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Robert F. Smith on AI, Private Equity & Software Investing

CNBC Interview at Vista Equity Partners​

The Business Case for Diversity​

Data has shown that more diverse workforces and boards correlate with lower risk and higher returns. So the math supports the idea.

We just need to make sure that the windows of opportunity—including internships—are open and wide enough, and that we are consciously looking for ways to improve the quality of the work that we do across every industry.

Finding Equilibrium on DEI​

Question: You mentioned the way DEI was administered. I think "administered" was the word you used as maybe being the issue. It almost takes you back to the way you look at equilibrium—whether it's in chemical systems or markets. Did we get out of balance too far in the way we approached DEI? Are we in danger of swinging back too far the other way? Do we need to find our balance?

Robert F. Smith: As you say, that's the definition of an equilibrium system, right? It goes through swings. And at some point, we will find what is the proper balance where we have stability and opportunity can actually produce the best results.

That's part of what our society does. It goes through these swings in different ways, at different points in time, with different magnitude. So part of what we have to do—if we think it swings too far one way—then typically there's a force that brings it back the other way.

But we as business owners have to do what's best for all of our stakeholders, which includes our investors and our employees. What is the environment that they are living in and working in that makes them most productive and brings the best minds and thinking capabilities into that environment every day? That's what our job as senior executives is, in my opinion.

Question: We didn't even get to your book. We'll do that next time because it comes out later in August, I think, correct?

Robert F. Smith: Yeah, it is. I'm excited.

Question: Excited to see it. All right, have fun on that balcony. Thanks for spending time with us. Congratulations.

Robert Smith speaking at Post 9 of Vista Equity Partners