Scott Galloway · 21:10
At the moon at night and then shits in the well all day long. It's just, do we have a series of people, is the American way, be as rapacious as possible and then try and the ointment is philanthropy. It's really interesting. And to a certain extent, Kara, as I mentioned last week, it was capitalism versus socialism, no joke, week on Fox.
Kara Swisher · 21:34
Oh, really?
Scott Galloway · 21:36
That. Can you believe that? And spoiler alert, I think capitalism's gonna win on Fox. Anyways, and I'm digressing here, but last week I went on Fox and they come on and they introduced me as a socialist. You know what's socialism? Philanthropy is socialism because it's tax deductible. Philanthropy is consumption.
Kara Swisher · 21:52
Didn't know you were a socialist.
Scott Galloway · 21:54
Well, didn't know either, but according to Fox, I am. Anyways, so, but okay, so what is socialist?
Kara Swisher · 22:00
Yeah, what is?
Scott Galloway · 22:01
The tax deductibility of philanthropy is consumption. It should not be tax deductible. Social security in my opinion. I'm on this thing where I have decided where every major economic activity and tax rate, our entire tax system is an economy is designed around one thing and that is to take money from every single cohort whether it's millennials, whether it's African Americans, whether it's women. It's to take every money from every single cohort and transfer it to baby boomers. Mortgage tax deduction, who owns homes? Baby boomers. Capital gains tax deduction, who owns homes? Baby boomers. Artificially suppressing interest rates. Unsustainable social security. Borrowing against the future to pay for these social programs that aren't meant to help the poor but make it such that you can upgrade from a Princess Cruise to a Silver Sea Cruise because you're getting Social Security when you goddamn don't need it. Baby boomers. Literally Tom Brokaw talks about the greatest generation, the greediest generation hands down in the history of mankind, US baby boomers.
Kara Swisher · 23:02
I love a good rant from Scott. Okay Scott what was a win then? What was a win for
Scott Galloway · 23:05
Oh a win. Okay so so it's a little bit old, but both Cheddar and Quartz got sold. One for, I think, 120,000,000.
Kara Swisher · 23:13
One hundred years ago. Right?
Scott Galloway · 23:15
Yeah. It was a while ago. A few weeks in, I guess, the media world. I'm slow. I'm just getting caught up.
Kara Swisher · 23:19
Okay. They got sold.
Scott Galloway · 23:20
By the way, you seen this new show called Cheers? It's so cute. Oh my God. It's so cute. And my latest show, Everyone Loves Raymond. These guys got sold. I like when startups get sold and they do okay and don't necessarily have to be $12,000,000,000 exits. So look, cheers to Cheddar and to Quartz for getting sold. I think it's a good outcome. We've entered an economy where it's either usually you get beamed in the face and go down in a ball of flames or you become a unicorn and worth billions of dollars. I like kind of these, what I'll call these triples. So congrats to both of them.
Kara Swisher · 23:57
Alright, that's a good win. Alright, now fails. I'm going to start with fails. I think this covering up with the John McCain thing. Whatever. It's a it's a yet another story. It's like everyone's like, oh, it's a distraction. I'm like, it's awful.
Scott Galloway · 24:08
Explain to the fans what happened.
Kara Swisher · 24:10
What happened is they... Someone in the White House sent a memo to the military to cover up that John McCain is a is a a is a giant destroyer. I don't know what what kind of boat it is, but it's a big boat, big ship that we... That the the navy has, a navy ship. It's it's for his father, his his grandfather, and him, I think. And so it has his name, and the people who would serve on it have their names on their on their uniforms. And the boat was in Japan where President Trump was visiting. And apparently, someone from the White House said we can't have it seen anywhere Trump is. Like, doesn't want it within his vision or something like that. So they used a tarp at first, and then they gave all the McCain crew members the day off so that you wouldn't... And then they... Some of them tried to get into the event with President Trump and they weren't allowed because they couldn't possibly see the name McCain without going crazy. And so he was denying that he didn't... He never thought it said it was awful for one in this... He never apologized for it. And then he also said, well, the person who did it was well meaning and the fact that these minions would, you know, preemptively deal with their baby Huey tantrum of a boss was astonishing. So I thought it it was was... And then, of course, it got tons of... It was hard to hide. So the the Navy, I was like, social media exists and pictures go viral. You need to... Like, you can't hide this stuff. But the fact that the the media... The the Navy was being pulled into this political ridiculousness was just sad.
