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Sean
Dude, manifest is out. There's a new word.
Sam
What?
Sean
Generative.
Sam
Wait, is high agency? Are we selling high agency?
Sean
We're selling high agency at the top right now. We're spacking high agency. It's gone. Taking that cash and plowing it into generative.
Sam
I feel like I can rule the world. I know I could be what I want to. I put my all in it. Like, no days off on the road, less travel, never looking. All right, what I miss. How was the week?
Sean
Week was good. What do we do? We had Chris Corner. That episode's popped off. It's over 100k on YouTube, so that's going well. And, dude, there were so many replies to one idea that was in that episode. I don't know if you listened to the episode.
Sam
The golfing one.
Sean
The golfing one. Dude, I got literally hundreds of replies of people who are like, I could do this right here in my hometown. People are sending PowerPoint decks. People are doing drive by, sending me videos of the lake where they think they could do it. So they're reaching out cold. It's very intense. How many people have replied to this? Now we're going.
Sam
And what was the idea? Was it. Was it about betting as to where you could hit it?
Sean
No. So basically, on the way, there's a place in New Zealand on the way to the golf course, just kind of side of the road, there's like, there's a road that's driving by a body of water, and if you just stop on the side of the road, there's this thing called, like, whatever the hole in one challenge, and you buy a bucket of balls and you go to try to hit this hole in one of this little golf hole that's floating out, you know, 100, 100 yards away in the water. If you hit. If you get it, you get 10 grand. And so it's just like a fun thing for you to do with your buddies, like, on the way or to or from a golf course. And he was talking about, like, you know, sort of napkin mathing what he thinks it's making based off of the available information. He's like, I think this thing does, like 300 to 500k in revenue, and now the costs are pretty marginal. It's like person standing there with an iPad. Uh, there's a scuba diver that goes in once a week and fishes out the balls. Like, that's it. And so people got we. And we. We basically said, hey, I think this idea could work at more places than just this random roadside thing in New Zealand, let's bring this to life. And who wants to do this and that. A lot of people have come. Come out. And so we're gonna. We're gonna make it a. A MFM project. We're gonna see what we can do with this.
Sam
So I, like, all the comments were like, this is what I've been missing with mfm because, like, we started a lot with that, and then, like, our interests have grown, and so the content has grown to be or evolved sometimes. And one critique is like, what is this, my first billion? Because we talk about, like, like, you know, bigger ideas. And I was thinking, I, you know, we've become acquaintances with Joe Lonsdale, who, because of this podcast, who's worth, I don't know, billions, some amount of billions. And I was with him recently, by the way, if you need to pick that up, let me know. If you need to pick up that. That name drop. Did I drop. Did I drop that stuff here? Did I drop that name down somewhere? No, but he. And he was telling me, like, oh, man. Or I was with him when I got my Twitter check. Like, you know how you get, like, Twitter money now? Like, you're like, right. For example, I. For some reason, my Twitter was a thousand dollars last payment. And like, the month before, it was like, 600. And I was like, man, this is crazy. I just got paid 600 for tweeting, which is insane. He's like, yeah, I got like, $400. And he was joking about how it feels just as exciting every once in a while to get, like, a $400 thing than it does, however much money he's created in his lifetime. And I was wondering, do you feel like when you're talking about these things, like, you just lit up when you talked about 300, $400,000 when that may or may not? I mean, I don't think so. That's not going to really move the needle for you in your life, but it's kind of exciting, isn't it?
Sean
Yeah. Not because of the money. It's just. I think it's awesome. I think the idea. The idea itself is fun. Making it happen sounds like it's going to be fun. You know, actually, I was just watching an interview with a guy who they. The NBA Finals just ended. They had game seven, the Thunder one, and there was.
Sam
Hey, I watched it. I watched it.
Sean
There was this interview with one of the guys. So they. They asked JDub. They're like, you know, would you look back on this year? What's the one? What are you going to remember what were the high points. And he goes. He's like, it's weird, dude. He's like, I remember. If I think about this year, he's like, I remember me and Chet, we would go to our hotel room, we would do film sessions back when he was coming back from injury to get it going, or like these team dinners that we were having. He's like, I couldn't even tell. He's like, I don't even remember what happened last series. Like, I don't remember in the recent games what happened. But those kind of like those inputs on the journey are like, just like, are so vivid to me. This has been a very common thing where if you talk to pro players after their career is done, and you're like, what do you miss the most? And you expect them to be like, the big pressure moments, the. Those big games. And of course they do like those, but the thing they talk about always is the team bus rides, the locker room, the. It's all of the, like, camaraderie stuff that happens along the way. It's like the kind of the buildup is the stuff that they miss the most. And I think, I think there's that for entrepreneurship, too. I think there's that. That's a huge amount of the fun of it. And it's what you get excited about. You need the number to sort of justify it. The number gives you some air cover for why you're acting like a little kid. You're so excited about something. The numbers help because why are you taking this silly thing so seriously? But I think we would probably all do it without the numbers as well, or if the numbers were half as much or whatever. Yeah.
Sam
Yeah. And I've noticed the best the, the. The people who love MFM the most and the guests who you and I love the most are folks who, you know, I hung out with a friend of mine, and she was like, because she was from a bad neighborhood, now she's rich. She's like, you know, I'm so good at going really high and going really low. I was like, what's that mean? She's like, I can hang out with like, my homies from where I grew up, and we could just like, shoot the shit and kind of be a little, like, hood ready or I can go hang out with a billionaire. And I could. I love that too. I can. I have so much joy doing that as well. And. And I could blend in and get along with everyone. And I think that's like, that's like what the pot is. Is like you like talking about these smaller things as well as the big things. And it's the same type of person who loves both.
Sean
Yeah, exactly. Also, do you think about business as like a sport? Because that's more and more become my mental model is the way that because you meet people, and a lot of people we know have now become successful, but they're still doing it. And obviously for many of them, I call it, they've already made the last dollar they'll ever spend. Right. Let's say you make $30 million. At that point, you've already earned the last dollar you'll ever need to spend. Especially once you take into account that that 30 million could just sit in a. Whether it's a simple interest bearing account or the s and P500, and it'll double every seven years. So 30 becomes 60, 60 becomes 120, 120 becomes 240. And that just all happened over the course of something like 25 years. And so you don't need to go earn the next dollar. But why do they anyways? And part of it is I think it feels good to be good at something. And if you're good at something, it's hard to stop doing it because the feedback loop of being good at something is strong. But I think in that same way, if you think about business not as a mechanism to make money, but as a sport. As a sport you play, then it's like, oh, of course, just because you're great at tennis and you won a tournament doesn't mean you'll stop playing tennis. Why would you do that? That's your sport. You love to play the sport. You'll basically play the sport till your body breaks down and doesn't let you play the sport anymore.
Sam
And it feels good to manifest. It feels good to have an idea and to see it in the real into reality. And it's really fun flexing that model muscle.
Sean
Manifest is out. There's a new word.
Sam
What?
Sean
Generative.
Sam
Generative? What does that mean?
Sean
This has happened a few times to me now.
Sam
Wait, are we selling high agency?
Sean
We're selling high agency at the top right now. We're spacking high agency. It's gone. Taking that cash and we're plowing it into generative.
Sam
Okay, so generative a podcast.
Sean
And I was like at the end, I was like, how was that? And you could tell me the truth because I do podcasts all the time with guests. I know it's sometimes hit or miss, like, give me the from one podcaster. To another. What was that like for you? And he's like, it was great because you're extremely generative. He goes, wait, what? And he goes, it was also hard because you're extremely generative. I go, what does that mean? He goes, I'll say two things. Like, I'll give you one topic, but you can almost like, bloom that or expand that into, like a story, a framework of this, a related idea, a simple example. You just generated all that content off the cuff right away. And he goes, you know, biology is like that. Biology is extremely generative. You give him one thing and he's able to, like, take it from, like, the Origin of man to, you know, to 100 years in the future, and he could connect all those dots. So I heard it once and I was like, okay, that's cool. I don't know if I just got insulted or complimented being called generative, but I'll take it. And then James Currier said the same thing. He goes, he's like. He's like, the reason we get along is because we're both extremely generative. He's like, we like being around generative people. And he's like, you know, why do we admire Elon? It's not because he's rich. It was because he's the most generative of all of us, right? And he's the least fearful. And that's why he's able to be more generative. He's. He's like, he literally generates businesses like the Boring Company and Neuralink and Space X and Tesla. He's like, he's generating kids, he's generating ideas. He generates a president, he generates. He's just doing so much. And that's admirable to somebody who is generative. And so I started using that little lens, I started looking at people being like, how generative is this person? Meaning if you give them an inch, could they take a mile? And what is their overall level of output in their life? You know, like, how generative are they? With, like, for example, James Courier, it's not just businesses he's generated. He, you know, at one point, he also started a church in San Francisco, like, started a new religion. And, you know, then he created this, like, sort of incubator, this fund. Then he created a podcast. He's just constantly creating things because he's extremely generative. And whether it's with his kids life or it's his business life or whatever. So I started to realize, oh, yeah, I'm really attracted to that. I like people who are like, that And I want to be like that and figure out a way to make that work. Is. Is a fun challenge. And so generative is the new word. All right, this episode is brought to you by HubSpot. They're doing a big conference. This is their big one they do called Inbound. They have a ton of great speakers that are coming to San Francisco September 3rd to September 5th, and it's got a pretty incredible lineup. They have comedians like Amy Poehler. They have Dario from Anthropic Dwarkesh, Sean Evans from Hot Ones. And if you're somebody who's in marketing or sales or AI and you just want to know what's going on, what's coming next, it's a great event to go to. And, hey, guess what? I'm going to be there. You can go to inbound.com register to get your ticket to Inbound 2025 again, September 3rd through 5th in San Francisco. Hope to see you there.
