Tesla and Elon Musk Week - AI Stocks Report with Warren Redlich

Ajouté : 2026-05-11

[00:00:00]Hello, hello, hello, hello, hello, hello. Hey, this is Warren Redick. Thank you so much for watching. If you're new to the channel because you just started watching the AI stocks report. I do a weekly live stream. In the past, I've mostly talked about Tesla and SpaceX and Elon related topics. If you are new to the AI stocks report, we're now going to have a little bit more about AI stocks, but we're still going to talk about Tesla and SpaceX drama. a brief rundown of what we're going to cover uh this week on the Sunday live stream. Might be a little bit longer than usual. Um obviously we're going to run down what happened with the AI stocks. That'll be fairly quick. Talk to you a little bit about what's going on with the channel, which I just started, you know, making some changes. Um talk about some Tesla drama. There's a lot of Tesla drama related to, especially this theory that SpaceX is going to merge with Tesla. And then we're going to talk little bits of news here about Tesla, little bits of news here about SpaceX and um some comments from responding to some comments from YouTube videos over the course of the week and responding to some some thoughts on X as well. Um I think it'll probably be about an hour, but it might go a little longer. We'll see how it goes. So obviously, thank you all for watching. Let me just dive into what's going on. Um this week the AI stocks report index was up almost 9% eight and a half percent driven a lot by what happened with AMD. AMD was up 33%.

[00:01:25]If you're not familiar with the AI stocks report index I'm creating the AI stocks report and I created an index that started effectively at a th00and on April 30th with you know each of these having 125 of that thousand. And these are the eight stocks that I focus on in the AI stocks report. I also talk about the four preIPO companies, Anthropic, Open AAI, SpaceX, and Anderil. And then there's another group of companies like Microsoft and Oracle and several others, Samsung that I cover as well. If there's something big related to AI related to those companies or they're connected to the the main companies, then it it deserves attention. So that's the general idea behind that channel. So, as you can see, we're sort of tracking how do things go. And obviously, it was a good week for AI stocks, for our AI stocks. Palanteer had an off week, but everybody else had a good week. Um, even Tesla, our friend Tesla is up 9% up to $428 a share for those of us who are long-suffering Tesla shareholders.

[00:02:23]You can call me long-suffering because I've suffered for a few years, but then you could say, "Well, Warren started buying in 2016, so he's probably okay."

[00:02:31]Maybe I'm okay. Um, but just this is how I typically start off every AI stock report is with what's going on, what happened in the past day here, the past week in the AI in the AI stocks. That same graphic will appear uh next in tomorrow's morning's video. The videos are Monday to Friday morning. I I post them early and the idea is that they're a available for people who are getting ready for the market to open. Even though it's not really intended to be like here's your advice for how to trade on the stock market today, but I think it's still relevant for people who are looking at the stock market to know what's going on. Um just here's all the videos I did for the week. So I the idea is a video every day and then maybe Monday through Friday, the live stream on Sunday and maybe uh we throw in the Tom Nash video or I took a clip about part from one of the other videos about Terapab. So I I dove into that a little bit just to give a little bit more content not to be a little if I'm really motivated on something I want to share it separately.

[00:03:36]So that that's the rough idea there. Um, I also have the AI options um the the options report which is a weekly report and you can see I did that May 7th debut of supporter only videos about long-term call options strategy for AI stocks with a new metric to help understand the opportunities. If you become a YouTube channel member or a subscriber on the Xplatform or you're a Patreon supporter, you get access to these videos. It's not just for people who are interested in options, but it's primarily appealing to people who are interested, especially in long-term options strategies. I think there's some insight there that can help you think about the stocks in general that may be useful. Uh, this particular metric I came up with, I'm very happy with. Okay. So, um, really quickly, I did a trailer for the channel, so I'm going to play this video. It's about 2 minutes long. And if you have thoughts in the comments, uh, in the in the chat or in the comments, let me know. This is just sort of if somebody has never seen the channel before, they watch a video, they go to the homepage of the YouTube channel, this is what they're going to see at the top.

[00:04:40]Hey, this is Warren Redick. Thank you for watching the AI Stocks Report. This is a channel where I put the daily events of AI companies and AI stocks in context for long-term investors. Every weekday morning, we'll go through what happened with the daily stock prices.

[00:04:55]We'll talk about the AI stocks report index. It's an index I created starting April 30th. It gives you an idea of where these AI stocks stand in comparison over time. The channel focuses mainly on these eight stocks which I see as the most essential stocks for what's happening in the AI world. I also talk a lot about the four preIPO companies. By the time you see this video, some of these companies may have already IPOed. These companies are highly relevant to what's happening in the world of AI. As of the date of this video, you can't buy their stocks, but they still matter a lot and they will be publicly traded soon. And also, you have to keep in mind that there's a second tier of companies that I keep an eye on that if something big happens with them, it's worth tracking. So, we keep in touch with that as well. What you get with the AI stocks report, what I hope to deliver to you is daily updates. what happened with these stocks? What's the news going on behind the scenes that might be driving the short-term stock results and what that news means for long-term investors looking not 3 days away or two weeks away, but thinking one, two, three years ahead. I include little features like CEO watch and podatch to see if the big CEOs who have appeared somewhere, if some highlevel AI researchers who are critical to the industry have been on a podcast, just to keep you in touch with what's going on.

[00:06:13]So, you know, I might want to watch that. And finally, for people who are interested in options, I have a long-term call options strategy, and supporters of the channel, YouTube channel members and subscribers on X can get access to those videos where I break down a specific metric that I've developed to help better understand what's going on with these companies as long-term investments. Thanks so much for watching. Please subscribe to the channel and come back and see us again.

[00:06:40]Bye-bye.

[00:06:42]So, I just wanted to mention and I want to thank you to uh Mark for saying please like, share, and subscribe and join the chat. Um, you know, I I'm happy that I'm making progress and I'm I'm getting down a rhythm on how I do these videos. Um, I'm not getting a lot of views yet. So, if you you know, please like the videos, including this one.

[00:07:02]Please share them with people you know.

[00:07:04]If you're not already a subscriber to the channel, please subscribe to the channel. Please comment on the videos.

[00:07:09]These are signals that tell YouTube, hey, you should show this to more people. And u I think the channel is going to catch fire on its own. I'm not saying it's going to be huge, but I think this is a topic a lot of people are interested in and no one else is covering it the way I'm covering it. So, I think it's worth worth uh attention.

[00:07:26]Um and I I hope that you appreciate what I'm doing and like I'm getting positive feedback from people, but more doesn't hurt. It it it helps if you, like I said, if you like the video, if you share. I have noticed that it's getting a higher ratio of dislikes to likes than my previous videos. Maybe that's because a lot of people who are Tesla fans want more Tesla content. They don't want this AI content. The reality is Tesla is an AI and robotics company. SpaceX is an AI company now. Um, AI is going to matter a lot for the future. And I'll just say that like the world is changing fast. I am using AI to develop language learning apps. I'm using AI to prepare myself for my regular not for the not for the live streams so far, but for the these regular videos. I'm using AI to help with the thumbnails. I'm using AI to help with my research beforehand. Um, I'm doing a lot to with AI and I see that AI is going to enable a lot of people to accomplish a lot more and that's going to increase demand. And there's a fundamental theory. I I don't know if it's too frequent. You can't you can't be too frequent if you're trying to cover the daily news. You got to do every day. Um, it's not a question of too frequent. I don't think that's an issue. Um, if you know if if if you have a video that's a banger and then you do another video the next day, you might cut into the banger or the banger. They might cut into each other, but if your videos aren't getting that many views, it doesn't matter. Um, they are they're targeted for 15 minutes mark. The the rough idea is the these videos should be about 15 minutes each. Some of them run 16 17 minutes. One of them was only seven minutes. Um, but the rough idea is a 15-inute video to just sort of get it going. Um anyway, so that um anyway, I I think it's going well. Let's let's move on to the the the rest of the video. Um in the world of Tesla drama, my friend CERN Basher posted his theory about Tesla and SpaceX Mer Tesla and SpaceX.

