WEBVTT - How Shareholders Are Destroying The Tech Industry 0:00:02.480 --> 0:00:06.720 All Zone Media. Oh hello, fancy meeting you here. I'm 0:00:06.720 --> 0:00:20.560 at Zetron and this is better offline. Also in the 0:00:20.600 --> 0:00:24.000 previous episode, I walk through how General Electrics Jack Welch 0:00:24.320 --> 0:00:28.920 created the disgraceful terms of modern capitalism. A corporate mindset 0:00:29.040 --> 0:00:31.560 where thousands of people are laid off the boost revenues 0:00:31.560 --> 0:00:33.960 when a company is making millions or billions of dollars 0:00:34.000 --> 0:00:36.520 in profits, and an era of growth at all costs. 0:00:36.560 --> 0:00:40.479 Corporations that create nothing but shareholder value, run by an 0:00:40.640 --> 0:00:44.199 entire class of managerial pencil pushers that only really care 0:00:44.280 --> 0:00:48.519 about hitting analyst targets. In this episode, I'm going to 0:00:48.560 --> 0:00:52.440 show you how bad that's been, specifically for the tech industry. 0:00:53.560 --> 0:00:56.680 As ever, please check out the episode details for an 0:00:57.000 --> 0:00:59.320 URL that has sources for everything I'm talking about in 0:00:59.360 --> 0:01:02.920 this and future episodes. Sorry to repeat myself on that one, 0:01:02.960 --> 0:01:05.399 but it's really important. You know. I did not just 0:01:05.480 --> 0:01:09.800 make all of this up anyway. A couple weeks back, 0:01:10.040 --> 0:01:13.440 Open ai CTO, Mira Murati spoke for nearly an hour 0:01:13.480 --> 0:01:16.959 at Dartmouth University, where she recently accepted an honorary which, 0:01:17.040 --> 0:01:20.399 by the way, means fake doctorate of Science for and 0:01:20.480 --> 0:01:23.959 I quote, pushing the frontiers of what neural networks can do. 0:01:25.360 --> 0:01:28.840 This is, by the way, very funny. It's very funny indeed, 0:01:29.160 --> 0:01:31.920 because other than when she graduated with her Bachelor of 0:01:31.920 --> 0:01:34.640 Engineering from the Thayer School of Engineering and for one 0:01:34.720 --> 0:01:37.760 year of her career, Mira Murati has only ever been 0:01:37.800 --> 0:01:41.479 a manager, specifically a project manager, somebody who doesn't write 0:01:41.520 --> 0:01:44.679 code or build software, but points at things and says, yeah, 0:01:44.720 --> 0:01:48.840 we should, we should do that. After graduating, Mira Murati 0:01:48.960 --> 0:01:51.920 worked briefly at a French aerospace company called Zodiac as 0:01:51.960 --> 0:01:55.720 an advanced concepts engineer before joining Tesla in twenty thirteen. 0:01:55.840 --> 0:01:58.600 Is a product manager before moving to Leap Motion from 0:01:58.640 --> 0:02:01.320 twenty sixteen to twenty eighteen, where she was the VP 0:02:01.400 --> 0:02:04.520 of Product and Engineering. A deceiving title again does not 0:02:04.720 --> 0:02:08.000 mean she actually wrote code for a company that also 0:02:08.440 --> 0:02:11.040 burned tens of millions of dollars on a gesture based 0:02:11.040 --> 0:02:13.640 control system for a Mac, only to be acquired for 0:02:13.639 --> 0:02:16.320 thirty million dollars in twenty nineteen at about a tenth 0:02:16.400 --> 0:02:20.440 of its all time value. Her role would have undoubtedly 0:02:20.480 --> 0:02:24.560 involved wrangling gang charts, weird product management stuff, just Google 0:02:24.600 --> 0:02:27.080 it and spec sheets rather than lines of code in 0:02:27.120 --> 0:02:31.840 a text editor. After leaving Leap Motion, mir Murti's career 0:02:31.880 --> 0:02:35.359 trajectory accelerated in a way that's kind of hard to explain. 0:02:36.280 --> 0:02:38.519 She moved to open Ai as its Vice president of 0:02:38.560 --> 0:02:42.080 Applied AI in Partnerships, and was promoted to SVP of Research, 0:02:42.160 --> 0:02:45.000 Product and Partnerships in twenty twenty, and then, at some 0:02:45.160 --> 0:02:49.120 indeterminate time in twenty twenty two, became its Chief Technology officer, 0:02:49.320 --> 0:02:52.519 despite having from what I can tell, exactly one academic 0:02:52.560 --> 0:02:54.800 credit to her name in a list of twenty or 0:02:54.800 --> 0:02:58.600 so people. By the way, open ai co founder Ilia Suitskaeva, 0:02:58.760 --> 0:03:00.920 if you're curious, he has overall one hundred, and I 0:03:00.960 --> 0:03:03.440 realized