1 00:00:06,360 --> 00:00:08,920 Speaker 1: This is the weekend edition of Fear and Greed, daily 2 00:00:08,960 --> 00:00:12,240 Speaker 1: business news people who make their own decisions. I'm Michael Thompson, 3 00:00:12,400 --> 00:00:16,120 Speaker 1: and good morning Adam Lang. Good morning Michael, with Sean 4 00:00:16,160 --> 00:00:20,800 Speaker 1: Aylmer enjoying the last few days of his Was it 5 00:00:20,840 --> 00:00:24,759 Speaker 1: a September holiday? It's not even a summer vacation or 6 00:00:24,800 --> 00:00:27,120 Speaker 1: a winter vacation. He's just kind of chosen a random 7 00:00:27,160 --> 00:00:29,160 Speaker 1: time of year to jet off for a quick break. 8 00:00:29,600 --> 00:00:35,360 Speaker 1: But anyway, Adam, you have stepped up into the competitors' chair. Gosh, 9 00:00:35,360 --> 00:00:37,240 Speaker 1: this is a mixed metaphor, isn't it. It's a great 10 00:00:37,280 --> 00:00:39,320 Speaker 1: way to start the show and a note of confusion 11 00:00:39,800 --> 00:00:42,360 Speaker 1: week because our weekend show is very different, isn't it 12 00:00:42,360 --> 00:00:44,479 Speaker 1: to the week day show. It is about the two 13 00:00:44,520 --> 00:00:46,479 Speaker 1: of us each nominating what we think is the biggest 14 00:00:46,680 --> 00:00:49,920 Speaker 1: story of the week, the most remarkable business story, a 15 00:00:50,040 --> 00:00:52,479 Speaker 1: sleeper story, one flying under the radar a little bit, 16 00:00:52,720 --> 00:00:56,760 Speaker 1: and then our favorite business ish story. And usually it's 17 00:00:56,800 --> 00:01:00,800 Speaker 1: me versus Sean and Adam. You are the judge. Of course, 18 00:01:00,840 --> 00:01:03,640 Speaker 1: with you competing, we need another judge. And last week, 19 00:01:03,920 --> 00:01:08,240 Speaker 1: last week we were joined by Tim Burrows, the owner 20 00:01:08,240 --> 00:01:11,840 Speaker 1: of Media and Marketing industry news that are unmade and 21 00:01:11,880 --> 00:01:16,120 Speaker 1: look objectively. I think we could all say that Tim 22 00:01:16,200 --> 00:01:18,840 Speaker 1: probably did the best job of judging we have ever 23 00:01:19,040 --> 00:01:24,039 Speaker 1: heard on this podcast ever objectively, and he made a 24 00:01:24,040 --> 00:01:26,399 Speaker 1: good decision in the end, and that decision was that 25 00:01:26,440 --> 00:01:28,119 Speaker 1: I was the winner. Tim, welcome back. 26 00:01:29,760 --> 00:01:32,840 Speaker 2: It's lovely to be back. It's lovely to step up 27 00:01:32,880 --> 00:01:36,880 Speaker 2: into the judges chair, even if it does make me 28 00:01:36,959 --> 00:01:39,640 Speaker 2: a bit sad because it's felt listening to the podcast 29 00:01:39,720 --> 00:01:42,640 Speaker 2: a week. The two of you have been so harmonious 30 00:01:43,200 --> 00:01:47,960 Speaker 2: working together with Insuran's absence, and it's going to end 31 00:01:47,960 --> 00:01:50,680 Speaker 2: at acrimony and confrontation today. 32 00:01:50,680 --> 00:01:53,480 Speaker 1: It gets nasty because I had a taste of victory 33 00:01:53,560 --> 00:01:55,920 Speaker 1: last week, and I've got to say I really liked it. 34 00:01:56,400 --> 00:01:59,880 Speaker 1: So I am here to win. I'll do whatever it takes. 35 00:02:00,000 --> 00:02:02,440 Speaker 1: Shall we jump straight into the biggest story? Can I 36 00:02:02,480 --> 00:02:04,520 Speaker 1: just ask quickly, first, Tim, what are you looking for? 37 00:02:04,600 --> 00:02:08,040 Speaker 1: What are your criteria for winning stories today? 38 00:02:08,320 --> 00:02:12,400 Speaker 2: You know I often think about Adam's criteria. In the end, 39 00:02:12,440 --> 00:02:15,480 Speaker 2: I think I do realize that I do love the 40 00:02:15,680 --> 00:02:21,040 Speaker 2: melodrama and hyperbole. I kind of I think I fall 41 00:02:21,120 --> 00:02:22,880 Speaker 2: for that a little bit. I'm one of those very 42 00:02:22,880 --> 00:02:26,320 Speaker 2: easily led to people who, at least for the very 43 00:02:26,400 --> 00:02:29,160 Speaker 2: moment after someone's finished speaking, I kind of nod last thing, 44 00:02:29,240 --> 00:02:31,280 Speaker 2: that's a really good point, and then kind of I 45 00:02:31,320 --> 00:02:33,560 Speaker 2: come out of a hypnotic field a few seconds later. 46 00:02:33,680 --> 00:02:38,040 Speaker 2: But but yes, I think the hyperbole might be might 47 00:02:38,080 --> 00:02:40,919 Speaker 2: be what some gets somebody across the line. Today we'll see, 48 00:02:41,280 --> 00:02:44,280 Speaker 2: Oh well, I'm up against it. 49 00:02:44,400 --> 00:02:48,400 Speaker 1: Then this is this is good news. And Adam keeping 50 00:02:48,400 --> 00:02:51,200 Speaker 1: in mind that Tim said that he is swayed, and then. 51 00:02:51,160 --> 00:02:53,240 Speaker 3: Little theatrical flair, a. 52 00:02:53,200 --> 00:02:56,640 Speaker 1: Little bit of theater. You go first, I'll go second, 53 00:02:56,760 --> 00:02:59,200 Speaker 1: and then Tim can deliver his judgment. So take it 54 00:02:59,280 --> 00:03:01,480 Speaker 1: away with the biggest business story of the week, What 55 00:03:01,639 --> 00:03:02,120 Speaker 1: was it? 56 00:03:02,200 --> 00:03:05,079 Speaker 3: The biggest story of the week is the shocking state 57 00:03:05,200 --> 00:03:08,120 Speaker 3: of Australia's economic growth. This week, the latest figures from 58 00:03:08,120 --> 00:03:12,160 Speaker 3: the Australian Bureau of Statistics revealed a meager zero point 59 00:03:12,200 --> 00:03:14,840 Speaker 3: two percent rise in GDP for the June quarter of 60 00:03:14,919 --> 00:03:18,240 Speaker 3: twenty twenty four. And that's just one percent growth for 61 00:03:18,280 --> 00:03:22,280 Speaker 3: the entire twenty twenty four fiscal year. Now, Tim, let's 62 00:03:22,280 --> 00:03:25,920 Speaker 3: put this in perspective. Excluding the COVID nineteen pandemic, this 63 00:03:26,080 --> 00:03:29,079 Speaker 3: was the lowest annual growth since the early nineteen nineties. 