{ "docId": "019dd923-622c-750b-8b99-91010c0bd592", "docSlug": "937587dba6b9", "documentTitle": "Intuit Inc. (INTU)", "authorId": "54_Spruce_Point_Capital", "authorName": "Ben Axler", "documentKindSlug": "activist-deck", "documentKindLabel": "Activist deck", "sourceTypeSlug": "short_seller", "sourceTypeLabel": "Short seller", "presentationDate": "2024-09-20 00:00:00", "orientation": "landscape", "aspectRatio": 1.3333334, "pageNumber": 95, "pageCount": 125, "prevPage": 94, "nextPage": 96, "slideType": "expose_contradiction", "function": "expose_contradiction", "density": "overcrowded", "nDataPoints": 0, "notes": "Uses quotes from earnings calls to highlight potential regulatory/privacy risks.", "elementsJson": [ "headline_text", "paragraph", "bullet_list", "callout_box" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-622c-750b-8b99-91010c0bd592/95", "deckHref": "/decks/019dd923-622c-750b-8b99-91010c0bd592", "deckJsonHref": "/decks/019dd923-622c-750b-8b99-91010c0bd592.json", "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-91010c0bd592#slide-95", "components": [ { "bbox": null, "kind": "callout", "text": "This presents a real strategic risk to Intuit, as the stated rationale for the Credit Karma acquisition and recently announced integrations of the two products was Intuit's ability to “leverage” customer data that was explicitly collected for the sole purpose of tax filings.", "attrs": null, "subkind": null, "toolName": "Visual emphasis", "toolSlug": "visual-emphasis", "confidence": null, "componentId": "019dd953-1ac4-74a6-be3d-8e20e91cac3b", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.32, "w": 0.96, "x": 0.02, "y": 0.35 }, "kind": "list", "text": "Sasan Goodarzi, Intuit CEO: “Together, we can deliver unprecedented benefits to customers, combining the benefits of scale, trust and data.” “...we will make our financial data platform capabilities and services available to Ken so he can deliver benefits to customers and this is where we have 20,000 partners in our financial data platform...” “In terms of synergy, it's really what we were just describing earlier, really what you are now able to bring together with the two companies is the customers’ entire financial identity where they can use their data to get access to the best personal loans that are right for them, the best credit cards that are right for them, the best by the way, insurance, it could be home insurance, auto insurance, renters insurance because when the customer doesn't have all their data in one place...” Ken Lin, Credit Karma Founder and CEO: “we help consumers find the right product for them based on their credit and financial profile with their consent. Intuit enables us to strengthen this ability by allowing customers to add income data to that profile, enable members to see more offers through which they qualify.”", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "9869d177-7b3a-48e9-bc40-ccdd765435eb", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.06, "w": 0.96, "x": 0.02, "y": 0.79 }, "kind": "paragraph", "text": "01/08/2024 Credit Karma members will enjoy fast filing-some in as little as 10 minutes-and early refund access with Credit Karma Money; QuickBooks small business customers will receive unlimited expert assistance for smooth tax preparation and filing", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "6a06d51a-03d1-4d64-94d5-e9d2e613450b", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.12, "w": 0.96, "x": 0.02, "y": 0.17 }, "kind": "paragraph", "text": "Moreover, given the FTC's policies around the misuse of customer data, all the cross-pollination of data collection, analysis, and usage between TurboTax and Credit Karma looks highly questionable. This presents a real strategic risk to Intuit, as the stated rationale for the Credit Karma acquisition and recently announced integrations of the two products was Intuit's ability to “leverage” customer data that was explicitly collected for the sole purpose of tax filings.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "c8d8d1ae-a0ec-4928-9f33-86d08e5f8d11", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "quote", "text": "“Together, we can deliver unprecedented benefits to customers, combining the benefits of scale, trust and data.” — Sasan Goodarzi, Intuit CEO; “In terms of synergy, it's really what we were just describing earlier, really what you are now able to bring together with the two companies is the customers' entire financial identity where they can use their data to get access to the best personal loans that are right for them, the best credit cards that are right for them, the best by the way, insurance, it could be home insurance, auto insurance, renters insurance because when the customer doesn't have all their data in one place...” — Sasan Goodarzi, Intuit CEO; “Intuit enables us to strengthen this ability by allowing customers to add income data to that profile, enable members to see more offers through which they qualify.” — Ken Lin, Credit Karma Founder and CEO", "attrs": null, "subkind": null, "toolName": "Authority citation", "toolSlug": "authority-citation", "confidence": null, "componentId": "019dd953-1ac4-74a6-be3d-9324309f0a01", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.55, "x": 0.02, "y": 0.97 }, "kind": "source-note", "text": "Source: Intuit FQ2 2020 earnings call transcript, Intuit press release dated 1/8/24, Spruce Point Research", "attrs": null, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "90f13f2b-3be2-4840-b9ac-357d91eaa24f", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.08, "w": 0.65, "x": 0.31, "y": 0.03 }, "kind": "title", "text": "The Rationale For The Credit Karma Deal Was Arguably To Push The Envelope On Customer Data Use", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "5a2765be-ebb0-456c-b477-a8661ea822f2", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.96, "x": 0.02, "y": 0.31 }, "kind": "title", "text": "Excerpts From Intuit's FQ2 2020 Earnings Call Announcing the Credit Karma Transaction", "attrs": null, "subkind": "subtitle", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "9745ef7e-a3a6-4271-aa35-ba834b6aa730", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.06, "w": 0.96, "x": 0.02, "y": 0.7 }, "kind": "title", "text": "Intuit TurboTax Now Integrated Into Credit Karma and QuickBooks for Seamless Tax Preparation and Filing Across the Intuit Ecosystem", "attrs": null, "subkind": "subtitle", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "eb5a77f0-7d88-4c39-a169-401f36b19c2c", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [ { "name": "ceo-quote-contradiction", "slug": null, "matchId": "7227cb81-c774-43c2-a8b5-c00ad3db349a", "evidence": "Contrasting CEO statements about data usage with FTC policy risks.", "confidence": 0.8 } ], "arcBeats": [], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }