Elon Musk, Mobile Minorities, and How to Overcome Fear

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This is a podcast episode titled, Elon Musk, Mobile Minorities, and How to Overcome Fear. The summary for this episode is: Shaan Puri (@ShaanVP) and Sam Parr (@TheSamParr) react to Elon Musk's purchase of Twitter and much more. ----- Links: * Aceable * Vitalchek * Relx * Do you love MFM and want to see Sam and Shaan's smiling faces? Subscribe to our Youtube channel. * Want more insights like MFM? Check out Shaan's newsletter. ----- Show Notes: (01:30) - Combustion engines and Tesla (08:30) - Human body is a marvel (09:50) - Vocal minority; mobile minority (10:20) - Tesla founder controversy (29:00) - How Elon deals with fear ----- Past guests on My First Million include Rob Dyrdek, Hasan Minhaj, Balaji Srinivasan, Jake Paul, Dr. Andrew Huberman, Gary Vee, Lance Armstrong, Sophia Amoruso, Ariel Helwani, Ramit Sethi, Stanley Druckenmiller, Peter Diamandis, Dharmesh Shah, Brian Halligan, Marc Lore, Jason Calacanis, Andrew Wilkinson, Julian Shapiro, Kat Cole, Codie Sanchez, Nader Al-Naji, Steph Smith, Trung Phan, Nick Huber, Anthony Pompliano, Ben Askren, Ramon Van Meer, Brianne Kimmel, Andrew Gazdecki, Scott Belsky, Moiz Ali, Dan Held, Elaine Zelby, Michael Saylor, Ryan Begelman, Jack Butcher, Reed Duchscher, Tai Lopez, Harley Finkelstein, Alexa von Tobel, Noah Kagan, Nick Bare, Greg Isenberg, James Altucher, Randy Hetrick and more. ----- Additional episodes you might enjoy: • #224 Rob Dyrdek - How Tracking Every Second of His Life Took Rob Drydek from 0 to $405M in Exits • #209 Gary Vaynerchuk - Why NFTS Are the Future • #178 Balaji Srinivasan - Balaji on How to Fix the Media, Cloud Cities & Crypto #169 - How One Man Started 5, Billion Dollar Companies, Dan Gilbert's Empire, & Talking With Warren Buffett • ​​​​#218 - Why You Should Take a Think Week Like Bill Gates • Dave Portnoy vs The World, Extreme Body Monitoring, The Future of Apparel Retail, "How Much is Anthony Pompliano Worth?", and More • How Mr Beast Got 100M Views in Less Than 4 Days, The $25M Chrome Extension, and More
Combustion engines and Tesla
05:11 MIN
Human body is a marvel
02:12 MIN
Vocal minority; mobile minority
00:40 MIN
Tesla founder controversy
02:57 MIN
How Elon deals with fear
02:40 MIN

Sam Parr: All right, what's happening, everyone. This is Sam Parr. I want to tell you really quickly about a podcast that I love. It's called Marketing Made Simple, and it's hosted by Dr. J. J. Peterson and they, like us, are on the HubSpot Podcast Network. So again, it's called Marketing Made Simple, and it brings practical tips to make your marketing easy and, more importantly, helps make your marketing work. So a few episodes that are popular are, creating social media ad strategies that work, five must- haves for an effective sales funnel, closing the deal with great sales email campaigns, something I know all about. I know it's very important, and multiplying your output, not your effort with social media. So check it out. Again, it's called Marketing Made Simple, and it's part of the HubSpot Podcast Network, along with MFM. So check it out. The problem that I have about Elon is he just rips off my style. I was using Twitter way before. I was popular on Twitter first.

Shaan: Right. I do memes, he does memes, right?

Sam Parr: Yeah. He's like the-

Shaan: I'm impulsive, he's impulsive.

Sam Parr: What I am to podcast, he is to money.

Shaan: Business and innovation.

Sam Parr: Yeah, and dating celebrities.

Shaan: Doesn't have a podcast, though.

Sam Parr: Got him, yeah. ( singing) If you go to Bret Taylor, the chairman of Twitter, he just tweeted, " We've agreed to a deal with Elon Musk."

Shaan: Oh, wow. Wow.

Sam Parr: Yeah, so I guess, I think saying it's done is fair.

Shaan: Yeah, that's fair. Okay. So$ 54 a share. Wow.

Sam Parr: So, let me tell you something really quick. This is going to sound weird, but it relates to what we're talking about. So, do you know how a combustible engine works?

Shaan: Dude, do I look like I know how a combustible engine works? No.

Sam Parr: So, all right, here's how a combustible engine works. So you've got this huge block, it's called an engine block. It's this big piece of metal. Imagine a rectangular cube that's about two and a half feet long, a foot wide and a foot deep, in depth. Understand?

Shaan: Sure.

Sam Parr: Okay. When you hear a four cylinder, six cylinder, eight cylinders, 12 cylinders, that's how many cylinders they're going to drill into that block, that engine block. And so they... Do you know how big a cylinder is?

Shaan: Well, I've eaten Pringles before, so I could sort of imagine.

Sam Parr: You're not far off. So it's around, it's like a can of Coke, almost. A little bit bigger. But just for the sake, we'll say it's the size of a can of Coke. Okay? And in those cylinders goes a piston, which is basically, you drill those holes and you've got something, it's almost like a size of can of Coke, going back and forth through those holes. And the way it works is, you have a shaft that connects to the pistons, which turns that up and down motion of the cylinders, going up and down, into motion that the engine can use. But check this out. In order to make this all work, you have this thing called a spark plug in each cylinder, and then you have this other device called a carburetor, and that mixes the perfect amount of fuel and air into the cylinder. And the spark plug makes a small spark, and there's a miniature explosion in the cylinder that creates so much pressure that that piston is moving up and down. Does that all make sense?

