Latest / Tech Talks With Kinsoft / Australian Tech Update June 2025
Transcript
- 0:00Ever feel like you're just constantly trying
- 0:01to keep up with tech? It moves so fast. Oh, absolutely.
- 0:04Especially here in Australia, right? Yeah. And
- 0:06the sheer amount of information. It's just, well,
- 0:09it's a lot. How do you even start to cut through
- 0:11that noise? It's a real challenge. Welcome to
- 0:13Tech Talks with Kinsoft. This is the show where
- 0:16we try to take that stack of info and turn it
- 0:18into something useful, some actionable insights
- 0:20to help you stay ahead. I'm your host, and I'm
- 0:23joined by our expert guide. Great to be here.
- 0:25So today, yeah, we're doing a deep dive into
- 0:28the really significant Aussie tech news from
- 0:30June 2025. We want to unpack the key trends,
- 0:34flag some maybe surprising developments, and
- 0:36really explore what it all means for you, whether
- 0:38you're managing a business, working in IT, or
- 0:42maybe just really curious about where tech is
- 0:44heading down under. Right. And we've pulled from
- 0:46a whole range of sources for this. Tech predictions,
- 0:49news sites, government reports, industry surveys,
- 0:51the lot. So hopefully a pretty comprehensive
- 0:54picture for this month. So maybe to kick us off,
- 0:57there was that prediction from Anthony Spiteri
- 1:00at Veeam. He called 2025 a year of realization,
- 1:05regulations, and resilience in tech. How are
- 1:08we seeing that play out, particularly with AI
- 1:10here in Australia? Well, that's actually a perfect
- 1:12starting point because with AI, one of the really
- 1:14interesting things happening right now is the
- 1:16rise of these AI middleware companies. Middleware.
- 1:18Explain that a bit. Think of them like. like
- 1:20translators or bridges. They basically help businesses
- 1:23adopt AI -secure, responsible AI much faster.
- 1:27By letting the complex AI models talk properly
- 1:30to a company's existing systems, it just simplifies
- 1:33the whole adoption process. You don't necessarily
- 1:34need a huge team of in -house AI experts right
- 1:38away. Okay, so it's not just about getting AI,
- 1:40it's getting it integrated smartly. Yeah. And
- 1:43faster. Precisely. And that's crucial when you
- 1:45see predictions like IDC's, right? That 24 percent
- 1:48compound annual growth rate for AI investment
- 1:50through to 2028. It's massive. So for an Australian
- 1:53business manager listening, what's the key takeaway
- 1:56there? The key insight is that this middleware
- 1:58isn't just, you know, a technical shortcut. It's
- 2:01becoming this vital link for Aussie businesses
- 2:04to actually use AI effectively and importantly,
- 2:07ethically. Ethically. OK. Which ties straight
- 2:11into Australia's. stricter stance, those new
- 2:14AI guardrails that were announced. This middleware
- 2:17helps companies stay compliant. It could even
- 2:18be a bit of a competitive edge for us here. But
- 2:21there's a flip side. More AI means way more data,
- 2:24much more complex data. So robust data management,
- 2:27proper protection, secure retention, that becomes
- 2:30absolutely critical. That ethical piece is huge.
- 2:33Now, thinking bigger picture about AI growth.
- 2:35I mean, chat GPT hitting 100 million users in
- 2:38just 60 days. That's explosive. Unbelievable
- 2:40growth. But that kind of hypergrowth, it doesn't
- 2:44come free, does it? Especially when you think
- 2:45about energy, the environment. Not at all. It's
- 2:48putting this immense strain on energy resources
- 2:50globally. Data centers are the engine rooms for
- 2:54AI, right? Right. Well, the number of them doubled.
