00:00:20.000I will explain why the SpaceX IPO is awesome, why Elon Musk deserves his wealth, and why we're all better off when we have a system where a guy can be a trillionaire.
00:00:40.000It will be the biggest IPO in all of human history.
00:00:43.000Again, the pre market valuation is likely to be in the $1.77 trillion range, according to the Wall Street Journal.
00:00:49.000It's kind of an unusual IPO, initial public offering.
00:00:52.000This is where a private company goes to the public markets to raise money, and then it uses that money in order to run the business, in order to spend.
00:01:00.000It's not just to make the founders rich, although the founders now have stock that is liquid, meaning that they could sell their stock theoretically.
00:01:09.000To be able to sell tons of stock, because if a founder of a major company sells a lot of his stock, that is a signal to the market he has no faith in his own company, and then the stock dies.
00:01:17.000It's a problem for every founder from Mark Zuckerberg to Elon Musk.
00:01:21.000But what's unusual about this particular IPO is that it is actually widely available to retail investors, like the man on the street.
00:01:27.000So typically, in any IPO, a certain percentage of the stock of the company is put on the public markets, and a huge percentage of that stock is already pre bought by institutional investors.
00:01:39.000All the big companies that you hear about, the Goldman Sachs of the world, or institutional investors like sovereign wealth funds in the Middle East or whatever, usually only about 5% to 7% of an initial public offering is available to retail investors like the guy using Robinhood or something.
00:02:02.000The thing that really matters and the thing that I think could destroy the country, honestly, and the global economy is the thing that has always been a threat to humanity, and that is envy.
00:02:12.000So, Jimmy Kimmel is just a beautiful example of this.
00:02:15.000Jimmy Kimmel is a multimillionaire who works for billionaires who is upset about a trillionaire.
00:02:22.000He's an obnoxious, non funny, woke pope of late night TV who's probably worth somewhere between 50 and 100 million dollars.
00:02:30.000And he is paid by people who are worth tens of billions of dollars to complain about a guy who built a company that will be worth 1.77 trillion dollars.
00:02:38.000So, last night, he started railing about how Elon Musk is not grateful enough to Jimmy Kimmel or what?
00:02:47.000Elon Musk came to the United States from South Africa in 1995, the son of a humble emerald mine owner.
00:02:54.000And he is so grateful to this country that allowed him to become a trillionaire.
00:02:59.000Tesla paid almost no federal income tax over the past three years.
00:03:02.000You know, for a guy who has been openly cheering immigrants getting kicked out of the country for stealing from us, sure seems like an immigrant who's been stealing from us to me.
00:04:34.000With that kind of money, Elon could buy every NFL team, all of them, and he'd still have $773 billion left, which he could use to buy all 30 Major League Baseball teams, every NBA team, every Wendy's, every Target store, the Beatles' entire music catalog.
00:04:49.000He could buy Nike, Macy's, and every Hyundai Elantra ever produced, and would still have $260 billion, $50 million left over.
00:05:00.000Okay, so I'm just wondering Jimmy Kimmel, again, is worth probably $100 million.
00:05:06.000If you counted to 100 million, it would take you somewhere between 20 and 30 years.
00:05:10.000If you counted one number per second and stayed up all night, why the envy?
00:07:31.000Coming up, we'll get deeper into the question of envy why so many people don't understand basic economics in the United States, why Elon deserves the pay.
00:07:40.000The story of SpaceX is incredible because America is awesome.
00:07:44.000And it's because America is awesome that we are very good at ceremonies like flyovers, parades, speeches.
00:07:49.000We put giant flags on everything, and that's great.
00:07:51.000But honoring veterans isn't just something that we should do for a few minutes on a holiday.
00:07:55.000The real question is, what happens when a veteran comes home and needs help navigating the challenges of everyday life?
00:08:00.000That's why I want to tell you about something Pure Talk is doing this summer.
00:08:03.000As America approaches its 250th birthday, Pure Talk and its customers are working to raise $250,000 for America's Warrior Partnership, who works to prevent veteran suicide by helping veterans navigate real life challenges that often get overlooked.
00:08:16.000Housing, transportation, counseling, access to VA benefits, practical things that can make an enormous difference in someone's life, because real support means more than saying thank you for your service.
00:08:25.000When you switch your cell phone service to Pure Talk this month, you'll have the opportunity to round up your bill to support America's Warrior Partnership.
00:08:32.000Pure Talk will match donations until they reach 250 grand.
00:08:35.000At the same time, you'll get unlimited talk, unlimited text, unlimited high speed data for just $34.99 a month.
00:08:52.000Switch to my wireless company, America's wireless company, Pure Talk.
