Metaverse IRL, Bollywood Protein Powder & AI Gadgets That Suck

13 Oct 2023 · 52 min

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My First Million Podcast Episode Notes

Episode Title

Metaverse IRL, Bollywood Protein Powder & AI Gadgets That Suck Episode Number: 507 Hosts: Sam Parr and Shaan Puri Date: [Insert Date] Duration: [Insert Duration]

Overview In this episode, Sam and Shaan discuss emerging trends in technology and business, notably the Metaverse, fitness influencers in India, and the business opportunities arising from these trends. They also touch on current market news and notable company acquisitions.

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Key Topics Discussed

  1. Mark Zuckerberg and the Metaverse
  2. Zuckerberg's Resilience: Discussion on Zuckerberg's journey with the Metaverse, highlighting how he has faced skepticism yet continues to invest in it.
  3. Meta's Recent Developments: Overview of Zuckerberg's appearance on Lex Friedman’s podcast showcasing the evolution of the Metaverse.
  4. Initial demos were criticized for being cartoonish.
  5. Recent advancements showcase more realistic avatars and interaction capabilities.
  6. Future of Work: Prediction that Meta will evolve into a dominant work platform, potentially replacing Zoom.
  1. ZozoFit and 3D Body Scanning
  2. Technology Overview: Discussion on ZozoFit's body-scanning suit designed to provide perfect clothing fits.
  3. Challenges and Critiques: Mention of past failures of similar products and skepticism regarding their practicality.
  4. Potential Advancements: Speculation that future smartphone technology could simplify body scanning for personalized clothing fits.
  1. Rewind Pendant Controversy
  2. Product Introduction: A pendant that records conversations and transcribes them.
  3. Privacy Concerns: Lively debate around the implications of wearing such a device and the oversaturation of tech in personal lives.
  4. Cultural Attitudes toward Privacy: Commentary on society's willingness to trade privacy for convenience.
  1. Emerging Fitness Culture in India
  2. Bollywood Influence: Examination of how Bollywood stars set fitness trends, leading to a nationwide fitness craze.
  3. Business Opportunities: Discussion on the potential for fitness-related products, particularly protein powders, targeting the Indian market.
  4. Social Media's Role: Fitness influencers gaining significant followings and impacting consumer behavior.
  1. Recent Market Movements
  2. Company IPOs: Discussion about Instacart and Klaviyo going public.
  3. Klaviyo’s strong market cap vs. Instacart's lower equity stake for its founder.
  4. Metropolis Parking Acquisition: Overview of Metropolis's $1.5 billion acquisition of SP Plus, focusing on their innovative approach to parking management.
  1. General Insights on Entrepreneurship
  2. Equity Management: Discussion on the importance of cap tables and equity distribution in startups.
  3. Investment Trends: Insights into vertical SaaS companies and the benefits of capitalizing on niche markets.

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Key Takeaways

  • Zuckerberg's Long-term Vision: Despite skepticism, Zuckerberg remains committed to the Metaverse, which is expected to reshape work environments.
  • Fitness Boom in India: The rise of fitness culture driven by Bollywood figures presents lucrative business opportunities in health and wellness products.
  • Privacy vs. Convenience: Consumer comfort with devices that compromise privacy indicates a growing trend towards acceptance of invasive technology.
  • Equity Awareness: Entrepreneurs should be cautious about equity distribution, as it has long-lasting implications on personal and company wealth.

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Links Mentioned

  • [Mark Zuckerberg on Lex Fridman](https://tinyurl.com/2p8r92uy)
  • [ZozoFit](https://zozofit.com/)
  • [Snap Calorie](https://www.snapcalorie.com/)
  • [Rewind Pendant](https://www.rewind.ai/pendant)
  • [Ray-Ban Meta Smart Glasses](https://tinyurl.com/mr77me5d)
  • [Klaviyo](https://www.klaviyo.com/)
  • [Metropolis](https://www.metropolis.io/)

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Conclusion In this episode of *My First Million*, hosts Shaan Puri and Sam Parr delve into the intersection of technology and business, discussing how trends like the Metaverse and fitness culture influence new business opportunities. Their insights underscore the importance of adaptability and foresight in entrepreneurship.

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Transcript

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0:00whenever I hear stuff like this like when people are like you know you know you know money doesn't make you that happy or like you know after this amount doesn't really do anything for you it's like yeah you're probably right but i'm just gonna check yeah i would like to find out i'd like to find out i'm gonna go ahead and test for myself i feel like i can rule the world i know i could be what i want to i put my all in it like no days all right we're live um can i start the podcast doing something that you're going to dislike. Can I complain? I want to complain. Oh, everybody wants that. I'm having a really shitty week and I'm having a horrible day.

0:38So basically like personal life, there's some stuff like we thought the pregnancy was going to be one day or the due date was going to be one day. Now it might be another day. I don't have the supplies I need. So I got to go and buy the crap this weekend that I think I need. I'm really stressed about that. At Hampton, we are dealing with like, we're having to make like policies that I'm not used to having to make like maternity leave and things like that. So those conversations are exhausting to me. And then I got sick this week and I took this medicine that made me bloated. I don't know if you can tell by my face, but I've gained 15 pounds in the last three days.

1:13I feel like you need to poke me with like a needle and I need to like let out air. I feel miserable. All my fitness gains that I've made in three years, it feels completely erased. Rank those from worst to least worst. The bloat is the number one worst thing. It has to be, right? It has to be. But listen, I have the worst thing. Listen to this. You'll find this hilarious. I did David Perel's podcast. He asked me to look at his edits. I log in. Let me read to you the first edit that he made to his editor that I read it. He said, this is a note from David. He goes, hey, can you remove the I love Nazis part?

1:50It's a little distracting. Clean it up. Basically, on the podcast, he was like, what do you like to read lately? I was like, oh, you know, I've been loving like history. I've been loving war. uh in particular i love nazis like i like reading about that and i just log in and i'm like remove the i love nazis part and so anyway i've had a hell of a day dude i feel bad and it's like 11 a.m am i being am i soft right now or should we just pull the plug on everything millionaire has uh gas or whatever by the way really funny we uh we were at a dinner uh with these guys who like these other founder investor type guys and then somebody was like oh do you want this and ben goes no i'm kidding what you don't like this he goes no i just i feel bloated and then the whole table turned and looked at him and we're like are you a pregnant woman why are you saying you feel bloated and i was like i never heard a guy say i feel bloated i'm not saying it doesn't happen but i am saying you should never say it It's just one of the things.

