Gerstner notes top internet companies grew from 5% of Nasdaq in 2006 to 35% today.
“In 2006, the top six or seven global Internet companies represented about 5% of the Nasdaq. Today, they represent about 35% of the Nasdaq. So the big have gotten bigger at an accelerating rate,”
Gerstner notes top internet companies grew from 5% of Nasdaq in 2006 to 35% today.
“In 2006, the top six or seven global Internet companies represented about 5% of the Nasdaq. Today, they represent about 35% of the Nasdaq.”
Gerstner held over 70% of deployed capital in top positions, arguing concentration matters more than participation.
“Those positions represented over 70% of the deployed long capital in our fund last year. Stock selection matters. Concentration matters.”
Gerstner reports 65% of AI funding went into five or six companies demonstrating extreme power law concentration.
“But what's interesting is about 65% of that, talking about power law, 65% of that, I think, went into five or six companies, you know, that you know of.”