Latest / What the Flux / YouTube and Instagram's big changes in Aus | Macquarie's sells data centre for record amount | Musk introduces raunchy chatbots

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YouTube and Instagram's big changes in Aus | Macquarie's sells data centre for record amount | Musk introduces raunchy chatbots · What the Flux

• 0:05
  Speaker 1: This is What the Flux.
• 0:06
  Speaker 2: I'm Brett and I'm Justin and it's Friday's seventeenth of October.
• 0:09
  Speaker 1: Josy boy, the RBA is facing a bit of a
• 0:11
  Speaker 1: Melbourne Cup conundrum. Yep. The RBA was expected to pause
• 0:15
  Speaker 1: rates at its next cash rate announcement on November the fourth,
• 0:18
  Speaker 1: But the latest jobs data is in and it is
• 0:20
  Speaker 1: not pretty like. Data by the ABS showed the highest
• 0:23
  Speaker 1: unemployment rate in four years at four and a half percent.
• 0:26
  Speaker 1: So now, financial markets, you reckon the RBA may be
• 0:28
  Speaker 1: considering an unexpected cut.
• 0:30
  Speaker 2: Interesting, not what I expected today, a man buck Sam,
• 0:33
  Speaker 2: can you believe We've done over fifteen hundred episodes of
• 0:36
  Speaker 2: What the Flux in the last five years.
• 0:37
  Speaker 1: That's a whole lot of business chat and we're only
• 0:40
  Speaker 1: getting started.
• 0:40
  Speaker 2: And while we love breaking down the biggest stories each week,
• 0:43
  Speaker 2: we also love hearing from the people behind those businesses.
• 0:46
  Speaker 1: So we are launching a brand new miniseriies called What
• 0:50
  Speaker 1: the Flux. In Conversation, We'll be sitting down with some
• 0:52
  Speaker 1: of the Australia's most interesting business leaders and experts talking
• 0:55
  Speaker 1: all things business, but also not business. These conversations will
• 0:58
  Speaker 1: give you a real insight to how these leaders think
• 1:01
  Speaker 1: about their roles in their companies and reflections on what
• 1:04
  Speaker 1: has helped to make them so successful.
• 1:06
  Speaker 2: Think of it as your front row seat how the
• 1:07
  Speaker 2: people running the show actually think.
• 1:10
  Speaker 1: So keep your eyes and your ears peeled. What the
• 1:12
  Speaker 1: flux in conversation drops soon? Cannot wait for our first.
• 1:17
  Speaker 1: YouTube and Instagram have announced new safety features for kids
• 1:20
  Speaker 1: and teens ahead of Australia's social media ban.
• 1:23
  Speaker 2: Guess you could call this a new feature. Alert me, man,
• 1:25
  Speaker 2: Tell me more so.
• 1:26
  Speaker 1: Meta, the owner of Instagram, and Alphabet, the owner of Google,
• 1:28
  Speaker 1: are two of the world's biggest tech companies.
• 1:30
  Speaker 2: Meta are the owners of social media platform Instagram and Facebook.
• 1:33
  Speaker 1: While Google is the owner of video sharing platform YouTube
• 1:36
  Speaker 1: and the Man.
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  Speaker 2: Instagram has approximately fourteen point three million users in Australia.
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  Speaker 1: More than half of the Aussie population.
• 1:42
  Speaker 2: Alert Yeah will YouTube has more than twenty point nine
• 1:45
  Speaker 2: million newses in Australia. Douzy boid.
• 1:47
  Speaker 1: From the tenth of December this year, the Australian government
• 1:49
  Speaker 1: is imposing a ban on Instagram, TikTok, Facebook, Snapchat and
• 1:53
  Speaker 1: YouTube for kids under sixteen.
• 1:54
  Speaker 2: To protect their well being and mental health.
• 1:57
  Speaker 1: Now Meta and Google are rolling out new safety features
• 2:00
  Speaker 1: for their teenage users.
• 2:01
  Speaker 2: On Instagram, teenagers will now be restricted to PG thirteen
• 2:05
  Speaker 2: level images and videos by default. On YouTube, there'll be
• 2:08
  Speaker 2: a dedicated row of mental health videos whenever teen search
• 2:11
  Speaker 2: up topics like depression, anxiety, ADHD, eating disorders.