2:55What was your list of drinking from a straw, holding a cup with two hands? Yeah, men don't drink from straws. Men don't hold cups with two hands. Saying bloated is now on that official list of never do it. It makes you look super soft. Men do not drink from straws. Men should never hold mugs or cups with two hands. That's a rule. You don't do that. Another rule that I'm thinking about making is if you get a drink and there's a lid on it, you always take the lid off. and and for sure for sure men do not say bloated yeah uh yeah we could add that to the list all right good good we got that settled um okay so besides your your petty complaints um where do you want to start what do you got so you have facebook are you talking about the uh lex mark interview mark yeah yeah so i see this thing so so lex freeman does this interview with mark Zuckerberg and here's the setup about it like I don't know when Facebook rebranded to meta but I think it was like two years ago or a year and a half ago and um change the name meta people are like okay why and he's like because the metaverse and the metaverse might be get on that bloated list as like words you should just never say it's like if I was like hey guys I'm logging into the information superhighway real quick it's like you know how they used to call the internet that like back in the 90s that's what they called the internet so so you know the metaverse was always this dorky thing and you know the problem with it was like people like oh okay must be is it awesome is there something awesome i don't know about and then they're like so what what is it mark and he's like well it's um digital identities and avatars and and they're like oh we're LARPing now what are we talking about here and so then the demo so Ari can you pull this up pull up the initial demo where he was like the future of work check it out Facebook Horizons or whatever and he pulls up this that's me pull up this goofy avatar of Sam Parr if you're on YouTube you can see it right out so it's this absolute cartoon like the Sims version of Mark Zuckerberg standing in front of a tiny Eiffel Tower, which makes no sense.

5:08And they were like, yeah, like you don't need to do business meetings on Zoom anymore. You could do this. And everyone's like, I'll never do that. And so, you know, it's Facebook's meta stock price tanks. People are like, he's wasting all this money on the metaverse. He's, you know, this guy's clueless and stock tanks. but I always believed as you know we are pro-Zuck on this podcast he's hard to bet against so I start buying the stock I'm like that guy who liked the GameStop stock and he said I like the stock I like the stock by the way did you see the movie that came out or the show that came out about that on Netflix I'm gonna watch it yeah I'm watching it it's pretty good I would say I give it like a it's a solid B plus it's like a for guys like us it's entertaining we're gonna we're gonna make that the official rating of dab we're gonna call it dab decent at best that's our new rating it's dab how is that it's dab yes exactly so so anyways um we like the stock we buy it because we believe that this guy is not going to go all in and lose now fast forward about a year in one year here's what the metaverse looks like now he goes on lex freedom's podcast it looks like him and lex are talking to each other but they're actually whatever thousands of miles apart doing this podcast.

6:23They're wearing the new like quest device or whatever. And check this out. So this is unbelievably realistic. Like it looks identical to their face. The freckles on their nose, the lighting, the mouth movements while they're talking. It's super, super realistic, which is funny because like both of these guys barely move their mouth actually. So it actually looks a little stiff, but it's because Lex Friedman and Mark Zuckerberg are the stiffest guys on the planet. So, you know, the guys who like don't show emotion. So it wasn't really that good of a demo in that sense, but kind of amazing. Now, it had like a black backdrop.

6:59Like there was no they don't have the background stuff built yet. But yeah, so explain how that works. So basically what I'm seeing is Lex and Mark are wearing what looks like an Oculus, but slightly different, but basically an Oculus. And then are there cameras outside of the? That's it. Wow. That's it. So they're wearing this headset. And what happened is they both did this scanning process. So right now it's not like the sustainable thing, but like that, that purple image is the 3d codec scan basically. So they went and got this like scan done, which today is like kind of the manual process to do this.

7:31But in the future, the device itself or your phone will be able to do this scan for you. You'll just, it's like a Xbox has a thing called connect. I think it works the same way where it's basically like you stand in front of it. One time you look to the left, you look to the right, you look up, you say these 10 sentences, you move your hands around and it's like cool i've now recreated you perfectly digitally from now on um and by the way this is going to be like the dmv also because what ends up happening is whatever you look like when you got scanned that's you online now and so like i could be sitting there hair disheveled having shower beard on my face but if my avatar is when i looked my best that's how everybody will see me in my meetings and on the podcast or whatever it's like when you die and go to heaven what do you imagine someone to look like you know like which a which age are they for eternity that's sort of like this you know what i mean i feel like it should be like whatever you remember them by that's what you see and so you know that that'd be that'd be my my hope but so right now they're doing this 3d scan they create this advanced model that's the thing like why is this not released to everybody because they have to figure out how to do that scan just like on a phone uh so that anybody could do it but after that the thing was incredible and i I just think the progress in one year from that cartoon.

8:48It's awesome. Cartoon avatar in front of the Eiffel Tower to this is unbelievable. And now this, when you see this, you're like, oh, okay. Kind of get this metaverse thing. Like, this is cool. Like they were hanging out in a room. They could play ping pong together. They could do an interview together without ever having to travel, without ever having to leave their space. That is pretty impressive. Dude, what do you think about Mark Zuckerberg's patience when everyone was like, nerd? Like, what are you doing, dude? This is the stupidest thing ever. And like, he knew how amazing this was going to be.

9:21I just imagined like the Arthur fist. He just like, quenches his Arthur fist and that's his only like outlet of emotion. And he's like, continue. Nothing changes. Like he just has, he just like walks around with a notebook and like, he'll just like cross a name off a list every once in a while of like, revenge. Haters. Got him. Or you'll just see someone like makes fun of him and goes, high school crush that it's the Winklevoss twins and now the list is just super long. Like someone will like insult him in an interview and be like, hold that thought and pull up his notebook and just see him read a note and he put it down.

9:53He's like, Sean with two A's or... No, no, no. Mark, I like the stock. I like the stock. Dude, he's totally pulled us off. We always have said this but imagine this, like a guy who's been the top of the game since he was 20 years old, married to the same woman the entire time, has a happy family, has hobbies, has never had a major scandal, at least nothing involving his personality. Super ripped. Don't forget. Super ripped, fit, seems pretty nice. This guy's awesome, man. By the way, you just described LeBron James also. Exact description of LeBron James also. They are the same. They both were big shots at the age of 20.

