YouSaid · the spoken record

Alex Moazed

lines on the record: 66
first: 2017-02-21
most recent: 2017-02-21
sittings or episodes: 1
sources: podcast

Every line below is reproduced as it was said and linked to the record it came from. Nothing here is summarised or generated. Directory · Search · Corrections

“Of citadels. Exactly. And so that's kind of getting access to consolidated supply. But where I see, again, huge value of the business model is taking fragmented supply and bringing order and bringing order to that chaos and getting efficiencies from it. Does there need to be such a lumpiness of capital in a relatively small number of very large firms? I'm sure I'm not saying that those folks are not good. They're probably very good at what they do. But could there be a morely dispersed amount of capital to people that maybe they don't have an investment thesis that scales to over a billion dollars in capital, but maybe they have a great investment thesis for a couple hundred million dollars and they don't need all the other overhead that goes along with that. So I just think could be interesting to see what would happen if you could open”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Other places like iCapital, which I think are more about getting access to the really large firms that you wouldn't have access to otherwise.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“There are some firms that I've seen kind of do this internally, but not necessarily on the consumer demand side, right? But I've seen, if you look at how they manage, say, their traders or their investment managers internally, it's a system that will look at their performance and it's in a standardized way and then based upon their performance, they're allocated more or less money and their compensation is tied to a lot of that, right? And that means that you may have a revolving door of people that come in and it could be streaky and then they leave. But I've seen some places that have trialed this internally. The idea of this going end to end, I think there are investment platforms out there on the, say, like VC side, like an Angelist, which have a syndicate model, which is kind of in the vein of this.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Them to get capital and create some interesting marketplaces that standardizes reporting, standardizes kind of compensation, standardizes how the capital could flow between different people that are then investing that money or different robots or algorithms that are investing that money that then is created by the quants and the mathematicians, right? But do the quants and the mathematicians need all the overhead of the people that are really responsible for going and selling and closing the LPs and the investors to put the money in and all the overhead and marketing and research and investor related things that go into the kind of consumption, getting the demand, getting the consumption side of that marketplace.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“It's one of those systems where it's a great model why change it. But I think if you were to just conceptually think about a lot of people and or robots that are doing investing and you think about the appropriate compensation of the people creating the value to do the investing, if you can create a more efficient way to bring capital that wants to be invested to the people and our robots that will do the investing, you could create a lot of efficiencies in that market. Whether it's robots or whether it's different types of managers or investment managers that don't have a strong brand or a billion dollar fund, but maybe they have a small track record of like 50 million or $100 million or in whatever space that they're in. Is there a better or more efficient way that you can enable”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Where I see if there's trillions of dollars of opportunity in those other industries, there's probably at least tens of trillions in finance. I mean, one of the first places that we look at is when you just think about the exchange model and what an investment platform, what a kind of marketplace brings efficiencies is matching that supply and demand. And I look at... Supply and demand in the context of the allocation of capital to people that are then making investments with that capital. So I think the 2 and 20. There's a lot of bloat in the 20 model. And I think that you, I mean,”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“I would just default to my mom. My mom raising me, for the most part, single mother, figuring out how to put me through private school and boarding school and college has always been unbelievably supporting and positive and just an amazing figure, just such a great role model. She's the best. And that's actually who the book is dedicated to.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“I think the book launch was a pretty huge milestone. I never thought I'd be an author to begin with, but I am that title and I was invited to a conference and they had my bio and they said author. And I looked at it and say, I guess so. So that was pretty amazing. That was three years of really hard work and not just the thinking, but then organizing the thinking in easily digestible manner. And now it's being translated into Mandarin in Japanese, which I'm pretty excited about because Asia's a very, very great place to look for platforms, lots of interesting lessons learned from them. And yeah, it's just exciting stuff.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Yeah, mostly now all large enterprises where the work that we're doing can have a real material impact on that industry and on that company's long-term trajectory.