64 00:03:29,120 --> 00:03:32,320 Speaker 3: That's over thirty years when we were just crawling out 65 00:03:32,360 --> 00:03:35,640 Speaker 3: of a recession. Even worse than that, as our population 66 00:03:35,720 --> 00:03:40,040 Speaker 3: has grown, our economy has not GDP per capita has 67 00:03:40,080 --> 00:03:43,920 Speaker 3: declined for six consecutive quarters, dropping by zero point four 68 00:03:43,920 --> 00:03:46,560 Speaker 3: percent in the latest figures. This is not just a slowdown, 69 00:03:46,600 --> 00:03:49,600 Speaker 3: this is a per capita recession. It's no wonder so 70 00:03:49,640 --> 00:03:53,160 Speaker 3: many Australians feel like they are stuck in economic quicksand 71 00:03:53,320 --> 00:03:56,160 Speaker 3: so what is driving this. Obviously, the high cost of 72 00:03:56,200 --> 00:03:59,240 Speaker 3: living has pushed the household savings ratio to a seventeen 73 00:03:59,320 --> 00:04:03,520 Speaker 3: year low. Consumption is shrinking. Discretionary spending fell one point 74 00:04:03,600 --> 00:04:07,080 Speaker 3: one percent in the June quarter. Private demand is flatlining 75 00:04:07,440 --> 00:04:10,360 Speaker 3: and the home building sector has contracted by three percent 76 00:04:10,400 --> 00:04:13,080 Speaker 3: over the past year. The only reason we're not technically 77 00:04:13,080 --> 00:04:15,920 Speaker 3: in a recession is government spending, and that is federal 78 00:04:16,000 --> 00:04:18,840 Speaker 3: and state government spending propping up what's left of our 79 00:04:18,880 --> 00:04:22,120 Speaker 3: economic growth. And that is a very thin lifeline and 80 00:04:22,160 --> 00:04:25,400 Speaker 3: it doesn't really change the reality for households and businesses 81 00:04:25,400 --> 00:04:28,320 Speaker 3: that are feeling the squeeze. Tim These are not just numbers, 82 00:04:28,600 --> 00:04:31,120 Speaker 3: they are a sign of a nation grappling with serious 83 00:04:31,160 --> 00:04:34,600 Speaker 3: economic challenges. This is the week's biggest story because it 84 00:04:34,640 --> 00:04:39,599 Speaker 3: reveals the data affecting the livelihoods of most Australians. Michael, 85 00:04:39,800 --> 00:04:40,520 Speaker 3: over to you. 86 00:04:41,360 --> 00:04:45,800 Speaker 1: Whatever anyone refers to consumption, does anyone else just instantly 87 00:04:45,800 --> 00:04:48,760 Speaker 1: think tuberculosis? Or am I just really old. 88 00:04:49,640 --> 00:04:52,520 Speaker 3: Well, nice diversion, Michael, But no, I don't know. 89 00:04:52,560 --> 00:04:55,400 Speaker 1: Dobt you come to mention it, you will not be 90 00:04:55,400 --> 00:04:59,440 Speaker 1: able to unthink that now anyway. That's what I'm dealing 91 00:04:59,440 --> 00:05:04,040 Speaker 1: with at the moment. My biggest That was a good story, Adam, 92 00:05:04,080 --> 00:05:10,520 Speaker 1: it was a large story this week. I'm not going 93 00:05:10,560 --> 00:05:13,880 Speaker 1: to do what we kind of tend to call an 94 00:05:13,880 --> 00:05:18,120 Speaker 1: ailma a sean aleer here and combine a whole bunch 95 00:05:18,320 --> 00:05:21,919 Speaker 1: of stories into one, because that's not allowed. If I 96 00:05:22,160 --> 00:05:25,200 Speaker 1: was going to do that, which I'm not, I would 97 00:05:25,279 --> 00:05:28,640 Speaker 1: I would group it all under the banner of a 98 00:05:28,839 --> 00:05:32,320 Speaker 1: turbulent week on markets, right, and then I would tell 99 00:05:32,320 --> 00:05:34,960 Speaker 1: you about the concerns about the US economy that hit 100 00:05:35,040 --> 00:05:37,719 Speaker 1: Wall Street during the week and then float onto the 101 00:05:37,760 --> 00:05:40,960 Speaker 1: local market here wiping nearly two percent off the ASX 102 00:05:41,000 --> 00:05:43,839 Speaker 1: two hundred in one day. Because those would be big 103 00:05:43,880 --> 00:05:47,159 Speaker 1: stories on their own yes, But instead do you know 104 00:05:47,200 --> 00:05:49,560 Speaker 1: what they are? Do you know what they are? They're context. 105 00:05:49,680 --> 00:05:52,719 Speaker 1: They are simply context for the story that I'm going 106 00:05:52,760 --> 00:05:55,040 Speaker 1: to tell you. Because if I was to pick one 107 00:05:55,640 --> 00:06:03,360 Speaker 1: standout story from markets during the week, one standout biggest story, 108 00:06:03,440 --> 00:06:07,960 Speaker 1: it is chip maker in Video because the company recorded 109 00:06:08,160 --> 00:06:14,159 Speaker 1: the biggest one day tumble in value ever for a 110 00:06:14,279 --> 00:06:18,400 Speaker 1: US stock, with shares falling nine point five percent in 111 00:06:18,440 --> 00:06:22,240 Speaker 1: one day. Just consider the size of that for a second. 112 00:06:22,320 --> 00:06:25,599 Speaker 1: It is a drop of two hundred and seventy eight 113 00:06:25,760 --> 00:06:31,159 Speaker 1: point nine billion US dollars in one day, or about 114 00:06:31,200 --> 00:06:35,440 Speaker 1: four hundred and fifteen billion ossie, more than one and 115 00:06:35,440 --> 00:06:39,479 Speaker 1: a half Commonwealth Banks, our biggest company. And this isn't 116 00:06:39,520 --> 00:06:42,760 Speaker 1: just about the company's results, which we discussed last week. 117 00:06:43,320 --> 00:06:50,640 Speaker 1: This is potentially a bigger existential question about AI because 118 00:06:50,640 --> 00:06:53,680 Speaker 1: analysts are starting to ask about the demand for AI 119 00:06:54,000 --> 00:06:57,680 Speaker 1: outside of the tech sector. Is it there? Does it 120 00:06:57,839 --> 00:07:00,800 Speaker 1: exist to the level at which it can justify the 121 00:07:00,920 --> 00:07:05,760 Speaker 1: extraordinary growth and value of Nvidia and other companies in 122 00:07:05,760 --> 00:07:08,920 Speaker 1: the similar space, And in doing so, it's raising some 123 00:07:09,040 --> 00:07:14,160 Speaker 1: fundamental questions over one of the key themes, the key 124 00:07:14,520 --> 00:07:19,280 Speaker 1: drivers of markets. Now for some time, the seemingly inexhaustible 125 00:07:19,280 --> 00:07:23,520 Speaker 1: growth and appetite for AI and technology. This might have 126 00:07:23,640 --> 00:07:26,760 Speaker 1: been the week where the gloss starts to come off 127 00:07:26,800 --> 00:07:30,960 Speaker 1: and reality starts to set in. You put it all 128 00:07:31,000 --> 00:07:34,240 Speaker 1: together and consider what you really need to look Here 129 00:07:34,360 --> 00:07:39,520 Speaker 1: is the long term impact of this, this readjustment, not 130 00:07:39,800 --> 00:07:44,000 Speaker 1: just here, not just in the US, but for markets 131 00:07:44,240 --> 00:07:47,640 Speaker 1: right around the world, that one of the key themes 132 00:07:48,080 --> 00:07:53,440 Speaker 1: driving markets might have shifted upon its axis this week. 133 00:07:53,880 --> 00:07:59,120 Speaker 1: This was the biggest global story of the week. 134 00:08:00,160 --> 00:08:05,480 Speaker 2: Judge really quickly, well before the magical field wars off 135 00:08:06,000 --> 00:08:10,000 Speaker 2: halo I. This is a tricky one. And this talk 136 00:08:10,040 --> 00:08:13,160 Speaker 2: of per capita recession. You know, everybody knows that the 137 00:08:13,160 --> 00:08:15,440 Speaker 2: only sort of per capita anyone wants to talk about 138 00:08:15,600 --> 00:08:17,960 Speaker 2: is when it's the Olympics and we're trying to claim 139 00:08:18,160 --> 00:08:22,360 Speaker 2: Australia's best for gold medals. Yes, which is the only 140 00:08:22,440 --> 00:08:24,960 Speaker 2: other time we ever seem to use the phrase per capita. 141 00:08:25,920 --> 00:08:27,840 Speaker 2: But you know, Michael, you've you put your finger on 142 00:08:27,920 --> 00:08:30,120 Speaker 2: a topic that we were we were discussing in the 143 00:08:30,240 --> 00:08:36,319 Speaker 2: unmade slack channels the video fall, although unfortunately it was 144 00:08:36,400 --> 00:08:39,000 Speaker 2: it was me being a pedant and pointing out that 145 00:08:39,120 --> 00:08:41,760 Speaker 2: poor old Nvidia had fallen all the way to the 146 00:08:41,800 --> 00:08:45,640 Speaker 2: price it last was three weeks ago, so. 147 00:08:45,800 --> 00:08:47,280 Speaker 1: It feels like a minor. 