Speaker 1: Because, yeah, the China chip market surge. We've been talking
Speaker 1: about chips for a long time and we've seen them
Speaker 1: pull back. So hey, what's the deal with the China
Speaker 1: chip market? Surgeon? Is this something to really be concerned
Speaker 1: about if your if your portfolio has SMH heavy, or
Speaker 1: you're in a chip sector heavy, is it time to
Speaker 1: start being concerned?
Speaker 2: It's time.
Speaker 3: I mean you always I wouldn't say concerned, but you
Speaker 3: should definitely be aware of what's happening. I think a
Speaker 3: few things happened over the past a couple of days
Speaker 3: and you might have missed them.
Speaker 2: So we'll go over the strategically.
Speaker 3: Esk Heinis signed a five hundred billion dollar deal with
Speaker 3: in Vidia. Why is that important? Esk Hynis is the
Speaker 3: leader in high bandwidth memory. They control sixty percent of
Speaker 3: that market. In Vidia obviously the leader when it comes
Speaker 3: to GPUs and obviously one of the top customers. What
Speaker 3: does that do from a strategic standpoint? It makes them say, hey,
Speaker 3: we're not just a customer anymore. We're gonna have to
Speaker 3: partner on infrastructure going forward. What does that do for
Speaker 3: the bottom line for in video? It brings down that
Speaker 3: cost and it now has a strategic partner that they
Speaker 3: can build out into the future. I think it's a
Speaker 3: brilliant idea second piece, and this is important Micron not Micron.
Speaker 3: Samsung signed a deal, a two hundred billion dollar deal
Speaker 3: with Broadcom. And why is that important? Well, again, number
Speaker 3: two in the high bend with the memory sector is Samsung.
Speaker 3: But part of this deal is not just the memory piece.
Speaker 3: They've signed it for packaging and manufacturing. So we talked
Speaker 3: about TSM earlier. With packaging and manufacturing, that is what
Speaker 3: they do. They're the world leader. It's not even a
Speaker 3: close second. The fact that Samsung is saying, hey, we
Speaker 3: wanted to do our own number one loosens the reliance
Speaker 3: on TSM, but allows Broadcom to have a strategic partner
Speaker 3: because they are making the custom ASIC silicone for.
Speaker 2: Google. We're talking about TPUs right.
Speaker 3: Companies are now saying, hey, in video, the GPU is great,
Speaker 3: we can't afford it. We want to do this internally
Speaker 3: and have our AI stack right here within our company.
Speaker 3: Sits right in that market, so if you're trying to
Speaker 3: do custom, they can help with the custom pieces.
Speaker 2: That's a strategic partnership. I love it. What does it
Speaker 2: say for Micron.
Speaker 3: Micron has to have a very very calculated next move,
Speaker 3: and I'll be interested to see what that partnership is.
Speaker 2: Does it mean the end for them? Absolutely not.
Speaker 3: They are still one of Nvidia's biggest customers because the
Speaker 3: bandwidth memory demand.
Speaker 2: Is very high.
Speaker 3: So I think overall, has the demand change, No, has
Speaker 3: a story changed. No, there are strategic moves that are
Speaker 3: happening inside of the book though. Now this is why
Speaker 3: I got a little bit of intellectual smoke for Apple,
Speaker 3: because they did something. There's a report allegedly it was
Speaker 3: in the journal yesterday. We're saying that there's a fight
Speaker 3: between Micron and Apple. And the reason was Apple was saying, hey,
Speaker 3: we have to raise our prices on our next age
Speaker 3: of devices because the memory shores and the fact that
Speaker 3: they've scaled price is going to affect our bottom line.
Speaker 3: And I said, okay, that's interesting, right. The company that
Speaker 3: used to dictate to people, Hey, whoever has the lowest price,
Speaker 3: that's who we're going with. And so you were a
Speaker 3: bully for ten years. You chose I'm gonna use asking Hiane,
Speaker 3: So I'm gonna use Samsung, I'm gonna use Micron. Whoever
Speaker 3: gives me the best deal I'm going with. The tables
Speaker 3: have now flipped. Now they create the price, and now
Speaker 3: they're saying, hey, well, how come you're charging that much?
