Daily Earnings: AI labor cuts & margin subsidies (NET, MCD, RKLB) | May 7

Today's earnings reports reveal a stark contrast in corporate strategy, as high-growth software platforms lean into mass human replacement while consumer brands and infrastructure builders intentionally burn profit margins to maintain scale.- Cloudflare (NET) and Airbnb are actively cutting headcounts as AI natively handles software coding.- CoreWeave and Rocket Lab (RKLB) are punishing their near-term financials to buy up physical bottlenecks.- McDonald's (MCD) corporate locations are deliberately eating margin losses to fund three-dollar survival menus.The operational reality of scaling up is fracturing between frictionless tech entities generating enormous leverage and physical-world operators paying massive upfront tolls to bypass physical limits.