148 00:08:49,240 --> 00:08:52,600 Speaker 2: So it was a quibble. So I am going to 149 00:08:52,600 --> 00:08:54,080 Speaker 2: to give the first rand to Adam. 150 00:08:54,679 --> 00:08:59,560 Speaker 3: Well, Michael, nice try, but I think content one on 151 00:08:59,600 --> 00:09:00,160 Speaker 3: the day. 152 00:09:00,800 --> 00:09:05,800 Speaker 1: Oh savage. Well, look, I'm gonna move on to the 153 00:09:05,800 --> 00:09:12,400 Speaker 1: most remarkable story because and look, I chose a global 154 00:09:12,440 --> 00:09:16,000 Speaker 1: story for the biggest story, big picture stuff. What I've 155 00:09:16,040 --> 00:09:20,920 Speaker 1: done for most remarkable is really gone back home because 156 00:09:20,960 --> 00:09:24,599 Speaker 1: the most remarkable story this week is very close to 157 00:09:24,679 --> 00:09:29,960 Speaker 1: home for many Australians. It's all about property prices. And yes, yes, Adam, 158 00:09:30,000 --> 00:09:32,280 Speaker 1: I can see it in your eyes, your complaints here, 159 00:09:32,360 --> 00:09:34,960 Speaker 1: because I'm always going on about real estate and house 160 00:09:35,000 --> 00:09:38,439 Speaker 1: prices and blah blah blah blah blah, because about every 161 00:09:38,480 --> 00:09:40,920 Speaker 1: second week I bring this up, whether it's most remarkable 162 00:09:41,000 --> 00:09:47,640 Speaker 1: or biggest or sleeper story or whatever. But but this 163 00:09:47,920 --> 00:09:55,839 Speaker 1: week we saw something truly truly remarkable. First, a zero 164 00:09:55,880 --> 00:09:59,400 Speaker 1: point five percent surge in national prices in just one month. 165 00:09:59,559 --> 00:10:03,320 Speaker 1: But it is not a consistent story. And this is 166 00:10:03,360 --> 00:10:06,680 Speaker 1: where this is where it gets really really remarkable. We 167 00:10:06,760 --> 00:10:10,079 Speaker 1: will look back in say twenty fifty or twenty sixty, 168 00:10:10,120 --> 00:10:12,000 Speaker 1: and we will look back on twenty twenty four and go, 169 00:10:12,080 --> 00:10:16,280 Speaker 1: do you remember do you remember when the markets split, 170 00:10:16,679 --> 00:10:20,080 Speaker 1: and not just into two different streams, but split. It's 171 00:10:20,080 --> 00:10:25,760 Speaker 1: splintered into all these different paths because you've got Brisbane growing, 172 00:10:25,920 --> 00:10:31,000 Speaker 1: Perth growing, Adelaide growing, Sydney too little more slowly Melbourne Melbourne. 173 00:10:31,240 --> 00:10:38,000 Speaker 1: Melbourne is slipping, actually went backwards in August. And now this, 174 00:10:38,000 --> 00:10:39,720 Speaker 1: this is really quite significant. 175 00:10:39,840 --> 00:10:43,160 Speaker 3: Can we get a friend's Romans Countrymen in there somewhere? 176 00:10:43,160 --> 00:10:43,480 Speaker 2: Michael? 177 00:10:44,600 --> 00:10:46,480 Speaker 1: It does feel a little bit like that, doesn't it. 178 00:10:46,559 --> 00:10:49,600 Speaker 2: I'm starting to regret saying that I'd be looking for 179 00:10:49,640 --> 00:10:50,439 Speaker 2: the hyperfectly. 180 00:10:51,040 --> 00:10:53,440 Speaker 1: Oh I haven't started on the hyperbole. Yeah, sorry, that's 181 00:10:53,440 --> 00:10:54,319 Speaker 1: still coming. 182 00:10:55,679 --> 00:10:56,440 Speaker 2: This part. 183 00:10:56,720 --> 00:11:01,200 Speaker 1: Just pay very close attention, Tim, keep your pencil tightly gripped. 184 00:11:01,200 --> 00:11:03,000 Speaker 2: Pen is in hand, ready to go. 185 00:11:03,720 --> 00:11:08,440 Speaker 1: The median house price in Perth and Adelaide is now 186 00:11:08,559 --> 00:11:14,800 Speaker 1: higher than the median price in Melbourne. Can you believe this? Sydney, Brisbane, 187 00:11:14,960 --> 00:11:18,840 Speaker 1: Perth Adelaide all more expensive than Melbourne. It all comes 188 00:11:18,920 --> 00:11:21,880 Speaker 1: down to supply. Unsurprisingly, there's more on offer in Melbourne 189 00:11:21,880 --> 00:11:24,320 Speaker 1: and that's keeping prices down. But as I mentioned before. 190 00:11:24,360 --> 00:11:28,040 Speaker 1: As I alluded tantalizingly before, this is not a tale 191 00:11:28,040 --> 00:11:31,000 Speaker 1: of two cities anymore. It is not a two speed 192 00:11:31,000 --> 00:11:35,559 Speaker 1: housing market. It is a case of every city for itself. 193 00:11:35,800 --> 00:11:38,880 Speaker 1: Where are seeing the property market running about a dozen 194 00:11:39,120 --> 00:11:43,400 Speaker 1: different races now, the medium sized capitals like Perth and 195 00:11:43,440 --> 00:11:46,559 Speaker 1: Adelaide surging, Brisbane's still going strong, Sydney in the middle, 196 00:11:46,600 --> 00:11:51,520 Speaker 1: Canberra slumping, Melbourne going backwards, Darwin Hobart struggling. And those 197 00:11:51,559 --> 00:11:53,920 Speaker 1: cities that are booming, well, well how long can that 198 00:11:53,960 --> 00:11:56,840 Speaker 1: go on? For interest rates are still high, the cost 199 00:11:56,880 --> 00:12:00,000 Speaker 1: of living is still high, households are still cutting costs. 200 00:12:00,640 --> 00:12:04,280 Speaker 1: The property market in Australia has become more than a 201 00:12:04,360 --> 00:12:08,920 Speaker 1: spectator sport. It is becoming a chaotic basket case of 202 00:12:08,960 --> 00:12:12,480 Speaker 1: supply and demand and interest rates and population growth. And 203 00:12:12,559 --> 00:12:16,559 Speaker 1: it is all just completely utterly remarkable. 204 00:12:17,360 --> 00:12:21,320 Speaker 3: Adam over to you, great flourish God. 205 00:12:21,360 --> 00:12:25,160 Speaker 1: I got fired up there. I felt it, felt it 206 00:12:25,240 --> 00:12:26,520 Speaker 1: deep within all right. 207 00:12:26,600 --> 00:12:30,760 Speaker 3: Back to the content, Tim and Michael. The most remarkable 208 00:12:30,880 --> 00:12:33,960 Speaker 3: story of the week this week has to be Star 209 00:12:34,160 --> 00:12:38,880 Speaker 3: Entertainments spiraling corporate downfall. This is stunning. Listen to what's 210 00:12:38,880 --> 00:12:42,440 Speaker 3: happened over the week. Last Sunday, Stars executives held emergency 211 00:12:42,480 --> 00:12:45,360 Speaker 3: meetings desperately trying to find a way to relax their 212 00:12:45,400 --> 00:12:49,559 Speaker 3: debt obligations. On Monday, Star was suspended from trading on 213 00:12:49,600 --> 00:12:53,800 Speaker 3: the AX after failing to publish its financial results. We're 214 00:12:53,800 --> 00:12:57,400 Speaker 3: talking about the basics of requirements here, bookkeeping. They still 215 00:12:57,440 --> 00:13:00,160 Speaker 3: hadn't got it done, but after a devastating report from 216 00:13:00,160 --> 00:13:03,480 Speaker 3: the New South Wales regulator that we discussed last week. 217 00:13:03,720 --> 00:13:06,600 Speaker 3: But the story didn't stop there. By Tuesday, the situation 218 00:13:06,679 --> 