Shaan: Okay. I follow. I don't know why you're telling me about this-

Sam Parr: Listen.

Shaan: ... butI understand it now.

Sam Parr: Listen. So, it gets even crazier. You know how you're driving and your car will say 6, 000 RPMs?

Shaan: Yeah, sure.

Sam Parr: That means that those pistons... So these pistons, it has to be airtight for that explosion to be in that cylinder. So these pistons, they're super tight into that cylinder and it's creating a lot of friction. When it says 6, 000 RPMs, that's 6, 000 revolutions per minute. And 6, 000 means you're driving pretty fast, but not crazy fast. That means those pistons are moving up and down 100 to 150 times per second.

Shaan: Wow.

Sam Parr: And you have oil in your car because those pistons are rubbing against metal and it needs oil. Otherwise, if you leave it without oil, they're moving so fast, it's going to fuse together and basically weld the piston to the cylinder.

Shaan: Geez. Okay.

Sam Parr: Okay. The reason I'm bringing this up, listen-

Shaan: I can't wait to hear it.

Sam Parr: And-

Shaan: You're like, " Because I just watched a YouTube video about it and it's still fresh in my mind. That's why I had to say it."

Sam Parr: You did?

Shaan: No, it sounds like you just went on a deep dive.

Sam Parr: Well, I was thinking about this and basically... And then the output of all this is carbon... So it's like a gas and there's fumes, and there's oil and there's liquid, there's all types of fluid. And then there's the transmission, which is totally even crazier, sometimes. The fact that this was invented in the early 1900s and it's still the technology that we have exploited and made so good. We've made this so good that these pistons can move for a million miles, basically. They're going to go up and down a trillion- plus times. We have pushed that so far to the edge. It's pretty phenomenal what we've done, and it's such a shitty technology. It was good for what it was. And then Elon Musk comes along and was like, well, he wasn't the first one to do it, but he did a really good job of it. He's like this electric engine, actually, all we're going to use is a battery and one motor. That's all it takes. And this motor is just literally three parts. There's very few parts, whereas, with a combustible engine, there's a thousand parts. And not only is it simpler in terms of maintenance, there's basically no maintenance. It's far better. So, a really fast car. I own a car that's considered incredibly fast and it's quite expensive, and it goes-

Shaan: inaudible?

Sam Parr: Yeah. Well, it's considered fast and it goes zero to 60 in three seconds. A Tesla that costs 40 grand will crush that, can crush that and go... So, it's faster in every sense of the word. It doesn't break. And I had one of these moments where I was like, I wasn't actually high, but it was like one of those high moments where you're like-

Shaan: I can't believe you just decided to have high thoughts without smoking?

Sam Parr: Yeah, I had high thoughts. I was like, dude, we've been doing this combustible engine thing for 130 years now. And then along comes a couple people, who's like, " No, no, we're going to do this total opposite way." So instead of making an engine that just is, it somehow has more cylinders or it's more smooth, something, we're going to do something totally opposite. And it's levels above in terms of quality. And I find that thought to be absolutely amazing. And it just turns out he just bought Twitter today, so maybe there's something crazier's going to happen there. I actually don't think it will, but maybe. But isn't that wild to think that we can, literally, I don't know, how many people have existed since 1910? Billions and billions and billions of people. We've all been doing it one way, and then along comes a very small group of people, let's say tens of thousands, or hundreds of thousands of people, who said, " No, no, no, this is the way to do it," and it changes everything. And I find that to be amazing.

Shaan: I agree. That is amazing. A couple thoughts that came up while you were saying this. First of all, thank you for the engine lesson. I'm 10%-

Sam Parr: Does that make... Did I-

Shaan: ...I'm 10% more man because I know how to describe this inaudible.

Sam Parr: Did I explain to you? Do you understand how the engine works now? A little bit?

Shaan: A little bit, yeah. I feel like I'm at that perfect point where I feel like I know, because I don't know what I don't know? Have you ever seen the Dunning- Kruger effect? I'm at the perfect peak of that-

Sam Parr: Exactly. What you should know, the takeaway here is that it's very, very, very crude. You've got these metal on metals, rubbing against each other and creating... It's just messy, it's smelly, it's crude.

Shaan: Well, I just did something today that what you're talking about reminds me of this, which is, I went to the doctor. I went to the eye doctor. I had a eye appointment, and not because I wanted to. I was like, " Just give me my goddamn contacts." And they're like, " Nope, you got to come in. That's two years old now. You got to do the whole... We're going to do the thing where you blow puff of air on your eyeball." It's like, "Oh, God, what is that even for? I don't know." But I went in, I decided to have a little bit of a different attitude. So I got real curious when I went in this time. I'm talking to the doctor, I'm asking a bunch of questions. She runs this other test on me where she takes a picture of my eye and then she shows it to me on a screen. And I don't know if you've ever seen the inside of an eye?

Sam Parr: It's disgusting.

Shaan: Fucking wild, dude. It's crazy. She's like, " Okay, so this is the nerve in the back of your eye. That's what's sending all these signals. You eye's just getting light from everywhere, and your brain is, this nerve, the thing transmitting to your brain, all these light signals in your brain is piecing together some-

Sam Parr: It's amazing, right?

Shaan: ...my construction of the world. Yeah, it's amazing. She, " And these are all the blood vessels that's keeping your eye alive." And whenever I see how the body works, I just marvel in it. I'm like, I don't have to think, but my liver knows how to detoxify my body. I don't have to think my heart will just keep beating reliably or else I'll die, but luckily it's on autopilot. And, in fact, it's on so much on autopilot, I couldn't stop it if I wanted to. The way that the human body works is just a true marvel. And so, today's my birthday and seeing that-

Sam Parr: Oh, I forgot to tell you on air, Happy Birthday.