Scott Galloway · 25:29
Just sad. Is sad. That is sad. So my fail is
Kara Swisher · 25:33
My dad was in the navy, by the way.
Scott Galloway · 25:35
What does your dad do in the navy? So is mine.
Kara Swisher · 25:37
He was... He's dead, but he was a lieutenant. Oh, I forget. Whatever. He was a doctor. Was He a doctor.
Scott Galloway · 25:42
He's a doctor in the navy.
Kara Swisher · 25:43
Yeah. He was... He... It put him through school. He was... He wasn't... Didn't have a lot of money, and so it put him through college and medical school, and then he served until he he died just after he got out in his thirties... His early thirties. So he was... He loved the Navy. He was... He looked great in the Navy. I just have a lot of regret. I wanted to be in the Navy. But, anyway, it was...
Scott Galloway · 26:00
He wanted to be in the
Kara Swisher · 26:00
Navy. Yes. I Yes.
Scott Galloway · 26:01
Did. And your father passed away in his thirties?
Kara Swisher · 26:03
Yes. He did.
Scott Galloway · 26:04
So a lot to unpack.
Kara Swisher · 26:05
Yes. Thank you. We'll talk about that later over drinks. Anyway Seriously.
Scott Galloway · 26:08
So my father was in the Royal Navy. He was a frogman.
Kara Swisher · 26:11
Really? Yeah. Wait. Are you English?
Scott Galloway · 26:14
Yeah. Well, I used to be a dual citizen, which explains my incredible wit and humor And and terrible design taste and lack of cooking skills. But anyways, yeah, my... Both my parents are British. You know, you need to invest more in our relationship. I can't believe you didn't know that.
Kara Swisher · 26:30
You know what? We're going out next week. We're gonna talk about all this.
Scott Galloway · 26:32
You always say that. You always say you're taking me out, and you never do.
Kara Swisher · 26:36
I'm going I'm going to
Scott Galloway · 26:37
your book
Kara Swisher · 26:38
party. I'm going to... I hate book parties. I'm going to your book party. I am
Scott Galloway · 26:41
Oh, it's gonna be awesome.
Kara Swisher · 26:42
I'm going to... I'm gonna have to stay in New York longer to go to your book party. Yeah.
Scott Galloway · 26:46
I appreciate it.
Kara Swisher · 26:46
In the corner.
Scott Galloway · 26:47
I will Literally dozens and dozens of my fans
Kara Swisher · 26:50
are showing up. Wins, and then you can do your fail. Yeah. Scott's book is what? It's number 13 on the Apple bestsellers list? That's great.
Scott Galloway · 26:57
Not number 14.
Kara Swisher · 26:57
Not number 14. Lucky 13.
Scott Galloway · 27:00
I'm... Talk about a week
Kara Swisher · 27:02
of happiness. It is not the calculus of happiness. Is the trigonometry of happiness. Those are the simplest
Scott Galloway · 27:08
people, like, roll through the door and say to the kids, the big dog's number 13 today. I'm number 13. Oh, man. I'm number 13. That's like that's like typically to get to get... Know, when I'm about to have sex, know. Know. You hate to talk about this. You know what I yell out to put my partner in the mood? You know what I yell out? It's time to pay the rent.
Kara Swisher · 27:29
Alright now.
Scott Galloway · 27:30
Just to get everyone in the mood. Scott. Yeah. Scott. Yeah. What's your fail?