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“You put it in the hands of these large enterprises, they could beat The tech companies at their own game. But now it's really a time to put that to the test. We've seen some companies dabble with this and do internal efforts like Walmart had their marketplace initiative that they started in 2009 and it failed and then they had to buy jet for $3 billion, right? So when you look at buying versus building versus investing, there's a variety of ways that these businesses could start to play offense rather than defense. And we want to help them figure that out and help them actually have that be successful.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“From the mid-90s, really. And we see the next 20 years is this intersection of the modern monopolies with large traditional enterprises. We actually see these traditional enterprises as having a lot of assets that they could use to their advantage, like having billions of dollars of cash that they very often give away in distributions, like touching at least one or sometimes both sides of the market with consumers and producers. Having very strong brand and trust amongst those user groups, which is very hard for these platforms to instill, especially even, say, an Amazon coming into B2B distribution. Everyone is very scared of actually working with Amazon and think of it as the devil. So these enterprises actually have a lot of advantages. What we believe is if you take that Silicon Valley recipe book, if you take that playbook of the platform,”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“I started to see some of our clients have what came to be known as platform businesses and was always wondering why are we building things this way or why are we doing it this way and not that way and when I would do the research there really wasn't any substantive body of work that was describing what these things were and why they were very different from all the other businesses and large enterprises that we were working with started focusing on helping to advise these businesses between startups and then more large enterprises and while putting together the book and actually doing this work helping to build platforms from an advisory and an execution standpoint from a product development and user acquisition standpoint and today with the focus of applico is is we call ourselves the world's first platform innovation company because we see we're 20 years into platform”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“We actually did some stuff in the first early early days was for BlackBerry here commuting between Greenwich and New York, and it would give you your train schedules in the app. And that became a bestseller because the browser was so bad and you could never have the schedule and all these things. And then we fueled that into doing iOS apps and Android apps and all these things. But then over the years, While doing that,”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Yeah, so I started the company eight years ago. I was in college, had some credit cards. It was 08, 09. Blackberry still had 75% market share. And I was saying to myself, you know, I think these app things are going to be pretty big. Let me get in there. So max those things out and started building apps for myself and for others and had some best sellers. And people said, hey, can you build apps for me?”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Yeah, I mean, I think some of the books that I know we read with myself and co-author, Nick Johnson, while putting the book together was Tim Wu's book, The Master Switch, really does, especially if you want to dig deeper into this kind of old monopoly versus new platform, modern monopoly conversation. It really helps provide some great context for how those things operated quite differently versus these. I think some of Peter Thiel's work as we were talking about is great. Really fast, quick, easy reads like zero to one, but the concepts are there and pure, and he's definitely a strong stalwart in the arena of this thinking. So those two would be where I'd start, but I could probably send you some others.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“I would go dev platforms with Apple and Google. Probably Facebook. Yeah. What I would also do is I think you could make a bet that I think would outperform any of the other traditional indices if you were to say, I want to bet on platforms as a whole. And sure, there's laggard. There's losers like a Twitter or a groupon or Zynga. But I think you'll find the winners greatly outweigh the losers. And I think if you looked at those returns over a 10-year horizon, I think it would probably outperform most indices.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Retailers don't want to cross that line, and so you have literally the creation of a marketplace that doesn't need to be there.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“And there's now a viable marketplace one just raised another $30 million, I think, today they announced it. And Dan Gilbert from the CABs owns one. And now some of the sneaker brands are actually doing a release. They just released LeBron's directly into this marketplace going around a footlocker. So for no reason, it doesn't need to be there. You have a marketplace and now it's actually creating a digital channel that I think is a legitimate threat to traditional sneaker retailers.