Speaker 3: In fact, you're charging so much. Now we have to
Speaker 3: charge our customers more. That was the first piece. The
Speaker 3: next piece was that again allegedly, and Tim Cook and
Speaker 3: the Apple officials have gone to the White House say look,
Speaker 3: we either we either need to figure out what they're
Speaker 3: spending this money on because their profit margins are so high.
Speaker 3: Either they're keeping it or they they're price scouging. This
Speaker 3: is what their claim is on Micron. Because of that,
Speaker 3: they've asked now the President's team to allow American companies
Speaker 3: to buy Chinese memory chips.
Speaker 2: Why is that important?
Speaker 3: Well, if the Americans are allowed, the companies allowed to
Speaker 3: buy a cheaper chip, right, which now becomes a quote
Speaker 3: unquote national security issue. Is the reason why Nvidia couldn't
Speaker 3: sell there, right, And now China said we're not allowing
Speaker 3: you to sell and we're not even going to buy.
Speaker 2: That changes the dynamics. So either the White.
Speaker 3: House is going to have to decide allow Apple to
Speaker 3: buy and allow other American companies to buy. At the
Speaker 3: court of an American company like Micron.
Speaker 2: So Micron, you can't do that.
Speaker 1: You're talk about before as far as some people were saying,
Speaker 1: sixteen hundred dollars yep, is that?
Speaker 2: How do you feel about that?
Speaker 1: Right now?
Speaker 2: I'm still at that number. I think sixteen hundred is
Speaker 2: still the number by the end of the year. Still
Speaker 2: feel comfortable with sixteen A couple of reasons. Why all
Speaker 2: those things I just said to you tells me that
Speaker 2: the demand hasn't gone anywhere. Right.
Speaker 3: If the demand hasn't gone anywhere, and they're sold out
Speaker 3: to twenty twenty six and potentially sold out to twenty
Speaker 3: twenty seven, that story doesn't change. Do I think an
Speaker 3: administration will allow a company like Apple to buy from
Speaker 3: a Chinese manufacturer.
Speaker 2: When it comes to that, it will be financial fucking.
Speaker 3: Treason exactly now if they don't allow it. Now, what
Speaker 3: happens to Micron? Right once they say that you can't
Speaker 3: do it? Well, back to the price that you're going
Speaker 3: to pay until we figure out this bottlenecked situation. Now
Speaker 3: c x mt IPO today it ran up four hundred
Speaker 3: and fifty percent.
Speaker 2: Why is that point?
Speaker 3: Well, the Chinese are saying we're not going to use
Speaker 3: your memory, Samsung, we're not going to use your memory SKX, Micron,
Speaker 3: We're not using yours.
Speaker 2: We'll build our own. And we just went over this.
Speaker 3: When you're talking about building at scale, that takes time.
Speaker 3: When you're talking about building with efficiency, that takes time.
Speaker 3: Right now, these chips will only be used by government officials.
Speaker 3: They're not selling these to companies. It takes money to
Speaker 3: build an infrastructure. When you talk about capitals that's being raised.
Speaker 3: Think about how much money Micron is now worth. A
Speaker 3: year ago it was a two hundred billion dollar company.
Speaker 3: This year it touched a trillion. This company IPO today
Speaker 3: it hit eight billion. It was the largest land company
Speaker 3: in the country for the semiconductor space at eight billion.
Speaker 3: Do you think they have the scale to build out
Speaker 3: infrastructure to now compete with trillion dollar companies?
Speaker 2: Not yet, So we just got to be mindful of that.
