Jeff Lawson

Not the entire thing.

We'll still have SaaS.

It will just exist at a different margin structure, different growth rates than we are used to.

How do you pick?

I think you have to understand the differences between all the software.

Security is not the same as enterprise software, not the same as mid and small cap point solutions.

So you have to be almost very deliberate in what you're looking at and not just by the group.

So look, I think we're living in two separate regimes right now in that the tech sector is going through its own hiccups with understanding what AI will do to it.

On the other hand, you have the hardware sector inside of tech, which is faring much better than software because they are the net beneficiaries of all of this AI and the infrastructure spending.

So how would I read the unemployment report and attach it to AI?

I think today or over the next few weeks, they're kind of not connected to one another, and I wouldn't read anything into it for the tech sector.

I think very much.

I think besides the hyperscaler CapEx numbers, I think we have to look at demand.

Token growth in the month of January was 25% growth month over month from December.

If you annualize that, that means token growth for the year is going to be 14-fold what we saw last year.

14-fold token growth, and that is just a measure of the amount of intelligence that we are asking the system or AI to do for us.

That is an incredible amount of demand that is being put into the system, and we will need an incredible amount of CapEx to support it.

And I will remind everyone, we are in the very early innings of adoption of artificial intelligence.

And, you know, so that CapEx number actually is necessary and it doesn't really scare me because as we move forward two, three, four and five years, I do believe that our world is changing in such a dramatic way that we are going to need this CapEx.

SpaceX's acquisition of XAI has many wondering what the company's next chapter will look like.