
00:21:16
should benefit from a weak dollar in
00:21:18
inflation and it's not.
00:21:20
>> Yeah.
00:21:20
>> And it should it ends up that it's not
00:21:23
the default contraindicator of a
00:21:25
weakening dollar. silver, gold, that
00:21:27
kind of stuff.
00:21:28
>> We'll see. At the end of the day, the
00:21:30
crypto is really, it's not investing. It
00:21:32
is speculation. I I would argue that a
00:21:35
little bit of money, one to 3% of your
00:21:37
portfolio in Bitcoin may not be a bad
00:21:40
idea, but like I said, I am
00:21:44
not the other shitcoin.
00:21:45
>> I would not do any of the others. The
00:21:47
others to me are just greater full
00:21:49
theory come to life.
00:21:50
>> Yeah, you sucker. I call them sucker
00:21:52
coins. They're really
00:21:53
>> You have to watch it every day and all
00:21:55
that. It can take a real you volatility
00:21:58
is fine. If you're willing to endure
00:22:00
volatility, it means you'll get greater
00:22:01
returns. But what you want to do is you
00:22:04
want to diversify across multiple
00:22:06
volatile asset classes such that your
00:22:08
mental health is somewhat protected. You
00:22:10
know, you just one of the reasons I like
00:22:12
owning real estate is I don't have a
00:22:14
scorecard every day. And also, if you're
00:22:17
looking at your phone too much, and
00:22:18
you're really good at this, if you're
00:22:19
looking at your phone too much because
00:22:20
you're checking your stocks all the
00:22:22
time, a that's a hit to your human
00:22:24
capital, and B, you don't want to be you
00:22:27
never want to go all in on one thing
00:22:29
because the markets trump individual
00:22:32
dynamics. And if you bought $10,000
00:22:35
worth of Amazon in 1999, it was worth
00:22:37
$400 by two by the end of 2000.
00:22:40
>> And that takes a huge emotional toll on
00:22:42
you.
00:22:43
>> It does. So what you want to do is you
00:22:45
want to be you want to be diversified
00:22:47
and you want to be in good good ETFs,
00:22:49
good indexes and then put them away and
00:22:51
not look at them and think of them as
00:22:52
things you want to hone for five or 10
00:22:54
years. Look at them once a quarter if
00:22:55
you can.
00:22:56
>> I don't look at all
00:22:56
>> but you know
00:22:58
>> yeah I I think your approach to
00:22:59
investing is actually the right approach
00:23:00
to inve
00:23:08
when when Saul is going to be able to
00:23:10
drink he'll be 21. Alex will be 37. I'll
00:23:13
be 10 [ __ ] 12. So it doesn't really
00:23:15
matter to save for retirement.
00:23:18
>> It doesn't
00:23:19
>> doesn't matter.
00:23:20
>> You don't you don't even buy green
00:23:21
bananas anymore.
00:23:22
>> I All I need is money to put me in a
00:23:25
home and have nice nurses. That's all I
00:23:27
and I I can swing that with what I've
00:23:29
got. Even if I lost a lot,
00:23:30
>> I'll be pushing you around.
00:23:31
>> Oh, no. Wrong. I'll be push way.
00:23:34
>> And I'll hire really hot nurses.
00:23:37
>> Yes. And I
00:23:37
>> I'll manage that. I'll manage that side
00:23:39
of your life.
00:23:40
>> I'll manage them for you. What are you
00:23:41
talking about? I'm like, "Yes, he's a
00:23:42
little handsy, but just like put up with
00:23:44
it, you know, give him an extra tip."
00:23:46
>> A little handsy.
00:23:47
>> Little handsy.
00:23:48
>> Handsyish.
00:23:48
>> Just slap him. Just
00:23:50
>> handsyish. I told you.
00:23:51
>> Yeah.
00:23:52
>> I already have my my nurse picked out. A
00:23:54
guy named Manuel, very big with very
00:23:56
well moisturized hands.
00:23:57
>> I'll have some men there that manhandle
00:23:59
you. Anyway, let's go on a quick break.
00:24:01
When we come back, Amazon spending spree
00:24:03
and what Jeff Bezos is saying about the
00:24:04
Washington Post's future. All stupid
00:24:06
things, just FYI. Support for this show
00:24:09
comes from Delete Me. Whether you're a
00:24:12
public figure or a private citizen, it's
00:24:13
easier than ever for bad actors to get
00:24:15
your personal information. I've tried
00:24:17
Delete Me a lot and I really have had a
00:24:20
great time figuring out how much
00:24:21
information data brokers have about me.
00:24:24
It's scary and it's surprising and I am
00:24:26
always disturbed by how much they bring
00:24:29
together and how sometimes wrong it is.
00:24:31
So, it's really important to get your
00:24:33
data in line with things. The dashboard
00:24:35
on Delete Me is very easy to use, and
00:24:37
you can tell them what you want deleted
00:24:39
and what you want to keep an eye on.
00:24:40
Delete Me makes it easy, quick, and safe
00:24:42
to remove your personal data online at a
00:24:44
time when surveillance and data breaches
00:24:46
are common enough to make everyone
00:24:47
vulnerable. With Delete Me, you can
00:24:49
protect your personal privacy or the
00:24:50
privacy of your business from doxing
00:24:52
attacks before sensitive information can
00:24:54
be exploited. The New York Times wire
00:24:55
cutter has named Delete Meir their top
00:24:57
pick for data removal services compared
00:24:59
to others out there. Take control of
00:25:01
your data and keep your private life
00:25:02
private by signing up for Delete Me now
00:25:04
at a special discount for our listeners.
00:25:06
Get 20% off your DeleteMe plan when you
00:25:09
go to joindeleteme.com/pivot
00:25:11
and use the promo code pivot at
00:25:12
checkout. The only way to get 20% off is
00:25:15
to go to joindeme.com/pivot
00:25:18
and enter the code pivot at checkout.
00:25:20
That's joined me.com/pivot
00:25:22
code pivot.
00:25:26
Scott, we're back. Amazon's spending
00:25:28
plans are making waves on Wall Street
00:25:30
after the company signal massive
00:25:31
capbacks ramp up. Amazon said it expects
00:25:34
to spend about $200 billion dollars in
00:25:36
2026. Nearly a 60% increase from last
00:25:39
year. Uh CEO Andy Jasse justified the
00:25:41
spending by sending strong demand for
00:25:42
AI, robotics, chips, and satellites
00:25:44
makes sense for their business in a lot
00:25:46
of ways. The announcement appears to
00:25:48
spook investors though, sending stock
00:25:49
down 10% and wiping $1 133 billion off
00:25:53
of Amazon's market cap. What a massive
00:25:55
amount. Um let's talk about this. Um
00:25:59
they are at the same time there the the
00:26:01
the the suckupery that Jeff Bezos has
00:26:04
been doing. Uh and Andy Jasse too for
00:26:06
Trump is reaping benefits under Trump's
00:26:08
new tax on the company's corporate tax
00:26:10
bill fell to about $1.2 billion last
00:26:12
year down from $9 billion the year
00:26:14
before even though profits uh jumped
00:26:16
roughly 45%. So what Scott says is
00:26:19
corporate taxes just like this has been
00:26:21
a boon for Trump has been a boon for
00:26:23
these people. Um, so talk a little bit
00:26:25
about these spending because you know
00:26:26
they they they need to spend in
00:26:28
robotics. They obviously need AI to go
00:26:31
with the robotics and chips and of
00:26:33
course satellites delivery. They they
00:26:35
have such an unusual business that it's
00:26:37
both analog and and and advertising and
00:26:40
where they market things. It seems like
00:26:42
a company that should be spending here.
00:26:43
But your thoughts? Well, the problem
00:26:46
with or one of the things that makes our
00:26:48
economy so fragile is there's just a
00:26:50
small number of companies that can make
00:26:52
the can allocate this sort of capital.
00:26:55
And this week and last, Amazon, Google,
00:26:57
Meta, and Microsoft unveiled plans to
00:26:59
spend a combined 660 billion on AI
00:27:04
buildout this year. That's a 60%
00:27:06
increase from last year. Apple is the
00:27:08
only big tech company whose capex
00:27:09
decreased from last year. And the and
00:27:11
the sheer magnitude is just shocking.
