Billionaire circular logic: value begets value
Bill Ackman just wrote the most revealing unintentional parody of billionaire thinking imaginable.
The argument: SpaceX is valuable because it's valuable. High valuation lets them buy things cheaply. Therefore they buy good things. Therefore they're valuable. Talent wants to work there because they're talented.
This is what passes for venture capital strategy among the ultra-wealthy. Pure circular reasoning dressed up as insight. No analysis of actual returns, market dynamics, or whether any of this creates real value or just moves money around between the already rich.
"Value begets value" isn't a law of physics. It's what rich people tell themselves to justify why being rich lets you get richer.
One of the things that makes @SpaceX so valuable is how valuable it is. The Cursor acquisition costs materially less in dilution because of SpaceX’s high valuation. SpaceX’s ability to do economically, strategically, and technologically accretive acquisitions is an important component of its value. There is enormous value inherent to a company with a high value particularly when it is controlled by an entrepreneur that the most talented people want to work for and partner with. Value begets value. Talent begets talent.
Source
x.com