Episode
E54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
1:30:05
Published: Sat Nov 06 2021
Description
Show Notes: 0:00 Besties do a Microsoft-themed intro 7:53 Spread trading big tech, amazing power of Google and Microsoft 17:28 Sacks speaks about Bird going public from the NYSE, understanding distributions and evergreen funds, why Friedberg went the startup studio route 30:36 How DAOs fit in to the capital allocation landscape, the balance of consumer-facing products and infrastructure solutions for web 3.0 35:24 Zillow's iBuying implosion 46:05 Wokelash: Progressive democrats take huge hit on election day 2021, what are American voters looking for? 1:14:57 New CO2 to starch conversion discovered by Chinese researchers, future climate incentives Follow the besties: https://twitter.com/chamath https://linktr.ee/calacanis https://twitter.com/DavidSacks https://twitter.com/friedberg Follow the pod: https://twitter.com/theallinpod https://linktr.ee/allinpodcast Intro Music Credit: https://rb.gy/tppkzl https://twitter.com/yung_spielburg Intro Video Credit: https://twitter.com/TheZachEffect Referenced in the show: https://twitter.com/Suhail/status/1455553539552382979 https://www.bloomberg.com/news/articles/2021-11-01/zillow-selling-7-000-homes-for-2-8-billion-after-flipping-halt https://twitter.com/RTanuku/status/1456324783809826819 https://www.nytimes.com/news-event/elections-2021 https://www.nytimes.com/2021/11/04/nyregion/stephen-sweeney-durr-nj-election.html https://www.seattletimes.com/seattle-news/politics/republican-ann-davison-defeats-nicole-thomas-kennedy-to-become-seattles-first-woman-city-attorney https://www.nytimes.com/2021/11/03/us/politics/democrat-losses-2022.html https://www.nytimes.com/2021/11/04/us/california-math-curriculum-guidelines.html https://nypost.com/2021/11/01/mcauliffe-claims-everybody-clapped-after-classroom-comment https://www.newsweek.com/cnn-van-jones-glenn-youngkin-delta-variant-trumpism-1645303 https://twitter.com/patrickruffini/status/1454792424488902656 https://www.shorenewsnetwork.com/2021/10/17/if-taxes-are-your-issue-njs-not-for-you-murphy-says-comment-taken-out-of-context/ https://www.science.org/doi/10.1126/science.abh4049 https://twitter.com/friedberg/status/1454482267707899909 https://www.theguardian.com/environment/2021/sep/28/blah-greta-thunberg-leaders-climate-crisis-co2-emissions https://www.wsj.com/articles/climate-finance-china-india-11636039142 https://www.wsj.com/articles/tariffs-climate-change-greenhouse-gases-manufacturing-steel-11635862305 https://twitter.com/elonmusk/status/1454808104256737289
Chapters
The hosts have a hilarious conversation about skin-on-skin sleeping with a newborn and the baby going after the male nipple.
00:00 - 03:01 (03:01)
Summary
The hosts have a hilarious conversation about skin-on-skin sleeping with a newborn and the baby going after the male nipple. They also joke around about looking like Urkel and a Bollywood actor.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
Microsoft was caught presenting their new developer tools by describing physical appearances, pronouns, ethnicity, and hairstyles; which caused controversy on the internet.
03:01 - 07:34 (04:33)
Summary
Microsoft was caught presenting their new developer tools by describing physical appearances, pronouns, ethnicity, and hairstyles; which caused controversy on the internet. Although they claimed it was for the visually impaired, this reasoning was not satisfactory to many people.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
Chamath Palihapitiya suggests the most obvious and simple money-making trade is long Microsoft, Google short, big tech, short the rest of the big tech, in order to manage risk.
07:34 - 13:04 (05:29)
Summary
Chamath Palihapitiya suggests the most obvious and simple money-making trade is long Microsoft, Google short, big tech, short the rest of the big tech, in order to manage risk.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
A pair trade strategy for long Microsoft and long Google is a pretty obvious monopolistic trade.
