1 00:00:05,200 --> 00:00:06,600 Speaker 1: This is what the flux. 2 00:00:06,640 --> 00:00:09,280 Speaker 2: I'm Brettan, I'm justin and it's Frida. Eighty eleventh of July. 3 00:00:09,720 --> 00:00:12,080 Speaker 1: Boy, it is official. There is a company on this 4 00:00:12,119 --> 00:00:15,120 Speaker 1: earth that is now worth four trillion US dollars. It's 5 00:00:15,160 --> 00:00:18,160 Speaker 1: not Google, not Apple, not Microsoft. It's in Nvidia cracked 6 00:00:18,200 --> 00:00:20,880 Speaker 1: over the four trillion US dollar mark yesterday and has 7 00:00:20,880 --> 00:00:24,520 Speaker 1: become the most valuable company in the whole why the universe, from. 8 00:00:24,360 --> 00:00:27,280 Speaker 2: A little gaming company to the largest very impressive yeap 9 00:00:27,440 --> 00:00:30,479 Speaker 2: flexand quick Sticks is back this week. Fifty bucks in 10 00:00:30,520 --> 00:00:32,720 Speaker 2: your pocket if you are the first person to answer 11 00:00:32,840 --> 00:00:35,599 Speaker 2: three business and finance questions correctly in the Flux out 12 00:00:35,640 --> 00:00:38,000 Speaker 2: It'll come at a random time today to your phone 13 00:00:38,120 --> 00:00:40,080 Speaker 2: to make sure you have the Flux app downloaded and 14 00:00:40,120 --> 00:00:41,959 Speaker 2: your notications turned on. If you want to win this. 15 00:00:41,880 --> 00:00:45,280 Speaker 1: Week, you can three swanlike stories today. Dozey boy, let's 16 00:00:45,280 --> 00:00:48,720 Speaker 1: do it for our first. Telstra is planning another mass 17 00:00:48,960 --> 00:00:51,920 Speaker 1: jobcat of over five hundred jobs as it pushes to 18 00:00:52,000 --> 00:00:54,640 Speaker 1: hit its new twenty thirty strategy with AI. 19 00:00:55,160 --> 00:00:57,880 Speaker 2: We knew it was coming to be man ai replacing human jobs, 20 00:00:57,880 --> 00:00:58,720 Speaker 2: so tell me more well. 21 00:00:58,760 --> 00:01:01,160 Speaker 1: Telstra was founded in nine teen oh one, a little 22 00:01:01,200 --> 00:01:04,479 Speaker 1: earlier than AI was invented, and Telster remains Australia's largest 23 00:01:04,480 --> 00:01:05,280 Speaker 1: telco provider. 24 00:01:05,360 --> 00:01:07,640 Speaker 2: Get this, b Man. Telster provides more than twenty four 25 00:01:07,760 --> 00:01:10,160 Speaker 2: million retail services across Australia. 26 00:01:10,200 --> 00:01:13,639 Speaker 1: That'd be Ozzi's using Telstra to text to call doom 27 00:01:13,760 --> 00:01:15,080 Speaker 1: scroll on the Internet. 28 00:01:15,200 --> 00:01:18,240 Speaker 2: That is a pretty big responsibility, particularly the doom scrolling. 29 00:01:18,319 --> 00:01:20,640 Speaker 1: Yeah, that's why they employ about thirty one thousand full 30 00:01:20,680 --> 00:01:21,760 Speaker 1: time workers around the world. 31 00:01:22,000 --> 00:01:24,679 Speaker 2: Recently, b Man Ulstra has been swinging the old corporate 32 00:01:24,680 --> 00:01:25,000 Speaker 2: Act well. 33 00:01:25,080 --> 00:01:28,080 Speaker 1: Last year, Telstra cut twenty eight hundred jobs to save 34 00:01:28,200 --> 00:01:30,399 Speaker 1: the company about three hundred and fifty million bucks. 35 00:01:30,440 --> 00:01:32,720 Speaker 2: It was all part of their T twenty five strategy 36 00:01:32,800 --> 00:01:34,840 Speaker 2: that was set years ago. But now be Man Telster 37 00:01:34,959 --> 00:01:38,360 Speaker 2: CEO has announced a new strategy called Connected Future thirty. 38 00:01:38,440 --> 00:01:39,959 Speaker 2: You have to have a buzzy name like that. You 39 00:01:40,000 --> 00:01:42,800 Speaker 2: can't not exactly and be man. This new strategy aims 40 00:01:42,800 --> 00:01:45,520 Speaker 2: to raise Telster's and your returns from eight percent to 41 00:01:45,600 --> 00:01:47,040 Speaker 2: ten percent by twenty thirty. 