Technology
OpenAI Backtracks, Elon's Netflix Boycott, and Instagram Safety Features
In this episode of Pivot, Cara Swisher and Scott Galloway discuss OpenAI's recent backtracking, Elon Musk's Netflix boycott, and new safety features on Instagram. They also delve into the dy...
OpenAI Backtracks, Elon's Netflix Boycott, and Instagram Safety Features
Technology •
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Interactive Transcript
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This week on version history, the Verge's new chat show about old technology, we are
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talking about a gadget that burned bright.
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And I mean that literally back in 2015.
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We're talking about hoverboards, those things that went from basically obscurity to the
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absolute center of culture.
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Justin Bieber was writing one on Instagram and then flamed out spectacularly.
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All in, I bet less time than you think.
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We sell the full story of hoverboards and then wonder where they might be now and where
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they might go next.
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On version history, which you can find on YouTube or on your podcast app.
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We're not nearly as good looking.
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We don't have nearly as good a makeup.
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The stats aren't as good, fine.
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We are as good looking.
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Hi everyone, this is Pivot from New York Magazine in the Vox Media Podcast Network.
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I'm Cara Swisher.
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And I'm Scott Galloway.
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How are you doing today, Scott?
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I'm good, I got a little bit of the X-bar hangover.
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Did it's any last night?
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4 a.m. couldn't sleep.
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What?
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Are you having trouble sleeping when you're all I'm getting?
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I am.
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I wake up at 4.18 every night.
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I'm turning into those people that just like a ghost walk around the house.
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Oh, I don't walk.
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It's such a good sleeper.
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Yeah, you're supposed to do that.
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You're supposed to get up and walk around to see, you know, not try to go to sleep lying
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there.
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I've been watching, you know what?
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I'll watch anything with my favorite actor, Hitler.
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I just, I've been World War II and I watch the Battle of the Bulge in Color.
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You know, I mean, I'm obsessed with World War II.
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I'm officially 100 years old.
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Not Rome, I usually men are Rome, but Rome or Hitler usually seems to be the things.
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Men of your age like to watch.
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No, no, no, no.
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No, no.
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Ron Shesme when I did this weekend.
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Oh, sorry.
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What'd you do this weekend?
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I had a mermaid party.
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Oh, yeah.
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So that obviously was for lucky, not for one of your kids.
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No, it was for Claire.
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And it was like, so it was so interesting because all the girls showed up in mermaid outfits,
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every single one of them.
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And they were fantastic.
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Let me just say versions of Mermaids, all kinds of spangles and this and that.
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All the guys, all the boys, we were, many showed up in superhero costumes.
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Interesting.
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Yeah.
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If anyone wants to believe gender's not a thing, just have a party and invite boys and girls
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over and see what they do.
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Put a room full of dolls and cars and see what happens.
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Yeah, it was interesting.
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It was interesting.
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They looked fantastic.
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Sarah had a great time.
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We had a treasure hunt.
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Amanda baked the cake.
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It was beautiful and delicious.
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And it was fun.
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It was good.
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I cleaned the yard with my power washer.
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That was fun for me.
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That's a flag.
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We really have gender.
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Speaking of gender.
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That's a flex.
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She liked the cake and you did the power wash.
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So if it's a really difficult parking spot, you handle it.
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Is that what you're saying?
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Yes, that's correct.
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That's what's going on.
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Yeah.
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Yeah.
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Yeah.
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In fact, I get handed like this morning, so I'll handed me one.
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Every time he has something broken or needs a battery, he hands it to me.
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Mama will fix it.
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Yeah.
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We are in a gender role.
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I hate to say it.
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Put it straight.
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The best alliance in history is the alliance between masculine and feminine energy.
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I guess.
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So is there a specific mermaid piece of IP?
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What is it?
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Oh, yeah.
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Little mermaid.
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They love the little mix.
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Well, they love to listen.
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Everyone likes K-pop demon hunters still.
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This is like a crazy trend happening, but among boys and girls, by the way.
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But mermaid, little mermaid.
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That's the Disney mermaid.
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My favorite kind of mermaid IP is Bill Belichex.
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Instagram of his 22 year old mermaid.
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I love the thought.
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I love that they planned that.
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They thought this will be a big hit.
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This is a really good idea.
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Have you seen that Instagram of them?
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Yes.
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Oh, my God.
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I know.
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I'm so here for it.
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Are you?
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Is that going to be you someday?
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Do not have your best friends.
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I let's hope so.
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I need to get much richer.
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Why do you think I'm doing this?
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You get value that lady of yours.
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She is the same.
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I should do the same.
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But let me just say, your lady is fantastic.
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My lady.
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As Robert referenced, that one is accepting a lifetime.
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And my lady friend.
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I'm like, my lady friend.
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Yeah.
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My lady friend.
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Yeah.
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I often call men ladies.
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I go, hey, ladies, let's go.
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It ignores them.
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And yet they never object.
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It was just interesting.
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Speaking of which, what are you dressing up for Halloween?
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I'm so excited.
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I knew this.
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I'm so excited.
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I am again.
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My assistant who is usually in charge wanted me to go to Larry David.
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I'm like, no one's going to bite me into the bathroom to do ketamine when I'm dressed
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like Larry David.
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Okay.
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You're right.
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No like hot women are going to come up to me and say, you know, hey, what can I get you?
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Can I follow you on Instagram?
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But that would work.
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Larry David would want to go.
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Oh, 100% I'm bringing out the one that works.
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I'm going as Deadpool again.
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Oh, you love that outfit.
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I'm going as Deadpool after the fire.
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So I have to get a makeup artist to put all these scars all over my head.
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Oh, wow.
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But I don't know which private members club to go to.
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There's a lot of competition this year because they're all, they're all competing.
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It's great.
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If you think the competition between AI is intense, it's nothing compared to the private
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membership blood bath that is taking place in New York.
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They're not all going to make it, right?
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Oh, no.
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There's what happened was I'm fascinated with the economics of this.
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Okay.
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Basically, there's been so else.
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Which one's public?
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Can you, which one's so how?
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So else is public.
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It's just got taken private.
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It's a fantastic deal.
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It's a great idea.
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It doesn't make money.
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It spends too much money.
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Shouldn't have been a public company.
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It's been taken private.
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But that's sort of like a Toyota, like good value for the money.
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Young.
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And then this really talented entrepreneur in the sky.
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And Scott Sartian as a lovely guy started zero bond.
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He came in with a Mercedes offering and everything's demographically driven.
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There's just so much money now at the top 1%.
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And it was a huge hit.
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And about 36 months or 24 months later, these things just started popping up everywhere.
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Literally everywhere.
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And the bummer is, I mean, if you have money, great.
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The bummer is, is that where do young people go who don't have the money to get into
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a private member's club?
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Right.
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That's an opening.
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That's an opening in those kind.
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And that area is cheaper.
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And then again, if it's too cheap, then it's everyone can go.
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Essentially, there's the same phenomenon here in DC.
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There's the Ned.
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And then there's this one that Trump people opened up with.
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Shamath, Polyhopathy and the whole gang.
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But that one, a Trumper just told me they're all dropping in price.
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Especially the Trump one.
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Like it was started at like $500,000.
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Oh, come on.
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Everyone wants to go hang out with those guys.
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And also you're ignoring.
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I know, but I'm just saying it dropped.
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You're ignoring a basic truth.
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And that is, or we're not talking about this.
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Reality is, all these things are driven off of two things.
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They're driven off of rich men and the hot women that like rich men.
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There's some fun, cool stuff that's creative on the lower east side.
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But the reality is these private members clubs, they price the skirmannet,
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which they should for younger people.
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But basically, it's a much of 40-something year old dudes
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and a much of hot 20-something year old women.
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When I moved, I remember going,
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there's such a weird, like, power dynamic in terms of the mating market.
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When I first moved to New York, I just came out of UCLA
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where I was not a big deal, but I was young and good looking
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and finally coming in my own and dating a lot of very high caliber women.
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I got to New York at the age of 22.
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Was a Morton Stanley analyst?
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I couldn't get arrested because any of the women who used to date me at UCLA
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were dating 35-year-old hedge fund managers that could take them to the Hamptons.
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So if you're a guy in your 20s in New York, you might as well be invisible.
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At the same time, if you're a woman going into her 30s
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who's nice and attractive and not crazy hot,
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you might as well be invisible.
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New York is America.
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It's optimized for two people,
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wealthy men and hot women.
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For everybody else, it's a soul-crushing experience.
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And these clubs are that on steroids.
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I would agree.
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You know I don't drink.
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And I, but I've started going to bars with a man
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that we went to a great one in DC in Georgetown, too.
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The idea of going to bars now is more appealing than a club to me.
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Like without a-
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How do lounges or bars?
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Well, this one was this little thing called a fountain in.
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And it was just an old Georgetown townhouse that they were doing.
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It was very warm and lovely with really creative drinks and everything.
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Did you have a PIMS cup with Chattod?
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No, no.
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There's no check.
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Jesus Christ.
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The other one is more like a bar.
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And it was full of young people, but older people.
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Because they had games.
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They had ping pong.
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They had, it just was lovely food, but not too fancy.
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Just it was full of young people playing games, which I loved.
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Like, and not just young people, but it was like a mix.
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It was really.
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It was really lame.
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I just, I just told her to groan.
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These are George Stephanopolis.
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It wasn't those people.
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It was not fancy.
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I'm just saying, like, you should encourage that I go to bars.