Sam
Have you ever heard of this book called the Inner Game of Tennis?
Sean
I've heard of it, but I've never read it. Is it good?
Sam
Yes.
Sean
Who's the pro? Who's it about?
Sam
Okay, so the Inner Game of Tennis. I randomly discovered it because I was at the airport, and I was just looking for a book to read on my Kindle, and I wanted something short. And I. For some reason, you're like, I'm in a bookstore.
Sean
We're looking for books to download separately.
Sam
No, like, I. I don't remember what. I was just like. I think, like, I was on Amazon on my phone, and, like, a sports psychology book book came up, and I was like, that's intriguing. What are. What's, like, the top sports psychology book there is or something like that. And I randomly came across the Inner Game of Tennis. It's about. It's written by a guy named Timothy Galway, and it's one of these books that. It's about life, and it just uses tennis as the analogy. And the premise of the book is that you have two selves. Self one is your person. So, like, when you say, like, when you're playing tennis and you hit, you do a bad hit, you go, why do I suck so much? Or like. Like, that is self one, the critical self. And then self two is like your animalistic self who doesn't. Who doesn't think too much. And it's just your body. And that learns by observing. And it's all about how to be generative and by. By ignoring self one and letting self two do all the work. And it Gives you all of these tips and tricks on how to listen to self. 2 and this sounds very woo woo and it is a little bit woo woo. But the book was written in the 1970s and the coach of the Seahawks writes the forward, what's his name? Pete Carroll.
Sean
Pete Carroll, yeah.
Sam
And like every new edition they still are, like they're still releasing new editions where all these like who's who of leaders are writing about it. And I think I didn't realize it but after I started reading I was like, oh wait, Tim Ferriss talked about this book as one of his favorite books of all time. And I've been reading it a whole lot and it applies very much to, to business. I think it's only 150 page book I've been reading. I'm almost done. I read it in like two days. It's very similar or very applicable to business, which is what you said about Elon of he's not fearful and things like that. This book actually gives you like a set of frameworks and a way to communicate yourself in order to not be fearful when you are coming up with new ideas. It's incredibly fascinating.
Sean
Dude, this is awesome. I love this type of book. It says the Inner Game of Tennis. The Classic guide to Peak Performance. Introduction by Bill Gates and A forward by Pete Carroll.
Sam
Isn't that crazy? I didn't know that. That I didn't, I don't have, I don't have the Bill Gates one. So I didn't know that. So he wrote the introduction. That's wild.
Sean
And so have you used any of this or give me like has it, have you found a way to kind of apply any of these yet?
Sam
Well so like a very simple example is like for lifting weights or for going for a run when you lift weights you're like okay, I have to lift this weight for three times and it's the heaviest weight that I've ever done. So I'm really scared. You don't listen to that at all and instead you just get under it and you go, I'm going to let self to do all the work. I'm going to trust Self too. And if I fail, I will not be judgmental. I'm not going to say you suck. I'm said, I'll say, you know, your knee moved in a strange way. So I'm just going to objectively acknowledge what's happening. And then I, and then I, when I want to lift three times, I get it up on me and I just observe the weight on me And I only go for one rep, and I'd be like, all right, how does that feel? Self two, let's just do the second rep. So I basically am talking to myself, sort of like an objective machine, not an emotional person. So the whole, I'm fearful, I'm fearful, I'm fearful. You just set that aside and you go, it's self 2 time. There is no room for that. It is only room for objectiveness.
Sean
All right. I did something similar to this in this. In this vein that I didn't even plan to talk about. But I'll just tell you this because I think it's kind of similar. So one thing I noticed is anytime I go into a project, you know, I obviously have a lot of excitement and I have a lot of hope at the beginning. Correct. That's obvious. And then the second obvious thing is that I'm going to hit some sort of obstacles, walls, plateaus. Something that I don't want to happen is for sure going to happen. I've never once experienced a project that I just simply started. Everything went as planned, and it had a happy ending. Like, this literally just never happened. For me to expect that to happen would honestly be a little bit foolish. It's like, why would I think that that was the case? Yet at the same time, as soon as I hit those obstacles on those walls, I'm like, like, I wish this didn't happen. I don't want this to happen. Why is this happening? And I waste all this energy on something that was inevitable. It's like playing Mario and being like, oh, my God, I can't believe these goombas are walking at me. It's like, dude, that's the game. Like, what do you mean? Like, you wanted to play this game without anybody, like, trying to bite you, you know, like, I don't understand what you thought this was going to be. And so recently I was doing a project, and last week I wrote out a thing in advance. I'm just gonna kind of read you this. So I basically wrote, like, a simple letter to self for like, two months down the road, and by the way, three months down the road.
Sam
According to Tim, according to the inner game of tennis, when you have that feeling, you don't. You do not judge it as positive or negative. You say, now this is a challenge. Okay, noted. And then you just keep going. Do you know what I mean? There is no, like, this is horrible. This is awful. Why me? There are no emotions. You do not judge.
Sean
You're saying you don't judge the emotion you're feeling. You don't judge yourself for feeling it or you don't judge the thing?
Sam
Both. So you only objectively acknowledge it. So you say, like, so the ball was out. Okay, Right, noted. The ball was hit too hard. And then you trust self to. To adjust, but you don't. You know, you. You know what I'm saying? You do not acknowledge or judge it as. I hate this. I suck. This is bad. It just. The ball was out.
Sean
So I'm just going to give you a little sense of how I wrote this. So I was like. I was like, hey, it's me from the future. Ry. I'm writing this to you three months from now. First congrats thing. You did so good, turned out amazing. I'm really proud of you slash me. And I said, this is a letter that is guiding you to some of the entirely predictable upcoming road bumps that are headed your way. Not only is it predictable that there will be road bumps, I could probably tell you right now what they're going to be. All right, because, like, that's true. So, for example, I was thinking about. This isn't what I was doing, but just to make it a simple example, let's say you're trying to hire ahead of sales. There's some entirely predict, like, you know, you want to do it. You know, you'll. You'll be able to do it. But there's some entirely predictable road bumps, which is like, you know, you're probably going to procrastinate starting it a little bit, because it's the idea of finding that perfect person's a little bit hard, and you might put it off a little bit. Then you'll talk to some candidates who are disappointing. You may even run into a candidate who's really great, but the offer doesn't work out. Maybe, maybe they don't take it. Maybe it's not the right time in their life, et cetera, et cetera. So you could basically upfront tell yourself, yeah, these four obstacles are probably gonna be here. I've played this level of the game before. Or I could just see what's coming. And so when they come, it takes the emotional edge off of it. Because it's like, yeah, I know there's no. I don't feel betrayed by this. I don't feel surprised by this.
Sam
Like, I knew you're just saying hello to it.
Sean
Here you are. I thought I'd be seeing you soon. And I also had already kind of thought about, like, what I would do to get around that before it hits Me. And I'm in, like, an emotional state. So it's like, yeah, I'm probably gonna meet a bunch of people who are kind of disappointing. And it'll probably feel in the moment like, God, am I ever gonna find somebody great? But of course I will. I only need one. And it's a numbers game. And I should probably just expect that I'm gonna talk to about, you know, 30 to 40 people, and that 25 of those people are gonna be truly just a waste of time, you know, in terms of the interview. But that's okay. That's part of the process. And you tell yourself that up front, and then as it's happening, you're like, yeah, well, I already. I already addressed this. I don't need to, like, react to it again because I already kind of pre. Reacted to the whole thing.
Sam
And what is this project that you're doing? Like, big or, like, do you recommend doing this for a small thing or only a big thing?
Sean
I don't know. This is my first time actually doing, like, the corny step of, like, writing it out to myself. Of like, dear Sean. Yeah.
