1 00:00:00,200 --> 00:00:03,480 Speaker 1: How do you conclude a legendary business story, the story 2 00:00:03,520 --> 00:00:06,040 Speaker 1: of a company that started in a garage more than 3 00:00:06,080 --> 00:00:09,840 Speaker 1: twenty seven years ago and every single day expands further 4 00:00:09,920 --> 00:00:13,920 Speaker 1: into our neighborhoods, onto our screens, and throughout our lives. 5 00:00:15,160 --> 00:00:16,960 Speaker 1: How do you wrap up the story of an iconic 6 00:00:17,079 --> 00:00:21,520 Speaker 1: entrepreneur like Jeff Bezos who continues to dominate news headlines 7 00:00:21,840 --> 00:00:26,159 Speaker 1: and stir controversy. As I was pondering this question, a 8 00:00:26,200 --> 00:00:30,160 Speaker 1: funny thing happened. Jeff Bezos gave us an ending before 9 00:00:30,240 --> 00:00:34,040 Speaker 1: most people expected, and some bombshell news this evening from Amazon. 10 00:00:34,120 --> 00:00:36,440 Speaker 1: Jeff Bezos says he's stepping down as CEO. And this 11 00:00:36,479 --> 00:00:38,680 Speaker 1: is one of those announcements that when it came through today, 12 00:00:38,720 --> 00:00:41,279 Speaker 1: everyone went, oh, my gosh, what's happening. He's leading, He's 13 00:00:41,360 --> 00:00:43,240 Speaker 1: leaving the company. As far as day to day operation, 14 00:00:43,320 --> 00:00:47,520 Speaker 1: Jeff Bezos has announced that the quarter it was February second, 15 00:00:47,600 --> 00:00:51,639 Speaker 1: two thousand twenty one, and an earnings press release, Amazon 16 00:00:51,720 --> 00:00:55,000 Speaker 1: shocked the world it announced that its iconic founder was 17 00:00:55,080 --> 00:00:59,160 Speaker 1: leaving the CEO role. That summer, he would become executive 18 00:00:59,240 --> 00:01:03,560 Speaker 1: chairman and as protege. A guy named Andy Jassey who 19 00:01:03,640 --> 00:01:07,040 Speaker 1: ran Amazon Web Services would step into the top spot. 20 00:01:07,920 --> 00:01:11,200 Speaker 1: Beazo said he would remain actively involved in new projects 21 00:01:11,240 --> 00:01:14,720 Speaker 1: at the company, but he also spoke of other priorities. 22 00:01:15,200 --> 00:01:18,360 Speaker 1: He sent a memo to all Amazon employees. I asked 23 00:01:18,360 --> 00:01:21,160 Speaker 1: my colleague to read a selection from it. Being a 24 00:01:21,240 --> 00:01:25,360 Speaker 1: CEO of Amazon is a deep responsibility, and it is consuming. 25 00:01:26,160 --> 00:01:28,880 Speaker 1: When you have a responsibility like that, it is hard 26 00:01:28,920 --> 00:01:32,200 Speaker 1: to put attention on anything else. As executive chair, I 27 00:01:32,240 --> 00:01:35,880 Speaker 1: will stay engaged in important Amazon initiatives, but also have 28 00:01:35,959 --> 00:01:37,920 Speaker 1: the time and energy I need to focus on the 29 00:01:38,000 --> 00:01:41,920 Speaker 1: Day One Fund, the Bezos Earth Fund, Blue Origin, the 30 00:01:42,000 --> 00:01:46,920 Speaker 1: Washington Post, and my other passions. At the time, Basos 31 00:01:47,040 --> 00:01:49,800 Speaker 1: seemingly at a high point. He was the richest person 32 00:01:49,840 --> 00:01:53,080 Speaker 1: in the world. Amazon had surpassed to one trillion dollar 33 00:01:53,120 --> 00:01:56,480 Speaker 1: market cap, he had moved past the infamous pr battles 34 00:01:56,520 --> 00:01:59,320 Speaker 1: with the National Enquirer, and he even seemed to have 35 00:01:59,360 --> 00:02:03,160 Speaker 1: gotten over any public embarrassment over his divorce. But now 36 00:02:03,400 --> 00:02:06,440 Speaker 1: Bazos was talking about his interests in philanthropy and its 37 00:02:06,520 --> 00:02:10,639 Speaker 1: pursuit of space exploration with this private company, Blue Origin. 38 00:02:11,560 --> 00:02:13,720 Speaker 1: Things that Amazon were getting to be a lot less 39 00:02:13,720 --> 00:02:18,000 Speaker 1: fun for Bazos, as we covered in previous episodes, Sellers 40 00:02:18,000 --> 00:02:22,120 Speaker 1: in Amazon's marketplace were complaining bitterly about fraud and unfair 41 00:02:22,160 --> 00:02:27,600 Speaker 1: competition from overseas companies. Delivery service providers which employed Amazon 42 00:02:27,720 --> 00:02:31,000 Speaker 1: drivers were grumbling about how the company pressured them to 43 00:02:31,080 --> 00:02:36,160 Speaker 1: work at unsafe speeds. Amazon had so many vocal critics 44 00:02:36,160 --> 00:02:39,560 Speaker 1: in organized labor and on Capitol Hill, and they were 45 00:02:39,600 --> 00:02:43,840 Speaker 1: weaponizing the exorbitant wealth of the tech giants against them. 46 00:02:43,880 --> 00:02:48,960 Speaker 1: Here's Rhode Island Congressman David Cicillini concluding the Congressional hearings 47 00:02:48,960 --> 00:02:52,640 Speaker 1: on big Tech and antitrust. When these laws were written 48 00:02:52,639 --> 00:02:56,240 Speaker 1: in monopolists were men named Rockefeller and Carnegie. The names 49 00:02:56,240 --> 00:02:59,400 Speaker 1: have changed, but the story is the same today that 50 00:02:59,440 --> 00:03:02,840 Speaker 1: the men are named Zuckerberg, Cook, Chai, and Bezos. Their 51 00:03:02,880 --> 00:03:05,640 Speaker 1: controls and marketplace allowed them to do whatever it took 52 00:03:05,919 --> 00:03:10,079 Speaker 1: to crush independent businesses and expand their own power. This 53 00:03:10,400 --> 00:03:14,960 Speaker 1: must end. Bezos had become an object of ire, even scorn, 54 00:03:15,360 --> 00:03:19,200 Speaker 1: for his wealth, his power, and his life of extraordinary leisure. 55 00:03:19,960 --> 00:03:23,680 Speaker 1: His successor, Andy Jassey, would at the very least present 56 00:03:23,760 --> 00:03:27,920 Speaker 1: a humbler target for Amazon's critics. A handover made sense. 57 00:03:28,880 --> 00:03:31,880 Speaker 1: So what was next for Amazon without its iconic leader, 58 00:03:32,560 --> 00:03:35,000 Speaker 1: and what was next for Jeff Bezos now that he 59 00:03:35,080 --> 00:03:39,040 Speaker 1: was free from the daily responsibility of running the company. 60 00:03:39,240 --> 00:03:41,320 Speaker 1: He seemed to be in the midst of a profound 61 00:03:41,400 --> 00:03:46,480 Speaker 1: midlife crisis. It involved space travel, a mega yacht, and 62 00:03:46,560 --> 00:03:48,800 Speaker 1: going head to head with his ex wife in the 63 00:03:48,840 --> 00:03:53,880 Speaker 1: realm of philanthropic giving. You're listening to Foundering, I'm your host, 64 00:03:53,960 --> 00:03:57,400 Speaker 1: brad Stone. To begin the final act of our story. 