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All In Podcast Episode 208 Recap and Notes December 20 2024

December 20 2024

  • Jason misses Sacks
  • Aaron Levie joins the Pod
    • Subbing in for Sacks
  • Sacks
    • Thinks he’s a strong pick for AI, doesn’t know much about crypto
  • AI regulations
    • Earlier AI regulations were dumb - prescribing inane requirements - would have been bad to have each state with its own regulations
    • Benefitting from competition - would have been bad to have them meet as a council to release improvements
  • Crypto regulation possibilities
    • Stable coins
    • Tether and USDC making good businesses
    • SpaceX/Starlink leveraging stable coins
    • If everyone agrees on this - it could help global GDP a lot - credit card companies and the like charge ~3% of fees for transfers - this could go to 0
    • Stable coins is a good place to start because everyone agrees on this - BTC and other more speculative projects just invite too much animated conversation
    • Even crypto folks can’t agree on how to regulate parts of this industry
  • DOGE kills its first bill
    • CR was very long - ~1500 pages
    • With all kinds of random provisions that are not about CR or disaster relief
    • Spending is 23% of GDP ~$6T
    • It seems reasonable for government to provide disaster relief - but its also distorting markets - they’re providing insurance, etc for disaster prone areas
    • Founding Fathers enabled this in some ways - their expectation was that House members would provide the checks and balances because they represent the people - alternatively maybe they should have added some constitutional provisions - term limits, percentages, etc
      • They didn’t foresee that a significant portion of the electorate would be so dependent on the government - people are entitled and want it from the government if the free market isn’t providing it
    • Patrick Collison - choose 2 from good, cheap, fast is devious misinformation spread by the slow
    • People think Elon doesn’t understand the govt - but maybe the govt doesn’t understand Elon
      • DOGE has shown that just shining light on the issues using X will cause politicians to retreat to a reasonable ground
    • At some points in an IQ test if you’re on board or not if the best entrepreneurs are in the cabinet helping with this effort
    • This week in hypocrisy
      • Democrats complaining about Elon influence have no shame about Biden’s issues that was hid by the administration and the media too
      • This was deeply disturbing - that the American voting public was kept in the dark about Biden’s issues
    • Too much regulation is bad - see climate tech companies leaving California
  • NJ drones
    • Now FAA has instituted a temporary ban in NJ/NY area
    • Possibilities
      • Government experiment
      • Individuals causing trouble
      • Pysop
        • (Drone delivery business in China is ~$30B/year - they might have 100K flying cars soon - Metuan is a company that does drone delivery service)
        • You can stoke some fears by doing this and hurt US progress on drones
    • Some shoutouts to X journalists - Autism Capital, Geiger Capital, Kanekoa The Great
  • OpenAI for profit conversion
    • Elon is against it
    • Zuck is also against it?
    • Menlo Ventures chart on LLM market share 2023-2024 is painting a stark picture for OpenAI
    • Hardware war is important - Elon and Hyperscalers will be well positioned
    • Model promiscuity
    • “There are no secrets in AI”
    • If research is not an advantage - then compute and data are the game
    • Box has benefited - example: they give their customers unlimited storage but they operate at 80%+ margin - all the value is in the software on top
    • There is a limit to how much you can charge because Zuck is a counter balance with releasing his open models because someone can just host that
  • Great discussion on software industrial complex
    • Feature set inflation
    • Alex Karp and Satya Nadella had similar viral clips - compete on product, not your GTM team
    • AI agents coming for SaaS?
    • The regulators will always be humans
  • Gemini and Google’s successes in AI
    • Doing really well - they have a lot of data

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