Sam
And I did. It's like, P.S. you're pretty fucking lame for write this.
Sean
Yeah, exactly. It's like, all right, that's three pages now. This was cool when it was a paragraph. I think it was. It was very helpful. I will do it again. I will do it again. I mean, I don't know how much this actually, like, it doesn't. It sort of blunts the pain, but the pain's still there. You know what I mean? It's like when you get a shot at the doctor. It's like if you really are looking at it and hyper fixated on it and you start hyperventilating about it. Yeah, it's kind of a worse experience if you look away. You might still feel a little prick, but, you know, you took the edge off of it. I think that's what this has done for me.
Sam
All right, so we're talking about, like, big and small. Do you want me to tell you about a small thing and a big idea that are, to me, are equally fascinating? Okay, go to patronview.com so I was. Okay, yeah, so I was with Nick Gray this weekend. So I did this amazing. Or we did this amazing vacation where my friend David owns a home in Utah and about eight of us, or maybe six of us, plus our spouses and our kids, all went and hung out, and it was amazing. And Nick was there, and I was looking at his computer, and I said, Nick, what are you doing? He goes, let me tell you. And it was very fascinating. And so it's called patron view patronview.com and so Nick used to own this website, or, sorry, own the service called Museum Hack, where it was kind of amazing that it existed, but you would pay $100 and Nick or one of his tour guides would take you to the Met and give you a sort of guerrilla tour of the. Of the museum. And it was amazing. And so that's where he got really into museums. And he became buddies somehow or somehow got in with the guys who do the fundraising. And because he's a business person, he was like, oh, wow. It's so fascinating that one person is donating a million dollars, $10 million, $20 million to these museums, and they do it every year into tons of different museums. That's really amazing. And so recently, with a mutual buddy, Stetson Blake, they built this website where it's pretty amazing where all he did was if you go to the Met or one of a dozen or hundreds of other museums, they every year they have to put out a PDF that explains who donated money and how much money that person donated. And so he's aggregated all of them, hundreds or maybe even thousands, and he used AI to upload all of them into a database. So if you are fundraising for a museum, I believe, if I had to guess, you're going to be able to pay his service money to find out who the whales are, you know, whatever. And it's crazy that because of AI, he was able to make this. He told me, for $2,000, I'm just.
Sean
Going to read the about page. It says, we're a research platform dedicated to documenting cultural philanthropy. I've never actually heard that before, which is just shows how, like, much of a noob I am about philanthropy. But that makes sense. So people who donate to things that are about culture. And then it says, then it says. The data our research is pulling from annual reports, 990, tax filings, institutional publications, official documents, and proprietary sources. This lets us present donor information that's never before been displayed. We like to think of it as celebrating philanthropy and enabling development departments.
Sam
Pretty cool, right?
Sean
Awesome.
Sam
It's great, right?
Sean
Like, I was.
Sam
I was like, nick, what's your deal here? Like, you want to turn this into a business? And he's very. Nick is happy. Like, he's not looking for anything. He's like, I don't know. I'm just tinkering. And in my head, as someone who is probably less, you know, Content than him. I was like, oh, man. Like, Nick, you could do this. You could do this, you could do this. And that's, like, how the entire conversation came about. But isn't this pretty cool that he's, like, building this and this is his hobby and the fact that AI has made this so easy.
Sean
Yeah, dude, this is great. I mean, Nick, I've already, you know, really shouted him out on here a ton of times because he's somebody who's made a big impact on me. Just seeing the way this guy rolls through life, I'm like, he just does things for his own amusement. He does things on his terms. And I think he does things with high intentionality and he doesn't see. And he basically resisted the rat race. I think those are the people I admire the most of all, is the people that resisted the rat race. Like, I think he neither chases money nor status. And if you think about the people who are talented and successful in your life, how many do you think actually, truly are resisting money and status? Very, very few.
Sam
I know probably two people. Him and Jack Smith.
Sean
Yes. It's pretty crazy. And so you just sort of watch their moves and then you look at them and, you know, you can kind of learn from them. So this is. This is extremely cool.
Sam
Like, and what's funny about Nick is every two or three years or something like that, he likes to find a publicly traded company that he loves and he'll make a big bet on it. And right now, his. Or for the past probably four or five years, actually, his bet has been Cloudflare. Like, for some reason, I don't know, he's got all this analysis. He loves it to the point where, like, when he hosted an event, he specifically hosted his event in the Cloudflare event space. Because he's, like, so loyal. He'll wear Cloudflare T shirts, whatever. Like, one time there was a race, like a. Like a 5k or a marathon through Austin, and he'll, like, hold up a sign that says, like, Cloudflare rules. Like, that's because he wants that.
Sean
You told me, like, at his birthday party, he had his birthday party at the Cloudflare office. And then midway through the birthday party, he ran upstairs and got, like, two. Like a product manager, like a marketing engineering.
Sam
Yeah.
Sean
To come down and be like, hey, everybody, quick word from Jack from the marketing department. Why don't you just tell some about the great things you got going on at Cloudflare? The guy's like, yeah, so, you know, before.
Sam
And before he brought that guy in he goes, I need everyone to treat Jack from Cloud Flare like a celebrity. And so when he walked in, we go, oh, my God, is that Jack? Are you the VP of Engineering at Cloud Flare? Oh, my God.
Sean
He's here. He's here. Stock is. The Stock is up 400% in the last five years. So he's done pretty well.
Sam
He's done well. And if you click the about page, I know for a fact. So he lists an area that says Technology Patron View. Patron View is built with modern webtech to ensure fast, reliable access to data. And he only did that so he could list that he uses Cloudflare. I know that's exactly how he thought, but the reason I'm bringing this up is I think that if you're, like, just starting to build a business or something, you should follow Patron View or, like, go there. Like, go there once a week. And I. And I would bet that you're gonna see, like, it evolve. Like, you know, it's sort of like measuring your kid on the wall. Like, you're gonna see, like, the measuring. Like, that's what's gonna happen.
Sean
This is cool, too. I think another. Another cool thing about this is this fits into, like, a genre that, you know, personal software, so. Or maybe social software. So basically, when the Internet came out, before pre Internet, the only people that made media were media companies. You know, you got your media from the New York Times and the Huffington Post, whatever, like newspapers, magazines, tv, et cetera. And then when the Internet came out and you got Facebook and Twitter and Instagram and Snapchat, then social media became a thing and everybody became a little broadcaster, right? Everybody broadcasted little moments of their life or their content or their. Their interest, whatever it was. And there was this explosion, like, you know, a sort of like 1 billion x increase in the amount of media that was created because everybody was doing it. And like, one clear thing I see that's happening in the world today is that that's now happening with software. So software used to be something that only software companies and software engineers could make. And, you know, there's only, like, I don't know, there was less than 100 million, roughly, software engineers, like, proper, like, professional software engineers in the world. So, you know, 100 million out of 8 billion people could do the thing. And, you know, in terms of software companies, there's even less maybe a hundred thousand software companies. I don't know. It's order of magnitude, roughly. And now with like, replit and V0 and all these different tools, it's Going to be like social media where like, oh, I have a, I carry in my pocket a thing that can make media. It's like I carry my pocket a thing that can make software. So a guy like Nick, who before this probably couldn't have taken his idea and made it into an app because he would have to either A, learn to code or B, go hire like expensive programmers to make this happen. Like he did most of this with AI and so you see personal software, this like, you know, this personal software category which was like didn't exist three years ago or five years ago, is now going to have the same sort of like 1 billion X, you know, increase just because anybody who's got an idea can now make their idea. Now today it's like broken three fourths of the time, doesn't quite work. But like every six months that number goes down by 15%. And so, you know, within two or three years that number is going to be like zero. Right. It's going to be like when you have an idea, you make your app.
Sam
Everything that I've been making on replit and lovable and cursor, it's basically just like a Figma replacement. Like I'm just like, like it's basically just like drawing on paper. Yeah, it's just like a mock up and you still need someone to like actually do the work. But it, but it's a sick mock up. Like it looks.
Sean
Yeah. So somebody called it Minimum viable promise. So instead of minimal viable product, it's like it's not really a product but it's like it kind of has like you make a promise, you can see the promise of something and I think that's what a lot of these tools are able to do today. This episode is brought to you by HubSpot Media. They have a cool new podcast that's for AI called the Next Wave. It's by Matt Wolfe and Nathan Lan. And they're basically talking about all the new tools that are coming out, how the landscape is changing, what's going on with AI tech. So if you want to be up to date on AI tech, it's a cool podcast. You could check out, listen to the Next Wave wherever you get your podcast.
Sam
Have you heard of a guy named Edwin Chen?
Sean
Edwin Chen?
Sam
I mean there's like you probably have.