Kara Swisher · 27:34
This is your fail this week, but what is your other fail?
Scott Galloway · 27:37
My other fail. Number 13. Hearing you say that, it's like, that's what I have in my life. I'm number 13. And by the way, you know these bestseller lists? Subdivide it so many ways. Yeah. It's like hardcover non fiction from an angry professor who eats a chipotle, and I'm number 13. Anyways, my fail is the Ark Fund. This is... My new whipping boy, of course, is WeWork. Mhmm. They've raised $2,700,000,000.
Kara Swisher · 28:01
Yes.
Scott Galloway · 28:01
You know, and about 4,500,000,000 of that is Saudi money, by the way.
Kara Swisher · 28:04
Oh, great.
Scott Galloway · 28:05
So suck banks vision fund.
Kara Swisher · 28:06
Couldn't happen at nicer people.
Scott Galloway · 28:08
They're now buying the building that they rent the floor in. So they've started an investment fund and it's really unusual. Fascinated by the WeWork model because most hedge funds go out of business because they invest long, they invest in assets that are illiquid and then they borrow short and that is their investors can pull out their money anytime and then they end up in a mismatch. And that's what's gonna happen with WeWork and that's my prediction here is that they sign ten year leases and they try and arb it with short term rental rates that are greater, similar to what you do in a hotel room where three sixty five days of a hotel room, and I'm parroting the article in Recode, is greater than the cost to rent a similar apartment. But what happens when, through a recession, when people stop renting or going into these things and they look at this horrific balance sheet, this company could literally
Kara Swisher · 29:02
hide an eye.
Scott Galloway · 29:04
It's gonna be ugly. And then the other thing that happened, last week when we talked about our pretty big prediction about Tesla coming undone, I usually, whenever I mention Tesla, the fanboys come Oh, man.
Kara Swisher · 29:17
I'm adjacent to you. It's You're
Scott Galloway · 29:20
so angry at you. And people are so passionate about this company. And this was the first time where I was critical of Tesla, and the majority of the comments were, no, the stock isn't going below $100. Company's not gonna get sold, which is the prediction.
Kara Swisher · 29:32
Yeah. That was a lot of discussion. Yeah.
Scott Galloway · 29:34
They said... A lot of people wrote me very thorough articles saying, this company's going bankrupt because it's got $11,000,000,000 in debt. And when you add in the liabilities around the warranties, that this company, if it gets into a death spiral, won't be worth the debt and it'll come out of a pre pack bankruptcy which Such I thought good
Kara Swisher · 29:52
car. Such a
Scott Galloway · 29:52
good car. It is a great car.
Kara Swisher · 29:54
It's really interesting. So you think it's going to go bankrupt that is your this week's...
Scott Galloway · 29:57
No I don't know. You know what I still know I think there's real value here. I think even with $11,000,000,000 in debt, it's... There's tremendous value. And I also want to acknowledge Tesla has been good for the world. It's sort of... He's checked that box. It's it's been a great thing for the world. But I just think economically, at the end of the day they bend metal, terrible industry to be in, very hard for an independent player. It's like single title publishing. You can have an amazing magazine. You can be whatever it is. Vanity fear couldn't survive on its own right now. It just doesn't work. The industry dynamics don't work, and it's the same industry dynamics here. And I think you're going see the Germans catch up in a big way. But my point is I got a lot of really thoughtful feedback from people talking about the balance sheet. Thank you.
Kara Swisher · 30:38
Did Elon call you?
Scott Galloway · 30:40
I have not heard from the big E. And something tells me I'm not going to.
Kara Swisher · 30:43
I might. I don't know. Haven't looked at my email.
Scott Galloway · 30:45
Yeah. Yeah, you know him.
Kara Swisher · 30:47
I do.
Scott Galloway · 30:47
What's he... I don't
Kara Swisher · 30:48
know. Don't. What's he looking? He's fascinating.