00:13:10,160 Speaker 3: had worsened again as the United Workers' Union raised the 219 00:13:10,200 --> 00:13:13,160 Speaker 3: alarm about the future of eight thousand workers in Queensland 220 00:13:13,160 --> 00:13:16,480 Speaker 3: and New South Wales. As discussions between Star and its 221 00:13:16,520 --> 00:13:20,720 Speaker 3: bankers drag on, These workers are now facing immense uncertainty 222 00:13:20,760 --> 00:13:24,040 Speaker 3: and financial insecurity. On Thursday, Star confirmed that it was 223 00:13:24,080 --> 00:13:27,160 Speaker 3: reviewing its liquidity, but that news only underscored the bleakness 224 00:13:27,160 --> 00:13:30,640 Speaker 3: of the situation. The Financial Review reported the Stars bankers 225 00:13:30,640 --> 00:13:34,280 Speaker 3: are pushing back hard, demanding more security over assets and 226 00:13:34,320 --> 00:13:39,160 Speaker 3: government concessions to consider short term debt. Meanwhile, Star still 227 00:13:39,160 --> 00:13:43,720 Speaker 3: hasn't published its financial year accounts, leaving the company in complete. Flux. 228 00:13:44,320 --> 00:13:47,199 Speaker 3: Stars situation is so dire that it could be put 229 00:13:47,280 --> 00:13:49,840 Speaker 3: up for sale if it can't secure a new capital 230 00:13:50,200 --> 00:13:53,840 Speaker 3: or navigate this crisis. Tim this week's developments paint a 231 00:13:53,880 --> 00:13:57,160 Speaker 3: picture of a publicly listed company that is totally out 232 00:13:57,200 --> 00:14:00,360 Speaker 3: of control, affecting thousands of lives, and shake in this 233 00:14:00,559 --> 00:14:04,120 Speaker 3: to confidence. Starr Entertainment's downfall is a cautionary tale of 234 00:14:04,160 --> 00:14:07,800 Speaker 3: corporate failure and the most remarkable business story of the week. 235 00:14:09,040 --> 00:14:13,280 Speaker 2: Well argued both of you. Now, this one is tricky 236 00:14:13,360 --> 00:14:18,280 Speaker 2: for different reasons. I think Adam has made the case 237 00:14:18,320 --> 00:14:22,720 Speaker 2: well for what is certainly a remarkable story. Why I 238 00:14:22,760 --> 00:14:24,960 Speaker 2: really like about Michael's though, There are a couple of 239 00:14:25,000 --> 00:14:30,800 Speaker 2: really great rhetorical flourishes. I think particularly the ability to 240 00:14:30,880 --> 00:14:34,600 Speaker 2: use the phrase truly remarkable and then talk about a 241 00:14:34,760 --> 00:14:38,120 Speaker 2: zero point five percent increase and sound like you mean it. 242 00:14:38,280 --> 00:14:41,880 Speaker 2: That was very impressive. But yes, I loved the phrase 243 00:14:42,240 --> 00:14:44,360 Speaker 2: chaotic basket case. I feel like that would be a 244 00:14:44,400 --> 00:14:45,520 Speaker 2: great band name. 245 00:14:46,880 --> 00:14:48,480 Speaker 3: Maybe a support actor Oasis. 246 00:14:48,600 --> 00:14:51,240 Speaker 2: Yes, it really would be. And also it could also 247 00:14:51,280 --> 00:14:56,160 Speaker 2: be used to describe the star as well. So I've 248 00:14:56,160 --> 00:14:58,440 Speaker 2: actually struggled to split this one, So I'm going to 249 00:14:58,480 --> 00:15:02,800 Speaker 2: split the points on remark Oh dear so exciting twenty 250 00:15:02,840 --> 00:15:03,440 Speaker 2: points each. 251 00:15:04,160 --> 00:15:06,360 Speaker 1: So okay, so we're looking at one and a half 252 00:15:06,440 --> 00:15:08,520 Speaker 1: to half right now. 253 00:15:09,000 --> 00:15:12,440 Speaker 3: So I'm not exactly winning neither of us are Michael. 254 00:15:12,480 --> 00:15:15,440 Speaker 2: But not too far behind either. All to play for. 255 00:15:16,400 --> 00:15:18,160 Speaker 1: Adam, you are winning at the moment. It's one and 256 00:15:18,160 --> 00:15:18,760 Speaker 1: a half to half. 257 00:15:18,840 --> 00:15:20,840 Speaker 3: Not fine enough for me. I can't call it a winner. 258 00:15:20,880 --> 00:15:21,160 Speaker 2: Yeah. 259 00:15:21,200 --> 00:15:23,440 Speaker 1: Oh, that's not the margin that you need. Because you 260 00:15:23,560 --> 00:15:26,320 Speaker 1: know what's coming, don't you. You you know that this 261 00:15:26,400 --> 00:15:27,760 Speaker 1: is going to be big. This is going to be 262 00:15:28,160 --> 00:15:31,640 Speaker 1: I have got an absolute cracker of a sleeper story, 263 00:15:31,880 --> 00:15:34,480 Speaker 1: and We're going to take a very quick break and 264 00:15:34,520 --> 00:15:41,400 Speaker 1: then I'm going to unleash the cracker of a sleeper story. 265 00:15:42,440 --> 00:15:45,680 Speaker 1: Sometimes he is searching for those words. 266 00:15:45,760 --> 00:15:47,760 Speaker 2: I thought we'd got into the break for a minute. 267 00:15:47,800 --> 00:15:54,200 Speaker 1: That no long no, no, no, no, just building suspense. Quick 268 00:15:54,200 --> 00:16:03,680 Speaker 1: break and we'll come back with the sleeper stories, all right, Adam, 269 00:16:03,720 --> 00:16:06,000 Speaker 1: we are looking for a sleeper story of the week. 270 00:16:06,080 --> 00:16:07,960 Speaker 1: And now remember a sleeper story as one that's flying 271 00:16:08,040 --> 00:16:09,920 Speaker 1: under the radar a little bit or is going to 272 00:16:09,960 --> 00:16:12,560 Speaker 1: become a bigger story further down the track. And as Tim, 273 00:16:12,960 --> 00:16:16,960 Speaker 1: as you said yourself last week, and you added some 274 00:16:17,560 --> 00:16:23,680 Speaker 1: really powerful clarity around guidance the Sleeper story, which is 275 00:16:24,280 --> 00:16:27,480 Speaker 1: that the story must have been lit, the fuse must 276 00:16:27,480 --> 00:16:30,680 Speaker 1: have been lit during the week for it to become 277 00:16:30,720 --> 00:16:32,680 Speaker 1: one of those stories that becomes a bigger story down 278 00:16:32,720 --> 00:16:33,760 Speaker 1: the track. And I love that. 279 00:16:34,720 --> 00:16:37,320 Speaker 2: I liked the fact that that resonated with you last week. 280 00:16:37,600 --> 00:16:40,440 Speaker 1: Oh, I've printed it out and I have kind of 281 00:16:40,640 --> 00:16:43,400 Speaker 1: stuck it around them because I'm going to remind Sean 282 00:16:43,440 --> 00:16:45,400 Speaker 1: of this, and I'm going to remind Adam of this 283 00:16:45,520 --> 00:16:47,720 Speaker 1: next week as well when he's back in the judging chair, 284 00:16:47,800 --> 00:16:50,800 Speaker 1: because I suspect he tends to forget anyway. 285 00:16:51,000 --> 00:16:53,480 Speaker 3: I kind of like this competition thing. I might need 286 00:16:53,520 --> 00:16:54,560 Speaker 3: a role change. 287 00:16:55,240 --> 00:16:57,560 Speaker 1: Oh God, can you imagine if it becomes a three 288 00:16:57,600 --> 00:17:02,600 Speaker 1: way competition between me, Adam, Sean, and Tim you are 289 00:17:02,720 --> 00:17:04,000 Speaker 1: just then permanently judging. 290 00:17:04,080 --> 00:17:05,920 Speaker 2: Oh, we'll have to do it at least one week, 291 00:17:05,960 --> 00:17:08,560 Speaker 2: won't we. It's been a while since I've had a 292 00:17:08,760 --> 00:17:11,520 Speaker 2: chance to judge the oracle of ouran. 