10:31They're both ripped to certain degrees or different degrees. They both have never had major... LeBron's been with his high school girlfriend forever, right? They're married. Savannah, yeah. and he has a bunch of kids and a great family it seems like I saw LeBron at the Wynn Casino one time and I was like LeBron and then I go up to him and I try to dap him up and like his security was they were there but like he was walking so it was like I wasn't bothering him it was clear I was being quick I got off the blackjack table to just do it and when I tell you that my hand was a tiny pebble in this man's giant hand I have never felt so honestly so supported i felt so like taken care of when i just put my hand in this guy's giant mitt it was unbelievable to see a human hand just wrap my whole my whole hand up yeah women aren't the only people who like to be hugged and like everybody needs a big spoon and i found mine all right so have you heard dude wait have you seen this thing zozo fit z-o-z-o-f-i-t oh was this the like motion capture thing it's it's a it's a suit this guy in japan came out with this thing i've been like paying attention to this for 10 years it has never lived up to its hype i've been about this forever but it's a suit that they sent you it's a body suit you put it on and they claim that it like knows all the dimensions of your body and then you could buy clothing that like fits perfectly to it it doesn't work things that sam's been telling me about for seven years denim brett adcock and zozo fit i love zozo fit man i've wanted it to work because i've got huge thighs and a fat ass and so finding pants finding pants for me weird but okay it's just it is what it is well explain this guy so this guy is a japanese billionaire right like he's like a he's a japanese billionaire he came up with like a media company that's originally i think how i found him i think it was a media company and then his new thing was he's gonna to start this clothing company and he's going to mail everyone a zozo suit for free to get a perfect fit right like perfect fitting clothing turns out i think the clothing company like didn't even do that well but people were like yeah can i just get this zozo fit thing and just use it for everything also to like tell me if my muscles are getting bigger or if i'm losing weight like tell me about it all and so he just says all right fine it's a 50 bucks like it's gonna be really cheap and you use your phone it's like um when you see like the lord of the rings movies being made and they're wearing these weird suits with these balls on them it's basically that it's a suit like that by the way and you like somebody should be making this for with just ai now so um you know like calorie counting apps have been around forever yeah you used to have to manually you know you'd be like okay it's lunch and you'd open my fitness pal or whatever and you'd be like i've been using my fitness pal every day for years and you would um you'd be like yeah i had a chicken salad they're like how many ounces of chicken it's like i don't know dude i didn't weigh it uh eight ounces they're like, cool, like light dressing or medium.

13:28And it's like, I don't know. It sounds like a personal question. What are you asking me about? And so you had to manually input all this. Well, now there's these apps like snap calories and stuff like that. You just take a picture of the thing and it's like good enough now where it can actually guess the calories. And I would say like, it's still not all the way there because it doesn't know, let's say like how much oil was used in cooking this, for example, but we're getting to that point where you can just take a picture and it knows the calorie count. Well, I think we're also going to get to the point where if I'm on some e-com site and I'm like, am I a large or a medium?

13:58I don't really know. I'm going to be able to click a button. It's going to turn on my camera and it's just going to scan my body and be like, you're an extra large. I hate to break it to you. And like, you know, that's what's going to happen here. You're six one, like 200 pounds. You don't wear mediums. In the metaverse, I could be any size I want, Sam. All right. I might be a small to medium. I may be a medium. But you get what I'm saying like I think that this is all going to become like oh your phone can just do that now you don't need to wear this haptic bodysuit from Zozo Fit like that's where this is definitely going if I was like a really smart team that was like good with like a computer vision and that sort of thing I would do something like this because it might not even work for the first year but like two years from now it should be able to work really well and then that is a thing you could sell to every e-com site in the world because every e-com site wants lower returns every apparel, every fashion brand wants lower returns.

14:52The way they can do that is by getting the perfect fit for people. Do you want to talk about Rewind or the Klaviyo thing? Yeah, one last thing on the Facebook thing. I think, but here's my random prediction in 10 to 15 years Facebook is going to be, Facebook like Meta is going to own the largest work platform. So I think that they're going to be the Zoom, the whatever because this experience where it looks like you could feel like you're in the same room as a person and you can pull up, you know, PowerPoints together. You can do all that stuff without like video conferencing. I think that's whoever does that right is going to take over the work call space.

15:30And I don't see who could do it better than Facebook at this point because they have such a lead as far as the tech goes. So I think we'll look back, we'll tell our kids, yeah, Facebook back a little used to be about sharing, you know, photos of yourself at parties from college. And they'll be like, what the thing I use for work every day? It's like, yeah, that's the difference. I think 10 years, it's going to be like that. I have some cash sitting around that I was going to use to pay taxes. Should I just... Let Mark hold that for you. Yeah, should beg Zuckerberg keep an eye on my money for me?

16:05You're holding his money. All right, so now rewind. So did you see this thing that came out? It was pretty controversial. There's a guy, or there's two companies that came out with this at the same day. which is, we'll just say rewind because that's like the one I remember the name of. It's this pendant you wear. So it's like a necklace. It's like, you know, the Angelina Jolie necklace where she like was wearing the blood of like a small child in Africa or something. Yeah, I don't know what was going on, but like. It was worse. It was Billy Bob Thornton. What's like the blood? Is the blood of Billy Bob Thornton just like motor oil?

16:42It's just sweat. so so there's this pendant that you wear now that basically i don't know if you saw this but it can while you're wearing it's just going to record everything everything you say everything that's said to you it's going to automatically transcribe that and then save it locally on your phone so that if you're ever wondering like what did that person say or what did my wife ask for groceries or did that person incriminate themselves you can now have that all transcribed and stored for you on your phone and some people are like did that guy reveal where the bodies are we found out if adnan saeed killed that girl or not you know he wore the rewind pendant he was early adopter so there's this so a bunch of people were dunking on him on twitter i think he tweeted out like i don't know 1700 people bought the thing on day one which is not that It's like, you know, maybe that's, what is it,$1 ,700.

