Jesse Zhang

And even though the costs will go down, their expectations might also change and so on.

So you generally want to be fairly healthy there.

I think that's what's underestimated right now.

Well, I just think it's quite unlikely that where we're currently at is like the best that things will be.

There's so much effort getting put into it.

And like one of the main metrics is efficiency.

The other piece is that even if things don't get better, there's a lot of ways you can re-architect your system so that it is more cost efficient.

It's just that it's not worth putting time into that right now where you can put that same amount of time into getting new customers because you know that things will change in the future.

So I think that's just one thing where people are like, oh, it's kind of like a scheme where you take VC dollars and then like the VC dollars go to the chips.

These companies are losing money.

If they wanted to, probably they could just like spend a month or even less and just massively improve their margins.

But it's just not worth doing that work right now.

Where you're really optimizing for right now is just quality and growth.

So if you can do that, then the optimization will always come later on.

Yeah, I would say the only thing that we have a principle for is not to have negative margins.

In general, we have fairly healthy margins because one way that you can think about it is if you just think about supply chain for any good, let's say you're buying like a croissant at the airport or something, that last step where you're actually solving someone's problem, that's where you generally can capture the most margin.

Every step along the way, like whoever's enriching the flour or like making the butter or whatever, you're generally making a margin on top of the costs of whatever your goods are.

And that's why it's nice to be in the application layer is what you're building is actually solving the business.

And as a result, you can capture more of that because our customers, the way they're thinking about it is great.

We're investing in Decagon.