this is the kind of dick measuring stuff might 0:03:03.480 --> 0:03:06.880 not matter, but in this specific case, for the CTO 0:03:07.080 --> 0:03:10.760 of an organization that's about researching how to build AGI, 0:03:11.000 --> 0:03:14.399 you'd think you'd have an academic But don't worry. There's 0:03:14.400 --> 0:03:17.960 many more annoying things about mirror Murti. During her speech, 0:03:18.240 --> 0:03:21.480 she spoke about how artificial intelligence could kill creative jobs, 0:03:21.480 --> 0:03:24.000 and I quote that shouldn't have been there in the 0:03:24.040 --> 0:03:27.960 first place, something you'd only say if you'd never created 0:03:28.000 --> 0:03:31.880 anything in your entire goddamn life putting that aside, and 0:03:31.919 --> 0:03:35.600 trust me, I'll get to it. Murti, much like Sam Altman, 0:03:36.120 --> 0:03:39.440 seems like she's full of shit, rambling in the biggest 0:03:39.520 --> 0:03:42.320 of ways about how the societal impacts of this work 0:03:42.320 --> 0:03:44.840 are not an afterthought and that you kind of have 0:03:44.960 --> 0:03:48.720 to build them alongside the technology. They are real fucking technical. 0:03:49.640 --> 0:03:52.680 The chief technology officer of the most prominent startup in 0:03:52.720 --> 0:03:56.600 America appears to not know that much about technology, to 0:03:56.640 --> 0:03:59.240 the point that a couple months back, she was unable 0:03:59.240 --> 0:04:03.040 to answer whether open AI's generator video product was trained 0:04:03.080 --> 0:04:06.600 on publicly available data, making a face that kind of 0:04:06.640 --> 0:04:09.480 looks like she was doing a vinegar flavored wasp. And 0:04:09.520 --> 0:04:11.600 I've linked to this. You know the face if you've 0:04:11.600 --> 0:04:14.600 looked it up already. It's not a great one. She 0:04:14.680 --> 0:04:18.000 could have been lying, but Maurati rarely demonstrates any kind 0:04:18.000 --> 0:04:22.080 of technical depth, dancing around answers with these vague, weird explanations. 0:04:22.279 --> 0:04:24.480 And if you're wondering why the host didn't push back 0:04:24.480 --> 0:04:26.920 at her at all, it's because the host at Dartmouth, 0:04:26.960 --> 0:04:30.080 by the way, was Jeffrey Blackburn, a career manager at 0:04:30.120 --> 0:04:34.960 Amazona recently joined door dashes, bored. Maurati's a weird one. 0:04:35.160 --> 0:04:37.760 I've watched a lot of her interviews, a lot of them, 0:04:38.320 --> 0:04:41.640 hours of them. They're all so boring. I cannot explain 0:04:41.680 --> 0:04:44.440 how boring they are. But they're not boring because I'm stupid. 0:04:44.480 --> 0:04:49.640 That's another problem. They're boring because they're meandering, they're nonspecific, 0:04:50.000 --> 0:04:52.919 and the people interviewing her are just like, yeah, wow, damn, 0:04:52.920 --> 0:04:55.520 that's crazy. Yeah, so you think AI is good, then 0:04:55.560 --> 0:05:00.560 oh shit, that's the criticism she's got. She never, much 0:05:00.680 --> 0:05:03.360 like mister Raltman, seems to be in front of anyone 0:05:03.360 --> 0:05:06.280 who knows what they're talking about or is capable of 0:05:06.320 --> 0:05:10.280 asking those questions. And yes, the media interviewing these people 0:05:10.279 --> 0:05:13.359 are limited. They have remits about what they can and 0:05:13.400 --> 0:05:15.840 can't say. I don't speak to the exact fundament of it, 0:05:15.920 --> 0:05:19.640 but it isn't great. But it's very goddamn worrying that 0:05:19.680 --> 0:05:21.760 the future of the tech industry is in the hands 0:05:21.760 --> 0:05:24.200 of people who don't seem to know much about tech. 0:05:24.880 --> 0:05:27.960 Open Ai is run by Sam Altman, an unqualified non 0:05:27.960 --> 0:05:30.680 technical founder who has conned his ways to the heights 0:05:30.680 --> 0:05:34.400 of Silicon Valley. Google is run by San darp As Shai, 0:05:34.800 --> 0:05:38.680 an MBA and a former McKinsey management consultant that's overseen 0:05:38.720 --> 0:05:41.760 the destruction of Google's core products, laid off tens of 0:05:41.880 --> 0:05:45.640 thousands of people, and pushed Google to shoehorn generative AI 0:05:46.000 --> 0:05:50.360 into the core search product with disastrous results including telling 0:05:50.400 --> 0:05:53.120 you to put glue on pizza and eat rocks and 0:05:53.200 --> 0:05:57.560 so on and so bloody forth. Microsoft is run by 0:05:57.600 --> 0:06:00.599 sachy in Adela, yet another MBA that has in his 0:06:00.720 --> 0:06:04.359 tenure overseen layoffs of over thirty thousand people and pushed 0:06:04.400 --> 0:06:07.680 his company deep into the deeply unprofitable and unsustainable world 0:06:07.720 --> 0:06:11.239 of generative AI while laying off people from the Xbox group, 0:06:11.400 --> 0:06:14.640 you know, one of the only beloved things Microsoft has left, 0:06:14.960 --> 0:06:17.360 and also wasting a lot of time on the metaverse. 