Sean
10, there's probably 6,000 of them on my Facebook feed. Yeah, I went to school in Beijing. I think I got a few Edwin Chen's in my Rolodex.
Sam
Edwin Chen might be the like, if you did like A chart of, like, richest, unknown, slash, youngest person in the world. I think it's gonna be Edwin Chen.
Sean
Is this the guy who's doing Surge?
Sam
So, yeah. So Edwin chen, in like 2018, 2019, he worked at Facebook. And the story is that he was tasked with like making some type of Yelp style product. And what that meant was he had a list of 50,000 vendors and he needed to figure out which of those 50,000 was a restaurant and which were a grocery store. And so he went and hired a firm, some company to like parse it out. And it's like manual. You had to do it manually. Like, you had to like hire some firm that had a lot of offshore talent to go through and do it all manually by hand. And he was like, it took us four months or six months, something like that, which basically just meant we had to sit and wait. Like, we couldn't do anything until we had that data. So I just had to sit and wait. And so he had this idea where he was going to make a better way to do data labeling. And the data labeling is important now because that is what a lot of AI companies use, which I had no idea they did that. And I'll explain how they do that. But basically when a company like OpenAI wants to figure out if a certain reply is unethical. So, like, for example, asking like, if it, is it okay to like hit someone or, I don't know, like, whatever, like questions you would ask it a real person, and actually not just a real person, but like a really smart person. Even someone who, like, does engineering or philosophy needs to spend time going through all the potential answers and to tell OpenAI, I think this one sort of fits what you're going for. But anyway, Edwin had this idea of, I'm going to create this massive workforce of philosophers, of engineers, of Ivy League grads who can go through and label all of these answers as good or bad. So AI companies can kind of. I can be like their offshore talent. And so he's done this and it started in 2020. Now he has 100,000 people who are in the marketplace working for him as these data labelers. And this company is completely unknown. So if you. I think it's Surge AI, I believe is the URL. So if you go to Surge AI, it's a landing page with one paragraph. That's an amazing paragraph. If you want, you can read it. Do you want to read it?
Sean
Yeah, I was just reading it. What made people like Hemingway, Kahlo and von Neumann's so Extraordinary. Their life, the books they read, the stumbles they had, the reinforcement every time friends laughed at their jokes and every time they didn't. It's the people they met. The police explored at every decision they made along the way. Data does for AI what life does for humans. It elevates the neural networks that know nothing about the world into the intelligence capable of providing new art, sending rocket ships to Mars, et cetera. Our mission is to shape AGI with the richness of human intelligence. Curious, Witty. Imagine if it unexpected brilliance. We wake up every day trying to produce the data that makes this possible.
Sam
Amazing, right?
Sean
Romantic.
Sam
It's romantic.
Sean
And then this guy made like a giant fleet of overseas data labelers. Sound like the. The army from 300.
Sam
Yeah, yeah, it's the, it's the best. And the real website, I believe is Data Annotation Tech. That's the website where the, that's the website where the, where the annotators go to apply. But the way the business, the way, yeah, it's much more traditional.
Sean
And that one, there's like a brown dude staring at a laptop with a reflection blurring his eyes. And it says get paid to train AI in your schedule.
Sam
And so the way the business model works is they have a hundred thousand of these folks and they train them on different standards and whatever and then they've also made software so they can show the basically homework or tasks to their folks. And a company like OpenAI or Google whatever is going to pay Serge millions and millions of dollars. And Serge is then going to take something like 30 or 40% of it and give it to the annotator to do the work. So this company is only 5 years old and it's, it was leaked that they did $1 billion in revenue in the last 12 months. And this guy Edwin Chen, he's only 37 years old and he owns 100% of the company. They have not taken any outside funding. Now listen, their biggest competitor is a company called Scale. Scale is run by this guy named Alexander Wang, I think. Alexander Alex Wang, I think his name is. And it recently sold for something like 30 times revenue. I believe it. They were doing like 800, 900 million in revenue. They just sold half of the company to Facebook. I think it was for 28 billion or 30.
Sean
Yeah, 30.
Sam
Which means, which means this guy Edwin, who's 37 and has a five year old company, presumably is worth something like $30 billion. And you can't find him on Twitter, he has no blog, you can't find photos of him. He used to have a blog, but you have to go to web archive in order to find it because he took it down and his customers are like, Edwin is not online. You can't find him anywhere. And we like it that way. His born, his business is very boring. The branding is basically non existent and it just does a very good job. And compared to Scale, who's like, you know, the hottest kid on the block, like Alex Wang was just on Theo Vaughn's podcast. He was at the inauguration. He's kind of like, kind of like the, the IT guy right now. These guys are the exact opposite. You're not going to find them anywhere. They only have 100 employees. They're totally under the radar and it's super, super fascinating.
Sean
Dude, this is, this is wild. I did not know that he bootstrapped the whole thing. I also had never heard this company until Scale got Bought. I had never heard of this company.
Sam
So their company is killing it now because Skale got Bought. So because Skale got bought is now owned basically by Facebook, Google and a bunch of ah, we don't want to. We don't have with you anymore. We go and Surge.
Sean
But they were already winning. They were at a billion in revenue and scale was at 750 billion.
Sam
And the reason why they're winning is because they are. They charge a premium and they're. He's like, I don't. We got Scale. But it's like I wasn't trying to get scale, meaning I wasn't trying to grow big. I was trying to hire the best people and to train them really well. And I charged for it. I charged three times what Scale charges and the results have been better and people really like us because of it. And this whole data labeling industry, I had no idea about this. I didn't know that people were behind the scenes making these decisions. It's kind of wild.
Sean
I mean this is one of the best like picks and shovels businesses. So if you've never heard of picks and shovels, it's the idea is like anytime there's a gold rush, who makes the money? Yeah, it's the few people who find the gold. But the more reliable way to make money is just to sell picks and shovels to everybody else who's rushing into the gold rush. And Scale and Surge were the best picks and shovels businesses maybe besides Nvidia. Because what they were doing is saying cool. Everybody, everybody wants to compete to become the. You want to make AGI? You want to make AGI. You're all raising Billions and billions of dollars. Well, all of you have the same problem. And I will sell the data labeling service to all of you. And this is so funny that now that Facebook is buying scale, it's like there's all that revenue, has to find a new home. Like, this is crazy that that's the best news ever for this guy.
Sam
And there's another company called Handshake. So if you go to join handshake.com previously, or it still might be this, but they were known as a company that helped recent college graduates get jobs. And so basically they're a job board or Job network for 22 year olds.
Sean
Dude. Yeah, this was for college kids.
Sam
Okay, well, listen to this. They noticed a few months ago that Surge and Scale were using their service to find these, these data annotators. And so they go, we're going to do that now. And so in a very short amount of time, they pivoted. And that business that they have is going to be at $100 million a year in the next couple months in a very short amount of time. Because what they did was they went and just said, oh, you are looking for a data annotation gig. We got you. Let's go ahead and get your train. And we're just going to provide that service to folks. And so Handshake is building that business now.
Sean
Dude, that's so crazy. I remember using this because I was like, oh, it's interesting that nobody's really built the kind of like one place to go hire college interns or college, like fresh grads. And they built this like marketplace where you could go post on a job board at my local college here and I could get. But it was like, kind of crappy, dude. It was like, it wasn't great. There's very like little liquidity in the market. But I remember thinking like, this is an interesting idea. Somebody like, it's a marketplace. I like marketplaces. Somebody should do this, right? And I remember they were kind of like puttering along for a while, it seemed like. And this is so funny that they pivoted to this and now we're going to just explode.
Sam
Yeah. And if you Google Handshake data Annotation, you can find the blog post that they, that they wrote on them announcing that they were doing this. And so it basically just says that for the past decade, Handshake has changed how college students started their careers. And then it goes on to basically say, we're changing the company to like, just hire, just do this thing. And it's already making and they don't actually say this, but like it's now making a hundred million dollars a year.
Sean
And, you know, I don't know how long this stuff will last. Like, you know, this might be a business that I think in like 7 to 10 years, you may not need this anymore. Like, it seems like the way AI is going, you may not need this kind of human in the loop to label all this data. Either they label enough data where then the model learns how to label data. You don't need humans doing this. Or they use a thing that doesn't have the RLHF right? Like you just do reinforcement learning without human feedback. And I think some people who are kind of pure believers in AI think you won't need the human feedback at a certain point. So this might be a get while the getting's good type of business.