17:39It's like$60 a thing,$100 ,000 of revenue on day one of his thing. Not that good. And the tweet that went viral was like, oh, so we're just going to be wearing a wire now? Like, oh, that's what's up? We're just going to walk around. We're going to voluntarily just wear a wire? Great tweet, I got to say. At the same time, the answer is, yeah. Yeah. You know what you also carry around? A GPS tracker with your location at all times. That also has a microphone on it. You know what you also do? You have a camera device on you when you're in the bathroom taking a shit or taking a shower. We already have given up privacy everywhere.

18:21And the line I used in my newsletter, I was like, privacy is like vegetables and we give it up. We will happily give it up for just the promise of a moment of pleasure or convenience. Because that's the junk food. And we just go for the junk food. That's the reality of the situation. Very few people will opt for vegetables when they have the option for junk food. And if this is tech, they can either save you time, give you entertainment, allow you to be lazier in some way. People are going to do that. I remember my family, I had some family members that were like, oh this vaccine is just for bill gates to track us and i'm like hey uncle ron listen he already tracks you like he already knows ron i track you with find my eyes yeah i know where you went all day today you shared your you shared your location with me like yeah like remember that 23 me thing where we sent in our blood like it's already being tracked okay like you're already bill mr gates already has everything he needs so he doesn't need to do this um hey ron you deleted your cookies anytime recently yeah i forgot to delete my cookies yeah so like bill gates he has what he needs uh i will not be wearing this thing rewind i don't wear any wearables because i don't want to be i want to be tracked less and this shit just stresses me out that's surprising to me because i feel like you've done all of the like blood testing, age testing, inject random chemicals that some dude on Reddit said helped him feel stronger, inject that in your butt.

19:58On one hand, you're willing. I'm drug-free at the moment. Well, at the moment is the key phrase there. By the way, it feels way less good. By the way, I hate it. Yeah. It sucks. Why are you resistant to some of these trackers, but then in other cases, you're very into measurement and whatnot? uh one i am kind of like going to the like more pure whereas like less is more i don't want i don't want drugs i don't want my cell phone i like when i go out most of the times i don't bring a phone um so i don't like having my phone on me yeah like when i go out i won't bring a phone i have a tesla so i could use the directions on my uh on my car and so if i got like i went out to eat last night i don't bring a phone what is that weird yeah that's very weird i i don't i i won't bring it so i i just don't what happens if you need to text someone or what happens if somebody calls you what happens if uh you get bored for three seconds and you need entertainment what do you do yeah i i don't i i just don't bring a phone most places i don't bring a phone so like if i'm going out on the day for the day on saturday i won't have my phone with me um okay mister i'm better than everybody so you're saying about mental illness what were you saying no i um yeah so i i just i've gone from like so i used to have a whoop i had an apple watch i the only trackable thing i use is eight sleep and i only use that because it makes my bed cold but i don't even like track any of that so i don't track anything i do do the blood work stuff because that's just a fun hobby but uh i don't yeah my hobby is like pain i like getting poached with needles um but yeah i don't do any of that stuff do you track yourself like do you i i like whoop i just don't want to track any of that shit i don't care i'm not i'm not a huge tracker i actually just bought this Oura ring because I wanted to test my before getting the surgery for my deviated septum and after I wanted to see if my sleep improved or not.

21:51But normally, I'm not a big tracker. But yeah, I do take my phone, please. Yeah, no, I don't track any of that stuff. So I'm not going to be buying this thing. Are you? I'm not going to buy this thing. But I do. If again, it's sort of inevitable. Like I think if you just track forward in the future, we're going to wear a device on us that's a camera and a microphone. And we're just going to like... Which actually brings me to the second Facebook announcement. Did you see the glasses that they had? The new Ray-Ban things? No, but let me pull it up. I had V1 of this. And I've had the spectacles.

22:25I've had this. None of them have quite stuck yet. But it is kind of amazing. It is kind of amazing. The demo is really cool. He's like, watch this. Like I can basically live stream, you know, just hands-free. Like if I'm at something cool or whatever, I want to share this on my Instagram or share this with my friends. I can just push this button on my glasses and it's a camera that's going to capture this. Or if I'm at the park, like this is a big one for me. I'm at the park with my kids. There's so many of these great moments and just literally it sounds stupid. It sounds like petty, but like the time it takes to like get your phone out of your pocket, unlock your phone, get to the camera app and do it.

22:58The moment is gone. and so um i had these things that these ray-bans that facebook made that like you know while i'm working out or while i'm with my kids at the park or whatever i can just quickly just like record anything on the fly and it just grabs the next 15 seconds it saves it to my phone personally and then if i wanted to share that i could um and the video turns out really cool it's like first person view so i definitely am excited about this i think this is another like one of these breakthroughs i'm waiting for i'm actually less interested in the like glasses that like show your email to your eyeballs.

23:30I don't really care so much about that. But a camera that's always on camera, I think is really cool to be able to share cool moments. Of course, there's like the privacy concerns or whatever, but I think it's going to happen. And I think... Is it weird that I trust... I kind of trust Facebook privacy-wise? Is that... Do you? Well, you know what it is? It's kind of like that family member that like actually has like... You know, they've done some shit. But they're like... I've known them for 32 years now. Like, you know, like I guess I just kind of default to them. At the end of the day, if I'm leaving my keys to somebody, it's the one I've known for 30 years.

24:03Even though they've gotten into some sticky spots, I feel like it's a known evil versus an unknown evil in that sense. Yeah, I kind of trust them for some reason. I definitely trust them. By the way, people in the comments are going to hate this because there's still a huge population of people that are like, hate Zuck, hate Facebook, and hate that we say we trust Facebook. That's blasphemous to a lot of people. Anyways, let's move on. I don't care. All right, listen. So here, let me bring up this topic and I want to hear about your experience with this. So two companies went public in the last couple of weeks.

24:35You, probably big fans of both of them. I think you're more fans of one of them. What's it called? Klaviyo? Klaviyo? Klaviyo. Yeah. I don't know how you say it. I call it Klaviyo. I think it's Klaviyo. So Klaviyo, it's sort of like, it does everything. It's email software, but mostly for Shopify folks, right? For e-commerce, yeah. So if you want to send emails, you know, oh, you know, your order is confirmed. or things like after somebody comes to my site and I grab their email address, email them every day until they purchase for the rest of their life. You know, that sort of thing. So they went public.