0:06:17.680 --> 0:06:21.080 But I'll get to him. Amazon CEO Andy Jesse, who 0:06:21.080 --> 0:06:25.479 replaced Jeff Bezos. Surprise surprise, he's another NBA and he 0:06:25.560 --> 0:06:28.640 started Amazon as a marketing manager in nineteen ninety seven. 0:06:29.200 --> 0:06:31.120 To his credit, he came up with the idea of 0:06:31.160 --> 0:06:34.240 Amazon Web Services, which is the cloud platform that a 0:06:34.360 --> 0:06:36.599 chunk of the Internet uses. And by the way, ten 0:06:36.640 --> 0:06:39.600 other people also came up with the idea, and then 0:06:39.640 --> 0:06:42.920 he was made CEO of Amazon in twenty twenty one, 0:06:43.200 --> 0:06:46.320 at which point a man called Adam Seleipski was made 0:06:46.360 --> 0:06:50.560 CEO of Amazon Web Services and guess what, he also 0:06:50.640 --> 0:06:53.640 has a Harvard MBA. But then he was replaced in 0:06:53.760 --> 0:06:56.680 March by another guy who also had an MBA, this 0:06:56.760 --> 0:07:00.719 time from Northwestern. It's always these management guys, the most 0:07:00.760 --> 0:07:03.640 technical and one of the most profitable parts of Amazon, 0:07:04.200 --> 0:07:07.880 their cloud storage and processing product. And I'm crushing it 0:07:07.920 --> 0:07:10.360 down for the podcast Calm Down. If you super technical, 0:07:11.240 --> 0:07:14.200 you'd think that would be a tech guy. You think 0:07:14.240 --> 0:07:16.120 that would be someone who actually knew what they were 0:07:16.160 --> 0:07:19.360 got down talking about other than the osmosis of being 0:07:19.400 --> 0:07:22.920 in rooms with people who actually do the work. And 0:07:23.080 --> 0:07:25.320 the reason I'm harping on about this is the founding 0:07:25.320 --> 0:07:28.560 story of Amazon Web Services. Maybe one of the greatest 0:07:28.600 --> 0:07:33.000 lies in texts history. I can find no maybe a 0:07:33.000 --> 0:07:36.000 little specific evidence as to who the actual architect of 0:07:36.000 --> 0:07:41.080 AWS was. Just this hindless muling about how Andy Jasse 0:07:41.200 --> 0:07:43.920 and NBA built one of the most important pieces of 0:07:43.960 --> 0:07:49.520 technological infrastructure of all time. It's just bollocks. And Jesse 0:07:49.720 --> 0:07:52.880 regularly uses the Royal we to talk about how we 0:07:53.440 --> 0:07:56.440 he built Amazon Web Services, despite the fact that he 0:07:56.480 --> 0:07:58.640 didn't build shit. He didn't build anything at all. He 0:07:58.680 --> 0:08:03.000 was a manager, managing managers. Jeff Bezos, who was the CEO, 0:08:03.080 --> 0:08:06.160 who was another manager. It's all managers, all managers doing 0:08:06.200 --> 0:08:10.640 a management centipedeugh And what little I can find suggests 0:08:10.680 --> 0:08:13.640 that much of the actual technical work to build Amazon 0:08:13.680 --> 0:08:16.840 Web Services was done by people like then CTO Alan 0:08:17.160 --> 0:08:20.440 Vermulen and Brewster Kale, who founded a company called Alexa 0:08:20.520 --> 0:08:23.280 Internet that Amazon acquired in nineteen ninety nine. There was 0:08:23.320 --> 0:08:27.280 instrumental to spinning up the services that became Amazon Web Services, 0:08:27.400 --> 0:08:29.760 two names that I've never really read in the many 0:08:29.760 --> 0:08:33.160 many articles crediting Jasse as the architect behind Amazon's most 0:08:33.160 --> 0:08:40.520 profitable service, yet arguably the most Welsh pilled management based 0:08:40.640 --> 0:08:44.920 Silicon Valley staple is Meta, a company dominated by NBA's 0:08:45.000 --> 0:08:48.079 like Sheryl Samdberg. It's first chief operating officer, who has left, 0:08:48.800 --> 0:08:51.920 replaced by a guy called Javier Olivan who also has 0:08:51.920 --> 0:08:55.000 an NBA. Facebook's Chief People Officer Lori Gohler, and the 0:08:55.080 --> 0:08:59.040 chief privacy officer Michael Protty, all NBAS. Yet what makes 0:08:59.240 --> 0:09:03.120 Meta such a Welshian nightmare is its dedication to making 0:09:03.160 --> 0:09:05.640 its products worse in the search of growth, with career 0:09:05.679 --> 0:09:09.079 product managers like CMO Alex Schultz and head of product 0:09:09.160 --> 0:09:12.280 Naomi Glit dominating the company from its earliest days, and 0:09:12.320 --> 0:09:16.360 creating a culture that focused entirely on gaming Facebook's metrics. 