The Oracle On Acquisitions, Live Streaming And Tinder
The world’s most famous and arguably its greatest investor, Warren Buffet, 85, published his annual letter to shareholders over the weekend.
By ansaradaWed Mar 02 2016
We’ve extracted the best “tech and M&A” bits.
On his friendly-only acquisition strategy:
“Some CEOs forget that it is shareholders for whom they should be working, while other managers are woefully inept. In either case, directors may be blind to the problem or simply reluctant to make the change required. That’s when new faces are needed. We, though, will leave these ‘opportunities’ for others. At Berkshire, we go only where we are welcome.”
On being a CEO:
"No CEO has it better; I truly do feel like tap dancing to work every day. In fact, my job becomes more fun every year.”
“Nothing rivals the market system in producing what people want – nor, even more so, in delivering what people don’t yet know they want. My parents, when young, could not envision a television set, nor did I, in my 50s, think I needed a personal computer. Both products, once people saw what they could do, quickly revolutionised their lives. I now spend ten hours a week playing bridge online. “
Buffet said the ‘search’ functionality online had been invaluable to him in writing the shareholder letter.
“I’m not ready for Tinder, however,” he wrote. And if you’ve ever wondered what actually goes down once a year in Omaha, we’ve got good news for you: “Charlie (Munger, Berkshire Hathaway vice chairman) and I have finally decided to enter the 21st Century. Our annual meeting this year will be webcast worldwide in its entirety.”
“This new arrangement will serve two purposes. First, it may level off or modestly decrease attendance at the meeting. Last year’s record of more than 40,000 attendees strained our capacity.”
“Our second reason for initiating a webcast is more important. Charlie is 92, and I am 85. If we were partners with you in a small business, and were charged with running the place, you would want to look in occasionally to make sure we hadn’t drifted off into la-la land.”
“Viewers can also observe our life-prolonging diet. During the meeting, Charlie and I will each consume enough Coke, See’s fudge and See’s peanut brittle to satisfy the weekly caloric needs of an NFL lineman.”
“Long ago we discovered a fundamental truth: There’s nothing like eating carrots and broccoli when you’re really hungry – and want to stay that way.” April 30, 9am Central Daylight Time. Mark your diary.