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Speaker 1: This is what the flucks.

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Speaker 2: I'm justin and I'm hashteeve and it's Monday, the twentieth

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Speaker 2: of May.

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Speaker 1: AG. We spoke last month about the ato's latest crackdown

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Speaker 1: on tax debts owed by businesses, and it seems like

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Speaker 1: the ATO is pretty serious. According to the latest Starter,

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Speaker 1: corporate insolvencies over the past year are fifty percent higher

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Speaker 1: free COVID and the main reason the ATO chasing down

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Speaker 1: their debts flux spam.

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Speaker 2: We are entering winter, or at least it's definitely starting

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Speaker 2: to feel that way. In the floodstap we've covered five

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Speaker 2: tried and tested ways to manage your energy bill, so

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Speaker 2: make sure to check it out and save some money

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Speaker 2: on your bills this winter.

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Speaker 1: Three warming stories to the AHG.

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Speaker 2: Let's get into it for our first.

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Speaker 1: Pizza Hut Australia has been fined two and a half

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Speaker 1: million dollars for spamming customers with ten million hit delicious

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Speaker 1: messages without their consent.

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Speaker 2: That is a whole lot of discounts on garlic, bread

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Speaker 2: and pizzas and tell.

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Speaker 1: Me more so. Pizza Hut is the global pizza franchise

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Speaker 1: that first expanded into at in the nineteen seventies and.

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Speaker 2: In Australia, the Pizza Hut franchise has been through a

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Speaker 2: lot of owners, but since.

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Speaker 1: June last year it's been owned by a US franchiser

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Speaker 1: operator called the Flynn Restaurant Group.

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Speaker 2: But Jazz. Before this new owner came in, Pizza Hut

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Speaker 2: Australia was busy telling anyone who'd listen about its.

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Speaker 1: Surf and turf pizza or maybe the Bolonaise pasta pizza.

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Speaker 2: Yeah, it sent nearly six million texts and emails between

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Speaker 2: January and May twenty twenty three to customers who had

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Speaker 2: unsubscribed or not consented.

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Speaker 1: On top of that, it's sent out more than four

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Speaker 1: million marketing emails without an option for their customers to unsubscribe.

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Speaker 2: So now the Australian Communications and Media Authority have fined

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Speaker 2: Pizza Hut two point five million dollars for these spamy

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Speaker 2: marketing messages, and respect for consumer privacy is becoming the

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Speaker 2: top of akma's hitlist.

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Speaker 1: So what is the key learning here?

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Speaker 2: While the cost of sending emails and texts is pretty cheap,

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Speaker 2: the cost of breaching these laws is becoming very costly.

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Speaker 1: You see, email campaigns can cost a few cents per

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Speaker 1: email or sometimes even for free.

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Speaker 2: So companies are often tempted to send major email blasts.

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Speaker 1: But because of the ease of sending these emails, Akma

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Speaker 1: has been actively cracking down on the practice for the

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Speaker 1: past eighteen months.

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Speaker 2: Get this, Akma has issued more than fifteen million dollars

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Speaker 2: in spam and marketing penalties just over the past eighteen months.

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Speaker 1: We're talking companies like ticketech opsm kmart, DoorDash and Combank

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Speaker 1: as well.

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Speaker 2: It can really hurt their reputation.

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Speaker 1: And maybe customers might think twice about sharing their details

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Speaker 1: with pizza art again, even if it means missing out

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Speaker 1: on a SpongeBob Sweet Chili pizza.

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Speaker 2: Yeap, those really exist.

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Speaker 1: For our second story, Sony Music has sent a warning

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Speaker 1: shot to AI companies, accusing them of stealing its artist's

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Speaker 1: content without permission.

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Speaker 2: This is taking me back to that viral Drake and

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Speaker 2: the Weekend song that was actually made by AI. Tell

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Speaker 2: us what's going on here?

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Speaker 1: Okay? So, Sony Music is the world's second biggest record

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Speaker 1: company over by Sony Entertainment, and.

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Speaker 2: It's worked with hundreds of artists worldwide, including Billy Joel, Celin,

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Speaker 2: Dion and Beiance.

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Speaker 1: And now Sony has sent out a letter to over

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Speaker 1: seven hundred AI companies warning them not to train their

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Speaker 1: AI model on its content without permission.

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Speaker 2: Sounds strict. That content includes everything from audio recordings to

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Speaker 2: music compositions, lyrics and.

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Speaker 1: Cover art, and actually in that letter, Sony asked the

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Speaker 1: AI companies to either confirm they haven't used any of

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Speaker 1: Sony's content without permission.

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Speaker 2: Or disclose exactly how that content was being used in

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Speaker 2: AI training.