- 2:56Just between 2015 and 2024, we went from 3500
- 3:00to 7000. And Deloitte reckons their energy use
- 3:04is going to jump from about 500 terawatt hours
- 3:06this year to nearly 1600 by 2034. 1600 terawatt
- 3:11hours. Yeah. To put that in perspective, that's
- 3:13roughly what India uses in an entire year. Good
- 3:16grief. Yeah. So for Aussie businesses, sustainability
- 3:19isn't just a buzzword anymore. It's absolutely
- 3:22not a nice to have. It's fundamental. It's a
- 3:24strategic necessity. if you want to scale AI
- 3:27responsibly and, frankly, affordably. So what's
- 3:30the immediate implication then? Beyond just,
- 3:32you know, the environmental concern. Well, it
- 3:34means we just can't keep powering things the
- 3:36same old way. This demand forces a big shift
- 3:38towards more sustainable energy. Nuclear is mentioned
- 3:42as a likely longer term option. Shorter term,
- 3:45we need clever cooling for these packed hot data
- 3:48centers. Things like compute and memory, CIM
- 3:50architectures. They cut down the energy needed
- 3:53to shuttle data back and forth. Makes AI more
- 3:56efficient right at the hardware level. Fascinating.
- 3:59The physical infrastructure has to race to keep
- 4:01up with the digital. Exactly. But it's not just
- 4:04physical infrastructure, is it? It's changing
- 4:05the human side, too. How's this AI surge showing
- 4:09up in the workforce? and leadership roles here
- 4:12in Australia. Oh, it's a profound shift. Take
- 4:14software development. It's being totally revolutionized.
- 4:17We've gone past simple code suggestions like
- 4:20GitHub Copilot to platforms like Cursor AI or
- 4:23Replit .com that can actually generate whole
- 4:25chunks of code. Right. So for developers, the
- 4:28job changes. It's less about typing code, more
- 4:30about high -level design, reviewing the AI's
- 4:33output, integrating it. Huge productivity potential.
- 4:36But risks, too. Definitely risks. AI can generate
- 4:39malware just from a prompt now. So this whole
- 4:41idea of responsible AI becomes critical vendors
- 4:43building in safeguards to stop harmful uses.
- 4:46So a massive change in how software gets made.
- 4:49And leadership. Are new roles popping up? They
- 4:51absolutely are. We're seeing the chief AI officer
- 4:54emerge, the CIO. CIO. These roles are all about
- 4:58overseeing the ethical, responsible, and just
- 5:02plain effective use of AI across the whole organization.
- 5:05So not just an IT thing. Not at all. It signals
- 5:07AI is a strategic C -suite issue now. It touches
- 5:11everything ethics, long -term strategy. They
- 5:13work hand -in -love with chief data officers,
- 5:16data privacy officers, too. We're seeing this
- 5:18reflected in business attitudes. Yeah, you hear
- 5:20reports about Amazon expecting to replace some
- 5:23human roles with AI. And just generally, CEOs
- 5:25seem to be getting the message loud and clear.
- 5:28You need to embrace AI to compete. Which brings
- 5:31us neatly to regulation. How are governments,
- 5:33industry bodies reacting to this speed? especially
- 5:36here? Well, the regulatory landscape is definitely
- 5:39getting more complex. There are new laws forcing
- 5:42companies to really get a handle on their AI
- 5:44implementations. And you're seeing AI governance
- 5:47platforms pop up to help with trust, transparency,
- 5:50ethics. And specifically for Australia, the ACCC,
- 5:54the Competition and Consumer Commission, their
- 5:56latest digital platform services report just
- 5:59came out June 23rd. Right. The final one in that
- 6:02series. What did it find? It found ongoing widespread
- 6:06harms in digital markets, particularly from these
- 6:09fast moving techs like Gen -AI and cloud computing.
- 6:13OK, so harms are still happening. What are they
- 6:16recommending? For businesses listening, this
- 6:19sounds like it could really impact things. It
- 6:21could. They're pushing for a whole new digital
- 6:23competition regime. The idea is to tackle things
- 6:26like self -preferencing or tying by the big cloud
- 6:28players, you know, Amazon, Microsoft, Google.
