How Meta Could Quietly Win The AI Race

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22:38We're back with Profit Markets. While the race between Anthropic and OpenAI is capturing most of the headlines, another company has been quietly building a serious AI product, and that company is Meta. Meta's new app is called Meta Muse. It is designed to handle everyday tasks for you, from making dinner reservations and scheduling doctor's appointments to filling out forms and more. And it is gaining traction. The app is already getting more daily downloads in the US than Threads, WhatsApp, and Facebook. So while Meta has largely stayed out of the spotlight in the debate over the potential risks of AI.

23:12The company is making plenty of progress in another part of the AI race. So Scott, let's talk about this new AI product, MetaMuse. Mog Zuckerberg described the product. He posted this all over social media the other day. Here's what he said.

23:29Scott Galloway:Muse doesn't just answer questions. It gets things done for you. I use mine to organize projects with my kids, like ordering ingredients so I can bake with my youngest daughter or getting permits so I can climb mountains with my oldest daughter. I use it to monitor my MMA training and health and to help me find talented researchers and people that I want to meet. So it's a pretty consumer-facing AI app. We have been playing around with it. It can do all of kind of the grunt work in your day-to-day life. And the stock jumped over 6 % when it was released. People aren't really talking about it that much right now, I think, because the conversation has been so dominated by this idea that civilization is going to end as a result of AI.

24:11But I'm actually quite bullish on this product, but let's get your reactions.

24:17Scott Galloway:So first off, you know the difference between Mark Zuckerberg and my neighbor, Steve. What's that? Steve's not a c***. Too much? I saw it coming. Too much, Ed? I'm sure Claire will edit that out. I have never met or never observed more of a sociopath. I don't think Mark Zuckerberg is evil. I don't think he's a psychopath. I think he's arguably the most brilliant businessman of your generation. Actually, he's older than you. He's not my generation. I just think the guy understands his asset, and that is he sits on first-party data, more first-party data of any organization in the world. And I predicted in 2025 that Meta would be the most important AI company of 2025.

25:05Scott Galloway:And as I often am, I'm directionally correct, but I got the timing wrong. Nine out of 10 internet users, excluding China, are active on meta platforms. They have a massive user base, which means, I mean, the primary inputs here are compute and training data. They can buy the compute, but they have a monstrous lead in training data. And I've been looking at Aura for their upcoming IPO. There are a handful of companies that have tens or hundreds of millions of first-party data consumer interface with consumer. There's always someone in between, right, who is controlling or in between you and the data set.

25:49Scott Galloway:The largest first-party data miner in history, some people would say a strip miner, is meta. It just makes sense that they would be in this. They have 4 billion monthly active users. And since the release of this, September the 8th, they've added 150 billion in market cap and the stock's up more than 10 % while the S &P is down 2%. You just, anytime Mark Zuckerberg does something, you have to take it seriously. And he had, he didn't stub his toe. He kind of fell flat on his face with a mixed reality headset. But on the whole, everybody strikes out. So you would argue the meta Muse, what I've said for a long time is you want to build a trillion dollar company, you have to do one thing.

26:32Scott Galloway:You have to build a time machine. And that is you have to give people time back. And when you download Muse, you log in using your Instagram or Facebook or WhatsApp. So it immediately knows you. So it's already benefiting from the first party data that another company would take years to build. It knows where you like to eat, who your friends are, where you live. And it's also taking AI from defense to offense in the sense that it doesn't wait for you to tell it what to do. It takes about basically three clicks from the download to the ideas tab where it begins telling you how it can help. So, for example, it will proactively find and cancel random subscriptions you forgot about.

27:17Scott Galloway:It will turn your inbox into a daily schedule. It will track travel fares. It can even make calls on your behalf. So when you think about all the drama and the AI doomerism coming out of Anthropic, it's kind of opened a pretty big void for these guys. And we're all seeing that a lot of people are actually souring on Anthropic right now. Ramp had data. They showed that Astra is taking 13 % of enterprise AI spend versus Fable, which is obviously Anthropic's product, at 8%. So it's interesting to see that, that Anthropic might actually be falling behind right now. It would just be so scary and ironic in such a business case if Meta ended up being the frontier LLM that figures out a way to capture the most shareholder value.

