Welcome to another Friday!

In today’s edition, let’s discover why Google turned to Israel for its biggest-ever acquisition in the cybersecurity space, and also why Indian companies do not make the cut despite being a hub of tech talent.

A Shield That Cost a Bomb

—Vishwas Ved

Take a deep breath, chief. It’s over. 

March—the month of closing books, calculating taxes, and chasing auditors—has finally exited the building. US President Donald Trump also fired his much-awaited tariff shot yesterday. (Read a spot-on analysis by The Core on its impact on India)

In all fairness, you deserve a break from tax and Trump. So this week, we’re switching things up a bit just to keep it interesting. 

So, let’s just whiz past everything evenly remotely associated with finance, GST, compliance, or even Trump, and talk about something else. Like… Wiz—the Israeli cybersecurity company Google recently bought for a whopping $32 billion.

An extraordinary transaction indeed for two reasons: 

First, the company was founded in 2020, which means essentially it’s still a baby; and the second, it’s now Google’s largest acquisition ever.

G, why pay so much?

Simple: Google knows that the next wave of tech won’t be about humans outsmarting each other; it’ll be about protecting them. That seems to be the thought behind the boldest move yet by CEO Sundar Pichai.

Care to know about his first? A fun fact coming right up: 

Pichai went against Google co-founders Larry Page and Sergey Brin to bring out Chrome because he believed that the browser was necessary for the company’s success and growth. The duo initially didn’t buy into the idea of creating a browser, saying it would be too costly and risky. Chrome now controls about 70% of market share.

Now, let’s get back to Wiz. 

Wiz already protects about 40% of Fortune 100 companies, spotting threats in advance and making enterprise security a lot more accessible. 

It uses an agentless approach to security, which makes the setup process easier and less intrusive. 

Plainly speaking, a client does not need to install any programmes or make changes to their existing infrastructure to avail of Wiz’s services. 

Cybersecurity is essential for all companies because according to data, about 60% of hacked firms never recover, and therefore safeguarding the business isn’t optional. 

Google knows that the future belongs to those who secure it.

There is no doubt it’s a fascinating story, not just because of the jaw-dropping price tag involving the hottest name in the cybersecurity space, but because it raises a big question for Indians: 

Where is India’s very own ‘Wiz’kid, considering it’s a hotbed of sophisticated tech talent?

The big gap

In just four years, Wiz went from a startup to a Silicon Valley darling, strengthening Google Cloud’s security game in a race where it still trails behind Amazon Web Services and Microsoft’s Azure.

But here’s the kicker—this isn’t a win for Wiz alone; it’s yet another example of Israel punching above its weight as far as cybersecurity is concerned. 

Whether it’s Wiz, Check Point, or Palo Alto Networks, Israeli cybersecurity firms have a knack for going global. 

Meanwhile, in India, we have the talent, the need, and the market, but no cybersecurity giant to call our own.

So, What’s Israel doing right?

• National priority: Cybersecurity isn’t only a business in Israel; it’s a national priority.

• They start early: Cybersecurity is built into Israel’s education system, and talent is spotted early.

• Military link: ‘Unit 8200’, Israel’s elite intelligence corps, doubles as a cybersecurity startup accelerator, and its alumni go on to build billion-dollar companies.

• Battle-ready: Israel’s cybersecurity tools aren’t just theoretical; they’re used in real-world scenarios before hitting the market.

• Access to US: Israeli startups don’t wait to scale at home; they set up in the US early, where the biggest cybersecurity deals happen.

Spotting roadblocks

Cybersecurity, like everywhere else, is a huge concern for India, too. We have startups, and no shortage of talent. But scaling up is a different story.

Here’s where we hit roadblocks:

Cybersecurity startups in India rarely get major government deals that are often given to foreign firms, such as Palo Alto Networks or Cisco that benefit from established global reputations and perceived reliability. 

Also, while Israeli firms refine their cybersecurity tools with real-world data from national security operations, Indian startups don’t have that advantage.

Although Quick Heal Technologies and Smokescreen have made some headway, the road isn’t easy for Indian companies. 

Unless we build global-scale companies, we risk becoming a sweatshop for cybersecurity talent, while the real money and innovation happen elsewhere.

₹92,400 crore

The Central Board of Direct Taxes recovered ₹92,400 crore in outstanding tax in this financial year (2024-25) till March 15. This included ₹67,711 crore in corporate tax, ₹23,536 crore in personal income tax and ₹1,100 crore on account of non-payment of tax deducted at source. The recovery was made in lieu of the demand notices sent by the income-tax department. In 2023-24, tax officials had recovered ₹75,000 crore in outstanding tax.

— EV Tariff Cut. The Indian government seems to be ready to thwart the efforts of automakers who are lobbying the government to delay any cut in EV tariffs until 2029, a report has said. The lobbyists want a phased reduction in duty to 30% from as high as roughly 100%. Sources said the government is in favour of closing a trade deal with the United States. The government is serious about lowering EV tariffs - which have riled US President Donald Trump and his ally Tesla CEO Elon Musk.

— Global Investor Access. The Securities and Exchange Board of India (SEBI) is exploring options to broaden the ownership base for local risk assets, including allowing overseas individuals to invest directly in the stock market. At present, such individuals can buy into India's primary and secondary markets only through the foreign portfolio investor route. The proposal was discussed last week at a meeting attended by the top Sebi management and some key market participants. Discussions are still preliminary. 

— New Algo Trading Deadline. SEBI has extended the deadline for implementing new regulations governing retail investors' entry into algorithmic trading. The new rules, which were initially set to take effect on April 1, will now come into force on August 1. This extension follows requests from stock exchanges, who asked for more time to fully implement the new standards in consultation with the Brokers' Industry Standards Forum.

— Indian Billionaires. India’s billionaire count has grown to 284, with their combined wealth reaching an astounding ₹98 lakh crore. The ‘Hurun Global Rich List for 2025’ shows that the country’s wealthiest individuals have seen a 10% rise in their total fortune over the past year. Mumbai alone has 90 billionaires. India remains strong on the global stage, ranking third in the number of billionaires, behind only the United States and China. The US tops the list with 870.

ICYMI | CTRL+Z on GST Errors

Missed last week's update? The Supreme Court rules that businesses have the right to correct clerical GST errors as tax software limitations cannot override legal rights; Samsung faces a ₹5,156-crore tax demand for misclassifying telecom imports.

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