Valuetainment - October 30, 2025


"Trump’s TRILLION Dollar Investment" - The REAL REASON Amazon, UPS & Big Tech Layoffs DON'T Matter


Episode Stats

Length

18 minutes

Words per Minute

199.52583

Word Count

3,703

Sentence Count

362

Hate Speech Sentences

1


Summary

Amazon, UPS, and Target have all laid off thousands of workers this year. What does this mean for the economy and the economy's ability to grow? And why are these companies laying off their workers? Today, we talk about why these are happening and why the Democratic Party is to blame.


Transcript

00:00:00.120 Layoffs. Amazon, 14,000 jobs. UPS already this year, 48,000 jobs. Rivian, 600,000 jobs.
00:00:08.400 Chex slashes 45% of workforce, blames new realities of AI. Meta, layoffs. Amazon, another 30,000. Target, 1,800.
00:00:19.600 Rob, I think you got some of the videos on this one. Why don't we play the UPS one, 48,000 for the year so far?
00:00:24.440 When you're seeing these types of things, we talked about this briefly yesterday.
00:00:28.560 To the average person, this looks like, oh, my God, this is horrible. Look at all the stuff that's going on. Go ahead and play this clip, Rob.
00:00:35.760 Also new tonight, UPS has announced that they've cut 48,000 jobs so far this year.
00:00:41.800 That announcement made on their quarterly call this morning.
00:00:45.280 The company said their 2025 revenue is more than $21 billion, but that's partly because they've consolidated to create what they call a more efficient operating model.
00:00:56.060 14,000 workers were primarily on the management level.
00:01:00.520 On top of that, they reduced their operational workforce by about 34,000 positions and closed daily operations at 93 sites.
00:01:09.900 Tom, this looks bad, but is it really bad? What's going on here?
00:01:12.800 No, this is natural. And what's happening natural, I'll give you three points on it.
00:01:16.200 Point number one, we are having a pretty good economic year.
00:01:20.260 Wall Street's having a good year. And when you come to the end of the year, what do you do?
00:01:23.820 You make budgets. Your company makes budgets. You require everybody to take a look at it and to bring you their ideas, their thoughts, their creativity for next year.
00:01:32.460 And what are we going to budget? What are we going to not?
00:01:34.600 And a lot of companies are discovering, look, UPS is competing with Amazon, if you want to think of it that way.
00:01:40.080 And every time Amazon automates a warehouse, UPS has to cover.
00:01:44.340 It's like sailing. You have to cover the tack. You have to cover what your competitor is doing.
00:01:47.720 So number one, the layoffs are coming as they realize these efficiencies and then they're going to return that profit to the shareholders.
00:01:56.240 That's what's happening. Point one. Point two, we're in a transition in America.
00:02:00.420 There's more efficiency happening as AI happening. And I'd like to go, Rob, can you go to the link I gave you?
00:02:05.560 We used it last week. Let's take a look now. And Bill also want to know what you think about this.
00:02:09.820 Take a look at this. What's going on here right now, these layoffs are the responsibility of the Democrats that have inhibited the progress on the president's agenda.
00:02:20.300 And before you tell me, oh, you're just all pro-Trump, go look at this.
00:02:24.480 Look at the trillions of dollars in investments that are happening in the United States.
00:02:28.480 These are new jobs, new manufacturers that were being held up by Congress or being held up because people like Chuck Schumer are getting in the way of the president's agenda.
00:02:38.100 The president's trying to encourage companies to build factories with new jobs, tomorrow's jobs here, so that as UPS gets more efficient and they lay off jobs for this, there's places for the American worker to go.
00:02:51.360 And so I put this at the feet of the Democrats.
00:02:54.400 By the way, the Democrats have their own unions yelling at them, saying, oh, what happened to my job?
00:02:59.300 I'm the union, supported you during the election. Where's our jobs going?
00:03:02.660 And so you get the unions actually harping at the Democrats, which is a fun irony.