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I'm, is that right?
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I avoid DC because there's like, I've never found the only way
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to drinking spots are like interns and you feel like a purve.
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There's like no cool lounges or places for.
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Well, I'll take you to, I don't belong to the net,
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but we'll go to the net.
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The net is actually kind of nice.
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Oh, it's a membership club?
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Yeah, it's a membership club.
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It's right across from the White House on top of rings bank.
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It's actually my neighbor belongs.
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So we'll have our, I'll have our drag us.
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Yeah.
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Yeah, that sounds great.
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You're never coming here.
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Oh, no, the night we have our show.
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That's where we're going to go.
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Okay.
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All right, we have a show here in DC, by the way.
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Anyway, we've got to get to stuff.
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The tour is going great.
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It's selling great.
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So buy.
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We're sold out.
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Are we?
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We're sold out.
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No, we're sold out in the city.
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We're sold out in Toronto and San Francisco for sure.
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We're sold out in Toronto.
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I heard Toronto and San Francisco.
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Yeah.
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Now, just don't tell anyone.
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The venue is 12 people.
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We're doing it in a lucky old basement apartment.
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My house and the cast show.
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Anyway, we've got a lot to get to today, including open AI backtracking
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on copyrights.
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What a shock.
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And Elon Musk pushing for a Netflix boycott.
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Oh, good God.
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But first, President Trump's immigration crackdown is escalating.
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Actually, this is quite troubling over the weekend.
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He authorized the deployment of 300 Illinois National Guard troops
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to Chicago.
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Governor JB Prisker is warning that federal agents and raids are turning
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the city into a war zone.
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He's creating problems.
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Trump also keeps trying to send National Guard troops into Portland.
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He first attempted to send Oregon National troops in.
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It was blocked by a federal judge whom he appointed.
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He then tried to deploy troops from California.
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It was blocked by the same judge who was really pissed off.
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So he keeps trying to find National Guard.
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This judge is going to block it completely.
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National Texas National Guard troops are also in the mix for Oregon
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and Illinois with Governor Abbott's blessing.
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By the way, he is saying some things that are incredibly inflammatory,
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saying maybe Portland should be gone.
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All this, none of your fucking business, Greg Abbott,
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all this as protests intensify in Chicago and Portland over these ice raids.
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I don't know what you thought, what you've seen,
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but it seems like a really truly demented escalation
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and Homeland Secretary, Chris Y'nome, is also saying ice agents
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will be all over the Super Bowl where bad money is the halftime headliner.
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I don't know who can afford, as you noted, going to the Super Bowl,
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but it's very expensive for people to know.
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So any thoughts on all this?
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Because it's truly troubling what's happening here.
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It's all led by Stephen Miller, obviously.
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Well, there's two things here.
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The first is, I just think this whole thing is such manufactured division.
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And that is, if you think about socialism is supposed to be,
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it's about equality, right?
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That we should have, everyone should have.
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The economy, the spoils should be, you know,
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William Gibson said, the future's here, it's just not evenly distributed.
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You could say the same thing about capitalism if it's left unchecked.
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The prosperity happens, it's just not evenly distributed.
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Socialism is a means of correcting that by the government
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owning the means of production.
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By the way, this is hands-down economically.
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The most socialist government in America has ever had.
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Yeah, correct.
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Liberals.
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Nearly communist.
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Liberals are the idea that everyone should be free to pursue liberty.
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Even if it means no search, you know,
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very strict private property and search and seizure laws,
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where you may know that that house, there's crime in it.
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But if you don't have a warrant, a search warrant, approved by a judge,
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you're not allowed to go in.
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We believe in gun rights as a form of liberalism to a certain extent,
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because we believe it's worth a certain amount.
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I don't want to protect gun rights,
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but the whole idea of a liberal democracy is the pursuit of liberty.
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Fascism, the juice of fascism is trying to convince people
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that the enemy is within, attacking,
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attacking and threatening the chosen way of life.
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And that's what this is.
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This is fascism.
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On any metric, the idea that crime is out of control,
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if that were true, then it was way more out of control several years ago.
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And also, if you were really serious about reducing crime,
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you wouldn't be sending in federal troops
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who don't know how to conduct crime investigations,
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don't know how to collect evidence,
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don't know how to arrest people.
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They're just to, they're to intimidate people.
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I believe, I am a believer that if you're going to spend now
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over a trillion dollars in the military,
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you should be proactive around the use of the military.
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I would rather see these guys and gals
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in Ukraine supporting long-range missile launches
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to destroy oil infrastructure.
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I would rather see them as a peacekeeping force in Gaza.
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They are ineffective, and all they do is terror the fabric of society
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and make us hate each other.
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And here's the bottom line.
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We're not that divided.
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What we have is an administration
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and God-like technology dividing us.
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Yeah, creating tension.
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I mean, it was interesting because there's still a few troops around DC
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and I went by one last night and I was trying to be nice
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and I was like, you guys should go home.
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Like, I was very nice about it
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and they're like, don't you think we want to go home?
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This is ridiculous.
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Yeah, they're not.
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They were like, they were like,
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not wanting to be there either.
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It's so, they were standing on the corner
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and then do you see the picture from Portland?
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They read voodoo donuts.
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There are all these troops at voodoo donuts,
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which are delicious donuts, may I add.
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I mean, what do you think about the,
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everything's performant, whether it's Kristi Nome
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or Steven Miller, who I think is a committed fascist,
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actually, the others, I think are very performative.
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Looking at, you know, Pete Hanks has one through run.
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I bet Kristi Nome wants to be president.
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But it's really, it creates,
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if you create enough problem with these people there,
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you will have a clash, which is I think what they want.
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That's what they're looking for.
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They're looking for a fight.
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Now, one of the things that's been,
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and this is in our real house,
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big tech is getting involved in all this.
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Apple and Google have pulled several apps
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that let users flag sightings at vice agents,
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including a wide these app called Ice Block.
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The move comes after Attorney General Pambondi,
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pressed Apple to remove Ice Block,
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claiming it puts federal officers at risk
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for doing their jobs.
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The apps creator slammed the decision,
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accusing Apple of bending to what he called
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in the authoritarian regime.
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Meanwhile, Ice is hiring contractors
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to scan Facebook, TikTok, and YouTube
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to find leads for enforcement rates
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and also monitor people's social feeds.
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Again, communist.
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This is what the authoritarian's do.
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What do you think of, and we have given
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so much of our information over to these companies,
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and they don't deserve the trust we have given them
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in lots of ways.
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I've mixed mind on the Ice Block,
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and at the same time, I'm kind of like,
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well, this is what happens when you do things like this.
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Like people get creative.
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There's one in San Francisco
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who's showing where parking meter people are,
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which the city got mad about.
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So you could move your car in time.
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I mean, it seems like when you do one thing
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and people take action against the other,
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guess what's gonna happen.
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What do you think about the tech companies?
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I'm on the tech company side of this.
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If you get a letter from the Attorney General
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telling you to take an app down,
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I just think you have to comply with the law.
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I don't fault them for doing that.
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What I think this shows though,
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is that we need more diversity of platforms.
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I also, I do like the idea of encryption,
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but at the same time, I like the government's ability.
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We're better at spying than anyone else in the world.
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And America and the Israelis have basically developed
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technology where they can essentially hack almost any phone.
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I quite frankly like that,
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because I do think of us at the end of the day
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as the good guys.
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At the same time, you said something
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that's really stuck with me,
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and that is people should have the right to have secrets.
spk_0
I really like that.
spk_0
I like the idea.
spk_0
I never used to think about it before,
spk_0
but now I think clearly anything I write down somewhere
spk_0
the government might have, or the...
spk_0
Yeah, you also shove everything into chat GPT series.
spk_0
I don't do it at all, but...
spk_0
Oh, I love it.
spk_0
Yeah, I'm definitely in a...
spk_0
Yeah, I'm in a...
spk_0
You're very from misqus, but the information.
spk_0
I've got to be from misqus somewhere.
spk_0
Anyway, so...
spk_0
But I find that fascinating.
spk_0
I just am curious how it comes back with stuff.
spk_0
But so I don't think you can fault tech
spk_0
for taking down these platforms.
spk_0
The images of American cities
spk_0
and ice agents and masks,
spk_0
I think that will go down is a pretty...
spk_0
I mean, not on the same level
spk_0
as the internment of Japanese families,
spk_0
but kind of the same flavor.
spk_0
Yeah, absolutely.
spk_0
Did you see that one where the guy was just standing there
spk_0
on the sidewalk?
spk_0
He was close to him.
spk_0
He was like...
spk_0
He was like back off,
spk_0
and he wasn't close enough to have what they did to him.
spk_0
He was near him, right?
spk_0
He was a tall guy near an ice agent,
spk_0
and he goes back off,
spk_0
and he was like, I'm standing on the sidewalk,
spk_0
and then the guy took him to the ground
spk_0
and beat the living fucking shit out of him.
spk_0
It was crazy.
spk_0
Well, there's tests.
spk_0
A lot of police forces have tests, and I say, okay,
spk_0
we understand that people who might like the idea
spk_0
of having a gun in a badge sometimes
spk_0
might have a background where they want to be
spk_0
in a position of authority,
spk_0
and we got to be clear that they're going into that position
spk_0
for the right reasons.
spk_0
And it strikes me that if you are signing up
spk_0
for ice right now,
spk_0
and I realize people have an obligation to make a living,
spk_0
you're not doing this to protect and serve.