42 00:01:47,080 --> 00:01:49,560 Speaker 1: Step one, they're going to cut another five hundred. 43 00:01:49,320 --> 00:01:53,520 Speaker 2: Jobs without supposedly dropping connectivity or customer service standards. 44 00:01:53,800 --> 00:01:54,800 Speaker 1: How do they plan to do this? 45 00:01:54,880 --> 00:01:57,920 Speaker 2: Well, obviously, by implementing more AI in the business. 46 00:01:57,920 --> 00:01:59,520 Speaker 1: Interesting, So what is the key learning here? 47 00:01:59,560 --> 00:02:02,320 Speaker 2: The theory AI would one day replace human workers has 48 00:02:02,320 --> 00:02:04,960 Speaker 2: been floating around for decades, but now we're starting to 49 00:02:05,000 --> 00:02:07,000 Speaker 2: see some real tangible examples. 50 00:02:07,080 --> 00:02:09,079 Speaker 1: Jasi Boyd this is one of the first examples of 51 00:02:09,120 --> 00:02:12,480 Speaker 1: a large Australian company to openly adopt AI as a 52 00:02:12,760 --> 00:02:14,240 Speaker 1: replacement for jobs. 53 00:02:14,000 --> 00:02:15,840 Speaker 2: And be Man this could just be the beginning. 54 00:02:15,880 --> 00:02:18,360 Speaker 1: According to a report from the Social Policy Group, up 55 00:02:18,360 --> 00:02:21,119 Speaker 1: to one in three Australian workers could be at risk 56 00:02:21,160 --> 00:02:23,440 Speaker 1: of job loss due to AI by twenty thirty. 57 00:02:23,280 --> 00:02:25,359 Speaker 2: And be Man or companies tend to tiptoe around the 58 00:02:25,360 --> 00:02:28,480 Speaker 2: topic of AI to avoid public backlash. Shareholders seem to 59 00:02:28,480 --> 00:02:30,920 Speaker 2: have a very different outlook on the AI adoption. 60 00:02:31,000 --> 00:02:33,440 Speaker 1: As of this week, Telstra shares have jumped over twenty 61 00:02:33,480 --> 00:02:34,960 Speaker 1: one percent since the start of the. 62 00:02:35,000 --> 00:02:37,320 Speaker 2: Year wow, and over thirty percent over the past twelve. 63 00:02:37,160 --> 00:02:39,720 Speaker 1: Months, making it the tenth best performing company on the 64 00:02:39,720 --> 00:02:42,440 Speaker 1: ASX and the best in the telco sector. So be Man, 65 00:02:42,520 --> 00:02:45,120 Speaker 1: we're now entering the era where AI isn't just theory, 66 00:02:45,280 --> 00:02:48,280 Speaker 1: it's becoming a core part of some major company strategies. 67 00:02:48,320 --> 00:02:52,240 Speaker 1: For our second story, Donald Trump's new threat of tariffs 68 00:02:52,280 --> 00:02:56,480 Speaker 1: on overseas pharmaceutical companies has put Australia's farmer industry right 69 00:02:56,639 --> 00:02:58,000 Speaker 1: in the firing line. 70 00:02:58,120 --> 00:03:01,280 Speaker 2: CSL investors having Trump fueled no ightmnes right now, be man, 71 00:03:01,360 --> 00:03:02,280 Speaker 2: so tell me what's going on. 72 00:03:02,400 --> 00:03:04,680 Speaker 1: Well, you might remember, Josie Way, we spoke about Trump's 73 00:03:04,680 --> 00:03:06,040 Speaker 1: global tariffs in mid April. 74 00:03:06,120 --> 00:03:09,840 Speaker 2: At the time, these enormous tariffs led to an economic meltdown. 75 00:03:09,440 --> 00:03:11,959 Speaker 1: With US markets dropping more than seven percent at the time. 76 00:03:12,280 --> 00:03:14,640 Speaker 2: But be man, Trump delayed those tariffs by ninety days. 77 00:03:14,720 --> 00:03:16,839 Speaker 2: And guess what, It's now getting close to ninety days 78 00:03:16,880 --> 00:03:19,640 Speaker 2: later and tariffs have read their ugly heads once again. 79 00:03:19,680 --> 00:03:22,440 Speaker 1: Well, you see, Trump said he's fed up with countries 80 00:03:22,560 --> 00:03:25,160 Speaker 1: quote free riding off American drug innovations. 