00:03:06.080 But what's happening with these layoffs, the market likes to see cost consolidation.
00:03:12.320 So the stock market goes up and companies are making layoffs in the name of efficiency and things.
00:03:18.180 But the president's agenda to bring more jobs to America and $1.5 trillion of investment just since March of this year, the total number is bigger.
00:03:28.800 It's like $5, $6 trillion over five years.
00:03:31.140 And so I see the two-sided coin here, and I think the Dems need to get out of his way because the Trump effect is happening, and these people need new jobs as America evolves forward.
00:03:42.280 And yes, AI is a part of it, but AI is not a villain.
00:03:45.700 Bill, your thoughts?
00:03:47.080 I think that 2026 is going to be huge.
00:03:50.680 I think it's going to be huge.
00:03:51.940 I think, obviously, these jobs matter, but I think people are underestimating what GDP and what growth will be next year.
00:04:01.180 Brandon?
00:04:02.040 Yeah, no, this is such a normal thing.
00:04:03.800 Every 100 years, like 50% of the job market gets wiped out by new disruptive technology.
00:04:08.640 You know, it happened with agriculture in the 1800s.
00:04:11.120 Like 90% of the workforce got wiped out.
00:04:13.020 They went into skill trades.
00:04:14.300 Then the Industrial Revolution happens.
00:04:16.140 Then it wipes out the skill trades.
00:04:17.440 Then computers come along.
00:04:19.200 It wipes out the industrial factory jobs.
00:04:21.420 So, you know, like every 100 years, a new disruptive technology comes out, wipes out half the job market, and then people get jobs they didn't even realize that, like, that weren't going to be needed in the future.
00:04:30.260 So we're not even imagining the jobs that are going to be created.
00:04:32.880 People are thinking it's going to have to be UBI or something.
00:04:34.980 But, no, I think we're going to have a whole new job market that we're not even fathoming right now.
00:04:38.760 Yeah, I mean, look, like Tom said earlier, if some of these companies, as they're coming into the fourth quarter, they're cutting the cost to show up.
00:04:48.200 You know, you see, we just laid off this many people.
00:04:50.340 Boom.
00:04:51.040 You know, stock valuation goes up for the last quarter to have a strong finish ending to it.
00:04:56.240 I don't see these stories slowing down the next couple months.
00:04:59.280 I think we're going to hear a couple more of these stories, Tom, coming up.
00:05:01.440 So if you think this is a big deal, I think there's more announcements.
00:05:04.960 These companies are not in trouble.
00:05:06.460 These companies are actually surging.
00:05:07.960 But yesterday we're sitting in a meeting, guys.
00:05:09.760 We're preparing for the podcast.
00:05:11.420 And Tom starts talking about all these companies are laying people off.
00:05:14.280 And I look at the people sitting in the room.
00:05:15.880 I'm like, Tom, are you threatening the people sitting in front of you?
00:05:18.640 Are you threatening people?
00:05:20.040 What are you telling people right now what's going on and why it's a good decision?
00:05:23.180 You see Humberto panicking.
00:05:24.560 He's got, like, sweat dropping because of all the stuff that's going on in Chile.
00:05:27.800 But I think Humberto's going to be okay.
00:05:29.540 I think he's going to be okay.
00:05:30.580 I don't want to.
00:05:31.460 Yes.
00:05:31.700 You attribute more to earnings than to AI, to automation?
00:05:34.800 I think it's lazy to say due to AI.
00:05:40.860 Like, for example, Chuck says, slashes 45% of the workforce, blames new realities of AI.
00:05:46.320 As the operator, you need to just take responsibility of why you're doing this.
00:05:50.740 Yes, some of it may be AI.
00:05:52.600 45% tied to AI?
00:05:54.340 Amazon's invested $10 billion, though, to an AI part.
00:05:56.500 I think there's an element of it that is AI.
00:05:59.900 But Amazon is not coming out saying we're firing people because of AI.
00:06:04.140 Amazon is saying, look, here's what we're doing.
00:06:05.880 And by the way, did you see the numbers of how many unions, members we had?