Shaan: Thank you. Appreciate it. We talked earlier on the phone. But the thing that amazes me, it's like, the best thing to do on your birthday is to go, just get a scan of your body and just be like, wow. The human body is an absolutely incredible machine that just works. The same way, I don't know how an engine works, I don't know how my liver works, I don't know how my kidney works, I don't know how my lungs work, I don't know how any of this shit works, but it does work. And just the fact that it does is amazing to me. And just seeing my eyeball, my retina and the nerves, the blood vessels in my eye, was just a reminder of, it's a humble, humbling feeling, right? It's the humility of how... You don't even have control over your own body, let alone the world and all these other things are going on. So, I really appreciated that. That's the first thing. Second thing, I wrote this down the other day for the podcast, but I never knew how-

Sam Parr: Are you... By the way, are you wearing a Mighty Ducks jersey?

Shaan: Yeah, dude, it's my birthday. I'm feeling like a Mighty Duck right now.

Sam Parr: Oh, my God, that's awesome.

Shaan: The older I get, the more I need to behave like a child, right? That's the game plan is get more childlike as I grow, not more adult- like. So, I wrote this down. I wrote vocal minority, mobile minority. I wrote this down a month ago and I was like, it might come up at some point in the podcast. And what you just said about Elon, about how basically a very small number of people changing the way that things work is a great example of this.

Sam Parr: And it's not like he's the guy like that. He was like... We can't say that Elon came up with this. We could just say that there's probably a lot of people came to the same conclusion. He just had the strongest will and is the person who we give a lot of credit to.

Shaan: By the way, have you seen what he's been saying lately about this origin story of Tesla? Have you seen this controversy?

Sam Parr: No.

Shaan: So-

Sam Parr: Does he say that he's the founder?

Shaan: No. So what happened was, Tesla started about a year before Elon invested in it. And so, now, he's basically seen as the CEO, the... He is the CEO. He's seen as also the founder. You don't really hear about these other guys who started, these two guys that were starting it, I think.

Sam Parr: And he is kind of the founder when you think about it. It's literally the eighth- largest company in the world. And at the time, it was worth$ 10 million. What's the difference?

Shaan: Exactly. And so, but the guys who started it have basically just made it their mission... So, there's a group of people that are anti- Elon. They're a vocal minority against Elon. And they'll say things like Elon didn't create Tesla, he just invested in it and takes all the credit for it basic. And one of the original guys also, really, has made it his mission to keep telling people how much he, how he was the founder of Tesla, not Elon Musk. And Elon come out recently, he said something the other day in his interview, he goes, " The biggest mistake... They go, " What's the biggest regret you have, biggest regret you have or mistake you've made, bad decision you made?" He goes, " Well, certainly the worst business decision I made was not deciding to just start Tesla on my own with me and JB." I guess the guy he started it with, guy he feels was his co- founder in it, and basically buying the existing company and then building from there, versus just doing it on his own. He's like, certainly that was the worst decision, I think, because financially that guy owns shares of what's now a trillion dollar company. And then the second thing is that, that guy basically has made it his crusade to be like, " F, Elon Musk. I'm the founder of Tesla, and-"

Sam Parr: Do you know how much does that guy own?

Shaan: I don't know the exact percentage. Maybe Jonathan could look it up while we're talking. But that guy basically-

Sam Parr: Martin, I think his name is?

Shaan: There's two guys. Yeah, Martin and somebody else. And I think that's his name. One of the things that they say is, " We created Tesla," and then Elon has come out and been like, " Tesla was nothing. There was no product." Basically, he's like, it was a shell of a company. There was no, it was pre- launch, pre- everything. I invested six and a half million dollars, I think he invested in the first round, knowing also, that I'd have to invest way more after that. Took a chairman role and then basically, he had the guy who designed SpaceX's logo design the Tesla branding. He's like... I guess he created it. It was a inactive company is what he had said. I think he tweeted something like this out that it was a dormant company or something like that. And so there's some controversy around that actual founding of it. But yeah.

Sam Parr: How is that his biggest mistake? That doesn't seem like that big. It worked out fine. And also, one could argue, maybe it was worth it just for the name.

Shaan: Yeah, exactly. Just for the... Exactly. Just for the name. I guess his take would be the company was just going to die if he didn't invest in. I think he was the only investor at that time. So anyways, okay, back to my vocal minority. We see this a lot on Twitter and other places where there's a vocal minority. This is what people call cancel culture. This is what people will call the haters or the naysayers online. There's a small group of people that are unhappy about anything that happens. And they'll be unhappy that Twitter's being bought by Elon Musk. They'll be unhappy that he's a billionaire, they'll be unhappy that Tesla... They'll say that Tesla's cars, yes, they're electric, but what powers the electricity? It's coal. They'll just always have something to say. So there's a vocal minority. And I think one of the biggest skills in today for any business person is to correctly identify a vocal majority versus a vocal minority. If you just constantly let the vocal minority sway your thinking, you're letting the bottom one or two percent of people sway your decision- making just because they're very loud about it. But then the other... I think you want to overlook them, but what you don't want to overlook is what's called, and I call, a mobile minority. So, a mobile minority is a group of people who decide to actually take their business and walk elsewhere, or they take their lifestyle and they just change it. If you're Safeway, but all of a sudden, there's a small group of hippy people that are buying this all- natural produce, and they're shopping at this place called Whole Foods Market in Austin. And that's only got one location, two locations, but all of their spend now goes to this? Or, you see people that are, people on Netflix or whatever, people who are subscribed to Netflix, but all of a sudden, they start to instead spend all their time on TikTok and YouTube. And it's like, they've actually voted with their feet-

Sam Parr: Or-

Shaan: They're sometimes silent.

Sam Parr: ... and even, I mean,a different non- business example. I was just reading about Martin Luther King and Rosa Parks. And when the whole Rosa parks thing happened, the black folks were like, " No, we're not taking that." And originally it was like, " Well, that only makes a certain amount of our population. It's no big deal." Then it goes on for two weeks, you're like, " All right, something's happening."

