Travis Hoium

Shares were up 30% in a day or two.

They're now down 40% since before that announcement.

The market is rejecting what their new strategy shift is, Rachel.

It seems fascinating that they're now saying, you know what, we're still going all in on AI, and we're going to sacrifice the jobs that have gotten us to be the company that we are today.

Yeah, Lou, it seems like Larry Ellison is going big or going home with this bet on AI.

Let's take Google as an example.

Hey, if we overbuild, we would be better off overbuilding in artificial intelligence and data centers and GPUs and all that kind of stuff, rather than underbuilding and missing out on the opportunity.

But then you look at a flip side like Oracle,

And they're building with debt.

So it seems like the calculus is just very different.

And if they have to keep up with those other bigger hyperscalers, they just don't have the fallback.

And that's what seems to be the challenge to me, is that if Google spends all their cash flow for the next three years and then realizes it's not a great return on investment, they can just reverse course.

And they'll be fine.

Microsoft will be fine.

Amazon will be fine.

The other thing that we need to think about as investors is the market is starting to send those signals.

The market is, we talked about it on the Friday show, management teams are going to have to start thinking about, hey, if we cut back, is the market going to cheer?

Because if you've got a crashing stock price, eventually, somebody is going to lose their job and implement a different strategy.

They're going to look like a hero.

A lot of game theory, as you said, going on in Silicon Valley right now.