81 00:03:25,160 --> 00:03:27,640 Speaker 2: So this time around, Trump's threatened to slap two hundred 82 00:03:27,680 --> 00:03:31,320 Speaker 2: percent tariffs on imported pharmaceuticals. 83 00:03:30,440 --> 00:03:32,200 Speaker 1: After an eighteen month grace period. 84 00:03:32,240 --> 00:03:35,080 Speaker 2: And be man, that is pretty scary for Australia's major 85 00:03:35,120 --> 00:03:38,200 Speaker 2: farmer companies because the US buys more than a third 86 00:03:38,320 --> 00:03:40,120 Speaker 2: of all ossie farmer exports. 87 00:03:40,160 --> 00:03:43,200 Speaker 1: In fact, Ozzie farmer and biotech companies like CSL are 88 00:03:43,240 --> 00:03:44,400 Speaker 1: starting to panic and. 89 00:03:44,360 --> 00:03:47,280 Speaker 2: Begging the government to do something about this asap. So 90 00:03:47,400 --> 00:03:48,480 Speaker 2: what is the key landing here? 91 00:03:48,520 --> 00:03:50,720 Speaker 1: When you rely on one country to buy a large 92 00:03:50,760 --> 00:03:53,800 Speaker 1: chunk of your products, their politics can become your problem. 93 00:03:53,800 --> 00:03:57,160 Speaker 2: O be Man. Australia's pharmaceutical sector is highly exposed to 94 00:03:57,200 --> 00:03:57,600 Speaker 2: the US. 95 00:03:57,800 --> 00:04:00,720 Speaker 1: Get this one. Roughly thirty eight percent of Australia's exports 96 00:04:00,760 --> 00:04:01,720 Speaker 1: go to the US and that. 97 00:04:01,720 --> 00:04:04,120 Speaker 2: Means even a small policy shift in the US can 98 00:04:04,160 --> 00:04:05,640 Speaker 2: have an outsized impact here. 99 00:04:05,760 --> 00:04:08,400 Speaker 1: In this case, it ain't a small policy shift. It's 100 00:04:08,440 --> 00:04:11,040 Speaker 1: a ginormous two hundred percent of tariff. 101 00:04:10,680 --> 00:04:13,280 Speaker 2: And the Farmers Guild of Australia reckon these monster teriffs 102 00:04:13,320 --> 00:04:16,279 Speaker 2: could crumble the whole farmer industry in Australia if this 103 00:04:16,400 --> 00:04:17,120 Speaker 2: isn't sorted out. 104 00:04:17,200 --> 00:04:19,960 Speaker 1: And might I remind you that pharmaceuticals is Australia's second 105 00:04:19,960 --> 00:04:23,640 Speaker 1: biggest export to the US behind Ozzie Beef, so b Man. 106 00:04:23,720 --> 00:04:26,200 Speaker 2: The more you rely on selling in a particular geography, 107 00:04:26,279 --> 00:04:29,040 Speaker 2: the more exposed you are to their politics and their policy. 108 00:04:29,120 --> 00:04:31,359 Speaker 1: And so even if this is sorted it's a reminder 109 00:04:31,400 --> 00:04:34,240 Speaker 1: for Australian farmer companies to diversify pronto. 110 00:04:34,880 --> 00:04:39,279 Speaker 2: For our third and final story, MOYOB, the accounting software company, 111 00:04:39,360 --> 00:04:40,960 Speaker 2: is trying to take on the big banks in the 112 00:04:41,000 --> 00:04:42,040 Speaker 2: business banking market. 113 00:04:42,160 --> 00:04:44,960 Speaker 1: Well Zero squashed moyob in the accounting space, so now 114 00:04:45,080 --> 00:04:47,080 Speaker 1: moyob is picking on another industry. 115 00:04:47,200 --> 00:04:49,880 Speaker 2: Tell me more. MIYOB is a well known accounting and 116 00:04:50,000 --> 00:04:53,240 Speaker 2: business software company founded in Australia in nineteen ninety one. 117 00:04:53,320 --> 00:04:56,760 Speaker 1: Fun fact, it actually stands for mind your own business Thing. 118 00:04:56,800 --> 00:04:59,360 Speaker 2: And when MYOB started it was battling out against you 119 00:04:59,480 --> 00:05:02,080 Speaker 2: Quickens the cd ROM accounting dominance. 