Sam
So let me tell you a potential counter to that. So Tim Westergen founded a company called Pandora. And I think he started it in 1990, maybe 98. It was like pre iPhone. Wait, when did the iPhone come out? 0806. Yeah, so it was like probably like 2002 then. And anyway, he told me this story because we had him talk at one of our events where he was like, I raised $7 million and all $7 million of that went to hiring basically ex musicians or musicians who were teachers and didn't make a lot of money. And for two years I had about 150 of them listening to music. And I gave them basically a scantron of all types of attributes that a song could potentially have. And so if you're listening to the Beatles, you would fill out like, okay, it sounds like it's at like 90 beats per minute. It sounds like there's guitar, like it's melodic, it's lighthearted, whatever. And after two years of doing this, he put all of the data, basically scantrons, into this algorithm that he built. And he started playing like he told me a Beatles song, and then, and then he clicked next and it would suggest new music that was similar to the one that the Beatles song that he originally played. And he said the Bee Gees came up. And he was like, the Bee Gees and the Beatles, they're not similar at all. What the hell? And then he kept clicking next. He's like, oh, wait, they have the same melody. Or they had. They all like have the same. Like, they make me feel similar. And he was like, it's working, it's working. And so originally his idea was, I'm gonna create kiosk at Best Buy. So you could say I'm interested in Beatles, but here's like five other songs that Best Buy could show you. And you will buy those CDs while you're there. And then the iPhone came out and he was like, oh my God. This is actually the exact way to apply this. And so this idea of data labeling has been around forever. And I didn't, when I was reading scale or about surge, I was like, oh my God. This is exactly what Tim was explaining to me, how Pandora started. And so this has been around for 20 years. And so you say, I don't know if it's going to be around or not, but I don't know. It's been around for 20 years so far.
Sean
Yeah, that's true. But it's kind of like self driving which is coming out now. I've taken the Waymos in San Francisco and Robo Taxi in Austin. The Tesla self driving just launched in Austin I think like two days ago or something, but they took two different approaches. So Waymo basically has this really expensive car. I forgot the all in cost, but it's something like 150 to $300,000 is the cost of the car with all the sensors on it. Right. So they have this really expensive car with lidar. And in addition to the lidar, they hard code and hard map the roads. So you know, for, for years they would drive around and basically like map the road physically. And they could only launch in cities where they had mapped the roads. And Tesla took this other approach which was basically cameras only, no lidar. And we're not going to hard map the roads, we're going to let people drive around and then the car needs to have a brain that's smart enough to figure out a road even if it's never been on that road before. And it was this interesting bet because Elon was like, lidar is not only we're not doing it, it's stupid and that's a dead end path. And everybody else was all in on lid. Like lidar makes it safer, it's better. You can't do this without lidar. And Elon's point was we humans drive with just eyes. We only have cameras, we don't. I don't have a lidar in my brain and I'm able to drive safely. Right.
Sam
And lidar is what lidar is like you're shooting some type of signal and it bounces back.
Sean
You can see through things. So I don't know exactly what's the difference in LiDAR, Radar and all these different things. But like it's another version of basically scanning that allows you to do what a camera can't. Camera can't see through an object. Lidar can. It can sense that there's another object behind it. So the classic example is like, you know, maybe you're gonna do a turn, there's something obstructing your view, but then there's a little old grandma walking on the crosswalk. But you couldn't see the grandma till you started to turn visibly. But lidar would know that there's an object there that's moving. Point is other sensors besides cameras. Whereas Elon was like, no, we're just going to put like whatever, eight cameras on the car and that's going to make it work. And for a long time there was a big debate. Some experts thought Elon is wrong. Some were just like, elon is correct and Elon we trust. And very smart people were on both sides of the debate. And it was like a very high stakes debate because self driving cars is one of the most valuable prizes that there is. Like self driving cars. I don't think people really realize it, I think because it's, I think because people talked about it for a while, they got kind of numb to it. This actually happened with AI too. People have been talking about AI, maybe machine learning, deep learning for a long time. People didn't really realize when something actually had changed. And then suddenly like, wait, it's actually here? And the same people who'd been tracking it for a long time were almost late to the party because they mistakenly wrote it off as. Yeah, yeah, yeah, I've heard this before. And so the same thing's happening with self driving cars where it's sort of like a. Yeah, yeah, yeah, but it's like, wait a minute, it's actually happening now because it's an extreme game changer. Both like for society, for Tesla's business, right? Like Tesla's business is now going to be if you own a Tesla, when you're, instead of 95% of the time your car just sits parked, you're going to just tap a button, say go make me some money please. And like a dog, it's going to go fetch. It's just going to go out there and it's going to start doing rides for people and it's going to start earning you money passively all the time.
Sam
Dude. I think, I think Morgan Stanley or Chase, one of the big banks, like last week was like, wrote this report where they had to Say what the world's gonna look like with self driving. And it wasn't like, it was far more grand. They're like, the economy is going to look radically different because people are going to have so much more time. Like it was like at a macro scale, it was like, oh, like the world will change because of this. But it was also like there's something 60, I think thousand car deaths a year. Like what's the world going to look like with, with more people? Like, like it was like a pretty meaningful, like it was like a very grand way of thinking about it. It wasn't just like, oh wow, I could play on my phone while I'm walking or driving to work. It was like, no, everything changes.
Sean
I, I asked last night, I asked Grok, I said, what are the second order effects of self driving cars? Here's what it said. So it's like cities are going to look completely different right now. Parking lots itself occupy 30% of all urban land in some cities. And this is gonna, you're not gonna need parking lots because the cars aren't gonna just sit parked, they're gonna be running around. You're gonna need way less cars in a city. Plus they don't, they're not gonna sit still. So you don't need all of the space. Just look around a city, how much space is dedicated just to parking? Like we're gonna look back and that's gonna look sort of like a caveman style thing. It's like in the future those are gonna be parks and public places.
Sam
It's gonna be smoking in a restaurant.
Sean
Yeah, exactly. And so like the good version of this is that's like, you know, green spaces and affordable housing. But like, who knows, maybe, maybe it actually gets co opted for some other purpose. They all just become like, you know, drone delivery, you know, parking units where Amazon keeps like 10 million delivery drones. The next one is labor. So right now there's three and a half million truck drivers alone, let alone all of the like Uber and taxi drivers. And you're just not going to need that job period. Like, and I don't know what happens to that, but there we go. The next one is, you know, basically I think the average person spends something like 90 minutes a day just commuting. And so you get, you know, of your wake time, let's say you're awake for 16 hours. You're going to add, you know, what is that? So let's just pretend it's 2 out of 16. You're going to add like, you know, 13% more time to everybody's day where they can now sleep, eat, work, play, Right? You're going to sit in a car and you're not going to have to think about the car. You're just going to be able to do one of those things. Which also means the car becomes a new place for entrepreneurs to build experiences. Right. Like today there's no one out there being like, I build car games, right? There's people who build mobile games and Xbox games, but there's nobody who builds car games. Well, car games is going to become a thing because people are going to sit in cars and play video games. People are going to sit in cars and they're going to relax, recover, they're going to work. And so you're going to build tools that go in them. Another one is insurance. It's like the whole insurance system, like Buffett's Big Bets and Geico and all those things, it's all based on human driving. And so if humans aren't driving anymore, both the risk and the risk reward ratios change. But also who are you insuring? You're insuring the software company versus individuals. How is this all going to work? And so all the whole insurance industry changes and then basically like car ownership. So today owning a car is both like utility but also status symbol. So it's gonna be kind of interesting. Like you're a car guy. Like, I wonder when there's self driving cars and basically transportation is just on tap, like flowing like water, right. You just, you push a button and in 30 seconds a little car, the car of your liking, pulls up.
Sam
It's just gonna be like, it's gonna be like people who like horses now. Like, it's gonna be a small group of people who are passionate. Yeah, it's just like, oh, you're passionate about it and you are lucky enough to have enough room or enough money to. But like maybe I would like buy a Groupon and can go experience that once in my life. Like that's what it's gonna be. Yeah.
Sean
Or like, you know, like horseback riding is like therapeutic. People like to like brush a horse or pet a horse. It's gonna be like that with a car. It's gonna be like male therapy to just like get in there and just be behind the wheel. Have control over something in your life.
Sam
Yeah, it's gonna, or like punk. Yeah, you're gonna like feel the noise and like smell the gas. Like it's gonna be, it's gonna be like a hobby. Yeah. It's not gonna, it's not going to exist, I don't think. I think it's going to be a lot longer, but like in 20, it could be 20 years, 25 years. It's not going to be in the next five years, but yeah, it's going to be a hobby.
Sean
Are you sure about that? Why do you think it's not going to be in the next five years? Weibos are now doing 20% of all the rides in San Francisco because that was zero.
Sam
Like, have you, like, have you ever. Like a large percentage of people of Americans have to. Have to drive, let's say 60 miles one way to, to work or they have to like pull stuff or carry stuff. I just don't think, I think that for the urban. There's, it's not. Oh, there's, there's going to be like a, there's probably going to be like four sections of users. So it's like young urbanites and it's like, yeah, you guys don't need a car at all.