- 6:31Because they're vertically integrated. Exactly.
- 6:33The ACCC argues that kind of behavior can stifle
- 6:36innovation, especially for smaller Aussie players,
- 6:38and ultimately push up prices for businesses
- 6:40and consumers. They're trying to level the playing
- 6:42field a bit. That's the goal. So for Aussie businesses...
- 6:45particularly startups, SMEs, the insight is this
- 6:48could potentially open things up, reduce costs
- 6:50maybe. Makes sense. And what about consumers
- 6:52directly? Any findings there? Oh, yes. A huge
- 6:55number, 72 percent of Australian consumers said
- 6:58they had run into potentially unfair online practices.
- 7:01Things like accidental subscriptions, hidden
- 7:04fees. We've all seen those. Right. So for businesses,
- 7:07the takeaway is clear. If you're not being upfront
- 7:09and transparent online, you're not just risking
- 7:11customer goodwill. You could be facing serious
- 7:14regulatory heat soon. So ethical design. Clear
- 7:17terms, no longer optional. Absolutely. A regulatory
- 7:20imperative now. The ACCC wants an economy wide
- 7:23ban on unfair trading practices. And interestingly,
- 7:2782 percent of people surveyed agreed there should
- 7:29be an external body to handle disputes with digital
- 7:32platforms. Gives consumers somewhere to go. What
- 7:35about the platforms themselves? How are they
- 7:36tackling things like misinformation, especially
- 7:38with AI making fake content so convincing? That's
- 7:42where the digital industry group, DIGI, comes
- 7:44in. Their report from early June detailed what
- 7:47Aussie platforms are doing. Big focus on AI transparency.
- 7:50Labeling AI content. Google's expanding SynthED,
- 7:53that's like a digital watermark for AI stuff,
- 7:56to text and video now. Meta, TikTok, Adobe, they're
- 7:59all improving their labeling tools too. So trying
- 8:01to show what's AI generated. Yeah, and using
- 8:03things like... like C2PA content credentials
- 8:06to track where digital content actually came
- 8:09from. It's provenance. That must be critical
- 8:11around election time. Hugely important. And platforms
- 8:14did put specific policies in place during the
- 8:172024 election cycle here. Microsoft, for example,
- 8:20had dedicated teams in Australia, trained over
- 8:22150 people just on tackling election misinformation.
- 8:26Did it work? The numbers suggest they're making
- 8:28headway. TikTok apparently hit over 95 % proactive
- 8:31removal of misinformation. consistently. YouTube
- 8:35pulled over 5 ,000 videos from Australian IPs
- 8:38for violating policies. So the insight. Even
- 8:41though AI makes misinformation more sophisticated,
- 8:43the platforms are developing tools and processes
- 8:46to fight back at scale. It's an ongoing battle,
- 8:48but they are fighting it. That's good to hear.
- 8:50Okay, so we've really dug into AI's impact this
- 8:53month. Huge topic. But June wasn't only about
- 8:56AI, was it? Yeah. There were other big things
- 8:59happening across the Aussie tech scene. Cybersecurity,
- 9:02manufacturing innovation, energy. Where should
- 9:04we go next? How about cybersecurity? How ready
- 9:07are businesses here? It's still a massive concern.
- 9:09You've got two things happening. The threats
- 9:12outside are getting smarter. Like those AI...
- 9:15deep fakes, impersonating CEOs. Exactly. Or AI
- 9:19crafting phishing emails that sound really personal,
- 9:21really convincing. But then you've also got the
- 9:23internal readiness issue. A recent report found
- 9:26only half, just 50 percent of Australian business
- 9:29leaders feel confident their staff could actually
- 9:31handle a cyber incident properly. Only half.
