IP

JerryLeeDog

I know. Bitcoin is not what “crypto” has become anyway Crypto is just people trying to improve on something that never needed improving. Bitcoin is the TCP/IP of the internet already. People just haven’t fully realized it yet

swentech

I once worked for a startup company that had an offer to buy for $50 million but they turned it down saying they were worth 5 times as much. I had 5% ownership in the company. Eventually sold in a fire sale with my stock being worthless due to commitments to investors. Funny thing is the original IP is owned by a very large company today and makes them millions every year. FML.

Federal_Basis5925

My 2 cents. Avoid emotions and try to answer the following questions: 1. How big is the size of the market available for the company to capture? 2. How capable is the company to capture the available market? (Product/Management track record) 3. Does the company have a defensible moat to prevent price competition? (IP) If the answers for the above are affirmative, the price will matter much less.

TomatoSpecialist6879

Excluding venture capitals and banks, Yahoo and Verizon were the most common names in large acquisition during the 90s and 00s. Verizon, like AT&T, were smart and both played the 'buy out competitors' for their IP and proprietary software. Meanwhile Yahoo were buying flash game websites and whatever dumb shit that's trending on their Yahoo search. It's like a kid buying everything new they see, but have absolutely no idea what to do with it once they have it. Every acquisition from GeoCities to Tumblr were practically huge failures because they are allergic to monetizing anything properly

TomatoSpecialist6879

Yahoo would have purchased Youtube too if they had the tingling foreskin to buy Google. Excluding banks and venture capitals, Yahoo and Verizon were some of the most common names seen for acquisitions in 2000s. At least Verizon were buying out competitors for their IP and proprietary software, Yahoo's every acquisition from GeoCities to Tumblr were practically huge failures.

sploot16

So Ill-informed. You can’t frack people unless you know the users IP addresses which you can’t get by visually viewing someone’s profile. You call all this a rabbit hole. I call it basic awareness. https://thefederalist.com/2023/11/29/special-counsel-jack-smith-sought-info-on-anyone-who-favorited-or-retweeted-trump-tweets/

orangehorton

They have decent IP, but not nearly enough to be it's own service

LUNA_underUrsaMajor

If I had the cash id buy Paramount just to have the Star Trek IP so I could greenlight all the coolest and craziest Trek ideas people have, first on the list Id give Quintin Tarantino a blank check to make his rated R Star Trek movie he already wrote that was passed over for some dumb reason.

Mordrim

AAPL doesnt make large acquisitions. Its largest acquisition, to date, was Beats Electronics in 2014. That was more for tax purposes than Beats IP or business. AMZN just acquired MGM, so they already have know how in the industry. Between Paramount and Lionsgate, I would say Lionsgate is the more interesting acquisition.

alisonstone

The IPs can be sold off. That's actually what tends to happen. People think that the Marvel IP is so amazing, but they forget that Sony owns Spiderman, Universal owns Hulk, and Fox owned X-Men and Fantastic Four (Disney brought Fox a few years back, so it's reunited with Marvel again). That's because Marvel went bankrupt and the IPs were sold off for money. Disney has done a terrible job defending their brand. In recent years. Members of the Disney family are no longer running the company and it's been slowly replaced by people with more of the Wall Street financier mindset. Disney has done staggering acquisitions like the $70B deal for Fox and they will have a to pay a lot more money next year for the 1/3 of Hulu that they don't own (which is also bizarre as they already have Disney+ as a streaming service, now they'll fully own two). A lot of financial analysts talked about whether Disney has to sell off ESPN or ABC. This is how Marvel collapsed the first time around, too much debt. And with interest rates going up, Disney will have to refinance some of that Fox-related debt at very high rates. Most people expect more rounds of layoffs and that is how quality continues to decline. I'm not saying that Disney will collapse and go bankrupt soon. That is very unlikely. But the idea that "Disney has great brands and IPs, so they are invulnerable" is false. Disney is run by people who view stuff like Marvel or Star Wars as "this will create three $1B movies per year" with zero regard to the actual brand and zero understanding of why there is a fan base behind the property. Now Marvel movies are a coin flip on whether they lose money or breakeven. And they can't even release a Star Wars movie any more. The live action remakes of the classics are hit or miss. Disney animation have mostly been misses. All of the creative talent at places like Pixar that churned out mega hit after hit have all left and gone to other studios. These brands and IPs are not guaranteed winners any more. I don't think Elon's "go f\*\*\* yourself" actually did anything to Disney. But when the interviewer asked Elon whether he thinks that people would actually boycott Disney, I do believe Elon is correct when he says "they already have". You just have to look at the box office in the last year.