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Which honestly shouldn't even exist. It actually only exists for arbitrary reasons are these secondary sneaker marketplaces, which I actually think are a viable threat to the likes of Footlocker and other kind of like foot shoe retailers. Because if you look at the supply, there's only like three shoe manufacturers. There's no reason that a marketplace should be created. But a marketplace is being created going back to the consumer thing we were talking about earlier because there's a limited, an arbitrary amount of limited supply for designer sneakers and a certain consumer base is willing to pay an extraordinary amount of money to get these things and they don't want to wait in line. So a lot of people will put it in the sweat equity or schmooze the people at the stores to get the sneakers retail and then flip them or hold on to them for a year and let them appreciate and then flip them.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“It's much higher barrier than getting consumers to just say, you know, okay, Uber or Lyft, if I'm not using my car, you can put it on your network and whatever. And certainly the price of every one of those transactions is a lot lower. So I think they certainly have their approach. Well, I think they have many approaches for how to solve it, but at the same time they don't really have too much control over how it's all going to sort out. I think they're trying things with Volvo and Mercedes and others. But can Uber get auto manufacturers to figuratively hand over the keys and do a one-off integration with Uber? Maybe, but is that truly the operating model? I mean, to me, I just see another iOS. I see the iPhone moving into the car. And having a developer ecosystem that can tap into transportation apps.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Yeah, I actually, I think Uber should try and go public as soon as it can because the next five to ten years are going to be very difficult. I think the fundamental underpinnings of their business model is going to change because autonomous cars are going to be here. And I think that if the Google and the Androids, the Apples of the world and other players like BlackBerry's QNIX and other autos can figure out how to essentially create an operating system that lives on the car. And now Uber could be one of 20 different transportation apps. Well, if we think about switching costs, right, it's a much higher switching cost for me a driver to flip on the Lyft app or the Juno app, which isn't that hard.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“One of, if not the highest, of kind of switching costs for me to go and create the same value that I'm creating, but create it for someone else's platform. So when you look at that time invested or say how commoditized that service or that product or that value is, those are some metrics that you could look at in terms of defensibility. So development platforms kind of, I think, help shape entire platform ecosystems where other platform types are then able to grow and build on top of these development platforms. So those are kind of like the underpinnings. Of these communities in some ways”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Timeline or durability or whatever metric you would want to look at when you look at successful development platforms. You could also look at the kind of switching costs of their producer base, right? So if I'm making software, I'm making iOS app for the iPhone, for me to go make that app on the Windows phone is probably”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Yeah, is Snapchat, Facebook, or Twitter, which is a debate that we have a lot internally? So I think if you were to look at all the different platform types, any platform, any development platform that has hardware that essentially like an Apple is going to have a higher barrier than, say, a social network if you're looking at kind of a CapEx and from really moving into that arena because you now need to have hardware if you're, say, going to compete against that, or you need to create a hardware alliance like Android did with other smartphone OEMs. So there's a definitely, I would say, a tangible step up in terms of the longevity or”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“That we've seen now that we're 10, 20 years into this. I think where it's a little bit more difficult is if you look at China, there's a lot of really great advancements that their platforms have made, but they have, say, three extremely dominant platforms, and that's a lot less than, say, five or ten. And we have a number of others that I think are going to be added to that list over the next few years. So the fact that we do have a more open, vibrant VC entrepreneurial ecosystem here that has let other modern monopolies sprout up from kind of the grassroots is only creating a more vibrant, more competitive environment at scale, which should protect those consumers.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Businesses versus the linear monopolies of the 20th century is you have a strong first place player and you have a second place player. And these ecosystems, if you look at their consumers and producers, they overlap pretty greatly. So the idea of linear monopolies ramping up oil production is a very timely, costly CapEx intensive thing to do if Standard Oil oversteps its boundaries. In this kind of a competitive environment, they already are touching your ecosystem and many times they already have Bing versus Google search or you have Lyft versus Uber or you have iOS versus Android and there are alternatives there that are always looking for a way to capitalize on a misstep that the market leader may make.