David George

And they end up being less competitive in certain areas and people settle into different areas.

So on the model side, so far, the way it looks like it's played out is it will be more like the cloud industry.

It's not going to be a winner take all.

Certain technical advantages seem limited in timeframe.

There's always this constant leapfrogging of the model industry.

So I think it will look like the cloud industry in the sense that there will be multiple players.

There will be profit pools for them.

Early days, we were saying, is this going to be aircraft manufacturing or is it going to be airlines?

Those are the two extreme ends of the spectrum.

Aircraft manufacturing has high profit margins because there's really high capital intensity and it's extremely hard technically.

So that would seem to mirror the model industry.

Airlines, on the other hand, are horribly competitive industries and they all go bankrupt in the fullness of time.

So it seems like the model industry is going to be like aircraft manufacturers or the cloud industry.

That one is all size of market.

It's just so vast.

And cloud is such an interesting market because if you could just independently own AWS, Microsoft, Azure, and GCP, those would be some of the most valuable companies in the world.

Those would be awesome businesses to own.

On the other side of it, one of my partners, Alex Rampell, has a statement that he likes to say, which is the best business in the world don't have customers, they have hostages.

That's not actually the case in cloud.

Sure, there are some things like egress fees.