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Single best idea, which is, if you have two people on, you can get a different opinion on all this tech and all this mag seven and of course what we saw last night in Vidia frankly is an HSBC with a wonderful herodage. You're following us. He's got some enthusiasm for the industry for the moment at hand. Here on Invidia, Frankly.
The real map doesn't matter as much as it used to. It used to be that Okay and Vidio had the best chip, it was leading everybody. But now I think what they really need is a new narrative, right, And they spent more time talking about server CPUs now because this year the big ten, the big trend has been agentic AI and suddenly now CPU has gone from a runover where nobody cared about to oh, this is the
next big thing now with the Tentek AI. And so I think in video is pivoted now to talk about a CPU market.
So frank leither on the new or the next in Vidia. I thought that was fascinating and is an aside. Anna Wong was on, and she was for Ana Wong. Gloomy about inflation, and she said, okay, you got oil, you got the war and all that. Paul sank this week saying a gallon of gas it's going to be six dollars. I get that. But she moved right on to where Frank Lee is on this CPU build out, and Anna Wong says, we're going to see a persistent inflation that we're all going to face because of the price of
the chips, the d ram and showing my age. But you know, all the different technology stuff is going to be an inflationary tendency. That's how our conversations dove till in. And so there's Nvidia. I walk in this morning and Paul Sweeney's on page two hundred and twenty four of two hundred and seventy seven pages of SpaceX. I just looked at the photos. I mean, you know, there's beautiful photos up front of Mars and the moon and rockets
going up red Glare and all that. So we did, you know, we did a little bit of SPCX the red Herring out and we'll see how all that goes. Man Deep Sin came in, and of course I want to make clear he doesn't do by holed cell and he's not going to give you an opinion per se on SpaceX, but boy did he have an opinion on their accounting.
I don't get the valuation. I mean, this is a company he can come back. Yeah, this is a company that's growing thirty percent of a twenty billion dollar revenue braids. You have Nvidia that is growing eighty percent of a four hundred billion dollar revenue base. Why would you buy a Spacexus elons.
These are the same questions that were being asked of Tesla ten years ago.
Arguably, Yeah, but.
Look at the growth rates and look at the free cash flow for an Nvidia compared to SpaceX. SpaceX is not going to show you're going.
To be one of those guys that's going to be focused on valuation. Yeah, okay, you can't cover the stock then that's what And I'm not sure we're get we gotta find.
Some trillion dollars for what I mean for the vision.
Did you read the vision statement?
Okay, well I read it. There is an Xai portion where they're burning capital. And look, they are getting into GPU rentals as well. So like SpaceX has this big GPU cluster, they're one of the biggest buyers of n video chips. Well, guess what, they stop training their model, or at least right now, they are renting more of their GPU capacity to an entropic as opposed to really betting on their own model. So that will generate a good fifteen billion dollar revenue run rate just by renting
the GPUs. But would you pay up you know, eighty time sales for that.
Where's SpaceX going to be in ten years, Where's Man Deep Sing going to be in ten years? Where are we all going to be in ten years? This is what keeps its interesting in economics, finance, investment, and of course international relations. On a podcast on on Spotify, on Apple, at YouTube podcasts, it's single best idea