Acquired

In the 1980’s Nintendo was on top of the world, with the NES achieving over 90% market share of home video games globally. So how did they fall ALL the way down to ~10% in just a few short console generations? And how did they then build themselves back up (and down and up again) to the top of the world again? Spoiler: it all hinged on one very small, yet very large and durable platform… the Game Boy. Fire up your favorite portable entertainment device and tune in for the epic story of Nintendo’s fall from grace and journey back to the top — capped off by our robust discussion of where they go from here, and whether this 130+ year old company may still (!) be misunderstood and mis-valued.

ACQ2 Show:

• Subscribe to the shiny new ACQ2!

Links:

• Our EA episode with Trip Hawkins
• Matthew Ball on why “Nintendo as Disney” is a flawed analogy
• Crossroads Capital’s investor letters outlining their Nintendo thesis
• Episode sources

Carve Outs:

• Kara Swisher in Vanity Fair (and our old episode with her!)
• Hardcore History (finally!)
• The Tetris movie
• Daryl Morey on Invest Like the Best

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

7 Powers author Hamilton Helmer and his Strategy Capital colleague Chenyi Shi join us again to discuss their latest research on a topic that’s highly relevant to the recent Acquired canon: how to build a second business line. This incredibly important “transforming” question faces every great company who has achieved initial product success (as well as their investors). Do we continue solely along the established path, or do we attempt to grow new branches on the tree? Some companies grow new businesses with tremendous success — Amazon and AWS, Nintendo and video games, Nvidia and CUDA — yet many others fail miserably. For the first time Hamilton and Chenyi share their research-based playbook on how companies should approach this decision and choose wisely. Tune in!

ACQ2 Show:

• Subscribe to the shiny new ACQ2!

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

Link to Hamilton's 2-Axis Chart

Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

ACQ Sessions returns with David Senra of the Founders Podcast. David is one of our very favorite people in the world — it’s impossible to spend an hour (or 3!) with him and not come away inspired to go take over the world. This conversation is an “extended, IRL version” of monthly calls that we do together where we share stories, swap life and podcast advice, and just genuinely enjoy sharing time with someone who shares our outlook and enthusiasm for the history of entrepreneurship. Pull up a chair, grab a beverage (or energy drink in David’s case) and join us!

ACQ2 Show:

• Subscribe to the shiny new ACQ2!

Links:

• Go subscribe to Founders! Some of our favorite episodes: Bernard Arnault, Brunello Cucinelli, Edwin Land, Kobe Bryant

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

Topics:

Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

You may think you know the Nintendo story: a plumber named Mario, a princess named Zelda… and didn’t they buy the Seattle Mariners at some point? We thought we knew it too. And then we started researching and were blown away.

The lovable Disney-like Nintendo that we know today is a 130 year-old a playing card company (i.e. gambling), forged in the shadowy world of the Yakuza and shaped by a four-generation cycle of bitter family betrayal. And its unlikely transformation into a global multi-billion dollar media monopoly was led by an iron-fisted patriarch who — amazingly — never played a video game in his life! Get ready for one of our favorite stories Acquired has ever told — we couldn’t make this one up if we tried!

ACQ2 Show:

• Subscribe to the shiny new ACQ2!

Links:

• Our Atari episode with Nolan Bushnell
• Video of id Software’s legendary PC “port” of Super Mario Brothers 3
• Episode sources

Carve Outs:

• Everything Everywhere All At Once
• Michael Lewis on Tim Ferriss and on CSPAN

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

We tell the full history of LVMH, and how Bernard Arnault turned a $15m investment in a bankrupt French textile company into the world’s largest individual fortune. It’s a story that’s equal parts Berkshire Hathaway, Steve Jobs and Barbarians at the Gate… and wholly under-appreciated for the genius business model innovations that enabled it. Whatever industry you operate or invest in, there’s so much to be learned from Bernard and LVMH’s complete reshaping of the luxury sector over the past three and a half decades. And oh yeah, it also involves Nazi spies, Italian family murders, Rupert Murdoch, Rihanna becoming a billionaire, Jay-Z’s champagne feuds and Beyoncé wearing a 128 carat diamond. Tune in! :) 

Links:

• Bryan Burrough in Vanity Fair: Gucci and Goliath
•  Episode sources

Carve Outs:

• The Gamecraft Podcast
• Doug DeMuro buys a Carrera GT
•  The Peloton Tread
•  The Eureka Theory of History Is Wrong

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

The NFL — it’s almost synonymous with America today. And its history is a fascinating lens to explore the nation’s development over the last 100 years, from WWII to TV and suburbs to the Internet and social media. What began as a quasi-illicit league in small midwestern towns is now the single largest media property in the world today by revenue. And whether you watch football or not, this is one incredible business story. Acquired is ready for some football — let’s kick this Season off right! 