spk_0
You're doing that, I think there's a decent chance
spk_0
that you have some underlying hostility
spk_0
towards immigrants that is not befitting,
spk_0
and the fact that you can wear a mask.
spk_0
Judges make really dangerous decisions every day.
spk_0
They put very dangerous people behind prisons.
spk_0
They don't wear masks.
spk_0
So the fact that we have decided to normalize the idea
spk_0
that certain people in the government
spk_0
on the street can wear a mask.
spk_0
What that means is we want to give them license
spk_0
and we want to give them the confidence
spk_0
to engage in depraved vile behavior.
spk_0
If we trust our society enough
spk_0
that someone can put a murderous mobster in prison
spk_0
and the jurists and the judge don't get to wear masks,
spk_0
then why on earth would we let people
spk_0
who supposedly are legally deporting people
spk_0
here illegally wear masks?
spk_0
Why?
spk_0
Because the way they are engaging in it
spk_0
is a form of violence,
spk_0
of a violation of people's rights,
spk_0
of an activity that makes you feel really bad
spk_0
about America and humanity,
spk_0
and does nothing.
spk_0
I was with someone who's a fairly famous anchor
spk_0
and their partner has left the country.
spk_0
Their partner is legal,
spk_0
but because they're non-white,
spk_0
they can't relax.
spk_0
They're worried about,
spk_0
they know that they don't want to be incarcerated
spk_0
incorrectly for 72 hours.
spk_0
For their social media feeds or whatever.
spk_0
Yeah, exactly.
spk_0
Let me say, speaking of judges, not wearing masks,
spk_0
the people are a now-and-er tech-arthid judges.
spk_0
Steven Miller started to call judges insurrectionists now
spk_0
for doing their job.
spk_0
And one of the judges who pushed back
spk_0
on one of Trump's many violations of the law
spk_0
had her house burned down.
spk_0
They don't know what happened,
spk_0
but the house was burned down.
spk_0
Steven Miller right now,
spk_0
if this man doesn't go to jail someday
spk_0
for what he is creating here,
spk_0
creating all kinds of anger or down in shame,
spk_0
if you notice one of another one of his relatives
spk_0
said he's a heinous piece of shit,
spk_0
used to be normal,
spk_0
and now we don't know what's happened to him, the whole family.
spk_0
But the judges are the ones under siege and you're right.
spk_0
They don't get to wear a mask.
spk_0
They stand, they write long rulings.
spk_0
And if these thugs, that's what they are.
spk_0
If they're wearing masks, you're a thug.
spk_0
If you want to do it,
spk_0
you don't need to have your identity protected.
spk_0
What are you like?
spk_0
A delicate fire of judges don't,
spk_0
which don't have guns.
spk_0
If other juries don't,
spk_0
they don't have guns to protect them.
spk_0
You should not have a mask on your face.
spk_0
That to me, it says everything.
spk_0
Let me just say the one thing that was really heartening
spk_0
to hear is the Pope who has been talking about this
spk_0
during a mass this past Sunday, Pope Leo urged Catholics
spk_0
to open their hearts and arms to migrants.
spk_0
This came after he referenced the inhuman treatment
spk_0
of immigrants in the United States
spk_0
while speaking to reporters last week.
spk_0
Press Secretary Carolyn Levin, as usual,
spk_0
because she's a mouthpiece,
spk_0
push back on those comments and mag influencers
spk_0
who also voiced their unhappiness with the Pope.
spk_0
I thought what he said was really strong.
spk_0
Was a very strong.
spk_0
He spoke out on immigration.
spk_0
He's working a lot of things.
spk_0
This guy is just a sharp as a tack.
spk_0
And I like that he's sort of entering the picture
spk_0
for decency, I guess.
spk_0
That's what I would say.
spk_0
He's, I don't think it's left or right.
spk_0
It's like, don't be in decent.
spk_0
I don't know if you have any thoughts on that.
spk_0
The term undocumented worker is a misnomer.
spk_0
Because here's the thing, these people have documents.
spk_0
They have fun contracts.
spk_0
They have drivers licenses.
spk_0
They have social security cards.
spk_0
They have W2s.
spk_0
They have all sorts of documents to ensure
spk_0
that US corporations can build them.
spk_0
They have bank accounts so they can wire money home
spk_0
so banks can get the float.
spk_0
They have all sorts of documentation
spk_0
such that we can make money from them.
spk_0
And the notion that they're okay, I get it.
spk_0
If you're here illegally, you should be asked to leave.
spk_0
I understand that.
spk_0
Now, at the same time, and it all comes back to the same thing.
spk_0
If we were serious about this problem,
spk_0
we would find the employers.
spk_0
I mean, if they're not here because they like the weather.
spk_0
They're here because there's jobs
spk_0
because a lot of domestic workers will not take these jobs.
spk_0
They will not wipe your grandmother's ass
spk_0
or build your house for 15 bucks an hour.
spk_0
And if we wanna have cheaper houses, cheaper healthcare,
spk_0
better services, better restaurants,
spk_0
we have for the last 40 or 50 years turned a blind eye to this.
spk_0
We have done it intentionally on both sides of the administration.
spk_0
We didn't wake up with tens of millions undocumented workers.
spk_0
Did Democrats and the Biden administration
spk_0
probably let it go too far?
spk_0
Yes.
spk_0
But that's notion of like turning into a police state
spk_0
and demonizing these people
spk_0
and taking our eye off the ball off
spk_0
of real security threats.
spk_0
Also, I am somewhat empathetic to the notion
spk_0
that Democratic governors invited an over correction
spk_0
by virtue signaling all the fucking time
spk_0
instead of actually cleaning up their own cities
spk_0
that they're governing.
spk_0
True, but Scott, that's like taking a sledgehammer to a floor.
spk_0
Right?
spk_0
100% agree.
spk_0
It's a total overreaction.
spk_0
And the thing that's most depressing is I shared a clip
spk_0
I believe it was from the parts of a Caribbean movie
spk_0
with the ship blowing up around the sky.
spk_0
And it had this caption,
spk_0
this is how it feels to be a centrist in the US.
spk_0
And I wrote, no, it's worse.
spk_0
And the comments were like a centrist or fascist,
spk_0
a centrist or enablers.
spk_0
We are just so divided and angry right now.
spk_0
Thomas Friedman had something,
spk_0
I thought he had something very cogent or on, on Mar.
spk_0
He said, we're not that divided, we're just being divided.
spk_0
And everyone says come together and everything.
spk_0
We need to turn the heat down.
spk_0
I'm telling you folks, it's not about a politician
spk_0
trying to cosplay Obama and turn down the political heat.
spk_0
We have connected 40% of the S&P to rage
spk_0
and sequestering us from one another.
spk_0
And what have, I don't know about you.
spk_0
I go on social media now and I see these videos
spk_0
of these kids and these women being separated
spk_0
from their husbands on social media.
spk_0
And I fucking hate America for about 30 seconds.
spk_0
And I'm not saying it's not important that we don't see that,
spk_0
but when you have an administration
spk_0
and algorithms that say, oh, we're gonna,
spk_0
this is gonna make us so much money.
spk_0
We're gonna have so many Nissan ads from this.
spk_0
So we have this one two punch of an administration
spk_0
that conflates masculinity and leadership
spk_0
with coarseness and cruelty and algorithms
spk_0
that make a shit ton of money from it.
spk_0
And the result is, if you were to go out today,
spk_0
I straights and all and I'm not in any way accepting
spk_0
or diminishing the ugliness of these ice rates.
spk_0
But if you go out in Portland,
spk_0
if you go out in Parcipony, New Jersey,
spk_0
or you go out in Provincetown,
spk_0
you're generally gonna find Americans
spk_0
from all political spectrums are generally speaking
spk_0
really lovely people.
spk_0
No, no, you're right.
spk_0
I would agree with you.
spk_0
I just think one of the issues is this is an attempt
spk_0
to divide and create anger.
spk_0
And it works.
spk_0
And I think what's really nice is to see everyone
spk_0
coming around as something you and I have been going
spk_0
on about forever.
spk_0
You saw McCrone talk about social media.
spk_0
You talked, you see everyone is now on this bandwagon.
spk_0
And we, these people should not be trusted
spk_0
with our information or decision making about our society.
spk_0
It's enough with them deciding what we should do.
spk_0
Look, we're willing addicts to these people,
spk_0
but is heroin and it will not end well
spk_0
if we don't take some control of this.
spk_0
And what the Trump administration is done to take control
spk_0
is to get bribes from them.
spk_0
And that's what they are, these payouts.
spk_0
And let them do whatever they want.
spk_0
They need to be drastically regulated in many, many ways
spk_0
or taxed either way.
spk_0
You know, they need to be pulled back.
spk_0
Okay, Scott, let's go on a quick break.
spk_0
When we come back, open AI does an about face
spk_0
on its copyright policy for Sora.
spk_0
spk_0
Support for the show comes from Kota,
spk_0
powered by Grammarly.
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With Karen I was on the move.