28:01Scott Galloway:Anyway, it feels like, I mean, just to his credit, Mark Zuckerberg is just a brilliant business person and more first party data, I think, than any organization in history. I don't think it's significant because remember several months ago when it was revealed that Meta was considering selling its compute versus using it to build its own AI products. And we were wondering if that basically meant that they were just giving up on any form of consumer facing AI because it was too difficult. Which, by the way, given the information that we had, I think was a reasonable assumption. But this is now our evidence.

28:36Actually, no, they haven't given up. They are actually investing quite heavily into a consumer facing AI product. and to your point about how people are kind of getting annoyed with Anthropic and they're getting annoyed by OpenAI and with good reason because of all of this doomerism and all of these constant posts and all this public drama over whether these products are going to destroy civilization. And this matters when you're dealing with a consumer-facing product. Consumers need to like you. It actually is important. I'm not saying everyone loves Meta. I think Meta still has significant PR issues.

29:10but to Zuckerberg's credit this was a pretty non-annoying release and I'll just read you what he said when he shipped Muse he said quote we didn't call for everyone else to do this before we would we just did it as part of our day-to-day work because it was clearly the right thing for people and for us they basically delayed shipping this thing for several months because they wanted to make sure that it was safe and that it was secure and then it worked and then once they had done all of that homework and they'd figured out their product then they released it as opposed to the alternative which is before you release your product you go out to the world and you go on all of these news platforms and you say this product is going to shake the world as we know it this is going to be the worst thing that happens if we don't figure out how to get things under control and and then they release these products and it's like okay now the product is out there they said this about so many iterations of chat gpt every time there's all of this sort of scary doomerism about what it might do and then suddenly they release the product and it's like we're fine so that i can respect about how they are handling the release of this product and then i think it's honestly just a really good product i've been playing around with it a little bit and i want to point out something that uh a test that our research assistant dan shallon conducted and and this is what we're calling the dinner test basically Dan submitted a prompt to four of the main AI agents.

30:38So Muse, Claude, ChatGPT, and Google Gemini. And the prompt was the following. I'll read the quote. Find and book a dinner reservation for two people this Saturday between 6.30 and 8.30 in Williamsburg. It should be a sit-down restaurant with a rating of at least 4.3 stars. That was the prompt. Same across every single platform. So with Claude, he asked Claude to do this. Claude then asked to connect to OpenTable, which then Dan had to go and set up. Then it picked a restaurant. Then it presented some options. And then eventually it said, actually, I couldn't make the final reservation. So Claude failed at doing this dinner test.

31:14ChagyBT, similar thing. Asked to connect to OpenTable, picked a restaurant, offered some times. And then after a back and forth said, actually, I can't complete the reservation. It failed. Gemini presented Dan with some restaurants. Asked if Dan wanted to make the reservation. Dan confirmed. Then it asked to confirm that reservation. Dan confirmed again. Then it asked to confirm again. There was another confirmation. And then finally, it made the reservation. It passed the test, but with a lot of extra steps and a lot of annoying confirmations. Finally, Meta's muse. Meta finds the restaurant, asks for an email and a phone number, confirms the information is correct.

31:49And then immediately, Dan gets a message that the reservation is booked at a restaurant that he actually likes. So the whole thing was done in less than a minute, and it passed with flying colors. So I think what we're dealing with here is an AI product that is actually relevant to everyday problems, that isn't trying to create poetry or trying to solve mathematics equations, something that basically does the boring stuff, books a dinner reservation, books a doctor's appointment, sends emails, does the thing that you don't want to be doing with your time, and it is purpose-built for specifically that function.

