Musk and Buffett make a natural pair trade

Musk and Buffett make a natural pair trade

Kerry Wise
May 8, 2018

Not much is now known about this notional candy company, let alone whether Musk is indeed serious about starting a company of such stark contrast to his other ventures, including cars, power walls, solar panel roofs, and colonizing Mars.

Musk caught wind of this and retweeted a story about it, along with a link from the movie Trolls, possibly because he knew he was about to troll Buffett on Twitter, big time.

During a quarterly earnings call last week, Musk dismissed the concept of moats. "They're like nice in a sort of quaint, vestigial way".

"If your only defense against invading armies is a moat, you will not last long", said Musk, adding that constant innovation is what makes a company successful.

Twitter Reacts As Tony Bellew Stops David Haye In Round Five
Haye began to let his own hands go and was starting to connect with solid shots, which were troubling Bellew. In the third round, Bellew twice sent Haye to the canvas thanks to a pair of powerful right-hand punches.

With Berkshire's 2018 annual meeting in the books, users can revisit the highlights in CNBC's Warren Buffett Archive, which houses searchable video from 25 full annual meetings, going back to 1994, synchronized to 2600 pages of transcripts. Is he actually being serious or just trolling Warren Buffett over the concept of moats?

Buffett acceded that moats have become susceptible to invasions recently but stuck to his time-tested formula. The two sparred over conflicting business models, with Buffet-who is the owner of Sees Candies-commenting that Musk wouldn't "want to take us on in candy". "There are some pretty good moats around". See's Candy, one of Berkshire Hathaway's holdings, is often cited as the best example. And, according to Warren Buffett's own admission, over 40 years it has brought in a staggering $1.65 billion in total profits.

On Monday, Tesla began the process of what Chief Executive Elon Musk called scrubbing the "barnacles" off of the company with what was described as a new, brutal regime with regards to Tesla contractors.

Tesla founder Musk replied through Twitter that he was "starting a candy company & it's going to be wonderful", joking later that he would build a moat and fill it with candy.