Champter24

China was just assembly for TSMC made chips in Taiwan, so nvidia wasnt manufacturing them, thus they did not have the IP. but now they did "acquired" the 7nm and started even production

Miffers

I don’t know what China’s yield are at 7nm level it could be low. It is not stealing if they were required to share any IP. That is the cost of doing business in China.

Tangerine_Jazzlike

> all the Marvel-related games Only Marvel Snap and the PS5 Spiderman games have really been successful in recent years. There's a few smaller games like Midnight Sun's and Marvel's Guardian's of the Galaxy which were ok. Marvel's Avengers was supposed to be a AAA live service but was a complete disaster. On the Star Wars front we only really have Fallen Order in the past few years which had reasonable success. EA sat on the Star Wars IP for years and did nothing, besides BF2 which was also a disaster of a launch. Marvel and Star Wars are perhaps the two of the biggest entertainment IPs in the world, but their presence hasn't be felt strong in the biggest entertainment industry, which is gaming. The future of entertainment is not animation, its gaming.

Tangerine_Jazzlike

Aren't you talking about Lucasfilm Games, before they were aquired by Disney? Disney has been liscensing its IP for a long time and we haven't seen many successful games under the Marvel or Star Wars umbrella. Marvel's Avengers was a disaster and EA done almost nothing with Star Wars.

rifleman209

That’s kinda the point though. You have an iconic company with outstanding brand recognition and IP but somehow they can’t figure out to outperform despite being loved my kids and approved by parents

rifleman209

My bet: Focus on the magic of Disney. Proprietary IP that can be leveraged into toys, theme parks and cruise ships. Keep DTC (Hulu and Disney+) Keep Parks keep licensing business Keep studios To hell with everything else. It doesn’t fit the magic of Disney formula

rankaleefanclub

> Monopolize precious childhood memories and bank off of nostalgia. That's not a good strategy. You can only bank on nostalgia if there are entertainment assets that the consumer can recall. Future generations would not have that connect with Disney's IP if they stopped their visual entertainment divisions. You should take a look at Bandai Namco Holdings (TSE: 7832) and its subsidiaries, and give their business model a hard look. Disney is not very different from them, and has 10x as much global brand awareness and a much more diverse IP base.

Mike_Ropenis

* doesn't make money * multiple competitors, some with better moats and advantages * no proprietary tech/IP/algorithm to leverage I will also pass.

Other-Inspector-9116

Idk games are risky, probably more so than movies as there are much more technical hurdles and design talent needed, on top of art work and animation. Most movie adaptations to games suck complete ass 99% of the time too, what makes a good 90 minute story doesn't always cross over to a 20+ hour $70 video game. Completely different audience, mostly middle aged males, not huge Disney consumers A brilliant move would be to partner with hideo kojima, give him support on animation, writing and give him free reign on gameplay, design and vision. That joint adventure could be a beast, and no one is making original IP at the moment either. there's be a big thirst for an original story based game.

Didntlikedefaultname

I’m confused, Disney owns and distributes a ton of fairytale IP: the Disney princess collection for instance

PCBangHero

They already tried that and failed. Now they just license their IP out which is what they are good at managing.

Tangerine_Jazzlike

You're right they've done damage. Those IPs can easily bag $2B each any year at the box office if they treated it with respect and took their time. Losing James Gunn to Warner Bros is a huge mistake. I actually think we'll see a big drop in Marvel popularity over the next few years and DC Will become the bigger IP.