32:26And for that reason, I think it's probably going to be a pretty popular product. As much as Mark Zuckerberg sucks as a person, I think what he's done here is actually kind of on the money when it comes to AI.

32:39Scott Galloway:Yeah, the most powerful practical use of AI that I've encountered is I gave it permission to look at my Gmail. And with Cloud Cowork, I can say, I hear about a company and they go, I invested in that company in 2019. And I'll say, how many shares do I own? and what are they worth? And it will go into my email, find the document, say you own this many shares, then it will go out to the web and say the most recent secondary trade was at this valuation. Scott, you've lost 70 % of your capital. Should we, or you're 70 % down, literally did this last night. But then it'll say, should we reach out to, and it'll name my tax advisor, should we reach out to them about taking loss?

33:24Scott Galloway:And that's really powerful. So it's the biggest unlock for me with Anthropic was enabling it to understand more about me by giving it permission to go into my email. This starts at letter V because it already knows your relationship. It's turning chicken shit into chicken salad. And that is Meta has been molesting your privacy for 10 years. But it has all this information. It knows where you like to go. It knows where you like to stay. It knows who your friends are. It knows what you do all day. And it can start saying, oh, Scott, we see that you like to travel to London on a Thursday night. And this is typically according to your patterns when you usually go.

34:04Scott Galloway:Should we start looking at airfare? I mean, just it can start playing offense with a level of certainty. And also the AI models are just so I think their management teams are so freaked out and trying to feel around the room for what types of privacy they can violate. No one violates privacy like Meta. And as much of a fight as we all put up about it, we don't actually fight. This is the thing. Like, you might say, oh, like, trust Meta to handle your privacy. No one's going to go for that. It's like four billion people do it every single day. Because literally, as you said, nine out of ten internet users across the world are using Meta products.

34:42So you're letting them invade your privacy already. And the question is, if you want to use an AI product, are you down to continue to let them invade your privacy? And I think the answer for most people is yes. It's that versus giving up your data to a new company who you don't know and then taking a leap of faith and hoping that they will use your data responsibly. But ultimately, I just don't think consumers are going to care that much because they use Instagram, they use Facebook, they use Threads, they use WhatsApp, they use all of these apps all of the time. We love to say that meta sucks and it does suck for a lot of reasons.

35:19We've seen that in the lawsuits, but we still use their products. because their products are quite frankly useful and entertaining in a lot of different dimensions. I think this will probably be the same.

35:29Scott Galloway:There's a tension between privacy and utility, right? Yeah. And Washington claims that we're all in Brussels and young people on social media, you know, complain, we're really concerned with our privacy. And then everybody tells Uber where they're going at all times. And then people publicly say, this is where I am and who I'm with and what I'm doing 10 times a day on Meta. But, oh, we need privacy regulation. Well, you're... What about your actions communicate that you're interested in privacy? I'm watching a 30-second movie of you in your bedroom trying on your clothes and you telling me what mouthwash you use and what you did or did not like about your second date last night and his name and when...

36:17Scott Galloway:I mean, oh, but you're concerned about your privacy? So, Matt has just sort of nodded and said, yeah, no, you're concerned about your privacy. Yeah, now we're going to serve you the exact right ad for a trip to Mykonos because you went this time last year. It's the mother of all consumer dissonance, which is a fancy term for people are full of shit and say one thing and their behavior connotes something entirely differently. And Matt figured this out a long time ago. They're like, okay, until we get sued, and not only that, we can delay and obfuscate, and even if they find that, okay, us using data about a 16-year-old's insecurities and then using those insecurities to start feeding her content that keeps her glued to her phone about normalizing being 5 '8", 90 pounds, okay, that's wrong.

37:10Scott Galloway:but as long as we can can sell more nissan ads we'll continue to do it finally some regulator will get outraged and then maybe we pay a few million dollars they're just like honey badger don't give a shit so they this could be this could be apple and the ipod or apple and the iphone they're never first but they come in and they they enhance something and they give it with a trusted organization where they already have interface and they capture the majority of shareholder value. I would be very, I have never seen$2 trillion plus companies, Anthropic and OpenAI, more fragile right now. I think there's a fairly - People hate them.