Scott Galloway · 30:49
Although, you know who
Kara Swisher · 30:50
I want to roll Tesla. And by the way, does think this is a... He thinks the survival... I did a good podcast with him, but I've talked to him about this a lot. The survival of companies like Tesla. He says Tesla in particular is critical to the planet. I think he has a... I mean, people have all kinds of opinions about him, but I do think he really is... You know, it is linked in with climate change, it's linked in with a lot of things. So whatever you think of him, think
Scott Galloway · 31:10
New he's done something significant segment on the show Kara before we go and it's called Who Scott Wants to Roll With. And that is I mentioned no joke about six months on this podcast that I wanted to roll with the CEO of a big tech company in Coachella And they called my bluff and they said, you know, so and so wants to meet you in Coachella. And I freaked out. I just couldn't handle the pressure.
Kara Swisher · 31:31
Who is it?
Scott Galloway · 31:31
I'm not gonna tell you. Alright. I just freaked out. But so I gotta aim lower. So the guy I wanna roll with, and if he's out there and if anybody knows him, I'm gonna take him out in New York. I think he and I would just slay in New York.
Kara Swisher · 31:44
Who is this?
Scott Galloway · 31:45
I don't even know his names. Gary from Veep. I wanna roll with that guy.
Kara Swisher · 31:49
Oh, I know him.
Scott Galloway · 31:50
I think that guy is one of the best actors. He was also in arrested development. That guy Which was very what's the word, Kara?
Kara Swisher · 31:56
He's in the commercial
Scott Galloway · 31:57
gangster. That guy is, like, gangster.
Kara Swisher · 31:59
The guy who let... He's an... He's a longtime actor.
Scott Galloway · 32:03
He's fantastic.
Kara Swisher · 32:04
He was on one of my
Scott Galloway · 32:05
I think Him and Me and La Skeena, a few Don Julio's on the rocks and everything.
Kara Swisher · 32:10
And Lizzo, right on.
Scott Galloway · 32:12
That's Gary. And who's that? Oh, that's that ugly angry professor.
Kara Swisher · 32:15
Boom. It's the happiness. People
Scott Galloway · 32:17
are gonna buy us.
— Predictions segment begins —
Kara Swisher · 32:19
Predictions is this is not gonna happen. That's my prediction. So go ahead. What is your your your prediction? So you you were into power couples. I assume you heard this. Stewart Butterfield of Slack and Jen Rubio, the co founder of Away, are getting married. I wrote him a lovely note about it. It was... Woah. Woah. Woah. Hold on. What? Yes. Stewart and Jen, they're getting getting married. Getting married. They did a whole thing.
Scott Galloway · 32:38
Wait. Hold on. The CEO of Slack and the CEO of Away are getting married? Yeah. Oh, god. That's awful. Why? Jesus Christ.
Kara Swisher · 32:45
Why? They're lovely people.
Scott Galloway · 32:47
Oh my God. I don't know them and I hope it just didn't... I hope
Kara Swisher · 32:50
it just go wrong. No, it's not. They're lovely people.
Scott Galloway · 32:53
I'm not... People that successful should not have children.
Kara Swisher · 32:55
In any case, that's what's...
Scott Galloway · 32:56
That's awful.
Kara Swisher · 32:57
Yeah. Yeah. That's what told you. The finer people just procreate what Alright. We What's your prediction? The prediction is
Scott Galloway · 33:04
What's my prediction?
Kara Swisher · 33:05
Envy with a side of bitter.
Scott Galloway · 33:06
So my prediction is a breakout show and this is a this is... You know, I love television. I have a new breakout show.
Kara Swisher · 33:12
Okay.
Scott Galloway · 33:14
I spotted Killing Eve. I said Killing Eve was gonna be huge. It's... The next big thing is this amazing show called Fleabag.
Kara Swisher · 33:21
Oh, right. You love that show.
Scott Galloway · 33:23
It's a great show. Okay. Next big thing.
Kara Swisher · 33:24
Alright. Fleabag. You like Killing Eve? It turns out they're lesbians. Right? That's all things. Whatever.