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It's nice to have a great team working with us
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spk_0
Scott, we're back with more news.
spk_0
OpenA has backtracked and we'll give copyright holders
spk_0
more control over how their characters are used in Sora.
spk_0
It's new AI video generation app.
spk_0
Gosh, thanks a lot, Sam.
spk_0
As a reminder, leading up to the launch,
spk_0
the company has said copyright holders would have to opt out
spk_0
of having their material appear in the videos.
spk_0
Scott, that made excellent points last week.
spk_0
CEO Sam Altman said the company would have to quote
spk_0
somehow make money from the app to offset costs.
spk_0
Well, don't make it if you can't make money, Sam.
spk_0
And would try to share some of the revenue with rights
spk_0
holders who opt in.
spk_0
We'll try to share thanks.
spk_0
Sora is a top of free Apple's App Store at the time
spk_0
of the taping.
spk_0
It's an interesting app.
spk_0
By the way, OpenA and chip designer AMD
spk_0
have announced a multi-billion dollar partnership
spk_0
to collaborate on AI data centers.
spk_0
This is Lisa Sue.
spk_0
I just recently interviewed her actually.
spk_0
But the fact of getting away with anything they want
spk_0
is just they still think that.
spk_0
And by the way, OpenA is dev day will be happening
spk_0
after we take today.
spk_0
We'll talk about that more on Friday.
spk_0
But thoughts on this turn about,
spk_0
I mean, they must have heard holy hell for everybody.
spk_0
That's my assumption.
spk_0
Well, I've hired hackers and AI engineers
spk_0
to reverse engineer everything that opened AI spent money
spk_0
on I'm calling it closed AI
spk_0
because they have not opted out.
spk_0
They have not opted out.
spk_0
I love to say.
spk_0
I mean, what?
spk_0
I like that.
spk_0
And by the way, I've disassembled my iPhone.
spk_0
I've found Foxconn and China and I found assemblers
spk_0
because Tim Cook has not opted out.
spk_0
He has not opted out.
spk_0
I can, I mean, that is just so fucking ridiculous.
spk_0
I can shop lifters.
spk_0
And the notion that,
spk_0
I mean, if they were really, Adobe did this the right way.
spk_0
Adobe basically started a generative AI,
spk_0
a design AI, whatever they're called.
spk_0
And said, everything on here,
spk_0
we've had, we've developed agreements
spk_0
with the initial IP creators.
spk_0
And it's probably not as complete as a Wild West,
spk_0
but you know everything here,
spk_0
the people have agreed the license to us.
spk_0
And this is a moment in time
spk_0
where absolutely they should hit back carpet.
spk_0
Unfortunately, this smart economic decision
spk_0
is just to steal from people.
spk_0
But I think this is absolutely a moment to push back.
spk_0
The other thing I got additional hate from this,
spk_0
I've been getting a lot of hate this week,
spk_0
or I'm very sensitive.
spk_0
I don't know, maybe it's the Sonic speaking.
spk_0
Not sure.
spk_0
Anyway, I put out a thing showing a graph.
spk_0
LA is basically turning into the next Detroit
spk_0
with better weather.
spk_0
And that is,
spk_0
I sent you that story.
spk_0
spk_0
In the time.
spk_0
What the Japanese did to Detroit,
spk_0
essentially Netflix and LAI and LAI.
spk_0
Well, and the strike,
spk_0
which you had been very vocal about the strike
spk_0
and why I think this is going to cause untold damage.
spk_0
So it was the strike, Netflix and AI.
spk_0
But yeah, I won't even go there.
spk_0
Literally the stupidest people in corporate America,
spk_0
I ever elected to position as the WGA who decided,
spk_0
I know, let's transfer wealth from actors and workers
spk_0
to Netflix and make things worse to us
spk_0
and keep people out of work for five months
spk_0
so that they can come back with no negotiating leverage.
spk_0
Anyways, if you've seen the numbers,
spk_0
LA has had a vibrant creative middle class driven by Hollywood.
spk_0
And it's not, people think it's Brian Kranson or Tom Cruise.
spk_0
It's not.
spk_0
It's caterers.
spk_0
It's makeup artists.
spk_0
It's lighter.
spk_0
It's gaffers.
spk_0
It's sound people,
spk_0
people making 80 to 250 grand a year as animators
spk_0
as costume designers.
spk_0
And it's all being cleaned out.
spk_0
First by Netflix who moved the majority of the production overseas
spk_0
or to the places with the biggest tax credits,
spk_0
that's economic arbitrage based on geography.
spk_0
That would be Atlanta, New Jersey.
spk_0
Vancouver, Budapest.
spk_0
The Marvel films.
spk_0
Can you think of anything more American than the Marvel films?
spk_0
You know where they're being filmed?
spk_0
Budapest.
spk_0
Pinewood studios outside of England.
spk_0
Oh, yeah, London too.
spk_0
Yep.
spk_0
So okay, you can't get in the way of that.
spk_0
It's important geographies.
spk_0
Wait to see what AI does to these guys, right?
spk_0
Because all of a sudden, I mean,
spk_0
Costumers.
spk_0
All these guys.
spk_0
So this is LA, San Francisco,
spk_0
the transfer of wealth.
spk_0
There's literally a sucking sign of capital and opportunity
spk_0
from LA to San Francisco right now.
spk_0
And that is those 3,400 people that worked on,
spk_0
just as, as Bezos said,
spk_0
your margin is my opportunity.
spk_0
The credits and movies are AI's opportunity right now.
spk_0
They're looking at that and thinking,
spk_0
oh my gosh, it's gonna be fun.
spk_0
Having said that, I went and saw last night
spk_0
one battle after the other with...
spk_0
But the answer to the game.
spk_0
The outro and...
spk_0
And?
spk_0
It was really mixed on it.
spk_0
These guys, Benicio del Toro and Leonardo DiCaprio
spk_0
and his daughter, the woman who plays his daughter,
spk_0
who's just so beautiful and such a good actress,
spk_0
there's so much talent in it.
spk_0
You can't kind of turn your eyes away from the screen.
spk_0
But it felt to me like an independent movie
spk_0
that if it didn't have three superstars
spk_0
could have done a half a million dollars
spk_0
after premiering its Sundance to applause.
spk_0
It didn't feel like, quite frankly,
spk_0
I think it's hugely overrated.
spk_0
Yeah.
spk_0
You were looking forward to that.
spk_0
I was really excited about it.
spk_0
I told you I didn't wanna go.
spk_0
But it's just so strange.
spk_0
I don't know if it's I'm aging out.
spk_0
I think literally the big screen is just gonna go away.
spk_0
I think it's gonna be kind of an event thing
spk_0
like going ice skating a roller.
spk_0
You know who did well this weekend?
spk_0
We didn't talk about her album,
spk_0
just because that's being respectful.
spk_0
But guess who killed it at the box office.
spk_0
Please don't.
spk_0
Guess who killed it?
spk_0
Tell her Swift is the number one box office hit with her
spk_0
on she did a deal with AMC.
spk_0
They are raking in the fucking dough.
spk_0
Thank you.
spk_0
Go tell him happy for her.
spk_0
Show girl.
spk_0
She's so good.
spk_0
Come on.
spk_0
Just say she's good.
spk_0
She's an inspiring young woman.
spk_0
I'm happy for her.
spk_0
But I'm just saying that's who killed it
spk_0
at the box office this weekend.
spk_0
Can't believe you haven't listened to the whole penis song.
spk_0
If I've had a nipple for every time I've heard that.
spk_0
I'm just saying there's a penis song in this album.
spk_0
But go ahead.
spk_0
Anyways, name one thing Taylor Swift doesn't have in her purse.
spk_0
Her boyfriend's phone number.
spk_0
Oh, you're funny.
spk_0
She's getting married in case she's happy ending
spk_0
from Taylor Swift with, by the way, the album is excellent.
spk_0
And it's killing it.
spk_0
She's killing it.
spk_0
I'm just saying go back to the box office.
spk_0
Go ahead.
spk_0
Go ahead.
spk_0
So do Caprio fails, but Taylor kills it.
spk_0
Go ahead.
spk_0
I just think movies are becoming something like
spk_0
ice skating a Rockefeller Center.
spk_0
You'll do it every couple of years with your kids.
spk_0
Events.
spk_0
Events is right.
spk_0
It's just not.
spk_0
And I remember thinking, or if I become so extremely online,
spk_0
I can't sit still for 150 minutes.
spk_0
But there's definitely something very governor Newsom
spk_0
either needs a couple of things need to happen.
spk_0
I do think governor Newsom needs to supersize
spk_0
the film tax credit or the motion picture tax credit
spk_0
for California.
spk_0
It was sort of a mini size.
spk_0
Yeah, mix.
spk_0
Yeah, yeah.
spk_0
It was a 750 million bucks for an economy that big.
spk_0
I don't know.
spk_0
For me, if I were him and I don't know if you could do this,
spk_0
some sort of tax above a certain amount, i.e.
spk_0
AI that funds the creative community in California.
spk_0
Because I do think the creative community in LA
spk_0
is a really valuable part of that fabric.
spk_0
And so the LA, which hasn't been competitive
spk_0
with other regions for 10 or 15 years,
spk_0
is really suffering.
spk_0
And I'm telling you, they got to call Barry Diller.
spk_0
They got to get lawyers.
spk_0
They have got to go after these guys early and often.
spk_0
Because the fact that the head of open AI
spk_0
would even suggest people need to opt out.
spk_0
They need to opt.
spk_0
So let me get this.
spk_0
There's a house next to me.
spk_0
They look rich.
spk_0
Do they need to purposely opt out of me
spk_0
breaking in and stealing their shit?
spk_0
Do they need to say to me, no, do not come over
spk_0
and take our shit?
spk_0
I mean, that's, that is such, that gives you insight
spk_0
into the mentality of these folks that the president basically
spk_0
says they can molest the other 490 companies
spk_0
of the S&P 500 of anything they want and they are protected.
