00:16:15 · John Coogan, Jordi Hays
[00:16:15] S1: Yeah. [00:16:15] S0: The thing that would have been interesting is like if they if this would have been seven votes and that they would have been public like where the line was but this allows them to effectively have their own disagreements internally not have there any be any visibility Interesting. [00:16:28] S1: Okay. So that's the benefit. [00:16:29] S0: So you could have like you could have like... It'd be like a four three vote. Yeah. People are like, you know, massively infighting. But all all we see [00:16:37] S1: Is the is [00:16:38] S0: is single vote. Yeah. [00:16:39] S1: Got it. Okay. Interesting. I thought it was more about like like passing down. Because if you have seven votes, seven shares, then would your l... Like if you die and you... In your will, you're like, oh, I wanna like pass this LLC down to my five children. Then do they become voting members? Do they have a voting a separate... I mean, LLC probably has its own voting structure. Right? [00:17:06] S0: Yeah. So agreement. [00:17:07] S1: So it could be it could... Within that LLC, there could be one per... One member of the LLC that has 90% of the shares in that LLC. So they could have one one person control. Potentially, like, have no idea the structure of that LLC, which is interesting. Right? [00:17:23] S0: Yeah. We just know that it... We know it's... They're precious.
00:17:23 · Jordi Hays, John Coogan
[00:17:23] S0: Yeah. We just know that it... We know it's... They're precious. [00:17:27] S1: What's also interesting is like I don't understand how the board works now because there's the there's the board that's independent with like Ben Bernanke on it and they appoint the executives, I think. But they were supposed to have control, but now it seems like this has control that supersedes that. So there's a lot of interesting [00:17:49] S0: there's a lot of... Interesting complexity. Yeah. [00:17:52] S1: It's really it's really full employment for Cory Weinberg. I understand why the New York Times is like, we gotta get this guy from the information. Because like, he's gonna have full time employment. Because every time he writes a breakdown or a scoop or something, Anthropic's like, here's another twist. Here's another plot twist. Let's... Good luck figuring this one out. It's a very very interesting very very interesting setup. I wonder if if this will become more common, you know? Like with AI... [00:18:23] S0: Well, So Zac is in this position where later on, like he's had like total control of meta. Now he's like, okay, need to raise equity. Yep. And so he's creating this new class so that he doesn't dilute himself so much. But in the fullness of time, he could be diluted down. This structure enables them could to never... [00:18:42] S1: Sell everything. [00:18:43] S0: They could all own basically nothing and be happy because they still have... Controversy. They want the golden vote. The golden vote. The golden...
00:18:43 · Jordi Hays, John Coogan
[00:18:43] S0: They could all own basically nothing and be happy because they still have... Controversy. They want the golden vote. The golden vote. The golden... [00:18:52] S1: Interesting. I'm so I'm so interested to understand how this how this LLC votes because I mean even if it's just even if it's just seven equal founder votes, which is cool, like, you got seven co founders, everyone's on the same page. That's awesome. Also, it's just nice to have seven because you you'll never have a three three v three. But, like, what happens in succession planning? Like, what happens if someone has multiple kids? What if somebody gets divorced? What if somebody dies? Like there are these weird things that like the perfect structure probably doesn't hold up under. Like if if one of the Yeah. Co founders dies with no children and they're just like, I don't... Then it's just six to six and it's six people then you're back to three v three. Is that a problem? I don't know. Like there's just so many different dynamics of what of what could happen. [00:19:38] S0: We need to study the dynamics of ant colonies.
00:19:38 · Jordi Hays, John Coogan
[00:19:38] S0: We need to study the dynamics of ant colonies. [00:19:43] S1: Maybe. I don't know. Maybe that's maybe that's what it is. Or maybe it's maybe it's elephants. I don't know. Yeah. Our class f's common stock will not have any economic rights. Interesting. Class f common stock entitled to 50.1% of total voting power. I wonder how that's treated for tax purposes. Like, they say it doesn't have any economic rates, but, like, if it has if it has incredible power over something valuable, like, can it have a fair market valuation? Like, certainly, there are plenty of people that would pay a lot for that one share. Right? Like, you were to market to market and you just ran an auction, like, you know, like Google and Nvidia and Microsoft would all be like, well, yeah, I'll pay like a billion dollars for that share or 10,000,000,000 or a $100,000,000,000 for that share because I would get control over this amazing asset. So like it has value, but you just never market to market. [00:20:39] S0: I mean, could be written into the operating agreement that that none of... They they can't be transferred or sold or or... [00:20:46] S1: But you could do a forward contract against it. So like if you're one of those co founders, I think you got to do a forward contract or you could take out a loan against it. Right? Take out huge huge debt line just to load up on debt so you can buy a private island. I don't know. It's possible. It's possible. [00:21:04] S0: Think it's Let
00:21:04 · Jordi Hays, John Coogan
[00:21:04] S0: Think it's Let [00:21:04] S1: me tell you about CrowdStrike. Your business is AI. Their business is securing it. CrowdStrike secures AI and stops breaches. Yeah. You're not going get these type of these type of debates on less wrong. The most mind blowing stat semi analysis has seen about the Anthropic s one is as of 06/30/2026 quote, we had raised an aggregate of a $141,000,000,000 of capital and had cash and cash equivalents of a 112,400,000,000 and short term investments of 19.3. Means today they've burned 9,800,000,000. They're growing at rapid pace and are profitable on an operating income basis as of June quarter. This is likely the most efficient scaling of a business in the history of capitalism. Well, we have two folks from Semi Analysis coming on the show at noon, Doug O'Laughlin, Joey Brookhart. I'm very interested to understand because Doug is obsessed with the railroad build out and I feel like this might be an example. [00:22:01] S0: Well, I don't it's it's trains generally.
00:22:06 · John Coogan
[00:22:06] S1: But he he has made he has made comparisons to from the AI build out to the railroad build out. But I don't know that there was a a railroad company that was this capital efficient during the railroad build out. Like You might need another analogy of some sort. Don't know. Very interesting. Maybe this is more like Google in the tech in the first internet build out. So when is this going out? What do we know? What don't we know? We know the ticker dollar sign ant obviously reference to Santa Claus. Yes. But we don't know how much the raising is rumored to be a 100,000,000,000. We don't know the valuation. People are saying somewhere between 1.5 or 2,000,000,000,000. 2,000,000,000,000 feels like it's on the table now. When the market was selling off and there was like a lot of discussion over the revenue deceleration, there was a question about will they need to pull it back. Probably still could. It doesn't really matter at the end of the day. It's still huge up round based on the last evaluation, puts a bunch of money on the balance sheet. Whether it's 5% dilution, 7% dilution, not the biggest deal. The IPO should be happening the week of November 16. As a reminder, we will be at tomorrow x around that time and it should be an incredible time for us to be doing the show because we have an insane guest lineup with some of the biggest greatest capital allocators in tech and business. And so we will be able to get everyone's take live as this is progressing whether even if it's delayed another week, we're going to have a lot of great stuff to talk about as everyone gets ready to position, maybe go long, give their thesis, give their take, maybe they're already in Anthropic, maybe they bought IPO shares. Risk factors. Nick Carter sharing a satirical risk factor. What does he actually say? People are talking about time travel and stuff. What else is in there? The only one, I mean everyone sort of knew that the IPO risk factor was going have catastrophic risk, sort of like the AI doom, the doom scenario. It did make it into the s one. The market seems to have digested it and been like, yeah, we know. Yeah. You guys have been talking about this for a long time. We're still gonna underwrite it. Like there's not really anything you can change about your underwriting. You're not gonna put that in your DCF.