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Speaker 1: This is what the flucks.

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Speaker 2: I'm bred and I'm justin and it's Friday, the twelfth

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Speaker 2: of December.

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Speaker 1: Juse boy. The final unemployment rate numbers for twenty twenty

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Speaker 1: five are in and they are flat. Yeah, the jobless

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Speaker 1: held steady at four point three percent in November, but interestingly,

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Speaker 1: there were twenty one thousand fewer people in work. How

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Speaker 1: doesn't actually work? There was a decline in the number

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Speaker 1: of people actively looking for work. No surprises when the

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Speaker 1: holiday season's coming up.

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Speaker 2: No surprises at all. We want a bit of a

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Speaker 2: break as we head into the middle of December when

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Speaker 2: things getting pretty expensive. One thing that can help you

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Speaker 2: out is winning fifty bucks at the end of a week.

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Speaker 2: That is all part of our weekly game Quick Sticks,

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Speaker 2: where week give way fifty bucks for the first person

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Speaker 2: to answer three business or finance questions correctly. So if

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Speaker 2: you want to win the fifty bucks today, make sure

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Speaker 2: you download the Flux out and turn on you notifications

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Speaker 2: to win.

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Speaker 1: Three marvelous stories today. Juzzy boy, let's do it for

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Speaker 1: our first. Australia's world first under sixteen social media band

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Speaker 1: has officially kicked in and that means TikTok Meta and

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Speaker 1: snap are plodding their next move.

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Speaker 2: No more doom scrolling for the under sixteens, b man.

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Speaker 2: So what is the update?

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Speaker 1: So rewind to November twenty twenty four, Juzzy boy, the

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Speaker 1: Australian government passed a new law to ban social media

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Speaker 1: usage for people under sixteen, and.

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Speaker 2: They weren't messing around. We're talking to Instagram and TikTok

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Speaker 2: and YouTube and Snapchat and Reddit and a couple of

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Speaker 2: others all gone for under sixteens at least.

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Speaker 1: The goal of this legislation is to protect children from

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Speaker 1: online harm and reduce bullying and.

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Speaker 2: B man, these platforms are given more than a year

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Speaker 2: to get their act together in time for the band.

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Speaker 1: Well, jusey boy, the day finally arrived on Wednesday.

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Speaker 2: Yeah, the band is officially in place, and if the

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Speaker 2: social media platforms don't cooperate, they could be slapped with

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Speaker 2: up to fifty million dollars in fines. Ouch.

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Speaker 1: So how's it going to work?

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Speaker 2: Well, if the platform suspects someone who is under sixteen,

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Speaker 2: then they have an obligation to shut down the account.

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Speaker 1: Unless the user can pass an age verification check.

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Speaker 2: But the technology isn't perfect and young Australians are already

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Speaker 2: finding workarounds.

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Speaker 1: Like switching to other social media platforms like Lemonade and YopE.

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Speaker 2: Not to mention, brands also have to find new ways

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Speaker 2: to reach the young audience members in this new digital age.

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Speaker 1: So what's the key learning here?

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Speaker 2: A ban on an entire demographic doesn't just shift user

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Speaker 2: behaviors for those affected, it can change entire business models. Yep.

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Speaker 1: A report by the E Safety Commissioner wouldveal that ninety

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Speaker 1: six percent of children aged between ten and fifteen use

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Speaker 1: social media.

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Speaker 2: And another report shows that Jen Alpha kids between five

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Speaker 2: and fifteen spend on average two and a half hours

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Speaker 2: a day on social media.

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Speaker 1: That is a whole lot of brain rot for jen Alpha.

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Speaker 2: Yeah you see man man. Under sixteens on social media

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Speaker 2: are also the growth engines for many businesses yep.

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Speaker 1: And huge brands have even built entirely new product offerings

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Speaker 1: after attracting Gen Alpha online.

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Speaker 2: Yeah, like Sephora, who developed four Kids to specifically target

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Speaker 2: Jen Alpha trends.

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Speaker 1: So does it well? Not only is this band going

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Speaker 1: to shift the number of users on social media platforms,

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Speaker 1: it's also going to force some businesses to rethink how

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Speaker 1: they acquire new customers.

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Speaker 2: And raise the question whether brands should even be thinking

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Speaker 2: about acquiring young teens in the first place.

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Speaker 1: For our second story, ASIK is on a finding spree

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Speaker 1: after hitting companies like Grilled, Bob Jane and MJ Bail

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Speaker 1: with fines for failing to lodge their financial accounts.

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Speaker 2: ASA candy out finds like their tickets to a Carols

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Speaker 2: by Candilate Conceptbeman tell me.

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Speaker 1: More, all right, So, the Australian Securities and Investments Commission

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Speaker 1: aka ASSEK is Australia's corporate regulator.

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Speaker 2: They keep a very close eye on Australia's corporate compliance.

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Speaker 1: And while we know public companies need to disclose their

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Speaker 1: financial accounts to the market, large proprietary companies also need

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Speaker 1: to disclose their deepest, darkest financial details.

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Speaker 2: Companies with more than fifty million revenue and one hundred

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Speaker 2: employees are considered large and also need a report.