25:07Let me see what their market cap is today. They went public. Right now their market cap is at eight or nine billion. The founder, when it went public, he owned roughly 40 % of the company still, which is amazing. Another company went public. This guy started, what's the guy's name? Started Instacart, you know? I bet you've had runs with him. Indian guy, Apoorva. I think. He seems like a great guy. Went public. He only owned 10 % of the business. And what's crazy is I tell people that your cap table, I think, is the one thing in your company that is irreversible for mistakes. Besides that, every mistake that you make, most mistakes, not all, most mistakes you can reverse or you can fix.

25:50Cap table, the one thing you can't fix. And what's crazy is when I was starting a few of my companies, I remember wanting to raise money and I'm like, oh, what's 10 % here? What's 10 % there? I'll just make my employee pool. You know what? Most people only make it 10%. We're going to make it 18%. We're going to go big. If we if I if the company succeeds, everyone should succeed. Like, I would do these like I was really loosey goosey with equity. And that's one of those things now where I look at people. It's like when people tell me like, oh, you got to sign this NDA before I tell you my idea.

26:18It's like, oh, that's silly. I'm not that that just shows me proof that you don't know what you're doing. Right. But with equity it's actually one of the very few things that's really really important and so the difference between these two um these two cap tables the difference between 10 and 40 we're talking like five billion dollars um which is yeah but just a huge i don't know if it like how much of that is it's a mistake versus one is a capital intensive startup and one is software that's not as capital intensive? Well, both. I think both. So Instacart is, I guess that would be capital intensive.

26:56Maybe I actually don't know where that would be. Maybe middle ground of capital intensive, whereas Klaviyo, you actually could argue it's also middle because you have to hire lots of engineers, but maybe not. But my point being is, I actually think that people are too willy-nilly with their equity early on. Right. And I made that mistake at my first company. And it's a horrible, horrible mistake. One that you cannot recover from. And there's so many examples. I know a guy who sold this company for$3 billion. Or sorry, for$1 billion. He sold it for$980 million. He made$3 million from it. I swear to God.

27:38It was because he's like, we had four co-founders. We raised a lot of money. I gave so much equity to employees. It was insane. He's like, I lost my share certificates. I just don't know where I put them. What's happening? How is that possible? Have you heard the story of how Instacart got into YC? No. Oh, is that where they went and bought literally every grocery ever at Trader Joe's? No, I think that might be a different story. That's also probably a good one. But basically, the story is like they, I think they were trying to apply late. and basically they were like, you know, we, they were trying to get an introduction.

28:20All the YC partners were like, nah, sorry, it's too late to get this batch. You get in the next one. Gary Tan, who's now the current president of YC, he was like, you know, you could submit a late application, but it'll be nearly impossible to get you in. And they're like, so you're saying there's a chance. They read nearly impossible as possible. Yeah. Right, because technically it's true. and um then they put together the application they get the reply the next day no and so they get rejected he's like okay um he's like how about this and so he goes he opens up his instacar app and he buys a six a six pack of beer and he put sends it to the uh yc headquarters for gary tan and um he tells the driver hey this is important one like text me when you know it's done then Gary Tan calls him and is like, hey, what is this?

29:10And he goes, this is the thing I was applying with. This is Instacart. I just went on my phone and I ordered you groceries. I ordered you a six-pack of beer and one of our delivery guys dropped it off. And it's the same thing that Jesse Hitzer was saying the other day where he was like the difference between a pitch and a presentation, the difference between the paper pitch versus getting someone to feel the experience, it's that same thing. And so Gary then emails the partners and he's like, at that point, I think that they called him back and they're like, hey, I can't believe we're doing this.

29:40We've never let anyone in this late, but if you're interested, we'd like to have you. And for YC, that means YC owns 7 % of this company that ended up being worth$6 billion, that one decision, which is also goes to show the power of brand, right? Like YC was not trying. They weren't, it's not like they hunted down Instacart and had the genius, whatever. It's that the founders wanted that YC stamp, that brand so badly that they were willing to like jump through hoops, push through a no to get to a yes. And YC gets to make hundreds of millions of dollars off of it. That's the power of having a brand that people recognize and care about and feel like is going to help their odds of success.

30:20Yeah, man, those guys have killed it. And then Paul Graham just effed off and lives in England now in the woods, writing poetry and playing Frisbee with his kids. Yeah, he booked the win, which nobody does. He's like, cool, I'm out of the race now. I'm going to go enjoy my life. Not allowed.

30:39All right, let's take a quick break because I got to tell you a story. Let me tell you about the first time I tried to run payroll for my team. I was using a traditional bank, and you know the type. It's got a janky interface. it's built like a 2002 tax form and it was open only during business hours and i hit send and it froze they flagged the transaction they locked my account they put me on hold for 45 minutes and then they told me i got to visit my local branch and that was the day i started looking for a new banking solution after asking a few founders what they were using i found out about mercury and so now my payroll is two clicks i can wire money i can pay invoices i can reimburse the team all from one clean dashboard that's why i use it for all of my companies and so do 200 000 other startup founders.

31:17And so if you're looking to level up your banking, head to mercury.com and apply in minutes. Mercury is a financial technology company, not a bank. Banking services are provided through Choice Financial Group, column N-A, and Evolve Bank & Trust members, FDIC.

31:31Which one do you want to do? Yeah, okay. So I don't even know really why this fascinates me, but it does. So this is a little primer for this. Do you know what the Indian Hollywood is called? Bollywood? Bollywood correct you know that's the hundred dollar question okay here's the two hundred dollar question do you know that do you know that Bollywood is the second biggest like kind of movie industry in the world yes okay good there you go that's a freebie now what you don't know what you probably don't know is that the that Bollywood is the famous people the famous people in Bollywood are like the are the most famous people on earth aren't they it's like George Clooney times 10 yeah exactly so like Shah Rukh Khan or Amitabh Bhushan these guys are like gods meaning if they get the flu or they get sick there's thousands of people standing outside their building with candles like being like take my health uh like you know you can't die and the reason why is that the stars in india it's not like so it's not like george clooney so george clooney will come onto the scene in his 20s but he hasn't really made it yet there's 30s he becomes a star and by his 40s he's kind of on the way out he plays a couple roles of old guys and he's done these guys in india that's like you get picked when you're 20 they're like you're the star and the movie is going to make you look like James Bond.