13:04 - 18:30 (05:26)
Summary
A pair trade strategy for long Microsoft and long Google is a pretty obvious monopolistic trade. However, choosing two random companies like Airbnb and United Airlines for a pair trade is too random as they are in completely different businesses with different motivations, capital pools and stockholders.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
The Sequoia Evergreen fund allows investors to keep owning shares for an indefinite period of time, and investors can share in the value creation as they grow their book value over time.
18:30 - 29:24 (10:53)
Summary
The Sequoia Evergreen fund allows investors to keep owning shares for an indefinite period of time, and investors can share in the value creation as they grow their book value over time. However, the challenge for Sequoia will be judging public equities, as it's not clear that people who live and breathe venture can switch to equity.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
The development of apps requires simple building blocks such as remote procedure calls (RPC) for distributed compute infrastructure, leading to a back-and-forth between consumer experiences and technological development.
29:24 - 36:18 (06:53)
Summary
The development of apps requires simple building blocks such as remote procedure calls (RPC) for distributed compute infrastructure, leading to a back-and-forth between consumer experiences and technological development.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
Zillow's reliance on Zestimate, a tool that directionally drives top-of-funnel traffic, made it difficult for the company to disrupt the real estate industry.
36:18 - 46:03 (09:44)
Summary
Zillow's reliance on Zestimate, a tool that directionally drives top-of-funnel traffic, made it difficult for the company to disrupt the real estate industry. Furthermore, the accuracy of Zestimate was deemed a bug and its inflated house prices hindered the company's growth.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
The recent Virginia elections showed that policy extremism will not sustain election wins, with voters instead prioritizing economy, education, and safety.
46:03 - 52:00 (05:57)
Summary
The recent Virginia elections showed that policy extremism will not sustain election wins, with voters instead prioritizing economy, education, and safety. The playbook of Glenn Youngkin could also be useful for Democrats to embrace.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
McAuliffe lost the Virginia gubernatorial election after saying that teachers' union should control schools instead of parents.
52:00 - 57:24 (05:23)
Summary
McAuliffe lost the Virginia gubernatorial election after saying that teachers' union should control schools instead of parents. This caused even reliable Democratic voters to vote for Republican Glenn Youngkin, who promised to remove critical race theory and the 1619 project from schools.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
The debate on exceptionalism in business, education, and sports continues with the progressive left advocating for equality of outcomes while others recognize the progress made by exceptionalism.
57:24 - 1:06:25 (09:00)
Summary
The debate on exceptionalism in business, education, and sports continues with the progressive left advocating for equality of outcomes while others recognize the progress made by exceptionalism. However, limiting exceptionalism can also reduce progress and innovation.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
The school system is the number one cause of structural racism in America, as it traps people of color in poverty across generations.
1:06:25 - 1:13:57 (07:31)
Summary
The school system is the number one cause of structural racism in America, as it traps people of color in poverty across generations. Charter schools and school choice are potential solutions, but there are also concerns about their impact on minority communities.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
New Jersey is facing pushback due to tax increases, and there is a new carbon dioxide conversion system from a Chinese research team that can produce starch.
1:13:57 - 1:19:15 (05:18)
Summary
New Jersey is facing pushback due to tax increases, and there is a new carbon dioxide conversion system from a Chinese research team that can produce starch. This innovative solution could potentially help combat climate change.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
The speaker discusses the potential for new technologies to drastically improve energy efficiency, with the example of a 25 mile radius city becoming a five mile radius city with increased efficiency.
1:19:15 - 1:27:02 (07:47)
Summary
The speaker discusses the potential for new technologies to drastically improve energy efficiency, with the example of a 25 mile radius city becoming a five mile radius city with increased efficiency. He also emphasizes the need for new technologies to remove carbon from the atmosphere and the potential for government taxation to incentivize carbon reduction.
EpisodeE54: Spread trading big tech, capital allocation, Zillow's misfire, Progressives suffer losses
PodcastAll-In with Chamath, Jason, Sacks & Friedberg
The hosts discuss how the amount of money Elon Musk made in a day could have potentially solved world hunger, and how he offered to sell shares to do so.
1:27:02 - 1:29:05 (02:02)
Summary
The hosts discuss how the amount of money Elon Musk made in a day could have potentially solved world hunger, and how he offered to sell shares to do so.