00:06:12.940 What was the number of how many union members we had 50 years ago versus today?
00:06:16.780 You remember the number?
00:06:17.780 Double or triple?
00:06:18.400 No, it wasn't double.
00:06:19.180 I think it was much more than double.
00:06:20.180 Can you see the number of union membership in the history of U.S., what's happened to it versus today?
00:06:29.400 If you actually go pull up charts on how many members we've had in the union, look at that.
00:06:36.400 Oh, wow.
00:06:37.120 Do you see the number?
00:06:38.040 Yeah, it went from 20 to like 7 million in the last 40 years.
00:06:44.040 Okay, so check this out.
00:06:45.260 We went from 22 million in 1970 to how many people not being members of unions?
00:06:53.580 You know, 14.3 million.
00:06:56.100 Okay, and the number's dropping off.
00:06:57.600 So what is that?
00:06:58.120 7 million, 33% membership dropped on unions.
00:07:02.400 Why is that?
00:07:04.300 Why is unions taking a hit that they're taking?
00:07:07.520 Because you know what some of these companies are saying?
00:07:09.360 Like imagine you're working for a company that's, you know, being pushed to be union.
00:07:14.100 And a company is saying, oh, you guys want to become union?
00:07:17.000 No problem.
00:07:18.680 Guess what?
00:07:19.340 You're forcing me to become AI.
00:07:21.400 So the antonym to union has become who?
00:07:26.040 Well, like automated, yeah.
00:07:28.360 Yeah, automated.
00:07:28.920 I'm going to automate everything.
00:07:29.860 And that's kind of the direction they're going.
00:07:31.140 And by the way, then the argument becomes, well, I think that's going to happen no matter what.
00:07:35.020 Whether you like it or not, we're going to go to that direction.
00:07:36.920 Maybe you're right.
00:07:37.740 Maybe you are right.
00:07:38.360 Maybe we are going to be going that direction.
00:07:39.880 But I think for some of the companies that are just saying AI, at least if Amazon says AI, guess what they're doing?
00:07:47.020 They are putting their money into AI.
00:07:50.240 And don't get me wrong.
00:07:51.200 I saw, you know, Sean O'Brien, who was the president of the Teamsters, going after Jeff Bezos and Amazon.
00:07:57.440 You know who else I saw going after them?
00:07:59.100 Josh Hawley.
00:08:00.440 Josh Hawley's not a liberal pro-union guy.
00:08:03.960 Josh Hawley's, you know, one of the biggest powerhouses.
00:08:06.780 And he's going after Amazon.
00:08:08.560 So I don't know what's going on there with Amazon.
00:08:10.840 Left, right, center, everybody's targeting Amazon.
00:08:13.200 Why would you say that is, Bill?
00:08:14.340 Why do you think Amazon's being targeted right now by everybody?
00:08:16.800 I don't know.
00:08:17.880 Tom, what would you say?
00:08:18.680 What do you think?
00:08:19.520 Well, there's a couple angles to it, right?
00:08:21.860 It's what they represent.
00:08:24.380 All the unions represent the truck drivers.
00:08:26.540 They're scared to death of autonomous vehicles, driving vehicles, and they want to unionize distribution centers, and they want to do that.
00:08:33.640 So the unions are going to come out that way.
00:08:35.640 On the other side, you've got AWS, and AWS just had an outage.
00:08:41.640 And so obviously they need to be a little bit more stout if they're going to be the backbone of so much telecommunications infrastructure behind companies using AWS.
00:08:50.120 We had a major outage just two weeks ago, right, or less than that, where for a whole day, look how many services.
00:08:57.600 And they say, oh, these apps were down.
00:08:59.460 Those apps are providing critical services.
00:09:01.640 Those are like banking apps.
00:09:03.200 They were like PayPal.
00:09:04.120 Yeah, we use AWS at Fannie and Freddie.
00:09:06.680 Runs essentially $8 trillion of mortgages through technology.
00:09:10.960 Fannie and Freddie use AWS.
00:09:12.720 They do.
00:09:13.400 Wow.
00:09:13.580 Have you guys thought about moving elsewhere?
00:09:15.960 I mean, we are actively looking at other providers, not just because of what happened the other week, but just generally, yes.
00:09:22.380 So if somebody came in and offered something more efficient.
00:09:29.880 Higher security, higher uptown?