Read the full transcript

32:44Like you're, you're only cool. Everybody loves you and you're the best. And that's the role. And then people watch that movie. Like this guy's the best. Then that same guy will be the hero in movies for the next 30 to 40 years. Got it. Like he'll be 50 and he'll be like, he's the big man on campus at college. And it's like, what? This guy's 50. And he's playing that role type of thing. And, and like, you know, but the girl in the movie will be in her twenties and he'll be in his forties or fifties. but he's like the hero, the stud. And so... The movies even have intermissions, aren't they? Like three hour long movies?

33:18Yeah, yeah. There's a halftime where you go and like eat. It's pretty great, honestly. That's something that every movie should do. The other thing about movies in India, all music in India comes from the movies. So every movie is a musical. That's weird. And then every song comes from a movie. So there's no like hit song that's not in the movies. It's like all one pie, right? So it's like the center of culture. Okay, so why does that matter? Why am I telling you all about this? Well, because one thing has really changed. And once I realized that, I was like, if that changed, that's going to cause a whole bunch of other changes.

33:53And here's the change. So most of these Indian stars that I'm talking about, when they're in their 20s and their 30s, they look like your boy. Their body was a little round. It was a little soft. It was a normal person's body. and all of a sudden these guys turned 50 and they're now absolutely shredded every jack city jack city every single movie star now like this guy run veer singh so basically they're all jacked and they all went from normal looking people normal humans to 55 year olds with 12 packs and the so if you think about that you're like okay whatever who cares these guys discovered like testosterone and HGH and like dieting and working out.

34:38Cool. But there's like a carry on effect. Again, these guys are gods. They're heroes in India. So now I met up with this. Sony has a cousin who's like in India. This guy's 12 years old. The last time he came to visit America, all he cared about was like video games. Cause he's like, Oh, I love playing video games. Video games are amazing as any 10 year old cares about. And the second thing he cared about was like going to target he's like oh walmart can i go to walmart can i go to target because he had seen like you know mr beast giving away ten thousand dollars at a walmart he's like oh my god i can't wait to go that's my dude revere singh looks like wolverine yeah exactly and if you go look at this guy like five years ago or seven years ago when he's like got his you know 10 years ago when he got his break in movies like did not look anything like this so anyways now the guy came to visit and i was like so like what's your favorite video game now you want to go to Walmart buddy and he's like no you have a gym and I was like yeah but like you're a kid what do you mean and he's like he started going to the gym twice a day at my house and all he wanted to talk about was the gym and I was like huh I was like oh of course like all the movie stars got shredded that became the new male ideal standard and so of course now everybody there is on like a fitness cake, which made me think who's making protein powder in India?

35:56And so I went deep on this and I started looking up. I was like, if fitness is now the thing, if getting shredded is now the thing, the whole supplements and fitness industry that we have here is going to translate over there. It's going to be rebuilt overnight and it's going to be 10 times bigger. And India doesn't seem like a supplement. They don't seem like a supplement culture as of now. Until these guys, if you go look at these guys' Instagram profile. And they're like, this is my favorite peanut butter. I could eat that other peanut butter and get fat. But if I eat this peanut butter, I get fit.

36:28Sure enough, that thing's selling like hotcakes. I ordered some from India. It just arrived in like a giant styrofoam container. And I was like, and so now you see that whole industry blowing up. And I would love to, I'm a little bit far away from it, right? Like I'm not like in the scene. So it's hard for me to participate, but I'm looking, I'm on the hunt for finding the right investment that is in the Indian fitness scene because it is a necessary consequence of the movie stars getting shredded. Anyways, that's my Indian fitness rank. Indian food is, if you had to make a ranking of cuisine.

37:00Of one to diabetes. Of like cuisine that's set up to make you look amazing naked. Indian food would not be at the top of that list. You know, like maybe Mexican food, like avocados, meat, rice. All right, great. You've heard about the Mediterranean diet. You've never heard about the Bollywood diet. Where's like the fried cheese and coconut milk diet? You know what I mean? Like it's not exactly set up to like, you know, like what is it? Naan and ghee. Is that bread and butter, rice, bread and butter and fried cheese? Like it's not it's not entirely set up to make you look good in the nude. So that's good.

37:39The Indians, maybe now they're going to understand macros and they're going to stay in the need for protein. Exactly. And I went and I looked up the Indian fitness influencers on Instagram because I was like, oh, there's going to be fitness influencers. Who are they? These guys have like 12 million, 20 million followers. Whereas like the same person in the US market will have like 800 ,000 to a million or 2 million just because there's so many more people. And people in India are like absolutely addicted to the Facebook ecosystem of apps. Like WhatsApp is everything. The second best thing to WhatsApp, Instagram, you know, like what's behind that?

38:12Facebook. And like, that's just like, that's the internet there, you know? And you know that you've had some success. India has had some success in the Olympics recently. The 4x4, the 4x400 meter dash with India got like second or third at the world championships. The most recent gold medal. Are you joking or is that real? It's real. Because we used to have like an archer or something like that, like a shooter. That was like the only guy who was even close. No, the guy who won the Olympics and the world championships and the javelin, Indian guy. Wow. And he looks great. He looks like you want to look like him.

38:46He's been eating some of that protein peanut butter. No, the Indians are doing good in track and field lately. And by lately, I mean like last year. And it's like the only time an Indian has ever done half decent in track and field. Well, I mean, it's amazing. If you look at soccer, there's like no Indian players. You look at basketball, there's no Indian players. There's like none, zero. It's crazy. I've never seen like a six foot eight Indian. No, they exist. Trust me. A billion people. you're going to love the bell curve when you have a billion people under the area of the bell curve you're going to get people that are tall.

39:19There's one guy actually he's on the King's development team Simbulhari 7 '2 or something like that. I've seen giants from every country. I don't remember seeing a 6 '8 Indian guy with a 35 inch vert. I've never seen that. That I've never seen. Yes, you're correct.

