Mark Cuban Urges Axed 18F Employees To Form A StartUp, Offers To Invest

Entrepreneur Mark Cuban has encouraged former 18F employees to form a consulting firm, promising his investment and assistance.

What Happened: On Sunday, Cuban took to BlueSky social app to advise the recently laid-off employees of 18F, a government tech unit. He suggested that they band together and start a consulting company.

“It’s just a matter of time before DOGE needs you to fix the mess they inevitably create. They will have to hire your company as a contractor to fix it. But on your terms. I’m happy to invest and/or help”, he posted.

Early Saturday, the Donald Trump administration dismantled a team of tech-savvy civil servants responsible for developing the IRS’s free tax-filing service and improving government websites. Thomas Shedd, the Director of Technology Transformation Services at General Service Administration (GSA) and a former Tesla engineer informed employees of the digital service team 18F that their positions had been eliminated after being classified as “non-critical.” Nearly 85 employees at 18F were instantly locked out of their devices.

This action was a part of the workforce optimization initiative by the Department of Government Efficiency (DOGE) overseen by Elon Musk.

The 18F team was introduced in 2014 during the administration of former President Barack Obama.

SEE ALSO: Jamie Dimon Slams ‘Inefficient’ US Government, Backs Elon Musk’s DOGE Initiative

Why It Matters: The billionaire’s post comes in the wake of the sudden elimination of 18F, a move that has sparked controversy. Cuban’s tweet indicates his belief that DOGE will eventually need the expertise of the 18F team to rectify any potential problems. His offer to invest in and assist a potential consulting firm formed by the former 18F employees signals his confidence in their abilities and the necessity of their work.

"Over time, it takes just a few winners to work wonders." -- Warren Buffett, from the 2022 Berkshire Hathaway letter to shareholders

One big winner can make a fortune. No one knows this better than the Oracle of Omaha.

Take Apple, one of Buffett's most famous investments. A $50,000 investment, made in 2007 -- the same year the iPhone debuted -- would have grown to a cool $3.5 million today, a mere 17 years later.

Are there any stocks out there today with that type of potential? Of course. Here are three that might have what it takes.

Image source: Getty Images.

Microsoft: The Giant's Stride in AI

Topping the list is Microsoft (NASDAQ: MSFT). The company that made former CEOs Bill Gates and Steve Ballmer some of the richest men in the world is once again the largest company on the face of the Earth with a market cap topping $3 trillion. And thanks to its many artificial intelligence (AI)-related ventures...

Let's start with the company's cloud services business. It's already a massive moneymaker for Microsoft, generating $25.9 billion in its most recent quarter (the three months ended Dec. 31, 2023). That makes it the second-largest cloud services vendor globally, trailing only Amazon Web Services.

As AI usage ramps up, Microsoft stands to benefit from increased cloud services. Indeed, after decelerating some in 2022, cloud spending appears to be reaccelerating as organizations explore how AI can improve their processes and generate efficiencies.

In addition, Microsoft's longstanding partnership with OpenAI, the company behind ChatGPT, makes Microsoft a major player in the race to develop the next AI breakthrough.

Microsoft has multiple pathways to riches on the AI front. Given its outstanding track record and excellent management, Microsoft could be one AI stock that makes many fortunes going forward.

CrowdStrike: Safeguarding Fortunes with AI

Next is CrowdStrike (NASDAQ: CRWD). While nowhere near the size of Microsoft, CrowdStrike is still likely to make a number of fortunes in the coming years, thanks to its cutting-edge AI-powered cybersecurity offerings.

The company runs perhaps the premier cybersecurity platform available today, which protects networks, endpoints, and data through add-on modules that are tailored to its customers' needs...

Financially, CrowdStrike is rocking and rolling. In its most recent quarter (the three months ended Oct. 31, 2023), the company reported $786 million in revenue, up 35% from a year earlier. Moreover, annual recurring revenue (ARR)...

In short, this means CrowdStrike is growing its subscription base, through bringing in new customers and by upselling additional security modules to existing customers.

At any rate, the company's solid growth points to big things ahead, as the number of cyber threats continues to grow -- meaning CrowdStrike's growth curve could extend for many years to come.

Nvidia: Riding the AI Wave to Great Heights

Last, but by no means least, is Nvidia (NASDAQ: NVDA). Let's face it: No company or stock has ridden the AI wave better or to greater heights than Nvidia. The company is now America's third-largest public company...

Exploring the Meteoric Rise of Nvidia in the Tech MarketThe Unstoppable Ascendancy of Nvidia in the Tech Market

Supporters argue that DOGE eliminates unnecessary expenses, while critics contend that it is causing chaos, endangering vital services, and encountering significant legal challenges.

A report in The Guardian indicates that the DOGE has revoked more than 1,100 federal contracts, yet nearly 40% of these cancellations resulted in no actual cost savings. Furthermore, another Wall Street Journal analysis suggests the department may have overstated its savings from federal spending cuts.

Image via Shutterstock

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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