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(#38) Tech events are coming; Tesla is crushing the German automakers; and food delivery economics
Happy anniversary, Google! This week the company turned 25 🎂
September is the start of tech events: Apple, Google, Amazon, Meta and many more. Until we comment on Apple’s event (12th of September) let’s enjoy this last short #onStrategy Air version.
Onto the update:
BMW's 'Vision Neue Klasse' & the German automakers
I lost count of how many EVs BMW has launched so far, many just as prototypes. Do you think this will make it to the market? I have my doubts.
So, here are my comments:
1/ It is clear by now that German automakers don’t know the software. That’s why BMW is looking to Amazon for cloud services & automation. My two cents were that they would end with Google, but Amazon is 2nd best. LINK
2/ Traditional automakers should by now have realized that their next car(s) should resemble the smartphone. (= vertically integrated platform = 5-10 bn EURO)
3/ Once you have scale the only way to compete is (1) on price and (2) on software. German automakers have none and their cost structure is totally upside down (hints! Fire most of the engineers, go for cheap energy, rethink the assembly platform, compensate with stocks, ignore the unions). LINK
If they do these fast enough they may have a chance to (1) compete on price with Tesla and BYD and (2)offer a fun driving experience (ie. entertainment). LINK
1/ on the new Tesla 3
An update was expected and now we have it. What I noticed:
While surging Tesla’s site I thought for a moment that I was on Apple’s website. Now I understand why people queued to pay a Tesla 3 reservation back in the day.
With each generation, the car gets incrementally better, while the iconic design remains the same.
The rear passengers have an 8-inch display. Entertainment to everyone, everywhere.
The car will be a hit!
2/ on Cybertruck - super delayed production can be attributed to…the laws of physics. It seems that production issues need to be addressed with radical compromises.
“The Cybertruck is a low polygon joke that only exists in the fever dreams of Tesla fans that stands high on the smell of Elon Musk’s flatulences. As soon as we saw it, everyone I know in the industry started laughing, we just thought there is no way they’re gonna be able to get that into production” - Adrian Clarke, professional car designer, LINK
Food delivery economics
I have a doubt that these companies, from Uber Eats to Doordash, will make serious money from delivery. That’s why, they will pursue other revenue streams and ads are in pole position. Lyft is already applying this strategy. Food delivery, Lyft
Google made 25 years this week
Just by looking at the graph below one can clearly understand that:
1/ Google had zero incentives to introduce Generative AI, although they developed the transformer, which lies at the base of LLM.
2/ Search will probably be their revenue stream. Everything else is just a defense move (ie. from Android to hardware)
Knowledge Partner: Bucharest Business School
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Luxury Brand Management in Milan:
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Day 1: Fashion, Day 2: Wine & Food, Day 3: Watches
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Mosaic Ventures developed a framework for investing in Generative AI applications. LINK
Great read from Financial Times: Across the multimanagerverse. LINK
Generative AI in foreign languages in real-time. I enjoyed Elon Musk speaking French. LINK
The future of work in America, by McKinsey. LINK
Not sure many still understand how powerful is the change shift in the EV market. LINK
25 Years of $LVMH revenue
Digital Twin Cities: Key Insights and Recommendations. (report from World Economic Forum). LINK
The best years for making smart financial decisions are, on average, 53 and 54. LINK
It’s not pumpkin you’re tasting in your pumpkin spice latte. LINK
Japan has the world's least spicy food. LINK
The process of making a ring 💍 LINK
Opening a 100-year-old wine. LINK
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