[00:09:18]SpaceX AI merging SpaceX AI um and he said the main reason given is something like this. I'm like no, no, no, no. Okay. So, so first of all, I want to jump in on this and say because I'm seeing it's almost like people are panicking. There's there's this obsession with this topic that SpaceX and X and Tesla are going to merge. Like SpaceX has to do its IPO first. SpaceX XAI, SpaceX, whatever has to do its IPO first. Um, there's a lot of steps that have to happen before a merger would be possible. And I don't understand why people are getting so excited and upset and angry about the prospect of a merger between Tesla and SpaceX when it hasn't been proposed yet. If it's going to be proposed, we'll get noticed. We'll have time to think about it. It's almost like people need something to talk about. And so this is the thing that just grabs people's attention and they can't stop talking about it's like it's not there.

[00:10:13]So I just want to be clear. Um he said the main reason given for Tesla not merging with SpaceX AAI is something like I don't want to give my upside to SpaceX shareholders. No, the main reason is that a merge will be very messy in many ways and carries high risks including litigation and distraction from the missions at a crucial time.

[00:10:31]There's company culture clash is a real risk even though I think the cultures are fairly similar. The benefits of merger are are in my opinion the benefits of merger are vastly exaggerated. It's it's MBA synergies.

[00:10:44]It's an MBA lawyer paradise and engineers don't care. The Tesla and SpaceX engineers have worked together when they had something to work together on for way more than 10 years. The the the steel and Cybert truck comes from SpaceX, SpaceX material science team.

[00:11:00]The the rockets use Tesla batteries. The the astronauts travel to the, you know, Starbase to to to the launch site. Uh it's actually a Cape Canaveral. They travel to the launch site in a Model X.

[00:11:14]there's constantly Elon's companies cross over. That's always been true.

[00:11:18]It's not a huge big deal. So, um, so I, you know, just that that drama goes on. There was, there was more drama. Bradford said something about, you know, Tesla not releasing new models and, you know, the the Model Y standard and Model 3 standard aren't really new models and basically said that Tesla lied about the new models. And I don't necessarily agree with Bradford that it was a lie, but it was maybe not completely straightforward. I don't like I don't like to call it a lie. So Alexandra Tesla boomer mama says Bradford is not an innocent commentator.

[00:11:55]Always remember he worked as an option trader and now runs a financial analysis firm. He does. When you hear nothing for months and then someone stirs the pot, think twice. I I I don't know why she's taking shots at Bradford. So, I'm on team Bradford and I am an affiliate of Bradford Reelion. I had just had a conversation with Bradford like three four days before this happened and I love Bradford and one of the things I love about Bradford is he he's this is a really important thing about friends.

[00:12:23]Bradford isn't afraid to tell me when he thinks I'm wrong. He doesn't kiss my ass. If he doesn't like what I'm doing, he'll tell me he doesn't like what I'm doing. I I have a particular thing I talked to him about. He said, "Yeah, I don't he didn't agree with it." any he didn't pull punches and when I tried to deflect little no he he stuck to his guns and I I find this I just had a conversation with another old friend about this too that like you there's nothing more valuable than a friend who's not afraid to call you out on your um Bradford is not a dishonest guy this was this was and she kept doing it this was a um ad hominemum attack like don't don't argue with with what he actually said attack him personally so this is the kind of drama and you know the funny thing is Like Alexandra has done a lot of good things for the Tesla community. I I think might be overstated, but maybe not. She's done some important stuff. Um she has at times been a good friend to me and at times not.

[00:13:17]Another reason I'm biased in favor of Bradford on this fight. But the comical thing is then somebody else comes in and says something and is like, "Who are you? Mom and dad are fighting. You go back to your room." Like it it's the drama that happens in the Tesla community can be hilarious sometimes.

[00:13:34]Um, so then there's this a lot of commentary goes back and forth and I jumped in. Um, this guy Tesla Fudker, I call him Skippy now. If SpaceX and Tesla announce a merger, whatever the Tesla board and Elon offer is the best offer for share shareholders. No, this is not how it works. If in the fantasy land that may come true that Tesla and SpaceX are going to merge and let's say SpaceX makes an offer, there's some What happens is you've effectively put Tesla on the table.

[00:14:08]It's available. People can make offers.

[00:14:11]I have said this before. I think Google and Nvidia, not just those two, but those two are the ones that I think are the the most likely to succeed at making a good offer. they could both make a strong case for acquiring Tesla at a premium because one of the theories is that SpaceX will acquire Tesla and Tesla will value it at its current stock price. And for those of us who feel, well, wait a minute, we've been holding Tesla at a relatively stable price while SpaceX has been rising and we're waiting for Robo Taxi to take off and people are speculate, oh, Elon's holding up Robo Taxi because of the Tesla stock price to go up because that'll mess with the merger. They got all these theories, all this paranoid, these paranoid theories that Elon is doing this to because Elon wants to make more money so he can have a bigger swimming pool to go swim in cash. Just, you know, that's not Elon's motivation. It's not the way Elon works.

[00:14:59]It's not the way he thinks. It's just not, you know, you you you go into the smarter than Elon disease territory and the the Elon derangement syndrome territory when you start going down that road. Just don't go down that road. Um, if SpaceX offers to acquire merge Tesla with no premium, that others might offer us more. Google, Nvidia could make a strong case for acquiring Tesla at a premium, not just for shareholder value, but for the company mission. People hear this and like, well, Google and Nvidia wouldn't be as good for for the mission as as SpaceX.

[00:15:29]Really, Google has the best AI team in the world. Nvidia has a great AI team.

[00:15:34]Nvidia is great at chips. Elon just said, I think I have it on on the next uh series of slides. Elon just said that the Nvidia GB300 is the best AI chip.

[00:15:43]You you think they have nothing to offer? Um you want to fund Terraab, they got cash flow, baby. They got cash flow.

[00:15:50]And then you they bring in the Saudis and all of a sudden you got because they they filed a document somewhere in the Grimes County, Texas about their proposal to build terapab there. $55 billion investment, potentially $119 billion investment. Now imagine Google comes along or Nvidia comes along and says we'll throw in 50 billion cash. The Saudis are going to throw in another 50 billion cash. Now you can fund your tariff. No problem.

[00:16:15]You think that's nothing?

[00:16:18]We'll work with Elon. They they give Elon independence. Look, Demisabas has been running Google Deep Mind. Google gives him independence. You think Google can't give Elon independence? Jensen and and Elon are tight.

[00:16:29]You think Jensen wouldn't give Elon the independence he wants? Um, I think I think there could be something there.

[00:16:36]Um, yeah, that's true. Alexandra's credentials aren't that far off. I don't think Bradford he may have been an options trader. He's a wealth management firm. I don't think he's a financial analyst. I don't know why she said that.

[00:16:48]Oh, thank you. Gro Groadex Gradex Grodex.

[00:16:54]Um, and you know, keep in mind they might even sell Elon on the idea. Like Elon might say, "Hey, yeah, you know, because you know, Elon was tight with the people running Google. He he loves Deis Sabas. I think he had a great relationship with Larry Page and Sergey Brin." And then, you know, there was a rupture with Larry Page in particular.

[00:17:11]Maybe they can bring the band back together, right? Nvidia, he loves Jensen Hong. Jensen Hong loves Elon. He could make that work.

[00:17:19]Um, Distant Sites says, "Warren, you've made an elegant topic expansion from Tesla AI. What do you think will be the SpaceX IPO price for the retail investor? I don't actually haven't looked at it yet. I mean, there's a document that's coming. When the IPO document comes, we'll know. We'll have an idea. I think that the market cap will be somewhere between 1.5 trillion and 2 trillion. Um, and I and I'm not sure like I just saw a criticism of it today that the the valuation's too high.

[00:17:48]You know, the it's I don't know 100 times sales or something like that. some some ridiculous number times the sales.