00:27:14
That's three times the global R&D of the
00:27:17
pharmaceutical industry. So we're now
00:27:19
spending more on data centers and chips.
00:27:21
We're spending triple what we're
00:27:23
spending on trying to research
00:27:25
treatments for cancer and diabetes. It's
00:27:28
more they're spending more than it cost
00:27:30
to build the US interstate highway
00:27:31
system. We're spending more those those
00:27:34
four companies are going to spend more
00:27:35
than we spent on the Apollo moon program
00:27:37
and the International Space Station
00:27:39
combined. And it's the equivalent of
00:27:41
spending about $2 billion a day on AI.
00:27:45
And but what I think you're looking for
00:27:46
if I look at the stocks that are
00:27:48
responding to the market positively
00:27:49
versus negatively, it's okay. A big eye
00:27:54
is really impressive because it
00:27:55
separates you from the rest. Like
00:27:58
Snap can't spend billions of dollars to
00:28:00
increase the AI targeting of its ad of
00:28:03
its ad stack. Most companies just can't
00:28:04
spend that kind of money. But the
00:28:06
companies the company that's really done
00:28:08
well here is a company that not only has
00:28:10
the huge eye, huge capex, but also is
00:28:13
right away showing that they can garner
00:28:16
the return that justifies that eye. And
00:28:18
that company is Meta. Meta is showing uh
00:28:22
increased click-through, increased
00:28:23
advertising, increase ARPO, and it's
00:28:26
saying this is working for us, so we're
00:28:28
going to outspend every other media
00:28:30
company in the world. maybe with the
00:28:32
exception of Alphabet, but these types
00:28:35
of investment, there's just no getting
00:28:36
around them. They're absolutely
00:28:38
staggering. I can't figure out if it's
00:28:40
good or bad. I guess it's I'm hoping it
00:28:42
results in a lot of occasion.
00:28:43
>> You imagine lots of their business does
00:28:46
need this kind of stuff. Like you're
00:28:47
thinking, speaking of advertising, they
00:28:49
do a lot of it in marketing, right? So,
00:28:51
they have to understand what's effective
00:28:52
to to bring up for people when they
00:28:54
search on Amazon. um their their their
00:28:57
logistics of of their their their
00:29:00
various centers where they the
00:29:02
fulfillment centers, the robotics, it
00:29:05
seemed like a lot of this stuff does
00:29:06
lend itself to AI being more efficient
00:29:10
in that or giving them efficient
00:29:12
instructions. It's it would I would
00:29:14
imagine their business lends itself to
00:29:16
this. And you're right, they're the only
00:29:17
ones that can spend this much. Um and
00:29:19
then once it's spent, nobody can catch
00:29:21
them ever, ever, ever. It's just going
00:29:24
to have very weird second order effects
00:29:25
because if you look at where the money
00:29:26
is being spent, if you look at data
00:29:29
centers, most of them could have their
00:29:30
lights off during the day. They a huge
00:29:33
data center that costs hundreds of
00:29:35
millions to build employs what a Chili's
00:29:38
employs. And so obviously a huge burst
00:29:41
in vocational skills, but then what
00:29:43
happens there's no really ongoing
00:29:46
employment here. And what what I look at
00:29:50
is all right if you think about
00:29:53
I mean people say is AI going to affect
00:29:54
me and my standard line has been AI is
00:29:57
not going to take your job someone who
00:29:58
understands AI is going to take your job
00:30:00
and what you need to think about is is
00:30:02
AI complimentary to what I'm doing or is
00:30:04
it a substitute and Justin Wolfers the
00:30:06
economist from Michigan pointed this out
00:30:08
if you think about sec my mother was a
00:30:10
secretary she would be out of work right
00:30:12
now because AI came along and word
00:30:14
processors at the same time everyone
00:30:15
thought ATMs was going to put bank
00:30:17
tellers out of business. There are now
00:30:18
more bank tellers than there were preat
00:30:21
ATM because what they said is let's use
00:30:23
technology to upskill you so you can
00:30:25
give people mortgages, figure out their
00:30:26
financial planning. So just as at a
00:30:30
ground level, it's like okay, how do I
00:30:32
use AI as a weapon as opposed to being
00:30:34
on the wrong end of the weapon? But this
00:30:36
is the economic reshaping here is just
00:30:40
is staggering. But I do think we're at
00:30:42
that point now with all great
00:30:43
technologies that end up going on to be
00:30:45
hugely important that this is um I think
00:30:49
we're overdue for a correction. And the
00:30:51
technology I keep coming at I'm about to
00:30:53
buy stock is Nova Nordis just hit a like
00:30:57
a 5-year low. Nova Nordisk actually
00:30:59
rebounded yesterday, but Nova Nordis the
00:31:01
maker of I think it's I forget which one
00:31:02
it is or Regoi. And I'm I always tell
00:31:05
people the most important technology is
00:31:07
not AI, it's GLP1. and talk to somebody
00:31:10
who loves AI and uses it.
00:31:12
>> There's an ad for it. No, Serena
00:31:14
Williams really did Super Bowl by the
00:31:15
way.
00:31:16
>> Well, talk to anyone who use someone who
00:31:17
uses a lot of AI at their work, really
00:31:20
enjoys it, gets a lot of use out of it,
00:31:22
and then but that person is also on
00:31:24
GLP1,
00:31:26
ask them what's having a more profound
00:31:27
impact on their life.
00:31:28
>> Yeah.
00:31:30
>> Can you do a short rant about the
00:31:31
corporate taxes and the benefits of
00:31:33
being in the Trump administration for
00:31:35
these companies by sucking up? Unless
00:31:37
you don't want to.
00:31:39
Well, look, as a percentage of GDP,
00:31:41
corporate taxes have never been lower.
00:31:44
And as a percentage
00:31:46
of uh uh uh GDP, wages have never been
00:31:49
lower. And as a percentage of profits,
00:31:52
corporate profits have never been a
00:31:53
higher percentage of the SM of GDP. In
00:31:57
some, there's always a healthy tension
00:31:59
between capital and labor. But basically
00:32:01
what you have with AI, shareholders love
00:32:05
AI because what you're seeing across all
00:32:07
of these companies is margin expansion
00:32:08
but no incremental increase in
00:32:09
employment
00:32:10
>> and then lower taxes.
00:32:12
>> That's great for shareholders. And then
00:32:13
the lower tax argument is basically the
00:32:16
strategy for the last 40 years and the
00:32:17
Republicans. If we just lower taxes,
00:32:19
it'll trickle down. All it's doing is
00:32:20
just pushing back debt on young people.
00:32:23
But if you just look at the balance, if
00:32:24
you just assume at some point we have to
00:32:26
pay for our navy and our parks and for
00:32:27
food stamps, the question is, well, who
00:32:30
pays?
00:32:31
>> Yeah. I can't believe they went from 9
00:32:32
billion to 1.2 billion. That is a
00:32:35
savings.
00:32:36
That is a Oh god, I wish
00:32:38
>> this repeat that car.
00:32:40
>> Amazon's under the Trump's new tax law,
00:32:42
the companies, this is Amazon's
00:32:44
corporate tax bill fell to 1.2
00:32:46
>> automatic expensing. Yeah.
00:32:47
>> Yeah.
00:32:48
>> Yeah.
00:32:49
>> 45%. It's really the tax code has gone
00:32:52
from 400 pages to 4,000 and the 3600
00:32:55
pages one by one kind of [ __ ] the
00:32:57
middle class. And it wasn't these aren't
00:32:58
malicious people say let's [ __ ] the
00:33:00
middle class. What they are is really
00:33:01
talented people on behalf of lobbies
00:33:02
like Amazon that says let's figure out a
00:33:05
way to expense all capital expenditure
00:33:07
in year one.
00:33:08
>> But it's Trump's new tax law. It's it's
00:33:10
even more advantageous to them. This is
00:33:13
this is what this was always the game
00:33:15
folks is them getting more for
00:33:17
themselves. It really was with Trump. I
00:33:20
some of them don't like them, some of
00:33:21
them do.