Speaker 4: The only people who are worried about the destruction of
Speaker 4: SMAH and Micron or the people who are trading it
Speaker 4: and not holding it. The value of the chips. I mean,
Speaker 4: I love the clip before we even did Market Monday's
Speaker 4: AMD and videos talked about in twenty twenty, you can
Speaker 4: calculate the returns from there. That's the power of long
Speaker 4: term holding. Do I think Micron will come down some more?
Speaker 2: Yes?
Speaker 4: Do I think that the company is incredibly valuable, Yes,
Speaker 4: But the only people who are worried about it are
Speaker 4: in the trade of it and not holding the stock.
Speaker 4: This is not trading fucking Thursdays to us change for
Speaker 4: market Monday. To hold the equities forever, hold forever.
Speaker 3: But again, the vision for them is not can we
Speaker 3: win July November, December. China's vision is can we win
Speaker 3: in the next decade twenty years from now?
Speaker 2: Right? Can we build our own stack and be self reliant.
Speaker 3: We don't need South Korea, we don't need Taiwan, we
Speaker 3: don't need America.
Speaker 2: Can we do the independent? Yep? And that they also
Speaker 2: got twenty years from now, not today.
Speaker 4: But if you want to know what the market is
Speaker 4: going to fall to an event, the months in advans
Speaker 4: go to ininvest dot com and joint stock club prices
Speaker 4: are I think I put out one hundred and twenty
Speaker 4: prices and more to com.
Speaker 2: You want to know when stock club stocks if.
Speaker 4: You want to know what they do and get out
Speaker 4: any contagion event that's going to and the other thing.
Speaker 2: Y'all listen to too many people.
Speaker 4: I'm not gonna fix any mistakes from anybody who didn't
Speaker 4: make their millions from this.
Speaker 2: Sorry.
Speaker 4: So, whoever fucked up your portfolio, this is me talking.
Speaker 4: Whoever fucked up your portfolio. Don't come to me and
Speaker 4: say we'll fix this with your weekly rotation. Bullshit. Now
Speaker 4: he got to be diplomat. I'm rockefellow. I don't have
Speaker 4: time for it. If you fucked up your portfolio elsewhere,
Speaker 4: then go to the person who fucked them up and
Speaker 4: tell them to fix it. I've been telling you the
Speaker 4: no stock or no sector goes up nineteen perpetuity, y'all
Speaker 4: are you gambling? And even with the person say somebody
Speaker 4: stole your money, y'all thought it was because I made
Speaker 4: it look easy.
Speaker 2: Y'all thought it was a bunch of means. It's not.
Speaker 2: It's not.
Speaker 4: I'll bunk record my ship. I was free when y'all
Speaker 4: met me. I'm the only one who said I'm still
Speaker 4: still staying on it. You go back to the early episodes.
Speaker 4: What I loved then, I love now. You have to
Speaker 4: hold for a long period of time. But some of
Speaker 4: y'all don't want to hear it, and if you don't
Speaker 4: want to hear it.
Speaker 2: That's fine.
Speaker 4: One day I'm a car shot bowed offer.
Speaker 2: Up here.
Speaker 4: Sometimes like okay, even David Stared and MJ had a
Speaker 4: tumultuous little relationship, right, They made Mike sit down.
Speaker 2: Okay, but then when Mike came back, he said, well,
Speaker 2: you saw my values when we left. Allegedly the pipping
Speaker 2: bulls shot the pip love you. I know you danguished.
Speaker 4: It's different when Jordan in the league, and different when
Speaker 4: he leading the team versus Scottie is doing it. I
Speaker 4: am begging y'all also to the other part, and I
Speaker 4: hate the part in light of Dui going away. There
Speaker 4: are a lot of African American people who are paid
Speaker 4: agents of the state to.
Speaker 2: Tear down certain movements. I proved that before. Oh yeah,
Speaker 2: the state wilder than ever. I didn't say that.
Speaker 4: I said to state anyway, the state, so well, do
Speaker 4: what y'all want. After investments, I'm going to be gone,
Speaker 4: so