Azeem Azhar

I mean, there's not a new technology and a new complexity that a lawyer doesn't love because you need to construct new contracts and there's new case law.

So even as these tools get better, the world may be getting more complicated and certainly for the coming years or more, it might create more opportunities, not close them down.

I mean, the truth is we can't be sure.

I just say that at these moments with the exponential age, which is so disorienting, so surprising, you have to be a bit open-minded and imagine counterfactuals.

Against all of this, this market change, traditional capital markets really struggle to fund this.

That's why many of these firms are backed by venture capital in the early days.

But the appetite for change now is so great that a lot of this funding is happening in public markets.

And so we get to this sort of odd world where a company like Nvidia is trading at a forward...

price-earnings ratio of about 27.

Well, it's a bit spicy, but it's not dot-com levels.

That was Yahoo at 1,200.

But more interestingly, it has a ratio called PEG, which is price-earnings growth, of about 0.7.

And the rule of thumb is that under one, you've got a company that's undervalued.

Now, NVIDIA has a $500 billion portfolio.

order backlog.

So this whole thing is painting a picture of a little bit of confusion, maybe not a bubble, more of a utility that can't build power plants fast enough.

And so we see this extreme dispersion in the markets, that persistent bubble bust anxiety.

And I think what it comes down to is fundamentally

that the traditional capital markets are not well suited for dealing with this degree of change, uncertainty, and speed.

The return profile of AI as this general purpose technology, as an invention of a method of invention, as an exponential technology is really orthogonal to the returns profile that capital markets look for.