• 2:15
  Speaker 1: And this is just one of the many ways big
• 2:17
  Speaker 1: tech companies are evolving to fit new regulations.
• 2:20
  Speaker 2: So what is the key learning here?
• 2:21
  Speaker 1: When new industry regulations are introduced, big tech companies try
• 2:25
  Speaker 1: to get ahead of the curve.
• 2:26
  Speaker 2: Pre Emptive feature rollouts help the companies position themselves as
• 2:30
  Speaker 2: being proactive and helps reduce friction when the law actually
• 2:33
  Speaker 2: takes place.
• 2:34
  Speaker 1: We've seen this move before within the buy now, pay
• 2:36
  Speaker 1: later industry, haven't.
• 2:36
  Speaker 2: We just exactly remember when there was a whole lot
• 2:38
  Speaker 2: of pressure on those companies who had taken advantage of
• 2:41
  Speaker 2: loopholes in the credit regulation.
• 2:42
  Speaker 1: In anticipation of the new laws, companies like afterpains It
• 2:45
  Speaker 1: created the buy now, Pay Later Code of Practice in
• 2:48
  Speaker 1: twenty twenty one, and the.
• 2:49
  Speaker 2: Goal was to show regulators, hey, we're committed to consumer protection.
• 2:52
  Speaker 1: And similarly, Instagram and YouTube's recent safety features can help
• 2:56
  Speaker 1: improve brand image and potentially public trust. Ye.
• 2:59
  Speaker 2: So despite Meta and Google pushing back on the proposed
• 3:02
  Speaker 2: youth ban, introducing these new safety features show they're also
• 3:06
  Speaker 2: playing the long game.
• 3:06
  Speaker 1: The more they play fair now, the less chance of
• 3:09
  Speaker 1: even more tight regulations in the future.
• 3:12
  Speaker 2: For our second story, mcquarie Group has sold one of
• 3:14
  Speaker 2: its data center businesses for sixty one billion dollars in
• 3:18
  Speaker 2: the largest global data center buyout ever.
• 3:21
  Speaker 1: Talk about data turning into Dalar's juzzy boy, Tell me
• 3:24
  Speaker 1: more so.
• 3:24
  Speaker 2: Mccuari Group is the Sydney based global investment bank and
• 3:27
  Speaker 2: asset manager too. We are talking over eight hundred billion
• 3:31
  Speaker 2: dollars under management here and b Man McQuary's asset management
• 3:34
  Speaker 2: business brought into a data center business in April twenty eighteen.
• 3:37
  Speaker 2: The name was Aligned Data Centers, the great name, and
• 3:41
  Speaker 2: at the time it had just two data center facilities
• 3:43
  Speaker 2: in Dallas and Phoenix, USA. Since then, it's grown into
• 3:46
  Speaker 2: a major data center platform. We're talking fifty data centers
• 3:49
  Speaker 2: in the US, in Mexico, Brazil, Chile, Columbia, and.
• 3:52
  Speaker 1: Now just seven years later, mcquarie Asset Management has sold
• 3:56
  Speaker 1: Aligned Data Centers to AI powerhouses for sixty one bill.
• 4:00
  Speaker 2: And who are these powerhouses you speak of?
• 4:02
  Speaker 1: We'd be talking a consortium of Nvidia, Microsoft, black Rock
• 4:05
  Speaker 1: and also Temaset and the Man.
• 4:07
  Speaker 2: It seems like all big institutional investors and AI companies
• 4:10
  Speaker 2: are scrambling to get their bands on data centers.
• 4:13
  Speaker 1: Interesting called juzzy Boy. So what is the key learning here?
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  Speaker 2: AI isn't just reshaping how we work, it's reshaping what
• 4:19
  Speaker 2: investors build and buy. Yep.
• 4:21
  Speaker 1: We know there's been a massive global push for artificial intelligence.
• 4:24
  Speaker 2: And this has pushed huge demand for physical infrastructure that
• 4:28
  Speaker 2: helps power the AI.