0:09:16.400 --> 0:09:20.120 To please Mark Zuckerberg's demand for perpetual ten percent year 0:09:20.200 --> 0:09:24.040 over year growth in core growth metrics, Meta has laid 0:09:24.040 --> 0:09:26.199 off of a thirteen percent of its workforce in the 0:09:26.280 --> 0:09:29.560 last year, over eleven thousand people, despite the fact that 0:09:29.600 --> 0:09:32.600 the company has been profitable for over a decade, even 0:09:32.640 --> 0:09:36.960 while plunging tens of billions of dollars into Zuckerberg's reality 0:09:37.040 --> 0:09:41.880 Labs Metaverse division and authorizing fifty billion dollars in stock buybacks. 0:09:42.440 --> 0:09:45.280 In many ways, Zuckerberg is Welsh perfected the CEO of 0:09:45.320 --> 0:09:48.680 a company that provides a continuously deteriorating service that prints 0:09:48.720 --> 0:09:51.800 money or gaming its metrics, such as no longer reporting 0:09:51.800 --> 0:09:54.600 its monthly active users on earnings to make Wall Street 0:09:54.600 --> 0:09:58.360 believe that it's a quote good company. It doesn't matter 0:09:58.640 --> 0:10:01.240 that Meta has effectively given up on trying to solve 0:10:01.320 --> 0:10:04.800 its massive problems with AI generated spam and scams and 0:10:04.840 --> 0:10:07.160 four h four media reports that Meta has turned its 0:10:07.200 --> 0:10:10.600 back on the experts that helped bolster its content moderation 0:10:10.800 --> 0:10:15.760 services sadly, and this really matters because the markets still 0:10:15.800 --> 0:10:18.960 love Meta, even though they punish the company briefly in 0:10:19.040 --> 0:10:22.120 recent earnings for a and I quote light forecast, where 0:10:22.160 --> 0:10:26.480 it quote raised investor expectations due to its improved financial 0:10:26.520 --> 0:10:29.760 performance in recent quarters, leaving little room for error. According 0:10:29.760 --> 0:10:32.560 to the NBC, a business network that Jack Welch owned 0:10:32.600 --> 0:10:35.719 a large chunk of through his acquisition of NBC as 0:10:35.760 --> 0:10:39.040 part of a deal the General Electric acquired RCA Corp. 0:10:39.080 --> 0:10:43.319 In nineteen eighty five, it all goes back to Welch, 0:10:43.640 --> 0:10:46.760 and it's also important to add that despite all of 0:10:46.800 --> 0:10:51.840 these layoffs and these light forecasts, Meta executives received bonuses 0:10:51.880 --> 0:10:54.480 when they fired thousands of people in twenty twenty three. 0:10:55.760 --> 0:10:58.760 Google isn't much better since san Dar Pashai, a career 0:10:58.760 --> 0:11:02.280 product manager in NBA, came CEO in twenty fifteen. Google's 0:11:02.280 --> 0:11:06.320 culture is soured, giving Android inventor Andy Ruben ninety million 0:11:06.360 --> 0:11:09.120 dollars in twenty eighteen to leave the company after credible 0:11:09.120 --> 0:11:13.080 sexual misconduct claims causing a massive walkout over Google's forced 0:11:13.160 --> 0:11:17.120 arbitration clauses over harassment and discrimination that muzzles victims and 0:11:17.160 --> 0:11:20.720 empowers the fucking assholes to hide behind Google and gives 0:11:20.720 --> 0:11:23.960 Google the ability to hide its failure to police these people. 0:11:25.000 --> 0:11:27.199 This happened in the same year that others walked out 0:11:27.240 --> 0:11:30.800 over Google's work with the Pentagon. Under Peshai, Google has 0:11:30.840 --> 0:11:33.320 been fined billions of dollars by the European Union for 0:11:33.360 --> 0:11:36.760 anti trust violations around its Android operating system, and has 0:11:36.800 --> 0:11:39.760 found itself embroiled in a three year long anti trust 0:11:39.760 --> 0:11:42.360 battle with the US Department of Justice around its anti 0:11:42.440 --> 0:11:45.679 competitive approach to keeping Google Search on top, including paying 0:11:45.720 --> 0:11:48.640 Apple twenty billion dollars in twenty twenty two to the 0:11:48.679 --> 0:11:51.760 be the fault search engine on Safari, their web browser. 