Comms + Software Sector Head @Hedgeye (Internet, Media & Cable/Telco); SpaceX+ Anthropic + OpenAI NOT Investment Advice

Down the AI squirrel hole!
Joined December 2018
I am going to be in London week of 11/2 meeting clients. The calendar is filling up fast, but there are still some spots available if you want to meet! Reach out to Pat and/or [email protected]
1
3
3,232
Wow
Dear Users, 13 years of work. More than 80 apps. Wiped out overnight. In Apple’s sole opinion, one of our apps could potentially be seen as similar to an existing website. They gave us no warning, no option to remove the “questionable” app. They just flagged our developer account for termination and permanently removed all 80+ of our apps from the app store. The consequences reach far beyond this one app. Unrelated officially licensed apps we develop for NBA and NHL players are also unavailable. Updates are blocked. Clients and fans are left stranded. We believe developers should have a meaningful opportunity to resolve app issues before losing an entire business. There must be a better way than to have Apple be the sole judge, jury and executioner, based solely on their opinion. Destroying an entire 13-year business over one potentially questionable app isn't policy enforcement, it's misguided persecution. We are not scammers. We are a legit long standing business. We strongly disagree with Apple's decision, its "reasoning," and its entire inequitable app resolution process. Thank you for standing by us. We’ll keep you updated. WhatsGoodApps
1
3,733
Seasonality impacting consumption trends... Love seeing this because it confirms our thinking regarding the timing decisions for increasing usage limits and also partly reason for the "slowdown" we saw during the summer months... $ANT "Our customer usage patterns have also typically exhibited seasonality, particularly around holiday and vacation periods in the summer and winter, when certain workflows slow down and overall customer activity declines. For example, developer commits and feature launches are typically slower during the code freezes that many companies schedule over holidays. Consistent with this pattern, for the two weeks ended January 2, 2026, total customer spend declined by approximately 20% compared to the prior two weeks ended December 19, 2025. However, our historical growth rates may mask the impact of seasonal trends on our results. These dynamics are inherent aspects of a pay-for-intelligence revenue model and may be important determinants of our financial results in future periods."
2
3
1
18
8,437
About halfway through this thing... and no real surprises from my side (yet) $ANT
1
21
3,869
Well look at that... $ANT is mostly a consumption-based software business. Surprise surprise! 🙃 "Consumption-based revenue increased from $288 million, or 75% of total revenue, for the year ended December 31, 2024, to $3.8 billion, or 83% of total revenue, for the year ended December 31, 2025, to $13.1 billion, or 80% of total revenue, for the six months ended June 30, 2026." "Subscription-based revenue increased from $98 million, or 25% of total revenue, to $789 million, or 17% of total revenue, to $3.2 billion, or 20% of total revenue, over the same periods. The higher increase in consumption-based revenue reflects the growth in customers with $100,000 or more of revenue on a TTM basis."
2
1
1
36
9,291
Andrew Freedman, CFA 🦅 retweeted
Emergency WAF ruleset update for 2026-10-25 adds two new detections for CVE-2026-111497. They default to log mode so you can audit impact. Check existing overrides to avoid false positives. developers.cloudflare.com/ch…
10
87
10
556
68,214
Opus 5.5 consumes more tokens and also Claude code spins up a ton more agents... So it's actually more productive on per task basis but consumes more tokens so you hit limits faster... Also pushing more users to auto mode.
Anthropic says Claude's limits haven't changed. Users are reporting the opposite. something isn't adding up.
16
13
5,738
Andrew Freedman, CFA 🦅 retweeted
While you're waiting for GTA 6...
Spent a bunch of tokens over the last few weeks building a fully procedural New York simulation. mrdoob.github.io/slop-newyor… It's only 784KB gzipped and the code is on github, so you can do whatever you want with it ✌️
44
61
4
961
138,677
Honestly blessed for these guys!
7
3,182
Andrew Freedman, CFA 🦅 retweeted
The FBI continues to warn about two critical security flaws in PHP, a programming language used to build many websites and online services. Attackers could exploit these vulnerabilities to break into systems, putting sensitive information and business operations at risk. Security updates are available and should be applied immediately. If you are a business owner or website operator, check whether your systems are affected. Contact your IT support team, website developer, or hosting provider for help identifying vulnerable systems and applying the necessary updates. The FBI urges organizations to take the following steps now: ➡️ If an immediate update is not feasible it is recommended that organizations take the system offline until it can be fully mitigated. ➡️ Immediately update affected PHP installations following the guidance on php.net. Inventory where PHP runs in your environment, prioritizing internet-facing systems and vendor products that bundle PHP. ➡️ Monitor web servers for suspicious activity, including PHP processes unexpectedly launching command shells or downloading files. Ensure appropriate process-monitoring capabilities are in place to help identify potential exploitation. ➡️ If you find signs of compromise, isolate affected systems, preserve your web server and PHP logs, and report it to your local FBI field office or ic3.gov. Those reports help us identify the actors involved and warn other organizations before they become victims. For the latest information on these vulnerabilities (CVE-2026-109618 and CVE-2026-109619), follow PHP’s announcements on php.net, CERT-EU Security Advisory 2026-018, and CISA’s Known Exploited Vulnerabilities catalog.
177
1,253
172
4,839
375,427
🤣🤣🤣🤣
This quoted post is unavailable.
1
15
3,314
It’s been a week… have a great weekend!
4
39
6,350
Only 60k more to go!
$META head count is falling off a cliff -> Down 15% since last year -> Lowest level since 2020
1
4
33
6,391
Doing my monthly testing rounds... It's honestly insane how little you get with the standard seat on Teams plan. Only seems usable for very sporadic shallow usage on Opus level models, not on auto... Works better on sonnet. Still, for any real work it is borderline useless.
5
3,038
I'm starting to be a real believer in AI. Will be a megatrend like no one is really imagining right now. I'm sure lots of ramps and drops along the way though.
12
1
2
74
7,886
Important call next week on $APP $U! cc @HedgeyeCommOR
3
1
1
27
5,539
Andrew Freedman, CFA 🦅 retweeted
Claude Models on Google Cloud (Anthropic managed) is now generally available. Get the full set of Claude Platform features on Google Cloud, with Google Cloud IAM credentials, billing, and commitment retirement.
324
355
170
6,396
751,001
$META 👇
Here are most of, not all, the interesting stats I pulled out of Meta's Q3 2026 call: 10M people in the US and Canada have set up Muse personal agents. 25% of them use it on any given day. Zuck: “more than twice the level that Threads started at, or where we believe other AI apps started as well.” The most common use case is shopping. More than a quarter of Muse users are doing it, average purchase size over $200. “Plaid told us that they hadn’t seen activity like they’re seeing with their connector on any other service before.” Family of Apps revenue per existing US user is already “several hundreds of dollars annually,” and Zuck expects Muse to go higher “due to the amount of commerce that we already see taking place.” The model: free for most people, with Meta taking a fee on transactions it facilitates overtime. On cost: “Muse is very compute-intensive to run. But we expect to improve its cost efficiency by more than 10x in the next year, which will enable it to be profitable once the revenue lines are at scale.” CORE BUSINESS Family of Apps revenue $64.2B, +26%. Ad impressions +10%. Average price per ad +14%. Family of Apps Other revenue $1.1B, +59%, on WhatsApp paid messaging and subscriptions. 3.64 billion people use the family of apps every day. Threads has overtaken X in monthly actives. Time spent per user on Threads +20% YoY. Instagram global time spent per user hit an all-time high, up double digits. Facebook Reels time spent hit all-time highs both globally and in the US, both up double digits. Nearly 45% of recommended Instagram Reels are now less than a day old, up 11 points from Q2. Ranking sequences of Reels instead of evaluating each one independently increased Instagram Reels time spent over 4%. Moving content understanding onto first-party Muse models reduced per-unit processing costs by more than 80% across Instagram, Threads, Facebook and Ads. Advertisers who adopted Meta AI business assistant recommendations drove almost 5% more conversions at the same cost per conversion, and increased their ad spend 9% versus non-adopters. Simply Organic Maple, a family-run Vermont producer, used it to rewrite ad copy: +57% purchases, -36% cost per purchase, 3x ROAS. Meta One has surpassed 15M subscriptions and trials across 50+ features. An estimated 500M self-identified small businesses use Meta’s apps to reach customers. Zuck: “We have not yet found the limit of how effectively we can apply compute to accelerating our own core business.”
2
1
37
19,579