• 4:29
  Speaker 1: We'd be talking renewable energy systems, AI chips, and of
• 4:32
  Speaker 1: course data centers. In fact, by Man Morgan Stanley estimates
• 4:35
  Speaker 1: that Microsoft, Amazon, and Alphabet will spend around four hundred
• 4:38
  Speaker 1: billion US dollars on AI infrastructure this year alone, and
• 4:42
  Speaker 1: as a result, data center owners and investors are cashing in.
• 4:45
  Speaker 2: For our third and final story, Elon Musk's AI company
• 4:49
  Speaker 2: Xai has launched two raunchy chat bots, Annie and Valentine
• 4:53
  Speaker 2: to drive more engagement on its AI chatbot.
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  Speaker 1: One of the stranger stories we've had on the plot,
• 4:57
  Speaker 1: juzzy Boy, Black Mirror vibes, tell.
• 5:00
  Speaker 2: Me more, okay. So Xi was founded by Elon Musk
• 5:02
  Speaker 2: in twenty twenty three to rival open ai and Meta
• 5:05
  Speaker 2: in the AI arms race. Remember, Elon was one of
• 5:08
  Speaker 2: the co founders of open Ai, but walked out on
• 5:11
  Speaker 2: the company in twenty eighteen after major disputes with the
• 5:13
  Speaker 2: leadership team. Elon Musk having disputes and being controversial by man,
• 5:16
  Speaker 2: it seems a bit unlike him.
• 5:18
  Speaker 1: But now Muskie Musk has gone controversial one more time
• 5:21
  Speaker 1: with his latest announcement.
• 5:22
  Speaker 2: Yeah. Xai is announced sexually explicit chatbot companions as part
• 5:26
  Speaker 2: of its groc chatbot.
• 5:27
  Speaker 1: Yeah, there are two sexualized chatbots named Annie and Valentine
• 5:31
  Speaker 1: who flirt with users of any gender and b man.
• 5:33
  Speaker 2: This announcement has raised some serious eyebrows with the regulators
• 5:36
  Speaker 2: in the US, but Elon reckons his chatbots will actually
• 5:39
  Speaker 2: increase the global birth rate. Yes, he actually made his claim.
• 5:42
  Speaker 1: But many are concerned that these raunchy chatbots blur the
• 5:45
  Speaker 1: line between what AI could be used for and what
• 5:48
  Speaker 1: it should be used for. And emotional AI tose that
• 5:50
  Speaker 1: line very very closely, So what's the key learning here?
• 5:53
  Speaker 1: Emotional AI refers to technology designed to recognize, stimulate, and
• 5:58
  Speaker 1: respond to human feelings. Companies like Xai are building systems
• 6:01
  Speaker 1: that don't just answer questions for you, they actually bond
• 6:04
  Speaker 1: with you.
• 6:05
  Speaker 2: Laquin Phoenix in her Eat Your Hardhouse.
• 6:07
  Speaker 1: But jozieboit. The logic is quite simple. The more emotionally
• 6:10
  Speaker 1: connected a user feels, the longer they stick around on
• 6:13
  Speaker 1: this app, and the.
• 6:14
  Speaker 2: Longer they stick around, the more data and profit the
• 6:16
  Speaker 2: company can generate.
• 6:17
  Speaker 1: But jozieboy in. A study that was run by MIT
• 6:20
  Speaker 1: in the US showed the negative effects of emotional AI.
• 6:23
  Speaker 2: YEP researchers tracked nearly one thousand people three hundred thousand
• 6:26
  Speaker 2: messages chatting with an AI chatbot.
• 6:28
  Speaker 1: The research found that users with high daily usage of
• 6:31
  Speaker 1: chatbot services correlated with higher loneliness, beater emotional dependence on
• 6:35
  Speaker 1: the AI, and lower socialization with real humanoids.
• 6:39
  Speaker 2: So for Elon Musk, emotional AI could be the next
• 6:41
  Speaker 2: billion dollar industry.
• 6:42
  Speaker 1: For everyone else, it's a bit of a reminder that
• 6:44
  Speaker 1: feelings and algorithms don't always mix so well.
• 6:48
  Speaker 2: But dam if you're key to win fifty bucks kicking
• 6:50
  Speaker 2: off the weekend, you can do it. It's all in
• 6:52
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• 6:54
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• 6:56
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• 7:00
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• 7:02
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• 7:03
  Speaker 1: Thanks for listening, and we'll see you on Monday.