65 00:03:57,880 --> 00:04:02,880 Speaker 1: We started early with the COVID nineteen pandemic, with stores 66 00:04:03,000 --> 00:04:08,680 Speaker 1: closing and people quarantining at home. Amazon sales sword. Many 67 00:04:08,720 --> 00:04:11,640 Speaker 1: people depended on Amazon at this time when they were 68 00:04:11,680 --> 00:04:15,040 Speaker 1: afraid to leave their homes, which put a terrible strain 69 00:04:15,080 --> 00:04:19,320 Speaker 1: on its warehouses, endangered the lives of its workers, and 70 00:04:19,480 --> 00:04:24,000 Speaker 1: kicked off a fresh and critical examination of Amazon's labor practices. 71 00:04:24,760 --> 00:04:38,400 Speaker 1: We'll tell you that story after the break. Okay, Well, 72 00:04:38,600 --> 00:04:41,280 Speaker 1: we hardly need to relive the early days of COVID. 73 00:04:41,640 --> 00:04:44,400 Speaker 1: It's still burned into most of our memories. Out of 74 00:04:44,440 --> 00:04:48,599 Speaker 1: growing concerns about the deadly coronavirus, a Washington State resident 75 00:04:48,640 --> 00:04:52,719 Speaker 1: fell ill after returning from Huhan, China, where the outbreak began. 76 00:04:52,960 --> 00:04:55,960 Speaker 1: Officials now the first confirmed COVID case in the US 77 00:04:56,080 --> 00:05:01,359 Speaker 1: was actually in Seattle, Amazon's backyard. In early March, the 78 00:05:01,440 --> 00:05:04,560 Speaker 1: majority of the workforce headed home for what would be 79 00:05:04,600 --> 00:05:09,040 Speaker 1: a brutal extended quarantine. The human told during this period 80 00:05:09,120 --> 00:05:12,400 Speaker 1: was horrific, of course, but so was the financial one. 81 00:05:12,880 --> 00:05:16,840 Speaker 1: The International Monetary Fund estimated that COVID will cost the 82 00:05:16,880 --> 00:05:21,400 Speaker 1: global economy over twelve point five trillion dollars. That's a 83 00:05:21,440 --> 00:05:25,240 Speaker 1: staggering number, comparable to the impact of the Great Depression. 84 00:05:25,960 --> 00:05:30,720 Speaker 1: But at Amazon, exactly the opposite happened. While engineers and 85 00:05:30,720 --> 00:05:34,640 Speaker 1: other white color employees went home, workers in the fulfillment 86 00:05:34,640 --> 00:05:38,159 Speaker 1: centers had to stay at their posts. Here's Derrick Palmer, 87 00:05:38,400 --> 00:05:41,839 Speaker 1: a packer at a warehouse in Staten Island. You go home, 88 00:05:42,600 --> 00:05:47,359 Speaker 1: all you see is coronavirus dis coronavirus that stay safe. 89 00:05:48,000 --> 00:05:52,640 Speaker 1: When I get to Amazon, there was no talk about 90 00:05:52,800 --> 00:05:56,400 Speaker 1: coronavirus at all. It was almost as like Amazon didn't 91 00:05:56,440 --> 00:05:59,280 Speaker 1: know what to do, so they didn't address it at all, 92 00:06:00,160 --> 00:06:03,040 Speaker 1: you know, which was very alarming, because when I'm working 93 00:06:03,120 --> 00:06:06,000 Speaker 1: a lot of people will come to me and say, 94 00:06:06,560 --> 00:06:08,279 Speaker 1: what are we gonna do about this virus? Like they 95 00:06:08,360 --> 00:06:11,440 Speaker 1: already coming to me looking for a solution because they 96 00:06:11,480 --> 00:06:16,239 Speaker 1: didn't have any trust in Amazon, and I myself was lost. 97 00:06:16,279 --> 00:06:19,799 Speaker 1: I didn't I didn't know soon COVID wasn't only something 98 00:06:19,800 --> 00:06:23,120 Speaker 1: that Derek saw on the news. His colleagues at Staten 99 00:06:23,160 --> 00:06:26,040 Speaker 1: Island called out sick, and others showed up to work 100 00:06:26,040 --> 00:06:30,200 Speaker 1: with symptoms. Derek worked with a guy named Chris Smalls, 101 00:06:30,560 --> 00:06:34,440 Speaker 1: who would soon become the face of worker dissatisfaction with Amazon. 102 00:06:34,920 --> 00:06:38,240 Speaker 1: Here's Chris, the colleague that I work hand in hand 103 00:06:38,279 --> 00:06:41,599 Speaker 1: with um. She was sick, her eyes were bloodshot, read, 104 00:06:42,240 --> 00:06:46,080 Speaker 1: she was walking around sluggish. She already been there for 105 00:06:46,120 --> 00:06:48,640 Speaker 1: a number of days, for ten hours shifts, so I 106 00:06:48,760 --> 00:06:52,120 Speaker 1: know she's been around hundreds of people already. That was 107 00:06:52,160 --> 00:06:53,760 Speaker 1: the red flag. I said, you need to go home 108 00:06:53,760 --> 00:06:57,520 Speaker 1: immediately until your results come back. So Chris tells his 109 00:06:57,600 --> 00:07:00,960 Speaker 1: bosses that he thinks COVID is in the building, and 110 00:07:01,040 --> 00:07:04,400 Speaker 1: he was surprised when management told him someone had already 111 00:07:04,400 --> 00:07:08,440 Speaker 1: tested positive two weeks prior. They told me not to 112 00:07:08,480 --> 00:07:11,640 Speaker 1: tell anybody that somebody was already positive. They didn't want 113 00:07:11,640 --> 00:07:14,040 Speaker 1: to cause a panic. It didn't make any sense to me. 114 00:07:14,800 --> 00:07:17,280 Speaker 1: You're telling me that somebody has been positive in the 115 00:07:17,320 --> 00:07:20,800 Speaker 1: building two weeks prior. We had no idea. We don't 116 00:07:20,800 --> 00:07:22,480 Speaker 1: know where they got it from, where it came from, 117 00:07:22,520 --> 00:07:25,200 Speaker 1: how long it's been in the building. Chris comes out 118 00:07:25,200 --> 00:07:28,480 Speaker 1: of the meeting and tells Derek what just happened. Derek 119 00:07:28,560 --> 00:07:31,840 Speaker 1: said he was surprised. I just I got I was shocked. 120 00:07:32,000 --> 00:07:34,160 Speaker 1: I was like, wait, they don't want workers they know, like, 121 00:07:34,240 --> 00:07:37,200 Speaker 1: why wouldn't they want us to know about the first 122 00:07:37,360 --> 00:07:41,920 Speaker 1: coronavirus case? And he was just like, look, man, I 123 00:07:41,960 --> 00:07:45,760 Speaker 1: don't know. This is this is scary. Amazon was initially 124 00:07:45,840 --> 00:07:49,120 Speaker 1: secretive about the cases in their warehouses because they wanted 125 00:07:49,160 --> 00:07:53,360 Speaker 1: to avoid employee panic. A lot of big employers of 126 00:07:53,480 --> 00:07:56,640 Speaker 1: frontline workers were in the same position, but this would 127 00:07:56,640 --> 00:08:00,400 Speaker 1: blow back on Amazon in a big way. Late that March, 128 00:08:00,800 --> 00:08:04,240 Speaker 1: Chris and Derek organized an employee walk out. So then 129 00:08:04,280 --> 00:08:07,360 Speaker 1: the company told Chris to stay at home because he 130 00:08:07,400 --> 00:08:11,080 Speaker 1: had possibly been in contact with an infected colleague, but 131 00:08:11,200 --> 00:08:14,120 Speaker 1: he returned to the building anyway and he got fired. 