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Right, they jackpices And I would say Amazon, you hear reports of Amazon knowing who you are and where you're logging in from so they show you more expensive things and things like that. So it's not that these entities are completely pure, but it's the idea that when you look at the competitive environment of these modern monopolies, you now actually have, as we've said, five or ten of these things that since their ecosystems and since their reach is so big, if Amazon or if Uber or if Google were to really kind of overstep that boundary and then hurt the consumer in a way which was the market wouldn't tolerate, that you would have plenty of other modern monopolies there ready to take advantage of that and then try and grab market share from them. And that's one of the big differences when we think about the structure of these dominant”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“So The idea for consumers, if we think about the timeline of a platform, let's just say you've got a 10-year horizon to really kind of hit the modern monopoly status. In those 10 years, for the most part, you're going to be subsidizing a lot of value in one or multiple ways from what we talked about. Monetary subsidies, product feature subsidies, giving things away for free, you're going to see a lot of subsidies. It's when they hit a point of Theoretically, they would have more leverage, where if they wanted to really kind of turn on monetization more heavily, and that could potentially put consumers at a disadvantage where you would see that happen.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Had at the time by taking a cut of the transaction. So it was interesting, but it all really kind of started with saying, I'm going to make this simple. I want people to transact and just keep coming back again and again. And what is not as attractive with investors, I'll figure out monetization. I'll figure out business model as we go. It worked there and the funding climate was able to support that way of building your business, which now could be a little tougher.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“That core transaction needed to follow because they needed to monetize it. Alibaba instead really just kind of opened it up and said, just come and match. And I don't care how you transact. I just want you to be coming here and finding yourselves here because then I'll figure out how to really optimize my own core transaction. So they said for the next three years we're not going to charge any fees. And that was really the beginning of their path to defeat eBay. And now all the buyers and sellers went to Alibaba rather than eBay. It was cheaper. And they could transact in the way that they were comfortable with. Alibaba kind of stumbled upon this idea of saying, let me just let my sellers advertise to my buyers. And they actually created kind of like a Google AdWords-esque model, which was much more profitable than what eBay or even Amazon.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“So, the interesting thing, and to Teal's point to what we've talked about, keeping it simple in the Chinese market, when you're talking about connecting buyers and sellers, the idea of haggling on price and these things within those two parties is pretty much table sticks, right? That's how they do business over there. So eBay took its model from the US and brought it to China, which meant that eBay was going to monetize the transactions by taking a cut of every sale. And that meant that if the buyers and sellers could talk with one another, there was a high probability that they would lose out on monetizing and have something that we call platform leakage, where the core transaction happens outside of the platform, and now you don't get to monetize that transaction. So they had rules and standards which were much more strict and which had a very specific flow”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Yeah, and a lot of investors are comfortable with that model. A lot of investors are very comfortable with the idea of saying, hey, look, I've done this in one market. It's working. Give me this money. I could make that more efficient and do more of it in this market and then I'll expand to five other markets. And that's a level of comfort that I think a lot of VCs have come to find. And even in China, there's a lot of lessons learned that we could talk about if we have time in terms of say how Alibaba did things differently than, say, eBay when we think about audience building, when we think about rules and standards, but I'll let you.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“We like to say that actually a lot of the things you're doing in the beginning don't scale at all. They're actually super manual and have no ability to handle, let alone tens of thousands of users or certainly hundreds of thousands of users. It's super manual, but you're really just trying to back to our earlier point is really hone in on that core transaction and figure out how do I just get these two different parties to transact. And if I can see that happening, okay, now let me optimize around that. But you don't want to bog it down and prevent producers and consumers from transacting, particularly when you're first launching.