37:51Scott Galloway:Well, I think they could be down 70 % in value within 12 months. If all of a sudden traffic lights start going crazy and it ends up that this ant infestation of bots from OpenAI started coordinating and speaking to each other and someone instructed them to start fucking with the traffic lights and figure out and talk to each other and figure out a way to start misaligning the lights at Broadway and Houston. And there was some car crashes and someone got killed or run over. I think you might see some nation states just say, sorry, no frontier labs from America allowed. Yeah. Who are they going to blame if that happens?

38:34Are they going to blame Mark Zuckerberg and Meta, who have made it their goal not to advance the frontier of AI, but to help people make dinner reservations and doctor's appointments? And he's literally said this, like he's not trying to level up humanity and turn us into some transhuman AI digital race. So whatever it is that these guys are arguing for, and it's getting increasingly insane. I mean, he's literally just trying to sell more ads. And he's laid out the plan now, how they're going to make money off of this. And the plan is to basically just take a small cut of all the transactions that take place on Muse.

39:12Like, that's the plan. He's kind of going after, in a lot of ways, a smaller fish, which I think ultimately will be a bigger fish. Because these guys keep talking about how they want to merge with AI, merge with robots. And I just don't think that it's something that anyone is actually interested in. Um, and I think if anything goes wrong, I think the person that, I think the first person people blame is Sam Altman in OpenAI. And at this point, the second person people blame would be Dario Amadei. I think that a lot of people are upset with them, but Zuckerberg's just kind of, he, he's perceived to be on the sidelines here.

39:49And then you look at the product, actually, he's building exactly what I think people want from AI. And more importantly, he's doing it cheaply because he's leveraging open source. And that's why he's offering this thing for free. That's also why the model itself is the cheapest of any of the American LLMs. So I just, I think he's going about this the right way when I look at everything that he's doing.

40:13Scott Galloway:I predicted that the market would be disrupted by cheap open weight models from China. And I may have gotten wrong. It might be the cheap open weight model from Meta. And what's weird is what benefits matter right now is zuckerberg is the devil we know it's just strange but people are sort of used to bad behavior from mark zuckerberg they're used to they're used to the sociopathy yeah but for but people have said well we figured out a way to mostly live with it for the last 20 years whereas it just feels like daario amade might he be might he be the nice guy you know that ends up being a very, you know, congenial after the fact goring.

40:55Scott Galloway:I mean, we just don't know this. Again, Meta and Zuck feel like the devil we know here. And it's weird, but that is a huge advantage. It's an advantage. It's actually a differentiator. Just as we wrap up here, just checking in on the markets. So Meta has been the top performer in the MAG-7 over the past month, up 14%. As you mentioned, they've added$170 billion in market cap since Metamuse was released. But it is still cheap compared to the rest of big tech. So just looking at the PE multiples across big tech, Microsoft, when you adjust for their private investments, which we have to keep on making this stupid adjustment.

41:37So we did that. The PE is around 28. For Alphabet, similar thing. We had to adjust for their private investments. We've talked about that before. 32. Amazon adjusted. 32. Apple, 38 times earnings. I'm just still blown away by how expensive Apple stock is right now. I still don't think it's anywhere close to a buy. I think it's a sell, actually. Compare it to Meta, trading at 25 times earnings, below the S &P average. As I said earlier on, I bought in June, $564 a share. I'm up around 20%. And I'm pretty sick of people saying that I am a perma bear. I think it's pretty clear that I've had multiple bullish picks, including Meta and Microsoft and Salesforce and ServiceNow, which are all up more than 20 % at this point.

42:27But I still think it has room to run because it's cheap. And I think that this, I mean, we'll see with this product, but I think it's actually quite compelling as much as I dislike Mark Zuckerberg as a person. We'll be right back. And for even more markets content, sign up for our newsletter at ProfGMarkets.com.