spk_0
Because what they've decided is, what he's decided is
spk_0
that people who come meet with me, who I adore,
spk_0
who might be trillionaires and who can turn upper down
spk_0
the algorithms to get me reelected.
spk_0
And I think they will want to get me reelected
spk_0
if they see I let them run unfettered
spk_0
and become worth 400 billion instead of 300.
spk_0
And everybody else, I was at this,
spk_0
one of, you know, this quote unquote big conference
spk_0
that was show going named a head of a huge
spk_0
athletic brand stood up and said, I'm fucked.
spk_0
I can't figure out we've been diversifying out of China.
spk_0
We take our products to Vietnam and Malaysia
spk_0
and then we find out after rerouting our supply chain,
spk_0
did Vietnam's getting hit hard with these new tariffs?
spk_0
And someone stood up and said, I can coach you
spk_0
around how to communicate with the White House
spk_0
in a very, very intelligent journalist said,
spk_0
this is where America is.
spk_0
Really rich people have to coach less rich people
spk_0
on how to get favors from the White House.
spk_0
That's right, that's exactly where we're.
spk_0
That's where we are.
spk_0
Yep, that's exactly where we are.
spk_0
Let me just say one more.
spk_0
The numbers are really interesting.
spk_0
So, Dwayne Johnson also opened a movie called Smashing Machine.
spk_0
It's $6 million is all he made.
spk_0
And showgirl, which was a cinematic experience.
spk_0
It was not a concert film.
spk_0
It wasn't a doc.
spk_0
It was just a promotional stunt.
spk_0
Took in $46 million across the globe
spk_0
and she gets a whole chunk of that.
spk_0
So, I mean, things are at, you have to have events.
spk_0
There are ways to supersede these people
spk_0
who are stealing your stuff or the White House
spk_0
that is trying to fuck you by doing favors
spk_0
is a really bad economic environment
spk_0
unless you have an event
spk_0
or something so good that people
spk_0
or a fan base so big that it's gonna make you money.
spk_0
It's really something.
spk_0
It really is.
spk_0
I have, listen, I had a friend who's like,
spk_0
I wanna get it on the TikTok deal
spk_0
and after telling me how dirty it was,
spk_0
it's like I still wanna get it on it.
spk_0
I would invest.
spk_0
I said the same thing at this conference.
spk_0
I raised my hand and said,
spk_0
can you give me advice on how democratic professors
spk_0
can invest in this TikTok deal?
spk_0
How do I get in on TikTok at 60% off?
spk_0
I'm in.
spk_0
Yeah, exactly.
spk_0
This guy was like, it's dirty, dirty, dirty, I won in.
spk_0
Oh, 100%.
spk_0
Which is gross.
spk_0
I don't wanna disarm unilaterally.
spk_0
But what's happening, there's,
spk_0
I mean, Holly was being so reshaped
spk_0
and I was thinking about,
spk_0
I was adding up our numbers
spk_0
because I love to talk about how awesome we are.
spk_0
We get 400,000 downloads after a month.
spk_0
We have 70% of the core demographic.
spk_0
The people are still in their mating years
spk_0
and spending money on stupid shit.
spk_0
So that's 280,000 people in the core demographic.
spk_0
Do you know what CNN prime time gets
spk_0
in the core demographic on average?
spk_0
Like 126,000.
spk_0
87,000.
spk_0
Yes, I'm like,
spk_0
we're getting triple the number of people
spk_0
in the core demographic granted.
spk_0
It's only for an hour and 10 minutes
spk_0
and they're on for four hours.
spk_0
But what do you think the cost of the means of production
spk_0
is for four hours of prime time CNN?
spk_0
We're not nearly as good looking.
spk_0
We don't have nearly as good a makeup.
spk_0
The sets aren't as good, fine.
spk_0
We are as good.
spk_0
But this is, you are going to see cable news,
spk_0
cable news in the big screen, quote unquote, TV,
spk_0
are going to be companies owned by billionaires.
spk_0
And I keep meaning documentary filmmakers.
spk_0
And I'm like, oh, that means your husband's rich,
spk_0
which does not go over well.
spk_0
That's just too much.
spk_0
It means your marriage is somewhat very wealthy.
spk_0
And but the big screen going away
spk_0
and I do think that there is something,
spk_0
there is a social,
spk_0
there is a social need.
spk_0
The middle class creative community in Southern California
spk_0
is a really valuable, important part in justice.
spk_0
They are.
spk_0
They've made so much magic.
spk_0
Just as we bailed out the automobile companies,
spk_0
I think we should be thinking about a thoughtful means
spk_0
of transferring some capital back
spk_0
from Northern California to Southern California.
spk_0
You know, they're not going to do that.
spk_0
They're not going to do that.
spk_0
Well, they don't have a critical power.
spk_0
David Zazlov and Bob Iger aren't having, aren't giving
spk_0
the rubbent hug to President Trump.
spk_0
Not enough.
spk_0
They're not invited.
spk_0
All he does is get angry at him
spk_0
and they bend over and give him 14 million bucks.
spk_0
Well, we'll see.
spk_0
All right, let's go on a quick break.
spk_0
And when we come back, Elon's Netflix boycott.
spk_0
Hey, pivot listeners.
spk_0
I want to tell you about a new podcast
spk_0
from the box media podcast network called Access
spk_0
with Alex Heath and Ellis Hammer.
spk_0
It's a show about the inside conversation happening
spk_0
across the tech industry.
spk_0
You may know Alex Heath from shows like decoder
spk_0
and the verge cast.
spk_0
And he's a founder of sources,
spk_0
a new publication about the tech industry
spk_0
and a contributing writer for the verge.
spk_0
And you'll probably only know Ellis
spk_0
if you worked in Silicon Valley yourself.
spk_0
He's the former tech reporter
spk_0
turned tech industry inside
spk_0
or working closely with today's hottest startups.
spk_0
Their first episode features an interview
spk_0
with Mark Zuckerberg about meta's latest smart glasses,
spk_0
the AI race and what's next for the social media giant.
spk_0
You can find the access podcast with Alex Heath
spk_0
and Ellis Hamburger on YouTube
spk_0
or wherever you listen to podcasts.
spk_0
Scott, we're hitting the road
spk_0
bringing pivot live to the people.
spk_0
Seven cities, Toronto, Boston, New York,
spk_0
DC, Chicago, San Francisco and LA, of course.
spk_0
You went to Oasis, you went to Beyoncé,
spk_0
you saw the remake of Wizard of Oz in the sphere,
spk_0
all of those suck compared to the pivot tour.
spk_0
This is the biggest tour, same people
spk_0
that are organizing our tour,
spk_0
that organized Taylor Swift's tour.
spk_0
They are much more excited about our tour.
spk_0
All right, that's enough grandpa.
spk_0
It's gonna be so good.
spk_0
And we're bringing our brand of whatever we do
spk_0
to the people and we're excited to meet our fans.
spk_0
We love our fans.
spk_0
For tickets head to pivottour.com, see you there.
spk_0
Scott, we're back with more news.
spk_0
Let's talk about what Elon has been up to lately.
spk_0
First off, Netflix stock is down 4% in the last five days
spk_0
at time of taping.
spk_0
After Elon urged followers to cancel subscriptions
spk_0
over an animated show that features a trans character.
spk_0
The show Dead End Paranormal Park
spk_0
was canceled in 2023 after two seasons.
spk_0
You know, again, it was also over the threat by Trump.
spk_0
To tax, to tariff movies.
spk_0
But you know, he's carrying on his little boycotts
spk_0
all over the place.
spk_0
Secondly, meanwhile, newly unveiled,
spk_0
Testmade revealed that SpaceX took money
spk_0
from Chinese investors by having closed ties
spk_0
to the US military and major.
spk_0
SpaceX investors said in a deposition
spk_0
that some of the Chinese investors are listed as shareholders.
spk_0
In March, pro-publica reported that SpaceX allows
spk_0
Chinese investors to buy a stake in the company
spk_0
as long as the funds are rooted through offshore hubs.
spk_0
They also, one of the things that I want to add,
spk_0
these are three different things.
spk_0
SpaceX acquisition of Telecom, Echo Star's spectrum rights,
spk_0
recent Washington Post opinion piece highlights
spk_0
how the deal could change the two state and citizen.
spk_0
The buy allows for direct satellite
spk_0
to smartphone connectivity without terrestrial infrastructure.
spk_0
The acquisition SpaceX now controls enough spectrum
spk_0
to supply commercial mobile services globally.
spk_0
They're very good at that as you have pointed out.
spk_0
So start with the first one that trans things.
spk_0
I just think he's a terrible person
spk_0
and he should be called and apologize to his daughter.
spk_0
That's, he's just a terrible person and a terrible parent
spk_0
and he's obsessed with trans issues in a way
spk_0
that makes JK rolling look reasonable.
spk_0
The second one, of course, he's taking money
spk_0
from Chinese investors because, well,
spk_0
and the last one I think is a really important story.
spk_0
But go ahead, you go ahead.
spk_0
Well, just, I don't remember the last one,
spk_0
but I tell you how I feel about this.
spk_0
I think that I opt for the material
spk_0
and psychological well-being of Americans
spk_0
above almost everything else.
spk_0
And I like taking capital from almost anybody.
spk_0
And as long as you've been in place
spk_0
that they can't control stuff,
spk_0
I think the Americans don't realize
spk_0
the connection between their prosperity
spk_0
and the fact that our cost of cap,
spk_0
you can't get a mortgage in Argentina.