Links:

•  Sports Illustrated’s oral history of the famous Joe Namath “pool photo”
•  Episode sources

Carve Outs:

• The Menu
• Peyton’s Places

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.  

Cozy up to the fire and join Acquired as we do our annual strategic review of the show and our business “in public”. We recap our perspectives on Acquired’s big moments from the past year, a bit of commentary on the current state of the tech ecosystem, and what lies ahead for us in 2023. Plus as always at the holidays, we do an extended carve out session on our favorite things from the past year. Huge thank you to all of you for making 2022 an amazing year here in Acquired-land, and here’s to even bigger and better things to come in 2023! 

If you want more Acquired, you can follow our public LP Show feed here in the podcast player of your choice (including Spotify!). 

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

Carveouts!:

• Jerry Seinfeld on The Tim Ferriss Show
• Project Hail Mary
•  The Psychology of Money
•  The Power Law
• Made in America
• Made in Japan
• The Godfather (book)
•  Masters of Doom
•  Stevie Case vs. the World
• How All this Happened
• Resonant Arc
• All-In
• Founders Podcast
• MKBHD’s Waveform Podcast
• The Verge
•  Huberman Lab - What Alcohol Does to your Body
• Smartless
• T-Swift’s Midnights
•  Olivia Rodrigo
• Andor
• Black Panther
• Top Gun Maverick
• Everything Everywhere All At Once
• The White Lotus
• The Vow
• Flighty
• Roborock S7 Max
•  Apple Keyboard with TouchID
• Elgato AV gear, especially sound panels and the Cam Link 4K
• Capri 

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

Ben Thompson joins Acquired to discuss the business of Stratechery itself and celebrate 10 years (!) of the internet’s best strategy analysis destination. Even beyond Stratechery’s enormous impact itself on business and tech over the years, Ben’s work inspired a whole generation of business content creators — this show very much included — and it was super special for us to give the Acquired treatment to one of our own heroes. We cover the full history of Ben pioneering the subscription internet media business model (indeed SubStack’s seed round pitch was “Stratechery-in-a-box”), and how + why he’s evolved the business since and is now doubling down both on podcasting and a broader vision of the Stratechery Plus bundle… including for the first time content not made by Ben himself! Tune in and enjoy. 

If you want more Acquired, you can follow our public LP Show feed here in the podcast player of your choice (including Spotify!). 

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

Links:

• John Gruber’s Daring Fireball
• Ben’s very first Stratechery post
• Subscribe to Stratechery Plus

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

The FTX fraud has dominated headlines now for weeks, during which we’ve debated if and how Acquired could uniquely add to the conversation. Then we realized there was an angle so perfect that we had to drop everything and enter Acquired research overdrive: Enron. Travel back with us to the granddaddy fraud of them all, 2001’s then-largest bankruptcy in US history and the impetus for the famous Sarbanes-Oxley Act. So much of Enron’s history parallels FTX that the uncanniness is almost unbelievable — right down to the same CEO running the two bankruptcies. Sit back and enjoy this crazy tale of villainy, greed, and the nature of humans and money. Maybe just don’t take notes on this one… 

If you want more Acquired, you can follow our public LP Show feed here in the podcast player of your choice (including Spotify!). 

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

Links:

• Book Andy Fastow as a speaker for your next corporate event! 🤔
•  Episode sources

Carveouts!:

• Enron: The Musical
• Andor
•  Brooks Addiction Walkers
•  Hoka Slides
• JCal on the Tim Ferriss Show
• New shirts are live in the ACQ Merch Store!

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

Qualcomm, or “Quality Communications” — despite being one of the largest technology companies in the world, few people know the absolutely amazing technological and business history behind it. Seriously, this story is on par with Nvidia, TSMC and all the great semiconductor giants. Without this single fabless company based in San Diego, there’s almost no chance you’d be consuming this episode on whatever device you’re currently listening on — a fact that enables them to earn an incredible estimated $20 for every new phone sold in the world. We dive into this story live at the perfect venue: our first-ever European live show at Solana’s Breakpoint conference in beautiful Lisbon, Portugal! 