132 00:08:14,960 --> 00:08:18,440 Speaker 1: What happened next would turned Staten Island into the epicenter 133 00:08:18,480 --> 00:08:23,280 Speaker 1: of controversy over Amazon's COVID response, and it would give 134 00:08:23,320 --> 00:08:27,560 Speaker 1: hope to organize labor, which had been trying unsuccessfully to 135 00:08:27,680 --> 00:08:31,920 Speaker 1: organize Amazon workers for years. While all this is happening, 136 00:08:32,240 --> 00:08:35,400 Speaker 1: Jeff Bezos' leadership group had a meeting about the situation, 137 00:08:35,760 --> 00:08:38,920 Speaker 1: and a transcript was leaked to Vice News. In it, 138 00:08:39,360 --> 00:08:43,640 Speaker 1: Amazon's chief council David Zapolski, suggested that the company should 139 00:08:43,640 --> 00:08:48,200 Speaker 1: focus attention on Chris Small's because he wasn't quote smart 140 00:08:48,559 --> 00:08:52,480 Speaker 1: or articulate. I should note that Chris is black, and 141 00:08:52,559 --> 00:08:56,880 Speaker 1: many critics saw the comment as racially charged. Here's Chris again. 142 00:08:57,480 --> 00:09:00,320 Speaker 1: I'd never forget that moment. Now. Of course, the definitely 143 00:09:00,360 --> 00:09:03,600 Speaker 1: upset me saying these racist remarks. You know, call it 144 00:09:03,640 --> 00:09:06,840 Speaker 1: what it is. It's definitely a stigment of black community 145 00:09:07,360 --> 00:09:11,080 Speaker 1: calling us not smart, articulate. The leaked transcript was a 146 00:09:11,160 --> 00:09:15,160 Speaker 1: huge story. It gave people a rare look inside Amazon's 147 00:09:15,240 --> 00:09:18,360 Speaker 1: leadership team, where the focus appeared to be on stopping 148 00:09:18,360 --> 00:09:21,840 Speaker 1: a fledgling union movement rather than listening to the safety 149 00:09:21,880 --> 00:09:27,520 Speaker 1: concerns of workers. Later, sapul Sky, the chief attorney, apologized 150 00:09:27,520 --> 00:09:30,880 Speaker 1: for his comments. He said he hadn't known Chris was black. 151 00:09:31,440 --> 00:09:35,000 Speaker 1: He told me, quote, I shouldn't have used that characterization 152 00:09:35,080 --> 00:09:40,560 Speaker 1: for any Amazon employee. It was incredibly regrettable. As for Chris, 153 00:09:40,600 --> 00:09:45,680 Speaker 1: he threw himself into union organizing. Ironically, Uh, they said 154 00:09:45,720 --> 00:09:47,880 Speaker 1: to make me the face of the whole unionizing efforts 155 00:09:47,880 --> 00:09:52,080 Speaker 1: against Amazon, And from that moment forward, that's when I 156 00:09:52,160 --> 00:09:55,640 Speaker 1: really started to get involved in organizing on a larger 157 00:09:55,720 --> 00:09:59,200 Speaker 1: scale nationwide. And now I'm trying to make them eat 158 00:09:59,240 --> 00:10:04,000 Speaker 1: those words. As of this recording. In April, Chris and 159 00:10:04,080 --> 00:10:07,679 Speaker 1: Derek led Amazon employees to victory in the union election 160 00:10:07,720 --> 00:10:11,920 Speaker 1: in New York City. It marks organized labor's first ever 161 00:10:12,080 --> 00:10:15,760 Speaker 1: foothold in Amazon in the US, historic wind that will 162 00:10:15,800 --> 00:10:19,600 Speaker 1: now lead to an epic challenge negotiating a contract with 163 00:10:19,640 --> 00:10:23,360 Speaker 1: the company to improve the lives of its workers. Almost 164 00:10:23,400 --> 00:10:26,360 Speaker 1: two years to the day after he was fired by Amazon, 165 00:10:26,760 --> 00:10:29,080 Speaker 1: Chris stood in front of a group of supporters and 166 00:10:29,160 --> 00:10:39,320 Speaker 1: pop champagne history. Do you have a method for Jeff Beziness. Oh, 167 00:10:39,520 --> 00:10:41,280 Speaker 1: we want to thank that basis were going to space 168 00:10:41,320 --> 00:10:47,080 Speaker 1: because when he was up there Amazon. He's thanking Bezos 169 00:10:47,080 --> 00:10:50,960 Speaker 1: for going to space because while the former CEO was distracted, 170 00:10:51,240 --> 00:10:54,920 Speaker 1: Chris was building a union. This could mean big changes 171 00:10:54,960 --> 00:10:58,559 Speaker 1: for Amazon unless they somehow get it overturned in court. 172 00:10:59,040 --> 00:11:02,880 Speaker 1: The implication are huge unions can make it harder for 173 00:11:02,920 --> 00:11:05,920 Speaker 1: Amazon to dictate things like the length of breaks and 174 00:11:05,960 --> 00:11:09,480 Speaker 1: when employees are compelled to work extra time. This is 175 00:11:09,480 --> 00:11:12,800 Speaker 1: the kind of flexibility that Amazon depends on to meet 176 00:11:12,840 --> 00:11:17,040 Speaker 1: those unexpected surges and lulls and online shopping. It's a 177 00:11:17,080 --> 00:11:22,760 Speaker 1: significant challenge to their business model. But back in Chris 178 00:11:22,760 --> 00:11:26,079 Speaker 1: Small's also succeeded in drawing lots of attention to Amazon's 179 00:11:26,080 --> 00:11:30,560 Speaker 1: pandemic response. Sixty minutes dispatched a crew to check it out, 180 00:11:30,800 --> 00:11:34,559 Speaker 1: which is never a good sign. The journalist Leslie Stall 181 00:11:34,640 --> 00:11:38,560 Speaker 1: interviewed Chris as well as Dave Clark, the executive who 182 00:11:38,600 --> 00:11:42,400 Speaker 1: built the Amazon transportation network and now ran the entire 183 00:11:42,480 --> 00:11:46,960 Speaker 1: retail part of the company. So, how many positive cases 184 00:11:47,000 --> 00:11:51,079 Speaker 1: have you discovered at Amazon? The actual sort of total 185 00:11:51,160 --> 00:11:54,160 Speaker 1: number case isn't particularly useful because it's relative to the 186 00:11:54,160 --> 00:11:58,520 Speaker 1: size of the building and then the overall community infection rates. 187 00:11:58,559 --> 00:12:00,880 Speaker 1: So you you don't know, or you're just not going 188 00:12:00,920 --> 00:12:04,120 Speaker 1: to tell us how many cases have been discovered. I 189 00:12:04,480 --> 00:12:06,520 Speaker 1: don't have I mean, we know, I don't have the 190 00:12:06,600 --> 00:12:10,680 Speaker 1: number right on me at this moment because it's not 191 00:12:10,720 --> 00:12:14,440 Speaker 1: a particularly useful number. It wasn't a good look people 192 00:12:14,480 --> 00:12:19,200 Speaker 1: wanted to know what was going on inside Amazon's warehouses. Finally, 193 00:12:19,520 --> 00:12:22,680 Speaker 1: the company did reveal its COVID numbers later that year. 194 00:12:23,360 --> 00:12:26,640 Speaker 1: About twenty of its one point four million workers had 195 00:12:26,679 --> 00:12:30,960 Speaker 1: gotten sick by the fall, and that number didn't include 196 00:12:30,960 --> 00:12:35,920 Speaker 1: the drivers, who are contractors not employees. Amazon argued this 197 00:12:36,000 --> 00:12:39,200 Speaker 1: was lower than the infection right and surrounding communities, and 198 00:12:39,240 --> 00:12:41,520 Speaker 1: that many of these employees could have gotten ill at 199 00:12:41,559 --> 00:12:47,600 Speaker 1: home instead of work. In August, and