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44:09Scott Galloway:Visible puts unlimited 5G data and hotspot in the palm of your hand. Powered by Verizon's 5G network, with no contract holding you back. And for a limited time, you can get Visible for just$19 a month for 12 months when you use promo code SAVE6. All the features of big wireless service for half the cost. Tap the banner to switch today. Terms apply. Standard rate applies at month 13. See visible.com for plan features and network management details. So like any good millennial, I have a love-hate relationship with Gen Z. It's the phenomenon rattling millennials. They just look at you. They want something bigger themselves.

44:49Lifestyle is a priority. Motivation is being inspired. But regardless of how you feel about Gen Z, it's undeniable that they're changing national politics.

44:59Scott Galloway:Generation Z is increasingly showing less loyalty to traditional political parties, many now more likely to identify as independent. So what is going on with the kids? I think the biggest misconception about Gen Z's politics right now is that all of a sudden they're all socialists. That is just not the case. They are embracing candidates who are offering new, bold ideas in the absence of those ideas from establishment Democrats. This week on America Actually, Gen Z researcher Rachel Jamfaza joins us to separate Gen Z fact versus fiction. It's not rocket science. And this is, you know, I keep saying like young voters aren't that complicated after all.

45:35Scott Galloway:It's pretty simple. Catch us every Saturday on YouTube or wherever you get your podcasts.

45:46We're back with Prof G Markets. The European Union just invited Canada to become its first associate member. The proposal came from European Commission President Ursula von der Leyen during her State of the Union address. It's still unclear exactly what associate membership would mean for Canada. But President Trump said the move is a, quote, hostile act and threatened the EU with additional tariffs. So, Scott, let's first take a look at von der Leyen's comments, this union between Canada and the European Union. Canada might be the first associate member. Never happened before. Here's what she said.

46:24Scott Galloway:We want to bring the relationship with Canada to the highest level possible. And dear Mark, I said we must urgently re-imagine our partnerships. So I would like to work with you on opening the door for Canada to being the first associate member of the European Union. I just love the fact that Trump might be taken down by someone named Ursula von der Leyen. It's like a C.S. Lewis novel. And then Ursula von der Leyen stabbed the devil. Look, the most powerful person in the world right now is Donald Trump. Number two might be Mark Carney. And if you see a kid being abused, you hear a lot about it.

47:11Scott Galloway:A lot of wonderful families, in this case the EU, have adopted the kid. And this is, so I've been thinking a lot about how we have elegantly figured out a way to do what Tim Snyder's called superpower suicide. But given the lead we had, given the institutions, the human capital, the capital formation on a financial level, our academic institutions, and what Donald Trump fails to realize and the real flaw that is going to set our nation back decades, if not generations, is that Cro-Magna beat Neanderthals with cooperation. Neanderthals are stronger, smarter, faster, meaner. and the key whether you read yval no hurry on sapiens the key to our progress is cooperation and if you look at the modern economy our treaties our settlement our free navigation enforcement by the world's largest military our trading agreements rule of law respect for each other's borders.

48:24Scott Galloway:That cooperation, moving from conquest to cooperation the last 80 years, has resulted in infant mortality being cut by 90 percent and GDP up, you know, 17-fold. Nothing has created more prosperity than a recognition by the Cro-Magnon man that cooperation is the ultimate gangster move. Donald Trump has decided to regress the species known as the United States. And just to go, and again, in my next life, I'm coming back as a Navy SEAL, a Broadway dancer, an anthropologist, but let's assume I come back as an anthropologist. I'm not kidding. I actually think I have really good rhythm. I actually believe you.

49:07That's why I find it hilarious. I think it's probably true.