293 00:17:12,359 --> 00:17:17,720 Speaker 1: Oh, the theater of that would be quite extraordinary. Adam, 294 00:17:17,840 --> 00:17:20,240 Speaker 1: give us a bit of theater for your sleeper story. 295 00:17:20,320 --> 00:17:22,959 Speaker 3: Look, theater is not my strong suit, as you know, 296 00:17:23,040 --> 00:17:25,439 Speaker 3: but I'll give it my best shot tim The sleeper 297 00:17:25,480 --> 00:17:27,199 Speaker 3: story of the week for me is that the federal 298 00:17:27,240 --> 00:17:31,080 Speaker 3: election campaign has quietly kicked off this week in stealth mode. 299 00:17:31,200 --> 00:17:34,600 Speaker 3: Prime Minister Anthony Alberanizi might not have officially announced it, 300 00:17:34,640 --> 00:17:37,639 Speaker 3: but it's clear that campaigning is on. This week, the 301 00:17:37,640 --> 00:17:41,680 Speaker 3: Prime Minister launched a strategic cash splash in Wa, a 302 00:17:41,760 --> 00:17:44,280 Speaker 3: key battleground for the next election. He's rolled out a 303 00:17:44,400 --> 00:17:48,600 Speaker 3: multimillion dollar jobs and skills package tied to the Orchest agreement, 304 00:17:49,040 --> 00:17:52,680 Speaker 3: plus eight million for a plastics innovation hub, two hundred 305 00:17:52,680 --> 00:17:55,600 Speaker 3: and fifty million for an electric bus terminal, and there's more. 306 00:17:56,000 --> 00:17:58,720 Speaker 3: Wa is crucial labor picked up four seats in the 307 00:17:58,760 --> 00:18:02,080 Speaker 3: last election, needs to hold them to avoid slipping into 308 00:18:02,080 --> 00:18:06,160 Speaker 3: a minority government. Meanwhile, Treasurer Jim Chalmers caused a political 309 00:18:06,280 --> 00:18:09,480 Speaker 3: skirmish when he described the Reserve Bank interest rate settings 310 00:18:09,760 --> 00:18:13,280 Speaker 3: as smashing the economy. He later walked back from these remarks, 311 00:18:13,520 --> 00:18:17,640 Speaker 3: stressing cooperation with the RBA but supporting the federal government's 312 00:18:17,680 --> 00:18:22,359 Speaker 3: economic management credentials is clearly part of the broader election strategy. 313 00:18:22,760 --> 00:18:25,520 Speaker 3: Adding to the political landscape, Bill short And announced on 314 00:18:25,600 --> 00:18:28,760 Speaker 3: Thursday that after seventeen years, he plans to retire from 315 00:18:28,800 --> 00:18:32,119 Speaker 3: federal politics in February twenty twenty five. Now, many in 316 00:18:32,160 --> 00:18:35,280 Speaker 3: the Canberra media gallery immediately took this move as a 317 00:18:35,320 --> 00:18:38,080 Speaker 3: signal that the election won't be held before Christmas and 318 00:18:38,280 --> 00:18:41,600 Speaker 3: is more likely to occur in March. So Tim, this 319 00:18:41,720 --> 00:18:46,280 Speaker 3: stealth campaign launch in wa, combined with charmers, strategic messaging 320 00:18:46,600 --> 00:18:49,760 Speaker 3: and shortens planned exit, sets the stage for a high 321 00:18:49,800 --> 00:18:53,000 Speaker 3: stakes federal election and for me, it's the sleeper story 322 00:18:53,040 --> 00:18:55,879 Speaker 3: of the week. Michael Ooh, good one. 323 00:18:56,000 --> 00:18:58,159 Speaker 1: It is a very good one, because it does feel 324 00:18:58,200 --> 00:19:00,359 Speaker 1: like this week was the week where it just it 325 00:19:00,720 --> 00:19:02,000 Speaker 1: really did start in earnest. 326 00:19:02,160 --> 00:19:03,160 Speaker 3: The fuse was lit. 327 00:19:03,600 --> 00:19:05,920 Speaker 1: Yeah, the fuse was lit. The fuse was lit for 328 00:19:05,960 --> 00:19:10,000 Speaker 1: a spectacular second place sleeper story, Adam so well played. 329 00:19:10,920 --> 00:19:16,359 Speaker 1: I am genuinely, genuinely excited by my sleeper story today 330 00:19:16,840 --> 00:19:20,879 Speaker 1: because I think it might be the best one that 331 00:19:21,040 --> 00:19:28,960 Speaker 1: I have ever found. I don't want to overhype it. 332 00:19:29,280 --> 00:19:30,800 Speaker 2: Do you not be you sure? 333 00:19:31,920 --> 00:19:34,280 Speaker 1: Okay? I want to. I want to give it just 334 00:19:34,320 --> 00:19:38,760 Speaker 1: the right amount of hype. Let's think together, the three 335 00:19:38,800 --> 00:19:40,639 Speaker 1: of us put our heads together and think of some 336 00:19:40,680 --> 00:19:45,040 Speaker 1: of Australia's biggest, most recognizable companies let's say about this really, 337 00:19:45,080 --> 00:19:46,800 Speaker 1: so I'll put it. I'll put it together. You guys 338 00:19:46,800 --> 00:19:49,240 Speaker 1: can just sit back. You've got oil and gas giant 339 00:19:49,280 --> 00:19:54,359 Speaker 1: Santos Sun Corp Group. QBE Insurance is another one. Cocklear 340 00:19:54,600 --> 00:19:57,720 Speaker 1: is a good one center group, which of course owns 341 00:19:57,880 --> 00:20:02,680 Speaker 1: Westfield shopping centers. Very reckon, iognizable. These are all household names, right, 342 00:20:03,119 --> 00:20:05,560 Speaker 1: and they've all got a market cap of around the 343 00:20:05,720 --> 00:20:10,080 Speaker 1: eighteen to twenty four billion dollar mark. They are incredible brands, 344 00:20:10,760 --> 00:20:18,840 Speaker 1: big companies, big Australian success stories. Now, now imagine a 345 00:20:18,960 --> 00:20:24,560 Speaker 1: private company flying under the radar, growing to the equivalent 346 00:20:24,920 --> 00:20:32,080 Speaker 1: size in just nine years, and then being snapped up 347 00:20:32,440 --> 00:20:36,400 Speaker 1: by US investment giant Blackstone in a deal worth more 348 00:20:36,440 --> 00:20:39,639 Speaker 1: than twenty three billion dollars, the equivalent of all of 349 00:20:39,640 --> 00:20:43,120 Speaker 1: those other companies. So those household names that I just listed, this, 350 00:20:43,119 --> 00:20:48,119 Speaker 1: this is the story of air Trunk, the great Australian 351 00:20:48,520 --> 00:20:53,879 Speaker 1: success story that nobody's ever heard of until this week. 352 00:20:54,640 --> 00:20:59,320 Speaker 1: Air Trunk a data center business writing the surge in 353 00:20:59,400 --> 00:21:03,679 Speaker 1: demand for cloud based storage and the AI boom. It 354 00:21:03,720 --> 00:21:07,840 Speaker 1: now takes its place among the biggest deals in Australian 355 00:21:08,280 --> 00:21:15,960 Speaker 1: corporate history. What on earth this is remarkable, pretty good 356 00:21:16,000 --> 00:21:18,920 Speaker 1: for a nine year old business and well played indeed 357 00:21:18,960 --> 00:21:21,840 Speaker 1: to Robin Cooder, the founder of the business, who saw 358 00:21:21,880 --> 00:21:27,440 Speaker 1: the opportunity, who backed himself and is now a billionaire 359 00:21:27,640 --> 00:21:29,600 Speaker 1: because of it. And he's not stopping there. He is 360 00:21:29,720 --> 00:21:34,120 Speaker 1: vowed to get air Trunk to a one hundred billion 361 00:21:34,280 --> 00:21:36,840 Speaker 1: dollar business. So I know I've already got you to 362 00:21:36,840 --> 00:21:38,920 