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Joined 2 years ago
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Cake day: August 21st, 2023

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  • I agree. I’d like to see some separation between the car manufacturer and the software. Any computers in the car should support whatever operating system you want to put on it. Things like controlling the car’s functions would just be device drivers. If the car company also wants to get into the SaaS business, fine, but you shouldn’t be required to pay for that software to operate the vehicle.


  • I’m on board with it if people want to change the terminology around these things, but it seems like the core of what the author is discussing is the valuation of these companies and potential bubbles.

    I think it makes sense that Disney and Amazon and Netflix who are able to make money through more of a SaaS-like model would have a higher valuation than a car company that has to produce a new car for every unit sold. Maybe there’s a recent example of an over-valued car company we can think of?

    Consider that an auto mechanic and a software engineer can have a similar problem-solving skill set, and could both be very intelligent. Why then does an auto mechanic make so much less money? It’s partly because of the economies of scale involved with software. The owner of the software company can sell the software to thousands of clients without having to pay the software engineer to build the software thousands of times. The owner of the auto shop still has to pay the mechanic to perform every job every time and get paid for it.

    So while I agree that Disney and Netflix maybe aren’t “Tech” companies, it seems to me the real problem the author is grappling with is whether they should be valued similar to tech companies. So I guess the question becomes, are “tech” companies highly valued because they are expected to make some huge technological leap that shakes up industries, or is it because of the economies of scale inherent in the SaaS-like business model?






  • MA had a ballot initiative that would have gradually brought the minimum tipped wage in line with the state’s minimum wage over the next 5 years or something.

    Restaurants posted signs at their door to vote NO and that 90 percent of tipped workers opposed the bill.

    A bartender I know told me that I should vote no because if it passed then restaurants would have to reduce headcount and servers who were bad at their jobs would get paid just as well as servers that offer good service.

    So it seems like the restaurants just threatened people with losing their jobs and so they voted NO and convinced others to do the same.

    The measure didn’t pass.