00:09:31.440 As the stuff that matters for Freddie and Fannie, especially let's just say you're going through possibly the biggest IPO of all time.
00:09:38.580 Are you guys seriously considering 100% leaving AWS?
00:09:42.080 No.
00:09:42.320 Okay, got it.
00:09:42.980 Well, we would look at, we want to diversify within reason.
00:09:46.100 The problem is that when you get on these cloud networks, as you know, and you get so pregnant on them, so to speak, it's hard to move off of it.
00:09:52.040 It is very hard to move off of it.
00:09:53.000 And, you know, it's a safety and soundness issue.
00:09:54.700 But then a couple of weeks ago, what happened with AWS, you know, it also makes you wonder, wow.
00:09:58.760 Where's the safety?
00:09:59.480 Where's the soundness?
00:10:00.640 So it's not going away.
00:10:02.960 It's become not a stage five alarm fire or whatever, but it's become an issue.
00:10:07.960 Who are alternatives, by the way?
00:10:10.000 I don't think there's that many.
00:10:11.600 Oracle?
00:10:11.920 I think you've got Oracle.
00:10:13.460 At that level?
00:10:13.940 You've got a handful.
00:10:14.480 Yeah.
00:10:15.500 They're like 37% of the cloud market.
00:10:18.260 Google Cloud used to have independent.
00:10:20.520 Who is AWS's?
00:10:21.420 Yeah.
00:10:21.740 Yeah.
00:10:22.380 I mean, it's big enough to the point where Andy Jassy, who was running it, became the CEO of Amazon.
00:10:26.040 There's a good chart on it.
00:10:26.980 Google Cloud.
00:10:27.520 There's a good chart, Rob.
00:10:28.480 The Oracle Cloud infrastructure is quite good.
00:10:32.100 It's going to be running TikTok, right?
00:10:34.200 Larry Ellison there.
00:10:35.940 But you take a look.
00:10:36.940 There's very few choices.
00:10:38.320 There's very few choices.
00:10:39.060 Well, it's not like TikTok had a chance on what cloud services they were going to use.
00:10:43.380 No, no.
00:10:43.780 But I mean...
00:10:44.400 You know what I'm saying?
00:10:45.020 Yeah, they were already on it, but had there been a forced sale...
00:10:48.980 Oh, they were already on Oracle.
00:10:50.580 Part of.
00:10:51.160 Part of.
00:10:51.620 But now they're going to go full.
00:10:52.800 They're going to go TikTok full?
00:10:53.940 Yeah.
00:10:54.360 TikTok is going to be...
00:10:55.460 Oracle?
00:10:55.640 One of the requirements is it's got to be U.S.-based servers, right?
00:10:58.900 One of the requirements of TikTok, the data can't go out the back door back to a PRC.
00:11:03.800 And so we've got to have it on U.S. servers, and there cannot be back doors for transmitting U.S. user data back to China.
00:11:11.620 So that has to happen.
00:11:13.060 And so you have Oracle's cloud infrastructure, Google Cloud Platform.
00:11:16.240 People don't hear a lot about it, but Google Cloud Platform, and then, of course, Azure.
00:11:20.440 You take a look.
00:11:21.960 Last year, Microsoft accelerated ahead on valuations.
00:11:25.640 And you saw how big they got.
00:11:27.220 Part of that was Azure Cloud.
00:11:29.480 Well, they're just so critically important.
00:11:31.500 I mean, I get a report every day with how much mortgage volume we do at Fannie and Freddie.
00:11:35.140 We have a subsidiary that we rebranded from Common Securitization Solutions, nobody knew what the hell it was, to U.S. FinTech.
00:11:42.040 It's basically a FinTech company that Fannie and Freddie own.
00:11:45.380 We've put over a billion dollars in at each company.
00:11:47.700 So Fannie put in a billion.
00:11:49.120 Freddie put in a billion.
00:11:50.240 We do all of the underground piping, basically, for the mortgage-backed security market through this U.S. FinTech.
00:11:56.000 Nearly 100% on AWS, a big part of it on AWS.
00:11:59.460 So this is a problem that is not going away.
00:12:03.780 And, you know, in our case, we have to be very focused on it.
00:12:07.180 We're doing anywhere from $2 to $25 billion a day of mortgages just through this pipeline.
00:12:12.380 $2 to $25 billion a day?
00:12:13.760 A day.
00:12:14.340 Got it.
00:12:15.240 And what's the number for the year?
00:12:18.280 Is it $8 trillion?
00:12:19.620 We oversee $8 trillion in assets, about $4 trillion roughly.
00:12:23.700 $4 trillion roughly at Fannie, roughly $4 trillion at Freddie.
00:12:28.300 Got it.
00:12:28.760 And then the federal home loan banks I also oversee is about $1 trillion too.
00:12:32.160 And we're trying to get them on the U.S. FinTech platform now too.
00:12:34.780 This is not going away.
00:12:36.520 And I'd be very bullish on these companies, frankly.
00:12:40.440 Yeah.
00:12:41.100 So are you bullish still on AWS keeping the lead, or are you bullish on the fact that somebody could come in and disrupt and take over AWS?
00:12:48.740 No, I think they will.
00:12:49.540 I think they'll stay in the lead.
00:12:50.460 But I think it was a good scare.
00:12:53.660 You know how you have that in business where it scares the crap out of you?
00:12:55.840 Oh, yeah.
00:12:55.880 And I think this was a relatively innocent scare the heck out of you-know-what moment, at least from what I've observed at Fannie and Freddie.
00:13:02.920 There you go.
00:13:03.380 So AWS is 30%.
00:13:04.620 Azure is 20%.
00:13:05.460 Google is 13%.
00:13:06.420 Then you've got everybody else.
00:13:08.000 Oracle is only three.
00:13:09.620 IBM is two.
00:13:11.880 So meaning all roads lead to AWS, Microsoft Azure, and Google Cloud.
00:13:17.380 But they were a first mover, right?
00:13:18.980 I don't even think they intended to be that at first.
00:13:20.880 I think they originally had just such a big cloud database for their inventory that it ended up being useful for the cloud situation.
00:13:29.020 So that might be a security problem, too, is that it wasn't originally built to be a security or a secure thing to that level.
00:13:35.940 Yeah.
00:13:36.180 I mean, look, you're right.
00:13:37.820 But sometimes the great thing about business is you'll start something, and you don't know what it's doing.
00:13:42.620 And then all of a sudden it takes off.
00:13:44.020 You're like, wait a minute.
00:13:44.860 We didn't even think about it.
00:13:45.860 This was going to be this big.
00:13:47.220 And then remember the history of Amazon, what they thought they were selling to the point that AWS became so big.
00:13:53.580 We talked about this.
00:13:54.280 I think Adam brought it up, where Andy Jassy, the guy running AWS, is now the CEO of Amazon.
00:13:59.240 Why would Bezos on the board make a decision like that?
00:14:01.600 Because they see that business unit driving all the other things in the future, and it has the biggest potential.
00:14:07.620 But when things like this happen, you make people think about, hey, maybe we've got to go elsewhere.
00:14:11.640 Maybe we've got to, like when a hurricane happens or a massive crisis takes place, an earthquake.
00:14:17.740 Or supply chain during COVID.
00:14:19.060 Or supply chain during COVID.
00:14:20.380 You start sitting there saying, wait a minute.
00:14:22.820 We've been relying on 80% on you.
00:14:24.940 Maybe we've got to go to 40%.
00:14:26.340 No, no, no.
00:14:27.180 Trust me.
00:14:27.720 We can manage it.
00:14:28.700 I don't know about that right now.
00:14:29.900 I believe you.
00:14:30.640 Yeah.
00:14:30.820 So to me, it's kind of like looking at other options instead of, I am sure Amazon's AWS sales
00:14:37.200 guys are having to all role play how to overcome the objection of, I need a second option in
00:14:42.660 case this happens again.
00:14:43.880 I don't know how you overcome that objection.
00:14:46.020 How are you going to make the reassurance that's not going to happen?
00:14:48.400 You know, you're not.
00:14:49.260 You're not going to be able to do it.
00:14:50.240 So now it's about incentives.
00:14:52.040 Well, if you stay with us, we're going to give you this.
00:14:53.780 We're going to give you that.
00:14:54.360 So I think this is a good time to probably negotiate aggressively with Amazon with what they're
00:14:58.460 going through.
00:14:58.880 Not like I'm making any suggestions.
00:15:00.160 I'm sure you guys are already doing that.
00:15:01.540 But it may not be a bad time.
00:15:03.140 2026 is around the corner.
00:15:04.660 I am convinced this is going to be a very, very special year, in my opinion.
00:15:11.840 I think we got this other rate cut that's coming.
00:15:14.300 I think we're going to have three more in 2026, give or take, based on what Goldman Sachs