Didntlikedefaultname

I think Disney really shit the bed out of greed. They have so much amazing IP that they all but set fire to by cranking out low quality content and saturating demand. They could have utilized their marvel, Star Wars, and classic fairy tail IPs for decades but seemed to want to blow their load over the last few years instead. Those feed into every vertical- video games, shows, movies, park experiences, merchandise. But they burned it so bright and hot that interest has cooled tremendously

Didntlikedefaultname

Agree. Disney+ is still having lots of challenges. They need to invest in the parks. Superhero fatigue finally kicked in and Disney can no longer shit out billion dollar movies. They need their money to actually grow their business and expand their IP - giving it to shareholders is gonna hurt the bottom line and seems so shortsighted

Used-Key921

Why are you IP banned bro? You should spend less time on reddit and more time actually living 

AuJusSerious

YES. I actually got into a troll war with two accounts made 18 days ago who were spamming multiple subs with $NEGG propaganda. It's why they were IP banned from WSB. ​ This is classic pump and dump hysteria. It's taking over this sub now, and it's overshadowing the people who actually have real, analytical input to real squeeze plays (Somebody had a callout for TVIC and VVOS recently and they actually squeezed). ​ This is 100% pump and dump. No analyts, just a story 3 weeks ago about the FDIC telling $NEGG if they don't keep their share price over $1.00 for 10 straight days then they'll be delisted. Partner that with the news that $NEGG will buyback $10 mil in shares over the next 2 years and everyone thinks there's something brewing. Even the short float is bogus

ClassicManeuver

China buyer. They suck at business unless it’s government subsidization, IP theft, or churning out sweatshop chineseium crap.

Jeff__Skilling

Just flipping through their latest IP, it [looks like that's what they're doing...?](https://imgur.com/a/hO5hlCP)

Mr_E-_-

Mind sharing it there? i'm IP banned there, i can't even comment there or i get perma and have to grind more karma :/

spawnvol

I support him. Fuck these corporate overlords trying to virtue signal and present like they’re so holy, when they’re some of the most vile pieces of shit on this planet. This is why we need an IP Tax.

AnthonyLawrenceTO

Amazon has purchased the rights to the Book' IP. A book or series might be in the works.

Wise-Application-144

Yeah I mean it's a nonsense scenario, my point is to illustrate how it's lunacy to think it can be effectively taxed when it can be transferred by encrypted electronic message, writing, sound wave etc etc. The only thing that national bans ever did was move the IP addresses abroad. Same applies to any other friction that the state could impose.

Wise-Application-144

Yeah I mean the government can't even stop movie piracy even though most people's IP address is unmasked. I certainly agree they could interfere and temporarily frustrate current systems of exchange, but I have absolutely no confidence in them being able to impose any sort of serious tax on it. Just like movie piracy, you'll suddenly find everything is hosted abroad. ​ Frankly, I can just tell someone my 12-word phrase and they can hand me cash. There's absolutely no way to robustly tax that.

Wise-Application-144

Yeah this is just a variation of "they'll ban bitcoin". It's run on a decentralized global network. It's hidden behind VPNs and anonymous exchanges. It's run in hostile uncooperative nations and even on satellites in space. My wallets aren't linked to my identity, I can shift my IP address to another continent with a single click. I can transmit my private keys electronically, or using 12 words written on a scrap of paper. Hell, I can just remember my seed phrase. How the fuck would you tax that? ​ As soon as a nation announced a transaction tax, they'd suddenly find that not a single IP address trading bitcoin was based in their jurisdiction.

MrZwink

I got in at 85. I think we've seen the dip. Disney is sitting on a mountain of IP. The dip in streaming is temporary. And the parks are open. Disney isn't going anywhere.

MissDiem

It's deflating to look at humanity that supports this kind of thing, but here we are. It's a fast fashion online retailer from China. They sell disposable clothing at cheap prices. The product is very low end and the designs are frequently illegal copyright infringed or IP theft. The pricing has to be loss leading since it arrives at a total cost lower than what even shipping alone would. Seeing Temu shares rally today tells me this could be another round of China 1, humanity 0.

hikeit233

Pretty sure the live action remakes are to prevent the Disney versions of the characters becoming public IP. The main fairytales have always been public, but the Disney ones have a date, too. Disney just lobbies to create laws to extend that date.

cookingboy

Most companies don’t have to have some hard most with advanced IP like Nvidia or OpenAI. It’s like asking what’s the most of Wal-Mart? Market capture, brand recognition, scale of operation and even supply chain leverage all make a difference against upstart competitors. Even users will have some loyalty. Once they are familiar with app and service it will take extra convincing for them to trust and download a new app,setup payment and shipping info, learn the UI and start using it.

