Diet TBPN: October 31, 2025

Overview

This episode dives into the latest earnings reports of major tech companies, geopolitical developments affecting trade, and the evolving landscape of AI and enterprise technology. The hosts also touch on lighter topics, including Halloween costumes and quirky office habits.

Notable Quotes

- People thought Bezos was crazy to spend like he did building AWS, and he was ultimately vindicated. People thought Mark was crazy going all in on the metaverse... so far, that part of the business has not shown any signs of being our... - Jordi Hays, on Meta's controversial investments.

- AI is not a bubble. Enterprise AI is very strong. - Jordi Hays, emphasizing the robustness of AI in enterprise applications.

- If I ran a company, my first act would be to ban hard-boiled eggs in the office. - John Coogan, humorously addressing office snack etiquette.

🤑 Tech Earnings Highlights

- Amazon reported a 39% surge in net profits and exceeded expectations on revenue and AWS growth. John Coogan noted that CEO Andy Jassy has shifted from a defensive to an offensive position in the AI narrative.

- Microsoft beat earnings expectations but saw a temporary stock dip. Jordi Hays highlighted their advantage in AI, particularly with their Copilot integration in Excel and access to OpenAI's IP.

- Meta faced a significant $12 billion earnings miss, attributed partly to a one-time tax charge. Jordi Hays compared their spending to a weekend bender, while John Coogan criticized the lack of accountability for such a massive loss.

- Tesla's earnings were mixed, with revenue beating expectations but earnings falling short. John Coogan discussed Tesla's ambitious plans for humanoid robots and its lag behind Waymo in autonomous driving.

- Apple showed strong financials but faced declining China sales. Jordi Hays noted their high price-to-earnings ratio despite low growth.

🌍 Geopolitical Trade Developments

- The U.S. reduced tariffs on Chinese goods from 20% to 10% after China agreed to crack down on fentanyl precursors and ease rare earth mineral export controls. John Coogan emphasized China's dominance in rare earth production, critical for tech manufacturing.

🤖 AI and Enterprise Technology

- The hosts discussed the competitive landscape of AI, with Jordi Hays asserting that enterprise AI remains robust, citing Gemini models processing 1 trillion tokens for 150 enterprises.

- OpenAI's reported $11.5 billion loss last quarter sparked debate. John Coogan argued these losses are investments in capital expenditures, not operational failures.

- Microsoft revealed OpenAI's financial struggles, with Tyler noting that OpenAI's token processing volume is significantly lower than competitors.

🚀 Space and Automotive Industries

- SpaceX's potential ventures into data centers in orbit were discussed, with John Coogan highlighting Elon Musk's ambitious plans.

- Jordi Hays contrasted the competitive automotive industry with the relatively monopolistic space industry, suggesting SpaceX has significant advantages in its domain.

🎭 Halloween and Lighthearted Moments

- The hosts dressed up as tech icons for Halloween, with Jordi Hays as Marc Andreessen and John Coogan as Ilya Sutskever.

- A humorous discussion on office snacks led to John Coogan declaring his disdain for hard-boiled eggs in the workplace, suggesting they belong in a back alley.

- The episode concluded with a quirky anecdote about Coinbase's CEO reading prediction market terms during an earnings call, much to the amusement of the hosts.