BG2Pod with Brad Gerstner and Bill Gurley Ep5. Stock Comp, AI Cold War, Valuations for LLM | BG2 with Bill Gurley, Brad Gerstner, & Bob Mylod
346 snips
Mar 21, 2024 
Bob Mylod, former CFO of Priceline and a current board member of Booking.com, shares his insights on stock-based compensation's evolution and its impact on tech companies. The conversation dives into the potential partnership between Google and Apple on AI initiatives, and the regulatory challenges facing TikTok in the U.S. Mylod also discusses Microsoft's acquisition of Inflection and the competitive landscape for large language models, exploring what these developments mean for the future of AI.
AI Snips
Chapters
Transcript
Episode notes
RSU Misalignment
- The shift to RSUs from options allows employees to profit even when shareholders lose.
- This misalignment can lead to runaway stock-based compensation.
Inflated RSU Offers
- Google offered AI engineers inflated RSU packages alongside a smaller cash component.
- By adjusting out RSUs, they underrepresent the true cost of these hires.
Treat Stock as Cash
- Treat stock-based compensation as a real cash expense, not as dilution.
- This promotes financial rigor and prevents overspending on equity.