Jas's Posts | Commonstock

$1.6MFollowers

@trendlinehq07/10/2023

Uber is bigger and stronger

Pandemic (Covid-19) post existential threat to Uber. It was over-reliant on Ride sharing (Mobility) at that time, which plummeted overnight due to lockdowns.

Fast forward to 2023, and it is bigger and more diversified:

Total Revenue is 2.7x larger (Q1-23 vs. Q1-20)

Mobility (Ride sharing) has also grown by 75% over 3 years (Q1-23 vs Q1-20) but is now only ~50% of total revenue.

Delivery and Freight are now meaningfully large businesses - $3.1 billion and $1.4 billion in Q1-23 revenue, accounting for the other half of Uber’s revenue.

You can read more here

$UBER

Nathan Worden

@nathanworden07/10/2023

Companies that started trimming expenses early and worked toward profitability are now in a much better spot. Uber did this by cutting ~14% of its workforce in 2020. Tough to do, but it has paid off big time.

+ 7 comments

Jas

$1.6MFollowers

@trendlinehq06/27/2023

ChatGPT vs Google Bard

ChatGPT has taken the world by storm ever since its launch in Nov, 2022

Google has been an AI first company since 2016, and has 1000s of employees working on AI. Yet, it was slow to market and is now playing catchup to a startup - OpenAI (the creator of ChatGPT)

Google launched Google Bard - a competitor to ChatGPT, in March 2023 (initially with limited access) and opened up to most of the world on May 10, 2023.

In the last 4 weeks, ending June 19, 2023:

ChatGPT had 1.58 billion visits to its Webapp (chat.openai.com) worldwide. In comparison, Google bard (bard.google.com) had a measly 139 million visits

Will Bard be able to catchup or has ChatGPT already won? The war is far from over but ChatGPT definitely has a dominant position.

james

@james06/27/2023

I feel like Google could easily increase this if they wanted a la put it on their home page

+ 4 comments

Jas

$1.6MFollowers

@trendlinehq05/01/2023

This one is a crazy stat !

Facebook (Meta) makes $207 revenue per year from its users without charging them anything.

This is $13 more than what Netflix is able to generate from its paid subscriptions.

Facebook's monetization is crazy good.

Joey Hirendernath

@joeyhirendernath05/02/2023

The juxtaposition is great for context!

Facebook's has successfully leveraged its massive user base to generate revenue through various advertising strategies. I remember roughly a year ago when people argued that meta was dead. There was a overreaction and while there were some very valid reasons for concern it presented an opportunity to add more to my position because of my overall conviction and trust in management.

+ 3 comments

Jas

$1.6MFollowers

@trendlinehq04/26/2023

Apple recorded its highest every revenue per employee in 2022

Apple has become the world's most valuable company, without ballooning its employee base like some other big tech peers

Revenue per employee has scaled to its highest ever in 2022 - $2.4M.

Apple is also one of the very few tech company to not do mass layoffs in the last 12 months.

Coincidence?

No doubt this number would have been higher if Apple was manufacturing its devices in-house instead of outsourcing to China. However, they do a lot of other stuff in-house like writing their own software and do deserve credit for being efficiently run.

What do you think?

Joey Hirendernath

@joeyhirendernath04/27/2023

+ 5 comments

Jas

$1.6MFollowers

@trendlinehq04/20/2023

Amazon has become a people intensive business

Amazon has become a people intensive business.

In 2010, Amazon generated over $1M in revenue per employee.

However, in 2022, it generated only $333K in revenue per employee, a drop of 67%!

This figure is more in line with a retail company than a tech company.

For e.g. revenue per employee in 2022 for

Apple: $2.4M
Walmart: $0.3M

Benjamin Tan

@consumeowntech04/20/2023

Logistics and fulfillment aspects of e-commerce business is labor intensive indeed, especially after all that ramp up in 2021-2022. $AMZN is however moving intentionally towards more automation, so we shall see how this metric moves in the quarters/years to come

+ 14 comments

Jas

$1.6MFollowers

@trendlinehq04/15/2023

Battleground for AI talent

33,000 AI employees in Big Tech.

But a few hundred company startup OpenAI managed to beat them all !

Kenny Groom

@talldata04/17/2023

Would Data Scientists be included in this number? I recall that being the buzz worthy title of the moment prior to Generative AI.

+ 4 comments

Jas

$1.6MFollowers

@trendlinehq03/20/2023

Apple Services: A gigantic business

Apple services revenue is now higher than all of Nike and McDonald's combined.

Services revenue grew from $53.8B in 2020 to $78.1 in 2022, so that is an annualized growth rate of 21%

That's huge scale and the scary bit is there are many businesses that are still quite new in their lifecycle (e.g. Advertising, fitness etc.)

Massive leverage over its premium installed base of customers

Joey Hirendernath

@joeyhirendernath03/20/2023

This is really cool chart. Do you know what the breakdown of service revenue looks like by type? ( e.g. Apple care, Apple Music, Apple fitness, etc). It would be interesting to know which is the key driver of growth.

+ 7 comments

Jas

$1.6MFollowers

@trendlinehq02/23/2023

Microsoft Bing: A forgotten (not anymore I guess) $10B+ business

Search Advertising is a very lucrative market.

People had forgotten about Bing before ChatGPT made it cool again.

However, even so, it made >$10B in revenue which makes it larger than most social media companies except FB

Now with OpenAI integration, how much further will Bing go?

Every share point increase can mean serious $ billions.

And Google is playing defense here with much more to lose than Microsoft.

Very interesting setup in the industry in the coming few years.

Joshua Simka

@tomato02/24/2023

How many people do you know who have made Bing their default search engine since the GPT integration?

+ 13 comments

Jas

$1.6MFollowers

@trendlinehq02/08/2023

How safe is Google's search dominance?

Google has been shaken up by ChatGPT and now with Bing-OpenAI partnership.

Google initially won because of a superior product and then because of superior distribution (e.g. pushing Chrome, paying Apple >$10B per year to be top of mind of consumers)

So what happens now?

1) Is Google search still the superior product or can Bing make serious inroads? What if Edge makes a serious comeback as a browser?

2) What happens if Microsoft pushes for a new deal with Apple to be default search engine on Iphone. How does Google respond?

Maverick Equity Research

@maverickresearch02/08/2023

great questions Jas, food for thought for all of us ... cheers!

+ 11 comments

Jas

$1.6MFollowers

@trendlinehq02/07/2023

Fall and Rise of The NY Times

Not your everyday stock to discuss but an interesting visualization

I was inspired to make this chart after reading a post on the future of digital advertising.

Programmatic digital advertising completely changed the Ad industry in the last 15-20 years.

Massive amounts of ad-dollars shifted online, and companies like Google and Facebook made billions of dollars.

In the process, they upended many industries (print media was the first casualty).

However, over time, smart publishers (like The NY Times) realized that they can’t beat Google and Facebook in their own game of grabbing and keeping user’s attention. Competing for Ad-dollars was a race to bankruptcy.

Instead, The NY Times pivoted to focus on creating content that their readers wanted, and asked them to directly pay for it. The readers obliged and NY Times today has 8.6 million paid subscribers.

This hasn't happened in a vacuum of course.

There has been a broader shift in the internet’s monetization model in the last 7-8 years - from Ad led to direct subscription (we can thank the likes of Netflix, Spotify etc.)

As this transition continues to grow, not just the companies themselves, but even the culture of the internet should undergo profound change.

Maverick Equity Research

@maverickresearch02/07/2023

great take ... thank you!

+ 5 comments