Valuetainment - Bet-David Podcast ｜ Guest： Tom Ellsworth (Biz Doc)

00:00:00.120 We're live. Okay, Adam, we're officially live.

00:00:03.080 Oh, here we go.

00:00:03.920 And I think it's important before we get started with the 45th episode with Tom Ellsworth being in town here with us.

00:00:09.000 He's here. He's here.

00:00:10.060 Adam here with us.

00:00:10.660 He's the biz doc.

00:00:11.180 I think we have to tell everybody what we saw this morning and when we pulled in.

00:00:14.360 It's crazy.

00:00:15.160 So we pull in. No joke. Okay? We pull in this morning.

00:00:18.980 Parking lot.

00:00:19.600 Parking lot.

00:00:20.460 Exactly.

00:00:20.840 And we see Paul E. running routes. He's just running routes.

00:00:24.500 With cones.

00:00:25.180 In the morning, 7.30, our camera guy, Paul, I wish you could see his face.

00:00:29.040 Paul Oskarska's running routes to what song?

00:00:32.180 He's 6'1", 240.

00:00:33.260 6'1", 240. Played for Chaplin University, right?

00:00:36.040 Big dude.

00:00:36.700 What song was he working out to?

00:00:38.520 Was it Keith Sweat? What was that?

00:00:40.240 Keith Sweat, LSG.

00:00:41.480 My body all over your body, babe.

00:00:44.700 It's your body, babe.

00:00:45.540 Who works out to LSG and Keith Sweat?

00:00:48.540 Only our buddy, Paul E.

00:00:50.480 Everybody, give a shout out to Paul E.

00:00:51.820 Paul, you're just something else, buddy.

00:00:54.440 Nah, Tupac.

00:00:55.640 Tupac.

00:00:56.380 Tupac, right.

00:00:57.120 Okay, anyways, it's...

00:00:58.340 It was a sexy workout.

00:00:59.420 It's a sexy workout.

00:01:00.540 He's trying to get his hands down.

00:01:01.080 Speaking of sexy, let's give an intro to the biz doc.

00:01:03.320 Oh, thank you so much.

00:01:03.940 I went there.

00:01:04.540 I went there.

00:01:06.640 Yes?

00:01:07.200 Sexy Tom?

00:01:08.780 In Boca, in the house.

00:01:10.020 That's right.

00:01:10.620 And by the way, you grew up here.

00:01:11.600 You grew up in Boca.

00:01:12.680 Yeah, my dad's job moved us down here in the last two years of high school.

00:01:15.640 I was a Boca guy.

00:01:17.640 Tom, your dad was a what?

00:01:19.000 Rocket scientist?

00:01:20.240 Literally, he was a rocket scientist.

00:01:21.500 Yeah, he was a mathematician guy.

00:01:23.000 Washington State University, small school in the middle of nowhere, and, you know,

00:01:26.380 mathematic genius, was a rocket scientist in the early days.

00:01:29.680 By the way, that's like literally, his dad was a rocket scientist.

00:01:32.100 Yeah, it's like, I'm no rocket scientist, but no, I really am.

00:01:35.640 You can't say that.

00:01:36.080 You can't say that.

00:01:36.380 I actually am a rocket scientist.

00:01:37.640 This explains so much.

00:01:39.060 But, you know, it's really funny.

00:01:40.000 You look back at the pictures there, and here is him with his short sleeve, white shirts,

00:01:44.720 little skinny black ties, and he had slide rules, you know, and there would be like

00:01:48.560 30 or 40 of them, you would see this team, and I'm like, wow, what'd you do?

00:01:52.640 He says, we were putting men into orbit, and we were building, it wasn't about missiles

00:01:56.760 and rockets and bombs.

00:01:57.800 We were putting men into orbit, and we wanted to beat the Russians.

00:02:00.460 So they had vision, mission, all that.

00:02:02.860 Now there's probably five guys from MIT with big computers.

00:02:07.400 Back then it was 40 guys and everything.

00:02:09.960 But we were proud of them.

00:02:11.100 So, by the way, this morning we're having breakfast, and Tom, what is Tom doing?

00:02:14.220 Tom takes the moment, takes a moment to teach the kids about the difference

00:02:18.260 between Mahi Mahi, El Dorado in San Diego, and Dolphin, but not the kind of dolphin

00:02:24.000 you think it is.

00:02:24.820 All of a sudden, so Tom's just teaching, right?

00:02:26.640 And the kids are, like, enamored by Tom's teaching.

00:02:28.460 He's showing all these pictures.

00:02:29.800 Was your dad also somebody that would always teach you?

00:02:32.100 Like, was he like you?

00:02:32.940 Like, would you like him?

00:02:34.140 You know what?

00:02:35.100 We didn't have a lot growing up.

00:02:36.220 I mean, we were just middle class, and he was always teaching.

00:02:39.580 What are you talking about?

00:02:40.120 You said you guys grew up in a $6 million home in Boca back in the 80s.

00:02:42.620 No, no, no, no.

00:02:43.220 This is Boca in the 80s, and we were, like, out west by 41.

00:02:47.300 Yeah, I can only imagine being able to see.

00:02:50.240 Was your dad a rocket scientist?

00:02:51.400 Mine wasn't a rocket scientist.

00:02:52.160 I mean, back then, that was the border.

00:02:53.700 There was Boca West, then 441, and then animals and swamp.

00:02:58.260 I'm just, I'm still revisiting this rocket scientist.

00:03:01.000 How many, you know what I mean, how many times I've said,

00:03:02.740 look, I'm no rocket scientist.

00:03:04.120 Question, if you're watching this, who has a relative that is or was a rocket scientist?

00:03:09.460 If you're watching this comment, I'm actually curious on how big the community

00:03:12.740 of rocket scientists, did you have anybody that was a rocket scientist?

00:03:16.220 I figured if anybody would have had a rocket scientist, it'd be Kai.

00:03:19.260 Paulie, any rocket scientists in a family?

00:03:21.860 No, my dad's an electrical engineer, but not a...

00:03:24.180 Okay, I mean, your dad's a pretty legit guy.

00:03:26.060 Chris, shout out to your dad, Chris.

00:03:27.880 Sam, Sam, anybody was a rocket scientist in your family?

00:03:32.120 Nobody.

00:03:32.620 Okay, let's see if anybody we had here that was a rocket scientist.

00:03:34.840 Definitely nobody in our family was a rocket scientist.

00:03:37.380 I bet you find a lot of people from Southern California.

00:03:39.520 That's where the space program was.

00:03:41.140 Raytheon, Northrop Grumman, all those guys.

00:03:43.040 There's probably a lot of people, middle-aged, that had moms and dads that worked in that industry.

00:03:47.220 L.A., Southern California.

00:03:48.400 I have a friend that was probably one hallucinogen away from being a rocket scientist.

00:04:00.080 He was that legit of a guy that could have gone there.

00:04:03.920 He was a mathematician.

00:04:04.900 You know who I'm talking about.

00:04:05.760 What do you mean, one hallucinogen?

00:04:07.320 Like he should have done one more?

00:04:09.680 Or he did one too many?

00:04:11.040 Well, he was a genius when he came down.

00:04:13.000 There was a couple guys in our school that were good in math.

00:04:14.860 He was one of them.

00:04:16.140 And he could have been a rocket scientist.

00:04:17.940 But he sells kebab today, is what he sells.

00:04:20.120 He's a kebab salesman.

00:04:21.020 He's in the kebab business, is what he's doing.

00:04:22.780 The kebab business is booming.

00:04:24.020 Anyways, you told me you are very excited about today's topics.

00:04:28.360 Any reason why you're very excited about today's topics?

00:04:30.960 Because I noticed last time.

00:04:31.760 You came in pretty amped up.

00:04:33.160 I'm amped up.

00:04:33.740 I don't know if it's a caffeine pill.

00:04:35.020 I don't know what's going on.

00:04:36.060 But I don't know if it's just the biz doc presence.

00:04:37.440 You didn't take the pill from the guy in the lobby.

00:04:39.500 Yeah, yeah, that guy, that guy.

00:04:40.860 I'm amped up.

00:04:41.860 There was a guy looking like that with a man purse.

00:04:44.140 His name was Zach.

00:04:45.020 And he said, who let the dogs out?

00:04:47.280 And he offered him a couple pills.

00:04:48.580 I don't know if it was roofies or coffee, you know.

00:04:51.740 Roofies?

00:04:52.320 I don't say no.

00:04:54.140 You ever seen the documentary?

00:04:54.820 Yeah, if you take a roofie, you won't be saying no.

00:04:56.680 Have you ever seen the documentary Hangover?

00:04:59.040 You ever seen the documentary Hangover?

00:05:00.480 The documentary.

00:05:01.300 It's a three-part series?

00:05:02.140 No, I saw the documentary.

00:05:05.600 It starts in Las Vegas.

00:05:07.080 Almost famous?

00:05:07.780 No, no.

00:05:08.120 It starts in Las Vegas.

00:05:09.140 There's a tiger in the bathroom.

00:05:10.400 These guys wake up, you know.

00:05:11.620 So it's like a...

00:05:12.440 Yeah, that one.

00:05:13.220 Yeah.

00:05:13.460 I don't know why they call it roofies.

00:05:14.840 They should call it floories.

00:05:15.920 Because you always end up on the floor.

00:05:17.540 Who made you laugh the most in Hangover?

00:05:21.100 Well, obviously, Zach Galifianakis.

00:05:22.740 He's just something else, man.

00:05:24.260 This is my son, Pedro.

00:05:25.600 This is my son, Pedro.

00:05:29.080 Hangover.

00:05:29.440 Look what he's doing.

00:05:32.040 When they're having breakfast, I remember we watched the first one.

00:05:34.580 We're like, this is hilarious.

00:05:36.080 You watch the second one with friends.

00:05:37.700 You're like, it's a little awkward.

00:05:38.640 You watch the third one.

00:05:39.380 Okay, they just crossed the line.

00:05:40.600 Okay, so the third one is not one you're going to watch with your friends and family.

00:05:45.080 It's a little awkward.

00:05:45.980 By the way, Wolf of Wall Street.

00:05:47.260 You know who I watched Wolf of Wall Street with the first time?

00:05:49.520 With my dad.

00:05:51.240 At Arclight in Sherman Oaks.

00:05:53.060 We're sitting there.

00:05:53.740 My dad is...

00:05:54.940 By the way, the whole place is jam-packed.

00:05:56.220 Your dad is laughing?

00:05:56.900 My dad is in tears, cracking up the entire time in every scene.

00:06:03.400 I haven't heard my dad laugh that loud at Wolf of Wall Street.

00:06:06.400 Yeah.

00:06:07.780 Your dad wasn't asking questions?

00:06:10.000 He wasn't asking questions.

00:06:11.120 What is all the sugar on her butt, and what is he doing?

00:06:13.600 No, no, no.

00:06:14.220 My dad's a well-traveled man.

00:06:15.440 He's a G.

00:06:16.440 My dad's a well-traveled man.

00:06:17.820 Okay, so let's get right into it.

00:06:18.820 Let's get into the topics.

00:06:19.860 We've got a lot of exciting stuff.

00:06:21.180 We're having some flories.

00:06:22.760 Okay.

00:06:23.100 By the way, here's what we're going to do.

00:06:25.540 If you're watching this, if you're watching this, and you have a question or you want

00:06:30.980 us to cover a topic, Kai is following Twitter hashtags.

00:06:35.460 If you go on Twitter and you put in hashtag PBDPodcast, once again, PBDPodcast, with any

00:06:42.140 questions you have or topics you want us to cover, Kai will be following that.

00:06:46.280 By the way, my handle is at PatrickBayDavid.

00:06:48.040 If you tweet at PatrickBayDavid or PBDPodcast, Kai will let us know.

00:06:52.940 Maybe some of the tweets will even be shown on the screen to see what the question is.

00:06:56.440 So, Kai, you follow that trend as we're going through it, but let's get right into it.

00:07:00.920 We started 30 minutes a little earlier.

00:07:02.500 I know we said 9 a.m.

00:07:03.640 We did 8.30 because I got a 10.30 meeting today, and I figured we'd start 30 minutes

00:07:07.680 early.

00:07:08.420 Rather than doing a 90-minute show, we said, let's do two hours, and we'll start 30 minutes

00:07:11.740 early.

00:07:11.900 I think it's smart.

00:07:12.560 It's a great move.

00:07:13.220 We're getting good feedback.

00:07:14.180 People like this time.

00:07:15.140 Yes.

00:07:15.360 So, let's get right into it.

00:07:17.300 So, we got a topic.

00:07:18.500 SPAC versus IPO.

00:07:19.580 I think it's important for people to realize what's going on with SPACs versus IPOs.

00:07:23.960 I think it's 20, what was the number?

00:07:25.460 $70 billion.

00:07:26.600 We'll touch up on that.

00:07:27.420 You got a lot of feedback to give about SPACs.

00:07:29.080 Crazy numbers.

00:07:30.480 Disney Plus just topped 100 million subscribers in 16 months.

00:07:34.960 It took Netflix 60 months to do it.

00:07:38.040 They did it in 16 months.

00:07:39.540 And wait until you hear what they're projecting to do, which the number is absolutely astronomical.

00:07:46.160 37% of Americans in a recent survey said that they made trades based on Elon Musk's tweet.

00:07:52.320 They made trades based on Elon Musk's tweet.

00:07:55.540 Americans cut credit card debt by nearly $83 billion during the pandemic.

00:07:59.460 Elon Musk's SpaceX now owns about a third of all active satellites in the sky.

00:08:04.520 Okay, next we have, okay, Elon Musk made another $25 billion yesterday in 24 hours.

00:08:10.660 What a rough day, you know, when you make 25.

00:08:12.060 He loses 25.

00:08:13.460 He makes 25.

00:08:14.700 Just another day with Elon Musk's stories.

00:08:17.560 Hybrid working will become the norm.

00:08:19.880 How much money you need to live comfortably in every state in America.

00:08:22.900 It's interesting to see what is the most expensive state to live in and most cheapest state to live in.

00:08:28.900 We'll cover those numbers.

00:08:29.740 Zoom's founder, Eric Wan, just transferred 18 million shares, $6 billion, and everybody's wondering why that is.

00:08:36.740 Tom's got some speculation of what happened over there.

00:08:39.620 U.S. lawmakers, one thing we've been talking about for a while, introduce Bill to clarify crypto regulations.

00:08:47.340 You do not want to see regulations and crypto in the same sentence, but we're headed in that direction.

00:08:52.500 We'll see what's going to happen there.

00:08:53.440 When there's a party, the government's going to regulate it.

00:08:55.720 That's right.

00:08:56.280 Democrats may just have laid the groundwork for Biden to cancel $50,000 a student debt per person.

00:09:00.900 We'll see what happened there.

00:09:01.780 Russia slowed down Twitter speed and threatened a total block after the site allegedly failed to delete banned content.

00:09:10.840 Russia's back at it again.

00:09:13.260 Can you imagine you're threatening a company in the U.S. from Russia where you have control over saying,

00:09:17.880 I swear to God, if you don't delete banned content, we're going to ruin your website.

00:09:22.040 Imagine the kind of power you have to be able to do something like that.

00:09:24.360 The Biden administration plans to buy another $100 million extra doses of J&J COVID vaccine.

00:09:31.680 Yeah, the one-shot.

00:09:32.600 The one-shot vaccine.

00:09:33.300 Yeah, the one-shot.

00:09:33.560 That's right, the one-shot.

00:09:34.420 And then China's behind a huge cyber attack of Microsoft.

00:09:38.100 And then we've got a few other things that's going on.

00:09:40.160 Texas Pink Raider.

00:09:41.980 Texas Tech offers the two-day-old daughter of Patrick Mahomes a full-right scholarship to play soccer there.

00:09:48.560 Obviously, we've got to cover Myers Leonard, what he said while he was playing video games, and Julian Edelman responding to him.

00:09:55.780 And then Cuomo, you know, a story came out that he groped a girl under the shirt.

00:10:00.500 We may cover that.

00:10:01.180 I don't know whether we're going to get into that or not, but we've got a lot of stories here.

00:10:03.680 Okay.

00:10:04.040 And our boy Gronk.

00:10:05.560 Gronk is NFT, right?

00:10:07.260 He's starting an NFT for himself.

00:10:08.740 Yeah, he's starting an NFT.

00:10:10.180 So why don't we go into the Disney story?

00:10:11.800 I said we start off with the Disney story first.

00:10:15.000 So 100 million subscribers in 16 months.

00:10:18.580 Initially, they projected to have 60 to 90 million subscribers by 2024.

00:10:24.040 They are way off.

00:10:25.440 Three years ahead of their projection, they hit 100 million.

00:10:31.400 And a company spokesperson said Disney expects to hit, ready for this number, 300 to 350 million subscribers by 2024.

00:10:39.240 Watch them miss that mark as well, right, if they miss that mark.

00:10:42.100 It took Netflix 10 years to accumulate 100 million subscribers after launching in 2007, whereas Disney Plus took less than a year and a half.

00:10:49.900 And in October, Disney Plus pulled Dumbo, Peter Pan, and the Aristocrats, amongst other films from kids' profiles, because of racist stereotypes depicted in these films.

00:10:59.800 Let me get this straight.

00:11:00.520 So Dumbo, Peter Pan, and Aristocrats, I actually like all of those movies.

00:11:05.280 But they pulled it out, and the film's removal from kids' profiles comes amid a nationwide campaign to slide disclaimers on or outright ban old movies, TV programs, and books deemed racist and offensive.

00:11:15.860 Anyways, two different topics in the same subject here with Disney.

00:11:19.580 Tom, what are your thoughts with Disney against Netflix?

00:11:22.400 Disney Plus, you know what I think this is?

00:11:23.960 I think this is a leadership case study here.

00:11:28.540 And I'll tell you why I think that.

00:11:29.560 The guy running Disney Plus is a guy named Michael Paul.

00:11:32.060 I met Michael Paul when he was at Fox in Los Angeles, California, and I was at GoTV.

00:11:36.960 Michael Paul's a very impressive guy, was an absolute leader.

00:11:39.680 He leaves Fox and gets recruited to go run video for Amazon.

00:11:44.660 So let's follow the crew trajectory and look at the leadership.

00:11:46.980 He's up at Amazon, runs video, and then he gets recruited to Disney, I think it's in New York, to come run Disney Plus.

00:11:53.240 When I saw that, I felt, and it's Michael Paul, P-A-U-L-L, great guy.

00:11:58.160 Double L? What?

00:11:59.140 Yeah, Double L.

00:12:00.880 It's the Paul family with the extra L.

00:12:03.160 And so I really was impressed by the guy when we would talk there.

00:12:06.580 We would talk about where's GoTV going to go, where I think it should go, what's going on with Fox.

00:12:10.920 And a lot of times, just connected with him professionally.

00:12:15.420 We weren't next-door neighbors or anything.

00:12:17.020 But grabbed a couple lunches with him.

00:12:19.020 Always, always very sharp.

00:12:20.400 And I kind of noticed, you know, what was going on.

00:12:23.060 I think this is a leadership thing.

00:12:24.520 This is not somebody that grew up in Disney with production film.

00:12:27.660 This is a guy that cut his chops with a stop at Amazon.

00:12:30.800 And it doesn't surprise me that he's driving it this way at all.

00:12:33.900 I thought the blending was good.

00:12:35.400 I thought the ESPN Plus they put in there and the way they put it all together.

00:12:38.860 They recreated the cable company.

00:12:40.740 Boom.

00:12:41.340 And he's driving it.

00:12:42.380 And I'm not surprised by this.

00:12:43.720 I'm not surprised at all.

00:12:44.560 I'm a Hulu subscriber from, like, day one.

00:12:46.840 Do you think they're going to hit the 300 to 350?

00:12:48.760 Or do you think they're going to surpass it and hit half a billion?

00:12:51.440 I don't know.

00:12:52.180 It all depends on what, you know, you've got Canada.

00:12:54.080 You have the other markets.

00:12:56.100 It's the take rate in foreign markets.

00:12:58.140 Because you've only got how many hundred million homes in America and 330, 335 million?

00:13:05.280 Yeah, but it's homes.

00:13:06.660 Homes is different than population, right?

00:13:08.880 Right.

00:13:09.100 If you count 4 to 1, so we're dealing with only 100 million in U.S., let's just say, or 90 million in U.S.

00:13:15.940 You have to figure out how to expand internationally and get a number like that.

00:13:18.740 Yeah, that's exactly right.

00:13:19.760 But what's happening in the U.S., I think they're just sucking the air out of the room.

00:13:23.320 YouTube TV didn't get going fast enough.

00:13:26.120 You know, they had a head start.

00:13:27.920 They had a lot of things going on.

00:13:28.840 Question for you.

00:13:29.720 Can they go into China?

00:13:31.460 Can Disney Plus go into China?

00:13:33.080 Can you check to see if Disney Plus is in China right now?

00:13:35.320 Or can they go into China?

00:13:36.320 Because, look, kids watch Disney from all parts of the world.

00:13:40.200 So I'm curious to know if that is a market they're considering that they're going to get into.

00:13:43.600 That's going to give them a chunk of that business right there of 350.

00:13:47.100 Adam, what's on your mind?

00:13:47.840 Disney made the, it's a small world.

00:13:50.680 After all, famous.

00:13:52.040 We've all been there.

00:13:52.860 We know it's a small world.

00:13:53.780 We all in connect the world.

00:13:54.800 What I got to appreciate about the BizDoc is you're looking at the story and you see some of these numbers and we'll kind of get into it.

