And they're looking to raise a whole billion dollars more to invest in AI.

We're in an idea business, and when you have a truly revolutionary idea, it can get really big.

I hope to do something a little bit different.

Besties, you've been on for a couple hours, so you can take a break now for a few minutes.

Sit back.

We are gonna show you some slides, and we're gonna walk you through really an update on the unicorn economy.

So the markets are back.

[laughs] Maybe we should have just plowed $10 billion into Anthropic"? Like, how do you balance that r-

Mm.

And only the top five got to interview for desks to try and not keep people jammed there too long.

But the desk of Bryan Lourd opened up, and he was the co-chairman and is now the CEO, and he asked to interview me 'cause he had read my memo, and he said, "I wanna interview the kid from the memo.

Even though he's not in the top five, I don't care." So I went up, and, uh, I'd never really met him or spent any time with him before, but we sat down and, um, somehow we got talking to-about John Steinbeck, which, uh, was my favorite writer, and I was reading a biography of him at the time, and we spent thirty minutes talking about John Steinbeck.

Nothing about business, or how do you answer the phone, or what he's looking for in an assistant.

Uh, so I came back down, and all the guys were like, "Oh, how'd it go?" I'm like, "Well, I don't think it went well-"

Yeah.

But I will inform them.

Mm.

And only the top five got to interview for desks to try and not keep people jammed there too long.

But the desk of Bryan Lourd opened up, and he was the co-chairman and is now the CEO, and he asked to interview me 'cause he had read my memo, and he said, "I wanna interview the kid from the memo, even though he's not in the top five.

I don't care." So I went up, and, uh, I'd never really met him or spent any time with him before, but we sat down, and, um, somehow we got talking to, about John Steinbeck, which, uh, was my favorite writer, and I was reading a biography of him at the time, and we spent 30 minutes talking about John Steinbeck.

Nothing about business or how do you answer the phone or what he's looking for in an assistant.Uh, so I came back down, and all the guys were like, "Ah, how'd it go?" I'm like, "Well, I don't think it went well because he didn't ask me-"

Yeah.

But I will inform them.

I'll be very direct.

Thomas, Le Font, when you see Zuck doing this, what's your take not only on what Zuck's doing, but how big of an opportunity is this, uh, you know, in terms of the prize of having the best large language model? What is he going for here and, uh, what's your take on these really aggressive packages and 49% purchases?

I mean, look, I think, one, it- it feels highly rational, right? If you think about Meta's market cap is, uh, rough math, 1.7 trillion.

If you're the CEO and you ultimately believe that maybe 50% of your market cap is at risk because of AI, 850 billion, why would you not spend maybe 4 or 5% of that if you think it increases the odds even slightly that you're gonna win the market? So to me, it- it- it kind of reminded me of a few- few things.

Number one, the scale and size of the opportunity, right? Obviously, people think AI is massive.

But frankly, um, Jake, I- I'm even wondering, putting the regulatory scrutiny to the side, if it was time.

He just didn't want to wait.

And obviously, doing it this way, I think Alex literally the next day, who's the CEO of Scale, can show up to work at Meta.

Go ahead.

So talk us through the big themes from the slide 60 and 61 today about how, you know, AI has reignited this deployment and x- and, and exits are starting to rebound.

rebound.Yeah, I'm curious to get Bill's view here because he probably thinks about this as much as I do and I- I'm curious whether he'll draw the same conclusion.

I, I think by and large, we all agree that the environment of 2021 was incredibly unhealthy, both for companies and for LPs.

Too much capital going in, not enough coming out.

A kind of a broken cycle, if you will.

Um, we- y- you could see that's in so many measures.

Amount of dollars going in, no money coming out, historically low IPOs, even worse than post-financial crisis, which is s- kind of incredible to think about.

Mm-hmm.

Okay.

We invested back, it was obviously just a Chinese company, and in- investing in China was very different back then.

But what resonated to me when I met the founder, and he just had a very simple idea, which is his view was, "If I have a piece of content, and it's a great piece of content, how can I have it be shared?" And his view was that if you share it on Instagram, the only way people see it is if you had a, a, you know, a lot of followers.

And so he just had a really simple idea, and he said, "What if I take every piece of content that's uploaded into the system and I show it to at least one other user? So no matter what that content is, at least one person will see it, even if you have no followers.

And then based on whether that person views it or how long, I might show it to another user, and then a third and a fourth." And it was such a revolutionary idea, and it really resonated with me at the time, and it just goes to show how we're in an idea business, and when you have a truly revolutionary idea, it can get really big.

And so the, the whole genesis of TikTok came from that really simple concept of your content will be shown, and if people like it, it'll be shown to a lot of people.

So obviously, I mean, if you look at TikTok in the US, we can just kind of very back of the envelope look at the math, right? So if we look at DAUs, Mother Blue, or Meta, as we love to know the Facebook hat, roughly, right, has about 200 million DAUs in the US.

Daily active users for folks who don't know the terminology.