00:33:22
>> This has been happening across
00:33:23
Democratic and Republican
00:33:25
administrations.
00:33:25
>> Agreed. But this new tax law is 1.2 from
00:33:28
nine billion. That's quite a lovely
00:33:31
>> I I agree with you and two things can be
00:33:33
true at once. Biden, for all the talk
00:33:36
about progressive policies and the need
00:33:37
to reduce the deficit,
00:33:38
>> fix it.
00:33:39
>> Taxes on corporations went down.
00:33:43
>> Yep.
00:33:43
>> During the Biden administration, so
00:33:45
here's the bottom line. And the only way
00:33:46
you get reelected, which must include
00:33:48
reservations and [ __ ] because these
00:33:50
people cling to power like an African
00:33:51
dictator. So that was both offensive and
00:33:53
a hate crime and racist. But these
00:33:55
people have decided that they will do
00:33:57
anything to stay in office. And the way
00:33:58
they stay in office is with a thoughtful
00:34:00
lobbyist who says, "Oh, just implement
00:34:02
this one little tax change called 122
00:34:04
where entrepreneurs and VCs get their
00:34:06
first 10 million out." And
00:34:07
incrementally, what we have done is
00:34:09
lower taxes on the 0.1% in corporations.
00:34:12
And we haven't raised taxes on the
00:34:14
middle or low income. That's a myth.
00:34:16
What we've done is we've raised taxes on
00:34:18
future generations with $7 trillion in
00:34:20
spending on $5 trillion in receipts. So
00:34:23
the people who've had their taxes
00:34:24
increased the most are a 55year-old who
00:34:27
is now 25. Because we have the full
00:34:30
faith in credit to borrow that money.
00:34:31
That full faith in credit and that
00:34:33
borrowing power will go away. And at
00:34:34
some point someone's going to have to
00:34:35
pay the piper either through massive
00:34:37
inflation or revolution or much higher
00:34:39
taxes.
00:34:40
>> Yep. Absolutely. Yes. kissing up works.
00:34:42
But um speaking of kissing up, Jeff
00:34:44
Bezos is finally speaking about the
00:34:46
future of the Washington Post following
00:34:47
last week's layoffs. He said in a
00:34:49
statement the Post had an essential
00:34:51
journalistic mission and an
00:34:52
extraordinary opportunity. Bezos added
00:34:54
that readers provided a roadmap to
00:34:56
success and that data tells us what his
00:34:58
value to focus well data. They all left
00:35:00
after he did any number of things. The
00:35:03
Bezos statement came shortly after Post
00:35:05
CEO and publisher Will Lewis announced
00:35:07
his exit from the paper. I think I think
00:35:09
it was exited from the paper. Uh
00:35:11
allegedly uh post CFO Jeff Donof Frio I
00:35:16
met him when he was at one of the tech
00:35:17
companies was CFO at is stepping in as
00:35:20
acting CEO. Um what a big I'm going to
00:35:24
comment on this data tells us what is
00:35:25
value. You're kidding. No [ __ ]
00:35:27
Sherlock. At the same time, you have to
00:35:29
create products that doesn't necessarily
00:35:31
follow data. You have to use both data
00:35:32
and creativity to create a journalistic
00:35:35
product. I mean, anyone would tell you
00:35:37
don't get together with Scott Galloway
00:35:39
data speaking. And of course, it worked
00:35:41
out beautifully. You have to have lots
00:35:43
and lots of things that go into media.
00:35:46
Jeff Bezos has made a number of errors
00:35:48
recently over the last two years. And
00:35:50
that's the reason people have fled in
00:35:52
droves from the Post as other places are
00:35:55
doing much better in New York Times,
00:35:57
Wall Street Journal, the numbers are up.
00:35:59
Um, lots of really interesting
00:36:01
independent media companies. It's not
00:36:03
true that he couldn't do something
00:36:04
better here. And of course, he's never
00:36:06
blamed himself for this [ __ ] Will
00:36:08
Lewis good riddens has been terrible.
00:36:11
Bezos didn't. Bezos again did not step
00:36:13
in and deal with this guy when he was
00:36:15
very clearly [ __ ] up. So that's my
00:36:17
thoughts. You don't have to have any,
00:36:19
but you can.
00:36:20
>> Well, what I don't get is, and maybe
00:36:22
you've done some reporting here, we have
00:36:24
this ideas about putting together a new
00:36:25
group. The bottom line is it's subscale.
00:36:27
Why wouldn't the New York Times or even
00:36:30
>> Bloomberg,
00:36:30
>> the Wall Street Journal take this on and
00:36:34
starch out some of the overhead costs,
00:36:35
but take that traffic and a great brand
00:36:37
and try and do something with it?
00:36:39
>> They could. They could. They could. I
00:36:40
would think Bloomberg is always sort of
00:36:42
the one.
00:36:42
>> Oh, Bloomberg, that's a great one.
00:36:44
>> Bloomberg to me would be the most, but
00:36:46
he's, you know, he's getting on. I mean,
00:36:47
I hate to say it. A younger Bloomberg
00:36:49
certainly.
00:36:50
>> Um, that's that's always that was one of
00:36:52
the possible buyers way back when when
00:36:54
they were trying to keep it out of
00:36:55
Rupert Murdoch's hands. Um, but you're
00:36:57
right. The the the Wall Street Journal
00:36:59
would be interesting. The um but why why
00:37:02
I mean I could let's I'll call Meredith
00:37:04
Leban and ask her and she probably just
00:37:05
go what do I need that for?
00:37:07
>> Yeah. Why do I need that headache?
00:37:08
>> What do I need that headache?
00:37:09
>> Yeah, but they take
00:37:11
>> They've got a great They've got a great
00:37:13
Washington firm. They What do they get?
00:37:15
What are they getting? Nothing.
00:37:16
>> Well, I'm just gonna be very I'll I'll
00:37:18
tell you how this would work. They would
00:37:21
go in, they'd buy the brand, they'd buy
00:37:22
the subscription, they'd pick their 40
00:37:24
or 60% most talented
00:37:27
uh journalists,
00:37:28
>> most of whom they'd hired, but go ahead.
00:37:30
>> They they'd clear out the admin, the
00:37:33
sales teams. I mean, the bottom line is
00:37:35
print journalism or whatever you want to
00:37:37
call this type of journalism is in
00:37:39
structural decline.
00:37:40
>> Y
00:37:41
>> and it requires and everyone wants to
00:37:43
talk about reinvention. Sure, you have
00:37:45
to invest innovation, but more than
00:37:46
anything, it requires consolidation and
00:37:48
cost cutting. Yeah.
00:37:49
>> And the Washington Post, but I mean, why
00:37:52
wouldn't I would just think that the
00:37:54
Washington Post would be an outstanding
00:37:55
Washington bureau
00:37:57
>> and they've built a lot of credibility.
00:37:59
They have a big they have a decent
00:38:00
subscriber base, but they don't have the
00:38:02
techn. It's not a decent it was until
00:38:05
this past year. It's it's cratered
00:38:08
because of decisions Jeff Bezos has
00:38:09
made, direct decisions by Jeff Bezos.
00:38:13
I've heard their traffic their their
00:38:15
website traffic is off by nearly a half
00:38:17
in the last three years.
00:38:18
>> Anyway, um it's it's
00:38:20
>> but you're buying you're buying a great
00:38:22
brand, a vehicle is how I look at it,
00:38:23
>> right? But but what you have to do is I
00:38:25
mean to a certain I hate to say this,
00:38:27
it's almost it's a perfect candidate for
00:38:28
a prepackaged bankruptcy. And that is
00:38:31
you declare bankruptcy. You clear out
00:38:33
all the obligations including probably
00:38:35
of an overpriced headquarters, all the
00:38:38
obligations they have and you say,
00:38:40
"Okay, 30% of you are keeping your job
00:38:43
and that's it." I mean, this is no
00:38:46
solution here is elegant that's going to
00:38:48
paint a brave new everyone's hoping. If
00:38:50
there's some guy who comes in and
00:38:52
thinks, you know what, I got five or six
00:38:54
billion dollars. I'll waste a billion
00:38:55
over the next 10 or 20 years. Fine. I
00:38:57
don't know if that person It's like they
00:38:58
say in therapy, no one's coming to save
00:39:00
you.
