3 ms·

That, and the name of the fund ended up being hilariously wrong. They have invested in things where a 10 year old could have pointed out obvious fallacies. Sau

That, and the name of the fund ended up being hilariously wrong. They have invested in things where a 10 year old could have pointed out obvious fallacies. Saudi investors must be really pissed off, they look like complete fools now (having just been parted with quite a bit of their money). If I were Masayoshi Son, I wouldn't step in a Saudi embassy for all the money in the world now. Oh well if they blow up it's actually capitalism working right for once. Too bad they own ARM, that's more or less the only thing of value that could be lost imho.

disgruntledphd2 6y ago
ARM will just get sold to someone else. They own a bunch of Alibaba too, to be fair.
- Traster 6y ago
  I find it very difficult to see where ARM fits, it really should be an independent company. Since everyone who sees the most value in buying it shouldn't be allowed to. Can you imagine if Apple snapped it up? Or Qualcomm? Or even Intel?
  - sah2ed 6y ago
    > Can you imagine if Apple snapped it up? Or Qualcomm? Or even Intel? Apple perhaps, but they tend to avoid generic M&A like this. They tend to only do M&A when there is a very strong fit; they’ll happily continue to license ARM’s IP. The others each have offerings that compete with ARM, so on that alone, they wouldn’t be able to close the sale unless regulators are completely asleep at the wheel.
    - jdmg94 6y ago
      There's heavy speculation of Apple ditching Intel for the ARM platform, it'd be interesting to see if it could actually happen. It has to be an opportunistic move
  - jdmg94 6y ago
    Apple has the deepest pockets in the list you gave there, and they have skin in the chip manufacturing business. Shit's about to get interesting.
  - microtherion 6y ago
    You may recall that ARM started out as a joint venture involving, among other companies… Apple! Apple got rid of their investment around the turn of the millenium, which in retrospect might not have been the most savvy investment strategy.
- puranjay 6y ago
  I would be worried about Alibaba as well given how the world has been building up momentum for a China-USA decoupling.
jrumbut 6y ago
Some very quick Googling came up with ominous signs of the tech bubble bursting (in 2011): https://www.nytimes.com/2011/06/20/technology/20cashout.html https://www.nytimes.com/2011/06/20/technology/20cashout.html “We are not sure that the valuations we are seeing are sustainable in the long term” Also 2015: https://www.inc.com/magazine/201509/jeff-bercovici/are-we-in-a-tech-bubble.html https://www.inc.com/magazine/201509/jeff-bercovici/are-we-in... "Private valuations have become disconnected from public reality" If you bought Amazon when it was valued at $50 billion, you would have (small) profits even if you bought 20 WeWorks at $50 billion as well. If you could bring it down to 10 WeWorks per Amazon you'd make enormous returns. Not sure I'd want to hand over my non-existent fortune to Masayoshi Son, but I wouldn't blame someone who did.

disgruntledphd2 6y ago

ARM will just get sold to someone else. They own a bunch of Alibaba too, to be fair.

Traster 6y ago
I find it very difficult to see where ARM fits, it really should be an independent company. Since everyone who sees the most value in buying it shouldn't be allowed to. Can you imagine if Apple snapped it up? Or Qualcomm? Or even Intel?
- sah2ed 6y ago
  > Can you imagine if Apple snapped it up? Or Qualcomm? Or even Intel? Apple perhaps, but they tend to avoid generic M&A like this. They tend to only do M&A when there is a very strong fit; they’ll happily continue to license ARM’s IP. The others each have offerings that compete with ARM, so on that alone, they wouldn’t be able to close the sale unless regulators are completely asleep at the wheel.
  - jdmg94 6y ago
    There's heavy speculation of Apple ditching Intel for the ARM platform, it'd be interesting to see if it could actually happen. It has to be an opportunistic move
- jdmg94 6y ago
  Apple has the deepest pockets in the list you gave there, and they have skin in the chip manufacturing business. Shit's about to get interesting.
- microtherion 6y ago
  You may recall that ARM started out as a joint venture involving, among other companies… Apple! Apple got rid of their investment around the turn of the millenium, which in retrospect might not have been the most savvy investment strategy.
puranjay 6y ago
I would be worried about Alibaba as well given how the world has been building up momentum for a China-USA decoupling.

jrumbut 6y ago

Some very quick Googling came up with ominous signs of the tech bubble bursting (in 2011): https://www.nytimes.com/2011/06/20/technology/20cashout.html https://www.nytimes.com/2011/06/20/technology/20cashout.html “We are not sure that the valuations we are seeing are sustainable in the long term” Also 2015: https://www.inc.com/magazine/201509/jeff-bercovici/are-we-in-a-tech-bubble.html https://www.inc.com/magazine/201509/jeff-bercovici/are-we-in... "Private valuations have become disconnected from public reality" If you bought Amazon when it was valued at $50 billion, you would have (small) profits even if you bought 20 WeWorks at $50 billion as well. If you could bring it down to 10 WeWorks per Amazon you'd make enormous returns. Not sure I'd want to hand over my non-existent fortune to Masayoshi Son, but I wouldn't blame someone who did.