[00:17:55]Well, if you're looking at what this is the thing with investing and the guy was like, well, people are investing in Elon companies because Elon. Well, no, it's not just because of Elon. It's because we see the mission. We see how much Starlink is going to grow. We see the potential for SpaceX AI data centers.

[00:18:11]Like we we we see the potential for robo taxi and Optimus and how much revenue and profit that's going to generate long run. We see that. Um, how is anthropic playing in this? And we're going to talk about anthropic later in the video.

[00:18:22]So any my point is just that they might sell lean on the idea. You play the M&A game and wild stuff can happen. Okay, ju just just to be clear and this is you know this guy was this is another guy taking a shot at Bradford. I'm not trying to defend Bradford. Bradford and I don't always agree publicly. We don't always agree privately, but I just you know that there are a lot of cheap shots at Bradford over this. Um Tesla Fudker said, "I never said there won't be a premium. All I'm saying is if the proxy vote does come out, it will be in the Tesla board and Elon's best interest to pass the proxy vote. voting though is the same as voting against his comp plan and Texas relocation.

[00:18:55]Um even if there isn't a premium, someone else can make an offer. If there's a proposal, they can make an offer. He's like at 1.75 trillion, I don't think so. No company could afford, let alone in the right mind, would do this.

[00:19:07]You think Nvidia and Google can't afford to do it?

[00:19:11]You think they can't put something together? They're they're bigger than SpaceX. If SpaceX can afford to do it, Nvidia and Google can afford to do it.

[00:19:19]Why would any Mag 7 do a combine entity with Tesla? It's like, well, because first of all, Google and Nvidia can't afford it. Probably a few others. The Saudis would love to get in on any kind of deal. Microsoft can probably afford it. Meta can probably afford it. There's a lot of big company. Amazon can probably afford it. I I think the Google and Nvidia are the ones that make sense, but the other ones could make an offer.

[00:19:38]Why would any Mag 7 do a combine entity with Tesla? Because they think it's worth more than the price.

[00:19:44]Why do people buy things? Because they think it's worth more. I think it's worth more. Everyone who's complaining that they don't think it's fair that it'd be merged at the current share price or even at a premium share price, you know, they they want the full value of Tesla from how where they say it is.

[00:19:59]Well, maybe you Google's running Whimo.

[00:20:01]They might see the value of robo taxi.

[00:20:03]Nvidia's building all this robotic stuff. They might see the value of Optimus.

[00:20:09]Are you sure they don't want to get in on it? So, it's just this this um and and everyone has these like super strong opinions like we don't have the SpaceX IPO document yet. People are jumping ahead to the mer the Tesla the Tesla SpaceX mergers. Like let let's get this SpaceX IPO out of the way first. Let's see how that goes and then let's see like maybe Roboaxi actually like I've got a poll we'll talk about in a minute, but um you know maybe maybe Roboaxi is going to expand quicker than you think.

[00:20:38]Um, Timbo, this is part of the same thread. Warren might others might offer more. So, you're an example. Let's say Nvidia, Google offers a 20% premium. Do you vote no to SpaceX and yes to Nvidia?

[00:20:48]So, that's not how it works. It's not that Nvidia makes an offer and then the shareholders vote, do we take Nvidia's offer or SpaceX's offer? That's not how it works. The board has to consider the offers. If Nvidia makes an offer, Google makes an offer, SpaceX has made an offer, then the board has to think, what are we doing here? Then maybe SpaceX submits a new offer with a higher valuation, you end up with a bidding war. And then the board decides which offer are we going to submit to the shareholders.

[00:21:17]That's how it the board doesn't submit which of these two offers do you want.

[00:21:21]It's the Tesla board, by the way, that makes the that submits it to us as Tesla shareholders.

[00:21:27]People have these fantasies about how this is all going to work. It's like just calm down.

[00:21:32]The SpaceX IPO is going to happen in a couple months, two, three months. I think June was the prediction. By the end of June, I think it might be delayed July, August, we'll see the SpaceX IPO.

[00:21:42]And great SpaceX news with the deal with Anthropic. We're going to talk about it a little bit. Um, after the SpaceX IPO is done, we'll see.

[00:21:51]And I just another critical point. I don't think I have any more slides on this, but if SpaceX has its IPO and I think at one point Herbert said 15 days later they propose a merger with Tesla, everyone who buys in the IPO has a lawsuit against SpaceX for not disclosing their intention to merge with Tesla. When you're buying in an IPO, there's documents telling you what you're buying.

[00:22:17]If they don't tell you that they're planning to acquire a $ 1.4 trillion dollar company and then let's suppose the acquisition happens and then the economy tanks, there's some macro problems, there's some supply chain problems, and the stock price falls. Now you have these massive class action lawsuits and and even if it's in Texas, those class action lawsuits are going to win. So SpaceX can't like just turn around in 15 days or three. Larry Goldberg said they would have to wait three months. Really? You think three months is going to insulate them from the lawsuits.

[00:22:49]I I'm not saying it's impossible. I'm just saying these scenarios are unlikely. And just calm down. We will know when the time comes. There's no reason to panic in May about something that's probably not going to happen until like December at the earliest, more likely next year, if ever.

[00:23:11]We don't know. I I I don't see it like I look if Elon comes forward and he says this is what we need to do in order to make the mission work and this is why and I'm going to be on board with whatever Elon wants probably it's a stretch for me to think of why I wouldn't be on board. I'm not going to be signing up with some lawsuit against against Elon but I I think we got to stop panicking.

[00:23:34]Okay, so we're going to move on.

[00:23:38]Uh there we go. Is that it?

[00:23:43]Yes.

[00:23:45]So, one of the qu interesting questions to me is when does this for this this is for the Tesla nerds and it's related to AI, of course, because real world AI really matters in the in the AI game and people don't appreciate how much real world AI matters. When Tesla has been put they've been showing videos of cyber cabs on semis going somewhere. They made them they made them at the factory.

[00:24:07]They've done some crash testing. They've done whatever they've done. They're making enough cyber cabs that they're sending them out somewhere. So, it's an interesting question. When will the first Tesla cyber cab robo taxi carry a paying passenger? When will the first vehicle without a steering wheel or Tesla start carrying paying passengers?

[00:24:23]So, the poll there was only 73 votes.

[00:24:26]So, I wouldn't and and of course, even if there was a thousand votes, the only people inside Tesla know. Um, a lot of people think before the end of June.

[00:24:36]the vast majority I think between you know by the end of the year almost everybody and and a large majority you know by the end of September.

[00:24:44]So I think when we start seeing cyber cabs taking rise is this question when does the stock start rising when does the stock start rising in anticipation of the value of robo taxi and I think one of the triggers is when cyber capab start I don't I don't think cybercap is the trigger but it's a really positive sign of cybercap starts taking people for rides when does that happen I don't know but You know, there's this question. Why are they making all these cyber cabs if they're not putting them in service?

[00:25:10]Where are they where are they going?

[00:25:11]What are they doing with them?

[00:25:15]144 says, "I've had 14.3.2 for a week now, and I'm not impressed. And the general social media opinion is that it did not move the needle." So, I've been following FSD updates since 2021, I think. FSD beta updates. I don't worry about one person's experience or what people on social media say. They they have this group of people at Tesla called engineers.

[00:25:36]There's software engineers, there's AI engineers, there's hardware engineers, and they have way more data than you have or the social media, you know, talking heads have. So, are you going to see a moment where something doesn't feel right? Sure. Does that mean it's not capable of taking people for rides?

[00:25:52]No.

[00:25:54]Will SpaceX help to launch satellites for SpaceX? I don't understand that question. It was a disaster last launch for Blue Origin last month. I don't Hi, Carsten. I I don't understand your question, Jimmy. Will SpaceX help to launch satellites for SpaceX? SpaceX already launches satellites for SpaceX.

[00:26:10]I I don't know what you mean. Um, okay. So, uh, interesting poll result.

[00:26:17]Let's dive into some comments on X and YouTube.

[00:26:21]Um, this guy Bill Snibbled. I I He's respond history boomer is a is a He's like a history podcaster. Carl something. He says, "You're you're missing the point." He says because you're Oh, so Alexandro Kaziocortez said that billionaires don't create value, right? So they shouldn't be entitled to be billionaires. That's wrong somehow.