00:39:00
>> Yeah.
00:39:01
>> But I don't I I
00:39:04
>> It is a great brand. There's It's a
00:39:07
great brand and there's a lot you could
00:39:08
do with it that's different and that
00:39:10
that if if you had some of the breathing
00:39:12
room, but you got this mealsome owner
00:39:14
who every time he meddles does something
00:39:16
stupid. He hires
00:39:17
>> Do you think he's medalsome? I
00:39:19
>> I do. I think he is. I think he's he he
00:39:21
meddled in the Kamla thing. It was him.
00:39:24
He meddled in um all manner of things
00:39:27
here. He's meddled in a lot of stuff.
00:39:29
And you know what? Let me just tell you,
00:39:30
Jeff Bezos, let me speak to you
00:39:32
directly. You are an astonishing
00:39:34
entrepreneur. You did amazing things
00:39:35
with Amazon. You went left when everyone
00:39:37
went right. Everyone didn't believe you.
00:39:39
You really know how to run an e-commerce
00:39:41
company and you're okay at space. I
00:39:44
think it's a little bit more of a luxury
00:39:45
for you, but whatever. Go for it. I
00:39:47
don't care if you spend your money
00:39:49
there. But you don't know squat about
00:39:51
media at all. And to to act like you're
00:39:54
an expert in this is really exhausting
00:39:56
and you're not. You suck at it. You
00:39:58
should get out of it and you're just not
00:40:00
good at it. I don't know why we listen
00:40:01
to you for 5 seconds on this topic.
00:40:04
There's lots of smart people who know
00:40:05
about this. You should put the put it in
00:40:07
their hands or just sell it. Just sell
00:40:08
it. You don't
00:40:09
>> The problem is
00:40:10
>> by Vogue, Jeff. Go ahead. Sorry.
00:40:12
>> Yeah. Go. Bye-bye. The problem is
00:40:13
whoever buys this is inheriting an
00:40:15
unsustainable cost structure.
00:40:17
>> Yes.
00:40:17
>> And everywhere. So, it's either a
00:40:20
prepackaged bankruptcy or you say to the
00:40:22
current owner,
00:40:24
>> look, you're going to have to do the
00:40:25
hard work and clear out a lot of the
00:40:26
costs here,
00:40:27
>> which he may be doing.
00:40:28
>> You probably have to bolt it on to
00:40:30
another infrastructure, whether it's
00:40:32
Bloomberg or the NT or the Wall Street
00:40:34
Journal,
00:40:35
>> but if a bunch of people get jonesed up
00:40:37
into raising money and finding people
00:40:39
and try and reinvigorate the thing,
00:40:42
>> you're basically going to create, you
00:40:43
know, it's trying to bring Frankenstein
00:40:45
back for a second time.
00:40:46
>> Well, I would agree. There's a lot of
00:40:48
people who contact me and they get
00:40:49
disappointed because I go well that's
00:40:51
not econom like let we need this. One of
00:40:53
the things that the reporters do is
00:40:54
they're like we have need this for
00:40:55
democracy. I agree with that but you
00:40:57
still have to run a business. Like I I
00:40:58
say that I'm like don't make that the
00:41:01
argument. It's of course the arg it's
00:41:02
the it's the unders. The press is very
00:41:04
important for the future. It's always
00:41:06
been and uh it's part of the many things
00:41:08
that are that help our our democracy
00:41:11
thrive. And that's not the argument you
00:41:13
have to create. It's I always say I said
00:41:15
it to someone I think they were
00:41:17
disappointed because they wanted me to
00:41:18
be like let us grab like Jon of Arc. I
00:41:21
was like it's called the news business.
00:41:23
You got to make a business out of it and
00:41:24
you got to figure it out and get the
00:41:26
costs in line. And what I think has
00:41:28
happened here is you know it's been so
00:41:32
um distant and mealsome at the same
00:41:35
time. It's Will Lewis was incompetent
00:41:37
and mealsome at the same time and kind
00:41:40
of cruel not to say anything while you
00:41:43
did it. I mean, how, as you say, how you
00:41:44
leave is how you how you be like, how
00:41:47
you leave is critically important. And
00:41:49
him showing up all ragged look at the
00:41:52
NFL parties while he was laying off
00:41:55
people just not a good look. It's just
00:41:57
not a good it's not respectful. And
00:41:58
these people have worked hard, a lot of
00:41:59
them, and so most of them actually. And
00:42:02
that's the I don't know. I I don't know.
00:42:04
You're right. It has to something
00:42:06
something fresh SM but to me it's a
00:42:08
great vehicle for somebody for including
00:42:11
I have some ideas but you know it's a
00:42:13
great vehicle and it's still not a dead
00:42:15
brand. That's my feeling. It's not. But
00:42:18
>> look, I I I'm I'm more
00:42:22
I'm I'm just um people will say that
00:42:25
this is another example of how democracy
00:42:27
dies of the Washington Post dies. And
00:42:29
this is the bottom line without
00:42:32
>> there's a ton and a lot of these people
00:42:34
will end up at places there's a ton of
00:42:36
sharp critical anti-establishment new
00:42:38
media brands. The Intercept, Democracy
00:42:40
Now.
00:42:41
>> Yeah. Jacobin, Chapo Trap House,
00:42:44
Citations Needed, Navaro Media, uh, The
00:42:47
Bull Work, True Anan,
00:42:49
>> a lot of them are doing original
00:42:50
reporting, but go ahead. Yes, go ahead.
00:42:52
>> Well, that's that's the correct point,
00:42:56
and that is there is no or little
00:42:58
economic viability
00:43:01
in hardhitting
00:43:03
investigative journalism, especially at
00:43:05
the local level. the amount of grift and
00:43:08
corruption and like name your local
00:43:11
state, you know, capital because there
00:43:14
aren't any reporters covering any of
00:43:16
this [ __ ] But the notion somehow that
00:43:19
we're not going to have any, you know,
00:43:21
really thoughtful, interesting, you
00:43:24
know, progressive media if the
00:43:25
Washington Post goes away. No, all of
00:43:27
those people will go to smaller cool
00:43:29
little media firms that are doing a
00:43:30
great job and quite frankly have figured
00:43:31
out a way to be more economically viable
00:43:33
at
00:43:34
>> total cash flow positive apparently.
00:43:36
Does the Does the Atlantic do well?
00:43:38
>> Yes.
00:43:40
>> Very smart. Nick Thompson, Lorine is a
00:43:43
great owner. Jeff Goldberg and very
00:43:44
tough. They're making products people
00:43:46
want. Like it's not This is the thing.
00:43:48
We'll stop talking about this thing.
00:43:50
Jeff, you're bad at this. Just at least
00:43:52
have a talk with me. Just meet me. I
00:43:54
don't like you. You don't like me. So
00:43:57
what? Big deal. I'd love to have a talk.
00:43:59
I know you're a smart person. Um, but
00:44:02
you really need to do something else and
00:44:05
not sell it to a hedge fund or the wrong
00:44:08
owners. Just do the right thing. Just
00:44:10
for the last for the last time, do the
00:44:11
right thing.
00:44:12
>> I don't know. I can't handle the
00:44:13
Atlantic. Every headline feels like it
00:44:15
was written by someone who's
00:44:16
disappointed in you but still wants to
00:44:18
be invited to your wedding.
00:44:20
>> They've done some amazing reporting.
00:44:21
It's not true. They've done You don't
00:44:22
read it enough. You just read headlines.
00:44:24
>> The Atlantic doesn't do hot takes. It
00:44:26
does foreplay for a conclusion you
00:44:28
already disagree with.
00:44:28
>> God, it does not.
00:44:30
It's the only one that also has concern.
00:44:32
Sometimes I call bad Atlantic and good
00:44:34
Atlantic. Sometimes they do the most
00:44:35
irritating things. So you would like it.
