Gil Luria

The value of a company is only the value of their future cash flows.

All of a sudden, we're looking at this big universe of software companies

on a cash flow basis, on an earnings basis.

We have Microsoft at 20 times cash flow.

We have ServiceNow and Dynatrace and Adobe trading at less than 20 times earnings or cash flow.

And we have super hyper growth companies like Snowflake and Datadog and Shopify

trading at maybe 35 times cash flow.

So those are actual real opportunities that the market has created because of the extreme scenarios.

But I don't want to sweep them under the rug.

They are potential scenarios.

I'm just taking the weight and probability and saying...

I think there's 80% right up the middle that we're going to be fine, that AI enhances productivity in a way that makes software companies better, especially winners in software.

Not every software company.

There'll be plenty of software companies that fail, but the good ones will win, and those are more attractively priced than they've ever been.

It's a problem because the world is going to change a lot for them.

We've really fine-tuned the system that you're talking about.

And now we're throwing a wrench into all of that and saying, actually, people aren't interacting with the web in the same way they used to.

which means a whole completely different type of interaction that you are all going to have to adjust to in terms of what ads you present, how you present them, how you pay for them, how much you pay for them.

We will have ads within the free tiers of ChatGPT and Gemini.

That's almost a certainty because they need to pay for it somehow.