120 00:05:02,240 --> 00:05:05,200 Speaker 1: Since then Zero entered the accounting cloud market and really 121 00:05:05,240 --> 00:05:08,000 Speaker 1: shook things up. Yeah, well MOOB is battling with Zero 122 00:05:08,040 --> 00:05:11,480 Speaker 1: for accounting dominance. It also has its eyes on another price. Yes, 123 00:05:11,640 --> 00:05:14,799 Speaker 1: MOOB has announced plans to compete with the big banks 124 00:05:15,000 --> 00:05:16,960 Speaker 1: via a business banking product. 125 00:05:17,160 --> 00:05:20,080 Speaker 2: They've launched a bank account in partnership with Great Southern 126 00:05:20,120 --> 00:05:23,400 Speaker 2: Bank because apparently the majority of Australia's one point six 127 00:05:23,640 --> 00:05:26,440 Speaker 2: million sole traders don't use a business bank account. 128 00:05:26,480 --> 00:05:28,880 Speaker 1: That's according to market research firm Canta and be Man. 129 00:05:29,040 --> 00:05:31,680 Speaker 2: It's hard to know how many subscribers MOOB has today 130 00:05:31,800 --> 00:05:33,920 Speaker 2: because it's private. It had nearly six hundred and thirty 131 00:05:34,000 --> 00:05:35,640 Speaker 2: thousand back in twenty eighteen. 132 00:05:35,400 --> 00:05:37,960 Speaker 1: And this puts them head on with your CBA's, your nabs, 133 00:05:38,000 --> 00:05:41,200 Speaker 1: your ain z's, and YU west pas for business customers. 134 00:05:41,440 --> 00:05:42,720 Speaker 2: So what is the key learning here? 135 00:05:42,839 --> 00:05:45,919 Speaker 1: Owning the customer relationship has become the holy grail in 136 00:05:46,000 --> 00:05:46,880 Speaker 1: financial services. 137 00:05:46,880 --> 00:05:49,520 Speaker 2: You see d man Moob already has access to small 138 00:05:49,520 --> 00:05:52,480 Speaker 2: business finances through its software, so offering a bank account 139 00:05:52,560 --> 00:05:54,359 Speaker 2: may just be the natural next step. 140 00:05:54,480 --> 00:05:57,080 Speaker 1: And this type of expansion is becoming more and more 141 00:05:57,120 --> 00:05:58,600 Speaker 1: common in fintech. 142 00:05:58,440 --> 00:06:01,120 Speaker 2: Companies like Square which is now Blow and PayPal. They 143 00:06:01,160 --> 00:06:04,200 Speaker 2: started in payments, but they've expanded across the whole financial 144 00:06:04,240 --> 00:06:05,120 Speaker 2: services industry. 145 00:06:05,120 --> 00:06:08,600 Speaker 1: They've gone into lending, into general banking, even into tax tool. 146 00:06:08,680 --> 00:06:11,200 Speaker 2: In fact, the man PayPal's small business lending arm has 147 00:06:11,240 --> 00:06:14,400 Speaker 2: originated more than thirty billion US dollars in loans since 148 00:06:14,440 --> 00:06:15,120 Speaker 2: twenty thirteen. 149 00:06:15,160 --> 00:06:17,920 Speaker 1: And while there is some risk involved, the rewards can 150 00:06:17,960 --> 00:06:20,400 Speaker 1: be enormous. Yeah, it would mean a deeper relationship with 151 00:06:20,440 --> 00:06:24,440 Speaker 1: customers and more control over their financial journey and way 152 00:06:24,760 --> 00:06:25,479 Speaker 1: bigger profits. 153 00:06:25,720 --> 00:06:27,760 Speaker 2: Foxdam, do you want to test anology aginst the rest 154 00:06:27,760 --> 00:06:29,800 Speaker 2: of the Flux family to see if you're the smartest 155 00:06:29,839 --> 00:06:31,720 Speaker 2: and quickest. There is one place to be it's in 156 00:06:31,760 --> 00:06:33,960 Speaker 2: the Flux app today. We'll send a notification for quick 157 00:06:33,960 --> 00:06:35,800 Speaker 2: six at a random time today, and if you're the 158 00:06:35,800 --> 00:06:38,119 Speaker 2: first to answer correctly, the fifty buck is all yours. 159 00:06:38,160 --> 00:06:39,640 Speaker 2: To make sure to download the Flux app. 160 00:06:39,680 --> 00:06:42,320 Speaker 1: Thanks for listening, and we'll see you on Monday.