Binance/FTX Drama Is a Movie | The Daily Peel | 11/10/22

There’s a reason venture capital is considered the mountaintop of investing. It’s laid back, sexy, and generally just f*cking awesome.

Patagonia vests and Allbirds to work, weekends off, and the potential to make stupid sums of money from just one home run are just some of the reasons why many see it as the best job in the industry.

The hardest part is breaking in. Unless you rub elbows with tech titans or founded a unicorn recently, it’s gonna be a tough slog.

But if you’ve got 4 hours, you can gain an edge over a huge number of other applicants through WSO’s VC Bootcamp. Learn the essentials of the space—including early-stage instruments, term sheet modeling, and due diligence—in this jam-packed series of video lessons.

Because we’re so confident that Peel readers would love the course, we’re giving out free access to our Excel Modeling Course for the first 50 Peel readers to sign up in the next 24 hours. Don’t let this slip your mind—spots are filling up fast.

The next Uber is out there, but you can’t get a piece of it if you’re on the outside looking in. Take the first step towards becoming a Sand Hill Road legend today.

• Add Salesforce to the list of tech giants taking a haircut
• Inflation, schminflation—demand for makeup and beauty products is as high as ever
• Bitcoin is sitting at a 2-year low as crypto was broadly routed Wednesday
• Yeezy designs will survive despite their creator’s departure from the company

Disney & Thrill

Whether it’s ride-sharing or streaming, the ZIRP days of burning cash until you’re big enough to eke out a profit are over.

Unless you’re already Goliath.

• Disney’s made it clear to investors that it’s willing to spend whatever it takes to gain a place on your smart TV
• We’re not talking metaverse levels of investment here, but it’s still over a billion per quarter
• Since its launch in 2019, Disney+ has swallowed $8 billion in investor money, with the promise that it’ll all be worth it once it becomes a market leader
• Buying growth is easy. Now try turning those new subs into profits.

On one hand, Disney could slash spending and rely on legacy content to turn its streaming service into a cash cow. Other than maybe Marvel, it’s got one of the deepest entertainment catalogs on the planet.

But that would cut subscriber growth at the knees, all but ensuring Netflix’s continued dominance in the streaming wars.

Streaming execs across the industry, not just at Disney, have to get the balance right. Grow too fast, and your service will become a money pit. Grow too little, and you’ll never achieve the scale required to rake in meaningful profits.

Disney’s betting that the weakest players will die off amid the coming economic downturn. Only the big boys that can reach deep into their pockets to keep churning out new content will remain.

But if what they’re left with is an unprofitable service that still plays second fiddle to Netflix, it could mean billions down the drain.

Source

Meta ($META) ↑ 5.18% ↑

• 11,000 heads are rolling at Meta HQ this week, and investors couldn’t be happier
• This thing is up 15% in the past week, giving some solace to Zuck, who’s still curled up in a ball after watching his net worth plummet by $100 billion

Life Time Fitness ($LTH) ↑ 4.39% ↑

• After watching Peloton poach members throughout the pandemic, traditional gyms are making a comeback
• A Q3 profit surprise shows plenty of people are opting to share sweaty equipment instead of getting yelled at by trainers on a screen