constructiontimeagnn

Buahahahaha, You can't protect IP under RISC-V...so you're presenting me the difference between Apple OS and Linux right? Why do people prefer to use Apple over Linux? or Microsoft over Linux? You can't even begin to compare ARM Risc Architecture to Risc-V uncoordinated trash open source. Why did NVDA try and BUY ARM-RISC FOR BILLIONS AND BILLIONS??? instead of just using RISC-V? that loong list of nobodies doesnt mean sh(\*t. ARM is untouchable pristine RISC, with massive resources and IP proctected, giving ANY one using it IP protection... vs RISC-V, which is a whore to anything and anyone, with zero direction and everyones uncoordinated sandbox. ARM IS THE BEST VERSION OF RISC. "Much like AMD’s APU, which combines CPU and GPU into one die, ARM processors are known to combine CPU, GPU, Memory, DSP, and various modems all in one die or chip—this is called [System on a Chip (SoC)](https://www.makeuseof.com/what-is-a-system-on-a-chip-soc/). This close integration of multiple modules has allowed the ARM processors to be fast and efficient. " [https://www.makeuseof.com/risc-vs-arm-what-is-the-difference/](https://www.makeuseof.com/risc-vs-arm-what-is-the-difference/)

rankaleefanclub

Stop panicking. The company will adapt and grow if you actually have a multi-decade investment horizon. This is the only company with actual enduring legacy intellectual property (bascally everything Walt Disney and his successors created) and a LOT of newer IP that actually continues to hold value. Bob Iger might look like he's fumbling but give him time. The amount of damage done in his absence and because of the pandemic will take time to fix.

Accountantnotbot

Better sink it, they need to tie the IP together.

quicksilverth0r

I’ve owned shares for a long time, and it’s been one disappointment after another: 1. Scrapped dividend 2. Spending a fortune on streaming, even if necessary for modern media and still no profit 3. The increasingly rapid real-world amortization of IP, with the whole vault thing and evergreen content long since disappeared 4. Decay of legacy asset cash flows and profits 5. Attacks on the unique operating status in Florida 6. Focus on political and social message over story and related inability to decide how much direction should come from employee goals, particularly creative talent I don’t know the solutions to all of these, and I know they’re not all one company related, but it sure would have been nice not to be potentially reduced to the level of turnaround play and hedge fund bait.

MinimumArmadillo2394

Reddit takes in account your IP address. Being banned from reddit will quickly spread to other accounts.

gone-bonkers

So US companies didn’t learn the first time around… Indian tech firms will steal more IP and force long hours on resources without proper OSHA enforcement. Round Duo for another market disaster in a few years…

BresaolaBeef

People are getting more and more regarded. I designed numerous safety measures for an IT department and Ive been told a manager said "we cant pentest like this. The pen team reportedly cant even get access to the environment. Can we remove geofencing, trusted IP lists and MFA auth? Temporarily?" NO YOU SMOOTH BRAIN REGARD. YOU SHOULD NOT REMOVE THE FRONT DOOR BEFORE A BURGLARY TEST.

engdeveloper

I have a chunk in US Treasury Bonds. As I've said... multiple times, not all Treasury debt is held in the open market (the FED alone holds something to the tune of $8 Trillion, the right hand owes the left...) only about $7 trillion floats in the public market, to give you a comparison, \~$20 trillion is held in super saver and money market accounts. The US could pay the entire free float tomorrow and have enough to buy every single person in the US a $11 Whopper. :D The US (in hard assets) is worth north of $250 Trillion. 10 times that in IP.

PazCrypt

What are you talking about? Israel developed it alone, the main advancements are software which it has 100% IP ownership. The US usually gives Israel their technology so Israel will improve it like they are doing with f-35 jets and radio communication technology through Thalles group and more.. You can easily Google it as it’s public information and bills that are approved in the Congress. US ship technology to Israel -> Israel advances it -> Israel ships it back 30% of Israelis are working in the hi-tech, this is why we exists, and this is one of the reasons US loves us, we are the best as it gets in software.