Sean
Like you're, you're, you're doing probably already there with Uber. Yeah.
Sam
And then like the far end of that spectrum is like rural people who have to actually tow stuff. You know, even though everyone has a truck, very few actually use it. But there's like that section and there's like the people in between and there's going to be like a timeline because like if you ever. You can't really tow anything on an electric car right now. It's like it's. They. You say you can, but go talk to someone who lives in rural Texas. When you have to like be driving around all day, it's like impossible. So I think that there's going to be like, it's going to be like for, you know, what's that?
Sean
Early when you say it's not gonna be five years, are you saying it's not going to be meaning self driving is not going to work?
Sam
No, it's going to work. It's just not going to. Just the user adoption. It's like it's gonna, it's gonna take a minute for that. For the whole spectrum of people. I think for the urbanites and people like that, it's. It's tomorrow. We're gonna do it, I think.
Sean
Yeah. I mean, that guy towing probably still doesn't. He still has an AOL email address, right?
Sam
Yeah, yeah, like, so I think it's.
Sean
Pretty safe to say that that person's not. Yeah, it might be 40 years before that person.
Sam
It's gonna be a long time but then like, you know, there's like a lot of, you know, people like, I'm one of them. Like, I'm romantic about my gas vehicle. I had an electric car and I got rid of it and I'm like, in my head, I'm like, like, I acknowledge it's better. I acknowledge that. Like it's the future, but it sucks. I want. Yeah.
Sean
It's like our vegan friends. It's like, I get it.
Sam
Yeah. We shouldn't kill creatures, but it just tastes so good.
Sean
Yeah. But when you dip them in ranch, it's fantastic.
Sam
But I'm excited too. What's crazy is in Austin, I think, or sf, people are actually paying more for the waymos.
Sean
Yeah. Yeah. It's not, not. It's not that much cheaper yet.
Sam
That was. But people are. People want to not be around someone. And that was unexpected. So like when I was. When I drive my, my. I have a BMW that has self driving stuff. I feel way safer on that than if it were just me. And I think that there's like 20 of people and it's usually men. I've noticed. I've noticed women tend to hate. Everyone I've talked to hates self driving and every man I've talked to likes it. And like, have you, have you. Do you have any self driving now?
Sean
No. Well, I don't. I don't have it. So I haven't had that, that level of a. I haven't had a sample size to.
Sam
No, I've noticed that.
Sean
I'm curious if that's common or if you're just like indexing on three people.
Sam
No, it's. Well, yeah, I am. But yeah, it's like five of my friends, like the husbands use it and the wives are like, nope, I don't mess with that. I don't use it. Right. But I feel way safer with it.
Sean
All right. This episode is brought to you by Mercury. They are the finance platform of Choice for over 200,000 companies. Shouldn't be surprised because I use it myself for not one, not two, but I have eight different Mercury accounts. I have seven for different companies that I'm a part of. And then I have my own personal account because now they have personal banking, which is a really cool feature. I highly, highly recommend it. Like I said, I use it myself. And the reason why is because the way that Mercury works is beautiful. It's very intuitive. And you could tell that it's actually made by a startup founder, it's an entrepreneur. You could tell it's made by somebody who used other banking products in the past and didn't like all the different rough edges and annoyances and decided to, you know, actually fix it himself. And really, any type of entrepreneur you are, let's say you're an agency. Well, one of the things every agency has to do is be able to send invoices, easily create them, send them to customers, and stay current on your balances with all your customers. Well, you can do that inside Mercury. And so I think that Mercury is great. Highly recommend you check it out. And thank you for sponsoring the show. For more information, check out mercury.com Mercury is a financial technology company, not a bank. Check show notes for details.
Sam
You want to do one more thing or you have something?
Sean
Well, I have a. So I tweeted something out that Elon replied to over the weekend.
Sam
And how did that make you feel? Did you, like. Did you, like, clap and, like, scream?
Sean
No. So I. First of all, I played it so cool. You wouldn't. If you had seen me, you would have thought I might be under the weather. That's how cool I was playing it. And actually what happened is I just texted my wife and I was like, oh, not Elon. Replying to me. And then I just. I forgot about it. Next day, I didn't even think about it. I moved on. My mom calls me. She's like, sean, what did you say? I'm like, what? She's like, sean, what did you say? Elon, what'd you say to Elon? And I was like, what? My wife put it up on her Instagram story. And I was like, oh, my God, I'm trying to play it cool over here. And then you made it, like, lame city. So that felt interesting that I got, like, multiple phone calls from people and.
Sam
I was like, dude, that's like, the only time your wife has shared something that is when another person replied to you.
Sean
Yeah, exactly. And so I thought that was interesting, how big of the reaction was. But the thing I had said was, I wrote, within a couple years, not using AI while you're doing your job will be the equivalent of coming to work without a computer. Like, if someone just turned up and they're like, nah, I didn't bring it today. You'd be like, what the hell, dude? Like, what are you planning to do? What's the plan here? That's how it's going to be if you're trying to do your job and you're not using AI constantly to do your job.
Sam
Yeah, I thought that was good.
Sean
He applied and he was like, Sooner, probably. And so that was like. And so I started thinking about that, and I started thinking about somebody else said this thing. They go, pretty soon, being a doctor who's not using AI as a co pilot, like, let's say you're a radiologist and you're just trying to eyeball every, every MRI and you're not also running it through AI, that'll be considered malpractice because, like, you put the patient at risk by not at least including the second layer of AI diagnostics. And I thought, that's pretty interesting. It's like, the flip is going to go so much from this doesn't work. You know, something we don't do. We don't even use it to. If you're not using it, it's considered a malpractice, whether it's corporate malpractice or medical malpractice.
Sam
My doctor friend admitted to me the other day, he goes, OpenAI is a better doctor than me. And he was like. And I knew this was going to be popular because for years, he's been a doctor for 10 years. Patients come to me and said, well, Google says this, or WebMD says this. And he says, over the last six months, the only people who have used that reasoning is with OpenAI. And I said, well, according to OpenAI.
Sean
Yeah, Chatgpt said this.
Sam
And he goes, and they're right. A lot of times the diagnosis is right, dude.
Sean
I got in a fight with a doctor recently about this. Did I tell you this?
Sam
What did they say?
Sean
My mom had to have a surgery, but she was on a trip. And so I'm like, calling in to the doctor. Every time the doctor would make her rounds, she would FaceTime me in because she's on the other side of the country. And so the doctor would come in and doctors are very hit or miss. I love some doctors, but a lot of doctors, I'm like, wow, this is an extremely underwhelming experience. And so this one doctor comes in and she's like, yeah, your levels were fine. And then I'm like, I actually read the test through ChatGPT, and the levels were like, high for this. And she's like, well, which level? And I'm like, I tell her, I'm like, whatever the thing, whatever the term was. And she's like, yeah, that was high. But, you know, it depends on the exact number. So I go, what was the number? I. I would have to check. I'm like, you're the doctor. So yeah, you would have to check, like, you know what Are you. What are you talking about? And I'm like, you know, basically chat GPT said if it's above this, then you should consider doing this, like, additional. Additional step. Like, do you believe that that's, like, do you agree with that? Like, do you think we should do that, that step? She's like, well, I mean, you're putting me on the spot here, and I don't have the number. And I'm like. And she basically was getting pissed. And she's like, well, if you're going to ask me questions, then I'm going to need to go look at the number. And I literally was like, yeah, you are going to need to go look at the number. Then I am going to ask questions. What are we doing here? I don't understand. Like, why are you offended by me asking if you have seen the data from the test, the test you just said to run, and now you're coming back to discuss the test results and you don't want to look at the test result? I don't really understand what's happening here.
Sam
Well, I think what's going to happen is that, you know, how have you noticed? So have you ever been to a doctor now with an AI scribe? So, like, they have, like, for. Okay, so for a long time.
Sean
Oh, I was humiliating her in front of her AI scribe. Is that what happened?
Sam
Well, for a long time, they could have been human scribes. And so, like, have you been to a doctor and seen, like, a person on an iPad? Like, literally, it looks like the doctor's facetiming typing notes. Yeah, yeah. And that's like a scribe now they have AI scribes. And I think what's going to happen is, like, the AI is going to, like, talk up and be like, actually, ma' am, he's right. Like, Like, I think that's what's going to happen. And if I was an entrepreneurial doctor, I would 100% start a new practice all centered around. We are AI first. So we work with AI, you know, and I don't think that you.
Sean
We are.
Sam
We aren't at the point, and maybe we'll never be at the point where you totally trust it. Just like you always want the pilot, even if autopilot is still a thing. But I would, like go heavy on that of leaning into, like, we have all of the context here. We have all of your files uploaded to our ChatGPT or whatever it is, and have an AI first. Because I think that a lot of people like you and me and people listening to this podcast they have the similar sentiment where they're like, oh no, I trust a computer way more than a human being. But I would also want the human being to put their stamp on it.