00:44:37
They're contrarian.
00:44:38
>> I think the Atlantic is what happens
00:44:39
when someone at the bar who's like a
00:44:41
woke person that's not that attractive
00:44:42
makes eye contact with you.
00:44:44
>> No. No. It's doing great. It's doing
00:44:46
great. Anyway, let's go on a quick
00:44:48
break. When we come back, the latest
00:44:49
media merger gets Trump's seal of
00:44:52
approval. Support for this show comes
00:44:54
from Vanguard. If you're a financial
00:44:56
adviser, then you're probably thinking
00:44:57
about how to set up your clients for
00:44:59
success. A fixed income strategy like
00:45:01
bonds is a good place to start. However,
00:45:03
with tricky markets and rate shifts,
00:45:04
there may be some unforeseen risks.
00:45:06
That's why having a partner with scale
00:45:08
and expertise matters. Vanguard brings
00:45:10
both. Vanguard bonds are institutional
00:45:13
quality. Institutional quality isn't a
00:45:15
tagline. It's a commitment to your
00:45:17
clients. It means top grade products
00:45:19
across the board. The lineup includes
00:45:20
over 80 bond funds. They're actively
00:45:22
managed by a 200 person global squad of
00:45:25
sector specialists, analysts, and
00:45:26
traders. A lot of firms love to
00:45:28
highlight their star portfolio managers
00:45:30
like it's all about one brilliant mind
00:45:32
making the magic happen. Vanguard's
00:45:34
philosophy is a little different. They
00:45:36
believe the best active strategies
00:45:37
shouldn't be locked away with one
00:45:39
person. They should be shared across the
00:45:40
team. So, if you're looking to give your
00:45:42
client consistent results year in and
00:45:44
year out, go see the record for yourself
00:45:46
at vanguard.com/audio.
00:45:48
That's vanguard.com/audio.
00:45:51
All investing is subject to risk.
00:45:53
Vanguard Marketing Corporation,
00:45:55
distributor.
00:45:57
Scott, we're back with more news. This
00:45:58
is an interesting Speaking of media
00:46:00
stuff. This um President Trump is now
00:46:02
endorsing NextStar Media's takeover $6
00:46:05
billion acquisition of Tegna, saying it
00:46:07
will help knock out the fake news
00:46:08
because there'll be more competition.
00:46:10
These are two giant local firms. Back in
00:46:13
November, Trump seemed to be opposed to
00:46:15
the deal, writing on True Social, no
00:46:16
expansion of the fake news networks. No,
00:46:18
I guess they they sucked up to because
00:46:20
of Jimmy Kimmel. Everything else Nextar
00:46:22
owns or partners with over 200 stations
00:46:24
with the addition of Tegnet would cover
00:46:26
roughly 80% of the company country.
00:46:28
Excuse me. I would call that a monopoly.
00:46:31
Uh the FCC uh currently prohibits
00:46:33
companies from owning broadcast stations
00:46:35
that reach over 39% of US sold. So
00:46:38
that's double. So Trump obviously
00:46:40
shifted because I don't know is there
00:46:41
donation somewhere something else? I
00:46:44
don't know. But it's it's a massive it
00:46:46
they're allowing this merger and then
00:46:48
opposing the Netflix one. It is it's
00:46:50
it's so ridiculously hypocritical. Every
00:46:53
time they turn around they they like one
00:46:55
thing but not the other. Any thoughts on
00:46:56
this Tegna Nextstar thing?
00:46:59
>> Yeah, but the Atlantic is like the
00:47:02
person that ruins brunch by asking about
00:47:04
the long-term implication of eggs.
00:47:07
>> Okay, move.
00:47:09
They're doing great without your without
00:47:11
your insults. What? Tell me. Every
00:47:13
Atlantic journalist thinks that sex is a
00:47:15
phase you'll outgrow.
00:47:16
>> Okay, let's move along. Next star,
00:47:18
Tegna, much more significant.
00:47:20
>> I I've you and I are both talking to
00:47:22
Democratic candidates for president and
00:47:24
one of my one of the platforms I think
00:47:26
they should adopt
00:47:27
>> is um trustbusting.
00:47:31
You you we need to go the other way. We
00:47:34
need if you want to bring prices down,
00:47:35
you you can't have three chicken
00:47:37
companies. You can't have three
00:47:38
pharmaceutical companies. You can't have
00:47:40
four streaming media platforms. You
00:47:42
can't have one search engine. You need
00:47:43
to break all of these guys up. We need
00:47:44
to go the other way. And we need to
00:47:47
separate the whole point. I mean, let's
00:47:50
Can we talk about Ted Sarando's
00:47:52
congressional testimony because I think
00:47:55
it's related.
00:47:56
>> Sure.
00:47:56
>> You had some coin operated Republicans
00:47:59
who are being funded by the Ellison's.
00:48:01
>> Yeah. try to say
00:48:03
>> Scott particularly recently has been
00:48:05
>> try to say I'm worried about Netflix
00:48:07
claiming that 50% of Netflix children's
00:48:10
programming is LGBTQ content.
00:48:12
>> Yeah.
00:48:13
>> And and just so you know
00:48:14
>> they never cared about antitrust.
00:48:16
>> Media companies are allowed to have a
00:48:17
viewpoint.
00:48:18
>> Fox has a viewpoint. It has a bias.
00:48:21
>> CNN has a viewpoint. It has a bias.
00:48:23
Netflix, as far as I can tell, is the
00:48:25
most apolitical of all of them.
00:48:26
>> Agreed. They really do. The way it works
00:48:28
in a capitalist society is the person
00:48:30
with the biggest check shows up and then
00:48:32
it goes under regulatory review around
00:48:34
whether the concentration of power will
00:48:36
ultimately be bad for consumers. It has
00:48:38
nothing to [ __ ] do with how much
00:48:39
LGBTQ content you think incorrectly has
00:48:43
been incorporated into kids content. And
00:48:45
to see all of a sudden these Republican
00:48:47
lawmakers start talking about media bias
00:48:50
and free speech, it's just insane. It's
00:48:53
like, okay, how much money are you
00:48:55
getting from the Ellisons who don't want
00:48:57
to do what you do in a capitalist
00:48:58
society and just pay more for the prize
00:49:01
you want? So, this politicization or
00:49:05
weapon is a the Trump should have
00:49:07
nothing to do with any of this. He
00:49:09
should be Oh, well, as far as I
00:49:10
understand, highest bidder wins and I
00:49:12
appointed the FTC and the DOJ to do a
00:49:13
review.
00:49:14
>> Yeah,
00:49:14
>> that's it.
00:49:16
>> Even the shifted he shifted. He shifts
00:49:18
on everything depending on who gives him
00:49:20
money. But that's, you know,
00:49:22
>> Yeah. So, I don't I hope that and by the
00:49:24
way, I've said and I talked to Ted
00:49:26
Sandos over the weekend. I've said I
00:49:28
hope neither of them get it. I think
00:49:29
there's too much concentration of power
00:49:31
here. I don't think I don't think one
00:49:33
man should control Tik Tok, CBS News,
00:49:35
and CNN. And I also don't think Ted
00:49:37
should control what is kind of I call it
00:49:40
the Walmart of content with Netflix and
00:49:41
the LVMH, HBO. I'm like ultimately
00:49:44
that'll give you too much pricing power.
00:49:46
It'll be good for shareholders. So, I
00:49:47
would, if I were on your board, I would
00:49:48
tell you to do exactly what you're
00:49:50
doing. But we don't need one man owning
00:49:53
Tik Tok, CBS, and uh CNN, and we don't
00:49:57
need one person owning HBO, and
00:49:59
>> it's not one I mean, Ted is not the
00:50:01
Ellison. The Ellison are own
00:50:02
>> Well, one company, but they'll all be
00:50:03
focused on
00:50:04
>> you. You get my meaning here.
00:50:06
>> I get it. Except that the Ellison's have
00:50:08
promised to change of of all the people
00:50:10
that are actually trying to change it.