49:11Scott Galloway:I'm fascinated with adjusting people. Anyways, so if you have any pain, come over. I think I I can get rid of it. I can't wait. So there's a wonderful anthropologist named Robin Dunbar, who famously estimated that humans can maintain roughly 150 meaningful social relationships. But the wonder of the modern world is that we coordinate millions of relationships via money, corporations, laws, markets, religion, nations, norms. Norms are essentially technologies for getting people who will never meet to cooperate, right? You don't bump into people. You don't take their shit. If someone older than you comes into the subway, you sit up and you let them sit down.

49:51Scott Galloway:A pencil, the simplest thing, 20 cents. No one person can make a pencil. It takes cedar, graphite, metal, rubber, mining, shipping, machinery, finance, retail. Your breakfast this morning, Ed, was a multinational joint venture. Coffee was from Colombia. The machine was from Italy. wheat and fertilizer from the Midwest and Qatar, respectively. Before 9 a.m., you've depended and had relationships with more strangers than a medieval king encountered in his lifetime. And the fact that we decide to alienate so many relationships and abuse our largest consumer, they've said, I have an idea. I'm not giving up on cooperation.

50:42Scott Galloway:I'm just going to start cooperating with the 300 million second largest regional economy in the world, that is the EU. What happened yesterday wasn't the EU letting Carney in. It was them crowning Carney president of the EU. And right now, essentially, Europe has found the leader it needed, and that is Mark Carney. And this should send shivers down the spine of America, because we've gone from a 60 or 70 % and control of shareholder value globally to 30%. And the other 40 % now has the crisis they needed for cloud cover around things like what I call backs it. I think the UK is going to figure out a way to go back to the EU and the EU will forgive like bygones be bygones.

51:29Scott Galloway:I advise a hedge fund. It came to me, had a lunch with him in LA. He said, give me alpha, give me ideas. And I said, The only real idea I have right now is$130 billion is the amount of goods and services Canada buys from the EU. They buy$870 billion of U.S. goods. That$740 billion in business is looking for a new supplier. I think any Finnish company that calls a Canadian company that's getting its supplies from a Minneapolis company has a really good shot at getting that business right now. So this is geopolitically continues to provide evidence of the greatest leakage of power and prosperity in history.

52:13Scott Galloway:And that is from America to the other democracies, but specifically to China, longer conversation. and how we could give up this much power and prosperity comes back to a very basic flaw in one member of our species. And that is an inability to recognize that the reason our species has been so successful is because we cooperate, whereas he takes this weird business aggressive, conquer, intimidate, coerce. But this is a big moment. This is a big moment for Canada. And more specifically, it's a really big moment for what I call the great pivot, and that is an incredible transfer of power from the biggest democracy to other democracies, and unfortunately, most specifically to China.

53:01And I think that that's something that Mark Carney is actively addressing, that he actively addressed in his speech to the European Union, is that difference between conquest versus cooperation, or some would say positive-sum thinking versus zero-sum thinking. And this goes back to, it is a fundamental aspect of our economy and of markets. You talked about the pencil, which I think is a perfect analogy. Milton Friedman would talk about this a lot of the time, that markets are a positive sum game. That the more that we reach out to other nations and the more that we trade with other nations, the more is possible within our own.

53:39And it was very interesting because Mark Carney used exactly that language in his address. Here is what he said. We are not fair weather allies.

53:50Scott Galloway:We do not pursue zero sum deals. Our commitment to the rule of law and our unyielding defense of human dignity, individual freedom and democracy share the same deep roots, the same unwavering dedication. So I think this is really coming down to a dispute over what actually is the driver of prosperity. And I mean, the economists, even the old school economists, they'd say at play and they Donald Trump has it completely wrong. This is not the way that you build wealth for a nation. And to your point about Canada looking to other countries and looking for other trade partners, I totally agree that that is going to continue.

54:35But I would also point out it's already started. If we look at Canada's trade with other countries so far this year, it's already increased 17%. So you have huge amounts of trade that is certainly going to be rerouted away from the U.S. and towards other nations. things like critical minerals, which actually America does depend on Canada for in a lot of ways. Uranium, nickel, all of these minerals and materials that are required for technology infrastructure, for military equipment, and which, of course, we also rely on China for. And look where that got us in our trade war with China. So suddenly this means that America is going to have less diversification available to them for some of the most important materials in the world.