Shaan: And it's happening in San Francisco right now. A mobile minority of group of people have left San Francisco, taken their business elsewhere. It's a very small group of people. Some of them were loud about it, saying, " OH, I'm leaving because I have this and this beef with San Francisco." And most of them were just frustrated, like" I'm going to Austin," "I'm going to Miami," " I'm going elsewhere. I'm going where I will be treated better. Where I'll be taxed less and get more from my government." And those mobile minorities are actually ones you want to listen to. Whether you're all politician or you're an entrepreneur, we talk about this a lot right? Dude, there's just subreddit that's getting really popular. And it's" Oh yeah, it's only 50,000 people." But it's like, wow, 50, 000 people have chosen this lifestyle of either anti- work or over- employed or they're tracking their fitness and their sleep at this maniacal way. It's like, yeah, that actually is something you really want to pay attention to, and it's a great place to start a business is when you notice a mobile minority. And it's also a really important thing to notice as a leader of either a city or a company, to notice, " Huh, how come all these developers are going to this weird, Web 3. 0 crypto thing? What's that about?" So yeah, it's not everybody, but wow, 10% of our smartest people all left to go do this thing? They took a pay cut to go do this thing? I think I should probably pay attention to that." And so, I wanted to point this out, which is, ignore the vocal minority and pay extra attention to the mobile minority that has inaudible-

Sam Parr: But that doesn't mean... Look, half of you are remote, half of you are in the office. Those ratios are actually probably off, but that's not the point. Listen, we've seen a huge change in hybrid workforces and how they've worked together in the past couple years. With this change, that means that easily connecting remote teams with customers has continued to be a challenge. But with HubSpot's CRM, full suite of service tools, teams can stay connected no matter where they are. With customer portals, your customers have more transparency and autonomy than ever. It's essentially a secure place where customers can track and open and manage all their service tickets. And since it's connected to a shared inbox, that means that issues are resolved faster and more efficiently, leaving customers and service teams with a better experience. Learn more about how to keep your customers connected and how to grow your business better at hubspot. com. And if you're an airline, I just had one of my flights canceled, so if you guys could use this service to get back to me, because I'm really struggling, that'd be great. Check it out, hubspot. com. There's another side to this. It doesn't mean they're right. So, for... or that what they're doing. I agree with you. I would also challenge myself to find examples where there is. That's a great, what's it called? Mobile minority?

Shaan: Yeah.

Sam Parr: That's a good one.

Shaan: Trademark that. We're trademarking that. That's My First Million original.

Sam Parr: So there's people, for example, day trading amongst young people has gotten incredibly popular. I don't think the majority of people do it, but I think there are a lot of people do it. They're very loud and they're betting a lot, and I think that's horribly stupid.

Shaan: Yeah, yeah. I'm not saying it's always a good thing, right? It might be people vaping and it's like, wait a minute. What? 10% of teenagers are vaping now? I'm not saying it's always healthy, what I'm saying, it is almost always worth paying attention to this silent and mobile minority versus... I think it's worth paying attention to, whereas I think the vocal minority is almost always worth ignoring.

Sam Parr: You want to talk a few, off the top of our head, a few examples of those groups of people?

Shaan: Well, you have a couple, I think-

Sam Parr: I can think of a few more.

Shaan: Yeah. Give me your example.

Sam Parr: I'm just going to rattle off a few. So, things that I'm noticing based off Reddit and my interest, people who don't want to buy off Amazon, because they don't want to have to worry about throwing away the packaging.

Shaan: Yes. Yes.

Sam Parr: Number two, people who want to use reusable packaging-

Shaan: Everything.

Sam Parr: So, a Ziploc bag that you'll pay$ 20 for one bag, but you can use it over and over and over and over again. Number three, people who don't want to eat out of plastic. Let's see, number four-

Shaan: I have another one that's related to that. So my wife's vegan and so, anything we do has to be compatible with a vegan lifestyle, and you'd be shocked how much is not compatible. So okay, you think about food. I think food is where most people go. But leather is the other huge one, right? So we're about to buy a car, or she wants to buy a fancy purse or something like that. She is ready to go to whatever, Louis Vuitton or whatever, and drop five grand, six grand, whatever it is, but she won't do it because it's all leather. And so, she's like, " I can't believe these luxury companies don't make one non- animal based product. They don't make one bag. They would get all the vegan people who'd want to buy luxury-

Sam Parr: That's interesting.

Shaan: ... wouldgo to whichever brand makes it." All of the big ones, Gucci, Prada, whatever. And they just don't, they don't make it. Or, if they do, they'll make the bag, but not the handle or the strap. And she's like, " Well, that's the thing, if you cared about this, you care about this." And so, we see that with car, too. Tesla has all- vegan leather and they're one of the few car makers that just lead with that. And it's these little things that, again, super easy to overlook. I would totally understand saying, " Look, we're not going to change our product line for this one or two percent." But as that one or 2% gets big enough, I don't know how much the vegan population is now in America, but let's say it's two or three percent, that's of a base of 300 million people. And those are people who, they don't just kind of care about it, they really care about it. And so-

Sam Parr: They're the mobile minority and the vocal minority, for sure.

Shaan: Yeah, exactly.

Sam Parr: They do action and they talk a lot.

Shaan: Yeah, exactly. And so, you make a chocolate, make a cheese, make a car leather, whatever. So that's an example where I've seen a lot of wallet share go to the one brand that just cares about it.

Sam Parr: What else is there? So I think there's also, when I read the TikTok comments, there's so many people that when they post videos of people from the early 2000s or when I was in high school, 2008, and they say, " Oh, wow, look, no one's on a cell phone. They must be so happy."

Shaan: Yes.

Sam Parr: So, I think there's going to be a mobile minority of people who actually don't want smartphones?