[00:26:40]So um this guy Boomer said that's nonsense because anybody who understands it knows it's nonsense. The history boomer says I think he said something about if you open a burger joint and you employ 10 people and then you start making money and then it's successful and you open 10 burger joints and you start making more money and it's successful and at a certain point you get to a thousand burger joints and maybe you're a billionaire.

[00:27:00]When did you when in that chain did you stop creating value? Now my theory is if you're Alexandrio Kaziocortez, you never created value. You opened your first burger joint, your second, your third, you never created value. The workers did everything. You had no role in it.

[00:27:14]Wasn't your money, wasn't your ideas, it wasn't your marketing, it wasn't your investment of your time. None of that had any value. It's only the value of the labor of the workers because they're communists. But he says if you stop and point to the the point he's making is about if you're getting so big that you can dominate the market and force out competition. So the world's largest wealthiest man is Elon Musk and his largest assets are SpaceX and Tesla and Tesla he became a billionaire probably on Tesla before anything.

[00:27:42]Did he become a when he became a billionaire or today is Tesla so big that it's dominating the market and forcing out competition? Is that is that what billionaires do?

[00:27:53]It did did Facebook force tess uh YouTube know Mark Mark Zucker became a billionaire. Did he force the other social media websites out of business?

[00:28:04]Did Amazon Amazon's very successful, but there's other online shopping? There's plenty of retail shopping. Walmart's very successful. There's lots of retail shopping.

[00:28:13]It's this fantasy. It affects the entire economy. Yeah. It affects the entire economy positively because these guys create value. Anybody who ever had a Amazon delivery, package delivery at home understands that Jeff Bezos created a lot of value. It didn't he didn't just like like magically become a billionaire. He worked really hard. He invested a lot of money. He was smart.

[00:28:34]He made good decisions. And those decisions led to Amazon becoming more valuable. And that's why he became so wealthy.

[00:28:41]Not because the workers worked hard.

[00:28:43]Because the workers don't always work hard. Workers whine a lot. And you guys whine about the workers. Um, Rajie, who else is selling Tesla to avoid getting effed by a SpaceX XAI merger? What are you talking about there? There's no merger. If there's going to be a merger, you will have notice in advance.

[00:29:03]If there's a proposed merger, the odds are there will be a premium and your stock price will go up. Why would you sell now? What What is the theory that you're going to sell your stock now?

[00:29:14]It's not like they're going to do a merger and they're going to value Tesla less than its current share that the share price at the time they announced the merger. It doesn't make any sense.

[00:29:22]Yes, AOC is a perpetual source of hilarity. Blue Origin is not SpaceX. Not even close. I don't understand the question.

[00:29:30]I don't even know what Space Mobile is, Jimmy. What's Space Mobile? I don't know. I mean, think Blue Origin starting to become successful. Let's hope they succeed and keep launching more and they can launch their own satellites.

[00:29:41]Um, let's talk about that thumbnail.

[00:29:43]What thumbnail? What thumbnail are we talking about? You lost me.

[00:29:49]So, um I don't even know if I can read this. This might have been a mistake on my part. I just looked at YouTube comments and um I wanted to go through some comments on the AI stocks report channel. So, Tim says, uh Google's the only hyperscaler not paying the NVIDIA tax. So, the Nvidia tax, Nvidia charges a very high premium for its chips. might be $40,000 for an for a AI chip. And Google buys TPUs through Broadcom and Tesla built, you know, gets the AI AI4 chip, eventually the AI5 chip directly from the chip fab rather than working through a company that's adding margin.

[00:30:27]And one of my points of my video, this is in in comment in response to my video about Tesla terapab or SpaceX terapab is if you're you're basically cutting out parts of the chain that have high margin and that enables you to get your chips at lower cost. So he was commenting that um Nvidia is doing this. So I think he said Google avoids the Nvidia premium.

[00:30:49]That's not really true. Google buys a lot of Nvidia GPUs. They avoid they avoid some of the Nvidia premium because they get a lot of their chips through Broadcom. they probably limit Broadcom's margin on that. Broadcom helps design the chips. They use TPUs for a lot of their compute. Um, and and there's this talk about AMD's margins. AMD already has high margins, too. They're not as high as Nvidia, but they have high margins. Um, and AMD AMD share. So, you got to understand Nvidia sells more than 10 times as many chip about 10 times as many chips as AMD, maybe more than 10 times. So Nvidia had AMD has this challenge of like growing like and you know if you can imagine if the market grows 50% and AMD doubles right Nvidia still practically goes 50% anyway Nvidia is the 800 lb gorilla AMD might be able to keep up they might not AMD's challenge is increasing is increasing output they all have ample customers there's there's enough customers for everybody the question is simply can you make enough chips Um, and I just What was this?

[00:32:01]Google still buys a lot of Nvidia hardware. AMD's bottleneck.

[00:32:06]Oh my god, my eyes.

[00:32:11]So, and I wanted to mention that that people underate underestimate Tesla as an AI player. Tesla has real world AI.

[00:32:18]They use AI4 and Cortex and Cortex 2.

[00:32:20]They plan to use AI5, AI6, and D3 as well. These get the same lower cost advantage by going direct to FAB. In fact, Tesla skips over the Broadcom filter, so it's an even bigger edge.

[00:32:30]That's the point of the video. Um, Amazon and Meta may also be doing some custom chips as well, but I don't think they do them to the scale that Google does. I think they may I think Meta may buy from Broadcom. I'm not sure about Amazon.

[00:32:44]Mark says, "So much goes over my head and just put money in and let it grow."

[00:32:49]Okay. So, um this was I think a solid question for understanding what's going on. A little bit of a what my thesis is about AI stocks and the AI world that we're facing is the demand for inference compute is so large and it's going to grow so fast that it's all about can you get the chips, can you get the electricity, can you get the data centers up and running.

[00:33:17]These are the challenges. It is not about getting customers. It's not about finding demand. It's about it's about meeting the supply side of the problem.

[00:33:26]Can you get can you get your inference mach uh your your not only get your data centers up, can you get them working right, can you get your inference compute delivering inference compute at reasonable cost? There's all these issues. So Chris says, how is he going to get the chip fab machines if I think it's ASML has the monopoly and only a fraction of the output? Huge assumption they can reinvent both of them and Zeiss in a timely manner. Zeiss makes the optics that go in the ASML machines, the lithog lithography machines that go in the chip fabs. So, there's this huge supply chain challenge. Um, I don't know the answer to that question. I think that Elon has ideas about how to make chip fabs work better. He may have ways to work around the lithography machines or minimize their use. He may have ways to work around the optics or SpaceX may be able to build the optics themselves.

[00:34:13]SpaceX's really good material science team. They're going to find a way around some bits and pieces. So, right now, if you think that an Nvidia chip is $40,000, okay? And I think Elon said that the AI5 was going to cost about $6,000. So, that's some of the benefit of they go they skip over the Nvidia premium, they skip over the Broadcom premium, and they go right to the chip fab and they're down to $6,000. Not bad.

[00:34:38]Maybe they can get it down to $3500.

[00:34:40]Maybe they can get it down to $2,000.

[00:34:42]And as much as they can get down their chip cost, that means they can deliver more value to customers at lower prices.

[00:34:50]You know, you you're advertising a lower cost chip.

[00:34:54]So you you can deliver your your inference compute at lower cost. That's the game. And and Grock is one of the lowest inference costs per token whatever of of all the foundation models. Google is actually cheaper.

[00:35:08]Google delivers, you know, high volume compute at low cost. My personal experience, Gemini isn't that good.