39:38Speaking of Indian things. Our boy Anon from CB Insights by the way, he came on here and we were just talking about CapTable. He's only raised I think $8 or$10 million. There's a rumor. I told him I'm going to talk about this on the pod, but don't tell me anything. I'm just reading this article that I read. There's a rumor that they're about to sell for $800 million. So our guest, Anon, that'd be pretty cool. On the pod, I remember we were like, this thing's got to be worth$300 million,$400 million. and he was like, you know, noncommittal about it, but I think he probably knew it was worth more than that.

40:12In the article, it said they're doing 80 million in revenue. So 10X revenue. 10X revenue. That would be pretty amazing. I mean, I would, I, if I had a bet, I bet he owns half the company. So he would make many hundreds of millions of dollars. Right. That would be huge. And as a reminder, if people didn't see that episode, you should go because he's an idea machine. So the episode we did with Anand is awesome because he has like 50 startup ideas that we went through and reacted to. as well as he tells the story of his father passed away and his father owned a chemical plant in india and he's running cb insights a tech startup in america that's doing well and then he just was like i have to deal with this like my father passed away there's a plant there's like 100 people working there and so he goes to india and he learns how to run this plant while running cb insights and he gives it to the employees i think he stabilizes it gives and then like created like some equity plan or whatever and then and then bounce but really kind of amazing story do you think that life do you think that life for a non let's say he sells let's say that he he lives in new jersey so let's just say that he pays half in taxes let's say that he owns half the company so he makes 400 million dollars let's say that he walks away with 300 million do you think that there's a difference in life from 300 million and 50 million not really i don't think so either I would imagine after 50, it doesn't change.

41:35Instead of rent the jet, what's the difference? What is he going to do? Yeah, I don't think it matters. What I will say is it's all relative to the person. So Mike Dyson found a way to spend$100 million. People can find a way to spend. But then also, Elon took a couple hundred million bucks and used it to fund his own crazy moonshot bets that nobody else would do. So for Elon, the difference between 50 and 250 or whatever million dollars was the difference of tesla and spacex existing versus maybe they wouldn't have um or surviving maybe they wouldn't have because he was able to put the money in so i guess to the right person yes but for 99.9 of people no yeah i don't think it makes any difference i chamath had a good episode on uh on uh all in and he goes after 50 million it made zero difference like i had that i could acquire everything i wanted to at 50 right and anything else he was stakes in basketball teams, but that means zero difference.

42:32That's just like a business expense. Whenever I hear stuff like this, like when people are like, money doesn't make you that happy, or after this amount doesn't really do anything for you, it's like, yeah, you're probably right, but I'm just going to check. Yeah, I would like to find out. I'm going to go ahead and test for myself. Yeah. I think that all the time as well. Ari, we did this episode where someone asked me, what was it like after making a little bit? And I was like, it feels this way and this way, but you should go and figure it out on your own. You should double check my math. Naval had a great thing, because Naval's the wise guy in the tech and business ecosystem.

43:16And you would think that somebody who's so wise and enlightened is going to just be like, you know what? It's not what matters. And he does say it's not the main thing that matters. He's like, you know, the real goal is a strong mind, a strong body and a house full of love. But he's like, you know, nobody wants to hear that. And he goes, the easiest way to escape the rat race is just to win. And then let it, then you can let it go. If that's far easier than trying to convince you not to play. I was like, that is practical wisdom. He's like, it won't make you significantly happier, but you're not going to believe me until you do it yourself.

43:54So go ahead and get after it. Yeah, exactly. I love that practical wisdom. You want to do any more of these? We can do one more. Do you want to do this Metropolis thing or IMG? Well, let's do Metropolis. I don't know too much about this, but I think that it's pretty wild. What did you see? So we both got interested. I did a little bit of research, but basically there's a startup that the founder, he originally had a company called, I think Park Me. And it was just like an app that told you where parking spots were. And he ended up selling it. But it wasn't like a home run of a success. I think they got their money back plus a little bit, something like that.

44:34Then he goes on and he's like, I did this all wrong. I have to think about this as an investor. And we have to acquire parking lots. And we're going to create technology that makes it easy. So you don't need to scan in when you go and pay at a parking lot. We're just going to be able to track your car automatically. He's been doing this for a couple years. And he just bought a parking lot, like a company that owns a bunch of parking lots for$1.1 billion. And I saw that and I was like, all right, what the hell is going on here? Yeah, the same thing caught my eye. The guy made like a, there's like a billion dollar acquisition or something like that.

45:06What I thought was the story is that, so there's this one blueprint of business. That's a very good blueprint. This is the blueprint that Constellation Software uses, which is vertical SaaS. What is vertical SaaS? Vertical SaaS is how, oh, there's a, you know, every golf club in the country needs some golf club booking management system. So people can book their tee times and then they can rent the clubs and then they can, you know, have a membership and whatever. And there's some person out there that made some software, sold it to some golf clubs. And what a company like Constellation will do is they're like, perfect.

45:45because that software is not going to be like, you know, Microsoft is not going to go compete in that market. Facebook and Google are not going to go compete in that market. Honestly, nobody really is going to compete in this market. And if there are, if there is someone, it's kind of so fragmented that as they start to get momentum, they get to one, two,$3 million of annual revenue. We'll just buy them. And then we'll own all of the golf club software systems or start a golf, like golf. What do you call them? Like the members club or whatever, whatever it's called. but basically vertical SaaS software and so same thing for dentists and same thing for whatever industrial rentals or whatever so vertical SaaS has been a very very lucrative play especially if you roll them up have you been to Constellation's website by the way?

46:32they give you like five categories of like businesses they own you click on this one of five and then they give you a list of 10. You click on one of the 10. But they own so many businesses that they're basically linking to other companies that own other companies. Meaning, we own this holding company, which owns holding companies in these five categories. And you have to click through four different websites to actually see the name of a company. So they must own hundreds or even thousands of small software businesses. it has acquired over 500 businesses since being founded um they i think they make offers to like hundreds of soft hundreds of companies every year if not a thousand companies a year or something like that to give an example so jonas jonas is one of these five they have six groups so six groups jonas is one of the groups and it says they do hospitality clubs and resorts spas and fitness construction payments moving and storage you click it it says so you go to jonas software and it says, we're a family of vertical market software companies and then they own 140 just under the Jonas umbrella.