Shaan: The disconnect/ digital detox population.

Sam Parr: Yeah.

Shaan: There's also a group of that, that's VR, absolute VR nerds. They don't talk much. In fact, most of the dialogue around VR is how it's not here yet or it's not going to happen. There's a small number of people that spend an absurd amount of time in VR. They work in their VR. I don't know if I... I think I sent you this TikTok of, there's a guy who says he's spending 24/ 7 in VR, and he literally wakes up, puts the headset on and he spends his whole day like that. And he even goes to sleep in VR and then he, the headset falls off or whatever as he sleeps. It's like some nut.

Sam Parr: What's he look like?

Shaan: Close your eyes and imagine this guy. Yeah.

Sam Parr: All right.

Shaan: The beard touches the chest hair. There's no line.

Sam Parr: Yeah, yeah.

Shaan: We need strong borders, there's no strong borders.

Sam Parr: He has a rack just for fedoras.

Shaan: His ferret is living in his room. But basically, there's some people that are spending a lot of time there. You know, I don't know if that's a big one yet, but I'm just branching off the top of my head, people who really, really care about certain things. And I think you'll see this with pet stuff, I think you see this with house stuff that's going on. If you're in the gym business right now, the mobile minority through COVID has been home gyms. Those people are never coming back. Once they put thousands of dollars of gym equipment in their garage or their bedroom in their house, they're not coming back into the gym industry, right? So it's a mobile minority. They have voted with their feet, and now they're going down a different path, a different lifestyle.

Sam Parr: Yeah. I think that's a really good term. I'm on board with mobile minority. But what does it have to do with engines?

Shaan: Well, no, it is about the few people that go and actually, they do something different. Right? So you were saying, Elon and the electric car movement-

Sam Parr: Oh, yeah, yeah, yeah.

Shaan: ...That's a small number of people who just took a sharp left turn and decided, " Nope, we're going to get off the oil and gas system. We're going to not have a combustible engine car. We're not going to buy from any of these brands. We're just going to go fully electric sustainable.

Sam Parr: Do you think...? But here's the thing that I think about when I think about him and people like him, is I think, okay, so obviously he's right. So this Tesla thing, it's right. But it didn't seem that way all the time. It seemed like the total opposite. And there's moments in my life where I'm like, I firmly believe that this is the future. I firmly believe that many homes are going to be bought online. That's an example. But along the way, I have so many doubts where I'm like, " Ah, screw it." And so, what I would like to know is, I wonder how he... Because he doesn't give off that appearance he ever has doubt. He's like, no, no, no, surely this makes sense. But then he does say all the time, he's like, " I think we are going to go bankrupt." But that doesn't mean he thinks that his idea's wrong. He just thinks that maybe they're just going to run out of money because they didn't have enough runway. And so, do you think that someone like him or a lot of these other people like that, there is self- doubt or what?

Shaan: You move straight to the end. No. If you listen to him talk, he actually says three things. They're like, " How did you decide to do this?" No car company had ever, and American car company had been made since Jeep, like 90 years ago or something like that. Nobody had ever made an electric car that was popular, a fully electric car. Nobody had ever started a rocket company, a private rocket company, all this stuff. He basically just said, they're like, " So how did you decide to do it?" And he's like, " Well, I agreed, the probability of success was low, but it was worth doing, so I just did it." He's basically, " I thought it was worth doing. Humanity needs this, so it's worth doing certainly." Probability of success is low. Certainly. And then he said one other thing, which was, " Did you ever think about giving up?" And he's like, he had said in that same interview, " It is not in my nature." And I think... So, if you take those three things, he doesn't decide to do it because he thinks it's going to work. In fact, he decides to do it because he thinks it's worth doing. He agreed that the probative success was low, but not impossible. And he just decided that he's not going to give up, that's not in his nature. So, you combine those three things, well, doubt has very little place, right? It's, " No, I've taken into account the low probability of success, and then I'm not going to quit. And I just already decided it's worth doing. Doubt can't live in that home. That's a two- bedroom home and doubt doesn't have a room in that house. So, I think that's how, that's a psychology I've seen, not knowing the guy, just from his interviews.

Sam Parr: But I don't, I'm not sure if that's the entire reality, even though he said that, and here's why. Did you ever pay attention to boxing, in the'90s, with Mike Tyson?

Shaan: Sure, yeah.

Sam Parr: All right. So Mike Tyson came on the boxing scene when he was 19 and he was the man until he was in his early- ish 30s. And when he walked out of the ring, walked out in the stadium, up to the ring, he was famous because he wore black shorts. He wore black socks and black shoes, and he would come out with no shirt on, with his gloves already tight and everything, as if he's just ready to roll. Typically, that's not how they do it, and he was already sweating. And he didn't have a noise, or sorry, he didn't have a sound, a song-

Shaan: Song.

Sam Parr: ...that he came out to. He came out to a noise. It was just... That was the noise. His whole thing was about being frightening. He's like, I am tiger, I'm a beast, I am here to kill.

Shaan: Yeah, and he would say things like that, like, " I'm going to take out your heart and eat it." And he'd be like, what was the great interview where he's like-

Sam Parr: He goes, " I'm going to-

Shaan: "My fence is impregnable. My wheel is unstoppable. Praise be to Allah."

Sam Parr: And he goes, " I'm going to eat his heart. I'm going to eat his children-

Shaan: "I'm going to eat his kids."

Sam Parr: "...Praise be, Allah." This just... He goes, " I'm Alexander the Great. He ain't no Alexander the Great. I'm Alexander the Great."

Shaan: Yeah.

Sam Parr: The scariest stuff-

Shaan: Bravado, total bravado.

