Invest Like the Best with Patrick O'Shaughnessy
· Patrick O'Shaughnessy, Scott Nolan
[00:00:00] S0: Well, I for one am glad that you're not working on the problem that you're working on. It seems enormously high leverage. And I certainly hope that the future that you might enable is the one that we get to see. I think there's very little arguments against more cheaper, cleaner energy. So an incredible project. When I do these interviews, I ask everyone the same final question. What is the kindest thing that anyone's ever done for you? [00:00:00] S1: Maybe the recent example that's completely linked to this conversation is the transition from Founders Fund to General Matter. And you have to say okay, well, what was this thread that led me here? It goes all the way back to being recruited into Founders Fund by Peter and then support through a decade of investing. And then as I wanted to go shift focus to this, total support for doing that. Obviously, Peter tried to beat up the idea and make sure it's good. But being along for that journey and then ultimately joining our board – as one of very few boards that he's on. Really appreciate that. [00:00:00] S0: What was the hardest part about him beating up the idea? What was the hardest aspect to get through?
· Scott Nolan
[00:00:00] S1: All the abstract layers of meta-level questions, of just even going back to the fact of like, we haven't had any new nuclear in a long time. Why is that? Is nuclear just regulated to death? Is the regulation actually a thing that's meant to stop it – basically make it illegal. It's all these questions of like, why is it really the case that we're going to get more nuclear now? And I think it was that challenging of this that forced us to ask a lot of hard questions that we feel great about our answers to. Even the one you asked of, are you dependent on every SMR succeeding to make a real market? On the HALEU side? Yes, the HALEU production ultimately will be SMRs that create that demand. But to make HALEU, you have to make LEU. And LEU is what goes into the grid today. Our technology works on LEU also, and we'll be building LEU capacity. And so there's this $2 billion plus US market and a similar size market in our allied partners that we can sell into. And so there's this known good market. And so you work through questions like that, when being challenged on, what if nuclear doesn't grow? And it's like, well, worst case, there's an existing market. We can start a business there. And time is then on our side for when and if nuclear grows – which we think it will grow very rapidly. We're in a good position. And a lot of these conversations that I had with Peter were in 2023, before the AI data center boom. And so now it's extremely obvious why we need this.
· Patrick O'Shaughnessy, Scott Nolan
[00:00:00] S0: Yeah, of course. You're in a good position. Scott, this has been so much fun. Thank you so much for your time. [00:00:00] S1: Yeah, thank you.