Dan Sundheim on geopolitics
From Inside Dan Sundheim's Bets on Anthropic, OpenAI, and SpaceX · · Invest Like The Best
“The thing that troubles me the most frankly is I think we are on a um collision course with China over semiconductors. And I'm not sure I think there are ways to get out of that. Um but uh you know none of them are easy and um to the extent that we don't figure that out um I think you know we're going to have something you know akin to the Great Depression. It's very straightforward in that like um um Taiwan produces 90 something percent of uh you know the most advanced semiconductors and uh everything we use is semiconductors. So I I would say like it's almost as if if you went back 50 years if there's only one country that produced oil, right? Um and oil was that important. We went to war over oil even though you could get it in all over the world. like uh Taiwan is uh produces um all the leading or vast majority of leading semiconductors and that is what powers everything and that supply chain is fragile like it's not like it's easy to replicate it's uh easy to uh destroy. If that supply chain were to get uh screwed up or uh disintermediated, we would have like a incredibly bad economy on the order of like depression type economy.”
On , Dan Sundheim, Founder & CIO at D1 Capital Partners, spoke about geopolitics during Inside Dan Sundheim's Bets on Anthropic, OpenAI, and SpaceX on Invest Like The Best.
About Dan Sundheim
Dan Sundheim, founder and CIO of D1 Capital Partners, has discussed the firm’s investments in private companies including SpaceX, OpenAI, and Anthropic, describing them as "some of the largest companies in the world by market cap" that are "innovating in a way that's going to change the world." He stated that he believes AI will be "the most important technology" for the next decade or two and that it will drive revolutions in areas like robotics and biotech. Sundheim also expressed concern about a potential "collision course with China over semiconductors," warning that disruption to that supply chain could lead to a "depression type economy." Reflecting on the 2021 GameStop short squeeze, Sundheim called it "the toughest few weeks of my career" and noted that his firm had not been prepared for shorts to rise 300-400% in two weeks, as such a move was not in historical data. He said the experience taught him that "risk management has to happen before the fact." Sundheim also shared that he is most proud of overcoming the adversity of that period and the market challenges of 2022, stating that "learning from that, getting better and coming back" was the most difficult thing he has had to do.