Every company is a Hardware company

What happens when every software company needs to be a hardware company first? And how are leading VC firms potentially predicting that the 2000s will be repeating themselves?

SHOW: 756

CLOUD NEWS OF THE WEEK - http://bit.ly/cloudcast-cnotw

CHECK OUT OUR NEW PODCAST - "CLOUDCAST BASICS"

SHOW SPONSORS:

• CloudZero – Cloud Cost Visibility and Savings
• ​​CloudZero provides immediate and ongoing savings with 100% visibility into your total cloud spend
• Datadog Application Monitoring: Modern Application Performance Monitoring
• Get started monitoring service dependencies to eliminate latency and errors and enhance your users app experience with a free 14 day Datadog trial. Listeners of The Cloudcast will also receive a free Datadog T-shirt.
• AWS Insiders is an edgy, entertaining podcast about the services and future of cloud computing at AWS. Listen to AWS Insiders in your favorite podcast player. 
• Cloudfix Homepage

SHOW NOTES:

• AI’s $200B Question (Sequoia)
• 5 years and $15B later, a fiber venture fails (Global Crossing)
• Dot com bubble
• The history of Switch Data Centers
• Interest rates over the last 30 years
• The Cost of Cloud, A Trillion Dollar Paradox (a16z)
• VCs vs the Cloud (Eps.656)

BACK IN THE DOT COM DAYS, WE ASSUMED THAT EVERYTHING WOULD BE INTERNET

• Let's remember how we transitioned from the late 1990s to the early 2000s
• VCs used to have a $50M "hardware tax" on investments
• Cloud and Low Interest Rates changed everything
• New Technology with Simple UI + Infrastructure Buildouts + Unknown Business Models

NOW WE ASSUME THAT EVERYTHING WILL BE AI (and GPUs)

• Interest rates have come back up to 2001 levels
• VCs are back to paying the "hardware tax", and aren't happy
• New Technology with Simple UI + Infrastructure Buildouts + Unknown Business Models
• Let's see if history repeats itself.

FEEDBACK?

• Email: show at the cloudcast dot net
• Twitter: @thecloudcastnet

FEEDBACK?

• Email: show @ reasoning dot show
• Bluesky: @reasoningshow.bsky.social
• Twitter/X: @ReasoningShow
• Instagram: @reasoningshow
• TikTok: @reasoningshow