00:14:01.020 But, of course, Tom Ellsworth knows the guy, Michael Paul, with two L's.

00:14:05.820 Oh, yeah, I met him back at a party and we were doing a video conference.

00:14:09.340 Like, that kind of insight is actually very impressive.

00:14:11.600 Like, no one would know.

00:14:13.100 But speaking of leadership, like, who, if we forget, you know, we're thinking of these massive companies, but no one understands.

00:14:20.660 Like, oh, well, there's a guy named Reed Hastings and this is his philosophy and this is the book that he wrote.

00:14:25.840 And this is why Netflix became that company.

00:14:28.100 Disney and, like, there's a story behind the story.

00:14:31.040 And what you're essentially, you're saying is, like, yeah, Disney, the name of Disney is obviously a popular name and people get it.

00:14:36.780 But, no, there's this dude named Michael Paul with two L's and here's the deal and here's where he came from.

00:14:42.300 But let me kick it over to you, Pat.

00:14:44.280 I've been pretty vocal about this because we've covered, you know, when Quibi didn't, you know, and I was like, what the hell is Quibi at the time?

00:14:50.100 And you said something yesterday, like, the big three, hospitality and hospitality and what was the big three that you said regarding?

00:15:00.020 You had airlines and you had restaurants.

00:15:02.480 It's the ones that got hit heaviest by COVID.

00:15:05.340 During the pandemic, you kind of sort of gave it its own moniker, the big three.

00:15:09.260 What's the big three when it comes to streaming?

00:15:11.280 Obviously, Netflix is numero uno, right?

00:15:13.780 But Disney is right there.

00:15:15.320 It's coming up on its heels, it seems.

00:15:17.900 Then you got Amazon Prime.

00:15:19.600 How many players?

00:15:20.620 Is there a big three?

00:15:21.700 Is there going to be a big five?

00:15:22.700 Pull it up.

00:15:23.140 Top OTTs in the world.

00:15:25.620 Top OTT.

00:15:26.960 Because you can only have so freaking many.

00:15:28.860 That's a great question.

00:15:29.820 How many of these can you have?

00:15:31.060 Like, when Quibi failed, I was like, yeah, obviously, because there's freaking 10 other things they're competing with.

00:15:36.140 You got Hulu, Hulu Live Sports.

00:15:37.820 Just put, okay, there you go.

00:15:39.140 Oh, HBO is one as well.

00:15:40.540 That's right.

00:15:41.060 That's the one that you got to be looking out for.

00:15:42.720 Because HBO is competing in a marketplace.

00:15:45.960 You have so many of these that you've never even heard of.

00:15:48.160 Type it in the U.S.

00:15:49.880 Top OTT.

00:15:51.780 Okay, streaming platforms in U.S.

00:15:55.380 Look at that.

00:15:56.480 Do you see that?

00:15:58.300 Wow.

00:15:58.700 You know what Kai's doing over the weekend.

00:16:00.420 Kai's learning to spell, ladies and gentlemen.

00:16:03.280 The fingers of lightning.

00:16:05.020 That's already a month old, but we'll see what that says.

00:16:08.120 So YouTube is considered OTT for Netflix, Hulu, Amazon, Vimeo.

00:16:13.180 Yeah, this isn't even an update.

00:16:14.680 But I think you have to look at this as the multi-channel.

00:16:16.880 Because the YouTube here is YouTube Red and a few things like that.

00:16:19.640 You know, just access.

00:16:21.060 People intentionally buying it, you know.

00:16:23.280 So everybody thought.

00:16:24.480 And by the way, I did a case study on Netflix.

00:16:26.500 Remember, I talked about that Netflix without all the Disney programming going off the air are going to have some challenges.

00:16:33.040 Netflix is holding its own and even raised prices a buck.

00:16:36.840 So it's Netflix for designated.

00:16:40.900 You have to look at it two sides.

00:16:42.160 The live TV side.

00:16:43.460 Hulu live TV is really good.

00:16:45.500 And then Netflix is the premium programming.

00:16:48.140 Going back to House of Cards and things that they built themselves.

00:16:50.860 Although House of Cards came out of Britain.

00:16:52.780 I got a question for you guys.

00:16:53.660 Here's a question for you.

00:16:54.400 What's more impressive?

00:16:55.140 Disney going from zero to $100 million in 16 months or Netflix going from zero to $100 million in 10 years?

00:17:03.500 Well, I think you would argue that Netflix was the organic growth, entrepreneurially, on, thank you, Adam, Reed Hastings and his leadership.

00:17:12.980 And then Disney kind of took their own stuff and then bought up the rest of the air out of the room.

00:17:18.660 You know, they bought the libraries.

00:17:20.780 So there's your acquisition strategy.

00:17:22.640 What's tougher, though?

00:17:23.540 What's tougher?

00:17:24.000 What's more impressive?

00:17:25.460 Some of the biz does.

00:17:26.080 I think it's tougher what Netflix did over 10 years.

00:17:29.040 I agree.

00:17:29.220 I totally agree.

00:17:29.500 I think that's much tougher.

00:17:30.320 Yeah.

00:17:30.600 I mean, Disney had, let's face it, all the money in the room.

00:17:33.180 They have a monopoly.

00:17:34.280 Yeah.

00:17:34.800 And they have content galore from how many years?

00:17:38.960 Well, yeah.

00:17:39.280 And they bought the stack from Fox.

00:17:40.760 They got the Marvel.

00:17:42.560 They got the Star Wars.

00:17:43.720 I mean, so they bought everything.

00:17:44.920 Yeah.

00:17:45.760 How much credit here goes to Iger?

00:17:47.520 How much does Iger get credit for what he did during his 15, 16 years of doing what he did

00:17:53.980 and buying out Star Wars, buying out Fox, buying out everything?

00:17:58.140 How much of the credit goes to Iger?

00:18:00.840 I like Bob.

00:18:02.500 I don't agree with him on everything that he says and does where he crosses over in the

00:18:06.500 politics and whatnot.

00:18:08.180 But I think he doesn't have to apologize that that was the hand he was played.

00:18:14.140 I have Disney.

00:18:15.080 I've got money.

00:18:15.940 And I'm going to go buy it.

00:18:16.800 I don't think he apologized for that.

00:18:18.240 His job was to grow and to deliver for the shareholders.

00:18:21.240 And he did it.

00:18:22.200 Now, is that as impressive as what Reed Hastings did?

00:18:25.340 No.

00:18:25.900 But I think in the chair that he inherited with the hand he was dealt, I think he did a good job.

00:18:30.860 Yeah.

00:18:31.460 I say Reed Hastings, kudos to the guy for building something that you have.

00:18:36.540 You have nothing.

00:18:37.640 You have to create content.

00:18:39.300 You have to go get people to come and visit you.

00:18:42.240 You have to get, you know, hey, let's go.

00:18:44.100 What do you got here?

00:18:45.140 Netflix, $204 million.

00:18:46.940 Prime, $150.

00:18:48.160 Spotify, $144.

00:18:50.300 I can't read the next one.

00:18:51.620 Is it Trescent?

00:18:52.500 Tencent?

00:18:52.820 Tencent.

00:18:53.040 $120.

00:18:53.980 And then it's, what's the next one at $119?

00:18:56.660 $119.

00:18:57.620 Okay.

00:18:58.020 And then you have Disney at $95.

00:18:59.880 Yoku at $90 million.

00:19:02.380 Can you make it bigger?

00:19:03.460 I actually want to see who's next after that because I want to know how many of these we're using.

00:19:06.600 Go a little bit more.

00:19:07.820 Do one more layer.

00:19:08.820 Do one more.

00:19:09.300 Okay.

00:19:09.460 That's good.

00:19:10.340 So Disney, $95.

00:19:11.720 Yoku, $90.

00:19:13.520 Apple Music, $68.

00:19:14.940 Music, Amazon, $55.

00:19:16.700 I don't know who the next one is, $52 million.

00:19:18.440 7E?

00:19:18.780 What does that say?

00:19:20.320 Veal and then Hulu, $39.

00:19:22.100 Hulu's only at $39 million.

00:19:24.580 Eros and then YouTube Premium, $30 million.

00:19:27.160 Sirius, $34 million.

00:19:28.680 Disney, another one right there.

00:19:31.120 You got Showtime, Paramount.

00:19:33.520 HBO Max is only $17 million.

00:19:35.720 I thought for sure HBO would have been a bigger number than that because a lot of stuff you're seeing lately going straight to HBO Max.

00:19:41.940 But remember, you take Disney Plus, plus the Hulu, plus the ESPN Plus, plus the Disney.

00:19:46.780 Yes.

00:19:47.240 Yes.

00:19:47.960 No question about it.

00:19:49.500 Well, this was essentially my point.

00:19:51.220 And this is why actually I kind of disagree with you guys on the Netflix thing.

00:19:55.700 Yeah, Disney had sort of a lead in the race.

00:19:58.840 But look at how much competition is out there.

00:20:01.600 Like we can't even, we don't even know half these names we're talking about.

00:20:04.640 I don't even know that one.

00:20:05.480 What's this?

00:20:06.700 It's just, there's just so much competition.

00:20:08.720 So yes, it's Disney.

00:20:09.680 Yes, it's a big, you know, behemoth type of company.

00:20:12.960 But you still have to compete in the marketplace.

00:20:15.160 You still have to have a good product.

00:20:16.460 You still need to have.

00:20:17.120 Adam, what did you drink this morning?

00:20:18.840 I'm all over the map, baby.

00:20:20.120 What was in that pill?

00:20:23.220 Hang on, hang on.

00:20:24.340 I'm just saying.

00:20:25.380 I got to get.

00:20:26.500 Okay, all right.

00:20:27.140 Here's the deal.

00:20:28.740 The first stock that I've ever owned in my life was Disney.

00:20:31.980 My grandma bought me like 20 shares of Disney when I was like born.

00:20:36.900 Yeah.

00:20:37.260 So I still have them.

00:20:38.600 They're the only individual stock.

00:20:40.140 Do you seriously have them?

00:20:40.340 Yeah, I still have them.

00:20:41.800 So she probably bought them for like a nickel back in 1980.

00:20:46.440 And now they're worth, you know, a decent amount of money.

00:20:48.340 Is it a decent amount of money?

00:20:49.300 Yeah, I don't know.

00:20:49.900 It's like probably 30 grand.

00:20:52.120 Get out of here.

00:20:52.760 Yeah, like pretty cool, right?

00:20:53.640 She bought you 20 shares and it's worth 30 grand today.

00:20:55.620 Maybe not.

00:20:55.920 Maybe 26 grand, something like that.

00:20:57.480 I don't know the exact number.

00:20:58.800 Yeah, it's pretty cool.

00:20:59.400 That's great to do that one.

00:21:00.140 Yeah, thanks, grandma.

00:21:00.660 I mean, guys, long, you know, buy and hold, buy and hold, hold.

00:21:03.880 So the point is I got a little soft spot for Disney.

00:21:06.100 So when I see Disney kind of doing all right, it's a small world.

00:21:09.140 Yeah, all right.

00:21:09.740 Listen.

00:21:10.060 I'm buying it, okay?

00:21:10.500 Let's go find Adam's Cinderella already.

00:21:13.700 Hang on here.

00:21:14.020 I think that's what, by the honesty, how many times have you seen Cinderella?

00:21:17.340 Oh.

00:21:17.700 Be honest, 50, 60?

00:21:20.880 Recently?

00:21:21.840 I'm talking last week.

00:21:23.320 In the last week, probably 20 times.

00:21:25.580 I saw Cinderella like four times.

00:21:26.780 I'm looking for that slipper, baby.

00:21:28.040 You got two daughters.

00:21:30.880 Where's other Paul?

00:21:31.260 I saw Cinderella like three times.

00:21:32.540 He opened for poison, right?

00:21:34.700 Is that right?

00:21:35.280 Pour some sugar.

00:21:37.180 So anyway, I'm just impressed with what's going on at Disney.

00:21:40.120 Back to you.

00:21:41.340 Last point, last point, and then I'm going to turn it over to the biz doc.

00:21:43.680 But speaking of competition, speaking that there's all these different competitors out there.

00:21:47.960 Yeah.

00:21:48.700 You know, you brought up the big three.

00:21:50.300 We talk about, you know, you have Uber and you have Lyft.

00:21:54.240 You've got Amazon.

00:21:55.340 You've got Walmart.

00:21:56.640 In the streaming world, there's a couple dozen names that you have to compete with.

00:22:01.280 So to be in the top three or even the top five in that category is very impressive.

00:22:04.760 Any final thoughts there, Tom, before we move on to this topic?

00:22:09.840 I've got to make one salute to Reed Hastings and his management team.

00:22:13.060 When he came out, I look at who wanted you dead.

00:22:17.660 HBO wanted him dead.

00:22:18.960 He's putting movies in the hands of consumers.

00:22:20.880 That's HBO's realm.

00:22:22.200 Showtime, Cinemax, all those, they wanted him dead.

00:22:25.680 And yet he was getting these, you know, Blockbuster.

00:22:28.920 Remember Blockbuster video, Jim Keyes?

00:22:31.140 They wanted him dead.

00:22:31.920 So you have to look at these incumbents that were massive when he came out there.

00:22:35.760 The number of people that wanted him to fail when they had less than nothing.

00:22:41.040 And here they are.

00:22:42.340 The dust is cleared and a lot of those names I mentioned are gone or demuted in their influence.

00:22:47.520 So that's what I look at Netflix.

00:22:49.920 Here's my final question to you, Pat.

00:22:51.300 How many of these streaming services do you have in the Bet David household?

00:22:55.620 I couldn't even tell you.

00:22:56.680 So we obviously don't have-

00:22:57.640 More than five?

00:22:58.820 We have Disney.

00:22:59.760 We have Netflix.

00:23:00.440 We have Amazon Prime.

00:23:02.880 I think those are the three that we have.

00:23:04.120 That's it.

00:23:04.360 You have three.

00:23:04.900 I think we have three of them.

00:23:05.820 Okay, how many in-

00:23:06.500 But now ask Mario.

00:23:08.840 Mario over there.

00:23:09.620 Mario owns underground, you know, streaming services.

00:23:13.240 Mario owns pretty much every single thing that you can see on streaming services.

00:23:18.060 He owns all of them.

00:23:18.580 Why does Mario have this?

00:23:19.320 He subscribes to all of them.

00:23:19.980 Why?

00:23:20.340 I don't know.

00:23:20.780 Mario is a content guy.

00:23:21.980 He's an underground kind of guy.

00:23:23.060 He's an underground content type of guy.

00:23:24.880 I think I got like eight.

00:23:25.660 Do you guys see a simulation between-

00:23:27.160 You have eight, Paul?

00:23:28.360 I think so.

00:23:28.900 I got-

00:23:29.460 Eight streaming services.

00:23:30.760 HBO Max.

00:23:31.440 Whoa.

00:23:32.280 Apple TV.

00:23:34.160 Netflix.

00:23:35.200 Amazon Prime.

00:23:36.140 Yeah.

00:23:37.120 Stars.

00:23:39.220 What else?

00:23:40.560 Keith Sweat's OTT.

00:23:41.660 Keith Sweat's YouTube.

00:23:42.960 My body.

00:23:44.060 Paul, would you consider going down to three?

00:23:46.240 Paul Sweat.

00:23:47.080 No.

00:23:47.660 You wouldn't.

00:23:48.280 No.

00:23:48.420 You'd go down to five.

00:23:48.980 Well, first of all-

00:23:49.660 And Peacock just opened up.

00:23:50.640 You're peacocking over there, Paul.

00:23:52.260 You are definitely peacocking.

00:23:53.940 You're talking about a guy that when the movies were open, Paul, how many movies were

00:23:57.560 watching every week at the movie theater, honestly?

00:24:01.180 Three.

00:24:02.160 Minimum every week.

00:24:03.020 Yeah.

00:24:03.440 No matter what.

00:24:04.340 So that's in addition to all your OTT?

00:24:06.580 I wasn't streaming as much, to be honest.

00:24:08.480 Paul, when you watch three movies-

00:24:09.400 You're addicted, bro.

00:24:10.260 Get Popcorn and Icey, or you just go watch the movie and you leave?

00:24:14.000 I would rotate.

00:24:15.140 You would rotate?

00:24:15.860 Sometimes, yes.

00:24:16.500 I would just go in-

00:24:17.260 Three times a week, no matter what.

00:24:18.240 Yeah.

00:24:18.360 I mean, do they even make three movies every week?

00:24:20.120 Like, is there three?

00:24:20.740 Not anymore.

00:24:21.320 That's why I haven't-

00:24:21.720 I've honestly seen probably one a month now.

00:24:23.780 Okay.

00:24:24.100 So we're starting to get some questions here, folks.

00:24:25.780 If you got some questions-

00:24:26.720 Too much to hear.

00:24:26.740 I mean, I'm seeing already questions on the podcast.

00:24:30.060 Cool Guy Alerts says, let's talk about Dogecoin.

00:24:33.100 Some folks are talking about-

00:24:35.440 I'll just go into the next question here.

00:24:37.060 Kevin Thatcher, if you want to go on to Twitter just to have it up, to see it, and put it on

00:24:41.640 the big screen so we can see it.

00:24:42.720 Kevin Thatcher, shout out to Kevin.

00:24:44.620 Real estate or crypto as long-term investment?

00:24:46.880 I'm a real estate guy, but I'm thinking crypto.

00:24:48.720 Tom, I'm going to ask you, here's a good question.

00:24:52.120 Do I invest in real estate, long-term investment, or do I do crypto for long-term investment?

00:24:57.820 Both of you guys are money guys.

00:24:58.820 I'm curious to know what you're going to say about this.

00:25:00.520 I'm going to say real estate on the conservative side.

00:25:02.800 So if you're younger and you've got time to make a recovery later in life, you could take

00:25:07.020 a bet on crypto and see where it goes.

00:25:08.820 But if you're over 40, I would probably say real estate because it's got permanent scarcity

00:25:14.560 and more people come in the United States.

00:25:18.220 So that would be my headline.

00:25:20.360 Kevin Thatcher, what would you say?

00:25:20.980 Kevin Thatcher, age is a factor for sure, but I like to keep things moving.

00:25:27.260 I like the portability.

00:25:29.400 So I've been very vocal.

00:25:31.340 I'm not trying to just stay in a house and just wait for the house to appreciate.

00:25:35.080 So I'm going in on crypto versus real estate for sure.

00:25:37.860 Kevin Thatcher, so long-term you're saying crypto over real estate.

00:25:40.380 Kevin Thatcher, I agree.

00:25:41.720 Kevin Thatcher, well, you've got to realize real estate long-term, what has it done?

00:25:44.360 What's the number on real estate long-term?

00:25:45.360 Kevin Thatcher, 3%.

00:25:45.780 Kevin Thatcher, 3% is what is a real estate long-term.

00:25:47.900 Kevin Thatcher, good luck with that, Hoss.

00:25:48.960 Kevin Thatcher, yeah.

00:25:49.340 Kevin Thatcher, but he's saying conservatively crypto, conservatively real estate.

00:25:53.080 Kevin Thatcher, this is the old school thinking.

00:25:54.460 Kevin Thatcher, this is the new school thinking.

00:25:55.500 Kevin Thatcher, I'm more of a crypto guy.

00:25:56.700 Kevin Thatcher, he's a real estate guy.

00:25:57.480 Kevin Thatcher, that's fine.

00:25:58.300 Kevin Thatcher, if I was 22, no student loans coming out, I would be on crypto.

00:26:02.680 Kevin Thatcher, you would.

00:26:03.000 Kevin Thatcher, and I'd be hanging with Bitcoin because I think there's-

00:26:07.460 Kevin Thatcher, can you put his tweet up?

00:26:08.860 Kevin Thatcher, I'm begging you, put the tweet up.

00:26:10.300 Kevin Thatcher, I've been asking Kybe, texting and sending signals.

00:26:12.640 Kevin Thatcher, but Tom, are you a big real estate guy in general?

00:26:15.960 Kevin Thatcher, forget about crypto, just in general, like you buy your house, you have

00:26:19.440 a mortgage, where are you at with just real estate in general?

00:26:23.620 Kevin Thatcher, real estate, I like the mathematics of rental property with the cost of houses.

00:26:26.920 Kevin Thatcher, no, no, no, that's not what I asked because everyone goes, well, I like

00:26:29.180 to have a rental property.

00:26:30.800 I mean, just literally having a mortgage, buying a house, paying down your mortgage, that concept.

00:26:36.560 Kevin Thatcher, no, I'm really not.

00:26:37.840 Kevin Thatcher, you're not.

00:26:38.800 Kevin Thatcher, and you're a numbers guy, why not?

00:26:40.500 Kevin Thatcher, well, at the time I would have bought, and at the time earlier, you

00:26:46.160 know, we had 5% and 7%, you know, mortgages.

00:26:49.640 Kevin Thatcher, maybe even higher than that.

00:26:50.660 Kevin Thatcher, and that was the good era.

00:26:52.600 And so I think that the price of the mortgages is everything.

00:26:57.000 Kevin Thatcher, well, the price of mortgages are extremely low right now.

00:26:59.860 Kevin Thatcher, right now.

00:27:00.280 Kevin Thatcher, right now.

00:27:00.400 Kevin Thatcher, right, so it's a different world right now.

00:27:02.200 Kevin Thatcher, oh, you're saying back when you bought.

00:27:03.720 Kevin Thatcher, yeah.

00:27:04.300 Kevin Thatcher, but now I'm talking about.

00:27:05.360 Kevin Thatcher, oh, yeah.

00:27:06.820 You know, if the government wants to give me 2% money.

