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The Psychology of Power | Michael Ovitz

Feb 3, 2026 1h 36m 55 insights
Michael Ovitz co-founded CAA and helped reshape Hollywood, then took the same playbook into tech investing and advising founders. In this conversation, he breaks down the operating rules that kept CAA from losing clients, and the personal disciplines that kept him grounded when the stakes got massive. You’ll learn how to build momentum, tell the truth without hesitation, read for context instead of noise, hire people who raise the standard, and package ideas into outcomes. ----- Upgrade: Get a hand-edited transcript and an ad-free experience, along with my thoughts and reflections at the end of every conversation. Learn more @ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠fs.blog/membership⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ ------ Approximate Timestamps:
Actionable Insights

1. Pursue Work You Love

Ensure you are doing work you love, or actively seek a new role or understand why you’re unhappy, because fighting your job prevents exceptional performance.

2. Embrace Constant Learning

Commit to being on a constant and progressive learning curve throughout your life, continuously seeking knowledge and understanding in all areas.

3. Embrace Failure as a Badge

View failure as a badge of honor and an inevitable part of the journey; get back up, keep trying, and don’t let past failures deter you from striving for greatness.

4. Strive for Market Dominance

Approach business with a monopolist mindset, aiming to be the absolute best and eliminate competition rather than just coexist with it.

5. Embrace Multifaceted Success

Understand that success is multifaceted, composed of many small accomplishments and parameters that add up to a complete picture, rather than a single definition.

6. Eliminate Mediocrity

Actively combat mediocrity in yourself and your interactions, seeking to be challenged and pushed by people who demonstrate genuine interest and passion.

7. Build on Past Experiences

Do not dwell on past mistakes or successes; instead, view them as history and actively build upon those experiences for future growth.

8. Insight 8

Focus on winning in business, not on popularity, as the primary objective.

9. Maintain Voracious, Diverse Reading

Cultivate a habit of voracious and diverse reading across many disciplines, quickly scanning and identifying articles for in-depth review to stay broadly informed.

10. Efficiently Scan for Key Information

When reading, focus on headlines and the opening and closing paragraphs of articles to quickly grasp the main points and context without reading cover-to-cover.

11. Consume Diverse News Sources

To gain a balanced perspective, consume news from multiple sources (e.g., CNN, Fox, Sky News) to identify different spins and biases.

12. Distinguish Fact from Opinion

When consuming news, actively filter out the writer’s opinion from factual reporting, unless it is explicitly an op-ed piece.

13. Continuously Learn to Stay Current

Engage in continuous learning, especially by interacting with young innovators and founders, to stay current and relevant in your field.

14. Learn from Others’ Mistakes

When seeking advice or learning, prioritize understanding others’ failures and the conditions under which they occurred, to avoid making similar mistakes yourself.

15. Recognize AI Bias

Be aware that AI tools can reflect the biases of their programmers; critically evaluate the information provided by different AI sources.

16. Prioritize Honesty in Communication

Always tell the truth; if you don’t know an answer, admit it and commit to finding out, rather than making something up.

17. Avoid Negative Talk

Refrain from bad-mouthing non-clients’ products or anyone else, as negativity makes you look weak and unappreciative; if you have a problem, address it directly and privately.

18. Foster a Positive Environment

Actively cultivate a positive environment by avoiding negative talk and bad-mouthing, aiming for a more reserved and constructive approach.

19. Cultivate Relationships Efficiently

Be efficient in communications and view relationships as valuable “collections” worth investing time in, especially if they are two-way.

20. Prioritize Meeting Interesting People

Base hiring, investing, and networking decisions on a genuine interest in the people you meet, seeking out those who are interesting and engaging.

21. Develop Multidisciplinary Conversational Skills

Stay informed about various careers, functions, interests, and hobbies to facilitate engaging conversations and connect with diverse individuals.

22. Trust Respected Referrals

Always agree to meet someone recommended by a respected individual, even if initially disinclined, as it can lead to unexpected opportunities.

23. Prioritize Trust, Avoid Betrayal

Uphold trust as the most important element in human relationships and avoid betrayal, as it can be deeply damaging and difficult to recover from.

24. Recover from Betrayal Resiliently

After experiencing betrayal, avoid generalizing distrust to everyone; instead, show resilience by getting back on your feet and re-engaging, even if with increased caution.

25. Increase Trust Sensitivity

After experiencing betrayal, become more discerning and sensitive about who you choose to trust, strengthening your personal boundaries.

