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Women, help me understand why this is inspirational
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Which large tech companies you think will last 20+ years?
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Lasik cost
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What happens when most of your team is Indian?
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Crossed a line with my boss
Just curious to see if there's any hot takes on new apple pay features, kind of competing with square and affirm.
Square isn’t going to get killed by one single launch. They’re very diversified and I think they have an extremely bright future I think the only reason affirm is even doing as well as it is now is because of Max Levchin. I don’t think this apple thing will kill them but i think it will really hinder growth
Will square die in the future? Should I rescind my application?
AfterPay is one piece of the Square puzzle. But as a new hire, I’m pretty concerned about this
To be taken with a grain of salt, but the market seems to agree with the poll, as in, affirm dropped ~5% today, but square ended positive by .34%
It’s technically Goldman Sachs doing the underwriting. However, the only way any lender in the space can make money is via interchange or fees, the former which I’m doubtful Apple is meaningfully sharing with Goldman. The latter doesn’t apparently appear to be planned for. So Goldman will be working with a low margin offering, and forced to eat credit losses that may exceed their revenue, in addition to cost of capital, operations + servicing, etc. Doubtful it’ll be a fruitful partnership. Illustrative and hypothetical example: 1. Consumer spends $100 via Apple Pay Later 2. Apple gets 0.15% of $100 (15 cents), Goldman issues a $100 loan. That loan has an opportunity cost of 2% (they could’ve bought a government bond, they may have borrowed money to lend it out). Two scenarios play out: 3. Customer pays back the full loan. Goldman gets $100 back. Apple may share up to 15 cents (or not) with Goldman. Goldman cannot make money through interest or fees. Goldman may have borrowing costs (from borrowing to lend out $100). Razor thin revenue margin. 4. Customer defaults on $25-100 of the loan. Apple may give Goldman up to 15 cents. Goldman may have borrowed the $100 to lend out. Goldman is fucked. Got pennies and lost $25-100. Now do 3&4 millions of times and assign probabilities (summing up to 1) and add more expense line items. So ... why is affirm different? They get $3 for the $100 of spend. Can’t comment on Afterpay and Klarna. They may or may not also get $3 (or probably something more than 15 cents). The latter two also charge fees
So what's in it for Goldman?
Branding. Exclusive Apple partnership. Maintain the relationship. Hope Apple brings in more investment banking revenue. More Marcus customers. Potentially expand partnership elsewhere. Dunno. And they lose money in getting the above.