00:27:09.060 Kevin Thatcher, you'll take it.

00:27:09.480 Kevin Thatcher, I'll take it all day long.

00:27:11.700 Look, 2% money and 3% appreciation.

00:27:13.720 You're 50% ahead of the government.

00:27:15.020 Kevin Thatcher, so it doesn't sound like big numbers, but you're ahead.

00:27:17.120 Kevin Thatcher, okay.

00:27:17.380 Kevin Thatcher, but it's a conservative play.

00:27:18.420 Kevin Thatcher, your crypto long term.

00:27:20.140 Kevin Thatcher, if you're 22, your crypto long term.

00:27:21.980 Kevin Thatcher, today you're more real estate and crypto long term.

00:27:23.700 Kevin Thatcher, 40-45, I crossover to more conservative stuff.

00:27:25.980 Kevin Thatcher, fair enough.

00:27:26.640 Kevin Thatcher, you've got no time to recover.

00:27:27.700 Kevin Thatcher, age, age, age.

00:27:29.060 Kevin Thatcher, yeah, fair enough.

00:27:29.420 Kevin Thatcher, let's continue.

00:27:30.320 Kevin Thatcher, I can see how that could potentially be the case.

00:27:32.740 Kevin Thatcher, Americans cut credit card debt by nearly $83 billion during the pandemic.

00:27:38.420 Kevin Thatcher, according to a study from WalletHub, a personal finance website, Americans collectively

00:27:43.720 got rid of a record $83 billion of debt in 2020.

00:27:47.920 Kevin Thatcher, the figure is significant given that consumers have added an average of

00:27:51.500 $54.2 billion in credit card debt each year for the past decade.

00:27:54.980 Kevin Thatcher, still the U.S. has a long way to go in paying off the $1 trillion of debt

00:27:58.500 collectively, but it is progress.

00:28:02.160 WalletHub analyst Jill Gonzalez said that 2020 was a second year in more than 30 years.

00:28:07.320 We've ended the year owing a less credit card debt than we started with.

00:28:11.800 The first year was 2009, the height of the Great Recession.

00:28:15.620 Kevin Thatcher, thoughts?

00:28:16.200 Kevin Thatcher, I got to tell you, this is one of the stories I was super excited to even

00:28:19.300 discuss.

00:28:19.660 Kevin Thatcher, I am, you said progress.

00:28:21.980 This is very impressive stuff, right?

00:28:24.360 I mean, we're talking about investing right now.

00:28:27.160 We're talking about, are you long on crypto?

00:28:28.620 Are you real estate?

00:28:29.960 People forget, the best investment you can possibly make is paying off your freaking credit

00:28:35.300 card.

00:28:35.760 Because if you're paying 10, 12, 15, 20, 24% interest rates, you're not going to get that

00:28:41.000 in the market.

00:28:41.500 Kevin Thatcher, more like the 20s.

00:28:42.460 Kevin Thatcher, right.

00:28:42.860 Okay, exactly.

00:28:43.780 I mean, it could be 20-something percent.

00:28:47.120 So, it's very interesting here, and I would love to get your opinion on the correlation here.

00:28:51.120 Two times in the last 30 years, we've ended the year with, what, less credit card debt

00:28:57.280 than we started with?

00:28:58.780 Two times.

00:28:59.720 Yeah.

00:29:00.440 2020, pandemic.

00:29:02.720 In 2009, the Great Recession.

00:29:05.840 Yeah.

00:29:06.000 So, it seems to me that fear, you know, produces sort of fiscal prudence.

00:29:14.860 What's the correlation with that?

00:29:16.740 I think you just said it.

00:29:17.940 Okay, is that what it is?

00:29:18.880 It's like, holy crap, the world is coming to an end.

00:29:21.380 That was an epiphany moment for you, honestly.

00:29:22.900 Was that what it was?

00:29:23.440 Save your death moment.

00:29:24.540 Okay.

00:29:25.040 Right.

00:29:25.340 So, it's-

00:29:25.700 I'm on top of the leaderboard right now, baby.

00:29:27.360 No, I think you're right.

00:29:28.080 It's very impressive.

00:29:29.000 I think you're exactly right.

00:29:29.480 If you're one of those people out there that took the opportunity to get your stimulus check

00:29:33.620 or make your money or not travel, and you actually did the smart, fiscal, prudent thing

00:29:39.780 and actually paid off your credit card and said, I am not effing going back into debt ever again,

00:29:44.980 kudos to you out there.

00:29:45.940 I have respect for you if you did that out there.

00:29:48.020 No, I think you're absolutely right.

00:29:49.360 So, you take somebody who's got a $25,000 limit on your credit card, and they're sitting

00:29:52.380 there at $15,000.

00:29:53.080 I may need this for something really important, and I can't go to restaurants.

00:29:57.180 I can't travel.

00:29:58.260 I'm probably lower on car maintenance.

00:29:59.820 There's a lot of things that you just weren't buying at all for people living beyond their

00:30:03.640 means, partying a little bit, and I think there was prudence in there that says, hey,

00:30:07.180 I've got a couple extra dollars here.

00:30:08.460 I'm going to knock this down.

00:30:10.140 Sitting at home with time to think is actually good for Americans, and I think generally people

00:30:14.280 sitting at home with time to think will make pretty rational decisions.

00:30:16.880 So, in 2008, okay, Barack Obama's being interviewed, and he said, look, these are times that you

00:30:24.440 may want to stay home and skip that Vegas trip, okay?

00:30:27.080 He says that.

00:30:28.200 And he says, save that money, right?

00:30:30.060 Instead of, you know, he said this at 08, 09.

00:30:32.440 And I don't want to see any more of them CEOs going to Vegas on those private jets.

00:30:36.180 I think that stuff needs to come to an end.

00:30:38.580 I think that's wasteful.

00:30:39.800 Remember that?

00:30:40.700 Not a bad Obama right there.

00:30:42.260 That's your talent.

00:30:43.440 Do you remember where he said that, and all the private jet companies and Vegas, like,

00:30:48.040 flipped out and said, we supported you, jerk.

00:30:50.340 So, he says this.

00:30:51.100 Politics for you.

00:30:51.640 He says this, and all of a sudden, out of nowhere, okay, a friend, out of Las Vegas,

00:30:58.240 the mayor of Las Vegas, Oscar Goodman, comes out and calls out Barack Obama.

00:31:03.460 How dare you say such a thing about my city?

00:31:07.100 How dare?

00:31:08.180 There's a guy that voted for him.

00:31:09.200 How dare you tell people to not come to the great city of Las Vegas, where all these

00:31:13.360 people have their jobs, right?

00:31:15.120 All this money being saved is a beautiful thing.

00:31:18.240 But this money being saved hits a lot of industries, okay?

00:31:21.000 That money would generally end up in an industry.

00:31:24.500 It's going to go somewhere.

00:31:25.260 It's going to be spent somewhere.

00:31:26.220 Which, by the way, I tell you, I like the fact that we're paying off debt.

00:31:29.000 I'm all about paying off debt.

00:31:30.620 Unfortunately, during COVID, the country got into $5 trillion more debt.

00:31:34.740 So, yeah, we paid off $83 billion of individuals' credit card debt, but the country is officially

00:31:41.040 $5 trillion and more debt, which means you're eventually, that $83 billion may be sexy, but

00:31:47.180 it ain't nothing compared to what you're going to have to pay off your kids, yourself, in

00:31:52.900 the next 10, 20, 30, 40, 50 years, possibly 100 years, because that debt has to be paid

00:31:57.120 off with the $5 trillion of money that we printed.

00:31:59.320 So, the saying, like you said, fear makes people save money, fear also sharpens listening.

00:32:05.640 People listen more when they're afraid.

00:32:07.340 People are willing to take advice when they're afraid.

00:32:10.320 Unfortunately, today, fear is not really sharpening listening to anybody because they're not afraid

00:32:15.440 today.

00:32:15.760 People are pretty aggressive today.

00:32:17.960 People are very optimistic today.

00:32:19.640 People are playing offense today.

00:32:21.260 So, everybody's thinking the market's going to go galore and everyone's going to make money

00:32:26.240 and the Dow's not going to drop, and we saw a glimpse of it, what happened when the interest

00:32:30.080 rates went up a couple weeks ago, two weeks ago.

00:32:31.960 When the rates went up, all of a sudden, like, wait a minute, what's going on over here?

00:32:34.340 You know, market took a hit for a day.

00:32:37.000 Now, of course, it came back up, but, you know, this is good playing aggressive offense

00:32:40.920 like this, paying debt off, but it'd be great to have this habit during good, bad, and ugly

00:32:47.200 times.

00:32:48.200 Unfortunately, when you're staying home, you have nowhere to go to spend that money.

00:32:51.540 What do you do?

00:32:52.520 Save that money.

00:32:53.200 Save that money.

00:32:53.980 Thank you for that tee-up.

00:32:55.340 Well, one just, I guess, counterpoint to our good friend, Oscar Goodman.

00:33:01.060 It's not you.

00:33:01.940 You know it's the wrong people.

00:33:03.100 I just want you to know.

00:33:03.780 So, before I ask you.

00:33:04.580 Oscar was, you ever seen the movie Casino?

00:33:06.260 Of course.

00:33:06.820 Robert De Niro, baby.

00:33:07.620 He is in the movie, and in real life, he was the attorney of Tony Spallatra, Frank

00:33:12.780 Collada, and, you know, Oscar's a very interesting story about Oscar Goodman.

00:33:17.800 He was the mayor of Vegas for 12 years.

00:33:20.620 You know who was the mayor after him for eight years?

00:33:23.120 His wife has been the...

00:33:25.140 Did he play himself in the movie?

00:33:27.000 He played himself in the movie.

00:33:28.720 Yes.

00:33:29.220 Yeah.

00:33:29.520 What a G.

00:33:30.160 What a G.

00:33:30.840 Oscar Goodman.

00:33:31.320 And his wife...

00:33:32.120 We met him, right?

00:33:33.100 Yeah, of course.

00:33:33.960 We had a great time with him.

00:33:35.180 He's a good man.

00:33:35.660 He's a good man.

00:33:36.320 He's an interesting man.

00:33:37.220 But you brought up, like, how dare you, you know, not spend your money in Vegas?

00:33:42.820 Look, it's not...

00:33:44.340 I've had this conversation with people before.

00:33:46.280 Well, why would I save, you know, because, you know, if I spend money that helps the economy

00:33:50.860 and helps individual sectors...

00:33:52.840 Yeah.

00:33:53.160 Listen, it's not your individual job to stimulate the frickin' economy.

00:33:58.360 It's your job...

00:33:59.540 So you're more about stimulating yourself, not others.

00:34:02.040 You're stimulating your own pocketbooks.

00:34:04.060 Don't worry about...

00:34:04.360 What a noble person you are.

00:34:06.140 All right.

00:34:06.600 I'll be back in 10 minutes.

00:34:08.800 I'm just saying.

00:34:10.140 Don't worry...

00:34:10.660 Like, worry about your own...

00:34:12.000 You set yourself up with that.

00:34:12.480 Jesus.

00:34:13.320 Jesus, Pat.

00:34:14.820 Don't worry about what's going on in the macro economy.

00:34:17.220 Worry about what's going on under your roof.

00:34:18.920 Like, if you're in debt, don't, you know, justify getting into more debt and spending more money.

00:34:24.040 Well, I'm helping the economy, man.

00:34:26.440 Don't worry about that.

00:34:27.220 That'll figure itself out.

00:34:28.820 If you've got $5,000 of credit card debt and you have the opportunity to pay it off, get that out of your life ASAP.

00:34:34.060 Self-stimulation is what they call it.

00:34:36.520 Self-stimulation.

00:34:36.960 I'll be right back, guys.

00:34:38.000 Yeah, self-stimulation.

00:34:39.220 Focus on...

00:34:40.040 Which, by the way, I think you make a very good point because, you know, at the end of the day, you know, even Michael Jackson said what?

00:34:49.380 If you want to make a change, take a look at yourself and, you know...

00:34:53.740 I'm talking to the man in the mirror.

00:34:56.800 Right, it starts with you.

00:34:58.040 Yeah, it starts with you.

00:34:59.260 So we've gone all over the place here, Tom.

00:35:00.440 If you want to make the world a bet, the place, take a look at yourself and make that...

00:35:03.640 Make that change.

00:35:05.160 Say it.

00:35:05.460 Set you up, bro.

00:35:06.220 Na-na-na-na-na-na-na-na-na-na-na-na.

00:35:07.860 Tom, do the...

00:35:09.060 No, the song you play is from the 60s.

00:35:10.960 That's the song you wake up to.

00:35:12.140 We forgot.

00:35:12.640 What was the song you wake up to?

00:35:13.720 Na-na-na-na-na-na-na-na-na-na-na.

00:35:14.720 What was the song you played here a minute ago that just woke us up?

00:35:17.820 It was Stevie Ray Vaughan's Skull Button.

00:35:19.340 It's like, go sing it.

00:35:20.240 Sing it for us.

00:35:21.180 Well, it doesn't have any words.

00:35:23.400 Well, then...

00:35:24.180 Do that na-na-na-na-na-na.

00:35:25.640 It goes...

00:35:26.320 Nice.

00:35:30.620 There you go.

00:35:31.000 That was great.

00:35:31.620 There you go.

00:35:31.820 Thank you, Stevie Ray Vaughan.

00:35:32.940 Stevie Ray Vaughan in the house.

00:35:34.620 You know.

00:35:35.080 That's where it stops.

00:35:35.720 Kyle, what comes the music?

00:35:36.620 We're talking about Michael Jackson be the man in the mirror.

00:35:39.760 Tom, Tom, SPAC versus, by the way, by the way, if you're enjoying the topics we've covered

00:35:44.660 so far and the fact that we have Tom on, smash that subscribe button.

00:35:48.140 If you're enjoying it so far, press that subscribe button.

00:35:50.080 We're trying to get this podcast over 100,000 subscribers.

00:35:53.120 But let's talk about SPACs versus IPOs.

00:35:55.080 First of all, assume 80% of people listening to this don't know what a SPAC is.

00:36:00.000 20% do and they've heard about it.

00:36:01.660 So why is everybody talking about SPACs versus IPOs?

00:36:06.700 Got it.

00:36:07.320 So a lot of people out there, entrepreneurs, think about having your own company and saying,

00:36:11.620 you know, how did Facebook get on the market?

00:36:13.520 How did Twitter get on the market?

00:36:15.180 Well, you build your company up and then you work with a New York bank, a Goldman Sachs,

00:36:19.960 Morgan Stanley, Merrill Lynch, folks like that, and they do what's called IPO, initial public

00:36:24.440 offering, and they get you on the stock market.

00:36:26.600 Now, the bank is in charge of all that.

00:36:28.680 And a lot of times the bank, you know, they got heavy fees and stuff.

00:36:32.600 There's an alternative that's out there.

00:36:34.220 It's called SPACs.

00:36:35.080 And it's like a short way for to get on the stock market.

00:36:39.820 And what's very interesting that I think that most people don't know is how this gets gamed.

00:36:45.780 Because the money that your company will get is the first day IPO.

00:36:50.100 So when you go on the stock market, the company gets a bunch of money on the first day,

00:36:53.140 and then the company is traded on the stock market.

00:36:55.320 And then you can take that money, build your company, and do all these kind of great things.

00:36:57.940 So a faster version of going public rather than taking the IPO.

00:37:02.300 Correct.

00:37:03.040 Correct.

00:37:03.700 And, you know, what's very interesting, and I'll give you an example.

00:37:07.680 Many people, you don't have to understand SPAC or IPO to notice,

00:37:10.680 hey, that company just went public, and they see this jump in the stock price.

00:37:15.200 Wall Street.

00:37:15.700 Bets will tell you about it.

00:37:16.780 If you're on Robinhood, you see it all about it.

00:37:18.520 It's very easy to see.

00:37:19.300 You don't really have to know a lot of details to notice it.

00:37:22.660 And, hey, Kai, put up Poshmark.

00:37:25.020 So you have Poshmark, a really cool company where people are reaching into their closets,

00:37:30.060 taking fashion, and they can trade.

00:37:31.640 It's like secondhand retail.

00:37:32.920 That's right.

00:37:33.380 And it's like an eBay for curated fashion where you can sell what's in your closet that's not too old.

00:37:39.060 So Poshmark was out on day one.

00:37:41.280 They sold.

00:37:42.160 IPO or a SPAC?

00:37:43.480 IPO, and it was Goldman and Morgan that walked hand in hand down the aisle to do this one.

00:37:47.580 So they went out, and a bunch of people, high net worth people at Goldman and IPO were invited to buy in at about 42 to 49.

00:37:56.660 Look what happens within two days, all the way up to 100.

00:38:00.860 And then this one just happened in January, and then it goes down.

00:38:04.340 You know why it went?

00:38:05.260 Because all those people, Goldman and Morgan, those high net worth people that saw the thing pop day one,

00:38:09.780 they're like, I've just doubled.

00:38:11.860 I'm out.

00:38:12.540 I'm out.

00:38:13.020 And so now it levels out down to a more rational, where is it today, like 50 or something?

00:38:17.320 51.

00:38:17.580 51.

00:38:18.040 So it's above its IPO value a little bit, and now it's going to grow into its…

00:38:22.200 Still made 25%.

00:38:23.360 You're just going to make 100%.

00:38:24.600 That's exactly right.

00:38:25.440 But the point is, that pop there, if that was really the value of the company, this should have gone out maybe at 75.

00:38:30.880 And that would have been more dollars for Poshmark on day one.

00:38:34.820 They got the first day price, like 49.

00:38:37.420 So it's kind of game.

00:38:38.600 So the IPO game is kind of game by the banks.

00:38:41.100 Who wins in the IPO game?

00:38:41.900 Who wins in the IPO game?

00:38:43.880 The IPO game, the banks win, and the high net worth people and the big institutions that buy your IPO price the day before the pop, and then they sell out.

00:38:53.560 That's in the IPO.

00:38:54.660 That's in the IPO.

00:38:55.220 Who wins in the SPAC?

00:38:56.160 The SPAC, the company still gives up a percent of itself to go public, but the pricing is much more rational, and you work with the SPAC partner.

00:39:06.160 And it's more rational, and you have less of this hidden game, this day one, week one game.

00:39:13.700 And so the bad side of SPACs right now is there's too many SPACs.

00:39:18.340 And so if there's too many SPACs and not enough good companies, bad companies are going to get out because some SPAC will say, well, you're not really that perfect yet, but I'll take you public.

00:39:29.240 What's a bad company?

00:39:30.320 Not a real product?

00:39:31.360 It's just future projections.

00:39:32.580 You don't have past projections.

00:39:33.700 You're just kind of like, here's what we're going to do next three years.

00:39:36.340 And you say, what have you done last three years?

00:39:37.720 And you have nothing to show for nothing.

00:39:39.160 Your growth is less stable.

00:39:40.240 Your profitability is not there.

00:39:41.900 Maybe you're a little smaller.

00:39:42.460 So let me ask you this.

00:39:43.440 If I created a SPAC myself, and you and I put a couple hundred million dollars, and we're doing it at $10 with 50 cent warrant, whatever.

00:39:50.740 That's exactly right.

00:39:51.500 Okay, so say we have that, right?

00:39:52.920 Okay, we put a couple hundred million dollars in there.

00:39:55.040 What kind of companies are we not looking for to put in the SPAC?

00:40:00.140 And what kind of companies are we looking for to consider putting into our SPAC?

00:40:05.100 Three-year-old venture company that hasn't yet grown into profitability and gotten above $25 million in sales is probably sketchy.

00:40:12.100 So don't touch that one.

00:40:13.280 Don't touch it.

00:40:13.780 But they're touching it, and that's where shit's hitting the fan.

00:40:17.160 Correct.

00:40:17.580 Okay.

00:40:17.720 That's the criticism of SPACs is that lower quality companies are getting out because there's too many SPACs out there right now.

00:40:24.140 It's like, you know, there's great companies out there that entrepreneurs are putting together and are going to get out.

00:40:30.720 So, Pat, you brought up something yesterday.

00:40:34.620 But give me the other one.

00:40:35.620 Give me the other one that you would.

00:40:36.920 We have a couple hundred million, $10.

00:40:38.580 Like Metro Mile just went out with a SPAC.

00:40:40.460 I think highly of them.

00:40:42.020 They're redoing car insurance, over $100 million in sales.

00:40:45.580 It's a real legitimate company.

00:40:47.060 It's a legitimate company.

00:40:47.840 So instead of waiting 18 months, go 90 days and go with a SPAC.

00:40:51.160 Yeah, exactly right.

00:40:52.700 Got it.

00:40:53.100 You've got to be ready for it.

00:40:54.340 Speaking of Metro Mile, you did a case study, Metro Mile versus Root.

00:40:58.080 I watched it.

00:40:58.760 I tried to, you know, not only am I on value tainment economics, I watch it.

00:41:04.800 I'm a subscriber because I learned from the biz doc.

00:41:06.920 The hair club for men.

00:41:08.020 I'm also a customer.

00:41:08.920 Exactly.

00:41:09.540 Not only am I the president, I'm a client.

00:41:11.900 I'm also a customer.

00:41:13.160 Yeah.

00:41:13.440 You're going to like the way you look.

00:41:14.720 I guarantee it, Tom.

00:41:15.540 But anyway, I listened to that episode.

00:41:18.320 It was, you were in Hawaii, lucky you, doing episodes from Hawaii, looking good, drinking

00:41:22.180 a Mai Tai, I believe.

00:41:23.640 You were slightly drunk, but we're not calling you out.

