THE COLLAPSE OF TERMINAL VALUE - WHAT HAPPENS IF AI MAKES EVERY MOAT TEMPORARY?

Summary from the TLDR Founders newsletter

$58 trillion in S&P 500 market cap repriced at 5x free cash flow instead of today's 20x means a 75% drawdown - roughly $44 trillion evaporating. That's the math if AI makes every competitive moat temporary instead of durable. Newspapers went from 12-15x EBITDA to 2-4x in a decade, retail followed, and taxi medallions went to zero. The $300-500B/year in AI capex only pencils out if returns are durable, but AI itself is the thing making returns short-lived.