47:45It's crazy, right? In 40 different markets. It's crazy. It's a really wild setup they have. And if you haven't ever gone and read Mark Leonard's letters, definitely worth it. That's like getting an MBA. Go through and read all of his annual letters for the last 25 years or whatever. Very interesting guy. various company. We've talked about Constellation before, but what's interesting is I thought, it seemed like that was the blueprint. You just buy vertical SaaS companies and you roll them up. What this parking guy is doing is basically took the vertical SaaS and then was like, cool, let's just own all the lots too.

48:22Let's make a vertical company that's not just SaaS. It's got SaaS on the top, but underneath it is the real estate and the actual brick and mortar underneath so that we can forget trying to sell our software to these guys and try to convince these old school parking operators that they should use our thing because it's more efficient. We'll just buy it from them in the inefficient state and then use our software to make it more efficient. And so it seems like a pretty big bet if I understood it correctly. But honestly, I didn't do a ton of research. It's just what I understood from the tweet. They paid$1.7 billion for a company that owns parking lots.

49:01Yeah. It's a lot. That's huge right Alright do we want to wrap there Yeah let's wrap it up Alright that's a pot I feel like I can rule the world I know I can be what I want to I put my all in it Like my days off On the road less travel never looking back

49:34All right, this episode is brought to you by Mercury. They are the finance platform of choice for over 200 ,000 companies. Shouldn't be surprised because I use it myself for not one, not two, but I have eight different Mercury accounts. I have seven for different companies that I'm a part of, and then I have my own personal account because now they have personal banking, which is a really cool feature. I highly, highly recommend it. Like I said, I use it myself. And the reason why is because the way that Mercury works is beautiful. It's very intuitive. And you could tell that it's actually made by a startup founder.

50:01It's an entrepreneur. You can tell it's made by somebody who used other banking products in the past and didn't like all the different rough edges and annoyances and decided to actually fix it himself. And really, any type of entrepreneur you are, let's say you're an agency, well, one of the things every agency has to do is be able to send invoices, easily create them, send them to customers, and stay current on your balances with all your customers. Well, you can do that inside Mercury. And so I think that Mercury is great. Highly recommend you check it out. And thank you for sponsoring the show.

50:26For more information, check out Mercury.com. Mercury is a financial technology company, not a bank. Check show notes for details.

From the publisher

Episode 507: Shaan Puri (https://twitter.com/ShaanVP) and Sam Parr (https://twitter.com/theSamParr) talk about Mark Zuckerberg’s sweet revenge on his haters, the inevitability of wearables, and how to cash in on India’s biggest untapped resource: fitness influencers.  

Want to see more MFM? Subscribe to our YouTube channel here.
Want MFM Merch? Check out our store here.
Want to see the best clips from MFM? Subscribe to our clips channel here.
—
Check Out Sam's Stuff:
• Hampton - https://www.joinhampton.com/
• Ideation Bootcamp - https://www.ideationbootcamp.co/
• Copy That - https://copythat.com/

Check Out Shaan's Stuff:
• Try Shepherd Out - https://www.supportshepherd.com/
• Shaan's Personal Assistant System - http://shaanpuri.com/remoteassistant
• Power Writing Course - https://maven.com/generalist/writing
• Small Boy Newsletter - https://smallboy.co/
• Daily Newsletter - https://www.shaanpuri.com/

—
Show Notes:
(0:00) Intro
(3:30) First interview in the Metaverse
(11:30) ZozoFit's 3D body-scanning suit
(16:00) Rewind Pendant backlash
(22:00) Ray-Ban Meta Smart Glasses
(24:00) InstaCart and Klaviyo go public
(28:00) How InstaCart got into YC
(30:00) What's behind India's fitness craze?
(34:00) Business Idea: Protein Powder for Bollywood fans
(39:00) Is CB Insights about to sell for $1b?
(43:00) Parking platform Metropolis buys SP Plus for $1.5b
(45:00) Constellation's vertical SaaS blueprint

—
Links:
• Mark Zuckerberg on Lex Fridman - https://tinyurl.com/2p8r92uy
• ZozoFit - https://zozofit.com/
• Snap Calorie - https://www.snapcalorie.com/
• Rewind Pendant - https://www.rewind.ai/pendant
• Ray-Ban Meta Smart Glasses - https://tinyurl.com/mr77me5d
• Klaviyo - https://www.klaviyo.com/
• Anand Sanwal on MFM - https://tinyurl.com/42wmc7x9
• Metropolis - https://www.metropolis.io/
• Constellation - https://www.csisoftware.com

Past guests on My First Million include Rob Dyrdek, Hasan Minhaj, Balaji Srinivasan, Jake Paul, Dr. Andrew Huberman, Gary Vee, Lance Armstrong, Sophia Amoruso, Ariel Helwani, Ramit Sethi, Stanley Druckenmiller, Peter Diamandis, Dharmesh Shah, Brian Halligan, Marc Lore, Jason Calacanis, Andrew Wilkinson, Julian Shapiro, Kat Cole, Codie Sanchez, Nader Al-Naji, Steph Smith, Trung Phan, Nick Huber, Anthony Pompliano, Ben Askren, Ramon Van Meer, Brianne Kimmel, Andrew Gazdecki, Scott Belsky, Moiz Ali, Dan Held, Elaine Zelby, Michael Saylor, Ryan Begelman, Jack Butcher, Reed Duchscher, Tai Lopez, Harley Finkelstein, Alexa von Tobel, Noah Kagan, Nick Bare, Greg Isenberg, James Altucher, Randy Hetrick and more.
—
Other episodes you might enjoy:
• #224 Rob Dyrdek - How Tracking Every Second of His Life Took Rob Drydek from 0 to $405M in Exits

• #209 Gary Vaynerchuk - Why NFTS Are the Future

• #178 Balaji Srinivasan - Balaji on How to Fix the Media, Cloud Cities & Crypto

• #169 - How One Man Started 5, Billion Dollar Companies, Dan Gilbert's Empire, & Talking With Warren Buffett

• ​​​​#218 - Why You Should Take a Think Week Like Bill Gates

• Dave Portnoy vs The World, Extreme Body Monitoring, The Future of Apparel Retail, "How Much is Anthony Pompliano Worth?", and More

• How Mr Beast Got 100M Views in Less Than 4 Days, The $25M Chrome Extension, and More

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