[00:35:15]Grock is actually pretty good. When I'm coding my apps, I I actually just used Grock 4.30 to do a substantial revision of one of my apps, the the Thai flashcard app. Thai flash card or the TAI reader app? I forget which one. One of my one of my apps. I went back and I said, "Hey, we don't Oh, it was the tie reader app. Since I created a separate flash card app, I removed a lot of the flash card functionality from the reader app." And I had Grock 4.0 do it all. And basically treated it as a junior software engineer and said, "Tell me what you're going to do." And then I shared its plan with codeex chat GPT said, "Here's what my junior software engineer says he's going to do. What do you think?" Yeah, that sounds pretty good. Here's a couple of feedback items.

[00:35:54]Gave the feedback to rock 3.0. Said it understood. Okay, go. It does everything. It gives me a report. I check with the the senior software engineer, Codex, Chad, GPT. Now, what did I do? Codeex has a much higher cost.

[00:36:09]It's like five, six times the cost of Grock. So, I saved I'm not paying I'm paying, you know, a monthly rate for for codecs, but I I have hit the limit. So, and I I don't do that much coding, so I'm not really hitting my limit, but I want to make sure I don't hit my limit.

[00:36:25]So, let me have the senior software engineer review this and hand off the other stuff to the junior software engineer, and I'm saving money. Well, I'm like nobody. Like, can you imagine big company CFO saying, "Hey, wait a minute. Why are we doing all our compute on the high high one on the high expensive one? Why don't you get your use the big one as the senior software engineer and refer stuff to the junior software engineer?

[00:36:46]Thank you, Charles. Um, so it's all about inference compute. Can you get your can you get enough inference compute and can can you get the cost of inference compute down? And if you can get your chips at lower cost, you can get your cost of inference compute down. my thoughts on the SpaceX IPO. Um, it's not public yet. I I don't understand why people are first of all, people are panicking about Tesla merging with SpaceX. Like, when we have the SpaceX IPO documents, I I promise you when SpaceX XAI, SpaceX AI, whatever, announces its IPO and that the the proxy is available and we can we can actually review it and see what's the plan. I promise you I'm going to do a detailed video on it. But I can't do a video on this media outlet has this bit of, you know, inside information and this like it's a confidential document and all these media outlets have these little bits of pieces of information. And I'll say this, if they do not disclose a potential merger with Tesla and the IPO documents, it can't happen anytime soon because they'll expose themselves to massive litigation if they sell stock.

[00:37:54]And we're talking about like you're going to have big index funds. The big, you know, you know, Vanguard, Fidelity, you know, State Street, Black Rockck, all these companies are going to be buying stock in this IPO. And if they turn around and they buy Tesla or merge with Tesla and then the stock falls, that the litigation costs would be insane. They have to be super careful about that. It's not happening anytime soon. Un if it's in the IPO documents, okay, when we see the IPO documents, we'll know about that. But there's no point in like what do you think about the SpaceX IPO? I don't know. It's not public yet. I don't know what to think about it. I don't make judgments on on an IPO I can't buy. I I I don't I need details. Um, another comment from YouTube. Uh, C.

[00:38:38]Bernier says, "Glad you're putting Have I thought about adding lemonade to your list?" So, a lot of I think Bradford, this is one of the things I disagree with Bradford Ferguson about. Bradford's been talking about lemonade. I think Jeff Lutz has some company he loves to talk about. I think it's an an energy company. Um, I don't fall into the I I don't necessarily believe in every company that my friends talk about. So, the problem with I think Lemonade has an interesting business model, but I think that fundamentally it's a car insurance company and AI robo taxis will destroy the insurance industry. The car industry, there's going to be no need for car insurance in a robo taxi world.

[00:39:15]Tesla will be on the hook. If if if you have a a Tesla robo taxi that's going without a driver and it hits somebody and there's a there's a lawsuit, Tesla's on the hook. Even if you own the car, Tesla's on the hook cuz Tesla's driving the car. So, and and the crashes will go maybe you'll have, you know, onetenth the number of crashes. You want to invest in a company where the the the value is going to collapse by 90% or more. I'm not interested in that. Um, so he's like, "Well, I see Lemonade fitting into a robo taxi world, ensuring the cars that individuals own and add to the robo taxi network part time." That's nice, but they're not going to crash.

[00:39:54]And when they're operating as robo taxis, Tesla's on the hook. So, what what are we insur? You know, what percentage of the time the car is driving themselves, anytime they're driving themselves and you're not required to pay attention, then Tesla's on the hook. So, what's the point of the insurance? you know, insurance covers uh vandalism and, you know, I guess the the the Democrats are going to continue attacking Tesla in the future, so maybe you'll have that problem. But by and large, you know, fire, hurricanes, hail storms, I don't think that's going to drive the value of auto insurance enough to justify investing in that company.

[00:40:27]And I'm not saying it's a good company or bad company. I just think the long-term future isn't there.

[00:40:32]Distance site says it appears there will not ever be an ROI on AI. Could the agenda be to build a control system that reneues the need for an ROI? I think there's massive return on investment on on AI. I don't know why you think that. If if if you use AI to build, you can see like massive productivity improvement. The the value is off the charts. I I I don't know why people think there's no ROI.

[00:40:58]Tesla should improve their battery technology. Other companies have semi-olid state technology. available.

[00:41:02]Oh my god. All right. Well, we'll I'll I'll touch on this one.

[00:41:06]No one has a meaningful improvement on battery technology at scale yet. Tesla can't take a battery technology that's available for 10,000 cars a year and put it in Model 3 or Model Y because they make ballpark a million a year of each or half a million of year of one and a million a year of the other.

[00:41:26]They're going to make that many s like you need to have a technology that is produced at scale.

[00:41:31]once and and look Tesla works with CL they work with BYYD they work with LG Cam they work with Panasonic if somebody comes up with a battery technology that's really good reasonable cost at scale manufactured at scale Tesla buy the batteries it'll go in the cars but as I'm I'm in Thailand and I see the the the Chinese EVs that advertise they have this you know 5x charging speed they're in like the the premium models that cost 510 $10,000 more and no one buys them. They're not on the road. And not to mention, Thailand doesn't have the charging network for them anyway.

[00:42:06]So, it sounds good. You're going to need if you're going to have vehicles that are charging at, you know, 500 watts, 500 kilowatts, well, where are the 500 kilowatt chargers? Who's going to who's going to deploy those?

[00:42:19]It's and and it's it becomes irrelevant in the robo taxi world. So, why worry about it? You're not going to bother owning a car in the future.

[00:42:27]And if you do own a car, you know, I mean, maybe.

[00:42:31]Um, happy is it Mother's Day? I have no idea. I'm so out of the loop.

[00:42:38]Okay. Um, next one.

[00:42:43]I kind of wish Tesla would have just asked Intel to build the chips on their fabs. Intel has been pretty desperate for 14 big whale customer. They would still be paying margins to Intel, right?

[00:42:52]The whole point is to try to avoid paying margins, right? They're trying they're trying to minimize margins. So if you if you just go straight to Intel, then you're paying Intel margins.

[00:43:00]They're partnering with Intel and Terapab. We'll see how that goes.

[00:43:03]Um replacing Nvidia and TSMC is hard, but probably within Tesla's capability.

[00:43:08]Replacing ASML is extremely hard. So they're not replacing Nvidia or TSMC.

[00:43:15]Their demand for chips is so large. I think that the the chip fab that they're talking about making will produce about 100 million chips a year. and their demand for chips is about 150 million chips a year, if not more.

[00:43:28]It's it's they they want every chip they can get from TSMC and Nvidia and they just can't make enough. So Elon said, "I can't get somebody to commit to me that they're going to make enough chips for that I want. So I got to make my own fab." And from a practical reality standpoint, if you can get your cost per chip down by not paying a premium to that other guy, then you're making a difference. But they're still going to buy huge volumes of Nvidia GB300's and whatever the Vera Rubins and they're still going to buy plenty of chips from those guys. That's that's not going to stop.

[00:44:00]Um TM oh Tim this is another video comment from Tim says oh sure they can just raise $20 billion secure ASML tools.

[00:44:09]It's $55 billion by the way.

[00:44:12]poach scarce for process engineers, develop licens all these problems, right? There's all and this is all true.