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Speaker 1: And now ASIK has had just about enough of some

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Speaker 1: of these large proprietary companies who have failed to play

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Speaker 1: by the rules and the regulations.

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Speaker 2: Yep ASK has issued two point two million dollars worth

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Speaker 2: of infringement notices to twelve high profile companies.

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Speaker 1: We've been talking fession brands like White Fox, Boutique, MJ

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Speaker 1: bail and Age, as well as Grilled.

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Speaker 2: And these fines were allegedly for failing to lodge they

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Speaker 2: audited financial accounts for FI twenty four and Juzuboit.

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Speaker 1: Many of the execs from large proprietary companies claimed the

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Speaker 1: failure was just an administrative oversight.

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Speaker 2: And some others called it a recent sourcing issue.

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Speaker 1: But the size of the fines may also be contributing

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Speaker 1: to all of this.

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Speaker 2: So true, So what is the key learning here?

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Speaker 1: When the cost of breaking the rules is cheaper than

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Speaker 1: following them, enforcement can often stop working.

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Speaker 2: Yeah. For some large private companies, lodging audited accounts can

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Speaker 2: be a significant change to their current processes. It means

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Speaker 2: hiring bigger finance teams, it means engaging auditors, and it

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Speaker 2: means revealing performance they might wish to keep private. So maman.

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Speaker 2: If the fine is smaller than those costs, some businesses

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Speaker 2: might treat the fine as a fee rather than a deterrent.

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Speaker 2: In fact, of two hundred and seventeen companies investigated, one

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Speaker 2: hundred and fifty one of those companies were non compliant,

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Speaker 2: More than seventy percent non compliance.

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Speaker 1: Right now the fine for failing to provide the info

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Speaker 1: is up to one hundred ninety eight thousand dollars for

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Speaker 1: single failure, So our zig is trying to raise the

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Speaker 1: stakes by making the fines more expensive.

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Speaker 2: So expensive that non compliance becomes a big, big problem

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Speaker 2: for the businesses.

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Speaker 1: For our third and final story, chatjbt has officially become

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Speaker 1: the most downloaded free iPhone app for twenty twenty five,

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Speaker 1: meaning it's overtaken your tiktoks, Instagrams, and even your Googles.

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Speaker 2: Just when the social media companies thought that the under

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Speaker 2: sixteen's band was bad, they get hit with this tell

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Speaker 2: me mom.

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Speaker 1: So we know that chatjpt got to jump on all

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Speaker 1: the other AI chatbots when it launched in November twenty

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Speaker 1: twenty two.

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Speaker 2: And since then other chatbots like Claude and Perplexity and

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Speaker 2: deep Sea they've also launched too, but.

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Speaker 1: Josey boy in none have been as broadly used as

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Speaker 1: chat GPT.

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Speaker 2: And now chatjpt's topped Apple's annual list of most downloaded

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Speaker 2: free iPhone apps.

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Speaker 1: Yep it beat out Threads, TikTok, Instagram, Google Maps, Gmail,

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Speaker 1: And to.

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Speaker 2: Put this into perspective, CHATJPT was only the fourth most

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Speaker 2: downloaded free app last year, didn't even crack the top

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Speaker 2: ten in twenty twenty three, and bie man, I know

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Speaker 2: you're a big game art. So Apple also released its

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Speaker 2: wider rankings and block Blasts took out the top three.

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Speaker 1: K and you're like this one, Josey Boy Minecraft topped

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Speaker 1: the paid list.

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Speaker 2: Look at that for you, yeah, and be made. This

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Speaker 2: shows just how quickly AI chatbots have moved from the

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Speaker 2: cool party trick to a daily essential for millions of people.

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Speaker 1: It is, so what is the key learning here?

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Speaker 2: In technology? Becoming the default option is often more powerful

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Speaker 2: than being the option.

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Speaker 1: When it all becomes the instinctive first step in any

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Speaker 1: individual's workflow, it builds a moat that's hard for competitors

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Speaker 1: to cross.

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Speaker 2: Yeah, that's how Google on the Search was, and it's

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Speaker 2: how Google Maps replace the old mel ways and the

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Speaker 2: old sidways and the Garman and Tom Tom as well.

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Speaker 1: And chetchpt's rise to the number one spot really signals

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Speaker 1: that it's fast becoming a new default behavior.

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Speaker 2: So b Man, well, it's a nice feather in chatch

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Speaker 2: epts cap. Being number one it means so much more

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Speaker 2: to them, but also to competitors like Google Flux Mam.

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Speaker 2: It has been another big year of big business news

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Speaker 2: and big podcast from the Flux team. It is our

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Speaker 2: last episode of the year of bite sized business news,

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Speaker 2: but over the next week we'll be having recaps of

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Speaker 2: some of the biggest stories in the biggest sectors for

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Speaker 2: this year. Think tech, think AI, think ratail so big.

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Speaker 2: Thank you once again for listening to What the Fluck

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Speaker 2: podcast in twenty twenty five and looking forward to an

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Speaker 2: even biggert twenty twenty six with you.

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Speaker 1: Thanks for listening and we'll see you on Monday.