PazCrypt

Major shareholder? It’s a government owned company, 100% by Israel. They use US for manufacture same way as Apple uses China/India, they still own the IP and the software completely.

italianjob16

Yeah sure and send them all your IP everytime you want a print. Day later a chinese company is making falcon 9s

raulbloodwurth

Perfect competition seems like an absurd assumption given the unequal distribution of capital, talent, IP and tech. Semiconductors especially so because of their geostrategic importance and need to maintain foundries/data onshore while keeping themselves at the cutting edge. There is a massive amount of redundancy needed in addition to growth.

amerricka369

Thats a short sighted win. Sports will be the only thing that differentiates streaming services in a decade or two. Not only that but you’ll drive higher subscription rates with sports fans. You’ll have sluggish revenue and profits until then but when it matters you’ll come out on top. Changing of the industry practices will always yield sluggishness but you need to see where things will land in time. Paramount has zero vision and ambition but executes well with what’s in front of them, NBC milks their IP for all it’s worth and then some but at the cost of their customers, Disney has a history of stagnating and then exploding. Know that it’s a tough time, bunker down, and lay the foundation for explosion because it will come.

_Reporting

> Sell ESPN, Disney must. Changed, the world has, and Disney must adapt too, hmm. Historically, sports TV contracts were safe, shielded by network effects. The widest viewership fetched the biggest money. But the game has shifted. Amazon’s vast distribution network allows them to pay more for sports rights. With linear TV, you know X million saw your ad, but on the stream, you know who was logged in, scanned the QR code. Amazon can retarget ads and get paid multiple times. How compete, Disney? If ESPN is sold, Disney’s remaining business is replicable. Only one Star Wars, but they own it all. Turn IP into growth avenues, they must. Like Spaceballs, merchandising – the flamethrower, the lunchbox, and more. Many have said this, but the case strengthens. Extra: Sell news networks too. ABC can’t turn into a stuffed animal or a theme park. NFLX, building its library, might enter licensing without Disney’s legacy costs, it would not shock me, hmm.

Zaqito

Why do you think there is nothing innovative about their IP? Their products, being B2B and B2G are quiet opaque and difficult for average retail investors to gage from an innovative standpoint. However, their platforms seem to be extremely effective and sticky. In addition, which is quite important to the long-term bull case, is that they seem to be able execute quite well in regarding AI hype in the recent short-term with the productization of AIP and the shift in GTM. Whether or not that materializes in the longer term is a serious question. In addition, they seem to have a reputation for hiring only the best engineering talent and produce a lot of patents (again hard to understand what real value they provide to investors). I think there a lot of questions unanswered about the company, and I'm quite bullish so that skews my view. But I keep reading people making arguments that they are just a consulting company and I just don't see that

CanWeTalkHere

> I own PLTR because I think it will be a long term toll booth business for many government and commercial organizations. Serious question. Isn't that what Booz Allen is/does? Yes, only $16B market cap. In my mind, having worked with PLTR personally, there is no secret sauce, it's just another consulting firm with very slightly different products. Nothing particularly innovative about their software IP.

atcg0101

Pretty unlikely. They do have strong IPs and licensing efforts and they’re on a pathway to profitability (will probably take 3 or more years). The entire entertainment sector is going through a massive correction right now, we’re likely to see a consolidation of companies where we go back to there only being a few main streaming services and the rest of the studios go back to predominately focusing on creating and brokering content around IP they own.

Objects_Food_Rooms

What the fuck did you just fucking say about me, you little bitch? I'll have you know I graduated top of my class in the Navy Seals, and I've been involved in numerous secret raids on Al-Quaeda, and I have over 300 confirmed kills. I am trained in gorilla warfare and I'm the top sniper in the entire US armed forces. You are nothing to me but just another target. I will wipe you the fuck out with precision the likes of which has never been seen before on this Earth, mark my fucking words. You think you can get away with saying that shit to me over the Internet? Think again, fucker. As we speak I am contacting my secret network of spies across the USA and your IP is being traced right now so you better prepare for the storm, maggot. The storm that wipes out the pathetic little thing you call your life. You're fucking dead, kid. I can be anywhere, anytime, and I can kill you in over seven hundred ways, and that's just with my bare hands. Not only am I extensively trained in unarmed combat, but I have access to the entire arsenal of the United States Marine Corps and I will use it to its full extent to wipe your miserable ass off the face of the continent, you little shit. If only you could have known what unholy retribution your little "clever" comment was about to bring down upon you, maybe you would have held your fucking tongue. But you couldn't, you didn't, and now you're paying the price, you goddamn idiot. I will shit fury all over you and you will drown in it. You're fucking dead, kiddo.

treebonk

John Madden has ceased to live medically, but is thriving as IP for the NFL.

lottadot

I thought Microsoft's investment in OpenAI gave them access to all OpenAI code, intellectual property (IP), etc, to use as they want. With that, I'd assume if OpenAI figures out how to do an AI brain, Microsoft's going to have the ability to use that tech.