00:15:17.400 and a lot of other people are saying.
00:15:18.920 We may even experience a new person that's running the Fed by June-ish, I think June 26-ish,
00:15:25.300 around that time, that could turn things around the second half of the year.
00:15:28.920 However, if the China-U.S. trade deal gets done, it could be an unbelievable day for the
00:15:35.280 stock market.
00:15:36.460 However, all of that stuff going into 2026, what that means to you is nothing if you're
00:15:42.240 not prepared for it going into 2026 with momentum.
00:15:46.360 So having said that, if you don't yet have a plan to write out a great business plan for
00:15:50.900 yourself, your family, your executives, your employees, watch this video, Rob, if you have.
00:15:55.540 This is a video we shot of me going into a car, driving a car that goes 1.9 seconds, 0 to
00:16:03.400 60, and I also borrowed Vinny's old car to see, what was it, Rob?
00:16:08.300 Was it a Prius?
00:16:09.340 We're testing to see the difference between a Prius on 0 to 60 and then versus the Tesla
00:16:14.300 Plaid.
00:16:15.060 The owner was freaking out saying, I don't know if you can handle it or not.
00:16:17.380 I said, I've been driving fast cars for a very long time, but I want you to watch this
00:16:20.260 video.
00:16:20.520 Rob, what speed do you have it on?
00:16:21.620 Just one.
00:16:22.240 Okay.
00:16:22.740 Watch this video, folks.
00:16:23.620 Speed matters when it comes down to business.
00:16:25.140 Let's go ahead, Rob.
00:16:28.620 Holy sh**.
00:16:29.960 How fast you grow your business matters.
00:16:32.280 Behind me, I have a 2019 Toyota Corolla, and I have a Model S Tesla Plaid.
00:16:37.340 You're going to see how fast it goes.
00:16:38.540 It's absolutely insane.
00:16:40.520 One, two, three.
00:16:42.640 This is Vinny's car.
00:16:47.340 Still haven't hit it.
00:16:48.300 Come on, Corolla.
00:16:49.840 10 seconds.
00:16:50.940 Oh, my gosh.
00:16:51.980 Still got from A to B, but it's super slow.
00:16:54.360 Any of these companies that eventually dominate their competitors, their edge isn't always
00:16:58.960 just product.
00:16:59.940 It's speed.
00:17:01.040 This took way too long to go from zero to 60.
00:17:03.680 Here we go.
00:17:04.200 Now we're in the Plaid.
00:17:05.180 Let's see how this does.
00:17:06.360 Zero to 60.
00:17:10.880 Holy sh**.
00:17:12.200 Oh, my God.
00:17:14.480 That was amazing.
00:17:16.220 So, notice the difference.
00:17:17.520 Zero to 60 in the Corolla.
00:17:19.120 Nine, ten seconds.
00:17:20.220 This was less than two seconds.
00:17:21.840 So, at this point, we know speed is critical in business.
00:17:24.780 The question becomes, with 2026 around the corner, it'll be here in no time.
00:17:28.740 How prepared are you going to be versus all your competitors?
00:17:32.180 One year, I host an event called the Business Planning Workshop, where we cover the 12 building
00:17:36.280 blocks on how to write a proper business plan that drives emotion and logic.
00:17:42.400 If you've never attended it, do whatever you can for you, your wife, your team to tune
00:17:47.500 in together.
00:17:48.340 It's the only one we do.
00:17:49.900 That's through a webinar, which means anybody from anywhere around the world can tune into
00:17:53.800 the Business Planning Workshop.
00:17:54.860 It's December 12th.
00:17:56.000 We start first thing in the morning.
00:17:57.180 We go until very, very late.
00:17:58.480 If you haven't registered yet, click on the link below to get registered.
00:18:01.860 I cannot wait to see you there.
00:18:03.680 All right.
00:18:03.980 There you go, Rob.
00:18:04.680 Let's put the link below.
00:18:05.820 For some of you guys that are only listening to the audio, go to bpw.biddavidconsulting.com.
00:18:11.900 Again, bpw.biddavidconsulting.com.
00:18:14.480 Or the link below.
00:18:15.300 Get registered.
00:18:16.140 We'll spend the day together on December 12th and make that the beginning of the greatest
00:18:20.280 years of your life in 2026.
00:18:22.420 If you enjoyed this video, you want to watch more videos like this, click here.
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00:18:28.480 Bye.
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