00:08:56.000So, there is a very interesting study from a journal called Frontiers in Psychology in 2021 talking about what are called the two faces of envy.
00:09:06.000And the authors write Envy is like a wildfire destroying people.
00:09:10.000We feel envy for a classmate who gets a good grade or a neighbor who buys an expensive car.
00:09:14.000This kind of emotion drives our different behaviors like small stones in the heart, like ruining our peace of mind.
00:09:20.000Scholars have defined envy as the intense, unpleasant feeling that one feels when one realizes that another has something that one strives for, pursues, and yearns for.
00:09:34.000In benign envy, the envious person may try to make themselves as good as the person being envied.
00:09:39.000Therefore, envy can increase personal effort, drive behavior to achieve the desired object, and to turn attention to the means of achieving it.
00:09:46.000And then there is another type, malicious envy.
00:09:48.000This is where the envious person may try to degrade the person being envied, to vilify or denigrate the other person's advantages.
00:09:55.000Envy can increase Schadenfreude, behavior that leads to hostility and resentment, and can shift attention to the person being envied.
00:10:02.000By the way, it also leads to violence.
00:10:04.000There is literally a full commandment among the ten that is directly about envy.
00:10:11.000The tenth commandment, the final one from Exodus 20 17.
00:11:31.000But it tends to kick in for anyone who's just above you on the wealth index.
00:11:35.000So if you make a hundred grand, you may be envious of the guy who makes 200 grand.
00:11:39.000If you're worth a hundred million dollars the way Jimmy Kimmel is, You may be envious of the guy making a trillion dollars, but it's not every person who makes more than you.
00:11:46.000There is a particular envy for people who take risks because, in our heart of hearts, we think we could have done that too.
00:11:53.000We look at Elon, we say, I could have founded a space company.
00:11:56.000He thought of it, but sure, I could have thought of it.
00:12:00.000It's something that's within my purview.
00:12:02.000It's really, really interesting to watch New Yorkers who just voted for a Democratic socialist like Zoran Momdani, who rips on Ken Griffin all day long, rooting for the Knicks this season.
00:12:12.000The Knicks are super rich, really, really, really rich.
00:12:15.000Carl Anthony Towns made 53 million bucks this year.
00:12:25.000But you're not seeing jealousy or outrage in the stadium.
00:12:27.000People aren't showing up and yelling at them about how they need to redistribute their income and pay more taxes and how many school teachers are out of a job.
00:12:34.000And do we need more government sponsored grocery stores from CAT paying more tax?
00:12:40.000So why aren't people so envious of these guys?
00:12:41.000Well, the truth is that everyone sort of recognizes that these guys have unique talent given by God.
00:12:47.000You're not seven foot, you're not 270 pounds, and you can't shoot the three.
00:12:51.000But when it's a smart person who doesn't have overt talent, sort of alien-like physical qualities.
00:13:16.000Well, because he took risks, huge risks, unprecedented risks.
00:13:22.000And that is good because risk is what creates innovation.
00:13:25.000If you don't have people risking, you don't get better stuff.
00:13:28.000If you don't have people putting up their house for mortgage in order to sponsor and subsidize them building a company, the company does not get built.
00:13:35.000If you don't have people willing to put their own money where their mouth is, their own time, their own effort, where their mouth is, you do not get new things.
00:13:49.000Well, because here's the thing for every single Elon Musk in any industry, there are 10,000 dudes who thought of it, risked it, and failed.
00:13:58.000And so, what is the only thing that will keep people risking it and trying to do the thing that actually builds?
00:14:05.000The only thing that incentivizes that is the possibility of making a lot of money.
00:14:09.000That is the only thing, the thing that generates people willing to take the risks that actually make the world a better place is a system that allows you to keep what you make, to keep what you kill.
00:14:23.000That is why the system must be maintained.
00:15:40.000To keep looking failure in the face over and over and over and again, you have to have an American system, a free market system that rewards risk taking, that punishes failure and rewards success.
00:15:52.000I mean, people forget that Elon Musk risked pretty much his entire early fortune on SpaceX and Tesla.
00:16:00.000He got about $180 million when PayPal was sold.
00:16:03.000He poured about $100 million of that $180 million into SpaceX and Tesla.
00:16:10.000Now, again, over time, he ended up with a stake of approximately 42% in SpaceX.
00:16:17.000The company was almost bankrupt in 2008.
00:16:20.000By late 2008, After the first three Falcon 1 launches, and you saw that picture of him just crouching, looking at the debris, SpaceX was running out of money.
00:16:29.000They were down to basically their final weeks of capital, and Elon scraped together personal loans against his own assets to make payroll to keep the company from shutting down.
