Tag Archive: PayPal


I’d like to warn the best of them, the iconoclasts, the innovators, the rebels, that they will always have a bull’s-eye on their backs. The better they get, the bigger the bull’s-eye. It’s not one man’s opinion; it’s a law of nature.” – Nike founder Phil Knight

“It is not the critic who counts; not the man who points out how the strong man stumbles, or where the doer of deeds could have done them better. The credit belongs to the man who is actually in the arena …” – President Teddy Roosevelt

There are no statues devoted to critics.

Our increasingly complex data-driven society is overloaded with analysts, reviewers, chroniclers, interpreters – creating nothing of meaningful value – but they are always quick to cast stones at those who try to make the world a better place.

As Phil Knight said in his New York Times best seller Shoe Dog, “Entrepreneurs have always been outgunned, outnumbered.”

A perfect example – not the first one and certainly not the last – is the use of a series of infographics to depict an engineering/entrepreneur who tried and tried and succeeded brilliantly, but is portrayed by his failures.

A May 26 MarketWatch piece by Sally French includes a five-part infographic, which catalogs a litany of failures by Tesla co-founder, SpaceX founder, SolarCity co-founder and PayPal co-founder Elon Musk.

When asked to describe himself by Steve Croft of CBS’ “60 Minutes,” Musk responded that he regarded himself simply as an engineer. Almost DailyBrett has worked with engineers for years, attempting to transform their anal exactitude, never-ending acronyms and nomenclature into plain English.

What characterizes engineers is their willingness, their compulsion to throw ideas at the wall. Some will stick, and others … oh well.

Elon Musk is not afraid to fail. He is more scared by the prospect of not even trying.

Alas, Musk is human. Five of his SpaceX rockets blew up. He was ousted from PayPal on his honeymoon. He made $180 million from his stake in PayPal. He invested this money and presumably much more in SpaceX and Tesla, both were hemorrhaging cash. He was not only broke, but in way-over-his-head debt in 2008.

Today, Musk is Forbes’ #80 wealthiest individual on the planet with an estimated worth of $13.9 billion. His Tesla is the pure-play leader in energy-efficient electric cars, ion-Lithium batteries and solar. Is Tesla an electric car company that helps combat climate change? An energy company that shuns fossil fuels? Or is it, Elon Musk’s company?

How about all of the above? To most investors, the answer would be third … Tesla is Elon Musk’s company … and there may lie the reason for the MarketWatch infographics, illustrating Musk’s failures. Schadenfreude has never felt so good or gut.

A similar set of questions can be asked about Musk’s SpaceX, which is transporting materials to the International Space Station and may someday put humans on Mars. Think of it this way, four entities have successfully fired rockets into space: The United States of America, Russia, China and Elon Musk’s privately held, SpaceX.

The Importance of Failure

“I think it’s important to have a good hard failure when you’re young because it makes you kind of aware of what can happen to you. Because of it, I’ve never had any fear in my whole life when we’ve been near collapse.” — Walt Disney

Would you rather be Steve Jobs, who was terminated by the company he created, Apple?

Or would you rather be John Sculley, who will go down in history as the man who fired Steve Jobs?

 

 

Sculley recently tried to blame the termination of Jobs on the Apple Board of Directors at the time, but the die has already been cast. Sculley will follow Jobs to the grave as the man who sent packing the modern-day equivalent of Leonardo da Vinci.

Nike founder Phil Knight recounted in his memoir how he started his company with a $50 loan from his dad. Today, Nike is the planet’s No. 1 athletic apparel and shoe provider with $33.92 billion in revenues, $86.8 billion in market capitalization and 70,000 employees.

Uncle Phil is the 28th wealthiest homo sapien in the world at $26.2 billion. Keep in mind, this company was literally days, if not hours, away from bankruptcy too many times to count between 1962 and going public in 1980.

For Musk, his tale is a South Africa-to-America story. Today, Tesla is a $8.55 billion company, employing 17,782 with investors pouring $53.4 billion into its market cap.

Almost DailyBrett has been consistent in hailing the risk takers, the entrepreneurs, those who stare failure right in the face and sneer. The results are great companies that employ 10s of thousands and produce the products we want and need.

There will always be those who rage at the “billionaire class” to score political points.

And some with too-much-time-on-their-hands develop infographics to illustrate how the great have fallen here and there.

Wonder if any of these critics, analysts, reviewers etc. would have fired Steve Jobs?

