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Terrence's avatar

Love that you keep coming up with thought-provoking material I don't see anywhere else. And I'm all over AI Twitter.

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Dave Friedman's avatar

AI Twitter is very software-brained. The ai accelerationists are directionally correct but their timelines are way too aggressive due to infrastructural constraints. They’re neither finance nor infrastructure gurus.

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Terrence's avatar

Does OpenAI being in a much bigger market + mind share/brand justify a "much" higher valuation than NEER?

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Dave Friedman's avatar

If you’re asking about absolute valuation then yes obviously a bigger mkt means bigger mkt cap. But high capex compresses margins which keeps relative val (p/s etc) lower than SaaS.

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Terrence's avatar

Yes. Main point is exploding market & they have huge market share.

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Dave Friedman's avatar

Sure. It’s just not a SaaS company. Or it won’t be assuming stargate is built.

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Terrence's avatar

Yep, makes sense.

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