Ideas

S&P Global: A Collection of Great Businesses

Mar 01, 2017

S&P is best known for its credit ratings business. Credit ratings denote a company’s financial strength through assessing its ability to meet its debt commitments. Together with Moody’s, S&P is a government sanctioned duopoly…

Ideas

Visa: One of the Best Business Models Ever

Feb 28, 2017

Apart from Google, Visa is the best business model we have ever seen. It is essentially a royalty on global spending. Visa is the ultimate network effects business, with retailers dependent upon the vendor…

Ideas

Software Feedback Loops Enable Winner-Take-All Markets

Feb 27, 2017

“In normal markets you can have Pepsi and Coke. In technology markets in the long run you tend to only have one…. The big companies, though, in technology tend to have 90 percent market…

Ideas

Why Alibaba Is Our Second-Largest Holding

Feb 26, 2017

We have studied Alibaba for a long time beginning with our investment in Yahoo, which represented a backdoor way to acquire Alibaba, not publicly traded at the time. In our year-end 2013 letter, we…

Featured, Ideas

The Most Inevitable Business

Aug 10, 2016

Amazon is most well-known for its e-commerce segment, which has more than 304 million global users (19% compound annual growth rate over the past five years) and a 41% share of online commerce. The…

Broadcast Television: Cord Cutting vs. Cord Shaving

Feb 20, 2016

We were more active selling equities than buying in the second half of the year, selling shares in a number of long-term (Yahoo, Softbank, and Cott) as well as short-term (Videocon) holdings. [pullquote align=”right”…