Sean
It's also the same and I want to sue them if I'm wrong. It's not even that like, oh, the AI found the problem and the doctor didn't. Sometimes it's just as simple as like, cool. The doctor came in, they talked kind of fast, they didn't fully explain. I still have more questions. And so you go and you ask Chat GPT to explain it to you, maybe simpler, or you ask some follow up questions. Maybe you're not as embarrassed to ask questions. You feel like you're not like, you know, the person's not like in a rush to get out of there like a lot of doctors are. And so sometimes it's not even that the AI doctor is better because it's smarter. Sometimes it's because it's infinitely patient or it's an infinitely better communicator or, you know, it knows, you know, maybe other things about you or, you know, you could ask some follow up questions. You don't feel silly doing it. Like those are other components of the doctor experience. Essentially bedside manner that AI is better at.
Sam
Yeah. And so I'm like very eager to see how this works. I go to, I go to a doctor now, a concierge doctor, and it's not very expensive. But the reason I go there is the average at most doctors they have to see four patients an hour, so they're at 15 minutes. And is that insane? I remember I went to a doctor and like I had an earache. I'm like, guys, my ear is killing me. And like he spent no time like trying to like help me like figure this out. And I went to a concierge doctor and the Average time is 45 minutes. So we can like thoroughly walk through things. And so if I can just use all the information that they have and then go and ping chatgpt to further the conversation, it is pretty brilliant. I'm very eager to see what's going to happen. I like, people act like AI is amazing for a bunch of different stuff and it is. But what they're doing with medicine and drugs and cancer and things like that is like pretty astounding. And I think that's going to be the major breakthrough in the next couple of years.
Sean
Dude, the other one, lazy ass parenting. So your kid's a little young for this, but it is amazing. Dude. I'll open up Gemini and has like a camera mode.
Sam
Why do you use different ones? You've said Claude or sorry, you said Gronk and now you're saying Gemini. And then we also refer to chat. So you use different ones.
Sean
It's like, you know, you go to your different friends for different questions. You only ask me certain questions. Sometimes you go to Jack Smith and sometimes you go to your, you know, you go to Joe. You go to different people for different things. So like, if you want to be, if you want something that's a little bit more real and objective, I think Grok is better. If you want something that's either code or creative writing, Claude is better. The catch all is chatgpt. And then Gemini has some advanced features. So this is what I was saying. Gemini has the thing where you just turn your camera on FaceTime. And I think it's for. Maybe you're supposed to show it your car. Be like, how do I repair this? And it tells you what to do. But I just pointed at my kids and I'm like, hey, we're playing charades. Guess what they're doing. And then my kids will get on the ground and start like crawling and it's like, seems to be a boy crawling. Maybe it's a snake. Are you a worm? And it like tries to guess it and they love it, dude. And so I'm able to just straight up chill and let them play with AI. It is amazing. Another one I'll do is I'll just be like, hey, I have a five year old and a four year old here and they want trivia questions. They like animals. They like paw patrol. They like, you know, they know a little bit about Pokemon, but nothing too complicated. Ask them a bunch of questions, cheer them on when they get it right, if they get it wrong, tell them the right answer, keep track of the score. Here's their names. Go. That's the prompt. And it plays trivia endlessly with my kids. And they love it because it's all audio, which kids can do. They don't have to like be on screens to be able to do this. And so I'm just discovering like game after game I can play with them. Like I'll do like, basically replaced Kumon with hey, I need advanced kindergarten math, which like, I don't even know what that means, but it like gets you for whatever reason. Those three words give me the sweet spot of like a question that, that, that kind of works for my kids. And it's like a tutor, right? It's an infinitely patient Tutor with them. And it's not perfect in the sense of, like. You know, sometimes it, like, starts and stops its audio. Cause if you make any sound, it thinks you're talking, but damn, it's pretty. It's pretty good. And it's, like, already usable for us.
Sam
I'm not. Not seen. I didn't even. I didn't know much about Gemini. Gemini Live. I had no idea what this was. Is this Google? This Google Gemini is, like, after summer.
Sean
Break, you know that one kid who comes back, it's like, they're kind of, like, hot now, but you still have the old image of them. Like, their reputation is still being, like, not hot. But objectively, they're hot now, but nobody's really on it yet. That's what Gemini is. Gemini was basically out of the game. It's Google's AI tools out of the games. Like, I was just chatgpt. Grok.
Sam
She changed. Yeah.
Sean
And then she changed and she, like. It's like, wait, like, she got contacts and, like, she learned how to do her hair. She liked to watch the makeup tutorial. It's like, start rollerblading, which was, like, surprisingly good cardio. And now, like, suddenly, Gemini could do things that, like, the other ones can't do, but nobody's on it yet, which doesn't really actually give you any benefits.
Sam
Wait, so Gemini is hot now?
Sean
Gemini's hot now.
Sam
Google's hot.
Sean
Google's hot.
Sam
Yeah. I don't know, man. That's hard for me to buy into, but.
Sean
Yeah, because you're one of those jocks at school who's just stuck in seventh grade. You forgot what happened over seventh grade Summer.
Sam
All right, I'll use this. Yeah. I'm just stuck on Chat GPT, and I don't use Gronk because I. I'm shocked when people say they use Gronk. I'm like, wait, so you go to, like, twitter.com to use. That's just. Is that the same thing as. That's the Twitter one? Yeah, because Steph Smith just got a job at this other one. What was that other one called?
Sean
Oh, no, she got it at Grok with a Q.
Sam
That's stupid naming.
Sean
Unfortunate.
Sam
Unfortunate.
Sean
I'm a shareholder of Grok with a Q also, but unfortunate naming situation.
Sam
Yeah. And it's AI as well.
Sean
They're making chips.
Sam
Okay, well, they should change their name because. Yeah, that doesn't make sense.
Sean
Or at least the pronunciation. Right? Like, I don't know. Like, I don't know how you. Also, it needs to be Groke or something like that. I don't know what they're gonna do.
Sam
They could be Groke, I guess, but they. Yeah, Gronk is. So. It's the same.
Sean
I love how you're putting the N in there like it's Rob Gronkowski.
Sam
Wait, what did I say?
Sean
You're saying Gronk.
Sam
Oh, what is it?
Sean
Grok.
Sam
Grok. Yeah, like the shoes. Crocs.
Sean
Yeah, like Crocs. Yeah.
Sam
Wait, so what is the Twitter thing?
Sean
What do you mean? What is it? That's also.
Sam
Oh, that's not Gronk. Oh, I thought it was Gronk.
Sean
Yeah, there's no an. Any of them. That guy's a football player. He's a retired football player.
Sam
I went to Montana to visit a friend last week, and I wore overalls because they're, like, the best.
Sean
I saw a photo of that, and I just thought to myself, holy shit, this guy has gotten. This guy's got no. No limits. He's just wearing overalls as standard. Standard wear.
Sam
It's the best clothing because you could put your phone in your wallet right there on the chest. And so you're like, holy kids. And, like, you just have so many pockets that you have, like this right here. And I love it. And she's like, oh, you got these. Did you think that we're all cowboys here? And I was like, huh? And she's like, you've wore your overalls to Montana. Are you trying to make fun of us? I was like, what are you talking about? I. I've worn these for years. Like, I am not pretending. No, I actually just got a concept.
Sean
By the way, I was very inspired by your Instagram post. You wrote something. The caption of your post. You go, from now on, I'm only taking photos. That if my kid looked at it 20 years from now, they'd be like, my dad was pretty cool. That was great.
Sam
That's. That's because you have that photo of your father, right, of him when he was in his 30s and you're a baby, and he's, like, doing something cool. He's wearing a cool shirt, and you're like, oh, wow, dad was sick. Or like, oh, yeah, you don't see.
Sean
Them like that anymore, right? Like, they don't care anymore. They're, like, fat now or whatever. And so you don't. You don't see that side of them, but, like, it lets you put a little respect on their name when you see, like, oh, damn. When they're young, they were actually kind of. That's Actually kind of fly what they were wearing.
Sam
So I was smoking a cigar, and they were. Which I never do, but I, like, was smoking a cigar, and, like, they were gonna take a photo with my kid or someone had a camera. I was like, oh, take photos? And I put the cigar. I used to hide it. I would hide it behind my back, and I'm like, nah, fuck this. She's gonna be proud. Like. So I put it back in.
Sean
Dude, you think smoking is gonna be cool in 30 years? That's gonna be, like, you had, like, a slave with you or something. It's gonna be crazy that you were just smoking with a bab, brother.
Sam
Have you seen the photo of the eight guys sitting on the beam off the. Like, off the Empire State Building?
Sean
That's a great picture.
