> No doubt he built a sensational business focused on cash flows. Look at the largest companies across all of the holdings in $VGT - the story is all the same

> No doubt he built a sensational business focused on cash flows. Look at the largest companies across all of the holdings in $VGT - the story is all the same - DCF rules everything. > A lot of the software companies generate significant cash flows because they start to collect multi-year upfront payments for their software. Sure, SaaS B2B software may do this (like many of the companies you invest in), but this doesn't explain GOOGL/FB though? AFAIK, most of their ad payments (which are their cash cows) are monthly payments (i.e. even for a $1M annual google ad spend which I managed years ago followed a monthly payment schedule). > Maybe at some point in the future though I'd argue this is already happening. VC revenue multiples and revenue trajectories are just a proxy for DCF. As long as the company's unit economics can support ~80% GM and growth rates are high the company has a strong DCF potential.