spk_0
You did, there's no such thing as a mortgage market
spk_0
in Argentina.
spk_0
You can't buy a, so how many people can buy a house
spk_0
when you can't borrow to buy a house
spk_0
because there's no capital flowing into Argentina.
spk_0
So I'm kind of a cashier check,
spk_0
put in safeguards such that they can't control the media.
spk_0
But I like the fact that we have huge capital inflows
spk_0
and I find that a lot of times,
spk_0
people on the left are not focused enough
spk_0
on our economic well-being and want to virtue signal.
spk_0
Having said that, let's go to the,
spk_0
one of the greatest exports, unfortunately, now,
spk_0
not the greatest, the biggest exports
spk_0
of the United States is American citizens
spk_0
like Elon Musk exporting political division.
spk_0
There was a rally here in the UK
spk_0
and Elon Musk shows out,
spk_0
I want Britain to be great again.
spk_0
It's like, Jesus Christ, we're exporting this bullshit.
spk_0
I think the commercial opportunity,
spk_0
the best selling, the Chevrolet Equinox EV
spk_0
is the third best selling.
spk_0
If I were Chevrolet, I would be making a line
spk_0
of this and say, by any Chevrolet EV,
spk_0
free lifetime subscription and Netflix.
spk_0
I would just, I would, I like targeted economic strikes.
spk_0
I'm a fan of it.
spk_0
In now over political issues.
spk_0
I just think that's, I'm,
spk_0
Well, that's what he says he's doing, I assume, right?
spk_0
More power, fine.
spk_0
I don't believe what I don't believe in why he's doing it.
spk_0
But I think that Chevrolet and Netflix should strike back.
spk_0
I think Ted Sramando should say,
spk_0
we're offering free Netflix for anyone who buys
spk_0
the other seven best selling EVs.
spk_0
He's smarter than that.
spk_0
He's not going to weigh into this.
spk_0
He's just going to ignore it because I'll tell you one thing.
spk_0
People may love their Tesla.
spk_0
They love their Netflix more.
spk_0
I mean, it's like, yeah, I do love my Netflix.
spk_0
Oh, it's fantastic.
spk_0
It's fantastic.
spk_0
Unfortunately, I've been subject to Wednesday.
spk_0
God, that's a lot.
spk_0
A lot of talent in that.
spk_0
Yeah.
spk_0
A lot of talent in Wednesday.
spk_0
Anyways, I don't, I think that,
spk_0
also, I think for the most part, Elon Musk
spk_0
has only been in the news like every 48 hours.
spk_0
And I think he hates that.
spk_0
So I think this goes nowhere.
spk_0
I think this is a bit of a non-event.
spk_0
Yeah.
spk_0
And what about the, what about the Echo Star thing?
spk_0
That to me was really interesting.
spk_0
The ability to offer cell phones.
spk_0
Big deal.
spk_0
It strikes me that I would hate to be Verizon or AT&T right now.
spk_0
So I'm an investor in Andrew Yang's, MBNO, NobleMobile,
spk_0
but basically essentially since the cost to build out,
spk_0
and this is good, I think this is a good regulation.
spk_0
The cost to build out a cellular network and broadband
spk_0
is so expensive that these companies convinced regulators
spk_0
to say there's gonna be a small number of them.
spk_0
And they said fine, but they said,
spk_0
if there's only gonna be two or three global
spk_0
national networks, you have to be able to lease them out
spk_0
at competitive rates to MBNO.
spk_0
So MBNO is basically renting the same network
spk_0
that Andrew is at NobleMobile,
spk_0
and they come up with different features,
spk_0
different, like Andrew's company is saying,
spk_0
we'll give you money back if you're not on your phone.
spk_0
Like get off your phone.
spk_0
And I think that's the way to do regulation.
spk_0
I would hate to be AT&T in Verizon right now,
spk_0
because whether it's WhatsApp,
spk_0
which is now, I think the largest telco in the world,
spk_0
and the ability and new technologies
spk_0
to communicate kind of seamlessly using ubiquitous technology,
spk_0
and not, I mean, care, my AT&T bill,
spk_0
I'm not exaggerating here, my AT&T bill each month,
spk_0
and I'm switching to Noble next week.
spk_0
Of course, I've got to find someone young to help me,
spk_0
actually figure out how to switch my phone servers.
spk_0
It's four to five.
spk_0
I know, well, here I am.
spk_0
I'll do it.
spk_0
Here I am.
spk_0
Call me.
spk_0
I'm scared of my microwave.
spk_0
Anyways, it's four to $600 a month.
spk_0
I'm spending four to $600 a month on AT&T.
spk_0
And Andrew called me and said,
spk_0
I think we can get you down.
spk_0
I have to get the international plan on all that.
spk_0
It thinks, I think I can get it down to $70 or $80.
spk_0
And by the way, it's going to rest on the same network.
spk_0
Well, actually, it'll rest on the team mobile network,
spk_0
not the AT&T network.
spk_0
So AT&T and Verizon have been terrible performing stocks,
spk_0
because they have a cost infrastructure and overhead
spk_0
that just doesn't recognize what's happened in that.
spk_0
I'm looking at it too, because I have all my kids on mine.
spk_0
And it's a lot of money.
spk_0
It's a lot of fucking money.
spk_0
I get really, as I'm like, what am I paying for exactly?
spk_0
There's a huge speaking of opportunity.
spk_0
There's a huge opportunity.
spk_0
I think this is a really smart thing.
spk_0
The thing is it's attached to Elon again.
spk_0
And even, but then Starlink does really well,
spk_0
even though it's attached to Elon,
spk_0
because it's a superior product.
spk_0
And Tesla is no longer a superior product.
spk_0
It's the issue.
spk_0
And when you have a choice, you go with the one
spk_0
who doesn't irritate you hugely.
spk_0
But you're right.
spk_0
You're right.
spk_0
This is interesting.
spk_0
One quick thing I think we have to talk about,
spk_0
Instagram safety measures for kids are woefully
spk_0
and adequate, according to a new report from former meta
spk_0
whistleblower along with nonprofit groups.
spk_0
The report evaluated 47 of meta's 53 safety features,
spk_0
routines and found a majority were no longer available
spk_0
or ineffective or they were ineffective.
spk_0
Meta has called a report misleading
spk_0
and dangerously speculative.
spk_0
You know, I'm going to hear from them after we talk about this,
spk_0
but I think it goes to the heart of what Scott and I talk about
spk_0
is they're going to make things safer kids.
spk_0
It's almost impossible to make them safer kids,
spk_0
but from a cost perspective, they cannot.
spk_0
They, there's so many holes in all these things
spk_0
that it's, I think it's an impossible thing
spk_0
and it's gotten I've talked about.
spk_0
They should not be serving young people.
spk_0
They have no responsibility.
spk_0
They've shown themselves not to have responsibility.
spk_0
And even when they're trying, it's hard to do.
spk_0
So I just, it creates a really bad situation
spk_0
for young people on these social media networks,
spk_0
which are pound for pound negative for our kids.
spk_0
They're not very positive for us either,
spk_0
in some cases they are to be fair.
spk_0
Your thoughts about their ability to make things safe for young people.
spk_0
To me, this is pretty simple.
spk_0
No one under the age of 16 should be allowed on the social media platform.
spk_0
And if we find out that you're age gating isn't,
spk_0
I can be talking about our pivot tour
spk_0
and I get served an ad for our pivot tour,
spk_0
but they claim they can't, they can't age gate.
spk_0
No one under the age of 16 on a social media platform,
spk_0
no one under the age of 18 can engage
spk_0
in a synthetic relationship.
spk_0
Full stop.
spk_0
Let's not, no more safety protocols,
spk_0
no more technology, no more, no more parental controls.
spk_0
These things are, we age gate alcohol, pornography,
spk_0
the military motorcycles, our rated content.
spk_0
The damage these things have done
spk_0
and the unfortunate thing is that you say,
spk_0
well, they come in with the argument around parenting.
spk_0
Well, this is about good parenting.
spk_0
You don't want your kids on screens, don't let them on it.
spk_0
Here's the problem.
spk_0
If you take your kid off a snap
spk_0
and every other kid is still on snap,
spk_0
that kid actually ends up more depressed
spk_0
because he's isolated.
spk_0
Unless this is collective action
spk_0
from the government or from schools, it's not gonna work.
spk_0
And there's just evidence everywhere
spk_0
showing that when social went on mobile,
spk_0
things got worse for teens.
spk_0
So this is an easy one.
spk_0
If we outlawed, if we made it such that,
spk_0
I mean, the reality is kid smoking.
spk_0
If you quit smoking by the time you're 30,
spk_0
your rates of cancer are the same as someone who never smoked,
spk_0
but the problem is you can get addicted.
spk_0
A 15 year old smoking cigarettes, that is less dangerous
spk_0
than a 15 year old, in my view, on Instagram.
spk_0
And so, all right, look what we did to cigarettes.
spk_0
Why is it taking us so long with social?
spk_0
And typically, I think it's about to happen.
spk_0
And it is happening, I think,
spk_0
largely because of Jonathan Heitzbuk,
spk_0
the anxious generation.
spk_0
But generally speaking, society takes 20 years.
spk_0
It took us 20 years with cigarettes.
spk_0
It took us 20 years with opiates.
spk_0
And it feels like the iPhone is taking us about 20 years.
