Google’s Wiz acquisition propels Israel’s tech sector to new heights

Israel’s high-tech sector surged into 2025 with remarkable momentum, instead of continuing the two-year slump in funding.

According to new figures from Startup Nation Central, private Israeli tech firms raised $3.2 billion through 185 deals in the first quarter, rather than declining as in previous periods. This marked a 12% rise from the previous quarter and a 14% increase year on year.

The most striking figure came from mergers and acquisitions, which reached a record-breaking $35.9 billion across 38 deals.

It was driven by Google’s $32 billion acquisition of cybersecurity firm Wiz—the biggest tech exit in Israeli history and one of the largest globally, instead of a more modest transaction typical of previous years.

Even excluding the Wiz acquisition, the M&A volume still hit $3.9 billion—its highest since the third quarter of 2023. Instead of reflecting a single outlier, the strong figures suggest a broader resurgence in investor confidence and corporate activity.

It signals that global interest in Israel’s innovation sector is gaining strength again, instead of continuing to wane as seen over the past two years.

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GenAI comes to Spotify ads in US and Canada

Spotify has announced a suite of new advertising tools and features, including generative AI capabilities, at its recent Spotify Advance event in New York.

Designed to simplify ad creation and targeting, the initiative, branded as Spotify GenAI Ads, aims to help advertisers generate scripts and voiceovers at no extra cost.

Advertisers can also collaborate with Spotify’s in-house creative agencies to develop campaigns, while upgraded tools on the Spotify Ad Exchange (SAX) offer access to logged-in users through real-time auctions.

Integration with platforms such as Google Display & Video 360, The Trade Desk, Magnite, and Yahoo DSP further enhances reach and targeting options.

A new Spotify Ads Manager tool is also being rolled out in the US and Canada, providing advanced audience segmentation and performance tracking for tailored campaigns. These innovations reflect Spotify’s growing focus on personalisation and automation in digital advertising.

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GPT-4.5 outperforms humans in updated Turing Test

Two leading AI systems, OpenAI’s GPT-4.5 and Meta’s Llama-3.1, have passed a key milestone by outperforming humans in a modern version of the Turing Test.

The experiment, conducted by researchers at the University of California San Diego, found that GPT-4.5 was mistaken for a human 73% of the time, surpassing the human identification rate. Meta’s Llama-3.1 followed closely, with a 56% success rate.

The study used a three-party test where participants held simultaneous five-minute conversations with both a human and an AI, and then tried to determine which was which.

These trials were conducted across two independent groups: university undergraduates and prolific online workers. The results provide the first substantial evidence that AI can convincingly mimic human responses in spontaneous conversations.

Earlier language models such as ELIZA and GPT-4o were correctly identified as non-human in over 75% of cases.

The success of newer models in passing this benchmark points to how rapidly conversational AI is evolving, raising fresh questions about the ethical and societal implications of indistinguishable AI interactions.

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Track missing bags with Air India and Apple AirTags

Air India has launched a new partnership with Apple to enhance baggage tracking by integrating Apple’s AirTag technology into its existing systems.

The collaboration connects AirTag’s location-sharing capabilities with Air India’s mobile app and website, allowing passengers to track misplaced luggage more efficiently.

Travellers using Apple devices can generate a location link for their AirTag through the Find My app and submit it to Air India along with a lost baggage report.

Once shared, airline staff can view an interactive map of the item’s location, updated in real time, until the luggage is recovered or the tracking expires after seven days.

This move makes Air India the first Indian airline to adopt Apple’s ‘Share Item Location’ feature, joining a global group that includes British Airways, Lufthansa, and Virgin Atlantic.

The new system is compatible with iPhones, iPads, and Macs running the latest software versions, offering Indian users a smarter way to stay connected with their belongings throughout their journey.

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Deutsche Telekom expands partnership with Google Cloud

Deutsche Telekom has strengthened its collaboration with Google, moving more of its services to the Google Cloud platform as part of its transformation into an ‘AI-first company.’ The expanded partnership aims to improve the agility and efficiency of Deutsche Telekom’s operations through AI-driven solutions.

Stefan Schloter, Chief Infrastructure Officer for Europe at Deutsche Telekom, highlighted how leveraging data and AI will enhance digital solutions across business entities, software engineering, and customer interfaces.

The MyMagenta app, for example, will integrate Google’s AI-powered Gemini assistant, further improving customer experience.

Google Cloud will also serve as the technical foundation of Deutsche Telekom’s new AI platform, the ‘One Data Ecosystem.’ However, this platform consolidates data systems and enhances data processing speed while ensuring compliance with privacy and data-sharing regulations.

Marianne Janik, Vice President of Google Cloud for Northern Europe, expressed excitement about the partnership, noting how cloud technology is pivotal for communications providers in driving innovation, flexibility, and growth for enhanced user experiences.