00:41:25.620 You were having a good time, but you were doing an episode on the SPAC of Metro Mile.

00:41:29.200 The last five minutes of the case study was a little inebriated.

00:41:31.980 A little shaky at the end, but it's all good.

00:41:34.640 Tom doesn't even remember doing the case study.

00:41:35.960 I did a case study.

00:41:39.920 I don't remember that.

00:41:41.540 And then you did, you know, it was Metro Mile versus Root.

00:41:45.680 And it was actually very informative.

00:41:47.080 But I mean, I'm of the 80% that was like, what the hell is a SPAC?

00:41:51.240 I never even heard about a SPAC until basically our good friend Chamath Palapatia started talking

00:41:55.900 about it over the last, you know, 12 months.

00:41:57.780 He's all about it.

00:41:58.280 He's all about it.

00:41:58.960 He's all about that life.

00:42:00.400 And he's got the track record.

00:42:01.880 He's got the track record.

00:42:02.760 He did well.

00:42:03.120 You brought up something yesterday, Pat, when I said, well, what's the deal with the SPAC?

00:42:07.480 And you said, it's all about speed.

00:42:09.540 It's all about speed.

00:42:10.460 It takes less time.

00:42:11.860 So anyway, what is that?

00:42:13.560 I mean, if you want to go public, it can cost you $4 to $10 million.

00:42:16.720 I'm giving a low too high.

00:42:17.920 It's about a $6 million number.

00:42:19.220 Is that about the right number?

00:42:20.340 Absolutely fair.

00:42:21.120 A ton of things you have to do.

00:42:22.180 So $4 to $10 million, legal fees, CPA, accounting, audits, headaches.

00:42:26.280 You're probably, you're going to have a handful of people in your office for six months just

00:42:31.940 sitting there going through every single thing to prepare.

00:42:35.340 And then Goldman, Morgan, Merrill, whoever it is that's going to take you, they're going

00:42:39.060 to go have.

00:42:39.880 Telling you how beautiful you are.

00:42:41.920 They're going to have to go sell you.

00:42:43.260 It's a mess when you go public through the IPO.

00:42:45.580 SPAC, boom, 90 days.

00:42:47.680 If you're good, we're out.

00:42:49.420 And you're on the market, think, think, think, think, think.

00:42:51.440 You're on the market if you go through the SPAC, if you have a real business.

00:42:55.780 If you don't have a real business, guess what they will do if you go on a SPAC?

00:42:59.220 You will be trashed by the media if it's not a real business.

00:43:02.480 Why will they trash you?

00:43:03.280 What is it?

00:43:03.500 Because it's fake.

00:43:04.340 You're trying to make money by manipulating the stock and saying, here's what we're creating.

00:43:08.080 Here's who we're going to be.

00:43:08.900 Here's what we're building.

00:43:09.660 But you don't have any of that built today.

00:43:11.540 And if you keep saying, here's what we're going to do, watch, watch us, watch us, and

00:43:15.500 nothing happens with the watch us.

00:43:16.820 People are patient for a month, maybe three months, maybe six months, maybe 12 months.

00:43:20.460 But eventually, if you can show proof in the pudding of what you're creating, that's

00:43:23.780 when backlash comes.

00:43:24.580 Let me ask you another question.

00:43:26.460 The professional analysts are out there to protect the show.

00:43:28.460 A lot of this is sort of big macro economics.

00:43:30.960 Should I go SPAC?

00:43:31.580 Should I go IPO?

00:43:32.340 How does this affect our listeners out there?

00:43:34.420 What should they be aware of?

00:43:36.280 Is it when they're investing, where they're looking to allocate their capital?

00:43:39.040 Is it just knowledge?

00:43:40.460 Where should our listeners be following this?

00:43:42.560 First of all, education is key.

00:43:44.700 But this isn't even about the education.

00:43:46.160 I'll give a completely different angle of it.

00:43:47.520 Tom is sitting here.

00:43:51.120 For people that don't know Tom, if you know Tom, Tom is a guy that did very well in business.

00:43:55.220 If you've ever seen the interview between Steve Jobs and Bill Gates, the last great interview

00:43:59.540 between the two in the red chair, you know which one I'm talking about.

00:44:02.260 Pull up the picture.

00:44:03.000 Don't play the video because in case, you know, the folks out of Silicon start knocking

00:44:07.180 on the door, put Steve Jobs, Bill Gates' last interview, interview, yeah, you probably

00:44:12.920 have seen it.

00:44:13.580 I mean, the world saw that picture right there with them going at it like it was very, very

00:44:18.240 emotional.

00:44:19.180 It was intense.

00:44:19.920 It was awesome, right?

00:44:21.400 There was 300 people in that room.

00:44:23.540 Tom was one of them, okay, that were invited to be in that room.

00:44:26.320 Tom was a Silicon Valley guy.

00:44:27.680 Tom was a technology guy.

00:44:28.920 Tom was a guy that participated in four companies going and they sold it for over a billion dollars.

00:44:33.640 That's what Tom's resume is.

00:44:35.220 He's former professor, adjunct professor at Pepperdine.

00:44:38.940 I think Loyola Mount.

00:44:40.000 Am I missing one of them?

00:44:41.000 Biola.

00:44:41.400 Biola was what he was teaching.

00:44:43.000 I mean, he's no rocket scientist, but he's doing okay.

00:44:45.660 He's no rocket scientist, but his dad was.

00:44:47.000 His dad was a rocket scientist.

00:44:48.420 Son of a rocket.

00:44:49.220 Son of a rocket scientist.

00:44:51.520 But the point is the following.

00:44:54.680 If you have the ability to go run with a person you believe in that you think is crazy

00:45:03.220 enough to do what they're saying they're going to do it, and you go, you become a voice,

00:45:07.980 you become a leader, you own a piece of that company, and that company takes off and you

00:45:11.460 own some shares, and you bring value to that company, you can experience some nice exits.

00:45:16.960 I lived in communities.

00:45:18.380 My last 10, 15 years, I live in communities where people, you talk to them, how'd you make

00:45:23.660 your money, you'll hear them say, it was either, the inheritance is actually a very small percentage.

00:45:28.820 Less than 10%.

00:45:29.720 Oh, self-made millionaires, 90%.

00:45:32.260 Self-made billionaires, yes.

00:45:33.900 That is a 70% that's self-made, 30% that the money was, you know, passed on like the

00:45:38.700 Walton family, all these other guys, but 70% of billionaires, 90% of millionaires are

00:45:42.800 self-made, right?

00:45:43.820 How'd you make your money?

00:45:44.980 Oh, you know, real estate.

00:45:46.280 How'd you make your money?

00:45:47.500 Oh, stocks.

00:45:48.240 How'd you make your money?

00:45:49.320 I was part of a company.

00:45:50.440 The company went public.

00:45:51.780 I owned some shares.

00:45:52.620 I was there early.

00:45:53.980 I got my exit.

00:45:54.980 I got my $16 million check.

00:45:56.580 You don't know this person.

00:45:57.740 I got my $22 million check.

00:45:59.340 I got my $41 million.

00:46:00.720 The world doesn't know $40 million people.

00:46:04.140 You could be sitting next to a guy that's got $42 million from an exit that he had, and

00:46:08.540 he's sitting pretty.

00:46:09.260 He's set.

00:46:09.820 He's got good things, good life.

00:46:11.580 So anybody that's watching this and you're hearing us talk about IP or SPAC, my challenge

00:46:17.820 and, you know, sort of an inspiration to you would be try to figure right away to get

00:46:22.120 into that circle and go contribute to a company that's potentially going to go public or have

00:46:27.260 a SPAC or, you know, be of value to that company.

00:46:31.100 The upside could be exponential.

00:46:33.360 Even Mario.

00:46:34.340 Mario was a guy that started with me early.

00:46:36.540 You know, you got Mario, Maral, you know, Tikran, who likes us.

00:46:40.680 And then you got some of the guys from Amor, big, you know, Tom himself.

00:46:44.820 Tom's, you know, one of the biggest shareholders in the entire company.

00:46:50.520 Tom's, I think, Tom, you're like the third biggest shareholder in the company.

00:46:52.960 Third or four biggest shareholder in the company.

00:46:54.220 Look at the smile on his face.

00:46:55.520 Right?

00:46:55.920 Third or four biggest shareholder in the company.

00:46:57.960 So, but if you go back and you think about Jose Gaetan, right?

00:47:00.820 Jose Marlin Gaetan.

00:47:02.160 Big shareholder.

00:47:03.240 Right?

00:47:03.400 You think about a Palayo.

00:47:05.240 You think about a, even Sopalas that came later on.

00:47:11.020 So, these guys come in, they get, and by the way, there's a lot.

00:47:13.780 We have like 250 of them, but some more than less.

00:47:16.620 You come in, you get the shares, you contribute, the company does well, then you have an exit.

00:47:21.420 So, I think what I take away from IPOs and SPACs is go find one and bring the ton of value

00:47:27.180 to that company with the hopes of earning the rights to get some shares so hopefully you can

00:47:31.500 have your own exit as well one day.

00:47:33.100 That's how I process that when I see that.

00:47:36.520 Do you have feedback on that, Tom?

00:47:37.720 Great advice.

00:47:38.340 No, absolutely.

00:47:39.260 He's just smiling over there.

00:47:40.300 I'll tell you about a guy.

00:47:41.260 There is, going back at Jamdad, there is a producer, a games producer.

00:47:45.520 And if he's listening, he knows who he is.

00:47:47.100 It's Travis.

00:47:48.180 And Travis wanted to know, how do I get more equity?

00:47:52.820 How do I get more equity?

00:47:53.920 And he wanted to know, how do I build value for the organization?

00:47:56.920 How do I build the organization's value?

00:47:58.280 And he never was a guy that came in and said, hey, you know, they're hiring over at Electronic

00:48:05.040 Arts or Activision.

00:48:06.300 Can I have another 10 grand a year in salary?

00:48:08.320 He never, never, never did that.

00:48:09.800 He just asked for shares.

00:48:10.560 He asked for shares.

00:48:11.860 But more importantly, he was like, how do I impact the valuation of the company?

00:48:16.120 And by the way, that's the attitude what Patrick just said.

00:48:18.760 That's the attitude you walk in.

00:48:20.140 Hey, how does my job increase the value of this company?

00:48:22.440 I just want to know how I can be really, really good at it.

00:48:24.440 I need health insurance, so I got to have enough to live and do things like that.

00:48:27.440 But I'm willing to make a bet here and drive on value.

00:48:30.020 And you walk in there, you're going to have an entrepreneur hug you and say, I will take

00:48:33.520 care of you and this is how you do it.

00:48:34.940 FYI, we just recently interviewed an executive.

00:48:38.100 I won't give the name.

00:48:38.920 Okay.

00:48:39.600 Here's how the interview went.

00:48:41.780 Look, pay me whatever salary you want to pay me.

00:48:44.100 It's great.

00:48:44.700 Whatever you want to pay me, pay me the salary.

00:48:46.640 But I'm more interested in equity and participating in the victory.

00:48:51.480 So pay me there.

00:48:52.840 I don't care what my salary is.

00:48:54.700 Let me participate in this.

00:48:56.240 That comes from a person with experience.

00:48:58.840 Okay.

00:48:59.420 And when you learn more about the person, you realize why the person says, pay me in equity,

00:49:04.560 not in, because he had an exit in the past or one or two or three exits in the past.

00:49:10.920 So you had a guy that was working for you years ago, goes to Snap, has an exit, gets 40 million

00:49:14.980 bucks, and he was a guy that reported to you.

00:49:16.680 Correct.

00:49:17.100 That's a pretty nice exit to have, right?

00:49:18.480 So those things happen to a lot of people.

00:49:22.840 That's the part about working for an established company.

00:49:25.600 And that's the part about working for a company that's steadily grown where you can have a

00:49:28.620 big upside.

00:49:29.220 By the way, if you're enjoying it, you're learning, press that subscribe button.

00:49:32.600 And if you want us to answer a question you may have, go send a tweet with hashtag PBD podcast.

00:49:40.340 Once again, PBD podcast, hashtag, my handle is at Patrick Bay.

00:49:44.440 David Kye is watching all the questions that are coming in.

00:49:46.660 We're going to get to a question here as well, but let's continue to the next topic of Russia.

00:49:51.380 I want to do Russia next.

00:49:52.520 We'll get to that one as well.

00:49:53.940 Russia slowed down Twitter speed and threatened a total block after the site allegedly failed

00:50:00.240 to delete banned content.

00:50:02.480 If Twitter continues to ignore the requirements of the law, the enforcement measured will be

00:50:08.340 continued, the state communication regulator said.

00:50:11.460 Think about that.

00:50:12.660 The move which escalates a grown standoff between Moscow and U.S. social media comes weeks after

00:50:17.440 Russian authorities accused Twitter and others of failing to delete posts it said illegally

00:50:22.980 urged children to take part in the anti-Kremlin protest.

00:50:27.440 The regulators claims that the vast majority of the posts Twitter allegedly refused to delete

00:50:31.520 contain content encouraging minors to take their own lives.

00:50:35.140 Other posts including indecent images of children and information about drug abuse.

00:50:40.760 Moscow has gradually introduced tougher internet laws in recent years requiring search engines

00:50:46.300 to delete some search results, messaging services to share encryption keys, et cetera, et

00:50:51.360 cetera, et cetera.

00:50:52.240 Tom, what do you, by the way, Russia tried to ban Telegram Messenger since 2018, for example,

00:50:57.140 but proved technically unable to block the app and last year publicly lifted the ban.

00:51:01.700 What do you think Russia is doing here going after Twitter?

00:51:03.820 I think there is a not-so-humorous truth that's in the middle of that, and that is you are

00:51:10.440 encouraging children to take their own lives.

00:51:13.100 What are you talking about?

00:51:14.000 You're encouraging them to speak against the government.

00:51:16.160 Oh, I see.

00:51:16.980 So that's how you take your own life.

00:51:19.600 You speak against the government, and you get disappeared, right?

00:51:22.660 Look, Russia, hey, Russia really hasn't changed that much.

00:51:27.340 I mean, since the Soviet Union broke, you know, they've been trying to put it back together,

00:51:31.240 and the biggest thing they're trying to put back together is control systems.

00:51:34.320 And information, you know, and human yearning for freedom are things that are catalysts for

00:51:42.580 massive change, and the government doesn't want change.

00:51:44.960 I think it's as simple as that.

00:51:46.360 And this window to the world, they don't want it.

00:51:49.720 This soapbox to speak, they don't want it.

00:51:53.480 Ronald Reagan told a great joke, and he said, he was talking to a Russian friend, and he says,

00:51:59.420 I think the United States is great for the freedom.

00:52:01.320 And he said, why do you say that?

00:52:02.220 And Ronald Reagan said, because any citizen in America can walk in to the president's office

00:52:08.420 and pound his fist on the table and say, Mr. Reagan, I don't like how you're running

00:52:12.820 your country.

00:52:13.820 And the Russian guy says, I can do that, too.

00:52:16.500 So what do you mean?

00:52:17.080 I can walk into Gorbachev's office, I can pound my fist on the table, and I said, I don't

00:52:21.300 like how Mr. Reagan's running his country.

00:52:24.540 And I don't think anything's changed.

00:52:26.440 It's just these digital tools.

00:52:27.520 So Russia's still Russia.

00:52:28.280 Russia's still Russia.

00:52:28.980 How much of this liability is on Twitter?

00:52:31.720 How much of this is backfiring on Twitter based on how they mishandled prior incidents?

00:52:37.220 I think they need to be careful that arrogance against American controls doesn't play well

00:52:42.940 other places like China and Russia.

00:52:45.380 How ugly could this get?

00:52:46.620 I mean, what can Russia really do to Twitter?

00:52:48.440 Let's face it.

00:52:49.040 What do you do?

00:52:50.280 You can't bomb a social media platform and say, I'm going to blow you up, Twitter.

00:52:56.140 What do you do?

00:52:56.880 They've got great hackers.

00:52:57.960 I mean, we all know Russia's got great hackers.

00:52:59.440 We're going to talk about it a little later, but Microsoft right now is under a state-sponsored

00:53:02.980 attack from China.

00:53:03.940 Yep.

00:53:04.460 So you've got some smart people over there, and I think, you know, digital attacks, digital

00:53:12.580 warfare.

00:53:13.400 I think that's exactly where they go with this.

00:53:18.080 Okay.

00:53:18.940 Adam, do you have any thoughts?

00:53:20.060 Well, I mean, back to your initial thought, you know, of complaining against the government

00:53:25.300 of Russia.

00:53:27.000 Obviously, Putin's in charge there.

00:53:29.140 What's the name of the gentleman who's been the biggest dissident and detractor of Putin?

00:53:34.220 And Alexei Navalny, right?

00:53:36.480 We've seen this guy's story over the last...

00:53:38.480 The Germans took three months in hospital to save his life.

00:53:40.660 Okay.

00:53:40.780 So he was poisoned on a plane.

00:53:42.180 We played that video sort of in one of the initial podcasts.

00:53:46.000 Yep.

00:53:46.160 He's back in the plane.

00:53:47.140 Oh, my God!

00:53:48.480 They take him off the plane.

00:53:50.740 Turns out he was poisoned.

00:53:52.420 Clearly, this was a...

00:53:53.540 Germany saves his life.

00:53:54.660 Germany saves his life.

00:53:55.740 Shout out to your people.

00:53:57.860 I'm Canadian, by the way.

00:53:58.980 Okay.

00:53:59.660 Just go along with it, baby.

00:54:04.560 What does this guy do?

00:54:07.060 He, you know, recovers.

00:54:10.500 And what does he do?

00:54:10.920 He goes back to Russia and essentially dares Putin to kill him again.

00:54:14.900 He gets arrested.

00:54:16.200 What's the status of him now?

00:54:17.720 Puts him on trial and puts him in a tough prison.

00:54:19.820 That's where he is right now.

00:54:20.640 Is he not?

00:54:21.280 I don't know.

00:54:22.120 That's my point, is that you speak out against the government, poisoned, imprisoned.

00:54:28.880 Good luck out there.

00:54:29.800 I mean, back to your point about the Russian joke.

00:54:32.940 Back to your point with Twitter.

00:54:34.280 How do you fight a social media company if you're a strong man like Putin?

00:54:38.960 Is it just hacking, digital warfare?

00:54:40.560 Or is that the only outlet you have to doing something like this?

00:54:45.320 That's the question I'm asking.

00:54:46.920 Kai, what can they really do to Twitter?

00:54:48.620 Can they do anything to Twitter outside of hacking?

00:54:50.540 You can't poison Twitter.

00:54:52.320 Or can you?

00:54:53.060 Tom, can they do anything to Twitter?

00:54:54.480 You don't have an answer for that.

00:54:55.500 I think they just shut it off, right?

00:54:57.400 Because Russia controls the internet over there.

00:55:00.320 Yeah.

00:55:00.660 They'll shut it off.

00:55:01.640 They limit access so nobody in Russia can use Twitter.

00:55:05.560 But can they do anything to the actual network of Twitter?

00:55:07.940 I think just tweeting or hacking bots, kind of that stuff.

00:55:12.600 They can do some stuff.

00:55:13.760 Which obviously can do damage.

00:55:15.240 Because remember the Bitcoin scam that happened with Twitter on the users and stuff like that?

00:55:19.220 Well, according to CNN, they can steal elections.

00:55:21.500 It's proven by CNN folks.

00:55:23.940 And if CNN said it, you know it's true.

00:55:25.740 Yeah, of course.

00:55:26.240 That's your community.

00:55:27.300 That's ours.

00:55:27.580 Okay.

00:55:28.080 So let me give a shout out to a few people here that contributed to the podcast today.

00:55:35.580 Let me see what this one is here.

00:55:36.880 Florida seems to be a great place for people that want to skip New York for many of the obvious reasons.

00:55:42.860 What are the material cons that you have come across about living in Florida that people just have to accept by moving there?

00:55:49.480 Where a family with young children asked Jack Hasso.

00:55:53.040 He gave $100.

00:55:54.100 And that's actually a real question he's asking.

00:55:56.480 What's the question?

00:55:57.280 Say it again.

00:55:57.600 He's asking, what is the risk and negative side of living in Florida?

00:56:00.360 If you were to say the negative part of living, you lived in Boca for many years.

00:56:03.720 You've been here your entire life, minus the exciting travel you had to Addison.

00:56:07.620 Beautiful stint in Addison.

00:56:08.280 But what is the negative and the con of living in Florida?

00:56:11.700 So, A, it depends on where you're at in Florida.

00:56:13.960 So if you're in the panhandle, that's a lot different than living in South Florida versus Central Florida.

00:56:19.280 Or if you're on the West Coast.

00:56:20.400 Yeah.

00:56:20.520 The first thing that comes to mind is hurricane season.

00:56:26.360 So without a hurricane season in Florida, there's not a lot of downside to being here.

00:56:32.700 Obviously, you know, the jobs aren't as plentiful as they are in New York City or in California or in Silicon Valley or anything like that.

00:56:41.920 Because typically we haven't had the industry that...

00:56:45.700 In flux of companies coming out here.

00:56:47.380 But now things have changed.

00:56:48.720 So I think people are starting to get wise.

00:56:50.680 So I think the biggest...

00:56:52.020 Clearly, the weather's on your side.

00:56:53.760 Clearly, you know, the sun, the fun.

00:56:57.180 Like, there's all that in Florida.

00:56:58.600 It's just, can I make money there?

00:57:00.660 What are the jobs?

00:57:01.380 So I always tell people that move here from New York City, if you keep that type of attitude...