LittleDinamit

This is incorrect, the series was only about 25% more expensive than the movies per hour produced when accounting for inflation. The 1B figure is not the budget for the first season, it was the initial planned budget for the entire 5 season show, including the cost to license the IP (half a bil). They only planned for the first season to be \~150M but it ended up running way over budget and costing 465M. Despite that colossal failure to keep the budget in check, that's reasonably close to the budget/content ratio of the films.

boringtired

The gaming companies in regards to stonks are ass backwards from a gaming POV. I’m sure from a “business” standpoint they make money but not of these Taketwo or EA or Blizzars going to pop off like a Tesla. They are run waaaaay too inefficient. They aren’t trying to make a true AAA title anymore, there buying old IP and bleeding people with micro transactions. I don’t think stonks and gaming should mix, it’s like a miasma of capitalism with creativity (maybe) and it always runs short of a gamers expectations.

HinduHamma

This company is actually a fucking joke when it comes to growing revenues/profits. It’s mismanaged to hell financially and it has ZERO future prospects in the gaming sector besides grand theft auto. Look at all the fundamentals of it on macrotrends websiteAll the financials and their bookings. It’s a fucking one trick pony (it’s a very good trick but we already know it and have known it for over a decade) How do companies move up to double their current market cap? Or triple ? Etc etc. they release and establish NEW products and services. Apple was a one trick pony with iPhone until it no longer wasn’t when they showed insane growth in other revenue streams from App Store. Wearables. iPads etc etc. There’s no new revenue streams coming for ttwo. It’s the same fucking source - selling shark cards to teenagers on GTA online. there’s a logical reason why msft overpaid for actiblizz instead of something cheaper like ttwo Because one has a diverse revenue stream and potential for sustainable new growth . The other is a one trick pony that’s only going to get more revenue by just charging a subscription fee to GTA or pricing shark cards higher lol. There’s no diversity in their IP. Red dead redemption is a joke. NBA 2k is a joke. Ttwo has literally failed at monetizing all of their IPs except grand theft auto. They have a pathetic presence in mobile as well which is the biggest market to make bank. Ttwo is a shit investment and it’s not changing with the launch of an expected new gta.

Minimum-Ad-2026

Disney is dead no matter what long term. Overpriced parks that are lame, woke PC garbage movies promoting values most Americans despise, ruined star wars, their streaming is stupid. No chance of even existing in 5 yrs other than for some old IP

klokar21

Disney is fucked in the short term but they are such a juggernaut that in the long term they might be ok. They are eating buckets of shit post Spiderman Home Coming with all their movies, not a single Marvel movie, Pixar movie, Disney IP movie, Lucasfilm movie or Rideback film has done well. They have had massive backlash with Vaginagaurd/Blackcock pressuring them to make shit movies. But their fans are soulless are they still have enough sheep to keep buying their rancid cholera infested products that they get by. Bob Igar is fucking the company hard but their gimp daddy owners in Vaginagaurd/Blackcock seem to have eased of the gas peddle and Bob has said they will actually focus on making movies that people want to watch instead of telling people they should watch their crap. Hulu and Disney + might merge into one streaming service which will make them bank but if they were smart they would also include ESPN in Disney + and have a sports section because that would make hella money. They have also been investing hard into Disney parks and are rumored to finally open one in Australia which is a huge untapped market because of its closeness to Asia and friendly yet wealthy people. So TL;DR Disney sucks right now, but it looks like they might turn shit around, not much to talk about outside of what I've said and what i have said is not that interesting, if off to go back to my basement and eat chicken tendies and huff deodorant cans now.

bluen

Nobody protects IP and nobody should protect IP It's a problem manufactured by psychopathic paralegals as a basis for frivolous litigation

FarrisAT

They don’t have IP rights. They have perpetual license to certain products. You people keep misusing these words.

m98789

Msft still owns 49% and has IP rights

Jumpy_Description_99

I’ve been waiting…for a while…to see how Closed AI’s non-profit handcuffs would be taken off and how its IP/knowledge would be re-commercialized so that some ppl (Sam Included) would realize their Billions…. and now I know how.