Speaker 1: mark other things in the calendar earlier in the show, 363 00:21:38,960 --> 00:21:42,080 Speaker 1: But get your pens back out, get your calendars back out, 364 00:21:42,240 --> 00:21:45,800 Speaker 1: and mark this week in the calendar once again, a 365 00:21:45,840 --> 00:21:48,800 Speaker 1: big red circle around it. The first time many of 366 00:21:48,880 --> 00:21:52,359 Speaker 1: us outside of the tech sector will have heard the 367 00:21:52,520 --> 00:21:57,400 Speaker 1: name air Trunk. But but this week it takes its 368 00:21:57,520 --> 00:22:01,520 Speaker 1: rightful place and the pantheon of extraordinary Australian tech exports 369 00:22:01,520 --> 00:22:04,760 Speaker 1: alongside at Lassie and and canber and the rest. It 370 00:22:04,800 --> 00:22:09,760 Speaker 1: is the ultimate, ultimate ultimate sleeper story and I am 371 00:22:10,200 --> 00:22:14,199 Speaker 1: genuinely excited by it, and Tim, I know you are too. 372 00:22:14,880 --> 00:22:18,879 Speaker 2: Hey, look, I'm I'm a little excited by air drug 373 00:22:19,200 --> 00:22:26,320 Speaker 2: does feel interesting? That doesn't, No, this is I'm trying 374 00:22:26,400 --> 00:22:31,240 Speaker 2: to find ways of giving credit because it's you know again, 375 00:22:31,400 --> 00:22:37,560 Speaker 2: Adam grabbed the most I guess obviously big sleeper story 376 00:22:37,560 --> 00:22:40,560 Speaker 2: of the week, which, of course, then you know, how 377 00:22:40,600 --> 00:22:42,960 Speaker 2: do you sort of balance well, you know, was it 378 00:22:43,000 --> 00:22:44,760 Speaker 2: an open goal? Do you give? Do you give as 379 00:22:44,800 --> 00:22:47,160 Speaker 2: much credit for a goal scored through an open goal 380 00:22:47,240 --> 00:22:49,840 Speaker 2: as you do for something where you have to work 381 00:22:49,880 --> 00:22:52,080 Speaker 2: a bit harder on which actually I suppose actually, if 382 00:22:52,119 --> 00:22:53,760 Speaker 2: you think about the rules of football, you in fact 383 00:22:53,760 --> 00:22:56,679 Speaker 2: do so I might be I might be answering my 384 00:22:56,720 --> 00:23:00,359 Speaker 2: own question there. So I am going to give it 385 00:23:00,400 --> 00:23:03,919 Speaker 2: to Adam, but very very close on points. Although that 386 00:23:03,960 --> 00:23:07,160 Speaker 2: does put Adam onto two and a half to half, 387 00:23:07,960 --> 00:23:10,639 Speaker 2: the actual schools out of one hundred are still quite close. 388 00:23:10,720 --> 00:23:13,639 Speaker 2: So we could go into Favorite with. 389 00:23:13,800 --> 00:23:14,920 Speaker 3: Could go into extra time. 390 00:23:15,600 --> 00:23:17,640 Speaker 2: Yes, if we go into extra time and Michael Scool 391 00:23:17,680 --> 00:23:21,760 Speaker 2: is an absolute zinger from the half way line in Favorite, 392 00:23:21,760 --> 00:23:24,320 Speaker 2: then you never know, could still get there on marks 393 00:23:24,359 --> 00:23:25,160 Speaker 2: out of one hundred. 394 00:23:25,960 --> 00:23:28,520 Speaker 1: Well, especially considering my final story is going to be 395 00:23:28,560 --> 00:23:33,199 Speaker 1: fueled by a sense of injustice. 396 00:23:32,960 --> 00:23:34,240 Speaker 3: Isn't it your resting state? 397 00:23:34,320 --> 00:23:34,639 Speaker 2: Michael? 398 00:23:35,119 --> 00:23:38,960 Speaker 1: Yes, generally it is. But I am look, I am, 399 00:23:39,040 --> 00:23:43,240 Speaker 1: I am representing the people, and just keep that in mind, Tim, 400 00:23:43,320 --> 00:23:46,280 Speaker 1: that you don't want the people against you. No, No, 401 00:23:46,359 --> 00:23:48,320 Speaker 1: it's going to be very hard for you to turn 402 00:23:48,359 --> 00:23:50,160 Speaker 1: this one around, considering it is two and a half 403 00:23:50,160 --> 00:23:51,840 Speaker 1: to half a point. But we'll do our best. Adam, 404 00:23:51,840 --> 00:23:53,040 Speaker 1: would you like to go first? 405 00:23:53,480 --> 00:23:55,200 Speaker 3: Did you just tell the judge it was hard for 406 00:23:55,280 --> 00:23:56,159 Speaker 3: him to turn around? 407 00:23:57,920 --> 00:23:58,320 Speaker 2: Yes? 408 00:23:58,760 --> 00:24:04,760 Speaker 1: Or either that no? Look, I will deliver the goods. 409 00:24:05,160 --> 00:24:07,320 Speaker 3: Of course you will. Yeah, that was never in any doubt. 410 00:24:07,600 --> 00:24:09,720 Speaker 1: I will deliver the goods. In terms of the story, 411 00:24:10,119 --> 00:24:11,920 Speaker 1: it is up to the judge to find a way 412 00:24:11,960 --> 00:24:14,560 Speaker 1: to give me two points for it out of a 413 00:24:14,560 --> 00:24:17,920 Speaker 1: maximum one point available. So anyway, that's on you, Tim, 414 00:24:18,080 --> 00:24:22,320 Speaker 1: That's on you. Meanwhile, Adam, give us your favorite story. 415 00:24:22,160 --> 00:24:26,760 Speaker 3: All right, I will Tim. Look, do you travel regionally occasionally? 416 00:24:27,880 --> 00:24:28,400 Speaker 1: Sickening? 417 00:24:29,240 --> 00:24:35,919 Speaker 2: This is discussing, yes, Adam. Funnily enough, how could you 418 00:24:36,040 --> 00:24:38,480 Speaker 2: possibly know what a coincidence? 419 00:24:39,080 --> 00:24:39,960 Speaker 3: Tim? 420 00:24:40,320 --> 00:24:40,679 Speaker 2: Not? 421 00:24:40,680 --> 00:24:42,919 Speaker 3: Not that that sort of dictated my flow of stories. 422 00:24:43,240 --> 00:24:46,200 Speaker 3: My favorite story of the week is the game changing 423 00:24:46,359 --> 00:24:50,400 Speaker 3: one point six billion dollar deal between Optus and tpg SO. 424 00:24:50,560 --> 00:24:54,159 Speaker 3: This eleven year network sharing agreement, backed by the A 425 00:24:54,240 --> 00:24:58,720 Speaker 3: Triple C, could significantly reduce Telstra's dominance, particularly in regional 426 00:24:58,720 --> 00:25:02,520 Speaker 3: Australia so US. Last year, the AHABRAC blocked a similar 427 00:25:02,720 --> 00:25:05,639 Speaker 3: one point eight billion dollar deal between Telstra and TPG, 428 00:25:06,040 --> 00:25:08,440 Speaker 3: but this time they've given the green light to Optus 429 00:25:08,480 --> 00:25:13,880 Speaker 3: and TPG's collaboration. TPG, which owns Vodafone, will now triple 430 00:25:14,040 --> 00:25:17,040 Speaker 3: its access to mobile sites, allowing it to cover more 431 00:25:17,080 --> 00:25:20,760 Speaker 3: than one million square kilometers, up from just four hundred 432 00:25:20,840 --> 00:25:24,040 Speaker 3: thousand and For OPTAs, this deal is a massive win 433 00:25:24,119 --> 00:25:27,159 Speaker 3: in the five G race, expanding its regional five G 434 00:25:27,320 --> 00:25:30,760 Speaker 3: sites from fifteen hundred to over two thousand, four hundred 435 00:25:30,840 --> 00:25:33,960 Speaker 3: by twenty thirty. But what does this mean for customers, 436 00:25:33,960 --> 00:25:36,800 Speaker 3: the all important customers. Simply put, there will be more 437 00:25:36,920 --> 00:25:40,760 Speaker 3: choice and most likely cheaper prices. For too long, Telstra 438 00:25:40,840 --> 00:25:44,119 Speaker 3: has