55:19And then also crude oil. Canada makes up more than half of America's crude oil imports. And usually I'd say no big deal. But here we are in the middle of an energy crisis, and we're depleting our emergency oil reserves by the day. And so, yeah, we are in a situation where Canada actually does have some leverage here. And I think that the most important thing, I mean, Canada isn't that much of a threat on its own. But when you combine it with Europe, and when you treat them as the same entity, suddenly you're talking about a$25.5 trillion economy, which is actually larger than the economy of China.

55:54And it is creeping up on the economy of the United States, which is roughly$32 trillion economy. So suddenly there's real leverage here. And I think that this is something that Mark Carney understands. He seems to really understand it, especially in his targeting of swing states in America, where he is specifically putting tariffs on materials that are going to affect various swing states throughout the US like Wisconsin, like Pennsylvania. And he sees how leverage actually works and how he can use it to get what he wants. And I could not agree with you more on this. I do think that this is a very important shift in the way the global order and the global economy is actually set up.

56:39Scott Galloway:Yeah, I always come back to Churchill. The only thing worse than fighting with your allies is fighting without them. And Timothy Snyder summarized it perfectly. We're in the midst of superpower suicide. Imagine having wonderful friends that did everything from hid your kids from people looking for your kids to planning to do harm to them. That's what Canada did when they hit our diplomats. And then they returned to the embassy, putting themselves at huge risk. you do a lot of trade 70 they're totally depend economically dependent upon us and we've decided okay you couldn't have been a better friend we couldn't have had a better relationship you followed us into afghanistan no questions asked i know let's fuck with you for it just it's just so

57:31Scott Galloway:you wouldn't you wouldn't ever be friends with this person you would think this person had lost They're shit. And when I say this person, I mean the United States. And the silver lining here is I think this might be the crisis that helps the EU get its shit together and says, all right, we need to have one. We have to have a multilateral technology investment regulation policy that creates capital formation. The whole is greater than some of its parts. I do think, and I had a conversation yesterday with a presidential candidate. I said there's a big opportunity to talk about going the other way if you're elected and having the mother of all multilateral trade agreements and basically take NAFTA and the EU and the UK in massively lower tariffs and say we're going to unlock massive growth through what is the world's largest trading bloc in history.

58:19Scott Galloway:Because we're going the wrong way. We're going back to being Neanderthals. I think there's real political value there. I agree with you because, I mean, we obviously know how the Canadians feel about Americans right now, and that is America, and that is they hate us. And we're seeing that in the polling data. 41 % of Canadians now consider the United States an enemy to the country. 56 % say Canada has more in common with the EU than with the US. And we can look at Marconi's approval rating, which was 55 % at the beginning of the summer, which was already pretty high. And then after this whole tariff thing blows up, it's now at 70%.

59:01So he's at an all-time high. So this is like the best thing to happen to Mark Carney, and Canadians are pretty much unanimously rallying behind him. But what's really interesting to me is the way Americans feel about this. Americans are really upset about this. On behalf of the Canadians, they oppose these tariffs against Canada more than two to one. Nearly four times more Americans say the trade war with Canada is America's fault, not Canada's. And so it is a really interesting situation where you have our own nation is turning against itself and arguing, yeah, we are the bad guys. We are the bully.

59:38We do not condone the actions that we ourselves have taken. And you have to wonder how much that's going to matter in terms of actual economic policy here? Will it be a case where Trump realizes, OK, the majority of the population thinks that what I'm doing is bad, ridiculous, unproductive, aggressive, hostile, you name it, and then decides to walk it back? Or will he just continue going down the path because of his pride and because of his ego and because he just can't get enough of this? I'm actually not sure what the outcome would be. What do you think? I think everything comes back to high school.