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Speaker 1: Because Sony wants to then discuss licenses. Sony then wants

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Speaker 1: to discuss licensing deals with AI companies. You get compensation

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Speaker 1: for the content that's been used because.

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Speaker 2: It ain't no AI touching texas hold them without Beyonce's approval.

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Speaker 1: Absolutely not. This is sounding a little bit familiar though,

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Speaker 1: looking at you New York Times.

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Speaker 2: So tell me what is the key learning here?

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Speaker 1: When one industry identifies a big revenue opportunity, the rest

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Speaker 1: often follow you.

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Speaker 2: See, Sony's letter has come hot on the heels of

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Speaker 2: rising tension between media publications and AI companies.

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Speaker 1: YEP. Last year we saw the New York Times see

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Speaker 1: open AI and Microsoft for copyright infringement.

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Speaker 2: They claim that their content was used in training these

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Speaker 2: AI models. So this movement, which was started by media companies,

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Speaker 2: has pushed other industries to take action too.

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Speaker 1: Yeah, and in the music industry it ain't just sony.

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Speaker 2: Artists like Billie Eilish and Nicki Minaj have told AI

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Speaker 2: companies to stop and I quote this assault on human creativity.

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Speaker 1: And actually this could now influence other creators like photographers, designers,

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Speaker 1: filmmakers and more to push for compensation.

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Speaker 2: Two your move AI companies.

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Speaker 1: For our third and final story, Warren Buffett's Berkshire Hathaway

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Speaker 1: has finally revealed the mystery business that he is in

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Speaker 1: business six point seven billion US dollars into and at

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Speaker 1: share price jumped eight percent on the news.

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Speaker 2: Buffett's got that midas touched for seventy years, so it's

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Speaker 2: no surprise to see the price jump. Tell me more.

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Speaker 1: Warren Buffett is one of the most famous investors in

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Speaker 1: the whole wide universe.

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Speaker 2: He started investing under the Berkshire Hathaway name with his

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Speaker 2: mate Charlie Munger.

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Speaker 1: He's ninety three and still very involved well. Charlie was

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Speaker 1: still operational in the business until he passed away at

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Speaker 1: ninety nine.

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Speaker 2: Now Berkshire Hathaway is known to be particularly patient with

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Speaker 2: its investments.

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Speaker 1: Ain't going to make an investment just because it's got

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Speaker 1: a heap of cash.

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Speaker 2: In fact, Berkshire Hathaway had one hundred an eighty two

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Speaker 2: billion usd in cash in March this year.

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Speaker 1: But now Berkshire Hathaways announced its investment of six point

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Speaker 1: seven billion US dollars in a new company, Sharp Insurance.

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Speaker 2: And sort off shares in Apple, which was their largest investment.

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Speaker 1: Got to say that really hurts Apple being traded out

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Speaker 1: for a pretty bland insurance company.

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Speaker 2: But after the investment announcement, the share price in Chub

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Speaker 2: Insurance jumped eight percent.

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Speaker 1: And it seems like Buffet's really got a thing for

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Speaker 1: insurance businesses because of its float.

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Speaker 2: So what's the key learning here?

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Speaker 1: Some industries are inherently positioned for success thanks to their

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Speaker 1: unique financial structures.

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Speaker 2: Take the insurance industry, for example, Insurers collect premiums from

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Speaker 2: customers now, but claims aren't paid out until later, or.

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Speaker 1: More likely never.

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Speaker 2: This is called the float. It acts as a free

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Speaker 2: loan for the insurer.

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Speaker 1: And insurers can invest this float money in the in

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Speaker 1: between time for their own benefit, like in.

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Speaker 2: Other companies like Coca Cola or American Express heard of them.

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Speaker 1: Before, I think maybe once or twice, and a she

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Speaker 1: Berkshey Hathaway's floats across its insurance businesses has grown to

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Speaker 1: over a hundred dudred and sixty four billion US dollars.

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Speaker 2: And this idea of the flow is why Berkshire Hathaway

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Speaker 2: has significant investments in four large insurers.

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Speaker 1: There's Berkshire Hathaway Reinsurance, there's Geico, there's General Reinsurance, and

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Speaker 1: now they've welcomed Chub Insurance into the fold too. I

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Speaker 1: read that article on how to save money on my

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Speaker 1: electricity and energy this winter, and I'm very much looking

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Speaker 1: forward to putting that in practice. So fox Ham, if

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Speaker 1: you want to know the top five things to do

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Speaker 1: to reduce your energy bell this winter, make sure to

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Speaker 1: download the Flux app and check it all out.

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Speaker 2: Thanks for listening and we'll see you on Wednesday,