0:11:53.000 --> 0:11:56.200 Under Peshai, Google has replaced hard working lifers that built 0:11:56.240 --> 0:11:59.120 the very foundation of the company with contractors and on 0:11:59.160 --> 0:12:03.920 the higher levels scumbags cretins like Prabagar Ragavan and Jerry Dishler, 0:12:04.160 --> 0:12:07.920 the latter of which transparently intimidated the Google Search team 0:12:08.160 --> 0:12:11.640 to increase ad revenue generate by search In emails revealed 0:12:11.640 --> 0:12:15.400 in the trial from March twenty nineteen, you'll be shocked 0:12:15.400 --> 0:12:25.120 by the way to hear that Jerry Dishler has an MBA. Yet, 0:12:25.160 --> 0:12:28.200 as with Meta, and as with all of these companies 0:12:28.240 --> 0:12:32.320 excluding open Ai, which is not public, Google prints money 0:12:32.600 --> 0:12:35.400 knitting over twenty three billion dollars in its first quarter 0:12:35.440 --> 0:12:38.319 twenty twenty four earnings the same ones were announced its 0:12:38.320 --> 0:12:42.040 first dividend, and a seventy billion dollar stock buyback program. 0:12:42.240 --> 0:12:45.320 It doesn't matter that Google Search is incredibly broken as 0:12:45.320 --> 0:12:48.120 a result of Google's constant drive to increase revenue, or 0:12:48.120 --> 0:12:50.720 that Google has decided to generate results on Search using 0:12:50.800 --> 0:12:56.120 unreliable generative AI that generates insane answers. Alphabet Google's holding 0:12:56.160 --> 0:12:59.760 company has seen its stock continually rise since much of 0:12:59.760 --> 0:13:03.880 this year, even after the eating rocks thing. Doesn't that 0:13:03.920 --> 0:13:06.679 fill your veins full of bile? How doesn't it make you? 0:13:06.840 --> 0:13:10.280 It just really really makes me angry. It makes you 0:13:10.440 --> 0:13:12.559 very annoyed. I don't like this. I don't like that 0:13:13.240 --> 0:13:15.880 you and I I guess I'm a podcast that's probably not. 0:13:15.960 --> 0:13:18.520 But regular people like you. You go to a job, 0:13:18.559 --> 0:13:20.040 you do the job. If you do the job badly, 0:13:20.080 --> 0:13:23.079 you get shit canned. Fair enough, That's what happens, right, 0:13:23.360 --> 0:13:26.520 These guys, they get paid through the nose for it, 0:13:27.000 --> 0:13:29.280 they get appreciate it, they get a go get them 0:13:29.320 --> 0:13:33.000 boy for fucking everything up. It's just disgusting. It makes 0:13:33.040 --> 0:13:36.800 me very upset. And as I've said previously, this is 0:13:36.840 --> 0:13:40.480 a special kind of financial nihilism that the market continues 0:13:40.520 --> 0:13:43.680 to reward, one that's poisoned Silicon Valley and elevated men 0:13:43.720 --> 0:13:46.760 and woman like Sam Altman and Mira Murrati the positions 0:13:46.760 --> 0:13:48.880 of power, despite the fact that neither of them actually 0:13:48.920 --> 0:13:53.360 seems to build technology. Altman himself is a CD charlatan, 0:13:53.440 --> 0:13:56.240 one that's growing incredibly powerful in the valley despite not 0:13:56.280 --> 0:13:59.080 really having done anything. And it shouldn't surprise anyone that, 0:13:59.160 --> 0:14:02.440 as I mentioned previ one of Altman's nine recommended books 0:14:02.480 --> 0:14:05.160 is Winning by Jack Welsch, a book where Welch claims 0:14:05.160 --> 0:14:09.080 that Winning companies and meritocracies and lionizes Kenneth Yue of 0:14:09.120 --> 0:14:12.400 three m's Chinese operations for and I quote throwing out 0:14:12.400 --> 0:14:15.320 the phony ritual of annual budgeting and replacing it with 0:14:15.360 --> 0:14:19.080 Sky's The Limit dialogue about Opportunities, claiming that budgeting at 0:14:19.080 --> 0:14:21.680 three M is not about delivering good enough plans and 0:14:21.720 --> 0:14:24.120 being them, but about having the courage and zeal to 0:14:24.160 --> 0:14:27.240 reach for what can be done. And doesn't that sound 0:14:27.520 --> 0:14:30.080 like more fun than budgeting? Yes, that last part is 0:14:30.360 --> 0:14:33.040 a quote, and I imagine he must have been referring 0:14:33.040 --> 0:14:35.840 to three M bribing Chinese government officials and means of 0:14:35.880 --> 0:14:38.480 selling product between twenty fourteen and twenty seventeen, or the 0:14:38.560 --> 0:14:40.400 thousands of people that three MS laid off in the 0:14:40.480 --> 0:14:43.880 last few decades, including in China. Sure that's what he meant. 