Amazon spokesperson gave 200 00:12:47,679 --> 00:12:51,760 Speaker 1: us this statement, quote, we are monitoring the situation closely, 201 00:12:51,880 --> 00:12:55,160 Speaker 1: and we'll continue to follow local government guidance and work 202 00:12:55,200 --> 00:13:00,080 Speaker 1: closely with leading medical healthcare professionals. Now, I spent a 203 00:13:00,120 --> 00:13:03,480 Speaker 1: lot of time reporting on Amazon's pandemic response from my book, 204 00:13:04,080 --> 00:13:06,560 Speaker 1: and I think the problem was they had to competing 205 00:13:06,640 --> 00:13:12,559 Speaker 1: interests serving customers and protecting workers. They did institute safety 206 00:13:12,559 --> 00:13:16,679 Speaker 1: precautions in the warehouses, like social distancing and COVID testing, 207 00:13:17,360 --> 00:13:20,680 Speaker 1: but it was really impossible to do both, particularly in 208 00:13:20,720 --> 00:13:25,280 Speaker 1: the early days of the pandemic, and because serving customers 209 00:13:25,280 --> 00:13:29,800 Speaker 1: has always been Amazon's guiding principle. Again, it came first. 210 00:13:30,920 --> 00:13:34,480 Speaker 1: I remember feeling surprised by how engaged Jeff Bezos was 211 00:13:35,240 --> 00:13:38,360 Speaker 1: from his ranch in West Texas. He led weekly meetings 212 00:13:38,400 --> 00:13:44,000 Speaker 1: devoted to COVID and employee safety. Amazon hired epidemiologists to 213 00:13:44,080 --> 00:13:47,440 Speaker 1: guide them through the crisis. Bezos wanted to convey the 214 00:13:47,480 --> 00:13:50,880 Speaker 1: image of a CEO in control and sympathetic to the 215 00:13:50,920 --> 00:13:55,520 Speaker 1: plight of employees. In April, he visited an Amazon warehouse 216 00:13:55,720 --> 00:13:59,240 Speaker 1: and a Whole Foods market in Dallas, his first public 217 00:13:59,360 --> 00:14:05,880 Speaker 1: visit to the online in years. Nice to be decided out, 218 00:14:08,080 --> 00:14:12,400 Speaker 1: thank you, But this was a pre battle that Amazon 219 00:14:12,600 --> 00:14:18,400 Speaker 1: really couldn't win. Amazon sales jumped during the crisis. Amazon's 220 00:14:18,440 --> 00:14:24,280 Speaker 1: market capitalization increased by about seven hundred billion dollars, and 221 00:14:24,360 --> 00:14:28,680 Speaker 1: Jeff bezos personal net worth rose by about seventy five billion. 222 00:14:29,720 --> 00:14:32,680 Speaker 1: So at a time when people in businesses were suffering 223 00:14:33,040 --> 00:14:38,160 Speaker 1: and employees were panicking, Amazon and Bezos were thriving, it 224 00:14:38,280 --> 00:14:41,200 Speaker 1: felt unsettling that the very thing that was shutting down 225 00:14:41,240 --> 00:14:45,800 Speaker 1: the world was filling the company's coffers. Navigating this pr 226 00:14:45,920 --> 00:14:49,440 Speaker 1: maelstrom was one of the biggest challenges Bezos had ever faced, 227 00:14:49,960 --> 00:14:53,000 Speaker 1: and just eight months later he decided to step down 228 00:14:53,040 --> 00:14:56,680 Speaker 1: from the CEO job. I don't think the pandemic is 229 00:14:56,760 --> 00:15:00,600 Speaker 1: necessarily the reason he left, but certainly it was another 230 00:15:00,640 --> 00:15:03,560 Speaker 1: illustration that running the company was getting to be a 231 00:15:03,640 --> 00:15:07,520 Speaker 1: lot less fun, and Bezos did want to have fun. 232 00:15:08,240 --> 00:15:11,720 Speaker 1: He wanted to have adventures. He wanted to embrace the 233 00:15:11,800 --> 00:15:15,040 Speaker 1: kind of risk that might scare the shareholders of a big, 234 00:15:15,080 --> 00:15:20,040 Speaker 1: publicly traded company like Amazon. He wanted to go to space. 235 00:15:21,360 --> 00:15:25,200 Speaker 1: Will visit Van Horn, Texas for Jeff Bezos is highly 236 00:15:25,280 --> 00:15:42,240 Speaker 1: controversial trip to space Next. In July, my colleague Spencer Soper, 237 00:15:42,280 --> 00:15:46,560 Speaker 1: and I traveled to Van Horn, Texas. It's a small 238 00:15:46,600 --> 00:15:49,840 Speaker 1: town of about two thousand people. When you drive around, 239 00:15:50,120 --> 00:15:54,240 Speaker 1: you see trailer parks and roadside motels. Bezos owns a 240 00:15:54,280 --> 00:15:59,280 Speaker 1: massive ranch about forty minutes away. It's one thousand acres 241 00:15:59,320 --> 00:16:03,000 Speaker 1: of mountains and brush that resembles his grandfather's Texas ranch 242 00:16:03,280 --> 00:16:07,240 Speaker 1: where he spent idyllic summers as a child. He secretly 243 00:16:07,280 --> 00:16:09,880 Speaker 1: scouted this land back in two thousand three, and then 244 00:16:10,000 --> 00:16:13,640 Speaker 1: later announced his plan to a local newspaper. He wanted 245 00:16:13,680 --> 00:16:15,720 Speaker 1: to build a launch site on the property for his 246 00:16:15,840 --> 00:16:20,800 Speaker 1: private space company, Blue Origin. Spencer and I were in 247 00:16:20,920 --> 00:16:24,680 Speaker 1: Van Horn to witness something pretty wild yep. Just a 248 00:16:24,720 --> 00:16:28,240 Speaker 1: few weeks after he formally departed the CEO job at Amazon. 249 00:16:28,680 --> 00:16:32,880 Speaker 1: Bezos was leaving Earth. Here's Spencer, who brought along a 250 00:16:32,920 --> 00:16:36,880 Speaker 1: microphone to document this unusual event. Just getting checked into 251 00:16:36,960 --> 00:16:40,520 Speaker 1: Van Horn, Texas. And uh, folks in town, you know, 252 00:16:40,560 --> 00:16:44,080 Speaker 1: some are pretty stoked about it, and some, you know, 253 00:16:44,280 --> 00:16:47,640 Speaker 1: man not so much. You know, so say they'd rather 254 00:16:47,680 --> 00:16:50,240 Speaker 1: have have rain than a than than a spaceship because 255 00:16:50,280 --> 00:16:52,440 Speaker 1: they've been dealing with some drought for a while. Many 256 00:16:52,480 --> 00:16:56,720 Speaker 1: of the townspeople seemed completely unaware of this billionaire space project. 