Almost DailyBrett radical transparency: Your author happily owns shares in both Nike (NYSE: NKE) and Tesla (NASDAQ: TSLA). The above epistle does not constitute investment advice for either company other than to generically say, Buy Low, Sell High.

http://www.marketwatch.com/story/the-many-failures-of-elon-musk-captured-in-one-giant-infographic-2017-05-24

http://www.theodore-roosevelt.com/trsorbonnespeech.html

http://www.marketwatch.com/story/the-fascinating-life-of-elon-musk-captured-in-one-giant-infographic-2016-04-13

https://www.youtube.com/watch?v=bojY5N2Ns3k

https://almostdailybrett.wordpress.com/2015/02/05/a-man-in-the-arena/

https://www.forbes.com/billionaires/list/#version:static

https://www.forbes.com/sites/randalllane/2013/09/09/john-sculley-just-gave-his-most-detailed-account-ever-of-how-steve-jobs-got-fired-from-apple/#38def8d4c655

 

 

 

 

 

 

 

 

“There’s a pretty good chance we end up with a universal basic income, or something like that, due to automation. I’m not sure what else one would do. That’s what I think would happen.” – Tesla and SpaceX Founder Elon Musk

“It is the working man who is the happy man. It is the idle man who is the miserable man.” – Benjamin Franklin

“To be idle is a short road to death and to be diligent is a way of life; foolish people are idle, wise people are diligent.” — Buddharobots2

As a small-time shareholder in Tesla, the author of Almost DailyBrett is reconsidering his investment.

Have I’ve been foolish?

Should I be more diligent to be wise?

Don’t get this blog wrong. These posts have always supported and admired entrepreneurs (e.g., Musk) as job creators, dreamers of great new products, and economic forces for good (e.g., reducing dependence on fossil fuels).

Nonetheless it’s shocking to note that Musk’s (i.e. PayPal, Tesla, SpaceX) answer to the prospect of increased robotics/automated services (i.e., check-out machines, ATMs, robotic assembly lines) is too simply put all of these future displaced employees – maybe even millions of workers – on a politically acceptable dole (at least to some): Universal Basic Income or UBI.

Elon Musk, CEO of US automotive and energy storage company Tesla, presents his outlook on climate change at the Paris-Sorbonne University in Paris on December 2, 2015. / AFP / ERIC PIERMONT (Photo credit should read ERIC PIERMONT/AFP/Getty Images)

Elon Musk, CEO of US automotive and energy storage company Tesla, presents his outlook on climate change at the Paris-Sorbonne University in Paris on December 2, 2015. / AFP / ERIC PIERMONT (Photo credit should read ERIC PIERMONT/AFP/Getty Images)

Let’s face it: The shrinking middle class during the past 30 years is a major cause of serious political disruptions with populist causes taking hold on both sides of the Pond.

Pew Research revealed that 62 percent of Americans were categorized as middle class in 1970, falling to 43 percent in 2014.

Conversely, 29 percent of Americans were upper class in 1970, rising to 49 percent in 2014.

Lower class was essentially flat from 10 percent to 9 percent during these 44 years.

Almost DailyBrett is concerned that aggressive moves toward ever higher minimum wages may entice even more potential employers to seriously explore using even more machines, which don’t require the payment of benefits (e.g., medical, vision and dental), and don’t demand days off.robots1

And who would be most impacted by displacement by machines and robots? The middle class? The lower class? Both?

Under the failed Universal Basic Income (UBI) plebiscite in Switzerland earlier this year, displaced workers would have received an annual salary of $30,660 for a single, $61,320 for a couple and $76,728 for a family of four … placing them in the higher echelons of middle-income America … but without exerting any effort.

How does UBI square with the Protestant Work Ethic?

Funding A New Leisure Class

“People will have time to do other things and more complex things, more interesting things. [They will] certainly have more leisure time.” – Elon Musk

“Ask not what your country can do for you — ask what you can do for your country.” – President John F. Kennedy

“Given the crisis that we are in and the hardships that so many people are going through, we can’t allow any idle hands. Everybody has to get involved, everybody has to pitch in and I think the American people are ready to do that” – President Barack Obama

Earlier, Almost DailyBrett wrote about the record number of working-age men (e.g., 20-54), who are voluntarily not seeking a job … any job. Instead, they are averaging 5.5 hours per day playing video games, accessing streaming video and watching HDTV. That’s a shocking loss of brainpower and manpower, the type that President Kennedy said could be in service to the country.

Would UBI exacerbate this unacceptable trend, essentially making it politically acceptable to displace able workers with even smarter machines? The net result would be even more wards of the state with little or nothing to do. Idle hands will indeed rule.

The question still persists: Should millions of able-bodied people be paid to do nothing? Will they earn their paychecks? How will UBI be funded, if America becomes a donut with a huge whole in the middle — little or zero middle class?

Will the majority of these recipients ultimately become miserable on the certain road to death?

If all one is doing is running out the clock (e.g., playing video games and checking out social media) until that inevitable day arrives, then what is the purpose of life?

Maybe UBI is not so smart after all? Whattyathink Mr. Musk?

http://mashable.com/2016/11/05/elon-musk-universal-basic-income/#dmtbn21mkmq8

https://almostdailybrett.wordpress.com/2016/07/06/universal-right-to-a-paycheck/

http://www.voanews.com/a/a-13-2009-01-20-voa6-68822097/413577.html

https://www.brainyquote.com/quotes/keywords/idle.html

http://fortune.com/video/2016/11/07/elon-musk-wants-universal-basic-income/

http://www.pewsocialtrends.org/2015/12/09/the-american-middle-class-is-losing-ground/

https://almostdailybrett.wordpress.com/2016/11/07/millions-of-active-women-supporting-millions-of-idle-men/

 

 

 

 

 

“Only in America”

The old joke: “When has it been a bad day?”