been the only viable option in many regional and 439 00:25:44,520 --> 00:25:49,080 Speaker 3: rural areas. This deal changes that, offering customers the opportunity 440 00:25:49,160 --> 00:25:53,320 Speaker 3: to switch to a different TELCNE network, potentially driving down 441 00:25:53,400 --> 00:25:57,720 Speaker 3: prices and spurring innovation and the impact on Telstra. While 442 00:25:57,720 --> 00:26:00,959 Speaker 3: they remain the biggest player, this deal will double TPG's 443 00:26:00,960 --> 00:26:05,520 Speaker 3: network size, increasing competition in the market. Telstra's shares dipped 444 00:26:05,520 --> 00:26:09,200 Speaker 3: on the news, while tpg shares rose, a clear signal 445 00:26:09,280 --> 00:26:12,919 Speaker 3: of the market's expectations. Tim and as you know, as 446 00:26:12,960 --> 00:26:15,359 Speaker 3: you just happen to know. This isn't just a story 447 00:26:15,359 --> 00:26:18,280 Speaker 3: about a deal. It's about shaking up the status quo 448 00:26:18,400 --> 00:26:21,840 Speaker 3: in Australia's telco landscape. The deal has the potential to 449 00:26:21,960 --> 00:26:26,119 Speaker 3: reshape the market. It's a communications game changer for anyone 450 00:26:26,160 --> 00:26:29,480 Speaker 3: who lives or travels regionally, making it my favorite story 451 00:26:29,480 --> 00:26:29,920 Speaker 3: of the week. 452 00:26:30,560 --> 00:26:34,160 Speaker 1: Michael, Oh, that was sickening. You have played the judge. 453 00:26:34,240 --> 00:26:36,280 Speaker 3: No, look, that just is a coincidence. 454 00:26:37,440 --> 00:26:41,400 Speaker 1: Well, I would never stoop to that little tim Yes, Michael, 455 00:26:42,800 --> 00:26:46,800 Speaker 1: do you have any kind of interest in media and marketing? 456 00:26:48,160 --> 00:26:49,520 Speaker 1: How do you feel about politics? 457 00:26:51,119 --> 00:26:53,200 Speaker 2: I guess I have a passing interest in all of 458 00:26:53,280 --> 00:26:54,040 Speaker 2: those things. 459 00:26:54,760 --> 00:26:57,880 Speaker 1: There you go. It might interest you to know, then, 460 00:26:58,359 --> 00:27:03,879 Speaker 1: just casually, that the US presidential election is going to 461 00:27:03,960 --> 00:27:10,560 Speaker 1: be the biggest digital advertising blitz on record. Now, this 462 00:27:10,880 --> 00:27:16,679 Speaker 1: is just extraordinary, right, We're only talking about one side here. 463 00:27:18,160 --> 00:27:23,560 Speaker 1: Karmala Harris is planning a three hundred and seventy million 464 00:27:24,080 --> 00:27:30,639 Speaker 1: US dollar cross media campaign over three months. Three hundred 465 00:27:30,680 --> 00:27:34,440 Speaker 1: and seventy million US over three months. She has described 466 00:27:34,440 --> 00:27:38,920 Speaker 1: it as the biggest online ad buy in the history 467 00:27:39,000 --> 00:27:42,560 Speaker 1: of American politics. So keep in mind that that Karmala 468 00:27:42,560 --> 00:27:45,720 Speaker 1: Harris and her team. They have a massive, massive war 469 00:27:45,800 --> 00:27:48,520 Speaker 1: chest to work with here. There's something like five hundred 470 00:27:48,560 --> 00:27:52,040 Speaker 1: and forty million US dollars worth of political donations to 471 00:27:52,200 --> 00:27:57,679 Speaker 1: her campaign. Now, these ads are going to be everywhere 472 00:27:57,960 --> 00:28:01,320 Speaker 1: two hundred million dollars to digital ad, one hundred and 473 00:28:01,359 --> 00:28:04,840 Speaker 1: seventy million dollars to TV. There is going to be 474 00:28:05,520 --> 00:28:07,800 Speaker 1: they're going to be memes, there's going to be viral 475 00:28:07,920 --> 00:28:11,480 Speaker 1: content as well, all to engage the younger voters. 476 00:28:11,080 --> 00:28:11,480 Speaker 2: Of course. 477 00:28:12,119 --> 00:28:16,480 Speaker 1: But my question for both of you is, because I'm 478 00:28:16,520 --> 00:28:19,960 Speaker 1: genuinely curious about this, how would you feel if you 479 00:28:20,040 --> 00:28:23,879 Speaker 1: were one of the grassroots donors here? Because about forty 480 00:28:23,920 --> 00:28:27,240 Speaker 1: two percent of the money that's been raised has come 481 00:28:27,280 --> 00:28:31,280 Speaker 1: from small donors that is considered to be people donating 482 00:28:31,440 --> 00:28:34,760 Speaker 1: less than two hundred dollars. There are six hundred and 483 00:28:34,800 --> 00:28:38,480 Speaker 1: thirty one thousand of them, six hundred and thirty one 484 00:28:38,560 --> 00:28:43,720 Speaker 1: thousand ordinary people who have donated a small amount less 485 00:28:43,720 --> 00:28:46,760 Speaker 1: than two hundred dollars. How would you feel knowing that 486 00:28:46,840 --> 00:28:51,200 Speaker 1: your donation is going to be sucked into the enormous 487 00:28:51,320 --> 00:28:55,120 Speaker 1: black hole that is digital advertising, that is going to 488 00:28:55,160 --> 00:28:59,080 Speaker 1: go to Meta or to TikTok or to Google. If 489 00:28:59,120 --> 00:29:01,240 Speaker 1: you were just an order marry Jimmy or your every 490 00:29:01,280 --> 00:29:05,200 Speaker 1: day lou cinder. Wouldn't you want your donation to go 491 00:29:05,320 --> 00:29:10,000 Speaker 1: to something more meaningful within the campaign, like I don't know, 492 00:29:10,160 --> 00:29:15,040 Speaker 1: kind of the Karmala Harris snow globes, or thinking of 493 00:29:15,080 --> 00:29:19,480 Speaker 1: advertising like a banner, a banner pulled behind a plane 494 00:29:20,000 --> 00:29:25,520 Speaker 1: along the beach at Miami, or or and this is 495 00:29:25,600 --> 00:29:31,640 Speaker 1: thinking right out of the box. Pay someone to sneak 496 00:29:31,840 --> 00:29:36,360 Speaker 1: into the corn fields of Iowa squash all of the 497 00:29:36,560 --> 00:29:40,640 Speaker 1: corn down into the shape of Karmala Harris's head. Maybe 498 00:29:40,640 --> 00:29:43,280 Speaker 1: Tim Waltz as well. If it's a big cornfield and 499 00:29:43,320 --> 00:29:45,239 Speaker 1: they have some very big corn fields there, so I 500 00:29:45,280 --> 00:29:48,920 Speaker 1: reckon you could rush more of the ground exactly and 501 00:29:48,960 --> 00:29:52,320 Speaker 1: then after they've squashed it all down, just disappear into 502 00:29:52,360 --> 00:29:59,120 Speaker 1: the night. A political crop circle. That that would be 503 00:30:00,120 --> 00:30:05,960 Speaker 1: grassroot donations well spent. Think of the media that that 504 00:30:06,000 --> 00:30:10,040 Speaker 1: would generate. The small donors to the campaign would be 505 00:30:10,080 --> 00:30:16,880 Speaker 1: getting absolute value for money, and maybe, just maybe Kamala 506 00:30:16,920 --> 00:30:22,200 Speaker 1: Harris could be the first candidate to use crop circles 507 00:30:22,520 --> 00:30:25,480 Speaker 1: to get into the White House. I rest my case. 508 00:30:25,880 --> 00:30:28,920 Speaker 1: I don't actually know what case I'm arguing here, but 509 00:30:29,040 --> 00:30:29,640 Speaker 1: I rest it. 510 00:30:30,840 --> 00:30:34,640 Speaker 2: Well, thank you, Michael. I do find myself asking whether 511 00:30:34,680 --> 00:30:37,000 Speaker 2: we should have a whole new category for the sort 512 00:30:37,000 --> 00:30:44,160 Speaker 2: of the czar the wild fantasy of the week. But hey, look, 513 00:30:44,320 --> 00:30:47,560 Speaker 2: I must have been I did not expect Michael's argument 514 00:30:48,880 --> 00:30:53,040 Speaker 2: as the co owner of something powered and funded through 515 00:30:53,080 --> 00:30:57,840 Speaker 2: digital advertising arguing against digital advertising. So well done for 516 00:30:57,920 --> 00:30:59,840 Speaker 2: being a turkey arguing for Christmas. 