257 00:16:57,120 --> 00:17:00,960 Speaker 1: Spencer met Barbara while he was pumping gas. Bezos people 258 00:17:00,960 --> 00:17:03,960 Speaker 1: know much about him down here. Um, I'm not really 259 00:17:04,000 --> 00:17:06,000 Speaker 1: in not that I'm aware of. Do you do you 260 00:17:06,040 --> 00:17:09,440 Speaker 1: shop on Amazon? Yes? I do? So he runs that company, 261 00:17:10,359 --> 00:17:13,240 Speaker 1: he founded it. Yeah, really, Yeah, that's that's the guy 262 00:17:13,280 --> 00:17:14,920 Speaker 1: going to space. He's the guy who found it, that 263 00:17:15,000 --> 00:17:18,840 Speaker 1: clown and okay, well sharing how much I know that's 264 00:17:18,840 --> 00:17:22,199 Speaker 1: how he made his money. Wow. Spencer also caught up 265 00:17:22,200 --> 00:17:25,000 Speaker 1: with local sheriff Arvin West the night before the launch 266 00:17:25,080 --> 00:17:28,520 Speaker 1: at a small canteena outside Van Horn. The sheriff, who 267 00:17:28,560 --> 00:17:32,200 Speaker 1: had other things on his mind, was not impressed. Yeah, 268 00:17:32,440 --> 00:17:34,399 Speaker 1: I don't know, it did never blew my scard up. 269 00:17:34,440 --> 00:17:37,600 Speaker 1: So one never no big deal to me. Well, the 270 00:17:37,600 --> 00:17:42,600 Speaker 1: billionaires are going to space, maybe they'll stay there. There's 271 00:17:42,640 --> 00:17:45,160 Speaker 1: actually a petition say don't let him back one thing 272 00:17:45,160 --> 00:17:46,840 Speaker 1: about it. We don't have to worry about him checking 273 00:17:46,880 --> 00:17:48,600 Speaker 1: their green card coming in. They only even do that 274 00:17:48,640 --> 00:17:53,360 Speaker 1: for the border. Well that's one guy's opinion. Anyway, we 275 00:17:53,359 --> 00:17:56,600 Speaker 1: were not alone in van Horn that week. Reporters and 276 00:17:56,640 --> 00:18:00,280 Speaker 1: satellite TV trucks descended on the scene rocket to make 277 00:18:00,320 --> 00:18:04,080 Speaker 1: for pretty compelling television. And there was always the possibility 278 00:18:04,280 --> 00:18:08,040 Speaker 1: that Bezos sent his colleagues might die in a fiery crash. 279 00:18:08,280 --> 00:18:11,520 Speaker 1: Here's a pretty dark confession. I actually had to pre 280 00:18:11,640 --> 00:18:16,600 Speaker 1: write his obituary just in case. Here's Spencer again. So 281 00:18:16,720 --> 00:18:21,240 Speaker 1: Jeff Bezos will be fulfilling his boyhood drained today. Uh, 282 00:18:21,240 --> 00:18:23,680 Speaker 1: he's fifty seven now. He said he's been dreaming about 283 00:18:23,800 --> 00:18:27,840 Speaker 1: space travel since he was five years old, and this 284 00:18:27,920 --> 00:18:30,560 Speaker 1: is basically an expedition he can take due to his 285 00:18:30,640 --> 00:18:34,080 Speaker 1: wealth created from founding Amazon dot Com, which is now 286 00:18:34,160 --> 00:18:37,399 Speaker 1: the world's largest retailer. Today's rocket won't go into orbit. 287 00:18:37,880 --> 00:18:42,600 Speaker 1: It will it will go into a suborbital space, letting 288 00:18:42,960 --> 00:18:47,480 Speaker 1: the astronauts experience a few minutes of weightlessness. At two 289 00:18:47,560 --> 00:18:49,800 Speaker 1: in the morning, Spencer and I met up with the 290 00:18:49,840 --> 00:18:53,920 Speaker 1: other journalists at the local community center. Rental car headlights 291 00:18:53,960 --> 00:18:57,560 Speaker 1: glowed in the parking lot. Blue Origin had been working 292 00:18:57,560 --> 00:19:00,800 Speaker 1: on the New Shepherd rocket for about fifteen years and 293 00:19:00,840 --> 00:19:04,800 Speaker 1: conducted fifteen unmanned flights. This was the first one with 294 00:19:04,880 --> 00:19:08,560 Speaker 1: people on board. Bezos was a guinea pig of sorts, 295 00:19:08,600 --> 00:19:12,560 Speaker 1: along with three others, his younger brother Mark, an astronaut 296 00:19:12,560 --> 00:19:16,520 Speaker 1: trainee in her eighties, and an eighteen year old July 297 00:19:16,720 --> 00:19:19,240 Speaker 1: actually turned out to be a frenzied month for the 298 00:19:19,280 --> 00:19:23,840 Speaker 1: space tourism industry. Bezos's launch was nine days after Richard 299 00:19:23,880 --> 00:19:28,200 Speaker 1: Branson had his launch with Virgin Galactic. A key goal 300 00:19:28,240 --> 00:19:32,000 Speaker 1: of space pioneers like Bezos, Brandson, and Elon Musk is 301 00:19:32,040 --> 00:19:36,160 Speaker 1: creating spaceships that can be reused like airplanes. Rather than 302 00:19:36,200 --> 00:19:39,760 Speaker 1: plunging into the ocean, the rocket booster lands upright and 303 00:19:39,880 --> 00:19:43,399 Speaker 1: can be flown over and over again. This lowers the 304 00:19:43,440 --> 00:19:47,840 Speaker 1: cost of space travel and makes the commercialization and exploration 305 00:19:47,880 --> 00:19:51,080 Speaker 1: of space more feasible. New Shepherd took off in a 306 00:19:51,080 --> 00:19:55,240 Speaker 1: little after eight am, Texas time. Watching it watching any 307 00:19:55,320 --> 00:19:58,879 Speaker 1: rocket launch is a pretty profound experience. You think of 308 00:19:59,000 --> 00:20:03,720 Speaker 1: human potential, incredible scientific achievement, and of course the safety 309 00:20:03,760 --> 00:20:06,520 Speaker 1: of the people on board. I just have to add 310 00:20:07,040 --> 00:20:12,679 Speaker 1: the new Shepherd is extraordinarily phallic looking. Five four command 311 00:20:12,680 --> 00:20:27,480 Speaker 1: engines start to one. Of course, Basos and his crew 312 00:20:27,600 --> 00:20:31,320 Speaker 1: landed safely. After the launch, we got on busses again 313 00:20:31,320 --> 00:20:34,359 Speaker 1: to go to another facility for the post trip press conference. 314 00:20:35,000 --> 00:20:38,359 Speaker 1: A Country Western soundtrack was playing on a loop, and 315 00:20:38,400 --> 00:20:42,439 Speaker 1: I remember thinking how choreographed the entire day was, Like 316 00:20:42,600 --> 00:20:48,359 Speaker 1: Bezos wanted to conjure images of Clint Eastward and John Wayne. 317 00:20:49,400 --> 00:20:52,960 Speaker 1: Bezos showed up in a cowboy hat. Reporters crammed onto 318 00:20:52,960 --> 00:20:55,359 Speaker 1: folded chairs on one side of the root and the 319 00:20:55,400 --> 00:20:58,879 Speaker 1: astronauts family sat on the other side, and how it felt. 320 00:20:59,280 --> 00:21:05,080 Speaker 1: Oh my god, My expectations were high and they were 321 00:21:05,200 --> 00:21:08,920 Speaker 1: dramatically exceeded. But when you get up above the atmosphere, 322 00:21:09,280 --> 00:21:13,240 Speaker 1: what you see is it's actually incredibly thin. It's this tiny, little, 323 00:21:13,280 --> 00:21:16,000 Speaker 1: tragile thing, and as we move about the planet, we're 324 00:21:16,080 --> 00:21:18,639 Speaker 1: damaging it. That's a very profound It's one thing to 325 00:21:18,720 --> 00:21:22,000 Speaker 1: recognize that intellectually, it's another thing to actually see with 326 00:21:22,040 --> 00:21:25,040 Speaker 1: your own eyes. This was the most excited I've ever 327 00:21:25,080 --> 00:21:28,320 Speaker 1: seen Bass. He was almost like a kid. But he 328 00:21:28,400 --> 00:21:31,920 Speaker 1: made one comment that ruffled some feathers. He was trying 329 00:21:31,960 --> 00:21:35,160 Speaker 1: to make a joke while conveying gratitude toward the people 330 00:21:35,160 --> 00:21:40,159 Speaker 1: who facilitated Amazon's rise, which created his fortune. I also, 331 00:21:40,320 --> 00:21:45,680 Speaker 1: I want to thank every Amazon employee and every Amazon customer, 