Massive Cash: How Companies Use It For Strategic Advantage #shorts

if you have massive cash, you can always do a mulligan at least every 8 quarters. He can stop tomorrow and say, we're just gonna harvest classic Facebook ad revenue. We're gonna become the next Yahoo and we're gonna kind of just be a cash cow. It doesn't matter what, like, if you're a public company that's massively profitable, the past doesn't matter, does it? Doesn't matter. You can write off any, you can write off anything. You can fire all the people and you're still obligated with these massive contracts. but you can also write them off as one-time expenses or stick them in another bucket. They don't matter. If you have massive cash, you can always do a mulligan at least every 8 quarters.

Yes, and obviously they did a mulligan on virtual reality with the whole—

Yeah, the mulligan.

But the interesting, but the argument is, well, again, he gets to the, are you buying insurance or is it existential? I mean, implicit in that statement is that if you do nothing, if you're unsuccessful in AI, your core business just continues to compound. And as long as that's true, you're right, Jason. If the core business is kicking off, what's it, $200 billion a year of revenue, 40% of— if your core business is kicking off $40 or $50 billion and you make a $40 or $50 billion mistake, you just go in the penalty box for a year and you move on.