00:16:57.000Walter Isaacson, in his biography of Musk, talks about the fact that when Musk first decided that he wanted to send a mission to Mars, the first thing he realized is he had no clue about anything rocket related.
00:17:08.000So he cold called an aerospace consultant named Jim Cantrell, and then he basically just learned up.
00:17:15.000According to Isaacson, from Cantrell and others, he'd borrowed rocket propulsion elements, fundamentals of astrodynamics, and aerothermodynamics of gas turbine and rocket propulsion, along with several more seminal texts.
00:17:27.000It wasn't that Elon started off as some sort of expert on space.
00:17:34.000It's that Elon is personally an incredible risk taker, not just about his money, but also about his time and his expertise.
00:17:40.000He looked at something, thought, that's fascinating to me, I'm obsessed with it, and just launched himself into it.
00:17:46.000Isaacson quotes another billionaire, Peter Thiel, saying, What I didn't appreciate is that Elon starts with a mission and later finds a way to backfill in order to make it work financially and technically.
00:17:55.000That's what makes him a force of nature.
00:17:57.000All righty, coming up, we'll get to a bunch of people who just are envious of other people's wealth, but they're pretending that it's because they're altruistic, but really it's because they hate and don't understand free markets.
00:18:10.000Every single day brings a new decision, a new task, a new problem to solve.
00:18:13.000Before long, managing the business starts getting in the way of actually growing the business.
00:18:17.000And this is where Shopify comes in handy.
00:18:20.000Shopify is the commerce platform powering millions of businesses worldwide and 10% of all e commerce in the United States, including the Daily Wire.
00:19:44.000He's truly a useless Nepo baby of Cenkweger's.
00:19:49.000And yet, he's touted as some sort of great thinker.
00:19:52.000Well, he compares people like Elon to the Gilded Age.
00:19:55.000He blames capitalism for people sleeping outside in the United States every night as though the natural condition of humanity is innovation and growth, as though wealth is the natural condition of humanity as opposed to abject poverty, which is the actual natural condition of humanity absent innovation.
00:20:12.000By the way, perform a quick thought experiment, and you can see that the only thing that has changed in human history is free markets and innovation, private property.
00:21:24.000And the solution to that is so simple, really.
00:21:27.000If we were to just like retool our system a little bit, because we have all of the wealth, we have all of the potential, we have all of the opportunity to change this system to ensure that that doesn't happen because it's unbelievably inhumane.
00:21:41.000And yet we don't do it because this is the way the system is designed.
00:21:46.000This is the way capitalism has to continue.
00:21:51.000And yet, in spite of the same wealth inequality, if not worse, that we're currently experiencing in comparison to the Gilded Age, Americans are sleepwalking in the direction of fascism.
00:22:09.000And I just want to point out here that even the so called Gilded Age, which again was a propaganda angle on one of the most innovative and creative times in American industrial history, it's what launched America into the forefront of the global economy, it is what generated America's leading wealth on planet Earth, the Gilded Age.
00:22:28.000And all of the supposedly evil robber barons, people like JP Morgan or Rockefeller, these are people who coined industries.
00:22:37.000Also, people who, by the way, saved the economy.
00:22:39.000In 1907, the American economy nearly collapsed, and JP Morgan got all the bankers in a room.
00:22:43.000There was no Federal Reserve at the time, and they backstopped the entire American economy.
00:23:27.000Hey, man, this is not an advertisement for you to buy SpaceX stock.
00:23:30.000I don't know if it's overvalued or undervalued.
00:23:33.000I will say that ripping on SpaceX is an absurdity.
00:23:36.000SpaceX has done amazing and continues to do amazing things.
00:23:41.000SpaceX, as a company, is responsible for roughly 82% of all American space launches and over 84% of the global payload mass to orbit.
00:23:50.000It controls America's sole domestic crewed ride to the ISS.
00:23:55.000It has revenue from three places Starlink, which has 12 million active subscribers for direct to device internet, which, by the way, Starlink will have a salutary impact on global politics.
00:24:05.000If Starlink had been widely available in the middle of the Iran war, it would have made a huge difference.
00:24:44.000That means that you literally launch pieces of data centers into space, and then they rely on solar energy because the sun's energy is constant in space, and the cold temperatures of space prevent overheating.
00:24:55.000According to the Wall Street Journal, orbital data centers will feature swarms of satellites laden with AI chips.
00:25:00.000They will need solar arrays to produce electricity to run the AI computing systems.
00:25:04.000The satellites are expected to fly in an orbit that roughly travels over Earth's poles to maximize their exposure to sunlight.
00:25:40.000Well, you know, if you think so, head on over to dailywire.comslash subscribe to watch the full show ad free or check out this crazy story here.