A key reason why I wrote yesterday that a Disney (DIS) sale would not be announced until the end of 2024 or in 2025 is that Disney has to be thinking about the Biden Administration's FTC head Lina Khan blocking a potential deal, whether it be for pieces of Disney such as ABC, or for … Continue reading A Disney Sale: The FTC and Potential Acquirers.
Disney (ticker: DIS) CEO Bob Iger will sell the company before he walks away. Iger will not appoint another successor after his 2020 appointment of Bob Chapek as CEO failed. Today, PepsiCo (ticker: PEP) CFO Hugh Johnston was named Disney CFO (read more HERE). View Mr. Johnston's experience HERE. My view is that Disney will … Continue reading Disney’s New CFO Is an M&A Guy
Gen AI investments made by Amazon, Google and Microsoft. We recently wrote that Microsoft, Amazon and Google are outsourcing development of Large Language Models (LLMs) to third parties in part to keep the associated expense off Balance Sheet. The table below provides detail as to the billions of Dollars that each of Microsoft, Amazon and … Continue reading The Gen AI Proxy War Fought by Microsoft, Amazon and Google
Generative AI Revenue for Microsoft (MSFT), Amazon (AMZN) and Google (GOOGL) is negligible and will not provide a meaningful revenue boost in the near-to-intermediate term. Nvidia (NVDA) is benefitting from the broad Gen AI infrastructure build given that it is the leading Gen AI chip supplier. OpenAI (private) is benefitting as it deploys its Large … Continue reading Generative AI Will Not Provide A Meaningful Revenue Boost to AMZN, GOOGL or MSFT
Growth for Microsoft Azure and Google Cloud Platform will continue to slow this week when MSFT reports earnings on October 24th and Alphabet reports on the same date. Azure and GCP customers are largely cutting heads or keeping headcount flat, not adding headcount. Thus, Azure and GCP usage will be flattish to down for most … Continue reading Azure and Google Cloud EPS This Week
To put it simply, the Biden Administration's FTC is anti-capitalist and anti-American. The primary problem with FTC Chair Lina Khan's organization is that it suffers from overreach as does the Biden Administration. Why Ms. Khan's FTC ever pushed back on Microsoft's pending acquisition of Activision is beyond me. Anti-competitive? How? One company (MSFT) is a … Continue reading The FTC Will Not Breakup Amazon Or Google
Our 2 minute 14 second YouTube video on how we believe the Gen AI cycle will play out. https://youtu.be/d4_6SMFnPZc?feature=shared
Reach out to us if you would like the PowerPoint version of the below.
Amazon, Apple, Disney, Google, Meta, Microsoft and Netflix have an advantage over other content companies given their size. By size I am primarily referring to market cap and size of balance sheet. Apple (AAPL, $2.94 Trillion market cap) and Microsoft (MSFT, $2.43 Trillion market cap) are in a league of their own with their nose … Continue reading Apple’s VisionPro Provides A Defensible Edge In The Content Space
We reviewed share buyback activity for Amazon, Apple, Google, Meta and Microsoft. Generally speaking, share buyback activity is down versus a year ago given elevated share prices, higher interest rates/cost of capital and an uncertain macroeconomic environment. We reviewed share buyback activity for AMZN, AAPL, GOOGL, META and MSFT at 3, 6 and 12 month … Continue reading Share Buyback Activity for AMZN, AAPL, GOOGL, META and MSFT.