517 00:31:00,240 --> 00:31:02,920 Speaker 1: I'm a I'm a corporate free spirit. I just go wherever, 518 00:31:03,360 --> 00:31:05,520 Speaker 1: wherever I need to. And also I'm a bit of 519 00:31:05,560 --> 00:31:09,760 Speaker 1: a weather vein. I just and really, really, I just 520 00:31:09,800 --> 00:31:12,240 Speaker 1: want to see some crop circles. Is that really too 521 00:31:12,320 --> 00:31:13,080 Speaker 1: much to ask? 522 00:31:13,560 --> 00:31:15,520 Speaker 2: They've gone out a fashion, haven't they. 523 00:31:15,840 --> 00:31:18,080 Speaker 1: They really have, Like when was the last time you 524 00:31:18,120 --> 00:31:20,880 Speaker 1: woke up and saw a crop circle on the news? 525 00:31:21,200 --> 00:31:24,520 Speaker 3: Well, since security cameras sort of removed the fat I 526 00:31:24,600 --> 00:31:27,160 Speaker 3: think interrupting, Oh. 527 00:31:27,200 --> 00:31:29,480 Speaker 2: Adam, next you'll be arguing that they weren't caused by 528 00:31:29,520 --> 00:31:35,000 Speaker 2: aliens in the first place. Please, yeah, no, But I 529 00:31:35,000 --> 00:31:37,200 Speaker 2: need to have a little bit bit think about these 530 00:31:37,200 --> 00:31:41,960 Speaker 2: things because this US election spending did catch my eye 531 00:31:42,000 --> 00:31:46,040 Speaker 2: during the week, because you know, I remember so Martin 532 00:31:46,120 --> 00:31:48,480 Speaker 2: Sorrow when he was the boss of WPP. He always 533 00:31:48,560 --> 00:31:52,360 Speaker 2: used to talk about the quadrenual effect of sort of 534 00:31:52,360 --> 00:31:56,960 Speaker 2: both the Olympics advertising spend and the US election, because 535 00:31:56,960 --> 00:31:59,440 Speaker 2: of course the two things used to always come together 536 00:31:59,560 --> 00:32:02,120 Speaker 2: and every four years, and how they would lift the 537 00:32:02,120 --> 00:32:05,040 Speaker 2: whole US economy and then the world economy. So it 538 00:32:05,160 --> 00:32:07,760 Speaker 2: is a topic that's sort of close to my heart, 539 00:32:07,800 --> 00:32:10,920 Speaker 2: and it sort of feels like the last couple of 540 00:32:10,920 --> 00:32:13,400 Speaker 2: cycles it hadn't really happened. So so that was my 541 00:32:13,480 --> 00:32:15,440 Speaker 2: first thought when I saw it. So that was, you know, 542 00:32:15,520 --> 00:32:20,040 Speaker 2: that that that was well argued. And then then Adams 543 00:32:20,120 --> 00:32:22,960 Speaker 2: is you know, he's definitely been a bit shameless and 544 00:32:23,040 --> 00:32:25,800 Speaker 2: sort of pandering to me. Not not not not at 545 00:32:25,880 --> 00:32:28,720 Speaker 2: least because my little corner of northwest Tasmania. Yes, I 546 00:32:28,760 --> 00:32:31,880 Speaker 2: am in fact only on Telstra, and of course we 547 00:32:32,040 --> 00:32:33,960 Speaker 2: as you might have heard, we had some quite high 548 00:32:34,080 --> 00:32:37,960 Speaker 2: winds in our corner of the world. So once the 549 00:32:38,000 --> 00:32:40,640 Speaker 2: power went out, the Telstra tower went out a few 550 00:32:40,680 --> 00:32:43,960 Speaker 2: hours later, when I guess it's battery run down or 551 00:32:44,000 --> 00:32:48,120 Speaker 2: whatever happens. So so yes, that's that's close. But in 552 00:32:48,160 --> 00:32:53,080 Speaker 2: fact I have scored it to Michael, which makes it 553 00:32:53,160 --> 00:32:58,680 Speaker 2: on points if I've if I've added it up correctly, 554 00:32:58,760 --> 00:33:03,360 Speaker 2: does does mean that on rams Adam has won by 555 00:33:03,880 --> 00:33:06,960 Speaker 2: two and a half to one and a half, and 556 00:33:07,160 --> 00:33:14,560 Speaker 2: on points Adam has also won by eighty four points 557 00:33:14,560 --> 00:33:15,200 Speaker 2: to eighty three. 558 00:33:17,320 --> 00:33:19,240 Speaker 3: So were neck and neck over two weeks. 559 00:33:19,560 --> 00:33:22,000 Speaker 2: Yes, that's very true, you are. Actually it's been one all, 560 00:33:22,080 --> 00:33:22,840 Speaker 2: hasn't it. 561 00:33:23,760 --> 00:33:26,000 Speaker 1: And there was only one point separating us last week? 562 00:33:26,000 --> 00:33:27,760 Speaker 2: I think, Yes, I had forgotten that. 563 00:33:28,040 --> 00:33:31,360 Speaker 3: Yes, I don't know how you scripted that. Tim well played. 564 00:33:31,400 --> 00:33:33,960 Speaker 3: And look for anyone who just heard Tim's story and 565 00:33:34,040 --> 00:33:37,760 Speaker 3: wants to hear a very an expert media view, but 566 00:33:37,880 --> 00:33:41,720 Speaker 3: also just a summarizing of the excellent adventure of the 567 00:33:41,760 --> 00:33:45,160 Speaker 3: Tasmania Weather. Go to the Unmade podcast and have a 568 00:33:45,240 --> 00:33:48,240 Speaker 3: listened to last Monday's episode. It's a cracker. 569 00:33:48,840 --> 00:33:50,320 Speaker 2: It was not my finest hour. 570 00:33:50,560 --> 00:33:51,920 Speaker 3: Oh but what a story. 571 00:33:53,560 --> 00:33:56,959 Speaker 2: I won't give any spoiler spoilers hair, but yes, if 572 00:33:56,960 --> 00:33:59,000 Speaker 2: people do happen to listen, even if it's just the 573 00:33:59,040 --> 00:34:01,680 Speaker 2: first couple of minutes. And yes, I do share that 574 00:34:01,720 --> 00:34:03,320 Speaker 2: I'm not as good in the crisis as I thought 575 00:34:03,400 --> 00:34:03,800 Speaker 2: I was. 576 00:34:05,480 --> 00:34:09,719 Speaker 1: The panic sets in that is outstanding, Tim, Thank you 577 00:34:09,800 --> 00:34:12,920 Speaker 1: so much for your judging. I was hoping for a 578 00:34:12,960 --> 00:34:15,200 Speaker 1: repeat of last week. Maybe I needed to make more 579 00:34:15,239 --> 00:34:16,120 Speaker 1: of the crop circles. 580 00:34:17,080 --> 00:34:19,560 Speaker 2: Heys always a pleasure and never ature. 581 00:34:20,120 --> 00:34:22,200 Speaker 1: Thank you so much. That was Tim Burrows, owner of 582 00:34:22,280 --> 00:34:25,239 Speaker 1: media and marketing industry newsletter Unmade, And thank you. 583 00:34:25,200 --> 00:34:27,480 Speaker 3: Adam, thank you Michael, and thank you Tim. 584 00:34:27,719 --> 00:34:30,000 Speaker 1: Make sure you're following the podcast and please join us 585 00:34:30,080 --> 00:34:34,400 Speaker 1: online on LinkedIn, Instagram, TikTok, Facebook and X. I'm Michael Thompson. 586 00:34:34,440 --> 00:34:36,840 Speaker 1: And that was Fear and Greed. Have a great weekend.