[00:44:17]There's there's huge problems in trying to do what Tesla's trying to do and what SpaceX is trying to do. But he makes this comment like it doesn't make any sense because you're not going to utilize a full chip fab. Like no, you didn't watch the video. Their internal demand will be at least 100 million 50 million chips a year. 100 million Optimus, one chip each, that's 100 million. 20 million cars, cyber cabs, Model Y's, whatever together. two chips each, 40 million chips. Now you got space data centers. Now you got terrestrial data centers. You're 150 million chips a year, maybe more.

[00:44:50]That's that's three fabs, not two.

[00:44:54]And maybe they need more for data centers than I'm I'm counting. So they might need four. Um they they need way more than one fab. Way more than one fab. And I, you know, I agree with him 100% that everything that Elon's talking about doing looks impossible from here.

[00:45:09]But Elon specializes in turning the impossible into late. So I I and I think there's a theory that um Matt Matt Smith did a great video, Nerd Alert on X, um part of Rebellion did a great video talking about this stories about data centers being canceled or stalled. And he's like, well, there's a lot of projects. So it sounds like there's a lot being cancelled, but it misses that there's a lot being built. But if data center growth stalls, if you know the Democrats stall them, local opposition stalls them, there isn't enough energy, there isn't enough voltage transformers that stalls them, then there may be a limit to the demand for ASML's tools and that may create an opportunity for Elen to swoop in and buy their excess. Maybe lost in the Philippines. Hello. Is that BM?

[00:45:59]I don't know who that is.

[00:46:01]Um, and following up on that may have glossed over the assumptions of future demand. Number assumes robo taxi and Optimus ramps roughly on schedule.

[00:46:09]So, it doesn't assume that Optimus and and robo taxi ramp on schedule. In fact, I think we can probably say that the fab is more likely to be delayed than Optimus and robo taxi. Robo taxi is going to hit. It's got to hit. It's got to ramp by the end of 2027. And a fab won't be producing ships until 2028.

[00:46:32]Optimus will be produced in some volume.

[00:46:33]I think Optimus, they're already they already like laid out this started to build the 10 million Optimus factory. I don't think the 100 million Optimus factory is coming anytime soon. That's, you know, 2029, maybe 2030. So, they're not going to ramp to 100 million Optimus for a few years. But you want to have your fab ready to run cuz if if you don't have chips to run your Optimus, you can't run your Optimus.

[00:46:55]Okay. Um, last X comment. Um, it's this long post by Jukan about the anthropic. We're going to talk about the anthropic XAI deal in a minute. Um, XAI handing over the 22,000 220 thou 220,000 GPU clustered anthropics Colossus one. And I just was really annoyed at this guy's post. Um, it's frustrating to read somebody take a few snapshot in time facts and spin a narrative that's grossly misleading. So, there was a report that XAI was using only using 11% of Colossus 1.

[00:47:29]But that was a moment in time. That doesn't mean for weeks or months or, you know, whatever that they were limited to 11%. There was a moment in time where they were having a problem. It doesn't mean they weren't going to solve it. Um, there's another thing about Colossus 1 is 40% of XAI's compute. Yeah. at a moment in time. But as Colossus 2 ramps, Colossus one becomes smaller and smaller and smaller. Colossus 2 is already much larger than Colossus one, still growing.

[00:47:53]The smaller older facility will be less than 20% of commute compute if not already there.

[00:47:59]Saying the revenue makes XAI break even misses the there's massive positive I did this in my video the the the growth in my ex post the massive positive gross margin because of capex efficiency generating their own power. XAI may be making 70% gross margin on this deal with an we don't know what they're paying. We don't know what their costs are, but if you dig into the numbers, you do a little analysis, it's probably it's certainly over 30% margin.

[00:48:26]Good chance it's over 50% margin. It could be 70% margin. So, this is a massive and then you you go into SpaceX IPO with, well, now we're making a lot of money on our compute cluster. That's not going to hurt the IPO.

[00:48:40]Um, okay. Moving on.

[00:48:47]Just positive story. First full stack of Starship V3, there was a uh Mark probably sent this to me. There was a a static fire of the the super heavy booster that went well.

[00:49:03]Um, a lot of good things happening. Jim Whitehead in the house. Hello.

[00:49:08]Um, the anthropic deal, SpaceX will provide anthropic access to Colossus One, one of the large, largest, and fastest deployed AI supercomputers to provide additional capacity for Claude.

[00:49:19]Um, and SpaceX AI and Anthropic AI have expressed interest in partnering to develop multiple gigawatts of orbital AI compute capacity. That's good to see.

[00:49:29]That's probably, you know, it's down the road, but that's coming. Um, and then Claude, Claude is the the AI chatbot that I use when I use Claude. I use Claude occasionally. It's not It's my number probably my number three. I think it's my number four. I think it's the fourth one that I use, but I use it occasionally. It's It's a good It's a good senior software engineer when you want to do code review. Um I don't pay for it, so I'm limited to what I can do with it. And they they've they this is kind of interesting because I was talking to a friend about this. So we do a partnership. This along with other compute deals means we've been able to increase our usage limits for cloud code and the cloud API. They were short on inference compute. Inference compute matters. This is a a point I'm going to be driving home again and again on the AI stocks report. You need more inference compute. Inference compute is the game. If you don't have enough inference compute, you can't compete with somebody who has more.

[00:50:20]So, in the long run, whoever has the most inference compute wins the most. It doesn't mean you don't win, but whoever has the most inference compute wins the most. So effective today, we are doubling Claude codes 5 hour rate limits for pro max and team plans, removing the peak hours limit reduction on cloud code for pro and max plans and substantially raising our API rate limits for Opus models. So I didn't have this problem with Claude. I did have this problem with codeex that and I have a friend who has been doing in Japan who's been doing work with Claude and he ran into a limit. You're you're getting work done and all of a sudden they say, "Okay, you're you're you're out. Come back in 5 hours. Come back tomorrow. you can't do any more work today. Or you can upgrade to our more expensive model which is like five times as much money and then you're still going to run into your rate limit if you do a lot of work. So um it's very frustrating and this is the kind of thing that makes me say okay I need to use lower cost models when I can. I think you're going to see companies making those decisions and it you know inference compute is going to go to lower cost. So will claude be able to get their cost. This allows them to get their cost of inference compute down some. It allows uh codecs will probably figure out ways of getting their inference compute down. As the cost of inference compute goes down, then people are able to do more and AI becomes more productive. People become more productive with AI. We see we see even more good things happening.

[00:51:37]Um yes, the the claw deal will goose SpaceX going public 100% because you know, you can just see well they're going to build more AI data centers.

[00:51:44]Colossus 2 isn't going to be the last one.

[00:51:48]I read that cloud was frustrating many people so Elon may have saved their bet.

[00:51:51]Yeah, it it definitely helps Claude that Claude was running into a problem.

[00:51:56]Um, and Elon helped them out of their problem and that's going to help long term. And you know that and Elon said this about this they will not they're not going to abuse their market power to overcharge people for access to their launches. They they launch other people's satellites at at reasonable cost and they're going to give people access to their compute clusters, including their orbital compute clusters, at reasonable cost.

[00:52:22]They're not going to milk people.

[00:52:23]They're not going to, you know, get excessive pricing, you know, if if they succeed and they they end up being the dominant source of inference compute, they're not going to overcharge for it. That's the way Elon has run in the past and that's the way he's likely to run in the future.

[00:52:39]Um, just really quick, you know, Elon was commenting about Nvidia was talking about this deal between SpaceX and XAI using Nvidia GPUs in the cluster, and Elon said the GB300 is the best AI computer. I believe the GB300 is what's in Colossus 2 or what's coming in Colossus 3 and maybe in Cortex 2 or Cortex 3, Tesla's compute clusters.

[00:53:02]Um, Elon responded, "Retards are already announcing the death of Grock." Elon said, "We have many great Grock models training simultaneously in Colossus 2.