00:57:06.360 And it doesn't necessarily need to be New York exactly.

00:57:08.540 But if you keep that type of, I'm going to crush it.

00:57:11.200 I'm going to get out there, wake up every day and grind and do my thing and get to work and get to business.

00:57:15.700 If you bring that attitude to Florida, you will crush it.

00:57:18.900 Because Florida is very, especially in South Florida, very Latin American influence.

00:57:24.760 Like, you know...

00:57:25.300 Chill, kick back.

00:57:26.400 You know, they say you're running on Cuban time, which is basically like the meetings at 9.

00:57:30.280 All right, man, I'll be there at 9.45.

00:57:32.500 I'll be there when I be there.

00:57:33.920 It's all good.

00:57:35.180 It's a very relaxed kind of, you know, retiree kind of vibe.

00:57:38.500 The only negative that you're going to say is hurricane and the fact that there's the pool of talent is not as high as L.A., New York, Silicon Valley.

00:57:44.100 But it's getting better.

00:57:45.140 But it's getting better.

00:57:45.820 What would you say negative, Tom?

00:57:47.100 I would say that.

00:57:48.020 I say that the economy here is thin.

00:57:50.260 It's not thick.

00:57:51.120 So you have a thin economy of jobs over here.

00:57:53.820 And it's largely a service economy where everybody is working in the city serving each other, if you know what I mean.

00:58:01.620 And there's not, like, hubs of industry necessarily.

00:58:05.480 There's not, like, a silicon beach, if you will.

00:58:09.700 So I think, you know, you're going to be working in hospitality and service industries and regional offices of, like, state farm insurance and things like that.

00:58:18.420 Schools down here, public schools, typically have not been the way they are, say, in the Northeast.

00:58:23.720 So there's a couple things like that.

00:58:25.620 And let's face it, the great weather in the winter is, you know, countered with the tough weather in the summer.

00:58:32.660 And you've got hurricane season and stuff like that.

00:58:34.700 So I think there's cons.

00:58:35.540 But I think there's cons everywhere you live, right?

00:58:37.360 But for a solid eight, nine months, South Florida, there's literally not a better place on the planet to be.

00:58:43.860 Like, for sure.

00:58:44.640 I mean, even if you're in the Redneck Riviera where you like to hang out.

00:58:49.480 Didn't you say you've been there, the Panhandle?

00:58:51.420 I've been to Tallahassee.

00:58:54.020 Who is it that goes to Destin?

00:58:56.360 Who is someone sitting in this chair?

00:58:57.740 Striner.

00:58:58.420 Striner goes there when he visits you.

00:59:00.440 Striner goes there.

00:59:01.040 Even it's nice up there.

00:59:01.920 No, I talked about that.

00:59:03.440 Okay, gotcha.

00:59:04.140 I'm not going crazy here.

00:59:05.200 No, no, you're not.

00:59:06.160 It's like a ton of people from Dallas, Houston.

00:59:09.060 They go to Destin.

00:59:10.300 There you go.

00:59:10.720 As a more affordable kind of spring break.

00:59:13.540 It's beautiful.

00:59:14.380 Great.

00:59:15.420 You know, it's not like cheap stuff.

00:59:17.120 Great VRBO stuff there.

00:59:18.880 Two families share it.

00:59:19.780 It's a great experience.

00:59:20.400 By the way, here's what you've got to be thinking about.

00:59:21.700 If you've got a family, you said family and kids, right?

00:59:23.580 Okay, living in South Florida, you're two and a half hours away from Orlando, which is

00:59:28.020 Disney World, and you've got Universal Studios over there.

00:59:32.560 So that's that part.

00:59:33.220 Epcot, MGM, all that.

00:59:33.980 If you want to rent a yacht for the weekend and take the kids to Bimini, which is, what,

00:59:39.000 two hours away, you'll spend a couple thousand dollars and go with your family of four and

00:59:43.340 food and all that.

00:59:44.320 Have a good time and come back up.

00:59:45.880 If you want to go to Key West, if you want to go to Cuba, if you want to go to the Caribbean,

00:59:50.420 if you want to go to Europe, you're eight hours away.

00:59:52.140 If you want to go to New York, you're two and a half hours away.

00:59:54.040 If you want to go to, you know, you've got so many different ops.

00:59:57.720 Sports, they've got all the sports.

00:59:58.920 You've got Marlins.

00:59:59.620 You've got the Heat.

01:00:00.320 You've got the hockey.

01:00:02.240 They've got all sports, right?

01:00:03.680 Obviously, it's not the craziest time today with sports.

01:00:06.040 When LeBron was here, they were doing well.

01:00:07.960 When Dan Marino was here, different story.

01:00:10.240 We haven't had anything crazy going on with the sports teams.

01:00:12.240 What do you mean?

01:00:12.660 Last year, the Heat went to the finals.

01:00:14.440 Tampa Bay Lightning won a Stanley Cup.

01:00:17.120 I don't know if I would put, you know, like the level of excitement of LA or, you know,

01:00:22.660 Nets or something like that.

01:00:23.800 Well, you're spoiled out in LA.

01:00:24.560 You're winning NBA championships.

01:00:26.740 You were at the World Series.

01:00:28.720 It is what it is.

01:00:29.300 Dodgers win.

01:00:29.940 And it's a place right now where just yesterday I had a call with our buddy Tim, and he was

01:00:36.460 whispering to me about, you know, how Goldman is moving one of their divisions here.

01:00:40.460 We already know that.

01:00:41.120 That's public.

01:00:41.620 You know, Peter Singh.

01:00:42.240 You know, some of these stories that have already come out.

01:00:43.920 Tons of them.

01:00:45.060 But there is another one that's way, way bigger than Goldman that is moving out to South Florida

01:00:52.100 that it's 100% they've announced that they're coming out.

01:00:54.700 You're going to hear about it in the next couple of days.

01:00:56.340 It's more and more that are making the move out here to Florida.

01:00:58.580 You're not going to announce it.

01:00:59.540 I cannot announce it because, you know, anyways, so there's more and more people that are making

01:01:03.840 the move in South Florida, okay, that's taking place.

01:01:07.140 But heat, you'll experience heat, humidity, and hurricane when it comes.

01:01:10.920 And when it happens, I'll let you know how it goes because I've been through wars.

01:01:14.540 I've been through bombing.

01:01:15.260 I've been through tornado.

01:01:16.160 I've been through earthquakes, many of them.

01:01:17.980 And I guess the next one is I have to kind of have the trifecta.

01:01:21.480 Maybe not a trifecta.

01:01:22.660 It's a quintifecta.

01:01:23.820 We just missed out on the snowstorm, though, unfortunately.

01:01:25.660 Yeah, Dallas.

01:01:26.560 Yeah.

01:01:27.060 Well, let me just say one thing because I don't know if you've been ever for hurricane season.

01:01:30.900 I look at hurricane season in Florida versus whatever the hell goes on in California,

01:01:35.540 wildfires and earthquakes and mudslides.

01:01:38.380 I'll take my month of hurricanes before, you know.

01:01:42.100 It's like a guy you fight and the guy says, in about five seconds, I'm going to punch you in the face.

01:01:47.240 And it's going to be tough.

01:01:48.380 So you've got five seconds to move, okay, versus the guy punches you in the face, okay?

01:01:53.820 Earthquake doesn't give you the warning.

01:01:55.940 Hurricane tells you in five seconds.

01:01:57.380 I'll be there in five days.

01:01:58.380 What do you want to do?

01:01:59.260 Yeah, exactly.

01:01:59.580 Do something.

01:02:00.100 You know, you may want to leave.

01:02:01.240 So anyways, next question we got here, $5 from GTRA23.

01:02:04.680 Pat, how do you see the chance of Texas separating from the United States and what's your take in all this massive migration coming to the following states?

01:02:13.020 You know, yesterday I was being interviewed by Nomad Capitalist, the guy named Andrew, who has lived in 100 different countries.

01:02:18.820 And he teaches people how to have dual citizenships and he owns properties in five different countries is what he does.

01:02:25.000 He's all about leave America because there's better places to live than America.

01:02:30.300 He asked me a question.

01:02:31.500 He says, are you an America fan?

01:02:34.040 I said, diehard.

01:02:35.380 He says, tell me what you mean by that.

01:02:37.020 I said, I'm a diehard America fan of what it was founded on.

01:02:41.680 America to me is the values of principles, which is what?

01:02:45.460 Freedom of speech, freedom of assembly, freedom of religion, freedom of your Second Amendment, free enterprise, that stuff.

01:02:51.420 The moment that changes, it's no longer America to me.

01:02:55.080 It's a complete different name to me.

01:02:57.060 So the moment certain states and what California is experiencing right now as well as New York, when you're 20 years old, guess where you want to live?

01:03:04.400 You want to live in L.A.

01:03:05.780 You want to live in, well, you live in Miami.

01:03:07.500 Partying in Miami is probably going to be better than partying in L.A., quite frankly, if you think about it.

01:03:10.980 Miami partying is pretty legit.

01:03:12.160 But when you're younger, you're like, I'm in L.A., Hollywood, I'm in New York City, all this stuff.

01:03:17.220 And then you start kind of making money, and you start having a family, and you start kind of saying, well, I just don't know if these are some of the things that I want to be around.

01:03:25.660 I want to kind of have a little bit more flexibility and freedom.

01:03:27.880 Then you start looking.

01:03:28.600 And then if America goes into tipping point and they really start pushing around the populace, I just think it would be like, you know how with business, when you see somebody that's totally screwing up, like Sears is screwing up, you're leaving an opportunity for others to come in.

01:03:45.960 When you saw Blockbuster royally getting arrogant as an $8 billion company screwing up with the late fees.

01:03:52.120 Remember how annoying it was with Blockbuster?

01:03:53.660 I said, dude, just wipe it.

01:03:55.820 Take it off.

01:03:56.380 No, I said, I'm paying you $30 for this movie to buy brand new.

01:03:59.820 It's $15.

01:04:00.900 Waive the damn late fee.

01:04:02.440 Put a limit of the value of the DVD.

01:04:05.120 No, I'm not going to be doing yours $30.

01:04:07.220 After doing that to tens of thousands of people, you're like, you know what?

01:04:10.180 I'm sorry.

01:04:10.740 I just can't stand the way you treat customers.

01:04:13.240 I'm out of here.

01:04:14.040 Now there's only one left.

01:04:15.100 And we interviewed the manager, the one Blockbuster that's left.

01:04:17.760 I don't know where it's at, Seattle or Washington or something like that.

01:04:20.580 But I think today there's a great opportunity for a handful of countries to become a second option.

01:04:29.200 I think today's a great opportunity for a handful of countries to say, you know what?

01:04:33.800 We kind of see America that's been what everybody wanted to be like.

01:04:37.680 What if we see the mistakes America's made and we give that safety to people to come over here?

01:04:44.000 What if we change it up?

01:04:45.340 What if we change it up?

01:04:46.740 How many people are going to move?

01:04:48.100 Not many.

01:04:49.180 But all it takes is a couple people that move, influential.

01:04:51.980 And then if and only if America royally gets cocky, arrogant, egotistical, kind of like the city of Detroit went from 200,000 people to 1.8.

01:05:02.520 And the next thing you know, the municipalities, the city employees, the government people started kind of pushing people around.

01:05:08.900 Ford said, listen, forget about it.

01:05:10.200 You're right.

01:05:10.580 We're out of here.

01:05:11.300 People started leaving.

01:05:12.140 They went from 1.8 million people living in New York City, richest city in the world, to 700,000 people living there.

01:05:18.100 Today, if you call 911, I don't know if we covered this on the last podcast.

01:05:22.060 If you call 911 in Detroit City today, it's the poorest city and it's the most dangerous city to live in America today.

01:05:28.480 Today, poorest and most dangerous, lowest.

01:05:31.060 It's the worst city today based on economical freedom and safety, right?

01:05:36.280 You call 911 today.

01:05:37.680 Do you know how long it takes for cops to show up?

01:05:39.820 59 minutes.

01:05:41.320 Let me say this one more time.

01:05:42.600 If you dial 911, it takes more than 50 minutes for cops to show up if you call 911 today.

01:05:50.740 You call them, you tell them.

01:05:52.220 Kai said this in the room.

01:05:53.400 You call them, you tell them, I'm about to rob the bank.

01:05:56.660 You go rob the bank.

01:05:57.960 It takes you 20 minutes to do it.

01:05:59.300 You leave and they still haven't shown up.

01:06:01.060 Right?

01:06:01.740 So what does this mean with America?

01:06:03.340 If America gets too cocky and they're going to start pushing people around, I think people will be looking at going elsewhere.

01:06:08.420 If you look at a lot of people, where are you from?

01:06:10.060 Oh, I'm Irish.

01:06:11.080 Their family left Ireland to come here.

01:06:13.700 Where are you from?

01:06:14.260 I'm Jewish.

01:06:14.780 Okay.

01:06:15.160 Your family left Israel.

01:06:16.560 Where are you from?

01:06:17.200 Norway.

01:06:17.540 Your family left.

01:06:18.580 Where are you from?

01:06:19.100 Mexico.

01:06:19.500 My family.

01:06:19.880 Iran.

01:06:20.100 So if people from other countries are willing to move to a country like this, people will be eventually forced to leave America if America gets too cocky.

01:06:28.920 You guys have any opposing opinions on what I just said?

01:06:31.580 I kind of do.

01:06:32.000 I know you want to say like Merkel was a...

01:06:34.420 I would just...

01:06:35.500 Look, obviously we're all very pro-American and we love it here.

01:06:39.500 But, you know, it's easy to say, well, you know, just leave America.

01:06:43.960 Oh, I'll just leave America.

01:06:44.600 But where are you actually going?

01:06:46.980 Did you hear what I said earlier?

01:06:48.140 Yeah.

01:06:48.480 Okay.

01:06:48.920 What did I say?

01:06:49.960 Regarding what?

01:06:51.160 I said if, same way Blockbuster lost people, this is a great opportunity to be a Netflix.

01:06:58.240 I agree with you.

01:06:58.820 So a...

01:06:59.600 Canada?

01:07:01.720 Belize.

01:07:02.400 Exactly.

01:07:03.040 A Costa Rica.

01:07:04.540 Not Canada.

01:07:05.900 No.

01:07:06.120 I'm not saying now, but I'm saying they could.

01:07:08.180 They could be.

01:07:08.880 I know a lot of people that moved to Costa Rica.

01:07:11.300 Dubai is a place that's attracting a lot of people.

01:07:14.160 Now living there is a different kind of a lifestyle.

01:07:16.240 So you're going to have to ask about the pool of talent, the benefits of talent.

01:07:19.520 So the guy asked me a question.

01:07:20.440 He says, you know, he was in somewhere in Central America is where he was at, at the

01:07:24.580 country he was staying at.

01:07:25.900 I said, so for...

01:07:28.160 He says, would you consider...

01:07:29.380 I said, certain industry could do that.

01:07:30.980 Not all industries could do that.

01:07:32.260 Like he's a guy that does online courses, things like that.

01:07:35.000 You can live where?

01:07:36.060 Anywhere.

01:07:36.700 Engineers, anywhere.

01:07:37.740 Coders, anywhere.

01:07:39.100 Certain industries, you can't go anywhere.

01:07:41.460 So the challenge would be, the only challenge when I process it is what?

01:07:46.580 Pool.

01:07:47.520 Pool of talent.

01:07:48.980 But if you have a place, I tell you right now, if we had a country, I'm telling you right

01:07:53.020 now, if we had a country right now, somehow, somewhere, we've got 10 million people and

01:07:56.780 we've got a good amount of land right now, decent weather, some natural resources, watch

01:08:02.220 what we would do to that country 20 years later.

01:08:04.180 I'm telling you right now, if we had a country right now with 10 million people, decent natural

01:08:08.340 resources, some land, give us 20 years.

01:08:11.820 Look what we would do to our citizens.

01:08:14.280 Look how much they would love living where we live.

01:08:16.720 Look the kind of foundation and the values and principles we will build that country in.

01:08:19.920 And look what kind of people would want to live with us.

01:08:22.180 And you know what we would do?

01:08:23.560 We wouldn't allow everybody to come in.

01:08:26.220 It wouldn't be one of those situations where it's like a, it would be by invitation, just

01:08:31.460 like, you know, if you want to be part of Clubhouse, what do they do?

01:08:34.080 You have to be invited.

01:08:35.340 Right.

01:08:35.520 Okay.

01:08:36.000 Back in the days, a lot of these social media platforms, you have to be what?

01:08:39.140 You have to be invited.

01:08:40.020 It'd be a similar thing.

01:08:40.900 Hey, you're going to say, Pat, I think we've got to let Keith in here.

01:08:43.780 Tell me about Keith.

01:08:44.540 Dude, we're going to love Keith.

01:08:45.540 Let me just, what are you talking about?

01:08:46.780 Have I ever brought anybody?

01:08:48.000 Okay, cool.

01:08:48.520 Bring Keith in.

01:08:49.340 I think there would be an element of that that we could build a country with.

01:08:52.520 Invite only.

01:08:53.180 Yeah, that was the origination of Facebook.

01:08:55.520 Remember that?

01:08:56.300 It was college by college and you had to be a student at that college.

01:09:01.600 And those are the emails that you had to have.

01:09:03.020 So I agree.

01:09:04.980 I don't see a valid, viable option to today.

01:09:08.820 There are some.

01:09:09.820 Singapore, New Zealand, there are some.

01:09:11.980 Singapore is an option.

01:09:13.640 New Zealand is an option.

01:09:14.960 And quite frankly, those would probably, at the top five of places you would look at,

01:09:19.220 Costa Rica is an option.

01:09:20.180 When I went to Panama City, Panama, not Panama City, like Spinnakers or Club La Vila.

01:09:25.440 I'm talking Panama City.

01:09:26.520 Panama next to Nicaragua.

01:09:27.760 Yes.

01:09:28.020 When I went to Panama City and I played poker with the senator, I'm sitting there with them.

01:09:32.340 And I said, so where are you from?

01:09:33.920 Oh, I'm from Dallas.

01:09:34.820 Oh, very cool.

01:09:35.420 You vacation here often?

01:09:36.700 He says, no, I've been living here for 11 years.

01:09:39.020 I said, why'd you leave?

01:09:39.940 I said, do you know the regulations here?

01:09:41.820 Unemployment here is 2.3%.

01:09:43.080 They leave you alone.

01:09:43.780 You can do anything.

01:09:44.360 Have you looked at the real estate in Panama?

01:09:46.620 Matter of fact, go to Panama and type in Panama real estate.

01:09:50.440 Panama City, Panama real estate.

01:09:53.100 Like buildings.

01:09:54.260 Some of the buildings are ridiculous.

01:09:55.280 Buildings.

01:09:55.700 You got to put buildings, right?

01:09:57.660 Panama City buildings.

01:09:59.220 Yeah.

01:10:00.460 Buildings.

01:10:01.280 I hope it goes to the right Panama City.

01:10:03.300 Put images like right there.

01:10:05.040 Like, you ever seen anything like that in US?

01:10:07.480 The FNF Tower.

01:10:08.500 I've never seen anything like this in US.

01:10:10.620 Right?

01:10:11.340 You look at some of the, right there, click on that one right there.

01:10:14.600 Luxury real estate.

01:10:15.520 Look at that.

01:10:17.080 You know, you see some of the most beautiful stuff.

01:10:19.240 Now, obviously, I'm seeing stuff like this in Miami.

01:10:21.060 But he says, have you seen what we're doing in Panama City?

01:10:23.740 The next guy.

01:10:24.340 Where are you from?

01:10:24.880 Chicago.

01:10:25.340 How long have you come here?

01:10:26.380 I've been living here for 10 years.

01:10:27.940 So that gave a glimpse.

01:10:29.360 And that was 10 years ago.

01:10:30.460 That gave me a glimpse that people are considering moving to other countries from the US.

01:10:37.980 No doubt.

01:10:38.840 And I know a lot of people, especially people in South Florida that end up in Costa Rica, what have you.

01:10:43.520 I guess my point was, yeah, little pockets here go to Costa Rica.

01:10:49.040 A little, you know, maybe you go to a little Panama, like little tiny countries.

01:10:52.460 Maybe you end up in New Zealand.

01:10:54.280 I guess my macro question is what country is going to supplant America?

01:10:58.600 I just don't see one right now.

01:11:00.200 And I'm not being a cocky American like, oh, you can't compete with America.

01:11:04.040 I just like Paul joked and said Canada.

01:11:06.200 I don't know if he was joking or not.

01:11:07.820 Go check out the weather in Canada nine months out of the year.

01:11:10.220 Good luck over there.

01:11:10.940 So I'm just saying, you want to go to China?

01:11:13.500 Have fun in China.

01:11:14.500 Well, check it out in Michigan.

01:11:16.260 Or, you know.

01:11:17.360 Well, that's what you can move from Michigan to Florida.

01:11:20.220 No, no, no.

01:11:20.500 Wait a minute.

01:11:21.040 Let me ask you this.

01:11:22.180 What was the richest city in the world in 1950s?

01:11:25.660 Motown, baby.

01:11:26.680 What was the temperature in Motown?

01:11:28.780 80 degrees year round?

01:11:30.460 Do you know the temperature in Motown?

01:11:31.840 Well, that was because of Thomas Ford and, you know, the industrial revolution and making

01:11:36.200 the cars.

01:11:36.840 Or his brother, Henry Ford.

01:11:39.000 I mean, I was thinking of Thomas Edison.

01:11:40.760 Henry Ford.

01:11:41.340 You just.

01:11:42.380 Thomas Ford.

