Caroline Hyde

They go beyond people expect.

They tend to come with productivity improvements, but you do get some shifting perceptions and shifting priorities.

So let's just bring that back to Meta.

You know, they've got a lot of money that they want to spend on Gen AI.

The market hasn't liked the fact they've tapped into the debt market to do that.

You know, they've got less

in a way, cash flow than some of the other companies making similar levels of capex spend.

So I think this is a good and sane reallocation of resources towards AI, which is the prize.

Yeah, because I think the market's being more discerning now.

It's recognizing that some companies have cash flow that can support this and some companies really need that.

And Oracle is a good poster child for not only being late to cloud, spending quite a lot of money, being very tied into the open market.

uh ai in terms of contracts and the risks associated with that uh but also using debt and i think their debt to ebitda is like four times so it's in a completely different category you know it's kind of in the core we've uh department in terms of indebtedness and investors quite rightfully are becoming more discerning about the risk associated with uh you know financial leverage and then there's the risk of the private markets

How are you seeing OpenAI playing as a virtuous or a vicious circle right now?

Is it a single point of failure or is it the one that you need to be allocated to?

It's a little of both, let's face it.

OpenAI declared code red yesterday, the day before yesterday.

Look, it's facing competition.

It recognizes that Gemini is really, and if you've used the Gemini 3, it's pretty impressive.

It's not as friendly as chat GBT and everything.

That's a personal relationship thing going on.