Scott Galloway · 33:29
I... You say that like it's a bad thing.
Kara Swisher · 33:31
It's not. I'm just saying I knew that everyone knew where that was
Scott Galloway · 33:34
going. Everyone knew where that was going. Totally into lesbians. You know what kind of guy... You know what kind of person is really into lesbians? Lesbians. Men. Men. I got a lot of questions, Kara. That's an entirely different show, but I got a lot of questions.
Kara Swisher · 33:49
Yes. You're gonna meet my lovely girlfriend this this this... At your book party and bring her. You have to bring her. You are? Yes. I'm gonna bring her.
Scott Galloway · 33:55
You're gonna be really nice. I I met her at South by
Kara Swisher · 33:56
Southwest today. Yes. I think so. And you're gonna meet her again, and you'll see. Yeah.
Scott Galloway · 34:00
She seemed very nice. She's
Kara Swisher · 34:01
lovely. So I... You you can talk to her about lesbianism if you want, if if you feel like.
Scott Galloway · 34:04
I'm in. I got a lot of questions. Alright. Few drinks, open bar. This could get interesting.
Kara Swisher · 34:09
No answers for you, just so
Scott Galloway · 34:10
you This could
Kara Swisher · 34:11
get interesting. It doesn't get interesting. It gets dull to lesbians because they have to endure it so much. Anyhow, we'll try our hardest to try to talk to you.
Scott Galloway · 34:19
Cinemax has taught me different. Oh my god. Cinemax makes it seem very interesting.
Kara Swisher · 34:23
Go to a good place, you go to a bad place. It's just like Can't help it. Super. I am who I am. Okay. Alright.
Scott Galloway · 34:28
Love me. Don't judge me, Kara.
Kara Swisher · 34:29
We're gonna go now.
Scott Galloway · 34:31
Alright. Have a great week. Have fun at your your son's poetry reading.
Kara Swisher · 34:35
Poetry reading, and then my son's going to prom... My other one's going to prom next week. There's all kinds of end of school Yeah. So it's very exciting.
Scott Galloway · 34:41
Just talk me about prom. Did he have a date? Do they
Kara Swisher · 34:44
take dates till the prom? Presentation. We had to practice that. I've been deep into end of school stuff.
Scott Galloway · 34:49
Does he have a day for prom or do they
Kara Swisher · 34:50
not do that? Course, he does. They have a bus. They have a bus that goes, and we have picture taking a bus, and they stay over one of the parents' houses, and they all stay together, which just seems
Scott Galloway · 34:59
That's nice.
Kara Swisher · 34:59
So they don't drive and drink or whatever the heck they do. Anyway, he's very excited. Has a beautiful jacket. And I got my other son a beautiful jacket for his eighth grade graduation. So I am deep into moments with my sons. Anyway
Scott Galloway · 35:11
These are the moments. These are the moments.
Kara Swisher · 35:13
The days of
Scott Galloway · 35:13
our lives. Sarah.
Kara Swisher · 35:15
Good morning yesterday. We're still a slipped away. I'm doing a a Kodak commercial that I love.
Scott Galloway · 35:20
We're still a grand of sound on the blink and the cosmic universe, but this blink matters. Prom matters, Garrett.
Kara Swisher · 35:25
Alright. I'll make sure I take a lot of pictures for you. Anyway, Camila Salazar directed Pivot this week. She's new to us. Welcome, Camila. Nishat Kerwa is the show's executive producer. Thanks also to Eric Johnson. Thanks for listening to Pivot from Vox Media. We'll be back next week for another breakdown of all things tech and business. Please write to us on Twitter. Scott loves it. You do. Anyway, Scott, thank you so much for coming, and I'll see you next week. I'm very excited for
Scott Galloway · 35:50
for our lunch and your party, and I promise I
Kara Swisher · 35:52
will wear clothes and everything. It'll be great.
— Predictions segment ends —
