Media companies have actually historically been pretty good at building the future while milking the past. They would take some of the cash from the legacy businesses and throw them into the next generation of communications - it seemed all of the big newspaper and magazine companies bought TV stations, then got into the cable business, and so on. For example Time backed Charles Dolan to lay cable in Manhattan and start HBO, but I feel like everyone did some version of that. It's not quite the same as orienting the entire organization toward the future, I think it tends to be side ventures, but it worked quite effectively.
Can I throw out a book request? Reading Billion Dollar Loser, there's a section on Masa Son, which is outrageous, and packed with things that seem like they almost have to be fake, but aren't. Is there a good book about Masa? Or a bad one? Or a gossipy one?
How do you define expensive (low valuation multiples, inability to acquire other cos, etc)? Where do you put someone like Jensen Huang in this dichotomy? In 2010, it was hard to see that neural networks powered by GPUs will be the future of AI i.e. look at Neurips submissions between 2000-2010. Moreover, it would be subsidized by free cash flow from hardcore teenage gamers. It seems Musk and Bezos made a bet about the future and for a long time paid the price by having low valuation multiples and a lot of scrutiny during that time.
Media companies have actually historically been pretty good at building the future while milking the past. They would take some of the cash from the legacy businesses and throw them into the next generation of communications - it seemed all of the big newspaper and magazine companies bought TV stations, then got into the cable business, and so on. For example Time backed Charles Dolan to lay cable in Manhattan and start HBO, but I feel like everyone did some version of that. It's not quite the same as orienting the entire organization toward the future, I think it tends to be side ventures, but it worked quite effectively.
Hi Byrned,
Can I request an analysis on John Malone and Liberty Media? Not sure if there is a great piece that tells the story well. Thanks!
Hey Byrned! Just wanted to mention that something I read here is featured in this:
https://www.libertyrpf.com/p/177-worthy-buybacks-microsofts-defcon
Cheers! 💚 🥃
For me, Netflix and Reed Hastings are the canonical example of “see and build the future.”
Can I throw out a book request? Reading Billion Dollar Loser, there's a section on Masa Son, which is outrageous, and packed with things that seem like they almost have to be fake, but aren't. Is there a good book about Masa? Or a bad one? Or a gossipy one?
How do you define expensive (low valuation multiples, inability to acquire other cos, etc)? Where do you put someone like Jensen Huang in this dichotomy? In 2010, it was hard to see that neural networks powered by GPUs will be the future of AI i.e. look at Neurips submissions between 2000-2010. Moreover, it would be subsidized by free cash flow from hardcore teenage gamers. It seems Musk and Bezos made a bet about the future and for a long time paid the price by having low valuation multiples and a lot of scrutiny during that time.