spk_0
But I think it's happening.
spk_0
But all this nonsense around parental controls
spk_0
and parenting, no, no, no, easy.
spk_0
Under the age of 16, no social media,
spk_0
under the age of 18, no synthetic relationships.
spk_0
Yeah, they're always gonna get caught out on these things.
spk_0
And parental controls, I am really good at it.
spk_0
And they're not good.
spk_0
And let me say, there was a great piece
spk_0
actually on CBS this morning on schools without phones.
spk_0
They are happier.
spk_0
They are happier.
spk_0
Everyone's happier without them.
spk_0
Actually, one of my sons, I'm not gonna say which one,
spk_0
wrote me in, and was being a little crazy on the phone
spk_0
about some topics.
spk_0
And he wrote me a little bit later, he texted me,
spk_0
and he goes, you know, I'm on this phone too much.
spk_0
It's making me crazy.
spk_0
And I was like, yes, thank you.
spk_0
He self-diagnosed himself and he's older.
spk_0
But he was, it got him all going, right?
spk_0
It got him all, like, that kind of thing.
spk_0
And so you can't help but doom scroll and be angry.
spk_0
And it happens to all of us, including me.
spk_0
I actually have an interesting enough.
spk_0
My threads is so full of cooking and ASMR
spk_0
that I hardly ever see news on it, which is interesting.
spk_0
Which I like, right?
spk_0
It's actually very calming and I don't ever see angry stuff.
spk_0
But it's got Nyer pretty clear on this.
spk_0
And by the way, Jonathan Hades book is,
spk_0
I think is critically important to this,
spk_0
but your book will be talking about a lot on the tour.
spk_0
So we'll be talking about these topics.
spk_0
Notes on being a man, is that correct?
spk_0
Note some being a man.
spk_0
Thanks for that, yeah, not something.
spk_0
Yeah, we'll be talking, it's during Scott's debut week
spk_0
and we hope to get it to the number one
spk_0
on the New York Times bestseller list
spk_0
with our tour and everything else.
spk_0
Care, care, I don't give into the commercial metrics
spk_0
of a modern day.
spk_0
I still want, that's my personal goal.
spk_0
I just hope that people find some reward in it.
spk_0
Well, I'm going to get you on to the New York Times
spk_0
as well.
spk_0
All right, Scott, one more quick break.
spk_0
We'll be back for wins and fails.
spk_0
Okay, Scott, let's hear some wins and fails.
spk_0
I just wanted to try and wrap a win and fail
spk_0
into discussing a little bit about Trump's quote unquote,
spk_0
compact that offers preferential treatment
spk_0
to compliant colleges.
spk_0
First off, that's a bit of a misnomer.
spk_0
What they're threatening to do
spk_0
is take away federal funding from universities
spk_0
that don't sort of sign up for certain protocols.
spk_0
And I'll go through each of them just sort of quickly
spk_0
and provide a viewpoint.
spk_0
The first is, I think I've depart a little bit
spk_0
from some of the responses from the last.
spk_0
And that is, I do think generally speaking
spk_0
that if the federal government is going to give you
spk_0
billions of dollars, they should have input.
spk_0
However, that input needs to be discussed in Congress
spk_0
and passed his laws that apply to all colleges
spk_0
because they're minimum and three years and two months.
spk_0
A lot of this should just might be reversed.
spk_0
So this is just darting back and forth,
spk_0
trying to figure out what to do.
spk_0
Also, there's a lot of evidence showing
spk_0
that the funding that these universities get for research
spk_0
has been arguably the best investment in the history
spk_0
of the planet around pharmaceuticals and technology.
spk_0
But anyways, having said that,
spk_0
some of the things they want to do,
spk_0
they want to make admissions basically gender, ethnicity,
spk_0
race and political view blind.
spk_0
And I don't have a problem with that
spk_0
because basically the Supreme Court has already said
spk_0
that's what it has to be.
spk_0
I do believe in affirmative action,
spk_0
but I believe it should be based on income,
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not based on any observable characteristic
spk_0
or sexual orientation.
spk_0
To marketplace of ideas and civil discourse,
spk_0
they're forcing them to commit to fostering
spk_0
a vibrant marketplace of ideas on campus,
spk_0
requiring an intellectually open campus environment
spk_0
with a broad spectrum of ideological viewpoints present
spk_0
and no single ideology dominant,
spk_0
both long political and other relevant lines.
spk_0
I want to acknowledge that universities
spk_0
have done a really poor job
spk_0
of fomenting and supporting ideological diversity.
spk_0
Having said that, I don't see how you legislate,
spk_0
any attempt to legislate it really is thought control.
spk_0
And just as the cops, police forces and the military
spk_0
probably lean conservative,
spk_0
universities are always going to lean progressive.
spk_0
That's just the way it is.
spk_0
Now, should 90 plus percent of your faculty be Democrats,
spk_0
that probably says you need to broaden the spectrum
spk_0
a little bit.
spk_0
I've also seen some bullying on campus
spk_0
where anything outside of certain narrative
spk_0
is really frowned upon.
spk_0
But I don't see how you implement this sort of thought control,
spk_0
non-discrimination and hiring institutions
spk_0
will not be allowed to consider factors
spk_0
such as sex, ethnicity, race, national origin,
spk_0
disability or religion.
spk_0
I'm quite frankly, I'm comfortable with that.
spk_0
I think that universities,
spk_0
what I've seen in terms of promotions and faculty
spk_0
is that it is mostly merit,
spk_0
but a lot of times it's not merit.
spk_0
And but again, there's a better solution here
spk_0
and the solution quite frankly
spk_0
to be getting rid of tenure
spk_0
because the biggest problem is we don't have enough room
spk_0
for a young faculty to come up through the ranks
spk_0
because old and efficient faculty will not leave.
spk_0
Student learning, universities must commit to bat
spk_0
in grade inflation, I don't even know what that means.
spk_0
Student equality, institutions must commit to defining
spk_0
and otherwise interpreting male, female, women and man.
spk_0
You know, people ask me all the time if I'm Jewish
spk_0
and I say you're an atheist and I say I'm Jewish
spk_0
and I'm like, well, your bar mitzvah, no,
spk_0
and they say, well, you're really Jewish.
spk_0
I'm like, well, I get to present as whatever the fuck I want.
spk_0
And my view is anyone, if you want to present,
spk_0
people should be able to just present as they want.
spk_0
So I don't understand why what the big deal is around,
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not letting people, I've always said with respect to pronouns,
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I do think it's a little bit stupid,
spk_0
but if you want me to call you they,
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I have no problem with that.
spk_0
That's, it's not a big give, I'll be just fine.
spk_0
You're not infringing on my rights.
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Then the big one, the one that bothers me the most
spk_0
is that foreign entanglements,
spk_0
one of the conditions is that the compact requires them,
spk_0
no more than 15% of the university's undergraduate student
spk_0
population, basically she'll be foreigners.
spk_0
Okay, that actually won't have that much effect
spk_0
at the undergraduate level because most universities
spk_0
are not above 15%, it will have a huge impact
spk_0
at the graduate schools where we get a lot.
spk_0
And this is so contrary to everything they're trying to do
spk_0
because the ultimate luxury item in the world
spk_0
is not a Rolex watch, it's not a Ferrari,
spk_0
it's sending your kids to an elite university,
spk_0
will you will pay no joke between housing and tuition
spk_0
a half a million dollars into the American economy
spk_0
to send your kid to a foreign university
spk_0
and American university where he or she will love America
spk_0
and go back and create connective tissue
spk_0
between us and foreign nations.
spk_0
And at 90 points plus of gross margin,
spk_0
this is the ultimate high margin export
spk_0
and our ability, just as I was saying,
spk_0
I love the idea of foreign capital coming into the US.
spk_0
I love the idea of human capital coming into the US.
spk_0
A bet and then the final one is they've said
spk_0
they can't raise their prices for five years.
spk_0
I hate price controls from mom, dummy,
spk_0
I hate price controls from Trump.
spk_0
There, a lot of this in my opinion gets it the right idea,
spk_0
but as always, it is the wrong execution
spk_0
with a secretary of education who ran a fucking wrestling league.
spk_0
If you want to bring prices down, you break the cartel.
spk_0
For example, early decision should not be allowed
spk_0
because if someone goes ED in hopes of getting a higher chance
spk_0
of being admitted, once they're admitted,
spk_0
they have no ability to shop around and shop for prices.
spk_0
Universities should not be raising their tuition
spk_0
and lock step.
spk_0
Universities should not be sharing information
spk_0
on financial aid because all they're doing
spk_0
is transferring leverage from the consumer,
spk_0
the parents and the kids such that they can't shop around
spk_0
and get the best price.
spk_0
If you are not growing your freshman class faster
spk_0
than in population growth, you lose your tax-free status
spk_0
because you're no longer a public servant,
spk_0
you're a hedge fund with a class.
spk_0
There are easier ways, better ways, more competitive ways
spk_0
to get it, bringing the prices down than price caps.
spk_0
We want as many as full freight paying foreign students
spk_0
as possible.
spk_0
This is one of the highest margin exports we have.
spk_0
And the idea of thought control,
spk_0
it just goes to weird places.
spk_0
And by the way, if this isn't done through Congress,
spk_0
guess what?
spk_0
President Moore,
spk_0
President Newsom, President Bashir,
spk_0
they're just gonna dial all this shit back.
spk_0
Right, it's useless.
spk_0
It's useless.
