Gurley reports rumors that some best-known AI brands have negative gross margins from pricing below cost.
“There's rumors of even some of the best known brands in AI having negative gross margin.”
Gurley challenges Waymo advocates to publish twenty-year financial projections showing how owned robotaxi fleet could work economically.
“Let's build a public Google Sheet of the twenty year financial statements for this thing, and let's put it out there in the public.”
Gurley explains large capital deployments force massive losses since companies lack infrastructure to absorb funds.
“the only way to deploy that amount of capital is to take on massive losses. There's there's no way to you know, these companies don't have massive infrastructure.”