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Meta and UFC to transform fight experience

UFC President Dana White has announced a groundbreaking partnership with Meta, following his recent appointment to the tech giant’s board.

The collaboration marks a significant moment for both organisations, with Meta CEO Mark Zuckerberg, a well-known MMA enthusiast and practitioner, praising White’s ability to elevate global sports brands.

The deal aims to revolutionise fan engagement through cutting-edge technologies. According to White, plans are already underway to redesign the UFC’s ranking system, with hopes of delivering more compelling matchups.

While details remain under wraps, he hinted that AI could be central to the project, potentially transforming how fights are scored and analysed in real time.

Zuckerberg expressed excitement about the future of UFC fan experiences, suggesting Meta’s tech resources could introduce innovative ways for audiences to connect with the sport.

Enhanced data analysis may also support fighters in training and strategy, leading to higher-quality contests and fewer controversial decisions.

The full impact of the partnership will unfold in the coming years, with fans and athletes alike anticipating significant change.

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Chinese AI-powered translation aids Myanmar disaster response

A Chinese-developed AI translation system has been deployed to support earthquake relief efforts in central Myanmar.

The tool, built on the DeepSeek platform, facilitates communication in Chinese, Myanmar, and English, helping responders coordinate aid. The Chinese Embassy in Myanmar confirmed that more than 700 people have used the system since the earthquake struck.

Developed in just seven hours, the translation tool was created by a language service team from the National Language Service Corps of China and Beijing Language and Culture University.

The Corps, a public-service alliance guided by various Chinese government agencies, specialises in providing language support during emergencies and key national initiatives.

The use of AI-powered translation in disaster response highlights the growing role of language technology in humanitarian aid.

By breaking down communication barriers, the system enables more effective coordination, reinforcing efforts to build stronger international cooperation in times of crisis.

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Siemens buys Dotmatics to boost AI drug research

Siemens announced on Wednesday its acquisition of US software firm Dotmatics for $5.1 billion, aiming to enhance its AI capabilities for drug discovery.

The German company described the deal as complementary to its expansion into Life Sciences, positioning itself in a market increasingly reliant on digital transformation to meet growing medical needs.

Siemens expects Dotmatics to generate $100 million annually in the mid-term, rising to $500 million in the long run, and said the acquisition would be immediately profitable. The transaction is set to be completed in the first half of next year.

Founded in 2005, Dotmatics employs 800 people and specialises in AI-driven R&D software designed to accelerate drug research. This move follows Siemens’ recent $10 billion purchase of another AI-powered US software firm, Altair Engineering.

As Siemens’ industrial software faces slowing demand, its digital division has been driving revenue growth instead of its traditional factory automation products. The company, Germany’s second-largest by market value, continues expanding its software portfolio to capitalise on AI-driven innovations.

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Chinese tech firm Honor bets big on AI devices

Chinese smartphone maker Honor has unveiled a $10 billion investment plan aimed at advancing AI technologies across its product ecosystem. The announcement was made by CEO James Li at the Mobile World Congress in Barcelona, where he outlined the company’s ambition to evolve beyond smartphones and expand into AI-powered PCs, tablets, and wearables.

The major funding initiative comes as Honor prepares for a public listing, following a shareholder restructuring completed in December. While a date for the IPO has yet to be confirmed, the company appears to be positioning itself as a key player in China’s AI race, spurred by growing domestic interest in large language models like those developed by DeepSeek.

Despite slipping to fourth place in China’s smartphone market last year, Honor continues to receive strong backing from the Shenzhen local government. Support has included R&D funding, tax incentives, and assistance with international expansion. The company’s strategic pivot to AI reflects broader trends in China’s tech sector, as firms seek to integrate smart features into a wider range of consumer devices.

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Tim Cook donates to Zhejiang University on China visit

Apple CEO Tim Cook made a surprise visit to China last week, marking the 10th anniversary partnership between Apple and Zhejiang University. During the visit, Cook announced a donation of RMB 30 million (£3.4 million) to support programming education and cultivate future talent in app development. The funds will establish the Apple Mobile Application Incubation Fund, offering training and connecting students to industry mentors and opportunities.

Zhejiang University, located in Hangzhou and considered one of the top institutions in China, has worked with Apple on mobile app innovation since 2015. Their long-standing collaboration has already reached over 30,000 students through competitions and workshops across the country. The new investment brings the total funding from Apple over the decade to RMB 80 million (£9.1 million).

Apple’s move reinforces its commitment to the Chinese market amid ongoing regulatory challenges. Some Apple Intelligence features remain unavailable in China, prompting the company to explore partnerships with local AI firms. While no formal agreements have been announced, the tech giant’s engagement with Chinese academia may also pave the way for future tech integration and regulatory compliance.

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