01:11:43.300 Nicola Ford, right?

01:11:44.300 He was a good guy.

01:11:45.480 I'm thinking of Thomas Edison and Ford.

01:11:47.120 Put them together.

01:11:47.880 But the point you just made without trying to make a point is one man changed a city.

01:11:56.360 One.

01:11:57.480 It didn't take 50.

01:11:59.140 It didn't take 100.

01:12:00.400 One person changed the city forever.

01:12:04.900 Ford.

01:12:05.540 Came in.

01:12:06.500 Created jobs.

01:12:07.560 Everybody moved in.

01:12:08.540 Other automakers went there.

01:12:10.540 Motown came out of there.

01:12:11.600 Michael Jackson.

01:12:12.480 Diana Ross.

01:12:14.540 You know, all of those names of who came out, meaning the records who signed them.

01:12:19.240 All of that is from Motown.

01:12:20.920 Detroit.

01:12:21.680 Okay.

01:12:21.820 They call it the Paris of the West.

01:12:24.040 A Paris of the Midwest.

01:12:24.880 Detroit.

01:12:26.500 And weather sucked there.

01:12:28.000 It's not about the weather.

01:12:29.100 Don't get me wrong.

01:12:29.840 I give credit to California.

01:12:31.080 Weather's got to be the Miami weather.

01:12:32.560 Totally.

01:12:32.900 I get it.

01:12:33.300 Weather's very important.

01:12:34.520 I'm not going to go.

01:12:35.280 I was about to move to Naperville, Chicago.

01:12:36.960 A friend of mine, Jeff, had a place.

01:12:38.260 I was going to go.

01:12:38.880 I wanted to run with the guy for a couple decades, right?

01:12:41.180 But I'm like, yeah, I'm good.

01:12:42.780 I'm much better being in LA or much better being in Florida.

01:12:45.300 But that's my preference.

01:12:46.920 But if it comes down to it and they force, people would rather follow a leader,

01:12:53.060 an environment that gives you safety and freedom.

01:12:56.980 And they'll give up a little bit of weather.

01:12:59.580 They'll give up a little bit of other things to have freedom.

01:13:02.420 There's nothing in your life that's more important to you than freedom.

01:13:06.180 Nothing.

01:13:07.100 When you have it, you don't know you have it.

01:13:09.560 You know how when your body is doing well, you don't think about any potential pain.

01:13:16.020 Then you start having back pain.

01:13:17.740 And then what you say, I'll give anything to get rid of this back pain.

01:13:20.960 Then you get COVID.

01:13:22.720 You're throwing up all over the place.

01:13:24.440 I'll give anything.

01:13:26.160 I'll give anything to get rid of this, right?

01:13:28.700 Yeah.

01:13:28.880 When you have freedom, you don't know you have it.

01:13:31.460 People don't know they have freedom.

01:13:34.200 They don't know.

01:13:34.700 But when it's taken away, then you're going to say, there's no way in the world I can live

01:13:37.880 like this for the rest of my life.

01:13:38.900 I'm willing to go to a different place because I just want to be free.

01:13:42.000 Listen, the chance of us getting, there's less than 1%, just so people know.

01:13:45.940 It's not a big chance.

01:13:46.800 We're not going to Vegas right now, betting $100,000 because America's going to go down.

01:13:51.600 But that 1% chance is a chance where you should have a hedge.

01:13:54.900 You should hedge against it and have your own insurance policy and case things do happen.

01:13:59.580 Can I clarify one thing Adam kind of made fun of?

01:14:03.120 When I was talking about Canada, I was talking more Vancouver, which a lot of Americans have

01:14:07.860 been moving to, and Montreal.

01:14:09.500 Freezing.

01:14:09.900 They have been stealing business from Hollywood.

01:14:12.420 A lot of productions are going to Canada and doing that.

01:14:14.840 That's a good point, Paul.

01:14:15.420 And so those were two of the examples I was thinking of when I said Canada has a huge opportunity.

01:14:19.400 They've already pounced on that opportunity, and I could see them continuing to grow.

01:14:23.820 That's just my bottom.

01:14:25.280 It's just a very powerful point you just made with what's happening over there with Austin

01:14:30.020 even getting business away from Hollywood.

01:14:32.120 By the way, Jack Hosso said, I'll donate $5 if Adam isn't allowed to sing ever again.

01:14:38.740 I just want to make sure Jack said that, so Jack, I have to give you that shout.

01:14:42.340 Tom, it looks like you want to say something about this.

01:14:44.280 No, I think I did, but you've covered it.

01:14:50.820 Okay.

01:14:51.580 Pat, one counterpoint with that.

01:14:53.340 But aren't you, like the Detroit example, because my dad's from Detroit, and he ended

01:14:57.520 up moving to Florida in the 60s, so I'm familiar with this, but aren't you sort of highlighting

01:15:03.180 the beauty of America?

01:15:04.480 It's like, well, if you're unhappy in that state, move to a different state.

01:15:08.040 I mean, it's exactly what's playing out right now with California, New York, and why people

01:15:11.580 are moving to Florida, Tennessee, Texas.

01:15:16.260 Isn't that sort of the point of America that, you know, states' rights, that certain states

01:15:21.320 are screwing up?

01:15:22.080 Like, you did an awesome video about, is New York the next Detroit, you can move to a different

01:15:27.360 state, right?

01:15:28.780 You don't have to move to a different country.

01:15:30.960 I just don't see the country that's going to usurp America.

01:15:34.740 Sure.

01:15:35.120 If federal government has more power than state level, the state didn't decide to get a $1.9

01:15:44.240 trillion stimulus, but that $1.9 trillion stimulus affects people living in any state.

01:15:52.380 Including South Dakota, that maybe wasn't affected by COVID, like a place like California

01:15:57.340 was affected by.

01:15:58.220 So yes, federally, you are still getting side effects of bad decisions being made at the

01:16:03.060 top of the government.

01:16:03.860 You will be affected by it.

01:16:05.020 All I'm saying is, this is a great time for another country to position themselves.

01:16:09.740 When Rick Perry was coming to the state of California, and he was saying, you're running,

01:16:13.860 you've heard me say this, you're running a business, you're not happy, regulation, come

01:16:16.700 to Texas.

01:16:17.380 Come to Texas.

01:16:17.980 Now, guess who's doing it today?

01:16:19.320 DeSantis is doing it.

01:16:20.260 Guess who's the most hated?

01:16:20.920 Guess who are the two of the most hated governors in America today?

01:16:24.180 Who are two of the most hated governors in America today?

01:16:26.900 Cuomo and our friend in California.

01:16:29.420 Abbott and DeSantis.

01:16:30.000 Abbott and DeSantis.

01:16:31.280 Absolutely.

01:16:31.720 Abbott and DeSantis.

01:16:32.220 For recruiting, you mean?

01:16:33.360 Abbott and DeSantis.

01:16:33.920 The only reason Cuomo is, by the way, Cuomo, okay, Cuomo, you know what's next.

01:16:40.140 If he doesn't resign, let's talk about Cuomo.

01:16:43.020 If Cuomo doesn't resign, you know the whole story came out yesterday.

01:16:45.780 So, well, first of all, he flirted with me.

01:16:47.360 He touched my face.

01:16:48.000 There's a new story.

01:16:49.000 Hot dog.

01:16:49.640 He told me to eat the whole sausage.

01:16:51.120 He told me to do this.

01:16:51.880 He told me to do that with his daughter sitting right next to him.

01:16:54.120 Yesterday's story comes.

01:16:55.260 He put his hand under my blouse and he groped my breast.

01:16:58.040 Right?

01:16:58.280 Another story that comes up.

01:16:59.300 Okay.

01:17:00.660 You know what's next?

01:17:02.180 You know what's next.

01:17:03.680 Here's what's next.

01:17:05.440 If Cuomo doesn't resign, they have 20 other stories.

01:17:09.120 They're just sprinkling it.

01:17:10.420 They're not putting all of it out.

01:17:11.580 Slowly dripping.

01:17:11.920 And they're telling Cuomo.

01:17:13.020 Listen, do you not think a call behind closed doors is happening and the call goes something

01:17:17.220 like this with the people who have the real power?

01:17:19.820 Not Cuomo.

01:17:20.900 Here's what the call sounds like.

01:17:23.580 Andrew, it's time.

01:17:26.340 There is no way in the world my dad would be a grave turn.

01:17:30.840 I would never resign.

01:17:32.140 Do you know what this means to my family's legacy?

01:17:34.960 I would disappoint.

01:17:36.100 I get it, Andrew.

01:17:37.460 But we have 10 more stories.

01:17:39.300 And we have the story you don't want us to talk about.

01:17:42.760 So each week we're going to put a new story until you finally resign.

01:17:47.820 We're telling you resign.

01:17:50.240 Now I'm not going to do it.

01:17:51.240 Okay.

01:17:51.840 Watch the news tomorrow.

01:17:53.400 New story coming out.

01:17:54.840 Enjoy your Thursday.

01:17:56.320 You wake up.

01:17:58.040 A woman comes out.

01:17:59.260 Another one, you know, saying that.

01:18:00.760 Da, da, da, da, da, da, da.

01:18:01.740 He's like, ah, shit.

01:18:03.120 Okay.

01:18:03.900 Hey, Andrew.

01:18:05.180 Yeah.

01:18:05.940 So you ready to resign?

01:18:08.700 No way.

01:18:09.600 You're not going to bully me.

01:18:11.360 I'm a New Yorker.

01:18:12.420 You're not going to do me my Italian descent.

01:18:14.620 Okay.

01:18:15.720 Another story is going to come out Monday.

01:18:18.640 I can tell you stories are going to come out until this guy resigns.

01:18:21.940 And by the way, it's not Republicans doing it.

01:18:23.460 It's Democrats doing it to him.

01:18:25.300 I talked to Ron Kim, New York state assemblyman, who is part of the whole AOC camp and Bernie

01:18:30.680 Sanders camp.

01:18:31.480 Cannot stand Cuomo.

01:18:33.300 Okay.

01:18:33.620 For what he did with the old folks.

01:18:36.080 Nursing homes is what he did.

01:18:37.680 And Kim is not crazy.

01:18:38.740 These are not crazy.

01:18:39.560 These are mainstream Democrats.

01:18:41.780 These are level-headed people.

01:18:43.560 They're not freaks.

01:18:44.320 I'm talking to Ron.

01:18:45.300 Ron, you know, listen, don't get me wrong.

01:18:47.120 He's a socialist.

01:18:48.020 Proud.

01:18:48.460 He's a guy that's progressive.

01:18:49.860 Yes.

01:18:50.500 He's a guy that's on that side.

01:18:51.760 But behind closed doors, he's getting pushed out nonstop.

01:18:56.600 He is eventually going to get pushed out nonstop.

01:18:59.300 If he doesn't resign, expect a story to come out every single week.

01:19:03.960 That's my prediction.

01:19:04.920 I may be wrong.

01:19:05.640 But I think behind closed doors, there's 20 other stories that are waiting to come out

01:19:10.100 once every week until the guy finally says, you know how it's going to happen?

01:19:13.820 Here's how it's going to happen.

01:19:16.100 Mom's going to call.

01:19:17.400 Chris is going to call.

01:19:18.620 And they're going to say, look, bro, I'm just telling you.

01:19:22.000 I'm telling you right now.

01:19:23.740 It's time.

01:19:25.020 Just do it, bro.

01:19:26.000 I don't care.

01:19:26.780 I'm going to back you up.

01:19:27.840 But you go out there and do it.

01:19:29.340 Okay?

01:19:29.620 Forget about it.

01:19:30.360 We've had a great life.

01:19:31.820 We've done well for ourselves.

01:19:33.500 These guys are now trashing our family.

01:19:35.980 Daughter doesn't, my niece doesn't need to hear this.

01:19:38.280 It's time.

01:19:39.280 And he's going to say, what are you talking about, Dad Mario?

01:19:41.400 Would have said, I get it.

01:19:42.820 But this is a very unique situation.

01:19:44.920 It's enough.

01:19:45.980 We got to do it.

01:19:46.780 And I still have your back.

01:19:48.120 I think that's what it could lead to.

01:19:49.800 I hope it doesn't.

01:19:50.700 But I think that's what it's going to lead to where he's going to have to resign.

01:19:53.160 So the two of the most hated governors in America today are who?

01:19:56.160 Abbott and DeSantis.

01:19:57.740 Why?

01:19:58.560 You know when I talked to Ron Kim yesterday, he said something very interesting.

01:20:02.260 And I was like, why would you say that?

01:20:03.420 He said, I don't think it's a good strategy to recruit citizens from other states to your state purely based on economy.

01:20:11.340 I'm like, that's the whole idea.

01:20:14.260 What are you talking about?

01:20:15.300 People went to New York because you're recruiting people to economy.

01:20:18.260 And he made a comment, which, by the way, I can't wait to have Ron back again.

01:20:22.740 We had a great hour conversation and discourse.

01:20:25.560 And there was a debate and banter where he's saying his side is, well, I know who you are.

01:20:29.180 Of course, I follow your stuff.

01:20:30.580 But I got to tell you, here's what I stand.

01:20:32.580 You came in America.

01:20:33.440 We both came here as immigrants.

01:20:34.600 I'm 41.

01:20:35.180 You're 42.

01:20:36.960 My dad owned a liquor store or a grocery store after 10 years.

01:20:41.440 They had to shut it down and all this other stuff.

01:20:43.140 And I said, OK, so if you have personal experience, I said, you decided to go into business.

01:20:47.680 I went into public.

01:20:48.780 So you wanted to be an entrepreneur.

01:20:50.020 I went to public.

01:20:51.000 And he said, I don't think it's a good strategy to take people away from businesses.

01:20:54.880 And then I said, what about the fact that a division of Goldman Sachs is leaving?

01:20:58.140 Peter, all this stuff is leaving.

01:20:59.880 And he says, yeah, it's OK that financial people are.

01:21:03.700 He didn't say it's OK that financial people are leaving.

01:21:05.580 But he's saying it's the financial folks that are leaving.

01:21:08.060 But we're building our own tech hub like Silicon Valley in New York City.

01:21:12.620 That's what's growing.

01:21:13.980 If the financial people do what they do, let them do what they do.

01:21:16.880 But we're building a technology center like a hub, like a Silicon Valley in New York City.

01:21:23.200 So, you know, it's interesting, but more power to DeSantis and Abbott.

01:21:29.300 But imagine if now it's a country.

01:21:31.980 Now, imagine you're a president.

01:21:33.440 And you go.

01:21:34.980 And you have an accent, whatever part of the world you are.

01:21:37.580 Hey, this is president such and such.

01:21:39.820 And you go on the media and you talk in 50 different media platforms.

01:21:43.220 BBC, whatever, all these other places.

01:21:45.500 Sky News Australia, all these places you talk.

01:21:47.400 And you say, Americans, I can't believe I'm saying this.

01:21:52.660 But from a person who admires your country and what it was founded on,

01:21:57.040 I am surprised on what is happening today to your country.

01:22:02.020 Here's a country that was able to do in 200 years what China couldn't do in 2,000 years.

01:22:07.580 Here's a country that was able to go from nothing just because of some land.

01:22:12.300 And you became the most powerful country in the world.

01:22:15.940 Here's a country that went from having this kind of a GDP to doing this kind of a GDP.

01:22:19.920 Here's a country that gave birth to Rockefeller, Franklin, Chase.

01:22:23.720 Sometimes you go through the list of great entrepreneurs.

01:22:27.200 But unfortunately, we all know you're no longer the America you used to be.

01:22:33.100 And if you're somebody that's looking at options, let me explain to you what we at our country are doing.

01:22:39.980 We protect this.

01:22:41.820 We protect that.

01:22:43.160 The five concerns that you may face is this, this, this.

01:22:46.000 Here's how we have protected you long term.

01:22:47.960 And all I suggest is before you even think about moving to our country, I suggest you come here for vacation for three, four days and see how you like it.

01:22:57.240 And we are given $500 tax credits.

01:22:59.980 If you come here from America, come pay a visit to us and see if you like that.

01:23:05.060 If you do, we would love for you to consider to bring your talents and your resources to our country.

01:23:11.120 At $300,000 deposits you bring to our country, we give you citizenship.

01:23:14.940 And with the benefit of our citizenship, you get the following.

01:23:18.280 Boom, boom, boom, boom, boom.

01:23:20.180 If that starts happening with another country recruiting people away from America and that country has something to offer,

01:23:26.980 it's going to get very interesting because you can run a business out of any country and you're zooming in.

01:23:33.900 You can have people, you're running it from all over the place.

01:23:36.300 You can zoom them in, right?

01:23:37.120 I got people working for us from Armenia.

01:23:39.460 We got people working for us from India.

01:23:41.280 We got people working for us from Colombia.

01:23:43.340 We got people all over the place.

01:23:44.940 Because they can work remotely.

01:23:46.240 So if something like that were to happen, America could see somewhat of people being comfortable knowing that if America goes the wrong direction,

01:23:56.220 I have a second choice.

01:23:57.360 I can go somewhere else.

01:23:58.300 Would you secretly or even not so secretly actually love to see that?

01:24:04.040 I would secretly and publicly never want to see that.

01:24:09.600 Ever want to see that.

01:24:10.620 I don't want to see that.

01:24:11.320 Ever in a billion years, I would never want to see that.

01:24:15.980 Ever.

01:24:16.860 Zero.

01:24:17.460 Not even .01%.

01:24:19.260 Ever want to see that happen.

01:24:20.900 But you know what I would love to see happen?

01:24:22.180 I would love to see a country get to a point that they have the resources and the offer to get others to consider that you could leave.

01:24:33.620 I'd love to have a country that's an option two where America realizes there is option two.

01:24:39.560 When there is an option two, the country can bully to say, you're not going anywhere.

01:24:42.980 You know what Newsom said yesterday?

01:24:45.060 Newsom goes out and does a press conference for like, I don't know what it was, at the Dodger Stadium.

01:24:48.400 I don't know if you guys saw this or not a couple days ago.

01:24:50.040 We didn't put it here.

01:24:51.540 Put Newsom best place to do business in America.

01:24:54.980 He said California is still the best place to do business in America.

01:24:59.160 People said, what the hell is this guy talking about?

01:25:01.460 Is he smoking something?

01:25:02.800 He's just tone deaf?

01:25:03.780 Is that what he is?

01:25:04.300 He says California is the best place to do business in America.

01:25:08.420 Just type in news.

01:25:09.640 Go to news.

01:25:10.320 Deliver state of the state address.

01:25:11.820 Where's the news?

01:25:13.480 Actually, I can Newsom state address.

01:25:14.940 Yeah, he said there was a state of the state.

01:25:18.520 Anyways, you have to really look through it and you would see.

01:25:21.800 Best place to do business.

01:25:23.060 Search for it.

01:25:23.660 Best place.

01:25:25.980 Yeah, he said business.

01:25:27.300 Just type in business.

01:25:28.340 Put the key word business.

01:25:30.020 California has the most innovation venture capital, small business in the country.

01:25:32.700 We will keep fostering every small business that drives our GDP.

01:25:35.220 So we build special taxes.

01:25:37.580 Not on our families, not on our small businesses.

01:25:39.800 Not on our COVID, but providing small business.

01:25:43.620 You'll find it.

01:25:44.340 If you keep looking for it, you'll find it.

01:25:45.580 He says California is the best place to do business.

01:25:47.580 Where does it say?

01:25:48.780 The special mix of audacity, human capital, and creativity founded in California means there's literally no better place to do business.

01:25:54.420 Audacity is a great word.

01:25:55.580 It's the audacity of sacrament.

01:25:56.040 Can you imagine?

01:25:57.100 It's the audacity of Sacramento to tax and regulate businesses.

01:26:01.120 And he uses, you know, it's our audacity to be entrepreneurs and stuff.

01:26:04.860 You don't know anything about entrepreneurs.

01:26:06.040 You've got the audacity to tax and regulate and chase them out.

01:26:08.860 I mean, let's speak it.

01:26:09.780 And look, he was talking about, we have the ability to create the California for business and jobs and everything.

01:26:15.160 You know what he sounds like?

01:26:16.240 He sounds like Tennessee, right?

01:26:18.620 We have the ability to build this.

01:26:20.120 Wait, you did build it.

01:26:21.540 You were the golden state.

01:26:22.960 You were, you know, California put the man on the moon.

01:26:25.640 You screwed up.

01:26:26.280 Yeah.

01:26:26.740 You fumbled the opportunity.

01:26:29.160 We have the opportunity to create this.

01:26:30.860 What's with the vision?

01:26:31.720 Somebody told him, hey, your speech has got to have vision.

01:26:33.860 A lot of vision.

01:26:34.380 A lot of vision.

01:26:35.260 You know, you have to be positive.

01:26:36.560 You've got to be assertive.

01:26:37.520 You have to show leadership and vision.

01:26:39.520 And then everything you say now is going to, you're going to get memed to death.

01:26:43.280 This guy already has 1.9 recall votes.

01:26:45.780 And they say 30% of them are from moderate Democrats.

01:26:48.540 And what did Yahoo News say?

01:26:49.840 What did Yahoo News say about him and Florida?

01:26:52.740 Oh, yeah.

01:26:53.260 That closer inspection, California actually did better than Florida did on the COVID thing.

01:26:59.480 And then Yahoo News picks up like two sets of stats to put in there that did show a reflection.

01:27:04.320 But what are they really doing?

01:27:05.720 It's Yahoo News and liberal media supporting their guy, the guy that wears their jersey, you know, and trying to pick on Florida and DeSantis a little bit because he wears the other jersey.