spk_0
And this is their shot, I think.
spk_0
What is your, is that your win-end?
spk_0
Yeah, I just, I wrapped them all into one.
spk_0
I bought it.
spk_0
All right, okay, I have two.
spk_0
Obviously speaking of thought control,
spk_0
I think my fail is watching,
spk_0
watching what OpenAI did here
spk_0
with this back and forth on copyright.
spk_0
What a mess.
spk_0
What a ridiculous theory.
spk_0
I'm sorry, I ccused Facebook of it.
spk_0
I've accused Google of it.
spk_0
Same thing.
spk_0
This is just ridiculous.
spk_0
You respect copyright.
spk_0
You do not try to build a business
spk_0
of other people's things and then act like it's no big deal.
spk_0
It is a big deal.
spk_0
You're stealing other people's things
spk_0
and the things that are most attractive on your site
spk_0
are copyrighted material that you didn't make.
spk_0
If you want to make new things, go for you.
spk_0
That's great, but otherwise your thieves,
spk_0
your, as Walt Mossberg says, again and again,
spk_0
they were repacious information thieves.
spk_0
You don't own this, get your dirty mitts off of it
spk_0
or pay the people who made it in the first place.
spk_0
You're killing people's jobs.
spk_0
You're also not gonna take their seed corn at the same time.
spk_0
And I hope that, I hope there's all kinds of lawsuits
spk_0
to do so.
spk_0
Unfortunately, people have to sue
spk_0
and that puts them on their back feet,
spk_0
especially when their industries are dying.
spk_0
For my win, obviously Taylor Swift,
spk_0
I would recommend watching the fate of Ophelia
spk_0
official music video.
spk_0
It's fantastic.
spk_0
It's a really great album.
spk_0
I know a lot of white guys are like,
spk_0
okay, it's really great, but like they,
spk_0
all the reviews are like,
spk_0
oh, you're a dirty politics, all the white guys.
spk_0
No, I get ridiculous.
spk_0
They write the same review.
spk_0
They're like, this woman is spectacular and yet,
spk_0
and yet they can't possibly just give her a win.
spk_0
And by the way, $46 million at the box office,
spk_0
that's all I have to say.
spk_0
And in that reign of winning, I also love this guy.
spk_0
There's two things.
spk_0
One is the Pope, fantastic, winner,
spk_0
is this YouTube greeter guy named Troy Hawk,
spk_0
who goes around and compliments people,
spk_0
and he's built a huge following.
spk_0
I would recommend you watching him.
spk_0
If I had ankles like that,
spk_0
they would also be on full display.
spk_0
You know what I'm talking about?
spk_0
I love your shades.
spk_0
You're like a benign motorcycle cop.
spk_0
And I like the way that you're embracing.
spk_0
I'd like your concepts and conversations seamlessly,
spk_0
just jumping on board my train.
spk_0
Two, two.
spk_0
It is so enjoyable.
spk_0
This is where social media shines,
spk_0
where people like this are there,
spk_0
like whether it's Taylor Swift,
spk_0
providing great content,
spk_0
whether it's the YouTube festival greeter guy,
spk_0
whether it's the Pope.
spk_0
Let me tell you, there's a quote,
spk_0
I'm going to read to you, Scott Galloway.
spk_0
That is very, it's probably a little over your head.
spk_0
Probably.
spk_0
But I'm going to read it anyway.
spk_0
There is not any advantage to be won
spk_0
from Grim Lamentation.
spk_0
That's from Homer.
spk_0
That's not be Grim Lamentators here, guys.
spk_0
I don't think that's a word.
spk_0
Make things win at the bar.
spk_0
Is that something you talk about at your favorite bar in DC?
spk_0
No, I'm just saying, don't be fucking grim about it.
spk_0
This ice people fight back.
spk_0
Be don't sit around and tell us what to ice.
spk_0
What are we doing here?
spk_0
I am just saying, Lamentate,
spk_0
make things that matter,
spk_0
that people buy, that do well economically,
spk_0
say things that are lovely to people,
spk_0
make them feel better.
spk_0
Win by hope.
spk_0
That's all I'm saying.
spk_0
Win by being great.
spk_0
That's what I'm saying.
spk_0
Win by being great.
spk_0
Word, sister, word, sister.
spk_0
No Lamentation.
spk_0
We are not going to do that.
spk_0
These ice people fuck them.
spk_0
Let's figure out a way to win.
spk_0
Reminds me of my favorite poem.
spk_0
There once was a girl from Nantucket.
spk_0
Oh wait, never mind.
spk_0
Never mind.
spk_0
Grim Lamentation.
spk_0
We shall not have it.
spk_0
I noticed you didn't mention your former firm
spk_0
getting dumped by crackerbite.
spk_0
Oh yeah.
spk_0
I miss your.
spk_0
I forgot about that.
spk_0
Profit, right?
spk_0
I forgot about that.
spk_0
So I can't resist.
spk_0
Very quickly.
spk_0
Tell the story rather quickly.
spk_0
I went to work in Morgan Stanley, hated it.
spk_0
And they hated me.
spk_0
Oh, I did okay there.
spk_0
So I went back to business school.
spk_0
Business school is for the elite in the aimless.
spk_0
In my second year, I took this course called Brand Strategy.
spk_0
David Ocker changed my life.
spk_0
And I decided in my second year of business school
spk_0
to start a business called Profit Brand Strategy.
spk_0
And was there for 10 years?
spk_0
Sold my stake.
spk_0
Very proud of it.
spk_0
It's now I think six or 700 people.
spk_0
And it ends up they were the brand strategy
spk_0
from the recommended, the logo change.
spk_0
And now they're the sacrificial lamb.
spk_0
They just got fired.
spk_0
They got fired.
spk_0
Cracker Bell.
spk_0
Because how does a logo become politicized?
spk_0
I'm not entirely, I don't know what happened there.
spk_0
But everyone was in the...
spk_0
So that guy was based on you, the crackerbite guy I guess.
spk_0
Yeah, clearly, it was clearly a nod to me.
spk_0
I'm like, at that firm, I'm like Trotsky.
spk_0
The CEO was a difficult person.
spk_0
And basically, like my name shall not be mentioned
spk_0
at Profit anymore.
spk_0
They had a 30 or get this, they had a 20 year reunion
spk_0
and then they didn't invite me.
spk_0
So good.
spk_0
Well, I blame it all on you.
spk_0
Anyway, I started it when I was 20.
spk_0
And now it's the crackerbite.
spk_0
Crackerbite.
spk_0
Now it's been fired by Crackerbite,
spk_0
which is a unique designation for a company.
spk_0
Anyway, we want to hear from you.
spk_0
Send us your question about business tech
spk_0
or whatever's on your mind.
spk_0
Go to nymag.com slash pivot
spk_0
to submit a question for the show
spk_0
or call 85551 pivot.
spk_0
And reminder, we're going on tour.
spk_0
We're going to be in Toronto.
spk_0
Sold out.
spk_0
Toronto, Toronto, Toronto, Toronto, Boston, New York, DC,
spk_0
Chicago, San Francisco and LA visit pivot tour.com for tickets.
spk_0
Are tickets are being scalped?
spk_0
They went for 65 bucks.
spk_0
Now they're going for 250.
spk_0
Scalped.
spk_0
Let's stay away from scalpers and third party sellers.
spk_0
We should have added more nights in certain cities.
spk_0
It's Canadians, like eight bucks.
spk_0
We're not fans of scalpers, but we're going to sell out.
spk_0
We are going to sell.
spk_0
So by soon.
spk_0
And elsewhere in the carer and Scott universe,
spk_0
this week on on with Cara Swisher,
spk_0
I spoke with makeup mogul Bobby Brown.
spk_0
Let's listen to a clip where she talks about
spk_0
the running of her company.
spk_0
I used to interview every single person, you know,
spk_0
not every person, but most of the people I would interview.
spk_0
And when all of a sudden these people started showing up
spk_0
and like, hi, I'm your new head of international.
spk_0
Hi, I'm this and I'm like, excuse me.
spk_0
I didn't meet them.
spk_0
Well, we we think they're going to be the best for the brand.
spk_0
We think this, we think this.
spk_0
So I wasn't included in what to me was important,
spk_0
which you know, was running and growing the brand.
spk_0
And when I left, it was a billion dollars.
spk_0
It was a growing, growing brand.
spk_0
She sold her company to SD Lauder and then eventually,
spk_0
after decades lost control of it and then started Jones Road.
spk_0
She's a really interesting entrepreneur.
spk_0
It's a great discussion.
spk_0
Okay, that's the show.
spk_0
Thanks for listening to Pivot.
spk_0
Be sure to like and subscribe to our YouTube channel.
spk_0
We'll be back on Friday.
spk_0
Scott Rita's out.
spk_0
Today's show was produced by Larry Neiman,
spk_0
Zoe Marcus and Taylor Griffin.
spk_0
Earnier Todd Entry, this episode Jim Mackle edited the video.
spk_0
Thanks to all sort of gibberish,
spk_0
Mr. Vera on Dentionalon, the shot carous box,
spk_0
Rita's executive producer podcast.
spk_0
Make sure to follow Pivot on your favorite podcast platform.
spk_0
Thanks for listening to Pivot from New York Magazine
spk_0
and Vox Media.
spk_0
You can subscribe to the magazine at nymag.com slash pod.
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We'll be back later this week for another breakdown
spk_0
of all things tech and business care.
spk_0
I'll see you later in the week.