The Abundance Paradox: Why Netflix Paid $82B for Scarcity

• Netflix paid $82B for Warner Bros IP: Batman, HP, GoT, Sopranos, Matrix.
• Core thesis: cheap reproduction makes originals more valuable, not less.
  • Musée d’Orsay precedent — Industrial Revolution printing drove up original art prices.
  • AGI/cheap content creation follows the same curve.
• Attention is the scarce resource; content volume approaches infinite.
  • Content marginal cost → zero means human attention becomes primary currency.
• Nostalgic IP is structurally defensible against AI replication.
  • Even slight voice/character deviations feel wrong to audiences — emotional immune system.
  • Authenticity premium compounds as synthetic content floods the market.
• Abundance of intelligence drives scarcity premium on familiar, trusted brands.

Konstantine Buhler (Sequoia Capital) · 2025-12-09 · Read on sequoiacap.com