All-In E58: November's CPI, preparing for a downturn, macro outlook, Better.com's botched layoffs & more
Episode 58 • 12/11/2021
Key topics discussed:
Inflation & Economic Outlook
- November CPI hit 6.8% year-over-year, highest since 1982
- Discussion of Fed Chairman Jerome Powell's "transitory" inflation stance that proved incorrect
- Debate around Bill Ackman's points about CPI calculation methods being flawed
- Analysis of how owner's equivalent rent (OER) might be understating actual inflation
Market & Tech Company Valuations
- Review of declining price-to-sales ratios for tech companies
- Discussion of companies like Zoom seeing dramatic multiple compression
- Chamath shares story about Facebook's 2008-2009 fundraising during financial crisis
Better.com Layoffs Controversy
- Analysis of CEO's approach to laying off 900 employees via Zoom
- Debate about proper ways to handle mass layoffs in remote work era
- Discussion of how growth incentives from investors like SoftBank may have contributed to situation
Current Market Environment & Preparation
- Sacks warns about potential market changes ahead
- Advice for companies that recently raised at high valuations
- Discussion of historical "nuclear winters" in tech funding (2000-2003, 2008-2009)
Additional Topics
- Jussie Smollett trial verdict and media coverage analysis
- Recent high-profile court cases and justice system outcomes
- Brief discussion of Buzzfeed's challenging SPAC debut
The episode highlighted growing concerns about inflation, market valuations, and the need for companies to prepare for potential economic changes ahead.