If you want more Acquired, you can follow our public LP Show feed here in the podcast player of your choice (including Spotify!). 

Links:

•  The Qualcomm Equation
•  Principles of Communications Engineering by Irwin Jacobs and John Wozencraft
•  Episode sources

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

We sit down with all five current Benchmark GPs for one of their legendary weekly dinners, during which we ask all of the unresolved burning questions from Part 1. How do THEY think about Benchmark v3? What are their day-to-day emotions trying to keep the equal partnership “bending toward greatness? Why is there no growth fund? What does it take to become the next Benchmark GP? Why is there a secret Principal program? We cover all these and much, much more. We also recorded the whole thing on video — which we highly recommend watching even if you normally only listen to the audio feed! 

If you want more Acquired, you can follow our public LP Show feed here in the podcast player of your choice (including Spotify!).

Links:

• Please take our 2022 Acquired Survey if you have a minute. It'd mean the world to us!
• Dad hats are live in the Acquired Merch Store! 

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

 ‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

We kick off ACQ Sessions with the-behind-the-scenes story of All-in, from the world’s greatest moderator himself Jason Calacanis. ACQ Sessions is our new, occasional “MTV Unplugged” version of Acquired: a great IRL guest, a bottle (or two) of wine, and no script. We talk about everything you’d imagine we would over wine with JCal — All-In, bestie relationships, money & politics in Silicon Valley, who his influences and mentors have been (one surprise — the great Fred Wilson of USV!), what motivates him to keep grinding and why, at age 50+ when he could easily be winding down he’s instead speeding up into the most productive phase of his entire career. Pour a beverage yourself, pull up a comfy seat and join us! 

If you want more Acquired, you can follow our public LP Show feed here in the podcast player of your choice (including Spotify!). 

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

Benchmark Capital. We tell the tale of the legendary equal partnership that accomplished something no other venture firm can claim: twice it has produced the highest returning fund of its cycle, each time with a 100% different GP lineup. If ever there were a playbook for successful generational transfer of a generational-defining venture firm, this is it. We spend 3.5+ hours digging into how the dotcom “eBay eBoys” transformed into the rockstar Fab Four of the Uber, Instagram and Snap mobile gold rush (spoiler: not by a straight line!), and what the future holds for Benchmark’s next GP generation. If you’re a student of the venture game from any angle — founder, GP, LP, etc — this is a story you need to tune in for! 

If you want more Acquired, you can follow our public LP Show feed here in the podcast player of your choice (including Spotify!).

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

Links:

•  Benchmark’s website circa 1997
•  Benchmark’s website circa 2000
• Benchmark’s website today
•  Episode sources

Carve Outs:

• Bill Gurley’s Runnin’ Down a Dream talk
• Smartless Podcast
•  Mitch Lasky on Invest like the Best
• Ursula Le Guin’s Earthsea Cycle

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

So, how DID an online book retailer end up building the infrastructure layer that powers the entire internet? (Or at least 39% of it, per latest market share data.) While many myths, legends, and some downright falsehoods exist, the real answer to that question deserves a full Acquired episode of its very own. So here it is: the story of Amazon Web Services. Who’s got the truth? Tune in and find out. :) 

If you want more Acquired, you can follow our newly public LP Show feed here in the podcast player of your choice (including Spotify!). 

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

Links:

• Steve Yegge’s Platforms Rant (so good!)
•  Ben Thompson on AWS and Snowflake
•  Episode sources

Carve Outs:

• Moon Knight
• John Carmack on The Lex Fridman Podcast

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

We sit down with legendary investor Howard Marks of Oaktree Capital and his son Andrew who, while less-well-known, is also an incredibly accomplished investor in a very different arena: early-stage VC. The purpose of the conversation was to discuss their joint work together on Howard’s all-time most popular memo, “Something of Value”, which made the then-shocking argument that Value and Growth investing are not diametric opposites but rather two sides of the same investing coin. We of course dive deep into that, and also cover plenty of fun Oaktree and investing history, as well as Andrew’s favorite topic: selling (or not selling, as the case may be). This is not one to miss! 

If you want more Acquired, you can follow our public LP Show feed here in the podcast player of your choice (including Spotify!). 

