I certainly can’t give you a better answer for my company than “it depends” or “I don’t really know.”

The company could just be happy to have better margins and be happy the stock finally went up. It might literally do nothing with them or do something economically unproductive like buy back stock.

What I can tell you with certainty is that we aren’t going to hire anyone else or launch any other product as a result. Our business just isn’t at that level of growth potential.

Perhaps we can surmise that money going to shareholders can grow the economy. They’ve got more money to reinvest in other stuff.

But then again, if everyone can shart out a SaaS app with $50 in tokens, what software companies will they want to invest in?

AI gives me that feeling of “what happens to bakers and butchers when the supermarket gets invented and they decide to sell bread and meat at or below cost?”

This is the right question.

Every company has a list of >WACC IRR projects that it can spend saved money on. If not, it’s a cash cow company that wasn’t growing in the first place and will allow shareholders to use the saved cash for other economically expanding projects.

Unless that money is being spent on more tokens, it'll probably be used for stock buybacks.