More GAFAM Layoffs (Late on Friday Night)
"Microsoft, the world’s most valuable company, declared a profit of $4.5 billion in 1998; when the cost of options awarded that year, plus the change in the value of outstanding options, is deducted, the firm made a loss of $18 billion, according to Smithers."
Around midnight and at the end of Friday (our time; not 'Amazon time', WA) the mainstream media said "Amazon sheds hundreds of jobs in retail division". Two weeks ago (also when a weekend began) we wrote about Apple layoffs, which typically 'go silent' or fly under the radar or get excused as a nothing-burger.
As noted in my personal site last night, "how can billionaires (or trillionaires) exist on top of debt? MElon is on drugs, he’s no business genius. He cheats everywhere, all the time."
See, many of these companies are deep in debt. They say they are worth trillions, but they don't even make money, they lose money. Pivot to AI has just written about SpaceX (as noted in Daily Links and IRC) 'buying' NVIDIA hardware using money that does not exist! As David Gerard put it: "SpaceX, the world’s greatest rocketry, AI, and social media company, claimed in its IPO prospectus in June that it had a total addressable market of $28.5 trillion — mostly in AI. So the company is borrowing $40 billion to buy yet more Nvidia chips."
Get it? An "addressable market of $28.5 trillion" [sic] but cannot afford to buy "more Nvidia chips" (don't worry, Nvidia will subsidise its own sales or arrange loans, just don't call it circular financing!!!).
The economy is alright (not)! Just keep the faith in it. █
