00:18:18 · Jordi Hays, John Coogan
[00:18:18] S1: GPUs for? [00:18:19] S0: You gotta you gotta get people generating stuff. I I completely agree. I think put this in the hands of the the modern Instagram creator. Let them have fun with it and see you already have the algorithm to filter the slop out. The stuff that is sloppy but still entertaining and creative will surface to the top. So congrats to them on a successful launch. Let's tell you about Railway. Railway is the only one intelligent cloud provider, user favorite agent to deploy web app servers, databases, and more while Railway automatically takes care of scaling, monitoring, and security. And let's click over to Jeremy Gaffan on why he doesn't worry about AI taking jobs, a very, very interesting take on the latest episode.
00:19:04 · Jeremy Giffon, John McElhone, John Coogan
[00:19:04] S4: This idea of we're gonna run out of jobs. To me, it's like very obvious that every, certainly every white collar job is like totally fake and made up in the sense that like they are not contingent for shelter and food and medicine and other necessities. But most jobs do not touch those or if they do, they touch it in a very, very derivative way. What is your job as an allocator? It's like, well, because capital is inherently inflationary, you have to, you can't just leave it alone. And so like, my job is like when you have money and you don't want it to go away, you have to give it to someone. And so you you give it to a bunch of people, and then I take it and I put it into things that are productive, and then hopefully you don't lose your money, you get more money. And like, is this useful? Is this good? Yeah. Sure. But like, it's not real. And to me, there's like unlimited Yeah. [00:19:56] S5: Amounts of [00:19:57] S4: jobs that you can create in those sorts of scenarios. We're gonna have unlimited wants and desires and and and our economy is solely driven by our unconsiderable desire to consume things. And so [00:20:06] S0: we need things to to consume. [00:20:08] S4: And now, again, in the short term and medium term, that might be volatile and there might be a lot of job loss, etcetera, and, you know, that's not good and, you know, there could be a lot of despair. But in in in the long run, like, we're just gonna invent new things to do. Like, we've already [00:20:21] S5: solved all of
00:20:21 · John McElhone, Jeremy Giffon, Jordi Hays, John Coogan
[00:20:21] S5: solved all of [00:20:22] S4: our problems. Like, the worry about, oh, we're not gonna have more jobs. It just doesn't really resonate because I feel like they dress makeup stuff for us to do, and that's sort of the whole point of it. [00:20:35] S1: That makes me think we need an invest like the best soundtrack. [00:20:40] S0: Do need an invest like the best soundtrack. Let's play the other clip that Patrick shared. The West Coast is definitely eating the East Coast. [00:20:49] S4: The founder is incredibly important and sort of the the founding act is incredibly important in in any business. I I do think that it's notable that, like, the current paradigm in which we live, the largest and most important finance firms come out of a culture of leveraged buyout, which it's extractive in so far as the primary goal is to make a thing more profitable. The core idea behind it is, like, using debt and financial engineering to make a lot of money in a way that the quality of the business itself is maybe ancillary to the core [00:21:23] S1: a second. [00:21:23] S0: In the [00:21:25] S1: Afterglow says, my god. What an obnoxious soundboard. Unwatchable. [00:21:32] S5: Sorry. It [00:21:32] S0: is a little loud today. I feel like the soundboard's coming in a little bit hot. We're sorry about that. But we're having fun here. And, of course, we don't wanna we don't wanna pirate the entire invest like the best episode. We gotta tease it a [00:21:44] S1: little be a good use case for AI if we can make a separate show that's just the show, but an agent in real time With
00:21:44 · Jordi Hays, John Coogan
[00:21:44] S1: little be a good use case for AI if we can make a separate show that's just the show, but an agent in real time With [00:21:52] S0: the soundboard. [00:21:53] S1: The sound effect and just has a normal show, no sound. [00:21:56] S0: Sure. Sure. So you can choose whether you want the soundboard version of the show or the not or or the [00:22:03] S1: Tyler says don't be sorry. That's why I'm here. Tyler's just here for the soundboard. So after I'm not the one. Unfortunately, there's people that are here that don't like the soundboard. There's people that are here only because of the soundboard. Exactly. We are trying to find the middle ground, and we don't always get it right. [00:22:15] S0: It's sort of [00:22:15] S1: We don't always get it right, but we're trying to.
00:22:15 · Jordi Hays, John Coogan, John McElhone
[00:22:15] S1: We don't always get it right, but we're trying to. [00:22:18] S0: Sort of a cold war between the pro soundboard and the anti soundboard constituents in the audience. So we we we'll do our best. But Yeah. Today is a soundboard episode, so there's gonna be a couple. But I think the team did dial back the soundboard a little bit. So not too bad now. Okay. Well, revenge of the East Coast. The East Coast is trying to is trying to make a comeback. Jeremy Gaffan says the West Coast is eating the East Coast, but the East Coast is trying to make a comeback across all of these big banks. Did you hear about this? They're going after the debit card rails. They're going after Visa. This is news today. JPMorgan, Bank of America, Wells Fargo, PNC, and other big banks are reportedly exploring a deal to buy a Fiserv debit card network that would let them own more of the payment rails that the customer's debit cards run on. So the basic idea is that post I think it was post financial crisis, there were limits on how much banks could make on debit card transactions. This is the Durbin Amendment. [00:23:26] S5: Durbin?
00:23:27 · John Coogan
[00:23:27] S0: The Durbin Amendment. I think Dick Durbin. And they want a way to turn debit back into a more valuable business. So Fiserv owns major debit networks, including Star and Excel, which I don't run into that often. I usually see Visa, Mastercard, AmEx. I mean, AmEx doesn't debit network. But Star and Excel already connect to millions of cardholders and thousands of financial institutions. So this is like a it's a real rail with an existing bank and merchant connectivity. And so this is like when Capital One bought Discover. They own the issuer, then they also own the network, and then they can move their own volume onto their own rails and capture more of the economics. So who loses if this goes through? Who should be upset about this? It's probably the merchants, Visa, and Mastercard. So merchants would probably see higher effective debit costs if banks find a way to route more volume through bank owned networks, while Visa and Mastercard would lose some leverage over US debit. But the bigger story is that payments are getting vertically rebundled. Banks want the account, the card, the network, the wallet, the fraud layer, and eventually the AI agent checkout surface. So, it's all very I don't even think there's a real bid for the for Fiserv's debit networks just yet, but it's it's, like, starting to Screw it. Out that they're doing it. And I was interested to know, like, is this is this bullish for a ramp because they sit on top of of networks? And I think it is generally positive and and because of the layer of abstraction they operate on. And I was wondering, is this an attack on Stripe? Is this a is this an attack on any particular West Coast tech startup that we know? And it seems like it's much more of an attack on Visa and Mastercard in particular, who have been driving up debit fees for them. Anyway, let me tell you about Console. Console builds AI agents that automate 70% of IT, HR, and finance support, giving employees instant resolution for access requests and password resets. While