[00:53:09]Confident they will bear fruit. Work on the Grock built harness or build harness is progressing well." As as a as a user, Codeex has the best for me. Writing code for Mac and iOS, Codeex has the best interface for me. I'm not a I'm not a programmer. I don't love command line interfaces. Codeex has the best interface for me. The other labs need to make better interfaces. I think Claude probably has a very good interface, but I haven't tried it. Um, so Grock needs a better interface. They need There's a lot of things that they need to get up to speed. They're there's a deal going with uh SpaceX and and Code and Codeex um Cursor to work on their coding package. Um, a lot of good stuff happening.

[00:53:55]Yes, they're avoiding the standard oil monopoly, you know, situation 100%. So, you know, Grock is not dead. Don't don't don't panic. Um, last just for those who followed my channel for a long time, you know I'm a I'm a huge fan of Lucid Motors.

[00:54:11]Lucid, in the words of Stephen McGryan, Lucid Motors. So, I call it the Lucid Motors death watch. They had $714 million of cash at the end of the quarter. Free cash flow was a negative 1.4 billion. If you have $700 million in cash and your free cash flow was negative 1.4 billion, that's not a good sign. They did raise another billion from the Saudi sugar daddies, but they have massively negative gross margin.

[00:54:36]Massive negative EBIT margin. Another Tesla killer doing well. So, I just um I I called Lucid a fraud, a scam, whatever. I called it all that stuff early. I was one of the leaders in saying this isn't going to work for Lucid out. That there's too many things wrong with this company. They're not dead yet, but they're only alive because the Saudis keep pumping money into this pig. Um, waiting to see if Rivian can execute on the R2. Um, Rivian has similar problems. I I I root more for Rivian because I think that R.J. Scaring has been more honest in what they're doing. I always felt that Lucid's leadership was misleading. I think R.J.'s been more straightforward. you know, whether they I think their big question on the R2 is can they get the cost out. Now that Tesla's getting out of car sales, there's room for a lot of other EV makers. Uh I wouldn't say that Tesla's getting out of car sales directly yet. And if Robo Taxi takes off, there's not going to be room for car makers in general because every robo taxi replaces five cars. So, the new new car market collapses when Robo Taxi starts scaling. Um you know, the the used cars have lower cost per mile, so they'll stick around longer. My mom warned me about loose women, not lucid firms. Loose women. Lucid.

[00:55:54]Oh, sorry.

[00:55:57]So, let's see what's going on in the chat. Did I miss anything?

[00:56:01]Um, we're running up on an hour. I usually like to go an hour. I think we we we've done well. Um, so let me just close with this. You know, the AI stocks report is what we're doing going forward.

[00:56:14]Um that's the the main focus of this channel now which is AI stocks and that that includes Tesla, it includes SpaceX.

[00:56:21]Um I think that AI is game changer. It's changing everything.

[00:56:27]Um you know I' I've lived through a lot.

[00:56:29]I've I've lived through a lot of of technology change. Um I I used um pre-AIntosh computers. I used, you know, 8086 Intel computers and MS DOSs and then Mac and Windows and I think I used the Apple 2 before there was a Mac and I I go way back with the world of computers and computers changed everything and we saw killer apps come along. I I I tend to think of it as like technology comes in waves. Let me get this off the screen. technology comes in waves and you'll get a wave and then some companies surf on the wave.

[00:57:11]So, you know, Microsoft comes along with Windows and you know, there's there's there's the PC comes along and somebody makes a spreadsheet and that rides the wave. And then people make companies that ride on the spreadsheet wave.

[00:57:24]And then you have the internet comes along and the internet's cool. And then you have the hardware companies that are making money on the internet wave. And you have all of a sudden you have Google search and then you have you have portals. We had portals before we had Google before we had search. We had portals and people wrote the portal wave. And then you have the search wave.

[00:57:41]Then you have search engine optimization and search engine marketing. And I I built my law firm on search engine optimization and search engine marketing way back in the day. Um, and the iPhone comes out, smartphones come out, you have a wave of technology of apps that are riding on the smartphones. I'm I'm using AI to build apps for smartphones and and computers. So, there's this these waves of technology coming and this this wave is coming. You know, Elon calls it a supersonic tsunami, but there's this wave of AI coming and and it creates massive opportunities and it's very hard to see what the killer apps are going to be. Like I think Elon thinks that video on demand is going to be a killer app. You know, generative video on demand is going to be a killer app. Maybe he's right. I think adult video on demand would be a killer app. I'm not sure who's going to supply the the compute for that, but you know, adult entertainment on demand is probably going to be huge. I actually like I actually went through the process of figuring out, well, how would I do that if I was going to do that? Um, I think using AI to build physical things to help you plan out how to build physical things. There's so many different ways that this is going to change the game. If you think about how much the internet changed the game, if you think about how much cell phones changed the game that you know that there there's so many things that have changed the game so far and this is bigger than all of them. I what I see the productivity jump that this creates the opportunity to do this and you know like any one of us at any moment in time for free and talk to chat GPT or Grock or Gemini or Claude and ask a question that no one we know could answer and have a detailed in-depth conversation about whatever is on our minds and get a really good answer and you know 90 better better answers we're going to get from our Um, how are all my projects going? Carsten asks. So, the you're in the middle of one of them right now. The AI stocks report is going well. It's going it's going well in the sense that I'm enjoying it and I'm productive. I'm making videos. I think the videos I'm making are good. I'm roughly achieving my targets in terms of roughly having 15-inute videos, having a video every day of the, you know, the day of the week, doing this live stream. Um, the views aren't there yet. I think it takes time when you pivot your content for YouTube to find your audience for you.

[00:59:58]Um, and I don't know that these videos are doing particularly well on X yet.

[01:00:02]We'll see. Um, I'm building four different language apps, a reader app and a flashcard app each for Japanese and Thai. Um, I think that's going really well, but that's on pause while I'm get that getting this AI stocks report going and getting it down and getting comfortable with how I'm doing it is work. In case it's not obvious, this is work. This is it's it's work I enjoy, but it's not easy. It's taking a lot of time. Um, and and my theory is that by the end of the second week or by the end of the third week, I will have more time and I'll be able to get back into building the apps. And I did uh yesterday, day before yesterday, I did spend a little bit of time with one of the language apps having Gro 4.30 remove a set of features that were no longer necessary for that uh the the tie reader app. Um, and I'm like there's like a whole bunch of ideas in my head and I I bounce my ideas off the AIS codeex and and and Grock and and um I think that's going well. And I I'm hopeful that I will have functioning. I mean, they're already functioning. I can already use them to learn, but but functioning to the point where I can put them on an app store on Mac App Store and then iOS app store. I'm hoping that I'll be able to do that are we may by the end of June. And maybe that's a little optimistic, but I think there's a chance I can get there. Um, the pod car is on hold. I did have I had a lengthy conversation with Gemini. Uh, Google Gemini. And Gemini had me convinced I could build the pod car prototype myself, but I don't need to hire anyone.

[01:01:30]I might need to outsource bits and pieces of the project, significant bits and pieces of the project. But Gemini is like, "Oh, you can build the prototype yourself." And I'm like, I'm a little worried. Like, is it hallucinating?

[01:01:41]Um, so the podcast might happen next year. The podcast prototype might actually happen next year if if Gemini is not crazy. Um, yeah, I'm using AIS to AI is helping me do my thumbnails. I I consulted with the AIS first on the style of the thumbnails. I pretty much do the thumbnails myself, but I use the AIS to make, you know, my face going like this, you know, whatever. You know, you if you see my face as a funny face, AI probably made that from my regular face, right?

[01:02:12]And then I find the text isn't bright enough and I can ask the AI, hey, make that text brighter or something like that and it can make the image look a little better. So, I'm using AI for that. I'm using a I'm using AI to research for every day's show. Tell me the top five news stories in AI. Tell me a rundown of what happened to each of these stocks and what the Wall Street buzz is about them, right? And this this fe and what were there any major pod podcasts worth paying attention to in AI? Were there any did any of the major CEOs appear on any interviews or or podcasts? Right. There's a CEO watching Podwatch and I use AI to help get that going. You must be paying Gemini good for that outcome. Um I haven't paid Gemini yet. Um the the podc thing won't happen until next year. I pay um effectively pay I do pay X AI SpaceX whatever for Grock and I am paying $20 a month for Chat GBT and Codex. Um I'm not paying for Gemini. I'm not paying for Claude. I've thought about paying for Claude and I haven't talked myself into it yet. Um I'm going to wait and see when this is actually implemented at scale and maybe I'll try using Claude uh at some point with my apps. But the thing is my apps are going really well with Codeex as it is. So, I'm not really motivated to change.