01:27:16.580 I'm not sure if you understand, though, Tom, because Francisco in Fresno, he received $5,000 to reopen his pastry business after being closed for six months.

01:27:24.800 I mean, he's sad.

01:27:25.860 He's good.

01:27:27.620 Wow.

01:27:27.980 That's sarcasm, right?

01:27:28.700 Guys.

01:27:29.180 And by the way, what Kai just read, Newsom actually said that.

01:27:33.740 Are you cringing?

01:27:35.740 Is anybody else cringing when you see that?

01:27:37.220 Oh, that's why he said it.

01:27:38.480 That's why it's so pathetic.

01:27:39.700 He's right.

01:27:40.660 When I was looking at this, I'm like, you got to be.

01:27:42.780 He said this two days ago.

01:27:43.820 And I'm like, oh, my gosh.

01:27:44.500 Like that's a case example of how businesses are succeeding during COVID.

01:27:46.420 He's trying to say what a great.

01:27:48.540 Do you know how many we are?

01:27:49.680 We are still 25% to 30% of the state of California.

01:27:52.700 I cannot tell you how many.

01:27:54.600 Yesterday I had a call with a couple that Chris and Mary had a call with them.

01:27:58.920 You know the call I had, Sam, we were setting up, Chris and Mary, the Zoom I was doing.

01:28:03.420 And I'm talking to them.

01:28:04.620 They're from San Diego.

01:28:06.040 They've been there their entire lives.

01:28:07.320 They love San Diego.

01:28:08.360 They don't want to go anywhere else.

01:28:09.300 They've never lived anywhere else.

01:28:10.840 You know what she said?

01:28:11.840 She said, I'm worried.

01:28:12.900 They have, I think, seven kids.

01:28:14.860 I'm worried.

01:28:15.280 Seven kids.

01:28:15.680 Seven kids.

01:28:16.480 I said, why are you worried?

01:28:18.020 Because I've never lived in another place.

01:28:20.100 I've never moved to another place.

01:28:22.000 I don't know where to go.

01:28:23.240 This is all I know.

01:28:24.200 And I said, I totally understand.

01:28:25.420 I said, for me, it's not a big deal because I lived in Iran, I lived in Germany, I lived in L.A., I lived in South Carolina, I lived in Kentucky, Tennessee, Dallas, Florida.

01:28:33.520 I'm good because if you push me out, I'm going to another place.

01:28:38.120 I love America.

01:28:38.900 I fight to make sure these freedoms stay put because I don't want to go anywhere else.

01:28:44.060 I would like to stay in this great country.

01:28:45.980 I served in this country's army.

01:28:47.720 I love this place, right?

01:28:50.220 What's the point there?

01:28:52.000 Call ends.

01:28:52.460 But we can't stay here longer because California is just constantly challenging us, constantly making it difficult.

01:29:01.780 The other day, I'm driving on the freeway and I see a guy who's changing his tire.

01:29:06.840 I see a CHP giving him a ticket.

01:29:09.780 I can't see.

01:29:10.280 And he's just going through all these stories that he's telling me here.

01:29:12.760 And you've got a Newsom going out there telling a story about California is the best place to do business.

01:29:17.660 The reason why DeSantis and Abbott are winning is because of ludicrous, stupid statements being made by a guy like that in the state of California.

01:29:26.880 That's why DeSantis and Abbott are winning on paper with business, with small business owners.

01:29:33.560 And a guy like that is destroying small businesses and is thinking there's no way people – the pompous, the arrogance.

01:29:40.580 No one will leave California.

01:29:42.880 Nobody will leave California.

01:29:44.360 Look, we've been around the block.

01:29:46.260 What happens to arrogant people?

01:29:47.560 What happens to them eventually?

01:29:49.200 You can't go around walking around thinking you're infamous and somebody cannot – you're so powerful that somebody cannot knock you out.

01:29:56.340 Nobody is untouchable.

01:29:57.400 Nobody is untouchable.

01:29:59.400 Nobody is untouchable.

01:30:02.100 Nobody is untouchable.

01:30:03.740 And that includes the state of California.

01:30:05.260 Anyways.

01:30:05.780 Even Elon Musk is untouchable.

01:30:07.920 Elon Musk is not untouchable.

01:30:10.380 This is why I brought it up in the last podcast saying Elon Musk could be the target of the federal government and Twitter because he's becoming too powerful.

01:30:19.660 They don't like one individual getting too powerful.

01:30:22.600 If he becomes too powerful through – you said 37%.

01:30:26.180 What was the number?

01:30:26.880 37% – where are we at here?

01:30:29.240 Let's just go to it.

01:30:30.200 Right.

01:30:30.320 37% of – Kai, am I missing the story here or where is it at?

01:30:35.360 Let me see.

01:30:35.780 First of all, he lost $25 billion.

01:30:37.120 Is it page one?

01:30:38.840 Yeah.

01:30:39.000 37% of Americans in a recent online survey said they've made trades based on Elon Musk's tweet.

01:30:43.640 That's out of 30,400 responders.

01:30:46.160 They said, yes, we responded to his tweets and we invested in what he did.

01:30:49.980 16% said that invested many times based on Tesla CEO's tweets.

01:30:54.020 Nearly half of a responder said they found Musk's market move in tweets quite amusing.

01:30:58.900 In August 2018, Musk got himself in trouble with the U.S. Securities and Exchange Commission after tweeting about taking Tesla private.

01:31:05.240 It said he had funding secured.

01:31:06.720 Recently, his tweets about GameStop had drawn the IRA Bill Gross who made an ill-time bet against GameStop in January and caused them to lose much.

01:31:14.800 $15 million at one point.

01:31:16.380 Musk is a little devil and he enjoys playing these games, Gross said about him last month.

01:31:21.440 So, you know, guys like him got to be a little bit careful.

01:31:24.900 But, Tom, why don't we go into the story that you want us to go into, which is a SpaceX story, okay?

01:31:28.880 Elon Musk's SpaceX now owns about a third of all active satellites in the U.S.

01:31:36.260 SpaceX created a swarm of about 1,000 satellites that is circulating about 340 miles overhead for some early customers of $99 a month.

01:31:44.980 Starlink service.

01:31:45.780 The satellites are already improving how rural communities access Internet.

01:31:51.720 More Starlink satellites were put in orbit last year than had been launched by all the rocket providers in the world in 2019.

01:32:00.280 That is insane.

01:32:02.140 SpaceX has promised its satellite clusters.

01:32:05.040 We'll bring cheap, high-speed Internet to the masses by beaming data to every corner on the globe.

01:32:09.940 The company now says it has roughly 10,000 customers, which proves that Starlink is no longer theoretical and experimental.

01:32:17.200 Fiber optics-based Internet providers are against HIT and are pushing back against the federal government's decision to award SpaceX nearly $900 million in subsidies.

01:32:27.520 Tom, thoughts?

01:32:29.320 There is always a mission behind the mission for Elon Musk.

01:32:33.560 You know, I did a case study two years ago, and I said that I thought Tesla was an energy company.

01:32:38.760 And now everybody's coming, guess what?

01:32:40.900 You know, popular media and press are getting behind that.

01:32:44.160 And I pointed out, I said, look, the infrastructure to charge Tesla is going to become an industry, and it's valuable unto itself.

01:32:50.400 The Powerwall and everything they've done, especially when you look at high-energy cost states like Hawaii.

01:32:55.340 Here's what I think is happening here.

01:32:56.900 SpaceX.

01:32:57.700 Oh, he wants to send somebody to Mars.

01:32:59.360 Oh, he wants to make money launching things for other people.

01:33:01.960 No, it's a communications company.

01:33:04.560 Just like Tesla is an energy company underneath, I think SpaceX is a communication company underneath.

01:33:08.720 He is passionate about education, and he is passionate about communication.

01:33:13.500 I think that's what's under SpaceX.

01:33:15.060 That's what I think is going on.

01:33:17.440 Telecommunications.

01:33:18.180 That's behind the scenes what's going on here.

01:33:19.800 Yep.

01:33:20.220 Look, he's building a network.

01:33:21.780 He wants to have free education out there for the average person.

01:33:25.720 He's got a big heart for the average person living in a rural community to have connectivity to the Internet and the education background to do that.

01:33:33.420 That's what I think is going on.

01:33:34.420 So, here's my question to you as a business owner, and this is the part that stuck to me.

01:33:39.940 Obviously, it's ridiculous that one-third of all satellites in space is from Elon Musk.

01:33:45.420 Like, what?

01:33:46.740 Here's my question to you as a business owner.

01:33:48.520 It says, Musk noted in a tweet that the company needs to, quote-unquote,

01:33:52.700 pass through a deep chasm of negative cash flow over the next year or so to make Starlink financially viable.

01:34:00.340 From a business owner, what does that mean?

01:34:01.540 That you need to spend money in order to make money?

01:34:03.860 What's your take on that specific sentence?

01:34:05.760 It's nothing new.

01:34:06.640 That happens to a lot of people.

01:34:08.280 It means I'm a startup, and I'm going to build through it.

01:34:10.360 It's a no-brainer.

01:34:12.020 He has to do that.

01:34:12.860 It's a normal concept for where he's at.

01:34:15.860 It's what people had to go through with him in Tesla.

01:34:18.100 It's what people had to go through with Amazon and Bezos.

01:34:20.520 It's what people had to go through.

01:34:22.640 That's been around for a while.

01:34:23.920 And here, you're not betting on the company.

01:34:25.820 You're betting on Elon to be able to pull this off.

01:34:28.380 So, explain that a little bit further.

01:34:29.660 When you said, oh, it's a common thing, and that's why I kind of set you up for this, what does that mean exactly?

01:34:32.900 So, when you're starting a business, you understand that you're going to take some deep losses.

01:34:36.340 You need to invest, and you're going to lose millions or invest millions in order to come out on the other side three to five years later to make $10 million, $100 million, whatever the number.

01:34:46.060 What's that business model?

01:34:47.060 How does that go?

01:34:47.340 How many times have you seen one of the rockets he launches explode?

01:34:50.440 How many times have you seen it now?

01:34:51.420 I've seen it a few times.

01:34:52.340 How many times is it?

01:34:53.560 Seriously, we've seen it many times, right?

01:34:55.620 What's the big deal nowadays?

01:34:56.920 Nothing.

01:34:57.740 And do you see how he handles it?

01:34:59.600 Let me get this straight.

01:35:00.280 You run a company that, you know, sends rockets into space, and failing is what?

01:35:09.380 Part of the process.

01:35:10.280 An explosion.

01:35:11.600 And he says, ah, okay.

01:35:13.340 All right, next one.

01:35:14.500 It's not like, it's the end of the world.

01:35:16.420 This guy's got rockets exploding left and right, and it's just like going off to the next one.

01:35:20.020 Because in his mind, it's like, I'm going to figure this thing out.

01:35:22.720 You ain't got to worry about it.

01:35:23.480 I'm going to figure this thing out.

01:35:25.100 My only concern is go back to a time where one individual has had as much power and influence as he does,

01:35:34.980 and their name wasn't starting with a president.

01:35:37.660 Tell me the last time an individual had more power and influence than Elon Musk does today,

01:35:47.700 and their name didn't start with president.

01:35:49.180 Tell me when was the last time.

01:35:50.560 John D. Rockefeller.

01:35:51.420 I disagree.

01:35:52.400 I fully disagree with you guys.

01:35:54.080 Because he didn't have the power of Twitter?

01:35:55.640 Guys, there is no social media with Rockefeller.

01:35:57.960 What are you talking about?

01:35:58.800 Rockefeller would write a story.

01:35:59.980 It took you two weeks to read about it.

01:36:01.760 He would send a tweet.

01:36:03.080 It took a month to find out about it.

01:36:05.140 China didn't find out about what Rockefeller said for two months.

01:36:07.820 How are you going to find out about the news?

01:36:09.000 There's no way to send it to you.

01:36:10.500 This guy says something, boom, like this.

01:36:13.420 People go on, you know, short trade, e-trade, their website, markets,

01:36:17.640 and they buy stocks, and they go on Robinhood.

01:36:20.460 So we are officially at a phase where individuals can have more power than countries.

01:36:27.200 And this guy is getting to a point right now.

01:36:29.200 Who has more influence right now for people to take action?

01:36:31.740 If Joe Biden tweets tomorrow, go buy Walmart stock, how many people buy it?

01:36:35.780 Maybe like four.

01:36:36.780 Now, everybody shorts it.

01:36:37.760 If Elon Musk tomorrow, if Joe Biden says tomorrow, hey, you know what?

01:36:44.020 Here's what I think about Dogecoin.

01:36:45.840 And we're like, dude, you don't know.

01:36:47.020 Who sent this tweet?

01:36:48.040 Like, can you?

01:36:48.560 We want to know the staffer.

01:36:50.360 But he would call it DoggyCoin, and he would actually call Walmart Kmart.

01:36:54.020 So let's remember.

01:36:54.580 We're talking about Byron.

01:36:55.040 That's a good point.

01:36:55.820 But if this guy goes out there and sends a tweet, who responds to it?

01:36:59.760 The entire world stops.

01:37:01.180 Apparently, 37% of Americans are making trades based on an Elon Musk tweet.

01:37:05.200 That concern, we're about to find out how, you know, there was a book written just with all of Trump's tweets.

01:37:14.560 It's a book.

01:37:15.780 You go buy the book.

01:37:17.040 It's all of his tweets in a book, and it was a bestseller.

01:37:20.300 It's a book with his tweets, okay?

01:37:22.860 And it explains the timing of the tweets.

01:37:25.460 Trump was able to get world's attention with one platform, okay?

01:37:29.120 Now, some may say this guy's taking it to a whole different level, Elon Musk, the kind of influence that he's having right now.

01:37:34.740 Because if you think about Trump's influence wasn't go buy real estate in New York.

01:37:39.440 Trump's influence wasn't go buy the stock.

01:37:41.380 That wasn't Trump's influence.

01:37:42.520 Trump wrote a book called what?

01:37:43.580 Art of the Deal, right?

01:37:44.520 And it did very well and bestseller for many, many years.

01:37:47.440 Trump had a TV show.

01:37:48.400 Trump was entertaining.

01:37:49.360 Trump was making money.

01:37:50.260 Trump was doing all that stuff.

01:37:51.560 But Trump wasn't telling you where to go invest your money.

01:37:56.240 Trump played a political game.

01:37:58.400 He put a one-page ad in, you know, President Bush going to war, not the right decision.

01:38:02.080 And he put that, I don't know what newspaper it was in, New York Times or Wall Street Journal.

01:38:05.480 He put in one of those.

01:38:06.480 He played, for the longest time he was involved in politics.

01:38:10.300 This guy's influencing other industries.

01:38:13.440 So we're about to learn what happens to an individual who has this much power.

01:38:18.420 And recently he comes out saying he supports free education, but not the kind of free education of $50,000 to discount it.

01:38:26.500 He gives $5 million to Khan Academy, a generous $5 million donation to Khan Academy.

01:38:30.820 Khan Academy, I think he started his YouTube channel helping his niece or something do homework.

01:38:35.980 It's a simple story.

01:38:36.820 Now he supports free education, but not free education as in scholarships.

01:38:42.060 Free education as in you could go to a YouTube channel and take geometry.

01:38:46.080 You can go to this one place and learn about the history of this.

01:38:48.680 You can go to this one place for free and learn about coding.

01:38:51.560 He is hurting a lot of industries.

01:38:55.920 He is hurting a lot of companies.

01:38:58.340 He is taking business away from a lot of powerful people.

01:39:02.680 And I'm just wondering at what point is there going to be a meeting behind closed doors of all the people that he's putting to work.

01:39:09.700 There's nothing more annoying than you're somebody that's making $10 million every year and you've been kicking back for 15 years golfing seven days a week.

01:39:17.440 You're just chilling.

01:39:18.940 You go to the restaurants, Mr. whatever your last name is.

01:39:22.180 And then all of a sudden a guy shows up where you have to get back to work and you haven't worked for 20 years.

01:39:26.540 People don't like people like that.

01:39:28.120 Behind closed doors, those people are hated.

01:39:30.400 I have a bit of an experience in that myself personally.

01:39:33.240 Elon's taking that to a whole different level.

01:39:35.100 He is hated because he's putting a lot of his competitors back to work of having to show up to office early again because he's not stopping.

01:39:43.460 So how long will this last?

01:39:45.540 I have no idea.

01:39:46.900 I have no idea.

01:39:47.760 So it doesn't sound like you guys have an opinion on that.

01:39:50.220 Do you think there's a simulation between Reed Hastings and Elon Musk in the sense that they disrupted big industries and blazed the path?

01:40:07.060 No.

01:40:07.900 Reed Hastings is not Elon Musk.

01:40:09.600 Reed Hastings is just a guy that destroyed, hurt an industry.

01:40:13.620 How many of the Grammy Awards went to Netflix?

01:40:15.680 Was it 17?

01:40:16.320 I don't know what it was.

01:40:16.960 The number was just ridiculous, right, and where a Gervais, what's his name, Ricky Gervais, goes up and says, you know, forget about who are you guys?

01:40:24.660 You guys are nobody.

01:40:25.360 Everybody's calling Netflix, and he said if the, what did he say, if the ISIS was to come out with a new streaming service, you would be calling your agent to say, get me on that streaming service to get a contract with them, right?

01:40:35.540 Meaning you're selling your soul to anybody.

01:40:37.460 So, no, what Netflix did is one industry.

01:40:40.460 He's not doing one industry.

01:40:42.120 He is not touching one industry.

01:40:44.020 He's touching five, ten, fifteen, twenty industries.

01:40:47.900 He is going to collectively piss off a lot of people, and those people that he pisses off, their expertise is to have paid off a politician in the back where no one knows about, and those politicians own, owe those people a lot of favors.

01:41:02.280 And I don't know what's going to happen there.

01:41:03.520 Honestly, I don't know what angle they're going to take with them.

01:41:05.600 Well, what's really interesting, you're bringing up something very interesting, and I think we have to peel it back a little bit and take a look.

01:41:09.520 Both SpaceX and Tesla have something in common.

01:41:11.880 They have federal subsidies on their products.

01:41:14.880 And so you've got the fiber up.

01:41:15.560 Nine hundred million.

01:41:16.700 Correct.

01:41:17.080 SpaceX, that's right.

01:41:18.100 SpaceX, a billion dollars isn't a big number from the government, but that's very, very real.

01:41:23.240 And so the rural education play and the satellite play for rural Internet has got a billion dollars of subsidies.

01:41:30.560 Meanwhile, you've got these guys, Time Warner and people like that, Verizon, putting fiber optics in the ground, are getting really pissed off by that.

01:41:37.020 And as we all know, there's still, you know, what, $15,000 of federal subsidies in every electric vehicle.

01:41:45.120 So, you know, when you add up the battery and all the parts and everything that goes in it and actually the end price.

01:41:51.000 And so there's, you know, there's a lot of government that is lined up in the U.S. with Elon.

01:41:57.580 And so the question is, does the lobbying go the other way and have it shift?

01:42:00.980 And that's what I look for.

01:42:01.860 I look for when does Elon start to lose the support of the government in the form of these subsidies?

01:42:06.300 Because he's got some friends somewhere and they're helping us.

01:42:09.560 Who has some friends somewhere?

01:42:10.340 Elon.

01:42:10.840 They're giving subsidies from the government.

01:42:12.780 Somebody's been part of a meeting that says, hey, you know what, here you go.

01:42:16.620 You know who are the scariest people I've ever competed against?

01:42:19.500 You know what people I actually fear when it comes down to competition?

01:42:23.560 People who have…

01:42:24.620 The regulated people that have the support of the government.

01:42:27.120 No, no, I'm going to tell you, the scariest people you'll ever face in your lifetime that could ruin you and are willing to do whatever they can to hurt you is lazy, ambitious people.

01:42:37.960 Yeah.

01:42:39.020 Lazy, ambitious people are the most dangerous people you'll ever go up against because they're lazy, but they're ambitious.

01:42:45.240 They're not willing to do the work that you're doing to get the success you're getting, but they still have your level of ambition, if not higher.

01:42:51.540 Lazy, ambitious people are great manipulators and game players.

01:42:55.380 Phenomenal at it.

01:42:56.100 So meaning what?

01:42:57.860 How many people does Elon face today who are lazy, ambitious people, who were at one point somebody 20, 30 years ago or 15 years ago who are now ambitious still, but very lazy?

01:43:08.080 How many?

01:43:08.580 You just described most of the auto industry.

01:43:11.000 I just described most of the auto industry.

01:43:12.660 I just described most of the politicians.

01:43:14.040 I just described most of the people that are in the financial industry.

01:43:16.320 I just described a lot of people who made their money.

01:43:19.180 They just don't want to get to work.

01:43:20.720 His number one enemy is not the SEC.

01:43:24.040 It's lazy, ambitious people.

01:43:25.920 The lazy, ambitious people are who are the ones that are going to make his life a living kill.

01:43:29.500 You know what's the crazy thing about lazy, ambitious people?

01:43:31.720 You rarely know.

01:43:33.180 They start it, but they know and say, oh, he did it.

01:43:35.940 That's the secret sauce of lazy, ambitious people.

01:43:38.180 I don't know if that made sense or not.

01:43:39.340 So they go behind closed doors and they know how to do.

01:43:43.020 Did you hear about what that person said about you?

01:43:45.020 Oh, look, I got it.

01:43:46.040 I mean, let me tell you what I did.

01:43:47.140 I defended you.

01:43:47.920 I got a call from a guy saying, hey, the other day I was this place and they said this about you.