00:50:12
The Ellison have promised Trump they'll
00:50:14
make CNN.
00:50:14
>> Netflix is the least political. Correct.
00:50:16
Their bias is more subscribers and
00:50:18
shareholder value. That's what their
00:50:20
bias is.
00:50:21
>> The Ellison seem to have more of a
00:50:24
>> quote unquote political scale.
00:50:26
>> Yeah. Yeah. More of a political bias.
00:50:27
Although at some point they're going to
00:50:29
have to be what I don't get. You know
00:50:31
what they've really missed and I told
00:50:32
Ted this on Saturday and he's just not
00:50:35
like this cuz he's too much of kind of
00:50:36
like a gentleman farmer. It if if
00:50:40
Netflix wanted to go gangster, they'd do
00:50:42
the following. They'd get every single
00:50:45
labor union in Hollywood to recognize
00:50:47
one fact. If Netflix takes over, let's
00:50:52
assume one of them gets it. If Netflix
00:50:53
takes over uh Time Warner, I think
00:50:57
employment will be flat, maybe to a
00:50:59
little bit down. If the Ellison's get
00:51:02
this thing at the price they're going to
00:51:03
have to pay for it, and they're kind of
00:51:04
ground zero for AI, do you know what's
00:51:07
going to happen to the the employees at
00:51:10
these companies?
00:51:11
>> Yes, I do. Dad is going to say, "All
00:51:14
right, we've got to figure out a way to
00:51:15
justify this cost. By the way, I am huge
00:51:18
into compute and inference and I'm
00:51:20
buddies with Sam Alman. I have no love
00:51:23
for Brian Cranston or these directors or
00:51:25
these precious screenwriters or script
00:51:27
writers at Spongebob Squarepants. How
00:51:30
can we use AI to take out which they've
00:51:32
talked about 80%
00:51:34
>> that is their big calling card even
00:51:36
though
00:51:38
hey writers grilled hey uh AFTA and SAG
00:51:41
do you realize the literally the ass
00:51:43
[ __ ] and not the good kind you are
00:51:45
about to get if the Ellison's and AI
00:51:49
have to justify the the price that Zazz
00:51:52
has been able to get.
00:51:54
>> Larry's numbers are off rather
00:51:55
significantly too. He's lost billions
00:51:57
and billions. He's way down. I mean, he
00:52:00
doesn't have the extra money to spend.
00:52:01
So, they're really going to cut. They're
00:52:03
really going to because this is a
00:52:04
ridiculous
00:52:06
extravagance for them. This is an
00:52:08
extravagance. This is a yacht that
00:52:10
they're buying. Um, I would agree. But
00:52:12
on that topic, the FCC under, you know,
00:52:14
village idiot Brendan Carr has launched
00:52:17
a probe into the view. The FCC is
00:52:19
investigating whether the show broke
00:52:20
equal time rules for interviewing
00:52:22
political candidates after the show
00:52:23
interviewed Democratic Texas Senate
00:52:25
candidate James Telerico. Uh, I I think
00:52:29
what the view should do is invite
00:52:30
Brendan Carr on and have them eat him,
00:52:32
all those ladies, cuz they would take
00:52:34
him apart bit by bit. Another thing
00:52:36
that's stupid. Like just stupid. Like
00:52:38
what are you doing? This is not making
00:52:40
the airwaves safer for anybody or better
00:52:42
or more fair. This is just you playing
00:52:44
politics for your next job, you dumbass.
00:52:48
All right, that's all I have to say
00:52:49
about branding car. Your thoughts?
00:52:52
>> We need an FDC and a DOJ that do their
00:52:54
job.
00:52:54
>> FCC, but go ahead. Yeah.
00:52:56
>> Well, okay. whatever the same above. I
00:52:59
these aren't supposed to be weapons of
00:53:01
enriching the president and his allies.
00:53:03
>> Yep.
00:53:04
>> This is all the same. This is all cut
00:53:06
from, you know, the same cloth here.
00:53:08
These are supposed to be independent
00:53:09
agencies. They think about the consumer.
00:53:11
Also think about shareholder value. Also
00:53:13
think about the health of US markets.
00:53:15
But again, it's the boring [ __ ] nobody
00:53:17
wants to talk about. The our markets
00:53:19
have become way too consolidated. And
00:53:22
the result is they have way too much
00:53:23
pro. We, you know, we have, we have two
00:53:25
good schools in every major city. We
00:53:26
need five. They need to be competing
00:53:28
with I just went through this early
00:53:29
admissions [ __ ] They quote unquote
00:53:32
take the admissions rate from 9% to 14%.
00:53:34
So, we all go early admissions. Do you
00:53:36
know what that means?
00:53:37
>> What?
00:53:37
>> I'm sorry. Early decision.
00:53:39
>> It means if you get in, you have to go.
00:53:41
What What do you think happens if you
00:53:43
The deal is the following. And this
00:53:45
happened with my son. You pick one
00:53:47
school, they they tempt you with a
00:53:48
higher admissions rate. If you get in,
00:53:51
you have to immediately withdraw all
00:53:53
applications from every other
00:53:55
university. What does that do? It gives
00:53:57
you no pricing power. You can't ask for
00:54:00
financial aid. You can't ask for a
00:54:02
scholarship. So, what do they get to do?
00:54:05
They get to increase their prices faster
00:54:07
than inflation, which education has
00:54:08
done. And by the way, the agency that
00:54:11
provides accreditation such that you can
00:54:12
get debt from the government, low
00:54:14
interest debt to pay for your student
00:54:16
loans, has not admitted almost any new
00:54:19
universities. So, in every major city,
00:54:21
there are two great schools and that's
00:54:23
it. That's it.
00:54:24
>> Did the Galloways just get the bill for
00:54:26
school? I just think
00:54:28
>> Jesus Christ.
00:54:29
>> I know. I know. I'm almost
00:54:31
>> It's lucky I'm a rich man. I sat my son
00:54:33
down yesterday.
00:54:34
>> I'm on my last couple couple of
00:54:36
>> I want to give you a lesson in tuition
00:54:39
and what it means to pay for tuition and
00:54:41
post tax dollars and how much this meal
00:54:43
plan is going to cost you and just how
00:54:46
ridiculously blessed you are. By the
00:54:47
way, be [ __ ] nicer to your mother
00:54:49
after I go through these numbers with
00:54:50
you.
00:54:52
>> It is. Do you realize
00:54:54
>> the gall?
00:54:57
>> When you think about the means of
00:54:58
getting ahead and the means of
00:55:00
establishing a family and saving, you
00:55:02
think about education, you think about
00:55:04
housing. And what has my generation
00:55:06
done? They have purposely created
00:55:07
scarcity such that the houses and the
00:55:10
degrees we already own skyrocket in
00:55:12
value, which is absolutely [ __ ] young
00:55:14
people. How on earth does any middle
00:55:16
class family send a good but not
00:55:18
freakishly remarkable kid to college
00:55:20
these days? How does that happen? And
00:55:23
then you know one of the reason you know
00:55:25
one of the reasons why these gambling
00:55:26
sites are booming and gaming is booming
00:55:28
because if you're not saving for a
00:55:30
house, you're more inclined to buy
00:55:31
crypto or do stupid [ __ ] with your money
00:55:33
and you're less inclined to stay in a
00:55:35
relationship or taking a risk on a
00:55:36
relationship because you're not saving
00:55:37
for a house or building anything.
00:55:39
>> Yes indeed. Yes indeed. I did do a 529
00:55:42
many many years ago for the boys and I
00:55:44
was very aggressive and I was glad I
00:55:45
was. The stock market did well and was
00:55:47
able to pay for their college using
00:55:49
that. But I have to say it's not I know
00:55:51
sometimes those 529s aren't the way to
00:55:52
go but that's what I did and it worked
00:55:54
out for me. But God
00:55:56
>> I got the tuition my this I'm like I
00:55:58
said to my son I'm like this is a state
00:56:00
school. Wait, hold on. What's going on
00:56:02
here? This is a state school.
00:56:03
>> I know you haven't even gotten food and
00:56:05
living.
00:56:06
>> Oh my god.