cebs83

🚨 $NVDA (PONZI) “LIES” UNDER $NVDA NOSE 🚨 I know a couple of things here and there about running a company, from work and direct experience. One thing is how easy it is to "grow" your revenues when your clients aren't going to pay for the goods you deliver. Another is to understand whether revenues are real or not. $NVDA revenues grew 85% comparing the first 9 months of 2022 with the same period in 2023 to ~39bn$. Wow, how cool! Well.. very nice if it weren't for a couple of red flags 🤷🏻‍♂️ 🚩 If $NVDA salespeople are doing such a spectacular job, why aren't their commissions rising in line with the revenues? "Sales, General & Administrative" costs for $NVDA increased only 7% in the same timeframe. Wait, maybe the Salespeople are being paid in $NVDA #stocks? Not according to $NVDA, considering that Stock-Based compensation expenses related to SG&A increased from 498m$ to 633m$ in the period, that's only 27% compared to an 85% increase in sales still! 🤷🏻‍♂️ Furthermore, it accounts for the whole growth into their SG&A items. Wait, are you telling me that $NVDA turnover almost doubled, and their administration expenses remained unchanged? Ahaha 😂 suuuure! Anyhow, if sales aren't making the sale, then who's doing that? The management? 😉 🚩 If $NVDA is doing so well, why did their "Accounts Receivable" explode by a whopping 1,637% to 4.5bn$ in the same timeframe between 2022 and 2023 periods we are examining. Isn't it because you are selling things clients aren't paying for? 🤔 🚩 If $NVDA is doing so well, why did their inventory remain the same? When you sell so many goods and keep booking stellar future orders, there should be a physiological increase in inventory, right? Well, not in the case of $NVDA apparently. $NVDA inventory stood at 4,454m$ in the first 9 months of 2022. Where is it now? 4,779m$. That's only a 7% increase. Wait, didn't we just see a 7% increase in SG&A costs?! Ahah, this smells so much of made-up numbers 😆 🚩 People familiar with the chip industry know that companies pay royalties to 3rd parties for every chip they sell due to the jungle of IP patents and copyrights that characterize the industry. This item is a constant and highly correlated with revenues. Now, despite $NVDA expecting exponential growth in its revenues for orders already in the bag, they reported LOWER "Prepaid Royalties" in the first 9 months of 2023 than the same period in 2022, precisely 369m$ vs 393m$ 🤭 What I find quite hilarious reading through $NVDA financials is that they use a sneaky trick to fool people's eyes. Depending on what's more convenient, they switch the comparison of the data inconsistently against either Dec-22 or Sept-22 throughout the report (so I had to dig out a few numbers from last year's 10-Q). By the way, in the same $AAPL fashion, $NVDA is such a good Fixed Income trader as well. Actually, they are even better than Tim-Cooking because he still reports some ~11bn$ of losses in the "Other Comprehensive Income" while $NVDA (apparently) never lost a penny despite holding only 3bn$ in cash and all the remaining 15bn$ between Corporate Bonds and US Treasuries! 🤪 If, after reading all I wrote, you still feel confident $NVDA is a safe, sound, and legit investment, then I really did a bad job today.🙈

colintbowers

Two weeks ago OpenAI valuation was $86 billion. Pretty much all that value is IP, and specifically the people, since existing models depreciate in value super-fast in this industry, and code can be re-factored and improved surprisingly quickly if everyone is motivated. So if Microsoft poach the entire staff of OpenAI (which could still happen) they've effectively acquired the company for nothing other than their initial investment of $10 billion. On top of that, their initial investment of $10 billion bought them license to use the existing models at OpenAI in perpetuity, so we could have an almost farcical situation where Microsoft get to build internally the biggest competitor to OpenAI, using all of OpenAI's people, while the existing OpenAI has to *help them* by allowing them to use their models while they get up and running. Honestly, the movie script is writing itself in real time.

Murica4Eva

Microsoft already legally own all of OpenAIs IP and hosts all their work prior to this due to their 10B investment. They are contracually entitled to everything except artificial general intelligence which hasn't been developed yet.