- 9:34Despite all the talk and the push for things
- 9:37like the new cybersecurity bill. Yep. So for
- 9:39anyone managing IT, it screams. It's not just
- 9:42about the tech. It's about the training. the
- 9:45response plans, the people. And we saw real -world
- 9:47examples this month reinforcing that, didn't
- 9:49we? They did. That ex -student charged over the
- 9:51Western Sydney Uni attacks classic insider threat
- 9:54reminder. Then you see Sportsbet actively recruiting
- 9:57security champions from their regular staff.
- 10:00They get it. Your people are a crucial line of
- 10:02defense. Human firewalls. Exactly. And even globally,
- 10:06look at WhatsApp being banned on U .S. house
- 10:08devices over security. It shows a general tightening.
- 10:12Plus, those huge health data breaches, McLaren
- 10:15Health, 743 ,000 patients. Another U .S. provider,
- 10:205 million patients. The clear message for any
- 10:24Aussie business, no one's safe. You need layers
- 10:27of security tech and people. Proactive is the
- 10:30only way. A sobering thought. Now, related to
- 10:33security, and maybe cost too, I've heard talk
- 10:36about data repatriation. What's that about? Yeah,
- 10:39it's basically businesses moving data back from
- 10:42the big public clouds, AWS, Azure, Google Cloud
- 10:45to their own data centers or maybe a private
- 10:46cloud. Why would they do that? Isn't cloud the
- 10:49future? It's often about cost control, trying
- 10:51to get better efficiency, maybe wanting more
- 10:53direct control over their data. We sometimes
- 10:55call it data freedom, avoiding getting locked
- 10:57into one vendor. Okay, so flexibility. Makes
- 11:00sense for IT managers looking at budgets or owners
- 11:02worried about getting stuck. Precisely. It means
- 11:05rethinking that hybrid cloud mix. What runs best
- 11:09where? For cost, for performance, for compliance,
- 11:12especially with market uncertainty, changing
- 11:15license fees, new regulations. But moving data
- 11:17back isn't simple, I imagine. Not at all. You
- 11:20need absolutely rock solid data resilience solutions
- 11:23in place, backups, disaster recovery. You can't
- 11:26afford data loss or corruption during or after
- 11:29a move like that. Right. OK, let's shift gears.
- 11:32Manufacturing. And skills. How's Australia doing
- 11:35on boosting those fronts? Well, for manufacturing,
- 11:37the phrase being used is transformation at scale.
- 11:40It's basically become essential for survival.
- 11:43Why do or die? Stiff competition globally, high
- 11:45operating costs here. Manufacturers have to embrace
- 11:48industry 4 .0 stuff, AI, robotics, IoT, 3D printing,
- 11:51just to stay in the game. And what's key to making
- 11:54that transformation work? Master data. That core,
- 11:57consistent info about your products, your customers,
- 11:59your suppliers, it's highlighted again and again
- 12:01as the absolute foundation. If your master data
- 12:04is a mess, none of the fancy tech will work properly.
- 12:06That's the insight for any manufacturing leader.
- 12:09Get the basics right first. Makes sense. What
- 12:12about new tech, deep tech innovation? CSIRO's
- 12:16On Accelerate program is doing great work there.
- 12:18It helps fast track serious scientific research
- 12:21into actual commercial products. Their latest
- 12:24group of 11 teams, they've already pulled in
- 12:26over $33 million in funding. They've got tech
- 12:29validated in areas like drug development, health
- 12:32care, sustainability. So turning science into
- 12:35business. Exactly. For investors, for innovation
- 12:38managers, it shows there's real momentum in translating
- 12:41Aussie research into economic growth, finding
- 12:44solutions. pinpointing those future growth spots.
