Fundamentals my dear reader, fundamentals, they’re back.
Physical products have decisive advantage over software products. Software needs them to work—and Apple owns all the premium hardware owned by the cohort of people who have the spending power—which is more than the spending power of all android devices combined—unless a company manages to make electronics better than AAPL, free trade comes to an end and the earth’s supply chains balkanise or something we are unable to foresee happens, so place your bets to accord.
GOOGL like meta, is a mere tenant inside the AAPL ecosystem—and has no more leverage than a third party seller has over AMZN. This, ladies and gentleman, is the reason why GOOGL does not afford to pay a dividend because it doesn’t really own anything—this is true—just look at all of the hardware projects they’ve had. In the feud between Larry and Larry, Ellison will win out in the end because oracle software is an essential commodity, this is also why you see GOOGL doing so much to build relationships with heads of state while oracle doesn’t.
Imagine if AAPL launches a new search engine, protecting users’ privacy and makes it the default search engine inside Safari. My gut feeling tells me AAPL already has built a search engine, they’re only refining it and waiting—Appear weak when you are strong and appear strong when you are weak—Sun Tzu.
While the consumer internet gets a reality check, you my dear reader will do well and align yourself with real products.
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Usman Gondal 