1:00:14Scott Galloway:And that is we used to be the cool kids at the cool table, but we were nice. And sitting at our table meant you had, you did better at school. You got help with your homework. You're more economically prosperous. You got the hottest dates. You got to do the coolest things. And slowly but surely, we're now alone at that table. And it just, and also, again, with the metaphor of high school, they did that study on who are the most popular kids in high school and you think well it's it's the most handsome it's best looking no it's not oh it's the most intelligent or it's the best half nope the kids who are the most popular in high school are the ones that are the nicest the ones that have the confidence to say hey lisa that was you did amazing at the game on friday night hey bob i love your shirt the kids who like the most other people are the most popular kids.

1:01:11And what are we right now?

1:01:15Scott Galloway:Using high school as a metaphor, we're a kid who's had a growth spurt and has underarm hair and is big, and we've decided to start beating up everybody. At some point, the other kids rise up. So I don't, I mean, who's at our lunch table right now in the high school cafeteria? North Korea, Russia, and Argentina? How's that going to work out? Yeah, that's the kids we want at prom. I mean, you know, Tango and Vodka, that'd probably make for a pretty good party. What we have here is on a fundamental level, the poorest decisions. And let me just move to it. This is a market show. We're not supposed to be political.

1:02:03Scott Galloway:If you're like me in two things, one, you've benefited. The way I would describe my economic life in America is the following. Unprecedented prosperity, unfair advantage that let me leverage my formidable talents to live a life that few people will ever experience or before me. But I had to pay the lowest taxes in history. Right? Never drafted. Never really in harm's way. Crime has consistently gone down. I mean, oh, let's give them free education at the world's greatest institutions. They got four of the five Nobel Prizes last year. University of California, where 53 percent of the kids don't pay tuition and 67 percent graduate with no debt.

1:02:45Scott Galloway:Right. All of this unbelievable prosperity standing on the shoulders of great Americans and great leaders before me. So easy to bitch into the microphone. I hope all of these TikTokers and all of these virtue signalers complaining about fucking Sidney Sweeney. I hope that a third of the bitching and virtue signaling from the left, from people like me who have registered a lot more than we've put back into the system, get out and canvas and vote and remove the stain that is the Trump administration, or at least start to remove this stain. And this is a market show, but there is no way to ignore that the worst thing for the markets and prosperity of Americans in a century is a narcissist, a psychopath, and a criminal.

1:03:36Scott Galloway:So I'm going to be announcing, I'm going to be doing a bit of a tour where I'm going to be canvassing with some candidates. If you're out there and you're like me and you're thinking, you know, any honest assessment is my generation and I have benefited more from America than I'm given. This is our moment. I really do believe that it is time for Americans to match their actions to their bitching into a mic or on social media about how outraged they are. Okay. There's a lot of that. Let's see how many of us turn out. because this is a big opportunity coming up in a few weeks, not only for America, but for the markets.

1:04:19Scott Galloway:I believe the markets will soar if similar to what, quite frankly, what Fed Chair Warsh did. I think the markets and the world really need to see a step up and go, okay, we got a little out of control. We make mistakes. The arc of America is jagged, but it bends toward the righteous. Let's take a look at the week ahead. There are no major earnings or economic data releases next week, but one thing we'll be watching is the result of the Nasdaq 100's quarterly rebalancing, which will more than double SpaceX's weighting in the index. That will take effect when the market opens on Monday morning. Could trigger significant passive buying.

1:05:02We will see. Scott, do you have any predictions for this week or in general.

1:05:06Scott Galloway:Easy. Times man of the year is Mark Carney. I think you're probably right. I think I would agree. My prediction, I think that MetaMuse will see significant adoption. I think it'll be rivaling Chad GBT and Claude in the next six months, specifically on the consumer side. I think this product is pretty powerful. I'll make another one. In the next 90 to 180 days, a country or a trading bloc is going to ban U.S. frontier models.

1:05:59for a fresh take on the markets.

1:06:29And the dove flies In love, love, love, love