- 12:47That's great to see. And the skills needed for
- 12:49all this. Are we training people? There's definitely
- 12:52investment happening. Riviera, the yacht builder,
- 12:54they just won the Australian Apprenticeship's
- 12:56Leadership Medal for their Training Academy and
- 12:58Life Skills Program. Shows the value placed on
- 13:00vocational training. Good example. And you see
- 13:03TAFE Queensland partnering with One Advance to
- 13:06boost digital literacy. It's broader than just
- 13:08one industry. It's about making sure the workforce
- 13:11generally is ready for this digital shift. Critical
- 13:14piece of the puzzle. Okay. Last area, energy
- 13:17and infrastructure. What stood out in June? Well,
- 13:20something really interesting for homeowners potentially
- 13:22is this virtual energy network study from Deakin
- 13:27Business School. VEN. What's that? It's basically
- 13:29setting up a platform for peer -to -peer energy
- 13:33trading. If you've got rooftop solar. And maybe
- 13:36a battery. You could sell your excess clean energy
- 13:39directly to your neighbors or others on the platform.
- 13:42Even if the buyer doesn't have solar panels.
- 13:43Exactly. So sellers earn more. Buyers potentially
- 13:47get cheaper, cleaner power. It helps decentralize
- 13:49the grid, supports local renewables. Really neat
- 13:52idea. That does sound like a potential game changer.
- 13:55Anything else on the energy front? Yeah, there's
- 13:57a bit of a push from ARIMA, the appliance industry
- 13:59body for urgent reforms, around the incentives
- 14:01for hot water heat pumps. Problems there. They're
- 14:04citing issues with safety, performance, even
- 14:06fraud. They want proper product standards, properly
- 14:09trained technicians. It's a reminder for policymakers
- 14:12that even well -intentioned green schemes need
- 14:15strong oversight. Good point. And big government
- 14:18IT spends. Are they keeping up? Oh, yeah. Queensland's
- 14:21got a massive $1 billion whole -of -government
- 14:24tech overhaul underway. SA Water is doing a once
- 14:28-in -a -generation core tech upgrade. WA Police,
- 14:31$30 million for IT optimization. Serious money.
- 14:35Definitely. For anyone in public sector tech
- 14:38or bidding for government work, its most digital
- 14:40infrastructure is a huge priority for modernizing
- 14:43services. And nationally, keep an eye on the
- 14:45NBN. New faster speeds rolling out, potential
- 14:48teething troubles, plus that baseline shift from
- 14:5025 megabits per second up to 100. That affects
- 14:54millions. A lot happening there, too. Okay, we've
- 14:57covered a massive amount of ground. Let's try
- 14:58and synthesize. What does this all mean for you
- 15:01listening for the Aussie tech scene? Well, I
- 15:02think a few core themes stand out. AI's influence
- 15:05is just undeniable, isn't it? It's growth, the
- 15:07energy demands, the workforce changes, the regulation
- 15:10scramble. It touches everything. Then there's
- 15:13that constant battle for cybersecurity. And this
- 15:16interesting trend towards data repatriation,
- 15:18focusing on resilience. And finally, you see
- 15:21this clear commitment in Australia to innovate
- 15:24in manufacturing, in energy, and crucially, to
- 15:27build the skills needed to support it all. It's
- 15:30a really dynamic picture. Dynamic is the word.
- 15:33Yeah. It feels like a landscape of huge change,
- 15:35but also incredible opportunity. Which leads
- 15:39to maybe a final thought. As AI keeps reshaping,
- 15:42well, everything. Our daily lives, business,
- 15:45even national security. How do we here in Australia
- 15:48make sure we harness these powerful tools for
- 15:51good? How do we manage the risks but still foster
- 15:54a truly resilient, competitive digital future?
- 15:57That's maybe the big question for all of us,
- 15:58isn't it? It really is. Something to keep thinking
- 16:00about. But hopefully this deep dive gave you
- 16:02some useful insights to navigate it all. We certainly
- 16:04hope so. If you do want to chat about your own
- 16:06security or IT needs or just think through how
- 16:08these trends impact your business, you can always
- 16:10head over to www .kinsoft .com .au. That's www
- 16:14.kinsoft .com .au. Thanks so much for joining
- 16:17us for this deep dive on Tech Talks with Kinsoft.
- 16:20Until next time. Keep learning, keep questioning,
- 16:23and keep pushing forward.