01:43:51.820 But let me, I said, I said, first of all, why are they so comfortable to talk smack about me in front of you?

01:43:56.340 The whole line that Jay's uses in his song.

01:43:58.020 Why are they so comfortable to talk smack about me in front of you?

01:44:00.520 Maybe you gave them that comfort that they can talk smack about me in front of you.

01:44:03.180 So maybe you joined the club of let me have them trash our buddy here.

01:44:07.040 So the lazy, ambitious people behind closed doors, they know how to put the thing together.

01:44:11.520 And they say, oh, you know what he said about you?

01:44:14.480 And they're like, oh, I did it.

01:44:17.080 Responsibilities off them.

01:44:17.920 So they still stay close allies and they put it on him.

01:44:21.320 But they started a whole thing.

01:44:22.700 He's giving birth to a lot of people like that.

01:44:25.320 Work smart, not hard.

01:44:27.540 Because, okay, do you think they're going to let this guy be worth a trillion dollars in the next five years?

01:44:31.920 Do you think, to the point where he says this, okay, you don't want to give me the subsidies of $900 million?

01:44:37.800 I don't care.

01:44:38.640 I got $900 million.

01:44:39.780 Don't give me the subsidies.

01:44:41.280 I'm worth a trillion dollars.

01:44:42.880 Then all of a sudden they're going to say, oh, shit, he no longer needs us.

01:44:45.520 You know what?

01:44:46.100 Boom.

01:44:46.640 Lock him in.

01:44:48.100 People like Elon Musk, typically, the lazy, ambitious people get very scared of people like Elon.

01:44:56.620 Because Elon doesn't know how to what?

01:44:59.660 How to stop.

01:45:00.580 He's not going to stop.

01:45:02.080 He's not trying to be a billionaire to live in a big-ass house.

01:45:05.180 That comes with it.

01:45:06.440 He's not trying to go date all the hot girls.

01:45:08.380 He's already had plenty.

01:45:09.640 Everybody wants to find out what this guy's like.

01:45:11.720 He's not trying to go have dinner with the cool people.

01:45:14.260 He's done it so many times.

01:45:16.060 He wants to change the world.

01:45:17.800 World changers scare the hell out of lazy, ambitious people.

01:45:21.660 There's not that many people at this level.

01:45:23.480 They're some of the most.

01:45:26.320 Remember how the same way I said lazy, ambitious people are the people you fear because they know how to behind-closers ruin the game?

01:45:32.700 You know who lazy, ambitious people fear the most?

01:45:34.680 Ten times more?

01:45:35.880 Hard-working, ambitious people.

01:45:37.160 They're frightened and envious of Elon Musk's type of people.

01:45:40.800 Envious.

01:45:41.220 Because they have that moxie.

01:45:42.420 They go to sleep every night saying, I actually think this guy's going to pull it off.

01:45:45.620 And what if he pulls it off?

01:45:46.520 And everybody's going to realize that I was wrong.

01:45:48.100 And I'm going to lose face.

01:45:48.900 And I'm going to do this.

01:45:49.500 I can't let that happen.

01:45:50.340 Let me see what I'm going to do.

01:45:51.060 They go to sleep all night long to try to stop that person.

01:45:55.180 Guess who the world favors, by the way?

01:45:57.880 The world favors?

01:45:58.840 Guess who history favors?

01:46:02.080 You're saying not the Musks?

01:46:03.480 History favors the bold, baby.

01:46:05.980 History favors the bold.

01:46:08.120 And that's Elon Musk.

01:46:09.460 History favors the bold.

01:46:11.020 That's why we keep giving birth to new Elon Musk.

01:46:14.020 So, dude, more power to you.

01:46:16.920 Go do it.

01:46:17.860 Just, I hope he doesn't get a little out of control.

01:46:21.060 Where he creates enemies that he doesn't need to create.

01:46:23.660 You're going to create enemies.

01:46:24.560 Just don't create enemies that are unnecessary enemies to create.

01:46:28.440 Speaking of birth of Elon Musk, do you know how many kids he has?

01:46:32.260 Five.

01:46:33.040 You knew that?

01:46:33.720 Yeah.

01:46:34.220 Okay.

01:46:34.640 Do you know the breakdown of the kids?

01:46:36.980 I think with the first one was four.

01:46:39.560 Was it, huh?

01:46:42.040 Yeah, a little fun fact.

01:46:43.500 You said birth.

01:46:44.280 He's got, now he has six kids now.

01:46:47.180 Okay.

01:46:47.540 He had, he lost his first kid, I believe, with his first birth.

01:46:49.800 He never wants to talk about it.

01:46:51.120 Yeah.

01:46:51.500 He has two twin boys.

01:46:53.220 Yep.

01:46:53.720 Then he had triplets.

01:46:55.840 So, five boys.

01:46:56.840 And now he has a six boy with the musician Grimes that he named the kid, some A, X, A, E,

01:47:03.860 whatever.

01:47:04.640 But do you know one of the triplets' names?

01:47:06.480 The youngest triplet?

01:47:07.400 Or the youngest triplet?

01:47:08.300 Nicola?

01:47:08.860 What is it?

01:47:09.740 Kai.

01:47:10.740 Oh, that's cool.

01:47:12.120 Kai, did you know that?

01:47:13.560 You didn't know that?

01:47:14.160 There you go.

01:47:14.420 You could be the son of Elon Musk.

01:47:18.960 There it is, buddy.

01:47:19.320 It's not, you could be.

01:47:20.220 Maybe he is.

01:47:21.100 Maybe he is.

01:47:21.480 We just don't know about it.

01:47:22.400 Yeah, yeah, yeah.

01:47:23.320 Maybe he's been planted here to support Elon Musk.

01:47:25.440 Well, anyway, I thought that was very interesting.

01:47:27.180 All boys, twins, triplets, and now a kid from outer space.

01:47:32.260 I like what you just did.

01:47:33.140 It's like when I talk to Tico and Dylan sometimes, I'm like, guys, let me tell you about the history

01:47:36.440 of what happened here.

01:47:37.180 But, Dad, do you know in Minecraft how many different things you can build?

01:47:42.020 We just got to, we just went to a different direction.

01:47:45.760 So, you're not worried about it, it sounds like, because you think everything's going to

01:47:49.680 be okay with Elon.

01:47:50.400 No one's going to bother him.

01:47:51.260 The lazy, ambitious army is not going to unite and go after Elon.

01:47:53.380 No, look, there's a reason here why we've got, you know, 10 pages of stories, whatever,

01:47:58.560 and four of the pages are about Elon frickin' Musk.

01:48:02.380 The guy's a financial rock star, and he's otherworldly.

01:48:05.860 And even his newborn baby is named after a solar system or something.

01:48:10.540 How much money do you need to live comfortably in every state in America today?

01:48:13.380 Kai, you want to pull up the story?

01:48:14.460 The median necessary living wage across the country right now is 67,690.

01:48:19.740 However, here are the top three states and the bottom three states.

01:48:24.620 The bottom three states, which one are you going to, the top three?

01:48:28.120 The most expensive states to live in in America, top three.

01:48:32.540 Can you guess who it is?

01:48:33.460 I'm curious enough if they can guess.

01:48:34.480 Can you guess what is the most expensive state to live in in America?

01:48:38.900 Kai, I want you to give a tweet on the last one before we wrap up.

01:48:41.280 That's what we're going to do with questions.

01:48:42.620 Not right now.

01:48:43.300 While I do this, we'll go to it.

01:48:45.000 Can you take a wild guess what's the most expensive state to live in in America?

01:48:48.180 Do you guys know what it is?

01:48:49.220 Most expensive.

01:48:50.280 You want to take a wild guess?

01:48:52.200 Take a wild guess.

01:48:53.100 What is the most expensive country to live in in America?

01:48:55.520 State.

01:48:56.160 State.

01:48:57.080 Does Hawaii count?

01:48:58.340 Okay, Hawaii's number one.

01:48:59.580 You're right.

01:49:00.260 Why would Hawaii not count?

01:49:01.600 Hawaii is one.

01:49:02.920 Can you go a little lower, Kai, so we can see it?

01:49:04.900 They put it as international.

01:49:05.800 Go a little lower.

01:49:06.700 Can you give it a lower name?

01:49:07.320 Hawaii is number one.

01:49:09.940 Well, then I'll just say it.

01:49:10.780 Hawaii is number one.

01:49:12.160 Then it's California.

01:49:13.060 You need $136,000 a year to live in Hawaii.

01:49:15.800 Okay?

01:49:16.660 Median.

01:49:17.400 Okay?

01:49:18.060 You need $99,971 to have an average, decent lifestyle in California.

01:49:24.320 You need $95,000 in New York.

01:49:26.360 You want the bottom three?

01:49:27.520 Here we go.

01:49:28.780 Mississippi is at the bottom.

01:49:30.520 You need $58,000.

01:49:33.100 You're going to be getting the VIP section at Applebee's and have an incredible, incredible

01:49:37.860 clam chowder soup with the chicken breast.

01:49:41.560 Then after that is Arkansas, a place I've been.

01:49:43.940 I've been to Arkansas.

01:49:44.920 It's right next door to us.

01:49:46.040 We've been there.

01:49:46.520 I've had a good time with my friends in Arkansas.

01:49:47.920 Arkansas, third lowest is Bama, Alabama.

01:49:53.900 Roll Tide.

01:49:54.600 That's it.

01:49:55.000 Roll Tide.

01:49:55.600 Yeah, that's right.

01:49:56.140 Nick Saban.

01:49:57.000 Alabama is third.

01:49:58.360 That's what it takes in America.

01:50:00.820 Hawaii won.

01:50:01.500 When we were in Hawaii, how many people kept coming to us saying, thank you so much for

01:50:06.440 doing your trip here?

01:50:07.520 Thank you so much for doing your trip here.

01:50:09.040 They were so happy bringing commerce tips.

01:50:10.400 It was unbelievable how grateful they were because homelessness in Hawaii took a massive

01:50:16.520 hit.

01:50:16.840 It wasn't a pretty sight in Hawaii on what happened there.

01:50:21.500 So it was exciting seeing there.

01:50:23.100 But again, folks, if you're thinking about going to Hawaii, make sure you're making over

01:50:26.040 $136,000 before you make that move because you need $136,000 to live in Hawaii before

01:50:33.160 we wrap up.

01:50:34.180 Can I say one thing?

01:50:35.160 Yeah, go for it.

01:50:36.040 We're not knocking Hawaii.

01:50:37.460 There's two reasons for it.

01:50:38.360 No, we are knocking Hawaii.

01:50:39.260 I just want to make sure we're very clear about it.

01:50:40.420 There's just two simple reasons for it.

01:50:41.320 They're quick.

01:50:41.680 Energy is very expensive to make there and it costs you a lot for energy, number one.

01:50:45.020 And number two, shipping cost.

01:50:46.300 Everything is shipped to Hawaii.

01:50:47.700 So you're not getting screwed in Hawaii on pricing.

01:50:50.040 It's just the cost of bringing milk, food, all kinds of things to Hawaii is huge.

01:50:55.120 So you're paying for shipping costs to get all that stuff to Hawaii so you can enjoy the

01:50:58.460 island.

01:50:58.900 And then making energy on the islands is very expensive.

01:51:02.120 And that's the two reasons.

01:51:03.140 When you add up those two things, that makes Hawaii very expensive.

01:51:05.920 I think this is also a good kind of goes to show that raising a minimum wage, a flat minimum

01:51:12.400 wage doesn't make sense because it's quite different medium incomes that you need to

01:51:17.560 live in Hawaii versus Alabama or Mississippi.

01:51:21.140 Very good point, Kai.

01:51:21.940 How are they defining live comfortably?

01:51:24.760 Because that's what this whole premise is.

01:51:26.100 This is the amount of money you need to live comfortably.

01:51:28.880 Do they define what living comfortably means?

01:51:34.400 Well, maybe it's not at your level.

01:51:36.600 You know, like, you know, I know you have a bone and ribeye every night and, you know,

01:51:41.100 they're talking about normal people here.

01:51:43.000 By the way, just so everybody knows, I love Hawaii.

01:51:46.820 And we just took 450 people to Hawaii.

01:51:49.760 They treat us royally when we go to Hawaii.

01:51:52.960 Let's do a shout out.

01:51:54.060 Shout out to the people that are working.

01:51:56.240 Do a song.

01:51:56.700 Do a song.

01:51:57.100 No, the people that are working in Kaplani and Lahaina and especially the staff of the

01:52:01.880 Hyatt Regency in Maui.

01:52:03.580 We do a shout out for them.

01:52:05.300 They were just so hospitable, so pleasing, so glad for us to be there.

01:52:10.660 And, you know, our guys, you know, tipped them out, took care of them, gave them a lot

01:52:13.880 of encouragement, and just thank you to that whole side of Maui that entertained us.

01:52:19.060 Agreed.

01:52:19.420 Last story here.

01:52:20.580 Kai, did you come up with anything or no?

01:52:22.380 Any tweets that you want to bring up?

01:52:23.820 If not, I'm going to go into the China story.

01:52:26.360 Last story.

01:52:27.660 China is behind a huge cyber attack of Microsoft.

01:52:29.880 Microsoft is in the middle of a cyber attack, cyber crisis right now.

01:52:32.920 Hackers targeted weaknesses in Microsoft Exchange service, which is used by small and

01:52:36.740 medium-sized companies.

01:52:38.100 The attack allowed hackers to access the email accounts of at least 30,000 organizations in

01:52:42.560 the U.S. and has affected hundreds of thousands of Microsoft customers around the world.

01:52:46.100 Microsoft flat out said the hack came from a group tied to the Chinese government called

01:52:49.620 Hafnium.

01:52:50.960 The Biden administration is launching an emergency task force to address this aggressive cyber

01:52:55.000 attack, the second major hacking campaign to hit the U.S. since the election, as this

01:52:59.320 comes on the heels of SolarWinds, a separate series of sophisticated attacks attributed to

01:53:04.000 Russia that breached about 100 U.S. companies and nine federal agencies.

01:53:08.160 Tom, thoughts?

01:53:08.820 We are living in a Cold War now, and it's being fought in digital pipes.

01:53:16.340 It's as simple as that.

01:53:17.780 And China and Russia are trying to assert themselves as the new duopoly of world power, and they're

01:53:24.680 going after things that matter.

01:53:26.080 And so if anybody doesn't think that we're in a Cold War right now, they're not paying

01:53:29.920 attention.

01:53:30.640 We may not be putting pushing missiles in Germany to take down the Berlin Wall and things like

01:53:35.480 that.

01:53:35.980 But we are in the middle of a Cold War, and people need to pay attention to it.

01:53:40.100 Yeah, we brought it up on the last podcast that, you know, I think it was with Danielle

01:53:44.140 DiMartino Booth.

01:53:44.940 And I said, look, we've been talking about China.

01:53:46.580 We're talking about China.

01:53:48.200 At what point are we like, is it like the alarm bells are going to go off?

01:53:52.220 You know, Trump kind of signaled some of the alarms with the trade war, but that was

01:53:55.920 more about soybeans than actual intellectual property.

01:53:59.240 But the CCP, you know, they are enemy number one.

01:54:04.240 And we've addressed it, and I'm kind of just hitting this home and hitting this home.

01:54:08.300 This is enemy number one.

01:54:10.520 And we talked about it last time that the problem in America right now is that we're

01:54:15.700 fighting amongst ourselves, and we have to rectify that, come to terms with that, and

01:54:21.120 start fighting against who our real enemy is, which is China coming after everything we

01:54:26.620 got.

01:54:26.840 So yesterday, I talked to the former director of CIA, James Wolsey.

01:54:30.860 I had him on, okay?

01:54:32.740 Big name back in the day.

01:54:34.100 Big name back in the day.

01:54:35.080 He was hired by Bill Clinton.

01:54:36.520 He was a director of CIA.

01:54:37.540 If you remember, the one individual that we had was a former CIA agent of 31 years that

01:54:44.020 turned against U.S. and the espionage.

01:54:46.900 What was his last name?

01:54:47.880 Amit, or I can't think of his last name.

01:54:51.140 And he turned against the U.S.

01:54:52.780 And he was a director of CIA when that even took place, okay, back in 1994, I want to

01:54:57.440 say, February when that came out.

01:55:00.440 And then it led to James Wolsey right there.

01:55:02.000 Aldrich Ames, who was a former CIA agent that ended up becoming a KGB spy and helped out for

01:55:08.580 them and shared a lot of intel with them, right?

01:55:10.640 So we talked about different countries, and he brought up China, and he brought up Russia,

01:55:15.920 and we brought up, you know, a bunch of different things that we're talking about.

01:55:18.580 I said, what's your biggest concern and threat that we have right now on how they can attack

01:55:23.920 us?

01:55:24.120 Give me a creative way.

01:55:26.040 He said the electromagnetic pulse, EMP, right?

01:55:30.740 It was the first time this was ever brought up in a debate was by Newt Gingrich.

01:55:35.220 When in 2011, 2012, in a presidential debate, they asked, what is the biggest threat that

01:55:39.000 we should worry about?

01:55:40.200 He said, EMP, electromagnetic pulse, and everybody was like, oh, let me go to Google.

01:55:44.680 What the hell is an EMP, right?

01:55:46.380 So, look, you know, you notice two stories.

01:55:54.020 Russia targets what?

01:55:55.440 Twitter.

01:55:56.740 China targets who?

01:55:58.220 Microsoft.

01:55:58.680 Microsoft, okay?

01:56:00.560 And what is the real long-term ramifications, control, threat if somebody decides to?

01:56:07.900 Because what an EMP is, they drop it a mile above you, and it kind of explodes, but it's

01:56:15.160 not a bomb.

01:56:15.820 It's not anything.

01:56:16.940 And all of a sudden, it takes out all your electric powers, all the plants.

01:56:22.320 Go ahead, Tom.

01:56:22.580 Remember Ocean's Eleven?

01:56:23.640 Yeah, exactly.

01:56:24.060 At the very end.

01:56:24.440 It was a small glimpse of it.

01:56:25.360 Yeah.

01:56:25.620 When Don Cheadle's up there with that big old big battery, and he covers up his manhood

01:56:31.100 and presses the button, that's an EMP.

01:56:33.080 It takes out all the electricity in the entire town of Las Vegas, so this can take it out

01:56:38.240 in the entire country if they want it to, right?

01:56:40.480 EMP.

01:56:41.360 So, remember how I said, you know, what can Russia really do to Twitter if they really

01:56:47.240 wanted to?

01:56:48.240 Some of these empires, they're not held accountable to U.S.

01:56:51.280 It's not like their accountability is to them.

01:56:53.620 What can they do, and who can they blame?

01:56:55.500 What, are you going to pull them over, give them a ticket?

01:56:56.760 There's no cops on your national scale like this.

01:56:59.900 I think things are getting very interesting.

01:57:02.020 I think things are getting very, very interesting.

01:57:04.300 And by the way, none of this stuff is new.

01:57:06.460 None of it is new on what's going on, but is it about to get to a level where, you know,

01:57:12.340 some crazy stuff's going to happen, where we're going to get a real, real experience

01:57:16.980 of what it is?

01:57:17.460 Because what happens if we lose electricity for a month?

01:57:20.100 Imagine you have no power.

01:57:21.440 Then what happens?

01:57:22.980 What kind of chaos?

01:57:24.340 How long can it last?

01:57:25.480 How long is it sustainable?

01:57:27.580 How long can the generators last?

01:57:29.520 What happens once the generators are gone?

01:57:31.220 What happens to the people that don't have generators?

01:57:33.360 Who do they go to?

01:57:34.640 What happens to the people that have generators?

01:57:36.460 Do they keep it a secret?

01:57:37.320 What happens?

01:57:38.460 How long before we recover from it?

01:57:40.000 How long before we come back up from it?

01:57:41.480 It's very, very interesting on what's happening today.

01:57:45.460 And what I'm trying to say to the listeners, I'm very optimistic about the future.

01:57:48.780 The future looks very, very bright.

01:57:50.200 The future looks very bright, but we're hoping that people will play nice and they'll find

01:57:57.860 a way to be diplomatic amongst each other and somehow, someway realize that at the end

01:58:05.220 of the day, if you do something to another person, it can backfire in another way.

01:58:08.840 And I'm hoping that's the one part that gets people to not go to the craziest routes of

01:58:13.140 doing dumb things.

01:58:13.980 Small things like Microsoft, Twitter, maybe that can happen.

01:58:16.620 I just hope it's not the level of retaliation, but the retaliation keeps getting bigger and

01:58:21.320 bigger and bigger and bigger and bigger.

01:58:23.620 So anyways, it'll be interesting to see what happens here with Microsoft and Twitter.

01:58:29.880 Look, I've really enjoyed today's podcast.

01:58:32.460 We started at 830.

01:58:33.860 We're going to test it next week to see if we start at nine o'clock, what that looks

01:58:36.840 like.

01:58:37.580 I have a Zoom.

01:58:38.540 I got to jump on myself.

01:58:39.740 We all got things we got to do.

01:58:40.900 But for those of you guys that were with us from the beginning to the end, much love to

01:58:45.860 you, if you enjoyed Tom being on with us today, let him know both on Twitter and let us know

01:58:54.040 by smashing that subscribe button.

01:58:58.360 Take care, everybody.

01:58:59.220 Bye-bye.

01:59:00.080 Bye-bye.

01:59:00.860 Bye-bye.

01:59:01.920 Shout out to the biz doc being on the show.

Valuetainment - March 11, 2021

Bet-David Podcast ｜ Guest： Tom Ellsworth (Biz Doc) ｜ EP 45

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