“When Mike Wallace (in particular) and the 60 Minutes crew is waiting in the lobby.”

Sometimes having 60 Minutes coming for an extended visit can be great news for a company, and maybe for a nation that could use a kick in the collective pants.

pelley60Minutes

The Scott Pelley story this past Sunday focused on a 42-years young immigrant “engineer” from South Africa, Elon R. Musk, who is playing a huge role in reviving American heavy manufacturing in both automobiles (Tesla) and rockets (SpaceX).

Almost DailyBrett wants to hear, tell and relay more of these stories.

Driving repeatedly up the 880 (e.g.. The Nasty Nimitz) past industrial Fremont, one would cast a sad glance at the shuttered NUMMI plant. At various times, GM and Toyota cars and trucks would be made there until they weren’t any longer.

The negative narrative was that Silicon Valley with its unparalleled collection of gear heads would always be a center of innovation, but manufacturing was just too bloody expensive.

Oh, ya?

Tesla’s 1,000 employees at the recharged NUMMI plant can’t build the fully battery-powered (up to 250 miles on one charge with zero climate change emissions) $100,000 Model S cars fast enough to meet the demand. Overall Tesla (NASDAQ: TSLA) employs nearly 6,000 directly and indirectly results in the hiring of thousands of others in supplier roles, and quite well could be the first successful U.S. automobile start-up in 90 years. And the company is working to developing the technology to build $30,000 non-polluting all-electric cars with acceptable travel ranges.

Heck, Bill O’Reilly called Tesla a global “game changer” that will force all rival automakers to respond.

Earns Tesla Motors

But the story does not start-and-stop there; In fact it goes into the stratosphere and beyond.

Musk also pioneered privately held SpaceX with its 3,000 employees, which received a $1.5 billion NASA influx to deliver cargos via rockets to the agency’s orbiting space stations. SpaceX is developing the first rocket that can be landed right back on the launch pad, and may play the leading role in taking humans to Mars for the first time.

Don’t bet against Musk, Tesla and SpaceX.

We seemingly live in a culture in which no good deed goes unpunished, one in which we despise the 1 percent who have much more than the rest of us, and yet we don’t know them.

For example, Musk came to America … “Only in America” … because of its software prowess, particularly the Silicon Valley. After attaining degrees in physics and business from the University of Pennsylvania, he devised the software that provided on-board navigation for drivers, and made $22 million. He developed the online banking system, called PayPal, which he sold to eBay for $1.5 billion (Musk’s share, $180 million). Modestly, he said that was a “good outcome.”

And then he bet the ranch and his earned nest eggs on both Tesla and SpaceX, and was close to bankruptcy and a nervous breakdown. He had hundreds of electric cars that did not work and three failed rocket launches in succession…a fourth would have been game, set and match.

spacex1

With tears in his eyes, he told the story of how Number Four was the charm, and the NASA and further VC investments saved the day. His reaction was very human, very open-kimono. Maybe there are good people who happen to earn a lot of money?

The rest is history. Entrepreneurs by their very nature have to be prepared to fail. Caca happens more times than not. Musk stared failure and permanent debt right in the eyes…and the other guy just blinked.

As mentioned more than once in Almost DailyBrett, my former boss Wilf Corrigan came to America from Liverpool, England with his new Norwegian bride circa 1960. The initial destination was the wrong side of the tracks in blast-furnace hot, Phoenix, Arizona with barely two shekels to rub together.

In time, he rose to the top spot at Fairchild, lost the company in a hostile takeover bid, formed his own company, LSI Logic, which is now being driven into oblivion by his successor. Wilf succeeded, failed and succeeded again.

Failure is an option in Silicon Valley and America, but so is success…including new businesses, jobs and maybe heavy manufacturing (e.g., electric cars and rockets).

musk

Mounting the proverbial soap box, there are a record 47 million on food stamps and another record 8.9 million on disability, most legit…some not. We need to provide a safety net for those who are in real need…

We also need to not hate, but celebrate, the doers, the achievers, the entrepreneurs. The days of jealousy should be behind us, but you know they are not.

For the public relations industry, we should be unabashed and undaunted in telling the stories of those who dare to fail and ultimately succeed, providing us with great products and the best anti-poverty program on the planet: A good paying private sector job with full benefits.

Thank you Elon Musk and all the others who dare to follow in your footsteps. We can hardly wait to hear and tell the stories about you.

http://www.cbsnews.com/news/tesla-and-spacex-elon-musks-industrial-empire/

http://www.foxnews.com/on-air/oreilly/2014/04/01/bill-oreilly-truth-about-obamacare-and-global-warming

http://www.teslamotors.com/

http://en.wikipedia.org/wiki/Tesla_Factory

http://www.spacex.com/

https://almostdailybrett.wordpress.com/2012/01/16/in-search-of-another-suite-h33-kirkland-house/

https://almostdailybrett.wordpress.com/2014/01/02/farewell-lsi-logic/

https://almostdailybrett.wordpress.com/2012/11/18/makers-and-takers/

 

 

 

 

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