Sam Parr: ...Scary guy. And when he would look at you in the eye, you're like, " This guy's going to murder him. He's not just going to beat him up. He's out to kill him." And I would watch interviews with him, now, as he's older and he doesn't have to act that way anymore, he goes, " People thought I was so deadly." He goes, " I was deadly, but I was so afraid. The reason I acted like that was because, the reality was my fear was the total opposite end. And I had to act that way because I was so afraid." And I've heard a bunch of UFC fighters that I like, like Donald Cerrone and Chael Sonnen, and they'll go, and Michael Bisbing, and they say, " Every single time, I'm backstage, and I think to myself,'Why did I do this? Why didn't I quit? I don't want to do this. I'm afraid. I am so scared to do this.'"

Shaan: Right. I completely understand.

Sam Parr: And in reality, this guy who I'm talking about, Michael Bisbing, he's got the biggest mouth of everyone. He talks the most trash. And when I heard these fighters start saying this stuff, I was like, " Oh, you are the toughest guy on earth right now, but even the toughest guy on earth is scared." And so that-

Shaan: These guys that, they go into a cage fight with another guy who's trying to kill them in their underwear, in front of millions of people. And after talking mad shit, right? So it is one of most vulnerable positions you could put yourself into. So that's why it's great to learn from them and hear their thought process. I think that's true. Somebody had said this about Elon, I think it was maybe Jurvetson. There's an investor who invested in Tesla and SpaceX, and I believe has never sold a share and said he never plans to sell a share of any of those companies. And so, this guy's got the best returns ever, because all his bets were just bet on Elon. He said something like, " Elon is just," He goes, " He's a normal guy, but the fear gene got removed." In his DNA, the fear gene got removed. And I actually think that, it's not that. Nobody's that... Everybody has fears, and the extent to which you are fearless is the extent to which you learn how to dance with your own fears. Right? So, those UFC fighters, they feel the fear, but they learn how to cope with it. And for Mike, it was getting into this primal state of mind, saying certain things, and just walking to the thing, to that sound. That's how he was able to dance with that fear. And so, I'm sure that somebody like an Elon Musk, even though they have fears of failure, humiliation, three rockets blow up for SpaceX, just explode, and now, you basically put all your money in and you have enough for one more launch and that's it. You had to rush and do one more launch. Yeah, I don't think he was sitting there with a resting heart rate of 46. I think he was feeling something at that time. You could see it in the videos, the relief when it happens. But he learned to dance, he learned to deal with it. So I think that's the difference between people who seem totally brave and fearless, is they have just learned to deal with fear better than the person who lets the fear slow them down or stop them.

Sam Parr: Are any of your closest, successful friends autistic or have Asperger's?

Shaan: Sure do seem like it sometimes.

Sam Parr: That's for sure.

Shaan: Not closest friends to be honest, because... Yeah, I end up getting along with people who are a little more outgoing, extroverted, and easier to get along with. But I think you-

Sam Parr: I've got a-

Shaan: ...you have a couple I know.

Sam Parr: ...I've got a couple, and you're friends with them as well. And I've got a couple, and what I've noticed, I've got one, in particular, who I think you know who I'm talking about.

Shaan: Yeah.

Sam Parr: And very, very, very successful, and he just doesn't, he approaches things far more logically, and I'm like, " Well, name, this will never... " Well, Brad," I'm making up, " Well, Brad, this will never work." He's like, " Well, why not? Why won't it work? You see on this Excel spreadsheet, this math adds up to where it does work." " But who's going to believe you? Who's going to have faith in you? How are you going to do it?" " Well, why wouldn't they?" You know what I mean?

Shaan: inaudible

Sam Parr: Sometimes I wonder, is that just a couple of my friends who are like that? Or, if there is something, and Elon has said he has Asperger's, is there something in there where it's supposed be a handicap. In reality, it's the exact opposite. It's like a super power.

Shaan: Well, I played poker for a long time and you see this with poker players, too. Some of the best poker players are some of the Asperger- y type of mannerisms. They're extremely intelligent, but they have an emotional coolness which allows them to be rational under pressure, not get as easily tilted as an emotional player would be. They can play with huge sums of money and not change the way they play. It's all just chips to them, it's a game to them. And they also have the ability to focus for very, very long periods of time, longer than, I would say, the average person. And so, there's some definite superpowers, if you have that brain wiring, which is... I don't know what, I'm just using these terms. I don't actually have any idea what the clinical definition of these terms is. But I'm reverse defining it. As a person who has those traits, the ability to have maniacal focus, the ability to stay calm and emotionally cool, despite what's going on, and highly, highly intelligent, especially with math, probability and statistics. And so, they're winners, dude. I've seen it just so many times. Whenever I sit down against that opponent, that is the person I am trying to stay out of pots with. I am not trying to compete against them when I go play poker.

Sam Parr: All right, let me tell you something interesting that happened to me. You said you went to the doctor. I had to get some, I bought a vehicle and I had to get it registered. You had get your registered and title and all that stuff.

Shaan: Yeah, DMV stuff.

Sam Parr: Dude, it sucks. All right. So, some people listening, like this is so obvious. Do you know that there's third parties that will do this for you?

Shaan: I've heard about this. Actually, some guy told me, he's like, yeah. I was like, " DMV sucks." He's like, " Oh, dude, my buddy and I opened up an alternative DMV in the DC area. It's amazing. We do like$ 3 million a year." I was like, " What?"

Sam Parr: Dude, let do this.

Shaan: You just opened your own DMV?

Sam Parr: Yes.

Shaan: So what is it? I never looked into it. What is the rules?

