Evidence receipt / evaluation
Published · transcript-backedBen Gilbert: evaluation
12 May 2022 Acquired Arena Show Part I: Idea Dinner + YC Continuity
“To your point, I think their capex last year was something like 3X or 4X any of the other big tech companies because you're just building out these warehouses and data centers.”
Source trail
Everything needed to verify it.
- Speaker
- Ben Gilbert
- Attribution
- Verified speaker
- Claim type
- evaluation
- Recorded
- 12 May 2022
- Publisher
- Acquired
Transcript context
…Exactly. This is my point. The narrative that retail is worth zero completely misses the point. The reason that retail lost a billion and a half dollars last quarter is Amazon invested so far ahead of the curve. It's unimaginable to me that I would buy things anywhere else but Amazon. That moat is so deep that if they were to stop investing, they would become incredibly cash flow positive and they would still have years of runway before any competitor caught up. To your point, I think their capex last year was something like 3X or 4X any of the other big tech companies because you're just building out these warehouses and data centers. Totally. To borrow a Bezos framework, I think you got to think about what's not going to change in investing. I think what's not going to change is: (1) the Internet is going to keep growing, so I want to own AWS. (2) I and others are going to keep buying more stuff online, so I want to own Amazon retail. I think that on the retail side, they'll keep adding credit cards, advertising, Buy with Prime, leveraging their infrastructure across other retailers on the Internet, and all of those are high-margin products.…
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