Sam
I think to myself, those guys are crazy. They're dangerous, but they're fucking hard. That is awesome. And so I will never be on the beam of the Empire State Building a thousand feet above the air, but at least I could smoke a cigar and look remotely.
Sean
Cool, dude, we should print this out. I want this framed, dude. Three of them have overalls very similar to the ones you were wearing.
Sam
Yeah. What's up?
Sean
Same make and model. Yeah, you just need this, like, beret hat. You probably have this. What am I talking about? Of course you have this hat.
Sam
Yeah. And the courage to eat lunch a thousand feet above the ground, which is, like, even back then, the co workers were like, guys, what are you doing? There's a cafeteria, like, right here. Like, it's a. All right, that's it. That's a pod. I feel like I could rule the world. I know I could be what I want to. I put my all in it. Like, my days off on the road, let's travel. Never looking back. All right, so when my employees join Hampton, we have them do a whole bunch of onboarding stuff. But the most important thing that they do is they go through this thing I made called Copy that. Copy that is a thing that I made that teaches people how to write better. And the reason this is important is because at work or even just in life, we communicate mostly via text. Right now, whether we're emailing, slacking, blogging, texting, whatever. Most of the ways that we're communicating is by the written word. And so I made this thing called Copy that. That's guaranteed to make you write better. You could check it out. Copy that.com. i post every single person who leaves a review, whether it's good or bad. I post it on the website and you're going to see a trend, which is that this is a very, very, very simple exercise. Something that's so simple that they laugh at. They think, how is this going to actually impact us and make us write better? But I promise you, it does. You got to try it atcopythat.com. i guarantee it's going to change the way you write again. Copy that. Com.
Podcast Summary: My First Million – "Business as a Sport, Surge AI, and Waymo vs. Robotaxi"
Release Date: June 25, 2025
Host/Author: Hubspot Media
Hosts: Sam Parr and Shaan Puri
Timestamp: 00:00 - 02:14
The episode kicks off with Sam and Shaan discussing the pivot from "high agency" to "generative" as the new buzzword in business innovation. Shaan emphasizes the shift by saying, “We're selling high agency at the top right now. We're spacking high agency. It's gone. Taking that cash and plowing it into generative” (00:16). Sam reflects on the excitement of manifesting ideas into reality, highlighting the passion behind turning concepts into tangible projects.
Timestamp: 00:27 - 02:14
Shaan shares the success of a previous episode featuring Chris Corner, which garnered over 100k views on YouTube. The standout idea was a golfing challenge in New Zealand where participants attempt a hole-in-one on a floating golf hole in the water for a $10,000 prize. Shaan explains, “If you hit it, you get 10 grand. And so it's just like a fun thing for you to do with your buddies” (01:02).
The response was overwhelming, with hundreds of replies and proposals to replicate the idea in various locations. This enthusiasm led Sam and Shaan to designate it as a "My First Million" (MFM) project, aiming to scale the concept beyond its New Zealand origins.
Timestamp: 02:14 - 07:35
Sam delves into the essence of why being generative is fulfilling, comparing it to the camaraderie and journey aspects cherished by professional athletes. He remarks, “The thing they talk about always is the team bus rides, the locker room, the camaraderie stuff that happens along the way” (05:28). Shaan echoes this sentiment, likening business to a sport where the thrill lies in the process rather than just the financial outcomes.
They discuss notable individuals like Elon Musk, lauding his generative nature: “He literally generates businesses like the Boring Company and Neuralink and SpaceX and Tesla. He’s generating kids, he’s generating ideas” (07:26). This generative mindset inspires both hosts to continuously create and innovate, recognizing it as a key characteristic of influential entrepreneurs.
Timestamp: 07:35 - 10:43
The conversation shifts back to the term "generative," which Shaan describes as the ability to expand a single idea into multiple related concepts effortlessly. He shares feedback from podcast guests and peers, highlighting how this trait fosters continuous creation and adaptability. Shaan notes, “I started looking at people being like, how generative is this person? Meaning if you give them an inch, could they take a mile?” (07:35).
This new lens helps the hosts evaluate potential business partners and opportunities based on their generative capabilities, reinforcing the importance of versatility and creativity in successful entrepreneurship.
Timestamp: 28:01 - 34:17
The hosts introduce Edwin Chen, the enigmatic founder of Surge AI, a company specializing in data labeling essential for AI development. Sam narrates Edwin's journey from his time at Facebook to building a workforce of 100,000 data labelers without external funding. He explains, “Scaled this by charging three times what Scale charges and the results have been better...” (32:56).
Surge AI's business model involves training a vast pool of highly skilled annotators who can process and label data efficiently, enabling AI companies to enhance their machine learning models. The hosts compare Surge AI to a "picks and shovels" business in a gold rush, supplying the essential tools needed for the AI boom.
Shaan highlights the competitive edge of Surge AI over Scale, noting Surge's premium pricing and superior results as key factors behind its rapid growth and high valuation.
Timestamp: 35:59 - 38:29
Sam introduces Handshake, a company traditionally known for connecting college graduates with job opportunities, which recently pivoted to support data annotation services. This shift was driven by the growing demand from companies like Surge AI and Scale. Handshake's new focus aims to train and place individuals into data labeling roles, projecting revenues of $100 million annually shortly.
The hosts discuss the sustainability of data labeling businesses, contemplating whether AI advancements might eventually reduce the need for human annotators. Sam counters by referencing Tim Westergen's experience with Pandora, illustrating that data labeling has been a critical component of AI development for decades and remains indispensable.
Timestamp: 40:25 - 51:12
The discussion transitions to the self-driving car industry, focusing on the contrasting approaches of Waymo and Tesla's Robotaxi. Waymo invests heavily in expensive lidar-equipped vehicles and meticulous road mapping, ensuring safety and reliability. Shaan explains, “They have this really expensive car with lidar. And in addition to the lidar, they hard code and hard map the roads” (40:25).
In contrast, Tesla opts for a camera-only system, eschewing lidar based on Elon Musk’s philosophy that human drivers rely solely on vision. Sam elaborates, “Elon was like, no, we're just going to put like whatever, eight cameras on the car and that's going to make it work” (41:50). This fundamental difference fuels a high-stakes debate in the industry, with both sides supported by experts.
The hosts explore the broader implications of self-driving technology, including reduced need for parking spaces, shifts in urban planning, labor market disruptions, and changes in personal car ownership. They anticipate transformative societal changes, such as repurposed urban land, the decline of traditional driving jobs, and new entertainment and productivity possibilities within autonomous vehicles.
Timestamp: 51:12 - 58:44
Shaan shares his observations on user adoption of self-driving cars, noting a gender divide where men are more receptive to the technology compared to women. He recounts a personal anecdote where his wife highlighted a tweet from Elon Musk, prompting him to reflect on the societal reactions to such milestones.
Both hosts speculate on the long-term viability and evolution of self-driving technology, debating the timeline for widespread adoption. Shaan suggests a gradual shift where urban areas adopt autonomous vehicles sooner, while rural areas might lag due to practical transportation needs like towing.
Timestamp: 58:44 - 64:35
The conversation moves to the integration of AI in healthcare, underscored by Shaan's story of a doctor dismissing AI-generated insights. They discuss the potential for AI to enhance medical diagnostics and patient interactions, envisioning AI as a co-pilot that improves accuracy and communication.
Sam shares a vivid example of using AI tools like Gemini to engage with his children through interactive games and educational activities, demonstrating the versatility and familial benefits of advanced AI applications.
Timestamp: 64:35 - End
In the final segments, Sam and Shaan reflect on the personal and professional impact of embracing generative ideas and AI technologies. They express enthusiasm for the continuous evolution of business models and the transformative potential of AI across various industries.
Shaan concludes with an inspirational note on personal growth and the importance of creative exploration in entrepreneurship, reinforcing the podcast's theme of turning innovative ideas into successful ventures.
Notable Quotes:
Shaan: “We're selling high agency at the top right now. We're spacking high agency. It's gone. Taking that cash and plowing it into generative” (00:16).
Sam: “He literally generates businesses like the Boring Company and Neuralink and SpaceX and Tesla. He’s generating kids, he’s generating ideas” (07:26).
Shaan: “How generative is this person? Meaning if you give them an inch, could they take a mile?” (07:35).
Sam: “Copy that is a thing that I made that teaches people how to write better. And the reason this is important is because at work or even just in life, we communicate mostly via text” (67:01).
This episode of "My First Million" offers an insightful exploration of the intersection between generative entrepreneurship, groundbreaking AI innovations like Surge AI and self-driving technologies, and the profound societal changes they herald. Sam Parr and Shaan Puri provide a compelling narrative that not only highlights current trends but also anticipates future developments, making it a must-listen for aspiring entrepreneurs and tech enthusiasts alike.