00:56:07
>> I know. I know. Welcome. You know what?
00:56:09
I'm going to go down there with you when
00:56:10
you go visit him.
00:56:11
>> Oh, we're going to have so much fun.
00:56:12
>> So much fun.
00:56:13
>> We're going to the UVA We're going to go
00:56:14
to the UVA Cal game. It's going to be
00:56:16
amazing.
00:56:17
>> I'm coming down there. I love UVA.
00:56:18
>> Oh, it's going to be a ton of fun. Um
00:56:20
>> he's already told me I told him last
00:56:22
night I'm coming down to the UVA Cal
00:56:23
game. You know what he said? No.
00:56:24
>> Like, oh, that's going to be funny. He's
00:56:25
like, I don't know if I can get you
00:56:26
tickets to the football game. I don't
00:56:27
know.
00:56:28
>> Doesn't matter. We just want to come
00:56:29
down. We ride horses.
00:56:30
>> Something tells me I'm going to I'm
00:56:32
going to figure out a way to get my own
00:56:33
ticket. He's already making excuses.
00:56:35
He's already envisioning me embarrassing
00:56:38
him in front of his friends. He's
00:56:39
already trying to discourage me from
00:56:41
coming to a football game next seme or
00:56:42
in fall. Yeah. Anyways, we're going
00:56:44
down.
00:56:45
>> All right, we're going. Scott and I are
00:56:46
riding our horses down there. All right,
00:56:48
one more quick break. We'll be back for
00:56:50
wins and fails.
00:56:52
>> Support for the show comes from Wix.
00:56:54
When you're building a website, finding
00:56:55
a creative flow feels great. You're
00:56:57
spitballing aesthetics, functionality, a
00:56:59
growing list of ideas, but then you
00:57:00
think, "Okay, how do I actually make
00:57:02
this happen?" If that's where you get
00:57:03
stuck, then look no further than Wix.
00:57:05
You can make a greatl looking website
00:57:07
with Wix and you can do it your way.
00:57:08
Whether you want AI to jump in or you
00:57:10
prefer to do things yourself, Wix is
00:57:12
packed with actually useful AI features
00:57:14
and agents built specifically for SMB so
00:57:17
you can grow your business without
00:57:18
burning out. Get a custom readytouse
00:57:20
website in minutes with Wix's AI website
00:57:22
builder or choose from designer made
00:57:24
templates. Get built-in solutions
00:57:26
tailored to your business from ecom to
00:57:27
services and you can rest easy knowing
00:57:29
that your Wix site is backed by 99.99%
00:57:32
uptime and enterprisegrade security. No
00:57:33
add-ons required. And enjoy easy,
00:57:35
fussfree domain registration, web
00:57:37
hosting included. 280 million businesses
00:57:40
around the world rely on Wix for their
00:57:41
websites. Because with Wix, you can own
00:57:43
your individuality, create freely, and
00:57:45
scale fearlessly. Ready to create your
00:57:47
website? Go to wix.com. That's wix.com.
00:57:53
Okay, Scott, let's hear some wins and
00:57:55
fails. I think I'll go first. My fail as
00:57:58
always, Elon seems to be abandoning his
00:58:01
plans to go to Mars. He posted over the
00:58:02
weekend that SpaceX has shifted his
00:58:04
priorities to build a self-growing city
00:58:06
on the moon in order to get to Mars so
00:58:09
that we can save the human race. This
00:58:11
guy changes his tune so much. It's just
00:58:15
like, oh my god, when are you gonna stop
00:58:17
believing this nonsense? He's done an
00:58:19
amazing job with the things he's had
00:58:21
here on Earth, but not not compared to
00:58:23
the lies he tells about what he's going
00:58:25
to be doing in the future. But he's
00:58:27
going to the moon, folks. So, that's
00:58:28
what he's doing. Again, sounds good. He
00:58:31
should go. I think it's a great idea.
00:58:34
More Elon Off the Planet, the better.
00:58:36
Sounds great. My win is I got Scott
00:58:39
Galloway to watch Heiden Rivalry.
00:58:43
How'd you like it, Scott?
00:58:45
I did it on edibles when I was jetlagged
00:58:48
and I am rethinking everything, Cara.
00:58:50
I'm absolutely rethinking everything. I
00:58:52
I thought it was I thought it was
00:58:56
wonderful. I really um it's just really
00:58:59
well done and I think it's important.
00:59:03
I think young people need to have more
00:59:04
sex and I think
00:59:06
>> there's a lot of sex in it.
00:59:08
>> Oh my god, crazy sex.
00:59:11
>> Um
00:59:11
>> well, sex is their way to get to
00:59:12
intimacy. You do see that, right? That's
00:59:15
how they
00:59:15
>> Well, dudes use sex for intimacy. Women
00:59:17
use intimacy for No, wait. Women use sex
00:59:19
for intimacy. Men's use intimacy. I did
00:59:22
some of it kind of shocked me and like I
00:59:24
immediately had to go to that lesbian
00:59:25
series just to get my mojo back.
00:59:27
>> Yeah, a little bit. Little bit. Um,
00:59:31
>> I'll tell you interesting. I interviewed
00:59:33
the creators. You should go with that.
00:59:35
They're Canadian, right?
00:59:36
>> The Canadians. Yeah. Yeah.
00:59:37
>> Yeah. I want to do an erotic drama about
00:59:39
the behind thescenes going on of the
00:59:41
world's best bad mitten team.
00:59:44
>> That's what everyone's saying. Like
00:59:45
they're like, "What about rugby? What
00:59:47
about this?" Can I make one other
00:59:48
observation? I think one of the things
00:59:50
about it, and then you can get your win
00:59:51
and fails, is that there's this there
00:59:53
was one of the things they said in the
00:59:54
interview, and I think there was this
00:59:55
whole incredible market of people who
00:59:57
like this particular book series. It's a
00:59:59
romance novel for women, right? This is
01:00:02
a women, straight women oriented romance
01:00:06
novel that was hugely popular. And one
01:00:08
thing they're like, how could it miss
01:00:09
when it had such a massive market of
01:00:11
fans and people ignore these markets?
01:00:14
And that's that's one of the reasons
01:00:16
it's already caught on with everybody
01:00:17
else. But the initial strength of it was
01:00:20
for this romance novel market that that
01:00:23
all these sort of guys that are like
01:00:26
greenlighting things did not understand.
01:00:28
And I thought that was a real win for
01:00:30
smart creators who understood who
01:00:33
understand where there is fan bases in
01:00:35
market. So I thought that was it. I
01:00:36
talked a lot about the business of
01:00:38
heated rivalry with these guys. Um and
01:00:40
so I thought that was it's just a real
01:00:42
win on a business point of view too. All
01:00:44
right. Your wins and fails.
01:00:48
>> Yeah. And I go I come back to
01:00:52
um when I was thinking about a heated
01:00:54
rivalry because everyone's asking me
01:00:55
what do you think about rival? Um I
01:00:58
think a decent place to start an entire
01:01:02
political platform or guidance for
01:01:05
um
01:01:07
a political system, an economic system.
01:01:10
It sounds corny. It's love. And that is
01:01:13
all right. If if people can't make
01:01:15
enough money in a lowemployment economy
01:01:18
such that they're so stressed out they
01:01:20
can't raise their kids well that
01:01:22
economic policy is getting in the way of
01:01:24
love and we need to revisit it. If the
01:01:27
divorce rates are skyrocketing because
01:01:28
of economic anxiety and because 40% of
01:01:31
of households have medical debt that's
01:01:35
getting in the way of love. We need we
01:01:36
need to stop it.
01:01:38
If if any sort of discrimination is
01:01:40
stopping people from loving each other,
01:01:42
committing to each other, and I think
01:01:44
marriage is a good thing because it, you
01:01:46
know, it stops you from exiting
01:01:47
relationships just because they both
01:01:49
have outdoor plumbing that's getting in
01:01:51
the way of love. I think you could
01:01:53
reduce I think the whole nation, the
01:01:55
whole idea of a a prosperous nation, we
01:01:57
tend to think it's the S&P. It's not.