Murica4Eva

There is a lot of IP but the deal MS had with OpenAI gave them access to all OpenAI IP except for the development of AGI, which hasn't happened yet. MS has everything. And all OpenAI work is hosted on Azure, the MS data cloud. MS may get a 90B dollar company for 200-300 a million a year in salaries, and now they'll get AGI too. It's staggering.

arnirockar

Sam altman is going to compete with nvda. When a company has IP, doesn't produce it's own hardware and has 70% margins you can bet other companies are willing to pay big to acquire their employees. NVDA is going to have to pay their scientists/architects insane amount to stay and they need them all to stay or the secret sauce will be leaked.

citrixn00b

You don't need to be Stevie Wonder to see that the Saudis will just let Lucid bleed itself out before buying out the company completely. Imagine losing $250k on each car sold, it's why the Saudis are paving the way for Tesla and Hyundai to have their factory there...you know, the companies with a wide portfolio and established manufacturing process and vertical integrations that they see are able to reduce cost and increase profitability over time. It's only a matter of time before Lucid's IP are being distributed amongst other mfgrs.

pigsgetfathogsdie

I’m no OpenAI corp structure expert. But, all analyst/news reports indicate OpenAI has a very different/unique company structure…from the Board to everything else. And, AI IP is extremely difficult to prove because the code/data sets are constantly evolving.

WannaBeDayTrader

The crazy part is, Microsoft is already an owner of the IP. Now they just got the brain 🧠. AWS and GCP are done.

zacker150

Non-competes are unenforcable in California, and Microsoft owns perpetual rights to all IP developed by OpenAI.

zacker150

Don't forget the money (which came from Microsoft), IP (which Microsoft already owns), and leadership (which Microsoft just acquired).

Fresh-Finger-4323

***IPs don't work like that. On their bad year,*** ***Marvel*** *had Guardians3 which made 850mil, Spiderman2 is the fastest selling game of all time*, *that's Disney's licensing and cooperating with Insomniac Games. Sony's Spiderman film made 700mil worldwide. Disney owns all IP rights to Spiderman except for filming rights. All merch goes to them*. *Similar story for* ***SW****.* ***Even if this abysmal outlook is true, this talking point is moot for genre entertainment****. Spiderman was rebooted 3 times in 5 years. Batman was rebooted 3 times in 10 years. Marvel's next film is already topping surveys a year out; it's the X-Men & Fantastic4 franchises.* .......*.Time will tell. stick around. Peace.*

Material_Variety_859

They already own the IP up until AGI, they already own it all my friend and no need to spend another penny. In fact they never spent a time, just azure credits.

rir2

Not true. There’s a ton of IP that can’t easily transfer not to mention NDAs that might have been signed or that all the options the employees had will never vest losing them millions.

Xtianus21

You're not wrong but I think of the outcome in a different way. If they get Sam and the 700+ employees they just got OpenAI for free. So that is currently a real possibility. However, an outright buy in a "good situation such as of last week" would have been very unlikely. Nobody including Sam would have gone for that. Usually companies don't come to Microsoft until they feel there is really nowhere else for them to go. Think about Facebook versus Github. Facebook could have been purchased by Microsoft easily in the beginning and almost was. Now, no way. Github was the exact opposite, never wanted to be bought by Microsoft but once they figured out they weren't going to be a trillion dollar company they said ok let's go to Microsoft. There's nothing wrong with either scenario. Don't forget, Microsoft is a friendly face in the tech landscape. Don't forget about what they did for Apple when they struggled and were almost bankrupt. Microsoft again could have just bought it but it choose not to. It choose to bail them out and keep them going. Thank god they did. They are truly a friendly face. They make money but they're a friend to the industry writ large. So, can Microsoft be seen as just buying OpenAI now. No way it wouldn't be the way to go. They would definitely take Sam and team but they wouldn't just try to do a hostile takeover. It would piss off everything and just upset a delicate situation right now. They also just plainly don't have to. They have an agreement and have access to ongoing IP. They're in a fine place. No reason to get all aggressive.

taxis-asocial

IP law is more complicated than that. Code doesn’t have to be exactly identical to be a problem.

SeaCowVengeance

Microsoft has license to use OpenAI’s IP as part of a deal, so wouldn’t be an issue.

MoreRopePlease

> Microsoft already had a legal right to the IP they were building. Is this true?? Wow, then they could just take the source code.