Links:

•  The Original “Something of Value” Memo
•  Howard and Andrew on Oaktree’s “The Memo” podcast

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

Amazon. No company has impacted the internet — and all of modern life — more than this one. We’ve waited seven years to do this episode, and are so, so excited to finally dive into every nook and cranny of this legendary company. And of course because we’re Acquired and this is Amazon, we couldn’t contain it all to just one episode… even a 4+ hour one! So today we focus on Amazon.com the retail business, and we’ll have another full episode on AWS coming soon. And because all great series are trilogies, to fully understand Amazon we highly recommend starting first with our previous episode on Walmart, which truly is the giant’s shoulder that Jeff Bezos stood upon. Let’s go!! 

**Big News** We've got merch! Check it out at https://www.acquired.fm/store !

 If you want more Acquired, you can follow our newly public LP Show feed here in the podcast player of your choice (including Spotify!). 

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

Links:

• Jeff’s first public Amazon interview
•  Our early-Acquired-days interview with Tom Alberg
•  Episode sources

Carve Outs:

• Rick Rubin on the Lex Fridman Podcast
• Ursula Le Guin
• Dissect Season 2 on My Beautiful Dark Twisted Fantasy
• Elden Ring (again) 

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

This episode is a first for Acquired: we’re joined by a sitting US Congressman (from Ben’s home state of Ohio!), Republican House Representative Anthony Gonzalez. Anthony serves on the House Financial Services Committee and is deeply involved in crypto and Web3 regulation, as well as on the Climate and Science, Space & Technology Committee where he oversees NASA among many other agencies. His also has an absolutely incredible story — his family immigrated from Cuba to Ohio, he played in the NFL, he was COO of an Investment Group of Santa Barbara backed startup, and he was one of a small number of Republican congresspeople who voted to impeach former President Donald Trump after the events January 6th. 

If you want more Acquired, you can follow our public LP Show feed here in the podcast player of your choice (including Spotify!). 

Links:

• Schoolhouse Rock “I’m Just a Bill”
•  Nick Howley and TransDigm on Will Thorndike's new podcast 50x

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

We kick off Season 11 with the incredible story of the retail “granddaddy of them all” Walmart, and its founder Sam Walton. Once you study Walmart, you realize just how deep its heritage runs through Amazon and so many iconic modern companies we cover on Acquired. This episode was an absolute blast, and we even uncovered a new addendum to the hallowed “focus on what makes your beer taste better” playbook theme! 

If you want more Acquired, you can follow our newly public LP Show feed here in the podcast player of your choice (including Spotify!).

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

 Links:

•  Walmart’s 1972 Annual Report
•  Episode sources

 Carve Outs:

•  Ted Weschler on the Nebraska Furniture Mart podcast!!!
•  Mario Puzo’s The Godfather (the book)

‍ Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

When Patrick O'Shaughnessy and Brent Beshore asked us to give a talk at their incredible Capital Camp conference, we knew we had to bring something special. So we spent months combing through the Acquired back catalog and cataloged our 12 favorite lessons from the 200+ stories we’ve told over the past 7 years. From Sequoia through Sony, TSMC, Nvidia, The New York Times, the NBA and Oprah — we revisited all the classics and pulled out the common threads that weave the tapestry of great companies we’ve covered on Acquired. This episode was truly a joy to put together… huge thank you to Patrick and Brent for giving us the perfect stage on which to present it!

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

This episode has video! You can watch it on YouTube. 

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.

We sit down with a16z General Partner Katherine Boyle to discuss investing in “American Dynamism”, why it’s so important and why now is the right time to pursue it. Katherine has a fascinating background, beginning her career as a reporter at The Washington Post before entering the VC world first at Founders Fund, then General Catalyst and now a16z. Her perspectives don’t fit neatly in any box — political, economic or otherwise — and we have a great conversation exploring them. Tune in!

Sponsors:
Pilot: https://bit.ly/acquiredpilot24
Statsig: https://bit.ly/acquiredstatsig24
Crusoe: https://bit.ly/acquiredcrusoe

This episode has video! You can watch it on YouTube.

Links:

• Katherine’s post on Building American Dynamism
• Marc Andreessen’s It’s Time to Build
• Katherine’s Substack

‍Note: Acquired hosts and guests may hold assets discussed in this episode. This podcast is not investment advice, and is intended for informational and entertainment purposes only. You should do your own research and make your own independent decisions when considering any financial transactions.