[01:03:30]Um, you can ask AI to analyze trends that don't have good videos yet in a topic area. I think that's actually built into YouTube. That's actually built into YouTube. YouTube, one of the reasons that Google is underestimated is Google is using their AI everywhere in their apps. So, it's actually in we have this app. We content creators have an app called Studio.

[01:03:50]And all of a sudden, there's all these spots in Studio where you can ask AI a question about your analytics. And there's a specific thing about, you know, here's what you might make want to make a video about. But I'm not looking for like, okay, how can I make a video that people are looking for? I've identified what I want to do. And I really enjoy this this this AI stocks report thing that I'm doing. I really enjoy doing this. I'm really interested in it. I'm trying I think it's really important to understand what's happening with AI and as an investor, it's really important to understand what's happening with AI stocks. I think that these stocks, let me go back to um I I think that these stocks in general, AMD, uh ASML which makes lithography machines, Tesla, Nvidia, Google, AVGO is Broadcom, which makes the chips for Google, TSMC and Palanteer.

[01:04:42]And then you have the the preipo companies, Anthropic and Open AI and Anderil and SpaceX. These companies have tremendous potential um number one to deliver great value for humanity and number two to make tremendous revenue growth, profit growth and share price growth. So my prediction is like we the the index started at a th00and um April 30th. My prediction is by the end of 2027 the AISR index might hit 2,000. Now that it's a little tricky because I think by the end, you know, later this year, SpaceX will be added to the index and then we're going to probably add Anthropic might get their IPO. Open AAI seems to be delayed. Android might have their IPO. So the the total number of companies in here might go up and that might affect the index. But I mean the index for these eight companies, there's a really strong chance it's going to be 2,000. It's going to double within maybe not a year, but a year and a half. And that's why the options videos matter so much because that these long call options if the stock goes up 20 30% I'm you know the my long call strategy is not it's aggressive right but if I'm right and some of these companies double then the the the options value is insane.

[01:05:57]Um Micron um is one of my secondary stocks. I'm aware of Micron. I pay attention to it. Um their high bandwidth memory. The problem with Micron is the same as all these companies. Can they can they grow their production? Can they grow what they sell? If they can't if they can't make more, then they can't sell more. This is the hurdle for everybody. Can you make more of the stuff? There's infinite effectively infinite demand for Micron's chips. Um, and then people are going to find a way just like people are going to find a way to route to the lowest cost of inference. You know, Elon has found a way to route around the the high bandwidth memory that Micron makes. Um, he's he's going with SRAMM on the chips or AI5 and AI6. SRAM on the chips and then DDR memory instead of HPM memory you save money. I don't think that's the only reason to save money but you know for for inference hardware edge inference hardware on on Optimus and and Roboaxi it doesn't need the high bandwidth memory. So you know if more people figure out hey we can get by without high bandwidth memory then Micron may not have as much of a advantage as you think. Um but they're in my I keep an eye on Micron. They're in my secondary stock list.

[01:07:03]I I didn't include them in their primary in my primary and this is the same thing with like Meta. Meta has a has a AI model. They have their hyperscaler, but they're not quite there. Micron Run has a lot of customers in a lot of areas.

[01:07:16]They're not purely an AI company. A lot of these companies are really purely AI companies and that's what they're they're they're completely driven by AI at this point. Jim Whitehead says, "I have lots of $440 Tesla calls and it goes up and down 10x as much as the common stock now." Yeah. Yeah. Yeah.

[01:07:32]Absolutely. My options are are crazy.

[01:07:35]Um, thank you, Carsten. Um, I found that Grock is great at designing book jacket covers, but you have to give it a model such as science fiction art.

[01:07:50]Yeah, there's actually a Gro imagine feature where you can you can feed it's called the Grom Imagine projects, and you can feed it like sample pictures.

[01:07:57]Like I had this idea for I had this idea for a zombie dog movie and I'm not going to make the movie but I was like let me see if I can make a trailer. So if you don't know this Thailand has a lot of stray dogs. I would call it a stray dog problem. They're known as soy dogs.

[01:08:11]Soya's street. Um and I had this vision of like I'm going to make a a trailer and it didn't go well. But I think I didn't use the the feature right of like giving it the characters and then having this character do this and having this character do that. I like gave it three dogs at once. I probably should have given it individual dogs.

[01:08:30]Um, so there's a lot there's a lot of tremendous stuff that's happening with AI. A lot of different I'm trying to get my kids to use AI. Uh, if you have children, you know, like my my my oldest is a storyteller and she's doing these like regular ways of telling stories.

[01:08:46]Like, why don't you get a let me hook you up with a Grock Imagine account and you could start making videos with Gromag Imagine. Not interested.

[01:08:53]Um, it's comical that like the old man is into the new technology and the young people aren't. But that's that's the world we live in sometimes.

[01:09:00]See all the ideas floating in Warren's head. Ah, I I joke with my wife that I have 17 hamsters in my head. And when I'm when I'm when I'm nailing it, like right now, all my hamsters are going the same direction. Let's make the live stream. When I'm working on my videos, they usually all my hamsters are going the same direction. But sometimes when you're trying to sleep at night and the hamsters are like fighting, there's like chaos inside your head. I was on the treadmill the other day. I, for those who don't know, I exercise a lot. My exercise system program is going great.

[01:09:28]I'm doing really well. Um, I hit I'm getting close to my lowest weight so far. I'm trying to lose weight. It's part of this plan. So, I was on the treadmill and it was like just a storm in my head. I'm like I'm usually really good when I'm doing cardio or when I'm doing strength training. I'm I'm always locked in. When I'm doing cardio, I'm usually locked in and I'm on the treadmill and my mind is just going and this happens to me on the bike, too.

[01:09:52]Some when when you when you get going at a certain level on the bike or on the treadmill, you you you hit a like a like your body just knows what it's doing and then your mind starts thinking freely and my heart rate goes up. My heart rate goes up when I'm doing cardio if I if I'm not focused on the cardio. If I start think like I'll I think my favorite example is I'm on the bike and I start thinking about doing squats later and the the thought of doing squats makes my heart rate go up. It's just crazy. AI still doesn't have any common sense. I created a cartoon with aliens watching dumb humans on the moon and I put the aliens it put the aliens in NASA space suits. Um I think that it it might have more common sense than you realize. There does seem to be younger generation issue with AI. We'll see. push the hair out.

[01:10:41]Grock imagined you with an afro. Yeah.

[01:10:44]I had an afro long ago. Long ago, I had an afro. Good old days. Okay, so um I hope this is uh interesting for you. I would ask you again, please, when you see my videos, please like them, please comment on them, please share them. Uh please let other people know, hey, this there's my friend Warren's got this really cool channel where he's talking about AI stocks. It's really worth checking out. Share it wherever you can.

[01:11:10]Let people know. I think I'm making good videos. I think that the daily videos, they're I'm not taking too long. I'm I've got a good system of this is what matters. This is what's important. It's a long-term perspective on this the daily news. You know, it's not okay, this I'm not I'm not going to say here's what's happening with AMD and the stock's going to go up 10% today. I'm not going to make that call. It's here's why I think this matters longterm for AMD. here's why I think this matters long term here's what matters long term for Broadcom right that's what and and you'll see these stories is like okay does this story really matter for the long term and I think that perspective helps long-term investors understand what's happening on the market today I hope that's helpful to everybody and please share etc slap the original Patrick Stewart Tupe on him maybe all right thanks everybody so much for watching you all have a good day for me it's a good night I'm going to go to sleep soon thanks everyone bye-bye