332 00:21:45,920 --> 00:21:49,800 Speaker 1: because you guys paid for all this. This is what 333 00:21:49,920 --> 00:21:53,320 Speaker 1: Christmas was talking about after his union win. We played 334 00:21:53,320 --> 00:21:57,160 Speaker 1: this tape in a previous episode. Remember an Amazon delivery 335 00:21:57,200 --> 00:22:00,359 Speaker 1: person said he quit when he heard it because Azos 336 00:22:00,400 --> 00:22:03,920 Speaker 1: said this just months after the controversies around Amazon's pandemic 337 00:22:04,000 --> 00:22:07,480 Speaker 1: response and the dangerous to warehouse workers. It went over 338 00:22:07,600 --> 00:22:11,080 Speaker 1: very poorly. Afterwards, we had a chance to go to 339 00:22:11,119 --> 00:22:14,880 Speaker 1: the launch site and snap more photos. Then Bezos made 340 00:22:14,880 --> 00:22:18,040 Speaker 1: a surprise appearance. He was on a convoy of electric 341 00:22:18,040 --> 00:22:21,840 Speaker 1: trucks made by Ribban, a startup that Amazon invested in 342 00:22:22,160 --> 00:22:25,840 Speaker 1: and ordered one hundred thousand electric delivery trucks from. This 343 00:22:25,920 --> 00:22:29,240 Speaker 1: was a victory lap and he was clearly relishing the attention. 344 00:22:29,800 --> 00:22:38,080 Speaker 1: Reporters shouted questions at Bezos, so Bezos just showed up 345 00:22:38,320 --> 00:22:40,720 Speaker 1: with the other three astronauts and they're walking onto the 346 00:22:40,800 --> 00:22:45,360 Speaker 1: landing pad. How soon do you want to go back? 347 00:22:45,400 --> 00:22:56,399 Speaker 1: It looks like it's I'm just gonna cost me. In 348 00:22:56,440 --> 00:23:00,560 Speaker 1: the middle of the scrum, Spencer blessed him, took his shot. 349 00:23:00,480 --> 00:23:03,520 Speaker 1: See little guys, thank you. What a great day. Hey, 350 00:23:03,560 --> 00:23:05,560 Speaker 1: give us an update on the billion in stock you 351 00:23:05,600 --> 00:23:07,879 Speaker 1: got itself to bankroll it. We heard that one the 352 00:23:07,960 --> 00:23:12,880 Speaker 1: last four years ago. He looked at me, got into 353 00:23:12,920 --> 00:23:16,040 Speaker 1: the car, shut the door, and drove off. You know, 354 00:23:16,080 --> 00:23:18,800 Speaker 1: I think there was a slim pickens on questions today. 355 00:23:19,119 --> 00:23:22,160 Speaker 1: Bezos was driving away from the press, but he wasn't 356 00:23:22,240 --> 00:23:26,560 Speaker 1: leaving the public stage. This was his future, not conducting 357 00:23:26,600 --> 00:23:31,120 Speaker 1: company meetings in Seattle conference rooms. In fact, I thought 358 00:23:31,160 --> 00:23:33,480 Speaker 1: the most revealing thing he said at the press conference 359 00:23:33,760 --> 00:23:35,960 Speaker 1: was when he was asked how he was now going 360 00:23:36,000 --> 00:23:38,919 Speaker 1: to focus as time. Yes, so I'm gonna split my 361 00:23:39,000 --> 00:23:42,760 Speaker 1: time between Blue Origin and the Bezos Earth Fund, those 362 00:23:42,800 --> 00:23:45,280 Speaker 1: two things, and there's gonna be a third thing, um 363 00:23:45,320 --> 00:23:46,679 Speaker 1: and maybe a fourth thing, but I don't know what 364 00:23:46,720 --> 00:23:49,080 Speaker 1: those are yet. I'm not very good at doing one thing. 365 00:23:49,760 --> 00:23:53,280 Speaker 1: Did you notice he didn't mention Amazon? I think to 366 00:23:53,400 --> 00:23:57,240 Speaker 1: surprise some people back in Seattle. Bezos's feet were leaving 367 00:23:57,280 --> 00:24:01,520 Speaker 1: the earth literally and kind of figuratively too. He now 368 00:24:01,600 --> 00:24:06,400 Speaker 1: belonged to a different orbit of space dreams, celebrity global 369 00:24:06,480 --> 00:24:10,119 Speaker 1: travel with his girlfriend and their life of extraordinary wealth. 370 00:24:11,000 --> 00:24:15,000 Speaker 1: As for Amazon, well, it was now Andy Jassy's company. 371 00:24:15,400 --> 00:24:18,359 Speaker 1: The deputy would have to find his own way. We'll 372 00:24:18,359 --> 00:24:36,639 Speaker 1: tell that story next. So Jeff Bezos announced he was 373 00:24:36,640 --> 00:24:39,960 Speaker 1: stepping down from the CEO role, and I remember a 374 00:24:40,000 --> 00:24:43,760 Speaker 1: lot of commentators assuming he's going to stay involved. Of course, 375 00:24:44,720 --> 00:24:49,080 Speaker 1: Bezos was a famous micromanager. It just seemed impossible that 376 00:24:49,119 --> 00:24:51,760 Speaker 1: he would change a style and be hands off at 377 00:24:51,800 --> 00:24:55,560 Speaker 1: the company he nurtured for two decades. But after the 378 00:24:55,600 --> 00:24:59,920 Speaker 1: space launch, Bezos devoted himself to his charity. He also 379 00:25:00,040 --> 00:25:04,960 Speaker 1: went on vacation and popped up in places like Hawaii, Greece, Bora, Bora, 380 00:25:05,119 --> 00:25:09,720 Speaker 1: and Mexico. It became pretty clear, for the first time ever, 381 00:25:10,320 --> 00:25:12,800 Speaker 1: Amazon was going to have to make its way without 382 00:25:12,920 --> 00:25:16,520 Speaker 1: its founder. Andy Jassey was the new guy in charge. 383 00:25:17,600 --> 00:25:20,880 Speaker 1: I've known Jasse for years and followed his career. He's 384 00:25:20,880 --> 00:25:24,360 Speaker 1: an impressive executive. He built a WS into the most 385 00:25:24,400 --> 00:25:28,520 Speaker 1: profitable and fastest growing part of Amazon, and he learned 386 00:25:28,560 --> 00:25:32,360 Speaker 1: directly from Bezos, in part by following him around everywhere 387 00:25:32,640 --> 00:25:36,399 Speaker 1: during Amazon's early days as his chief of staff. But 388 00:25:36,480 --> 00:25:39,399 Speaker 1: as Amazon made its way through the COVID crisis, it 389 00:25:39,520 --> 00:25:43,400 Speaker 1: became apparent that the company needed something more, someone who 390 00:25:43,400 --> 00:25:47,240 Speaker 1: could mend its relationship with employees and fix its reputation 391 00:25:47,280 --> 00:25:52,000 Speaker 1: among regulators, the press, and customers. Jesse has tried to 392 00:25:52,040 --> 00:25:55,640 Speaker 1: thread this needle. A few days before he took over Amazon, 393 00:25:56,040 --> 00:25:58,919 Speaker 1: the company added two new entries to its list of 394 00:25:59,000 --> 00:26:03,520 Speaker 1: leadership principles. These are the codes that govern all decisions 395 00:26:03,560 --> 00:26:07,640 Speaker 1: like who gets hired and promoted. The new principles were 396 00:26:08,400 --> 00:26:12,480 Speaker 1: strive to be Earth's best employer, and success and scale, 397 00:26:12,520 --> 00:26:17,680 Speaker 1: bring broad responsibility. These are some pretty lofty goals. In 398 00:26:17,680 --> 00:26:22,200 Speaker 1: other words, Amazon was finally acknowledging its critics for