0:14:44.720 --> 0:14:47.560 Jack Welsh wouldn't have just been talking I have his ass, 0:14:47.560 --> 0:14:50.360 would he? No. Jack Welch is the man that Sam 0:14:50.400 --> 0:14:54.400 Altman lionizes, a sleazy con artist that continually moved around 0:14:54.480 --> 0:14:56.960 data as a means of making General Electric look bigger 0:14:56.960 --> 0:14:59.720 and stronger than it really was. Kind of like how 0:14:59.760 --> 0:15:03.440 Sam Mortmon regularly says things like an I quote that 0:15:03.520 --> 0:15:05.720 we'll be able to ask our computer to solve all 0:15:05.760 --> 0:15:08.720 of physics. Now, this came up on a previous episode 0:15:08.720 --> 0:15:10.720 of the Interview with Nick the man who said he 0:15:10.800 --> 0:15:13.160 of fucking pile drive. You've mentioned AI again. I just 0:15:13.200 --> 0:15:15.200 want to be clear that's actually what Sam Wrtman said. 0:15:15.200 --> 0:15:17.440 He said, you can ask the computer to solve all 0:15:17.440 --> 0:15:20.400 of physics. This kind of proves that he doesn't understand take, 0:15:20.440 --> 0:15:22.200 but it also proves that he might just be really 0:15:22.200 --> 0:15:26.440 goddamn stupid. How do you solve physics? Sam? What are 0:15:26.480 --> 0:15:31.640 you solving? Physics? Isn't the solution, Sam? What do you? 0:15:32.120 --> 0:15:34.360 Maybe you should have stayed in Stanford instead of dropping 0:15:34.360 --> 0:15:38.360 out and becoming a carst Sam Altman is kind of 0:15:38.360 --> 0:15:41.280 in trouble though, because behind the scenes, generative AI it 0:15:41.320 --> 0:15:44.080 isn't moving the needle, with Isabel Busquette of The Wall 0:15:44.120 --> 0:15:46.480 Street Journal reporting that companies are finding getting the full 0:15:46.560 --> 0:15:50.840 value of AI assistance requires heavy lifting, including in her 0:15:50.920 --> 0:15:55.480 article this hilarious quote from Google Cloud chief evangelist Richard Sirota, 0:15:55.920 --> 0:15:58.000 by the way, as a career product manager, where he 0:15:58.040 --> 0:16:00.480 blames those not finding the value in AI for and 0:16:00.520 --> 0:16:03.840 I quote, not having their data house in order, chirping 0:16:03.920 --> 0:16:06.040 that you can't just buy six units of AI and 0:16:06.040 --> 0:16:09.080 then magically change your business. And you know what, I 0:16:09.120 --> 0:16:12.280 actually agree with him, in essence, it isn't generative AI's fault. 0:16:12.280 --> 0:16:16.240 That it isn't adapting to your workflows or fulfilling anything. No, 0:16:16.360 --> 0:16:19.360 it's your faulty, nasty little pig. You didn't do the 0:16:19.400 --> 0:16:23.880 work to make artificial intelligence smart, right, That's your fault. 0:16:23.920 --> 0:16:27.480 Somehow you should feel ashamed. You should apologize to Sam Moltman. 0:16:28.080 --> 0:16:31.480 Just kidding in all seriousness. The commonality between all of 0:16:31.520 --> 0:16:34.400 these people Jack Welch, suned Up a Shai Mirror, Marati, 0:16:34.440 --> 0:16:39.400 Sam Altmanmuk Zuckerberg, and honestly an alarming amount of CEOs 0:16:39.440 --> 0:16:41.560 inside and outside of tech is that they, along with 0:16:41.600 --> 0:16:45.680 their companies, have kind of escaped humanity. They've escaped the 0:16:45.720 --> 0:16:48.800 human condition. They make their companies bigger for the sake 0:16:48.840 --> 0:16:51.440 of making them bigger, making more money, to increase the 0:16:51.560 --> 0:16:54.920 value of the financial instrument attached to the company, Abstracted 0:16:54.960 --> 0:16:59.840 away from purpose or craft or creativity or production. These 0:17:00.800 --> 0:17:04.960 management concerns MBA's product managers. They're not creators of anything 0:17:05.040 --> 0:17:09.440 other than financial occultism, a dark heart. Whether financial value 0:17:09.480 --> 0:17:11.840 of a company is often separated from what it does 0:17:11.960 --> 0:17:16.920 or whether it's good at it. They're parasites meta calls itself. 