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Yeah. And so they said, this is going to be great at all the content in there is going to be very contextual and relevant and local. We're going to kill it. And they launched. And within an hour of launch, the founder knew, oh boy, we botched this and we spent the bulk of all the money we raised. No investor is going to give me more money. And everyone has blank feeds because they didn't have, when you think about audience building, they didn't have a hyperlocal audience building strategy. If they have a rule, essentially rules and standards is one of the other four and they have a rule in there that says you only see posts from people 200 meters radius from you then that means when you think about audience building you should be hyper focused on you know really block by block getting people on this content platform and if those”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“There's an app that we talk about in the book that raised $40 million and it was like a hyperlocal Instagram. And so the idea was you'd only see posts from people that are within a couple hundred meters of you.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“They make you feel good, right? Or they give you an audience, right? It's kind of like that attention. And then once you get a lot of that, maybe you could monetize that separately and you see a lot of Instagram folks now selling ads and product sponsorships and stuff. So audience building is very tough. It's the idea of overcoming this chicken and egg problem. I need consumers to get producers and vice versa. Where do I start? And it keeps changing.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Management software, here you go, and it's free. And then they got a lot of restaurants, and they got, they said, hey, these restaurants have a lot of open tables, so I'm going to call myself open table and let consumers book that. And I'm going to take a feat. So that would be a great product feature subsidy. And the last one is kind of interesting. It's like psychic rewards. And that's more, you see it a lot in social networks or in content platforms that's getting likes on your photo on Instagram, right? These things that don't really have a monetary or a product value, but”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Literally, what that means is when you see what a lot of people would say as kind of like viral growth, where these network effects start working for you and everyone wants to join because the value prop is so clear now that you have that critical mass, now that you have enough consumers and producers and that value prop is really functioning as it should be. So audience building, you can look at how do you really subsidize that value? So until you hit critical mass, the equation is in reverse and it's more costly to join than the value you get. So you need to subsidize the value. You can give monetary subsidies like referral codes, which a lot of people do, product feature subsidies, if you think about giving away software for free like open table did when it first rolled out to restaurants in San Francisco. It said we don't even have a platform. We just have this like reservation.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“So, great question. We'll try and tackle as much of that as we can. At a high level, right, to kind of finish the quote, software alone is a commodity, the value is in the ecosystem. The software is enabling you to build an ecosystem, and those things play hand in hand with one another. So the four core functions of the business model, audience building being one, when you think about I have at least two different user groups, consumers and producers on either side of this ecosystem, I need to stage my focus and very often switch my focus back and forth between these two different groups as I look to hit a point of what you would call critical mass. The technical definition of critical mass is where the cost of a new user joining your ecosystem is less than the value they receive from joining.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“And I need to create a legitimate marketplace initiative to combat Amazon because these guys aren't doing it for themselves.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Be able to carve out their own niches. If you can prevent Amazon from bringing their model into your industry is really up to a lot of these companies and entrepreneurs and how that ecosystem combats the threat. Because the threat is clear and it's coming if they don't do anything, then sure, you're going to see an extremely centralized, very dominant and continuously increasing role of, say, Amazon. I think if the traditional enterprises can't figure it out or the entrepreneurs can't figure it out, then eventually what you'll see, and this could lead into that next point is other modern monopolies saying, well, the linear companies aren't doing justice to themselves. And I don't want Amazon to become that powerful. So I need to go create a marketplace.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“I think a lot of that is up to entrepreneurs, VCs. I think also the large traditional businesses that are in the crosshairs of a lot of these modern monopolies. I think that we've seen the ability for multiple marketplaces, some being more niche than others, coexist. If we think about eBay and Etsy versus Amazon, and now you're seeing actually a few startups, even just in the kind of local peer-to-peer on mobile set marketplace models, there's actually two or three startups that have each raised over $100 million and are growing like gangbusters, which is kind of like the mobile platform version of yard sales or different versions of that, right? So you're seeing multi-billion dollar marketplace opportunities.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“They've had over a billion dollars in revenue, and they see this as a kind of Blitzkrieg for them for the next few years because they can kind of catch a lot of these distribution companies. That anything also related in transportation when you look at freight transportation, when you look at heavy equipment rentals, there are a lot of things like that where there are trillions or billions, tens of billions, hundreds of billions of dollars where that marketplace model is the platform type that you're going to see create huge efficiencies.