Sam Parr: All right. So, I went to the DMV and I didn't know you had to have an appointment to go. And the woman working there was like, " Hey, just go to this thing called Fry Title," or something like that. And so, I just looked it up on Yelp, and it was like 20 minutes away. And I went out there and there's a line out the door, but I got in and out. And so, basically, it's a crappy building in a strip mall. Exactly as you'd think and next to a Marshalls or something like that. And you can go there to get license plates. You can get title transfer, specialty plates, temporary permits. You can register your car there. And it basically has a lot of the stuff that you would mostly do at a DMV. You can't do some things, but mostly everything that you do. And the way that you get it is you do a partnership with the motor vehicle department of every single state. And you got to go through this application process that I don't think is that hard. Because when I was there, I was talking to the owner and he was young, he was a 24- year- old. He was an unsophisticated, smart, but unsophisticated guy. And he was like, " Yeah, I just applied." And I was like, " Do you guys always have a line?" Because there's signs everywhere that says, " No new line people at 4: 00, because we close at 5: 00." Basically, I was like, " Are you guys this busy all the time?" He goes, " Constantly." And I'm like, " Are you kidding me?" And he's like, " Yeah." And I was like, " Well, how do you guys make money?" He's like, " Well, we're going to charge you 50 to a hundred dollars right here for this fee." And I was like, " No brainer." Because the DMV here in Austin, I've got to wait four months or something for an appointment, something crazy. And it was a crazy service. And I started looking into it and there's a few companies that are in this space. You know dmv. org?

Shaan: No.

Sam Parr: You never heard dmv. org? If you Google, " What paperwork do I need in order to get a license in Delaware," it'll tell you like what to bring. So that's out there. But there's basically all these places that I've seen do this. They're just like mom and pop, hole- in- the- wall stores, and they are constantly packed. It was crazy, fascinating.

Shaan: Yeah, inaudible. I did hear something which was like, that guy that I was talking about? Something did end up happening where they cracked down or they lost their thing. Or, once... I don't know what happened, but something bad did happen. This was years ago, so I don't remember. But let me tell you about two other businesses that are very similar. Have you heard of Aceable?

Sam Parr: What's Aceable?

Shaan: Aceable, it's in Texas. You're going to love this business. So just go to aceable.com.

Sam Parr: You sound like George Zimmerman. " You're you're going to like the way you look. I guarantee it."

Shaan: You're going to like this business.

Sam Parr: Yeah. You're going to like this book. I guarantee it.

Shaan: Men's brohouse here. So, it's basically driver's ed online, and they also do... If you get a ticket, you had to go to corrective driving school or whatever online?

Sam Parr: Oh, my God, these guys kill it.

Shaan: So they're an officially- licensed vendor for this driver's ed at these courses or whatever. They absolutely crush it. They bootstrapped for a while, I think. Now, they've raised a hundred million. These guys are absolutely crushing it. I've seen their revenue once before, way back when I looked into this. And-

Sam Parr: Well, what was it?

Shaan: ... they started with a32- hour driver's ed course or whatever. I think they could do it in 36 states out the total or whatever. And so, they say 13 million people have gone through it. And they also do realtor's licenses, which is people trying to get their brokers license?

Sam Parr: Oh wow.

Shaan: And so, that's another... This is such a, this is an amazing business. This is a 10 out of 10, under- the- radar business that just crushes it. And they crush it due to regulatory lock- in. That they're one of the only officially- approved people that could do this. They just crushed it with Google Ads, because people would search for driver's ed, free driver's ed online, get my broker's license, blah, blah, blah. And there wasn't a ton of competition, I don't think early on, and they just made a ton of money. And so, this is, I'm pretty sure a billion- dollar company at this point.

Sam Parr: Oh, for sure. Do you know-

Shaan: Just doing this.

Sam Parr: This guy's name is Blake, who started it? Another Blake, Blake Mycoskie, the guy who started Tom's Shoes? His first business was an online driver's ed business, and he said he crushed it.

Shaan: Oh, wow. I didn't know that. That's interesting.

Sam Parr: Yeah, I read his biography, Giveaway Shoes, or I don't know. It was one of those, it about giving shit away.

Shaan: Buy a pair, give a pair.

Sam Parr: Yeah. Anyway, this business kills it. What's the other one?

Shaan: So the other one, I was about to take a trip with my family and I was, " Oh, we don't have passports for the kids." So I was, " Oh, let me get... We don't even have their birth certificates." When a baby's born, they don't give you a certificate. It's like, " Oh, you want a birth certificate?" They roll out a Candy Crush map. It's, " Do these six steps and jump over all these hurdles to get your kids' birth certificate." So it's like, you got to do this thing and you go to the city, whatever. So I was like, " Ah, geez, I don't want to do all that." And so, I just searched, get birth certificate online fast, and the San Francisco or whatever, the Bay Area, whatever, the Walnut Creek official birth certificate thing, was like, " Yeah, you can either mail in this stuff or go to our partner, Vital Check and Vital Check will do it." And I was like, " Ah, here's another one." And sure enough-

Sam Parr: I see it. Vital Check.

Shaan: You go to vitalcheck. com.

Sam Parr: There's so many copycats. There's yourvitalcheck.com, and check is spelled C- H- E- K.

Shaan: That's how you know these businesses crush, the number of copycats that pop up. So, it's an official California birth certificate that you can get online. It's government- endorsed, so hundreds of government agencies nationwide exclusively trust Vital Check. So, they basically cut deals with those vendors, and whatever. You go on here, you pay. And I don't know, it's like, whatever 99 bucks or something per birth certificate, you fill out this form and it's done. And it's like, you have to do this. It's a mandatory thing. It's like a DMV thing. Customers aren't just choosing to go get certified, they have to get certified. And so, that's why I love Aceable, that's why I love your DMV one, that's why I love this Vital Check thing-

Sam Parr: This is crazy.

Shaan: ...because you to do it to comply. And you can build these third- party things. And I sent this to Xavier and Sieva, our buddies with Enduring Ventures. I was like, " Dude, this is a beautiful business to buy." Right? Because they're going and trying to buy these businesses that are just cash- flowing, profitable businesses that have defensibility and can be maybe improved by rolling up multiple or centralizing the back office and central operation.

Sam Parr: And the other red... Not red... whatever the opposite of a red flag is.