its 399 00:26:22,280 --> 00:26:26,320 Speaker 1: first twenty seven years. Satisfying the almighty customer had been 400 00:26:26,359 --> 00:26:30,520 Speaker 1: the company's first and only north star. Now it was 401 00:26:30,560 --> 00:26:35,600 Speaker 1: admitting that workers were another crucial constituency. Here's Jasse speaking 402 00:26:35,640 --> 00:26:40,840 Speaker 1: at an internal Amazon event called Deep Dive in July. So, 403 00:26:40,880 --> 00:26:44,520 Speaker 1: if I start with um strive to be or It's 404 00:26:44,640 --> 00:26:48,679 Speaker 1: best employer, I think that we always felt like it 405 00:26:48,720 --> 00:26:51,320 Speaker 1: was self evident that we cared about employees, and that 406 00:26:51,359 --> 00:26:53,399 Speaker 1: we cared about building the best place to work, and 407 00:26:53,440 --> 00:26:57,679 Speaker 1: we cared about our culture. Uh but you know, as 408 00:26:58,000 --> 00:27:00,360 Speaker 1: we step back, we we kind of thought it made 409 00:27:00,440 --> 00:27:02,480 Speaker 1: sense to be a little bit more intentional here at 410 00:27:02,480 --> 00:27:06,040 Speaker 1: this point and to make it clearer to employees um 411 00:27:06,040 --> 00:27:08,120 Speaker 1: that this was something we were going to focus on. 412 00:27:08,400 --> 00:27:12,200 Speaker 1: But keeping all those workers happy and motivated, particularly amid 413 00:27:12,240 --> 00:27:15,679 Speaker 1: the Great Resignation, was going to be costly. In the 414 00:27:15,720 --> 00:27:18,439 Speaker 1: span of a few months, the company raised a starting 415 00:27:18,440 --> 00:27:21,880 Speaker 1: hourly wage for new hires to an average eighteen dollars 416 00:27:21,880 --> 00:27:25,240 Speaker 1: an hour. It also doubled base pay for new office 417 00:27:25,280 --> 00:27:29,960 Speaker 1: and tech workers. As a result, Amazon's expenses went way up, 418 00:27:30,359 --> 00:27:34,040 Speaker 1: and as the pandemic faded, shopper started to return to stores. 419 00:27:34,840 --> 00:27:40,600 Speaker 1: So Amazon stock price started to stagnate. Yeah, Amazon shares sliding. 420 00:27:40,800 --> 00:27:44,880 Speaker 1: Of course, online sales not that great, weakest growth since 421 00:27:44,880 --> 00:27:47,040 Speaker 1: the start of the pandemic, so huge boost that they 422 00:27:47,160 --> 00:27:51,000 Speaker 1: got starting to fade. Another challenge is continuing to invent 423 00:27:51,040 --> 00:27:55,880 Speaker 1: new products. Remember Alexa, the Kindle, and Aws pretty much 424 00:27:55,960 --> 00:27:59,480 Speaker 1: sprang from Jeff Bezos's head. It remains to be seen 425 00:27:59,560 --> 00:28:02,080 Speaker 1: if Jaz sees as an inventor at anywhere near the 426 00:28:02,119 --> 00:28:06,560 Speaker 1: same level. It's the Amazon Astro, kind of like an 427 00:28:06,560 --> 00:28:09,160 Speaker 1: Alexa on wheels that can follow you around the house. 428 00:28:09,760 --> 00:28:13,680 Speaker 1: Early in Jesse's tenure, Amazon announced a one dollar rolling 429 00:28:13,720 --> 00:28:18,680 Speaker 1: home robot that uses Alexa called Astro, but strangely, as 430 00:28:18,720 --> 00:28:22,160 Speaker 1: of this recording, Amazon really hasn't started selling it yet. 431 00:28:22,760 --> 00:28:25,840 Speaker 1: Another thing to watch is whether Jasse pushes Amazon further 432 00:28:25,920 --> 00:28:30,159 Speaker 1: into the healthcare industry. The global healthcare market is huge 433 00:28:30,560 --> 00:28:36,159 Speaker 1: and estimated twelve trillion dollars. It's also pretty technologically backwards, 434 00:28:36,160 --> 00:28:39,440 Speaker 1: so it's a big opportunity. But that's still really hypothetical. 435 00:28:40,560 --> 00:28:44,160 Speaker 1: So can Jasse pull it off, impress Amazon investors once 436 00:28:44,160 --> 00:28:48,600 Speaker 1: again and right the next chapter of this epic business story. 437 00:28:48,840 --> 00:28:51,520 Speaker 1: If he does, it probably won't be due to guidance 438 00:28:51,560 --> 00:28:55,840 Speaker 1: from his mentor. By the beginning of it really felt 439 00:28:55,840 --> 00:28:59,840 Speaker 1: like Bezos had moved on. He was fifty eight after 440 00:28:59,840 --> 00:29:02,800 Speaker 1: the rocket launch. He bought a massive vacation property on 441 00:29:02,920 --> 00:29:06,000 Speaker 1: Maui for seventy eight million. He built one of the 442 00:29:06,040 --> 00:29:09,040 Speaker 1: largest yachts in the world, which cost an estimated five 443 00:29:09,120 --> 00:29:13,640 Speaker 1: hundred million. He also sent TV personality Michael Strahan and 444 00:29:13,760 --> 00:29:17,440 Speaker 1: Captain Kirk himself William Shatner on the same Blue Origin 445 00:29:17,560 --> 00:29:22,360 Speaker 1: rocket to the edge of space. The most profound experience. 446 00:29:23,160 --> 00:29:30,040 Speaker 1: I'm so filled with emotion about what just happened. I 447 00:29:30,040 --> 00:29:34,920 Speaker 1: I just it's extraordinary. Shatner clearly enjoyed the ride, but 448 00:29:34,960 --> 00:29:37,840 Speaker 1: there was a lot of mockery of these launches, particularly 449 00:29:37,840 --> 00:29:40,600 Speaker 1: from late night comedians who couldn't get over the rockets 450 00:29:40,640 --> 00:29:52,960 Speaker 1: conspicuously phallic shape. Captain, it's a giantistical Meanwhile, basis trying 451 00:29:53,000 --> 00:29:55,600 Speaker 1: to improve his image by drawing attention to his increased 452 00:29:55,600 --> 00:29:59,800 Speaker 1: philanthropic activities. Here he is in the fall at the 453 00:30:00,040 --> 00:30:05,480 Speaker 1: when Climate conference. Nature provides, it gives us life. It 454 00:30:05,560 --> 00:30:10,360 Speaker 1: is beautiful, but it is also fragile. I was reminded 455 00:30:10,360 --> 00:30:13,000 Speaker 1: of this when I went into space with Blue Origin. 456 00:30:13,840 --> 00:30:19,080 Speaker 1: Bezos earmarked ten billion dollars to fighting climate change. He 457 00:30:19,200 --> 00:30:23,719 Speaker 1: was the sixteenth biggest philanthropist according to Forbes. Now, whatever 458 00:30:23,800 --> 00:30:27,120 Speaker 1: you think of that ranking, it was significantly overshadowed by 459 00:30:27,120 --> 00:30:31,800 Speaker 1: the person at number five, his ex wife, Mackenzie. She 460 00:30:31,960 --> 00:30:34,960 Speaker 1: changed her last name from Bezos to Scott after the divorce. 461 00:30:35,720 --> 00:30:38,040 Speaker 1: Mackenzie said she wanted to give her money away as 462 00:30:38,120 --> 00:30:43,160 Speaker 1: fast as possible, and alongside her donations, she published thoughtful 463 00:30:43,240 --> 00:30:46,760 Speaker 1: online essays where she almost seemed to be trolling her 464 00:30:46,760 --> 00:30:51,640 Speaker 1: ex husband. Here's my colleague reading a particularly pointed passage. 