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Products more iteratively. So that's a whole slew of things. Also, I think when you look at a lot of B2B industries in general and you look at what Amazon businesses doing moving into the B2B distribution space, which by some estimates is a three to eight trillion dollar series of industries, that's building materials to industrial supply for factories, to electrical supply, to metal distribution, to chemical and petroleum product distribution. I mean, it is massive. There is a big rave of this in the late 90s, which we talk about in the book with B2B marketplaces, and those didn't pan out. And we go into more detail as to why also when you line that up with why I think right now is very different. Amazon business has been growing at about 20% month over month.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Yeah, so unfortunately, I see too many to actually focus well enough on all of them, but I think if I were to call out another development platform part of the economy, I really think, I mean, we hear a lot about IoT, particularly in the B2C space. So in the home, which there's an opportunity. But I think what actually is a bigger opportunity is industrial IoT. And when you think about the trillions of dollars that are flowing through machines, say, in the factory and all the things that are happening behind the scenes, I think there's a load of opportunity there from letting software developers tap into the machines that are on the factory floor, from suppliers to workforce management to ERP and inventory management to prototyping better.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Yeah, pretty much, right? You have an existing tranche of time which is huge if you think about just passengers and cars. And then you're about to have another whole wave on top of that of people who have been driving that won't be driving anymore. So when you look at the next 5, 10, 15, 20 years of that space and how software is going to be able to play in that space, and then you think about the literally trillions of dollars that are spent on transportation services, and how could software, again, which has now access to a functioning automobile, figure out how to make that a more efficient and optimal transaction. I think you're going to see a load of opportunity.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Yeah, so your idea of kind of like excess consumption or finding that, right? If you think about all the passive time that people spend in cars on their phone using probably software and the tens of millions of hours that exist in a very, you know, I mean, you're captive. You can't go anywhere. And you think about what kind of software and experiences you could create better when enabled by all the data and sensors and equipment that are in the car, I think you're going to see a tremendous amount of opportunity. Apple, Google, and Baidu are trying to move pretty heavily into that. And some of the existing autos are in the midst of trying to figure out that question.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“You than wasn't say previously accessible. So if you were to think about the difference between a lot of the apps that we've seen come to light that are on your smartphone versus on the web and what literally just having knowledge of where your location data is brings to light for say Uber as an example to match you with a car because it knows where you are and where the car is pretty easily versus the idea of like ordering a car service online which was technically possible but is that really going to have the impact and the success that that services marketplace would have on the internet versus the web so i think when we look at it like that i think when you look at the timelines in each one of those development platforms like i think some new development platforms that are on the horizon for us i think auto is”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“I mean, I think it comes in waves. We saw a huge race to the internet when the internet first came out, which let you build essentially web apps. Someone I think about it is development platforms are one type of platform that we've identified of the eight. The development platform would be iOS or Android. It's letting third party software developers create software and the platform is enabling that software to be consumed and interacted with, et cetera. And every time there is a dominant or new development platform that comes to fruition, you then start to see all of the other kind of platform types become repopulated or have fresh blood or fresh approaches to solving similar problems, but now with consumers that interact with the software in a different way or with a different set of data that the development platform is providing to you.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source
“Standardizing price rather than letting the third parties, sellers, or providers set their own price because they don't know how they should be setting the price, and there isn't too much differentiation in the service or good that they're selling. So the platform should be able to look at the handful of variables that influence price and then standardize and set it for the ecosystem.”
2017-02-21 · Invest Like the Best · Alex Moazed – Building Modern Monopolies - [Invest Like the Best, EP.25] · IDENTIFIED FROM THE TRANSCRIPT · source