Shaan: Green flag.

Sam Parr: Positive flag. A green flag. My red flag of this is a killer company is going off, because-

Shaan: Ugly website.

Sam Parr: ...It's an ugly website with a lot of traffic. And it doesn't say who the founder is on the about page. It says we've been in business since 1992, and we do this, this and this. And I can't find a guy on Twitter talking about it. I'm like, oh, okay. So you just...

Shaan: So Sieva got back to me. He's like, " I dug in. Looks like it's owned by a UK public company conglomerate."

Sam Parr: Hold on, LexisNexis?

Shaan: RELX, I think.

Sam Parr: RELX, which owns LexisNexis. It's a multi- billion dollar. It's the most... I believe RELX is the most profitable company in the world, in terms of margins. The big thing they own is, do you know how scientific journaling publishing works?

Shaan: Yeah.

Sam Parr: Basically, these doctors and stuff come up with these amazing insights and scientific journals are, " Yeah, we'll$ 500 for your article." And that's all they get paid. And every university has paid money to get access to these journals. And so, they make four billion in revenue and three billion in profit or something like that.

Shaan: Wow. Yeah. It's it looks like it's a $ 50 billion, a little more than$ 50 billion company. Wow.

Sam Parr: Can you see what the profit, what the income is? They probably don't-

Shaan: 33,000 employees. I can pull up. I mean, I can pull up the-

Sam Parr: I think it's one of the, how do you spell it?

Shaan: R- E- L- X.

Sam Parr: Yeah. I think it's...

Shaan: Dude, how do you know about this? This is another Sam Parr special right here. Just knowing of some random British public company that owns scientific journaling companies and is the most profitable company in the world. How the hell did you know that?

Sam Parr: Confirm that it's, if it's not the most, it's one of the most. And I knew about it because A, I had friends who are getting their PhDs and they were telling me how it works. And I'm like, " Oh, that's a racket." You don't understand. It's dentists and stuff, publishing stuff on teeth. They don't understand how margin works. And I'm like, "They're paying you $ 500 for that? You don't understand shit." So they're just getting ripped off. So I knew right away. And second, when we were launching The Hustle, I love database businesses, and I researched database businesses like crazy. And I came across this company, because they own, it's more like-

Shaan: I'm going to say some of them they own. They own LexisNexis-

Sam Parr: Which is a total conglomerate.

Shaan: ...which is 140 billion legal records and documents. They own PatentSight, it has a patent asset index of 135 million patent documents, Law 360, Lex Machina, which is 88 million, whatever things. There's just ton of database businesses in the legal category.

Sam Parr: And Law 360 it's like The Hustle but for lawyers. I mean, of course, they were first. We were like them for, not lawyers, but it was basically a daily newsletter for lawyers.

Shaan: Yeah, Elon's like me for billionaires.

Sam Parr: Yeah. Yeah. Yeah. The problem that I have about Elon is he just rips off my style. I was using Twitter way before... I was popular on Twitter first.

Shaan: Right. I do memes. He does memes, right?

Sam Parr: He's like the-

Shaan: I'm impulsive, he's impulsive.

Sam Parr: ... WhatI am to podcasts, he is to money.

Shaan: Money, business and innovation.

Sam Parr: Yeah, and dating celebrities.

Shaan: Doesn't have a podcast, though. Got him.

Sam Parr: Yeah. Dude, I was thinking of Jake Paul. We had Jake Paul on the podcast, and I was thinking about it. I was, if I got into an argument with that guy, he could just be, " Well, I'm richer than you." And I'd be like, " Well, I can kick your ass." He's like, " No, I can kick your ass." I'd be like, " Oh, yeah, you can." He's like, " Well, I'd be... " And I'd be like, " Well, I'm famous," and he would be like, "Well, I'm more famous." So I'm like, " Oh, you're everything better." Whatever I think of these people, I'm, " Oh, you are everything I do, you are that, but better. I have nothing I could say to you in a fight. You're just going to win this argument every single time. I'm screwed. And so, sometimes I'll ask myself, " What can I possibly say?" Sometimes I think about Elon and what-

Shaan: No, that's when you have to swerve into the virtue signaling and be like, " Well, I'm just not, I don't chase money and fame."

Sam Parr: Yeah.

Shaan: So yeah, you're way more famous and rich than me, but-

Sam Parr: Well, I wouldn't trade lives with you. You must be miserable.

Shaan: Yeah, I have one thing you'll ever have, enough. That's the moral high ground you can always take on somebody better than you.

Sam Parr: Hey, Elon's like the Sam Parr of, but just of money.

Shaan: Good episode. See you later.( singing)

Sam Parr: All right, let's take a quick commercial break, because there's something cool I got to tell you about. So, have you heard about this HubSpot Creator program? It's basically like an accelerator that's looking to find up- and- coming podcast creators, globally. So, if you're like My First Million, rewind the clock. Two years ago, we just started this thing off. In my head, I thought this could be a great podcast, but we had no listeners. We didn't have operations teams. We didn't have any resources. And now, as we've grown, we do over a million downloads a month now, and we are growing and growing. Top 10 on the business charts. That's where you can get to, too. Right? You just need to have some support along the way. And so, on average, it takes 4, 000 listens just to reach the top one percent of podcast episodes. 99% will never even get to that. Just 4, 000 listens. But with HubSpot Creator program, you're going to be able to get support, like operational support, dedicated editors, producers, things that will help you accelerate the growth of you and your audience. So, whether you're a video creator or you're already podcasting, HubSpot wants to help you share your stories. Check out the inaugural cohort of eight shows and apply to be a part of HubSpot creators at hubspot. com/ creators. Again, that's hubspot.com/ creators. I hope to see you there.

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Shaan Puri (@ShaanVP) and Sam Parr (@TheSamParr) react to Elon Musk's purchase of Twitter and much more.