Bilingual

Weekly Links for September 8, 2024
a day ago
- The oldest company in the world has survived for nearly 1,500 years.
- An explanation of how banking works.
- A report on an air conditioner costing $1,697 for just an on/off switch.
- A reflection on playing the Oregon Trail game.
- An unverified but plausible explanation of the 'Buy, Borrow, Die' tax strategy.
For a Business, Should Making (Extra) Money Be Incidental?
a day ago
- Unchecked growth in business is celebrated, but in medicine it would require a doctor; a business should primarily serve the public, with profit as incidental.
- Vicky, a Greek restaurant owner in Chicago, prioritizes quality and affordability over profit, using ripe tomatoes, extra virgin olive oil, and fresh organic meat.
- She avoids hormone-pumped chicken and advises customers to order less to avoid waste, showing service over sales maximization.
- In Japan, customers are treated as 'okyakusama' (like gods), while in America, profit is god and customers are reduced to consumers exploited by psychological and legal tricks.
- Businesses should help satisfy desires without exploiting people; supporting 'Vickies'—service-oriented businesses—is a meaningful action for individuals and the economy.
Buffett drops Gates Foundation from his annual donations
15 days ago
- Warren Buffett redirected nearly $6 billion in Berkshire Hathaway shares to family-related foundations instead of the Gates Foundation this year.
- He paused donations to the Gates Foundation due to an ongoing review of its ties to Jeffrey Epstein.
- Buffett resigned from the Gates Foundation board in 2021 but continued donating until this year.
- He expressed hope that his children will dispose of all his Berkshire shares by December 31, 2034.
- Berkshire Hathaway is valued at $1.1 trillion, with Buffett owning about 30%.
- Buffett's past donations to the Gates Foundation totaled $36 billion by 2022.
- His friendship with Bill Gates has strained due to Gates' relationship with Epstein.
- Buffett stated he no longer speaks with Gates but does not regret past donations.
- Gates has denied knowledge of Epstein's crimes and apologized for the association.
- Buffett avoided discussing the scandal to prevent being called to testify under oath.
The bread paradox: why convenience always wins, and why SaaS isn't doomed
16 days ago
- The 'bread paradox' illustrates that despite owning a bread machine and cheap ingredients, the author buys pre-sliced bread due to lower mental costs, emphasizing convenience over savings.
- Historically, people have bought bread for ease, consistency, and time savings, from ancient Egypt to modern industrial bakeries, showing a long-standing preference for purchasing over making.
- SaaS companies are likened to commercial bakeries: they thrive by selling convenience, reliability, and accountability, not just software, making them resilient even as AI lowers coding costs.
- Durable SaaS firms with deep integrations and compliance certifications are secure, while single-feature products vulnerable to AI replication may decline, similar to how homemade bread doesn't threaten industrial baking.
- Future SaaS success will depend on emphasizing convenience and accountability, with pricing shifting to usage-based models, reflecting that people prefer paying for solutions over owning problems.
Samsung chip division's 1-year profit beat past 40 years of profits, combined
20 days ago
- Samsung's chip division is projected to achieve greater operating profit in 2026 than its cumulative profit over the past 40 years in the semiconductor business, driven by increased memory and storage prices.
- Samsung surpassed Nvidia to become the world's most profitable company in the second quarter of 2026, with a 19-fold increase in quarterly operating profit, largely due to AI-driven memory demand.
- The DS division accounted for about 94% of Samsung's total operating profit in the first quarter of 2026, with full-year 2026 operating profit estimated near 300 trillion won ($196 billion).
- Contract prices for DRAM and NAND have risen sharply in 2026, with AI server demand leading to supply shortages and operating margins of 40% to 50% on NAND in the first half.
- Samsung is negotiating further price increases for commodity DRAM in the third quarter and expects tight memory supply to continue through at least 2027.

business

Weekly Links for September 8, 2024

For a Business, Should Making (Extra) Money Be Incidental?

Buffett drops Gates Foundation from his annual donations

The bread paradox: why convenience always wins, and why SaaS isn't doomed

Samsung chip division's 1-year profit beat past 40 years of profits, combined