0:17:17.200 --> 0:17:19.720 It's still calls itself. Go on their website and look 0:17:19.960 --> 0:17:23.800 a social metaverse company that's and I quote committed to 0:17:23.920 --> 0:17:27.679 keeping people safe and making a positive impact. But at 0:17:27.760 --> 0:17:31.080 its core. It's a near monopolistic social data and advertising 0:17:31.080 --> 0:17:34.119 company that's testing the limits of how little connectivity it 0:17:34.160 --> 0:17:37.880 can provide in its core products without sacrificing advertising revenue. 0:17:38.480 --> 0:17:41.119 Mark Zuckerberg has proven he'll do whatever he needs to, 0:17:41.280 --> 0:17:45.480 including letting deadly misinformation spread on Facebook to keep showing 0:17:45.480 --> 0:17:48.600 that meta is growing. One might be forgiven for thinking 0:17:48.600 --> 0:17:51.919 that Mark Zuckerberg is the exception that he isn't a 0:17:52.000 --> 0:17:55.160 management goon disconnected from the processes of writing code. This 0:17:55.200 --> 0:17:58.280 guy coded Facebook right. This guy's a nerd. He's a 0:17:58.560 --> 0:18:01.919 nerd with his keyboard. He types right wrong. Oh he 0:18:02.000 --> 0:18:05.639 stopped coding eighteen fucking years ago, in two thousand and six. 0:18:06.600 --> 0:18:09.359 This is the guy like just every time I think 0:18:09.400 --> 0:18:13.680 I've really nailed how bad it gets? Hey wait a second, 0:18:13.720 --> 0:18:15.960 hold up, wait second, I just thought about starthing for 0:18:16.000 --> 0:18:19.080 a second though. Wasn't Sheryl Sandberg brought in to make 0:18:19.800 --> 0:18:23.359 Facebook a real mature business. Ah fuck? She shared a 0:18:23.359 --> 0:18:26.480 communications coach with goddamn Jack Welch. It all goes back 0:18:26.480 --> 0:18:31.000 to the all right, sorry sorry sorry, Like Welch. Zuckerberg 0:18:31.040 --> 0:18:34.320 has weathered numerous scandals the social network, a movie that 0:18:34.359 --> 0:18:37.479 framed him as a sociopathic thief. A data leaking scandal 0:18:37.520 --> 0:18:39.960 that may or may not have influenced Mark Paul elections, 0:18:40.119 --> 0:18:43.960 a scandal where Facebook deliberately emotionally manipulated seven hundred thousand 0:18:44.080 --> 0:18:46.679 users using the news feed in twenty fourteen. And that 0:18:46.840 --> 0:18:48.560 is real, by the way, there's a link to it. 0:18:48.560 --> 0:18:51.560 It's completely insane. Oh yeah, and a five billion dollar 0:18:51.640 --> 0:18:54.520 FDC fine. And he's come out and scathed all as 0:18:54.560 --> 0:18:57.480 he publicly destroys the company that was once globally beloved 0:18:57.800 --> 0:19:02.040 in the name of endless growth. In fact, much like Welsch, 0:19:02.119 --> 0:19:04.159 was applauded as one of the greatest business minds in 0:19:04.200 --> 0:19:07.480 management for decades as he burned G to the ground. Zuckerberg, 0:19:07.520 --> 0:19:09.399 a man who has taken a once profitable company that 0:19:09.440 --> 0:19:12.800 once benefited society and made it both harmful and shitty 0:19:12.840 --> 0:19:15.840 at providing its services, was named one of Barons's top 0:19:16.080 --> 0:19:18.600 CEOs of twenty twenty four a couple of weeks ago, 0:19:18.880 --> 0:19:22.120 where it credited him with a corporate course correction from 0:19:22.119 --> 0:19:25.480 metaverse to artificial intelligence. Neither of those are making money. 0:19:26.320 --> 0:19:28.920 Much like so many journalists in industry figures failed to 0:19:28.920 --> 0:19:31.679 properly identify Welch, when he was right in their midst. 0:19:32.119 --> 0:19:35.320 Barons failed to call Zuckerberg what he is another con 0:19:35.440 --> 0:19:37.840 artist that took useful software and turned it into a 0:19:37.880 --> 0:19:42.040 data collection firm with a shitty product attached. Zuckerberg is 0:19:42.080 --> 0:19:44.240 trying something that Welsh could have only dreamed of, though 0:19:44.680 --> 0:19:47.480 seeing how little he can actually make to convince the 0:19:47.520 --> 0:19:51.199 markets that matter is valuable. It's almost a little on 0:19:51.240 --> 0:19:55.320 the nose, and it fits, It perfectly fits shareholders. Supremacy 0:19:55.359 --> 0:19:58.400 is the force currently driving the tech ecosystem, and one that, 0:19:58.440 --> 0:20:03.280 as I've noted, and lacks any remaining hypergrowth markets funding 0:20:03.320 --> 0:20:06.919 and proliferating technologies that exist not to provide an innovative, 0:20:07.080 --> 0:20:10.680 useful service, but to create more growth. A phony sense 0:20:10.680 --> 0:20:14.159 of progress that allows companies like Microsoft, Meta, Google, and 0:20:14.240 --> 0:20:18.119 Amazon to create something that looks and smells sort of innovative, 0:20:18.320 --> 0:20:21.720 even if their models are all extremely similar, as they're 0:20:21.760 --> 0:20:25.560 all trained on the same quickly dwindling amount of training data, 0:20:25.640 --> 0:20:28.879 and AI developers don't seem to really care what training 0:20:28.960 --> 0:20:31.360 data they use, or indeed what data source they use 0:20:31.400 --> 0:20:34.320 at all. Look at Google Search, which, as I've mentioned, 0:20:34.600 --> 0:20:38.360 took a Reddit post that made it recommend putting glue 0:20:38.400 --> 0:20:40.439 on a pizza to keep cheese on, or claiming that 0:20:40.480 --> 0:20:44.080 you should eat a rock each every day. It's just 0:20:44.119 --> 0:20:48.600 every time I read this, it's so frustrating, it's so annoying, 0:20:49.160 --> 0:20:51.640 and then putting aside how funny the Google AI search 0:20:51.840 --> 0:20:54.520 was on top of it. These companies are running out 0:20:54.520 --> 0:20:57.240 of data and they very clearly don't care about quality 0:20:57.280 --> 0:21:01.880 at all. They're not doing the work, they're not doing 0:21:02.240 --> 0:21:03.879 the things they need to do to make sure this 0:21:04.000 --> 0:21:07.679 is done right. No, they must have it today. They 0:21:07.760 --> 0:21:10.359 must have it now, even if it's bad, even if 0:21:10.400 --> 0:21:13.359 it burns money. And it's not like the markets are 0:21:13.359 --> 0:21:15.840 actually seeing if the shit does anything or whether it's 0:21:15.880 --> 0:21:19.439 truly revolutionary. They didn't care that. Many tech products have 0:21:19.480 --> 0:21:23.320 got increasingly worse over time as tech executives rewarded again 0:21:23.400 --> 0:21:25.920 and again for pursuing growth overt delivering any kind of 0:21:26.000 --> 0:21:30.880 quality product. Since becoming CEO of Google Sundopieschid has been 0:21:30.920 --> 0:21:35.040 paid over half a billion dollars literally in the last 0:21:35.040 --> 0:21:37.760 three years, by the way, taking home two hundred and 0:21:37.800 --> 0:21:40.320 eighty one million dollars mostly made up of stock in 0:21:40.320 --> 0:21:43.560 twenty nineteen, fateful year that many of you might remember 0:21:43.560 --> 0:21:45.440 from the man who killed Google Search, and then he 0:21:45.480 --> 0:21:48.360 got paid two hundred and twenty six million twenty twenty two, 0:21:48.400 --> 0:21:52.720 a year before Google laid off ten thousand people. Sundupisci's 0:21:52.800 --> 0:21:54.760 job as CEO at Google is not to make sure 0:21:54.760 --> 0:21:57.399 that Google delivers great products such as a quick path 0:21:57.440 --> 0:22:00.399 to an answer using Google Search. No no, no, no, no, 0:22:00.359 --> 0:22:03.760 you fool, you buffoon, you ignoramus. Why would you think that. No, 0:22:04.200 --> 0:22:07.560 Sundai's job is to continually grow the amount of money 0:22:07.560 --> 0:22:11.159 that Google's business units make. I have complete confidence that 0:22:11.160 --> 0:22:13.440 if Sundar Pashai was able to make Google Search worse 0:22:13.480 --> 0:22:16.040 than it already is and maintain double digit year of 0:22:16.080 --> 0:22:18.359 a year revenue growth, he would not only do so, 0:22:18.600 --> 0:22:20.439 but he would do so with a big smile on 0:22:20.480 --> 0:22:22.960 his face and be rewarded with hundreds of billions of 0:22:22.960 --> 0:22:27.000 dollars of stock options, pretty much in perpetuity. Sunda Pashai 0:22:27.119 --> 0:22:28.919 is not judged for what he's done to Google, for 0:22:28.960 --> 0:22:31.840 turning it into this Welshair nightmare, not by the markets, 0:22:32.040 --> 0:22:34.280 not by Nile Patella, the verger, who pretty much gave 0:22:34.320 --> 0:22:37.560 him softballs the whole time, And nobody's punishing him at all, 0:22:37.640 --> 0:22:39.640 or really saying it to his face that he's burning 0:22:39.640 --> 0:22:43.000