Gilder conferences are great mixers. They unfold over 2 or 3 days and you get to have breakfast, lunch and dinner with everyone there. There is a sense that you have an opportunity to know the real people who run the companies you invest in. It's a unique thing. Much gets communicated both intentional and unintentional that can be very insightful.
I have dined with SKS, sat next to him at the conference table there. He is bright, engaging and likable. Face time with SKS, when he is in his zone, telling the Wave story that goes deep and wide, with stories ranging across the technology whos who spectrum; is intoxicating. You take the cup and drink the kool aid. The next morning you get up and tell yourself, it really can't be happening that way.
Part of me says 'what a bunch of hot air'. For ten years this guy has deluded both himself and others into believing this company is sitting on the next Qualcomm of technological ascendancy. He alludes to the big companies trialing his products, his partnerships with government, military and the biggest leaders in the business (ie Intel, Seagate, Dell ect). You look at how the company has performed over the past ten years and I resonate with go-kites' outsized portion of skepticism. Then SKS shows up on youtube with Intel. He is indeed partnered with Seagate, Toshiba and HP and consulting with DoD and signing up GM and I'm back to drinking the Kool-aid.
But, along with go-kite, I have demanded revenue before I increase my investment in this company beyond something modest. I did not care how tall the SKS tale was nor how compelling - no new investment until he demonstrates that this company can sell something to someone besides a bundler. Anyone who has followed this story has yearned for the one essential, but missing piece - broad, deep and unqualified adoption. Adoption by industry, adoption by military, adoption by mobil, adoption by consumer (ala Barge) adoption by fellow members of the TCG. Up until recently that piece was still missing. The global auto supplier was the announcement that changed the no-adoption story and suspecting SKS of one the biggest wind bags ever to speak, to 'he might be a bit conservative'. I believe this is what the market has also reacted to - imminent, broad adoption is at hand.
All this to say there is no new News. But who needs more news when all that has been studied, researched and told here is no longer something only hoped for.
AI