465 00:30:51,960 --> 00:30:54,360 Speaker 1: We are all attempting to give away a fortune that 466 00:30:54,480 --> 00:30:58,400 Speaker 1: was enabled by systems in need of change. In this effort, 467 00:30:58,440 --> 00:31:00,760 Speaker 1: we are governed by a humbling belief that it would 468 00:31:00,760 --> 00:31:04,040 Speaker 1: be better if disproportionate wealth we're not concentrated in a 469 00:31:04,080 --> 00:31:07,240 Speaker 1: small number of hands, and that the solutions are best 470 00:31:07,400 --> 00:31:12,840 Speaker 1: designed and implemented by others. It's actually quite savage. She's 471 00:31:12,840 --> 00:31:16,120 Speaker 1: implying that her sixty billion dollar fortune and divorce money 472 00:31:16,360 --> 00:31:22,200 Speaker 1: came from a rigged system rather than Bezos's ingenuity and inventiveness, 473 00:31:22,240 --> 00:31:24,640 Speaker 1: and that the uber wealthy are the wrong people to 474 00:31:24,720 --> 00:31:28,080 Speaker 1: fix the world's problems. She almost seemed to be citing 475 00:31:28,080 --> 00:31:32,160 Speaker 1: with her ex husband's fiercest critics. It's funny. Back in 476 00:31:32,200 --> 00:31:36,160 Speaker 1: the day, Beazos always praised Mackenzie's intelligence. He'd like to 477 00:31:36,200 --> 00:31:37,960 Speaker 1: say she was smart enough to get him out of 478 00:31:38,000 --> 00:31:42,560 Speaker 1: a third world jail. Now Here, she was effectively relegating 479 00:31:42,640 --> 00:31:45,280 Speaker 1: him to a new sort of prison, one built on 480 00:31:45,320 --> 00:31:49,200 Speaker 1: a critique that his fortune was earned in an unfair system. 481 00:31:49,240 --> 00:31:52,280 Speaker 1: If Bezos cared about this, he never showed it. He 482 00:31:52,440 --> 00:31:56,960 Speaker 1: became prolific on Instagram documenting a new life. He was 483 00:31:57,040 --> 00:32:01,440 Speaker 1: frolicking in Hawaii with Lauren Sanchez, right in luxury yachts, 484 00:32:01,480 --> 00:32:05,240 Speaker 1: partying with other celebrities like Leonardo DiCaprio and The Rock 485 00:32:05,680 --> 00:32:08,320 Speaker 1: and in the stance of the super Bowl. He looked 486 00:32:08,320 --> 00:32:11,520 Speaker 1: like he was having a great time. To a long 487 00:32:11,560 --> 00:32:14,800 Speaker 1: time Bezos watcher, I have to say this was just 488 00:32:15,000 --> 00:32:19,640 Speaker 1: so surprising. Bezos had started his technology career as a focused, 489 00:32:19,920 --> 00:32:23,600 Speaker 1: kind of nerdy business leader. He was disciplined, he stayed 490 00:32:23,640 --> 00:32:27,240 Speaker 1: out of the limelight, and he evangelized long term thinking, 491 00:32:27,720 --> 00:32:31,640 Speaker 1: not living in the moment. Remember way back when Bezos 492 00:32:31,680 --> 00:32:35,720 Speaker 1: explained his regret minimization framework, it was all about looking 493 00:32:35,760 --> 00:32:39,080 Speaker 1: back with pride and your accomplishments when you're eighty. And 494 00:32:39,120 --> 00:32:42,200 Speaker 1: he said he didn't believe in carpe d M, making 495 00:32:42,200 --> 00:32:44,440 Speaker 1: the most of the present day with a little thought 496 00:32:44,440 --> 00:32:47,040 Speaker 1: of the future. It was not carpe d M. It 497 00:32:47,120 --> 00:32:49,840 Speaker 1: was not wine women in song. No, no, no no, 498 00:32:50,520 --> 00:32:52,360 Speaker 1: I don't go in for carpet d M. I go 499 00:32:52,400 --> 00:32:59,640 Speaker 1: in for regret minimization framework. Absolutely well, Bezo seemed to 500 00:32:59,640 --> 00:33:02,920 Speaker 1: have him race Carbadum, he ended up as an entirely 501 00:33:02,960 --> 00:33:07,040 Speaker 1: different person. I guess in some ways it's fitting. The 502 00:33:07,160 --> 00:33:11,360 Speaker 1: Amazon story is, after all, the story of dramatic change, 503 00:33:11,640 --> 00:33:15,240 Speaker 1: how one company transformed the way we all shop, read, 504 00:33:15,560 --> 00:33:19,120 Speaker 1: and even the character of our communities, So it makes 505 00:33:19,160 --> 00:33:22,080 Speaker 1: sense that this is also the story of how one person, 506 00:33:22,440 --> 00:33:26,680 Speaker 1: Jeff Bezos, was also changed. It's interesting that so many 507 00:33:26,680 --> 00:33:30,880 Speaker 1: people are disappointed by this current incarnation of Bezos. I 508 00:33:30,920 --> 00:33:33,560 Speaker 1: feel a little at down at times. Two. I think 509 00:33:33,560 --> 00:33:36,320 Speaker 1: that those of us who admired him for his inventiveness 510 00:33:36,440 --> 00:33:39,520 Speaker 1: or his business acumen feel that he's kind of wasting 511 00:33:39,560 --> 00:33:44,400 Speaker 1: his talent. His extreme wealth almost amounts to having a superpower, 512 00:33:45,040 --> 00:33:47,200 Speaker 1: and I think we want to see our superheroes use 513 00:33:47,240 --> 00:33:50,280 Speaker 1: their powers to save the world, not to fly around 514 00:33:50,280 --> 00:33:53,400 Speaker 1: to vacation spots or to retreat to a mega yacht. 515 00:33:54,200 --> 00:33:58,320 Speaker 1: Maybe Bezos will recommit to Amazon one day, maybe Andy 516 00:33:58,400 --> 00:34:02,080 Speaker 1: Jassey won't need his help, or maybe Bezos will apply 517 00:34:02,240 --> 00:34:05,520 Speaker 1: his keen intellect and deep resources to not only go 518 00:34:05,600 --> 00:34:09,120 Speaker 1: into space, but to really getting into the trenches in 519 00:34:09,200 --> 00:34:12,920 Speaker 1: the fight against climate change with the same success as 520 00:34:12,960 --> 00:34:17,160 Speaker 1: he's had building Amazon. Whatever you think of Jeff Bezos 521 00:34:17,200 --> 00:34:20,760 Speaker 1: and his greatest creation, we should probably all be rooting 522 00:34:20,760 --> 00:34:29,400 Speaker 1: for him to float back down to Earth. This season 523 00:34:29,400 --> 00:34:33,239 Speaker 1: of Foundering was hosted by me brad Stone. Sean When 524 00:34:33,400 --> 00:34:37,960 Speaker 1: is our executive producer. Spencer Sober contributed reporting to this episode. 525 00:34:38,560 --> 00:34:42,040 Speaker 1: Ray Mondo is our audio engineer. Molly Nugent is our 526 00:34:42,080 --> 00:34:47,000 Speaker 1: associate producer, Mark Million and vandermay Robin Agello and Molly 527 00:34:47,080 --> 00:34:52,200 Speaker 1: Shoots our story editors. Special thanks to Mark Bergen, Eileena Pang, 528 00:34:52,440 --> 00:34:55,520 Speaker 1: and Brodie Ford France. Jsica Levi is the head of 529 00:34:55,520 --> 00:34:59,480 Speaker 1: Bloomberg Podcasts. Be sure to subscribe and if you like 530 00:34:59,560 --> 00:35:04,919 Speaker 1: our show Leaver review. Most importantly, tell your friends see 531 00:35:04,960 --> 00:35:05,640 Speaker 1: you next season.