01:01:59
It's someone's ability to find someone
01:02:01
else and to share their life with them
01:02:03
and notice each other's life. And that's
01:02:06
why I'm I I think the sex recession
01:02:08
among young people is absolutely
01:02:10
terrible. And I also think about all the
01:02:12
men I grew up with who basically
01:02:15
imposed society imposed on them a set of
01:02:18
rules and standards that said you're not
01:02:19
supposed to be in love because your your
01:02:22
inclinations towards love are to are
01:02:24
perverted according to our laws. But I
01:02:26
think you could literally start from the
01:02:28
notion of love or connecting with
01:02:30
someone economically, spiritually,
01:02:32
psychologically, financially and reverse
01:02:35
engineer into what makes good uh public
01:02:38
policy.
01:02:39
>> Yeah.
01:02:39
>> Anyway,
01:02:40
>> there you go. Love, sweet love. That's
01:02:41
what bad said.
01:02:42
>> That's my platform.
01:02:43
>> That was what he said. Love. Okay. Okay.
01:02:46
Wins and veils. Okay. So, my win, my
01:02:49
win, I'm trying to bring attention to
01:02:51
some younger creators who I just think
01:02:53
are outstanding. And I consistently find
01:02:55
myself on this one creators. I brought
01:02:57
up Kylo Scanland, this young uh uh it's
01:03:01
got to be 26 female economists who I
01:03:02
keep bringing on uh PropG. Uh but
01:03:06
recently I find myself just absolutely
01:03:09
obsessed with this guy on Tik Tok named
01:03:11
Gio Husar
01:03:13
and he talks about economics and
01:03:17
geopolitics and he'll go deep into the
01:03:19
weapon systems of Ukraine versus Russia
01:03:22
and while the oil infrastructure for
01:03:25
Russia's collapsing he'll talk about the
01:03:27
Fed and interest rates and this guy is
01:03:30
just so it's like the eighth grade kid
01:03:33
who was kind of introverted and good at
01:03:34
math.
01:03:35
and he's found Tik Tok and he's just
01:03:38
[ __ ] fascinating and he does you can
01:03:40
tell he just does the work and so much
01:03:43
of my thought uh leadership or my views
01:03:46
on economics and geopolitics are
01:03:48
informed by this guy's amazing work. So
01:03:51
people are consistently asking me where
01:03:54
what are my sources of information. I
01:03:55
get a lot, I gotta be honest, I get a
01:03:57
lot from social media. And this one guy
01:03:59
on TikTok, Gio, the Gioar for
01:04:02
geopolitics and economics is a gift. And
01:04:05
it's also, to be clear, a real
01:04:08
endorsement of these platforms. He's not
01:04:10
he's not um, you know, he's not Dan
01:04:14
Rather or he doesn't have, you know,
01:04:16
he's not um, Brian Williams. He doesn't
01:04:19
have that polish. He just does the math
01:04:22
and he's sort of unafraid. Anyway, my
01:04:24
win is Gio Husar. Uh, he's fantastic.
01:04:26
Check out his content. My loss is the
01:04:29
following. I I've I get criticism for
01:04:36
too easily comparing
01:04:39
uh the Nazis to the Trump
01:04:42
administration. And what I do think is
01:04:45
fair though is looking at kind of
01:04:46
latestage Weimar Republic and what was
01:04:49
going on then in the Trump
01:04:50
administration. And some of the things
01:04:52
we share were a secret police loyal to
01:04:54
one man, not to an institution. A
01:04:57
collapse in the cultural and economic
01:04:58
standing of middle class men. Back then
01:05:00
it was about industrial
01:05:02
industrialization and automation. Now I
01:05:04
would say it's about AI. This notion
01:05:06
that the enemy wasn't abroad but it was
01:05:09
the enemy within. The fact that we
01:05:11
started shipping people to different
01:05:14
sites outside of the country where they
01:05:15
had some sort of legal protection. Uh
01:05:18
what we also had in the 30s was a lot of
01:05:21
the people in power very purposely
01:05:24
started comparing
01:05:26
um undesirabs or their enemies whether
01:05:29
it was gypsies or socialists or trade
01:05:31
unionists or Jews. They started
01:05:34
comparing them purposely to animals.
01:05:37
And when I saw the president this week
01:05:41
compare the Obamas, President Obama and
01:05:44
First Lady Obama to animals to apes.
01:05:49
You know, we have seen this before. When
01:05:52
you normalize the dehumanization of
01:05:54
people based on their ethnicity or on
01:05:56
their beliefs or on their religion,
01:05:59
you have to shut that [ __ ] down right
01:06:02
away. And the notion that, oh, he didn't
01:06:05
see it or you can't take him literally.
01:06:08
Well, okay. What would you know? The 60
01:06:11
million people who died in World War II
01:06:13
would like a word. When the president of
01:06:16
the United States is referring to past
01:06:19
presidents and people who have been an
01:06:21
absolute blessing to this society, when
01:06:23
he starts comparing them to animals, we
01:06:26
are
01:06:28
1930s Germany. It has never been
01:06:31
accepted before in our society. We have
01:06:33
never normalized it. We have never
01:06:35
allowed it. And this individual is
01:06:38
talking about he's referred to his
01:06:40
political enemies as vermin as animals.
01:06:43
And so all of the notion that more
01:06:47
Republicans have not stepped up and said
01:06:51
we just can't have this. We cannot go
01:06:54
back. We cannot be like Germany. You
01:06:57
can't have democratically elected
01:06:59
leaders referring to their political
01:07:00
enemies as animals. And so my fail is
01:07:04
that so many people seem to be making
01:07:07
excuses for it than not checking back on
01:07:10
it. This is a different level of danger
01:07:13
when we start convincing people. And we
01:07:16
need Republicans here. Democrats will
01:07:18
always find reasons for why everything
01:07:20
Trump does is wrong. If at some point
01:07:22
Republicans, you know, John Thun, who I
01:07:24
think is a good man, if he doesn't stand
01:07:26
up and say, "You can't equate our
01:07:30
political enemies with animals."
01:07:32
>> Do that like Tom Tillis when they're not
01:07:34
running again, then they get then they
01:07:36
>> Well, then they find their balls.
01:07:37
>> Yep. Yep.
01:07:38
>> Anyways, my win is the Gioar. My loss is
01:07:41
the normalization of referring to people
01:07:43
as animals. It leads to very dark
01:07:46
places.
01:07:47
>> Yeah, I think your comparison is just
01:07:49
mine. But anyway, uh before we go,
01:07:51
listen up. You if you have a juicy
01:07:53
situation you'd like our advice on, call
01:07:55
us at 85551
01:07:58
pivot, think work, dating, family,
01:08:00
finance, make it juicy, people. This is
01:08:02
not career advice ask. This is I want to
01:08:04
date my coworker or I made a huge
01:08:06
financial decision. I regret type ask.
01:08:08
We want something a little more
01:08:10
personal. Um we can't wait to hear from
01:08:12
you on that. and elsewhere in the Cara
01:08:14
and Scott universe. For the last episode
01:08:15
of On, I spoke with longtime defense
01:08:17
attorney Abby Lol, who is representing
01:08:19
some of the most high-profile targets of
01:08:21
the Trump administration right now.
01:08:22
People like New York Attorney General
01:08:24
Leticia James, Federal Reserve Governor
01:08:26
Lisa Cook, and independent journalist
01:08:28
Don Lemon. And to and this is very much
01:08:31
to Scott's last point. Let's listen to a
01:08:33
clip.
01:08:34
>> I don't know that I thought that them
01:08:35
going after Don Lemon was their highest
01:08:37
priority. Right.
01:08:38
>> I should have known better because what
01:08:40
we know about this administration is
01:08:42
they're very good at basically saying if
01:08:45
this is my right hand, pay attention to
01:08:47
it while I do something with my left.
01:08:49
They are the administration of
01:08:50
distraction.
01:08:51
>> Okay, that's the show. Thanks for
01:08:52
listening to Pivot. Be sure to like and
01:08:54
subscribe to our YouTube channel. We'll
01:08:56
be back on Friday.