26. Avoid Politics at Dinner

Make it a policy to avoid discussing politics at the dinner table to prevent conflict and maintain a more harmonious social environment.

27. Implement Team-Based Client Service

Structure client relationships with multiple agents to ensure comprehensive support and prevent client loss if they tire of one individual.

28. Prioritize Internal Communication

Prioritize responding to associates before clients or buyers to foster internal empowerment and ensure everyone is up-to-speed.

29. Eliminate Internal Ego

Operate without ego regarding roles or information sharing, allowing clients to be the focus of the “ego business” while maintaining internal humility.

30. Cultivate Founder Success Traits

Develop passion, deep understanding, numerous ideas, strong connections, openness to critique, humility (avoiding arrogance), succinct communication, and enthusiasm to increase chances of success.

31. Utilize Leverage Strategically

Understand and strategically utilize leverage as a critical principle in building a business, enabling effective delivery for clients, marketing, sales, and negotiation.

32. Master the Art of Packaging

View “packaging” – the strategic combination of disparate elements – as a fundamental aspect of life and business, constantly seeking to put elements together effectively.

33. Consciously Build Momentum

Understand that momentum is not instantaneous but must be consciously built step-by-step, like laying a foundation, and requires continuous effort without quitting.

34. Sustain Momentum Relentlessly

Once momentum is being built, commit to not quitting, as continuous effort is crucial for its sustained growth and success.

35. Insight 35

Recognize momentum as the single most important factor in all endeavors, from personal interests to business and sports.

36. Build Momentum with Deep Work

Generate momentum through extraordinarily hard, industrious work, deep education in your field and its peripheries, understanding competitors, and strategic recruitment.

37. Proactively Identify Top Talent

In every meeting, consistently ask about outstanding individuals, top performers, or those who have excelled, to proactively identify and recruit the best talent.

38. Delegate to the Busiest People

When you need a task completed reliably, delegate it to the busiest person you know, as they are more likely to get it done than someone with ample free time.

39. Reciprocate Past Help

Maintain a record of those who helped you early in your career and actively assist them when they face difficulties, ensuring they receive a job or financial support.

40. Restore Dignity, Not Just Money

When helping someone in need, prioritize restoring their dignity by finding them work, rather than just providing financial aid.

41. Use Confrontation as a Tool

View confrontation as a necessary tool in your toolkit, especially when defending friends, family, or clients, and be fiercely loyal to those who have helped you.

42. Never Discount Tech Possibilities

In technology, never discount any possibility, as the rapid pace of innovation means almost anything can happen.

43. Elect Business-Experienced Leaders

Advocate for electing political leaders (mayor, governor, president) who have at least five years of experience running a business, demonstrating practical management skills.

44. Allocate Time for Personal Life

Reflect on reallocating a small percentage (e.g., 10%) of intense business time to family, hobbies, and personal interests, trusting momentum and team support to maintain business progress.

45. Schedule Personal Time Explicitly

Proactively block out personal time on your calendar to ensure it is protected and not inadvertently filled with other commitments.

46. Start Small with Time Reallocation

Begin by making small, intentional reductions (e.g., 2%) in work time to dedicate to personal pursuits, even when dopamine from success encourages constant work.

47. Prioritize Family as Legacy

Define success primarily by having an amazing family, recognizing it as your ultimate legacy.

48. Protect Family & Business Privacy

Prioritize and protect your nuclear and business families with privacy, avoiding public discussions or bad-mouthing to the press.

49. Find Joy in Building

Seek fulfillment and define success by the act of building things from scratch, whether businesses or other creations.

50. Cherish Family Gatherings

Prioritize and cherish family gatherings like Thanksgiving, valuing them as opportunities for connection without the pressure of forced gift-giving.

51. Disregard Fleeting Public Opinion

Do not believe or be fazed by publicity, good or bad, or “power lists,” recognizing that power and public perception are ephemeral and fleeting.

52. Ignore Critics, Prove Them Wrong

Disregard what critics say about you, and instead, focus your energy on proving them wrong through your actions and success.

53. Always Seek the Next Opportunity

Adopt a mindset of resilience, understanding that if one endeavor doesn’t work out, there is always another opportunity (“another rodeo”) to pursue.

54. Embrace Knowledge for Context

Actively embrace knowledge by reading and indexing it in your head for context to empower yourself, but avoid using it to be argumentative or deceitful.

55. Cultivate Broad Interests

Actively diversify your interests beyond your primary field, engaging with different communities (e.g., art, theater, intellectual) to develop depth and breadth.